This Audit Report summarizes the audit results of the committee, Campaign for Paid Sick Days, Identification Number 1289546 (“the Committee”), from January 1, 2006 through December 31, 2006. The audit was conducted to determine whether the Committee materially complied with the requirements of the Political Reform Act (“the Act”) (California Government Code section 81000, et seq.) and San Francisco’s Campaign Finance Reform Ordinance (“CFRO”) (San Francisco Campaign and Governmental Conduct Code § 1.100, et seq).
II. Audit Authority
San Francisco Charter section C3.699-11 authorizes the Ethics Commission (“the Commission”) to audit campaign statements that are filed with the Commission along with other relevant documents to determine whether the candidate complied with applicable requirements of State and local laws. The Commission randomly selected the Committee for audit.
III. Audit Scope and Procedures
This audit was performed in accordance with generally accepted auditing standards. The audit involved a review of the Committee’s records for the period covered by the audit. This review was conducted to determine:
- Compliance with all disclosure requirements pertaining to contributions, expenditures, accrued expenditures, and loans, including itemization when required;
- Compliance with applicable filing deadlines;
- Compliance with restrictions on contributions, loans, and expenditures;
- Accuracy of total reported receipts, disbursements, and cash balances as compared to bank records; and
- Compliance with all record-keeping requirements.
The Commission posts audit reports to its web site and, in cases of apparent violations of law, forwards them to the appropriate enforcement agency.
IV. Committee Information
The Committee was formed in August 2006 to support the passage of Proposition F in the November 2006 general election. Kelly Gray served as the treasurer and Sonya Mehta served as assistant treasurer. The Committee filed a statement on July 27, 2007 indicating that its filing obligations were completed on December 31, 2006.
V. Audit Findings
For the period covered by the audit, the Committee received $17,356 in contributions (including $554 in non-monetary contributions) and incurred expenditures of $16,802.
The Commission determined that there were two material findings with respect to the audit of the Committee, as follows:
- The Committee failed to retain records relating to 1) contributions for 11 percent of the dollar amount of total contributions and 2) expenditures for 23 percent of total expenditures, in violation of Government Code § 84104.
It is the responsibility of each treasurer to maintain such detailed accounts, records, bills and receipts as are necessary to prepare campaign statements and comply with the provisions of Government Code § 84100, et seq. The Committee did not maintain complete records. The Committee’s records did not include documentation for contributions totaling $1,976, which represents 11 percent of the dollar amount of total contributions that the Committee received. The records also did not include invoices for expenditures totaling $3,870, which represents 23 percent of the dollar amount of total expenditures.
- The Committee failed to report $2,344 in expenditures, or 14% of total expenditures, in violation of Government Code § 84211.
Government Code section 84211 provides that for each person to whom an expenditure of one hundred dollars ($100) or more has been made during the period covered by the campaign statement, the committee must disclose the payee’s full name and street address, the amount of each expenditure, and a brief description of the consideration for which each expenditure was made.
The Committee did not report expenditures totaling $2,344 on its campaign statements, as follows:
$138 in total
Photo for mailer
SF Bay Guardian
Mailers, Ink jet file for DEM and DTS renters.
12th A.D. Chinese American Democratic Club
$300 in total
Young Workers United
Reimbursement for celebration party
VI. Committee’s Response to Finding(s)
The Committee did not provide any comments regarding the findings listed above.