state board of elections

6400 Mail Service Center     

●       Raleigh, NC 27699-6400

 

GARY O. BARTLETT                                                                                                                        Mailing

Address:

Director                                                                                                                                                  PO

Box 2169

                                                                                                                                                                Raleigh,

NC 27602-2169

                                                                                                                                                                (919)

733-7173

                                                                                                                                                                Fax

(919) 715-0135

 

October

8, 1998

 

Mr. George E. Wilson, Treasurer

Sampson County Republican Party

PO Box 1325

Clinton, NC 28328

 

                Re: Advisory Ruling issued under G.S.

163-278.23

 

Dear Mr. Wilson:

 

                In your letter dated September

29, 1998, you state that the Sampson County Republican Party is in the process

of totally renovating the headquarters it owns.  New bathrooms, kitchen area,

heat & air conditioning, new lighting, store front, ceiling, carpet, walls,

and other items have been built and paid for from the Building Fund.  The

request for a ruling is to determine is whether or not building fun money can

be used to purchase appliances, desks, chairs, telephone system, and etc.

 

                An October

7, 1994 opinion on "Political Party Building Funds" permitted State

political parties to accept contributions from business entities, including

corporations into a separate segregated building fund.  Provided district and

county executive committees strictly adhere to the provisions, district and

county executive committee building funds may accept business contributions. 

The provisions are as follows:

                1.  Business contributions solicited and

accepted are designated for the building fund.

                2.  Potential business contributors are

advised that all business contributions will be exclusively for the building

fund.

                3.

A separate segregated bank account in which only business contributions

designated for the building fund will be deposited is established.

                4.

The funds deposited in that separate account will be expended only to purchase

or construct, or in payment of the mortgage, for a headquarters, or to refund

contributions if a facility is not acquired.

                5. 

No business funds received will be used for the purpose of influencing Federal,

State, or local elections.

                6. 

No limit, other than on a voluntary basis, is placed on the amount of the

business contributions, individual or collectively, to the building fund.

                7. 

The building fund contributions and expenditures shall be disclosed to the

public in an annual report filed at the Campaign Reporting Office, no later

than the last Friday in January of the following year.

 

                The opinion gave particular attention to the

fact that the building fund ruling does not allow either monetary or in-kind

contributions from any business entity for headquarters rent and utilities,

either as a part of a building fund or into any political party fund or bank

account.

 

                After careful review, and considering that

the opinion provides for a building fund to receive business contributions only

to purchase or construct or in payment of the mortgage for a headquarters, or

to refund contributions if a facility is not acquired, the response must be

no.  The Building Fund cannot be used to purchase equipment and furnishings for

headquarters and should refund any business contributions that remain after reconstruction

is complete and any mortgage is paid.

 

                I am sorry this ruling is unfavorable.

However, the Sampson County Republican Party may certainly pay for equipment

and furnishings from its treasury account holding funds contributed by

individuals from their personal funds.

 

                                                                                                                Very

truly yours,

 

 

                                                                                                                Gary

O. Bartlett

                                                                                                                Executive

Secretary-Director