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Larsen for Congress and David Larsen for Congress Exploratory Cornmittee Post Office Box 214 Oldwick, New Jersey 08858

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Larsen for Congress and David Larsen for Congress Exploratory Cornmittee Post Office Box 214 Oldwick, New Jersey 08858 P^CIilVED FE:DUAAL FLECTION BEFORE THE UNITED STATES ^ ^ FEDERAL ELECTION COMMISSIO^j^ II pji] ijr 33 Brian.M. Nelson, Esq. Shrewsbury, NJ 07702 C E L A V. MURNO._^399 David Larsen for Congress and David Larsen for Congress Exploratory Cornmittee Post Office Box 214 Oldwick, New Jersey 08858 COMPLAINT 1. This Complaint is filed pursuant to 52 U.S.C. § 30109(a)(1) based upon information demonstrating that David Larsen has failed to file with the Federal Election Commission ("Commission") while actively campaigning for the United States House of Representatives in the 7"" Congressional District of New Jersey during the 2015 calendar year in violation of the Federal Election Campaign Act ("FECA") and Commission regulations governing "testing the waters" or otherwise purported exploratory activities. FACTS 2. On or about February 2, 2015, while attending a Republican conclave in Atlantic City, David Larsen was quoted by the New Jersey political news website Politickemj.com as saying "I think we'll probably do it again" and "[w]e'll win this time" and "[i]t's time to do it again" in.relation to running for the United States House of Representatives iii the 7"* Congressional District of New Jersey. See. Exhibit A. 3. On or about March 31,2015, the "David Larsen for Congress" Facebook page posted a photograph of a sign at the New Jersey Reagan Day Dinner thanking its sponsors, including the "David Larsen for Congress Exploratory Committee." Sw Exhibit B. 4. Sponsorships for the 2015 Reagan Day event, which featured former Vice President Dick Cheney, cost at least $550. See Exhibit C. 5. On or about June 1,2015, the "David Larsen for Congress" Facebook page posted an invite on "David Larsen for Congress" letterhead for "a Fund Raising Event for his 2016 Exp. Congressional Campaign" to be held at the "Prestigious Lehigh Valley Sporting Clays" on July 12,2015 for a ticket price of $150 per person directing that interested parties contact "King Penna" at "[email protected]" or to register at "LarsenforCongress.com". See Exhibit D. 6. Based on his Linkedin profile. King Penna is a consultant at Kingmaker Strategies and worked on Mr. Larsen's previous campaigns for the U.S. House in the 7"* Congressional District. See Exhibit E. 7. On or about August 21,2015, the "@Larsen4Congress" Twitter page tweeted what appears to be a link to a Constant Contact email for another fundraiser invite on "David Larsen for Congress" letterhead "requesting your presence at a Fundraising Event for his 2016 Exp. Congressional Campaign" to be held at the "Prestigious Lehigh Valley Sporting Clays" on September 20,2015 for a ticket price of $150 per person directing that interested parties contact "King Penna" at "[email protected]" or to register at "DavidLarsenforCongress.com". Sw Exhibit F. 8. On or about October 13,2015, the "@Larsen4Congress" Twitter page tweeted what appears to be a link to a Constant Contact email on "Larsen for Congress" letterhead containing a press release entitled "The Boehner Connection & The Republican Defection" with King Penna being the contact person on the release, which closes by stating in relevant part: "This election cycle those living in the 7"* Congressional District have a real choice They can join the Gun Owners of America, Michael Reagan, and the cries of babies killed for their body parts and support David Larsen for Congress." See Exhibit G. 9. On or about December 11,2015,1 received a direct mailer enclosed in a standard sized envelope on colored letterhead from "David Larsen for Congress" that included the website address of "DavidLarsenforCongress.com" on the letterhead too. See Exhibit H, page 1. 10. Despite residing far outside of the Congressional District and never having signed up on any David Larsen donor, mailing or email list, page one of the correspondence directly addresses me by name and includes language, in relevant part, as follows: "My name is David Larsen. Tm running for Congress...." Id. 11. Page three of the correspondence includes a photograph of Mr. Larsen with Michael Reagan and indicates that he hM endorsed Mr. Larsen's candidacy thereunder.: See Exhibit H, page 3. 12. The correspondence also states in relevant part that "I am asking you to please allow me to employ my expertise, skills and successful leadership abilities, by applying them as your Representative in Washington." Id 13. The correspondence is signed by Mr. Larsen with the underlying signature line stating "NJ Congressional Dist. #7". See Exhibit H, page 4. 14. The correspondence contains another website address at the end of "www.WhoisDavidLarsen,com". Id, 15. The correspondence contains a disclaimer "David Larsen for Congress" with a return address accompanying it at PO Box 214, Oldwick, NJ 08858 and a phone number. Id 16. The envelope transmitting the correspondence was addressed by blue computer print and includes first class postage using three stamps totaling 49 cents. Exhibit I. 17. The envelope included a reply card with the header "David Larsen for Congress Urgent Canapaign Contribution Reply" and referenced the June 7,2016 primary election while soliciting contributions made payable to "David Larsen for Congress." ^ Exhibit J. 18. The reply card, however, contained a disclaimer that it was "Paid for by David Larsen for J Congress Exp. Committee." Id 19. The envelope transmitting the direct mailer also included a pre-printed reply envelope with a return envelope addressed of "David Larsen for Congress" at "P.O. Box.14, Oldwick, NJ 08858;" See Exhibit K. 20. Finally, the envelope transmitting the direct mailer also contained a nail file which said "David Larsen for Congress" and "Reagan Conservative" on its face., Sw Exhibit L. APPLICABLE LAW 21. FECA defines the term "candidate" to mean "an individual who seeks nomination for election, or election, to Federal office" and for purposes of the statutory definition an individual is deemed to seek nomination for election, or election, "if such individual has received contributions aggregating in excess of $5,000 or has made expenditures aggregating in excess of $5,000" or "given his or her consent to another person to receive contributions or make expenditures on behalf of such individual and if such person has received such contributions aggregating in excess of $5,000 or has made such expenditures aggregating in excess of $5,000." 52 U.S,C. § 30101 (2); see also 11 C.F.R. § 100.3(a). 22. The term "contribution" is defined in FECA to mean "any gift, subscription, loan, . advance, or deposit of money or anything of value made by any person for the purpose of influencing any election for Federal office." 52 U.S.C. § 30101(8)(A)(i); see also 11 I C.F.R.§§ 100.51-100.56. 23. The term "expenditure" is defined in FECA to mean "any purchase, payment, 4 distribution, loan, advance, deposit, or gift of money or anything of value^ made by any person for the purpose of influencing any election for Federal office." 52 U.S.C. § 30101(9)(A)(i); see also 11 C.F.R. §§ 100.110-100.114. 24. The Commission has explained that under FECA, "an iiidividual is deemed a 'candidate' ... if he or she receives contributions of makes expenditures in excess of $5,000 Or. gives consent to another person" to do so on his or her behalf. See Payments Received for Testing the Waters Activities, 50 Fed. Reg. 9992-93 (Mar. 13,1985) (Final Rules and Explanation and Justification). 25. The Commission has further explained that FECA "establishes automatic dollar thresholds for attaining candidate status which trigger its registration and reporting requirements." However, "[t]hrough its regulations, the Commission has established limited exceptions to these autorriatic thresholds which permit an individual to test the feasibility of a campaign for Federal office without becoming a candidate under the Act." See Payments Received for Testing the Waters Activities, 50 Fed. Reg. at 9992-93. 2$., These "limited exceptions" to the definitions of "contribution" and "expenditure" are commonly referred to as the "testing the waters" exceptions and are found at 11 C.F.R. §§ 100.72 and 100.131. In the absence of these regulatory exemptions, funds raised and spent for the activities described therein would be "contributions" and "expenditures" under federal law and.would therefore trigger "candidate" status once, they exceeded $5,000. 1 27. Section 100.72(a), structured as a limited exception to the definition of "contribution" ^ provides: 4 Funds received solely for the purpose of determining whether an Q individual should become a candidate are not contributions.... f Only funds permissible under the Act may be used for such Q activities. The individual shall keep records of all such funds ^ received. SM 11 CFR § 101.3. If the individual subsequently becomes a candidate, the funds received are contributions subject to the reporting requirements of the Act. Such contributions must be reported with the first report filed by the principal campaign committee of the candidate, regardless of the date the funds were received. 11 C.F.R. § 100.72(a). 28. Section 100.72(b) makes clear that the exception is "not applicable to individuals who have decided to become candidatesfj" nor "for activities relevant to conducting a campaign." 11 C.F.R. § 100.72(b) (emphasis added). In relevant part, this section further provides that: Examples of activities that indicate that an individual has decided to become a candidate include, but are not limited to: (1) The individual uses general public political advertising to publicize his or her intention to campaign for Federal office. (2) The individual raises funds in excess of what could reasonably be expected to be used for exploratory activities or undertakes activities designed to amass campaign funds that would be spent after he or she becomes a candidate.
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