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59953

Proposed Rules Federal Register


Vol. 72, No. 204

Tuesday, October 23, 2007

This section of the FEDERAL REGISTER must be in Adobe Acrobat (.pdf) or political party committee, separate
contains notices to the public of the proposed Microsoft Word (.doc) format. Faxed segregated fund (‘‘SSF’’), or
issuance of rules and regulations. The comments must be sent to (202) 219– nonconnected political committee, if
purpose of these notices is to give interested 3923, with paper copy follow-up. Paper they are not traveling on behalf of a
persons an opportunity to participate in the comments and paper copy follow-up of specific candidate. Under Alternative 2,
rule making prior to the adoption of the final
faxed comments must be sent to the the proposed changes would affect only
rules.
Federal Election Commission, 999 E candidates for Federal office and those
Street, NW., Washington, DC 20463. All traveling on behalf of a candidate for
FEDERAL ELECTION COMMISSION comments must include the full name Federal office and his or her authorized
and postal service address of the committee. The proposed changes
11 CFR Parts 100, 113, 9004, and 9034 commenter or they will not be would not alter the Commission’s
considered. The Commission will post treatment of travel by means of
[Notice 2007–20]
comments on its Web site after the transportation other than aircraft, or on
Candidate Travel comment period ends. The Commission travel aboard commercial airliners or
hearing on this rulemaking will be held charter flights.
AGENCY: Federal Election Commission. in the Commission’s ninth floor meeting In addition, Congress defined the term
ACTION: Notice of proposed rulemaking. room, 999 E Street, NW., Washington, ‘‘Leadership PAC’’ in section 204(8)(B)
DC. of Public Law 110–81. This type of
SUMMARY: The Federal Election political committee is subject to certain
FOR FURTHER INFORMATION CONTACT: Ms.
Commission requests comments on restrictions under the provisions of new
Amy L. Rothstein, Assistant General
proposed changes to its rules 2 U.S.C. 439a(c), and is also subject to
Counsel, Mr. Joshua S. Blume, Attorney,
implementing new statutory provisions certain requirements set forth in another
or Mr. Richard Ewell, Attorney, 999 E
governing the rates and timing of section of Public Law 110–81 pertaining
Street, NW., Washington, DC 20463,
payment for non-commercial campaign (202) 694–1650 or (800) 424–9530. to the practice of ‘‘bundling’’
travel on aircraft, and a proposed contributions. See section 204 of Public
SUPPLEMENTARY INFORMATION: The
definition of ‘‘Leadership PAC.’’ These Law 110–81. The Commission is
proposed changes, consistent with the Commission is proposing changes to its
therefore proposing that the term be
rules to implement section 601 of Pub.
new statutory provisions, would restrict defined in the Commission’s regulations
L. 110–81, 121 Stat. 735, the ‘‘Honest
and in some cases prohibit Federal at 11 CFR 100.5(e) (examples of
Leadership and Open Government Act
candidates and their political ‘‘political committees’’).1
of 2007,’’ signed September 14, 2007.
committees from expending campaign
The new law amended the Federal I. Background
funds for non-commercial air travel. The
Election Campaign Act of 1971, as A. The Current Statutory and Regulatory
proposed rules would apply to all
amended (2 U.S.C. 431 et seq.) (‘‘the Framework
Federal candidates, including publicly
Act’’) by restricting, and in some cases
funded presidential candidates. No final The Act defines a ‘‘contribution’’ to
prohibiting, the expenditure of
decisions have been made by the include ‘‘any gift, subscription, loan,
campaign funds by candidates for
Commission on any of the proposed Federal office for non-commercial travel advance, or deposit of money or
revisions in this Notice. Further aboard aircraft. See 2 U.S.C. 439a(c) anything of value made by any person
information is provided in the (henceforth referred to as ‘‘new 2 U.S.C. for the purpose of influencing any
supplementary information that follows. 439a(c)’’ or ‘‘the new law’’). election for Federal office.’’ 2 U.S.C.
DATES: Comments must be received on The Commission proposes to 431(8)(A)(i); see also 11 CFR 100.52(a).
or before November 13, 2007. The implement these new provisions by The phrase ‘‘anything of value’’
Commission will hold a hearing on adding new section 11 CFR 113.5 to Part encompasses ‘‘the provision of any
these proposed rules on November 15, 113, which governs the expenditure of goods or services without charge or at a
2007, at 10 a.m. Commenters wishing to campaign funds by candidates for charge that is less than the usual and
testify at the hearing must so indicate in Federal office and their authorized normal charge for such goods or
their written or electronic comments. political committees. In addition, the services.’’ 11 CFR 100.52(d)(1). When
Anyone seeking to testify at the hearing Commission is proposing conforming goods or services are provided at less
must file written comments by the due revisions to 11 CFR 100.93, which than the usual and normal charge, ‘‘the
date and must include a request to provides an exception to the definition amount of the in-kind contribution is
testify in the written comments. of ‘‘contribution’’ for non-commercial the difference between the usual and
ADDRESSES: All comments must be in travel aboard aircraft by, or on behalf of, normal charge for the goods or services
writing, must be addressed to Ms. Amy Federal candidates and political at the time of the contribution and the
L. Rothstein, Assistant General Counsel, committees, if the candidates and amount charged the political
and must be submitted in e-mail, political committees reimburse the committee.’’ Id.
facsimile, or paper copy form. service providers at specified rates. As a result, candidates who travel
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Commenters are strongly encouraged to With respect to the scope of the aboard a commercial airliner or other
submit comments by e-mail or fax to proposed changes, the Commission conveyance for which a fee is normally
ensure timely receipt and consideration. presents two alternatives. Under 1 The Commission is initiating a separate
E-mail comments must be sent to Alternative 1, the proposed changes rulemaking to address the bundling provisions of
travel07@fec.gov. If e-mail comments would also affect travel by other the new law and intends to issue a Notice of
include an attachment, the attachment persons, such as a staff member of a Proposed Rulemaking shortly.

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59954 Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules

charged must pay the normal and usual 100.93(c)(1). If such travel is served at II. Revisions to 2 U.S.C. 439a—Use of
charge for that service in order to avoid both origin and destination by coach- Campaign Funds
receiving an in-kind contribution from class commercial service and the origin New 2 U.S.C. 439a(c) prohibits House,
the person providing the travel service. city is not served by first-class service, Senate, and presidential candidates
Such in-kind contributions would be then a coach-class rate applies. 11 CFR from making any expenditure for non-
prohibited if provided by certain 100.93(c)(2). If either the origin or the commercial travel on aircraft except at
entities, including corporations, labor destination city is not served by specified rates and subject to certain
organizations, Federal contractors, and commercial airline service, then the rate conditions. An ‘‘expenditure’’ includes
foreign nationals. See 2 U.S.C. 441b, is the normal and usual charter fare for any payment by any person ‘‘made for
441c, and 441e; 11 CFR 110.20, 114.2(b), a comparable airplane sufficient in size the purpose of influencing any election
and 115.2. Even where the in-kind to accommodate all campaign travelers. for Federal office.’’ 2 U.S.C. 431(9)(A)(i).
contributions are not prohibited, they 11 CFR 100.93(c)(3). The same rates Like the current regulations at 11 CFR
would be subject to the contribution apply to travel on an airplane provided 100.93, the new law focuses on the
limits in the Act and Commission by a government entity, unless the travel appropriate reimbursement rates for
regulations. See 2 U.S.C. 441a through is to or from a military base or other non-commercial travel. Travel on
441k; 11 CFR Parts 110, 114, and 115. relatively publicly inaccessible commercial flights is still governed by
1. Current 11 CFR 100.93—Payment for location.2 The candidate or political the current requirements for
Non-Commercial Travel committee responsible for the reimbursement at the normal and usual
The normal and usual charge for reimbursement must pay the service charge. The new law, however, directly
travel aboard a commercial airliner is provider within seven business days of limits expenditures by a candidate,
the publicly available price for a ticket, the trip. 11 CFR 100.93(c). candidate’s authorized committee, or a
and the normal and usual charge for a leadership PAC, rather than merely
2. Current 11 CFR 9004.7 and 9034.7— specifying how to avoid the receipt of
chartered jet is the publicly available Travel by Presidential and Vice-
charter or lease rate. The normal and an in-kind contribution as in 11 CFR
Presidential Candidates Accepting 100.93.
usual charge for travel aboard a non-
Public Funds The new law’s rates and conditions
commercial flight, however, may not be
as apparent. For example, there is Candidates for President of the United under which candidates may spend
generally not a ticket price for a seat campaign funds for aircraft travel differ
States may elect to receive matching
aboard a corporate jet that is operated depending on the office sought.
funds from the Federal government to
exclusively for the private travel of the Presidential and Senate candidates may
contest their primary elections and
corporation’s executives and their pay for their pro rata share of the fair
presidential nominees may elect to
guests. Because candidates for Federal market value of a flight, which is
receive public funding to contest the
office have traveled in the past on these determined by dividing the fair market
general election. In both cases, the value of the normal and usual charter
privately operated flights, the candidates must agree, among other
Commission has provided specific fare or rental charge for a comparable
things, to use the public funds they plane of comparable size by the number
guidance in its regulations regarding the receive solely for ‘‘qualified campaign
rate of reimbursement that candidates of candidates on board the plane. 2
expenses’’ and not to exceed specified U.S.C. 439a(c)(1). The authorized
and others must pay to avoid receiving
expenditure limits. 2 U.S.C. committees and leadership PACs of
an in-kind contribution for travel aboard
441a(b)(1)(A) and (B), 26 U.S.C. House candidates are, however,
such flights.
On December 15, 2003, the 9004(c)(1), 9038(b)(2). generally prohibited from using any
Commission promulgated final rules The Commission has promulgated campaign funds to pay for non-
adding 11 CFR 100.93. See Final Rules separate regulations at 11 CFR commercial flights, except for flights on
and Explanation and Justification for 9004.7(b)(5)(i) and (v), (b)(8), and aircraft operated by a Federal or State
Travel on Behalf of Candidates and 9034.7(b)(5)(i) and (v) and (b)(8), setting government entity. 2 U.S.C. 439a(c)(2).
Political Committees, 68 FR 69,583 (Dec. forth the appropriate reimbursement Aircraft owned by candidates or their
15, 2003) (‘‘2003 E&J’’). Those final rules rates that publicly funded candidates immediate family members are exempt
established an exception from the must use for campaign-related travel on from the prohibitions and rate
definition of contribution for payments non-commercial transportation. While requirements described above. 2 U.S.C.
at specified rates for non-commercial 11 CFR 100.93 is focused on the 439a(c)(3).
travel in connection with a Federal potential underpayment for travel
election. The payment required for non- III. Proposed 11 CFR 100.5(e)(6)—
resulting in a contribution, 11 CFR Definition of ‘‘Leadership PAC’’
commercial air travel by ‘‘campaign 9004.7 and 9034.7 are focused on the
travelers’’—a term that includes appropriate use of public funds, and The term ‘‘Leadership PAC’’ is
individuals traveling in connection with thus on whether, and to what extent, defined in section 204(a) of Public Law
elections for Federal office on behalf of expenses for campaign-related travel 110–81 (2 U.S.C. 434(i)(8)(B)) as ‘‘a
candidates or political committees, and constitute qualified campaign expenses political committee that is directly or
members of the news media traveling for which the candidate may use public indirectly established, financed,
with a candidate—depends on whether funds. The rates and recordkeeping maintained or controlled by [a]
the travel is between cities served by requirements for presidential and vice- candidate [for Federal office] or [an]
regularly scheduled commercial airline presidential candidates accepting public individual [holding Federal office] but
service, and whether that service is which is not an authorized committee of
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funds are the same as those in 11 CFR


available at a first-class or coach rate. 100.93 and are mainly set forth through the candidate or individual and which
See 11 CFR 100.93(a)(3)(i) and cross-references to 11 CFR 100.93. is not affiliated with an authorized
100.93(c). If travel between the origin committee of the candidate or
and destination cities is regularly served 2 If such is the case, then a first-class rate applies, individual, except that such term does
by commercial first-class airline service, drawn from the closest city with regular first-class not include a political committee of a
then a first-class rate applies. 11 CFR commercial service. 11 CFR 100.93(e)(1). political party.’’ The term ‘‘PAC’’ is an

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Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules 59955

acronym for ‘‘political action commercial air travel is provided in 11 committees, such as campaign staff. See
committee,’’ which is a term generally CFR 100.93, which provides an proposed 11 CFR 100.93(c)(1).
used to refer to all political committees exception to the definition of This interpretation is also consistent
other than authorized committees and ‘‘contribution’’ for non-commercial with the personal use prohibitions set
committees of a political party.3 travel if the service provider is out by Congress in 2 U.S.C. 439a(b) and
The new definition of leadership PAC reimbursed for the travel at the specified the Commission’s regulatory
is relevant to two areas of the new law rates. Several of the reimbursement rates interpretation of that section, which
that fall within the Commission’s permitted under current 11 CFR 100.93 apply to personal use by ‘‘any person.’’
purview: (1) The new restrictions on are inconsistent with the new statutory See, e.g., 11 CFR 113.1(g) (defining
candidate travel that would be requirements. For example, the statute personal use as ‘‘any use of funds in a
implemented through both proposed requires a candidate for President or campaign account of a present or former
sections 11 CFR 100.93 and 113.5, and U.S. Senate to reimburse the service candidate to fulfill a commitment,
(2) the disclosure requirements in provider at the comparable charter rate, obligation or expense of any person that
Section 204 of the new law for whereas current 11 CFR 100.93 allows would exist irrespective of the
contributions bundled by lobbyists. In reimbursement at the rate of the first candidate’s campaign or duties as a
the provision relevant to this class or coach airfare for campaign Federal officeholder’’) (emphasis
rulemaking, the new law generally travel between two cities served by added); see also Explanation and
prohibits ‘‘candidates for election for regularly scheduled commercial airline Justification for final rules regarding
the office of Representative in, or service. Therefore, the Commission is Expenditures; Reports by Political
Delegate or Resident Commissioner to, proposing conforming changes and Committees; Personal Use of Campaign
the Congress, an authorized committee clarifications in 11 CFR 100.93. Funds, 60 FR 7862, 7864 (Feb. 9, 1995)
and a leadership PAC’’ from making The Commission wishes to clarify (‘‘Section 439a states that no campaign
expenditures for non-commercial air that, although it is proposing changes to funds ‘may be converted by any person
travel. Public Law 110–81, section only some of the provisions in 11 CFR to any personal use.’ ’’). Thus, any use
601(a) (codified at 2 U.S.C 439a(c)(2)) 100.93, it may make further revisions to of campaign funds that would exist
(emphasis added). this section in its final rules, in response irrespective of the campaign or the
The Commission proposes to to any public comments and additional duties of a Federal officeholder is
incorporate a definition of ‘‘leadership information that it may receive personal use under current Commission
PAC’’ into 11 CFR 100.5, which is the regarding the proposed rules. The regulations, regardless of whether the
general definition of ‘‘political Commission therefore invites comments beneficiary is the candidate, a family
committee.’’ Specifically, ‘‘leadership on the entirety of 11 CFR 100.93 and is member of the candidate, or some other
PAC’’ would be added to the list of opening the entire section for comments person.
different types of political committees through this Notice of Proposed Moreover, the Commission notes that
in 11 CFR 100.5(e), with the new term Rulemaking. Commenters favoring Congress, in its amendments to the
added at 11 CFR 100.5(e)(6). The retention of current provisions of 11 Senate rules, set out an approach to
proposed definition mirrors the CFR 100.93 should submit comments to reimbursement for non-campaign travel
definition in the new law. that effect. Conversely, those preferring that includes all Congressional staff, not
The Commission proposes to additional changes to 11 CFR 100.93 just the Federal officeholders
beyond those proposed should submit themselves. That amendment requires
incorporate the definition of ‘‘leadership
comments to that effect. In particular, reimbursement for non-commercial
PAC’’ into the general definition section
the Commission seeks comments on the travel aboard aircraft at the normal and
in 11 CFR Part 100, rather than within
extent to which new 2 U.S.C. 439a(c) usual charter rate for a comparable
the travel rules themselves, to promote
should be implemented solely through aircraft of comparable size, ‘‘as
consistency and economy within the
revisions to 11 CFR 100.93, rather than determined by dividing such cost by the
structure of its regulations.
through the addition of 11 CFR 113.5. number of Members, officers, or
The definition will impact several
sections of the Commission’s a. General Scope of Rule—Travel on employees of Congress on the flight.’’
regulations, including proposed 11 CFR Behalf of Candidates Public Law 110–81, Section 544(c)(1),
100.93, 11 CFR 113.5, and the new New 2 U.S.C. 439a specifies that ‘‘a amending Paragraph 1(c)(1) of rule
bundling regulations the Commission candidate for election for Federal office XXXV of the Standing Rules of the
intends to promulgate in a separate * * * or any authorized committee of Senate (emphasis added).
rulemaking. The Commission seeks such a candidate, may not make any The Commission seeks comments on
comments on the content and placement expenditure for a flight on an aircraft this proposed interpretation of the new
of this new definition. unless—* * *’’ 2 U.S.C. 439a(c)(1) law. Is there any evidence that suggests
(emphasis added). Given the inclusion that Congress intended to exclude
IV. Proposed Revisions to 11 CFR campaign staff, or others traveling on
100.93—Payment for Travel Aboard of authorized committees in this
language, the proposed rule, consistent the candidate’s behalf, from the general
Aircraft and Other Means of scope of the rule?
Transportation with the current rule, would apply to
the same range of individuals covered A. Proposed 100.93(a)—Scope and
The majority of the Commission’s by the term ‘‘campaign traveler’’ in the Definitions
current guidance regarding non- current rule. Campaign traveler is
defined in part as ‘‘any individual 1. Proposed 11 CFR 100.93(a)(3)(i)—
3 The term ‘‘PAC’’ has not been a term of art in
traveling in connection with an election Definition of ‘‘Campaign Traveler’’
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the law or in Commission regulations. PACs


sponsored by a corporation or a labor organization for Federal office on behalf of a A ‘‘campaign traveler’’ is defined as
are generally described in the Commission’s candidate.’’ 11 CFR 100.93(3)(i)(A). In ‘‘[a]ny individual traveling in
regulations as separate segregated funds (‘‘SSFs’’). other words, the proposed rule would connection with an election for Federal
See 2 U.S.C. 441b(b)(2)(C); 11 CFR 100.5(b). PACs
that lack corporate or labor sponsorship are referred
apply to travel by candidates office on behalf of a candidate or
to in the regulations as ‘‘nonconnected themselves, and also those traveling on political committee’’ and ‘‘[a]ny member
committees.’’ See, e.g., 11 CFR 104.10 and 106.6(a). behalf of candidates or their authorized of the news media traveling with a

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59956 Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules

candidate.’’ 11 CFR 100.93(a)(3)(i). The additional guidance in the form of reimbursement rate also would not
Commission proposes to add ‘‘Any references to FAA regulatory provisions apply when a candidate or
candidate for Federal office or’’ at the be helpful in discerning what aircraft representative of the candidate is
beginning of that definition to clarify qualify as ‘‘non-commercial travel,’’ or traveling on behalf of another committee
that a candidate himself or herself is the proposed language sufficiently (such as a political party committee),
would be included within the definition clear? In addition, the Commission rather than on behalf of the candidate’s
of ‘‘campaign traveler.’’ The seeks comments on whether additional own campaign. Reimbursement for a
Commission seeks comments on this explanation should be provided to candidate’s travel on behalf of another
proposed clarification and whether any address flights conducted in foreign committee is the responsibility of the
additional changes to the definition countries and, if so, what it should be. committee on whose behalf the travel
would be appropriate. The Commission also seeks comments occurs, at the appropriate
on whether the definitions of reimbursement rate for that committee
2. Proposed 11 CFR 100.93(a)(3)(iv) and ‘‘commercial travel’’ and ‘‘non- as set forth in proposed 11 CFR
(v)—Definitions of ‘‘Commercial Travel’’ commercial travel’’ should specifically 100.93(c).
and ‘‘Non-Commercial Travel’’ address more complex multiple
The Commission’s current regulations ownership or leasing arrangements, 1. Application of Proposed Rule
distinguish between commercial and such as arrangements in which some of Candidate A, Candidate B, and
non-commercial air travel based on the the owners of an aircraft are commercial Candidate B’s campaign manager travel
certification system of the Federal operators certificated by the FAA but on a plane on behalf of their respective
Aviation Administration (FAA). others are not. campaigns, along with PAC
Specifically, the Commission’s rules in Representative P traveling on behalf of
11 CFR 100.93 apply to all airplanes not B. Proposed 11 CFR 100.93(c)(1)—Non- the PAC. The pro rata share of the fair
licensed by the FAA to operate for Commercial Air Travel by Candidates market value of the flight would be
compensation or hire under 14 CFR for President, Vice-President, and U.S. determined by dividing the normal and
parts 121, 129, or 135. 11 CFR Senate usual charter rate for the plane by two
100.93(a)(1)(i). New 2 U.S.C. 439a(c)(1)(B) requires because there are two candidates
The new law’s restrictions on candidates for President, Vice President, represented on the flight (Candidate A
expenditures for air travel by and U.S. Senate to pay their ‘‘pro rata and B). Each candidate, or the
presidential and U.S. Senate candidates share of the fair market value’’ of non- candidate’s authorized committee,
are focused on the FAA’s certification commercial flights aboard aircraft. The would therefore be required to pay 50%
and safety requirements, but do not pro rata share is ‘‘determined by of the charter rate to avoid receiving an
reference specific FAA regulatory dividing the fair market value of the in-kind contribution from the non-
provisions. In order to simplify and normal and usual charter fare or rental commercial aircraft’s owner. Because
align the Commission’s regulations with charge for a comparable plane of the full costs of the flight would be
the new statutory language, the comparable size by the number of reimbursed by the candidate travelers
Commission is proposing to replace its candidates on the flight.’’ Id. Because (i.e., Candidate A and Candidate B), and
reliance on specific FAA regulatory the statutory language is specific that the candidate committees would fully
provisions with the new terms the ‘‘number of candidates on the flight’’ compensate the aircraft’s owner for the
‘‘commercial travel’’ and ‘‘non- determines the ‘‘pro rata share,’’ the costs of the flight, PAC Representative
commercial travel.’’ The definition of Commission proposes to define ‘‘pro P’s travel would not need to be
‘‘commercial travel’’ would follow the rata share of the fair market value of a reimbursed. The Commission invites
new statutory language: travel aboard an flight’’ based solely on the number of comment on whether this result—PAC
aircraft ‘‘operated by an air carrier or candidates on the flight, regardless of Representative P traveling without
commercial operator certificated by the whether there are other campaign paying fair market value for the cost
Federal Aviation Administration if the travelers or passengers aboard. associated with her travel—should be
flight is required to be conducted under Moreover, because the statutory treated as an in-kind contribution to the
air carrier safety rules, or, in the case of language applies to expenditures made PAC from one or more of the candidates
travel which is abroad, by an air carrier not only by candidates, but also by paying for the cost of the flight. If so,
or commercial operator certificated by authorized committees, the Commission what would the value be? If the value
an appropriate foreign civil aviation proposes to define ‘‘pro rata share’’ of the travel by a non-candidate traveler
authority if the flight is required to be based on the number of candidates is a reportable expenditure by one or
conducted under air carrier safety represented on a flight. See proposed 11 more of the candidates when the non-
rules.’’ Proposed 11 CFR CFR 100.93(c)(1) and (3). A candidate is candidate traveler is the representative
100.93(a)(3)(iv). Conversely, the represented on a flight if a person is of a political committee, should the
proposed definition of ‘‘non-commercial traveling on behalf of that candidate, the expenditure also be a reportable
air travel’’ would encompass travel not candidate’s authorized committee, or expenditure if the non-candidate
included in the definition of the candidate’s leadership PAC.4 See traveler is not a political committee
‘‘commercial travel.’’ Proposed 11 CFR proposed 11 CFR 100.93(c)(1). This representative? Does it matter whether
100.93(a)(3)(v). reimbursement rate does not apply to the non-candidate traveler is traveling at
The Commission seeks comments on travel aboard government aircraft or the invitation of one of the candidates
these proposed definitions. Is there any aircraft owned by a candidate or a or at the invitation of the service
difference between the universe of member of candidate’s immediate provider?
aircraft encompassed by the new term Repayment under the proposed rule
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family, which are covered under


‘‘non-commercial travel’’ and the proposed section 100.93(e) and (g), would not vary based on the number of
aircraft included in current 11 CFR respectively, and discussed below. See non-campaign travelers on the plane.
100.93(c) (‘‘an airplane not licensed by subsections F and G of this section. This For example, Candidate A, Candidate B,
the Federal Aviation Administration to Candidate B’s campaign manager and
operate for compensation or hire under 4 See discussion of leadership PACs in subsection PAC Representative P travel on a
14 CFR parts 121, 129, or 135’’)? Would E.4 of this section. twenty-seat plane with six other

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Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules 59957

passengers that are not campaign with one passenger each, would pay that can seat one passenger. Similarly,
travelers. Candidate A and Candidate B 25% each, while Candidate B, with two Candidate B would be required to pay
would still be required to pay 50% each passengers would be responsible for the normal and usual cost of a
of the entire normal and usual charter 50% of the charter rate. ‘‘comparable plane’’ that can seat two
fare or rental charge for a ‘‘comparable Under this alternative, the repayment passengers.
plane’’ seating twenty passengers. would also vary based on the number of The Commission seeks comments on
Because the candidate committees non-campaign travelers on the plane. this approach and the presented
would fully compensate the aircraft’s For example, Candidate A, Candidate B, alternatives. In addition, the
owner for the costs of the flight, PAC Candidate B’s campaign manager, and Commission seeks comments on any
Representative P and the six additional PAC Representative P travel on a other calculations that might be more
travelers would not be required to twenty-seat plane with six other appropriate.
provide reimbursement. passengers who are not candidates or
C. Proposed 11 CFR 100.93(c)(2)—Non-
are not traveling on behalf of
2. Per Represented Committee Commercial Air Travel by Candidates
candidates. Because Candidate A was
Alternative for the House of Representatives
only one passenger among ten,
As an alternative, the Commission Candidate A would be required to pay New 2 U.S.C. 439a(c)(2) states that ‘‘in
proposes requiring reimbursement 10% of the normal and usual charter the case of a candidate for election for
based on the number of represented fare or rental charge for a ‘‘comparable the office of Representative in, or
committees of any type, rather than the plane’’ seating twenty passengers. Delegate or Resident Commissioner to,
number of represented candidates or Candidate B, with two passengers, the Congress [hereinafter ‘‘House
candidate committees. The Commission would pay 20%, and PAC, with one candidates’’], an authorized committee
proposes two variations of this passenger, would pay 10%. and a leadership PAC of the candidate
alternative. may not make any expenditure’’ for
(a) For example, Candidate A, 4. Comparable Aircraft Alternative non-commercial air travel, with
Candidate B, and Candidate B’s As a further alternative, the exceptions for travel on government
campaign manager travel on a plane on Commission proposes to follow the airplanes and aircraft owned by the
behalf of their respective campaigns, approach in its current regulations and candidate or members of the candidate’s
along with PAC Representative P permit reimbursement at the normal and immediate family. Both exceptions are
traveling on behalf of the PAC. The pro usual charter rate or rental charge for an discussed below. The effect of this
rata share of the fair market value of the aircraft of sufficient size to carry the provision is generally to prohibit travel
flight would be determined by dividing campaign travelers. See current 11 CFR by House candidates on non-
the normal and usual charter rate for the 100.93(c)(3) (requiring reimbursement of commercial aircraft. Proposed 11 CFR
plane by three because there are three ‘‘the normal and usual charter fare or 100.93(c)(2)(i) would reflect new 2
represented committees on the flight rental charge for a comparable U.S.C. 439a(c)(2) by prohibiting
(Candidate A, Candidate B, and PAC). commercial airplane of sufficient size to expenditures by House candidates for
Each committee would be required to accommodate all campaign travelers’’). non-commercial travel on behalf of that
pay 33% of the charter rate to avoid Under this approach, the campaign candidate, the candidate’s authorized
receiving an in-kind contribution from committee would be responsible for committee, or the candidate’s leadership
the aircraft’s owner. paying the normal and usual charter rate PAC. The new law expressly applies to
(b) Using the same hypothetical for a plane of sufficient size to seat its expenditures by authorized committees
situation set forth above, PAC campaign travelers, rather than the rate and leadership PACs of House
Representative P would then have the for a plane comparable (in terms of candidates, including expenditures
option of paying either 33% of the seating capacity) to the one flown. For made by the candidates themselves on
calculated charter rate, or the amount example, Candidate A, Candidate B, behalf of their authorized committees.
that would be required under current 11 Candidate B’s campaign manager, and Proposed 11 CFR 100.93(c)(2) would
CFR 100.93. PAC Representative P travel on a apply not only to House candidates, but
twenty-seat plane with six other also to persons traveling on behalf of
3. Per Passenger Alternative passengers who are not candidates and such candidate, the candidate’s
As an alternative, the Commission are not traveling on behalf of authorized committee, or the
proposes requiring reimbursement only candidates. Under this approach, candidate’s leadership PAC. This
for the portion of the normal and usual Candidate A, Candidate B, Candidate prohibition does not apply when the
charter rate that reflects the number of B’s campaign manager, and PAC travel would not be considered an
candidate representatives as a Representative P would collectively be expenditure by the candidate,
percentage of all passengers on the responsible for reimbursing the aircraft’s candidate’s authorized committee, or
aircraft. owner an amount equivalent to the candidate’s leadership PAC. For
For example, Candidate A, Candidate normal and usual charter fare or rental example, travel by a House candidate on
B, and Candidate B’s campaign manager charge for a ‘‘comparable plane’’ that behalf of a non-House candidate, party
travel on a plane on behalf of their could seat four passengers. Each committee, or non-candidate committee
respective campaigns, along with PAC candidate or committee must pay its pro would be required to be reimbursed by
Representative P traveling on behalf of rata share of that amount. such other committee at the respective
the PAC. The pro rata share of the fair Under a variation of this alternative, rate set forth for travel on behalf of that
market value of the flight would be each campaign traveler would be candidate or committee. The
determined by dividing the normal and required to pay the normal and usual
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Commission seeks comment on this


usual charter rate for the plane by four charter fare or rental charge for a approach.
because there are four passengers on the ‘‘comparable plane’’ able to The Commission seeks comments on
flight. Each passenger would therefore accommodate only himself and those the treatment of House candidate travel
be required to pay 1⁄4, or 25%, of the traveling on his behalf. Thus, Candidate in proposed 11 CFR 100.93(c)(2).
charter rate to avoid receiving a A would be required to pay the normal Should House candidates be permitted
contribution. Candidate A and PAC, and usual cost of a ‘‘comparable plane’’ to travel on non-commercial aircraft on

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59958 Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules

behalf of their own campaigns if the cost manner as reimbursement for travel on Commission notes that this might result
of the travel is provided as a permissible behalf of Senate, Vice Presidential, or in the service provider being paid more
in-kind contribution? For example, if Presidential candidates under proposed than the fair market value of the flight.
the travel was provided by a permissible 11 CFR 100.93(c)(1). For example, if a Does the possibility of such
source and the costs of the travel were non-commercial flight carried two PAC ‘‘overcompensation’’ to the service
below the contribution limit, should a A campaign travelers and one PAC B provider represent a concern under
non-candidate committee be able to campaign traveler, each PAC would be FECA? And, if so, in what way?
reimburse the travel costs as an in-kind responsible for 50% of the fair market The Commission seeks comment on
contribution to the candidate? The value of the flight. this approach. Should the Commission
proposed expenditure regulations, This rate does not apply when the interpret the fact that new 2 U.S.C.
discussed below, prohibit such in-kind travel is shared with a candidate or 439a(c) does not address non-candidate
contributions. See proposed 11 CFR person traveling on behalf of a travel as a form of legislative
113.5(b). If in-kind contributions are candidate. The Commission is acquiescence to the Commission’s
allowed, at what rate should their value proposing this alternative to avoid current regulations on non-candidate
be calculated for reimbursement and permitting outside organizations to travel reimbursement? Do the first class
reporting purposes? subsidize a candidate’s travel. Travel on and coach air fare rates reflect the fair
an aircraft that includes a campaign market value of the services provided?
D. Proposed 11 CFR 100.93(c)(3)—Non- traveler flying on behalf of a candidate, Should the Commission adopt a
Commercial Air Travel by Other candidate’s authorized committee, or different reimbursement rate for non-
Campaign Travelers candidate’s leadership PAC, must be candidate travel, such as the per
The Commission proposes two fully reimbursed by that candidate, committee or per passenger alternatives
alternatives with respect to non- candidate’s committee or, when discussed above?
commercial air travel by non-candidate permissible, the candidate’s leadership
campaign travelers. PAC. No reimbursement would be E. Additional Proposed Revisions to 11
required by the non-candidate travelers. CFR 100.93
Alternative 1
See proposed 11 CFR 100.93(c)(3). For 1. Members of the Media and Security
The Commission notes that the non- example, if a non-commercial flight Personnel
candidate reimbursement rate is not carried two PAC A campaign travelers,
addressed in new 2 U.S.C. 439a(c).5 one PAC B campaign traveler, and Members of the news media
These proposed changes are intended to Senator A, traveling on behalf of his or ‘‘traveling with a candidate’’ for Federal
promote uniformity and simplicity in her campaign, Senator A or Senator A’s office are expressly included within the
the regulation, and make the regulation campaign committee would be definition of ‘‘campaign traveler’’ in the
easier to understand. The Commission’s responsible for the full fair market value Commission’s current rules. See 11 CFR
long-standing travel regulations of the flight. PAC A and PAC B would 100.93(a)(3)(i)(B). The Commission is
addressed travel only by candidates or not have to reimburse for the flight not proposing changes to this definition.
on behalf of candidates. See former 11 costs. Under the current rules, when a member
CFR 114.9(e). In 2003, the Commission The Commission invites comment on of the media is traveling with a
extended its travel regulations to cover whether this result should be treated as candidate, that candidate’s committee is
all travel in connection with a Federal an in-kind contribution to the PACs ultimately responsible for paying the
election, stating, ‘‘By establishing a from Senator A. Does it matter whether service provider for the full costs of the
single rate for travel reimbursement, the or not the non-candidate travelers are travel, but may seek reimbursement
new rules will promote greater representatives of political committees? from the media for the media’s portion
uniformity among all individuals If the value of the travel by the non- of the travel expenses.6 The
traveling in connection with a Federal candidate travelers is a reportable Commission proposes to revise 11 CFR
election on behalf of a political expenditure by Senator A when the 100.93(b)(1)(iii) to ensure that members
committee.’’ non-candidate travelers are political of the media would not be permitted to
Against this background, as one committee representatives, should the relieve the candidates with whom they
alternative, the Commission is expenditure also be a reportable travel from responsibility for paying the
proposing changes to the current expenditure if the non-candidate service provider the full normal and
reimbursement rate for campaign travelers are not political committee usual charter rate or rental charge for
travelers who are not traveling on behalf representatives? Does it matter whether travel on an aircraft, pursuant to
of candidates. For example, this rate the non-candidate travelers are traveling proposed 11 CFR 100.93(c)(1). Members
would apply to individuals traveling on at the invitation of Senator A or at the of the media would still be permitted to
behalf of a political party committee, invitation of the service provider? reimburse the service provider for travel
SSF, or nonconnected committee. Under on conveyances other than aircraft. The
Alternative 2 Commission seeks comments on this
the proposed rule, the provider must be
reimbursed at the pro rata share of the Under this alternative, the approach. Should the Commission
fair market value of such travel. Commission proposes to retain the instead continue to allow
Proposed 11 CFR 100.93(c)(3). The pro existing reimbursement rate structure reimbursement from members of the
rata share is based on the number of for non-candidate travel. Because non-
different committees represented on the candidate travel is not addressed in the 6 ‘‘If a member of the news media elects to have

new law, the existing rate structure the candidate’s authorized committee pay for the
flight, and is calculated in the same media’s travel rather than paying the service
would remain the same for all campaign
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provider directly, he or she may do so and the


5 The statute does address payments by political travelers not traveling on behalf of a candidate’s authorized committee is permitted to
committees other than authorized committees in candidate or that candidate’s authorized seek reimbursement from the media. Ultimately it
describing the reimbursement rate for Senate, Vice committee (i.e., campaign travelers is the candidate’s responsibility to ensure that the
Presidential, and Presidential candidates. See 2 service provider is reimbursed for the value of the
U.S.C. 439a(c)(1)(B) (‘‘the candidate, the authorized
traveling on behalf of political party transportation provided to all persons traveling
committee, or other political committee pays committees, SSFs, and other non- with the candidate.’’ 2003 E&J at 69586. See also
* * *’’) (emphasis added). authorized committees). The 11 CFR 9004.6 and 9034.6.

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Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules 59959

media for travel on aircraft? At what rate market value of a ‘‘comparable plane of and 9034.7, discussed below, would
should this reimbursement take place, comparable size’’ for purposes of continue to incorporate the section
for example, should it be calculated at calculating the appropriate charter rate. 100.93 rates by reference and thereby
a portion of the charter rate or at a first The Commission interprets ‘‘comparable indicate that they also apply to
class rate? size’’ as an aircraft with similar physical candidates who have accepted public
Security personnel are treated dimensions that is able to carry a similar funds. One important distinction,
differently under the Commission’s number of passengers.7 however, is that a presidential candidate
current rules. Under the current rules, The Commission interprets accepting public funds for the general
security personnel are not necessarily ‘‘comparable plane’’ as an aircraft of election is prohibited from receiving
considered ‘‘campaign travelers,’’ but similar make and model as the airplane any in-kind contribution from any
could qualify as such depending on the that actually makes the trip, with the person, which would include an in-kind
nature of any additional services that same amenities as that airplane. This contribution of non-commercial air
they provide a candidate. Compare 11 interpretation is consistent with the travel.
CFR 100.93(a)(3)(i)(A) with 100.93(c)(3) Commission’s current interpretation of a The Commission seeks comments on
and (d). For example, if Secret Service similar term, ‘‘comparable commercial the proposed application of the new
personnel travel with a candidate for airplane,’’ in the current rules. See 11 rules to publicly financed presidential
Federal office to the candidate’s CFR 100.93(c)(3); see also proposed 11 and vice-presidential candidates.
fundraiser aboard a government CFR 100.93(c)(3)(iii). As explained in 4. Travel on Behalf of Leadership PACs
airplane, the candidate’s authorized the 2003 E&J: of Senate, Presidential, and Vice-
committee would not be required to pay
a ‘‘comparable commercial airplane’’ means Presidential Candidates
for the Secret Service member’s travel an airplane of similar make and model as the
under the current rules unless the Secret airplane that actually makes the trip, and
Under new 2 U.S.C. 439a(c),
Service agent otherwise qualified as a with the same amenities as that airplane. For payments by leadership PACs of House
campaign traveler or the flight was example, in Advisory Opinion 1984–48, the candidates are subject to the same
required to be reimbursed at the usual Commission interpreted a comparable restrictions as payments by authorized
charter rate. See current 11 CFR airplane as being ‘‘of the same type (e.g., jet committees of House candidates. See 2
100.93(c)(3) (calculation of the usual aircraft versus prop plane) and services U.S.C. 439a(c)(2). In contrast, new 2
charter rate requires ‘‘comparable offered (e.g., plane with dining service or U.S.C. 439a(c) is silent with respect to
lavatory versus one without)’’ as the plane leadership PACs of Senate candidates
commercial conveyance of sufficient actually used. The Commission further
size to accommodate all campaign explained that when a candidate used a twin
and Federal officeholders with
travelers * * * and security personnel’’) engine prop jet, a single engine, prop aircraft leadership PACs who are also
(emphasis added) and 11 CFR would not be a comparable aircraft. The term presidential or vice-presidential
100.93(e)(1)(ii). Committees can then ‘‘comparable commercial airplane’’ is candidates.
seek reimbursement from the Secret intended to require these distinctions as well The Commission proposes to apply
Service for their portion of the travel as other differences such as when a plane is the new reimbursement rates to travel
expenses. See, e.g., Advisory Opinion chartered with a crew or without, or with or on behalf of a Senate candidate’s
1992–38 (Clinton/Gore) (loan proposal without fuel. leadership PAC. See 11 CFR
premised on reimbursement from the 2003 E&J at 69588–69589. 100.93(c)(1). The Commission seeks
Secret Service); see also 11 CFR 9004.6 The Commission seeks comments on comment on this approach.
and 9034.6. this approach. Alternatively, should the Commission
Under the proposed rules, when decline to extend the new
security personnel travel with a 3. Presidential and Vice-Presidential reimbursement rate structure to travel
candidate or person traveling on behalf Candidates Accepting Public Financing on behalf of a Senate candidate’s
of a candidate, that candidate’s The Commission proposes to continue leadership PAC because the new law
committee would be responsible for the its policy of promoting equal treatment does not explicitly do so?
full costs of the travel. See proposed 11 of travel by publicly financed
CFR 100.93(c)(1). However, if the travel 5. Commercially Reasonable Time
candidates and presidential or vice-
occurs on a government aircraft, the Frame
presidential candidates who have not
security personnel would not be accepted public funds. Therefore, Candidates for President, Vice-
included in the calculation. See proposed 11 CFR 100.93(c)(1) would President, and the U.S. Senate must pay
proposed 11 CFR 100.93(e)(1). Should apply directly to presidential and vice- their pro rata share of non-commercial
the Commission allow reimbursement presidential candidates who have not travel on aircraft ‘‘within a
from security personnel for travel on accepted public funds, while the commercially reasonable time frame
non-commercial, non-governmental proposed revisions to 11 CFR 9004.7 after the date on which the flight is
aircraft? At what rate should this taken.’’ 2 U.S.C. 439a(c)(1)(B). Proposed
reimbursement take place, for example, 7 The Commission’s current rules at 11 CFR 11 CFR 100.93(c) would define the
should it be calculated at a portion of 100.93 distinguish between travel aboard an statutory ‘‘commercially reasonable time
‘‘airplane’’ and travel aboard all other conveyances, frame’’ as a seven-day time frame
the charter rate or at a first class rate? including helicopters. See 11 CFR 100.93(a)(3)(ii)
Under current regulations, how and (definition of ‘‘service provider’’ focuses on ‘‘person beginning on the first day of the flight.
under what circumstances do who makes the airplane or other conveyance The proposed approach would be
committees seek reimbursement for available’’), 11 CFR 100.93(c) (‘‘travel by airplane’’) located in the introductory clause of 11
and 11 CFR 100.93(d) (‘‘other means of CFR 100.93(c) and thus would be
travel expenses from the U.S. Secret transportation’’ includes ‘‘any other means of
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Service? transportation’’ and specifically lists helicopters). applicable to all payments required
For internal consistency and to promote uniformity under that paragraph. The Commission
2. ‘‘Comparable Plane of Comparable within its regulations and avoid confusion, the seeks comment on this approach.
Size’’ Commission proposes to replace all references to Is seven days a ‘‘commercially
‘‘airplanes’’ in 11 CFR 100.93 with ‘‘aircraft.’’ The
New 2 U.S.C. 439a(c)(1)(B) requires primary impact would be that travel aboard a
reasonable time frame’’ for
that the candidate or the candidate’s helicopter would be reimbursed at the pro rata reimbursement or is it too short a
authorized committee use the fair share of the fair market value of the flight. period? Would another time period for

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59960 Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules

reimbursement be more appropriate or travel by candidates and candidate With respect to campaign travel
reasonable? Should the Commission representatives, and either rate would aboard Air Force One or other
instead establish the seven-day period be acceptable. government aircraft dedicated to
(or some other period) as a safe harbor, The first proposed rate of transporting the Vice President, the
and consider longer periods on a case- reimbursement, which would be similar Speaker of the House of Representatives,
by-case basis to determine if the to current 11 CFR 100.93(c)(1), would be or other such officials, the Commission
‘‘commercially reasonable time frame’’ the pro rata share per represented intends that the reimbursement amount
requirement was satisfied? candidate of the normal and usual under this proposal would be
charter fare or rental charge for the flight determined with reference to an aircraft
F. Proposed 11 CFR 100.93(e)— on a comparable aircraft of sufficient
Government Conveyances of sufficient size to accommodate the
size to accommodate all of the campaign campaign travelers, and excluding all
The Commission’s current rules at 11 travelers. The pro rata share would be non-campaign-related personnel and
CFR 100.93(e) require reimbursement determined by dividing the normal and equipment. The Commission
for travel aboard airplanes owned by the usual charter fare by the number of acknowledges that it may be difficult, if
Federal government, or by any State or different candidates represented on the not impossible, to apply the
local government entity, at the same rate flight, regardless of the total number of ‘‘comparable plane of comparable size’’
as travel aboard other airplanes (i.e., the campaign travelers or other passengers. standard to circumstances in which the
rate for a first-class or coach ticket Under this proposal, the ‘‘comparable campaign traveler travels exclusively
aboard a commercial flight if the travel aircraft’’ used for determining the aboard a specially-outfitted,
is between two cities served by regularly required reimbursement amount would government-owned aircraft by virtue of
scheduled commercial airline service, or not be required to accommodate the his or her status as an officeholder. For
the equivalent charter rate if there is no non-campaign related passengers and example, few, if any, aircraft exist with
such service between the cities).8 Non- equipment aboard the aircraft. For the ‘‘same amenities’’ as Air Force One.
commercial campaign travel aboard example, if Presidential Candidate A, See proposed 11 CFR 100.93(e)(1)(i).
other government conveyances is also two campaign staffers traveling on The second proposed rate of
required to be reimbursed at the same behalf of Presidential Candidate A, two reimbursement would be the private
rate as travel aboard equivalent means members of the Secret Service, and PAC traveler reimbursement rate per
of transportation not owned by a representative P, travel on a twenty-seat campaign traveler. This rate would be
government entity. 11 CFR 100.93(e)(2). government aircraft, reimbursement the rate specified by the Federal, State,
New 2 U.S.C. 439a(c) generally would be required at the normal and or local government agency or other
prohibits candidates for the U.S. House usual charter rate for comparable government entity for private travel on
of Representatives from using campaign aircraft of sufficient size to
funds for non-commercial campaign its aircraft by a member of the public.
accommodate four passengers The Department of Defense, for
travel, but provides an exception for (Presidential Candidate A, his two
travel aboard an aircraft ‘‘operated by an example, publishes a list of hourly
campaign staffers, and PAC reimbursement rates for both fixed-wing
entity of the Federal government or the representative P; the two Secret Service
government of any State.’’ 2 U.S.C. aircraft and helicopters and includes an
agents would not be counted). ‘‘All Other User’’ rate.10 Using the
439a(c)(2)(B). The new law does not Presidential Candidate A would pay the
specify any particular rate of private traveler reimbursement rate, the
full charter rate, and PAC representative
reimbursement for travel aboard reimbursement rate is calculated by
P would not be required to reimburse
government aircraft, nor does it dividing the private traveler
for his or her travel. The Commission
explicitly require or prohibit reimbursement rate by the number of
seeks comment on this approach.
reimbursement for such travel.9 campaign travelers. Reimbursement
Specifically, do non-candidate
Proposed 11 CFR 100.93(e) would would not be required for national
campaign travelers use government
require all campaign travelers, including security staff or other government
aircraft when not accompanied by a
candidates for Federal office and those officials on the flight that are not
candidate, or person traveling on behalf
traveling on their behalf, who travel on campaign travelers. The Commission
of a candidate? At what rate should
aircraft provided by a Federal or State seeks comment on this approach.
travel on a government plane that does
government entity (including local not include any candidate-related Should the campaign traveler be
governments), to reimburse the campaign travelers be calculated? permitted to reimburse the government
appropriate government entity for the The Commission seeks comments on entity at a lower rate specified by the
travel. See proposed 11 CFR 100.93(e). a variation of this first reimbursement government entity, such as the rate
The proposed rules set out two rate, in which Presidential Candidate A offered by some government agencies to
alternative rates of reimbursement for and PAC representative P would each be travelers of other government agencies?
responsible for the full cost of the Should the regulations offer a choice
8 Travel to or from a military airbase or other normal and usual charter rate for an between alternative acceptable
location not accessible to the general public is aircraft of sufficient size to valuation methods, or should the
treated as travel from the nearest city with
accommodate only those campaign Commission adopt a single method of
regularly-scheduled commercial airline service. 11 determining the reimbursement rate?
CFR 100.93(e)(1)(i). travelers who are traveling on their
9 The Commission notes that Public Law 110–81 behalf. Under this variation, The Commission recognizes that
also amends the Senate ethics rules regarding Presidential Candidate A would pay the campaign travel aboard government
travel. These amendments similarly require normal and usual charter rate for an conveyances such as Air Force One and
Senators to pay this pro rata share of the fair market Air Force Two present special
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value of a flight for non-commercial travel. See


aircraft capable of accommodating three
Public Law 110–81, Sec. 544(c)(1), amending campaign travelers: Candidate A and his circumstances. Therefore, the
Paragraph 1(c)(1) of rule XXXV of the Standing two staffers. PAC representative P
Rules of the Senate. These amendments, however, would be required to pay only the 10 See Fiscal Year 2008 Reimbursement Rates,

expressly except from these restrictions any travel available at http://www.defenselink.mil/


aboard ‘‘an aircraft owned or leased by a
normal and usual charter rate for an comptroller/rates/fy2008/2008_f.pdf and http://
governmental entity.’’ Standing Rules of the Senate, aircraft of sufficient size to carry one www.defenselink.mil/comptroller/rates/fy2008/
Rule XXXV, Paragraph 1(c)(1)(C)(iii). passenger. 2008_h.pdf.

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Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules 59961

Commission requests comment on how reimbursement for aircraft owned by for calculating the appropriate
it should address Air Force One and Air candidates and their immediate family reimbursement rate?
Force Two in its regulations. at the rates set forth in the Because the exception in 2 U.S.C.
The proposed rules would not specify Commission’s existing rules, which 439a(c)(3) for travel on aircraft owned
a particular time for repayment for would be moved to 11 CFR by candidates or members of their
travel on government aircraft under 100.93(g)(1)(i) through (iii): first-class, immediate family functions to permit
either of the alternative rates. Should coach, or charter rates, depending on otherwise restricted or prohibited
the Commission require payment within whether the origin and destination cities expenditures by candidates and their
a specific time period, such as seven are served by regularly scheduled committees, the Commission proposes
days, as for travel on other aircraft commercial airline service. The charter to limit the exception to travel by
under proposed 11 CFR 100.93(c)? rate would be required only if the travel candidates or persons traveling on
G. Proposed 11 CFR 100.93(g)— is between two cities not served by behalf of candidates. Thus, proposed 11
Exception for Aircraft Owned by Federal regularly scheduled first class or coach CFR 100.93(g) would cover travel on an
Candidates and Their Family Members commercial airline service. aircraft owned by a candidate, the
1. Incremental Cost Alternative candidate’s immediate family member,
The amendments to 2 U.S.C. 439a or an entity other than a public
include an exception for travel aboard As an alternative, the Commission corporation in which the candidate or
aircraft that are ‘‘owned or leased’’ by a proposes that such travel be reimbursed immediate family member has an
candidate or candidate’s immediate at the actual incremental cost of such ownership interest. The exception
family member, including an aircraft travel. For example, in the case of a would not, however, be available for
owned or leased by any entity in which candidate piloting his or her own other candidates traveling on behalf of
the candidate or a member of the aircraft to a campaign event, the rate of their own campaigns.12 The
candidate’s immediate family ‘‘has an reimbursement would be the actual cost Commission seeks comment on this
ownership interest,’’ provided that the of fuel and any incremental costs such approach.
entity is not a ‘‘public corporation’’ and as landing fees. Depreciation or the In addition, the exception in new 2
the use of the aircraft is not ‘‘more than candidate’s piloting services would not U.S.C. 439a(c)(3) includes several terms
the candidate’s or immediate family be included in the reimbursement warranting clarification. First, the term
member’s proportionate share of calculation. However, under this ‘‘ownership interest’’ is not defined. The
ownership allows.’’ 2 U.S.C. alternative, if a pilot or crew were Commission proposes to interpret the
439a(c)(3)(A). The exception would employed for the flight, the cost of their term ‘‘ownership interest’’ to include
operate as an exception to all of the services would be included in the fractional ownership, equity, or use
restrictions on expenditures for air reimbursement rate. Should arrangements, as well as ‘‘time-sharing’’
travel in new 2 U.S.C. 439a(c). See reimbursement not be required if the arrangements in which the candidate or
discussion of proposed 11 CFR 113.5. pilot or crew (including family an immediate family member pays a fee
The Commission seeks comment on this members) are volunteers for the for a specified amount of travel on the
approach. candidate or campaign committee? aircraft.
While the new exception relieves the
2. Actual Value Alternative The Commission proposes to interpret
restrictions on expenditures, it does not
the term ‘‘public corporation’’ as
relieve candidates of the obligation to In the case of travel on an aircraft that applying to any corporation with
reimburse the service providers is owned or leased under a shared- publicly traded shares. Therefore,
(candidates, members of their family, or ownership or other time-share aircraft owned by privately held
entities in which either owns an arrangement, the Commission proposes corporations without publicly traded
interest) to avoid receiving an in-kind as an additional alternative that shares, partnerships without publicly
contribution for the use of the aircraft. reimbursement be required at the traded equity interests, limited liability
See 11 CFR 100.93. Even though a hourly, mileage, or other applicable rate companies without publicly traded
candidate for Federal office may make charged the candidate, corporation, or shares, and all other entities without
an unlimited amount of contributions to immediate family member for the costs publicly traded shares or equity
his or her own campaign, those of the travel. For example, if a candidate interests would fall within this
contributions must be reported by the traveled on an aircraft leased by an exception, so long as a candidate or
candidate’s authorized committee.11 11 immediate family member at a cost of member of the candidate’s immediate
CFR 110.10; Advisory Opinions 1991– $1,000 per hour, the appropriate family owns an equity interest or voting
09 (Hoagland), 1990–09 (Mueller), reimbursement rate to that family interest in that entity.
1985–33 (Collins), 1984–60 (Mulloy). member would be $1,000 per hour.
Contributions by all other persons, The new statutory exception limits a
The Commission seeks comment on candidate’s use of the aircraft to not
including immediate family members,
the proposed approaches or any other ‘‘more than the candidate’s or
are subject to the applicable amount
method of calculation. For example, the immediate family member’s
limits and source prohibitions. 11 CFR
Commission seeks comment on whether proportionate share of ownership
110.1 et seq.
the exception should require allows.’’ 2 U.S.C. 439(c)(3)(A). However,
The Commission proposes several
reimbursement at all for travel on the statute does not specify the exact
reimbursement alternatives. Proposed
candidate-owned aircraft. Alternatively, nature of the relationship between
11 CFR 100.93(g) would require
should the Commission require ownership shares and use of the aircraft.
reimbursement at the same
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11 A contribution by a candidate for the House or

Senate to his own campaign may also impact reimbursement rate required for all 12 The reimbursement rates in proposed 11 CFR

separate disclosure requirements for expenditures other candidate travel under the 100.93(c)(3)(i) through (iii) would apply to officials
from personal funds under 2 U.S.C. 441a(i), the so- proposed regulations, i.e., the pro rata of a political party committee who are traveling on
called ‘‘Millionaires Amendment.’’ 2 U.S.C. behalf of the party committee, and other campaign
441a(i)(1)(C); 11 CFR Part 400. The Commission
share of the fair market value of such travelers who are traveling on behalf of a political
seeks comment on the impact of these proposed flight? Moreover, should the committee other than a candidate’s authorized
regulations on the Millionaire’s Amendment. Commission allow one or more methods committee or leadership PAC.

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Rather than account for all of the campaign travelers, that would enable B. Proposed 11 CFR 113.5(a)—Rule for
potential ownership structures of an the Commission to determine whether Presidential, Vice-Presidential and
entity that may own or lease an aircraft, the correct amount of reimbursement Senate Candidates
the Commission is proposing a simple was provided for specific flights. To Proposed 11 CFR 113.5(a)(1) reflects
condition for the exception to apply: avoid any inference that candidates the general prohibition in new 2 U.S.C.
unless the candidate or immediate would be permitted to pay the first class 439a(c) on the expenditure of funds by
family member is the sole owner of the or coach rates, proposed paragraphs candidates for President, Vice-President
aircraft, the amount of use of the aircraft (j)(1) and (j)(2) would also be revised to or the Senate and their authorized
to which each ownership share is expressly provide that candidates and committees and leadership PACs for
entitled must be specified in writing
person traveling on behalf of candidates aircraft flights, except in certain
prior to the candidate’s use of the
would be governed by paragraph (j)(3), specified situations. The first situation
airplane. As long as the written policy
not (j)(1). is when air travel is taken on
provides a reasonable relationship
Second, the Commission would ‘‘commercial’’ flights. See proposed 11
between the use of the aircraft and the
require that a record of the written CFR 113.5(a)(1). The second situation is
percentage of ownership by the
when air travel is taken on ‘‘non-
candidate or candidate’s immediate agreement required for aircraft owned in
commercial’’ flights and the candidate
family member, the Commission would part by a candidate for Federal office or
or his or her authorized committee
not delve into the various ownership a member of his or her immediate reimburses the provider of the airplane
structures. The Commission requests family be maintained by the committee.
comments on this proposal. If the in the amount of the candidate’s pro rata
The Commission seeks comment on the share of the fair market value of the
candidate’s use of the aircraft exceeds appropriate duration of this record
his or her proportionate ownership flight within seven days of the flight.
retention requirement. See proposed 11 See proposed 11 CFR 113.5(a)(2).
share, how should that excessive use be CFR 100.93(j)(3)(ii). Where an aircraft is
reimbursed? Should the excessive use Proposed 11 CFR 113.5(a)(1) and (2)
owned by an entity in which the provide cross-references to definitions
be prohibited altogether? candidate or a member of the
The proposed rules would not specify of the terms ‘‘commercial travel,’’ ‘‘non-
a particular time for repayment for candidate’s immediate family owns an commercial travel,’’ and ‘‘pro rata share
travel on aircraft owned by a candidate interest, this document would be of the fair market value of the flight’’ in
or a member of the candidate’s required by proposed 11 CFR 100.93(g) proposed 11 CFR 100.93(a)(3)(iv), (v)
immediate family. Should the to specify the proportionate use of the and (vi).
Commission require payment within a aircraft corresponding to the percentage Proposed 11 CFR 113.5(a) includes
specific time period, such as seven days, of ownership of the candidate or restrictions on expenditures by
as for travel on other aircraft under member of the candidate’s immediate leadership PACs of Senate, presidential,
proposed 11 CFR 100.93(c)? family. and vice-presidential candidates, to
conform to the Commission’s proposed
H. Recordkeeping Requirements The Commission seeks comments on
language in 11 CFR 100.93(c)(1).
these proposed revisions.
In light of the proposed changes to the The Commission requests comments
reimbursement rates required for V. Use of Campaign Funds for Non- on all of the above aspects of proposed
candidates and candidate Commercial Travel—11 CFR 113.5 11 CFR 113.5(a).
representatives, the Commission C. Proposed 11 CFR 113.5(b)—Rule for
proposes two revisions to its current In addition to the proposed revisions
to the travel reimbursement regulations House Candidates
recordkeeping requirements for non-
commercial travel at 11 CFR 100.93(i), at 11 CFR 100.93, the Commission also New 2 U.S.C. 439a(c)(2) contains the
which would be relocated to proposed proposes to add a new section 11 CFR applicable rule for candidates for
11 CFR 100.93(j). 113.5 to implement the limit on election to office in the House of
First, although the Commission’s expenditures for non-commercial air Representatives. Unlike candidates for
current rules permit candidates and travel contained in new 2 U.S.C. President, Vice-President, or the U.S.
persons traveling on their behalf to pay 439a(c). Senate, House candidates, including
first-class or coach rates for certain authorized committees and leadership
flights, candidates and their A. Proposed Change of Title for 11 CFR PACs of such candidates, are prohibited
representatives would be required to Part 113 from spending campaign funds on
pay the normal and usual charter rates private, non-commercial air travel.
Along with the proposed addition of
under the proposed rules. See proposed Instead, House candidates may spend
11 CFR 100.93(c)(1) and (2). new 11 CFR 113.5 implementing new 2 campaign funds on air travel only when
Accordingly, the Commission proposes U.S.C. 439a(c), the Commission the flight is commercial or when the
to establish a new paragraph in its proposes to change the title of Part 113. flight is operated by an entity of the
revised recordkeeping section to specify The current title, ‘‘Use of Campaign Federal government or of a State
that candidates, and those paying for Accounts for Non-Campaign Purposes,’’ government (including local
travel by candidates and candidate is insufficiently broad to encompass the governments). Other than travel
representatives, must follow the current subject matter of the proposed rule, permitted under 11 CFR 100.92(g),
recordkeeping requirements for persons which regulates a use of campaign funds because House candidates, their
paying the normal and usual charter rate for campaign purposes rather than for authorized committees, and their
for air travel. See proposed 11 CFR non-campaign purposes. The leadership PACs are prohibited from
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100.93(j)(3)(i) (referencing the Commission proposes instead the spending campaign funds on non-
recordkeeping requirements in proposed broader title, ‘‘Permitted and Prohibited commercial travel, the proposed rule
paragraph (j)(2) of the same section). Uses of Campaign Accounts,’’ to capture also prohibits House candidates from
These requirements are intended to the content of both the existing accepting in-kind contributions in the
preserve information, such as the tail regulations in this part and that of the form of non-commercial air travel.
number of an aircraft and the number of proposed rule. Proposed 11 CFR 113.15(b).

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Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules 59963

Proposed 11 CFR 113.5(b)(1) and (2) (26 U.S.C. 9031 et seq.), the Commission C. 11 CFR 9004.7(b)(8) and 11 CFR
implement these provisions. Proposed proposes to make certain amendments 9034.7(b)(8)—Scope
subparagraph (1) contains the same to its regulations implementing these Sections 9004.7(b)(8) and 9034.7(b)(8)
‘‘commercial exception’’ as is set forth laws to conform to the changes it identify the scope of 11 CFR 100.93 in
in proposed 11 CFR 113.5(a)(2). Travel proposes to make to 11 CFR 100.93. terminology used in current section
on government-operated aircraft is 100.93. Specifically, the provisions
Sections 9004.7 and 9034.7 are
reflected in proposed subparagraph (2). speak in terms of aircraft that are
identically worded regulations
D. Proposed 11 CFR 113.5(c)—Exception promulgated under the authority of the ‘‘licensed for compensation or hire’’
to Rules for Aircraft Owned or Leased by Fund Act and the Matching Payment under various FAA certification
Candidate or Immediate Family Member Act, respectively, and contain cross- authorities. The Commission proposes
The restrictions on expenditures in references to 11 CFR 100.93. Both to change this language to conform to
the amendments to 2 U.S.C. 439a do not regulations prescribe the procedures the proposed language used in new 2
apply to travel aboard aircraft that are that publicly funded primary and U.S.C. 439a(c) and in proposed 11 CFR
‘‘owned or leased’’ by the candidate or general election presidential campaigns 100.93. Proposed 11 CFR 9004.7(b)(8)
the candidate’s immediate family must follow in attributing their travel and 11 CFR 9034.7(b)(8) state that travel
member, and aircraft owned or leased expenses to campaign-related and to on non-commercial airplanes is
by any entity in which the candidate or non-campaign-related activities. The governed by 11 CFR 100.93 and that the
a member of the candidate’s immediate Commission proposes the following term ‘‘non-commercial’’ is defined in
family ‘‘has an ownership interest,’’ technical amendments to conform these accordance with proposed section 11
provided that the entity is not a ‘‘public regulations to proposed 11 CFR 100.93: CFR 100.93(a)(3)(v).
corporation’’ and the use of the aircraft The Commission invites comments
is not ‘‘more than the candidate’s or A. Aircraft from the public concerning any of the
immediate family member’s proposals outlined above. The
Proposed 11 CFR 9004.7(b)(5)(i), (iii), Commission also invites comments from
proportionate share of ownership and (v), and 11 CFR 9004.7(b)(8) replace
allows.’’ 2 U.S.C. 439a(c)(3)(A). the public regarding any additional
the word ‘‘airplane’’ with the word changes that should be made to 11 CFR
The Commission proposes to
implement this exception in proposed ‘‘aircraft.’’ These changes conform the 100.5(e), 100.93, 113.5, 9004.7(b)(5)(i),
11 CFR 113.5(c). Proposed 11 CFR regulations to the scope of new 2 U.S.C. (iii), (v) or (b)(8), or 9034.7(b)(5)(i), (iii),
113.5(c)(1) contains the exceptions. 439a(c) and to proposed 11 CFR 100.93, (v), or (b)(8).
Proposed 11 CFR 113.5(c)(2) states that as well as to proposed 11 CFR 113.5.
Certification of No Effect Pursuant to 5
candidates and immediate family B. Recordkeeping Requirements U.S.C. 605(b) [Regulatory Flexibility
members will be considered to own or Act]
lease aircraft under the conditions Currently, 11 CFR 9004.7(b)(5)(v) and
described in proposed 11 CFR 11 CFR 9034.7(b)(5)(v) require the The Commission certifies that the
100.93(g)(2), namely, when there is an authorized committees of presidential attached proposed rules, if promulgated,
ownership interest in an entity other and vice-presidential candidates to will not have a significant economic
than a public corporation that owns the maintain documentation of the lowest impact on a substantial number of small
aircraft. Proposed 11 CFR 113.5(c)(3) unrestricted non-discounted airfare as entities. The basis for this certification
contains a cross-reference to proposed required in 11 CFR 100.93(i)(1) or (2). is that few, if any, small entities would
11 CFR 100.93(g)(3), which defines the be affected by these final rules, which
Sections 100.93(i)(1) and (2) contain
term ‘‘immediate family member’’ in impose obligations only on Federal
recordkeeping requirements relating to
accordance with new 2 U.S.C. candidates, their campaign committees,
rates of reimbursement prescribed in 11
439a(c)(3)(B). other individuals traveling in
CFR 100.93(c) and (e). Proposed 11 CFR
connection with a Federal election, and
E. Proposed 11 CFR 113.5(d)— 100.93 replaces the current
the political committees on whose
Unreimbursed Air Travel as reimbursement rate for non-commercial behalf this travel is conducted. Federal
Contribution air travel by presidential and vice- candidates, their campaign committees,
presidential candidates with a rate and most political party committees and
Proposed 11 CFR 113.5(d) states that based on the ‘‘pro rata share of the fair
the unreimbursed value of other political committees entitled to
market value’’ of the flight and sets out rely on these rules are not small entities.
transportation provided to any
the corresponding recordkeeping These rules would generally clarify or
campaign traveler, as defined in
requirements in proposed 11 CFR supplement existing rules and are
proposed 11 CFR 100.93(a)(3)(i), is an
100.93(j)(3). The Commission proposes largely intended to implement a
in-kind contribution from the service
to change 11 CFR 9004.7(b)(5)(v) and 11 statutory directive and simplify the
provider to the candidate or political
CFR 9034.7(b)(5)(v) to conform the process of determining reimbursement
committee on whose behalf, or with
whom, the campaign traveler traveled, recordkeeping requirements to those rates. The rules would not impose
and that such contributions are subject proposed in 11 CFR 100.93(j)(3). The compliance costs on any service
to the limits and prohibitions of the Act. Commission also proposes to make a providers (as defined in the rules) that
conforming amendment to the final are small entities so as to cause a
VI. Publicly-Financed Presidential and sentence in this provision, which significant economic impact. With
Vice-Presidential Candidates—11 CFR addresses recordkeeping requirements respect to the determination of the
9004.7 & 9034.7 for travel on other conveyances. amount of reimbursement for travel, the
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Although new 2 U.S.C. 439a(c) does Recordkeeping requirements in such new rules would merely reflect an
not amend either the Presidential cases would be addressed in proposed extension of existing similar rules. To
Election Campaign Fund Act (Fund Act) 11 CFR 100.93(j)(4). Thus, the the extent that operators of air-taxi
(26 U.S.C. 9001 et seq.) or the Commission proposes to require services or on-demand air charter
Presidential Primary Matching Payment recordkeeping in accordance with services are small entities indirectly
Account Act (Matching Payment Act) proposed 11 CFR 100.93(j)(4). impacted by these rules, any economic

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59964 Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules

effects would result from the travel airline flight, charter flight, taxi, or an travelers who are traveling on behalf of
choices of individual candidates or automobile provided by a rental that candidate or political committee; or
other travelers rather than Commission company, are governed by 11 CFR (ii) Every campaign traveler for whom
requirements and, in any event, are 100.52(a) and (d), not this section. payment is not made under paragraph
likely to be less than $100,000,000 per (3) For the purposes of this section: (b)(1)(i) of this section pays the service
year. (i) Campaign traveler means provider for the full value of the
(A) Any candidate for Federal office transportation provided to that
List of Subjects campaign traveler as determined in
or any individual traveling in
11 CFR Part 100 connection with an election for Federal accordance with paragraphs (c), (d), (e)
office on behalf of a candidate or or (g) of this section. See 11 CFR 100.79
Elections.
political committee; or and 100.139 for treatment of certain
11 CFR Part 113 (B) Any member of the news media unreimbursed transportation expenses
Campaign funds, and political traveling with a candidate. incurred by individuals traveling on
candidates. (ii) Service provider means the owner behalf of candidates, authorized
of an aircraft or other conveyance, or a committees, and political committees of
11 CFR Part 9004 person who leases an aircraft or other political parties; and
Campaign funds. conveyance from the owner or (iii) Every member of the news media
otherwise obtains a legal right to the use traveling with a candidate for whom
11 CFR Part 9034 payment is not made under paragraph
of an aircraft or other conveyance, and
Campaign funds, Reporting and who uses the aircraft or other (b)(1)(i) of this section pays the service
recordkeeping requirements. conveyance to provide transportation to provider for the full value of his or her
For the reasons set out in the transportation as determined in
a campaign traveler. For a jointly owned
preamble, the Federal Election accordance with paragraphs (d) or (e)(2)
or leased aircraft or other conveyance,
Commission proposes to amend of this section.
the service provider is the person who (2) Except as provided in 11 CFR
subchapters A, E, and F of chapter 1 of makes the aircraft or other conveyance
title 11 of the Code of Federal 100.79, the unreimbursed value of
available to the campaign traveler. transportation provided to any
Regulations as follows: (iii) Unreimbursed value means the campaign traveler, as determined in
difference between the value of the accordance with paragraphs (c), (d) or
PART 100—SCOPE AND DEFINITIONS
transportation service provided, as set (e) of this section, is an in-kind
(2 U.S.C. 431)
forth in this section, and the amount of contribution from the service provider
1. The authority citation for part 100 payment for that transportation service to the candidate or political committee
would be revised to read as follows: by the political committee or campaign on whose behalf, or with whom, the
Authority: 2 U.S.C. 431, 434, 438(a)(8), and traveler to the service provider within campaign traveler traveled.
439a(c). the time limits set forth in this section. (c) Travel on aircraft. When a
(iv) Commercial travel means travel campaign traveler uses aircraft for non-
2. Section 100.5 would be amended
aboard: commercial travel, other than a
by adding a new paragraph (e)(6) to read
(A) An aircraft operated by an air government aircraft described in
as follows:
carrier or commercial operator paragraph (e) of this section or an
§ 100.5 Political committee (2 U.S.C. 431 certificated by the Federal Aviation aircraft described in paragraph (g) of
(4), (5), (6)). Administration, provided that the flight this section, reimbursement must be
* * * * * is required to be conducted under provided no later than seven (7)
(e) The following are examples of Federal Aviation Administration air calendar days after the date the flight
political committees: carrier safety rules, or, in the case of began at one of the following rates to
* * * * * travel which is abroad, by an air carrier avoid the receipt of an in-kind
(6) Leadership PAC. Leadership PAC or commercial operator certificated by contribution:
means a political committee that is an appropriate foreign civil aviation (1) Travel by or on behalf of Senate,
directly or indirectly established, authority, provided that the flight is presidential, or vice-presidential
financed, maintained or controlled by a required to be conducted under air candidates. A Senate, presidential, or
candidate for Federal office or an carrier safety rules; or vice-presidential candidate traveling on
individual holding Federal office but (B) Other means of transportation his own behalf, or any person traveling
which is not an authorized committee of operated for commercial passenger on behalf of such candidate, the
the candidate or individual and which service candidate’s authorized committee, or
is not affiliated with an authorized (v) Non-commercial travel means the candidate’s leadership PAC, must
committee of the candidate or travel aboard any conveyance that is not pay the pro rata share per represented
individual, except that leadership PAC commercial travel, as defined in candidate of the normal and usual
does not include a political committee paragraph (a)(3)(iv) of this section. charter fare or rental charge for travel on
of a political party. (b) General rule. (1) No contribution is a comparable aircraft of comparable
made by a service provider to a size. The pro rata share shall be
* * * * *
3. Section 100.93 is revised to read as candidate or political committee if: calculated by dividing the normal and
follows: (i) Every candidate’s authorized usual charter fare or rental charge by the
committee, leadership PAC, or other number of different candidates
political committee on behalf of which
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§ 100.93 Travel by aircraft or other means represented on the flight, regardless of


of transportation. the travel is conducted pays the service the total number of campaign travelers
(a) Scope and definitions. (1) This provider, within the required time, for or other passengers.
section applies to all campaign travelers the full value of the transportation, as (2) House candidates. Except as
who use non-commercial travel determined in accordance with otherwise provided in paragraphs (e)
(2) Campaign travelers who use paragraphs (c), (d), (e) or (g) of this and (g) of this section, a campaign
commercial travel, such as a commercial section, provided to all campaign traveler who is a candidate for election

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for the office of Representative in, or number of different candidates (1) For non-commercial travel by a
Delegate or Resident Commissioner to, represented on the flight, regardless of candidate for Federal office, or a person
the Congress, or a person traveling on the total number of campaign travelers traveling on behalf of such candidate,
behalf of any such candidate or any or other passengers. For purposes of this on an aircraft owned or leased by a
authorized committee or leadership paragraph, the comparable aircraft need candidate or an immediate family
PAC of such candidate, is prohibited not accommodate any authorized or member of the candidate, the
from non-commercial travel on behalf of required government personnel and candidate’s authorized committee must
any such candidate or any authorized equipment; or pay the incremental cost of such travel.
committee or leadership PAC of such (ii) The private traveler The incremental cost includes, but is
candidate. reimbursement rate, as specified by the not limited to, the cost of fuel and crew,
(3) Other campaign travelers. No governmental entity providing the but does not include depreciation costs.
reimbursement is required for travel by aircraft, per campaign traveler.
campaign travelers not covered by Paragraph (g)(1)—Alternative 2—(Actual
(2) If a campaign traveler uses a
paragraphs (c)(1) or (c)(2) of this section Value Alternative)
conveyance, other than an aircraft, that
if that travel is required to be is provided by the Federal government, (g) Aircraft owned by a candidate or
reimbursed by a candidate, or any or by a State or local government, the an immediate member of a candidate’s
authorized committee or leadership campaign traveler, or the political family.
PAC of a candidate, pursuant to committee on whose behalf the travel is (1) For non-commercial travel by a
paragraphs (c)(1) or (c)(2) of this section. conducted, must pay the government candidate for Federal office, or a person
Otherwise, a campaign traveler not entity in accordance with paragraph (d) traveling on behalf of such candidate,
covered by paragraphs (c)(1) or (c)(2) of of this section. on an aircraft owned or leased by a
this section, or the political committee (f) Date and public availability of candidate or an immediate family
on whose behalf the travel is conducted, payment rate. For purposes of member of the candidate, the
must pay the service provider the pro paragraphs (c), (d), (e), and (g) of this candidate’s authorized committee must
rata share per represented committee of section, the payment rate must be the pay, in the case of travel on an aircraft
the normal and usual charter fare or rate available to the general public for that is owned or leased under a shared-
rental charge for travel on a comparable the dates traveled or within seven (7) ownership or other time-share
airplane of comparable size. The pro calendar days thereof. The payment rate arrangement, the hourly, mileage, or
rata share shall be calculated by must be determined by the time the other applicable rate charged the
dividing the normal and usual charter payment is due under paragraph (c), (d), candidate, corporation, or immediate
fare or rental charge by the number of (e) or (g) of this section. family member for the costs of the
different committees represented on the (g) Aircraft owned by a candidate or travel.
flight, regardless of the total number of an immediate member of a candidate’s (2) A candidate, or an immediate
campaign travelers or other passengers. family. family member of the candidate, will be
(d) Other means of transportation. If (1) For non-commercial travel by a considered to own or lease an aircraft
a campaign traveler uses any means of candidate for Federal office, or a person under paragraph (g)(1) of this section if
transportation other than an aircraft, traveling on behalf of such candidate, the candidate or the immediate family
including an automobile, or train, or on an aircraft owned or leased by a member of the candidate has an
boat, the campaign traveler, or the candidate or an immediate family ownership interest in an entity that
political committee on whose behalf the member of the candidate, the owns the aircraft, provided that the
travel is conducted, must pay the candidate’s authorized committee must entity is not a corporation with publicly
service provider within thirty (30) pay traded shares and that the owning entity
calendar days after the date of receipt of (i) In the case of travel between cities specifies in writing the amount of use of
the invoice for such travel, but not later served by regularly scheduled first-class the aircraft to which that ownership
than sixty (60) calendar days after the commercial airline service, the lowest interest is entitled.
date the travel began, at the normal and unrestricted and non-discounted first- (3) For the purposes of this section, an
usual fare or rental charge for a class airfare; ‘‘immediate family member’’ of a
comparable commercial conveyance of (ii) In the case of travel between a city candidate is the father, mother, son,
sufficient size to accommodate all served by regularly scheduled coach daughter, brother, sister, husband, wife,
campaign travelers, including members commercial airline service, but not father-in-law, or mother-in-law of the
of the news media traveling with a regularly scheduled first-class candidate.
candidate, and security personnel, if commercial airline service, and a city (h) Preemption. In all respects, State
applicable. served by regularly scheduled coach and local laws are preempted with
(e) Government conveyances. (1) If a commercial airline service (with or respect to travel in connection with a
campaign traveler uses an aircraft that is without first-class commercial airline Federal election to the extent they
provided by the Federal government, or service), the lowest unrestricted and purport to supplant the rates or timing
by a State or local government, the non-discounted coach airfare; or requirements of 11 CFR 100.93.
campaign traveler, or the political (iii) In the case of travel to or from a (i) Reporting. (1) In accordance with
committee on whose behalf the travel is city not served by regularly scheduled 11 CFR 104.13, a political committee on
conducted, must pay the governmental commercial airline service, the rate for whose behalf the unreimbursed travel is
entity either: Senate and Presidential campaign conducted must report the receipt of an
(i) The pro rata share per represented travelers in paragraph (c)(1) of this in-kind contribution and the making of
candidate of the normal and usual
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section. an expenditure under paragraph (b)(2)


charter fare or rental charge for the flight of this section.
on a comparable aircraft of sufficient Paragraph (g)(1)—Alternative 1 (2) When reporting a disbursement for
size to accommodate all campaign (Incremental Cost Alternative) travel services in accordance with this
travelers. The pro rata share shall be (g) Aircraft owned by a candidate or section, a political committee on whose
calculated by dividing the normal and an immediate member of a candidate’s behalf the travel is conducted must
usual charter fare or rental charge by the family. report the actual dates of travel for

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59966 Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules

which the disbursement is made in the candidate, the document specifying the the Act or Commission regulations, a
‘‘purpose of disbursement’’ field. amount of use of the aircraft candidate for the office of
(j) Recordkeeping. (1) Except as corresponding to the candidate’s or an Representative in, or Delegate or
provided in paragraph (j)(3) of this immediate family member’s ownership Resident Commissioner to, the
section, for travel by aircraft between interest in the aircraft, as required by Congress, and any authorized committee
cities served by regularly scheduled paragraph (g) of this section. or leadership PAC of such candidate,
first-class or coach commercial airline (4) For travel by other conveyances, shall not make any expenditures, or
service, or for travel to or from a the political committee on whose behalf receive any in-kind contribution, for
military base on a government airplane, the travel is conducted shall maintain travel on an aircraft unless the flight is
the political committee on whose behalf documentation of: (1) Commercial travel as provided in
the travel is conducted shall maintain (i) The service provider and the size, 11 CFR 100.93(a)(3)(iv); or
documentation of: model and make of the conveyance (2) Provided by the Federal
(i) The service provider and tail used; government or by a State or local
number (or other unique identifier for (ii) An itinerary showing the government.
military aircraft) of the aircraft used; departure and destination locations and (c) Exception for aircraft owned or
(ii) An itinerary showing the the date(s) of departure and arrival, a leased by candidates and immediate
departure and arrival cities and the list of all passengers on such trip, along family members of candidates. (1)
date(s) of departure and arrival, a list of with a designation of which passengers Paragraphs (a) and (b) of this section do
all passengers on such trip, along with are and which are not campaign not apply to flights on aircraft owned or
a designation of which passengers are travelers or security personnel; and leased by the candidate, or by an
and which are not campaign travelers; (iii) The commercial fare or rental immediate family member of the
and charge available in accordance with candidate, provided that the candidate
(iii) The lowest unrestricted non- paragraphs (d) and (f) of this section for does not use the aircraft more than the
discounted airfare available in a comparable commercial conveyance of candidate’s or immediate family
accordance with paragraphs (c), (e) and sufficient size to accommodate all member’s proportionate share of
(f) of this section, including the airline campaign travelers including members ownership allows.
offering that fare, flight number, travel of the news media traveling with a (2) A candidate, or an immediate
service, if any, providing that fare, and candidate, and security personnel, if family member of the candidate, will be
the dates on which the rates are based. applicable. considered to own or lease an aircraft
(2) Except as provided in paragraph under the conditions described in 11
(j)(3) of this section, for travel by aircraft PART 113—PERMITTED AND
CFR 100.93(g)(2).
to or from a city not served by regularly PROHIBITED USES OF CAMPAIGN (3) An ‘‘immediate family member’’ is
scheduled commercial airline service, ACCOUNTS defined in 11 CFR 100.93(g)(3).
the candidate or political committee on 4. The authority citation for part 113 (d) In-kind contribution. Except as
whose behalf the travel is conducted would continue to read as follows: provided in 11 CFR 100.79, the
shall maintain documentation of: unreimbursed value of transportation
Authority: 2 U.S.C. 432(h), 438(a)(8), 439a,
(i) The service provider and the size, 441a. provided to any campaign traveler is an
model, make and tail number (or other in-kind contribution from the service
unique identifier for military aircraft) of 5. The heading to part 113 would be provider to the candidate or political
the aircraft used; revised to read as set forth above. committee on whose behalf, or with
(ii) An itinerary showing the 6. Part 113 would be amended by whom, the campaign traveler traveled.
departure and arrival cities and the adding a new § 113.5 to read as follows: Such contributions are subject to the
date(s) of departure and arrival, a list of § 113.5 Restrictions on use of campaign reporting requirements, limitations and
all passengers on such trip, along with funds for flights on noncommercial aircraft prohibitions of the Act.
a designation of which passengers are (2 U.S.C. 439a(c)).
and which are not campaign travelers or (a) Presidential, vice-presidential and PART 9004—ENTITLEMENT OF
security personnel; and Senate candidates. Notwithstanding any ELIGIBLE CANDIDATES TO
(iii) The rate for the comparable other provision of the Act or PAYMENTS; USE OF PAYMENTS
charter aircraft available in accordance Commission regulations, a presidential, 7. The authority citation for part 9004
with paragraphs (c), (e) and (f) of this vice-presidential, or Senate candidate, would continue to read as follows:
section, including the airline, charter or and any authorized committee or
air taxi operator, and travel service, if leadership PAC of such candidate, shall Authority: 26 U.S.C. 9004 and 9009(b).
any, offering that fare to the public, and not make any expenditure for travel on 8. Section 9004.7 would be amended
the dates on which the rates are based. an aircraft unless the flight is by revising paragraphs (b)(5)(i), (iii), and
(3) For non-commercial travel on (1) Commercial travel as provided in (v) and (b)(8) to read as follows:
aircraft by any candidate for Federal 11 CFR 100.93(a)(3)(iv); or
office, or a person traveling on behalf of (2) Noncommercial travel as provided § 9004.7 Allocation of travel expenditures.
such candidate, the candidate’s in 11 CFR 100.93(a)(3)(v), and the pro * * * * *
authorized committee, or the rata share of the fair market value of (b) * * *
candidate’s leadership PAC, the such a flight, as provided in 11 CFR (5)(i) If any individual, including a
candidate or political committee on 100.93(c), is paid by the candidate, the candidate, uses a government aircraft for
whose behalf the travel is conducted authorized committee, or other political campaign-related travel, the candidate’s
authorized committee shall pay the
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shall maintain: committee on whose behalf the travel is


(i) The documentation required by conducted, to the owner, lessee, or other appropriate government entity an
paragraph (j)(2)(i) through (iii) of this person who provides the aircraft within amount equal to the applicable rate set
section, and seven days after the date on which the forth in 11 CFR 100.93(e).
(ii) Where the travel is aboard an flight is taken. * * * * *
aircraft owned in part by the candidate (b) House candidates. (iii) If any individual, including a
or an immediate family member of the Notwithstanding any other provision of candidate, uses a government

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Federal Register / Vol. 72, No. 204 / Tuesday, October 23, 2007 / Proposed Rules 59967

conveyance, other than an aircraft, for (8) Non-commercial travel on aircraft, • Fax: (202) 493–2251.
campaign-related travel, the candidate’s and travel on other means of • Mail: U.S. Department of
authorized committee shall pay the transportation not operated for Transportation, Docket Operations, M–
appropriate government entity an commercial passenger service is 30, West Building Ground Floor, Room
amount equal to the amount required governed by 11 CFR 100.93. W12–140, 1200 New Jersey Avenue, SE.,
under 11 CFR 100.93(d). Dated: October 18, 2007. Washington, DC 20590.
* * * * * Robert D. Lenhard, • Hand Delivery: U.S. Department of
(v) For travel by aircraft, the Transportation, Docket Operations, M–
Chairman, Federal Election Commission.
committee shall maintain 30, West Building Ground Floor, Room
[FR Doc. E7–20901 Filed 10–22–07; 8:45 am]
documentation as required by 11 CFR W12–40, 1200 New Jersey Avenue, SE.,
BILLING CODE 6715–01–P
100.93(j)(3) in addition to any other Washington, DC, between 9 a.m. and 5
documentation required in this section. p.m., Monday through Friday, except
For travel by other conveyances, the Federal holidays.
committee shall maintain DEPARTMENT OF TRANSPORTATION
Examining the AD Docket
documentation of the commercial rental
Federal Aviation Administration You may examine the AD docket on
rate as required by 11 CFR 100.93(j)(4)
in addition to any other documentation the Internet at http://
14 CFR Part 39 www.regulations.gov; or in person at the
required in this section.
[Docket No. FAA–2007–0075; Directorate Docket Operations office between 9 a.m.
* * * * *
Identifier 2007–NM–171–AD] and 5 p.m., Monday through Friday,
(8) Non-commercial travel, as defined
except Federal holidays. The AD docket
in 11 CFR 100.93(a)(3)(v), on aircraft, RIN 2120–AA64 contains this proposed AD, the
and travel on other means of
regulatory evaluation, any comments
transportation not operated for Airworthiness Directives; EMBRAER
received, and other information. The
commercial passenger service, is Model EMB–120, –120ER, –120FC,
street address for the Docket Operations
governed by 11 CFR 100.93. –120QC, and –120RT Airplanes
office (telephone (800) 647–5527) is in
PART 9034—ENTITLEMENTS AGENCY: Federal Aviation the ADDRESSES section. Comments will
Administration (FAA), DOT. be available in the AD docket shortly
9. The authority citation for part 9034 ACTION: Notice of proposed rulemaking after receipt.
would continue to read as follows: (NPRM). FOR FURTHER INFORMATION CONTACT: Dan
Authority: 26 U.S.C. 9034 and 9039(b). Rodina, Aerospace Engineer,
SUMMARY: We propose to adopt a new International Branch, ANM–116, FAA,
10. Section 9034.7 would be amended airworthiness directive (AD) for the Transport Airplane Directorate, 1601
by revising paragraphs (b)(5) (i), (iii), products listed above. This proposed Lind Avenue, SW., Renton, Washington
and (v) and (b)(8) to read as follows: AD results from mandatory continuing 98057–3356; telephone (425) 227–2125;
§ 9034.7 Allocation of travel expenditures. airworthiness information (MCAI) fax (425) 227–1149.
originated by an aviation authority of SUPPLEMENTARY INFORMATION:
* * * * *
another country to identify and correct
(b) * * * Comments Invited
an unsafe condition on an aviation
(5)(i) If any individual, including a
product. The MCAI describes the unsafe We invite you to send any written
candidate, uses a government aircraft for
condition as: relevant data, views, or arguments about
campaign-related travel, the candidate’s
authorized committee shall pay the It has been found that former revisions of this proposed AD. Send your comments
appropriate government entity an the Maintenance Review Board Report to an address listed under the
(MRBR) of the EMB–120( ) aircraft do not ADDRESSES section. Include ‘‘Docket No.
amount not less than the applicable rate
fully comply with some Critical Design FAA–2007–0075; Directorate Identifier
set forth in 11 CFR 100.93(e). Configuration Control Limitations (CDCCL) 2007–NM–171–AD’’ at the beginning of
* * * * * and Fuel System Limitations (FSL). These
your comments. We specifically invite
(iii) If any individual, including a limitations are necessary to preclude ignition
sources in the fuel system, as required by comments on the overall regulatory,
candidate, uses a government
RBHA–E88/SFAR–88 (Special Federal economic, environmental, and energy
conveyance, other than an aircraft, for
Aviation Regulation No. 88). aspects of this proposed AD. We will
campaign-related travel, the candidate’s
* * * * * * * consider all comments received by the
authorized committee shall pay the
The potential of ignition sources, in closing date and may amend this
appropriate government entity an
combination with flammable fuel proposed AD based on those comments.
amount equal to the amount required
vapors, could result in fuel tank We will post all comments we
under 11 CFR 100.93(d).
explosions and consequent loss of the receive, without change, to http://
* * * * * www.regulations.gov; including any
(v) For travel by aircraft, the airplane. The proposed AD would
require actions that are intended to personal information you provide. We
committee shall maintain will also post a report summarizing each
documentation as required by 11 CFR address the unsafe condition described
in the MCAI. substantive verbal contact we receive
100.93(j)(3) in addition to any other about this proposed AD.
documentation required in this section. DATES: We must receive comments on
For travel by other conveyances, the this proposed AD by November 23, Discussion
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committee shall maintain 2007. The Agência Nacional de Aviação


documentation of the commercial rental ADDRESSES: You may send comments by Civil (ANAC), which is the
rate as required by 11 CFR 100.93(j)(4) any of the following methods: airworthiness authority for Brazil, has
in addition to any other documentation • Federal eRulemaking Portal: Go to issued Brazilian Airworthiness Directive
required in this section. http://www.regulations.gov. Follow the 2007–05–02, effective June 6, 2007
* * * * * instructions for submitting comments. (referred to after this as ‘‘the MCAI’’), to

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