Kennewick board members fined $1,000 each for breaking campaign laws

A state agency fined five Kennewick district officials this week for improperly spending more than $20,000 of taxpayer money.

Barbara Johnson, John Neill, Ron Hue, Renee Brooks and Calvin Dudley will pay $1,000 each as part of an agreement between the Kennewick Public Facilities District board members and the state Public Disclosure Commission.

They could face an additional $1,000 penalty each if they don’t pay within 30 days and violate another state campaign rules during the next four years.

The commission unanimously accepted the six-page stipulated agreement Thursday afternoon.

Both sides agreed that the wording in a series of advertisements for the 2017 Link campaign crossed the line into marketing. The ads said the project would have “something for everyone” and it was “only 2 cents on every $10”

“It’s those phrases staff believe crossed the line,” said Chad Standifer, with the PDC.

The board members’ attorney Eric Ferguson said they didn’t intend to break the law but now understand how the wording violated the rules.

“The board really tried to make a concerted effort to get this process right,” said Ferguson. “It is clear the board was in no way intentionally trying to flout (the law.)”

The decision puts an end to a more than three-year process that started with a campaign for 0.2 percent sales tax increase.

The November 2017 measure failed by 1,300 votes.

Vic Epperly, a former Kennewick mayor, and Pasco activist Roger Lenk each filed a complaint three years ago about the campaign, but a backlog of investigations and a lack of state investigators meant the agency was slow to make the ruling.

The state Legislature authorized cities, towns, metro areas and counties to form public facilities districts to promote economic development.

The district then can use its tax revenue to finance, design, build, remodel, maintain or operate public facilities, such as aquatics centers and convention centers.

The city of Kennewick formed a facilities district in 2001 to manage, coordinate and finance the Three Rivers Convention Center, the Toyota Center and the skating arena.

Pasco and Richland also have formed public facilities districts.

Marketing campaign

Standifer called the case “factually intensive” and said the five members of the board signed off on advertisements, fliers and banners that were drafted by the private company that operates the convention center.

While state law lets public organizations spend money on providing basic information about ballot proposals, they can’t spend cash to advocate for them. That includes:

• Paying employees to organize campaign efforts.
• Paying to mail campaign materials.
• Letting the campaign access equipment the public can’t access.

In particular, Standifer said all of the materials used phrases mean to sway the voters.

All of them contained similar language saying The Link would offer “something for everyone” and, “Together we can make the Tri-Cities a destination for athletes, artists, conventions and more!”

They also said, “Sales tax impact — only 2 cents on every $10!”

The district-funded website for The Link included a list of six local entities that endorsed the project and linked to linked to news articles, a Herald editorial and a supportive letter to the editor, according to the commission.

The district spent $1,100 on door hangers, $4,000 for mailers, $12,400 for print, TV and radio advertising and $2,300 for banners.

That included 3,000 door hangers and fliers distributed during open houses and at the Toyota Center.

The more than 14,000 mailers targeted registered voters who voted in the 2014 and 2016 elections.

The six quarter-page newspaper ads, 64 TV spots and 209 broadcast ads ran between early September and mid-October 2017.

And six banners were hung up at the convention center and in booths during events, according to the commission.

While the commission could have fined the board members up to $10,000, Standifer pointed out that the advertisements didn’t call for people to vote yes or no on the measure, and they relied on VenuWorks to organize the campaign.

He did note that the board members had attended a training about campaign rules shortly before it started.