Chicago Republicans

STATEMENT OF FACTS

 The nine proceedings that make up this consolidated appeal all commenced on August 30, 2005 when Petitioner, the Cook County Republican Party (hereinafter referred to as “Petitioner”) , filed sixteen separate actions against Democratic Ward Organizations in the City of Chicago and, in some cases, Chicago Ward Committeemen of the Cook County Democratic Party. 
In all sixteen cases, Petitioner alleged that the respective respondents had violated the Illinois Election Code by (1) using office space that was paid for, in whole or part, with funds appropriated by the Chicago City Council for the purpose of establishing governmental offices for elected Aldermen; and (2) failing to report the use as an “in-kind” donation on Form D-2 financial disclosure statements filed with the Illinois State Board of Elections.
In six of the sixteen cases, Petitioner further alleged that the respondent had violated the Illinois Election Code by failing to file a Form D-1 Statement of Organization for a ward organization with the Illinois State Board of Elections, when the circumstances required such a filing.
Upon service, the cases proceeded to an initial review required under the Illinois Election Code, a Closed Preliminary Hearing before a Hearing Officer appointed by the Board.  The Hearing Officer for all sixteen cases was Philip Krasny.   On September 14, 2005, a pre-hearing conference was conducted with Petitioner and all sixteen respondent parties, to schedule dated for further proceedings.  (Appeal No. 05-3407, R. 66.)  Pursuant to an agreed schedule, on September 16, 2005, the Respondent Fourth Ward Democratic Organization filed a Motion to Dismiss, which was joined by all respondents before this Court.  (Appeal No. 05-3407, R. 39.)   On September 20, 2005, Petitioner filed a Response to the Motion.  (Appeal No. 05-3407, R. 47.)   On September 23, 2005 the movant Respondents filed a joint Reply.  (Appeal No. 05-3407, R. 59.)     
The Closed Preliminary Hearings took place between September 20, 2005 and October 7, 2005.  Of sixteen cases, Hearing Officer Krasny recommended to the Board of Elections that nine proceed to the next step of the hearing process, the Open Preliminary Hearing.  The Hearing Officer recommended that six cases be dismissed for lack of justifiable grounds to proceed further, and one case was recommended for a new closed preliminary hearing upon presentation of additional evidence.  
On October 21, 2005, at a regularly scheduled meeting of the Board of Elections, the Board entered a lengthy executive session with the parties to consider the sixteen cases.  In sixteen Final Orders entered on October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   In the cases in which the Hearing Officer recommended dismissal, the Baord of Elections accepted the recommendation, and dismissed the proceeding for lack of justifiable grounds.  In the ten cases in which the Hearing Officer recommended Preliminary Open Hearing or summary disposition, the Board of Elections rejected the recommendation, accepted the recommendation of the General Counsel to the Board that there were “insufficient grounds to warrant an open hearing on this matter,” and dismissed the proceeding on ground of a lack of justifiable grounds to proceed.  (Appeal No. 05-3407, R. 72.)  
Petitioner has sought judicial review on nine of the sixteen cases. 

FOURTH WARD

In the D-4 filing in against the Fourth Ward Democratic Organization, the Petitioner demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 4th Ward Democratic Organization as 4646 South Drexel Boulevard, Chicago Illinois (R. 33.)   Submitted photographs of the premises of 4646 South Drexel demonstrated that on the storefront windows of the address, large letters are painted stating “4th WARD DEMOCRATIC ORGANIZATION,” and “TONI PRECKWINKLE, COMMITTEEMAN.”  (R. 26-29.)
Petitioner’s affiant stated that on August 10, 2005 he entered the offices at 4646 South Drexel, which appeared to be a converted bank branch office. (R. 101.)    Seeing only one entry door, he entered it (R. 100.)  Upon entry, he saw an open layout of an office, with smaller offices on the right side. (R. 107.)   The open layout area was a functional office with desks, computers, phones and a copy machine (Ibid..)  Near the entrance were two tables, one holding city literature, the other a sign-in sheet. (R. 100.)  Behind the sign-in sheet table sat a “college age” woman.  (R. 102.)  The affiant approached the woman and started a conversation: 
I asked specifically is this is the organization where political work was done, is this a location where volunteers would come, is this the location where yard signs would be passed out, is this the location where palm cards would be handed out. 

(R. 103.)  At the same time, a black male approached the table.  The affiant concluded that the man was a manager, based upon the woman’s deferential treatment towards him.  (R. 105.)  The male answered the question in the affirmative, saying “yes,” while countering with the question of why the affiant wanted to know the information and whether he would sign in.   Ibid.   
 The City of Chicago lists the Drexel address as the ward office of 4th Ward Alderman Toni Preckwinkle, (R.31.)   A small sign over the only entrance to the office states “Toni Precwinkle, 4th Ward Aldermanic Service Office.”  Records of the City of Chicago demonstrated monthly payments of $1,170.43 to Shorebank for Aldermanic lease payments on behalf of Alderman Preckwinkle.  (R.37.)   The records were obtained by a Freedom of Information Act request.  (R. 87.)
 The Form D-2 financial disclosure statements, submitted under oath by the 4th Ward Democratic Organization, demonstrates an erratic smattering of payments in January, February and March, 2004, no payments at all for July though September, 2004, and small payments in October and November, 2004.  The organization paid nothing for rent from January 1, 2005 through June 30, 2005, the last reporting date prior to the filing of the Form D-4 by the Petitioner.  (R. 9-10.)
 At the preliminary hearing conducted on October 5, 2005, the Respondent below offered no witnesses or documents of any kind to oppose the statements and evidence of the Petitioner presented in the D-4 filing and by the oral testimony of Petitioner’s affiant, who was offered as a witness for cross examination. 
 In a section of his Report entitled “Findings of Fact and Recommendations” the  Hearing Officer recommended that the case proceed to Open Preliminary Hearing.  He noted:
In the instant case, the 4th Ward Regular Democratic Organization has filed a statement of organization,  In that Statement of Organization, the address for the organization is listed as 4646 South Drexel, Chicago Illinois.  According to the Board of Elections website, the listed purpose for 4th Ward Regular Democratic Organization is “Democratic Political Activity in the 4th Ward.”   

(R. 70-1.)

 After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 72.)
FIFTH WARD (Appeal No. 05-3408)

In the D-4 filing in against the Fifth Ward Regular Democratic Organization, the Petitioner demonstrated the following. 
The website of the Cook County Democratic Party lists the address of the Fifth Ward Democratic Organization as 1900 E. 71st St., Chicago Illinois.  (R. 31.)   Petitioner Submitted photographs of the premises of 1900 E. 71st St., Chicago Illinois, which demonstrated an awning on the front of the premises that states “Alderman Leslie A. Hairston, 5th Ward Committeeman.”  (R. 25-27.)
Petitioner’s affiant stated that on August 22, 2005 he entered the offices at, 1900 E. 71st St., he entered a reception area, then entered a large roon with six desks laid out in an open area.  (R. 82.)   People were working a the desks.  (R. 85.)  In the doorway the affiant spoke with members of the office .  Ibid.  The affiant spoke with a person seated at one of the desks.  (R. 90.)   As with other offices, the affiant asked “whether or not this is the office were the political work for the Ward was done, where volunteers would gather and so forth,” which was answered in the affirmative (R. 19.)  He alos asked if the location was where yard signs and palm cards were distributed.  (R. 20.).  Each question was answered in the affirmative.  Ibid.  
The City of Chicago lists the 1900 East 71st St. address as the ward office of 5th Ward Alderman Leslie Hairston.  (R. 29.)     Records of the City of Chicago demonstrated rent payments of $17,625.00 to a “Bernsen Management”  for Aldermanic lease payments on behalf of Alderman Hairston.  (R. 35.)   The Aldermanic stipend was used to operate the 71st Street office.  (R. 110.)
The Form D-2 financial disclosure statements, submitted under oath by the 5th Ward Regular Democratic Organization, list no rent payments whatsoever during the two year period of July 1, 2003 through June 30, 2005.   (R. 10, 12, 14, 15.)
 Alderman Leslie Hairston testified that she did her political work in the Ward out of her house.  (R. 96.)   She denied that any political activity occurred at the 71st Street office. (R. 129-30), but admitted that her title as Fifth Ward Committeeman was listed on the front awning.  (R. 108.)  The Alderman also testified that either she or her personal political committee occasionally contribute to the rent of the 71st Street facility.  (R. 102.)   Alderman Hairston had no explanation for why the Democratic party website listed the 71st Street facility as her Committeeman’s office, rather than her home, and admitted that the phone number listed for her on the Democratic website was in fact the main number of the 71st Street aldermanic facility.  (R. 125.)
Other evidence circumstantially indicated that political activity was indeed occurring at the 71st Street office.  The Forms D-2 filed for the Fifth Ward Regular Democratic Organization  under oath reflect that on March 16, 2004, a primary election day,  the Democratic Organization spent $297.80 at a pizzeria located at 1919 E. 71st St. less than a block as the office, describing  the expense as “Election Day – expenses.”  (R. 15.)   On November 2, 2004, a general election day, the Fifth Ward Regular Democratic Organization spent $220.00 on pizza from and again listed the expense as “election day – expenses.”  (R. 12.)  On October 29, 2004, three days before the general election, the same Democratic political organization spent $630.00 at a restaurant located at 1904 W. 71st. St., next door to the office in question.  (R. 12; see R. 25, where “Taurus . . . “ of the restaurant name is visible.)   Over the first six months of 2005, the Fifth Ward Regular Democratic Organization spent over $1,000 in pizza purchase from the pizzeria on 71st Street, frequently in purchases of over $200.00.  (R.10.)
Alderman Hairston gave testimony that the Hearing Officer described as “argumentative, combative and, at times, evasive.”  (R. 70).  For example, Alderman  Hairston testified that as Democratic Committeeman, her role is “not Democratic or Republican,”  but “just to oversee elections.”  (R. 111).   Yet she also testified that the purpose of the 5th Ward Regular Democratic Organization was to elect Democratic candidates.  (R. 123.)   Ms. Hairston attempted to identify an address at 70th Street and Paxton used during Ms. Hairston’s own election run in 2003.  (R. 104-5).  She could not say if the Paxton location was used in the 2004 elections.  (R. 106.)  Alderman  Hairston claimed to be without any clear recollection of the of the Presidential election of 2004 between John Kerry and George Bush.  (R. 113-114.)
SEVENTH  WARD

In the D-4 filing in against the Seventh Ward Democratic Organization, the Petitioner demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 7th Ward Democratic Organization as 2552 East 79th Street,  Chicago Illinois (R. 31.)   The sworn Form D-2 filings of the 7th Ward  Democratic Organization also list the political organization’s address as 2552 East 79th Street,  Chicago Illinois.  (R. 9, 12, 14, 18.)   Petitioner submitted photographs of the premises of that showed storefront windows with the lettering  storefront windows of the address, large letters are painted stating “COMMITTEEMAN WILLIAM BEAVERS”  (R. 26.)
Petitioner’s affiant stated in his affidavit that on August 10, 2005 he entered the offices at 2552 East 79th Street. (R. 21.)    Seeing only one entry door, he entered it Upon entry, he saw a visitor’s areas separated by a reception counter. 
Alderman Beavers testified that one lease covered the premises of 2548, 2550 and 2552 East 79th Street, which are successive storefronts facing the street.  (R. 138).   The storefront of 2552 is used as an aldermanic office, while the other two are used for other purposes.  (R. 140.)  These purposes include “community service” in 2448 East 79th (R. 142), and a meeting room, kitchen and computer station in 2550 East 79th.  (R. 140). 
Each of the storefronts is approximately the same size.  (R. 139.) 
The City of Chicago pays the rent of $1900 per month covering all three storefronts.  (R. 139.)   While Alderman Beavers rents the three storefronts on the single lease, the City pays, though vouchers, for therent, as well as thebills for gas, telephone, heating and the like.  (R. 18-19.)  
 The Alderman specifically admitted that political activity was occurring in some of the three storefronts.  (R. 139).   He admitted that he runs the 7th Ward Democratic Organization out of 2550 East 79th St., the middle storefront pf the three connected offices.  (R. 135.)  Additionally, political literature is disseminated from the site, and political meetings of volunteers are held there.  (R. 135, 136.) 
The sworn Form D-2 financial disclosure statements for the 7th Ward Democratic Organization disclose no rent payments, or rent reimbursements to the City, during the period July 1, 2003 through June 30, 2005.  (R.9- R. 18.)    Alderman Beavers testified that given his voluminous operations, the City stipend of $33,000 a year fails to meet all of his office expenses, at which time political committees provide additional funds.  (R. 142-3).  The Committeeman admitted that the payments by those committees were not reimbursements to the City, but instead funds used to supplement his own activities.  (R. 19.)
 The  Hearing Officer recommended that the case proceed to Open Preliminary Hearing.  (R. 106-112.) 
NINTH WARD

In the D-4 filing in against the Fourth Ward Democratic Organization, the Complainant demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 4th Ward Democratic Organization as 4646 South Drexel Boulevard, Chicago Illinois (R. 33.)   Submitted photographs of the premises of 4646 South Drexel demonstrated that on the storefront windows of the address, large letters are painted stating “4th WARD DEMOCRATIC ORGANIZATION,” and “TONI PRECKWINKLE, COMMITTEEMAN.”  (R. 26-29.)
Complainant’s affiant stated that on August 10, 2005 he entered the offices at 4646 South Drexel, which appeared to be a converted bank branch office. (R. 101.)    Seeing only one entry door, he entered it (R. 100.)  Upon entry, he saw an open layout of an office, with smaller offices on the right side. (R. 107.)   The open layout area was a functional office with desks, computers, phones and a copy machine (Ibid..)  Near the entrance were two tables, one holding city literature, the other a sign-in sheet. (R. 100.)  Behind the sign-in sheet table sat a “college age” woman.  (R. 102.)  The affiant approached the woman and started a conversation: 
I asked specifically is this is the organization where political work was done, is this a location where volunteers would come, is this the location where yard signs would be passed out, is this the location where palm cards would be handed out. 

(R. 103.)  At the same time, a black male approached the table.  The affiant concluded that the man was a manager, based upon the woman’s deferential treatment towards him.  (R. 105.)  The male answered the question in the affirmative, saying “yes,” while countering with the question of why the affiant wanted to know the information and whether he would sign in.   Ibid.   
 
The City of Chicago lists the Drexel address as the ward office of 4th Ward Alderman Toni Preckwinkle, (R.31.)   A small sign over the only entrance to the office states “Toni Precwinkle, 4th Ward Aldermanic Service Office.”  Records of the City of Chicago demonstrated monthly payments of $1,170.43 to Shorebank for Aldermanic lease payments on behalf of Alderman Preckwinkle.  (R.37.)   The records were obtained by a Freedom of Information Act request.  (R. 87.)
 The Form D-2 financial disclosure statements, submitted under oath by the 4th Ward Democratic Organization, demonstrates an erratic smattering of payments in January, February and March, 2004, no payments at all for July though September, 2004, and small payments in October and November, 2004.  The organization paid nothing for rent from January 1, 2005 through June 30, 2005, the last reporting date prior to the filing of the Form D-4 by the Complainant.  (R. 9-10.)
 At the preliminary hearing conducted on October 5, 2005,  the Respondent offered no witnesses or documents of any kind to oppose the statements and evidence of the Complainant presented in the D-4 filing and by the oral testimony of Complainant’s affiant, who was offered as a witness for cross examination. 
 In a section of his Report entitled “Findings of Fact and Recommendations” the  Hearing Officer recommended that the case proceed to Open Preliminary Hearing.  He noted:
In the instant case, the 4th Ward Regular Democratic Organization has filed a statement of organization,  In that Statement of Organization, the address for the organization is listed as 4646 South Drexel, Chicago Illinois.  According to the Board of Elections website, the listed purpose for 4th Ward Regular Democratic Organization is “Democratic Political Activity in the 4th Ward.”   

(R. 70-1.)

 After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 72.)
28th Ward
In the D-4 filing in against the Ed Smith, 28th Ward Democrat Committeeman, the Complainant demonstrated the following.  The City of Chicago Aldermanic Office Listing revealed that the alderman for the 28th Ward was Ed Smith and that the Ward Aldermanic Office was 118 N. Pulaski. (R. 21.)  The Cook County Democratic Party Committeeman Office Address Listing revealed that the Committeeman for the 28th Ward was Ed Smith, and the office was also listed as 118 N. Pulaski. (R. 24.)  Complainant’s affiant, Thomas Swiss, Mr. Swiss testified that the location at 118 N. Pulaski was shuttered.  (R. 123.)  The Complainant offered a photograph of the boarded up location.  (R. 19.)  Mr. Swiss testified that he proceeded to an address of 259-261 N. Pulaski for two reasons.  First, a sign on the shuttered 118 North Pulaski storefront directed persons to the address.  (R. 124.)  Also, financial records of the City of Chicago indicated that the City was paying for rented space at that location as an expense for the Alderman of the 28th Ward.  (R. 27.)
Complainant submitted photographs of the premises of 259-261 Pulaski address.  The signage at 261 N. Pulaski indicates “Alderman Ed H. Smith, Committeeman,” and the signage at 259 N. Pulaski indicates “Ed H. Smith Alderman 28th Ward” and “Annazette Collins, State Representative, 10th District.” (R. 15-17.) 
On August 10, 2006, Complainant’s witness, Thomas Swiss entered the offices and spent approximately five to seven minutes in the location.  (R. 116.)   Upon entering the office, he spoke to a person he regarded as a “receptionist” or “office staff.”  (R. 117.)   He asked if the two buildings of 259 and 261 North Pulaski constituted separate offices, and was told by the woman that they were not.  (R. 120.)  His affidavit contained his visible observations: 
At the office of the 28th Ward, the signage makes the distinction between the 28th Ward Democratic Organization and the Aldermanic Service Center which is also combined with the 10th District State Representative Collins.  The office has one (1) functional entrance at the south end of the building.  The lower end of the office houses a countered reception area.  It is possible to walk straight into the back area where the offices are housed by passing through a door at the end of the room.  There is a sign on that door that states to the effect that only officials are permitted beyond the door.  This sign is to block visitors from the street from in-advertently walking into the office area (answered per inquiry of first receptionist). All operations are co-mingled.  There is no visible or physical distinction or demarcation between aldermanic and political functions that I could observe.

(R. 79.)  Mr. Swiss inquired about political work at the office:

I believe there is political work being done there because that is – when I went in to find out, I specifically asked the questions I was asking of people that worked in these offices along with the corresponding City of Chicago - - City of Chicago aldermanic office shows the same address as the committeeman from the Cook County Democratic Party.

(R. 132-3.)

Respondent called Jason Ervin as a witness. Mr. Ervin is a partner in the 261 N. Pulaski partnership which owns the building comprising 259-261 Pulaski.  (R. 133.)  Mr. Ervin also does work for Committeeman Ed Smith and is secretary of the “28th Ward Democratic Organization.”  (R. 143.)  Mr. Ervin testified that as secretary of the ward organization, he assists with organizing and distributing literature to volunteers, meeting with local precinct captains, and assisting in election day activities.  (R.145-6.)  Mr. Ervin further testified that he uses his office at 261 N. Pulaski for carrying out this work, and no rent is charged because he owns the building. (R. 134.)
Alderman Smith has space in both 259 N. Pulaski and 261 N. Pulaski. The City of Chicago leased space at 261 N. Pulaski as well as a portion of 259 N. Pulaski.  (R.  138.)  Respondent maintained that while political work took place in Mr. Ervin’s office at 261 N. Pulaski, no political work took place in the offices leased by the City of Chicago.  (R. 151.)
The Hearing Officer found that “both the signage outside of 261 N. Pulaski and the testimony by Mr. Ervin” indicated that the 28th Democratic Ward Organization existed.  (R. 81.)  In addition, the testimony of Mr. Ervin clearly revealed that he is providing his office at 261 N. Pulaski to perform political functions for the 28th ward organization as an “in-kind contribution.”  Ibid.   Respondent, as Committeeman for the 28th Ward, failed to file a Statement of Organization for the Democratic Ward Organization.  Id.  The Hearing officer recommended an Open Preliminary Hearing on the issue of whether the Respondent had unlawfully failed to file a statement of organization of the 28th Ward Democratic Organization with the State Board of Elections.  (R. 82.)
After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 83.)
31st Ward

In the D-4 filing in against the 31st Ward Democratic Organization, the Petitioner demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 31st Ward Committeeman as  4502 West Fullerton Avenue, Chicago, Illinois (R. 25.)   Complainant submitted photographs of the premises of 4502 West Fullerton Avenue, Chicago Illinois, that demonstrated that on the storefront windows of the address, large letters are painted stating “31st WARD DEMOCRATIC ORGANIZATION,”  Alderman Ray Suarez,” and “Committeeman Commissioner Joseph Berrios.”  (R. 19-20.)
Petitioner’s affiant stated that on August 10, 2005 he entered the offices at 4502 West Fullerton Avenue at approximately 1:00 p.m.,  and spent seven to twelve minutes in the office.  (R. 83-4.)  The office had only one functional entrance.  (R. 82, 97.)  Mr. Swiss saw commingled operations, with not demarcation or distinction of political and aldermanic roles.  (R. 82.) 
 Mr. Swiss had a conversation with a person behind the counter in the office. (R. 81.)  The counter was four feet high, with staff members behind it.  (R. 120.)  Mr. Swiss had to stand in line to be served.  Ibid.  He concluded that the person was an employee because the woman asked if she could help him, in an authoritative manner.  (R. 86.)   Mr. Swiss testified:
HEARING OFFICER KRASNY:  No, we are not saying at every site, we are talking about this particular location.

Q. Okay.  So at the 31st Ward Organization I went in and I asked if this is where political work was done, is this where volunteers gather to do political work, is this where palm cards and yard signs would be passed out.
 
Q.   Did the woman answer your question?

A. Yes.

Q. What did she say?

[objection made and overruled.] 

A.    She answered in the affirmative. 

(R. 122-3.) 
The City of Chicago lists the 4502 West Fullerton location as the ward office of 31st Ward Alderman Ray Suarez.  (R.22.)   As noted above the painted lettering on the office windows identified the location as both the 31st Ward Democratic Organization and “Alderman Ray Suarez.”  (R. 19.)    Records of the City of Chicago demonstrated monthly rent payments of $1,600.00 to “Emildan Management Co.”  for Aldermanic lease payments on behalf of Alderman Suarez.  (R.37.)  
 The Form D-2 financial disclosure statements, submitted under oath by the 31st Ward Democratic Campaign Fund list an address of 4502 West Fullerton, Chicago, Illinois.  (R. 9.)   The Form D-2s list no rent or other expense for the period July 1, 2003 through June 30, 2005.  (R. 9-12.) 
 At the preliminary hearing conducted on October 5, 2005, the 31st Ward Democratic Campaign Fund called Joseph Berrios, the 31st Ward Democratic Committeeman, as a witness.  (R. 130.)   Mr. Berrios admitted that he maintains his Committeeman office at the 4502 West Fullerton location.  (R. 133.)   Mr. Berrios also admitted that the payments by the City were for rent expense on the 4502 West Fullerton premises.  (R. 134.)   Mr. Berrios testified that the computers and furniture of the office were paid for by “various campaign funds.”  (R. 134-5.)   Mr. Berrios testified that between 51 and 55 percent of the office expenses were paid for by campaign funds.  (R. 136.)  Mr. Berrios admitted that none of the amounts paid by campaign funds were paid by the Respondent 31st Ward Democratic Campaign Fund.  (R. 137.)  The master lessee of the premises, however, is the “31st Ward Democratic Campaign Organization”, a corporate entity.  (R. 138.)   The 31st Ward Democratic Campaign Organization corporate entity is not registered as a political committee with the Illinois State Board of Elections.  Ibid.   Mr. Berrios’ role as Democratic Committeeman for the 31st Ward is “to help elect Democratic candidates.”  (R. 141).  To do so he uses more than one “campaign fund”, including “Committeeman for Berrios”, “Committee to Re-elect Berrios” and the “31st Ward Democratic Campaign Organization”.  (R. 141).  Recently, however, the “31st Ward Democratic Campaign Organization” has been “dormant.”  (R. 143.) 
 The political functions of Committeeman Berrios’ various funds are conducted at 4502 West Fullerton.  (R. 143.)  Some political activity occurs in the office, unless a meeting is too large, and must be held at a local restaurant.  (R. 143-4.)  A series of oral agreements between the Alderman and Committeeman of the ward exists for splitting the expenses of the office. (R. 145.)  Committeeman Berrios admitted that the only entity paying rent for the 4502 West Fullerton office was the City of Chicago (R. 149-50), and that the $1,600 monthly payment by the City approximately equaled the monthly rent for the office premises.  (R. 149.)   Mr. Berrios admitted that neither the “31st Ward Democratic Organization” corporate entity, nor the “31st Ward Democratic Campaign Fund” made payments for rent or expenses of the 4502 West Fullerton office.  (R. 151-2.) 

 In a section of his Report entitled “Findings of Fact and Recommendations” the Hearing Officer recommended that the case proceed to Open Preliminary Hearing.  He noted:
[T]he evidence suggests that political activities were occurring at 4502 West Fullerton without any meaningfully attempt to separate the aldermanic functions and costs from the committeeman function and costs.  Rather, the evidence in the instant case shows a commingling of expenses and income.  Mr. Berrios’ testimony confirmed Mr. Swiss’ testimony that committeeman “political activities” were taking place at 4502 W. Fullerton.  Considering the fact that those political activities may have been subsidized by rent payments made to 4502 W. Fullerton by the City, requires, in my opinion, that this matter proceed to an Open Preliminary Hearing where these unanswered questions can be addressed.

(R. 62.)

 After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 63.)
39th Ward
In the D-4 filing in against the 39th Ward Regular Democratic Organization, the Complainant demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 39th Ward Regular Democratic Organization as 4404 West Lawrence Avenue, Chicago Illinois (R. 29.)  Signage at the office of the 39th ward indicates it housed the Committeeman Randy Barnette, the 39th Ward Democratic Organization, Alderman Margaret Laurino, and State Representative D’Amico (R. 22-4) 
The City of Chicago lists the 4404 West Lawrence Avenue address as the ward office of 39th Ward Alderman Margaret Laurino.  (R. 26.)  Records of the City of Chicago demonstrated rent payments of $1,000 per month to a “John Rentas” for Aldermanic lease payments on behalf of Alderman Laurino.  (R. 32.)  
The Form D-2 financial disclosure statements, submitted under oath by the 39th Ward Regular Democratic Organization, list the 4404 West Lawrence Avenue address, but no rent payments whatsoever during the two year period of January 1, 2004 through June 30, 2005.  (R. 9-13.)  The last rent payment by the 39th Ward Regular Democratic Organization was a $1,200 payment to Mr. Rentas on August 1, 2003. 
Complainant’s affiant and witness, Thomas Swiss, entered the Aldermanic Office at 4404 West Lawrence on August 10, 2005.  There was one functional entrance.  (R. 10-11.)  While in the office, he observed one functioning, busy office.  (R. 14.)    He could not distinguish any demarcation between aldermanic and political functions by observation.  (R. 106.)  The office was staffed with more than five people.  (R. 11-12.)  Mr. Swiss spoke to one person for approximately four to five minutes.  (R. 85-7.)  The person was seated at a desk in the office, performing office work of answering phones and working on a document.  (R. 88.)  Swiss asked the person, a man, whether political yard signs were distributed from the office, whether palm cards were distributed from the office, and whether political volunteers worked out of the office.  (R. 109-113.)  The response was affirmative on all questions.  Ibid.  
Respondent presented the testimony of Shirley Taetle, a Certified Public Accountant (R. 117.)  Ms. Taetle prepared Form D-2 financial disclosure reports for the “39th Ward Democratic Organization,” “Friends of Margaret Laurino,” and “Citizens for Randy Barnette.”  (R. 118-120.)  Ms. Taetle testified that during the period 2003-2005, some 50% the expenses for the office at 4404 West Lawrence were paid by “Friends of Margaret Laurino” political committee.  (R. 120-2.)  Ms. Taetle testified that the last actual rent payment made by the 39th Ward Regular Democratic Organization was in August 2003.  (R. 124.)  Ms. Taetle did not know what amount  the “Friends of Margaret Laurino”  paid any rent.  (R. 126.)  Upon being shown Forms D-2 for the “Friends of Margaret Laurino” committee for the period 2003-5, Ms. Taetle could only identify Three rent payments by that  committee, each for one month’s rent in December 2003, July 2004 and December 2004.  Furthermore, according to the D-2 filed on behalf of the 39th Ward Regular Democratic Organization (and corroborated by Ms. Taetle), this committee did not pay for any of the expenses at 4404 W. Lawrence.  R. 9-15.) 
The Hearing Officer found that “considering the fact that political activities of the 39th Ward Democratic Organization may have been subsidized by rent payments made by the City of Chicago for the office at 4404 W. Lawrence” this required that the matter proceed to an open preliminary hearing where these unanswered questions may be addressed.” (R. 66.) 
After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 67.)
40th Ward

In the D-4 filing in against the 40th Ward Regular Democratic Organization, the Petitioner demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 40th Ward Committeeman as 5850 North Lincoln Avenue Chicago, Illinois (R. 22.)   Complainant submitted photographs of the premises of 5850 North Lincoln Avenue, Chicago Illinois, that demonstrated that on the storefront windows of the address, with a sign stating  “PATRICK J. O’CONNOR, ALDERMAN – 40TH. WARD”  (R. 17.)
Petitioner’s affiant and witness, Eric Kohn, stated that in the morning of August 22, 2005 he entered the offices at 5850 North Lincoln Avenue.  (R. 68-70.)   He entered the door for Patrick O’Connor’s 40th Ward office, and observed a reception desk closest to the entrance, behind which was a woman in later 50s.  (R. 71.)   He also observed six to eight desks or work stations.  (R. 72.)   As he entered the office, he noticed an entryway leading to another office, which he did not enter.  (R. 72.)  Mr. Kohn asked if he was in the aldermanic office of Alderman O’Connor, and received an affirmative reply.  (R. 74.)  He also asked if this was the office to come to for political work, and again received an affirmative response.  (R. 76.)   Mr. Kohn saw no political signs or literature.  (R. 78-9.)  Mr. Kohn testified:
Q. While you were at the office, did you specifically ask – and I want to ask this question as broadly as possible – in any way about may I speak to someone regarding volunteering on a campaign or getting campaign literature or are there certain hours for the party office or is this – is this the office where I’m standing or vis-a vis the other office on the left, the law office?

A. I did not ask to talk to anybody about volunteering politically.  I asked the receptionist that I spoke with if this was the location where I would com if I were interested in doing work for the local Democratic Party, to which she answered that it was.  

(R. 81-2.) 
The City of Chicago lists the 5850 North Lincoln Avenue location as the ward office of 40th Ward Alderman Patrick O’Connor.  (R. 19.)   Records of the City of Chicago demonstrated monthly rent payments of $1,857.38 to “Ted Sim” for Aldermanic lease payments on behalf of Alderman O’Connor.  (R. 25.)  
 The Form D-2 financial disclosure statements, submitted under oath by the 40th Ward Regular Democratic Organization list an address of 5850 North Lincoln Avenue Chicago, Illinois.  (R. 9.)   The Form D-2s list no rent or other expense for the period July 1, 2003 through June 30, 2005.  (R. 9-12.) 
 At the preliminary hearing conducted on October 5, 2005, the 40th Ward Regular Democratic Organization offered no witnesses or exhibits, but asked the Hearing Officer to find and consider Forms D-2 filed for “citizens for Patrick J. O’Connor.” (R. 58.)   
 In a section of his Report entitled “Findings of Fact and Recommendations” the Hearing Officer recommended that the case proceed to Open Preliminary Hearing.  He noted:
In the instant case, the 40th Ward Regular Democratic Organization has filed a statement of organization as required under the Act.   The address for the organization is listed as 5850 N. Lincoln Ave. Chicago, Illinois.  Its purpose is listed as “Support the Democratic candidates for city & county offices in the 40th Ward Regular Democratic Organization.”  The purpose of “Citizens for Patrick J. O’Connor”, referred to by Respondent at the hearing is “to support the candidacy of Patrick O’Connor for public office.”  From looking at the purpose, set forth in the statement of organization of “Citizens for Patrick O’Connor” and the scheduled attached thereto, one cannot determine, as suggested by Respondent’s counsel, that the 40th Ward Democratic Organization chose to engage in political activities through “Citizens for Patrick O’Connor.” 
Complainant, on the other hand, has presented some evidence indicating that Democratic political activities were being conducted out of the 40th Ward office, that the address of the 40th Ward Committeeman Organization and 40th Ward aldermanic office were the same and that rent was being paid by the City of Chicago for the space at 5850 N. Lincoln. 

(R. 58-9.)

 After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 60.)
49th Ward

In the D-4 filing in against the Democratic Party of the 49th Ward, the Petitioner demonstrated the following.  The website of the Cook County Democratic Party lists the address of the 49th Ward Committeeman as 7356 North Greenview Avenue Chicago, Illinois (R. 48.)   Complainant submitted photographs of the premises of 7356 North Greenview Avenue, Chicago Illinois, that demonstrated that on the storefront windows of the address, with a sign stating “JOSEPH A. MOORE, ALDERMAN  49TH. WARD.”  (R. 41.)
Petitioner’s affiant and first witness, Thomas Swiss, stated that in the morning of August 10, 2005 he took pictures of the exterior of the premises at 7356 North Greenview Avenue.  (R. 93.)   Petitioner’s second witness, Eric Kohn, stated that he entered the offices at XXX on August 22, 2005. (R. 99.)  Upon initial entry, Mr. Kohn found a walled off entry with a reception counter that blocked further progress.  (R. 100.)  A person was behind the counter, and Mr. Kohn said that he would like to ask a few questions about the office, the duties of the Alderman and the services available though the office.  (R. 101.)   Mr. Kohn was introduced to Kevin Cosgrove, the Chief of Staff for Alderman Moore, and take to a private office.  (R. 103-4.)  When Mr. Kohn asked about doing political work in the ward, he was told that he would need to talk to the Committeeman David Fagus, who “has a desk at this office.”  (R. 107.)   Mr. Kohn testified:
Q. But it’s also correct that Mr. Cosgrove said he would refer you to the Committeeman?

A. He said he would – if I wanted to do political work, he would refer me to Committeeman Fagus.  And when I inquired if this was Mr. Fagus’s office and if he was there, he indicated to me that Mr. Fagus had a desk at that location and that he was not there at the time.  In addition to that, I should say that in addition to that being the location where Mr. Fagus received his mail. 

(R. 112-3.)  Mr. Cosgrove asked if Mr. Kohn would be interested in handing out flyers that coming weekend for the local Democratic organization.  (R. 107.)
The City of Chicago lists the 7356 North Greenview Avenue location as the ward office of 49th Ward Alderman Joseph Moore.  (R. 44.)   Records of the City of Chicago demonstrated rent payments of $1360 monthly to “Jarvis Plaza” for Aldermanic lease payments on behalf of Alderman Moore.  (R. 50.)  
 The Form D-2 financial disclosure statements, submitted under oath by the Democratic Party of the 49th Ward list an address of 7356 North Greenview Avenue Chicago, Illinois.  (R. 9.)   The Form D-2s list no rent or other expense for the period July 1, 2003 through June 30, 2005.  (R. 9-32.) 
 At the preliminary hearing conducted on October 5, 2005, the Democratic Party of the 49th Ward offered no witnesses or exhibits, but asked the Hearing Officer to find and consider Forms D-2 filed for “Citizens for Joe Moore” (R. 119.)   
 In a section of his Report entitled “Findings of Fact and Recommendations” the Hearing Officer recommended that the case proceed to Open Preliminary Hearing.  He noted:
In the instant case, the Democratic Party of the 49th Ward has filed a statement of organization as required under the Act.   The address for the organization is listed as 7356 North Greenview.  (However, according to the Board of Election website, it appears that on 8/30/05 the address was changed to 1440 W. Lunt, Chicago, Illinois.)  The purpose is listed as “To support & elect Democratic candidates to support the political activities of David Fagus”.  According to the Board of Election website, the purpose of “Citizens for Joe Moore” is “to elect Joe Moore to Public Office” (A review of the State Board of Election website did not reveal any committee named “Citizens for David Fagus”).  From looking at the purpose, set forth in the statement of organization of “Citizens of Joe Moore” and the schedules attached thereto, one cannot determine, as suggested by Respondent’s counsel, that the 49th Ward Democratic Organization chose to engage in political activities through “Citizens for Joe Moore” or any another political committee.
 
Complainant, on the other hand, has presented some evidence indicating that Democratic political activities were being conducted out of the 49th Ward office, that the address of Democratic Party of the 49th Ward and the 49th Ward aldermanic offices were the same (until 8/30/05) and that rent was being paid by the City of Chicago for the space at7356 North Greenview, Chicago, Illinois.

(R. 84.)

 After executive session on the matter, in its Final Order of October 21, 2005, the Board of Elections made no findings, and overruled no findings of the Hearing Officer.   The Board did not adopt the findings of the Hearing Officer and accepted the recommendation of the Board’s Chief Legal Counsel that there were “insufficient grounds to warrant an open hearing on this matter.”  (R. 86.)