TRAINING MANUAL

2013

Updated:7/8/2013

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TABLE OF CONTENTS

SECTION1: ABOUT CAHU PAC

SECTION 2: CAHU CONTACT INFORMATION

CAHU CONTACT SHEET

CAHU PAC CONTACT SHEET

SECTION 3: CHAPTER GOALS AND MEMBER ROSTER,

PACESETTER PAC GOALS

CHAPTER GOALS/STRATEGIC PLAN

CHAPTER PAC ACTION PLAN

CHAPTER MEMBER ROSTER

SECTION 4: DUTIES AND RESPONSBILITIES OF A CHAPTER PAC CHAIR

SECTION 5: PAC CONTRIBUTION ADMINISTRATION – NETFILE

NETFILE DATA BASE INFORMATION

SAMPLE EXCEL SPREADSHEET OF CHAPTER PAC CONTRIBUTORS

SAMPLE INDIVIDUAL CONTRIBUTOR INFORMATION CARD

SAMPLE LOCAL CHAPTER CONTRIBUTION GOALS AND YEAR-TO-DATE PROGRESS MONTHLY `REPORT

SECTION 6: RULES AND REGULATIONS

CALIFORNIA FAIR POLITICAL PRACTICES/ CALIFORNIA STATE CONTRIBUTIONS LIMITS AND RULES

SAMPLE PAC APPEAL LETTERS

DO’S AND DON’TS

SECTION 7: CURRENT PAC CONTRIBUTION FORM

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About CAHU PAC

CAHU PAC was established in 1992 as the political action committee associated with the California Association of Health Underwriters (CAHU). Its mission is to make strategically targeted political contributions to elect candidates for legislative office who understand the importance of the role of the agent in the delivery of private health insurance and other related insurance areas.

CAHU PAC accepts contributions primarily, but not solely, from licensed insurance agents and insurance companies and operates under California legal authority. CAHU-PAC’s Board of Directors, which has a separate Board of Directors and Bylaws from CAHU, works with CAHU and the local California chapters to create networking opportunities so that legislators and candidates understand the vital role of independent and licensed insurance agents. Information about the CAHU-PAC Board members can be found at www.cahupac.org.

CAHU members are primarily engaged in the health insurance industry, but every licensed insurance agent who solicits dental, vision, group term life insurance, long term disability, long term care, senior insurance products, or voluntary insurance products can benefit from the election of candidates supported by CAHU PAC.

There are many agents that have chosen not join CAHU, but it is not necessary to be a CAHU member to contribute to CAHU PAC.

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Who Gives & Receives Funds from CAHU PAC

Please click on the link below for information on the California Secretary of State website of CAHU

PAC's funds received by contributors and contributions made to legislators. This is public information

and is provided from CAHU PAC's most recent Form 460 filings with the Fair Political Practices

Commission.

http://www.cal-access.ss.ca.gov/Campaign/Committees/Detail.aspx?id=1049575&session=2013

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CAHU PAC CONTACT SHEET

CAHU PAC Board Roster can be found on www.cahupac.org

Rick Coburn

Vice President, PAC

rcoburn@wordandbrown.com

415-726-9556

Susan Carleson

CAHU Executive Director

info@cahu.org

800-322-5934

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DUTIES AND RESPONSIBILITIES OF A CHAPTER PAC CHAIR

The main purpose of the PAC chair is to facilitate raising funds from our membership and others for contribution to CAHU PAC and for distribution to candidates or other political entities with the purpose of providing our profession with a united voice, and to educate the membership as to why it is important to make a PAC contribution.

Duties include:

• Understanding the political process and CAHU’s place in that process.

• Understanding current political issues and CAHU’s position on those issues.

• Understanding the structure of the CAHU PAC Executive Board and how disbursement decisions are made.

• Understanding the function of our PAC legal advisor, Bell, McAndrews and Hiltachk, LLP, their PAC accounting database, Netfile, and how to obtain reports on current contributors and contribution amounts.

• Understanding the general rules of solicitation.

• Actively promoting CAHU PAC to the chapter membership to increase contributions, by speaking at monthly meetings, having a supply of contribution forms available at monthly meetings, updating the membership on chapter and CAHU fundraising efforts, sending out contribution appeal letters, having fund-raiser events, and other methods. It is mandatory to check with the CAHU PAC chair before sending out an appeal letter, using a raffle or promoting a function designed to raise PAC contributions so that it complies with legal requirements.

• Attending periodic conference calls and meetings concerning PAC and legislation.

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DATE AMOUNT CONTRIBUTION TYPE LAST NAME OR BUSINESS NAME FIRST NAME CHAPTER ADDRESS CITY STATE ZIP EMAIL

6/1/2013 $85.00 Credit Card Contribution PAC Contributor ACAHU 1234 Main Street Any City CA 90000 paccontributor@gmail.com

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7/3/13 NETFILE

https://secure.netfile.com/scripts/runisa.dll?NETFILE.524994:HOME:554015664 1/1

California Association of Health Underwriters PAC

226501

892177

Contributor/Vendor Information Card

Contributor, PAC

1234 Main Street

Any City, CA 90000Attn: ACAHU

Occupation: BrokerEmployer: Insurance CompanyEIN:

Category: INDIVIDUAL

Home: Work: E-mail:

Affiliates: Create a new affiliation...

Transaction Detail Inflows Outflows

06/01/2013

06012013 A 85.00

Subtotals for 2013 85.00 0.00

Refresh Show: by Year Year: 2013 Max Display: 10

Export

85.00 0.00

NOTE: 'Show All ' ignores Year value. Show key of transaction types.

View Another Info Card

Manuals & Documentation | Training & Technical Support

All Portions © 2012 NetFile

All Rights Reserved.

NFMAIN, version 2.9.2.16 ( Diagnostic: FALSE )

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CAHU PAC LOCAL CHAPTER CONTRIBUTION GOALS AND YEAR-TO-DATE PROGRESSAS OF

6/30/2013

Chapter Contributions

# Members from NAHU

roster as of June 2013

Funding Per

Member (Goal)

# of Members Contributing This Month

12-13 Fund Raising Target

Current Month Funds Raised 6/1/13

through 6/30/13YTD $ raised per

contributor% of Members Contributing % of Goal

Current Year to Date Funds

Raised 7/1/12 - 6/30/13

Prior Year to Date Funds

Raised 7/1/11 - 6/30/12

Current Year to Prior Year Comparison

Money Raised for

Independent Expenditures

Central California 136 175.00$ 8 23,800.00$ 257.00$ 1,063.63$ 5.9% 35.8% 8,509.00$ 21,618.00$ 39%Desert Cities 62 175.00$ 10 10,850.00$ 392.00$ 657.60$ 16.1% 60.6% 6,576.00$ 6,557.96$ 100%Golden Gate 169 175.00$ 18 29,575.00$ 1,529.00$ 1,075.50$ 10.7% 65.5% 19,359.00$ 23,629.00$ 82% $75,000.00Inland Empire 159 175.00$ 23 27,825.00$ 1,073.00$ 665.13$ 14.5% 55.0% 15,298.00$ 11,452.04$ 134%Kern 51 175.00$ 11 8,925.00$ 648.00$ 647.09$ 21.6% 79.8% 7,118.00$ 9,185.00$ 77%Los Angeles 437 175.00$ 31 76,475.00$ 2,489.00$ 1,294.42$ 7.1% 52.5% 40,126.99$ 56,385.96$ 71% $50,000.00North Coast 94 175.00$ 12 16,450.00$ 481.00$ 394.58$ 12.8% 28.8% 4,735.00$ 13,916.00$ 34%North Valley 51 175.00$ 14 8,925.00$ 1,773.00$ 654.79$ 27.5% 102.7% 9,167.00$ 11,130.31$ 82%Orange County 331 175.00$ 27 57,925.00$ 1,012.00$ 647.70$ 8.2% 30.2% 17,488.00$ 22,544.00$ 78%Sacramento 239 175.00$ 10 41,825.00$ 412.34$ 1,541.81$ 4.2% 36.9% 15,418.08$ 19,516.74$ 79%Santa Barbara 55 175.00$ 6 9,625.00$ 331.33$ 1,306.33$ 10.9% 81.4% 7,837.96$ 6,705.63$ 117%San Diego 290 175.00$ 28 50,750.00$ 1,884.67$ 1,175.92$ 9.7% 64.9% 32,925.86$ 29,990.13$ 110%Silicon Valley 195 175.00$ 39 34,125.00$ 1,805.00$ 722.72$ 20.0% 82.6% 28,186.00$ 35,397.96$ 80%Ventura 83 175.00$ 15 14,525.00$ 586.00$ 655.47$ 18.1% 67.7% 9,832.00$ 6,098.00$ 161%TOTALS 2352 252 411,600.00$ 14,673.34$ 883.24$ 13.4% 54.1% 222,576.89$ 274,126.73$ 81% $125,000.00

67 Auto Checking $2,786.01Net Worth as of 6/30/13:

179 Credit Cards $9,942.33 $160,342.93 All Purpose Account6 One-Time $1,945.00 $0.00 Restricted Use Account

252 Total $14,673.34 $500.00 Debit Card Account$160,842.93 Total Net Worth

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SAMPLE PAC APPEAL LETTER

We have never faced as many challenges as we do today. Healthcare Reform has created many areas for the California Legislature to impact not only our industry but our clients business.

This spring, when bills are being hammered into law, we have the opportunity to add our viewpoints to the process.

Here is some of the legislation that concerns us:

A bill to limit small group choice of self -funded plans.

A bill to limit the choice of plans outside the individual Exchange, and for large groups.

A bill to severely limit wellness programs.

A bill to extend tax deductibility for HSA plans in California.

(add or subtract as other bills become important)

It is our responsibility to our membership to support legislators who understand and support our industry. The CAHU PAC Committee was established to represent our industry and it carefully reviews the legislators’ needs, views, and voting records as the basis of contributions decisions.

But we need contributions to have an effective voice in Sacramento. The more contributions, the louder our voice is. If you contribute now, increase your contribution! If you have not contributed before, start now!

You can make your contribution several ways:

1) Complete and return the enclosed (or attached) donation form 2) Visit the CAHU PAC website and make a donation on line-www.cahupac.org

For more information on CAHU PAC, visit www. cahupac.org. Donations are not tax deductible.

Sincerely,

PAC Chair

AnyAHU

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Do’s and Don’ts of PAC Appeals

− You have to have a disclaimer that PAC contributions are not tax deductible (IRS statute) – min. 12 pt font.

− Written solicitations need to say “Paid for by CAHU PAC” (spelled out) and if mailed or emailed must also include the PAC’s address. “Paid for by” min. 10 pt font. Address min. 6 pt font.

− Solicitations cannot be enclosed with an employee’s paycheck. (Labor Code) − You have to collect the donor’s name, street address (no PO Boxes), and if the donor is an

individual, the occupation and employer. − Cannot accept cash of $100 or more (can’t even give change for $100 bill). − Can’t accept money orders or cashier’s checks. − Can’t accept anonymous contributions of $100 or more. − Foreign nationals (individuals and businesses) are prohibited from making campaign contributions

– individuals with permanent residency (green card) may contribute. (federal and state laws) − Date received: A monetary contribution is received on the date that the committee, or an agent of

the committee, obtains possession or control of the cash, check, or other form of contribution, not the date it is deposited in the bank account. Contributions received by electronic methods such as wire transfer, credit card or debit account transactions are also received on the date the committee obtains possession or control of the funds. Contributions collected by payroll deduction or membership dues by a membership organization are received on the earlier of the following: date the PAC actually obtains possession of the funds or within 60 days after receipt of the payments by the committee’s sponsor (the membership organization).

− Contributions from affiliated sources must be aggregated for purposes of the “all purpose” (state candidate support) contribution limit as well as the donor’s “major donor committee” qualification threshold.

− Contributions must be reported from the “true source” – not concealed or laundered. An intermediary who has control of the funds must also be disclosed (name and street address) as such (an intermediary is any entity that would appear to be the true source of a contribution without more information, such as an employee who is reimbursed by an employer or a trade association that receives dues from members earmarked for a PAC).

− Contributions cannot be delivered in the state capitol. − Contribution may (but we advise against) be delivered to district offices. − NEVER mix campaign money and policy – if a meeting is for lobbying purposes, do not discuss

upcoming fundraising events or planned contributions; if a meeting is for campaign purposes (CAHU PAC, a candidate’s committee, or any other PAC), do not discuss legislative proposals, bills, upcoming committee hearings, administrative actions, or other specific policy matters. Ok to generically talk about industry concerns or issues (broad brush, non-specific). Solicitations for contributions to CAHU PAC should also reflect this separation – CAHU PAC makes contributions to support candidates and elected officials who understand the issues that the industry faces, etc – not candidates who HAVE VOTED in a particular way in the past or are expected to vote in a particular way in the future, or who sit on a committee that is hearing a bill next week that CAHU cares about, etc.

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Revised: 3/30/12

California Association of Health Underwriters Political Action Committee

FPPC # 892177

www.cahupac.org info@cahupac.org

CAHU PAC CONTRIBUTOR COMMITMENT FORM

*LAST NAME *FIRST NAME MIDDLE NOTE: POLITICAL CONTRIBUTIONS ARE REPORTED TO THE FPPC, YOUR NAME AS A CONTRIBUTOR, WILL BE A MATTER OF PUBLIC RECORD.

*OCCUPATION Required for FPPC reporting purposes

*EMPLOYER (if self employed, name of business; Required for FPPC reporting purposes

WORK ADDRESS Please provide street address only, no PO Boxes Check box if billing address

CITY, STATE, ZIP PHONE FAX

HOME ADDRESS Please provide street address only, no PO Boxes Check Box if billing address

*CITY, STATE, ZIP PHONE FAX

CONTACT EMAIL ADDRESS LOCAL CHAPTER

PRECIOUS GEM STONE CONTRIBUTION LEVELS

Levels Annual Monthly Minimum Diamond Levels Annual Monthly Minimum Ruby $250 - $499 $21/month One Star $1,000 - $1,999 $85/month

Emerald $500 - $719 $42/month Two Star $2,000 - $2,999 $170/month

Sapphire $720 - $999 $60/month Three Star $3,000 - $3,999 $250/month

Four Star $4,000 - $4,999 $340/month

Five Star $5,000 - $6,000 $420/month

PAYMENT METHOD: (please attach check or select desired method below)

Check Enclosed Ck # Monthly Amount

One-Time Contribution

Visa/MC/Amex # Exp. $ $

Billing Address: If either address is not checked above, please provide credit card billing address below:

Street Address_____________________________________________ City_____________________ State____ Zip _______________ Auto-checking withdrawal

PLEASE ATTACH A VOIDED CHECK $

Bank Draft / Credit Card Authorization: I (we) hereby authorize the CAHU PAC to initiate debt entries to my (our) checking account and or credit card. Monthly or one-time debits to be made as shown above. Monthly contributions will continue to be on the 10

th of each month until CAHU PAC is notified in writing to cease. I understand that if I should request changes to the amount

withdrawn or a cancellation of these charges that it may be 30 days before these changes to become effective.

Signed: __________________________Date:____________________

PHONE: 916.442.7757 FAX: 916.442.7759

CAHU PAC

www.cahupac.org info@cahupac.org Page 16 of 16

SAMPLE -- VISIT

WWW.CAHUPAC.ORG FOR CURRENT

FORM

Contributions are not tax deductible as a charitable donation or as an ordinary business expense.