LNO Special Called
Zoom Meeting
August 1, 2024 6:30 PM CST
Minutes
Members Present
|
National
President Roman Palomares |
SD for
Texas Gabriel Rosales |
|
|
Treasurer
Summer Gonzales |
SD for
Florida Asia Clermont |
|
|
VP for
the Northeast Ramery De Luna |
SD for
Illinois Cecila Garcia |
|
|
VP for
the Northwest Euler Torres |
SDD
for Iowa Joe Henry |
|
|
VP for
the Midwest Emma Lozano |
SD for
Nevada Malu Elizondo |
|
|
VP for
the Southeast Mari Corugedo |
SD for
Arizona Mary T Conseta |
|
|
VP for
the Southwest Ray Mancera |
SD for
Puerto Rico Carlos Fajardo |
|
|
VP for
the Far West Jose Barrera |
SD for
New York Sylvia Mata Gonzales |
|
|
VP for
the Elderly Ana Valenzuela |
SD for
California Jacob Sandoval |
|
|
VP for
Women Lupe Torres |
SD for
Massachusetts Grace Garcia |
|
|
VP for
Young Adults Eldia Martinez |
Former
President Hector Flores |
|
|
VP for
the Youth Ana Coca |
Former
President Rosa Rosales |
|
|
James
Fukuda-New Jersey |
Christopher
Espinoza, New York |
|
|
CEO
Juan Proano |
Eric
Cedillo, Legal Advisor |
|
|
Gloria
Leal, General Counsel |
Meeting was called to order by President Palomares at 6:35
PM CST.
Roll call was conducted by National Secretary Gloria
Suarez-Sasser and a quorum was established.
Chairman’s Report: President Palomares thanked everyone for
attending and for viewing the presentation on 2025 Project the night before. He explained that at the June 29th meeting the
board decided to research the possibility of establishing a PAC. He has met
with Juan Proano and Leonard Gonzales, and we have researched the issue. We have also discussed this with Gloria Leal,
General Counsel. He stated that we are
here tonight to discuss and possibly authorize the establishment of PAC and the
use of the LULAC name and logo. He also
noted that they have met with an attorney, who some of you know, we discussed
the 501c3 and 501c4, an area where he is an expert. He then introduced Juan Proano, CEO, who
would provide more information and background on forming a PAC for the
organization.
Juan Proano, CEO, shared and discussed the attachments,
President Palomares’ Memo and LULAC Adelante PAC provided to the Board members
in the notice of the meeting email. He stated that the memo from the President
provided steps to set up a PAC (see attachment 1), while the LULAC Adelante
gives a historical information on PACs (see attachment 2. Mr. Proano explained that they would be
discussing Super Pac. Some Super PACs
are aligned with candidates and political parties. It has become a popular
vehicle. So how does it impact LULAC, there are 71 Latino/Hispanic
organizations of which 18 are Super PACs. It’s not uncommon, some are connected
PACs and some stand alone.
LULAC has both a 501c3 and 501c4. While local councils have
used the 501c4 to advocate for issues it has not been used to support
candidates, that leaves us at a disadvantage.
The organization tries to influence advocacy, and we do that at the
state and national level and through the legal system by filing lawsuits and
that is hard. We have a case that lasted 18 years and others that were short
but most take time.
Unidos gets to be on the stage with the President, while we
sit in the audience, why because they endorse. They are in meetings with the
President because they endorse. Endorsements do not cost anything. Having a PAC
will allow us to endorse not only the Presidential candidate, but local and
state candidates.
VP Euler Tores, VP for the
Northwest, asked if city council and school board races would we also be able
to use the PAC to support or endorse candidates. Mr. Proano responded Yes, absolutely.
President Palomares stated we want those candidates who support our issues,
those are the candidate we want to endorse.
SD Rosales asked if this was going
to be for a short term or long term, there are only 95 days before the
election? Mr. Proano responded that it will
not only be able to have a voice on who the next President is; but also influence
state and local races. Endorsements
don’t cost but time is needed to vet a candidate. Latino Victory had a race
with two Latino candidates for the same office.
Who do we choose, and will it look like we are putting our thumb on the
scale?
James Fukuda, New Jersey, stated
that he was going to comment on not putting your thumb on the scale when it
comes to two Latino running for the same office. Latino Victory has been at time an “angel”
and have given to a campaign of upcoming Latino candidates. They start with
$2500 and then go further and donate more. Mr. Proano said that doesn’t
surprise him, they give first and not much and then if the candidate gets elected,
they take the credit for his election.
VP Jose Barrera, VP for Far West,
said he has seen that happen with Unidos, I make many endorsements for my
employer. There are many parameters we
need to set up for endorsements and a lot of it is footwork. We need to
establish standards to see if they are viable candidates and we don’t have to
give to everyone. I do think that the board needs to be included. Just looking at
other boards, they have many who can rein in lots of money. I would be interested in getting a corporate
on the board. I know this is further
down the road, be we also need to include members.
VP Ray Mancera, VP for the
Southwest, stated that we have always had to think outside the box. Unidos and Latino Victory do not have a 501c3
or 501c4, in our organization we have members, they don’t, we have election
every year and you can only serve for four years in an office, they don’t. They don’t have lawsuits; we are notorious for
filing lawsuits. So much that we were on the team that formed MALDEF, and people
forget that. They don’t provide scholarships, we do, they
have no history, we do. I applaud them. They
give large checks to their CEOs. We want
to pay our CEO, but its peanuts compared to what they make. So, my question is
can we continue our advocacy work, continue our work with the 501c3 and 501c4,
can we pick up a check and endorse people.
Who will do the work that is good for our people.
Mr. Proano stated that Janet
Murgia does not get paid for the work she does for Unidos. Most PACs like Voces
Latinos and Latino victory don’t run lot of money through the PAC, Unidos only
ran about $1 million through their PAC. As for structure, the IRS clearly
defines the structure of a PAC and the only thing you need is a treasurer. You
don’t need to appoint a CEO or secretary; you only need a treasurer. Most who
start a PAC use it to hide who they are.
We must be careful; we have a 501c3 and 501c4 and we don’t want to
overlap with board members. The PAC will be a separate entity, completely
separate and the only contact the National President will have is to appoint
the chair of the PAC. The PAC would not
have a board, but the President would appoint a committee that make the
decision on who to endorse. So, the PAC
would function essentially as a committee not a board.
VP Euler Torres asked if anyone would be
getting paid.
Mr. Proano stated No, I have no
plans to do that. President Palomares
stated that right now we are not envisioning that. The main thing I would like
to do is to move forward to see if we can establish a PAC. I would like to see a Chair, Secretary, Treasurer
and a committee.
VP Euler Torres asked how soon
after starting the PAC could be we start mobilizing the PAC, bringing in
potential candidates to interview. Since it is going to be a separate entity,
we will need branding. I don’t want to pay $10,000 to a company to develop the
logo. I have a company and I am donating
to the development of a brand. We should
send a request if there are members who can create a logo and donate it so we
can start on the branding. If we are
going to create this PAC, we need to protect the LULAC name. Just one member of
the board could decide that it is no longer LULAC Adelante, but rather
Adelante.
SD Rosales commented on VP E.
Torres’ point the past is a concern I have because this has happened before
with these types of PAC. We need more
than 3 persons on the board.
Gabriel Rosales, SD from Texas, stated his main concern is
how the PAC will be structured and that he is the State Director and sits on
the board he could appoint someone else to serve on the PAC, not himself. That would keep the board separate. This would
be great for us to develop this PAC, because other Latino Groups do not
necessary go into Latino communities.
Vice President Mari Corugedo, Vice President for the
Southeast, suggested a form be developed to facilitate selection of a
candidate. We could also have a board or
committee that interviews the candidates and chooses those who represent our
values and produces a report card grading all the candidates.
VP Emma Lozano, VP for the Midwest, stated she totally
endorsed the forming of a PAC. She sees
an opportunity to use a questionnaire to help vet the candidates. And the
candidates could use it to educate themselves on our positions.
VP De Luna said there is a way to
mechanize to get funding for the c4. I would like to see this happen and would
like us to reach out to our local councils. Now that Biden has dropped out, the
emphasis will be on the Latino voter. It is what it is, with the possibility of
there being a Black women President, the Black voter will be enthused and so
the emphasis will be on the Latino Voter. We cannot let three people use our
name and not have control.
Mr. Proano stated that there will
be no need for branding. We will be
doing GOTV and that will require funding so we will raise funds for GOTV
efforts and knocking on doors. We do need a process to vet candidates. California has a Voter’s Guide but that is
expensive. We do need to engage the
Latino voter.
Summer Gonzales, National Treasurer, inquired about who was
funding this effort. Mr. Proano stated that we did not have any leads on
funding; that starting a PAC is not expensive.
State Director Rosales recommended that we have a 6- or
7-member board, it’s still a small group that make all the decisions. I like the structure that LNESC, where each
member of the board gets to appoint someone to the board and the President
could also appoint a member.
State Director Asia Clermont, SD for Florida, said she agreed
with the speakers, and echoed that we must have something in our bylaws that
protects the organization. And that the PAC
board should have six to seven members.
Vice President Lupe Torres, VP for
Women, asked if councils could donate to the PAC, can a 501c3 donate, and can
the PAC refuse money from anyone or any group?
Mr. Proano said that we are
looking at a Super PAC, they can run TV ads, Radio ads, and endorse
candidates. LULAC members and
non-members can contribute to the PAC.
We can take out of organization donations.
State Director Rosales state that with a PAC like this we
would have a heavy impact here in Texas where we have a high level of apathy
that is generally due to the corruption of both parties. It will encourage voters to vote on issues
and make a big difference on and would fill the void.
Mr. Proano said he could go further than that; who is Unidos,
Latino Victory? Everyone know LULAC and an endorse from LULAC should have the most
weight than any other Latino organization in the country. We need to hear from our young adults.
Mr. Palomares once again reminded the board that we want to
use the name of LULAC and move forward.
Campaigns are eager for the Latino vote.
Vice President Ray Mancera, VP for the Southwest stated that
we want to make sure it is legal to use our name, LULAC or can we use it only
for National? VP Mancera stated that the motion should be something like this:
To authorize the President, CEO, and Legal to create a PAC, to allow them to
use the name for LULAC and to come back with the structure of the Pac. I have a question is the PAC only for
National election or are we going to use it for state and local races. That is the question for either Eric or
Gloria to clarify.
Mr. Proano asked if that included using the shield and name?
VP Mancera answered yes.
State Director Rosales said that we need a motion that
reflects what we have said about having a structure.
VP Mancera replied that it would be in the motion.
Action: Vice President Mancera moved, and Vice President Ana
Valenzuela, VP for the Elderly, seconded to authorize the President, CEO, and
Legal to create a PAC, to allow them to use the name LULAC, the shield and to
come back with the structure of the PAC.
Vice President De Luna said that
we are 95 days from the election are we going to come back in a month from now?
President Palomares said I’m
thinking we will be ready in a couple of days or by Monday.
Vice President De Luna replied we
are here already. I would make a motion.
President Palomares reminded him
that there was already a motion and a second and asked him if he would like to
amend the motion.
Vice President Ramery asked if we
are all in agreement, the President, the VPs and the at large seats, why are we
not just agree now, and the board is the PAC board?
President Palomares stated that if
the LNO board is the PAC board, there is going to be a problem.
Mr. Proano stated that would mean
that everyone on the c3 board (LNI) would need to resign from their c3 board to
be on the PAC Board.
President Palomares stated that
if we need to go back to the attorney and wait for another two weeks, we can do
that. If that is what you want.
Eric Cedillo, Legal advisor,
stated if that is what you want, we can speed up the process.
President Palomares replied he
could have it done by Monday.
VP Mancera stated he would amend
his motion to read by Monday. The decision to create has been agreed upon, only
thing left is the formalities and the structure.
Mr. Proano added we have a window
of opportunity opened, to get everything right, we have the right law firm to
have the opportunity to engage with candidates, to make an endorsement and that
window of opportunity will be gone soon.
President Palomares stated that
is exactly what will happen.
SD Rosales said it doesn’t have
to happen that way just give the board an appointment, give the State
Directors, President and the VPs an appointment to the PAC board. It must be
inclusive.
Someone asked is it a separate entity. President Palomares stated yes, it is.
Someone said then what is the
problem with Board members being on the PAC board. ; When we are on the c3
board we discuss c3: when we are on the PAC board we discuss the PAC.
Mr. Proano said we have discussed
this with the IRS, and we were told it was not allowed. We also talked with our
attorneys, and they too said it was not allowed.
VP Mancera stated that this is
only to start the PAC, and what happens today won’t be around for twenty years,
we can amend this later.
VP Ana Valenzuela, called for the
question.
The motion as amended reads:
Action: Vice President Mancera moved, and Vice President Ana
Valenzuela, VP for the Elderly, seconded to authorize the President, CEO, and
Legal to create a PAC, to allow them to use the name LULAC and the shield and
to come back with the structure of the PAC by Monday. Motion carried 22 to 1.
VP Mancera moved, and VP L. Torres seconded to adjourn.
Motion carried.
Respectfully submitted by
Gloria Suarez- Sasser, National Secretary
No comments:
Post a Comment