Loading...
HomeMy WebLinkAbout028-SL Equaterra In Re: Equaterra, : File Docket: 12-012-L Respondent : X-ref: Order No. 028-SL : Date Decided: 4/12/12 : Date Mailed: 4/17/12 Before: Louis W. Fryman, Chair Donald M. McCurdy Raquel K. Bergen Nicholas A. Colafella Mark Volk This is a final adjudication of the State Ethics Commission as to the alleged delinquency and/or deficiency of registration statement(s) and/or expense report(s) required to be filed pursuant to Pennsylvania’s lobbying disclosure law, 65 Pa.C.S. § 13A01 et seq., hereinafter referred to as the “Lobbying Disclosure Law.” The Investigative Division initiated these proceedings by filing with the State Ethics Commission and serving upon Respondent Equaterra, Inc. (now herein as Enterprise Sourcing Solutions, Inc. (“Equaterra”)) (hereinafter also referred to as “Respondent”) a Notice of Alleged Noncompliance. A Stipulation of Findings and a Consent Agreement were subsequently submitted by the parties to the Commission for consideration. The Stipulated Findings are set forth as the Findings in this Order. The Consent Agreement has been approved. I.ALLEGED NONCOMPLIANCE: That Equaterra, in its capacity as a principal registered with the Pennsylvania Department of State pursuant to the Pennsylvania Lobbying Disclosure Law (65 Pa.C.S. § 13A04), failed to timely file quarterly expense reports pursuant to 65 ndrd Pa.C.S. § 13A05, for the second (2) and third (3) quarters of 2011. II.FINDINGS: 1. For purposes of the instant Stipulation of Findings, the registered principal and Respondent is Equaterra, Inc. (now herein as Enterprise Sourcing Solutions, Inc. (“Equaterra”)). a. The principal registration statement at issue, associated with principal registration number P04820, filed with the Pennsylvania Department of State, identifies the registered principal only as “Equaterra.” 2. Equaterra is a registered principal as that term is defined by the Pennsylvania Lobbying Disclosure Law (“Lobbying Disclosure Law”), Act 134 of 2006, 65 Pa.C.S. § 13A01, et seq. a. Equaterra initially registered as a principal with the Department of State on July 7, 2007, for the registration period January 1, 2007, through December 31, 2008. Equaterra, 12-012-L Page 2 1. Equaterra submitted its registration fee of $100.00 via check number 3833. b. On February 17, 2009, Equaterra renewed its principal registration with the Department of State for the registration period January 1, 2009, through December 31, 2010. i. Equaterra submitted its renewal fee of $100.00 via check number 51575. c. On January 11, 2011, Equaterra renewed its principal registration with the Department of State for the registration period January 1, 2011, through December 31, 2012. i. Equaterra submitted its renewal fee of $200.00 via Credit Card Order Number LD DOS 279377 110111162143. d. In filing its principal registration, and renewals, Equaterra identified its registered mailing address as: 700 Twelfth Street, NW Suite 700 Washington, DC 20005 e. Equaterra does not maintain a mailing address at the address listed on its registration statement. i. On December 15, 2011, Petitioner sent Equaterra, via first class mail, a Warning Notice letter, informing Respondent of its delinquent quarterly expense reports. ii. On January 5, 2012, the December 15, 2011, Warning Notice letter was returned to Petitioner as “Return to Sender, Not Deliverable as Addressed, Unable to Forward.” f. Petitioner determined that Equaterra maintains a mailing address at 1676 International Drive, McLean, VA 22102. i. [Counsel for the Investigative Division] obtained a United States Post Office Certification verifying that Equaterra maintains a mailing address at 1676 International Drive, McLean, VA 22102. g. On January 20, 2012, Petitioner sent a second Warning Notice letter to Equaterra at the 1676 International Drive, McLean, VA 22102 address. i. The January 20, 2012, Warning Notice letter was not returned to Petitioner. 3. Equaterra filed a principal registration statement with the Pennsylvania Department of State on July 13, 2007. a. Equaterra’s registration statement indicates that lobbying commenced on June 1, 2007. Equaterra, 12-012-L Page 3 1. Equaterra’s registration statement was submitted by Glenn K. Davidson, Managing Director, Public Sector for Respondent. b. By registering with the Department of State, Equaterra consented to receive service of notices, other official mailings, or process at the address listed on the registration statement. c. Equaterra was assigned the principal registration number “P04820.” 4. Equaterra renewed its principal registration with the Department of State for both the 2009-2010 and 2011-[2012] registration periods. a. By renewing the registration with the Department of State, Equaterra consented to receive service of notices, other official mailings or process at the address listed on the registration statement. 5. The Lobbying Disclosure Law, specifically 65 Pa.C.S. § 13A04, states the following regarding the registration of an entity as a principal: § 13A04. Registration a. General rule.-- Unless excluded under section 13A06 (relating to exemption from registration and reporting), a lobbyist, lobbying firm or a principal must register with the department within ten days of acting in any capacity as a lobbyist, lobbying firm or principal. Registration shall be biennial and shall begin January 1, 2007. b. Principals and lobbying firms.-- 1. A principal or lobbying firm required to register under subsection (a) shall file a single registration statement setting forth the following information with the department: i. Name. ii. Permanent address. iii. Daytime telephone number. iv. E-mail address, if available. v. Name and nature of business. vi. Name, registration number and acronym of any affiliated political action committees. vii. Name and permanent business address of each individual who will for economic consideration engage in lobbying on behalf of the principal or lobbying firm. viii. Registration number when available. **** d. Amendments.-- 1. If there is a change of information required for the registration statement under subsection (b)(1) or (2) or (c), an amended registration statement shall be filed with the department within 14 days after the change occurs. Equaterra, 12-012-L Page 4 2. When there is a change in information required for the registration statement under subsection (b)(3), an amended registration statement shall be filed with the department within 14 days of the end of the year in which the change occurs. 65 Pa.C.S. § 13A04(a), (b)(1), (d). 6. In addition to the Lobbying Disclosure Law, the duly promulgated Regulations provide further information in relation to registration periods and reporting periods: § 51.3. Registration periods and reporting periods. a. Registration under section 13A04 of the act (relating to registration) shall be biennial. The first registration period which commenced January 1, 2007, continues through December 31, 2008. Subsequent registrations shall commence on January 1 of each odd numbered year. 51 Pa. Code § 51.3(a). 7. Section 13A05 of the Lobbying Disclosure Law sets forth, in part, the following requirements for the contents of quarterly reporting forms filed by principals. § 13A05. Reporting (a) General rule.-- A registered principal shall, under oath or affirmation, file quarterly expense reports with the department no later than 30 days after the last day of the quarter. (b) Content.-- (1) Each expense report must list the names and registration numbers when available of all lobbyists by whom lobbying is conducted on behalf of the principal and the general subject matter or issue being lobbied. (2) Each expense report shall include the total costs of all lobbying for the period. The total shall include all office expenses, personnel expenses, expenditures related to gifts, hospitality, transportation and lodging to State officials or employees, and any other lobbying costs. The total amount reported under this paragraph shall be allocated in its entirety among the following categories: (i) The costs for gifts, hospitality, transportation and lodging given to or provided to State officials or employees or their imme-diate families. (ii) The costs for direct communication. (iii) The costs for indirect communication. (iv) Expenses required to be reported under this subsection shall be allocated to one of the three categories listed under this section and shall not be included in more than one category. Equaterra, 12-012-L Page 5 65 Pa.C.S. § 13A05(a), (b)(1)-(2). 8. In addition to the Lobbying Disclosure Law, the duly promulgated Regulations provide further instructions in relation to registration periods and reporting periods: § 51.3. Registration periods and reporting periods. (b) Reporting under section 13A05 of the act (relating to reporting) shall be quarterly within each calendar year: for January through March; April through June; July through September; and October through December. Quarterly expense reports shall be filed on or before the 30th day after the quarterly reporting period ends. 51 Pa. Code § 51.3(b). 9. As a principal, Equaterra is required to file, under oath or affirmation, quarterly expense reports with the Department of State no later than thirty (30) days after the last day of the quarter. 10. Section 13A05 of the Lobbying Disclosure Law additionally sets forth the threshold with regard to reporting expenditures: (d) Thresholds for reporting.-- An expense report required under this section shall be filed when total expenses for lobbying exceed $2,500 for a registered principal in a reporting period. In a reporting period in which total expenses are $2,500 or less, a statement to that effect shall be filed. 65 Pa.C.S. § 13A05(d). 11. Section 13A03 of the Lobbying Disclosure Law defines the following terms: “Lobbying.” An effort to influence legislative action or administrative action in this Commonwealth. The term includes: (1) direct or indirect communication; (2) office expenses; and (3) providing any gift, hospitality, transportation or lodging to a State official or employee for the purpose of advancing the interest of the lobbyist or principal. “Legislative action.” An action taken by a State official or employee involving the preparation, research, drafting, introduction, consideration, modification, amendment, approval, passage, enactment, tabling, postponement, defeat or rejection of: (1) legislation; (2) legislative motions; (3) a veto by the Governor; or (4) confirmation of appointments by the Governor or appointments to public boards or commissions by a member of the General Assembly. “Legislation.” Bills, resolutions, amendments and nominations pending or proposed in either the Senate or the House of Representatives. The term Equaterra, 12-012-L Page 6 includes any other matter which may become the subject of action by either chamber of the General Assembly. “Direct communication.” An effort, whether written, oral or by any other medium, made by a lobbyist or principal, directed to a State official or employee, the purpose or foreseeable effect of which is to influence legislative action or administrative action. The term may include personnel expenses and office expenses. 65 Pa.C.S. § 13A03. 12. As a registered principal, Equaterra is required to file quarterly expense reports with the Department of State. nd a. Equaterra did not file a second (2) quarter 2011 expense report by August 1, 2011. rd b. Equaterra did not file a third (3) quarter 2011 expense report by October 31, 2011. 13. The Regulations promulgated under the Lobbying Disclosure Law specifically provide the following in relation to a delinquent filing: § 51.4. Delinquency. (a) A registration statement or report required to be filed under section 13A04 or 13A05 of the act (relating to registration; and reporting) is delinquent if not received by the Department on the date due as follows: (1) Hard copy filings must be received by 5 p.m. in the office. For quarterly expense reports, from 5 p.m. until 12 a.m. midnight, a hard copy filing may be filed with the Department's designee. The filing location and the Department's designee will be on the Department's web site. (2) Electronic filings may be filed until 12 a.m. midnight. (b) A failure to timely file a registration statement, a quarterly expense report, a separate expense report, a notice of termination or an amendment to one of these filings constitutes a failure to register or report as required by the act; delinquency continues until the filing is received by the Department in proper form. 51 Pa. Code § 51.4(a)-(b). 14. [In relation] to the filing requirements of quarterly expense reports, the Regulations read, in part: § 55.1. Quarterly expense reports. (a) A quarterly expense report is required to be filed as set forth in this section when the total lobbying expenses of a registered principal, registered lobbying firm or registered lobbyist lobbying on the principal's behalf, together, exceed $2,500 in a quarterly reporting period. The threshold of Equaterra, 12-012-L Page 7 $2,500 includes any economic consideration paid by a principal to a lobbying firm or lobbyist for lobbying. Individuals exempt under section 13A06 of the act (relating to exemption from registration and reporting) need not register or report. (b) For a quarterly reporting period in which the total lobbying expenses of a registered principal, registered lobbying firm or registered lobbyist lobbying on the principal's behalf, together, are $2,500 or less, a statement to that effect shall be filed with the Department by checking the appropriate block on the quarterly expense report form. **** (d) The principal shall file a quarterly expense report or statement of failure to meet the reporting threshold on or before the 30th day after the quarterly reporting period ends. **** (g) A quarterly expense report of a principal required to be registered under the act must include at least the following information: (3) The total costs of all lobbying for the period. The total must include all office expenses, personnel expenses, expenditures related to gifts, hospitality, transportation and lodging to State officials or employees, and any other lobbying costs. (i) The total amount reported under this paragraph shall be allocated in its entirety among the following categories: (A) The costs for gifts, hospitality, transportation and lodging given to or provided to State officials or employees or their immediate families. (B) The costs for direct communication. (C) The costs for indirect communication. (ii) Registrants shall use a good faith effort to allocate expenses required to be reported under this subsection to one of the three categories listed herein. A given expense may not be included in more than one category. . . . 51 Pa. Code § 55.1(a), (b), (d), (g)(3)(i)-(ii). 15. By Warning Notice letter dated January 20, 2012, Equaterra was served with notice in accordance with Section 13A09 of the Lobbying Disclosure Law and Section 63.4(1) of the Lobbying Disclosure Regulations of the specific allegations that ndrd Equaterra failed to file quarterly expense reports for the second (2) and third (3) quarters of 2011. a. Said Warning Notice was mailed to: Glenn Davidson Equaterra, 12-012-L Page 8 Managing Director – Equaterra 1676 International Drive McLean, VA 22102 b. Petitioner verified Equaterra’s address via a United States Post Office Certification. 16. Said Warning Notice letter set forth the nature of the alleged noncompliance and the administrative and criminal penalties for failing to file. 17. Said Warning Notice letter provided Equaterra an opportunity to cure the alleged noncompliance and avoid the institution of these proceedings as to alleged noncompliance by filing quarterly expense reports for the time period covering the ndrd second (2) and third (3) quarters of 2011 with the Department of State within thirty (30) days from the mailing date of the Warning Notice letter. 18. The Acting Chief of the Division of Campaign Finance and Lobbying Disclosure conducted a search of the Department of State’s records, and, as of February 2, ndrd 2012, no second (2) or third (3) quarter 2011 expense report was found to have been filed with the Department of State for Equaterra. 19. The Lobbying Disclosure Law provides for civil and criminal penalties for failing to comply with the registration statement filing and quarterly expense reporting requirements thereof. Specifically, the Lobbying Disclosure Law provides, in part, that: a. Negligent failure to register or report, as required by the Law, is punishable by an administrative penalty not exceeding $50.00 for each late day. 65 Pa.C.S. § 13A09(c)(1). 20. The delinquent period is calculated from the date of the expiration of the 30-day cure period provided for in the January 20, 2012, Warning Notice letter (February 20, 2012) until the date the Investigative Division filed the Notice of Alleged Noncompliance with the Pennsylvania State Ethics Commission (March 8, 2012), said period being 36 days (2 reports x 18 days). III. DISCUSSION: In the instant matter, the alleged noncompliance is that Respondent, as a principal registered with the Pennsylvania Department of State (“Department of State”) pursuant to the Lobbying Disclosure Law, failed to timely file quarterly expense reports pursuant to 65 Pa.C.S. § 13A05 for the second and third quarters of 2011. The relevant provisions of the Lobbying Disclosure Law are set forth in the Fact Findings above. Certain relevant provisions of the Lobbying Disclosure Regulations, 51 Pa. Code § 51.1 et seq., are also set forth in the Fact Findings. As noted above, the parties have submitted a Consent Agreement and Stipulation of Findings. The parties' Stipulated Findings are set forth above as the Findings of this Commission. We shall now summarize the relevant facts as contained therein. Respondent initially registered as a principal with the Department of State on July 7, 2007, for the registration period January 1, 2007, through December 31, 2008. Respondent was assigned the principal registration number “P04820.” Respondent Equaterra, 12-012-L Page 9 indicated on its registration statement that it commenced lobbying on June 1, 2007. On February 17, 2009, Respondent renewed its principal registration with the Department of State for the registration period January 1, 2009, through December 31, 2010. On January 11, 2011, Respondent renewed its principal registration with the Department of State for the registration period January 1, 2011, through December 31, 2012. Pursuant to Section 13A05 of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A05, and Section 51.3 of the Lobbying Disclosure Regulations, 51 Pa. Code § 51.3, expense reports are filed on a quarterly basis. When a registered principal’s total expenses for lobbying exceed $2,500 for a reporting period/quarter, the principal is required to file a quarterly expense report with the Department of State by no later than 30 days after the last day of such quarter. For a reporting period in which total expenses are $2,500 or less, a statement to that effect must be filed by the principal. Thus, a registered principal must file either a quarterly expense report or a statement of failure to meet the reporting threshold by no later than the 30th day after each quarterly reporting period ends. 51 Pa. Code § 55.1(d). For the registration period January 1, 2011, through December 31, 2012, Respondent was registered as of January 11, 2011; therefore, Respondent was required to file quarterly expense reports for the second and third quarters of 2011. Respondent failed to file quarterly expense reports for the second and third quarters of 2011 by the respective filing deadlines. Failure to timely file a quarterly expense report constitutes a failure to report as required by the Lobbying Disclosure Law, and the delinquency continues until the filing is received by the Department of State in proper form. 51 Pa. Code § 51.4(b). By Warning Notice letter dated January 20, 2012, Respondent was served with notice of the alleged noncompliance in accordance with Section 63.4(1) of the Lobbying Disclosure Regulations, 51 Pa. Code § 63.4(1). The Warning Notice letter provided Respondent an opportunity to cure the alleged noncompliance and avoid the institution of these proceedings by filing quarterly expense reports for the second and third quarters of 2011 with the Department of State within thirty (30) days of the mailing date of the Warning Notice letter. Per the Consent Agreement, as of March 30, 2012, Respondent had yet to file nd quarterly expense reports with the Pennsylvania Department of State for the second (2) rd and third (3) quarters of 2011. Negligent failure to register or report as required by the Lobbying Disclosure Law is punishable by an administrative penalty of up to $50.00 for each late day. 65 Pa.C.S. § 13A09(c)(1). Per the Consent Agreement and Stipulation of Findings, the parties are in agreement that Respondent’s expense reports for the second and third quarters of 2011 were a total of 36 days delinquent. Having highlighted the Stipulated Findings and issues before us, we shall now apply the Lobbying Disclosure Law to determine the proper disposition of this case. The parties' Consent Agreement sets forth a proposed resolution of the allegations as follows: 3. The Investigative Division will recommend the following conclusions in relation to the above deficiencies: Equaterra, 12-012-L Page 10 a. That Equaterra , in its capacity as a Principal registered with the Pennsylvania Department of State pursuant [to] the Pennsylvania Lobbying Disclosure Law (65 Pa.C.S. § 13A04), failed to timely file Quarterly Expense Reports pursuant to 65 Pa.C.S. § 13A05, for the ndrd Second (2) and Third (3) Quarters of 2011. b. That the transgressions of the Lobbying Disclosure Law outlined in paragraph (a) above are deemed to be negligent in nature. nd c. Equaterra was deficient in filing its Second (2) and rd Third (3) Quarter 2011 Expense Reports by a total of 36 days, calculated as set forth below: i. On January 20, 2012, a Warning Notice regarding the delinquent quarterly expense report was sent to Respondent via First Class United States Mail; ii. Respondent did not file the outstanding nd Quarterly Expense Reports for second (2) or rd third (3) quarters of 2011 within the stated cure period; iii. As of March 30, 2012, Respondent has yet to file Quarterly Expense Reports with the Pennsylvania Department of State for the ndrd Second (2) and Third (3) Quarters of 2011; iv. For purposes of this Consent Agreement only, the delinquent period is calculated from the date of the expiration of the 30-day cure period provided for in the January 20, 2012, Warning Notice letter (February 20, 2012) until the date the Investigative Division filed the Notice of Alleged Noncompliance with the Pennsylvania State Ethics Commission (March 8, 2012), said period being 36 days (2 reports x 18 days). 4. Equaterra agrees to pay an administrative penalty, by way of certified check or money order, in the amount of $1,800.00 (36 days x $50.00 per diem) in settlement of this matter, payable to the Commonwealth of Pennsylvania, and forwarded to the Pennsylvania State Ethics Commission upon execution of this agreement. a. Said settlement payment (certified check or money order) is to be held by the Investigative Division until such time as the Commission accepts this Consent Agreement and issues a Final Order. Upon issuance of the Final Order of this matter by the Commission, the Investigative Division will submit said settlement payment for deposit into the Treasury of the Equaterra, 12-012-L Page 11 Commonwealth. 5. To the extent it has not already done so, Equaterra agrees to file all outstanding quarterly expense reports for the quarter(s) that said entity was/is Registered as a Principal with the Pennsylvania Department of State, within fifteen (15) days of the execution of this agreement. a. Equaterra agrees to timely file all future quarterly expense reports for the quarter(s) that said entity is/remains a Registered Principal with the Pennsylvania Department of State, in accord with the Pennsylvania Lobbying Disclosure Law (65 Pa.C.S. § 13A01 et seq.) and the Regulations of the Lobbying Disclosure Law (51 Pa. Code § 51.1 et seq.) 6. The Investigative Division will recommend that the State Ethics Commission take no further action in this matter; impose no further sanctions and make no specific recommendations to any law enforcement or other authority to take action in this matter as to either Equaterra, or any individual or representative of Equaterra. Such, however, does not prohibit the Commission from initiating appropriate enforcement actions in the event of Respondent’s failure to comply with this agreement or the Commission’s Order or cooperating with any other authority who may so choose to review this matter further. Consent Agreement, at 1-3. In considering the Consent Agreement and Stipulation of Findings, we agree with the parties that Respondent as a registered principal failed to timely file quarterly expense reports with the Department of State for the second and third quarters of 2011 as required by Section 13A05 of the Lobbying Disclosure Law. Accordingly, we hold that that Respondent as a registered principal failed to timely file quarterly expense reports with the Department of State for the second and third quarters of 2011 as required by Section 13A05 of the Lobbying Disclosure Law. We shall accept the recommendation of the parties for a determination that the transgression(s) of the Lobbying Disclosure Law outlined immediately above are deemed to be negligent in nature. The parties have agreed that Respondent was a total of 36 days delinquent in filing its quarterly expense reports for the second and third quarters of 2011. As part of the Consent Agreement, Respondent agreed to pay an administrative penalty, by way of certified check or money order, in the amount of $1,800.00 (36 days x $50.00 per day) in settlement of this matter, payable to the Commonwealth of Pennsylvania and forwarded to this Commission upon execution of the Consent Agreement. The Consent Agreement provided that said settlement payment would be held by the Investigative Division until this Commission would accept the Consent Agreement and issue a final Order, whereupon the Investigative Division would submit said settlement payment for deposit into the Treasury of the Commonwealth. Equaterra, 12-012-L Page 12 To the extent it had not already done so, Respondent further agreed to file all outstanding quarterly expense reports for the quarter(s) that Respondent had been registered as a principal with the Department of State, within fifteen (15) days of the execution of the Consent Agreement. The Consent Agreement was fully executed as of April 5, 2012. Per the Department of State web site, on April 6, 2012, Respondent filed a quarterly expense report for the second quarter of 2011 and a statement of failure to meet the reporting threshold for the third quarter of 2011. Respondent also agreed to timely file all future quarterly expense reports for the quarter(s) that it is/remains a registered principal with the Department of State, in accordance with the Lobbying Disclosure Law and the Lobbying Disclosure Regulations. We determine that the Consent Agreement submitted by the parties sets forth a proper disposition for this case, based upon our review as reflected in the above analysis and the totality of the facts and circumstances. Accordingly, we approve the Consent Agreement that has been submitted by the parties. This Commission hereby levies one administrative penalty against Respondent Equaterra in the amount of $1,800.00 for its delinquent quarterly expense reports for the second and third quarters of 2011. To the extent it has not already done so, Respondent is directed to pay the aforesaid administrative penalty in the amount of $1,800.00 by way of certified check or money order in the amount of $1,800.00 payable to the Commonwealth of Pennsylvania and forwarded to this Commission by no later than the th thirtieth (30) day after the mailing date of this adjudication and Order. Noncompliance will result in the institution of an order enforcement action. As for Respondent’s agreement to file all outstanding and future quarterly expense reports as set forth in the Consent Agreement, we note that failure to do so may result in further proceedings against Respondent. IV.CONCLUSIONS OF LAW: 1. As a principal registered with the Pennsylvania Department of State (“Department of State”) under principal registration number “P04820,” Equaterra, Inc. (now herein as Enterprise Sourcing Solutions, Inc. (“Equaterra”)) has been subject to the reporting requirements of Section 13A05 of Pennsylvania’s lobbying disclosure law (“Lobbying Disclosure Law”), 65 Pa.C.S. § 13A05. 2. Equaterra, in its capacity as a principal registered with the Department of State, failed to timely file quarterly expense reports with the Department of State for the second and third quarters of 2011 as required by Section 13A05 of the Lobbying Disclosure Law, 65 Pa.C.S. § 13A05. 3. The transgression(s) of the Lobbying Disclosure Law outlined in paragraph 2 immediately above are deemed to be negligent in nature. 4. The prerequisite service of a warning notice in accordance with Section 63.4(1) of the Lobbying Disclosure Regulations, 51 Pa. Code § 63.4(1), was satisfied. 5. Based upon the totality of the circumstances in this case, the imposition of an administrative penalty in the amount of $1,800.00 (36 days x $50.00 per day) is warranted. In Re: Equaterra, : File Docket: 12-012-L Respondent : Date Decided: 4/12/12 : Date Mailed: 4/17/12 ORDER NO. 028-SL 1. Equaterra, Inc. (now herein as Enterprise Sourcing Solutions, Inc. (“Equaterra”)) , in its capacity as a principal registered with the Pennsylvania Department of State (“Department of State”) under principal registration number “P04820,” failed to timely file quarterly expense reports with the Department of State for the second and third quarters of 2011 as required by Section 13A05 of Pennsylvania’s lobbying disclosure law (“Lobbying Disclosure Law”), 65 Pa.C.S. § 13A05. 2. The transgression(s) of the Lobbying Disclosure Law outlined in paragraph 1 immediately above are deemed to be negligent in nature. 3. This Commission hereby levies one administrative penalty against Equaterra in the amount of $1,800.00 for its delinquent quarterly expense reports for the second and third quarters of 2011. 4. To the extent it has not already done so, Equaterra is directed to pay the aforesaid administrative penalty in the amount of $1,800.00 by way of certified check or money order in the amount of $1,800.00 payable to the Commonwealth of Pennsylvania and forwarded to the Pennsylvania State Ethics Commission by no th later than the thirtieth (30) day after the mailing date of this Order. a. Noncompliance will result in the institution of an order enforcement action. BY THE COMMISSION, ___________________________ Louis W. Fryman, Chair