The Committee on Standards of Official Conduct ("Committee") submits this Report pursuant to House Rule XI, Clause 3(a)(2), which authorizes the Committee to investigate any alleged violation by a Member, officer, or employee of the House of Representatives, of the Code of Official Conduct or of any law, rule, regulation, or other standard of conduct applicable to the conduct of such Member, officer, or employee.

On September 22, 1999, the Committee established an Investigative Subcommittee to investigate specific matters relating to Representative Earl F. Hilliard that came to the attention of the Committee following publication of certain newspaper reports. The scope of jurisdiction of the Investigative Subcommittee was expanded one time to encompass matters that came to the attention of the Investigative Subcommittee during its inquiry.

The Investigative Subcommittee completed its investigation in the fall and, thereafter, found substantial reason to believe that Representative Hilliard violated House Rules within the Committee’s jurisdiction. As part of a negotiated settlement, Representative Hilliard admitted to the violations found by the Investigative Subcommittee. The Investigative Subcommittee unanimously adopted a Statement of Alleged Violation on April 4, 2001. The Statement of Alleged Violation consists of three Counts, each setting forth a separate pattern and practice of conduct by Representative Hilliard that violated both Clause 6 of former House Rule 43 (current House Rule 23), and Clause 1 of former House Rule 43 (current House Rule 23). The conduct at issue in Count I of the Statement of Alleged Violation involved the expenditure of campaign funds by Representative Hilliard for purposes not attributable to bona fide campaign or political purposes, in violation of Clause 6 of former House Rule 43. The conduct at issue in Counts II and III of the Statement of Alleged Violation involved personal use of campaign funds by Representative Hilliard in excess of reimbursement for legitimate and verifiable campaign expenditures, and the expenditure of campaign funds by Representative Hilliard for purposes not attributable to bona fide campaign or political purposes, in violation of Clause 6 of former House Rule 43. Further, with respect to each pattern and practice of conduct by Representative Hilliard described separately in each of the three Counts of the Statement of Alleged Violation, Representative Hilliard acted in a manner that did not reflect creditably on the House of Representatives, in violation of Clause 1 of former House Rule 43.

On May 10, 2001, the Investigative Subcommittee transmitted a copy of its final draft report in this matter to Representative Hilliard via his personal counsel. On May 11, 2001, through counsel, Representative Hilliard requested an extension of time to submit his views on the final draft report of the Investigative Subcommittee. On May 14, 2001, the Investigative Subcommittee notified Representative Hilliard’s counsel that the deadline for Representative Hilliard to submit views on the final draft report of the Investigative Subcommittee was extended from May 17, 2001 until May 21, 2001. Notwithstanding the extension of time granted by the Investigative Subcommittee, on May 16, 2001, Representative Hilliard, through a letter from his counsel, informed the Investigative Subcommittee that he did not wish to submit views regarding the Investigative Subcommittee’s final draft report. Representative Hilliard further waived the requirement of Committee Rule 22(c)(1) that the Investigative Subcommittee vote on whether to adopt the final draft report not less than 15 calendar days from Representative Hilliard’s receipt of that Report. Representative Hilliard also submitted a written request to waive a sanction hearing in this matter pursuant to Committee Rule 25.

Subsequently, on May 17, 2001, the Investigative Subcommittee unanimously adopted the final draft report as its Report in this matter. On May 23, 2001, pursuant to Committee Rule 22(c)(3), the Investigative Subcommittee transmitted its Report to the Committee. On that same date, the Investigative Subcommittee also transmitted the letter from Representative Hilliard’s counsel to the Investigative Subcommittee, stating that Representative Hilliard did not wish to submit views in response to the Investigative Subcommittee’s Report. On May 23, 2001, pursuant to Committee Rule 27(b), the Committee agreed to Representative Hilliard’s written request to waive a sanction hearing in this matter.

On June 20, 2001, the Committee by a unanimous vote adopted the Report of the Investigative Subcommittee and includes that Report herewith as part of the Committee’s Report to the House of Representatives in this matter. Pursuant to Committee Rule 25(d), on June 20, 2001, the Committee by unanimous vote determined that a Letter of Reproval constituted the appropriate sanction for Representative Hilliard’s violation of House Rules. Pursuant to Committee Rule 25(d), the Letter of Reproval issued by the Committee to Representative Hilliard is also included in the Committee’s Report to the House of Representatives.