HOUSE BILL No. 5059

 

October 12, 2011, Introduced by Reps. Tyler, Jacobsen, Kurtz, Price and Knollenberg and referred to the Committee on Redistricting and Elections.

 

     A bill to amend 1976 PA 388, entitled

 

"Michigan campaign finance act,"

 

by amending sections 3, 4, 6, 11, 33, and 34 (MCL 169.203, 169.204,

 

169.206, 169.211, 169.233, and 169.234), sections 3 and 4 as

 

amended by 1989 PA 95, section 6 as amended by 2003 PA 69, section

 

11 as amended by 1996 PA 590, and sections 33 and 34 as amended by

 

1999 PA 238.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3. (1) "Candidate" means an individual : (a) who files

 

who meets 1 or more of the following criteria:

 

     (a) Files a fee, an affidavit of incumbency, or a nominating

 

petition for an elective office.; (b) whose nomination

 

     (b) Is nominated as a candidate for elective office by a

 

political party caucus or convention and whose nomination is


 

certified to the appropriate filing official.; (c) who receives

 

     (c) Receives a contribution, makes an expenditure, or gives

 

consent for another person to receive a contribution or make an

 

expenditure with a view to bringing about the individual's

 

nomination or election to an elective office, whether or not the

 

specific elective office for which the individual will seek

 

nomination or election is known at the time the contribution is

 

received or the expenditure is made.; or (d) who is

 

     (d) Is an officeholder who is the subject of a recall vote.

 

Unless

 

     (e) Holds an elective office, unless the officeholder is

 

constitutionally or legally barred from seeking reelection or fails

 

to file for reelection to that office by the applicable filing

 

deadline. , an elected officeholder shall be An individual

 

described in this subdivision is considered to be a candidate for

 

reelection to that same office for the purposes of this act only.

 

     For purposes of sections 61 to 71, "candidate" only means, in

 

a primary election, a candidate for the office of governor and, in

 

a general election, a candidate for the office of governor or

 

lieutenant governor. However, the candidates for the office of

 

governor and lieutenant governor of the same political party in a

 

general election shall be considered as 1 candidate.

 

     (2) "Candidate committee" means the committee designated in a

 

candidate's filed statement of organization as that individual's

 

candidate committee. A candidate committee shall be under the

 

control and direction of the candidate named in the same statement

 

of organization. Notwithstanding subsection (4), an individual


 

shall form a candidate committee pursuant to under section 21 when

 

if the individual becomes a candidate under subsection (1).

 

     (3) "Closing date" means the date through which a campaign

 

statement is required to be complete.

 

     (4) "Committee" means a person who receives contributions or

 

makes expenditures for the purpose of influencing or attempting to

 

influence the action of the voters for or against the nomination or

 

election of a candidate, or the qualification, passage, or defeat

 

of a ballot question, or the qualification of a new political

 

party, if contributions received total $500.00 or more in a

 

calendar year or expenditures made total $500.00 or more in a

 

calendar year. An individual, other than a candidate, does not

 

constitute a committee. A person, other than a committee registered

 

under this act, making an expenditure to a ballot question

 

committee, shall not, for that reason, not be considered a

 

committee for the purposes of this act unless the person solicits

 

or receives contributions for the purpose of making an expenditure

 

to that ballot question committee.

 

     Sec. 4. (1) "Contribution" means a payment, gift,

 

subscription, assessment, expenditure, contract, payment for

 

services, dues, advance, forbearance, loan, or donation of money or

 

anything of ascertainable monetary value, or a transfer of anything

 

of ascertainable monetary value to a person, made for the purpose

 

of influencing the nomination or election of a candidate, or for

 

the qualification, passage, or defeat of a ballot question, or for

 

the qualification of a new political party.

 

     (2) Contribution includes the full purchase price of tickets


 

or payment of an attendance fee for events such as dinners,

 

luncheons, rallies, testimonials, and other fund-raising events; an

 

individual's own money or property other than the individual's

 

homestead used on behalf of that individual's candidacy; the

 

granting of discounts or rebates not available to the general

 

public; or the granting of discounts or rebates by broadcast media

 

and newspapers not extended on an equal basis to all candidates for

 

the same office; and the endorsing or guaranteeing of a loan for

 

the amount the endorser or guarantor is liable.

 

     (3) Contribution does not include any of the following:

 

     (a) Volunteer personal services provided without compensation,

 

or payments of costs incurred of less than $500.00 in a calendar

 

year by an individual for personal travel expenses if the costs are

 

voluntarily incurred without any understanding or agreement that

 

the costs shall be, directly or indirectly, repaid.

 

     (b) Food and beverages, not to exceed $100.00 in value during

 

a calendar year, which are donated by an individual and for which

 

reimbursement is not given.

 

     (c) An offer or tender of a contribution if expressly and

 

unconditionally rejected, returned, or refunded in whole or in part

 

within 30 business days after receipt.

 

     Sec. 6. (1) "Expenditure" means a payment, donation, loan, or

 

promise of payment of money or anything of ascertainable monetary

 

value for goods, materials, services, or facilities in assistance

 

of, or in opposition to, the nomination or election of a candidate,

 

or the qualification, passage, or defeat of a ballot question, or

 

the qualification of a new political party. Expenditure includes,


 

but is not limited to, any of the following:

 

     (a) A contribution or a transfer of anything of ascertainable

 

monetary value for purposes of influencing the nomination or

 

election of a candidate, or the qualification, passage, or defeat

 

of a ballot question, or the qualification of a new political

 

party.

 

     (b) Except as provided in subsection (2)(f) or (g), an

 

expenditure for voter registration or get-out-the-vote activities

 

made by a person who sponsors or finances the activity or who is

 

identified by name with the activity.

 

     (c) Except as provided in subsection (2)(f) or (g), an

 

expenditure made for poll watchers, challengers, distribution of

 

election day literature, canvassing of voters to get out the vote,

 

or transporting voters to the polls.

 

     (2) Expenditure does not include any of the following:

 

     (a) An expenditure for communication by a person with the

 

person's paid members or shareholders and those individuals who can

 

be solicited for contributions to a separate segregated fund under

 

section 55.

 

     (b) An expenditure for communication on a subject or issue if

 

the communication does not support or oppose a ballot question or

 

candidate by name or clear inference.

 

     (c) An expenditure for the establishment, administration, or

 

solicitation of contributions to a separate segregated fund or

 

independent committee.

 

     (d) An expenditure by a broadcasting station, newspaper,

 

magazine, or other periodical or publication for a news story,


 

commentary, or editorial in support of or opposition to a candidate

 

for elective office or a ballot question in the regular course of

 

publication or broadcasting.

 

     (e) An offer or tender of an expenditure if expressly and

 

unconditionally rejected or returned.

 

     (f) An expenditure for nonpartisan voter registration or

 

nonpartisan get-out-the-vote activities made by an organization

 

that is exempt from federal income tax pursuant to under section

 

501(c)(3) of the internal revenue code of 1986, 26 U.S.C. USC 501,

 

or any successor statute.

 

     (g) An expenditure for nonpartisan voter registration or

 

nonpartisan get-out-the-vote activities performed pursuant to under

 

chapter XXIII of the Michigan election law, 1954 PA 116, MCL

 

168.491 to 168.524, by the secretary of state and other

 

registration officials who are identified by name with the

 

activity.

 

     (h) An expenditure by a state central committee of a political

 

party or a person controlled by a state central committee of a

 

political party for the construction, purchase, or renovation of 1

 

or more office facilities in Ingham county if the facility is not

 

constructed, purchased, or renovated for the purpose of influencing

 

the election of a candidate in a particular election. Items

 

excluded from the definition of expenditure under this subdivision

 

include expenditures approved in federal election commission

 

advisory opinions 1993-9, 2001-1, and 2001-12 as allowable

 

expenditures under the federal election campaign act of 1971,

 

Public Law 92-225, 2 U.S.C. USC 431 to 434, 437, 437c to 439a,


 

439c, 441a to 441h, and 442 to 455, and regulations promulgated

 

under that act, regardless of whether those advisory opinions have

 

been superseded.

 

     Sec. 11. (1) "Person" means a business, individual,

 

proprietorship, firm, partnership, joint venture, syndicate,

 

business trust, labor organization, company, corporation,

 

association, committee, or any other organization or group of

 

persons acting jointly.

 

     (2) "Political committee" means a committee that is not a

 

candidate committee, political party committee, independent

 

committee, or ballot question committee.

 

     (3) "Political merchandise" means goods such as bumper

 

stickers, pins, hats, beverages, literature, or other items sold by

 

a person at a fund raiser or to the general public for publicity or

 

for the purpose of raising funds to be used in supporting or

 

opposing a candidate for nomination for or election to an elective

 

office, or in supporting or opposing the qualification, passage, or

 

defeat of a ballot question, or in supporting or opposing the

 

qualification of a new political party.

 

     (4) "Political party" means a political party which that has a

 

right under law to have the names of its candidates listed on the

 

ballot in a general election.

 

     (5) "Political party committee" means a state central,

 

district, or county committee of a political party which or a party

 

attempting to qualify as a new political party under section 685 of

 

the Michigan election law, 1954 PA 116, MCL 168.685, that is a

 

committee. Each state central committee shall designate the


 

official party county and district committees. There shall not be

 

more than 1 officially designated political party committee per

 

county and per congressional district.

 

     (6) "Public body" means 1 or more of the following:

 

     (a) A state agency, department, division, bureau, board,

 

commission, council, authority, or other body in the executive

 

branch of state government.

 

     (b) The legislature or an agency, board, commission, or

 

council in the legislative branch of state government.

 

     (c) A county, city, township, village, intercounty, intercity,

 

or regional governing body; a council, school district, special

 

district, or municipal corporation; or a board, department,

 

commission, or council or an agency of a board, department,

 

commission, or council.

 

     (d) Any other body that is created by state or local authority

 

or is primarily funded by or through state or local authority,

 

which if the body exercises governmental or proprietary authority

 

or performs a governmental or proprietary function.

 

     Sec. 33. (1) A committee, other than an independent committee

 

or a political committee required to file with the secretary of

 

state, supporting or opposing a candidate shall file complete

 

campaign statements as required by this act and the rules

 

promulgated under this act. The campaign statements shall be filed

 

according to the following schedule:

 

     (a) A preelection campaign statement shall be filed not later

 

than the eleventh day before an election. The closing date for a

 

campaign statement filed under this subdivision shall be the


 

sixteenth day before the election.

 

     (b) A postelection campaign statement shall be filed not later

 

than the thirtieth day following the election. The closing date for

 

a campaign statement filed under this subdivision shall be the

 

twentieth day following the election. A committee supporting a

 

candidate who loses the primary election shall file closing

 

campaign statements in accordance with this section. If all

 

liabilities of such a candidate or committee are paid before the

 

closing date and additional contributions are not expected, the

 

campaign statement may be filed at any time after the election, but

 

not later than the thirtieth day following the election.

 

     (2) For the purposes of subsection (1):

 

     (a) A candidate committee shall file a preelection campaign

 

statement and a postelection campaign statement for each election

 

in which the candidate seeks nomination or election, except if an

 

individual becomes a candidate after the closing date for the

 

preelection campaign statement only the postelection campaign

 

statement is required for that election.

 

     (b) A committee other than a candidate committee shall file a

 

campaign statement for each period during which expenditures are

 

made for the purpose of influencing the nomination or election of a

 

candidate or for the qualification, passage, or defeat of a ballot

 

question.

 

     (3) An independent committee or a political committee other

 

than a house political party caucus committee or senate political

 

party caucus committee required to file with the secretary of state

 

shall file campaign statements as required by this act according to


 

the following schedule:

 

     (a) In an odd numbered year:

 

     (i) Not later than January 31 of that year with a closing date

 

of December 31 of the previous year.

 

     (ii) Not later than July 25 with a closing date of July 20 of

 

that year.

 

     (iii) Not later than October 25 with a closing date of October

 

20 of that year.

 

     (b) In an even numbered year:

 

     (i) Not later than April 25 of that year with a closing date of

 

April 20 of that year.

 

     (ii) Not later than July 25 with a closing date of July 20 of

 

that year.

 

     (iii) Not later than October 25 with a closing date of October

 

20 of that year.

 

     (4) A house political party caucus committee or a senate

 

political party caucus committee required to file with the

 

secretary of state or a political party committee for a party

 

attempting to qualify as a new political party under section 685 of

 

the Michigan election law, 1954 PA 116, MCL 168.685, shall file

 

campaign statements as required by this act according to the

 

following schedule:

 

     (a) Not later than January 31 of each year with a closing date

 

of December 31 of the immediately preceding year.

 

     (b) Not later than April 25 of each year with a closing date

 

of April 20 of that year.

 

     (c) Not later than July 25 of each year with a closing date of


 

July 20 of that year.

 

     (d) Not later than October 25 of each year with a closing date

 

of October 20 of that year.

 

     (e) For the period beginning on the fourteenth day immediately

 

preceding a primary or special primary election and ending on the

 

day immediately following the primary or special primary election,

 

not later than 4 p.m. each business day with a closing date of the

 

immediately preceding day, only for a contribution received or

 

expenditure made that exceeds $1,000.00 per day.

 

     (f) For the period beginning on the fourteenth day immediately

 

preceding a general or special election and ending on the day

 

immediately following the general or special election, not later

 

than 4 p.m. each business day with a closing date of the

 

immediately preceding day, only for a contribution received or

 

expenditure made that exceeds $1,000.00 per day.

 

     (5) Notwithstanding subsection (3) or (4) or section 51, if an

 

independent expenditure is made within 45 days before a special

 

election by an independent committee or a political committee

 

required to file a campaign statement with the secretary of state,

 

a report of the expenditure shall be filed by the committee with

 

the secretary of state within 48 hours after the expenditure. The

 

report shall be made on a form provided by the secretary of state

 

and shall include the date of the independent expenditure, the

 

amount of the expenditure, a brief description of the nature of the

 

expenditure, and the name and address of the person to whom the

 

expenditure was paid. The brief description of the expenditure

 

shall include either the name of the candidate and the office


 

sought by the candidate or the name of the ballot question and

 

shall state whether the expenditure supports or opposes the

 

candidate or ballot question. This subsection does not apply if the

 

committee is required to report the independent expenditure in a

 

campaign statement that is required to be filed before the date of

 

the election for which the expenditure was made.

 

     (6) A candidate committee or a committee other than a

 

candidate committee that files a written statement under section

 

24(5) or (6) need not file a campaign statement under subsection

 

(1), (3), or (4) unless it received or expended an amount in excess

 

of $1,000.00. If the committee receives or expends an amount in

 

excess of $1,000.00 during a period covered by a filing, the

 

committee is then subject to the campaign filing requirements under

 

this act.

 

     (7) A committee, candidate, treasurer, or other individual

 

designated as responsible for the committee's record keeping,

 

report preparation, or report filing who fails to file a statement

 

as required by this section shall pay a late filing fee. If the

 

committee has raised $10,000.00 or less during the previous 2

 

years, the late filing fee shall be $25.00 for each business day

 

the statement remains unfiled, but not to exceed $500.00. If the

 

committee has raised more than $10,000.00 during the previous 2

 

years, the late filing fee shall not exceed $1,000.00, determined

 

as follows:

 

     (a) Twenty-five dollars for each business day the report

 

remains unfiled.

 

     (b) An additional $25.00 for each business day after the first


 

3 business days the report remains unfiled.

 

     (c) An additional $50.00 for each business day after the first

 

10 business days the report remains unfiled.

 

     (8) If a candidate, treasurer, or other individual designated

 

as responsible for the committee's record keeping, report

 

preparation, or report filing fails to file 2 statements required

 

by this section or section 35 and both of the statements remain

 

unfiled for more than 30 days, that candidate, treasurer, or other

 

designated individual is guilty of a misdemeanor , punishable by a

 

fine of not more than $1,000.00 , or imprisonment for not more than

 

90 days, or both.

 

     (9) If a candidate is found guilty of a violation of this

 

section, the circuit court for that county, on application by the

 

attorney general or the prosecuting attorney of that county, may

 

prohibit that candidate from assuming the duties of a public office

 

or from receiving compensation from public funds, or both.

 

     (10) If a treasurer or other individual designated as

 

responsible for a committee's record keeping, report preparation,

 

or report filing knowingly files an incomplete or inaccurate

 

statement or report required by this section, that treasurer or

 

other designated individual is subject to a civil fine of not more

 

than $1,000.00.

 

     Sec. 34. (1) A ballot question committee shall file a campaign

 

statement as required by this act according to the following

 

schedule:

 

     (a) A preelection campaign statement, the closing date of

 

which shall be the sixteenth day before the election, shall not be


 

filed later than the eleventh day before the election.

 

     (b) A postelection campaign statement, the closing date of

 

which shall be the twentieth day following the election, shall not

 

be filed later than the thirtieth day following an election. If all

 

liabilities of the committee are paid before the closing date and

 

additional contributions are not expected, the campaign statement

 

may be filed at any time after the election, but not later than the

 

thirtieth day following the election.

 

     (c) Campaign statements not later than the following dates

 

every year:

 

     (i) January 31 with a closing date of December 31 of the

 

previous year.

 

     (ii) April 25 with a closing date of April 20 of that year.

 

     (iii) July 25 with a closing date of July 20 of that year.

 

     (d) In every odd numbered year, a campaign statement not later

 

than October 25 with a closing date of October 20 of that year.

 

     (2) A ballot question committee supporting or opposing a

 

statewide ballot question shall file a campaign statement, of which

 

the closing date shall be the twenty-eighth day after the

 

qualification of the measure approval of the petition form, not

 

later than 35 days after the ballot question is qualified for the

 

ballot. petition form is approved under section 483a of the

 

Michigan election law, 1954 PA 116, MCL 168.483a. If the ballot

 

question fails to qualify for the ballot petition form is not

 

approved, the ballot question committee shall file the campaign

 

statement within 35 days after the final deadline for qualifying

 

for the ballot, the closing date of which shall be the twenty-


 

eighth day after the deadline.

 

     (3) If a ballot question committee supporting or opposing a

 

statewide ballot question fails to file a preelection statement

 

under this section, that committee or its treasurer shall pay a

 

late filing fee for each business day the statement remains not

 

filed in violation of this section, not to exceed $1,000.00,

 

pursuant to the following schedule:

 

     (a) First day--$25.00.

 

     (b) Second day--$50.00.

 

     (c) Third day--$75.00.

 

     (d) Fourth day and for each subsequent day that the statement

 

remains unfiled--$100.00.

 

     (4) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee supporting or opposing a

 

statewide ballot question fails to file a statement, other than a

 

preelection statement, under this section, that committee,

 

treasurer, or other designated individual shall pay a late filing

 

fee. If the committee has raised $10,000.00 or less during the

 

previous 2 years, the late filing fee shall be $25.00 for each

 

business day the campaign statement remains unfiled, but not to

 

exceed $1,000.00. If the committee has raised more than $10,000.00

 

during the previous 2 years, the late filing fee shall be $50.00

 

for each business day the campaign statement remains unfiled, but

 

not to exceed $2,000.00.

 

     (5) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report


 

filing of a ballot question committee supporting or opposing other

 

than a statewide ballot question fails to file a statement under

 

this section, that committee, treasurer, or other designated

 

individual shall pay a late filing fee. If the committee has raised

 

$10,000.00 or less during the previous 2 years, the late filing fee

 

shall be $25.00 for each business day the campaign statement

 

remains unfiled, but not to exceed $1,000.00. If the committee has

 

raised more than $10,000.00 during the previous 2 years, the late

 

filing fee shall be $50.00 for each business day the campaign

 

statement remains unfiled, but not to exceed $2,000.00.

 

     (6) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee fails to file a statement as

 

required by subsection (1) or (2) for more than 7 days, that

 

treasurer or other designated individual is guilty of a misdemeanor

 

, punishable by a fine of not more than $1,000.00 , or imprisonment

 

for not more than 90 days, or both.

 

     (7) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee knowingly files an incomplete

 

or inaccurate statement or report required by this section, that

 

treasurer or other designated individual is subject to a civil fine

 

of not more than $1,000.00.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No. ____ or House Bill No. 5063(request no.

 

01483'11) of the 96th Legislature is enacted into law.