ARIZONA STATE SENATE
Phoenix, Arizona
supplemental defined
contribution plans
(NOW: campaign finance
revisions)
Alters statutory requirements relating to political committee contributions and expenditures.
Background
Currently, a political committee may dispose of surplus monies only by using the money for a subsequent election, returning the funds to the contributor, contributing surplus monies to the county, state or local committee of a political party, donating the surplus monies to a charitable organization or contributing surplus monies to another candidate's campaign or exploratory committee if the contribution is within the statutory limits. Currently, a candidate may not use excess campaign funds for personal use but may transfer any debt incurred from a campaign to a subsequent campaign or exploratory committee. H.B. 2169 further prohibits the use of excess campaign funds for a subsequent election to a statewide office.
A political committee must currently designate a treasurer for campaign funds and designate a federally insured financial institution or the national credit union administration as its campaign depository. The political committee must notify the filing officer which institution will be used, and all deposits and withdrawals must contain the signature of the treasurer or a designated agent of the committee. H.B. 2169 further requires a candidate’s campaign or exploratory committee to choose a finance committee and report the members of this committee in writing to the Attorney General, the county, city or town attorney or the filing officer upon request.
Statutes currently prohibit the use of city, town, county, school district, community college district and special taxing district resources to influence elections. These resources include personnel, equipment, materials and buildings. H.B. 2169 extends this prohibition to include all public resources.
There is no anticipated fiscal impact to the state general fund associated with this measure.
In her veto message, the Governor expressed concern that this legislation was not given enough time for all of its ramifications to be considered. Although all the subjects dealt with are germane, the bill would have amended three different titles and the short title of the bill does not adequately convey all of the changes. The Governor states that section two of the bill dealing with the transfer of campaign funds would prohibit a statewide officeholder from transferring surplus campaign funds to run for re-election to the same office. Section three of the bill would have prohibited the use of any public resources to solicit a contribution for any political committee. The Governor suggests that the language is so broad that it violates the First Amendment of the U.S. Constitution by applying the prohibition to initiative and referendum campaigns. The Governor also expressed concern that section four would require all public officers to disclose the names and addresses of creditors to whom the officers and family members owe debts of more than $100 if the creditor is an entity that lobbies. According to the Governor's office, this might include such debts as a current electric bill or college tuition for a child still living at home since these agencies have lobbyists.
1. Prohibits the use of surplus campaign funds for statewide campaigns without prohibiting funds from being used for other campaigns at lower jurisdictional levels.
2. Prohibits an exploratory committee or a campaign committee from accepting excess funds from a political committee established in another state or pursuant to federal law.
3. Requires public officers to include, in their financial disclosure statements, all lobbyists to whom the public officer or family members of the public officer owe a debt of more than $100.
4. Prohibits the use of public resources for solicitation of campaign contributions for any political committees.
5. Requires registered lobbyists, designated public lobbyists and authorized public lobbyists to disclose and report the names of all candidate campaign or exploratory committees for which they have solicited or received three or more contributions, other than those donated by a candidate’s relatives.
6. Clarifies that no individual or lobbyist can solicit or receive contributions on behalf of the candidate, or publicly disclose himself or herself as a member of a candidate's finance committee, without the permission of the candidate's campaign.
7. Requires a nonparticipating candidate's campaign or exploratory committee to designate a finance committee.
8. Stipulates that the members of the nonparticipating clean elections commission candidate’s finance committee must be authorized to solicit or receive contributions on behalf of the candidate’s campaign or exploratory committee.
9. Requires the members of the campaign or exploratory committee to keep a record of the members of the finance committee and to make the list available to the Attorney General, the county, city or town attorney or the filing officer upon request.
10. Requires the Secretary of State to make the list of members of finance committees and exploratory committees available to the public via the Internet.
11. Clarifies that the lobbyist disclosure and finance committee requirements do not apply to individuals who are only soliciting and receiving contributions from family members.
12. Exempts, from the lobbyist entertainment ban, members of a school district governing board and the Arizona Board of Regents when attending a sporting or cultural event in a facility owned or maintained by the board, and employees of such boards when the event is a required part of the employee's job duties and responsibilities.
13. Makes technical and conforming changes.
14. Provides for a general effective date.
Amendments Adopted by the Finance Committee
The strike everything amendment altering statutory requirements relating to political committee contributions and expenditures was adopted.
1. The strike everything amendment was adopted.
2. Exempts the following from the lobbyist entertainment ban:
a. Members of school district governing boards and members of the Arizona Board of Regents when attending a sporting or cultural event in a facility owned or maintained by such board.
b. Employees of such entities whose attendance at sporting or cultural events is a required part of the job duties and responsibilities of the employee.
1. The Finance Committee amendment was withdrawn.
2. Prohibits an exploratory committee or a campaign committee from accepting excess funds from a political committee established in another state or pursuant to federal law.
3. Requires public officers to include, in their financial disclosure statements, all lobbyists to whom the public officer or family members of the public officer owe a debt of more than $100.
4. Prohibits the use of surplus campaign funds for statewide campaigns without prohibiting funds from being used for other campaigns at lower jurisdictional levels.
5. Removes the limitation on the amount of surplus campaign funds that an elected official can use for operation and management of their office.
6. Prohibits the use of public resources for solicitation of campaign contributions.
7. Clarifies that the lobbyist disclosure and finance committee requirements do not apply to individuals who are only soliciting and receiving contributions from family members.
8. Clarifies that no individual or lobbyist can solicit or receive contributions on behalf of the candidate, or publicly disclose himself or herself as a member of a candidate's finance committee, without the permission of the candidate's campaign.
9. Makes technical and conforming changes.
House Action Senate Action
RGO 1/30/01 DP 10-0-0-0 FIN 4/2/01 DPA/SE 6-2-0-0
3rd Read 2/14/01 57-1-2-0 GOV 4/10/01 DPA /SE 5-0-1-0
Final Read 5/3/01 31-22-7-0 3rd Read 4/26/01 16-12-2-0
Vetoed by Governor 5/9/01
Prepared by Senate Staff
May 25, 2001