Purpose

Requires the establishment of a finance committee for a candidate’s campaign committee or exploratory committee consisting of the individuals authorized to solicit and receive contributions on behalf of the committee and defines prohibited expenditure uses.

Background

State statute requires a political committee to file campaign finance reports detailing the committee’s receipts and disbursements. The reports are required to contain the amount of cash on hand, an itemized list of all receipts, a list of contributors and an itemized list of all disbursements. The report includes expenditures made to meet committee operating expenses, transfers to other political committees, loans and repayments of loans, in-kind contributions and independent expenditures. Statute does not define appropriate uses of monies from the candidate’s campaign account. The strike everything amendment defines expenditure uses that are prohibited.

Any individual can solicit contributions on behalf of a candidate and statute does not require the filing officer to track those individuals. The strike everything amendment requires the designation of a finance committee consisting of the persons authorized to solicit and receive contributions and requires the candidate’s campaign committee or exploratory committee to maintain the list of the individuals who are authorized to solicit contributions on behalf of the committee. The strike everything amendment also requires the candidate’s campaign committee or exploratory committee to provide the finance committee records to the Attorney General, a county, city or town attorney or the filing officer upon request.

There is no fiscal impact to the state general fund associated with this legislation.

Provisions

Finance Committee

1. Requires a candidate’s campaign committee or exploratory committee to designate a finance committee.

2. Requires the finance committee members to consist of persons authorized in writing by the candidate or the treasurer of the committee to solicit or receive contributions on behalf of the candidate’s campaign committee or the exploratory committee.

3. Requires the candidate’s campaign committee or exploratory committee to maintain the list of finance committee members as a record of the committee to be available on request of the Attorney General, the county, city or town attorney or filing officer.

4. Exempts participating candidates from the finance committee requirement.

5. Exempts the candidate’s campaign committee or exploratory committee from listing lobbyists soliciting or receiving contributions from that person’s immediate family members. Defines “immediate family members.”

Expenditure Prohibition

6. Prohibits candidates from using monies from the candidate’s campaign account for personal support or sustenance, grooming, clothing or personal appearance, loans, compensation to the candidate or a family member or illegal purposes provided by law. Defines “family member.”

7. Allows the candidate to establish a constituent services account or other similar account for monies to defray the expenses of performing official duties.

8. Authorizes the candidate to transfer from the campaign account to the constituent services account monies equal to the amount permitted for the same purpose for a participating candidate as determined by rule.

9. Prohibits a person from using public resources to solicit contributions for any political committee. Defines “public resources” as equipment, including electronic, computer and communications equipment, personnel and services owned or leased by the state, city, town or county or school district or any other political subdivision of this State.

10. Exempts the following special taxing districts from the prohibition on the use of public resources to solicit contributions: power districts, electrical districts, agricultural improvement districts, drainage and flood protection districts, irrigation and water conservation districts and multicounty water conservation districts.

11. Prohibits a participating candidate from using monies from the candidate’s campaign account for:

a) Personal support or sustenance, grooming and clothing or personal appearance.

b) Capital assets valued of more than $500 and that have a useful life beyond the current election period.

c) Loans, compensation to a candidate or family member and gifts.

d) Payments or transfers for which value is not received and retroactive payments.

e) Expenditures in excess of fair market value for goods and services received.

f) Post election expenditures. Defines post election expenditures.

g) Payments for prior campaign cycle or election.

h) Contributions or any other transfer of monies to other political committees or campaigns.

i) Independent expenditures.

j) Civil or criminal penalties.

k) Illegal or unlawful purposes as provided by law.

12. Allows a participating candidate to establish a constituent services account or other similar account for monies to defray the expenses of performing official duties.

13. Authorizes participating candidates to raise private monies for the constituent services account in an amount as determined by rule.

Miscellaneous

14. Contains a Proposition 105 that applies to all provisions relating to the Citizens Clean Elections Act.

15. Makes technical changes.

16. Provides for a general effective date.

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