House Bill 0559c1
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By the Committee on Election Reform and Representatives
Detert, Turnbull, Logan, Wiles, Stafford, Heyman, Ritter and
Brown
1 A bill to be entitled
2 An act relating to campaign financing; amending
3 s. 106.011, F.S.; revising definitions of the
4 terms "political committee," "contribution,"
5 "expenditure," and "political advertisement";
6 amending s. 106.021, F.S.; providing any
7 advertisement used for the purpose of jointly
8 endorsing three or more candidates must be
9 allocated equally; providing reporting
10 requirements; amending s. 106.03, F.S.;
11 requiring additional information for
12 registration of political committees; adding
13 penalties; amending ss. 106.04 and 106.07,
14 F.S.; requiring reports of committees of
15 continuous existence and political committees
16 to include certain information if a majority of
17 the committee's contributors share a common
18 economic or special interest; prohibiting
19 committees of continuous existence from making
20 certain expenditures; providing an effective
21 date.
22
23 Be It Enacted by the Legislature of the State of Florida:
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25 Section 1. Subsections (1), (3), (4), and (17) of
26 section 106.011, Florida Statutes, are amended to read:
27 106.011 Definitions.--As used in this chapter, the
28 following terms have the following meanings unless the context
29 clearly indicates otherwise:
30 (1) "Political committee" means a combination of two
31 or more individuals, or a person other than an individual, the
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1 primary or incidental purpose of which is to support or oppose
2 any candidate, issue, or political party, which accepts
3 contributions or makes expenditures during a calendar year in
4 an aggregate amount in excess of $500.; "Political committee"
5 also means the sponsor of a proposed constitutional amendment
6 by initiative who intends to seek the signatures of registered
7 electors. "Political committee" also includes a combination of
8 two or more individuals or a person other than an individual
9 which anticipates spending funds, or makes expenditures, for
10 political advertising in support of or in opposition to an
11 elected public official during a calendar year in an aggregate
12 amount in excess of $500. Organizations which are certified by
13 the Department of State as committees of continuous existence
14 pursuant to s. 106.04, national political parties, and the
15 state and county executive committees of political parties
16 regulated by chapter 103 shall not be considered political
17 committees for the purposes of this chapter. Corporations
18 regulated by chapter 607 or chapter 617 or other business
19 entities formed for purposes other than to support or oppose
20 issues or candidates are not political committees if their
21 political activities are limited to contributions to
22 candidates, political parties, or political committees or
23 expenditures in support of or opposition to an issue from
24 corporate or business funds and if no contributions are
25 received by such corporations or business entities.
26 (3) "Contribution" means:
27 (a) A gift, subscription, conveyance, deposit, loan,
28 payment, or distribution of money or anything of value,
29 including contributions in kind having an attributable
30 monetary value in any form, made for the purpose of
31 influencing the results of an election.
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1 (b) A transfer of funds between political committees,
2 between committees of continuous existence, or between a
3 political committee and a committee of continuous existence.
4 (c) The payment, by any person other than a candidate
5 or political committee, of compensation for the personal
6 services of another person which are rendered to a candidate
7 or political committee without charge to the candidate or
8 committee for such services.
9 (d) The transfer of funds by a campaign treasurer or
10 deputy campaign treasurer between a primary depository and a
11 separate interest-bearing account or certificate of deposit,
12 and the term includes any interest earned on such account or
13 certificate.
14 (e) Any funds received by a political committee which
15 are used or intended to be used, directly or indirectly, to
16 pay for a political advertisement supporting or opposing an
17 elected public official.
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19 Notwithstanding the foregoing meanings of "contribution," the
20 word shall not be construed to include services, including,
21 but not limited to, legal and accounting services, provided
22 without compensation by individuals volunteering a portion or
23 all of their time on behalf of a candidate or political
24 committee. This definition shall not be construed to include
25 editorial endorsements.
26 (4) "Expenditure" means a purchase, payment,
27 distribution, loan, advance, transfer of funds by a campaign
28 treasurer or deputy campaign treasurer between a primary
29 depository and a separate interest-bearing account or
30 certificate of deposit, or gift of money or anything of value
31 made for the purpose of influencing the results of an election
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1 or for purchasing a political advertisement supporting or
2 opposing an elected public official. However, "expenditure"
3 does not include a purchase, payment, distribution, loan,
4 advance, or gift of money or anything of value made for the
5 purpose of influencing the results of an election when made by
6 an organization, in existence prior to the time during which a
7 candidate qualifies or an issue is placed on the ballot for
8 that election, for the purpose of printing or distributing
9 such organization's newsletter, containing a statement by such
10 organization in support of or opposition to a candidate or
11 issue, which newsletter is distributed only to members of such
12 organization.
13 (17)(a) "Political advertisement" means a paid
14 expression in any communications media prescribed in
15 subsection (13), whether radio, television, newspaper,
16 magazine, periodical, campaign literature, direct mail, or
17 display or by means other than the spoken word in direct
18 conversation, which shall support or oppose any candidate,
19 elected public official, or issue. In addition, an
20 advertisement is presumed to be a political advertisement if
21 it is a paid expression in any communications media described
22 in subsection (13), whether radio, television, newspaper,
23 magazine, periodical, campaign literature, direct mail, or
24 display, or by means other than the spoken word in direct
25 conversation which substantially mentions or shows a clearly
26 identifiable candidate for election or reelection and is
27 distributed at any point during the period following the last
28 day of qualifying for that candidacy through the ensuing
29 general election and which, when examined by a reasonable
30 person, would be understood as a communication intended to
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1 affect the outcome of an election and for which aggregate
2 expenditures on like advertisements exceed $1,000.
3 (b) However, political advertisement does not include:
4 1.(a) A statement by an organization, in existence
5 prior to the time during which a candidate qualifies or an
6 issue is placed on the ballot for that election, in support of
7 or opposition to a candidate or issue, in that organization's
8 newsletter, which newsletter is distributed only to the
9 members of that organization.
10 2.(b) Editorial endorsements by any newspaper, radio
11 or television station, or other recognized news medium.
12 3. A paid expression in any communications media which
13 mentions or shows a clearly identifiable candidate for
14 election or reelection which:
15 a. Advertises a business rather than the candidate, is
16 paid for out of funds of that business, and is similar to
17 other advertisements for that business which have mentioned or
18 shown the candidate and have been distributed regularly over a
19 period of at least 1 year before the qualifying period for
20 that candidacy; or
21 b. Is distributed or broadcast only to areas other
22 than the geographical area of the electorate for that
23 candidacy.
24 Section 2. Subsection (3) of section 106.021, Florida
25 Statutes, is amended to read:
26 106.021 Campaign treasurers; deputies; primary and
27 secondary depositories.--
28 (3) Except for independent expenditures, no
29 contribution or expenditure, including contributions or
30 expenditures of a candidate or of the candidate's family,
31 shall be directly or indirectly made or received in
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1 furtherance of the candidacy of any person for nomination or
2 election to political office in the state or on behalf of any
3 political committee except through the duly appointed campaign
4 treasurer of the candidate or political committee. However,
5 expenditures may be made directly by any political committee
6 or political party regulated by chapter 103 for obtaining
7 time, space, or services in or by any communications medium
8 for the purpose of jointly endorsing three or more
9 candidates., and Any such expenditure for an endorsement which
10 allocates substantially equal time, space, or service to each
11 candidate shall not be counted toward the contribution limits
12 of s. 106.08(2)(a). However, such contribution or expenditure
13 must be reported by the candidate under s. 106.07 and by the
14 political party under s. 106.29. not be considered a
15 contribution or expenditure to or on behalf of any such
16 candidates for the purposes of this chapter.
17 Section 3. Section 106.03, Florida Statutes, is
18 amended to read:
19 106.03 Registration of political committees.--
20 (1) Each political committee which anticipates
21 receiving contributions or making expenditures during a
22 calendar year in an aggregate amount exceeding $500 or which
23 is seeking the signatures of registered electors in support of
24 an initiative shall file a statement of organization as
25 provided in subsection (4) (3) within 10 days after its
26 organization or, if later, within 10 days after the date on
27 which it has information which causes the committee to
28 anticipate that it will receive contributions or make
29 expenditures in excess of $500. If a political committee is
30 organized within 10 days of any election, it shall immediately
31 file the statement of organization required by this section.
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1 (2) The statement of organization shall include:
2 (a) The name and address of the committee;
3 (b) The names, addresses, and relationships of
4 affiliated or connected organizations;
5 (c) The area, scope, or jurisdiction of the committee;
6 (d) The name, address, and position, and principal
7 employer of the custodian of books and accounts;
8 (e) The name, address, and position, and principal
9 employer of each other principal officers, including officers
10 and members of the finance committee, if any;
11 (f) The name, address, office sought, and party
12 affiliation of:
13 1. Each candidate whom the committee is supporting;
14 2. Any other individual, if any, whom the committee is
15 supporting for nomination for election, or election, to any
16 public office whatever;
17 (g) Any issue or issues such organization is
18 supporting or opposing;
19 (h) If the committee is supporting the entire ticket
20 of any party, a statement to that effect and the name of the
21 party;
22 (i) A statement of whether the committee is a
23 continuing one;
24 (j) Plans for the disposition of residual funds which
25 will be made in the event of dissolution;
26 (k) A listing of all banks, safe-deposit boxes, or
27 other depositories used for committee funds; and
28 (l) A statement of the reports required to be filed by
29 the committee with federal officials, if any, and the names,
30 addresses, and positions of such officials.
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1 (3)(a) The name of the committee provided in the
2 statement of organization must include the name of the
3 corporation, labor union, professional association, political
4 committee, committee of continuous existence, or other
5 business entity whose officials, employees, agents, or
6 members, directly or indirectly, established or organized the
7 committee, if any.
8 (b) If the name of the committee provided in the
9 statement or organization does not include the name of a
10 corporation, labor union, professional association, political
11 committee, committee of continuous existence, or other
12 business entity, the name must include the economic or special
13 interest, if identifiable, principally represented by the
14 committee's organizers or intended to be advanced by the
15 committee's receipts.
16 (c) Any person who knowingly and willfully violates
17 this section shall be fined not less than $1,000 and not more
18 than $10,000 for each violation. Any officer, partner, agent,
19 attorney, or other representative of a corporation, labor
20 union, professional association, political committee,
21 committee of continuous existence, or other business entity
22 who aids, abets, advises, or participates in a violation of
23 any provision of this section shall be fined not less than
24 $1,000 and not more than $10,000 for each violation.
25 (d) Any committee organized before January 1, 2000,
26 shall have until April 1, 2000, to amend its name, if
27 necessary, to comply with the requirements of this subsection.
28 (4)(3)(a) A political committee which is organized to
29 support or oppose statewide, legislative, or multicounty
30 candidates or issues to be voted upon on a statewide or
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1 multicounty basis shall file a statement of organization with
2 the Division of Elections.
3 (b) Except as provided in paragraph (c), a political
4 committee which is organized to support or oppose candidates
5 or issues to be voted on in a countywide election or
6 candidates or issues in any election held on less than a
7 countywide basis shall file a statement of organization with
8 the supervisor of elections of the county in which such
9 election is being held.
10 (c) A political committee which is organized to
11 support or oppose only candidates for municipal office or
12 issues to be voted on in a municipal election shall file a
13 statement of organization with the officer before whom
14 municipal candidates qualify.
15 (d) Any political committee which would be required
16 under this subsection to file a statement of organization in
17 two or more locations by reason of the committee's intention
18 to support or oppose candidates or issues at state or
19 multicounty and local levels of government need file only with
20 the Division of Elections.
21 (5)(4) Any change in information previously submitted
22 in a statement of organization shall be reported to the agency
23 or officer with whom such committee is required to register
24 pursuant to subsection (4) (3), within 10 days following the
25 change.
26 (6)(5) Any committee which, after having filed one or
27 more statements of organization, disbands or determines it
28 will no longer receive contributions or make expenditures
29 during the calendar year in an aggregate amount exceeding $500
30 shall so notify the agency or officer with whom such committee
31 is required to file the statement of organization.
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1 (7)(6) If the filing officer finds that a political
2 committee has filed its statement of organization consistent
3 with the requirements of subsection (2), it shall notify the
4 committee in writing that it has been registered as a
5 political committee. If the filing officer finds that a
6 political committee's statement of organization does not meet
7 the requirements of subsection (2), it shall notify the
8 committee of such finding and shall state in writing the
9 reasons for rejection of the statement of organization.
10 (8)(7) The Division of Elections shall adopt
11 promulgate rules to prescribe the manner in which inactive
12 committees may be dissolved and have their registration
13 canceled. Such rules shall, at a minimum, provide for:
14 (a) Notice which shall contain the facts and conduct
15 which warrant the intended action, including but not limited
16 to failure to file reports and limited activity.
17 (b) Adequate opportunity to respond.
18 (c) Appeal of the decision to the Florida Elections
19 Commission. Such appeals shall be exempt from the
20 confidentiality provisions of s. 106.25.
21 Section 4. Subsections (2) and (5) and paragraph (c)
22 of subsection (4) of section 106.04, Florida Statutes, are
23 amended to read:
24 106.04 Committees of continuous existence.--
25 (2) Any group, organization, association, or other
26 entity may seek certification from the Department of State as
27 a committee of continuous existence by filing an application
28 with the Division of Elections on a form provided by the
29 division. Such application shall provide the information
30 required of political committees by s. 106.03(2) and (3), and
31 any change in such information shall be reported pursuant to
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1 s. 106.03(5). Each application shall be accompanied by the
2 name and street address of the principal officer of the
3 applying entity as of the date of the application; a copy of
4 the charter or bylaws of the organization; a copy of the dues
5 or assessment schedule of the organization, or formula by
6 which dues or assessments are levied; and a complete financial
7 statement or annual audit summarizing all income received, and
8 all expenses incurred, by the organization during the 12
9 months preceding the date of application. A membership list
10 shall be made available for inspection if deemed necessary by
11 the division.
12 (4)
13 (c) All committees of continuous existence shall file
14 the original and one copy of their reports with the Division
15 of Elections. In addition, a duplicate copy of each report
16 shall be filed with the supervisor of elections in the county
17 in which the committee maintains its books and records, except
18 that if the filing officer to whom the committee is required
19 to report is located in the same county as the supervisor no
20 such duplicate report is required to be filed with the
21 supervisor. Reports shall be on forms provided by the
22 division and shall contain the following information:
23 1. The full name, address, and occupation of each
24 person who has made one or more contributions to the committee
25 during the reporting period, together with the amounts and
26 dates of such contributions. For corporations, the report
27 must provide as clear a description as practicable of the
28 principal type of business conducted by the corporation.
29 However, if the contribution is $100 or less, the occupation
30 of the contributor or principal type of business need not be
31 listed. However, for any contributions which represent the
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1 payment of dues by members in a fixed amount pursuant to the
2 schedule on file with the Division of Elections, only the
3 aggregate amount of such contributions need be listed,
4 together with the number of members paying such dues and the
5 amount of the membership dues.
6 2. For reporting committees whose name does not
7 include the name of a corporation, labor union, professional
8 association, political committee, committee of continuous
9 existence, or other business entity, or economic or special
10 interest, the report must include as clear a description as
11 practicable of a common economic or other special interest, if
12 any, of a majority of the committee's contributors. For
13 purposes of this subparagraph, the term "majority of the
14 committee's contributors" means more than 50 percent of the
15 total number of contributors who have contributed in excess of
16 $100 or more than 50 percent of the sum of all contributions
17 received in excess of $100 each.
18 3.2. The name and address of each political committee
19 or committee of continuous existence from which the reporting
20 committee received, or the name and address of each political
21 committee, committee of continuous existence, or political
22 party to which it made, any transfer of funds, together with
23 the amounts and dates of all transfers.
24 4.3. Any other receipt of funds not listed pursuant to
25 subparagraph 1. through or subparagraph 3.2., including the
26 sources and amounts of all such funds.
27 5.4. The name and address of, and office sought by,
28 each candidate to whom the committee has made a contribution
29 during the reporting period, together with the amount and date
30 of each contribution.
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1 (5) No committee of continuous existence shall
2 contribute to any candidate or political committee an amount
3 in excess of the limits contained in s. 106.08(1) or
4 participate in any other activity which is prohibited by this
5 chapter. If any violation occurs, it shall be punishable as
6 provided in this chapter for the given offense. No funds of a
7 committee of continuous existence shall be expended on behalf
8 of a candidate, except by means of a contribution made through
9 the duly appointed campaign treasurer of a candidate. No such
10 committee shall make expenditures in support of, or in
11 opposition to, an issue or an elected public official unless
12 such committee first registers as a political committee
13 pursuant to this chapter and undertakes all the practices and
14 procedures required thereof; provided such committee may make
15 contributions in a total amount not to exceed 25 percent of
16 its aggregate income, as reflected in the annual report filed
17 for the previous year, to one or more political committees
18 registered pursuant to s. 106.03 and formed to support or
19 oppose issues.
20 Section 5. Subsection (3) and paragraph (a) of
21 subsection (4) of section 106.07, Florida Statutes, are
22 amended to read:
23 106.07 Reports; certification and filing.--
24 (3) Reports required of a political committee shall be
25 filed with the agency or officer before whom such committee
26 registers pursuant to s. 106.03(4)(3) and shall be subject to
27 the same filing conditions as established for candidates'
28 reports. Only committees that file with the Department of
29 State shall file the original and one copy of their reports.
30 Incomplete reports by political committees shall be treated in
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1 the manner provided for incomplete reports by candidates in
2 subsection (2).
3 (4)(a) Each report required by this section shall
4 contain:
5 1. The full name, address, and occupation, if any of
6 each person who has made one or more contributions to or for
7 such committee or candidate within the reporting period,
8 together with the amount and date of such contributions. For
9 corporations, the report must provide as clear a description
10 as practicable of the principal type of business conducted by
11 the corporation. However, if the contribution is $100 or less
12 or is from a relative, as defined in s. 112.312, provided that
13 the relationship is reported, the occupation of the
14 contributor or the principal type of business need not be
15 listed.
16 2. For reporting committees whose name does not
17 include the name of a corporation, labor union, professional
18 association, political committee, committee of continuous
19 existence, or other business entity, or economic or special
20 interest, the report must include as clear a description as
21 practicable of a common economic or other special interest, if
22 any, of a majority of the committee's contributors. For
23 purposes of this subparagraph, the term "majority of the
24 committee's contributors" means more than 50 percent of the
25 total number of contributors who have contributed in excess of
26 $100 or more than 50 percent of the sum of all contributions
27 received in excess of $100 each.
28 3.2. The name and address of each political committee
29 from which the reporting committee or the candidate received,
30 or to which the reporting committee or candidate made, any
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1 transfer of funds, together with the amounts and dates of all
2 transfers.
3 4.3. Each loan for campaign purposes to or from any
4 person or political committee within the reporting period,
5 together with the full names, addresses, and occupations, and
6 principal places of business, if any, of the lender and
7 endorsers, if any, and the date and amount of such loans.
8 5.4. A statement of each contribution, rebate, refund,
9 or other receipt not otherwise listed under subparagraphs 1.
10 through 4.3.
11 6.5. The total sums of all loans, in-kind
12 contributions, and other receipts by or for such committee or
13 candidate during the reporting period. The reporting forms
14 shall be designed to elicit separate totals for in-kind
15 contributions, loans, and other receipts.
16 7.6. The full name and address of each person to whom
17 expenditures have been made by or on behalf of the committee
18 or candidate within the reporting period; the amount, date,
19 and purpose of each such expenditure; and the name and address
20 of, and office sought by, each candidate on whose behalf such
21 expenditure was made. However, expenditures made from the
22 petty cash fund provided by s. 106.12 need not be reported
23 individually.
24 8.7. The full name and address of each person to whom
25 an expenditure for personal services, salary, or reimbursement
26 for authorized expenses has been made and which is not
27 otherwise reported, including the amount, date, and purpose of
28 such expenditure. However, expenditures made from the petty
29 cash fund provided for in s. 106.12 need not be reported
30 individually.
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1 9.8. The total amount withdrawn and the total amount
2 spent for petty cash purposes pursuant to this chapter during
3 the reporting period.
4 10.9. The total sum of expenditures made by such
5 committee or candidate during the reporting period.
6 11.10. The amount and nature of debts and obligations
7 owed by or to the committee or candidate, which relate to the
8 conduct of any political campaign.
9 12.11. A copy of each credit card statement which
10 shall be included in the next report following receipt thereof
11 by the candidate or political committee. Receipts for each
12 credit card purchase shall be retained by the treasurer with
13 the records for the campaign account.
14 13.12. The amount and nature of any separate
15 interest-bearing accounts or certificates of deposit and
16 identification of the financial institution in which such
17 accounts or certificates of deposit are located.
18 Section 6. This act shall take effect July 1, 1999.
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