HB-6128, As Passed House, September 13, 2006

SUBSTITUTE FOR

HOUSE BILL NO. 6128

     A bill to amend 1976 PA 388, entitled

"Michigan campaign finance act,"

by amending sections 5, 6, 11, 24, 26, 29, 35, and 43 (MCL 169.205,

169.206, 169.211, 169.224, 169.226, 169.229, 169.235, and 169.243),

sections 5 and 24 as amended by 1999 PA 237, section 6 as amended

by 2003 PA 69, section 11 as amended by 1996 PA 590, sections 26

and 29 as amended by 2001 PA 250, and section 35 as amended by 2000

PA 75, and by adding section 51a.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 5. (1) "Domestic dependent sovereign" means an Indian

tribe that has been acknowledged, recognized, restored, or

reaffirmed as an Indian tribe by the secretary of the interior

pursuant to chapter 576, 48 Stat. 984, 25 U.S.C.  under the Indian

reorganization act, 25 USC 461 to 463, 464 to 465, 466 to 470, 471

to 472, 473, 474 to 475, 476 to 478, and 479,  commonly referred to

as the Indian reorganization act, or has otherwise been

acknowledged by the United States government as an Indian tribe.

     (2) "Election" means a primary, general, special, or millage

election held in this state or a convention or caucus of a

political party held in this state to nominate a candidate.

Election includes a recall vote.

     (3) "Election cycle" means 1 of the following:

     (a) For a general election, the period beginning the day

following the last general election in which the office appeared on

the ballot and ending on the day of the general election in which

the office next appears on the ballot.

     (b) For a special election, the period beginning the day a

special general election is called or the date the office becomes

vacant, whichever is earlier, and ending on the day of the special

general election.

     (4) "Electioneering communication" means, subject to

subsection (5), a broadcast, cable, or satellite communication to

which all of the following apply:

     (a) The communication refers to a clearly identified

candidate.

     (b) The communication is made within 30 days before a primary

election or a convention or caucus of a political party that has

authority to nominate a candidate or within 60 days before a

general election.

     (5) Electioneering communication does not include the

following:

     (a) A communication in a news story, commentary, or editorial

distributed through the facilities of a broadcasting station,

unless the facilities are owned or controlled by a candidate or a

committee, other than an independent committee or a ballot question

committee.

     (b) A communication that is an expenditure or an independent

expenditure.

     (c) A communication in a candidate debate or forum conducted

pursuant to rules adopted by the secretary of state or that solely

promotes such a debate or forum and is made by or on behalf of the

person sponsoring the debate or forum.

     (6) "Electioneering communication organization" means a person

that pays or becomes obligated to pay for 1 or more electioneering

communications, if the payments made or to be made aggregate more

than $1,000.00 in an election cycle.

(7)  (4) "Elective office" means a public office filled by an

election. A person who is appointed to fill a vacancy in a public

office that is ordinarily elective holds an elective office.

Elective office does not include the office of precinct delegate.

Except for the purposes of sections 47, 54, and 55, elective office

does not include a school board member in a school district that

has a pupil membership of 2,400 or less enrolled on the most recent

pupil membership count day. However, elective office includes a

school board member in a school district that has a pupil

membership of 2,400 or less  , if a candidate committee of a

candidate for the office of school board member in that school

district receives an amount in excess of $1,000.00 or expends an

amount in excess of $1,000.00. Elective office does not include a

federal office except for the purposes of section 57.

     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.

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.

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

(f), 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)  (2)(e) or

(f), 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.

(b)  (c) An expenditure for the establishment,

administration, or solicitation of contributions to a separate

segregated fund or independent committee.

(c)  (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.

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

and unconditionally rejected or returned.

(e)  (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 section

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

501, or any successor statute.

(f)  (g) An expenditure for nonpartisan voter registration or

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

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.

(g)  (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. 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, organization that claims tax-exempt status

under section 527 of the internal revenue code, 26 USC 527, 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.

     (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  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 body exercises governmental or proprietary authority or

performs a governmental or proprietary function.

     Sec. 24. (1) A committee shall file a statement of

organization with the filing officials designated in section 36 to

receive the committee's campaign statements. A statement of

organization shall be filed within 10 days after a committee is

formed. A filing official shall maintain a statement of

organization filed by a committee until 5 years after the official

date of the committee's dissolution. A person who fails to file a

statement of organization required by this subsection shall pay a

late filing fee of $10.00 for each business day the statement

remains not filed in violation of this subsection. The late filing

fee shall not exceed $300.00. A person who violates this subsection

by failing to file for more than 30 days after a statement of

organization is required to be filed is guilty of a misdemeanor

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

     (2) The statement of organization required by subsection (1)

shall include the following information:

     (a) The name, street address, and if available, the telephone

number of the committee. If a committee is a candidate committee,

the committee name shall include the first and last name of the

candidate. A committee address may be the home address of the

candidate or treasurer of the committee.

     (b) The name, street address, and if available, the telephone

number of the treasurer or other individual designated as

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

or report filing.

     (c) The name, street address, and, if available, telephone

number of the successor treasurer who will serve as the treasurer

or other individual designated as responsible for the committee's

record-keeping, report preparation, or report filing if the

individual named under subdivision (b) resigns, dies, or is

incapacitated.

(d)  (c) The name and address of the financial institution in

which the official committee depository is or is intended to be

located, and the name and address of each financial institution in

which a secondary depository is or is intended to be located.

(e)  (d) The full name of the office being sought by,

including district number or jurisdiction, and the county residence

of each candidate supported or opposed by the committee.

(f)  (e) A brief statement identifying the substance of each

ballot question supported or opposed by the committee. If the

ballot question supported or opposed by the committee is not

statewide, the committee shall identify the county in which the

greatest number of registered voters eligible to vote on the ballot

question reside.

(g)  (f) Identification of the committee as a candidate

committee, political party committee, independent committee,

political committee, or ballot question committee if it is

identifiable as such a committee.

     (3) An independent committee or political committee shall

include in the name of the committee the name of the person or

persons that sponsor the committee, if any, or with whom the

committee is affiliated. A person, other than an individual or a

committee, sponsors or is affiliated with an independent committee

or political committee if that person establishes, directs,

controls, or financially supports the administration of the

committee. For the purposes of this subsection, a person does not

financially support the administration of a committee by merely

making a contribution to the committee.

     (4) If any of the information required in a statement of

organization is changed, the committee shall file an amendment when

the next campaign statement is required to be filed. An independent

committee or political committee whose name does not include the

name of the person or persons that sponsor the committee or with

whom the committee is affiliated as required by subsection (3)

shall file an amendment to the committee's statement of

organization not later than the date the next campaign statement is

required to be filed.  after the effective date of the amendatory

act that added this sentence.

     (5) When filing a statement of organization, a committee,

other than an independent committee, a political committee, or a

political party committee, may indicate in a written statement

signed by the treasurer of the committee that the committee does

not expect for each election to receive an amount in excess of

$1,000.00 or expend an amount in excess of $1,000.00.

     (6) When filing a statement of organization, an independent

committee, a political committee, or a political party committee

may indicate in a written statement signed by the treasurer of the

committee that the committee does not expect in a calendar year to

receive or expend an amount in excess of $1,000.00.

     (7) Upon the dissolution of a committee, the committee shall

file a statement indicating dissolution with the filing officials

with whom the committee's statement of organization was filed.

Dissolution of a committee shall be accomplished pursuant to rules

promulgated by the secretary of state under the administrative

procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.

     (8) A candidate committee that files a written statement

pursuant to  under subsection (5) shall not be required to file a

dissolution statement  pursuant to  under subsection (7) if the

committee failed to receive or expend an amount in excess of

$1,000.00 and 1 of the following applies:

     (a) The candidate was defeated in an election and has no

outstanding campaign debts or assets.

     (b) The candidate vacates an elective office and has no

outstanding campaign debts or assets.

     Sec. 26. (1) A campaign statement of a committee, other than a

political party committee, required by this act shall contain all

of the following information:

     (a) The filing committee's name, address, and telephone

number, and the full name, residential and business addresses, and

telephone numbers of the committee treasurer or other individual

designated as responsible for the committee's record keeping,

report preparation, or report filing.

     (b) Under the heading "receipts", the total amount of

contributions received during the period covered by the campaign

statement; under the heading "expenditures", the total amount of

expenditures made during the period covered by the campaign

statement; and the cumulative amount of those totals. Forgiveness

of a loan shall not be included in the totals. Payment of a loan by

a third party shall be recorded and reported as an in-kind

contribution by the third party. In-kind contributions or

expenditures shall be listed at fair market value and shall be

reported as both contributions and expenditures. A contribution or

expenditure that is by other than completed and accepted payment,

gift, or other transfer, that is clearly not legally enforceable,

and that is expressly withdrawn or rejected and returned before a

campaign statement closing date need not be included in the

campaign statement and if included may, in a later or amended

statement, be shown as a deduction, but the committee shall keep

adequate records of each instance.

     (c) The balance of cash on hand at the beginning and the end

of the period covered by the campaign statement.

     (d) The following information regarding each fund-raising

event shall be included in the report:

     (i) The type of event, date held, address and name, if any, of

the place where the activity was held, and approximate number of

individuals participating or in attendance.

     (ii) The total amount of all contributions.

     (iii) The gross receipts of the fund-raising event.

     (iv) The expenditures incident to the event.

(d)  (e) The full name of each individual from whom

contributions are received during the period covered by the

campaign statement, together with the individual's street address,

the amount contributed, the date on which each contribution was

received, and the cumulative amount contributed by that individual.

The occupation, employer, and principal place of business shall be

stated if the individual's cumulative contributions are more than

$100.00.

(e)  (f) The cumulative amount contributed and the name and

address of each individual, except those individuals reported under

subdivision  (e)  (d), who contributed to the committee. The

occupation, employer, and principal place of business shall be

stated for each individual who contributed more than $100.00.

(f)  (g) The name and street address of each person, other

than an individual, from whom contributions are received during the

period covered by the campaign statement, together with an

itemization of the amounts contributed, the date on which each

contribution was received, and the cumulative amount contributed by

that person.

(g)  (h) The name, address, and amount given by an individual

who contributed to the total amount contributed by a person who is

other than a committee or an individual. The occupation, employer,

and principal place of business shall be stated if the individual

contributed more than $100.00 of the total amount contributed by a

person who is other than a committee or an individual.

(h)  (i) The cumulative total of expenditures of $50.00 or

less made during the period covered by the campaign statement

except for expenditures made to or on behalf of another committee,

candidate, or ballot question.

(i)  (j) The full name and street address of each person to

whom expenditures totaling more than $50.00 were made, together

with the amount of each separate expenditure to each person during

the period covered by the campaign statement; the purpose of the

expenditure; the full name and street address of the person

providing the consideration for which any expenditure was made if

different from the payee; the itemization regardless of amount of

each expenditure made to or on behalf of another committee,

candidate, or ballot question; and the cumulative amount of

expenditures for or against that candidate or ballot question for

an election cycle. An expenditure made in support of more than 1

candidate or ballot question, or both, shall be apportioned

reasonably among the candidates or ballot questions, or both.

     (2) A candidate committee or ballot question committee shall

report all cumulative amounts required by this section on a per

election cycle basis. Except for subsection  (1)(j)  (1)(i), an

independent committee or political committee shall report all

cumulative amounts required by this section on a calendar year

basis.

     (3) A campaign statement of a committee, in addition to the

other information required by this section, shall include an

itemized list of all expenditures during the reporting period for

election day busing of electors to the polls, get-out-the-vote

activities, slate cards, challengers, poll watchers, and poll

workers.

     (4) For a reporting period in which a contribution is received

that is to be part of a bundled contribution or a reporting period

in which a bundled contribution is delivered to the candidate

committee of a candidate for statewide elective office, a bundling

committee shall report to the secretary of state, on a form

provided by the secretary of state, all of the following

information, as applicable, about each contribution received or

delivered as part of a bundled contribution, and about each bundled

contribution delivered, in the reporting period:

     (a) The amount of each contribution, the date it was received

by the bundling committee, and the candidate for statewide elective

office whom the contributor designated as the intended recipient.

     (b) Each contributor's name and address and, for each

contribution exceeding $100.00, the contributor's occupation,

employer, and principal place of business.

     (c) The date each contribution is delivered to the candidate's

statewide elective office candidate committee.

     (d) The total amount of bundled contributions delivered to

that candidate committee during the reporting period and during the

election cycle.

     (5) With its delivery of a bundled contribution to the

candidate committee of a candidate for statewide elective office, a

bundling committee shall deliver a report to that candidate

committee, on a form provided by the secretary of state, that

includes all of the following information, as applicable, about

each contribution delivered as part of the bundled contribution,

and about all bundled contributions delivered to that candidate

committee in the election cycle:

     (a) The amount of each contribution, the date it was received

by the bundling committee, and the statewide elective office

candidate the contributor designated as the intended recipient.

     (b) Each contributor's name and address and, for each

contribution exceeding $100.00, the contributor's occupation,

employer, and principal place of business.

     (c) The total amount of bundled contributions delivered to

that candidate committee during the reporting period and during the

election cycle.

     (6) For a reporting period in which a bundled contribution is

received, a candidate committee of a candidate for statewide

elective office shall report to the secretary of state, on a form

provided by the secretary of state, all of the following

information, as applicable, about each contribution delivered as

part of a bundled contribution received in the reporting period and

about all bundled contributions received by that candidate

committee:

     (a) The amount of each contribution, the date it was received

by the candidate committee, and the name of the bundling committee

that delivered the contribution.

     (b) Each contributor's name and address and, for each

contribution exceeding $100.00, the contributor's occupation,

employer, and principal place of business.

     (c) The total amount of bundled contributions received by that

candidate committee during the reporting period and during the

election cycle.

     Sec. 29. (1) A campaign statement filed by a political party

committee shall contain all of the following information:

     (a) The full name and street address of each person from whom

contributions are received in a calendar year, the amount, and the

date or dates contributed; and, if the person is a committee, the

name and address of the committee and the full name of the

committee treasurer, together with the amount of the contribution

and the date received. The occupation, employer, and principal

place of business, if any, shall be listed for each person from

whom contributions totaling more than $100.00 are received in a

calendar year.

     (b) Accompanying a campaign statement reporting the receipt of

a contribution from a committee or person whose treasurer does not

reside in, whose principal office is not located in, or whose funds

are not kept in this state, and whose committee has not filed a

statement of organization as required in section 24, shall be a

statement setting forth the full name and address of the treasurer

of the committee.

     (c) An itemized list of all expenditures, including in-kind

contributions and expenditures and loans, made during the period

covered by the campaign statement that were contributions to a

candidate committee of a candidate for elective office or a ballot

question committee; or independent expenditures in support of the

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

support of the nomination or election of a candidate for elective

office or the defeat of any of the candidate's opponents.

     (d) The total expenditure by the committee for each candidate

for elective office or ballot question in whose behalf an

independent expenditure was made or a contribution was given for

the election cycle.

     (e) The filer's name, address, and telephone number, if

available, if any, and the full name, address, and telephone

number, if available, of the committee treasurer.

     (f) Under the heading "receipts", the total amount of

contributions and other money and things of value received during

the period covered by the campaign statement.

     (g) Under the heading "debts and obligations", the total

amount owed by the committee and the total amount owed to the

committee.

     (h) A statement showing the ending balance on the closing date

of the last statement filed, the amount received during the

reporting period, the amount expended during the reporting period,

and the ending balance on the closing date of the statement.

     (i) The cumulative contributions, other receipts, in-kind

contributions and in-kind expenditures, and expenditures for the

calendar year.

     (2) The committee shall identify an expenditure listed under

subsection (1)(c) as an independent expenditure or as a

contribution to a candidate committee or a ballot question

committee.

     (3) The committee shall designate for a contribution to or on

behalf of a candidate committee or ballot question committee listed

under subsection (1)(c) the name and address of the committee, the

name of the candidate and the office sought, if any, the amount

contributed, and the date of contribution.

     (4) The committee shall designate for an independent

expenditure listed under subsection (1)(c) either the name of the

candidate for whose benefit the expenditure was made and the office

sought by the candidate, or a brief description of the ballot

question for which the expenditure was made; the amount, date, and

purpose of the expenditure; and the full name and address of the

person to whom the expenditure was made.

     (5) The committee shall apportion an expenditure listed that

was made in support of more than 1 candidate or ballot question, or

both, reasonably among the candidates or ballot questions, or both.

     (6) A campaign statement of a committee, in addition to the

other information required by this section, shall include an

itemized list of all expenditures during the reporting period for

election day busing of electors to the polls, get-out-the-vote

activities, slate cards, challengers, poll watchers, and poll

workers.

     Sec. 35. (1) In addition to any other requirements of this act

for filing a campaign statement, a committee, other than an

independent committee or a political committee required to file

with the secretary of state, shall also file  a all of the

following campaign statements:

     (a) A campaign statement not later than January 31 of each

year. The campaign statement shall have a closing date of December

31 of the previous year.  The period covered by the campaign

statement filed pursuant to this subsection begins the day after

the closing date of the previous campaign statement.  A campaign

statement  filed pursuant to this subsection shall be required by

this subdivision is waived if a postelection campaign statement has

been filed that has a filing deadline within 30 days of the closing

date of the campaign statement required by this  subsection

subdivision.

(b) In each year in which a committee is not required to file

preelection and postelection campaign statements, campaign

statements not later than April 15, July 15, and October 15 with

closing dates of March 31, June 30, and September 30, respectively.

     (c) In each year in which a committee is required to file

preelection and postelection campaign statements, a campaign

statement not later than April 15 with a closing date of March 31.

     (2) Subsection (1) does not apply to a candidate committee for

an officeholder who is a judge or a supreme court justice, or who

holds an elective office for which the salary is less than $100.00

a month and who does not receive  any a contribution or make  any

an expenditure during the time that would be otherwise covered in

the statement.

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

designated as responsible for the record keeping, report

preparation, or report filing for a candidate committee of a

candidate for state elective office or a judicial office who fails

to file a campaign statement under this section shall be assessed 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 $500.00. 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 $1,000.00. The late filing fee assessed

under this subsection shall be paid by the candidate, and the

candidate shall not use committee funds to pay that fee. A

committee, treasurer, or other individual designated as responsible

for the record keeping, report preparation, or report filing for a

committee other than a candidate committee of a candidate for state

elective office or a judicial office who fails to file a campaign

statement under this section shall pay a late filing fee of $25.00

for each business day the campaign statement remains not filed in

violation of this section. The late filing fee shall not exceed

$500.00.

     (4) A committee filing a written statement  pursuant to  under

section 24(5) or (6) need not file a statement  in accordance with

under subsection (1). If a committee receives or expends more than

$1,000.00 during a time period prescribed by section 24(5) or (6),

the committee is then subject to the campaign filing requirements

under this act and shall file a campaign statement for the period

beginning the day after the closing date of the last postelection

campaign statement or an annual campaign statement that is waived

pursuant to as provided in subsection (1), whichever occurred

earlier.

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

as responsible for the record keeping, report preparation, or

report filing fails to file 2 statements required by this section

or section 33 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.

     (6) If a treasurer or other individual designated as

responsible for the record keeping, report preparation, or report

filing for a committee required to file a campaign statement under

subsection (1) 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. 43. (1) An expenditure shall not be made, other than for

overhead or normal operating expenses, by an agent or an

independent contractor, including an advertising agency, on behalf

of or for the benefit of a person unless the expenditure is

reported by the committee as if the expenditure were made directly

by the committee, or unless the agent or independent contractor

files a report of an independent expenditure as provided in section

51. The agent or independent contractor shall make known to the

committee all information required to be reported by the committee.

A person

     (2) If a committee reports an expenditure of money paid to an

agent or independent contractor and if the agent or independent

contractor makes an expenditure of that money after the closing

date of the campaign statement in which the committee reports the

expenditure, the committee treasurer or other individual designated

on the statement of organization as responsible for the committee's

record keeping, report preparation, or report filing shall file an

amended campaign statement that contains a detailed itemization of

the expenditure made by the agent or independent contractor. An

amended campaign statement required by this subsection shall be

filed with the filing official within 48 hours after the

expenditure is made by the agent or independent contractor.

     (3) An individual who knowingly  is in violation of this

subsection  violates this section is guilty of a misdemeanor and

shall be punished by a fine of not more than $1,000.00, or

imprisoned for not more than 90 days, or both. , and if the  A

person  is other than an individual  the person  who knowingly

violates this section shall be fined not more than $10,000.00.

     Sec. 51a. (1) An electioneering communication organization

shall, within 10 days after becoming an electioneering

communication organization, do both of the following:

     (a) Designate an individual to be responsible for the

organization's record keeping, report preparation, or report

filing.

     (b) File with the secretary of state a statement of

organization that contains all of the following:

     (i) The name, street address, and, if available, telephone

number of the organization.

     (ii) The name, street address, and, if available, telephone

number of the individual designated under subdivision (a).

     (iii) A statement by the individual designated under subdivision

(a) that he or she accepts the designation and will keep records

necessary to prepare and will prepare and file reports of the

organization as required by this section.

     (2) An electioneering communication organization shall report

each electioneering communication for which it pays or becomes

obligated to pay within 48 hours after the communication is made.

The report shall be made to the secretary of state on a form

provided by the secretary of state, containing all of the

information required by the form.

     (3) If any of the information in a statement of organization

filed under this section changes during the applicable election

cycle, the electioneering communication organization shall file an

amendment with the secretary of state within 10 days.

     (4) The secretary of state shall make a report filed under

this section available to the public in the same manner as is

required by section 16 for a report of a late contribution under

section 32(1).

     (5) An electioneering communication organization or the

individual designated under subsection (1)(a) who fails to report

an electioneering communication as required by this section shall

pay a late filing fee that shall not exceed $2,000.00, 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.

     Enacting section 1. This amendatory act takes effect January

31, 2007.