November 10, 2015, Introduced by Reps. Hoadley, Singh, LaVoy, Guerra, Zemke, Pagan and Plawecki and referred to the Committee on Elections.
A bill to amend 1976 PA 388, entitled
"Michigan campaign finance act,"
by amending sections 24, 32, and 33 (MCL 169.224, 169.232, and
169.233), section 24 as amended by 1999 PA 237, section 32 as
amended by 2012 PA 277, and section 33 as amended by 2013 PA 252.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
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 late filing fee assessed under this
subsection against a candidate committee shall be paid by the
candidate, and the candidate shall not use committee funds to pay
that fee. 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 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.
(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.
(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.
(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.April 1,
1995.
(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 is 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. 32. (1) A committee, candidate, treasurer, or other
individual designated as responsible for the committee's record
keeping, record preparation, or report filing shall report a late
contribution by filing with the filing officer within 48 hours
after its receipt the full name, street address, occupation,
employer, and principal place of business of the contributor.
(2) Filing of a report of a late contribution under subsection
(1) may be by any written means of communication and need not
contain an original signature.
(3) A late contribution shall be reported on subsequent
campaign statements without regard to reports filed under
subsection (1). If a campaign statement has not been filed, a late
contribution may be reported, if practicable, in the campaign
statement and need not, therefore, be reported in a subsequent
campaign statement.
(4) A committee, candidate, treasurer, or other individual
designated as responsible for the committee's record keeping,
report preparation, or report filing who fails to report a late
contribution as required by subsection (1) shall pay a late filing
fee. ,
that A late filing fee
assessed under this subsection
against a candidate committee shall be paid by the candidate, and
the candidate shall not use committee funds to pay that fee. A late
filing fee under this subsection shall not exceed the lesser of the
following:
(a) The total amount of the contributions omitted from the
late contribution reports.
(b) $2,000.00 determined as follows:
(i) Twenty-five dollars for each business day the report
remains unfiled.
(ii) An additional $25.00 for each business day after the
first 3 business days the report remains unfiled.
(iii) An additional $50.00 for each business day after the
first 10 business days the report remains unfiled.
(5) A committee, other than a candidate committee, is only
required to file a report of a late contribution for an election
during which the committee made expenditures for the purpose of
influencing the nomination or election of a candidate or for the
qualification, passage, or defeat of a ballot question after the
closing date of the last campaign statement required to be filed
before an election. This subsection is retroactive and takes effect
January 1, 2010.
(6) This state by appropriation or a county shall reimburse or
waive any late filing fee paid or assessed under subsection (4) or
(5)
between January 1, 2010 and the effective date of the
amendatory
act that added this subsection. July
3, 2012. This
subsection only applies to committees that have filed all other
campaign statements required under this act in a timely manner.
This subsection does not apply to candidate committees.
(7)
As used in this section, for contributions made before the
effective
date of the amendatory act that added subsection (6),
July 3, 2012, "late contribution" means a contribution of $200.00
or more received after the closing date of the last campaign
statement required to be filed before an election. For
contributions
made on or after the effective date of the amendatory
act
that added subsection (6), July
3, 2012, late contribution
means, for a candidate committee, contributions from the same
contributor with a cumulative total of $500.00 or more received
after the closing date of the last campaign statement required to
be
filed before an election. For contributions made on or after the
effective
date of the amendatory act that added subsection (6),
July 3, 2012, late contribution means, for a committee other than a
candidate committee, contributions from the same contributor with a
cumulative total of $2,500.00 or more received after the closing
date of the last campaign statement required to be filed before an
election.
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 that 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.
(c) In a year in which there is no election for the candidate
the committee is supporting or opposing:
(i) Not later than July 25 with a closing date of July 20 of
that year.
(ii) Not later than October 25 with a closing date of October
20 of that year.
(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) Not later than February 15 of each year with a closing
date of February 10 of that 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.
(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) is not required to 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. A late
filing fee assessed under this subsection against a candidate
committee shall be paid by the candidate, and the candidate shall
not use committee funds to pay that 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 candidate, 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
individual is subject to a civil fine of not more than $1,000.00.
(11) If a candidate, treasurer, or other individual designated
as responsible for a committee's record keeping, report
preparation, or report filing knowingly omits or underreports
individual contributions or individual expenditures required to be
disclosed by this act, that individual is subject to a civil fine
of not more than $1,000.00 or the amount of the contributions and
expenditures omitted or underreported, whichever is greater.
(12) If a candidate committee's account has a balance of
$20,000.00 or more and a candidate, treasurer, or other individual
designated as responsible for that committee's record keeping,
report preparation, or report filing fails to file campaign
statements required under this act for 2 consecutive years, that
candidate, treasurer, or other individual is guilty of a felony
punishable by imprisonment for not more than 3 years or a fine of
not more than $5,000.00, or both. Any money in a candidate
committee account described in this subsection is subject to
seizure by, and forfeiture to, this state as provided in this
section.
(13) Not more than 5 business days after seizure of money
under subsection (12), the secretary of state shall deliver
personally or by registered mail to the last known address of the
candidate from whom the seizure was made an inventory statement of
the money seized. The inventory statement shall also contain notice
to the effect that unless demand for hearing as provided in this
section is made within 10 business days, the money is forfeited to
this state. Within 10 business days after the date of service of
the notice, the candidate may by registered mail, facsimile
transmission, or personal service file with the secretary of state
a demand for a hearing before the secretary of state or a person
designated by the secretary of state for a determination as to
whether the money was lawfully subject to seizure and forfeiture.
The candidate is entitled to appear before the secretary of state
or a person designated by the secretary of state, to be represented
by counsel, and to present testimony and argument. Upon receipt of
a request for hearing, the secretary of state or a person
designated by the secretary of state shall hold the hearing within
15 business days. The hearing is not a contested case proceeding
and is not subject to the administrative procedures act of 1969,
1969 PA 306, MCL 24.201 to 24.328. After the hearing, the secretary
of state or a person designated by the secretary of state shall
render a decision in writing within 10 business days of the hearing
and, by order, shall either declare the money subject to seizure
and forfeiture or declare the money returnable to the candidate.
If, within 10 business days after the date of service of the
inventory statement, the candidate does not file with the secretary
of state a demand for a hearing before the secretary of state or a
person designated by the secretary of state, the money seized is
forfeited to this state by operation of law. If, after a hearing
before the secretary of state or a person designated by the
secretary of state, the secretary of state or a person designated
by the secretary of state determines that the money is lawfully
subject to seizure and forfeiture and the candidate does not appeal
to the circuit court of the county in which the seizure was made
within the time prescribed in this section, the money seized is
forfeited to this state by operation of law. If a candidate is
aggrieved by the decision of the secretary of state or a person
designated by the secretary of state, that candidate may appeal to
the circuit court of the county where the seizure was made to
obtain a judicial determination of the lawfulness of the seizure
and forfeiture. The action shall be commenced within 20 days after
notice of a determination by the secretary of state or a person
designated by the secretary of state is sent to the candidate. The
court shall hear the action and determine the issues of fact and
law involved in accordance with rules of practice and procedure as
in other in rem proceedings.