By Mowery                                              H.B. No. 990
       74R2152 ESH-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to limits on political contributions to and direct
    1-3  campaign expenditures made on behalf of certain officeholders,
    1-4  candidates, and political committees; providing criminal penalties.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Chapter 253, Election Code, is amended by adding
    1-7  Subchapter F to read as follows:
    1-8                  SUBCHAPTER F.  CONTRIBUTION LIMITS
    1-9        Sec. 253.151.  CONTRIBUTION LIMIT.  (a)  A person may not
   1-10  knowingly make or authorize political contributions that in the
   1-11  aggregate exceed $5,000 to:
   1-12              (1)  an officeholder;
   1-13              (2)  a candidate;
   1-14              (3)  a specific-purpose committee for:
   1-15                    (A)  assisting an officeholder; or
   1-16                    (B)  supporting or opposing a candidate;
   1-17              (4)  a combination of an officeholder and a related
   1-18  committee;
   1-19              (5)  a combination of a candidate and a related
   1-20  committee; or
   1-21              (6)  a combination of related committees for:
   1-22                    (A)  assisting an officeholder; or
   1-23                    (B)  supporting or opposing a candidate.
   1-24        (b)  The limit provided by Subsection (a) applies with
    2-1  respect to each election cycle in which the candidate or
    2-2  officeholder is involved.
    2-3        (c)  A person may not knowingly accept political
    2-4  contributions made or authorized in violation of this section.
    2-5        (d)  A candidate or officeholder who has accepted a political
    2-6  contribution from a person that, when aggregated with political
    2-7  contributions accepted from the person by a related committee,
    2-8  exceeds the limit prescribed by Subsection (a), shall, not later
    2-9  than the third day after the date the candidate or officeholder
   2-10  receives notice of acceptance of a contribution by a related
   2-11  committee on behalf of the candidate or officeholder under Section
   2-12  254.1281, return to the person the lesser of:
   2-13              (1)  the amount by which the contributions accepted by
   2-14  the candidate or officeholder and the related committee exceed the
   2-15  limit prescribed by Subsection (a); or
   2-16              (2)  the total amount of contributions accepted from
   2-17  the person by the candidate or officeholder.
   2-18        (e)  A person who violates this section commits an offense.
   2-19  An offense under this section is a Class A misdemeanor.
   2-20        (f)  In this section:
   2-21              (1)  "Election cycle" means:
   2-22                    (A)  the primary election, runoff primary
   2-23  election, if any, and general election for an office for which a
   2-24  primary election is held;
   2-25                    (B)  the general election and runoff election, if
   2-26  any, for an office for which a primary election is not held; or
   2-27                    (C)  a special election and runoff election, if
    3-1  any.
    3-2              (2)  "Related committee" means:
    3-3                    (A)  with regard to an officeholder, a
    3-4  specific-purpose committee for assisting the officeholder; and
    3-5                    (B)  with regard to a candidate, a
    3-6  specific-purpose committee for supporting the candidate or opposing
    3-7  the candidate's opponent.
    3-8              (3)  "With respect to an election cycle" means:
    3-9                    (A)  with regard to a contribution that is
   3-10  designated in writing for a particular election, the election cycle
   3-11  that includes the election designated; or
   3-12                    (B)  with regard to a contribution that is not
   3-13  designated in writing for a particular election or that is
   3-14  designated as an officeholder contribution, the election cycle that
   3-15  includes the next election for that office occurring after the
   3-16  contribution is made.
   3-17        Sec. 253.152.  DIRECT CAMPAIGN EXPENDITURE.  (a)  For
   3-18  purposes of Section 253.151, a direct campaign expenditure is
   3-19  considered to be a campaign contribution to a candidate if it is
   3-20  made with the cooperation or prior consent of, in consultation
   3-21  with, or at the suggestion of:
   3-22              (1)  the candidate;
   3-23              (2)  a specific-purpose committee for supporting the
   3-24  candidate or opposing the candidate's opponent; or
   3-25              (3)  a person acting with the candidate's knowledge and
   3-26  consent.
   3-27        (b)  An individual who makes a direct campaign expenditure to
    4-1  which Subsection (a) applies shall give notice of that fact to the
    4-2  affected candidate or officeholder as provided by Section 254.128
    4-3  for a specific-purpose committee and shall include the amount of
    4-4  the direct campaign expenditure in the notice.
    4-5        (c)  A political committee that makes a direct campaign
    4-6  expenditure to which Subsection (a) applies shall include the
    4-7  amount of the direct campaign expenditure in the notice required by
    4-8  Section 254.128 or 254.161, as applicable.
    4-9        SECTION 2.  Section 254.061, Election Code, is amended to
   4-10  read as follows:
   4-11        Sec. 254.061.  ADDITIONAL CONTENTS OF REPORTS.  In addition
   4-12  to the contents required by Section 254.031, each report by a
   4-13  candidate must include:
   4-14              (1)  the candidate's full name and address, the office
   4-15  sought, and the identity and date of the election for which the
   4-16  report is filed;
   4-17              (2)  the campaign treasurer's name, residence or
   4-18  business street address, and telephone number;
   4-19              (3)  for each political committee from which the
   4-20  candidate received notice under Section 254.128 or 254.161:
   4-21                    (A)  the committee's full name and address;
   4-22                    (B)  an indication of whether the committee is a
   4-23  general-purpose committee or a specific-purpose committee; and
   4-24                    (C)  the full name and address of the committee's
   4-25  campaign treasurer;
   4-26              (4)  the full name and address of each individual
   4-27  acting as a campaign treasurer of a political committee under
    5-1  Section 253.062 from whom the candidate received notice under
    5-2  Section 254.128 or 254.161; <and>
    5-3              (5)  on a separate page or pages of the report, the
    5-4  identification of any payment from political contributions made to
    5-5  a business in which the candidate has a participating interest of
    5-6  more than 10 percent, holds a position on the governing body of the
    5-7  business, or serves as an officer of the business; and
    5-8              (6)  the amount of political contributions from each
    5-9  person of which the candidate has received notice under Section
   5-10  254.1281, the full name and address of the person making the
   5-11  contributions and the specific-purpose committee accepting the
   5-12  contributions, and the dates of the contributions.
   5-13        SECTION 3.  Section 254.091, Election Code, is amended to
   5-14  read as follows:
   5-15        Sec. 254.091.  ADDITIONAL CONTENTS OF REPORTS.  In addition
   5-16  to the contents required by Section 254.031, each report by an
   5-17  officeholder must include:
   5-18              (1)  the officeholder's full name and address and the
   5-19  office held;
   5-20              (2)  for each political committee from which the
   5-21  officeholder received notice under Section 254.128 or 254.161:
   5-22                    (A)  the committee's full name and address;
   5-23                    (B)  an indication of whether the committee is a
   5-24  general-purpose committee or a specific-purpose committee; and
   5-25                    (C)  the full name and address of the committee's
   5-26  campaign treasurer; <and>
   5-27              (3)  on a separate page or pages of the report, the
    6-1  identification of any payment from political contributions made to
    6-2  a business in which the officeholder has a participating interest
    6-3  of more than 10 percent, holds a position on the governing body of
    6-4  the business, or serves as an officer of the business; and
    6-5              (4)  the amount of political contributions from each
    6-6  person of which the officeholder has received notice under Section
    6-7  254.1281, the full name and address of the person making the
    6-8  contributions and the specific-purpose committee accepting the
    6-9  contributions, and the dates of the contributions.
   6-10        SECTION 4.  Section 254.128(a), Election Code, is amended to
   6-11  read as follows:
   6-12        (a)  Except as provided by Section 254.1281, if  <If> a
   6-13  specific-purpose committee accepts political contributions or makes
   6-14  political expenditures for a candidate or officeholder, the
   6-15  committee's campaign treasurer shall deliver written notice of that
   6-16  fact to the affected candidate or officeholder not later than the
   6-17  end of the period covered by the report in which the reportable
   6-18  activity occurs.
   6-19        SECTION 5.  Subchapter E, Chapter 254, Election Code, is
   6-20  amended by adding Section 254.1281 to read as follows:
   6-21        Sec. 254.1281.  NOTICE TO CANDIDATE OR OFFICEHOLDER OF
   6-22  CERTAIN CONTRIBUTIONS.  (a)  If a specific-purpose committee
   6-23  accepts political contributions for a candidate or officeholder,
   6-24  the specific-purpose committee's campaign treasurer shall deliver
   6-25  written notice of that fact to the affected candidate or
   6-26  officeholder not later than the third day after the date the
   6-27  specific-purpose committee accepts the contribution.
    7-1        (b)  The notice must include:
    7-2              (1)  the full name and address of the person making the
    7-3  contribution and, if the person is a political committee, its
    7-4  campaign treasurer;
    7-5              (2)  the full name and address of the specific-purpose
    7-6  committee accepting the contribution and its campaign treasurer and
    7-7  an indication that the committee is a specific-purpose committee;
    7-8  and
    7-9              (3)  the amount and date of the contribution.
   7-10        (c)  A specific-purpose committee that notifies a candidate
   7-11  or officeholder of a contribution under this section does not need
   7-12  to deliver a separate notice of the contribution under Section
   7-13  254.128.
   7-14        (d)  A campaign treasurer commits an offense if the campaign
   7-15  treasurer fails to comply with this section.  An offense under this
   7-16  section is a Class A misdemeanor.
   7-17        SECTION 6.  This Act takes effect September 1, 1995, and
   7-18  applies only to a political contribution made or accepted, or a
   7-19  direct campaign expenditure made, on or after that date.  A
   7-20  political contribution made or accepted, or a direct campaign
   7-21  expenditure made, before that date is not aggregated with political
   7-22  contributions made or accepted, or a direct campaign expenditure
   7-23  made, on or after that date for purposes of Section 253.151,
   7-24  Election Code, as added by this Act.
   7-25        SECTION 7.  The importance of this legislation and the
   7-26  crowded condition of the calendars in both houses create an
   7-27  emergency   and   an   imperative   public   necessity   that   the
    8-1  constitutional rule requiring bills to be read on three several
    8-2  days in each house be suspended, and this rule is hereby suspended.