By Hochberg H.B. No. 998 74R4944 KLL-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to loans made from the personal funds of a candidate or 1-3 officeholder and to the disclosure required on political 1-4 advertising. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Subchapter B, Chapter 253, Election Code, is 1-7 amended by adding Section 253.0351 to read as follows: 1-8 Sec. 253.0351. LOANS FROM PERSONAL FUNDS. (a) A candidate 1-9 or officeholder who deposits personal funds in an amount that 1-10 exceeds $50 per occasion in an account in a financial institution 1-11 in which the person maintains only campaign and officeholder 1-12 contributions may report the amount deposited as a loan and may 1-13 reimburse his personal funds from political contributions in the 1-14 amount of the reported loan. 1-15 (b) Section 253.035(h) applies if the person does not report 1-16 an amount as a loan as authorized by Subsection (a). 1-17 SECTION 2. Section 253.035(h), Election Code, is amended to 1-18 read as follows: 1-19 (h) Except as provided by Section 253.0351 or 253.042, a 1-20 candidate or officeholder who makes political expenditures from his 1-21 personal funds may reimburse his personal funds from political 1-22 contributions in the amount of those expenditures only if: 1-23 (1) the expenditures from personal funds were fully 1-24 reported as political expenditures, including the payees, dates, 2-1 purposes, and amounts of the expenditures, in the report required 2-2 to be filed under this title that covers the period in which the 2-3 expenditures from personal funds were made; and 2-4 (2) the report on which the expenditures from personal 2-5 funds are disclosed clearly designates those expenditures as having 2-6 been made from the person's personal funds and that the 2-7 expenditures are subject to reimbursement. 2-8 SECTION 3. Section 255.001, Election Code, is amended by 2-9 adding Subsection (d) to read as follows: 2-10 (d) A person who, as a candidate or on behalf of a 2-11 candidate, enters into a contract or other agreement described by 2-12 this section does not violate this section by referring to the 2-13 candidate's campaign if the name of the candidate is clearly stated 2-14 and the disclosure is not misleading. 2-15 SECTION 4. This Act takes effect September 1, 1995. 2-16 SECTION 5. The importance of this legislation and the 2-17 crowded condition of the calendars in both houses create an 2-18 emergency and an imperative public necessity that the 2-19 constitutional rule requiring bills to be read on three several 2-20 days in each house be suspended, and this rule is hereby suspended.