SRC-JXG S.B. 1865 76(R)   BILL ANALYSIS


Senate Research Center   S.B. 1865
76R11394 ESH-DBy: Harris
State Affairs
4/20/1999
As Filed


DIGEST 

Currently, there is considerable public dissatisfaction with certain
aspects of campaign finance practices. S.B. 1865 would regulate political
contributions and political expenditures by certain entities.  

PURPOSE

As proposed, S.B. 1865 revises the Election Code by adding Subchapter G,
regarding restrictions on political contributions and expenditures in
connection with executive and legislative offices. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 251.001(15), Election Code, to redefine
"out-of-state political committee." 

SECTION 2. Amends Chapter 253, Election Code, by adding Subchapter G, as
follows: 

SUBCHAPTER G. RESTRICTIONS ON POLITICAL CONTRIBUTIONS AND 
EXPENDITURES IN CONNECTION WITH EXECUTIVE AND LEGISLATIVE OFFICES

Sec. 253.201. APPLICABILITY OF SUBCHAPTER. Provides that this subchapter
applies only to a political contribution or political expenditure in
connection with a statewide office other than judicial office, the office
of state senator, the office of state representative, or the office of
member, State Board of Education. 

Sec. 253.202. LIMIT ON CONTRIBUTION BY CHILD. Provides that a child may not
knowingly make or authorize political contributions to a candidate or
officeholder that, in connection with each election in which the candidate
or officeholder is involved, in the aggregate exceed $100. Provides that a
person may not knowingly accept a political contribution, and shall refuse
a political contribution that is received, in violation of Subsection (a).
Defines "child." 

Sec. 253.203. NOTICE REQUIRED FOR CERTAIN CONTRIBUTIONS AND EXPENDITURES.
Prohibits a person other than the principal political committee of the
state executive committee or a county executive committee of a political
party from making a political contribution that exceeds $5,000 or a direct
campaign expenditure for the purpose of supporting or opposing one or more
candidates that exceeds $5,000 unless the person files with the Texas
Ethics Commission (commission) and, if applicable, each candidate whom the
expenditure benefits a written declaration of the person's intent to make
the contribution or expenditure before the contribution or expenditure is
made. Requires the declaration to include the amount of the contribution or
expenditure. Requires the commission to file a declaration received under
Subsection (a) with the records of the candidate to whom the political
contribution is made or each candidate whom the direct campaign expenditure
benefits. Requires the commission to make the information contained in the
declaration  easily accessible on the commission's Internet site, or
deliver a copy of the declaration by telephonic facsimile machine or
overnight mail to each candidate who opposes the candidate to whom the
contribution is made or whom the expenditure benefits, no later than 24
hours after receiving a declaration under Subsection (a). Provides that a
direct campaign expenditure that opposes a candidate is considered to
benefit each candidate for the office other than the opposed candidate, for
purposes of this section. Authorizes a political expenditure made by a
political committee or other association that consists only of costs
incurred in contacting the committee's or association's dues-paying
membership to be made without the declaration required by Subsection (a). 

SECTION 3. Amends Chapter 254C, Election Code, by adding Section 254.0612,
as follows: 

Sec. 254.0612. ADDITIONAL CONTENTS OF REPORTS BY CANDIDATES FILING WITH
COMMISSION. Provides that, in addition to the contents required by Sections
254.031, 254.061, and, if applicable, 254.0611, each report by a candidate
who is required to file reports with the commission shall include, for each
political committee from which the candidate accepts a political
contribution and receives notice under Section 254.1281 or 254.1611, the
full name, address, principal occupation, and employer of each person who,
since the January 1 preceding the most recent general election for state
and county officers, has made political contributions to that committee
that in the aggregate exceed $5,000 in any 12-month period. Requires the
candidate's report to include, if applicable, the information required by
Subsection (a) as to political contributions to that committee, if a person
making political contributions described by Subsection (a) is a political
committee.  

SECTION 4. Amends Chapter 254D, Election Code, by adding Section 254.0912,
as follows: 

Sec. 254.0912. ADDITIONAL CONTENTS OF REPORTS BY OFFICEHOLDERS FILING WITH
COMMISSION. Provides that, in addition to the contents required by Sections
254.031, 254.091, and, if applicable, 254.0911, each report by an
officeholder who is required to file reports with the commission shall
include, for each political committee from which the officeholder accepts a
political contribution and receives notice under Sections 254.1281 or
254.1611, the full name, address, principal occupation, and employer of
each person who, since the January 1 preceding the most recent general
election for state and county officers, has made political contributions to
that committee that in the aggregate exceed $5,000 in any 12-month period.
Requires the officeholder's report to include, if applicable, the
information required by Subsection (a) as to political contributions to
that committee, if a person making political contributions described by
Subsection (a) is a political committee.  

SECTION 5. Amends Chapter 254E, Election Code, by adding Section 254.1281,
as follows: 

Sec. 254.1281. NOTICE TO CERTAIN CANDIDATES AND OFFICEHOLDERS OF
CONTRIBUTIONS. Requires the committee's campaign treasurer to deliver
written notice to the affected candidate or officeholder that includes the
full name, address, principal occupation, and employer of each person who,
since January 1 preceding the most recent general election for state and
county officers, has made political contributions to the committee that in
the aggregate exceed $5,000 in any 12-month period, if a specific-purpose
committee makes a political contribution to a candidate or officeholder who
is required to file reports with the commission. Requires the notice to be
delivered with the political contribution. Requires the campaign treasurer
to indicate that fact in the notice, if no person has made political
contributions described by Subsection (a) to the political committee since
the January 1 preceding the most recent general election for state and
county officers. Requires the notice to include the full name and address
of the political committee and its campaign treasurer and an indication
that the committee is a specific-purpose committee. Provides that a
campaign treasurer commits an offense if the campaign treasurer fails to
comply with this section. Provides that an offense under this section is a
Class C misdemeanor. 

 SECTION 6. Amends Chapter 254F, Election Code, by adding Section 254.1611,
as follows: 

Sec. 254.1611. NOTICE TO CERTAIN CANDIDATES AND OFFICEHOLDERS OF
CONTRIBUTIONS. Requires the committee's campaign treasurer to deliver
written notice to the affected candidate or officeholder as provided by
Section 254.1281 for a specificpurpose committee, if a general-purpose
committee other than the principal committee of the state executive
committee or a county executive committee of a political party makes a
political contribution to a candidate or officeholder who is required to
file reports with the commission. 

SECTION 7. Effective date: September 1, 1999.

SECTION 8. Makes application of this Act prospective.

SECTION 9. Emergency clause.