Amend CSHB 2 as follows:
(1) On page 2, strike lines 17-27, and on page 3, strike
lines 1-15, and substitute the following:
(22) "Express advocacy" means a communication, other
than a communication appearing in a news story, commentary, or
editorial distributed through the facilities of a broadcast station
that is not owned or controlled by a political party, political
committee, or candidate, that advocates the election or defeat of a
candidate by containing the name of the candidate or a word or
phrase such as "vote for," "reelect," "support," "cast your ballot
for," "(name of candidate) for (name of office)," "(name of
candidate) in 2002," "vote against," "defeat," or "reject" or a
campaign slogan or words that in context can have no reasonable
meaning other than to advocate the election or defeat of one or
more clearly identified candidates.
(2) On page 20, between lines 17 and 18, insert a new
section, appropriately numbered, to read as follows:
SECTION ___. Subchapter B, Chapter 254, Election Code, is
amended by adding Section 254.0392 to read as follows:
Sec. 254.0392. REPORTS CONCERNING CERTAIN CANDIDATE-SPECIFIC
ADVERTISING. (a) Except as provided by Subsection (e) or (f), a
person who makes an expenditure that exceeds $2,500 for targeted,
candidate-specific advertising in a covered preelection period
shall file a report of contributions and expenditures as provided
by this section.
(b) For purposes of this section:
(1) "Advertising" means:
(A) a paid advertisement or purchased program
time broadcast or cablecast via radio or television;
(B) a paid message from a telephone bank or
delivered through direct mailing or electronic mail; or
(C) a paid advertisement in a communications
outlet other than one described by Paragraph (A) or (B) that costs
more than $2,500.
(2) "Candidate-specific" means a reference to a
clearly identified candidate, by use of the candidate's name,
likeness, or other clear means of identification.
(3) "Covered preelection period," with respect to a
person, means the period:
(A) beginning on:
(i) the 60th day before the date of an
election in which the person is a candidate; or
(ii) the day after a general primary
election, if the person is a candidate in a runoff primary
election; and
(B) ending on election day.
(4) Advertising is "targeted" in connection with an
election if, with respect to an advertisement broadcast or
cablecast via radio or television or published in a newspaper,
magazine, or other written communication, the advertisement is
distributed or published to reach an audience that includes a
substantial portion of the electorate for the election. An
advertisement delivered by telephone or direct mail is considered
to be targeted if it is delivered to persons residing in the
territory from which the candidate to whom the advertising refers
is or seeks to be elected.
(c) A person who makes an expenditure for which reporting is
required under this section must file a report:
(1) not later than the 30th day before the date of the
election, if the person makes the expenditure after the 61st day
before an election but before the 39th day before the election;
(2) not later than the 8th day before the date of the
election, if the person makes the expenditure after the 40th day
before an election but before the 9th day before the election; or
(3) not later than 24 hours after the expenditure is
made, if the person makes the expenditure after the 10th day before
the election.
(d) Each report under this section must include:
(1) the amount of contributions from each person that
in the aggregate exceed $200 and that are accepted during the
reporting period by the person required to file a report under this
section, the full name and address of the person making the
contributions, and the dates of the contributions, and, if the
person making the contribution is an individual, the individual's
principal occupation or job title and the full name of the
individual's employer, if any;
(2) the amount of expenditures for targeted,
candidate-specific advertising in a covered preelection period that
in the aggregate exceed $200 and that are made during the reporting
period, the full name and address of the persons to whom the
expenditures are made, and the dates and purposes of the
expenditures;
(3) the total amount or a specific listing of the
contributions of $200 or less accepted and the total amount or a
specific listing of the expenditures for targeted,
candidate-specific advertising in a covered preelection period of
$200 or less made during the reporting period; and
(4) the total amount of all contributions accepted and
the total amount of all expenditures for targeted,
candidate-specific advertising in a covered preelection period made
during the reporting period.
(e) This section does not apply to:
(1) an expenditure for advertising made by a candidate
or political party;
(2) a reference to a clearly identified candidate in a
news story, commentary, editorial, or work intended for
entertainment distributed through the facilities of a broadcasting
station, newspaper, magazine, or other publication, unless the
facilities are owned or controlled by a political party, political
committee, or candidate;
(3) nonpartisan activity designed to encourage persons
to vote or to register to vote;
(4) a communication by any membership organization or
corporation to its members, donors, stockholders, or executive or
administrative personnel, if the membership organization or
corporation is not organized primarily for the purpose of
influencing the election of a person to public office; or
(5) a voter's guide that:
(A) is published or distributed by an
organization that is exempt from income taxation under Section
501(a), Internal Revenue Code, by being listed under Section
501(c)(3) or (c)(4), Internal Revenue Code; and
(B) does not contain express advocacy.
(f) A person who files reports with the Federal Election
Commission is not required to file reports under this section. Not
later than the last day prescribed by this section for filing a
report that a person covered by this section is required to file,
the person shall provide to the Texas Ethics Commission information
necessary to locate the person's report covering that reporting
period on the Federal Election Commission's Internet website. The
Texas Ethics Commission shall promptly place on the commission's
Internet website a link to that report.
(g) A person who, during a covered period, makes an
expenditure for advertising that contains a reference to a clearly
identified candidate is presumed to have made an expenditure for
which reporting is required under this section. A person who makes
such an expenditure may file with the commission an affidavit
stating that the expenditure was not made with the intent to
influence the election of a candidate. The commission shall:
(1) determine by a preponderance of the evidence
whether an expenditure was made with the intent to influence the
election of a candidate; and
(2) notify the person filing the affidavit of the
commission's determination.
(3) On page 29, strike lines 19-27, and on page 30, strike
lines 1-9.
(4) On page 31, between lines 11 and 12, insert the
following new subsection, appropriately lettered, and reletter the
subsequent subsections accordingly:
( ) Section 254.0392, Election Code, as added by this Act,
applies only to the reporting of an expenditure for targeted,
candidate-specific advertising in a covered preelection period that
is made on or after September 1, 2001. An expenditure for
targeted, candidate-specific advertising in a covered preelection
period that is made before September 1, 2001, is governed by the
law in effect at the time the expenditure was made and is not
aggregated with expenditures made on or after September 1, 2001.
(5) Renumber the sections of the bill accordingly.