HBA-CMT H.B. 552 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 552 By: Mowery Elections 2/25/2001 Introduced BACKGROUND AND PURPOSE Currently, the Election Code places certain limited restrictions on political campaign contributions and expenditures, but does not limit the amount of money that a particular individual or group can contribute to a candidate or specific-purpose committee. Texas is part of a minority of states that do not limit the amount of money that can be contributed to candidates running for public office. House Bill 552 limits the amount of money that an individual or group can contribute to certain political candidates, officeholders, or related committees. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 552 amends the Election Code to limit political contributions to certain candidates or officeholders, and set forth contribution reporting requirements. The bill prohibits a person from knowingly making, authorizing, or accepting contributions that in the aggregate exceed $10,000 for the office of state senator and $5,000 for any other state office for the election cycle in which the candidate or officeholder is involved. The limits do not apply to a political contribution in connection with a statewide office, the office of a member of the State Board of Education, or an office covered by the Judicial Campaign Fairness Act (Sec. 253.201). H.B. 552 provides that a political contribution to a specific-purpose committee for the purpose of supporting a candidate, opposing a candidate's opponent, or assisting a candidate as an officeholder is considered to be a contribution to the candidate or officeholder (Sec. 253.202). The bill provides that a direct campaign expenditure is considered to be a campaign contribution to a candidate if it is made with the cooperation or prior consent of, in consultation with, or at the suggestion of the candidate, a specificpurpose committee for supporting the candidate or opposing the candidates's opponent, or a person acting with the candidate's knowledge and consent (Sec. 253.203). H.B. 552 requires the campaign treasurer of a specific-purpose committee to deliver written notice to a candidate or officeholder if the committee intends to accept political contributions or make political expenditures for the purpose of supporting a candidate, opposing the candidate's opponent, or assisting the candidate as an officeholder (Sec. 253.204). The bill requires the campaign treasurer of a specificpurpose committee that receives a political contribution or makes a direct campaign expenditure for a candidate or officeholder to deliver written notice of the contribution or expenditure to the affected officeholder or candidate no later than the fifth day after the date the contribution is received or the expenditure is made. A candidate or officeholder that receives a political contribution covered by these provisions is required to deliver written notice of the contribution no later than five days after it is received to the campaign treasurer of each specific-purpose committee that has notified the candidate or officeholder of its intent to accept political contributions or to make political contributions or expenditures on the candidate's behalf (Sec. 253.205). The bill sets forth requirements for information to be included in the required written notices (Secs. 253.204 and 253.205). Any violation of these provisions is a Class A misdemeanor (Secs. 253.201, 253.204 and 253.205). A person who accepts a political contribution that is in violation of the contribution limits established by the bill is required to return the contribution no later than 10 days after it is received (Sec. 253.206). H.B. 552 sets forth additional requirements regarding information to be included in each report of political contributions by a candidate for office, an officeholder, or a specific-purpose committee for supporting or opposing a candidate for or assisting a holder of an office, to which these provisions apply (Secs. 254.0612, 254.0912 and 254.1212). EFFECTIVE DATE September 1, 2001.