By Gallego, Danburg, Madden, Swinford, Junell, H.B. No. 2
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the regulation of certain political contributions,
1-3 political expenditures, and political advertising; providing civil
1-4 and criminal penalties.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 251.001, Election Code, is amended by
1-7 amending Subdivisions (14) and (16) and adding Subdivisions (21)
1-8 and (22) to read as follows:
1-9 (14) "General-purpose committee" means a political
1-10 committee that has among its principal purposes:
1-11 (A) supporting or opposing:
1-12 (i) two or more candidates who are
1-13 unidentified or are seeking offices that are unknown; or
1-14 (ii) one or more measures or prospective
1-15 measures that are unidentified; or
1-16 (B) assisting two or more officeholders who are
1-17 unidentified.
1-18 (16) "Political advertising" means a communication,
1-19 including a communication that contains express advocacy, that
1-20 supports or opposes [supporting or opposing] a candidate for
1-21 nomination or election to a public office or office of a political
1-22 party or a public officer or supporting or opposing[,] a political
1-23 party[, a public officer,] or a measure or prospective measure
1-24 that:
1-25 (A) in return for consideration, is published in
2-1 a newspaper, magazine, or other periodical or is broadcast by radio
2-2 or television; or
2-3 (B) appears in:
2-4 (i) a pamphlet, circular, flier,
2-5 telephonic facsimile, billboard or other sign, bumper sticker, or
2-6 similar form of written communication; or
2-7 (ii) electronic mail or an Internet
2-8 website.
2-9 (21) "Prospective measure" means a question or
2-10 proposal that is intended to be submitted in an election for an
2-11 expression of the voters' will and that is not yet legally required
2-12 to be submitted in an election. The term does not include the
2-13 circulation or submission of a petition to determine whether a
2-14 question or proposal is required to be submitted in an election for
2-15 an expression of the voters' will.
2-16 (22) "Express advocacy" means a communication, other
2-17 than a communication appearing in a news story, commentary, or
2-18 editorial distributed through the facilities of a broadcast station
2-19 that is not owned or controlled by a political party, political
2-20 committee, or candidate, that advocates the election or defeat of a
2-21 candidate by containing the name of the candidate or a word or
2-22 phrase such as "vote for," "reelect," "support," "cast your ballot
2-23 for," "(name of candidate) for (name of office)," "(name of
2-24 candidate) in (year)," "vote against," "defeat," or "reject" or a
2-25 campaign slogan or words that in context can have no reasonable
2-26 meaning other than to advocate the election or defeat of one or
2-27 more clearly identified candidates.
3-1 SECTION 2. Subchapter A, Chapter 251, Election Code, is
3-2 amended by adding Section 251.010 to read as follows:
3-3 Sec. 251.010. PROTECTION OF INFORMATION. (a) Recognizing
3-4 that contributor information required to be included in reports
3-5 required by Chapter 254 is proprietary information having
3-6 substantial value, no information obtained from any reports
3-7 required to be maintained or filed under this title may, without
3-8 the express written consent of the filer, be sold or used by any
3-9 person other than the filer for any commercial purposes.
3-10 (b) The use of information that is copied or otherwise
3-11 obtained from reports filed under this title in newspapers,
3-12 magazines, books, or other similar communications is permissible if
3-13 the principal purpose of the communication is to educate the public
3-14 and not to communicate any contributor information listed on the
3-15 reports for commercial purposes.
3-16 (c) In addition to any penalties imposed by the commission,
3-17 any person found to have violated Subsection (a) shall be liable in
3-18 damages to the person filing the report. In this subsection,
3-19 "damages" means the fair market value of the contributor
3-20 information improperly used and the reasonable attorney's fees
3-21 incurred by the filer. In addition to damages, the person filing
3-22 the report shall be entitled as a matter of right to an injunction
3-23 prohibiting a violation of this section and an order recovering
3-24 reasonable attorney's fees incurred to obtain the injunctive relief
3-25 from any district court in this state.
3-26 SECTION 3. Subchapter A, Chapter 253, Election Code, is
3-27 amended by adding Section 253.006 to read as follows:
4-1 Sec. 253.006. COERCION PROHIBITED. (a) A person, including
4-2 a candidate, officeholder, or political committee, commits an
4-3 offense if the person uses or threatens to use physical force, job
4-4 discrimination, or financial reprisal to obtain a contribution or
4-5 other thing of value to be used to influence the result of an
4-6 election or to assist an officeholder.
4-7 (b) A candidate, officeholder, or political committee
4-8 commits an offense if the person accepts or uses money or any other
4-9 thing of value that is known by the candidate or officeholder or by
4-10 an officer of the political committee, or an individual who causes
4-11 the political committee to accept or use the money or other thing
4-12 of value, to have been obtained in violation of Subsection (a).
4-13 (c) An offense under this section is a Class C misdemeanor.
4-14 SECTION 4. Chapter 252, Election Code, is amended by adding
4-15 Section 252.0011 to read as follows:
4-16 Sec. 252.0011. INELIGIBILITY FOR APPOINTMENT AS CAMPAIGN
4-17 TREASURER. A person is ineligible for appointment as a campaign
4-18 treasurer if the person is the campaign treasurer of a political
4-19 committee that does not file a report required by Chapter 254.
4-20 SECTION 5. Sections 253.031(e) and (f), Election Code, are
4-21 amended to read as follows:
4-22 (e) [This section does not apply to an out-of-state
4-23 political committee unless the committee is subject to Chapter 252
4-24 under Section 251.005.]
4-25 [(f)] A person who violates this section commits an offense.
4-26 An offense under this section is a Class A misdemeanor.
4-27 SECTION 6. Sections 253.042(a), (b), and (e), Election Code,
5-1 are amended to read as follows:
5-2 (a) A candidate or officeholder who makes political
5-3 expenditures from the candidate's or officeholder's personal funds
5-4 may not reimburse those personal funds from political contributions
5-5 in amounts that in the aggregate exceed the following amounts for
5-6 each election in which the person's name appears on the ballot:
5-7 (1) for governor, $500,000;
5-8 (2) for a statewide office other than governor,
5-9 $250,000;
5-10 (3) for state senator, $200,000;
5-11 (4) for state representative, $100,000; and
5-12 (5) for the office of member, State Board of
5-13 Education, $100,000 [(2) for governor, $500,000].
5-14 (b) A candidate or officeholder who accepts one or more
5-15 political contributions in the form of loans, including an
5-16 extension of credit or a guarantee of a loan or extension of
5-17 credit, from one or more persons related to the candidate or
5-18 officeholder within the second degree by affinity or consanguinity
5-19 as determined under Chapter 573, Government Code, may not use
5-20 political contributions to repay the loans in amounts that in the
5-21 aggregate exceed the amount prescribed by Subsection (a). A
5-22 candidate or officeholder may not use political contributions, in
5-23 amounts that in the aggregate exceed the amount prescribed by
5-24 Subsection (a), to repay any other loan or extension of credit for
5-25 which the candidate or officeholder is personally liable.
5-26 (e) A candidate or officeholder may not pay [This section
5-27 does not prohibit the payment of] interest on a loan [loans covered
6-1 by this section at a commercially reasonable rate, except that
6-2 interest on loans] from the [a] candidate's or officeholder's
6-3 personal funds or on a loan [loans] from the personal funds of any
6-4 person related to the candidate or officeholder within the second
6-5 degree by affinity or consanguinity, as determined under Chapter
6-6 573, Government Code [is included in the amount prescribed by
6-7 Subsection (a), (b), or (c)].
6-8 SECTION 7. Section 253.096, Election Code, is amended to
6-9 read as follows:
6-10 Sec. 253.096. CONTRIBUTION ON MEASURE. A corporation or
6-11 labor organization may make campaign contributions from its own
6-12 property in connection with an election on a measure only to a
6-13 political committee for supporting or opposing measures exclusively
6-14 and only if the election occurs on a uniform election date.
6-15 SECTION 8. Section 253.097, Election Code, is amended to
6-16 read as follows:
6-17 Sec. 253.097. DIRECT EXPENDITURE ON MEASURE. A corporation
6-18 or labor organization not acting in concert with another person may
6-19 make one or more direct campaign expenditures from its own property
6-20 in connection with an election on a measure if the corporation or
6-21 labor organization makes the expenditures in accordance with
6-22 Section 253.061 or 253.062 as if the corporation or labor
6-23 organization were an individual and the election occurs on a
6-24 uniform election date.
6-25 SECTION 9. Section 253.098, Election Code, is amended by
6-26 amending Subsection (b) and adding Subsection (c) to read as
6-27 follows:
7-1 (b) A corporation or labor organization may make one or more
7-2 campaign expenditures from its own property for the purpose of
7-3 permitting a candidate to appear at and speak to a meeting of its
7-4 stockholders, employees, or members, as applicable, or of the
7-5 families of its stockholders, employees, or members. A
7-6 corporation or labor organization may not make an expenditure under
7-7 this subsection for transportation or lodging.
7-8 (c) An expenditure under this section is not reportable
7-9 under Chapter 254.
7-10 SECTION 10. Section 253.162, Election Code, is amended to
7-11 read as follows:
7-12 Sec. 253.162. RESTRICTIONS ON REIMBURSEMENT OF PERSONAL
7-13 FUNDS AND PAYMENTS ON CERTAIN LOANS. (a) A judicial candidate or
7-14 officeholder who makes political expenditures from the person's
7-15 personal funds may not reimburse the personal funds from political
7-16 contributions in amounts that in the aggregate exceed, for each
7-17 election in which the person's name appears on the ballot:
7-18 (1) for a statewide judicial office, $50,000
7-19 [$100,000]; or
7-20 (2) for an office other than a statewide judicial
7-21 office, 10 [five] times the applicable contribution limit under
7-22 Section 253.155.
7-23 (b) A judicial candidate or officeholder may not:
7-24 (1) use political contributions to repay a loan [who
7-25 accepts one or more political contributions in the form of loans],
7-26 including an extension of credit or a guarantee of a loan or
7-27 extension of credit, from one or more persons related to the
8-1 candidate or officeholder within the second degree by
8-2 consanguinity, as determined under [Subchapter B,] Chapter 573,
8-3 Government Code; or
8-4 (2) use political contributions, in amounts that in
8-5 the aggregate exceed the amount prescribed by Subsection (a), to
8-6 repay any other loan or extension of credit for which the candidate
8-7 or officeholder is personally liable[, may not use political
8-8 contributions to repay the loans].
8-9 (c) The total amount of both reimbursements under Subsection
8-10 (a) and repayments under Subsection (b)(2) made by a candidate or
8-11 officeholder may not exceed the amount prescribed by Subsection
8-12 (a).
8-13 (d) A person who is both a candidate and an officeholder may
8-14 reimburse the person's personal funds or repay loans from political
8-15 contributions only in one capacity.
8-16 (e) A judicial candidate or officeholder may not pay
8-17 interest on a loan from the candidate's or officeholder's personal
8-18 funds or on a loan from the personal funds of any person related to
8-19 the candidate or officeholder within the second degree by affinity
8-20 or consanguinity, as determined under Chapter 573, Government Code.
8-21 (f) [(d)] A person who violates this section is liable for a
8-22 civil penalty not to exceed three times the amount by which the
8-23 reimbursement or repayment made in violation of this section
8-24 exceeds the applicable limit prescribed by Subsection (a).
8-25 SECTION 11. Section 254.031, Election Code, is amended to
8-26 read as follows:
8-27 Sec. 254.031. GENERAL CONTENTS OF REPORTS. (a) Except as
9-1 otherwise provided by this chapter, each report filed under this
9-2 chapter must include:
9-3 (1) the amount of political contributions from each
9-4 person that in the aggregate exceed $200 [$50] and that are
9-5 accepted during the reporting period by the person or committee
9-6 required to file a report under this chapter, the full name and
9-7 address of the person making the contributions, and the dates of
9-8 the contributions, and:
9-9 (A) if the contributions are in-kind
9-10 contributions, a description of the property or services
9-11 contributed; and
9-12 (B) if the person making the contribution is a
9-13 general-purpose committee, the information reported under Section
9-14 254.151(9) on the general-purpose committee's most recently filed
9-15 report;
9-16 (2) the amount of loans that are made during the
9-17 reporting period for campaign or officeholder purposes to the
9-18 person or committee required to file the report [and that in the
9-19 aggregate exceed $50], the dates the loans are made, the interest
9-20 rate, the maturity date, the type of collateral for the loans, if
9-21 any, the full name and address of the person or financial
9-22 institution making the loans, the full name and address, principal
9-23 occupation, and name of the employer of each guarantor of the
9-24 loans, the amount of the loans guaranteed by each guarantor, and
9-25 the aggregate principal amount of each [all] outstanding loan
9-26 [loans] as of the last day of the reporting period;
9-27 (3) the amount of political expenditures that in the
10-1 aggregate exceed $200 [$50] and that are made during the reporting
10-2 period, the full name and address of the persons to whom the
10-3 expenditures are made, and the dates and purposes of the
10-4 expenditures, and, if the expenditures are in the form of in-kind
10-5 contributions, a description of the property or services
10-6 contributed;
10-7 (4) the amount of each payment made during the
10-8 reporting period from a political contribution if the payment is
10-9 not a political expenditure, the full name and address of the
10-10 person to whom the payment is made, and the date and purpose of the
10-11 payment;
10-12 (5) the total amount or a specific listing of the
10-13 political contributions of $200 [$50] or less accepted and the
10-14 total amount or a specific listing of the political expenditures of
10-15 $200 [$50] or less made during the reporting period;
10-16 (6) the total amount of all political contributions
10-17 accepted and the total amount of all political expenditures made
10-18 during the reporting period; and
10-19 (7) the name of each candidate or officeholder who
10-20 benefits from a direct campaign expenditure made during the
10-21 reporting period by the person or committee required to file the
10-22 report, and the office sought or held, excluding a direct campaign
10-23 expenditure that is made by the principal political committee of a
10-24 political party on behalf of a slate of two or more nominees of
10-25 that party.
10-26 (b) Instead of the information required by Subsections
10-27 (a)(3), (5), and (6), each report filed under this chapter by an
11-1 out-of-state political committee must include:
11-2 (1) the amount of political expenditures in connection
11-3 with elections in this state that in the aggregate exceed $200 and
11-4 that are made during the reporting period, the full name and
11-5 address of the persons to whom the expenditures are made, and the
11-6 dates and purposes of the expenditures;
11-7 (2) the total amount or a specific listing of the
11-8 political contributions of $200 or less accepted during the
11-9 reporting period;
11-10 (3) the total amount or a specific listing of the
11-11 political expenditures in connection with elections in this state
11-12 of $200 or less made during the reporting period;
11-13 (4) the total amount of all political contributions
11-14 accepted during the reporting period; and
11-15 (5) the total amount of all political expenditures in
11-16 connection with elections in this state made during the reporting
11-17 period.
11-18 (c) This section does not require an out-of-state political
11-19 committee that is established by a state political party as the
11-20 party's primary political committee for making political
11-21 contributions and political expenditures to report a contribution
11-22 to a similar political committee established by a different state
11-23 political party.
11-24 (d) If no reportable activity occurs during a reporting
11-25 period, the person required to file a report shall indicate that
11-26 fact in the report.
11-27 SECTION 12. Section 254.0311(b), Election Code, is amended to
12-1 read as follows:
12-2 (b) A report filed under this section must include:
12-3 (1) the amount of contributions from each person,
12-4 other than a caucus member, that in the aggregate exceed $200 [$50]
12-5 and that are accepted during the reporting period by the
12-6 legislative caucus, the full name and address of the person making
12-7 the contributions, and the dates of the contributions and if the
12-8 contributions are in-kind contributions, a description of the
12-9 property or services contributed;
12-10 (2) the amount of loans that are made during the
12-11 reporting period to the legislative caucus [and that in the
12-12 aggregate exceed $50], the dates the loans are made, the interest
12-13 rate, the maturity date, the type of collateral for the loans, if
12-14 any, the full name and address of the person or financial
12-15 institution making the loans, the full name and address, principal
12-16 occupation, and name of the employer of each guarantor of the
12-17 loans, the amount of the loans guaranteed by each guarantor, and
12-18 the aggregate principal amount of all outstanding loans as of the
12-19 last day of the reporting period;
12-20 (3) the amount of expenditures that in the aggregate
12-21 exceed $200 [$50] and that are made during the reporting period,
12-22 the full name and address of the persons to whom the expenditures
12-23 are made, and the dates and purposes of the expenditures;
12-24 (4) the total amount or a specific listing of
12-25 contributions of $200 [$50] or less accepted from persons other
12-26 than caucus members and the total amount or a specific listing of
12-27 expenditures of $200 [$50] or less made during the reporting
13-1 period; and
13-2 (5) the total amount of all contributions accepted,
13-3 including total contributions from caucus members, and the total
13-4 amount of all expenditures made during the reporting period.
13-5 SECTION 13. Subchapter B, Chapter 254, Election Code, is
13-6 amended by adding Section 254.0312 to read as follows:
13-7 Sec. 254.0312. REPORTING BY OUT-OF-STATE POLITICAL
13-8 COMMITTEE. (a) An out-of-state political committee that files
13-9 reports with the Federal Election Commission is not required to
13-10 file reports under this chapter. Not later than the last day
13-11 prescribed by this chapter for filing a report that an out-of-state
13-12 committee covered by this subsection is required to file, the
13-13 committee shall provide to the Texas Ethics Commission information
13-14 necessary to locate the committee's report covering that reporting
13-15 period on the Federal Election Commission's Internet website. The
13-16 Texas Ethics Commission shall promptly place on the commission's
13-17 Internet website a link to that report.
13-18 (b) An out-of-state political committee that does not file
13-19 reports with the Federal Election Commission shall comply with this
13-20 chapter in the same manner as any other political committee.
13-21 SECTION 14. Sections 254.038(a)-(c), Election Code, are
13-22 amended to read as follows:
13-23 (a) In addition to other reports required by this chapter,
13-24 the following persons shall file additional reports during the
13-25 period beginning the ninth day before election day and ending at 5
13-26 p.m. [12 noon] on the [second] day before election day:
13-27 (1) a candidate for statewide office, state senator,
14-1 state representative, or member, State Board of Education, who has
14-2 an opponent whose name is to appear on the ballot and who accepts
14-3 political contributions from a person that in the aggregate exceed
14-4 $1,000 during that reporting period; and
14-5 (2) [a candidate for state representative who has an
14-6 opponent whose name is to appear on the ballot and who accepts
14-7 political contributions from a person that in the aggregate exceed
14-8 $200 during that reporting period;]
14-9 [(3)] a specific-purpose committee for supporting or
14-10 opposing a candidate for an office covered by Subdivision (1)
14-11 [state senator] and that accepts political contributions from a
14-12 person that in the aggregate exceed $1,000 during that reporting
14-13 period[; and]
14-14 [(4) a specific-purpose committee for supporting or
14-15 opposing a candidate for state representative and that accepts
14-16 political contributions from a person that in the aggregate exceed
14-17 $200 during that reporting period].
14-18 (b) Each report required by this section must include the
14-19 amount of the political contributions specified by Subsection (a),
14-20 the full name and address of the person making the contributions,
14-21 and the dates of the contributions.
14-22 (c) A report under this section shall be filed by telegram
14-23 or telephonic facsimile machine, [or] by hand, or electronically
14-24 with the commission not later than 48 hours after the contribution
14-25 is accepted.
14-26 SECTION 15. Section 254.039(a), Election Code, is amended to
14-27 read as follows:
15-1 (a) In addition to other reports required by this chapter, a
15-2 general-purpose committee that makes direct campaign expenditures
15-3 supporting or opposing either a single candidate that in the
15-4 aggregate exceed $1,000 or a group of candidates that in the
15-5 aggregate exceed $15,000 during the period beginning the ninth day
15-6 before election day and ending at 5 p.m. [12 noon] on the [second]
15-7 day before election day shall file a report by telegram or
15-8 telephonic facsimile machine, [or] by hand, or electronically with
15-9 the commission not later than 24 [48] hours after the expenditure
15-10 is made.
15-11 SECTION 16. Subchapter B, Chapter 254, Election Code, is
15-12 amended by adding Section 254.0392 to read as follows:
15-13 Sec. 254.0392. REPORTS CONCERNING CERTAIN CANDIDATE-SPECIFIC
15-14 ADVERTISING. (a) Except as provided by Subsection (e) or (f), a
15-15 person who makes an expenditure that exceeds $2,500 for targeted,
15-16 candidate-specific advertising in a covered preelection period
15-17 shall file a report of contributions and expenditures as provided
15-18 by this section.
15-19 (b) For purposes of this section:
15-20 (1) "Advertising" means:
15-21 (A) a paid advertisement or purchased program
15-22 time broadcast or cablecast via radio or television;
15-23 (B) a paid message from a telephone bank or
15-24 delivered through direct mailing or electronic mail; or
15-25 (C) a paid advertisement in a communications
15-26 outlet other than one described by Paragraph (A) or (B) that costs
15-27 more than $2,500.
16-1 (2) "Candidate-specific" means a reference to a
16-2 clearly identified candidate, by use of the candidate's name,
16-3 likeness, or other clear means of identification.
16-4 (3) "Covered preelection period," with respect to a
16-5 person, means the period:
16-6 (A) beginning on:
16-7 (i) the 60th day before the date of an
16-8 election in which the person is a candidate; or
16-9 (ii) the day after a general primary
16-10 election, if the person is a candidate in a runoff primary
16-11 election; and
16-12 (B) ending on election day.
16-13 (4) Advertising is "targeted" in connection with an
16-14 election if, with respect to an advertisement broadcast or
16-15 cablecast via radio or television or published in a newspaper,
16-16 magazine, or other written communication, the advertisement is
16-17 distributed or published to reach an audience that includes a
16-18 substantial portion of the electorate for the election. An
16-19 advertisement delivered by telephone or direct mail is considered
16-20 to be targeted if it is delivered to persons residing in the
16-21 territory from which the candidate to whom the advertising refers
16-22 is or seeks to be elected.
16-23 (c) A person who makes an expenditure for which reporting is
16-24 required under this section must file a report:
16-25 (1) not later than the 30th day before the date of the
16-26 election, if the person makes the expenditure after the 61st day
16-27 before an election but before the 39th day before the election;
17-1 (2) not later than the 8th day before the date of the
17-2 election, if the person makes the expenditure after the 40th day
17-3 before an election but before the 9th day before the election; or
17-4 (3) not later than 24 hours after the expenditure is
17-5 made, if the person makes the expenditure after the 10th day before
17-6 the election.
17-7 (d) Each report under this section must include:
17-8 (1) the amount of contributions from each person that
17-9 in the aggregate exceed $200 and that are accepted during the
17-10 reporting period by the person required to file a report under this
17-11 section, the full name and address of the person making the
17-12 contributions, and the dates of the contributions, and, if the
17-13 person making the contribution is an individual, the individual's
17-14 principal occupation or job title and the full name of the
17-15 individual's employer, if any;
17-16 (2) the amount of expenditures for targeted,
17-17 candidate-specific advertising in a covered preelection period that
17-18 in the aggregate exceed $200 and that are made during the reporting
17-19 period, the full name and address of the persons to whom the
17-20 expenditures are made, and the dates and purposes of the
17-21 expenditures;
17-22 (3) the total amount or a specific listing of the
17-23 contributions of $200 or less accepted and the total amount or a
17-24 specific listing of the expenditures for targeted,
17-25 candidate-specific advertising in a covered preelection period of
17-26 $200 or less made during the reporting period; and
17-27 (4) the total amount of all contributions accepted and
18-1 the total amount of all expenditures for targeted,
18-2 candidate-specific advertising in a covered preelection period made
18-3 during the reporting period.
18-4 (e) This section does not apply to:
18-5 (1) an expenditure for advertising made by a candidate
18-6 or political party;
18-7 (2) a reference to a clearly identified candidate in a
18-8 news story, commentary, editorial, or work intended for
18-9 entertainment distributed through the facilities of a broadcasting
18-10 station, newspaper, magazine, or other publication, unless the
18-11 facilities are owned or controlled by a political party, political
18-12 committee, or candidate;
18-13 (3) nonpartisan activity designed to encourage persons
18-14 to vote or to register to vote;
18-15 (4) a communication by any membership organization or
18-16 corporation to its members, donors, stockholders, or executive or
18-17 administrative personnel, if the membership organization or
18-18 corporation is not organized primarily for the purpose of
18-19 influencing the election of a person to public office; or
18-20 (5) a voter's guide that:
18-21 (A) is published or distributed by an
18-22 organization that is exempt from income taxation under Section
18-23 501(a), Internal Revenue Code, by being listed under Section
18-24 501(c)(3) or (c)(4), Internal Revenue Code; and
18-25 (B) does not contain express advocacy.
18-26 (f) A person who files reports with the Federal Election
18-27 Commission is not required to file reports under this section. Not
19-1 later than the last day prescribed by this section for filing a
19-2 report that a person covered by this section is required to file,
19-3 the person shall provide to the Texas Ethics Commission information
19-4 necessary to locate the person's report covering that reporting
19-5 period on the Federal Election Commission's Internet website. The
19-6 Texas Ethics Commission shall promptly place on the commission's
19-7 Internet website a link to that report.
19-8 (g) A person who, during a covered period, makes an
19-9 expenditure for advertising that contains a reference to a clearly
19-10 identified candidate is presumed to have made an expenditure for
19-11 which reporting is required under this section. A person who makes
19-12 such an expenditure may file with the commission an affidavit
19-13 stating that the expenditure was not made with the intent to
19-14 influence the election of a candidate. The commission shall:
19-15 (1) determine by a preponderance of the evidence
19-16 whether an expenditure was made with the intent to influence the
19-17 election of a candidate; and
19-18 (2) notify the person filing the affidavit of the
19-19 commission's determination.
19-20 SECTION 17. Section 254.0401, Election Code, is amended to
19-21 read as follows:
19-22 Sec. 254.0401. AVAILABILITY OF ELECTRONIC REPORTS ON
19-23 INTERNET. (a) The [Except as provided by Subsection (b), the]
19-24 commission shall make each report filed with the commission under
19-25 Section 254.036(b) available to the public on the Internet not
19-26 later than the second business day after the date the report is
19-27 filed.
20-1 (b) [Except as otherwise provided by this subsection, the
20-2 commission may not make a report filed with the commission under
20-3 Section 254.036(b) for a reporting deadline by any candidate for a
20-4 particular office or by a specific-purpose committee for supporting
20-5 or opposing only one candidate for a particular office available to
20-6 the public on the Internet until each candidate for that office and
20-7 each specific-purpose committee for supporting or opposing only one
20-8 candidate for that office, other than a candidate or committee to
20-9 which Section 254.036(c) or (d) applies, has filed a report for
20-10 that reporting deadline. Regardless of whether each candidate for
20-11 a particular office and each specific-purpose committee for
20-12 supporting or opposing only one candidate for that office has filed
20-13 a report for a filing deadline, the commission shall make each
20-14 report in connection with that office available on the Internet and
20-15 by any other electronic means on:]
20-16 [(1) the 21st day after the date of the filing
20-17 deadline, for a report other than a report required to be filed
20-18 under Section 254.064(c); or]
20-19 [(2) the fourth day after the date of the filing
20-20 deadline, for a report required to be filed under Section
20-21 254.064(c).]
20-22 [(c) Subsection (b) does not apply to a report filed under
20-23 Section 254.038.]
20-24 [(d)] The access allowed by this section to reports is in
20-25 addition to the public's access to the information through other
20-26 electronic or print distribution of the information.
20-27 (c) [(e)] Before making a report filed under Section
21-1 254.036(b) available on the Internet, the commission shall remove
21-2 each portion, other than street name, city, state, and zip code, of
21-3 the address of a person listed as having made a political
21-4 contribution to the person filing the report. The address
21-5 information removed must remain available on the report maintained
21-6 in the commission's office but may not be available electronically
21-7 at that office.
21-8 SECTION 18. Section 254.0402, Election Code, is amended by
21-9 adding Subsection (c) to read as follows:
21-10 (c) The electronic access to information from reports filed
21-11 with the commission required by Subsection (b) must permit a person
21-12 to compile a list of the political contributions made by any
21-13 person. A list compiled under this subsection must include, for
21-14 each political contribution a person makes, the date and amount of
21-15 the contribution and the name of the candidate, officeholder, or
21-16 political committee to whom the contribution was made.
21-17 SECTION 19. Subchapter B, Chapter 254, Election Code, is
21-18 amended by adding Section 254.043 to read as follows:
21-19 Sec. 254.043. CONTRIBUTION OR EXPENDITURE PROHIBITED WHEN
21-20 REPORT OUTSTANDING. (a) A person who does not file a report
21-21 required under this chapter may not knowingly accept a political
21-22 contribution or knowingly make a political expenditure during the
21-23 period:
21-24 (1) beginning on the day after the date on which the
21-25 report is required to be filed; and
21-26 (2) ending on the date the report is filed.
21-27 (b) A political committee whose campaign treasurer is also
22-1 the campaign treasurer of a political committee that does not file
22-2 a report required under this chapter may not knowingly accept a
22-3 political contribution or knowingly make a political expenditure
22-4 during the period prescribed by Subsection (a).
22-5 (c) A candidate who violates this section is liable for a
22-6 civil penalty of $100 for each day during the period prescribed by
22-7 Subsection (a).
22-8 (d) The campaign treasurer of a political committee that
22-9 violates this section is liable for a civil penalty of $500 for
22-10 each day during the period prescribed by Subsection (a).
22-11 (e) A person who violates this section commits an offense.
22-12 An offense under this section is a Class C misdemeanor.
22-13 SECTION 20. Section 254.121, Election Code, is amended to
22-14 read as follows:
22-15 Sec. 254.121. ADDITIONAL CONTENTS OF REPORTS. In addition
22-16 to the contents required by Section 254.031, each report by a
22-17 campaign treasurer of a specific-purpose committee must include:
22-18 (1) the committee's full name and address;
22-19 (2) the full name, residence or business street
22-20 address, and telephone number of the committee's campaign
22-21 treasurer;
22-22 (3) the identity and date of the election for which
22-23 the report is filed, if applicable;
22-24 (4) the name of each candidate and each measure
22-25 supported or opposed by the committee, indicating for each whether
22-26 the committee supports or opposes;
22-27 (5) the name of each officeholder assisted by the
23-1 committee;
23-2 (6) the amount of each political expenditure in the
23-3 form of a political contribution that is made to a candidate,
23-4 officeholder, or another political committee and that is returned
23-5 to the committee during the reporting period, the name of the
23-6 person to whom the expenditure was originally made, and the date it
23-7 is returned;
23-8 (7) on a separate page or pages of the report, the
23-9 identification of any payment from political contributions made to
23-10 a business in which a [the] candidate or officeholder supported or
23-11 assisted by the committee has a participating interest of more than
23-12 10 percent, holds a position on the governing body of the business,
23-13 or serves as an officer of the business; and
23-14 (8) on a separate page or pages of the report, the
23-15 identification of any contribution from a corporation or labor
23-16 organization made and accepted under Subchapter D, Chapter 253.
23-17 SECTION 21. Section 254.151, Election Code, is amended to
23-18 read as follows:
23-19 Sec. 254.151. ADDITIONAL CONTENTS OF REPORTS. In addition
23-20 to the contents required by Section 254.031, each report by a
23-21 campaign treasurer of a general-purpose committee must include:
23-22 (1) the committee's full name and address;
23-23 (2) the full name, residence or business street
23-24 address, and telephone number of the committee's campaign
23-25 treasurer;
23-26 (3) the identity and date of the election for which
23-27 the report is filed, if applicable;
24-1 (4) the name of each identified candidate or measure
24-2 or classification by party of candidates supported or opposed by
24-3 the committee, indicating whether the committee supports or opposes
24-4 each listed candidate, measure, or classification by party of
24-5 candidates;
24-6 (5) the name of each identified officeholder or
24-7 classification by party of officeholders assisted by the committee;
24-8 (6) the principal occupation of each person from whom
24-9 political contributions that in the aggregate exceed $50 are
24-10 accepted during the reporting period;
24-11 (7) the amount of each political expenditure in the
24-12 form of a political contribution made to a candidate, officeholder,
24-13 or another political committee that is returned to the committee
24-14 during the reporting period, the name of the person to whom the
24-15 expenditure was originally made, and the date it is returned; [and]
24-16 (8) on a separate page or pages of the report, the
24-17 identification of any contribution from a corporation or labor
24-18 organization made and accepted under Subchapter D, Chapter 253;
24-19 (9) on a separate page or pages of the report, the
24-20 identification of any political contribution accepted by the
24-21 committee that is intended by the person making the contribution to
24-22 be used by the committee for administrative, overhead, or
24-23 fund-raising expenses, unless the contribution is disclosed
24-24 elsewhere in the report; and
24-25 (10) the principal occupation of the contributors who
24-26 accounted for the largest proportion of the total dollars accepted
24-27 during the reporting period, or a statement that no single
25-1 occupation accounted for more than 25 percent of the total dollars
25-2 accepted during the reporting period.
25-3 SECTION 22. Section 254.156, Election Code, is amended to
25-4 read as follows:
25-5 Sec. 254.156. CONTENTS OF MONTHLY REPORTS. Each monthly
25-6 report filed under this subchapter must comply with Sections
25-7 254.031 and 254.151, except that the maximum amount of a political
25-8 contribution, expenditure, or loan that is not required to be
25-9 individually reported is $30 [$10] in the aggregate.
25-10 SECTION 23. Section 254.203(a), Election Code, is amended to
25-11 read as follows:
25-12 (a) A person may not retain political contributions covered
25-13 by this title, assets purchased with the contributions, or interest
25-14 and other income earned on the contributions for more than six
25-15 years after the later of:
25-16 (1) the date the person [either] ceases to be an
25-17 officeholder; or
25-18 (2) the date of the most recent election in which the
25-19 person was a candidate [or files a final report under this chapter,
25-20 whichever is later].
25-21 SECTION 24. Section 254.204(a), Election Code, is amended to
25-22 read as follows:
25-23 (a) At the end of the [six-year] period prescribed by
25-24 Section 254.203, the former officeholder or candidate shall remit
25-25 any unexpended political contributions to one or more of the
25-26 following:
25-27 (1) the political party with which the person was
26-1 affiliated when the person's name last appeared on a ballot;
26-2 (2) a candidate or political committee;
26-3 (3) the comptroller [of public accounts] for deposit
26-4 in the state treasury [State Treasury];
26-5 (4) one or more persons from whom political
26-6 contributions were received, in accordance with Subsection (d);
26-7 (5) a recognized tax-exempt, charitable organization
26-8 formed for educational, religious, or scientific purposes; or
26-9 (6) a public or private postsecondary educational
26-10 institution or an institution of higher education as defined by
26-11 Section 61.003 [61.003(8)], Education Code, solely for the purpose
26-12 of assisting or creating a scholarship program.
26-13 SECTION 25. Section 254.205(a), Election Code, is amended to
26-14 read as follows:
26-15 (a) Not later than the 30th day after the date the
26-16 [six-year] period prescribed by Section 254.203 ends, the person
26-17 required to dispose of unexpended political contributions shall
26-18 file a report of the disposition.
26-19 SECTION 26. Section 255.001, Election Code, is amended by
26-20 amending Subsections (a) and (c) and adding Subsections (d)-(f) to
26-21 read as follows:
26-22 (a) A person may not knowingly enter into a contract or
26-23 other agreement to print, copy, publish, or broadcast political
26-24 advertising that does not indicate in the advertising:
26-25 (1) that it is political advertising; and
26-26 (2) except as provided by Subsection (c), (d), or (e),
26-27 [the full name of] either:
27-1 (A) the full name of the candidate,
27-2 officeholder, or political committee on whose behalf the
27-3 advertising is printed, copied, published, or broadcast and the
27-4 full name and address of the person's campaign treasurer, or, if
27-5 the person is an officeholder who does not have a campaign
27-6 treasurer appointment on file, the full address of the
27-7 officeholder; or
27-8 (B) the full name and address of the candidate,
27-9 officeholder, or political committee on whose behalf the
27-10 advertising is printed, copied, published, or broadcast [the
27-11 individual who personally entered into the contract or agreement
27-12 with the printer, publisher, or broadcaster or the person that
27-13 individual represents; and]
27-14 [(3) in the case of advertising that is printed or
27-15 published, the address of either the individual who personally
27-16 entered into the agreement with the printer or publisher or the
27-17 person that individual represents].
27-18 (c) A person is not required to state the address of a
27-19 campaign treasurer, candidate, officeholder, or political committee
27-20 in political advertising broadcast on radio.
27-21 (d) Political advertising that is printed, copied,
27-22 published, or broadcast on behalf of a political committee and that
27-23 supports two or more candidates is not required to indicate the
27-24 full name and address of each candidate if the advertising
27-25 indicates the full names and addresses of the committee and the
27-26 committee's campaign treasurer.
27-27 (e) Political advertising that is distributed by or on
28-1 behalf of a candidate, officeholder, or political committee and
28-2 that consists of electronic mail to not more than 50 original
28-3 recipients is not required to state the address of a campaign
28-4 treasurer, candidate, officeholder, or political committee. For
28-5 purposes of this subsection, only a recipient to whom the
28-6 candidate, officeholder, or political committee or that person's
28-7 agent directly distributes the electronic mail is considered to be
28-8 an original recipient.
28-9 (f) A person who violates this section commits an offense.
28-10 An offense under this section is a Class A misdemeanor.
28-11 SECTION 27. Section 7.108, Education Code, is amended to
28-12 read as follows:
28-13 Sec. 7.108. PROHIBITION ON POLITICAL CONTRIBUTION OR
28-14 ACTIVITY. (a) A person [interested in selling bonds of any type or
28-15 a person engaged in manufacturing, shipping, selling, or
28-16 advertising textbooks or otherwise connected with the textbook
28-17 business] commits an offense if:
28-18 (1) the person knowingly makes or authorizes a
28-19 political contribution to or knowingly takes part in, directly or
28-20 indirectly, the campaign of any person seeking election to or
28-21 serving on the board; and
28-22 (2) the person:
28-23 (A) has entered into a contract with the board
28-24 that is in effect at the time the conduct under Subdivision (1)
28-25 occurs, or proposes to enter into a contract with the board;
28-26 (B) is an officer or employee of a person who
28-27 has entered into or proposes to enter into a contract described by
29-1 Paragraph (A); or
29-2 (C) is a subcontractor of a person who has
29-3 entered into or proposes to enter into a contract described by
29-4 Paragraph (A) in relation to that contract or proposed contract.
29-5 (b) A person seeking election to or serving on the board
29-6 commits an offense if the person knowingly accepts a political
29-7 contribution from a person described by Subsection (a)(2).
29-8 (c) An offense under this section [Subsection (a)] is a
29-9 Class B misdemeanor.
29-10 (d) [(c)] In this section, "political [:]
29-11 [(1) "Political] contribution" has the meaning
29-12 assigned by Section 251.001, Election Code.
29-13 [(2) "Textbook" has the meaning assigned by Section
29-14 31.002.]
29-15 SECTION 28. Sections 251.005, 253.032, 253.042(g), and
29-16 253.100(d), Election Code, are repealed.
29-17 SECTION 29. (a) Section 253.031, Election Code, as amended
29-18 by this Act, applies only to a political contribution accepted or
29-19 political expenditure made by an out-of-state political committee,
29-20 as that term is defined by Section 251.001, Election Code, on or
29-21 after September 1, 2001. A political contribution accepted or a
29-22 political expenditure made by an out-of-state political committee
29-23 before September 1, 2001, is governed by the law in effect at the
29-24 time the contribution was accepted or expenditure was made, and the
29-25 former law is continued in effect for that purpose.
29-26 (b) Sections 253.042 and 253.162, Election Code, as amended
29-27 by this Act, apply only to repayment of a loan or extension of
30-1 credit that is made on or after September 1, 2001. The repayment
30-2 of a loan or extension of credit that was made before September 1,
30-3 2001, is governed by the law in effect on the date the loan or
30-4 extension of credit was made, and the former law is continued in
30-5 effect for that purpose.
30-6 (c) Section 253.098, Election Code, as amended by this Act,
30-7 applies only to the appearance of a candidate at a meeting of the
30-8 stockholders or members of a corporation or labor organization or
30-9 of the families of stockholders or members of a corporation or
30-10 labor organization that is made on or after September 1, 2001. The
30-11 appearance of a candidate at a meeting of the stockholders or
30-12 members of a corporation or labor organization or of the families
30-13 of stockholders or members of a corporation or labor organization
30-14 that is made before September 1, 2001, is governed by the law in
30-15 effect at the time the appearance was made, and the former law is
30-16 continued in effect for that purpose.
30-17 (d) Section 254.0392, Election Code, as added by this Act,
30-18 applies only to the reporting of an expenditure for targeted,
30-19 candidate-specific advertising in a covered preelection period that
30-20 is made on or after September 1, 2001. An expenditure for
30-21 targeted, candidate-specific advertising in a covered preelection
30-22 period that is made before September 1, 2001, is governed by the
30-23 law in effect at the time the expenditure was made and is not
30-24 aggregated with expenditures made on or after September 1, 2001.
30-25 (e) Chapter 254, Election Code, as amended by this Act,
30-26 applies only to the reporting of a political contribution accepted
30-27 or political expenditure made on or after September 1, 2001. The
31-1 reporting of a political contribution accepted or a political
31-2 expenditure made before that date is governed by the law in effect
31-3 at the time the contribution or expenditure was accepted or made,
31-4 and the former law is continued in effect for that purpose.
31-5 (f) Subchapter H, Chapter 254, Election Code, as amended by
31-6 this Act, applies only to a person who is a candidate, as that term
31-7 is defined by Section 251.001, Election Code, or an officeholder
31-8 subject to Title 15, Election Code, on September 1, 2001. A person
31-9 who is a former candidate or former officeholder on September 1,
31-10 2001, is subject to Subchapter H, Chapter 254, Election Code, as
31-11 that subchapter existed immediately before amendment by this Act,
31-12 and the former law is continued in effect for that purpose.
31-13 (g) Notwithstanding Section 254.203, Election Code, as that
31-14 section existed before amendment by this Act, a person who ceased
31-15 to be an officeholder or who was last a candidate in an election
31-16 before September 1, 1995, shall, not later than January 1, 2002,
31-17 dispose of unexpended political contributions, assets purchased
31-18 with political contributions, and interest or other income earned
31-19 on political contributions in compliance with Section 254.203,
31-20 Election Code, as amended by this Act. A person who ceased to be
31-21 an officeholder or candidate on or after September 1, 1995, shall
31-22 dispose of unexpended political contributions, assets purchased
31-23 with political contributions, and interest or other income earned
31-24 on political contributions in compliance with Section 254.203,
31-25 Election Code, as amended by this Act, regardless of whether the
31-26 person has filed a final report under Chapter 254, Election Code.
31-27 (h) The changes in law made to Section 255.001, Election
32-1 Code, by this Act apply only to an offense committed on or after
32-2 September 1, 2001. For the purposes of this section, an offense is
32-3 committed before September 1, 2001, if any element of the offense
32-4 occurs before that date.
32-5 (i) An offense under Section 255.001, Election Code, that is
32-6 committed before September 1, 2001, is covered by the law in effect
32-7 when the offense was committed, and the former law is continued in
32-8 effect for that purpose.
32-9 (j) The change in law made to Section 7.108, Education Code,
32-10 by this Act applies only to an offense committed on or after
32-11 September 1, 2001. For the purposes of this section, an offense is
32-12 committed before September 1, 2001, if any element of the offense
32-13 occurs before that date.
32-14 (k) An offense under Section 7.108, Education Code,
32-15 committed before September 1, 2001, is covered by the law in effect
32-16 when the offense was committed, and the former law is continued in
32-17 effect for that purpose.
32-18 SECTION 30. This Act takes effect September 1, 2001.