SRC-LBB S.B. 649 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 649
78R4526 ATP-DBy: Shapleigh
State Affairs
3/13/2003
As Filed


DIGEST AND PURPOSE 

Currently, the Election Code does not provide for disclosure of the
employer and occupation of any individual contributing $500 or more.
Amending Section 254.031 of the Election Code will allow the public to
know whether a particular industry or company is giving large amounts
through the individual contributions of their executives.  Reporting
employer and occupation is required by the federal government for all
contributions of $200 or more, at least 32 states, and in Texas in
judicial races for contributions of $50 or more.  As proposed, S.B. 649
requires that campaigns report the employer and occupation of any
individual contributing $500 or more.  In addition, the person or
committee required to file the report must show the use of reasonable
efforts to obtain, maintain, and report the necessary information.  This
bill also requires that all information is filed electronically so that
the Texas Ethics Commission can make each report filed available on the
Internet. 

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 254.031, Election Code, by amending Subsection
(a) and adding Subsection (c), as follows: 

(a)  Includes an additional item required to be included in a report
relating to the reporting of political contributions and expenditures.
Creates Subdivision (3) from existing text. Redesignates Subdivisions
(3)-(7) as (4)-(8). 
 
(c)  Provides that a report under this chapter is considered to be in
compliance with Subsection (a)(2) only if the person or committee required
to file the report or the person's or committee's campaign treasurer shows
that the person or committee has used reasonable efforts, as provided by
Section 254.0312, to obtain, maintain, and report the information required
by that subsection. 

SECTION 2.  Amends Chapter 254B, Election Code, by adding Section
254.0312, as follows: 

Sec. 254.0312.  REASONABLE EFFORTS.  (a)  Provides that a person or
committee required to file a report under this subchapter is considered to
have used reasonable efforts to obtain, maintain, and report the
information required by Section 254.031(a)(2) if the person or the
person's or committee's campaign treasurer complies with this section. 

(b)  Requires each written solicitation for political contributions from
an individual to include a clear and conspicuous request for the
individual's full name and address, the individual's principal occupation
or job title, and the full name of the individual's primary employer. 

 (c)  Requires a person or committee to make at least one oral or written
request for missing information for each political contribution received
from an individual that, when aggregated with all other political
contributions received from the individual during the reporting period,
equals $500 or more and for which the information required by Section
254.031(a)(2) is not provided. Requires a request under this subsection to
be made not later than the 30th day after the date the contribution is
received and prohibits it from being made in conjunction with a
solicitation for an additional political contribution. 

(d)  Requires a request under Subsection (c) that is made in writing to
include a clear and conspicuous statement that complies with Subsection
(b).  Requires a request that is made orally to be documented in writing. 

(e)  Requires a person or committee to report any information required by
Section 254.031(a)(2) that is not provided by the individual making the
contribution and that the person or committee has in the person's or
committee's records of political contributions or previous reports under
this chapter. 

(f)  Requires a person or committee that receives information required by
Section 254.031(a)(2) after the filing deadline for the report on which
the contribution is reported to include the missing information on the
next report that the person or committee is required to file under this
chapter. 

SECTION 3.  Amends Section 254.036(b), Election Code, to delete an
exception. 

SECTION 4.  Amends Sections 254.0401(a) and (e), Election Code, as follows:

 (a)  Deletes an exception.

(e)  Includes the street name in the list of items not required to be
removed before making a report relating to political contributions
available on the Internet. 
 
SECTION 5.  Repealer:  Sections 254.036(c) (Form of Report; Affidavit;
Mailing of Forms) and 254.0401(b)- (c) (Availability of Electronic Reports
on Internet), Election Code. 

SECTION 6.  (a)  Provides that Section 254.031, Election Code, as amended
by this Act, and Section 254.0312, Election Code, as added by this Act,
apply only to a report filed under Chapter 254, Election Code, that covers
a reporting period beginning on or after January 1, 2004.  Provides that a
report filed under Chapter 254, Election Code, that covers a reporting
period that begins before January 1, 2004, is covered by the law in
existence on the date the reporting period began, and the former law is
continued in effect for that purpose. 

(b)  Provides that Section 254.036, Election Code, as amended by this Act,
applies only to a report required to be filed under Chapter 254, Election
Code, on or after January 1, 2004. Authorizes a report required to be
filed under Chapter 254, Election Code, before January 1, 2004, to be
filed in compliance with Section 254.036, Election Code, as that section
existed before amendment by this Act, and the former law is continued in
effect for that purpose. 

(c)  Provides that the change in law made by this Act to Section 254.0401,
Election Code, applies only to a report filed under Chapter 254, Election
Code, on or after September 1, 2003. 

SECTION 7.  Effective date:  September 1, 2003.