SB-0661, As Passed House, December 11, 2013

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

SENATE BILL NO. 661

 

 

 

 

 

 

 

 

 

 

 

     [A bill to amend 1976 PA 388, entitled

 

"Michigan campaign finance act,"

 

by amending sections 4, 6, 26, 33, 46, 47, 52, 52a, 55, and 69 (MCL

 

169.204, 169.206, 169.226, 169.233, 169.246, 169.247, 169.252, 169.252a,

 

169.255, and 169.269), sections 4, 6, and 33 as amended by 2012 PA

 

273, sections 26, 52, and 69 as amended by 2001 PA 250, section 52a

 

as added by 1995 PA 264, and sections 47 and 55 as amended by 2012 PA

 

277.]

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4. (1) "Contribution" means a payment, gift,

 

subscription, assessment, expenditure, contract, payment for

 

services, dues, advance, forbearance, loan, or donation of money or

 

anything of ascertainable monetary value, or a transfer of anything

 

of ascertainable monetary value to a person, made for the purpose

 

of influencing the nomination or election of a candidate, for the

 


qualification, passage, or defeat of a ballot question, or for the

 

qualification of a new political party.

 

     (2) Contribution includes the full purchase price of tickets

 

or payment of an attendance fee for events such as dinners,

 

luncheons, rallies, testimonials, and other fund-raising events; an

 

individual's own money or property other than the individual's

 

homestead used on behalf of that individual's candidacy; the

 

granting of discounts or rebates not available to the general

 

public; or the granting of discounts or rebates by broadcast media

 

and newspapers not extended on an equal basis to all candidates for

 

the same office; and the endorsing or guaranteeing of a loan for

 

the amount the endorser or guarantor is liable. Except for the

 

purposes of section 57, contribution does not include a

 

contribution to a federal candidate or a federal committee.

 

     (3) Contribution does not include any of the following:

 

     (a) Volunteer personal services provided without compensation,

 

or payments of costs incurred of less than $500.00 in a calendar

 

year by an individual for personal travel expenses if the costs are

 

voluntarily incurred without any understanding or agreement that

 

the costs shall be, directly or indirectly, repaid.

 

     (b) Food and beverages, not to exceed $100.00 $1,000.00 in

 

value during a calendar year, which THAT are donated by an

 

individual and for which reimbursement is not given.

 

     (c) An offer or tender of a contribution if expressly and

 

unconditionally rejected, returned, or refunded in whole or in part

 

within 30 business days after receipt.

 

     Sec. 6. (1) "Expenditure" means a payment, donation, loan, or

 


promise of payment of money or anything of ascertainable monetary

 

value for goods, materials, services, or facilities in assistance

 

of, or in opposition to, the nomination or election of a candidate,

 

the qualification, passage, or defeat of a ballot question, or the

 

qualification of a new political party. Expenditure includes, but

 

is not limited to, any of the following:

 

     (a) A contribution or a transfer of anything of ascertainable

 

monetary value for purposes of influencing the nomination or

 

election of a candidate, the qualification, passage, or defeat of a

 

ballot question, or the qualification of a new political party.

 

     (b) Except as provided in subsection (2)(f) or (g), an

 

expenditure for voter registration or get-out-the-vote activities

 

made by a person who sponsors or finances the activity or who is

 

identified by name with the activity.

 

     (c) Except as provided in subsection (2)(f) or (g), an

 

expenditure made for poll watchers, challengers, distribution of

 

election day literature, canvassing of voters to get out the vote,

 

or transporting voters to the polls.

 

     (d) Except as provided in subsection (2)(c), the cost of

 

establishing and administering a payroll deduction plan to collect

 

and deliver a contribution to a committee.

 

     (2) Expenditure does not include any of the following:

 

     (a) An expenditure for communication by a person with the

 

person's paid members or shareholders and those individuals who can

 

be solicited for contributions to a separate segregated fund under

 

section 55.

 

     (b) An expenditure for communication on a subject or issue if

 


the communication does not support or oppose a ballot question or

 

candidate by name or clear inference.

 

     (c) An expenditure for the establishment, administration, or

 

solicitation of contributions to a separate segregated fund if that

 

expenditure was made by the person who established the separate

 

segregated fund as authorized under section 55.

 

     (d) An expenditure by a broadcasting station, newspaper,

 

magazine, or other periodical or publication for a news story,

 

commentary, or editorial in support of or opposition to a candidate

 

for elective office or a ballot question in the regular course of

 

publication or broadcasting.

 

     (e) An offer or tender of an expenditure if expressly and

 

unconditionally rejected or returned.

 

     (f) An expenditure for nonpartisan voter registration or

 

nonpartisan get-out-the-vote activities made by an organization

 

that is exempt from federal income tax under section 501(c)(3) of

 

the internal revenue code of 1986, 26 USC 501, or any successor

 

statute.

 

     (g) An expenditure for nonpartisan voter registration or

 

nonpartisan get-out-the-vote activities performed under chapter

 

XXIII of the Michigan election law, 1954 PA 116, MCL 168.491 to

 

168.524, by the secretary of state and other registration officials

 

who are identified by name with the activity.

 

     (h) An expenditure by a state central committee of a political

 

party or a person controlled by a state central committee of a

 

political party for the construction, purchase, or renovation of 1

 

or more office facilities in Ingham county if the facility is not

 


Senate Bill No. 661 (S-2) as amended December 11, 2013

constructed, purchased, or renovated for the purpose of influencing

 

the election of a candidate in a particular election. Items

 

excluded from the definition of expenditure under this subdivision

 

include expenditures approved in federal election commission

 

advisory opinions 1993-9, 2001-1, and 2001-12 as allowable

 

expenditures under the federal election campaign act of 1971,

 

Public Law 92-225, 2 USC 431 to 457, and regulations promulgated

 

under that act, regardless of whether those advisory opinions have

 

been superseded.

 

     (i) Except [ONLY] for the purposes of section 57, an expenditure to

 

or for a federal candidate or a federal committee.

 

     (j) [Except only for the purposes of section 47, an] expenditure

 for a communication if the communication

 

does not in express terms advocate the election or defeat of a

 

clearly identified candidate so as to restrict the application of

 

this act to communications containing express words of advocacy of

 

election or defeat, such as "vote for", "elect", "support", "cast

 

your ballot for", "Smith for governor", "vote against", "defeat",

 

or "reject".

 

     Sec. 26. (1) A campaign statement of a committee, other than a

 

political party committee, required by this act shall contain all

 

of the following information:

 

     (a) The filing committee's name, address, and telephone

 

number, and the full name, residential and business addresses, and

 

telephone numbers of the committee treasurer or other individual

 

designated as responsible for the committee's record keeping,

 

report preparation, or report filing.

 

     (b) Under the heading "receipts", the total amount of

 


contributions received during the period covered by the campaign

 

statement; under the heading "expenditures", the total amount of

 

expenditures made during the period covered by the campaign

 

statement; and the cumulative amount of those totals. Forgiveness

 

of a loan shall not be included in the totals. Payment of a loan by

 

a third party shall be recorded and reported as an in-kind

 

contribution by the third party. In-kind contributions or

 

expenditures shall be listed at fair market value and shall be

 

reported as both contributions and expenditures. A contribution or

 

expenditure that is by other than completed and accepted payment,

 

gift, or other transfer, that is clearly not legally enforceable,

 

and that is expressly withdrawn or rejected and returned before a

 

campaign statement closing date need not be included in the

 

campaign statement and if included may, in a later or amended

 

statement, be shown as a deduction, but the committee shall keep

 

adequate records of each instance.

 

     (c) The balance of cash on hand at the beginning and the end

 

of the period covered by the campaign statement.

 

     (d) The following information regarding each fund-raising

 

event shall be included in the report:

 

     (i) The type of event, date held, address and name, if any, of

 

the place where the activity was held, and approximate number of

 

individuals participating or in attendance.

 

     (ii) The total amount of all contributions.

 

     (iii) The gross receipts of the fund-raising event.

 

     (iv) The expenditures incident to the event.

 

     (e) The full name of each individual from whom contributions

 


are received during the period covered by the campaign statement,

 

together with the individual's street address, the amount

 

contributed, the date on which each contribution was received, and

 

the cumulative amount contributed by that individual. The

 

occupation, employer, and principal place of business shall be

 

stated if the individual's cumulative contributions are more than

 

$100.00. For contributions of $5.00 or less by an individual to a

 

political committee or independent committee, the secretary of

 

state shall accept for filing any written communication from the

 

political committee or independent committee that contains the

 

information otherwise required under this subsection. Any such

 

written communication does not need to contain an original

 

signature.

 

     (f) The cumulative amount contributed and the name and address

 

of each individual, except those individuals reported under

 

subdivision (e), who contributed to the committee. The occupation,

 

employer, and principal place of business shall be stated for each

 

individual who contributed more than $100.00.

 

     (g) The name and street address of each person, other than an

 

individual, from whom contributions are received during the period

 

covered by the campaign statement, together with an itemization of

 

the amounts contributed, the date on which each contribution was

 

received, and the cumulative amount contributed by that person.

 

     (h) The name, address, and amount given by an individual who

 

contributed to the total amount contributed by a person who is

 

other than a committee or an individual. The occupation, employer,

 

and principal place of business shall be stated if the individual

 


contributed more than $100.00 of the total amount contributed by a

 

person who is other than a committee or an individual.

 

     (i) The cumulative total of expenditures of $50.00 or less

 

made during the period covered by the campaign statement except for

 

expenditures made to or on behalf of another committee, candidate,

 

or ballot question.

 

     (j) The full name and street address of each person to whom

 

expenditures totaling more than $50.00 were made, together with the

 

amount of each separate expenditure to each person during the

 

period covered by the campaign statement; the purpose of the

 

expenditure; the full name and street address of the person

 

providing the consideration for which any expenditure was made if

 

different from the payee; the itemization regardless of amount of

 

each expenditure made to or on behalf of another committee,

 

candidate, or ballot question; and the cumulative amount of

 

expenditures for or against that candidate or ballot question for

 

an election cycle. An expenditure made in support of more than 1

 

candidate or ballot question, or both, shall be apportioned

 

reasonably among the candidates or ballot questions, or both.

 

     (2) A candidate committee or ballot question committee shall

 

report all cumulative amounts required by this section on a per

 

election cycle basis. Except for subsection (1)(j), an independent

 

committee or political committee shall report all cumulative

 

amounts required by this section on a calendar year basis.

 

     (3) A campaign statement of a committee, in addition to the

 

other information required by this section, shall include an

 

itemized list of all expenditures during the reporting period for

 


election day busing of electors to the polls, get-out-the-vote

 

activities, slate cards, challengers, poll watchers, and poll

 

workers.

 

     (4) For a reporting period in which a contribution is received

 

that is to be part of a bundled contribution or a reporting period

 

in which a bundled contribution is delivered to the candidate

 

committee of a candidate for statewide elective office, a bundling

 

committee shall report to the secretary of state, on a form

 

provided by the secretary of state, all of the following

 

information, as applicable, about each contribution received or

 

delivered as part of a bundled contribution, and about each bundled

 

contribution delivered, in the reporting period:

 

     (a) The amount of each contribution, the date it was received

 

by the bundling committee, and the candidate for statewide elective

 

office whom the contributor designated as the intended recipient.

 

     (b) Each contributor's name and address and, for each

 

contribution exceeding $100.00, the contributor's occupation,

 

employer, and principal place of business.

 

     (c) The date each contribution is delivered to the candidate's

 

statewide elective office candidate committee.

 

     (d) The total amount of bundled contributions delivered to

 

that candidate committee during the reporting period and during the

 

election cycle.

 

     (5) With its delivery of a bundled contribution to the

 

candidate committee of a candidate for statewide elective office, a

 

bundling committee shall deliver a report to that candidate

 

committee, on a form provided by the secretary of state, that

 


includes all of the following information, as applicable, about

 

each contribution delivered as part of the bundled contribution,

 

and about all bundled contributions delivered to that candidate

 

committee in the election cycle:

 

     (a) The amount of each contribution, the date it was received

 

by the bundling committee, and the statewide elective office

 

candidate the contributor designated as the intended recipient.

 

     (b) Each contributor's name and address and, for each

 

contribution exceeding $100.00, the contributor's occupation,

 

employer, and principal place of business.

 

     (c) The total amount of bundled contributions delivered to

 

that candidate committee during the reporting period and during the

 

election cycle.

 

     (6) For a reporting period in which a bundled contribution is

 

received, a candidate committee of a candidate for statewide

 

elective office shall report to the secretary of state, on a form

 

provided by the secretary of state, all of the following

 

information, as applicable, about each contribution delivered as

 

part of a bundled contribution received in the reporting period and

 

about all bundled contributions received by that candidate

 

committee:

 

     (a) The amount of each contribution, the date it was received

 

by the candidate committee, and the name of the bundling committee

 

that delivered the contribution.

 

     (b) Each contributor's name and address and, for each

 

contribution exceeding $100.00, the contributor's occupation,

 

employer, and principal place of business.

 


     (c) The total amount of bundled contributions received by that

 

candidate committee during the reporting period and during the

 

election cycle.

 

     Sec. 33. (1) A committee, other than an independent committee

 

or a political committee required to file with the secretary of

 

state, supporting or opposing a candidate shall file complete

 

campaign statements as required by this act and the rules

 

promulgated under this act. The campaign statements shall be filed

 

according to the following schedule:

 

     (a) A preelection campaign statement shall be filed not later

 

than the eleventh day before an election. The closing date for a

 

campaign statement filed under this subdivision shall be the

 

sixteenth day before the election.

 

     (b) A postelection campaign statement shall be filed not later

 

than the thirtieth day following the election. The closing date for

 

a campaign statement filed under this subdivision shall be the

 

twentieth day following the election. A committee supporting a

 

candidate who loses the primary election shall file closing

 

campaign statements in accordance with this section. If all

 

liabilities of that candidate or committee are paid before the

 

closing date and additional contributions are not expected, the

 

campaign statement may be filed at any time after the election, but

 

not later than the thirtieth day following the election.

 

     (c) In a year in which there is no election for the candidate

 

the committee is supporting or opposing:

 

     (i) Not later than July 25 with a closing date of July 20 of

 

that year.

 


     (ii) Not later than October 25 with a closing date of October

 

20 of that year.

 

     (2) For the purposes of subsection (1):

 

     (a) A candidate committee shall file a preelection campaign

 

statement and a postelection campaign statement for each election

 

in which the candidate seeks nomination or election, except if an

 

individual becomes a candidate after the closing date for the

 

preelection campaign statement only the postelection campaign

 

statement is required for that election.

 

     (b) A committee other than a candidate committee shall file a

 

campaign statement for each period during which expenditures are

 

made for the purpose of influencing the nomination or election of a

 

candidate or for the qualification, passage, or defeat of a ballot

 

question.

 

     (3) An independent committee or a political committee other

 

than a house political party caucus committee or senate political

 

party caucus committee required to file with the secretary of state

 

shall file campaign statements as required by this act according to

 

the following schedule:

 

     (a) Not later than February 15 of each year with a closing

 

date of February 10 of that year.

 

     (b) Not later than April 25 of each year with a closing date

 

of April 20 of that year.

 

     (c) Not later than July 25 of each year with a closing date of

 

July 20 of that year.

 

     (d) Not later than October 25 of each year with a closing date

 

of October 20 of that year.

 


     (4) A house political party caucus committee or a senate

 

political party caucus committee required to file with the

 

secretary of state or a political party committee for a party

 

attempting to qualify as a new political party under section 685 of

 

the Michigan election law, 1954 PA 116, MCL 168.685, shall file

 

campaign statements as required by this act according to the

 

following schedule:

 

     (a) Not later than January 31 of each year with a closing date

 

of December 31 of the immediately preceding year.

 

     (b) Not later than April 25 of each year with a closing date

 

of April 20 of that year.

 

     (c) Not later than July 25 of each year with a closing date of

 

July 20 of that year.

 

     (d) Not later than October 25 of each year with a closing date

 

of October 20 of that year.

 

     (e) For the period beginning on the fourteenth day immediately

 

preceding a primary or special primary election and ending on the

 

day immediately following the primary or special primary election,

 

not later than 4 p.m. each business day with a closing date of the

 

immediately preceding day, only for a contribution received or

 

expenditure made that exceeds $1,000.00 per day.

 

     (f) For the period beginning on the fourteenth day immediately

 

preceding a general or special election and ending on the day

 

immediately following the general or special election, not later

 

than 4 p.m. each business day with a closing date of the

 

immediately preceding day, only for a contribution received or

 

expenditure made that exceeds $1,000.00 per day.

 


     (5) Notwithstanding subsection (3) or (4) or section 51, if an

 

independent expenditure is made within 45 days before a special

 

election by an independent committee or a political committee

 

required to file a campaign statement with the secretary of state,

 

a report of the expenditure shall be filed by the committee with

 

the secretary of state within 48 hours after the expenditure. The

 

report shall be made on a form provided by the secretary of state

 

and shall include the date of the independent expenditure, the

 

amount of the expenditure, a brief description of the nature of the

 

expenditure, and the name and address of the person to whom the

 

expenditure was paid. The brief description of the expenditure

 

shall include either the name of the candidate and the office

 

sought by the candidate or the name of the ballot question and

 

shall state whether the expenditure supports or opposes the

 

candidate or ballot question. This subsection does not apply if the

 

committee is required to report the independent expenditure in a

 

campaign statement that is required to be filed before the date of

 

the election for which the expenditure was made.

 

     (6) A candidate committee or a committee other than a

 

candidate committee that files a written statement under section

 

24(5) or (6) is not required to file a campaign statement under

 

subsection (1), (3), or (4) unless it received or expended an

 

amount in excess of $1,000.00. If the committee receives or expends

 

an amount in excess of $1,000.00 during a period covered by a

 

filing, the committee is then subject to the campaign filing

 

requirements under this act.

 

     (7) A committee, candidate, treasurer, or other individual

 


designated as responsible for the committee's record keeping,

 

report preparation, or report filing who fails to file a statement

 

as required by this section shall pay a late filing fee. If the

 

committee has raised $10,000.00 or less during the previous 2

 

years, the late filing fee shall be $25.00 for each business day

 

the statement remains unfiled, but not to exceed $500.00. If the

 

committee has raised more than $10,000.00 during the previous 2

 

years, the late filing fee shall not exceed $1,000.00, determined

 

as follows:

 

     (a) Twenty-five dollars for each business day the report

 

remains unfiled.

 

     (b) An additional $25.00 for each business day after the first

 

3 business days the report remains unfiled.

 

     (c) An additional $50.00 for each business day after the first

 

10 business days the report remains unfiled.

 

     (8) If a candidate, treasurer, or other individual designated

 

as responsible for the committee's record keeping, report

 

preparation, or report filing fails to file 2 statements required

 

by this section or section 35 and both of the statements remain

 

unfiled for more than 30 days, that candidate, treasurer, or other

 

designated individual is guilty of a misdemeanor punishable by a

 

fine of not more than $1,000.00 or imprisonment for not more than

 

90 days, or both.

 

     (9) If a candidate is found guilty of a violation of this

 

section, the circuit court for that county, on application by the

 

attorney general or the prosecuting attorney of that county, may

 

prohibit that candidate from assuming the duties of a public office

 


or from receiving compensation from public funds, or both.

 

     (10) If a candidate, treasurer, or other individual designated

 

as responsible for a committee's record keeping, report

 

preparation, or report filing knowingly files an incomplete or

 

inaccurate statement or report required by this section, that

 

individual is subject to a civil fine of not more than $1,000.00.

 

     (11) If a candidate, treasurer, or other individual designated

 

as responsible for a committee's record keeping, report

 

preparation, or report filing knowingly omits or underreports

 

individual contributions or individual expenditures required to be

 

disclosed by this act, that individual is subject to a civil fine

 

of not more than $1,000.00 or the amount of the contributions and

 

expenditures omitted or underreported, whichever is greater.

 

     (12) If a candidate committee's account has a balance of

 

$20,000.00 or more and a candidate, treasurer, or other individual

 

designated as responsible for that committee's record keeping,

 

report preparation, or report filing fails to file campaign

 

statements required under this act for 2 consecutive years, that

 

candidate, treasurer, or other individual is guilty of a felony

 

punishable by imprisonment for not more than 3 years or a fine of

 

not more than $5,000.00, or both. Any money in a candidate

 

committee account described in this subsection is subject to

 

seizure by, and forfeiture to, this state as provided in this

 

section.

 

     (13) Not more than 5 business days after seizure of money

 

under subsection (12), the secretary of state shall deliver

 

personally or by registered mail to the last known address of the

 


candidate from whom the seizure was made an inventory statement of

 

the money seized. The inventory statement shall also contain notice

 

to the effect that unless demand for hearing as provided in this

 

section is made within 10 business days, the money is forfeited to

 

this state. Within 10 business days after the date of service of

 

the notice, the candidate may by registered mail, facsimile

 

transmission, or personal service file with the secretary of state

 

a demand for a hearing before the secretary of state or a person

 

designated by the secretary of state for a determination as to

 

whether the money was lawfully subject to seizure and forfeiture.

 

The candidate is entitled to appear before the secretary of state

 

or a person designated by the secretary of state, to be represented

 

by counsel, and to present testimony and argument. Upon receipt of

 

a request for hearing, the secretary of state or a person

 

designated by the secretary of state shall hold the hearing within

 

15 business days. The hearing is not a contested case proceeding

 

and is not subject to the administrative procedures act of 1969,

 

1969 PA 306, MCL 24.201 to 24.328. After the hearing, the secretary

 

of state or a person designated by the secretary of state shall

 

render a decision in writing within 10 business days of the hearing

 

and, by order, shall either declare the money subject to seizure

 

and forfeiture or declare the money returnable to the candidate.

 

If, within 10 business days after the date of service of the

 

inventory statement, the candidate does not file with the secretary

 

of state a demand for a hearing before the secretary of state or a

 

person designated by the secretary of state, the money seized is

 

forfeited to this state by operation of law. If, after a hearing

 


before the secretary of state or a person designated by the

 

secretary of state, the secretary of state or a person designated

 

by the secretary of state determines that the money is lawfully

 

subject to seizure and forfeiture and the candidate does not appeal

 

to the circuit court of the county in which the seizure was made

 

within the time prescribed in this section, the money seized is

 

forfeited to this state by operation of law. If a candidate is

 

aggrieved by the decision of the secretary of state or a person

 

designated by the secretary of state, that candidate may appeal to

 

the circuit court of the county where the seizure was made to

 

obtain a judicial determination of the lawfulness of the seizure

 

and forfeiture. The action shall be commenced within 20 days after

 

notice of a determination by the secretary of state or a person

 

designated by the secretary of state is sent to the candidate. The

 

court shall hear the action and determine the issues of fact and

 

law involved in accordance with rules of practice and procedure as

 

in other in rem proceedings.

 

     Sec. 46. (1) At the beginning of every odd numbered year, the

 

secretary of state shall recommend adjustments to and which shall

 

be approved by the legislature of the dollar value contribution

 

limits provided in this act, together with the dollar value floor

 

for reporting of the name, address, occupation, and employer, or

 

principal place of business of persons who make contributions

 

pursuant to this chapter act, on the basis of the United States

 

department of commerce's consumer price index and the number of

 

registered voters in the state.

 

     (2) Beginning January 1, 2019 and every 4 years thereafter,

 


 

the secretary of state shall adjust the dollar value contribution

 

limits provided in sections 52, 52a, and 69(1). The secretary of

 

state shall adjust the limits in sections 52, 52a, and 69(1) by

 

comparing the percentage increase or decrease in the consumer price

 

index for the preceding August by the corresponding consumer price

 

index 4 years earlier. The secretary of state shall multiply that

 

percentage change by the amounts in sections 52, 52a, and 69(1).

 

The secretary of state shall round up each dollar value adjustment

 

made under this subsection to the nearest $25.00. The secretary of

 

state shall announce the adjustments made under this subsection by

 

December 15 of each year.

 

     (3) As used in this section, "consumer price index" means the

 

most comprehensive index of consumer prices available for the

 

Detroit area from the bureau of labor statistics of the United

 

States department of labor.

     [Sec. 47. (1) Except as otherwise provided in this subsection and subject to subsections (3) and (4), a billboard, placard, poster, pamphlet, or other printed matter having reference to an election, a candidate, or a ballot question, shall bear upon it the name and address of the person paying for the matter. Except as otherwise provided in this subsection and subject to subsections (3) and (4), if the printed matter relating to a candidate is an independent expenditure that is not authorized in writing by the candidate committee of that candidate, the printed matter shall contain the following disclaimer: "Not authorized by any candidate committee". An individual other than a candidate is not subject to this subsection if the individual is acting independently and not acting as an agent for a candidate or any committee. This subsection does not apply to communications between a separate segregated fund established under section 55 and individuals who can be solicited for contributions to that separate segregated fund under section 55.

     (2) A radio or television paid advertisement having reference to an election, a candidate, or a ballot question shall identify the sponsoring person as required by the federal communications commission, shall bear the name of the person paying for the advertisement, and shall be in compliance with subsection (3) and with the following:

     (a) If the radio or television paid advertisement relates to a candidate and is an independent expenditure, the advertisement shall contain the following disclaimer: "Not authorized by any candidate".

     (b) If the radio or television paid advertisement relates to a candidate and is not an independent expenditure but is paid for by a person other than the candidate to which it is related, the advertisement shall contain the following disclaimer:

     "Authorized by  ............................................".

              (name of candidate or name of candidate committee)

     (3) The size and placement of an identification or disclaimer required by this section shall be determined by rules promulgated by the secretary of state. The rules may exempt printed matter and certain other items such as campaign buttons or balloons, the size of which makes it unreasonable to add an identification or disclaimer, from the identification or disclaimer required by this section.

     (4) Except for a communication described in subsection (5) and except for a candidate committee's printed matter or radio or television paid advertisements, each identification or disclaimer required by this section shall also indicate that the printed matter or radio or television paid advertisement is paid for "with regulated funds". Printed matter or a radio or television paid advertisement that is not subject to this act shall not bear the statement required by this subsection.

     (5) A communication otherwise entirely exempted from this act under section 6(2)(j) is subject only to the identification required by subsection (1), (2), OR (8) if that communication references a clearly identified candidate or ballot question within 60 days before a general election or 30 days before a primary election in which the candidate or ballot question appears on a ballot and is targeted to the relevant electorate where the candidate or ballot question appears on the ballot by means of radio, television, mass mailing, or prerecorded telephone message.

     (6) (5) A person who knowingly violates this section is guilty of a misdemeanor punishable by a fine of not more than $1,000.00, or imprisonment for not more than 93 days, or both.

     (7) As used in this section, "mass mailing" means a mailing by United States mail or facsimile of more than 500 pieces of mail matter of an identical or substantially similar nature within any 30-day period.

     (8) a prerecorded telephone message that in express terms advocates the election or defeat of a clearly identified candidate, or the qualification, passage, or defeat of a ballot question, shall contain the name and telephone number, address, or other contact information of the person paying for the prerecorded telephone message, and shall be in compliance with subsection (4).]

     Sec. 52. (1) Except as provided in subsection (5) or (11) and

subject to section 46 and subsection (8), a person other than an

independent committee or a political party committee shall not make

contributions to a candidate committee of a candidate for elective

office that, with respect to an election cycle, are more than the

following:

     (a) $3,400.00 $6,800.00 for a candidate for state elective

 

office other than the office of state legislator, or for a

 

candidate for local elective office if the district from which he

 

or she is seeking office has a population of more than 250,000.

 

     (b) $1,000.00 $2,000.00 for a candidate for state senator, or

 

for a candidate for local elective office if the district from

 


Senate Bill No. 661 (S-2) as amended December 11, 2013

which he or she is seeking office has a population of more than

85,000 but 250,000 or less.

 

     (c) $500.00 $1,000.00 for a candidate for state

representative, or for a candidate for local elective office if the

district from which he or she is seeking office has a population of

85,000 or less.

 

     (2) Except as otherwise provided in this subsection and

subsection (12), an independent committee shall not make

 

contributions to a candidate committee of a candidate for elective

 

office that, in the aggregate for that election cycle, are more

 

than 10 times the amount permitted a person other than an

 

independent committee or political party committee in subsection

 

(1). A house political party caucus committee or a senate political

 

party caucus committee is not limited under this subsection in the

 

amount of contributions made to the candidate committee of a

 

candidate for the office of state legislator[., except as follows:

 

     (a) A house political party caucus committee or a senate

 

political party caucus committee shall not pay a debt incurred by a

 

candidate if that debt was incurred while the candidate was seeking

 

nomination at a primary election and the candidate was opposed at

 

that primary.

 

     (b) A house political party caucus committee or a senate

 

political party caucus committee shall not make a contribution to

 

or make an expenditure on behalf of a candidate if that candidate

 

is seeking nomination at a primary election and the candidate is

 

opposed at that primary.]

 

     (3) A political party committee other than a state central

 


committee shall not make contributions to the candidate committee

 

of a candidate for elective office that are more than 10 times the

 

amount permitted a person other than an independent committee or

 

political party committee in subsection (1).

 

     (4) A state central committee of a political party shall not

 

make contributions to the candidate committee of a candidate for

 

state elective office other than a candidate for the legislature

 

that are more than 20 times the amount permitted a person other

 

than an independent committee or political party committee in

 

subsection (1). A state central committee of a political party

 

shall not make contributions to the candidate committee of a

 

candidate for state senator, state representative, or local

 

elective office that are more than 10 times the amount permitted a

 

person other than an independent committee or political party

 

committee in subsection (1).

 

     (5) A contribution from a member of a candidate's immediate

 

family to the candidate committee of that candidate is exempt from

 

the limitations of subsection (1).

 

     (6) Consistent with the provisions of this section, a

 

contribution designated in writing for a particular election cycle

 

is considered made for that election cycle. A contribution made

 

after the close of a particular election cycle and designated in

 

writing for that election cycle shall be made only to the extent

 

that the contribution does not exceed the candidate committee's net

 

outstanding debts and obligations from the election cycle so

 

designated. If a contribution is not designated in writing for a

 

particular election cycle, the contribution is considered made for

 


the election cycle that corresponds to the date of the written

 

instrument.

 

     (7) A candidate committee, a candidate, or a treasurer or

 

agent of a candidate committee shall not accept a contribution with

 

respect to an election cycle that exceeds the limitations in

 

subsection (1), (2), (3), (4), (11), or (12).

 

     (8) The contribution limits in subsection (1) for a candidate

 

for local elective office are effective on the effective date of

 

the amendatory act that provides for those contribution limits,

 

however, only contributions received by that candidate on and after

 

that date shall be used to determine if the contribution limit has

 

been reached.

 

     (9) A person who knowingly violates this section is guilty of

 

a misdemeanor punishable, if the person is an individual, by a fine

 

of not more than $1,000.00 or imprisonment for not more than 90

 

days, or both, or, if the person is not an individual, by a fine of

 

not more than $10,000.00.

 

     (10) For purposes of the limitations provided in subsections

 

(1) and (2), all contributions made by political committees or

 

independent committees established by any corporation, joint stock

 

company, domestic dependent sovereign, or labor organization,

 

including any parent, subsidiary, branch, division, department, or

 

local unit thereof, shall be considered to have been made by a

 

single independent committee. By way of illustration and not

 

limitation, all of the following apply as a result of the

 

application of this requirement:

 

     (a) All of the political committees and independent committees

 


established by a for profit corporation or joint stock company, by

 

a subsidiary of the for profit corporation or joint stock company,

 

or by any combination thereof, are treated as a single independent

 

committee.

 

     (b) All of the political committees and independent committees

 

established by a single national or international labor

 

organization, by a labor organization of that national or

 

international labor organization, by a local labor organization of

 

that national or international labor organization, or by any other

 

subordinate organization of that national or international labor

 

organization, or by any combination thereof, are treated as a

 

single independent committee.

 

     (c) All of the political committees and independent committees

 

established by an organization of national or international unions,

 

by a state central body of that organization, by a local central

 

body of that organization, or by any combination thereof, are

 

treated as a single independent committee.

 

     (d) All of the political committees and independent committees

 

established by a nonprofit corporation, by a related state entity

 

of that nonprofit corporation, by a related local entity of that

 

nonprofit corporation, or by any combination thereof, are treated

 

as a single independent committee.

 

     (11) The limitation on a political committee's contributions

 

under subsection (1) does not apply to contributions that are part

 

of 1 or more bundled contributions delivered to the candidate

 

committee of a candidate for statewide elective office and that are

 

attributed to the political committee as prescribed in section 31.

 


A political committee shall not make contributions to a candidate

 

committee of a candidate for statewide elective office that are

 

part of 1 or more bundled contributions delivered to that candidate

 

committee, that are attributed to the political committee as

 

prescribed in section 31, and that, in the aggregate for that

 

election cycle, are more than the amount permitted a person other

 

than an independent committee or political party committee in

 

subsection (1).

 

     (12) The limitation on an independent committee's

 

contributions under subsection (2) does not apply to contributions

 

that are part of 1 or more bundled contributions delivered to the

 

candidate committee of a candidate for statewide elective office

 

and that are attributed to the independent committee as prescribed

 

in section 31. An independent committee shall not make

 

contributions to a candidate committee of a candidate for statewide

 

elective office that are part of 1 or more bundled contributions

 

delivered to that candidate committee, that are attributed to the

 

independent committee as prescribed in section 31, and that, in the

 

aggregate for that election cycle, are more than 10 times the

 

amount permitted a person other than an independent committee or

 

political party committee in subsection (1).

 

     Sec. 52a. (1) A Subject to section 46, a person shall not make

 

contributions to a house political party caucus committee or a

 

senate political party caucus committee that exceed $20,000.00

 

$40,000.00 in a calendar year. A house political party caucus

 

committee or a senate political party caucus committee or a

 

treasurer or agent of the committee shall not accept a contribution

 


with respect to a 2-year election cycle that exceeds the limitation

 

in this section.

 

     (2) A person who knowingly violates this section is guilty of

 

a misdemeanor punishable, if the person is an individual, by a fine

 

of not more than $1,000.00 or imprisonment for not more than 90

 

days, or both, or, if the person is not an individual, by a fine of

 

not more than $10,000.00.

 

     Sec. 55. (1) A corporation organized on a for profit or

 

nonprofit basis, a joint stock company, a domestic dependent

 

sovereign, or a labor organization formed under the laws of this or

 

another state or foreign country may make an expenditure for the

 

establishment and administration and solicitation of contributions

 

to a separate segregated fund to be used for political purposes. A

 

separate segregated fund established under this section shall be

 

limited to making contributions to, and expenditures on behalf of,

 

candidate committees, ballot question committees, political party

 

committees, political committees, independent committees, and other

 

separate segregated funds.

 

     (2) Contributions for a separate segregated fund established

 

by a corporation, organized on a for profit basis, or a joint stock

 

company under this section may be solicited from any of the

 

following persons or their spouses:

 

     (a) Stockholders of the corporation or company.

 

     (b) Officers and directors of the corporation or company.

 

     (c) Employees of the corporation or company who have policy

 

making, managerial, professional, supervisory, or administrative

 

nonclerical responsibilities.

 


     (3) Contributions for a separate segregated fund established

 

under this section by a corporation organized on a nonprofit basis

 

may be solicited from any of the following persons or their

 

spouses:

 

     (a) Members of the corporation who are individuals.

 

     (b) Stockholders or members of members of the corporation.

 

     (c) Officers or directors of members of the corporation.

 

     (d) Employees of the members of the corporation who have

 

policy making, managerial, professional, supervisory, or

 

administrative nonclerical responsibilities.

 

     (e) Employees of the corporation who have policy making,

 

managerial, professional, supervisory, or administrative

 

nonclerical responsibilities.

 

     (4) Contributions for a separate segregated fund established

 

under this section by a labor organization may be solicited from

 

any of the following persons or their spouses:

 

     (a) Members of the labor organization who are individuals.

 

     (b) Officers or directors of the labor organization.

 

     (c) Employees of the labor organization who have policy

 

making, managerial, professional, supervisory, or administrative

 

nonclerical responsibilities.

 

     (5) Contributions for a separate segregated fund established

 

under this section by a domestic dependent sovereign may be

 

solicited from an individual who is a member of any domestic

 

dependent sovereign.

 

     (6) Contributions shall not be obtained for a separate

 

segregated fund established under this section by use of coercion

 


or physical force, by making a contribution a condition of

 

employment or membership, or by using or threatening to use job

 

discrimination or financial reprisals. A corporation organized on a

 

for profit or nonprofit basis, a joint stock company, a domestic

 

dependent sovereign, or a labor organization shall not solicit or

 

obtain contributions for a separate segregated fund established

 

under this section from an individual described in subsection (2),

 

(3), (4), or (5) on an automatic or passive basis including but not

 

limited to a payroll deduction plan or reverse checkoff method. A

 

corporation organized on a for profit or nonprofit basis, a joint

 

stock company, a domestic dependent sovereign, or a labor

 

organization may solicit or obtain contributions for a separate

 

segregated fund established under this section from an individual

 

described in subsection (2), (3), (4), or (5) on an automatic

 

basis, including but not limited to a payroll deduction plan, only

 

if the individual who is contributing to the fund affirmatively

 

consents to the contribution at least once in every calendar year.

 

     (7) A person who knowingly violates this section is guilty of

 

a felony punishable, if the person is an individual, by a fine of

 

not more than $5,000.00 or imprisonment for not more than 3 years,

 

or both, or, if the person is not an individual, by a fine of not

 

more than $10,000.00.

 

     (8) If a corporation, joint stock company, domestic dependent

 

sovereign, or labor organization that obtains contributions for a

 

separate segregated fund from individuals described in subsection

 

(2), (3), (4), or (5) pays to 1 or more of those individuals a

 

bonus or other remuneration for the purpose of reimbursing those

 


contributions, then that corporation, joint stock company, domestic

 

dependent sovereign, or labor organization is subject to a civil

 

fine equal to 2 times the total contributions obtained from all

 

individuals for the separate segregated fund during that calendar

 

year.

 

     Sec. 69. (1) Except as provided in subsection (6) or (10) and

 

subject to section 46, a person other than an independent committee

 

or a political party committee shall not make contributions to a

 

candidate committee of a candidate that are more than $3,400.00

 

$6,800.00 in value for an election cycle.

 

     (2) Except as provided in subsection (11), an independent

 

committee shall not make contributions to a candidate committee

 

that for an election cycle are more than 10 times the amount

 

permitted a person other than an independent committee or political

 

party committee in subsection (1).

 

     (3) A political party committee that is a state central

 

committee shall not make contributions to a candidate committee

 

that for an election cycle are more than $750,000.00.

 

     (4) A political party committee that is a congressional

 

district or county committee shall not make contributions to a

 

candidate committee that for an election cycle are more than

 

$30,000.00.

 

     (5) A candidate committee, a candidate, or a treasurer or

 

agent shall not accept a contribution with respect to an election

 

cycle that exceeds a limitation in subsections (1) to (4), or (10).

 

     (6) As used in this subsection, "immediate family" means a

 

spouse, parent, brother, sister, son, or daughter. A candidate and

 


members of that candidate's immediate family may not contribute in

 

total to that person's candidate committee an amount that is more

 

than $50,000.00 in value for an election cycle.

 

     (7) Sections 5(3) and 52(6) apply to determining when an

 

election cycle begins and ends and to which election cycle a

 

particular contribution is attributed.

 

     (8) The candidate committee of a candidate for governor that

 

does not apply for funds from the state campaign fund and that

 

accepts from the candidate and the candidate's immediate family

 

contributions that total for an election cycle more than

 

$340,000.00 shall notify the secretary of state in writing within

 

48 hours after receipt of this amount. Within 2 business days after

 

receipt of this notice, the secretary of state shall send notice to

 

all candidates who are either seeking the same nomination, in the

 

case of a primary election, or election to that same office, in the

 

case of a general election, informing those candidate committees of

 

all of the following:

 

     (a) That the expenditure limits provided in section 67 are

 

waived for the remainder of that election for those notified

 

candidate committees that receive funds from the state campaign

 

fund under this act.

 

     (b) That the expenditure limits of section 67 are not waived

 

for the purpose of determining the amount of public funds available

 

to a candidate under section 64 or 65.

 

     (9) A person who knowingly violates this section is guilty of

 

a misdemeanor punishable, if the person is an individual, by a fine

 

of not more than $1,000.00 or imprisonment for not more than 90

 


days, or both, or, if the person is not an individual, by a fine of

 

not more than $10,000.00.

 

     (10) The limitation on a political committee's contributions

 

under subsection (1) does not apply to contributions that are part

 

of 1 or more bundled contributions delivered to the candidate

 

committee of a candidate for statewide elective office and that are

 

attributed to the political committee as prescribed in section 31.

 

A political committee shall not make contributions to a candidate

 

committee of a candidate for statewide elective office that are

 

part of 1 or more bundled contributions delivered to that candidate

 

committee, that are attributed to the political committee as

 

prescribed in section 31, and that, in the aggregate for that

 

election cycle, are more than the amount permitted a person other

 

than an independent committee or political party committee in

 

subsection (1).

 

     (11) The limitation on an independent committee's

 

contributions under subsection (2) does not apply to contributions

 

that are part of 1 or more bundled contributions delivered to the

 

candidate committee of a candidate for statewide elective office

 

and that are attributed to the independent committee as prescribed

 

in section 31. An independent committee shall not make

 

contributions to a candidate committee of a candidate for statewide

 

elective office that are part of 1 or more bundled contributions

 

delivered to that candidate committee, that are attributed to the

 

independent committee as prescribed in section 31, and that, in the

 

aggregate for that election cycle, are more than 10 times the

 

amount permitted a person other than an independent committee or

 


political party committee in subsection (1).