2018 -- S 2755

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LC003872

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2018

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A N   A C T

RELATING TO ELECTIONS - CAMPAIGN FINANCE

     

     Introduced By: Senator Erin Lynch Prata

     Date Introduced: March 27, 2018

     Referred To: Senate Judiciary

     (Board of Elections)

It is enacted by the General Assembly as follows:

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     SECTION 1. Section 17-25-11 of the General Laws in Chapter 17-25 entitled "Rhode

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Island Campaign Contributions and Expenditures Reporting" is hereby amended to read as

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follows:

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     17-25-11. Dates for filing of reports by treasurers of candidates or of committees.

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     (a) During the period between the appointment of the campaign treasurer for state and

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municipal committees and political action committees, or in the case of an individual the date on

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which the individual becomes a "declared or undeclared candidate" as defined in § 17-25-3(2),

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except when the ninety-day (90) reporting period ends less than forty (40) days prior to an

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election in which case the ninety-day (90) report shall be included as part of the report required to

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be filed on the twenty-eighth (28th) day next preceding the day of the primary, general, or special

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election pursuant to subdivision (2) of this subsection, and the election, with respect to which

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contributions are received or expenditures made by him or her in behalf of, or in opposition to, a

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candidate, the campaign treasurer of a candidate, a political party committee, or a political action

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committee shall file a report containing an account of contributions received, and expenditures

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made, on behalf of, or in opposition to, a candidate:

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     (1) At ninety-day (90) intervals commencing on the date on which the individual first

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becomes a candidate, as defined in § 17-25-3(2);

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     (2) In a contested election, on the twenty-eighth (28th) and seventh (7th) days next

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preceding the day of the primary, general, or special election; provided, that in the case of a

 

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primary election for a special election where the twenty-eighth (28th) day next preceding the day

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of the primary election occurs prior to the first day for filing declarations of candidacy pursuant to

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§ 17-14-1, the reports shall be due on the fourteenth (14th) and seventh (7th) days next preceding

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the day of the primary election for the special election; and

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     (3) A final report on the twenty-eighth (28th) day following the election. The report shall

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contain:

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     (i) The name and address and place of employment of each person from whom

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contributions in excess of a total of one hundred dollars ($100) within a calendar year were

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received;

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     (ii) The amount contributed by each person;

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     (iii) The name and address of each person to whom expenditures in excess of one

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hundred dollars ($100) were made; and

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     (iv) The amount and purpose of each expenditure.

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     (b) Concurrent with the report filed on the twenty-eighth (28th) day following an

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election, or at any time thereafter, the campaign treasurer of a candidate, or political party

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committee, or political action committee, may certify to the board of elections that the campaign

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fund of the candidate, political party committee, or political action committee having been

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instituted for the purposes of the past election, has completed its business and been dissolved or,

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in the event that the committee will continue its activities beyond the election, that its business

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regarding the past election has been completed. The certification shall be accompanied by a final

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accounting of the campaign fund, or of the transactions relating to the election, including the final

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disposition of any balance remaining in the fund at the time of dissolution or the arrangements

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that have been made for the discharge of any obligations remaining unpaid at the time of

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dissolution.

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     (c) (1) Once the campaign treasurer certifies that the campaign fund has completed its

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business and been dissolved, no contribution that is intended to defray expenditures incurred on

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behalf of, or in opposition to, a candidate during the campaign can be accepted. Until the time

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that the campaign treasurer certifies that the campaign fund has completed its business and been

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dissolved, the treasurer shall file reports containing an account of contributions received and

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expenditures made at ninety-day (90) intervals commencing with the next quarterly report

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following the election; however, the time to file under this subsection shall be no later than the

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last day of the month following the ninety-day (90) period, except when the last day of the month

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filing deadline following the ninety-day (90) reporting period occurs less than twenty-eight (28)

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days before an election, in which case the report shall be filed pursuant to the provisions of

 

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subdivisions (a)(1) and (2) of this section. Provided, however, if the last day of the month falls on

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a weekend or a holiday, the report shall be due on the following business day.

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     (2) In addition to the reports required pursuant to this section, a candidate or office holder

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shall also file with the board of elections a paper copy of the account statement from the office

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holder's campaign account, which account statement shall be the next account statement issued by

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their financial institution after the filing of the fourth quarterly campaign expense report. A

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candidate/treasurer certifying that the campaign fund has completed its business and has been

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dissolved shall also file with the board of elections a paper copy of the account statement from

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the candidate's or office holder's campaign account, which account statement shall be the account

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statement issued by the candidate's or office holder's financial institution next following the date

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of dissolution. In each instance, the The account statement shall be submitted to the board within

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thirty (30) days of its receipt by the candidate, officeholder, treasurer, or deputy treasurer. The

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account statement shall not be deemed a public record pursuant to the provisions of chapter 2 of

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title 38. The board of elections, its agents, and employees shall not publish, deliver, copy, or

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disclose, to any person or entity any account statement or information contained therein for any

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candidate, former candidate, officeholder, party, or political action committee. Provided, as to

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state and municipal political parties, the requirements of this subsection (c)(2) shall apply to the

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annual report required pursuant to § 17-25-7.

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     (d) (1) There shall be no obligation to file the reports of expenditures required by this

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section on behalf of, or in opposition to, a candidate if the total amount to be expended in behalf

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of the candidacy by the candidate, by any political party committee, by any political action

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committee, or by any person shall not in the aggregate exceed one thousand dollars ($1,000).

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     (2) However, even though the aggregate amount expended on behalf of the candidacy

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does not exceed one thousand dollars ($1,000), reports must be made listing the source and

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amounts of all contributions in excess of a total of one hundred dollars ($100) from any one

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source within a calendar year. Even though the aggregate amount expended on behalf of the

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candidacy does not exceed one thousand dollars ($1,000) and no contribution from any one

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source within a calendar year exceeds one hundred dollars ($100), the report shall state the

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aggregate amount of all contributions received. In addition, the report shall state the amount of

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aggregate contributions that were from individuals, the amount from political action committees,

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and the amount from political party committees.

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     (e) On or before the first date for filing contribution and expenditure reports, the

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campaign treasurer may file a sworn statement that the treasurer will accept no contributions in

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excess of one hundred dollars ($100) from a single source within a calendar year nor make

 

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aggregate expenditures in excess of the minimum amounts for which a report is required by this

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chapter one thousand dollars ($1,000) within the calendar year. Provided, however, that for the

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purposes of this section only, aggregate loans or contributions by a candidate to their own

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campaign, or aggregate contributions received in-kind from the political party committee of the

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candidate may exceed one hundred dollars ($100) within the calendar year. Thereafter, the

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campaign treasurer shall be excused from filing all the reports for that campaign, other than the

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final report due on the twenty-eighth (28th) day following the election by January 31 of the year

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next following the year for which the sworn statement is filed.

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     (f) A campaign treasurer must file a report containing an account of contributions

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received and expenditures made at the ninety-day (90) intervals provided for in subsection (c) of

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this section for any ninety-day (90) period in which the campaign received contributions in excess

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of a total of one hundred dollars ($100) within a calendar year from any one source and/or made

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expenditures in excess of one thousand dollars ($1,000) within a calendar year; however, the time

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to file under this subsection shall be no later than the last day of the month following the ninety-

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day (90) period, except when the last day of the month filing deadline following the ninety-day

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(90) reporting period occurs less than twenty-eight (28) days before an election, in which case the

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report shall be filed pursuant to the provisions of subdivisions (a)(1) and (2) of this section.

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Provided, however, if the last day of the month falls on a weekend or a holiday, the report shall be

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due on the following business day.

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     (g) (1) The board of elections may, for good cause shown and upon the receipt of a

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written or electronic request, grant a seven-day (7) extension for filing a report; provided, that the

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request must be received no later than the date upon which the report is due to be filed.

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     (2) Any person or entity required to file reports with the board of elections pursuant to

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this section and who or that has not filed the report by the required date, unless granted an

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extension pursuant to subdivision (1) of this subsection, shall be fined twenty-five dollars

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($25.00); provided that in the case when a candidate has not filed the report by the required date,

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the fine shall be assessed against the candidate; and in all other instances, the fine shall be

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assessed against the treasurer of the political action committee or political party committee

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required to file such report. Notwithstanding any of the provisions of this section, the board of

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elections shall have the authority to waive late filing fees for good cause shown.

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     (3) The board of elections shall send a notice of non-compliance, by certified mail, to any

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person or entity who or that fails to file the reports required by this section. A person or entity

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who or that is sent a notice of non-compliance and fails to file the required report within seven (7)

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days of the receipt of the notice, shall be fined two dollars ($2.00) per day from the day of receipt

 

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of the notice of non-compliance until the day the report has been received by the state board);

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provided, that in the case when a candidate has not filed the report by the required date, the fine

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shall be assessed against the candidate; and in all other instances, the fine shall be assessed

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against the treasurer of the political action committee or political party committee required to file

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such report. Notwithstanding any of the provisions of this section, the board of elections shall

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have the authority to waive late filing fees for good cause shown.

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     (h) The maximum fine that may be assessed by the board of elections against a person or

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entity required to file reports pursuant to this section shall be no greater than one thousand dollars

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($1,000) for any one report which is filed later than the prescribed date. Notwithstanding any of

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the provisions of this section, the board of elections shall have the authority to waive late filing

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fees for good cause shown.

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     (i)(1) In the event that any candidate, political action committee or political party

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committee fails to file any report within the time required by this section, or files a report that

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does not comply with each of the requirements of this chapter, the board staff shall notify the

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person in writing of the delinquency and provide the person or treasurer with fourteen (14) days

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from the date of the delinquency notice to either file the report or amend the report, or to request a

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hearing before the board.

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     When the report or amended report has not been filed within fourteen (14) days from the

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notice of delinquency, the board must either initiate a civil action against the candidate, or the

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treasurer of the political action committee or political party committee, or refer the matter to the

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attorney general for further consideration.

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     (2) In addition to all other remedies, fines and penalties provided in this chapter, the

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name of any candidate who fails to file their report after the commencement of a civil action or

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referral to the attorney general must not appear on any state or local ballot until and unless the

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delinquency has been remedied to the satisfaction of the board of elections or the superior court.

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The board of elections must notify the secretary of state of the names of those candidates against

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whom civil proceedings for failure to file have been initiated and must do so within three (3)

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business days following the filing of the civil action or the referral to the attorney general.

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     (3) Any candidate who is disqualified from appearing on any state or local ballot as set

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forth above shall be ineligible to be nominated or elected as a write-in candidate unless the

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candidate shall have filed the reports which are the subject of the civil proceedings or referral to

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the attorney general by the date of the primary, general or special election in which the candidate

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is seeking nomination or election.

 

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO ELECTIONS - CAMPAIGN FINANCE

***

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     This act would require, upon the dissolution of a campaign account, the campaign to file

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a paper copy of its most recent financial account statement. It would allow a candidate who funds

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their own campaign or who receives in-kind contributions from their political party in excess of

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one hundred dollars ($100) within the calendar year, to qualify for an annual report filing

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exemption. It would also assign financial liability to a political committee treasurer for a late

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filing fee fine and establishes a maximum late filing fee for any campaign finance report. The act

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would authorize the board of elections to initiate civil court proceedings to compel a candidate to

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file a required report, with the candidate's failure to file resulting in their name not appearing on

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the ballot.

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     This act would take effect upon passage.

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