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HF 2114

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
  1.1                          A bill for an act 
  1.2             relating to elections; providing for "clean money" 
  1.3             campaigns funded without special interest money; 
  1.4             expanding certain definitions; requiring certain 
  1.5             campaign finance reports to be filed and published 
  1.6             electronically; requiring notice of independent 
  1.7             expenditures; requiring reports of excess spending by 
  1.8             candidates who do not agree to limit spending; 
  1.9             reducing certain contribution limits and spending 
  1.10            limits; limiting independent expenditures by political 
  1.11            parties on behalf of their own candidates as a 
  1.12            condition of receiving a public subsidy; imposing 
  1.13            campaign contribution and spending limits on political 
  1.14            party caucuses as a condition of receiving a public 
  1.15            subsidy; limiting multicandidate expenditures by 
  1.16            political parties; increasing public subsidies for 
  1.17            candidates who agree to lower contribution limits; 
  1.18            increasing spending limits and public subsidies to 
  1.19            respond to independent expenditures and excess 
  1.20            spending by nonparticipating candidates; repealing the 
  1.21            income tax checkoff for election campaigns; increasing 
  1.22            the maximum political contribution refund from $50 to 
  1.23            $100; imposing criminal penalties; appropriating 
  1.24            money; amending Minnesota Statutes 2000, sections 
  1.25            10A.01, subdivisions 18, 21, and by adding a 
  1.26            subdivision; 10A.02, subdivision 11a; 10A.14, 
  1.27            subdivision 2; 10A.20, subdivisions 2, 6b, and by 
  1.28            adding subdivisions; 10A.25, subdivisions 1, 2, 2a, 
  1.29            10, and by adding subdivisions; 10A.257, subdivision 
  1.30            1; 10A.27, subdivisions 1, 11, and by adding 
  1.31            subdivisions; 10A.275, subdivision 1; 10A.28, 
  1.32            subdivisions 1 and 2; 10A.315; 10A.322; 200.02, 
  1.33            subdivision 7, and by adding a subdivision; and 
  1.34            290.06, subdivision 23; proposing coding for new law 
  1.35            in Minnesota Statutes, chapter 10A; repealing 
  1.36            Minnesota Statutes 2000, sections 10A.25, subdivision 
  1.37            6; and 10A.31.  
  1.38  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.39     Section 1.  [LEGISLATIVE FINDINGS; PURPOSE.] 
  1.40     Subdivision 1.  [LEGISLATIVE FINDINGS.] The legislature 
  1.41  finds that while this state has a system of partial public 
  2.1   financing of campaigns, our current system still encourages 
  2.2   large amounts of private money to be used to finance campaigns.  
  2.3   This private money undermines democracy in the following ways:  
  2.4      (a) It stifles the First Amendment, which was designed "to 
  2.5   secure the widest possible dissemination of information from 
  2.6   diverse and antagonistic sources," and "to assure the unfettered 
  2.7   interchange of ideas for the bringing about of political and 
  2.8   social changes desired by the people."  Instead, heavy funding 
  2.9   of certain candidates and interests discourages other candidates 
  2.10  from running and prevents many perspectives from receiving any 
  2.11  dissemination whatsoever.  In addition, after a certain point, 
  2.12  more spending does not create more speech but has the opposite 
  2.13  impact, overwhelming the public and causing them to tune out 
  2.14  speech from any candidate. 
  2.15     (b) It undermines the First Amendment right of voters to 
  2.16  hear speech from all candidates and all perspectives and 
  2.17  undermines the core First Amendment value of open and robust 
  2.18  debate in the political process. 
  2.19     (c) It inhibits communication with the electorate by 
  2.20  candidates without access to large sums of campaign money. 
  2.21     (d) It burdens elected officials and candidates with 
  2.22  endless hours of fundraising, thus decreasing the time available 
  2.23  to carry out their public responsibilities. 
  2.24     (e) It discourages people from participating in the 
  2.25  political process.  A 1998 poll conducted by St. Cloud State 
  2.26  University found that, because of their belief that contributors 
  2.27  have more influence than noncontributors do, one-third of 
  2.28  respondents are "less likely to vote or participate in politics."
  2.29  Over half of those who said that they did not vote in the 1996 
  2.30  election said they were less likely to vote or participate 
  2.31  because of this belief. 
  2.32     (f) It violates the rights of citizens to equal and 
  2.33  meaningful participation in the democratic process. 
  2.34     (g) It creates a public perception of corruption and 
  2.35  undermines public confidence in the democratic process and 
  2.36  democratic institutions.  This perception is held by almost nine 
  3.1   out of ten Minnesotans.  The 1998 St. Cloud State University 
  3.2   poll showed that 88 percent of all Minnesotans believe elected 
  3.3   officials are more responsive to contributors than to voters who 
  3.4   do not contribute. 
  3.5      (h) It not only creates a perception of corruption, but 
  3.6   actually encourages elected officials to take money from private 
  3.7   interests that are directly affected by governmental actions. 
  3.8      (i) It diminishes the perceived, and perhaps the real, 
  3.9   accountability of elected officials to their constituents by 
  3.10  giving them incentives to be accountable to major campaign 
  3.11  contributors instead. 
  3.12     (j) It undermines the integrity of the election process by 
  3.13  making it difficult for qualified candidates without access to 
  3.14  large contributors or personal fortunes to mount competitive 
  3.15  campaigns and discourages them from running. 
  3.16     (k) It undermines the integrity of the election process by 
  3.17  placing challengers at a disadvantage, because large campaign 
  3.18  contributors tend to give their money to incumbents, thus 
  3.19  causing elections to be less competitive. 
  3.20     (l) It costs taxpayers millions of dollars for the 
  3.21  legislative and regulatory decisions made by elected officials 
  3.22  on behalf of major campaign contributors. 
  3.23     The legislature finds each of these defects on its own has 
  3.24  a corrosive impact on our democracy either by corrupting the 
  3.25  political process or by creating the appearance of corruption.  
  3.26  Accordingly, the state has a compelling interest in addressing 
  3.27  them through this act. 
  3.28     Subd. 2.  [PURPOSE.] This act is intended to enable 
  3.29  campaigns to be conducted without special interest money and to 
  3.30  restore the First Amendment rights of nonwealthy candidates by 
  3.31  enabling them to disseminate their views without being drowned 
  3.32  out by heavily funded independent expenditures or ads by 
  3.33  opposing campaigns that they cannot respond to for lack of money.
  3.34     This act is designed to create benefits for participating 
  3.35  candidates and political parties to compensate for the 
  3.36  restrictions applied to them and to further the compelling state 
  4.1   interest of encouraging participation in this system of 
  4.2   financing campaigns without special interest money. 
  4.3      Sec. 2.  Minnesota Statutes 2000, section 10A.01, is 
  4.4   amended by adding a subdivision to read: 
  4.5      Subd. 16a.  [EXPRESSLY ADVOCATING.] (a) "Expressly 
  4.6   advocating" means: 
  4.7      (1) using a phrase such as "vote for," "reelect," 
  4.8   "support," "cast your ballot for," "(name of candidate) for 
  4.9   Senate," "(name of candidate) in (year)," "vote against," 
  4.10  "defeat," or "reject," or a campaign slogan or words that in 
  4.11  context can have no reasonable meaning other than to advocate 
  4.12  the election or defeat of one or more clearly identified 
  4.13  candidates; 
  4.14     (2) referring to one or more clearly identified candidates 
  4.15  in a paid advertisement that is transmitted through radio or 
  4.16  television within 60 days before the date of an election for the 
  4.17  candidate; or 
  4.18     (3) expressing unmistakable and unambiguous support for or 
  4.19  opposition to one or more clearly identified candidates when 
  4.20  taken as a whole and with limited reference to external events, 
  4.21  such as proximity to an election. 
  4.22     (b) "Expressly advocating" does not include a communication 
  4.23  that is in printed form or posted on the Internet that: 
  4.24     (1) presents information solely about the voting record or 
  4.25  position on a campaign issue of one or more candidates, 
  4.26  including a statement by the sponsor of the voting record or 
  4.27  voting guide of its agreement or disagreement with the record or 
  4.28  position of a candidate, so long as the voting record or voting 
  4.29  guide when taken as a whole does not express unmistakable and 
  4.30  unambiguous support for or opposition to one or more clearly 
  4.31  identified candidates; 
  4.32     (2) is not coordinated activity or is not made in 
  4.33  coordination with a candidate, political party, or agent of the 
  4.34  candidate or party, or a candidate's agent or a person who is 
  4.35  coordinating with a candidate or a candidate's agent, except 
  4.36  that nothing in this clause prevents the sponsor of the voting 
  5.1   guide from directing questions in writing to a candidate about 
  5.2   the candidate's position on issues for purposes of preparing a 
  5.3   voter guide or to prevent the candidate from responding in 
  5.4   writing to the questions; and 
  5.5      (3) does not contain a phrase such as "vote for," 
  5.6   "reelect," "cast your ballot for," "(name of candidate) for 
  5.7   Senate," "(name of candidate) in (year)," "vote against," 
  5.8   "defeat," or "reject," or a campaign slogan or words that in 
  5.9   context can have no reasonable meaning other than to urge the 
  5.10  election or defeat of one or more clearly identified candidates. 
  5.11     Sec. 3.  Minnesota Statutes 2000, section 10A.01, 
  5.12  subdivision 18, is amended to read: 
  5.13     Subd. 18.  [INDEPENDENT EXPENDITURE.] "Independent 
  5.14  expenditure" means an expenditure expressly advocating the 
  5.15  nomination, election, or defeat of a clearly identified 
  5.16  candidate, if the expenditure is made without the express or 
  5.17  implied consent, authorization, or cooperation of, and not in 
  5.18  concert with or at the request or suggestion of, any candidate 
  5.19  or any candidate's principal campaign committee or agent.  An 
  5.20  independent expenditure is not a contribution to that 
  5.21  candidate.  An expenditure by a political party or political 
  5.22  party unit in a race where the political party has a candidate 
  5.23  on the ballot is not an independent expenditure. 
  5.24     Sec. 4.  Minnesota Statutes 2000, section 10A.01, 
  5.25  subdivision 21, is amended to read: 
  5.26     Subd. 21.  [LOBBYIST.] (a) "Lobbyist" means an individual: 
  5.27     (1) engaged for pay or other consideration, or authorized 
  5.28  to spend money by another individual, association, political 
  5.29  subdivision, or public higher education system, who spends more 
  5.30  than five hours in any month or more than $250, not including 
  5.31  the individual's own travel expenses and membership dues, in any 
  5.32  year, of more than $500 in any year for the purpose of 
  5.33  attempting to influence legislative or administrative action, or 
  5.34  the official action of a metropolitan governmental unit, by 
  5.35  communicating or urging others to communicate with public or 
  5.36  local officials; or 
  6.1      (2) who spends more than $250, not including the 
  6.2   individual's own traveling expenses and membership dues, in any 
  6.3   year for the purpose of attempting to influence legislative or 
  6.4   administrative action, or the official action of a metropolitan 
  6.5   governmental unit, by communicating or urging others to 
  6.6   communicate with public or local officials. 
  6.7      (b) "Lobbyist" does not include: 
  6.8      (1) a public official; 
  6.9      (2) an employee of the state, including; 
  6.10     (3) an employee of any of the public higher education 
  6.11  systems, unless the employee of a public higher education system 
  6.12  spends more than 50 hours in any month attempting to influence 
  6.13  legislative or administrative action, or the official action of 
  6.14  a metropolitan governmental unit, by communicating or urging 
  6.15  others to communicate with public or local officials, including 
  6.16  time spent monitoring legislative or administrative action, or 
  6.17  the official action of a metropolitan governmental unit, and 
  6.18  related research, analysis, and compilation and dissemination of 
  6.19  information relating to legislative or administrative policy in 
  6.20  this state, or to the policies of metropolitan governmental 
  6.21  units; 
  6.22     (3) (4) an elected local official; 
  6.23     (4) (5) a nonelected local official or an employee of a 
  6.24  political subdivision acting in an official capacity, unless the 
  6.25  nonelected official or employee of a political subdivision 
  6.26  spends more than 50 hours in any month attempting to influence 
  6.27  legislative or administrative action, or the official action of 
  6.28  a metropolitan governmental unit other than the political 
  6.29  subdivision employing the official or employee, by communicating 
  6.30  or urging others to communicate with public or local officials, 
  6.31  time spent monitoring legislative or administrative action, or 
  6.32  the official action of a metropolitan governmental unit, and 
  6.33  related research, analysis, and compilation and dissemination of 
  6.34  information relating to legislative or administrative policy in 
  6.35  this state, or to the policies of metropolitan governmental 
  6.36  units; 
  7.1      (5) (6) a party or the party's representative appearing in 
  7.2   a proceeding before a state board, commission, or agency of the 
  7.3   executive branch unless the board, commission, or agency is 
  7.4   taking administrative action; 
  7.5      (6) (7) an individual while engaged in selling goods or 
  7.6   services to be paid for by public funds; 
  7.7      (7) (8) a news medium or its employees or agents while 
  7.8   engaged in the publishing or broadcasting of news items, 
  7.9   editorial comments, or paid advertisements which directly or 
  7.10  indirectly urge official action; 
  7.11     (8) (9) a paid expert witness whose testimony is requested 
  7.12  by the body before which the witness is appearing, but only to 
  7.13  the extent of preparing or delivering testimony; or 
  7.14     (9) (10) a party or the party's representative appearing to 
  7.15  present a claim to the legislature and communicating to 
  7.16  legislators only by the filing of a claim form and supporting 
  7.17  documents and by appearing at public hearings on the claim. 
  7.18     Sec. 5.  Minnesota Statutes 2000, section 10A.02, 
  7.19  subdivision 11a, is amended to read: 
  7.20     Subd. 11a.  [DATA PRIVACY.] (a) If, after making a public 
  7.21  finding concerning probable cause or entering a conciliation 
  7.22  agreement, the board determines that the record of the 
  7.23  investigation contains statements, documents, or other matter 
  7.24  that, if disclosed, would unfairly injure the reputation of an 
  7.25  innocent individual, the board may: 
  7.26     (1) retain the statement, document, or other matter as a 
  7.27  private record, as defined in section 13.02, subdivision 12, for 
  7.28  a period of one year, after which it must be destroyed; or 
  7.29     (2) return the statement, document, or other matter to the 
  7.30  individual who supplied it to the board. 
  7.31     (b) When publishing reports or statements on its Web site, 
  7.32  the board must not publish the home street address or telephone 
  7.33  number of an individual. 
  7.34     Sec. 6.  Minnesota Statutes 2000, section 10A.14, 
  7.35  subdivision 2, is amended to read: 
  7.36     Subd. 2.  [FORM.] The statement of organization must 
  8.1   include: 
  8.2      (1) the name and address of the committee, fund, or party 
  8.3   unit; 
  8.4      (2) the name and address of the chair of a political 
  8.5   committee, principal campaign committee, or party unit; 
  8.6      (3) the name and address of any supporting association of a 
  8.7   political fund; 
  8.8      (4) the name and address of the treasurer and any deputy 
  8.9   treasurers and, for a principal campaign committee, any other 
  8.10  individual authorized to accept contributions on behalf of the 
  8.11  principal campaign committee; 
  8.12     (5) a listing of all depositories or safety deposit boxes 
  8.13  used; and 
  8.14     (6) for the state committee of a political party only, a 
  8.15  list of its party units. 
  8.16     Sec. 7.  Minnesota Statutes 2000, section 10A.20, is 
  8.17  amended by adding a subdivision to read: 
  8.18     Subd. 1a.  [MANNER OF FILING; PUBLICATION.] If 
  8.19  contributions or expenditures exceed $5,000 in a year, the 
  8.20  report must be filed with the board in an electronic format 
  8.21  approved by the board.  Regardless of whether the report is 
  8.22  filed electronically, the board must publish the report on its 
  8.23  Web site within seven days after the date it was due.  The 
  8.24  publication must be in a form that permits a user of the Web 
  8.25  site to search the reports and prepare comparisons and 
  8.26  cross-tabulations among the various candidates, contributors, 
  8.27  vendors, and committees. 
  8.28     Sec. 8.  Minnesota Statutes 2000, section 10A.20, 
  8.29  subdivision 2, is amended to read: 
  8.30     Subd. 2.  [TIME FOR FILING.] (a) The reports must be filed 
  8.31  with the board on or before January 31 of each year and 
  8.32  additional reports must be filed as required and in accordance 
  8.33  with paragraphs (b) and, (c), and (d).  
  8.34     (b) In each year in which the name of the candidate is on 
  8.35  the ballot, the report of the principal campaign committee must 
  8.36  be filed 15 days before a primary and ten days before a general 
  9.1   election, seven days before a special primary and a special 
  9.2   election, and ten days after a special election cycle.  
  9.3      (c) In each general election year, a political committee, 
  9.4   political fund, or party unit must file reports 15 days before a 
  9.5   primary and ten days before a general election.  
  9.6      (d) A political committee or political fund that makes 
  9.7   independent expenditures related to a special election must file 
  9.8   reports on the independent expenditures seven days before the 
  9.9   special primary and special election and ten days after the 
  9.10  special election cycle. 
  9.11     Sec. 9.  Minnesota Statutes 2000, section 10A.20, 
  9.12  subdivision 6b, is amended to read: 
  9.13     Subd. 6b.  [INDEPENDENT EXPENDITURES; NOTICE.] (a) 
  9.14  Within 24 48 hours after an individual, political committee, or 
  9.15  political fund, principal campaign committee, or party unit 
  9.16  makes or becomes obligated by oral or written agreement to make 
  9.17  an independent expenditure in excess of $100 in a legislative 
  9.18  district election or $500 in a statewide election, other than an 
  9.19  expenditure by an association targeted to inform solely its own 
  9.20  dues-paying members of the association's position on a 
  9.21  candidate, the individual, political committee, or political 
  9.22  fund, principal campaign committee, or party unit must file with 
  9.23  the board an affidavit notifying the board a notice of the 
  9.24  intent to make the independent expenditure and serve provide a 
  9.25  copy of the affidavit on notice to each candidate in the 
  9.26  affected race and on to the treasurer of the candidate's 
  9.27  principal campaign committee.  The affidavit notice must contain 
  9.28  the information with respect to the expenditure that is required 
  9.29  to be reported under subdivision 3, paragraph (g); except that 
  9.30  if an expenditure is reported before it is made, the notice must 
  9.31  include a reasonable estimate of the anticipated amount.  The 
  9.32  notice must include an affidavit, under penalty of perjury, 
  9.33  signed and sworn to by the individual or by the treasurer of the 
  9.34  committee, fund, or party unit identifying the candidate in 
  9.35  support of or opposition to whom the expenditure is made and 
  9.36  affirming that the expenditure was independent and involved no 
 10.1   cooperation or coordination with a candidate or a political 
 10.2   party.  Each new expenditure requires a new notice. 
 10.3      (b) During the last three weeks before the primary election 
 10.4   and during the last three weeks before the general election, the 
 10.5   notice must be filed within 24 hours after making or becoming 
 10.6   obligated to make the independent expenditure. 
 10.7      (c) An individual or association may file a complaint with 
 10.8   the board that a required notice was not filed or that a notice 
 10.9   filed under this subdivision is false.  The board must determine 
 10.10  the complaint promptly.  If the board determines that a notice 
 10.11  was false and the board has distributed a public subsidy to a 
 10.12  candidate based on the false notice, the candidate must return 
 10.13  the subsidy to the board. 
 10.14     (d) An individual or the treasurer of a political committee 
 10.15  or, political fund, principal campaign committee, or party unit 
 10.16  who fails to give notice as required by this subdivision, or who 
 10.17  files a false affidavit of notice, is guilty of a gross 
 10.18  misdemeanor and is subject to a civil fine of up to four times 
 10.19  the amount of the independent expenditure stated in the notice 
 10.20  or of which notice was required, whichever is greater. 
 10.21     Sec. 10.  Minnesota Statutes 2000, section 10A.20, is 
 10.22  amended by adding a subdivision to read: 
 10.23     Subd. 6c.  [EXCESS SPENDING REPORTS.] The treasurer of the 
 10.24  principal campaign committee of a candidate who has not signed a 
 10.25  spending limit agreement under section 10A.322 must file with 
 10.26  the board a report disclosing the sum of all expenditures made 
 10.27  by or on behalf of the committee that exceed the expenditure 
 10.28  limit for any opponent of the candidate who has signed a 
 10.29  spending limit agreement under section 10A.322 within 48 hours 
 10.30  after the spending exceeds the spending limit by more than $100 
 10.31  for a candidate for legislative office or $500 for a candidate 
 10.32  for statewide office.  The treasurer must file an additional 
 10.33  report within 48 hours after spending any additional amounts 
 10.34  that exceed the participating candidate's spending limit. 
 10.35     Sec. 11.  Minnesota Statutes 2000, section 10A.25, 
 10.36  subdivision 1, is amended to read: 
 11.1      Subdivision 1.  [LIMITS ARE VOLUNTARY.] (a) The expenditure 
 11.2   limits imposed by this section on a candidate apply only to a 
 11.3   candidate who has signed an agreement under section 10A.322 to 
 11.4   be bound by them as a condition of receiving a public subsidy 
 11.5   for the candidate's campaign. 
 11.6      (b) The prohibition imposed by this section on a political 
 11.7   party applies only to a political party that has signed an 
 11.8   agreement under section 10A.322 to be bound by it as a condition 
 11.9   of receiving a public subsidy for the party's activities. 
 11.10     (c) The expenditure limits imposed by this section on a 
 11.11  party caucus in a house of the legislature apply only to a party 
 11.12  caucus that has signed and filed an agreement under section 
 11.13  10A.322 to be bound by them as a condition of receiving a public 
 11.14  subsidy for the caucus's activities. 
 11.15     Sec. 12.  Minnesota Statutes 2000, section 10A.25, 
 11.16  subdivision 2, is amended to read: 
 11.17     Subd. 2.  [AMOUNTS.] (a) In a year in which During an 
 11.18  election is held for an office sought by a candidate cycle, the 
 11.19  principal campaign committee of the candidate must not make 
 11.20  campaign expenditures nor permit approved expenditures to be 
 11.21  made on behalf of the candidate that result in aggregate 
 11.22  expenditures in excess of the following: 
 11.23     (1) for governor and lieutenant governor, running together, 
 11.24  $1,626,691 $1,800,000; 
 11.25     (2) for attorney general, $271,116 $350,000; 
 11.26     (3) for secretary of state and state auditor, separately, 
 11.27  $135,559 $175,000; 
 11.28     (4) for state senator, $40,669 $45,000; and 
 11.29     (5) for state representative, $20,335 $25,000. 
 11.30     (b) In addition to the amount in paragraph (a), clause (1), 
 11.31  a candidate for endorsement for the office of lieutenant 
 11.32  governor at the convention of a political party may make 
 11.33  campaign expenditures and approved expenditures of five percent 
 11.34  of that amount to seek endorsement.  
 11.35     (c) If a special election cycle occurs during a general 
 11.36  election cycle, expenditures by or on behalf of a candidate in 
 12.1   the special election do not count as expenditures by or on 
 12.2   behalf of the candidate in the general election. 
 12.3      (d) The expenditure limits in this subdivision for an 
 12.4   office are increased by ten percent for a candidate who is 
 12.5   running for that office for the first time and who has not run 
 12.6   previously for any other office whose territory now includes a 
 12.7   population that is more than one-third of the population in the 
 12.8   territory of the new office. 
 12.9      (e) The expenditure limits in this subdivision for a 
 12.10  participating candidate are increased by the sum of expenditures 
 12.11  by a nonparticipating opponent of the candidate, as reported to 
 12.12  the board under section 10A.20, subdivision 2, 6, or 6c, in 
 12.13  excess of the participating candidate's original spending limit. 
 12.14     (f) The expenditure limits in this subdivision for a 
 12.15  candidate are increased by the sum of independent expenditures 
 12.16  made in opposition to the candidate plus independent 
 12.17  expenditures made in support of the candidate's major political 
 12.18  party opponents, as reported to the board under section 10A.20, 
 12.19  subdivision 2, 6, or 6b. 
 12.20     Sec. 13.  Minnesota Statutes 2000, section 10A.25, 
 12.21  subdivision 2a, is amended to read: 
 12.22     Subd. 2a.  [AGGREGATED EXPENDITURES.] If a candidate makes 
 12.23  expenditures from more than one principal campaign committee for 
 12.24  nomination or election to statewide office in the same 
 12.25  election year cycle, the amount of expenditures from all of the 
 12.26  candidate's principal campaign committees for statewide office 
 12.27  for that election year cycle must be aggregated for purposes of 
 12.28  applying the limits on expenditures under subdivision 2. 
 12.29     Sec. 14.  Minnesota Statutes 2000, section 10A.25, 
 12.30  subdivision 10, is amended to read: 
 12.31     Subd. 10.  [EFFECT OF OPPONENT'S CONDUCT.] (a) A candidate 
 12.32  who has agreed to be bound by the expenditure limits imposed by 
 12.33  this section as a condition of receiving a public subsidy for 
 12.34  the candidate's campaign is may choose to be released from the 
 12.35  expenditure limits but remains remain eligible to receive a 
 12.36  public subsidy if the candidate has an opponent who does has not 
 13.1   agree agreed to be bound by the limits and receives has received 
 13.2   contributions or makes made or becomes become obligated to make 
 13.3   expenditures during that election cycle in excess of the 
 13.4   following limits: 
 13.5      (1) up to ten days during the reporting period before the 
 13.6   primary election, receipts or expenditures equal to 20 percent 
 13.7   of the expenditure limit for that office as set forth in 
 13.8   subdivision 2; or 
 13.9      (2) after ten days before the primary election that 
 13.10  reporting period, cumulative receipts or expenditures during 
 13.11  that election cycle equal to 50 percent of the expenditure limit 
 13.12  for that office as set forth in subdivision 2. 
 13.13     For purposes of this subdivision, before the primary 
 13.14  election, a candidate's "opponents" are only those who will 
 13.15  appear on the ballot of the same party in the primary election. 
 13.16     (b) A candidate who has not agreed to be bound by 
 13.17  expenditure limits, or the candidate's principal campaign 
 13.18  committee, must file written notice with the board and provide 
 13.19  written notice to any opponent of the candidate for the same 
 13.20  office within 24 hours of exceeding either of the limits in 
 13.21  paragraph (a), clause (2).  The notice must state only that the 
 13.22  candidate or candidate's principal campaign committee has 
 13.23  received contributions or made or become obligated to make 
 13.24  campaign expenditures in excess of the limits a limit in 
 13.25  paragraph (a), clause (2).  
 13.26     (c) Upon receipt of the notice, the a candidate who had 
 13.27  agreed to be bound by the limits is may file with the board a 
 13.28  notice that the candidate chooses to be no longer bound by the 
 13.29  expenditure limits.  A notice of a candidate's choice not to be 
 13.30  bound by the expenditure limits that is based on the conduct of 
 13.31  an opponent in the state primary election may not be filed more 
 13.32  than one day after the state canvassing board has declared the 
 13.33  results of the state primary. 
 13.34     (d) A candidate who has agreed to be bound by the 
 13.35  expenditure limits imposed by this section and whose opponent in 
 13.36  the general election has chosen, as provided in paragraph (c), 
 14.1   not to be bound by the expenditure limits because of the conduct 
 14.2   of an opponent in the primary election is no longer bound by the 
 14.3   limits but remains eligible to receive a public subsidy. 
 14.4      Sec. 15.  Minnesota Statutes 2000, section 10A.25, is 
 14.5   amended by adding a subdivision to read: 
 14.6      Subd. 14.  [INDEPENDENT EXPENDITURES BY CANDIDATES.] A 
 14.7   candidate's principal campaign committee must not make an 
 14.8   independent expenditure on behalf of another principal campaign 
 14.9   committee. 
 14.10     Sec. 16.  Minnesota Statutes 2000, section 10A.25, is 
 14.11  amended by adding a subdivision to read: 
 14.12     Subd. 15.  [EXPENDITURES BY POLITICAL PARTIES.] A political 
 14.13  party or party unit must not make an independent expenditure or 
 14.14  transfer money to its national party. 
 14.15     Sec. 17.  Minnesota Statutes 2000, section 10A.25, is 
 14.16  amended by adding a subdivision to read: 
 14.17     Subd. 16.  [LIMITS ON PARTY CAUCUSES.] (a) In a year in 
 14.18  which a general election is held for a house of the legislature, 
 14.19  the members of a party caucus in that house must not make 
 14.20  campaign expenditures that result in aggregate expenditures in 
 14.21  excess of $500,000.  
 14.22     (b) During an election cycle, in any year before the 
 14.23  general election year for a house of the legislature, the 
 14.24  members of a party caucus in that house must not make campaign 
 14.25  expenditures that exceed 20 percent of the general election year 
 14.26  limit. 
 14.27     (c) A party caucus in a house of the legislature that has 
 14.28  agreed to be bound by the expenditure limits imposed by this 
 14.29  subdivision as a condition of receiving a public subsidy is 
 14.30  released from the expenditure limits but remains eligible to 
 14.31  receive a public subsidy if another party caucus in the same 
 14.32  house of the legislature has not agreed to be bound by the 
 14.33  limits and has received contributions or made or become 
 14.34  obligated to make expenditures during that election cycle in 
 14.35  excess of 50 percent of the expenditure limit set forth in 
 14.36  paragraph (a). 
 15.1      (d) A party caucus in a house of the legislature that has 
 15.2   not agreed to be bound by the limits must file written notice 
 15.3   with the board and provide written notice to every other party 
 15.4   caucus in the same house of the legislature within 24 hours 
 15.5   after exceeding the limit in paragraph (c).  The notice must 
 15.6   state only that the party caucus has received contributions or 
 15.7   made or become obligated to make campaign expenditures in excess 
 15.8   of the limit in paragraph (c).  Upon receipt of the notice, a 
 15.9   party caucus that had agreed to be bound by the limits is no 
 15.10  longer bound by the expenditure limits but remains eligible to 
 15.11  receive a public subsidy. 
 15.12     Sec. 18.  Minnesota Statutes 2000, section 10A.257, 
 15.13  subdivision 1, is amended to read: 
 15.14     Subdivision 1.  [UNUSED FUNDS.] After all campaign 
 15.15  expenditures and noncampaign disbursements for an election cycle 
 15.16  have been made, an amount up to 50 percent of the election year 
 15.17  expenditure limit for the office may be carried forward.  Any 
 15.18  remaining amount up to the total amount of the public subsidy 
 15.19  from the state elections campaign fund must be returned to the 
 15.20  state treasury for credit to the general fund under section 
 15.21  10A.324.  Any remaining amount in excess of the total public 
 15.22  subsidy must be contributed to the state elections campaign fund 
 15.23  or a political party for multicandidate expenditures as defined 
 15.24  in section 10A.275. 
 15.25     Sec. 19.  Minnesota Statutes 2000, section 10A.27, 
 15.26  subdivision 1, is amended to read: 
 15.27     Subdivision 1.  [CONTRIBUTION LIMITS.] (a) Except as 
 15.28  provided in subdivision subdivisions 1a and 2, a candidate must 
 15.29  not permit the candidate's principal campaign committee to 
 15.30  accept aggregate contributions made or delivered by any 
 15.31  individual, political committee, or political fund in excess of 
 15.32  the following: 
 15.33     (1) to candidates for governor and lieutenant governor 
 15.34  running together, $2,000 $1,000 in an election year for the 
 15.35  office sought and $500 in other years cycle; 
 15.36     (2) to a candidate for attorney general, $1,000 in an 
 16.1   election year for the office sought and $200 in other years 
 16.2   cycle; 
 16.3      (3) to a candidate for the office of secretary of state or 
 16.4   state auditor, $500 in an election year for the office sought 
 16.5   and $100 in other years cycle; 
 16.6      (4) to a candidate for state senator, $500 in an election 
 16.7   year for the office sought and $100 in other years cycle; and 
 16.8      (5) to a candidate for state representative, $500 in an 
 16.9   election year for the office sought and $100 in the other 
 16.10  year cycle. 
 16.11     (b) The following deliveries are not subject to the 
 16.12  bundling limitation in this subdivision: 
 16.13     (1) delivery of contributions collected by a member of the 
 16.14  candidate's principal campaign committee, such as a block worker 
 16.15  or a volunteer who hosts a fund raising event, to the 
 16.16  committee's treasurer registered with the board to accept 
 16.17  contributions on behalf of the committee; and 
 16.18     (2) a delivery made by an individual on behalf of the 
 16.19  individual's spouse.  
 16.20     Sec. 20.  Minnesota Statutes 2000, section 10A.27, is 
 16.21  amended by adding a subdivision to read: 
 16.22     Subd. 1a.  [LIMIT ON CANDIDATES WHO AGREE TO SPENDING 
 16.23  LIMIT.] A candidate who has signed a spending limit agreement 
 16.24  under section 10A.322 must not permit the candidate's principal 
 16.25  campaign committee to accept aggregate contributions made or 
 16.26  delivered by an individual in excess of $100 in any year or by a 
 16.27  political committee, political fund, party unit, or lobbyist in 
 16.28  any amount. 
 16.29     The following deliveries are not subject to the bundling 
 16.30  limitation in this subdivision: 
 16.31     (1) delivery of contributions collected by a member of the 
 16.32  candidate's principal campaign committee registered with the 
 16.33  board to accept contributions on behalf of the committee; and 
 16.34     (2) a delivery made by an individual on behalf of the 
 16.35  individual's spouse.  
 16.36     Sec. 21.  Minnesota Statutes 2000, section 10A.27, 
 17.1   subdivision 11, is amended to read: 
 17.2      Subd. 11.  [CONTRIBUTIONS FROM CERTAIN TYPES OF 
 17.3   CONTRIBUTORS.] A candidate must not permit the candidate's 
 17.4   principal campaign committee to accept a contribution from a 
 17.5   political committee, political fund, party unit, lobbyist, or 
 17.6   large contributor, if the contribution will cause the aggregate 
 17.7   contributions from those types of contributors to exceed an 
 17.8   amount equal to 20 percent of the expenditure limits for the 
 17.9   office sought by the candidate.  For purposes of this 
 17.10  subdivision, "large contributor" means an individual, other than 
 17.11  the candidate, who contributes an amount that is more than $100 
 17.12  and more than one-half the amount an individual may contribute. 
 17.13     Sec. 22.  Minnesota Statutes 2000, section 10A.27, is 
 17.14  amended by adding a subdivision to read: 
 17.15     Subd. 14.  [CONTRIBUTIONS TO PARTY CAUCUSES.] The chair of 
 17.16  a party caucus within a house of the legislature that is subject 
 17.17  to a spending limit agreement under section 10A.322 must not 
 17.18  permit the caucus to accept aggregate contributions made or 
 17.19  delivered by an individual in excess of $100 in any year or by a 
 17.20  political committee, political fund, party unit, or lobbyist in 
 17.21  any amount. 
 17.22     Sec. 23.  Minnesota Statutes 2000, section 10A.27, is 
 17.23  amended by adding a subdivision to read: 
 17.24     Subd. 15.  [CONTRIBUTIONS TO OTHER POLITICAL COMMITTEES OR 
 17.25  FUNDS.] The treasurer of a political committee, political fund, 
 17.26  or party unit must not permit the political committee, political 
 17.27  fund, or party unit to accept aggregate contributions from an 
 17.28  individual or association in an amount more than $500 in an 
 17.29  election cycle. 
 17.30     Sec. 24.  Minnesota Statutes 2000, section 10A.27, is 
 17.31  amended by adding a subdivision to read: 
 17.32     Subd. 16.  [AGGREGATE LIMIT ON INDIVIDUALS.] An individual 
 17.33  may not contribute more than $5,000 in aggregate contributions 
 17.34  for any purpose to all candidates, political committees, 
 17.35  political funds, and party units in an election cycle. 
 17.36     Sec. 25.  Minnesota Statutes 2000, section 10A.275, 
 18.1   subdivision 1, is amended to read: 
 18.2      Subdivision 1.  [EXCEPTIONS.] Notwithstanding other 
 18.3   provisions of this chapter, the following expenditures by a 
 18.4   party unit, or two or more party units acting together, with at 
 18.5   least one party unit being either:  the state committee or the 
 18.6   party organization within a congressional district, county, or 
 18.7   legislative district, are not considered contributions to or 
 18.8   expenditures on behalf of a candidate for the purposes of 
 18.9   section 10A.25 or 10A.27 and must not be allocated to candidates 
 18.10  under section 10A.20, subdivision 3, paragraph (g): 
 18.11     (1) expenditures on behalf of candidates of that party 
 18.12  generally without referring to any of them specifically in a 
 18.13  published, posted, or broadcast advertisement; 
 18.14     (2) expenditures for the preparation, display, mailing, or 
 18.15  other distribution of an official party sample ballot listing 
 18.16  the names of three or more individuals whose names are to appear 
 18.17  on the ballot; or 
 18.18     (3) expenditures for a telephone conversation including 
 18.19  mentioning with roughly equal emphasis the names of three or 
 18.20  more individuals whose names are to appear on the ballot; 
 18.21     (4) expenditures for a political party fundraising effort 
 18.22  on behalf of three or more candidates; or 
 18.23     (5) expenditures for party committee staff services that 
 18.24  benefit three or more candidates.  
 18.25     Sec. 26.  Minnesota Statutes 2000, section 10A.28, 
 18.26  subdivision 1, is amended to read: 
 18.27     Subdivision 1.  [EXCEEDING EXPENDITURE LIMITS.] (a) A 
 18.28  candidate subject to the expenditure limits in section 10A.25 
 18.29  who permits the candidate's principal campaign committee to make 
 18.30  expenditures or permits approved expenditures to be made on the 
 18.31  candidate's behalf in excess of the limits imposed by section 
 18.32  10A.25, as adjusted by section 10A.255, is subject to a civil 
 18.33  fine of up to four times the amount by which the expenditures 
 18.34  exceeded the limit. 
 18.35     (b) The chair of a political party or party unit subject to 
 18.36  the prohibition in section 10A.25 that makes expenditures in 
 19.1   violation of section 10A.25 is subject to a civil fine of up to 
 19.2   four times the amount of the expenditures. 
 19.3      (c) The chair of a party caucus within a house of the 
 19.4   legislature subject to the expenditure limits in section 10A.25 
 19.5   who permits the caucus to make expenditures in excess of the 
 19.6   limits imposed by section 10A.25, as adjusted by section 
 19.7   10A.255, is subject to a civil fine of up to four times the 
 19.8   amount by which the expenditures exceeded the limit. 
 19.9      Sec. 27.  Minnesota Statutes 2000, section 10A.28, 
 19.10  subdivision 2, is amended to read: 
 19.11     Subd. 2.  [EXCEEDING CONTRIBUTION LIMITS.] A candidate who 
 19.12  permits the candidate's principal campaign committee to accept 
 19.13  contributions in excess of the limits imposed by section 10A.27 
 19.14  is subject to a civil fine of up to four times the amount by 
 19.15  which the contribution exceeded the limits.  The chair of a 
 19.16  party caucus within a house of the legislature who permits the 
 19.17  caucus to accept contributions in excess of the limits imposed 
 19.18  by section 10A.27 is subject to a civil fine of up to four times 
 19.19  the amount by which the contribution exceeded the limits. 
 19.20     Sec. 28.  Minnesota Statutes 2000, section 10A.315, is 
 19.21  amended to read: 
 19.22     10A.315 [SPECIAL ELECTION SUBSIDY.] 
 19.23     (a) Each eligible candidate for a legislative office in a 
 19.24  special election must be paid a public subsidy equal to the sum 
 19.25  of: 
 19.26     (1) the party account money at the last general election 
 19.27  for the candidate's party for the office the candidate is 
 19.28  seeking; and 
 19.29     (2) the general account money public subsidy paid to a 
 19.30  candidate for the same office at the last a general election.  
 19.31     (b) A candidate who wishes to receive this public subsidy 
 19.32  must submit a signed agreement under section 10A.322 to the 
 19.33  board and must meet the contribution requirements of section 
 19.34  10A.323.  The special election subsidy must be distributed in 
 19.35  the same manner as money in the party and general accounts is 
 19.36  distributed to legislative candidates in a general election. 
 20.1      (c) The amount necessary to make the payments required by 
 20.2   this section is appropriated from the general fund to the board. 
 20.3      Sec. 29.  Minnesota Statutes 2000, section 10A.322, is 
 20.4   amended to read: 
 20.5      10A.322 [SPENDING LIMIT AGREEMENTS.] 
 20.6      Subdivision 1.  [AGREEMENT BY CANDIDATE.] (a) As a 
 20.7   condition of receiving a public subsidy, a candidate must sign 
 20.8   and file with the board a written agreement in which the 
 20.9   candidate agrees that the candidate will comply with sections 
 20.10  10A.25; 10A.27, subdivision 10; and 10A.324; and 10A.38. 
 20.11     (b) Before the first day of filing for office, the board 
 20.12  must forward agreement forms to all filing officers.  The board 
 20.13  must also provide agreement forms to candidates on request at 
 20.14  any time.  The candidate must file the agreement with the board 
 20.15  by September 1 preceding the candidate's general election or a 
 20.16  special election held at the general election not later than the 
 20.17  day after the candidate files the affidavit of candidacy for the 
 20.18  office.  An agreement may not be filed after that date.  An 
 20.19  agreement once filed may not be rescinded. 
 20.20     (c) The board must notify the commissioner of revenue of 
 20.21  any agreement signed filed under this subdivision. 
 20.22     (d) Notwithstanding paragraph (b), if a vacancy occurs that 
 20.23  will be filled by means of a special election and the filing 
 20.24  period does not coincide with the filing period for the general 
 20.25  election, a candidate may sign and submit a spending limit 
 20.26  agreement not later than the day after the candidate files the 
 20.27  affidavit of candidacy or nominating petition for the office. 
 20.28     Subd. 2.  [HOW LONG AGREEMENT IS EFFECTIVE.] The agreement, 
 20.29  insofar as it relates to the expenditure limits in section 
 20.30  10A.25, as adjusted by section 10A.255, and the contribution 
 20.31  limit in section 10A.27, subdivision 10, remains effective for 
 20.32  candidates until the dissolution of the principal campaign 
 20.33  committee of the candidate or the end of the first election 
 20.34  cycle completed after the agreement was filed, whichever occurs 
 20.35  first. 
 20.36     Subd. 2a.  [AGREEMENT BY POLITICAL PARTY.] (a) As a 
 21.1   condition of receiving a public subsidy, the chair of the state 
 21.2   committee of a political party must sign and file with the board 
 21.3   a written agreement in which the state committee agrees that the 
 21.4   political party and all its party units, other than a 
 21.5   legislative party caucus, will comply with section 10A.25.  An 
 21.6   agreement once filed may not be rescinded.  
 21.7      (b) The board must provide agreement forms to political 
 21.8   parties on request at any time.  The state chair must file the 
 21.9   agreement with the board by February 1 of the general election 
 21.10  year. 
 21.11     (c) The spending limit agreement remains in effect until 
 21.12  the end of the first general election cycle completed after the 
 21.13  agreement was filed or the dissolution of the political party, 
 21.14  whichever occurs first. 
 21.15     (d) The board must notify the commissioner of revenue of an 
 21.16  agreement filed under this subdivision. 
 21.17     Subd. 2b.  [AGREEMENT BY PARTY CAUCUS.] (a) As a condition 
 21.18  of receiving a public subsidy, the chair of a party caucus in a 
 21.19  house of the legislature must sign and file with the board a 
 21.20  written agreement in which the caucus agrees that it will comply 
 21.21  with sections 10A.25 and 10A.27, subdivision 14.  An agreement 
 21.22  once filed may not be rescinded.  
 21.23     (b) The board must provide agreement forms to legislative 
 21.24  party caucuses on request at any time.  The party caucus must 
 21.25  file the agreement with the board by February 1 of the general 
 21.26  election year. 
 21.27     (c) The spending limit agreement remains in effect until 
 21.28  the end of the first election cycle completed after the 
 21.29  agreement was filed or the dissolution of the legislative party 
 21.30  caucus, whichever occurs first.  
 21.31     (d) The board must notify the commissioner of revenue of an 
 21.32  agreement filed under this subdivision. 
 21.33     Subd. 4.  [REFUND RECEIPT FORMS; PENALTY.] (a) The board 
 21.34  must make available to a political party on request and to any 
 21.35  candidate, political party, or legislative party caucus for whom 
 21.36  an agreement under this section is effective, a supply of 
 22.1   official refund receipt forms that state in boldface type that 
 22.2   (1) a contributor who is given a receipt form is eligible to 
 22.3   claim a refund as provided in section 290.06, subdivision 23, 
 22.4   and (2) if the contribution is to a candidate, that the 
 22.5   candidate, political party, or legislative party caucus has 
 22.6   signed an agreement to limit campaign expenditures as provided 
 22.7   in this section.  The forms must provide duplicate copies of the 
 22.8   receipt to be attached to the contributor's claim.  A principal 
 22.9   campaign committee or party unit must return to the board with 
 22.10  its termination report or destroy any official receipt forms 
 22.11  that have not been issued. 
 22.12     (b) A candidate who does not sign an agreement under this 
 22.13  section and who willfully issues an official refund receipt form 
 22.14  or a facsimile of one to any of the candidate's contributors is 
 22.15  guilty of a misdemeanor.  If the state chair of a political 
 22.16  party has not signed an agreement under this section and the 
 22.17  chair of a party unit willfully issues an official refund 
 22.18  receipt form or a facsimile of one to any of the party's 
 22.19  contributors, the chair of the party unit is guilty of a 
 22.20  misdemeanor.  If the chair of a legislative party caucus has not 
 22.21  signed an agreement under this section and the caucus chair 
 22.22  willfully issues an official refund receipt form or a facsimile 
 22.23  of one to any of the caucus's contributors, the caucus chair is 
 22.24  guilty of a misdemeanor.  
 22.25     Sec. 30.  [10A.3235] [PUBLIC SUBSIDY TO CANDIDATES.] 
 22.26     Subdivision 1.  [APPROPRIATION.] In each general election 
 22.27  year there is appropriated from the general fund a sum 
 22.28  sufficient to pay the public subsidy provided for in this 
 22.29  section. 
 22.30     Subd. 2.  [ELIGIBILITY.] A candidate who has duly filed a 
 22.31  spending limit agreement under section 10A.322, an affidavit of 
 22.32  contributions under section 10A.323, and an affidavit of 
 22.33  candidacy under section 204B.06, and who is opposed in either 
 22.34  the primary or general election is eligible to receive a public 
 22.35  subsidy under this section.  Upon determining that a candidate 
 22.36  is eligible, the board must designate the candidate as 
 23.1   participating. 
 23.2      Subd. 3.  [FORM OF PAYMENT.] The payment must be in the 
 23.3   form of a check made payable to "the campaign fund of ...... 
 23.4   (name of candidate) ......"  A check may include as an 
 23.5   additional payee a financial institution named by the candidate 
 23.6   in a notice filed with the board at least ten days before the 
 23.7   payment was due to be made.  Once the notice has been filed, the 
 23.8   candidate may not remove or change the name of the additional 
 23.9   payee without filing with the board the written approval of the 
 23.10  financial institution previously named.  
 23.11     Subd. 4.  [PAYMENT FOR PRIMARY ELECTION.] Within ten days 
 23.12  after the close of filings for office, the board must pay each 
 23.13  participating candidate who has an opponent in a major party 
 23.14  primary a public subsidy equal to 25 percent of the candidate's 
 23.15  spending limit.  
 23.16     Subd. 5.  [PAYMENT FOR GENERAL ELECTION.] As soon as the 
 23.17  board has obtained from the secretary of state the results of 
 23.18  the primary election, but no later than one week after the state 
 23.19  canvassing board has certified the results of the primary, the 
 23.20  board must pay to each participating candidate whose name will 
 23.21  appear on the ballot and who has an opponent in the general 
 23.22  election a public subsidy equal to 70 percent of the candidate's 
 23.23  spending limit, less any amount paid under subdivision 4. 
 23.24     Subd. 6.  [PAYMENT TO MATCH EXCESS SPENDING.] Within five 
 23.25  days after receipt of a report of excess spending under section 
 23.26  10A.20, subdivision 2, 6, or 6c, the board must notify any 
 23.27  participating opponent of the nonparticipating candidate of the 
 23.28  amount of increase in the spending limit of the participating 
 23.29  candidate and pay the participating candidate an additional 
 23.30  public subsidy.  The amount of the subsidy is equal to the 
 23.31  amount of the excess spending reported, subject to the limit in 
 23.32  subdivision 8. 
 23.33     Subd. 7.  [PAYMENT TO MATCH INDEPENDENT EXPENDITURES.] (a) 
 23.34  Within five days after receipt of a notice of independent 
 23.35  expenditures under section 10A.20, subdivision 2, 6, or 6b, the 
 23.36  board must notify a participating candidate of the amount of 
 24.1   increase in the spending limit of the participating candidate 
 24.2   and pay the participating candidate an additional public subsidy 
 24.3   as provided in this subdivision, subject to the limit in 
 24.4   subdivision 8. 
 24.5      (b) If the independent expenditure advocates the defeat of 
 24.6   a participating candidate, the board must pay a subsidy to the 
 24.7   participating candidate equal to the independent expenditure. 
 24.8      (c) If the independent expenditure advocates the election 
 24.9   of a participating candidate, the board must pay a subsidy to 
 24.10  each participating opponent of the candidate equal to the 
 24.11  independent expenditure. 
 24.12     (d) If the independent expenditure advocates the election 
 24.13  of a nonparticipating candidate, the board must pay a subsidy to 
 24.14  each participating opponent of the candidate.  The amount of the 
 24.15  public subsidy is the amount by which the sum of campaign 
 24.16  expenditures by the nonparticipating candidate plus the 
 24.17  independent expenditure exceeds the public subsidy previously 
 24.18  paid or due to the participating candidate. 
 24.19     (e) For purposes of this subdivision, before the primary 
 24.20  election, "opponent" means a candidate whose name is on the 
 24.21  ballot for the primary of the same major party or, if there is 
 24.22  none, a candidate whose name will be on the ballot for the 
 24.23  general election.  If an independent expenditure that advocates 
 24.24  the election of a candidate is made before the primary, and the 
 24.25  candidate wins the primary, "opponent" also means any other 
 24.26  candidate whose name will appear on the ballot in the general 
 24.27  election, but the notice required by this subdivision need not 
 24.28  be given and the public subsidy need not be paid until one week 
 24.29  after the state canvassing board has certified the results of 
 24.30  the primary.  
 24.31     Subd. 8.  [OVERALL LIMIT.] The total public subsidy paid to 
 24.32  a participating candidate under this section may not exceed 
 24.33  three times the candidate's original spending limit. 
 24.34     Sec. 31.  [10A.3237] [PUBLIC SUBSIDY TO POLITICAL PARTIES.] 
 24.35     Subdivision 1.  [APPROPRIATION.] In each general election 
 24.36  year there is appropriated from the general fund a sum 
 25.1   sufficient to pay the public subsidy provided for in this 
 25.2   section. 
 25.3      Subd. 2.  [CERTIFICATION.] By February 1 of each general 
 25.4   election year, the secretary of state must certify to the board 
 25.5   the name and mailing address of each major political party. 
 25.6      Subd. 3.  [PAYMENT TO STATE COMMITTEE.] By August 1 in each 
 25.7   general election year, the board must pay to the state committee 
 25.8   of each major political party that has signed and filed with the 
 25.9   board a spending limit agreement under section 10A.322 a public 
 25.10  subsidy of $200,000, plus $200,000 if the state committee of any 
 25.11  other major political party has not likewise signed and filed 
 25.12  with the board a spending limit agreement. 
 25.13     Subd. 4.  [PAYMENT TO LEGISLATIVE CAUCUS.] (a) By August 1 
 25.14  in each general election year, the board must pay a public 
 25.15  subsidy to each major political party caucus in a house of the 
 25.16  legislature that has a general election that year, if the caucus 
 25.17  has at least ten members in the senate or 20 members in the 
 25.18  house of representatives and the caucus chair has signed and 
 25.19  filed with the board a spending limit agreement under section 
 25.20  10A.322.  The amount of the subsidy is $100,000, plus $100,000 
 25.21  if the chair of any other major political party caucus in the 
 25.22  same house with at least ten members in the senate or 20 members 
 25.23  in the house of representatives has not likewise signed and 
 25.24  filed with the board a spending limit agreement. 
 25.25     (b) A legislative major party caucus may, by a written 
 25.26  notice filed with the board, waive its right to all or part of 
 25.27  its allocation under paragraph (a) and the board must reallocate 
 25.28  to the state committee the amount waived. 
 25.29     Subd. 5.  [USE OF PUBLIC SUBSIDY.] Money allocated to a 
 25.30  party unit under subdivision 3 or 4 must be deposited in a 
 25.31  separate account and must not be spent to support any candidate 
 25.32  who has not signed and filed with the board a spending limit 
 25.33  agreement.  
 25.34     Sec. 32.  [10A.38] [PUBLIC DEBATES.] 
 25.35     As a condition of receiving a public subsidy, a candidate 
 25.36  must agree to participate in at least two public debates before 
 26.1   the primary and at least two public debates before the general 
 26.2   election with the candidate's major political party opponents if 
 26.3   a statewide nonprofit, nonpartisan organization with experience 
 26.4   in sponsoring debates at the state or national level offers to 
 26.5   sponsor a debate between the candidate and the candidate's major 
 26.6   party opponents.  For purposes of this section, "nonpartisan" 
 26.7   means that the organization does not endorse candidates, 
 26.8   contribute to candidates, or make independent expenditures and 
 26.9   does not have any affiliate organizations that do.  Disputes 
 26.10  concerning scheduling and conduct of debates must be mediated by 
 26.11  the bureau of mediation services. 
 26.12     Sec. 33.  Minnesota Statutes 2000, section 200.02, 
 26.13  subdivision 7, is amended to read: 
 26.14     Subd. 7.  [MAJOR POLITICAL PARTY.] "Major political party" 
 26.15  means a political party that maintains a party organization in 
 26.16  the state, political division or precinct in question and: 
 26.17     (a) which has presented at least one candidate for election 
 26.18  to a partisan the office of governor, senator in Congress, or 
 26.19  presidential elector at the last preceding state general 
 26.20  election for that office, which candidate received votes in each 
 26.21  county in that election and received votes from not less than 
 26.22  five percent of the total number of individuals who voted in 
 26.23  that election; or 
 26.24     (b) whose members present to the secretary of state a 
 26.25  petition for a place on the state partisan primary ballot, which 
 26.26  petition contains signatures of a number of the party members 
 26.27  equal to at least five percent of the total number of 
 26.28  individuals who voted in the preceding state general election. 
 26.29     Sec. 34.  Minnesota Statutes 2000, section 200.02, is 
 26.30  amended by adding a subdivision to read: 
 26.31     Subd. 24.  [PARTY UNIT.] "Party unit" means the state 
 26.32  committee or the party organization within a house of the 
 26.33  legislature, congressional district, county, legislative 
 26.34  district, municipality, or precinct. 
 26.35     Sec. 35.  Minnesota Statutes 2000, section 290.06, 
 26.36  subdivision 23, is amended to read: 
 27.1      Subd. 23.  [REFUND OF CONTRIBUTIONS TO POLITICAL PARTIES 
 27.2   AND CANDIDATES.] (a) A taxpayer may claim a refund equal to the 
 27.3   amount of the taxpayer's contributions made in the calendar year 
 27.4   to candidates and to a political party.  The maximum refund for 
 27.5   an individual must not exceed $50 $100 and for a married couple, 
 27.6   filing jointly, must not exceed $100 $200.  A refund of a 
 27.7   contribution is allowed only if the taxpayer files a form 
 27.8   required by the commissioner and attaches to the form a copy of 
 27.9   an official refund receipt form issued by the candidate or party 
 27.10  and signed by the candidate, the treasurer of the candidate's 
 27.11  principal campaign committee, or the chair or treasurer of the 
 27.12  party unit, after the contribution was received.  The receipt 
 27.13  forms must be numbered, and the data on the receipt that are not 
 27.14  public must be made available to the campaign finance and public 
 27.15  disclosure board upon its request.  A claim must be filed with 
 27.16  the commissioner no sooner than January 1 of the calendar year 
 27.17  in which the contribution was made and no later than April 15 of 
 27.18  the calendar year following the calendar year in which the 
 27.19  contribution was made.  A taxpayer may file only one claim per 
 27.20  calendar year.  Amounts paid by the commissioner after June 15 
 27.21  of the calendar year following the calendar year in which the 
 27.22  contribution was made must include interest at the rate 
 27.23  specified in section 270.76. 
 27.24     (b) No refund is allowed under this subdivision for a 
 27.25  contribution to a candidate unless the candidate: 
 27.26     (1) has signed and filed an agreement to limit campaign 
 27.27  expenditures as provided in section 10A.322; 
 27.28     (2) is seeking an office for which voluntary spending 
 27.29  limits are specified in section 10A.25; and 
 27.30     (3) has designated a principal campaign committee.  
 27.31     This subdivision does not limit the campaign expenditures 
 27.32  of a candidate who does not sign an agreement but accepts a 
 27.33  contribution for which the contributor improperly claims a 
 27.34  refund.  
 27.35     No refund is allowed under this subdivision for a 
 27.36  contribution to a political party or party unit unless the state 
 28.1   chair of the political party has signed and filed an agreement 
 28.2   to limit campaign expenditures as provided in section 10A.322.  
 28.3      No refund is allowed under this subdivision for a 
 28.4   contribution to a party unit that is a legislative party caucus 
 28.5   unless the chair of the legislative party caucus has signed and 
 28.6   filed an agreement to limit campaign expenditures as provided in 
 28.7   section 10A.322.  
 28.8      (c) For purposes of this subdivision, "political party" 
 28.9   means a major political party as defined in section 200.02, 
 28.10  subdivision 7, or a minor political party qualifying for 
 28.11  inclusion on the income tax or property tax refund form under 
 28.12  section 10A.31, subdivision 3a has the meaning given it in 
 28.13  section 10A.01, subdivision 29.  
 28.14     A "major party" or "minor party" includes the aggregate of 
 28.15  that party's organization within each house of the legislature, 
 28.16  the state party organization, and the party organization within 
 28.17  congressional districts, counties, legislative districts, 
 28.18  municipalities, and precincts.  "Party unit" has the meaning 
 28.19  given it in section 10A.01, subdivision 30.  
 28.20     "Candidate" means a candidate as defined in section 10A.01, 
 28.21  subdivision 10, except a candidate for judicial office.  
 28.22     "Contribution" means a gift of money. 
 28.23     (d) The commissioner shall make copies of the form 
 28.24  available to the public and candidates upon request. 
 28.25     (e) The following data collected or maintained by the 
 28.26  commissioner under this subdivision are private:  the identities 
 28.27  of individuals claiming a refund, the identities of candidates 
 28.28  to whom those individuals have made contributions, and the 
 28.29  amount of each contribution.  
 28.30     (f) The commissioner shall report to the campaign finance 
 28.31  and public disclosure board by each August 1 a summary showing 
 28.32  the total number and aggregate amount of political contribution 
 28.33  refunds made on behalf of each candidate and each political 
 28.34  party.  These data are public. 
 28.35     (g) The amount necessary to pay claims for the refund 
 28.36  provided in this section is appropriated from the general fund 
 29.1   to the commissioner of revenue. 
 29.2      Sec. 36.  [TRANSITION.] 
 29.3      Subdivision 1.  [ELECTION CYCLE.] Notwithstanding Minnesota 
 29.4   Statutes, section 10A.01, subdivision 16, the first election 
 29.5   cycle begins on the effective date of this act and concludes on 
 29.6   December 31 following the next general election for the office. 
 29.7      Subd. 2.  [CONTRIBUTION LIMITS.] Contributions to a 
 29.8   candidate that were made before the effective date of this act 
 29.9   and were lawful when made need not be refunded, even though they 
 29.10  exceed the new limits on contributions in this act. 
 29.11     Subd. 3.  [EXPENDITURE LIMITS.] All spending limit 
 29.12  agreements filed with the campaign finance and public disclosure 
 29.13  board before the effective date of this act become void on that 
 29.14  date and all eligibility for continued public subsidies under 
 29.15  Minnesota Statutes, chapter 10A or 290, is ended on that date.  
 29.16  The new expenditure limits and eligibility for a public subsidy 
 29.17  under this act apply to candidates who sign and file with the 
 29.18  campaign finance and public disclosure board a new spending 
 29.19  limit agreement under Minnesota Statutes, section 10A.322, on or 
 29.20  after its effective date. 
 29.21     Sec. 37. [REPEALER.] 
 29.22     Minnesota Statutes 2000, sections 10A.25, subdivision 6; 
 29.23  and 10A.31, are repealed. 
 29.24     Sec. 38.  [EFFECTIVE DATE.] 
 29.25     This act is effective the day following final enactment.  
 29.26  The spending limits in Minnesota Statutes, section 10A.25, 
 29.27  subdivision 2, as amended by this act, apply to the general 
 29.28  election in 2002 and must not be adjusted for inflation under 
 29.29  Minnesota Statutes, section 10A.255, until the 2004 election 
 29.30  cycle.