1.1                          A bill for an act 
  1.2             relating to elections; changing certain provisions of 
  1.3             the campaign finance and public disclosure law; 
  1.4             amending Minnesota Statutes 2000, sections 10A.01, 
  1.5             subdivision 35; 10A.02, subdivision 11; 10A.025, 
  1.6             subdivisions 2, 4; 10A.03, subdivision 3; 10A.04, 
  1.7             subdivisions 4, 5, 6; 10A.08; 10A.09, subdivision 7; 
  1.8             10A.11, subdivision 7; 10A.12, subdivision 6; 10A.13, 
  1.9             subdivision 1; 10A.14, subdivision 4; 10A.15, 
  1.10            subdivision 4; 10A.16; 10A.17, subdivision 5, by 
  1.11            adding a subdivision; 10A.18; 10A.20, subdivision 12, 
  1.12            by adding a subdivision; 10A.25, subdivision 10; 
  1.13            10A.255, subdivision 1; 10A.27, subdivisions 9, 11, 
  1.14            13, by adding a subdivision; 10A.273, subdivisions 1, 
  1.15            4; 10A.28, subdivisions 1, 2, 4, by adding a 
  1.16            subdivision; 10A.29; 10A.322, subdivision 1; 10A.323; 
  1.17            356A.06, subdivision 4; Minnesota Statutes 2001 
  1.18            Supplement, section 10A.31, subdivision 7. 
  1.19  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.20     Section 1.  Minnesota Statutes 2000, section 10A.01, 
  1.21  subdivision 35, is amended to read: 
  1.22     Subd. 35.  [PUBLIC OFFICIAL.] "Public official" means any: 
  1.23     (1) member of the legislature; 
  1.24     (2) individual employed by the legislature as secretary of 
  1.25  the senate, legislative auditor, chief clerk of the house, 
  1.26  revisor of statutes, or researcher, legislative analyst, or 
  1.27  attorney in the office of senate counsel and research or house 
  1.28  research; 
  1.29     (3) constitutional officer in the executive branch and the 
  1.30  officer's chief administrative deputy; 
  1.31     (4) solicitor general or deputy, assistant, or special 
  1.32  assistant attorney general; 
  2.1      (5) commissioner, deputy commissioner, or assistant 
  2.2   commissioner of any state department or agency as listed in 
  2.3   section 15.01 or 15.06; 
  2.4      (6) member, chief administrative officer, or deputy chief 
  2.5   administrative officer of a state board or commission that has 
  2.6   either the power to adopt, amend, or repeal rules under chapter 
  2.7   14, or the power to adjudicate contested cases or appeals under 
  2.8   chapter 14; 
  2.9      (7) individual employed in the executive branch who is 
  2.10  authorized to adopt, amend, or repeal rules under chapter 14 or 
  2.11  adjudicate contested cases under chapter 14; 
  2.12     (8) executive director of the state board of investment; 
  2.13     (9) deputy of any official listed in clauses (7) and (8); 
  2.14     (10) judge of the workers' compensation court of appeals; 
  2.15     (11) administrative law judge or compensation judge in the 
  2.16  state office of administrative hearings or referee in the 
  2.17  department of economic security; 
  2.18     (12) member, regional administrator, division director, 
  2.19  general counsel, or operations manager of the metropolitan 
  2.20  council; 
  2.21     (13) member or chief administrator of a metropolitan 
  2.22  agency; 
  2.23     (14) director of the division of alcohol and gambling 
  2.24  enforcement in the department of public safety; 
  2.25     (15) member or executive director of the higher education 
  2.26  facilities authority; 
  2.27     (16) member of the board of directors or president of 
  2.28  Minnesota Technology, Inc.; or 
  2.29     (17) member of the board of directors or executive director 
  2.30  of the Minnesota state high school league. 
  2.31     Sec. 2.  Minnesota Statutes 2000, section 10A.02, 
  2.32  subdivision 11, is amended to read: 
  2.33     Subd. 11.  [VIOLATIONS; ENFORCEMENT.] (a) The board may 
  2.34  investigate any alleged violation of this chapter.  The board 
  2.35  must investigate any violation that is alleged in a written 
  2.36  complaint filed with the board and must within 30 days after the 
  3.1   filing of the complaint make a public finding of whether there 
  3.2   is probable cause to believe a violation has occurred, except 
  3.3   that if the complaint alleges a violation of section 10A.25 or 
  3.4   10A.27, the board must either enter a conciliation agreement or 
  3.5   make a public finding of whether there is probable cause, within 
  3.6   60 days after the filing of the complaint.  The deadline for 
  3.7   action on a written complaint may be extended by majority vote 
  3.8   of the board.  
  3.9      (b) Within a reasonable time after beginning an 
  3.10  investigation of an individual or association, the board must 
  3.11  notify the individual or association of the fact of the 
  3.12  investigation.  The board must not make a finding of whether 
  3.13  there is probable cause to believe a violation has occurred 
  3.14  without notifying the individual or association of the nature of 
  3.15  the allegations and affording an opportunity to answer those 
  3.16  allegations.  
  3.17     (c) A hearing or action of the board concerning a complaint 
  3.18  or investigation other than a finding concerning probable cause 
  3.19  or a conciliation agreement is confidential.  Until the board 
  3.20  makes a public finding concerning probable cause or enters a 
  3.21  conciliation agreement: 
  3.22     (1) a member, employee, or agent of the board must not 
  3.23  disclose to an individual information obtained by that member, 
  3.24  employee, or agent concerning a complaint or investigation 
  3.25  except as required to carry out the investigation or take action 
  3.26  in the matter as authorized by this chapter; and 
  3.27     (2) an individual who discloses information contrary to 
  3.28  this subdivision is guilty of a misdemeanor subject to a civil 
  3.29  penalty imposed by the board of up to $3,000.  
  3.30     (d) Except as provided in section 10A.28, after the board 
  3.31  makes a public finding of probable cause the board must report 
  3.32  that finding to the appropriate law enforcement authorities. 
  3.33     Sec. 3.  Minnesota Statutes 2000, section 10A.025, 
  3.34  subdivision 2, is amended to read: 
  3.35     Subd. 2.  [PENALTY FOR FALSE STATEMENTS.] A report or 
  3.36  statement required to be filed under this chapter must be signed 
  4.1   and certified as true by the individual required to file the 
  4.2   report.  An individual who signs and certifies to be true a 
  4.3   report or statement knowing it contains false information or who 
  4.4   knowingly omits required information is guilty of a gross 
  4.5   misdemeanor and subject to a civil penalty imposed by the board 
  4.6   of up to $3,000. 
  4.7      Sec. 4.  Minnesota Statutes 2000, section 10A.025, 
  4.8   subdivision 4, is amended to read: 
  4.9      Subd. 4.  [CHANGES AND CORRECTIONS.] Material changes in 
  4.10  information previously submitted and corrections to a report or 
  4.11  statement must be reported in writing to the board within ten 
  4.12  days following the date of the event prompting the change or the 
  4.13  date upon which the person filing became aware of the 
  4.14  inaccuracy.  The change or correction must identify the form and 
  4.15  the paragraph containing the information to be changed or 
  4.16  corrected. 
  4.17     A person who willfully fails to report a material change or 
  4.18  correction is guilty of a gross misdemeanor. The board must send 
  4.19  a notice by certified mail to any individual who fails to file a 
  4.20  report required by this subdivision.  If the individual fails to 
  4.21  file the required report within ten business days after the 
  4.22  notice was sent, the board may impose a late filing fee of $5 
  4.23  per day up to $100 starting on the 11th day after the notice was 
  4.24  sent.  The board must send an additional notice by certified 
  4.25  mail to an individual who fails to file a report within 14 days 
  4.26  after receiving a first notice from the board that the 
  4.27  individual may be subject to a civil penalty for failure to file 
  4.28  a report.  An individual who fails to file a report required by 
  4.29  this subdivision within seven days after receiving a second 
  4.30  notice from the board is subject to a civil penalty imposed by 
  4.31  the board of up to $3,000. 
  4.32     Sec. 5.  Minnesota Statutes 2000, section 10A.03, 
  4.33  subdivision 3, is amended to read: 
  4.34     Subd. 3.  [FAILURE TO FILE.] The board must notify send a 
  4.35  notice by certified mail or personal service to any lobbyist who 
  4.36  fails to file a registration form within five days after 
  5.1   becoming a lobbyist.  If a lobbyist fails to file a form 
  5.2   within seven ten business days after receiving this the notice 
  5.3   was sent, the board may impose a late filing fee of $5 per day, 
  5.4   not to exceed $100, commencing with starting on the eighth 11th 
  5.5   day after receiving the notice was sent.  The board must further 
  5.6   notify send an additional notice by certified mail or personal 
  5.7   service any to a lobbyist who fails to file a form within 21 14 
  5.8   days of receiving a first notice from the board that the 
  5.9   lobbyist may be subject to a criminal civil penalty for failure 
  5.10  to file the form.  A lobbyist who knowingly fails to file a form 
  5.11  within seven days after receiving a second notice from the board 
  5.12  is guilty of a misdemeanor subject to a civil penalty imposed by 
  5.13  the board of up to $3,000. 
  5.14     Sec. 6.  Minnesota Statutes 2000, section 10A.04, 
  5.15  subdivision 4, is amended to read: 
  5.16     Subd. 4.  [CONTENT.] (a) A report under this section must 
  5.17  include information the board requires from the registration 
  5.18  form and the information required by this subdivision for the 
  5.19  reporting period. 
  5.20     (b) A lobbyist must report the lobbyist's total 
  5.21  disbursements on lobbying, separately listing lobbying to 
  5.22  influence legislative action, lobbying to influence 
  5.23  administrative action, and lobbying to influence the official 
  5.24  actions of a metropolitan governmental unit, and a breakdown of 
  5.25  disbursements for each of those kinds of lobbying into 
  5.26  categories specified by the board, including but not limited to 
  5.27  the cost of publication and distribution of each publication 
  5.28  used in lobbying; other printing; media, including the cost of 
  5.29  production; postage; travel; fees, including allowances; 
  5.30  entertainment; telephone and telegraph; and other expenses. 
  5.31     (c) A lobbyist must report the amount and nature of each 
  5.32  gift, item, or benefit, excluding contributions to a candidate, 
  5.33  equal in value to $5 or more, given or paid to any official, as 
  5.34  defined in section 10A.071, subdivision 1, by the lobbyist or an 
  5.35  employer or employee of the lobbyist.  The list must include the 
  5.36  name and address of each official to whom the gift, item, or 
  6.1   benefit was given or paid and the date it was given or paid.  
  6.2      (d) Each A lobbyist must report each original source of 
  6.3   money in excess of $500 in any year used for the purpose of 
  6.4   lobbying to influence legislative action, administrative action, 
  6.5   or the official action of a metropolitan governmental unit.  The 
  6.6   list must include the name, address, and employer, or, if 
  6.7   self-employed, the occupation and principal place of business, 
  6.8   of each payer of money in excess of $500. 
  6.9      (e) On the report due April 15, the lobbyist must provide a 
  6.10  general description of the subjects lobbied in the previous 12 
  6.11  months. 
  6.12     Sec. 7.  Minnesota Statutes 2000, section 10A.04, 
  6.13  subdivision 5, is amended to read: 
  6.14     Subd. 5.  [LATE FILING.] The board must notify send a 
  6.15  notice by certified mail or personal service to any lobbyist or 
  6.16  principal who fails after seven days after a filing date imposed 
  6.17  by this section to file a report or statement required by this 
  6.18  section.  If a lobbyist or principal fails to file a report 
  6.19  within seven ten business days after receiving this the notice 
  6.20  was sent, the board may impose a late filing fee of $5 per day, 
  6.21  not to exceed $100, commencing with the eighth eleventh day 
  6.22  after receiving the notice was sent.  The board must further 
  6.23  notify send an additional notice by certified mail or personal 
  6.24  service to any lobbyist or principal who fails to file a report 
  6.25  within 21 14 days after receiving a first notice that the 
  6.26  lobbyist or principal may be subject to a criminal civil penalty 
  6.27  for failure to file the report.  A lobbyist or principal who 
  6.28  knowingly fails to file such a report or statement within seven 
  6.29  days after receiving a second notice from the board is guilty of 
  6.30  a misdemeanor subject to a civil penalty imposed by the board of 
  6.31  up to $3,000. 
  6.32     Sec. 8.  Minnesota Statutes 2000, section 10A.04, 
  6.33  subdivision 6, is amended to read: 
  6.34     Subd. 6.  [PRINCIPAL REPORTS.] (a) A principal must report 
  6.35  to the board as required in this subdivision by March 15 for the 
  6.36  preceding calendar year. 
  7.1      (b) The principal must report which of the following 
  7.2   categories includes the total amount, rounded to the nearest 
  7.3   dollar $20,000, spent by the principal during the preceding 
  7.4   calendar year to influence legislative action, administrative 
  7.5   action, and the official action of metropolitan governmental 
  7.6   units:. 
  7.7      (1) $501 to $50,000; 
  7.8      (2) $50,001 to $150,000; or 
  7.9      (3) $150,001 to $250,000. 
  7.10     (c) Beyond $250,000, each additional $250,000 constitutes 
  7.11  an additional category, and each principal must report which of 
  7.12  the categories includes the total amount spent by the principal 
  7.13  for the purposes provided in this subdivision. 
  7.14     (d) The principal must report under this subdivision a 
  7.15  total amount that includes: 
  7.16     (1) all direct payments by the principal to lobbyists in 
  7.17  this state; 
  7.18     (2) all expenditures for advertising, mailing, research, 
  7.19  analysis, compilation and dissemination of information, and 
  7.20  public relations campaigns related to legislative action, 
  7.21  administrative action, or the official action of metropolitan 
  7.22  governmental units in this state; and 
  7.23     (3) all salaries and administrative expenses attributable 
  7.24  to activities of the principal relating to efforts to influence 
  7.25  legislative action, administrative action, or the official 
  7.26  action of metropolitan governmental units in this state. 
  7.27     Sec. 9.  Minnesota Statutes 2000, section 10A.08, is 
  7.28  amended to read: 
  7.29     10A.08 [REPRESENTATION DISCLOSURE.] 
  7.30     A public official who represents a client for a fee before 
  7.31  an individual, board, commission, or agency that has rulemaking 
  7.32  authority in a hearing conducted under chapter 14, must disclose 
  7.33  the official's participation in the action to the board within 
  7.34  14 days after the appearance.  The board must notify send a 
  7.35  notice by certified mail or personal service to any public 
  7.36  official who fails to disclose the participation within 14 days 
  8.1   after the appearance.  If the public official fails to disclose 
  8.2   the participation within seven ten business days of this after 
  8.3   the notice was sent, the board may impose a late filing fee of 
  8.4   $5 per day, not to exceed $100, commencing starting on the 
  8.5   eighth 11th day after receiving the notice was sent. 
  8.6      Sec. 10.  Minnesota Statutes 2000, section 10A.09, 
  8.7   subdivision 7, is amended to read: 
  8.8      Subd. 7.  [LATE FILING.] The board must notify send a 
  8.9   notice by certified mail or personal service to any individual 
  8.10  who fails within the prescribed time to file a statement of 
  8.11  economic interest required by this section.  If an individual 
  8.12  fails to file a statement within seven ten business days after 
  8.13  receiving this the notice was sent, the board may impose a late 
  8.14  filing fee of $5 per day, not to exceed $100, commencing on 
  8.15  the eighth 11th day after receiving the notice was sent.  The 
  8.16  board must further notify send an additional notice by certified 
  8.17  mail or personal service to any individual who fails to file a 
  8.18  statement within 21 14 days after receiving a first notice from 
  8.19  the board that the individual may be subject to a criminal civil 
  8.20  penalty for failure to file a statement.  An individual who 
  8.21  fails to file a statement within seven days after a second 
  8.22  notice is guilty of a misdemeanor subject to a civil penalty 
  8.23  imposed by the board up to $3,000. 
  8.24     Sec. 11.  Minnesota Statutes 2000, section 10A.11, 
  8.25  subdivision 7, is amended to read: 
  8.26     Subd. 7.  [PENALTY.] A person who knowingly violates this 
  8.27  section is guilty of a misdemeanor subject to a civil penalty 
  8.28  imposed by the board of up to $3,000. 
  8.29     Sec. 12.  Minnesota Statutes 2000, section 10A.12, 
  8.30  subdivision 6, is amended to read: 
  8.31     Subd. 6.  [PENALTY.] A person who knowingly violates this 
  8.32  section is guilty of a misdemeanor subject to a civil penalty 
  8.33  imposed by the board of up to $3,000. 
  8.34     Sec. 13.  Minnesota Statutes 2000, section 10A.13, 
  8.35  subdivision 1, is amended to read: 
  8.36     Subdivision 1.  [ACCOUNTS; PENALTY.] The treasurer of a 
  9.1   political committee, political fund, principal campaign 
  9.2   committee, or party unit must keep an account of: 
  9.3      (1) the sum of all contributions, except any donation in 
  9.4   kind valued at $20 or less, made to the committee, fund, or 
  9.5   party unit; 
  9.6      (2) the name and address of each source of a contribution 
  9.7   made to the committee, fund, or party unit in excess of $20, 
  9.8   together with the date and amount of each; 
  9.9      (3) each expenditure made by the committee, fund, or party 
  9.10  unit, together with the date and amount; 
  9.11     (4) each approved expenditure made on behalf of the 
  9.12  committee, fund, or party unit, together with the date and 
  9.13  amount; and 
  9.14     (5) the name and address of each political committee, 
  9.15  political fund, principal campaign committee, or party unit to 
  9.16  which contributions in excess of $20 have been made, together 
  9.17  with the date and amount. 
  9.18     Any individual who knowingly violates this subdivision is 
  9.19  guilty of a misdemeanor subject to a civil penalty imposed by 
  9.20  the board of up to $3,000. 
  9.21     Sec. 14.  Minnesota Statutes 2000, section 10A.14, 
  9.22  subdivision 4, is amended to read: 
  9.23     Subd. 4.  [FAILURE TO FILE; PENALTY.] The board must notify 
  9.24  send a notice by certified mail or personal service to any 
  9.25  individual who fails to file a statement required by this 
  9.26  section.  If an the individual fails to file a statement 
  9.27  within seven ten business days after receiving a the 
  9.28  notice was sent, the board may impose a late filing fee of $5 
  9.29  per day, not to exceed $100, commencing with the eighth eleventh 
  9.30  day after receiving the notice was sent. 
  9.31     The board must further notify send an additional notice by 
  9.32  certified mail or personal service to any individual who fails 
  9.33  to file a statement within 21 14 days after receiving a first 
  9.34  notice that such the individual may be subject to a criminal 
  9.35  civil penalty for failure to file the report.  An individual who 
  9.36  knowingly fails to file the statement within seven days after 
 10.1   receiving a second notice from the board is guilty of a 
 10.2   misdemeanor subject to a civil penalty imposed by the board of 
 10.3   up to $3,000. 
 10.4      Sec. 15.  Minnesota Statutes 2000, section 10A.15, 
 10.5   subdivision 4, is amended to read: 
 10.6      Subd. 4.  [PENALTY.] An individual violating this section 
 10.7   is guilty of a misdemeanor subject to a civil penalty imposed by 
 10.8   the board of up to $3,000. 
 10.9      Sec. 16.  Minnesota Statutes 2000, section 10A.16, is 
 10.10  amended to read: 
 10.11     10A.16 [EARMARKING CONTRIBUTIONS PROHIBITED.] 
 10.12     An individual, political committee, political fund, 
 10.13  principal campaign committee, or party unit may not solicit or 
 10.14  accept a contribution from any source with the express or 
 10.15  implied condition that the contribution or any part of it be 
 10.16  directed to a particular candidate other than the initial 
 10.17  recipient.  An individual, political committee, political fund, 
 10.18  principal campaign committee, or party unit that knowingly 
 10.19  accepts any earmarked contribution is guilty of a gross 
 10.20  misdemeanor subject to a civil penalty imposed by the board of 
 10.21  up to $3,000. 
 10.22     Sec. 17.  Minnesota Statutes 2000, section 10A.17, is 
 10.23  amended by adding a subdivision to read: 
 10.24     Subd. 3a.  [PERSONAL LOANS.] A principal campaign 
 10.25  committee, political committee, political fund, or party unit 
 10.26  may not lend money it has raised to anyone for noncampaign 
 10.27  purposes. 
 10.28     Sec. 18.  Minnesota Statutes 2000, section 10A.17, 
 10.29  subdivision 5, is amended to read: 
 10.30     Subd. 5.  [PENALTY.] A person who knowingly violates 
 10.31  subdivision 2 is guilty of a misdemeanor.  A person who 
 10.32  knowingly violates subdivision 4 or falsely claims that an 
 10.33  expenditure was an independent expenditure is guilty of a gross 
 10.34  misdemeanor subject to a civil penalty imposed by the board of 
 10.35  up to $3,000. 
 10.36     Sec. 19.  Minnesota Statutes 2000, section 10A.18, is 
 11.1   amended to read: 
 11.2      10A.18 [TIME FOR RENDERING BILLS, CHARGES, OR CLAIMS; 
 11.3   PENALTY.] 
 11.4      A person who has a bill, charge, or claim against a 
 11.5   political committee, political fund, principal campaign 
 11.6   committee, or party unit for an expenditure must render in 
 11.7   writing to the treasurer of the committee, fund, or party unit 
 11.8   the bill, charge, or claim within 60 days after the material or 
 11.9   service is provided.  Violation of A person who violates this 
 11.10  section is a misdemeanor subject to a civil penalty imposed by 
 11.11  the board of up to $3,000. 
 11.12     Sec. 20.  Minnesota Statutes 2000, section 10A.20, is 
 11.13  amended by adding a subdivision to read: 
 11.14     Subd. 1a.  [IF TREASURER POSITION IS VACANT.] If the 
 11.15  position of treasurer of a principal campaign committee, 
 11.16  political committee, political fund, or party unit is vacant, 
 11.17  the candidate, chair of a political committee or party unit, or 
 11.18  association officer of a political fund is responsible for 
 11.19  filing reports required by this section. 
 11.20     Sec. 21.  Minnesota Statutes 2000, section 10A.20, 
 11.21  subdivision 12, is amended to read: 
 11.22     Subd. 12.  [FAILURE TO FILE; PENALTY.] The board must 
 11.23  notify send a notice by certified mail or personal service an to 
 11.24  any individual who fails to file a statement required by this 
 11.25  section.  If an individual fails to file a statement due January 
 11.26  31 within seven ten business days after receiving a the notice 
 11.27  was sent, the board may impose a late filing fee of $5 per day, 
 11.28  not to exceed $100, commencing on with the eighth eleventh day 
 11.29  after receiving the notice was sent. 
 11.30     If an individual fails to file a statement due before a 
 11.31  primary or election within three days after the date due, 
 11.32  regardless of whether the individual has received any notice, 
 11.33  the board may impose a late filing fee of $50 per day, not to 
 11.34  exceed $500, commencing on the fourth day after the date the 
 11.35  statement was due. 
 11.36     The board must further notify send an additional notice by 
 12.1   certified mail or personal service to an individual who fails to 
 12.2   file a statement within 14 days after receiving a first notice 
 12.3   from the board that the individual may be subject to a 
 12.4   criminal civil penalty for failure to file a statement.  An 
 12.5   individual who knowingly fails to file the statement within 
 12.6   seven days after receiving a second notice from the board 
 12.7   is guilty of a misdemeanor subject to a civil penalty imposed by 
 12.8   the board of up to $3,000. 
 12.9      Sec. 22.  Minnesota Statutes 2000, section 10A.25, 
 12.10  subdivision 10, is amended to read: 
 12.11     Subd. 10.  [EFFECT OF OPPONENT'S CONDUCT.] (a) After the 
 12.12  deadline for filing a spending limit agreement under section 
 12.13  10A.322, a candidate who has agreed to be bound by the 
 12.14  expenditure limits imposed by this section as a condition of 
 12.15  receiving a public subsidy for the candidate's campaign is may 
 12.16  choose to be released from the expenditure limits but remains 
 12.17  remain eligible to receive a public subsidy if the candidate has 
 12.18  an opponent who does has not agree agreed to be bound by the 
 12.19  limits and receives has received contributions or makes made or 
 12.20  becomes become obligated to make expenditures during that 
 12.21  election cycle in excess of the following limits: 
 12.22     (1) up to ten 15 days before the primary election, receipts 
 12.23  or expenditures equal to 20 percent of the expenditure limit for 
 12.24  that office as set forth in subdivision 2; or 
 12.25     (2) after ten 15 days before the primary election, 
 12.26  cumulative receipts or expenditures during that election cycle 
 12.27  equal to 50 percent of the expenditure limit for that office as 
 12.28  set forth in subdivision 2. 
 12.29     Before the primary election, a candidate's "opponents" are 
 12.30  only those who will appear on the ballot of the same party in 
 12.31  the primary election. 
 12.32     (b) A candidate who has not agreed to be bound by 
 12.33  expenditure limits, or the candidate's principal campaign 
 12.34  committee, must file written notice with the board and provide 
 12.35  written notice to any opponent of the candidate for the same 
 12.36  office within 24 hours of exceeding the limits in paragraph (a), 
 13.1   clause (2).  The notice must state only that the candidate or 
 13.2   candidate's principal campaign committee has received 
 13.3   contributions or made or become obligated to make campaign 
 13.4   expenditures in excess of the limits in paragraph (a), clause 
 13.5   (2). 
 13.6      (c) Upon receipt of the notice, the a candidate who had 
 13.7   agreed to be bound by the limits is may file with the board a 
 13.8   notice that the candidate chooses to be no longer bound by the 
 13.9   expenditure limits.  A notice of a candidate's choice not to be 
 13.10  bound by the expenditure limits that is based on the conduct of 
 13.11  an opponent in the state primary election may not be filed more 
 13.12  than one day after the state canvassing board has declared the 
 13.13  results of the state primary. 
 13.14     (d) A candidate who has agreed to be bound by the 
 13.15  expenditure limits imposed by this section and whose opponent in 
 13.16  the general election has chosen, as provided in paragraph (c), 
 13.17  not to be bound by the expenditure limits because of the conduct 
 13.18  of an opponent in the primary election is no longer bound by the 
 13.19  limits but remains eligible to receive a public subsidy. 
 13.20     Sec. 23.  Minnesota Statutes 2000, section 10A.255, 
 13.21  subdivision 1, is amended to read: 
 13.22     Subdivision 1.  [METHOD OF CALCULATION.] The dollar amounts 
 13.23  in section 10A.25, subdivision 2, must be adjusted for general 
 13.24  election years as provided in this section.  Each general 
 13.25  election year, the executive director of the board must 
 13.26  determine the percentage increase in the consumer price index 
 13.27  from December of the year preceding the last general election 
 13.28  year to December of the year preceding the year in which the 
 13.29  determination is made.  The dollar amounts used for the 
 13.30  preceding general election year must be multiplied by that 
 13.31  percentage.  The product of the calculation must be added to 
 13.32  each dollar amount to produce the dollar limitations to be in 
 13.33  effect for the next general election.  The product must be 
 13.34  rounded up to the next highest $10 $100 increment.  The index 
 13.35  used must be the revised consumer price index for all urban 
 13.36  consumers for the St. Paul-Minneapolis metropolitan area 
 14.1   prepared by the United States Department of Labor. 
 14.2      Sec. 24.  Minnesota Statutes 2000, section 10A.27, is 
 14.3   amended by adding a subdivision to read: 
 14.4      Subd. 1a.  [PROHIBITION AGAINST MAKING EXCESSIVE 
 14.5   CONTRIBUTIONS; PENALTY.] A political committee or political fund 
 14.6   must not make aggregate contributions to a candidate's principal 
 14.7   campaign committee in excess of the limits in subdivision 1.  A 
 14.8   committee or fund that violates this subdivision is subject to a 
 14.9   civil fine up to four times the amount by which the contribution 
 14.10  exceeded the limit. 
 14.11     Sec. 25.  Minnesota Statutes 2000, section 10A.27, 
 14.12  subdivision 9, is amended to read: 
 14.13     Subd. 9.  [CONTRIBUTIONS TO AND FROM OTHER CANDIDATES.] (a) 
 14.14  A candidate or the treasurer of a candidate's principal campaign 
 14.15  committee must not accept a contribution from another 
 14.16  candidate's principal campaign committee or from any other 
 14.17  committee bearing the contributing candidate's name or title or 
 14.18  otherwise authorized by the contributing candidate, unless the 
 14.19  contributing candidate's principal campaign committee is being 
 14.20  dissolved.  A candidate's principal campaign committee must not 
 14.21  make a contribution to another candidate's principal campaign 
 14.22  committee, except when the contributing committee is being 
 14.23  dissolved.  
 14.24     (b) A candidate's principal campaign committee must not 
 14.25  accept a contribution from, or make a contribution to, a 
 14.26  committee associated with a person who seeks nomination or 
 14.27  election to the office of President, Senator, or Representative 
 14.28  in Congress of the United States. 
 14.29     (c) A candidate or the treasurer of a candidate's principal 
 14.30  campaign committee must not accept a contribution from a 
 14.31  candidate for political subdivision office in any state, unless 
 14.32  the contribution is from the personal funds of the candidate for 
 14.33  political subdivision office.  A candidate or the treasurer of a 
 14.34  candidate's principal campaign committee must not make a 
 14.35  contribution from the principal campaign committee to a 
 14.36  candidate for political subdivision office in any state. 
 15.1      (d) A contribution from a dissolving principal campaign 
 15.2   committee is subject to the same limitations as are imposed on a 
 15.3   political committee by subdivisions 1 and 11 and section 10A.273.
 15.4      Sec. 26.  Minnesota Statutes 2000, section 10A.27, 
 15.5   subdivision 11, is amended to read: 
 15.6      Subd. 11.  [CONTRIBUTIONS FROM CERTAIN TYPES OF 
 15.7   CONTRIBUTORS.] A candidate must not permit the candidate's 
 15.8   principal campaign committee to accept a contribution from a 
 15.9   political committee, political fund, lobbyist, or large 
 15.10  contributor, if the contribution will cause the aggregate 
 15.11  contributions from those types of contributors to exceed an 
 15.12  amount equal to 20 percent of the expenditure limits for the 
 15.13  office sought by the candidate, provided that the 20 percent 
 15.14  limit must be rounded to the nearest $100.  For purposes of this 
 15.15  subdivision, "large contributor" means an individual, other than 
 15.16  the candidate, who contributes an amount that is more than $100 
 15.17  and more than one-half the amount an individual may contribute. 
 15.18     Sec. 27.  Minnesota Statutes 2000, section 10A.27, 
 15.19  subdivision 13, is amended to read: 
 15.20     Subd. 13.  [UNREGISTERED ASSOCIATION LIMIT; STATEMENT; 
 15.21  PENALTY.] (a) The treasurer of a political committee, political 
 15.22  fund, principal campaign committee, or party unit must not 
 15.23  accept a contribution of more than $100 from an association not 
 15.24  registered under this chapter unless the contribution is 
 15.25  accompanied by a written statement that meets the disclosure and 
 15.26  reporting period requirements imposed by section 10A.20.  This 
 15.27  statement must be certified as true and correct by an officer of 
 15.28  the contributing association.  The committee, fund, or party 
 15.29  unit that accepts the contribution must include a copy of the 
 15.30  statement with the report that discloses the contribution to the 
 15.31  board.  This subdivision does not apply when a national 
 15.32  political party contributes money to its affiliate in this state.
 15.33     (b) An unregistered association may provide the written 
 15.34  statement required by this subdivision to no more than three 
 15.35  committees, funds, or party units in a calendar year.  Each 
 15.36  statement must cover at least the 30 days immediately preceding 
 16.1   and including the date on which the contribution was made.  An 
 16.2   unregistered association or an officer of it is subject to a 
 16.3   civil penalty up to $1,000 imposed by the board of up to $3,000, 
 16.4   if the association or its officer: 
 16.5      (1) fails to provide a written statement as required by 
 16.6   this subdivision; or 
 16.7      (2) fails to register after giving the written statement 
 16.8   required by this subdivision to more than three committees, 
 16.9   funds, or party units in a calendar year. 
 16.10     An officer of an association who violates this paragraph is 
 16.11  guilty of a misdemeanor. 
 16.12     (c) The treasurer of a political committee, political fund, 
 16.13  principal campaign committee, or party unit who accepts a 
 16.14  contribution in excess of $100 from an unregistered association 
 16.15  without the required written disclosure statement is subject to 
 16.16  a civil penalty up to four times the amount in excess of $100. 
 16.17     Sec. 28.  Minnesota Statutes 2000, section 10A.273, 
 16.18  subdivision 1, is amended to read: 
 16.19     Subdivision 1.  [CONTRIBUTIONS DURING LEGISLATIVE 
 16.20  SESSION.] (a) A candidate for the legislature or for 
 16.21  constitutional office, the candidate's principal campaign 
 16.22  committee, or a political committee or party unit established by 
 16.23  all or a part of the party organization within a house of the 
 16.24  legislature, must not solicit or accept a contribution from a 
 16.25  registered lobbyist, political committee, or political fund, or 
 16.26  from a party unit established by the party organization within a 
 16.27  house of the legislature, during a regular session of the 
 16.28  legislature. 
 16.29     (b) A registered lobbyist, political committee, or 
 16.30  political fund, or a party unit established by the party 
 16.31  organization within a house of the legislature, must not make a 
 16.32  contribution to a candidate for the legislature or for 
 16.33  constitutional office, the candidate's principal campaign 
 16.34  committee, or a political committee or party unit established by 
 16.35  all or a part of the party organization within a house of the 
 16.36  legislature. 
 17.1      Sec. 29.  Minnesota Statutes 2000, section 10A.273, 
 17.2   subdivision 4, is amended to read: 
 17.3      Subd. 4.  [CIVIL PENALTY.] A candidate, political 
 17.4   committee, or party unit, political fund, or registered lobbyist 
 17.5   that violates this section is subject to a civil fine of up to 
 17.6   $500 penalty imposed by the board of up to $3,000.  If the board 
 17.7   makes a public finding that there is probable cause to believe a 
 17.8   violation of this section has occurred, the board must bring an 
 17.9   action, or transmit the finding to a county attorney who must 
 17.10  bring an action, in the district court of Ramsey county, to 
 17.11  collect a civil fine penalty as imposed by the board.  Fines 
 17.12  Penalties paid under this section must be deposited in the 
 17.13  general fund in the state treasury. 
 17.14     Sec. 30.  Minnesota Statutes 2000, section 10A.28, 
 17.15  subdivision 1, is amended to read: 
 17.16     Subdivision 1.  [EXCEEDING EXPENDITURE LIMITS.] A candidate 
 17.17  subject to the expenditure limits in section 10A.25 who permits 
 17.18  the candidate's principal campaign committee to make 
 17.19  expenditures or permits approved expenditures to be made on the 
 17.20  candidate's behalf in excess of the limits imposed by section 
 17.21  10A.25, as adjusted by section 10A.255, is subject to a civil 
 17.22  fine penalty up to four times the amount by which the 
 17.23  expenditures exceeded the limit. 
 17.24     Sec. 31.  Minnesota Statutes 2000, section 10A.28, 
 17.25  subdivision 2, is amended to read: 
 17.26     Subd. 2.  [EXCEEDING CONTRIBUTION LIMITS.] A candidate who 
 17.27  permits the candidate's principal campaign committee to accept 
 17.28  contributions in excess of the limits imposed by section 10A.27 
 17.29  is subject to a civil fine penalty of up to four times the 
 17.30  amount by which the contribution exceeded the limits. 
 17.31     Sec. 32.  Minnesota Statutes 2000, section 10A.28, 
 17.32  subdivision 4, is amended to read: 
 17.33     Subd. 4.  [CIVIL ACTION.] If the board is unable after a 
 17.34  reasonable time to correct by informal methods a matter that 
 17.35  constitutes probable cause to believe that excess expenditures 
 17.36  have been made or excess contributions accepted contrary to 
 18.1   subdivision 1 or 2, the board must make a public finding of 
 18.2   probable cause in the matter.  After making a public finding, 
 18.3   the board must bring an action, or transmit the finding to a 
 18.4   county attorney who must bring an action, in the district court 
 18.5   of Ramsey county or, in the case of a legislative candidate, the 
 18.6   district court of a county within the legislative district, to 
 18.7   collect a civil fine penalty of up to $3,000 as imposed by the 
 18.8   board under subdivision 1 or 2.  All money recovered under this 
 18.9   section must be deposited in the general fund of the 
 18.10  state treasury. 
 18.11     Sec. 33.  Minnesota Statutes 2000, section 10A.28, is 
 18.12  amended by adding a subdivision to read: 
 18.13     Subd. 5.  [PENALTY FOR CONTRIBUTION TO OTHER COMMITTEE 
 18.14  WITHOUT TERMINATING.] (a) A principal campaign committee that 
 18.15  makes a contribution to another principal campaign committee 
 18.16  must provide with the contribution a written statement of the 
 18.17  committee's intent to dissolve and terminate its registration 
 18.18  within 12 months of the contribution.  If the committee fails to 
 18.19  dissolve and terminate its registration by that time, the board 
 18.20  may levy a civil penalty up to four times the size of the 
 18.21  contribution against the contributing committee. 
 18.22     (b) Contributions from terminating principal campaign 
 18.23  committees not accepted by another principal campaign committee 
 18.24  must be deposited in the general account of the state elections 
 18.25  campaign fund. 
 18.26     Sec. 34.  Minnesota Statutes 2000, section 10A.29, is 
 18.27  amended to read: 
 18.28     10A.29 [CIRCUMVENTION PROHIBITED.] 
 18.29     Any attempt by An individual or association that attempts 
 18.30  to circumvent this chapter by redirecting a contribution 
 18.31  through, or making a contribution on behalf of, another 
 18.32  individual or association is a gross misdemeanor subject to a 
 18.33  civil penalty imposed by the board of up to $3,000. 
 18.34     Sec. 35.  Minnesota Statutes 2001 Supplement, section 
 18.35  10A.31, subdivision 7, is amended to read: 
 18.36     Subd. 7.  [DISTRIBUTION OF GENERAL ACCOUNT.] (a) As soon as 
 19.1   the board has obtained the results of the primary election from 
 19.2   the secretary of state, but no later than one week after 
 19.3   certification of the primary results by the state canvassing 
 19.4   board, the board must distribute the available money in the 
 19.5   general account, as certified by the commissioner of revenue on 
 19.6   September 1 and according to allocations set forth in 
 19.7   subdivision 5, in equal amounts to all candidates of a major 
 19.8   political party whose names are to appear on the ballot in the 
 19.9   general election and who: 
 19.10     (1) have signed a spending limit agreement under section 
 19.11  10A.322; 
 19.12     (2) have filed the affidavit of contributions required by 
 19.13  section 10A.323; and 
 19.14     (3) have filed the agreement required under paragraph (c); 
 19.15  and 
 19.16     (4) were opposed in either the primary election or the 
 19.17  general election.  
 19.18     (b) The public subsidy under this subdivision may not be 
 19.19  paid in an amount that would cause the sum of the public subsidy 
 19.20  paid from the party account plus the public subsidy paid from 
 19.21  the general account to exceed 50 percent of the expenditure 
 19.22  limit for the candidate or 50 percent of the expenditure limit 
 19.23  that would have applied to the candidate if the candidate had 
 19.24  not been freed from expenditure limits under section 10A.25, 
 19.25  subdivision 10.  Money from the general account not paid to a 
 19.26  candidate because of the 50 percent limit must be distributed 
 19.27  equally among all other qualifying candidates for the same 
 19.28  office until all have reached the 50 percent limit or the 
 19.29  balance in the general account is exhausted. 
 19.30     (c) No later than one week after the primary results have 
 19.31  been certified by the state canvassing board, a candidate 
 19.32  wishing to receive money distributed by the board under this 
 19.33  subdivision must execute and file an agreement with the board.  
 19.34  The agreement must provide that: 
 19.35     (1) if the A candidate does not must expend or promise to 
 19.36  disburse become obligated to expend at least an amount equal to 
 20.1   50 percent of the money distributed by the board under this 
 20.2   subdivision no later than the end of the final reporting period 
 20.3   preceding the general election, then.  Otherwise, the candidate 
 20.4   agrees to must repay to the board the remainder of the money the 
 20.5   difference between the amount the candidate spent or became 
 20.6   obligated to spend by the deadline and the amount distributed to 
 20.7   the candidate under this subdivision.  The candidate must make 
 20.8   the repayment no later than six months following the date of the 
 20.9   general election; and 
 20.10     (2).  The candidate agrees to must reimburse the board for 
 20.11  all reasonable costs, including litigation costs, incurred in 
 20.12  collecting any amount due following that date. 
 20.13     If the board determines that a candidate has failed to 
 20.14  repay money as required by an agreement under this 
 20.15  subdivision paragraph, the board may not distribute any 
 20.16  additional money to the candidate under this subdivision until 
 20.17  the entirety of the unexpended money is repaid or 
 20.18  discharged repayment has been made. 
 20.19     Sec. 36.  Minnesota Statutes 2000, section 10A.322, 
 20.20  subdivision 1, is amended to read: 
 20.21     Subdivision 1.  [AGREEMENT BY CANDIDATE.] (a) As a 
 20.22  condition of receiving a public subsidy, a candidate must sign 
 20.23  and file with the board a written agreement in which the 
 20.24  candidate agrees that the candidate will comply with sections 
 20.25  10A.25; 10A.27, subdivision 10; 10A.31, subdivision 7, paragraph 
 20.26  (c); and 10A.324; and that the candidate's principal campaign 
 20.27  committee will not make independent expenditures on behalf of or 
 20.28  against another candidate. 
 20.29     (b) Before the first day of filing for office, the board 
 20.30  must forward agreement forms to all filing officers.  The board 
 20.31  must also provide agreement forms to candidates on request at 
 20.32  any time.  The candidate must file the agreement with the board 
 20.33  by September 1 preceding the candidate's general election or a 
 20.34  special election held at the general election.  An agreement may 
 20.35  not be filed after that date.  An agreement once filed may not 
 20.36  be rescinded. 
 21.1      (c) The board must notify the commissioner of revenue of 
 21.2   any agreement signed under this subdivision. 
 21.3      (d) Notwithstanding paragraph (b), if a vacancy occurs that 
 21.4   will be filled by means of a special election and the filing 
 21.5   period does not coincide with the filing period for the general 
 21.6   election, a candidate may sign and submit a spending limit 
 21.7   agreement not later than the day after the candidate files the 
 21.8   affidavit of candidacy or nominating petition for the office. 
 21.9      Sec. 37.  Minnesota Statutes 2000, section 10A.323, is 
 21.10  amended to read: 
 21.11     10A.323 [AFFIDAVIT OF CONTRIBUTIONS.] 
 21.12     In addition to the requirements of section 10A.322, to be 
 21.13  eligible to receive a public subsidy under section 10A.31 a 
 21.14  candidate or the candidate's treasurer must file an affidavit 
 21.15  with the board stating that during that calendar year the 
 21.16  candidate has accumulated contributions from persons eligible to 
 21.17  vote in this state in at least the amount indicated for the 
 21.18  office sought, counting only the first $50 received from each 
 21.19  contributor: 
 21.20     (1) candidates for governor and lieutenant governor running 
 21.21  together, $35,000; 
 21.22     (2) candidates for attorney general, $15,000; 
 21.23     (3) candidates for secretary of state and state auditor, 
 21.24  separately, $6,000; 
 21.25     (4) candidates for the senate, $3,000; and 
 21.26     (5) candidates for the house of representatives, $1,500. 
 21.27     The affidavit must state the total amount of contributions 
 21.28  that have been received from persons eligible to vote in this 
 21.29  state, disregarding the portion of any contribution in excess of 
 21.30  $50.  
 21.31     The candidate or the candidate's treasurer must submit the 
 21.32  affidavit required by this section to the board in writing by 
 21.33  September 1 of the general election year to receive the payment 
 21.34  made following the primary election and by November 1 to receive 
 21.35  the payment made following the general election.  
 21.36     A candidate for a vacancy to be filled at a special 
 22.1   election for which the filing period does not coincide with the 
 22.2   filing period for the general election must submit the affidavit 
 22.3   required by this section to the board within five days after 
 22.4   filing the affidavit of candidacy. 
 22.5      Sec. 38.  Minnesota Statutes 2000, section 356A.06, 
 22.6   subdivision 4, is amended to read: 
 22.7      Subd. 4.  [ECONOMIC INTEREST STATEMENT.] (a) Each member of 
 22.8   the governing board of a covered pension plan and the chief 
 22.9   administrative officer of the plan shall file with the plan a 
 22.10  statement of economic interest.  
 22.11     (b) For a covered pension plan other than a plan specified 
 22.12  in paragraph (c), the statement must contain the information 
 22.13  required by section 10A.09, subdivision 5, and any other 
 22.14  information that the fiduciary or the governing board of the 
 22.15  plan determines is necessary to disclose a reasonably 
 22.16  foreseeable potential or actual conflict of interest.  
 22.17     (c) For a covered pension plan governed by sections 69.771 
 22.18  to 69.776 or a covered pension plan governed by section 69.77 
 22.19  with assets under $8,000,000, the statement must contain the 
 22.20  following: 
 22.21     (1) the person's principal occupation and principal place 
 22.22  of business; 
 22.23     (2) whether or not the person has an ownership of or 
 22.24  interest of ten percent or greater in an investment security 
 22.25  brokerage business, a real estate sales business, an insurance 
 22.26  agency, a bank, a savings and loan, or another financial 
 22.27  institution; and 
 22.28     (3) any relationship or financial arrangement that can 
 22.29  reasonably be expected to give rise to a conflict of interest. 
 22.30     (d) The statement must be filed annually with the chief 
 22.31  administrative officer of the plan and be available for public 
 22.32  inspection during regular office hours at the office of the 
 22.33  pension plan.  
 22.34     (e) A disclosure form meeting the requirements of the 
 22.35  federal Investment Advisers Act of 1940, United States Code, 
 22.36  title 15, sections 80b-1 to 80b-21 as amended, and filed with 
 23.1   the state board of investment or the pension plan meets the 
 23.2   requirements of this subdivision. 
 23.3      (f) The chief administrative officer of each covered 
 23.4   pension plan, by January 15, annually, shall transmit a copy 
 23.5   certified listing of all individuals who have filed statements 
 23.6   of economic interest received by with the plan under this 
 23.7   subdivision during the preceding 12 months to the campaign 
 23.8   finance and public disclosure board. 
 23.9      Sec. 39.  [TRANSITION.] 
 23.10     A candidate who signed and filed with the campaign finance 
 23.11  and public disclosure board a spending limit agreement for the 
 23.12  election cycle ending December 31, 2002, before the effective 
 23.13  date of this act is governed by the provisions of Minnesota 
 23.14  Statutes 2000, section 10A.31, subdivision 7, as they existed 
 23.15  before the amendments made by Laws 2001, First Special Session 
 23.16  chapter 10, article 18, section 2, and this act, until the 
 23.17  candidate signs a new spending limit agreement after the 
 23.18  effective date of this act. 
 23.19     Sec. 40.  [EFFECTIVE DATE.] 
 23.20     This act is effective the day following final enactment.