SF 661

1st Unofficial Engrossment - 88th Legislature (2013 - 2014)

Posted on 05/16/2013 07:35 a.m.

1.1A bill for an act 1.2relating to campaign finance; providing for additional disclosure; making various 1.3changes to campaign finance and public disclosure law; providing penalties; 1.4amending Minnesota Statutes 2012, sections 10A.01, subdivisions 10, 11, 27, 1.528, 35, by adding subdivisions; 10A.02, subdivisions 9, 10, 11, 12, 15; 10A.025, 1.6subdivisions 2, 3; 10A.07; 10A.071, subdivision 1; 10A.08; 10A.09, subdivision 1.76a, by adding a subdivision; 10A.105, subdivision 1; 10A.12, subdivisions 1.81, 1a, 2; 10A.121; 10A.14, subdivision 1, by adding a subdivision; 10A.15, 1.9subdivisions 1, 2, 3; 10A.20, subdivisions 1, 2, 3, 5, 6, 7, by adding a subdivision; 1.1010A.241; 10A.25, subdivisions 2, 2a, 3, 5; 10A.257, subdivision 1; 10A.27, 1.11subdivisions 1, 10, 11, 13, 14, 15; 10A.323; 211B.32, subdivision 1; proposing 1.12coding for new law in Minnesota Statutes, chapter 10A; repealing Minnesota 1.13Statutes 2012, sections 10A.24; 10A.242; 10A.25, subdivision 6. 1.14BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.15ARTICLE 1 1.16CAMPAIGN FINANCE AND PUBLIC DISCLOSURE 1.17    Section 1. Minnesota Statutes 2012, section 10A.01, is amended by adding a 1.18subdivision to read: 1.19     new text begin Subd. 7c. new text end new text begin Ballot question political committee. new text end new text begin "Ballot question political new text end 1.20 new text begin committee" means a political committee that makes only expenditures to promote or defeat new text end 1.21 new text begin a ballot question and disbursements permitted under section 10A.121, subdivision 1. new text end 1.22    Sec. 2. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision 1.23to read: 1.24     new text begin Subd. 7d. new text end new text begin Ballot question political fund. new text end new text begin "Ballot question political fund" means new text end 1.25 new text begin a political fund that makes only expenditures to promote or defeat a ballot question and new text end 1.26 new text begin disbursements permitted under section 10A.121, subdivision 1. new text end 2.1    Sec. 3. Minnesota Statutes 2012, section 10A.01, subdivision 10, is amended to read: 2.2    Subd. 10. Candidate. "Candidate" means an individual who seeks nomination or 2.3election as a state constitutional officer, legislator, or judge. An individual is deemed to seek 2.4nomination or election if the individual has taken the action necessary under the law of this 2.5state to qualify for nomination or election, has received contributions or made expenditures 2.6in excess of $100, or has given implicit or explicit consent for any other person to receive 2.7contributions or make expenditures in excess of $100, for the purpose of bringing about the 2.8individual's nomination or election. A candidate remains a candidate until the candidate's 2.9principal campaign committee is dissolved as provided in section new text begin 10A.243 new text end . 2.10    Sec. 4. Minnesota Statutes 2012, section 10A.01, subdivision 11, is amended to read: 2.11    Subd. 11. Contribution. (a) "Contribution" means money, a negotiable instrument, 2.12or a donation in kind that is given to a political committee, political fund, principal 2.13campaign committee, or party unit. new text begin An allocation by an association of general treasury new text end 2.14 new text begin money to be used for activities that must be or are reported through the association's new text end 2.15 new text begin political fund is considered to be a contribution for the purposes of disclosure required new text end 2.16 new text begin by this chapter. new text end 2.17(b) "Contribution" includes a loan or advance of credit to a political committee, 2.18political fund, principal campaign committee, or party unit, if the loan or advance of credit 2.19is: (1) forgiven; or (2) repaid by an individual or an association other than the political 2.20committee, political fund, principal campaign committee, or party unit to which the loan 2.21or advance of credit was made. If an advance of credit or a loan is forgiven or repaid as 2.22provided in this paragraph, it is a contribution in the year in which the loan or advance 2.23of credit was made. 2.24(c) "Contribution" does not include services provided without compensation by an 2.25individual volunteering personal time on behalf of a candidate, ballot question, political 2.26committee, political fund, principal campaign committee, or party unit; the publishing or 2.27broadcasting of news items or editorial comments by the news media; or an individual's 2.28unreimbursed personal use of an automobile owned by the individual while volunteering 2.29personal time. 2.30    Sec. 5. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision 2.31to read: 2.32     new text begin Subd. 16a. new text end new text begin Expressly advocating. new text end new text begin "Expressly advocating" means that a new text end 2.33 new text begin communication clearly identifies a candidate and uses words or phrases of express new text end 2.34 new text begin advocacy. new text end 3.1    Sec. 6. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision 3.2to read: 3.3     new text begin Subd. 17c. new text end new text begin General treasury money. new text end new text begin "General treasury money" means money new text end 3.4 new text begin that an association other than a principal campaign committee, party unit, or political new text end 3.5 new text begin committee accumulates through membership dues and fees, donations to the association new text end 3.6 new text begin for its general purposes, and income from the operation of a business. General treasury new text end 3.7 new text begin money does not include money collected to influence the nomination or election of new text end 3.8 new text begin candidates or to promote or defeat a ballot question. new text end 3.9    Sec. 7. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision 3.10to read: 3.11     new text begin Subd. 26a. new text end new text begin Person. new text end new text begin "Person" means an individual, an association, a political new text end 3.12 new text begin subdivision, or a public higher education system. new text end 3.13    Sec. 8. Minnesota Statutes 2012, section 10A.01, subdivision 27, is amended to read: 3.14    Subd. 27. Political committee. "Political committee" means an association whose 3.15major purpose is to influence the nomination or election of a candidate new text begin one or more new text end 3.16 new text begin candidates new text end or to promote or defeat a ballot question, other than a principal campaign 3.17committee or a political party unit. 3.18    Sec. 9. Minnesota Statutes 2012, section 10A.01, subdivision 28, is amended to read: 3.19    Subd. 28. Political fund. "Political fund" means an accumulation of dues or 3.20voluntary contributions by an association other than a political committee, principal 3.21campaign committee, or party unit, if the accumulation is collected or expended to 3.22influence the nomination or election of a candidate new text begin one or more candidates new text end or to promote 3.23or defeat a ballot question. new text begin The term "political fund" as used in this chapter may also refer new text end 3.24 new text begin to the association acting through its political fund. new text end 3.25    Sec. 10. Minnesota Statutes 2012, section 10A.02, subdivision 9, is amended to read: 3.26    Subd. 9. Documents; information. The executive director must inspect all material 3.27filed with the board as promptly as necessary to comply with this chapter and new text begin , with new text end other 3.28provisions of law requiring the filing of a document with the board new text begin , and with other new text end 3.29 new text begin provisions of law under the board's jurisdiction pursuant to subdivision 11 new text end . The executive 3.30director must immediately notify the new text begin an new text end individual required to file a document with the 3.31board if a written complaint is filed with the board alleging, or it otherwise appears, that a 3.32document filed with the board is inaccurate or does not comply with this chapter, or that 4.1the individual has failed to file a document required by this chapter new text begin or has failed to comply new text end 4.2 new text begin with this chapter or other provisions under the board's jurisdiction pursuant to subdivision new text end 4.3 new text begin 11 new text end . The executive director may provide an individual required to file a document under 4.4this chapter with factual information concerning the limitations on corporate campaign 4.5contributions imposed by section . 4.6    Sec. 11. Minnesota Statutes 2012, section 10A.02, subdivision 10, is amended to read: 4.7    Subd. 10. Audits and investigations. The board may make audits and investigations new text begin , new text end 4.8 new text begin impose statutory civil penalties, and issue orders for compliance new text end with respect to statements 4.9and reports that are filed or that should have been filed under new text begin the requirements of new text end this 4.10chapter new text begin and provisions under the board's jurisdiction pursuant to subdivision 11 new text end . In all 4.11matters relating to its official duties, the board has the power to issue subpoenas and cause 4.12them to be served. If a person does not comply with a subpoena, the board may apply to 4.13the District Court of Ramsey County for issuance of an order compelling obedience to the 4.14subpoena. A person failing to obey the order is punishable by the court as for contempt. 4.15    Sec. 12. Minnesota Statutes 2012, section 10A.02, subdivision 11, is amended to read: 4.16    Subd. 11. Violations; enforcement. (a) The board may investigate any alleged 4.17violation of this chapter. new text begin The board may also investigate an alleged violation of section new text end 4.18 new text begin 211B.04, 211B.12, or 211B.15 by or related to a candidate, treasurer, principal campaign new text end 4.19 new text begin committee, political committee, political fund, or party unit, as those terms are defined in new text end 4.20 new text begin this chapter. new text end The board must investigate any violation that is alleged in a written complaint 4.21filed with the board and must within 30 days after the filing of the complaint make a public 4.22finding of whether there is probable cause to believe a violation has occurred new text begin findings and new text end 4.23 new text begin conclusions as to whether a violation has occurred and must issue an order new text end , except that 4.24if the complaint alleges a violation of section 10A.25 or 10A.27, the board must either 4.25enter a conciliation agreement or make a public finding of whether there is probable cause, 4.26 new text begin findings and conclusions as to whether a violation has occurred and must issue an order new text end 4.27 within 60 days after the filing of the complaint. The deadline for action on a written 4.28complaint may be extended by majority vote of the board. 4.29 new text begin (b) The board may bring legal actions or negotiate settlements in its own name to new text end 4.30 new text begin recover money raised from contributions subject to the conditions in this paragraph. new text end 4.31 new text begin (1) No action may be commenced unless the board has made a formal determination, new text end 4.32 new text begin after an investigation, that the money was raised for political purposes as defined in new text end 4.33 new text begin section 211B.01, subdivision 6, and that the money was used for purposes not permitted new text end 4.34 new text begin under this chapter or under section 211B.12. new text end 5.1 new text begin (2) Prior to commencing an action, the board must give the association whose money new text end 5.2 new text begin was misused written notice by certified mail of its intent to take action under this subdivision new text end 5.3 new text begin and must give the association a reasonable opportunity, for a period of not less than 90 new text end 5.4 new text begin days, to recover the money without board intervention. This period must be extended new text end 5.5 new text begin for at least an additional 90 days for good cause if the association is actively pursuing new text end 5.6 new text begin recovery of the money. The board may not commence a legal action under this subdivision new text end 5.7 new text begin if the association has commenced a legal action for the recovery of the same money. new text end 5.8 new text begin (3) Any funds recovered under this subdivision must be deposited in a campaign new text end 5.9 new text begin finance recovery account in the special revenue fund and are appropriated as follows: new text end 5.10 new text begin (i) an amount equal to the board's actual costs and disbursements in the action, new text end 5.11 new text begin including court reporter fees for depositions taken in the course of an investigation, is new text end 5.12 new text begin appropriated to the board for its operations; new text end 5.13 new text begin (ii) an amount equal to the reasonable value of legal services provided by the Office new text end 5.14 new text begin of the Attorney General in the recovery matter, calculated on the same basis as is used new text end 5.15 new text begin for charging legal fees to state agencies, is appropriated to the attorney general for the new text end 5.16 new text begin attorney general's operations; and new text end 5.17 new text begin (iii) any remaining balance is appropriated to the board for distribution to the new text end 5.18 new text begin association to which the money was originally contributed. new text end 5.19 new text begin (4) Notwithstanding clause (3), item (iii), if the candidate of a principal campaign new text end 5.20 new text begin committee is the person who used the association's money for illegal purposes, or if the new text end 5.21 new text begin association or political fund whose money was misused is no longer registered with the new text end 5.22 new text begin board, any money remaining after the payments specified in clause (3), items (i) and (ii), new text end 5.23 new text begin must be transferred to the general account of the state elections campaign account. new text end 5.24 new text begin (5) Any action by the board under this paragraph must be commenced not later than new text end 5.25 new text begin four years after the improper use of money is shown on a report filed with the board or the new text end 5.26 new text begin board has actual knowledge of improper use. No action may be commenced under this new text end 5.27 new text begin paragraph for improper uses disclosed on reports for calendar years prior to 2011. new text end 5.28 new text begin (6) If the board prevails in an action brought under this subdivision and the court new text end 5.29 new text begin makes a finding that the misuse of funds was willful, the court may enter judgment in favor new text end 5.30 new text begin of the board and against the person misusing the funds in the amount of the misused funds. new text end 5.31(b) new text begin (c) new text end Within a reasonable time after beginning an investigation of an individual 5.32or association, the board must notify the individual or association of the fact of the 5.33investigation. The board must not make a finding of whether there is probable cause to 5.34believe a violation has occurred without notifying the individual or association of the 5.35nature of the allegations and affording an opportunity to answer those allegations. 6.1(c) new text begin (d) new text end A hearing or action of the board concerning a complaint or investigation 6.2other than a finding concerning probable cause or a conciliation agreement is confidential. 6.3Until the board makes a public finding concerning probable cause or enters a conciliation 6.4agreement: 6.5(1) a member, employee, or agent of the board must not disclose to an individual 6.6information obtained by that member, employee, or agent concerning a complaint or 6.7investigation except as required to carry out the investigation or take action in the matter 6.8as authorized by this chapter; and 6.9(2) an individual who discloses information contrary to this subdivision is subject 6.10to a civil penalty imposed by the board of up to $1,000. 6.11 new text begin (e) A matter that is under the board's jurisdiction pursuant to this section and that new text end 6.12 new text begin may result in a criminal offense must be finally disposed of by the board before the alleged new text end 6.13 new text begin violation may be prosecuted by a city or county attorney. new text end 6.14    Sec. 13. Minnesota Statutes 2012, section 10A.02, subdivision 12, is amended to read: 6.15    Subd. 12. Advisory opinions. (a) The board may issue and publish advisory 6.16opinions on the requirements of this chapter new text begin and of those sections listed in subdivision 11 new text end 6.17 based upon real or hypothetical situations. An application for an advisory opinion may 6.18be made only by an individual or association new text begin a person new text end who new text begin is subject to chapter 10A and new text end 6.19 new text begin who new text end wishes to use the opinion to guide the individual's or the association's new text begin person's new text end own 6.20conduct. The board must issue written opinions on all such questions submitted to it 6.21within 30 days after receipt of written application, unless a majority of the board agrees 6.22to extend the time limit. 6.23(b) A written advisory opinion issued by the board is binding on the board in a 6.24subsequent board proceeding concerning the person making or covered by the request and 6.25is a defense in a judicial proceeding that involves the subject matter of the opinion and is 6.26brought against the person making or covered by the request unless: 6.27(1) the board has amended or revoked the opinion before the initiation of the board 6.28or judicial proceeding, has notified the person making or covered by the request of its 6.29action, and has allowed at least 30 days for the person to do anything that might be 6.30necessary to comply with the amended or revoked opinion; 6.31(2) the request has omitted or misstated material facts; or 6.32(3) the person making or covered by the request has not acted in good faith in 6.33reliance on the opinion. 6.34(c) A request for an opinion and the opinion itself are nonpublic data. The board, 6.35however, may publish an opinion or a summary of an opinion, but may not include in the 7.1publication the name of the requester, the name of a person covered by a request from an 7.2agency or political subdivision, or any other information that might identify the requester, 7.3unless the person consents to the inclusion. 7.4    Sec. 14. Minnesota Statutes 2012, section 10A.02, subdivision 15, is amended to read: 7.5    Subd. 15. Disposition of fees. The board must deposit all fees new text begin and civil penalties new text end 7.6 collected under this chapter into the general fund in the state treasury. 7.7    Sec. 15. Minnesota Statutes 2012, section 10A.025, subdivision 2, is amended to read: 7.8    Subd. 2. Penalty for false statements. new text begin (a) new text end A report or statement required to be filed 7.9under this chapter must be signed and certified as true by the individual required to file the 7.10report. The signature may be an electronic signature consisting of a password assigned 7.11by the board. 7.12 new text begin (b) new text end An individual who signs and certifies new text begin shall not sign and certify new text end to be true a 7.13report or statement knowing it contains false information or who knowingly new text begin knowing it new text end 7.14 omits required information is guilty of a gross misdemeanor and subject to a civil penalty 7.15imposed by the board of up to $3,000. 7.16 new text begin (c) An individual shall not knowingly provide false or incomplete information to new text end 7.17 new text begin a treasurer with the intent that the treasurer will rely on that information in signing and new text end 7.18 new text begin certifying to be true a report or statement. new text end 7.19 new text begin (d) A person who violates paragraph (b) or (c) is subject to a civil penalty imposed new text end 7.20 new text begin by the board of up to $3,000. A violation of paragraph (b) or (c) is a gross misdemeanor. new text end 7.21 new text begin (e) The board may impose an additional civil penalty of up to $3,000 on the principal new text end 7.22 new text begin campaign committee or candidate, party unit, political committee, or association that has a new text end 7.23 new text begin political fund that is affiliated with an individual who violated paragraph (b) or (c). new text end 7.24    Sec. 16. Minnesota Statutes 2012, section 10A.025, subdivision 3, is amended to read: 7.25    Subd. 3. Record keeping; penalty. new text begin (a) new text end A person required to file a report or statement 7.26 new text begin or who has accepted record-keeping responsibility for the filer new text end must maintain records on 7.27the matters required to be reported, including vouchers, canceled checks, bills, invoices, 7.28worksheets, and receipts, that will provide in sufficient detail the necessary information 7.29from which the filed reports and statements may be verified, explained, clarified, and 7.30checked for accuracy and completeness. The person must keep the records available for 7.31audit, inspection, or examination by the board or its authorized representatives for four 7.32years from the date of filing of the reports or statements or of changes or corrections to 7.33them. A person who knowingly violates this subdivision is guilty of a misdemeanor. 8.1 new text begin (b) The board may impose a civil penalty of up to $3,000 on a person who knowingly new text end 8.2 new text begin violates this subdivision. The board may impose a separate civil penalty of up to $3,000 new text end 8.3 new text begin on the principal campaign committee or candidate, party unit, political committee, or new text end 8.4 new text begin association that has a political fund that is affiliated with an individual who violated new text end 8.5 new text begin this subdivision. new text end 8.6 new text begin (c) A knowing violation of this subdivision is a misdemeanor. new text end 8.7    Sec. 17. Minnesota Statutes 2012, section 10A.105, subdivision 1, is amended to read: 8.8    Subdivision 1. Single committee. A candidate must not accept contributions from a 8.9source, other than self, in aggregate in excess of $100 new text begin $750 new text end or accept a public subsidy 8.10unless the candidate designates and causes to be formed a single principal campaign 8.11committee for each office sought. A candidate may not authorize, designate, or cause to be 8.12formed any other political committee bearing the candidate's name or title or otherwise 8.13operating under the direct or indirect control of the candidate. However, a candidate may 8.14be involved in the direct or indirect control of a party unit. 8.15    Sec. 18. Minnesota Statutes 2012, section 10A.12, subdivision 1, is amended to read: 8.16    Subdivision 1. When required new text begin for contributions and approved expenditures new text end . An 8.17association other than a political committee or party unit may not contribute more than 8.18$100 new text begin $750 new text end in aggregate in any one new text begin calendar new text end year to candidates, political committees, or 8.19party units or make any approved or independent expenditure or expenditure to promote 8.20or defeat a ballot question new text begin expenditures of more than $750 in aggregate in any calendar new text end 8.21 new text begin year new text end unless the contribution or expenditure is made from new text begin through new text end a political fund. 8.22    Sec. 19. Minnesota Statutes 2012, section 10A.12, subdivision 1a, is amended to read: 8.23    Subd. 1a. When required for independent expenditures new text begin or ballot questions new text end . An 8.24association other than a political committee that makes only independent expenditures 8.25and disbursements permitted under section 10A.121, subdivision 1, new text begin or expenditures to new text end 8.26 new text begin promote or defeat a ballot question new text end must do so by forming and registering new text begin through new text end an 8.27independent expenditure new text begin or ballot question new text end political fund if the expenditure is in excess of 8.28$100 new text begin independent expenditures aggregate more than $1,500 in a calendar year or if the new text end 8.29 new text begin expenditures to promote or defeat a ballot question aggregate more than $5,000 in a new text end 8.30 new text begin calendar year, new text end or by contributing to an existing independent expenditure new text begin or ballot question new text end 8.31 political committee or political fund. 8.32    Sec. 20. Minnesota Statutes 2012, section 10A.12, subdivision 2, is amended to read: 9.1    Subd. 2. Commingling prohibited. The contents of a new text begin an association's new text end political 9.2fund may not be commingled with other funds or with the personal funds of an officer or 9.3member of the new text begin association or the new text end fund. new text begin It is not commingling for an association that uses new text end 9.4 new text begin only its own general treasury money to make expenditures and disbursements permitted new text end 9.5 new text begin under section 10A.121, subdivision 1, directly from the depository used for its general new text end 9.6 new text begin treasury money. An association that accepts more than $1,500 in contributions to influence new text end 9.7 new text begin the nomination or election of candidates or more than $5,000 in contributions to promote new text end 9.8 new text begin or defeat a ballot question must establish a separate depository for those contributions. new text end 9.9    Sec. 21. Minnesota Statutes 2012, section 10A.121, is amended to read: 9.1010A.121 INDEPENDENT EXPENDITURE new text begin AND BALLOT QUESTION new text end 9.11POLITICAL COMMITTEES AND INDEPENDENT EXPENDITURE POLITICAL 9.12FUNDS. 9.13    Subdivision 1. Permitted disbursements. An independent expenditure political 9.14committee or an independent expenditure political new text begin fund, or a ballot question political new text end 9.15 new text begin committee or new text end fund, in addition to making independent expenditures, may: 9.16    (1) pay costs associated with its fund-raising and general operations; 9.17    (2) pay for communications that do not constitute contributions or approved 9.18expenditures; and 9.19    (3) make contributions to other independent expenditure new text begin or ballot question new text end political 9.20committees or independent expenditure political funds new text begin ; new text end 9.21     new text begin (4) make independent expenditures; new text end 9.22     new text begin (5) make expenditures to promote or defeat ballot questions; new text end 9.23     new text begin (6) return a contribution to its source; new text end 9.24     new text begin (7) for a political fund, record bookkeeping entries transferring the association's new text end 9.25 new text begin general treasury money allocated for political purposes back to the general treasury of new text end 9.26 new text begin the association; and new text end 9.27     new text begin (8) for a political fund, return general treasury money transferred to a separate new text end 9.28 new text begin depository to the general depository of the association new text end . 9.29    Subd. 2. Penalty. (a) An independent expenditure political committee or 9.30independent expenditure political fund is subject to a civil penalty of up to four times the 9.31amount of the contribution or approved expenditure if it does the following: 9.32    (1) makes a contribution to a candidate, party unit, political committee, or political 9.33fund other than an independent expenditure political committee or an independent 9.34expenditure political fund; or 9.35    (2) makes an approved expenditure. 10.1    (b) No other penalty provided in law may be imposed for conduct that is subject to a 10.2civil penalty under this section. 10.3    Sec. 22. Minnesota Statutes 2012, section 10A.14, subdivision 1, is amended to read: 10.4    Subdivision 1. First registration. The treasurer of a political committee, political 10.5fund, principal campaign committee, or party unit must register with the board by filing 10.6a new text begin registration new text end statement of organization no later than 14 days after the committee, fund, 10.7or party unit has made a contribution, received contributions, or made expenditures in 10.8excess of $100 new text begin $750 new text end , or by the end of the next business day after it has received a loan 10.9or contribution that must be reported under section 10A.20, subdivision 5, whichever is 10.10earlier. new text begin This subdivision does not apply to ballot question or independent expenditure new text end 10.11 new text begin political committees or funds, which are subject to subdivision 1a. new text end 10.12    Sec. 23. Minnesota Statutes 2012, section 10A.14, is amended by adding a subdivision 10.13to read: 10.14     new text begin Subd. 1a. new text end new text begin Independent expenditure or ballot question political committees new text end 10.15 new text begin and funds; first registration; reporting. new text end new text begin The treasurer of an independent expenditure new text end 10.16 new text begin or ballot question political committee or fund must register with the board by filing new text end 10.17 new text begin a registration statement: new text end 10.18 new text begin (1) no later than 14 calendar days after the committee or the association registering new text end 10.19 new text begin the political fund has: new text end 10.20 new text begin (i) received aggregate contributions for independent expenditures of more than new text end 10.21 new text begin $1,500 in a calendar year; new text end 10.22 new text begin (ii) received aggregate contributions for expenditures to promote or defeat a ballot new text end 10.23 new text begin question of more than $5,000 in a calendar year; new text end 10.24 new text begin (iii) made aggregate independent expenditures of more than $1,500 in a calendar new text end 10.25 new text begin year; or new text end 10.26 new text begin (iv) made aggregate expenditures to promote or defeat a ballot question of more new text end 10.27 new text begin than $5,000 in a calendar year; or new text end 10.28 new text begin (2) by the end of the next business day after it has received a loan or contribution new text end 10.29 new text begin that must be reported under section 10A.20, subdivision 5, and it has met one of the new text end 10.30 new text begin requirements of clause (1). new text end 10.31    Sec. 24. Minnesota Statutes 2012, section 10A.15, subdivision 1, is amended to read: 10.32    Subdivision 1. Anonymous contributions. A political committee, political fund, 10.33principal campaign committee, or party unit may not retain an anonymous contribution in 11.1excess of $20 new text begin $50 new text end , but must forward it to the board for deposit in the general account of 11.2the state elections campaign fund new text begin account new text end . 11.3    Sec. 25. Minnesota Statutes 2012, section 10A.15, subdivision 2, is amended to read: 11.4    Subd. 2. Source; amount; date. An individual who receives a contribution in 11.5excess of $20 new text begin $50 new text end for a political committee, political fund, principal campaign committee, 11.6or party unit must, on demand of the treasurer, inform the treasurer of the name and, if 11.7known, the address of the source of the contribution, the amount of the contribution, and 11.8the date it was received. 11.9    Sec. 26. Minnesota Statutes 2012, section 10A.15, subdivision 3, is amended to read: 11.10    Subd. 3. Deposit. All contributions received by or on behalf of a candidate, 11.11principal campaign committee, political committee, political fund, or party unit must 11.12be deposited in an account designated "Campaign Fund of ..... (name of candidate, 11.13committee, fund, or party unit)." All contributions must be deposited promptly upon 11.14receipt and, except for contributions received during the last three days of a reporting 11.15period as described in section 10A.20, must be deposited during the reporting period 11.16in which they were received. A contribution received during the last three days of a 11.17reporting period must be deposited within 72 hours after receipt and must be reported 11.18as received during the reporting period whether or not deposited within that period. A 11.19candidate, principal campaign committee, political committee, political fund, or party unit 11.20may refuse to accept a contribution. A deposited contribution may be returned to the 11.21contributor within 60 new text begin 90 new text end days after deposit. A contribution deposited and not returned 11.22within 60 new text begin 90 new text end days after that deposit must be reported as accepted. 11.23    Sec. 27. Minnesota Statutes 2012, section 10A.20, subdivision 1, is amended to read: 11.24    Subdivision 1. First filing; duration. The treasurer of a political committee, political 11.25fund, principal campaign committee, or party unit must begin to file the reports required 11.26by this section in new text begin for new text end the first year it receives contributions or makes expenditures in excess 11.27of $100 new text begin that require it to register under section 10A.14 new text end and must continue to file until the 11.28committee, fund, or party unit is terminated. The reports must be filed electronically in a 11.29standards-based open format specified by the board. For good cause shown, the board 11.30must grant exemptions to the requirement that reports be filed electronically. 11.31    Sec. 28. Minnesota Statutes 2012, section 10A.20, subdivision 2, is amended to read: 12.1    Subd. 2. Time for filing. (a) The reports must be filed with the board on or before 12.2January 31 of each year and additional reports must be filed as required and in accordance 12.3with paragraphs (b) to (d). 12.4(b) In each year in which the name of the new text begin a new text end candidate new text begin for legislative or district court new text end 12.5 new text begin judicial office new text end is on the ballot, the report of the principal campaign committee must be 12.6filed 15 days before a primary and ten days before a general election, seven days before a 12.7special primary and a special election, and ten days after a special election cycle. 12.8(c) In each general election year, a political committee or new text begin , a new text end political fund must file 12.9reports 28 and 15 days before a primary and 42 and ten days before a general election. 12.10Beginning in 2012, reports required under this paragraph must also be filed 56 days before 12.11a primary. new text begin , a state party committee, a party unit established by all or a part of the party new text end 12.12 new text begin organization within a house of the legislature, and the principal campaign committee new text end 12.13 new text begin of a candidate for constitutional or appellate court judicial office must file reports on new text end 12.14 new text begin the following schedule: new text end 12.15 new text begin (1) a first-quarter report covering the calendar year through March 31, which is new text end 12.16 new text begin due April 14; new text end 12.17 new text begin (2) in a year in which a primary election is held in August, a report covering the new text end 12.18 new text begin calendar year through May 31, which is due June 14; new text end 12.19 new text begin (3) in a year in which a primary election is held before August, a pre-general-election new text end 12.20 new text begin report covering the calendar year through July 15, which is due July 29; new text end 12.21 new text begin (4) a pre-primary-election report due 15 days before a primary election; new text end 12.22 new text begin (5) a pre-general-election report due 42 days before the general election; new text end 12.23 new text begin (6) a pre-general-election report due ten days before a general election; and new text end 12.24 new text begin (7) for a special election, a constitutional office candidate whose name is on the new text end 12.25 new text begin ballot must file reports seven days before a special primary and a special election, and ten new text end 12.26 new text begin days after a special election cycle. new text end 12.27(d) In each general election year, a party unit new text begin not included in paragraph (c) new text end must file 12.28reports 15 days before a primary new text begin election new text end and ten days before a general election. 12.29 new text begin (e) Notwithstanding paragraphs (a) to (d), the principal campaign committee of a new text end 12.30 new text begin candidate whose name will not be on the general election ballot is not required to file the new text end 12.31 new text begin report due ten days before a general election or seven days before a special election. new text end 12.32    Sec. 29. Minnesota Statutes 2012, section 10A.20, subdivision 3, is amended to read: 12.33    Subd. 3. Contents of report. new text begin (a) The report required by this section must include new text end 12.34 new text begin each of the items listed in paragraphs (b) to (o) that are applicable to the filer. The board new text end 13.1 new text begin shall prescribe forms based on filer type indicating which of those items must be included new text end 13.2 new text begin on the filer's report. new text end 13.3(a) new text begin (b) new text end The report must disclose the amount of liquid assets on hand at the beginning 13.4of the reporting period. 13.5(b) new text begin (c) new text end The report must disclose the name, address, and employer, or occupation if 13.6self-employed, of each individual or association that has made one or more contributions 13.7to the reporting entity, including the purchase of tickets for a fund-raising effort, that in 13.8aggregate within the year exceed $100 new text begin $200 new text end for legislative or statewide candidates or new text begin more new text end 13.9 new text begin than $500 for new text end ballot questions, together with the amount and date of each contribution, and 13.10the aggregate amount of contributions within the year from each source so disclosed. A 13.11donation in kind must be disclosed at its fair market value. An approved expenditure must 13.12be listed as a donation in kind. A donation in kind is considered consumed in the reporting 13.13period in which it is received. The names of contributors must be listed in alphabetical 13.14order. Contributions from the same contributor must be listed under the same name. When 13.15a contribution received from a contributor in a reporting period is added to previously 13.16reported unitemized contributions from the same contributor and the aggregate exceeds 13.17the disclosure threshold of this paragraph, the name, address, and employer, or occupation 13.18if self-employed, of the contributor must then be listed on the report. 13.19(c) new text begin (d) new text end The report must disclose the sum of contributions to the reporting entity 13.20during the reporting period. 13.21(d) new text begin (e) new text end The report must disclose each loan made or received by the reporting entity 13.22within the year in aggregate in excess of $100 new text begin $200 new text end , continuously reported until repaid or 13.23forgiven, together with the name, address, occupation, and principal place of business, 13.24if any, of the lender and any endorser and the date and amount of the loan. If a loan 13.25made to the principal campaign committee of a candidate is forgiven or is repaid by an 13.26entity other than that principal campaign committee, it must be reported as a contribution 13.27for the year in which the loan was made. 13.28(e) new text begin (f) new text end The report must disclose each receipt over $100 new text begin $200 new text end during the reporting 13.29period not otherwise listed under paragraphs (b) new text begin (c) new text end to (d) new text begin (e) new text end . 13.30(f) new text begin (g) new text end The report must disclose the sum of all receipts of the reporting entity during 13.31the reporting period. 13.32(g) new text begin (h) new text end The report must disclose the name and address of each individual or 13.33association to whom aggregate expenditures, including approved expenditures, 13.34 new text begin independent expenditures and ballot question expenditures new text end have been made by or on 13.35behalf of the reporting entity within the year in excess of $100 new text begin $200 new text end , together with the 13.36amount, date, and purpose of each expenditure and the name and address of, and office 14.1sought by, each candidate on whose behalf the expenditure was made, identification of the 14.2ballot question that the expenditure was intended to promote or defeat new text begin and an indication of new text end 14.3 new text begin whether the expenditure was to promote or to defeat the ballot question new text end , and in the case 14.4of independent expenditures made in opposition to a candidate, the candidate's name, 14.5address, and office sought. A reporting entity making an expenditure on behalf of more 14.6than one candidate for state or legislative office must allocate the expenditure among the 14.7candidates on a reasonable cost basis and report the allocation for each candidate. 14.8(h) new text begin (i) new text end The report must disclose the sum of all expenditures made by or on behalf of 14.9the reporting entity during the reporting period. 14.10(i) new text begin (j) new text end The report must disclose the amount and nature of an advance of credit 14.11incurred by the reporting entity, continuously reported until paid or forgiven. If an advance 14.12of credit incurred by the principal campaign committee of a candidate is forgiven by the 14.13creditor or paid by an entity other than that principal campaign committee, it must be 14.14reported as a donation in kind for the year in which the advance of credit was made. 14.15(j) new text begin (k) new text end The report must disclose the name and address of each political committee, 14.16political fund, principal campaign committee, or party unit to which contributions have 14.17been made that aggregate in excess of $100 new text begin $200 new text end within the year and the amount and 14.18date of each contribution. 14.19(k) new text begin (l) new text end The report must disclose the sum of all contributions made by the reporting 14.20entity during the reporting period. 14.21(l) new text begin (m) new text end The report must disclose the name and address of each individual or 14.22association to whom noncampaign disbursements have been made that aggregate in excess 14.23of $100 new text begin $200 new text end within the year by or on behalf of the reporting entity and the amount, date, 14.24and purpose of each noncampaign disbursement. 14.25(m) new text begin (n) new text end The report must disclose the sum of all noncampaign disbursements made 14.26within the year by or on behalf of the reporting entity. 14.27(n) new text begin (o) new text end The report must disclose the name and address of a nonprofit corporation that 14.28provides administrative assistance to a political committee or political fund as authorized 14.29by section 211B.15, subdivision 17, the type of administrative assistance provided, and the 14.30aggregate fair market value of each type of assistance provided to the political committee 14.31or political fund during the reporting period. 14.32    Sec. 30. Minnesota Statutes 2012, section 10A.20, subdivision 5, is amended to read: 14.33    Subd. 5. Preelection new text begin Pre-election new text end reports. new text begin (a) new text end Any loan, contribution, or 14.34contributions new text begin : new text end 15.1     new text begin (1) new text end to a political committee or political fund from any one source totaling new text begin more than new text end 15.2 $1,000 or more, or in a statewide election for new text begin ; new text end 15.3     new text begin (2) to the principal campaign committee of a candidate for an appellate court new text end judicial 15.4office, any loan, contribution, or contributions from any one source totaling new text begin more than new text end 15.5 $2,000 or more, or in any judicial new text begin ; new text end 15.6     new text begin (3) to the principal campaign committee of a candidate for new text end district new text begin court judge new text end 15.7 totaling new text begin more than new text end $400 or more, and any loan, contribution, or contributions new text begin ; or new text end 15.8     new text begin (4) new text end to new text begin the principal campaign committee of new text end a candidate for constitutional office or 15.9for the legislature from any one source totaling 80 new text begin more than 50 new text end percent or more of the 15.10 new text begin election cycle new text end contribution limit for the office, received between the last day covered in 15.11the last report before an election and the election must be reported to the board in one of 15.12the following ways: new text begin in the manner provided in paragraph (b). new text end 15.13 new text begin (b) A loan, contribution, or contributions required to be reported to the board under new text end 15.14 new text begin paragraph (a) must be reported to the board either: new text end 15.15    (1) in person by the end of the next business day after its receipt; or 15.16    (2) by electronic means sent within 24 hours after its receipt. 15.17     new text begin (c) new text end These loans and contributions must also be reported in the next required report. 15.18     new text begin (d) new text end This notice requirement does not apply with respect to new text begin in new text end a primary in which 15.19the statewide or legislative new text begin election to a new text end candidate new text begin who new text end is unopposed new text begin in the primary, in a new text end 15.20 new text begin primary election to a ballot question political committee or fund, or in a general election to new text end 15.21 new text begin a candidate whose name is not on the general election ballot new text end . The board must post the 15.22report on its Web site by the end of the next business day after it is received. 15.23     new text begin (e) This subdivision does not apply to a ballot question or independent expenditure new text end 15.24 new text begin political committee or fund that has not met the registration threshold of section 10A.14, new text end 15.25 new text begin subdivision 1a. However, if a contribution that would be subject to this section triggers the new text end 15.26 new text begin registration requirement in section 10A.14, subdivision 1a, then both registration under new text end 15.27 new text begin that section and reporting under this section are required. new text end 15.28    Sec. 31. Minnesota Statutes 2012, section 10A.20, subdivision 6, is amended to read: 15.29    Subd. 6. Report when no committee. new text begin (a) new text end A candidate who does not designate 15.30and cause to be formed a principal campaign committee and an individual who makes 15.31independent expenditures or new text begin campaign new text end expenditures expressly advocating the approval or 15.32defeat of a ballot question in aggregate in excess of $100 new text begin $750 new text end in a year must file with 15.33the board a report containing the information required by subdivision 3. Reports required 15.34by this subdivision must be filed on new text begin by new text end the dates on which reports by new text begin principal campaign new text end 15.35 committees, funds, and party units are new text begin must be new text end filed. 16.1 new text begin (b) An individual who makes independent expenditures that aggregate more than new text end 16.2 new text begin $1,500 in a calendar year or expenditures to promote or defeat a ballot question that new text end 16.3 new text begin aggregate more than $5,000 in a calendar year must file with the board a report containing new text end 16.4 new text begin the information required by subdivision 3. A report required by this subdivision must be new text end 16.5 new text begin filed by the date on which the next report by political committees and political funds new text end 16.6 new text begin must be filed. new text end 16.7    Sec. 32. Minnesota Statutes 2012, section 10A.20, subdivision 7, is amended to read: 16.8    Subd. 7. Statement of inactivity. If a reporting entity new text begin principal campaign new text end 16.9 new text begin committee, party unit, or political committee, new text end has no receipts or expenditures during a 16.10reporting period, the treasurer must file with the board at the time required by this section 16.11a statement to that effect. 16.12    Sec. 33. Minnesota Statutes 2012, section 10A.20, is amended by adding a subdivision 16.13to read: 16.14     new text begin Subd. 7a. new text end new text begin Activity of political fund. new text end new text begin An association is not required to file any new text end 16.15 new text begin statement or report for a reporting period when the association accepted no contributions new text end 16.16 new text begin into the association's political fund and made no expenditures from its political fund since new text end 16.17 new text begin the last date included in its most recent filed report. If the association maintains a separate new text end 16.18 new text begin checking account for its political fund, the receipt of interest on the proceeds of that new text end 16.19 new text begin account and the payment of fees to maintain that account do not constitute activity that new text end 16.20 new text begin requires the filing of a report for an otherwise inactive political fund. new text end 16.21    Sec. 34. Minnesota Statutes 2012, section 10A.241, is amended to read: 16.2210A.241 TRANSFER OF DEBTS. 16.23    Notwithstanding section , A candidate may terminate the candidate's 16.24principal campaign committee for one state office by transferring any debts of that 16.25committee to the candidate's principal campaign committee for another state office if 16.26all outstanding unpaid bills or loans from the committee being terminated are assumed 16.27and continuously reported by the committee to which the transfer is being made until 16.28paid or forgiven. A loan that is forgiven is covered by section 10A.20 and, for purposes 16.29of section , is a contribution to the principal campaign committee from which 16.30the debt was transferred under this section. 16.31    Sec. 35. new text begin [10A.243] TERMINATION OF REGISTRATION. new text end 17.1     new text begin Subdivision 1. new text end new text begin Termination report. new text end new text begin A political committee, political fund, principal new text end 17.2 new text begin campaign committee, or party unit may terminate its registration with the board after it new text end 17.3 new text begin has disposed of all its assets in excess of $100 by filing a final report of receipts and new text end 17.4 new text begin expenditures. The final report must be identified as a termination report and must include new text end 17.5 new text begin all financial transactions that occurred after the last date included on the most recent new text end 17.6 new text begin report filed with the board. The termination report may be filed at any time after the new text end 17.7 new text begin asset threshold in this section is reached. new text end 17.8     new text begin Subd. 2. new text end new text begin Asset disposition. new text end new text begin "Assets" include credit balances at vendors, prepaid new text end 17.9 new text begin postage and postage stamps, as well as physical assets. Assets must be disposed of at their new text end 17.10 new text begin fair market value. Assets of a political fund that consist of, or were acquired using, only new text end 17.11 new text begin the general treasury money of the fund's supporting association remain the property of the new text end 17.12 new text begin association upon termination of the association's political fund registration and are not new text end 17.13 new text begin subject to the disposal requirements of this section. new text end 17.14    Sec. 36. new text begin [10A.244] VOLUNTARY INACTIVE STATUS; POLITICAL FUNDS. new text end 17.15     new text begin Subdivision 1. new text end new text begin Election of voluntary inactive status. new text end new text begin An association that has a new text end 17.16 new text begin political fund registered under this chapter may elect to have the fund placed on voluntary new text end 17.17 new text begin inactive status if the following conditions are met: new text end 17.18 new text begin (1) the association makes a written request for inactive status; new text end 17.19 new text begin (2) the association has filed all periodic reports required by this chapter and new text end 17.20 new text begin has received no contributions into its political fund and made no expenditures or new text end 17.21 new text begin disbursements through its political fund since the last date included on the association's new text end 17.22 new text begin most recent report; and new text end 17.23 new text begin (3) the association has satisfied all obligations to the state for late filing fees and civil new text end 17.24 new text begin penalties imposed by the board or the board has waived this requirement. new text end 17.25     new text begin Subd. 2. new text end new text begin Effect of voluntary inactive status. new text end new text begin After an association has complied new text end 17.26 new text begin with the requirements of subdivision 1: new text end 17.27 new text begin (1) the board must notify the association that its political fund has been placed in new text end 17.28 new text begin voluntary inactive status and of the terms of this section; new text end 17.29 new text begin (2) the board must stop sending the association reports, forms, and notices of report new text end 17.30 new text begin due dates that are periodically sent to entities registered with the board; new text end 17.31 new text begin (3) the association is not required to file periodic disclosure reports for its political new text end 17.32 new text begin fund as otherwise required under this chapter; new text end 17.33 new text begin (4) the association may not accept contributions into its political fund and may not new text end 17.34 new text begin make expenditures, contributions, or disbursements through its political fund; and new text end 18.1 new text begin (5) if the association maintains a separate depository account for its political fund, new text end 18.2 new text begin it may continue to pay bank service charges and receive interest paid on that account new text end 18.3 new text begin while its political fund is in inactive status. new text end 18.4     new text begin Subd. 3. new text end new text begin Resumption of active status or termination. new text end new text begin (a) An association that new text end 18.5 new text begin has placed its political fund in voluntary inactive status may resume active status upon new text end 18.6 new text begin written notice to the board. new text end 18.7 new text begin (b) A political fund placed in voluntary inactive status must resume active status new text end 18.8 new text begin within 14 days of the date that it has accepted contributions or made expenditures, new text end 18.9 new text begin contributions, or disbursements that aggregate more than $750 since the political fund was new text end 18.10 new text begin placed on inactive status. If, after meeting this threshold, the association does not notify new text end 18.11 new text begin the board that its fund has resumed active status, the board may place the association's new text end 18.12 new text begin political fund in active status and notify the association of the change in status. new text end 18.13 new text begin (c) An association that has placed its political fund in voluntary inactive status may new text end 18.14 new text begin terminate the registration of the fund without returning it to active status. new text end 18.15     new text begin Subd. 4. new text end new text begin Penalty for financial activity while in voluntary inactive status. new text end new text begin If an new text end 18.16 new text begin association fails to notify the board of its political fund's resumption of active status under new text end 18.17 new text begin subdivision 3, the board may impose a civil penalty of $50 per day, not to exceed $1,000 new text end 18.18 new text begin commencing on the 15th calendar day after the fund resumed active status. new text end 18.19    Sec. 37. new text begin [10A.245] ADMINISTRATIVE TERMINATION OF INACTIVE new text end 18.20 new text begin COMMITTEES AND FUNDS. new text end 18.21     new text begin Subdivision 1. new text end new text begin Inactivity defined. new text end new text begin (a) A principal campaign committee becomes new text end 18.22 new text begin inactive on the later of the following dates: new text end 18.23 new text begin (1) six years after the last election in which the individual for whom the committee new text end 18.24 new text begin exists was a candidate for the office sought or held at the time the principal campaign new text end 18.25 new text begin committee registered with the board; or new text end 18.26 new text begin (2) six years after the last day on which the individual for whom the committee new text end 18.27 new text begin exists served in an elective office subject to this chapter. new text end 18.28 new text begin (b) A political committee, political fund, or party unit becomes inactive when new text end 18.29 new text begin four years have elapsed since the end of a reporting period during which the political new text end 18.30 new text begin committee, political fund, or party unit made an expenditure or disbursement requiring new text end 18.31 new text begin itemized disclosure under this chapter. new text end 18.32 new text begin (c) A political fund that has elected voluntary inactive status under section 10A.244 new text end 18.33 new text begin becomes inactive within the meaning of this section when four years have elapsed during new text end 18.34 new text begin which the political fund was continuously in voluntary inactive status. new text end 19.1     new text begin Subd. 2. new text end new text begin Termination by board. new text end new text begin The board may terminate the registration of a new text end 19.2 new text begin principal campaign committee, party unit, political committee, or political fund found to be new text end 19.3 new text begin inactive under this section 60 days after sending written notice of inactivity by certified mail new text end 19.4 new text begin to the affected association at the last address on record with the board for that association. new text end 19.5 new text begin Within 60 days after the board sends notice under this section, the affected association must new text end 19.6 new text begin dispose of its assets as provided in this subdivision. The assets of the principal campaign new text end 19.7 new text begin committee, party unit, or political committee must be used for the purposes authorized by new text end 19.8 new text begin this chapter or section 211B.12 or must be liquidated and deposited in the general account new text end 19.9 new text begin of the state elections campaign account. The assets of an association's political fund that new text end 19.10 new text begin were derived from the association's general treasury money revert to the association's new text end 19.11 new text begin general treasury. Assets of a political fund that resulted from contributions to the political new text end 19.12 new text begin fund must be used for the purposes authorized by this chapter or section 211B.12 or must new text end 19.13 new text begin be liquidated and deposited in the general account of the state elections campaign account. new text end 19.14    Sec. 38. new text begin [10A.246] UNPAID DEBT UPON TERMINATION. new text end 19.15 new text begin Termination of a registration with the board does not affect the liability, if any, of the new text end 19.16 new text begin association or its candidates, officers, or other individuals for obligations incurred in the new text end 19.17 new text begin name of the association or its political fund. new text end 19.18    Sec. 39. Minnesota Statutes 2012, section 10A.25, subdivision 2, is amended to read: 19.19    Subd. 2. Amounts. (a) In a year in which an election is held new text begin each election cycle new text end for 19.20an office sought by a candidate, the principal campaign committee of the candidate must 19.21not make campaign expenditures nor permit approved expenditures to be made on behalf 19.22of the candidate that result in aggregate expenditures in excess of the following: 19.23(1) for governor and lieutenant governor, running together, $2,577,200 new text begin $5,000,000 new text end ; 19.24(2) for attorney general, $429,600; 19.25(3) for secretary of state new text begin , new text end and state auditor, separately, $214,800 new text begin each $1,500,000 new text end ; 19.26(4) new text begin (3) new text end for state senator, $68,100 new text begin $120,000 new text end ; 19.27(5) new text begin (4) new text end for state representative, $34,300 new text begin $60,000 new text end . 19.28(b) In addition to the amount in paragraph (a), clause (1), a candidate for 19.29endorsement for the office of lieutenant governor at the convention of a political party 19.30may make campaign expenditures and approved expenditures of five percent of that 19.31amount to seek endorsement. 19.32(c) If a special election cycle occurs during a general election cycle, expenditures by 19.33or on behalf of a candidate in the special election new text begin cycle new text end do not count as expenditures by or 19.34on behalf of the candidate in the general election new text begin cycle new text end . 20.1(d) The expenditure limits in this subdivision for an office are increased by ten 20.2percent for a candidate who is running for that office for the first time new text begin has not previously new text end 20.3 new text begin held the same office, whose name has not previously been on the primary or general new text end 20.4 new text begin election ballot for that office, new text end and who has not new text begin in the past ten years raised or spent new text end 20.5 new text begin more than $750 in a new text end run previously for any other office whose territory now includes a 20.6population that is more than one-third of the population in the territory of the new office. 20.7 new text begin In the case of a legislative candidate, the office is that of a member of the house of new text end 20.8 new text begin representatives or senate without regard to any specific district. new text end 20.9    Sec. 40. Minnesota Statutes 2012, section 10A.25, subdivision 2a, is amended to read: 20.10    Subd. 2a. Aggregated expenditures. If a candidate makes expenditures from more 20.11than one principal campaign committee for nomination or election to statewide office 20.12in the same election year new text begin cycle new text end , the amount of expenditures from all of the candidate's 20.13principal campaign committees for statewide office for that election year new text begin cycle new text end must be 20.14aggregated for purposes of applying the limits on expenditures under subdivision 2. 20.15    Sec. 41. Minnesota Statutes 2012, section 10A.25, subdivision 3, is amended to read: 20.16    Subd. 3. Governor and lieutenant governor a single candidate. For the purposes 20.17of sections 10A.11 to 10A.34 new text begin this chapter new text end , a candidate for governor and a candidate 20.18for lieutenant governor, running together, are considered a single candidate. Except 20.19as provided in subdivision 2, paragraph (b), all expenditures made by or all approved 20.20expenditures made on behalf of the candidate for lieutenant governor are considered to be 20.21expenditures by or approved expenditures on behalf of the candidate for governor. 20.22    Sec. 42. Minnesota Statutes 2012, section 10A.25, subdivision 5, is amended to read: 20.23    Subd. 5. Contested primary races. Notwithstanding the limits imposed by 20.24subdivision 2, the winning candidate in a contested race in a primary who received fewer 20.25than twice new text begin three times new text end as many votes as any one of the candidate's opponents in that 20.26primary may make expenditures and permit approved expenditures to be made on behalf 20.27of the candidate equal to 120 new text begin 130 new text end percent of the applicable limit as set forth in subdivision 20.282, but no more than 100 percent of the limit until after the primary. 20.29    Sec. 43. Minnesota Statutes 2012, section 10A.257, subdivision 1, is amended to read: 20.30    Subdivision 1. Unused funds. After all campaign expenditures and noncampaign 20.31disbursements for an election cycle have been made, an amount up to 50 new text begin 25 new text end percent of the 20.32election year new text begin cycle new text end expenditure limit for the office may be carried forward. Any remaining 21.1amount up to the total amount of the public subsidy from the state elections campaign fund 21.2must be returned to the state treasury for credit to the general fund under section 10A.324. 21.3Any remaining amount in excess of the total public subsidy must be contributed to the 21.4state elections campaign fund new text begin account new text end or a political party for multicandidate expenditures 21.5as defined in section 10A.275. 21.6    Sec. 44. Minnesota Statutes 2012, section 10A.27, subdivision 1, is amended to read: 21.7    Subdivision 1. Contribution limits. (a) Except as provided in subdivision 2, 21.8a candidate must not permit the candidate's principal campaign committee to accept 21.9aggregate contributions new text begin in an election cycle new text end made or delivered by any individual, political 21.10committee, or political fund new text begin , or association not registered with the board new text end in excess of 21.11the following: 21.12(1) to candidates for governor and lieutenant governor running together, $2,000 in 21.13an election year for the office sought and $500 in other years new text begin $6,000 new text end ; 21.14(2) to a candidate for attorney general, secretary of state, or state auditor, $1,000 in 21.15an election year for the office sought and $200 in other years new text begin $4,000 new text end ; 21.16(3) to a candidate for state senator, $500 in an election year for the office sought 21.17and $100 in other years new text begin $3,000 new text end ; 21.18(4) to a candidate for state representative, $500 in an election year for the office 21.19sought and $100 in the other year new text begin $1,500 new text end ; and 21.20(5) to a candidate for judicial office, $2,000 in an election year for the office sought 21.21and $500 in other years new text begin $4,500 new text end . 21.22(b) The following deliveries are not subject to the bundling limitation in this 21.23subdivision: 21.24(1) delivery of contributions collected by a member of the candidate's principal 21.25campaign committee, such as a block worker or a volunteer who hosts a fund-raising 21.26event, to the committee's treasurer; and 21.27(2) a delivery made by an individual on behalf of the individual's spouse. 21.28(c) A lobbyist, political committee, political party unit, or new text begin an association that has a new text end 21.29 political fund new text begin , or an association not registered with the board new text end must not make a contribution 21.30a candidate is prohibited from accepting. 21.31    Sec. 45. Minnesota Statutes 2012, section 10A.27, subdivision 10, is amended to read: 21.32    Subd. 10. Limited personal contributions. A candidate who accepts a public 21.33subsidy new text begin signs an agreement under section 10A.322 new text end may not contribute to the candidate's 22.1own campaign during a year new text begin an election cycle new text end more than ten new text begin five new text end times the candidate's 22.2election year new text begin cycle new text end contribution limit under subdivision 1. 22.3    Sec. 46. Minnesota Statutes 2012, section 10A.27, subdivision 11, is amended to read: 22.4    Subd. 11. Contributions from certain types of contributors. A candidate must 22.5not permit the candidate's principal campaign committee to accept a contribution from 22.6a political committee, political fund, lobbyist, or large contributor, new text begin or association not new text end 22.7 new text begin registered with the board new text end if the contribution will cause the aggregate contributions from 22.8those types of contributors to exceed an amount equal to 20 percent of the expenditure 22.9limits for the office sought by the candidate, provided that the 20 percent limit must be 22.10rounded to the nearest $100. For purposes of this subdivision, "large contributor" means 22.11an individual, other than the candidate, who contributes an amount that is more than $100 22.12and more than one-half the amount an individual may contribute. 22.13    Sec. 47. Minnesota Statutes 2012, section 10A.27, subdivision 13, is amended to read: 22.14    Subd. 13. Unregistered association limit; statement; penalty. (a) The treasurer of 22.15a political committee, political fund, principal campaign committee, or party unit must not 22.16accept a contribution of more than $100 new text begin $200 new text end from an association not registered under 22.17this chapter unless the contribution is accompanied by a written statement that meets the 22.18disclosure and reporting period requirements imposed by section 10A.20. This statement 22.19must be certified as true and correct by an officer of the contributing association. The 22.20committee, fund, or party unit that accepts the contribution must include a copy of the 22.21statement with the report that discloses the contribution to the board. This subdivision 22.22does not apply when a national political party contributes money to its affiliate in this state. 22.23(b) An unregistered association may provide the written statement required by this 22.24subdivision to no more than three committees, funds, or party units in a calendar year. Each 22.25statement must cover at least the 30 days immediately preceding and including the date on 22.26which the contribution was made. An unregistered association or an officer of it is subject 22.27to a civil penalty imposed by the board of up to $1,000, if the association or its officer: 22.28(1) fails to provide a written statement as required by this subdivision; or 22.29(2) fails to register after giving the written statement required by this subdivision to 22.30more than three committees, funds, or party units in a calendar year. 22.31(c) The treasurer of a political committee, political fund, principal campaign 22.32committee, or party unit who accepts a contribution in excess of $100 new text begin $200 new text end from an 22.33unregistered association without the required written disclosure statement is subject to a 22.34civil penalty up to four times the amount in excess of $100 new text begin $200 new text end . 23.1 new text begin (d) This subdivision does not apply: new text end 23.2 new text begin (1) when a national political party contributes money to its state committee; or new text end 23.3 new text begin (2) to purchases by candidates for federal office of tickets to events or space rental new text end 23.4 new text begin at events held by party units in this state (i) if the geographical area represented by the new text end 23.5 new text begin party unit includes any part of the geographical area of the office that the federal candidate new text end 23.6 new text begin is seeking and (ii) the purchase price is not more than that paid by other attendees or new text end 23.7 new text begin renters of similar spaces. new text end 23.8    Sec. 48. Minnesota Statutes 2012, section 10A.27, subdivision 14, is amended to read: 23.9    Subd. 14. Contributions of business revenue. An association may, if not prohibited 23.10by other law, contribute revenue from the operation of a business to an independent 23.11expenditure new text begin or ballot question new text end political committee or an independent expenditure political 23.12 fund without complying with subdivision 13. 23.13    Sec. 49. Minnesota Statutes 2012, section 10A.27, subdivision 15, is amended to read: 23.14    Subd. 15. Contributions of dues or contribution revenue new text begin or use of general new text end 23.15 new text begin treasury money new text end . (a) An association may, if not prohibited by other law, contribute revenue 23.16from membership dues or fees, or from contributions received by the association new text begin its general new text end 23.17 new text begin treasury money new text end to an independent expenditure new text begin or ballot question new text end political committee or 23.18an independent expenditure political fund new text begin , including its own independent expenditure or new text end 23.19 new text begin ballot question political committee or fund, new text end without complying with subdivision 13. 23.20 new text begin (b) new text end Before the day when the recipient committee or fund's next report must be 23.21filed with the board under section 10A.20, subdivision 2 or 5, an association that has 23.22contributed new text begin more than new text end $5,000 or more in aggregate to independent expenditure political 23.23committees or funds during the calendar year new text begin or has contributed more than $5,000 in new text end 23.24 new text begin aggregate to ballot question political committees or funds during the calendar year new text end 23.25must provide in writing to the recipient's treasurer a statement that includes the name, 23.26address, and amount attributable to each individual or association new text begin person new text end that paid the 23.27association dues or fees, or made contributions new text begin donations new text end to the association that, in total, 23.28aggregate new text begin more than new text end $1,000 or more new text begin $5,000 new text end of the contribution from the association to the 23.29independent expenditure new text begin or ballot question new text end political committee or fund. The statement 23.30must also include the total amount of the contribution from individuals or associations 23.31 new text begin attributable to persons new text end not subject to itemization under this section. The statement must be 23.32certified as true and correct by an officer of the donor association. 23.33(b) new text begin (c) new text end To determine the new text begin amount of new text end membership dues or fees, or contributions 23.34 new text begin donations new text end made by an individual or association that exceed $1,000 of the contribution 24.1made by the donor association new text begin a person to an association and attributable to the new text end 24.2 new text begin association's contribution new text end to the independent expenditure new text begin or ballot question new text end political 24.3committee or fund, the donor association must: 24.4(1) apply a pro rata calculation to all unrestricted dues, fees, and contributions 24.5received by the donor association in the calendar year; or 24.6(2) as provided in paragraph (c) new text begin (d) new text end , identify the specific individuals or associations 24.7whose dues, fees, or contributions are included in the contribution to the independent 24.8expenditure political committee or fund. 24.9(c) new text begin (d) new text end Dues, fees, or contributions from an individual or association must be 24.10identified in a contribution to an independent expenditure political committee or fund 24.11under paragraph (b) new text begin (c) new text end , clause (2), if: 24.12(1) the individual or association has specifically authorized the donor association to 24.13use the individual's or association's dues, fees, or contributions for this purpose; or 24.14(2) the individual's or association's dues, fees, or contributions to the donor 24.15association are unrestricted and the donor association designates them as the source of the 24.16subject contribution to the independent expenditure political committee or fund. 24.17 new text begin (e) new text end After a portion of an individual's or association's dues, fees, or contributions 24.18to the donor association have new text begin the general treasury money received by an association new text end 24.19 new text begin from a person has new text end been designated as the source of a contribution to an independent 24.20expenditure new text begin or ballot question new text end political committee or fund, that portion of the individual's 24.21or association's dues, fees, or contributions to the donor association new text begin association's general new text end 24.22 new text begin treasury money received from that person new text end may not be designated as the source of any other 24.23contribution to an independent expenditure new text begin or ballot question new text end political committee or fund. 24.24(d) For the purposes of this section, "donor association" means the association 24.25contributing to an independent expenditure political committee or fund that is required to 24.26provide a statement under paragraph (a). 24.27    Sec. 50. Minnesota Statutes 2012, section 10A.323, is amended to read: 24.2810A.323 AFFIDAVIT OF CONTRIBUTIONS. 24.29     new text begin (a) new text end In addition to the requirements of section 10A.322, to be eligible to receive a 24.30public subsidy under section 10A.31 a candidate or the candidate's treasurer must file an 24.31affidavit with the board stating that new text begin : new text end 24.32     new text begin (1) new text end between January 1 of the previous year and the cutoff date for transactions 24.33included in the report of receipts and expenditures due before the primary election the 24.34candidate has accumulated new text begin , accumulate new text end contributions from persons new text begin individuals new text end eligible to 25.1vote in this state in at least the amount indicated for the office sought, counting only the 25.2first $50 received from each contributor new text begin , excluding in-kind contributions new text end : 25.3    (1) new text begin (i) new text end candidates for governor and lieutenant governor running together, $35,000; 25.4    (2) new text begin (ii) new text end candidates for attorney general, $15,000; 25.5    (3) new text begin (iii) new text end candidates for secretary of state and state auditor, separately, $6,000; 25.6    (4) new text begin (iv) new text end candidates for the senate, $3,000; and 25.7    (5) new text begin (v) new text end candidates for the house of representatives, $1,500. new text begin ; new text end 25.8     new text begin (2) the candidate or the candidate's treasurer must file an affidavit with the board new text end 25.9 new text begin stating that the principal campaign committee has complied with this paragraph. new text end The 25.10affidavit must state the total amount of contributions that have been received from persons 25.11 new text begin individuals new text end eligible to vote in this state, disregarding new text begin excluding: new text end 25.12     new text begin (i) new text end the portion of any contribution in excess of $50. new text begin ; new text end 25.13 new text begin (ii) any in-kind contribution; and new text end 25.14 new text begin (iii) any contribution for which the name and address of the contributor is not known new text end 25.15 new text begin and recorded; and new text end 25.16     new text begin (3) new text end the candidate or the candidate's treasurer must submit the affidavit required 25.17by this section to the board in writing by the deadline for reporting of receipts and 25.18expenditures before a primary under section 10A.20, subdivision 4. 25.19     new text begin (b) new text end A candidate for a vacancy to be filled at a special election for which the filing 25.20period does not coincide with the filing period for the general election must new text begin accumulate new text end 25.21 new text begin the contributions specified in paragraph (a) and must new text end submit the affidavit required by this 25.22section to the board within five days after the close of the filing period for the special 25.23election for which the candidate filed. 25.24    Sec. 51. Minnesota Statutes 2012, section 211B.32, subdivision 1, is amended to read: 25.25    Subdivision 1. Administrative remedy; exhaustion. new text begin (a) Except as provided in new text end 25.26 new text begin paragraph (b), new text end a complaint alleging a violation of chapter 211A or 211B must be filed with 25.27the office. The complaint must be finally disposed of by the office before the alleged 25.28violation may be prosecuted by a county attorney. 25.29 new text begin (b) Complaints arising under those sections and related to those individuals and new text end 25.30 new text begin associations specified in section 10A.02, subdivision 11, paragraph (a), must be filed with new text end 25.31 new text begin the Campaign Finance and Public Disclosure Board. new text end 25.32    Sec. 52. new text begin REPEALER. new text end 25.33 new text begin Minnesota Statutes 2012, sections 10A.24; 10A.242; and 10A.25, subdivision 6, new text end new text begin are new text end 25.34 new text begin repealed. new text end 26.1    Sec. 53. new text begin EFFECTIVE DATE. new text end 26.2 new text begin This article is effective the day following final enactment. new text end 26.3ARTICLE 2 26.4PUBLIC OFFICIAL 26.5    Section 1. Minnesota Statutes 2012, section 10A.01, subdivision 35, is amended to read: 26.6    Subd. 35. Public official. "Public official" means any: 26.7    (1) member of the legislature; 26.8    (2) individual employed by the legislature as secretary of the senate, legislative 26.9auditor, chief clerk of the house of representatives, revisor of statutes, or researcher, 26.10legislative analyst, or attorney in the Office of Senate Counsel and Research or House 26.11Research; 26.12    (3) constitutional officer in the executive branch and the officer's chief administrative 26.13deputy; 26.14    (4) solicitor general or deputy, assistant, or special assistant attorney general; 26.15    (5) commissioner, deputy commissioner, or assistant commissioner of any state 26.16department or agency as listed in section 15.01 or 15.06, or the state chief information 26.17officer; 26.18    (6) member, chief administrative officer, or deputy chief administrative officer of a 26.19state board or commission that has either the power to adopt, amend, or repeal rules under 26.20chapter 14, or the power to adjudicate contested cases or appeals under chapter 14; 26.21    (7) individual employed in the executive branch who is authorized to adopt, amend, 26.22or repeal rules under chapter 14 or adjudicate contested cases under chapter 14; 26.23    (8) executive director of the State Board of Investment; 26.24    (9) deputy of any official listed in clauses (7) and (8); 26.25    (10) judge of the Workers' Compensation Court of Appeals; 26.26    (11) administrative law judge or compensation judge in the State Office of 26.27Administrative Hearings or unemployment law judge in the Department of Employment 26.28and Economic Development; 26.29    (12) member, regional administrator, division director, general counsel, or operations 26.30manager of the Metropolitan Council; 26.31    (13) member or chief administrator of a metropolitan agency; 26.32    (14) director of the Division of Alcohol and Gambling Enforcement in the 26.33Department of Public Safety; 26.34    (15) member or executive director of the Higher Education Facilities Authority; 26.35    (16) member of the board of directors or president of Enterprise Minnesota, Inc.; 27.1    (17) member of the board of directors or executive director of the Minnesota State 27.2High School League; 27.3    (18) member of the Minnesota Ballpark Authority established in section 473.755; 27.4    (19) citizen member of the Legislative-Citizen Commission on Minnesota Resources; 27.5    (20) manager of a watershed district, or member of a watershed management 27.6organization as defined under section 103B.205, subdivision 13; 27.7    (21) supervisor of a soil and water conservation district; 27.8(22) director of Explore Minnesota Tourism; 27.9    (23) citizen member of the Lessard-Sams Outdoor Heritage Council established 27.10in section 97A.056; 27.11(24) citizen member of the Clean Water Council established in section 114D.30; or 27.12(25) member or chief executive of the Minnesota Sports Facilities Authority 27.13established in section 473J.07. new text begin ; new text end 27.14 new text begin (26) district court judge, appeals court judge, or Supreme Court justice; or new text end 27.15 new text begin (27) county commissioner. new text end 27.16    Sec. 2. Minnesota Statutes 2012, section 10A.07, is amended to read: 27.1710A.07 CONFLICTS OF INTEREST. 27.18    Subdivision 1. Disclosure of potential conflicts. A public official or a local 27.19official elected to or appointed by a metropolitan governmental unit who in the discharge 27.20of official duties would be required to take an action or make a decision that would 27.21substantially affect the official's financial interests or those of an associated business, 27.22unless the effect on the official is no greater than on other members of the official's 27.23business classification, profession, or occupation, must take the following actions: 27.24(1) prepare a written statement describing the matter requiring action or decision and 27.25the nature of the potential conflict of interest; 27.26(2) deliver copies of the statement to the official's immediate superior, if any; and 27.27(3) if a member of the legislature or of the governing body of a metropolitan 27.28governmental unit, deliver a copy of the statement to the presiding officer of the body 27.29of service. 27.30If a potential conflict of interest presents itself and there is insufficient time to 27.31comply with clauses (1) to (3), the public or local official must orally inform the superior 27.32or the official body of service or committee of the body of the potential conflict. 27.33    Subd. 2. Required actions. If the official is not a member of the legislature or of the 27.34governing body of a metropolitan governmental unit, the superior must assign the matter, 27.35if possible, to another employee who does not have a potential conflict of interest. If there 28.1is no immediate superior, the official must abstain, if possible, in a manner prescribed by 28.2the board from influence over the action or decision in question. If the official is a member 28.3of the legislature, the house of service may, at the member's request, excuse the member 28.4from taking part in the action or decision in question. If the official is not permitted or is 28.5otherwise unable to abstain from action in connection with the matter, the official must 28.6file a statement describing the potential conflict and the action taken. A public official 28.7must file the statement with the board and a local official must file the statement with the 28.8governing body of the official's political subdivision. The statement must be filed within a 28.9week of the action taken. 28.10    Subd. 3. Interest in contract; local officials. This section does not apply to a local 28.11official with respect to a matter governed by sections 471.87 and 471.88. 28.12     new text begin Subd. 4. new text end new text begin Exception; judges. new text end new text begin Notwithstanding subdivisions 1 and 2, a public official new text end 28.13 new text begin who is a district court judge, an appeals court judge, or a Supreme Court justice is not new text end 28.14 new text begin required to comply with the provisions of this section. new text end 28.15    Sec. 3. Minnesota Statutes 2012, section 10A.071, subdivision 1, is amended to read: 28.16    Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this 28.17section. 28.18(b) "Gift" means money, real or personal property, a service, a loan, a forbearance or 28.19forgiveness of indebtedness, or a promise of future employment, that is given and received 28.20without the giver receiving consideration of equal or greater value in return. 28.21(c) "Official" means a public official, an employee of the legislature, a judge, or a 28.22local official of a metropolitan governmental unit. 28.23    Sec. 4. Minnesota Statutes 2012, section 10A.08, is amended to read: 28.2410A.08 REPRESENTATION DISCLOSURE. 28.25     new text begin Subdivision 1. new text end new text begin Disclosure required. new text end A public official who represents a client for a 28.26fee before an individual, board, commission, or agency that has rulemaking authority in a 28.27hearing conducted under chapter 14, must disclose the official's participation in the action 28.28to the board within 14 days after the appearance. If the public official fails to disclose the 28.29participation within ten business days after the disclosure required by this section was due, 28.30the board may impose a late filing fee of $5 per day, not to exceed $100, starting on the 28.3111th day after the disclosure was due. The board must send notice by certified mail to a 28.32public official who fails to disclose the participation within ten business days after the 28.33disclosure was due that the public official may be subject to a civil penalty for failure to 28.34disclose the participation. A public official who fails to disclose the participation within 29.1seven days after the certified mail notice was sent by the board is subject to a civil penalty 29.2imposed by the board of up to $1,000. 29.3     new text begin Subd. 2. new text end new text begin Exception; judges. new text end new text begin Notwithstanding subdivision 1, a public official who is new text end 29.4 new text begin a district court judge, an appeals court judge, or a Supreme Court justice is not required to new text end 29.5 new text begin comply with the provisions of this section. new text end 29.6    Sec. 5. Minnesota Statutes 2012, section 10A.09, subdivision 6a, is amended to read: 29.7    Subd. 6a. Local officials new text begin Place of filing new text end . new text begin A public official required to file a new text end 29.8 new text begin statement under this section must file it with the board. new text end A local official required to file a 29.9statement under this section must file it with the governing body of the official's political 29.10subdivision. The governing body must maintain statements filed with it under this 29.11subdivision as public data. new text begin If an official position is defined as both a public official and as new text end 29.12 new text begin a local official of a metropolitan governmental unit under this chapter, the official must new text end 29.13 new text begin file the statement with the board. new text end 29.14    Sec. 6. Minnesota Statutes 2012, section 10A.09, is amended by adding a subdivision 29.15to read: 29.16     new text begin Subd. 9. new text end new text begin Waivers. new text end new text begin Upon written request and for good cause shown, the board may new text end 29.17 new text begin waive the requirement that an official disclose the address of real property that constitutes new text end 29.18 new text begin a secondary residence of the official. new text end 29.19    Sec. 7. new text begin EFFECTIVE DATE. new text end 29.20 new text begin This article is effective January 1, 2014, and applies to public officials elected or new text end 29.21 new text begin appointed to terms of office commencing on or after that date. new text end