SF 36

2nd Engrossment - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to the ethical practices board; clarifying 
  1.3             definitions; strengthening enforcement powers; 
  1.4             requiring additional disclosure of lobbyist 
  1.5             activities; facilitating reports of last-minute 
  1.6             contributions; clarifying campaign finance 
  1.7             requirements; requiring return of public subsidies 
  1.8             under certain conditions; providing penalties; 
  1.9             repealing provisions for state financing of 
  1.10            congressional campaigns; amending Minnesota Statutes 
  1.11            1994, sections 10A.01, subdivisions 10c, 11, 25, 28, 
  1.12            and by adding a subdivision; 10A.02, subdivisions 1, 
  1.13            11, and 12; 10A.03, subdivisions 2 and 3; 10A.04, 
  1.14            subdivisions 3, 4, 5, 6, and 7; 10A.05; 10A.065, 
  1.15            subdivision 1, and by adding a subdivision; 10A.08; 
  1.16            10A.09, subdivisions 3 and 7; 10A.14, subdivision 4; 
  1.17            10A.15, subdivisions 3a and 5; 10A.20, subdivisions 3, 
  1.18            5, and 12, and by adding a subdivision; 10A.21, 
  1.19            subdivision 3; 10A.23; 10A.25, subdivisions 2, 6, 10, 
  1.20            and 11; 10A.27, subdivisions 9, 10, and 12; 10A.275, 
  1.21            subdivision 1; 10A.28, subdivision 1; 10A.31, 
  1.22            subdivisions 3, 4, 5, 6, 7, 10, 11, and 12; 10A.315; 
  1.23            10A.322, subdivisions 1 and 4; 10A.323; 10A.324, 
  1.24            subdivision 1; 10A.335; 10A.34; 211A.12; 211B.15, 
  1.25            subdivisions 2, 15, and 16; and 290.06, subdivision 
  1.26            23; repealing Minnesota Statutes 1994, sections 6.76; 
  1.27            10A.20, subdivision 6b; 10A.21, subdivisions 1 and 2; 
  1.28            10A.25, subdivision 13; 10A.324, subdivisions 2 and 4; 
  1.29            10A.40; 10A.41; 10A.42; 10A.43; 10A.44; 10A.45; 
  1.30            10A.46; 10A.47; 10A.48; 10A.49; 10A.50; and 10A.51. 
  1.31  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.32     Section 1.  Minnesota Statutes 1994, section 10A.01, 
  1.33  subdivision 10c, is amended to read: 
  1.34     Subd. 10c.  [NONCAMPAIGN DISBURSEMENT.] "Noncampaign 
  1.35  disbursement" means a purchase or payment of money or anything 
  1.36  of value made, or an advance of credit incurred, by a political 
  1.37  committee, political fund, or principal campaign committee for 
  1.38  any of the following purposes: 
  2.1      (a) payment for accounting and legal services; 
  2.2      (b) return of a contribution to the source; 
  2.3      (c) repayment of a loan made to the political committee, 
  2.4   political fund, or principal campaign committee by that 
  2.5   committee or fund; 
  2.6      (d) return of a public subsidy; 
  2.7      (e) payment for food, beverages, entertainment, and 
  2.8   facility rental for a fundraising event; 
  2.9      (f) services for a constituent by a member of the 
  2.10  legislature or a constitutional officer in the executive branch, 
  2.11  performed from the beginning of the term of office to 
  2.12  adjournment sine die of the legislature in the election year for 
  2.13  the office held, and half the cost of services for a constituent 
  2.14  by a member of the legislature or a constitutional officer in 
  2.15  the executive branch performed from adjournment sine die to 60 
  2.16  days after adjournment sine die; 
  2.17     (g) a donation in kind given to the political committee, 
  2.18  political fund, or principal campaign committee for purposes 
  2.19  listed in clauses (e) and (f); 
  2.20     (h) payment for food and beverages provided to campaign 
  2.21  volunteers while they are engaged in campaign activities; 
  2.22     (i) payment of expenses incurred by elected or appointed 
  2.23  leaders of a legislative caucus in carrying out their leadership 
  2.24  responsibilities; 
  2.25     (j) payment by a principal campaign committee of the 
  2.26  candidate's expenses for serving in public office, other than 
  2.27  for personal uses; 
  2.28     (k) costs of child care for the candidate's children when 
  2.29  campaigning; 
  2.30     (l) fees paid to attend a campaign school; 
  2.31     (m) costs of a postelection party during the election year 
  2.32  when a candidate's name will no longer appear on a ballot or the 
  2.33  general election is concluded, whichever occurs first; 
  2.34     (n) interest on loans paid by a principal campaign 
  2.35  committee on outstanding loans; 
  2.36     (o) filing fees; 
  2.37     (p) post-general election thank-you notes or advertisements 
  3.1   in the news media; 
  3.2      (q) the cost of campaign material purchased to replace 
  3.3   defective campaign material, if the defective material is 
  3.4   destroyed without being used; 
  3.5      (r) transfers to a party unit as defined in section 
  3.6   10A.275, subdivision 3; 
  3.7      (s) payment of a fine assessed by the board against the 
  3.8   committee or fund or against its treasurer; and 
  3.9      (s) (t) other purchases or payments specified in board 
  3.10  rules or advisory opinions as being for any purpose other than 
  3.11  to influence the nomination or election of a candidate or to 
  3.12  promote or defeat a ballot question. 
  3.13     The board shall determine whether an activity involves a 
  3.14  noncampaign disbursement within the meaning of this subdivision. 
  3.15     Sec. 2.  Minnesota Statutes 1994, section 10A.01, 
  3.16  subdivision 11, is amended to read: 
  3.17     Subd. 11.  [LOBBYIST.] (a) "Lobbyist" means an individual: 
  3.18     (1) engaged for pay or other consideration, or authorized 
  3.19  to spend money by another individual, association, political 
  3.20  subdivision, or public higher education system, who spends more 
  3.21  than five hours in any month or more than $250 $1,000, not 
  3.22  including the individual's own travel expenses and membership 
  3.23  dues, in any year, for the purpose of attempting to influence 
  3.24  legislative or administrative action, or the official action of 
  3.25  a metropolitan governmental unit, by communicating or urging 
  3.26  others to communicate with public or local officials; or.  After 
  3.27  an individual has communicated directly with a public or local 
  3.28  official, time spent monitoring legislative or administrative 
  3.29  action, or the official action of a metropolitan governmental 
  3.30  unit, is counted toward the five-hour limit. 
  3.31     (2) "Lobbyist" also means an individual who spends more 
  3.32  than $250 $1,000, not including the individual's own traveling 
  3.33  expenses and membership dues, in any year for the purpose of 
  3.34  attempting to influence legislative or administrative action, or 
  3.35  the official action of a metropolitan governmental unit, by 
  3.36  communicating or urging others to communicate with public or 
  4.1   local officials. 
  4.2      (b) "Lobbyist" does not include: 
  4.3      (1) a public official; 
  4.4      (2) an employee of the state, including an employee of any 
  4.5   of the public higher education systems; 
  4.6      (3) an elected local official; 
  4.7      (4) a nonelected local official or an employee of a 
  4.8   political subdivision acting in an official capacity, unless the 
  4.9   nonelected official or employee of a political subdivision 
  4.10  spends more than 50 hours in any month attempting to influence 
  4.11  legislative or administrative action, or the official action of 
  4.12  a metropolitan governmental unit other than the political 
  4.13  subdivision employing the official or employee, by communicating 
  4.14  or urging others to communicate with public or local officials, 
  4.15  including.  After an individual has communicated directly with a 
  4.16  public or local official, time spent monitoring legislative or 
  4.17  administrative action, or the official action of a metropolitan 
  4.18  governmental unit, and related research, analysis, and 
  4.19  compilation and dissemination of information relating to 
  4.20  legislative or administrative policy in this state, or to the 
  4.21  policies of metropolitan governmental units is counted toward 
  4.22  the 50-hour limit; 
  4.23     (5) a party or the party's representative appearing in a 
  4.24  proceeding before a state board, commission or agency of the 
  4.25  executive branch unless the board, commission or agency is 
  4.26  taking administrative action; 
  4.27     (6) an individual while engaged in selling goods or 
  4.28  services to be paid for by public funds; 
  4.29     (7) a news medium or its employees or agents while engaged 
  4.30  in the publishing or broadcasting of news items, editorial 
  4.31  comments or paid advertisements which directly or indirectly 
  4.32  urge official action; 
  4.33     (8) a paid expert witness whose testimony is requested by 
  4.34  the body before which the witness is appearing, but only to the 
  4.35  extent of preparing or delivering testimony; 
  4.36     (9) a stockholder of a family farm corporation as defined 
  5.1   in section 500.24, subdivision 2, who does not spend over 
  5.2   $250 $1,000, excluding the stockholder's own travel expenses, in 
  5.3   any year in communicating with public officials; or 
  5.4      (10) a party or the party's representative appearing to 
  5.5   present a claim to the legislature and communicating to 
  5.6   legislators only by the filing of a claim form and supporting 
  5.7   documents and by appearing at public hearings on the claim. 
  5.8      Sec. 3.  Minnesota Statutes 1994, section 10A.01, is 
  5.9   amended by adding a subdivision to read: 
  5.10     Subd. 13a.  [OFFICIAL ACTION OF A METROPOLITAN GOVERNMENTAL 
  5.11  UNIT.] "Official action of a metropolitan governmental unit" 
  5.12  does not include action to apply or administer an adopted 
  5.13  ordinance or land use plan but does include action to approve a 
  5.14  contract, conveyance, or financing agreement. 
  5.15     Sec. 4.  Minnesota Statutes 1994, section 10A.01, 
  5.16  subdivision 25, is amended to read: 
  5.17     Subd. 25.  [LOCAL OFFICIAL.] "Local official" means a 
  5.18  person who holds elective office in a political subdivision or 
  5.19  who is appointed to or employed in a public position in a 
  5.20  political subdivision in which the person has authority to make, 
  5.21  to recommend, or to vote on as a member of the governing body, 
  5.22  major final recommendations and decisions regarding the 
  5.23  expenditure or investment of public money.  In a metropolitan 
  5.24  governmental unit, "local official" includes a person appointed 
  5.25  to or employed in a part-time or acting position. 
  5.26     Sec. 5.  Minnesota Statutes 1994, section 10A.01, 
  5.27  subdivision 28, is amended to read: 
  5.28     Subd. 28.  [PRINCIPAL.] "Principal" means an individual or, 
  5.29  association, political subdivision, or public higher education 
  5.30  system that:  
  5.31     (1) spends more than $500 in the aggregate in any calendar 
  5.32  year to engage a lobbyist, compensate a lobbyist, or authorize 
  5.33  the expenditure of money by a lobbyist; or 
  5.34     (2) is not included in clause (1) and spends a total of at 
  5.35  least $50,000 $5,000 in any calendar year on efforts to 
  5.36  influence legislative action, administrative action, or the 
  6.1   official action of metropolitan governmental units, as described 
  6.2   in section 10A.04, subdivision 6.  
  6.3      Sec. 6.  Minnesota Statutes 1994, section 10A.02, 
  6.4   subdivision 1, is amended to read: 
  6.5      Subdivision 1.  There is hereby created a state ethical 
  6.6   practices board composed of six members.  The members shall be 
  6.7   appointed by the governor with the advice and consent of 
  6.8   three-fifths of both the senate and the house of representatives 
  6.9   acting separately.  If either house fails to confirm the 
  6.10  appointment of a board member within 45 legislative days after 
  6.11  appointment or by adjournment sine die, whichever occurs first, 
  6.12  the appointment shall terminate on the day following the 45th 
  6.13  legislative day or on adjournment sine die, whichever occurs 
  6.14  first.  If either house votes not to confirm an appointment, the 
  6.15  appointment terminates on the day following the vote not to 
  6.16  confirm.  One member shall be a former member of the legislature 
  6.17  from a major political party different from that of the 
  6.18  governor; one member shall be a former member of the legislature 
  6.19  from the same political party as the governor; two members shall 
  6.20  be persons who have not been public officials other than members 
  6.21  of the board, held any political party office other than 
  6.22  precinct delegate, or been elected to public office for which 
  6.23  party designation is required by statute in the three years 
  6.24  preceding the date of their appointment; and the other two 
  6.25  members shall not support the same political party.  No more 
  6.26  than three of the members of the board shall support the same 
  6.27  political party.  No member of the board may currently serve as 
  6.28  a lobbyist. 
  6.29     Sec. 7.  Minnesota Statutes 1994, section 10A.02, 
  6.30  subdivision 11, is amended to read: 
  6.31     Subd. 11.  The board may investigate any alleged violation 
  6.32  of this chapter.  The board shall investigate any violation 
  6.33  which is alleged in a written complaint filed with the board 
  6.34  and, except for alleged violations of section 10A.25 or 10A.27, 
  6.35  shall within 30 90 days after the filing of the complaint make a 
  6.36  public finding of whether or not there is probable cause to 
  7.1   believe a violation has occurred.  In the case of a written 
  7.2   complaint alleging a violation of section 10A.25 or 10A.27, the 
  7.3   board shall either enter a conciliation agreement or make a 
  7.4   public finding of whether or not there is probable cause, within 
  7.5   60 90 days of the filing of the complaint.  The deadline for 
  7.6   action on any written complaint may be extended by majority vote 
  7.7   of the board.  Within a reasonable time after beginning an 
  7.8   investigation of an individual or association, the board shall 
  7.9   notify that individual or association of the fact of the 
  7.10  investigation.  The board shall make no finding of whether or 
  7.11  not there is probable cause to believe a violation has occurred 
  7.12  without notifying the individual or association of the nature of 
  7.13  the allegations and affording an opportunity to answer those 
  7.14  allegations.  Any hearing or action of the board concerning any 
  7.15  complaint or investigation other than a finding concerning 
  7.16  probable cause or a conciliation agreement shall be 
  7.17  confidential.  Until the board makes a public finding concerning 
  7.18  probable cause or enters a conciliation agreement: 
  7.19     (a) No member, employee, or agent of the board shall 
  7.20  disclose to any individual any information obtained by that 
  7.21  member, employee, or agent concerning any complaint or 
  7.22  investigation except as required to carry out the investigation 
  7.23  or take action in the matter as authorized by this chapter; and 
  7.24     (b) Any individual who discloses information contrary to 
  7.25  the provisions of this subdivision shall be guilty of a 
  7.26  misdemeanor.  Except as provided in section 10A.28, after the 
  7.27  board makes a public finding of probable cause the board shall 
  7.28  report that finding to the appropriate law enforcement 
  7.29  authorities. 
  7.30     Sec. 8.  Minnesota Statutes 1994, section 10A.02, 
  7.31  subdivision 12, is amended to read: 
  7.32     Subd. 12.  [ADVISORY OPINIONS.] (a) The board may issue and 
  7.33  publish advisory opinions on the requirements of this chapter 
  7.34  based upon real or hypothetical situations.  An application for 
  7.35  an advisory opinion may be made only by an individual or 
  7.36  association who wishes to use the opinion to guide the 
  8.1   individual's or the association's own conduct.  The board shall 
  8.2   issue written opinions on all such questions submitted to it 
  8.3   within 30 60 days after receipt of written application, unless a 
  8.4   majority of the board agrees to extend the time limit.  
  8.5      (b) A written advisory opinion issued by the board is 
  8.6   binding on the board in any subsequent board proceeding 
  8.7   concerning the person making or covered by the request and is a 
  8.8   defense in a judicial proceeding that involves the subject 
  8.9   matter of the opinion and is brought against the person making 
  8.10  or covered by the request unless: 
  8.11     (1) the board has amended or revoked the opinion before the 
  8.12  initiation of the board or judicial proceeding, has notified the 
  8.13  person making or covered by the request of its action, and has 
  8.14  allowed at least 30 days for the person to do anything that 
  8.15  might be necessary to comply with the amended or revoked 
  8.16  opinion; 
  8.17     (2) the request has omitted or misstated material facts; or 
  8.18     (3) the person making or covered by the request has not 
  8.19  acted in good faith in reliance on the opinion. 
  8.20     (c) A request for an opinion and the opinion itself are 
  8.21  nonpublic data.  The board, however, may publish an opinion or a 
  8.22  summary of an opinion, but may not include in the publication 
  8.23  the name of the requester, the name of a person covered by a 
  8.24  request from an agency or political subdivision, or any other 
  8.25  information that might identify the requester unless the person 
  8.26  consents to the inclusion. 
  8.27     Sec. 9.  Minnesota Statutes 1994, section 10A.03, 
  8.28  subdivision 2, is amended to read: 
  8.29     Subd. 2.  The registration form shall be prescribed by the 
  8.30  board and shall include (a) the name and address of the 
  8.31  lobbyist, (b) the principal place of business of the lobbyist, 
  8.32  (c) the name and address of each person, if any, by whom the 
  8.33  lobbyist is retained or employed or on whose behalf the lobbyist 
  8.34  appears, and, if different, of each principal by which the 
  8.35  lobbyist is engaged, compensated, or authorized to lobby, and 
  8.36  (d) a general description of the subject or subjects on which 
  9.1   the lobbyist expects to lobby whether the lobbying is to 
  9.2   influence legislative action, administrative action, or the 
  9.3   official actions of a metropolitan governmental unit.  If the 
  9.4   lobbyist lobbies on behalf of an association the registration 
  9.5   form shall include the name and address of the officers and 
  9.6   directors of the association.  If the lobbyist lobbies on behalf 
  9.7   of a political subdivision, the registration must include the 
  9.8   name and address of the chief executive and members of the 
  9.9   governing body of the political subdivision.  
  9.10     Sec. 10.  Minnesota Statutes 1994, section 10A.03, 
  9.11  subdivision 3, is amended to read: 
  9.12     Subd. 3.  The board shall notify by certified mail or 
  9.13  personal service any lobbyist who fails to file a registration 
  9.14  form within five days after becoming a lobbyist.  If a lobbyist 
  9.15  fails to file a form within seven five days after receiving this 
  9.16  the notice was mailed, the board may impose a late filing fee 
  9.17  at $5 $25 per day, not to exceed $100 $500, commencing with 
  9.18  the eighth sixth day after receiving the notice was mailed.  
  9.19  The board shall further notify by certified mail or personal 
  9.20  service any lobbyist who fails to file a form within 21 days of 
  9.21  receiving a first notice that the lobbyist may be subject to a 
  9.22  criminal penalty for failure to file the form.  A lobbyist who 
  9.23  knowingly fails to file a form within seven days after receiving 
  9.24  a second notice from the board is guilty of a misdemeanor. 
  9.25     Sec. 11.  Minnesota Statutes 1994, section 10A.04, 
  9.26  subdivision 3, is amended to read: 
  9.27     Subd. 3.  Each person or, association, political 
  9.28  subdivision, or public system of higher education about whose 
  9.29  activities a lobbyist is required to report shall provide the 
  9.30  information required by sections 10A.03 to 10A.05 to the 
  9.31  lobbyist no later than five days before the prescribed filing 
  9.32  date. 
  9.33     Sec. 12.  Minnesota Statutes 1994, section 10A.04, 
  9.34  subdivision 4, is amended to read: 
  9.35     Subd. 4.  (a) The report shall include such information as 
  9.36  the board may require from the registration form and the 
 10.1   information required by this subdivision for the reporting 
 10.2   period. 
 10.3      (b) Each lobbyist shall report the lobbyist's total 
 10.4   disbursements on lobbying, separately listing lobbying to 
 10.5   influence legislative action, lobbying to influence 
 10.6   administrative action, and lobbying to influence the official 
 10.7   actions of a metropolitan governmental unit, and a breakdown of 
 10.8   disbursements for each of those kinds of lobbying into 
 10.9   categories specified by the board, including but not limited to 
 10.10  the cost of publication and distribution of each publication 
 10.11  used in lobbying; other printing; media, including the cost of 
 10.12  production; postage; travel; fees, including allowances; 
 10.13  entertainment; telephone and telegraph; and other expenses. 
 10.14     (c) Each lobbyist shall report the amount and nature of 
 10.15  each honorarium, gift, loan, item or benefit, excluding 
 10.16  contributions to a candidate, equal in value to $5 or more, 
 10.17  given or paid to any public or local official as defined in 
 10.18  section 10A.071, subdivision 1, by the lobbyist or any employer 
 10.19  or any employee of the lobbyist.  The list shall include the 
 10.20  name and address of each public or local official to whom the 
 10.21  honorarium, gift, loan, item or benefit was given or paid and 
 10.22  the date it was given or paid.  A lobbyist need report only the 
 10.23  aggregate amount and nature of food or beverages given or made 
 10.24  available to all members of the legislature or a house of the 
 10.25  legislature or to all members of a local legislative body, along 
 10.26  with the name of the legislative body and the date it was given 
 10.27  or made available. 
 10.28     (d) Each lobbyist shall report each original source of 
 10.29  funds money in excess of $500 in any year used for the purpose 
 10.30  of lobbying to influence legislative action, each such source of 
 10.31  funds money used to influence administrative action, and each 
 10.32  such source of funds money used to influence the official action 
 10.33  of metropolitan governmental units.  For money used to influence 
 10.34  administrative action or the official action of metropolitan 
 10.35  governmental units, the administrative entities and metropolitan 
 10.36  governmental units must be identified.  The list shall include 
 11.1   the name, address and employer, or, if self-employed, the 
 11.2   occupation and principal place of business, of each payer of 
 11.3   funds in excess of $500. 
 11.4      Sec. 13.  Minnesota Statutes 1994, section 10A.04, 
 11.5   subdivision 5, is amended to read: 
 11.6      Subd. 5.  The board shall notify by certified mail or 
 11.7   personal service any lobbyist or principal who fails after seven 
 11.8   days after a filing date imposed by this section to file a 
 11.9   report or statement required by this section.  If a lobbyist or 
 11.10  principal fails to file a report within seven five days after 
 11.11  receiving this the notice was mailed, the board may impose a 
 11.12  late filing fee of $5 $25 per day, not to exceed $100 $500, 
 11.13  commencing with the eighth sixth day after receiving the notice 
 11.14  was mailed.  The board shall further notify by certified mail or 
 11.15  personal service any lobbyist who fails to file a report within 
 11.16  21 days after receiving a first notice that the lobbyist may be 
 11.17  subject to a criminal penalty for failure to file the report.  A 
 11.18  lobbyist who knowingly fails to file such a report or statement 
 11.19  within seven days after receiving a second notice from the board 
 11.20  is guilty of a misdemeanor. 
 11.21     Sec. 14.  Minnesota Statutes 1994, section 10A.04, 
 11.22  subdivision 6, is amended to read: 
 11.23     Subd. 6.  [LOBBYIST AND PRINCIPAL REPORTS.] (a) Each 
 11.24  principal shall report to the board as required in this 
 11.25  subdivision by March 15 for the preceding calendar year. 
 11.26     (b) Each principal shall report which of the following 
 11.27  categories includes the total amount, rounded to the nearest 
 11.28  dollar, spent by the principal during the preceding calendar 
 11.29  year to influence legislative action, the total amount spent by 
 11.30  the principal during the preceding calendar year to influence 
 11.31  administrative action, and the total amount spent by the 
 11.32  principal during the preceding calendar year to influence the 
 11.33  official action of metropolitan governmental units: 
 11.34     (1) $501 to $50,000; 
 11.35     (2) $50,001 to $150,000; or 
 11.36     (3) $150,001 to $250,000. 
 12.1      (c) Beyond $250,000, each additional $250,000 constitutes 
 12.2   an additional category, and each principal shall report which of 
 12.3   the categories includes the total amount spent by the principal 
 12.4   for the purposes provided in this subdivision. 
 12.5      (d) The principal shall report under this subdivision a 
 12.6   total amount that includes amounts reported under paragraph (b) 
 12.7   must include: 
 12.8      (1) all direct payments by the principal to lobbyists in 
 12.9   Minnesota; 
 12.10     (2) all expenditures for advertising, mailing, research, 
 12.11  analysis, compilation and dissemination of information, and 
 12.12  public relations campaigns related to legislative action, 
 12.13  administrative action, or the official action of metropolitan 
 12.14  governmental units in Minnesota; and 
 12.15     (3) an estimate of all salaries and administrative expenses 
 12.16  attributable to activities of the principal relating to efforts 
 12.17  to influence legislative action, administrative action, or the 
 12.18  official action of metropolitan governmental units in Minnesota. 
 12.19     (d) For amounts used to influence administrative action or 
 12.20  the official action of metropolitan governmental units, the 
 12.21  administrative entities and metropolitan governmental units must 
 12.22  be identified. 
 12.23     Sec. 15.  Minnesota Statutes 1994, section 10A.04, 
 12.24  subdivision 7, is amended to read: 
 12.25     Subd. 7.  [FINANCIAL RECORDS.] The board may randomly audit 
 12.26  the financial records of lobbyists and principals required to 
 12.27  report under this section.  Lobbyists and principals shall 
 12.28  retain for four years after the report was filed all records 
 12.29  concerning the matters reported under this chapter, including 
 12.30  vouchers, canceled checks, bills, invoices, worksheets, and 
 12.31  receipts. 
 12.32     Sec. 16.  Minnesota Statutes 1994, section 10A.05, is 
 12.33  amended to read: 
 12.34     10A.05 [LOBBYIST REPORT.] 
 12.35     Within 30 days after each lobbyist filing date set by 
 12.36  section 10A.04, the executive director of the board shall report 
 13.1   to the governor, and the presiding officer of each house of the 
 13.2   legislature, the names of the lobbyists registered who were not 
 13.3   previously reported, the names of the persons or, associations, 
 13.4   political subdivisions, or public systems of higher education 
 13.5   whom they represent as lobbyists, the subject or subjects on 
 13.6   which they are lobbying, and whether in each case they lobby to 
 13.7   influence legislative or administrative action or both.  At the 
 13.8   same times, the executive director of the board shall report to 
 13.9   the governing body of each metropolitan governmental unit, the 
 13.10  names of the registered lobbyists who attempt to influence the 
 13.11  official action of metropolitan governmental units, and the 
 13.12  names of the persons or, associations, political subdivisions, 
 13.13  or public systems of higher education whom they represent as 
 13.14  lobbyists, and the subject or subjects on which they are 
 13.15  lobbying. 
 13.16     Sec. 17.  Minnesota Statutes 1994, section 10A.065, 
 13.17  subdivision 1, is amended to read: 
 13.18     Subdivision 1.  [REGISTERED LOBBYIST CONTRIBUTIONS; 
 13.19  LEGISLATIVE SESSION.] A candidate for the legislature or for 
 13.20  constitutional office, a candidate's principal campaign 
 13.21  committee, any other political committee with the candidate's 
 13.22  name or title, any committee authorized by the candidate, or a 
 13.23  political committee established by all or a part of the party 
 13.24  organization within a house of the legislature, shall not 
 13.25  solicit or accept a contribution on behalf of a candidate's 
 13.26  principal campaign committee, any other political committee with 
 13.27  the candidate's name or title, any committee authorized by the 
 13.28  candidate, or a political committee established by all or a part 
 13.29  of the party organization within a house of the legislature, 
 13.30  from a registered lobbyist, political committee, or political 
 13.31  fund during a regular session of the legislature.  However, the 
 13.32  party organization within a house of the legislature may receive 
 13.33  a member's dues during a regular session of the legislature, 
 13.34  even if the dues are paid from the assets of the member's 
 13.35  principal campaign committee.  For a candidate for governor or 
 13.36  lieutenant governor, the prohibition in this subdivision extends 
 14.1   to the 14 days immediately following adjournment of the 
 14.2   legislature in either year of a biennium.  
 14.3      Sec. 18.  Minnesota Statutes 1994, section 10A.065, is 
 14.4   amended by adding a subdivision to read: 
 14.5      Subd. 6.  [FEDERAL OFFICES.] This section does not prohibit 
 14.6   a candidate from soliciting or accepting a contribution to a 
 14.7   campaign for a federal office. 
 14.8      Sec. 19.  Minnesota Statutes 1994, section 10A.08, is 
 14.9   amended to read: 
 14.10     10A.08 [REPRESENTATION DISCLOSURE.] 
 14.11     Any public official who represents a client for a fee 
 14.12  before any individual, board, commission or agency that has rule 
 14.13  making authority in a hearing conducted under chapter 14, shall 
 14.14  disclose the official's participation in the action to the board 
 14.15  within 14 days after the appearance.  The board shall notify by 
 14.16  certified mail or personal service any public official who fails 
 14.17  to disclose the participation within 14 days after the 
 14.18  appearance.  If the public official fails to disclose the 
 14.19  participation within seven five days of after this notice was 
 14.20  mailed, the board may impose a late filing fee of $5 $25 per 
 14.21  day, not to exceed $100 $500, commencing on the eighth sixth day 
 14.22  after receiving the notice was mailed. 
 14.23     Sec. 20.  Minnesota Statutes 1994, section 10A.09, 
 14.24  subdivision 3, is amended to read: 
 14.25     Subd. 3.  The board shall notify the secretary of state or 
 14.26  the appropriate county auditor and, when necessary in the case 
 14.27  of appointive office, the presiding officer of the house that 
 14.28  will approve or disapprove the nomination, of the name of the 
 14.29  individual who has filed a statement of economic interest with 
 14.30  the board, a copy of the statement, and the date on which the 
 14.31  statement was filed. 
 14.32     Sec. 21.  Minnesota Statutes 1994, section 10A.09, 
 14.33  subdivision 7, is amended to read: 
 14.34     Subd. 7.  The board shall notify by certified mail or 
 14.35  personal service any individual who fails within the prescribed 
 14.36  time to file a statement of economic interest required by this 
 15.1   section.  If an individual fails to file a statement within 
 15.2   seven five days after receiving this the notice was mailed, 
 15.3   the board may impose a late filing fee of $5 $25 per day, not to 
 15.4   exceed $100 $500, commencing on the eighth sixth day after 
 15.5   receiving the notice was mailed.  The board shall further notify 
 15.6   by certified mail or personal service any individual who fails 
 15.7   to file a statement within 21 days after receiving a first 
 15.8   notice that the individual may be subject to a criminal penalty 
 15.9   for failure to file a statement.  An individual who fails to 
 15.10  file a statement within seven days after a second notice is 
 15.11  guilty of a misdemeanor. 
 15.12     Sec. 22.  Minnesota Statutes 1994, section 10A.14, 
 15.13  subdivision 4, is amended to read: 
 15.14     Subd. 4.  The board shall notify by certified mail or 
 15.15  personal service any individual who fails to file a statement 
 15.16  required by this section.  If an individual fails to file a 
 15.17  statement within seven five days after receiving a the notice 
 15.18  was mailed, the board may impose a late filing fee of $5 $25 per 
 15.19  day, not to exceed $100 $500, commencing with the eighth sixth 
 15.20  day after receiving the notice was mailed.  The board shall 
 15.21  further notify by certified mail or personal service any 
 15.22  individual who fails to file a statement within 21 days after 
 15.23  receiving a first notice that such individual may be subject to 
 15.24  a criminal penalty for failure to file the report.  An 
 15.25  individual who knowingly fails to file the statement within 
 15.26  seven days after receiving a second notice from the board is 
 15.27  guilty of a misdemeanor. 
 15.28     Sec. 23.  Minnesota Statutes 1994, section 10A.15, 
 15.29  subdivision 3a, is amended to read: 
 15.30     Subd. 3a.  No treasurer of a principal campaign committee 
 15.31  of a candidate or of a political committee or political fund 
 15.32  shall deposit any transfer which on its face exceeds the limit 
 15.33  on contributions to that candidate or political committee or 
 15.34  political fund prescribed by section 10A.27 unless, at the time 
 15.35  of deposit, the treasurer issues a check to the source for the 
 15.36  amount of the excess. 
 16.1      Sec. 24.  Minnesota Statutes 1994, section 10A.15, 
 16.2   subdivision 5, is amended to read: 
 16.3      Subd. 5.  [LOBBYIST, POLITICAL COMMITTEE, OR POLITICAL FUND 
 16.4   REGISTRATION NUMBER ON CHECKS.] A contribution made to a 
 16.5   candidate by a lobbyist, political committee, or political fund 
 16.6   that makes a contribution to a candidate must show on the 
 16.7   contribution the name of the lobbyist, political committee, or 
 16.8   political fund and the number under which it is registered with 
 16.9   the board.  A candidate may rely upon the presence or absence of 
 16.10  a registration number in determining whether the contribution is 
 16.11  from a lobbyist and is not subject to a civil penalty for the 
 16.12  failure of a contributor to comply with this subdivision.  The 
 16.13  contributor is subject to a civil penalty imposed by the board.  
 16.14     Sec. 25.  Minnesota Statutes 1994, section 10A.20, 
 16.15  subdivision 3, is amended to read: 
 16.16     Subd. 3.  [CONTENTS OF REPORT.] Each report under this 
 16.17  section shall disclose: 
 16.18     (a) The amount of liquid assets on hand at the beginning of 
 16.19  the reporting period; 
 16.20     (b) The name, address and employer, or occupation if 
 16.21  self-employed, of each individual, political committee or 
 16.22  political fund who within the year has made one or more 
 16.23  transfers or donations in kind to the political committee or 
 16.24  political fund during the reporting period, including the 
 16.25  purchase of tickets for all fund raising efforts, which in 
 16.26  aggregate within the year equal or exceed $100 for legislative, 
 16.27  judicial district, or statewide candidates or ballot questions, 
 16.28  together with the amount and date of each transfer or donation 
 16.29  in kind, and the aggregate amount of transfers and donations in 
 16.30  kind within the year from each source so disclosed.  A donation 
 16.31  in kind shall be disclosed at its fair market value.  An 
 16.32  approved expenditure is listed as a donation in kind.  A 
 16.33  donation in kind is considered consumed in the reporting period 
 16.34  in which it is received.  The names of contributors shall be 
 16.35  listed in alphabetical order; 
 16.36     (c) The sum of contributions to the political committee or 
 17.1   political fund during the reporting period; 
 17.2      (d) Each loan made or received by the political committee 
 17.3   or political fund within the year in aggregate in excess of 
 17.4   $100, continuously reported until repaid or forgiven, together 
 17.5   with the name, address, occupation and the principal place of 
 17.6   business, if any, of the lender and any endorser and the date 
 17.7   and amount of the loan.  If any loan made to the principal 
 17.8   campaign committee of a candidate is forgiven at any time or 
 17.9   repaid by any entity other than that principal campaign 
 17.10  committee, it shall be reported as a contribution for the year 
 17.11  in which the loan was made; 
 17.12     (e) Each receipt in excess of $100 not otherwise listed 
 17.13  under clauses (b) to (d); 
 17.14     (f) The sum of all receipts of the political committee or 
 17.15  political fund during the reporting period; 
 17.16     (g) The name and address of each individual or association 
 17.17  to whom aggregate expenditures, including approved expenditures, 
 17.18  have been made by or on behalf of the political committee or 
 17.19  political fund during the reporting period that aggregate within 
 17.20  the year in excess of $100, together with the amount, date and 
 17.21  purpose of each expenditure and the name and address of, and 
 17.22  office sought by, each candidate on whose behalf the expenditure 
 17.23  was made, identification of the ballot question which the 
 17.24  expenditure is intended to promote or defeat, and in the case of 
 17.25  independent expenditures made in opposition to a candidate, the 
 17.26  name, address and office sought for each such candidate, except 
 17.27  that an independent expenditure of less than $300 per candidate 
 17.28  by an association targeted to inform solely its own dues-paying 
 17.29  members of the association's position on a candidate need not be 
 17.30  itemized and an association that makes only this type of 
 17.31  expenditure need not register with the board; 
 17.32     (h) The sum of all expenditures made by or on behalf of the 
 17.33  political committee or political fund during the reporting 
 17.34  period; 
 17.35     (i) The amount and nature of any advance of credit incurred 
 17.36  by the political committee or political fund, continuously 
 18.1   reported until paid or forgiven.  If any advance of credit 
 18.2   incurred by the principal campaign committee of a candidate is 
 18.3   forgiven at any time by the creditor or paid by any entity other 
 18.4   than that principal campaign committee, it shall be reported as 
 18.5   a donation in kind for the year in which the advance of credit 
 18.6   was incurred; 
 18.7      (j) The name and address of each political committee, 
 18.8   political fund, or principal campaign committee to which 
 18.9   aggregate transfers have been made during the reporting period 
 18.10  that aggregate in excess of $100 have been made within the year, 
 18.11  together with the amount and date of each transfer; 
 18.12     (k) The sum of all transfers made by the political 
 18.13  committee, political fund, or principal campaign committee 
 18.14  during the reporting period; 
 18.15     (l) Except for contributions to a candidate or committee 
 18.16  for a candidate for office in a municipality as defined in 
 18.17  section 471.345, subdivision 1, The name and address of each 
 18.18  individual or association to whom aggregate noncampaign 
 18.19  disbursements have been made during the reporting period that 
 18.20  aggregate in excess of $100 have been made within the year by or 
 18.21  on behalf of a principal campaign committee, political 
 18.22  committee, or political fund, together with the amount, date, 
 18.23  and purpose of each noncampaign disbursement; 
 18.24     (m) The sum of all noncampaign disbursements made within 
 18.25  the year reporting period by or on behalf of a principal 
 18.26  campaign committee, political committee, or political fund; and 
 18.27     (n) A report filed under subdivision 2, clause (b), by a 
 18.28  political committee or political fund that is subject to 
 18.29  subdivision 14, must contain the information required by 
 18.30  subdivision 14, if the political committee or political fund has 
 18.31  solicited and caused others to make aggregate contributions 
 18.32  greater than $5,000 between January 1 of the general election 
 18.33  year and the end of the reporting period.  This disclosure 
 18.34  requirement is in addition to the report required by subdivision 
 18.35  14. 
 18.36     Sec. 26.  Minnesota Statutes 1994, section 10A.20, 
 19.1   subdivision 5, is amended to read: 
 19.2      Subd. 5.  [PREELECTION REPORTS.] In any statewide election 
 19.3   any loan, contribution, or contributions from any one source 
 19.4   totaling $2,000 or more, or in any judicial district or 
 19.5   legislative election totaling more than $400, received between 
 19.6   the last day covered in the last report prior to an election and 
 19.7   the election shall be reported to the board in one of the 
 19.8   following ways: 
 19.9      (1) in person within 48 hours after its receipt; 
 19.10     (2) by facsimile transmission and first class mail sent 
 19.11  within 48 hours after its receipt; 
 19.12     (2) (3) by telegram or mailgram within 48 hours after its 
 19.13  receipt; or 
 19.14     (3) (4) by certified mail sent within 48 hours after its 
 19.15  receipt. 
 19.16     These loans and contributions must also be reported in the 
 19.17  next required report. 
 19.18     The 48-hour notice requirement does not apply with respect 
 19.19  to a primary if the statewide or legislative candidate is 
 19.20  unopposed in that primary. 
 19.21     Sec. 27.  Minnesota Statutes 1994, section 10A.20, 
 19.22  subdivision 12, is amended to read: 
 19.23     Subd. 12.  The board shall notify by certified mail or 
 19.24  personal service any individual who fails to file a statement 
 19.25  required by this section.  If an individual fails to file a 
 19.26  statement due January 31 within seven five days after receiving 
 19.27  a notice was mailed, the board may impose a late filing fee 
 19.28  of $5 $25 per day, not to exceed $100 $500, commencing on 
 19.29  the eighth sixth day after receiving notice was mailed.  If an 
 19.30  individual fails to file a statement due before any primary or 
 19.31  election within three days of the date due, regardless of 
 19.32  whether the individual has received any notice, the board may 
 19.33  impose a late filing fee of $50 $100 per day, not to 
 19.34  exceed $500 $1,000, commencing on the fourth day after the date 
 19.35  the statement was due.  The board shall further notify by 
 19.36  certified mail or personal service any individual who fails to 
 20.1   file any statement within 14 days after receiving a first notice 
 20.2   from the board that the individual may be subject to a criminal 
 20.3   penalty for failure to file a statement.  An individual who 
 20.4   knowingly fails to file the statement within seven days after 
 20.5   receiving a second notice from the board is guilty of a 
 20.6   misdemeanor.  The late filing fee may be paid out of the assets 
 20.7   of the political committee or fund. 
 20.8      Sec. 28.  Minnesota Statutes 1994, section 10A.20, is 
 20.9   amended by adding a subdivision to read: 
 20.10     Subd. 15.  [EQUITABLE RELIEF.] A candidate whose opponent 
 20.11  does not timely file the report due ten days before the general 
 20.12  election may petition the district court for immediate equitable 
 20.13  relief to enforce the filing requirement. 
 20.14     Sec. 29.  Minnesota Statutes 1994, section 10A.21, 
 20.15  subdivision 3, is amended to read: 
 20.16     Subd. 3.  Statements and reports filed with county auditor 
 20.17  shall be available to the public in the manner prescribed by 
 20.18  section 10A.02, subdivision 8, clause (e).  Statements and 
 20.19  reports of principal campaign committees shall be retained until 
 20.20  four years after the election to which they pertain.  Economic 
 20.21  interest statements shall be retained until the subject of the 
 20.22  statement is no longer a candidate or officeholder.  Upon 
 20.23  request of a county auditor, the board shall send the auditor a 
 20.24  copy of a statement of economic interest filed with the board.  
 20.25  The copy need not be certified. 
 20.26     Sec. 30.  Minnesota Statutes 1994, section 10A.23, is 
 20.27  amended to read: 
 20.28     10A.23 [CHANGES AND CORRECTIONS.] 
 20.29     Subdivision 1.  [REPORT.] Any material changes in 
 20.30  information previously submitted and any corrections to a report 
 20.31  or statement shall be reported in writing to the board within 
 20.32  ten days following the date of the event prompting the change or 
 20.33  the date upon which the person filing became aware of the 
 20.34  inaccuracy.  The change or correction shall identify the form 
 20.35  and the paragraph containing the information to be changed or 
 20.36  corrected.  Any person who willfully fails to report a material 
 21.1   change or correction is guilty of a gross misdemeanor. 
 21.2      Subd. 2.  [NOTICE; PENALTY.] If the board determines that a 
 21.3   report or statement is inaccurate, the board shall notify by 
 21.4   certified mail the person who filed the report or statement of 
 21.5   the need to correct it.  If the person fails to file a corrected 
 21.6   report or statement within ten days after the notice was mailed, 
 21.7   the board may impose a late filing fee at the rate of $25 a day, 
 21.8   not to exceed $500, commencing with the 11th day after the 
 21.9   notice was mailed.  
 21.10     Sec. 31.  Minnesota Statutes 1994, section 10A.25, 
 21.11  subdivision 2, is amended to read: 
 21.12     Subd. 2.  (a) In a year in which an election is held for an 
 21.13  office sought by a candidate, no expenditures shall be made by 
 21.14  the principal campaign committee of that candidate, nor any 
 21.15  approved expenditures made on behalf of that candidate which 
 21.16  expenditures and approved expenditures result in an aggregate 
 21.17  amount in excess of the following: 
 21.18     (1) for governor and lieutenant governor, running together, 
 21.19  $1,626,691; 
 21.20     (2) for attorney general, $271,116; 
 21.21     (3) for secretary of state, state treasurer, and state 
 21.22  auditor, separately, $135,559; 
 21.23     (4) for state senator, $40,669; 
 21.24     (5) for state representative, $20,335. 
 21.25     (b) If a special election cycle occurs during a general 
 21.26  election cycle, expenditures by or on behalf of a candidate in 
 21.27  the special election do not count as expenditures by or on 
 21.28  behalf of the candidate in the general election. 
 21.29     (c) The expenditure limits in this subdivision for an 
 21.30  office are increased by ten percent for a candidate who is 
 21.31  running a candidate for that office for the first time and who 
 21.32  has not run previously been a candidate for any other state, 
 21.33  federal, or local office whose territory now includes a 
 21.34  population that is more than one-third of the population in the 
 21.35  territory of the new office. 
 21.36     Sec. 32.  Minnesota Statutes 1994, section 10A.25, 
 22.1   subdivision 6, is amended to read: 
 22.2      Subd. 6.  During an election cycle, in any year before an 
 22.3   the election year for the office held or sought, the aggregate 
 22.4   amount of expenditures by and approved expenditures on behalf of 
 22.5   a candidate for or holder of that office shall not exceed 20 
 22.6   percent of the expenditure limit set forth in subdivision 2. 
 22.7      Sec. 33.  Minnesota Statutes 1994, section 10A.25, 
 22.8   subdivision 10, is amended to read: 
 22.9      Subd. 10.  [EFFECT OF OPPONENT'S AGREEMENT.] (a) The 
 22.10  expenditure limits imposed by this section apply only to 
 22.11  candidates whose major political party opponents agree to be 
 22.12  bound by the limits and who themselves agree to be bound by the 
 22.13  limits as a condition of receiving a public subsidy for their 
 22.14  campaigns.  
 22.15     (b) A candidate who agrees to be bound by the limits and 
 22.16  receives a public subsidy, who has an opponent who:  (1) is a 
 22.17  candidate of a major political party whose name will appear on 
 22.18  the ballot in the general election; and (2) does not agree to be 
 22.19  bound by the limits but is otherwise eligible to receive a 
 22.20  public subsidy: 
 22.21     (i) is no longer bound by the limits, including those in 
 22.22  section 10A.324, subdivision 1, paragraph (c); 
 22.23     (ii) is eligible to receive a public subsidy; and 
 22.24     (iii) also receives, or shares equally with any other 
 22.25  candidate who agrees to be bound by limits, the opponent's share 
 22.26  of the general account public subsidy under section 10A.31. 
 22.27     For purposes of this subdivision, "otherwise eligible to 
 22.28  receive a public subsidy" means that a candidate meets the 
 22.29  requirements of sections 10A.31, 10A.315, 10A.321, and 10A.322, 
 22.30  but does not mean that the candidate has filed an affidavit of 
 22.31  matching funds under section 10A.323. 
 22.32     Sec. 34.  Minnesota Statutes 1994, section 10A.25, 
 22.33  subdivision 11, is amended to read: 
 22.34     Subd. 11.  [CARRYFORWARD; DISPOSITION OF OTHER FUNDS.] 
 22.35  After all campaign expenditures and noncampaign disbursements 
 22.36  for an election cycle have been made, an amount up to 50 percent 
 23.1   of the election-year expenditure limit for the office may be 
 23.2   carried forward.  Any remaining amount up to the total amount of 
 23.3   the public subsidy from the state elections campaign fund and 
 23.4   any public matching subsidy must be returned to the state 
 23.5   treasury for credit to the general fund under section 10A.324.  
 23.6   Any remaining amount in excess of the total public subsidy must 
 23.7   be contributed to the state elections campaign fund or a 
 23.8   political party for multicandidate expenditures as defined in 
 23.9   section 10A.275. 
 23.10     Sec. 35.  Minnesota Statutes 1994, section 10A.27, 
 23.11  subdivision 9, is amended to read: 
 23.12     Subd. 9.  (a) A candidate or the treasurer of a candidate's 
 23.13  principal campaign committee shall not accept a transfer or 
 23.14  contribution from another candidate's principal campaign 
 23.15  committee or from any other committee bearing the contributing 
 23.16  candidate's name or title or otherwise authorized by the 
 23.17  contributing candidate, unless the contributing candidate's 
 23.18  principal campaign committee is being dissolved.  A candidate's 
 23.19  principal campaign committee shall not make a transfer or 
 23.20  contribution to another candidate's principal campaign 
 23.21  committee, except when the contributing committee is being 
 23.22  dissolved.  
 23.23     (b) A candidate's principal campaign committee shall not 
 23.24  accept a transfer or contribution from, or make a transfer or 
 23.25  contribution to, a committee associated with a person who seeks 
 23.26  nomination or election to the office of President, Senator, or 
 23.27  Representative in Congress of the United States. 
 23.28     (c) A candidate or the treasurer of a candidate's principal 
 23.29  campaign committee shall not accept a contribution from a 
 23.30  candidate for state or political subdivision office, in any 
 23.31  state, unless the contribution is from the personal funds of the 
 23.32  candidate for state or political subdivision office.  A 
 23.33  candidate or the treasurer of a candidate's principal campaign 
 23.34  committee shall not make a contribution from the principal 
 23.35  campaign committee to a candidate for state or political 
 23.36  subdivision office in any state. 
 24.1      Sec. 36.  Minnesota Statutes 1994, section 10A.27, 
 24.2   subdivision 10, is amended to read: 
 24.3      Subd. 10.  [PROHIBITED CONTRIBUTIONS.] A candidate who 
 24.4   accepts a public subsidy may not contribute to the candidate's 
 24.5   own campaign during a year more than ten times the candidate's 
 24.6   election year contribution limit for that year under subdivision 
 24.7   1. 
 24.8      Sec. 37.  Minnesota Statutes 1994, section 10A.27, 
 24.9   subdivision 12, is amended to read: 
 24.10     Subd. 12.  [CONTRIBUTIONS TO OTHER POLITICAL COMMITTEES OR 
 24.11  FUNDS.] The treasurer of a political committee or political fund 
 24.12  that makes contributions to candidates, other than a candidate's 
 24.13  principal campaign committee or a political party unit as 
 24.14  defined in section 10A.275, shall not permit the political 
 24.15  committee or political fund to accept aggregate contributions 
 24.16  from an individual, political committee, or political fund in an 
 24.17  amount more than $100 $1,000 a year. 
 24.18     Sec. 38.  Minnesota Statutes 1994, section 10A.275, 
 24.19  subdivision 1, is amended to read: 
 24.20     Subdivision 1.  [EXCEPTIONS.] Notwithstanding any other 
 24.21  provisions of this chapter, the following expenditures by a 
 24.22  state political party, a party unit, or two or more party units 
 24.23  acting together, with at least one party unit being either:  the 
 24.24  state party organization or the party organization within a 
 24.25  congressional district, county, or legislative district, shall 
 24.26  not be considered contributions to or expenditures on behalf of 
 24.27  any candidate for the purposes of section 10A.25 or 10A.27, and 
 24.28  shall not be allocated to any candidates pursuant to section 
 24.29  10A.22, subdivision 5: 
 24.30     (a) expenditures on behalf of candidates of that party 
 24.31  generally without referring to any of them specifically in any 
 24.32  advertisement published, posted or broadcast; 
 24.33     (b) expenditures for the preparation, display, mailing or 
 24.34  other distribution of an official party sample ballot listing 
 24.35  the names of three or more individuals whose names are to appear 
 24.36  on the ballot; 
 25.1      (c) expenditures for any telephone conversation including 
 25.2   the names of three or more individuals whose names are to appear 
 25.3   on the ballot; 
 25.4      (d) expenditures for any political party fundraising effort 
 25.5   on behalf of three or more candidates; or 
 25.6      (e) expenditures for party committee staff member services 
 25.7   that benefit three or more candidates.  
 25.8      Public subsidy money received from the state and required 
 25.9   to be used for multicandidate political expenditures must be 
 25.10  kept in a separate account and may not be used on behalf of 
 25.11  candidates who are subject to chapter 10A and have not filed a 
 25.12  spending limit agreement under section 10A.322. 
 25.13     Sec. 39.  Minnesota Statutes 1994, section 10A.28, 
 25.14  subdivision 1, is amended to read: 
 25.15     Subdivision 1.  [CANDIDATE EXCEEDING EXPENDITURE LIMITS.] A 
 25.16  candidate subject to the expenditure limits in section 10A.25 
 25.17  who permits the candidate's principal campaign committee to make 
 25.18  expenditures or permits approved expenditures to be made on the 
 25.19  candidate's behalf in excess of the limits imposed by section 
 25.20  10A.25, as adjusted by section 10A.255, may be ordered by the 
 25.21  board to return part or all of the public subsidy paid to the 
 25.22  candidate and is subject to a civil fine up to four times the 
 25.23  amount which the expenditures exceeded the limit. 
 25.24     Sec. 40.  Minnesota Statutes 1994, section 10A.31, 
 25.25  subdivision 3, is amended to read: 
 25.26     Subd. 3.  [FORM.] The commissioner of the department of 
 25.27  revenue shall provide on the first page of the income tax form 
 25.28  and the renter and homeowner property tax refund return a space 
 25.29  for the individual to indicate a wish to allocate $5 ($10 if 
 25.30  filing a joint return) from the general fund of the state to 
 25.31  finance election campaigns.  The form shall also contain 
 25.32  language prepared by the commissioner which permits the 
 25.33  individual to direct the state to allocate the $5 (or $10 if 
 25.34  filing a joint return) to:  (i) one of the major political 
 25.35  parties and its candidates; (ii) any minor political party as 
 25.36  defined in section 10A.01, subdivision 13, which qualifies under 
 26.1   the provisions of subdivision 3a, and its candidates; or (iii) 
 26.2   all qualifying candidates as provided by subdivision 7.  The 
 26.3   renter and homeowner property tax refund return shall include 
 26.4   instructions that the individual filing the return may designate 
 26.5   $5 on the return only if the individual has not designated $5 on 
 26.6   the income tax return. 
 26.7      Sec. 41.  Minnesota Statutes 1994, section 10A.31, 
 26.8   subdivision 4, is amended to read: 
 26.9      Subd. 4.  (a) The amounts designated by individuals for the 
 26.10  state elections campaign fund, less three percent, are 
 26.11  appropriated from the general fund and shall be credited to the 
 26.12  appropriate account in the state elections campaign fund and 
 26.13  annually appropriated for distribution as set forth in 
 26.14  subdivisions 5, 6 and 7.  An amount equal to three percent shall 
 26.15  be retained in the general fund for administrative costs.  
 26.16     (b) In addition to the amounts in paragraph (a), $1,500,000 
 26.17  for each general election is appropriated from the general fund 
 26.18  for transfer to the general account of the state elections 
 26.19  campaign fund. 
 26.20     Sec. 42.  Minnesota Statutes 1994, section 10A.31, 
 26.21  subdivision 5, is amended to read: 
 26.22     Subd. 5.  In each calendar year the money in the general 
 26.23  account shall be allocated to candidates as follows: 
 26.24     (1) 21 percent for the offices of governor and lieutenant 
 26.25  governor together; 
 26.26     (2) 3.6 percent for the office of attorney general; 
 26.27     (3) 1.8 percent each for the offices of secretary of state, 
 26.28  state auditor, and state treasurer; 
 26.29     (4) In each calendar year during the period in which state 
 26.30  senators serve a four-year term, 23-1/3 percent for the office 
 26.31  of state senator, and 46-2/3 percent for the office of state 
 26.32  representative; 
 26.33     (5) In each calendar year during the period in which state 
 26.34  senators serve a two-year term, 35 percent each for the offices 
 26.35  of state senator and state representative. 
 26.36     In each calendar year the money in each party account shall 
 27.1   be allocated as follows: 
 27.2      (1) 14 percent for the offices of governor and lieutenant 
 27.3   governor together; 
 27.4      (2) 2.4 percent for the office of attorney general; 
 27.5      (3) 1.2 percent each for the offices of secretary of state, 
 27.6   state auditor, and state treasurer; 
 27.7      (4) In each calendar year during the period in which state 
 27.8   senators serve a four-year term, 23-1/3 percent for the office 
 27.9   of state senator, and 46-2/3 percent for the office of state 
 27.10  representative; 
 27.11     (5) In each calendar year during the period in which state 
 27.12  senators serve a two-year term, 35 percent each for the offices 
 27.13  of state senator and state representative; 
 27.14     (6) ten percent for the state committee of a political 
 27.15  party; money allocated to each state committee under this clause 
 27.16  must be deposited in a separate account and must be spent for 
 27.17  only those items enumerated in section 10A.275; money allocated 
 27.18  to a state committee under this clause must be paid to the 
 27.19  committee by the state treasurer as notified by the state 
 27.20  ethical practices board as it is received in the account on a 
 27.21  monthly basis, with payment on the 15th day of the calendar 
 27.22  month following the month in which the returns were processed by 
 27.23  the department of revenue, provided that these distributions 
 27.24  would be equal to 90 percent of the amount of money indicated in 
 27.25  the department of revenue's weekly unedited reports of income 
 27.26  tax returns and property tax refund returns processed in the 
 27.27  month, as notified by the department of revenue to the state 
 27.28  ethical practices board.  The amounts paid to each state 
 27.29  committee are subject to biennial adjustment and settlement at 
 27.30  the time of each certification required of the commissioner of 
 27.31  revenue under subdivisions 7 and 10.  If the total amount of 
 27.32  payments received by a state committee for the period reflected 
 27.33  on a certification by the department of revenue is different 
 27.34  from the amount that should have been received during the period 
 27.35  according to the certification, each subsequent monthly payment 
 27.36  must be increased or decreased to the fullest extent possible 
 28.1   until the amount of the overpayment is recovered or the 
 28.2   underpayment is distributed. 
 28.3      To assure that moneys will be returned to the counties from 
 28.4   which they were collected, and to assure that the distribution 
 28.5   of those moneys rationally relates to the support for particular 
 28.6   parties or for particular candidates within legislative 
 28.7   districts, money from the party accounts for legislative 
 28.8   candidates shall be distributed as follows: 
 28.9      Each candidate for the state senate and state house of 
 28.10  representatives whose name is to appear on the ballot in the 
 28.11  general election shall receive money from the candidate's party 
 28.12  account set aside for candidates of the state senate or state 
 28.13  house of representatives, whichever applies, according to the 
 28.14  following formula; 
 28.15     For each county within the candidate's district the 
 28.16  candidate's share of the dollars allocated in that county to the 
 28.17  candidate's party account and set aside for that office shall be:
 28.18     (a) The sum of the votes cast in the last general election 
 28.19  in that part of the county in the candidate's district for all 
 28.20  candidates of that candidate's party (i) whose names appeared on 
 28.21  the ballot in each voting precinct of the state and (ii) for the 
 28.22  state senate and state house of representatives, divided by 
 28.23     (b) The sum of the votes cast in that county in the last 
 28.24  general election for all candidates of that candidate's party 
 28.25  (i) whose names appeared on the ballot in each voting precinct 
 28.26  in the state and (ii) for the state senate and state house of 
 28.27  representatives, multiplied by 
 28.28     (c) The amount in the candidate's party account allocated 
 28.29  in that county and set aside for the candidates for the office 
 28.30  for which the candidate is running. 
 28.31     The sum of all the county shares calculated in the formula 
 28.32  above is the candidate's share of the candidate's party account. 
 28.33     In a year in which an election for the state senate occurs, 
 28.34  with respect to votes for candidates for the state senate only, 
 28.35  "last general election" means the last general election in which 
 28.36  an election for the state senate occurred. 
 29.1      For any party under whose name no candidate's name appeared 
 29.2   on the ballot in each voting precinct in the state in the last 
 29.3   general election, amounts in the party's account shall be 
 29.4   allocated based on (a) the number of people voting in the last 
 29.5   general election in that part of the county in the candidate's 
 29.6   district, divided by (b) the number of the people voting in that 
 29.7   county in the last general election, multiplied by (c) the 
 29.8   amount in the candidate's party account allocated in that county 
 29.9   and set aside for the candidates for the office for which the 
 29.10  candidate is running. 
 29.11     In a year in which the first election after a legislative 
 29.12  reapportionment is held, "the candidate's district" means the 
 29.13  newly drawn district, and voting data from the last general 
 29.14  election will be applied to the area encompassing the newly 
 29.15  drawn district notwithstanding that the area was in a different 
 29.16  district in the last general election. 
 29.17     If in a district there was no candidate of a party for the 
 29.18  state senate or state house of representatives in the last 
 29.19  general election, or if a candidate for the state senate or 
 29.20  state house of representatives was unopposed, the vote for that 
 29.21  office for that party shall be the average vote of all the 
 29.22  remaining candidates of that party in each county of that 
 29.23  district whose votes are included in the sums in clauses (a) and 
 29.24  (b).  The average vote shall be added to the sums in clauses (a) 
 29.25  and (b) before the calculation is made for all districts in the 
 29.26  county. 
 29.27     Money from a party account not distributed to refused by 
 29.28  candidates for state senator and representative in any election 
 29.29  year shall be returned to the general fund of the state.  Money 
 29.30  from a party account not distributed to candidates for other 
 29.31  offices in an election year shall be returned to the party 
 29.32  account for reallocation to candidates as provided in clauses 
 29.33  (1) to (6) in the following year.  Money from the general 
 29.34  account refused by any candidate shall be distributed to all 
 29.35  other qualifying candidates in proportion to their shares as 
 29.36  provided in this subdivision.  
 30.1      Sec. 43.  Minnesota Statutes 1994, section 10A.31, 
 30.2   subdivision 6, is amended to read: 
 30.3      Subd. 6.  As soon as the board has obtained from the 
 30.4   secretary of state the results of the primary election, but in 
 30.5   any event no later than one week after certification by the 
 30.6   state canvassing board of the results of the primary, the board 
 30.7   shall distribute the available funds in each party account, as 
 30.8   certified by the commissioner of revenue on September 1, to the 
 30.9   candidates of that party who have signed the agreement as 
 30.10  provided in section 10A.322 and filed the affidavit required by 
 30.11  section 10A.323, and whose names are to appear on the ballot in 
 30.12  the general election, according to the allocations set forth in 
 30.13  subdivision 5.  The distribution must be in the form of a check 
 30.14  made "payable to the campaign fund of ......(name of 
 30.15  candidate)......" and may include as an additional payee a 
 30.16  financial institution named by the candidate.  If a candidate 
 30.17  files the affidavit required by section 10A.323 after September 
 30.18  1 of the general election year, the board shall pay the 
 30.19  candidate's allocation to the candidate at the next regular 
 30.20  payment date for public subsidies for that election cycle that 
 30.21  occurs at least 15 days after the candidate files the affidavit. 
 30.22     Sec. 44.  Minnesota Statutes 1994, section 10A.31, 
 30.23  subdivision 7, is amended to read: 
 30.24     Subd. 7.  (a) Within two weeks after certification by the 
 30.25  state canvassing board of the results of the general election, 
 30.26  the board shall distribute the available funds in the general 
 30.27  account, as certified by the commissioner of revenue on November 
 30.28  1 and according to allocations set forth in subdivision 5, in 
 30.29  equal amounts to all candidates for each statewide office who 
 30.30  received at least five percent of the votes cast in the general 
 30.31  election for that office, and to all candidates for legislative 
 30.32  office who received at least ten percent of the votes cast in 
 30.33  the general election for the specific office for which they were 
 30.34  candidates, provided that the public subsidy under this 
 30.35  subdivision may not be paid in an amount that would cause the 
 30.36  sum of the public subsidy paid from the party account plus the 
 31.1   public subsidy paid from the general account and the public 
 31.2   subsidy paid to match independent expenditures to exceed 50 
 31.3   percent of the expenditure limit for the candidate, or 50 
 31.4   percent of the expenditure limit that would have applied to the 
 31.5   candidate if the candidate had not been freed from expenditure 
 31.6   limits under section 10A.25, subdivision 10.  If a candidate is 
 31.7   entitled to receive an opponent's share of the general account 
 31.8   public subsidy under section 10A.25, subdivision 10, the 
 31.9   opponent's share must be excluded in calculating the 50 percent 
 31.10  limit.  Money from the general account not paid to a candidate 
 31.11  because of the 50 percent limit must be distributed equally 
 31.12  among all other qualifying candidates for the same office until 
 31.13  all have reached the 50 percent limit or the balance in the 
 31.14  general account is exhausted.  The board shall not use the 
 31.15  information contained in the report of the principal campaign 
 31.16  committee of any candidate due ten days before the general 
 31.17  election for the purpose of reducing the amount due that 
 31.18  candidate from the general account 
 31.19     (b) The distribution must be in the form of a check made 
 31.20  "payable to the campaign fund of ......(name of 
 31.21  candidate)......"  and may include as an additional payee a 
 31.22  financial institution named by the candidate. 
 31.23     (c) If a candidate has not yet filed a campaign finance 
 31.24  report required by section 10A.20, subdivision 2, or the 
 31.25  candidate owes money to the board, the board shall not pay a 
 31.26  public subsidy to the candidate until the report has been filed 
 31.27  or the debt has been paid, whichever applies. 
 31.28     Sec. 45.  Minnesota Statutes 1994, section 10A.31, 
 31.29  subdivision 10, is amended to read: 
 31.30     Subd. 10.  [DISTRIBUTION.] In the event that on the date of 
 31.31  either certification by the commissioner of revenue as provided 
 31.32  in subdivisions 6 and 7, less than 98 percent of the tax returns 
 31.33  have been processed, the commissioner of revenue shall certify 
 31.34  to the board by December 1 the amount accumulated in each 
 31.35  account since the previous certification.  By December 15, the 
 31.36  board shall distribute to each candidate according to the 
 32.1   allocations as provided in subdivision 5 the amounts to which 
 32.2   the candidates are entitled in the form of checks made "payable 
 32.3   to the campaign fund of ......(name of candidate)......."  A 
 32.4   check may include as an additional payee a financial institution 
 32.5   named by the candidate.  Any money accumulated after the final 
 32.6   certification shall be maintained in the respective accounts for 
 32.7   distribution in the next general election year. 
 32.8      Sec. 46.  Minnesota Statutes 1994, section 10A.31, 
 32.9   subdivision 11, is amended to read: 
 32.10     Subd. 11.  For the purposes of this section, a write-in 
 32.11  candidate is a candidate only upon complying with the provisions 
 32.12  of section 10A.322, subdivision 1 sections 10A.322 and 10A.323. 
 32.13     Sec. 47.  Minnesota Statutes 1994, section 10A.31, 
 32.14  subdivision 12, is amended to read: 
 32.15     Subd. 12.  [UNOPPOSED CANDIDATE NOT ELIGIBLE.] A candidate 
 32.16  who is unopposed in both the primary election and the general 
 32.17  election is not eligible to receive a public subsidy from the 
 32.18  state election campaign fund.  The subsidy from the party 
 32.19  account the candidate would otherwise have been eligible to 
 32.20  receive must be paid to the state committee of the candidate's 
 32.21  political party to be deposited in a special account under 
 32.22  section 10A.31, subdivision 5, clause (6), and used for only 
 32.23  those items permitted under section 10A.275.  
 32.24     Sec. 48.  Minnesota Statutes 1994, section 10A.315, is 
 32.25  amended to read: 
 32.26     10A.315 [SPECIAL ELECTION SUBSIDY.] 
 32.27     (a) Each eligible candidate for a legislative office in a 
 32.28  special election must be paid a public subsidy equal to the sum 
 32.29  of: 
 32.30     (1) the party account money at the last general election 
 32.31  for the candidate's party for the office the candidate is 
 32.32  seeking; and 
 32.33     (2) the general account money paid to candidates for the 
 32.34  same office at the last general election.  
 32.35     (b) If the filing period for the special election coincides 
 32.36  with the filing period for the general election, the candidate 
 33.1   must meet the matching requirements of section 10A.323 and the 
 33.2   special election subsidy must be distributed in the same manner 
 33.3   as money is distributed to legislative candidates in a general 
 33.4   election. 
 33.5      (c) If the filing period for the special election does not 
 33.6   coincide with the filing period for the general election, the 
 33.7   procedures in this paragraph apply.  A candidate who wishes to 
 33.8   receive this public subsidy must submit a signed agreement under 
 33.9   section 10A.322 to the board not later than the day after the 
 33.10  candidate files the affidavit of candidacy or nominating 
 33.11  petition for the office.  The candidate must meet the matching 
 33.12  requirements of section 10A.323, except that the candidate may 
 33.13  count contributions received during the eight months immediately 
 33.14  preceding the special election, other than contributions the 
 33.15  candidate has previously included on an affidavit of match for 
 33.16  another election, and the amount of match required is 
 33.17  one-quarter of the amount stated in section 10A.323.  The 
 33.18  special election subsidy must be distributed in the same manner 
 33.19  as money in the party and general accounts is distributed to 
 33.20  legislative candidates in a general election. 
 33.21     (d) The amount necessary to make the payments required by 
 33.22  this subdivision is appropriated from the general fund to the 
 33.23  state treasurer ethical practices board. 
 33.24     Sec. 49.  Minnesota Statutes 1994, section 10A.322, 
 33.25  subdivision 1, is amended to read: 
 33.26     Subdivision 1.  [AGREEMENT BY CANDIDATE.] (a) As a 
 33.27  condition of receiving a public subsidy, a candidate shall sign 
 33.28  and file with the board a written agreement in which the 
 33.29  candidate agrees that the candidate will comply with sections 
 33.30  10A.25 and 10A.324. 
 33.31     (b) Before the first day of filing for office, the board 
 33.32  shall forward agreement forms to all filing officers.  The board 
 33.33  shall also provide agreement forms to candidates on request at 
 33.34  any time.  The candidate may sign an agreement and submit it to 
 33.35  the filing officer on the day of filing an affidavit of 
 33.36  candidacy or petition to appear on the ballot, in which case the 
 34.1   filing officer shall without delay forward signed agreements to 
 34.2   the board.  Alternatively, the candidate may submit the 
 34.3   agreement directly to the board at any time before September 1 
 34.4   preceding the candidate's general election.  An agreement may 
 34.5   not be filed after that date.  An agreement once filed may not 
 34.6   be rescinded. 
 34.7      (c) The board shall forward a copy of any agreement signed 
 34.8   under this subdivision to the commissioner of revenue.  
 34.9      (d) Notwithstanding any provisions of this section, when a 
 34.10  vacancy occurs that will be filled by means of a special 
 34.11  election and the filing period does not coincide with the filing 
 34.12  period for the general election, a candidate may sign and submit 
 34.13  a spending limit agreement at any time before the deadline for 
 34.14  submission of a signed agreement under section 10A.315. 
 34.15     (e) A candidate who fills a vacancy in nomination that 
 34.16  occurs after the deadline in paragraph (b) may file a spending 
 34.17  limit agreement no later than the day after the candidate fills 
 34.18  the vacancy. 
 34.19     Sec. 50.  Minnesota Statutes 1994, section 10A.322, 
 34.20  subdivision 4, is amended to read: 
 34.21     Subd. 4.  [REFUND RECEIPT FORMS; PENALTY.] The board shall 
 34.22  make available at cost to a political party on request, other 
 34.23  than a political party unit organized at the municipal or 
 34.24  precinct level, and to any candidate for whom an agreement under 
 34.25  this section is effective, a supply of official refund receipt 
 34.26  forms that state in boldface type that (1) a contributor who is 
 34.27  given a receipt form is eligible to claim a refund as provided 
 34.28  in section 290.06, subdivision 23, and (2) if the contribution 
 34.29  is to a candidate, that the candidate has signed an agreement to 
 34.30  limit campaign expenditures as provided in this section.  The 
 34.31  forms must provide duplicate copies of the receipt to be 
 34.32  attached to the contributor's claim.  A candidate who does not 
 34.33  sign an agreement under this section and who willfully issues an 
 34.34  official refund receipt form or a facsimile of one to any of the 
 34.35  candidate's contributors is guilty of a misdemeanor. 
 34.36     Sec. 51.  Minnesota Statutes 1994, section 10A.323, is 
 35.1   amended to read: 
 35.2      10A.323 [MATCHING REQUIREMENTS.] 
 35.3      In addition to the requirements of section 10A.322, to be 
 35.4   eligible to receive a public subsidy under section 10A.31 or 
 35.5   10A.312 a candidate or the candidate's treasurer shall file an 
 35.6   affidavit with the board stating that during that calendar year 
 35.7   the candidate has accumulated contributions from persons 
 35.8   eligible to vote in this state in the amount indicated for the 
 35.9   office sought, counting only the first $50 received from each 
 35.10  contributor, or $100 from a married couple contributing jointly: 
 35.11     (1) candidates for governor and lieutenant governor running 
 35.12  together, $35,000; 
 35.13     (2) candidates for attorney general, $15,000; 
 35.14     (3) candidates for secretary of state, state treasurer, and 
 35.15  state auditor, separately, $6,000; 
 35.16     (4) candidates for the senate, $3,000; and 
 35.17     (5) candidates for the house of representatives, $1,500. 
 35.18     To be eligible to receive a public matching subsidy under 
 35.19  section 10A.312, The affidavit must state the total amount of 
 35.20  contributions that have been received from persons eligible to 
 35.21  vote in this state and the total amount of those contributions 
 35.22  received, disregarding the portion of any contribution in excess 
 35.23  of $50, or in excess of $100 from a married couple contributing 
 35.24  jointly.  
 35.25     The candidate or the candidate's treasurer shall submit the 
 35.26  affidavit required by this section to the board in writing by 
 35.27  September 1 of the general election year no later than one week 
 35.28  before the primary election to receive the payment based on the 
 35.29  results of made following the primary election, by September 15 
 35.30  to receive the payment made October 1, by October 1 to receive 
 35.31  the payment made October 15, by November 1 to receive the 
 35.32  payment made November 15, following the general election and by 
 35.33  December 1 to receive the payment made December 15.  
 35.34     Sec. 52.  Minnesota Statutes 1994, section 10A.324, 
 35.35  subdivision 1, is amended to read: 
 35.36     Subdivision 1.  [WHEN RETURN REQUIRED.] A candidate shall 
 36.1   return all or a portion of the public subsidy received from the 
 36.2   state elections campaign fund or the public matching subsidy 
 36.3   received under section 10A.315, under the circumstances in this 
 36.4   section or section 10A.25, subdivision 11. 
 36.5      (a) To the extent that the amount of public subsidy 
 36.6   received by the candidate exceeds the expenditure limits for the 
 36.7   office held or sought, as provided in section 10A.25 and as 
 36.8   adjusted by section 10A.255, the treasurer of the candidate's 
 36.9   principal campaign committee shall return the excess to the 
 36.10  board. 
 36.11     (b) To the extent that the amount of public subsidy 
 36.12  received exceeds the aggregate of:  (1) actual expenditures made 
 36.13  by the principal campaign committee of the candidate; and (2) 
 36.14  approved expenditures made on behalf of the candidate, the 
 36.15  treasurer of the candidate's principal campaign committee shall 
 36.16  return an amount equal to the difference to the board. 
 36.17     (b) If the board determines that a candidate has filed an 
 36.18  affidavit of matching contributions under section 10A.323 that 
 36.19  is not supported by the campaign finance reports filed by the 
 36.20  candidate under section 10A.20, the board shall notify the 
 36.21  treasurer of the candidate's principal campaign committee and 
 36.22  demand return of any public subsidy paid to the candidate for 
 36.23  that election cycle.  The treasurer shall return the entire 
 36.24  public subsidy to the board. 
 36.25     Sec. 53.  Minnesota Statutes 1994, section 10A.335, is 
 36.26  amended to read: 
 36.27     10A.335 [LEGISLATIVE MONITORING OF TAX CHECKOFF.] 
 36.28     For the purpose of determining whether the distribution 
 36.29  formula provided in section 10A.31, subdivision 5, (a) assures 
 36.30  that money will be returned to the counties from which they were 
 36.31  collected, and (b) continues to have a rational relation to the 
 36.32  support for particular parties or particular candidates within 
 36.33  legislative districts, it is the intention of this section that 
 36.34  future legislatures monitor, using statistical data provided by 
 36.35  the department of revenue, income tax returns and renter and 
 36.36  homeowner property tax refund returns on which $2, or in the 
 37.1   case of a joint return, $4, is designated an amount has been 
 37.2   checked off for a political party. 
 37.3      Sec. 54.  Minnesota Statutes 1994, section 10A.34, is 
 37.4   amended to read: 
 37.5      10A.34 [REMEDIES.] 
 37.6      Subdivision 1.  [PERSONAL LIABILITY.] A person charged with 
 37.7   a duty under sections 10A.02 to 10A.34 this chapter shall be 
 37.8   personally liable for the penalty for failing to discharge it. 
 37.9      Subd. 1a.  [RECOVERY OF MONEY.] The board may bring an 
 37.10  action in the district court in Ramsey county to recover any 
 37.11  late filing fee imposed or public subsidy paid pursuant to any 
 37.12  provision of this chapter.  All money recovered shall be 
 37.13  deposited in the general fund of the state. 
 37.14     Subd. 2.  [INJUNCTION.] The board or a county attorney may 
 37.15  seek an injunction in the district court to enforce the 
 37.16  provisions of sections 10A.02 to 10A.34 this chapter. 
 37.17     Subd. 3.  [CIVIL PENALTY.] Unless otherwise provided, a 
 37.18  violation of sections 10A.02 to 10A.34 this chapter is not a 
 37.19  crime, but is subject to a civil penalty imposed by the board in 
 37.20  an amount up to $1,000. 
 37.21     Subd. 4.  [AWARD OF COSTS.] If the board prevails in an 
 37.22  action to enforce this chapter, the board may request and the 
 37.23  court may award to the board its costs, disbursements, 
 37.24  reasonable attorney fees, and witness fees. 
 37.25     Subd. 5.  [PENALTY FOR FALSE COMPLAINTS.] A person who 
 37.26  knowingly makes a false or bad faith complaint or report of an 
 37.27  alleged violation of this chapter is subject to a civil penalty 
 37.28  imposed by the board of up to $250. 
 37.29     Sec. 55.  Minnesota Statutes 1994, section 211A.12, is 
 37.30  amended to read: 
 37.31     211A.12 [CONTRIBUTION LIMITS.] 
 37.32     A candidate or a candidate's committee may not accept 
 37.33  aggregate contributions made or delivered by an individual or 
 37.34  committee in excess of $300 in an election year for the office 
 37.35  sought and $100 in other years; except that a candidate or 
 37.36  candidate's committee for an office whose territory has a 
 38.1   population over 100,000 may not accept aggregate contributions 
 38.2   made or delivered by an individual or committee in excess of 
 38.3   $500 in an election year for the office sought and $100 in other 
 38.4   years.  The following deliveries are not subject to the bundling 
 38.5   limitation in this section: 
 38.6      (1) delivery of contributions collected by a member of the 
 38.7   candidate's committee, such as a block worker or a volunteer who 
 38.8   hosts a fundraising event, to the committee's treasurer; and 
 38.9      (2) a delivery made by an individual on behalf of the 
 38.10  individual's spouse. 
 38.11     Notwithstanding sections 211A.02, subdivision 3, and 
 38.12  410.21, this section supersedes any home rule charter. 
 38.13     Sec. 56.  Minnesota Statutes 1994, section 211B.15, 
 38.14  subdivision 2, is amended to read: 
 38.15     Subd. 2.  [PROHIBITED CONTRIBUTIONS.] A corporation may not 
 38.16  make a contribution or offer or agree to make a contribution, 
 38.17  directly or indirectly, of any money, property, free service of 
 38.18  its officers, or employees, or members, or thing of monetary 
 38.19  value to a major political party, organization, committee, or 
 38.20  individual to promote or defeat the candidacy of an individual 
 38.21  for nomination, election, or appointment to a political office.  
 38.22  For the purpose of this subdivision, "contribution" includes an 
 38.23  expenditure to promote or defeat the election or nomination of a 
 38.24  candidate to a political office that is made with the 
 38.25  authorization or expressed or implied consent of, or in 
 38.26  cooperation or in concert with, or at the request or suggestion 
 38.27  of, a candidate or committee established to support or oppose a 
 38.28  candidate.  
 38.29     Sec. 57.  Minnesota Statutes 1994, section 211B.15, 
 38.30  subdivision 15, is amended to read: 
 38.31     Subd. 15.  [NONPROFIT CORPORATION EXEMPTION.] The 
 38.32  prohibitions in this section do not apply to a nonprofit 
 38.33  corporation that: 
 38.34     (1) cannot engage in is not organized or operating for the 
 38.35  principal purpose of conducting a business activities; 
 38.36     (2) has no shareholders or other persons affiliated so as 
 39.1   to have a claim on its assets or earnings; and 
 39.2      (3) was not established by a business corporation or a 
 39.3   labor union and has a policy not to accept significant 
 39.4   contributions from those entities. 
 39.5      Sec. 58.  Minnesota Statutes 1994, section 211B.15, 
 39.6   subdivision 16, is amended to read: 
 39.7      Subd. 16.  [EMPLOYEE POLITICAL FUND SOLICITATION.] Any 
 39.8   solicitation of political contributions by an employee must be 
 39.9   in writing, informational and nonpartisan in nature, and not 
 39.10  promotional for any particular candidate or group of 
 39.11  candidates.  The solicitation must consist only of a general 
 39.12  request on behalf of an independent political committee (a 
 39.13  conduit fund) program that makes contributions to candidates 
 39.14  only as directed by its individual contributors and must state 
 39.15  that there is no minimum contribution, that a contribution or 
 39.16  lack thereof will in no way impact the employee's employment, 
 39.17  that the employee must direct the contribution to candidates of 
 39.18  the employee's choice, and that any response by the employee 
 39.19  shall remain confidential and shall not be directed to the 
 39.20  employee's supervisors or managers.  Questions from an employee 
 39.21  regarding a solicitation may be answered orally or in writing 
 39.22  consistent with the above requirements.  Nothing in this 
 39.23  subdivision authorizes a corporate donation of an employee's 
 39.24  time prohibited under subdivision 2.  
 39.25     Sec. 59.  Minnesota Statutes 1994, section 290.06, 
 39.26  subdivision 23, is amended to read: 
 39.27     Subd. 23.  [REFUND OF CONTRIBUTIONS TO POLITICAL PARTIES 
 39.28  AND CANDIDATES.] (a) A taxpayer may claim a refund equal to the 
 39.29  amount of the taxpayer's contributions made in the calendar year 
 39.30  to candidates and to any political party.  The maximum refund 
 39.31  for an individual must not exceed $50 and, for a married couple 
 39.32  filing jointly, must not exceed $100.  A refund of a 
 39.33  contribution is allowed only if the taxpayer files a form 
 39.34  required by the commissioner and attaches to the form a copy of 
 39.35  an official refund receipt form issued by the candidate or party 
 39.36  and signed by the candidate, the treasurer of the candidate's 
 40.1   principal campaign committee, or the party chair or treasurer, 
 40.2   after the contribution was received.  The receipt forms must be 
 40.3   numbered, and the data on the receipt that are not public must 
 40.4   be made available to the ethical practices board upon its 
 40.5   request.  A claim must be filed with the commissioner not sooner 
 40.6   than January 1 of the calendar year in which the contribution is 
 40.7   made and no later than April 15 of the calendar year following 
 40.8   the calendar year in which the contribution is made.  A taxpayer 
 40.9   may file only one claim per calendar year.  Amounts paid by the 
 40.10  commissioner after June 15 of the calendar year following the 
 40.11  calendar year in which the contribution is made must include 
 40.12  interest at the rate specified in section 270.76. 
 40.13     (b) No refund is allowed under this subdivision for a 
 40.14  contribution to any candidate unless the candidate: 
 40.15     (1) has signed an agreement to limit campaign expenditures 
 40.16  as provided in section 10A.322 or 10A.43; 
 40.17     (2) is seeking an office for which voluntary spending 
 40.18  limits are specified in section 10A.25 or 10A.43; and 
 40.19     (3) has designated a principal campaign committee.  
 40.20     This subdivision does not limit the campaign expenditure of 
 40.21  a candidate who does not sign an agreement but accepts a 
 40.22  contribution for which the contributor improperly claims a 
 40.23  refund.  
 40.24     (c) For purposes of this subdivision, "political party" 
 40.25  means a major political party as defined in section 200.02, 
 40.26  subdivision 7, or a minor political party qualifying for 
 40.27  inclusion on the income tax or property tax refund form under 
 40.28  section 10A.31, subdivision 3a.  
 40.29     A "major or minor party" includes the aggregate of the 
 40.30  party organization within each house of the legislature, the 
 40.31  state party organization, and the party organization within 
 40.32  congressional districts, counties, legislative districts, 
 40.33  municipalities, and precincts.  
 40.34     "Candidate" means a congressional candidate as defined in 
 40.35  section 10A.41, subdivision 4, or a candidate as defined in 
 40.36  section 10A.01, subdivision 5, except a candidate for judicial 
 41.1   office.  
 41.2      "Contribution" means a gift of money. 
 41.3      (d) The commissioner shall make copies of the form 
 41.4   available to the public and candidates upon request. 
 41.5      (e) The following data collected or maintained by the 
 41.6   commissioner under this subdivision are private:  the identities 
 41.7   of individuals claiming a refund, the identities of candidates 
 41.8   to whom those individuals have made contributions, and the 
 41.9   amount of each contribution.  
 41.10     (f) The commissioner shall report to the ethical practices 
 41.11  board by August 1 of each year a summary showing the total 
 41.12  number and aggregate amount of political contribution refunds 
 41.13  made on behalf of each candidate and each political party.  
 41.14  These data are public. 
 41.15     (g) The amount necessary to pay claims for the refund 
 41.16  provided in this section is appropriated from the general fund 
 41.17  to the commissioner of revenue. 
 41.18     Sec. 60.  [ERRONEOUS PAYMENTS RATIFIED.] 
 41.19     Payments made by the state treasurer in 1990 under 
 41.20  Minnesota Statutes, section 10A.31, subdivision 6, are ratified, 
 41.21  notwithstanding any errors of the commissioner of revenue in 
 41.22  certifying the amounts due. 
 41.23     Sec. 61.  [REPEALER.] 
 41.24     Minnesota Statutes 1994, sections 6.76; 10A.20, subdivision 
 41.25  6b; 10A.21, subdivisions 1 and 2; 10A.25, subdivision 13; 
 41.26  10A.324, subdivisions 2 and 4; 10A.40; 10A.41; 10A.42; 10A.43; 
 41.27  10A.44; 10A.45; 10A.46; 10A.47; 10A.48; 10A.49; 10A.50; and 
 41.28  10A.51, are repealed. 
 41.29     Sec. 62.  [EFFECTIVE DATE.] 
 41.30     This act is effective the day following final enactment.