Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

SF 103

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 1.24 1.25 1.26 1.27 1.28 1.29 1.30 1.31 1.32 1.33 1.34 1.35 1.36 1.37
1.38 1.39 1.40 1.41 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31 2.32 2.33 2.34 2.35 2.36 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 3.34 3.35 3.36 4.1
4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 4.34 4.35 4.36 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28
5.29 5.30 5.31 5.32 5.33 5.34 5.35 5.36 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 6.9 6.10 6.11 6.12 6.13 6.14 6.15 6.16 6.17 6.18 6.19 6.20 6.21 6.22 6.23 6.24 6.25 6.26 6.27 6.28 6.29 6.30 6.31 6.32 6.33 6.34 6.35 6.36 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21 7.22 7.23 7.24
7.25 7.26 7.27 7.28 7.29 7.30 7.31 7.32 7.33 7.34 7.35 7.36 8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27 8.28 8.29 8.30 8.31 8.32 8.33 8.34 8.35 8.36 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13 9.14 9.15
9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25 9.26 9.27 9.28 9.29 9.30 9.31
9.32 9.33 9.34 9.35 9.36 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13
10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25
10.26 10.27 10.28 10.29 10.30 10.31 10.32 10.33 10.34 10.35 10.36 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8
11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16 11.17 11.18 11.19 11.20 11.21 11.22 11.23 11.24 11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 11.34 11.35 11.36 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 12.10 12.11 12.12 12.13 12.14 12.15 12.16 12.17 12.18
12.19 12.20 12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 12.32
12.33 12.34 12.35 12.36 13.1 13.2 13.3 13.4 13.5 13.6 13.7 13.8 13.9 13.10 13.11 13.12
13.13 13.14 13.15 13.16 13.17 13.18 13.19 13.20 13.21 13.22 13.23 13.24 13.25 13.26 13.27 13.28 13.29 13.30 13.31 13.32 13.33 13.34 13.35 13.36 14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10 14.11 14.12 14.13 14.14 14.15 14.16 14.17
14.18 14.19 14.20 14.21 14.22 14.23 14.24 14.25 14.26
14.27 14.28 14.29 14.30 14.31 14.32 14.33 14.34 14.35 14.36 15.1 15.2 15.3 15.4 15.5 15.6 15.7 15.8 15.9 15.10
15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22 15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 15.31 15.32 15.33 15.34 15.35 15.36 16.1 16.2 16.3 16.4 16.5 16.6 16.7
16.8 16.9 16.10 16.11 16.12 16.13 16.14 16.15 16.16 16.17 16.18 16.19 16.20
16.21 16.22 16.23 16.24 16.25 16.26 16.27 16.28 16.29 16.30 16.31 16.32 16.33 16.34 16.35 16.36 17.1 17.2 17.3 17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13 17.14 17.15 17.16 17.17 17.18
17.19 17.20 17.21 17.22 17.23 17.24 17.25 17.26 17.27 17.28 17.29 17.30 17.31 17.32 17.33 17.34 17.35 17.36
18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 18.9 18.10 18.11 18.12 18.13 18.14
18.15 18.16 18.17 18.18 18.19 18.20 18.21 18.22 18.23
18.24 18.25 18.26 18.27 18.28 18.29 18.30 18.31
18.32 18.33 18.34 18.35 18.36 19.1
19.2 19.3 19.4 19.5 19.6 19.7 19.8 19.9 19.10 19.11 19.12 19.13 19.14 19.15 19.16 19.17 19.18 19.19 19.20 19.21 19.22 19.23 19.24 19.25 19.26
19.27 19.28 19.29 19.30 19.31 19.32 19.33 19.34 19.35 19.36 20.1 20.2 20.3 20.4 20.5 20.6 20.7 20.8 20.9 20.10
20.11 20.12 20.13 20.14 20.15 20.16 20.17 20.18 20.19 20.20 20.21 20.22 20.23
20.24 20.25 20.26 20.27 20.28 20.29 20.30 20.31 20.32 20.33 20.34 20.35 20.36 21.1 21.2 21.3 21.4 21.5 21.6
21.7 21.8 21.9 21.10 21.11 21.12 21.13 21.14 21.15 21.16 21.17 21.18 21.19 21.20 21.21 21.22 21.23 21.24 21.25 21.26 21.27 21.28 21.29 21.30 21.31 21.32 21.33 21.34 21.35 21.36 22.1 22.2 22.3 22.4 22.5 22.6 22.7 22.8 22.9 22.10 22.11 22.12 22.13 22.14 22.15 22.16 22.17 22.18 22.19 22.20 22.21 22.22 22.23 22.24 22.25 22.26 22.27 22.28 22.29 22.30 22.31 22.32 22.33 22.34 22.35 22.36 23.1 23.2 23.3 23.4 23.5 23.6 23.7 23.8 23.9 23.10 23.11 23.12 23.13 23.14 23.15 23.16 23.17 23.18 23.19 23.20 23.21 23.22 23.23 23.24 23.25 23.26 23.27 23.28 23.29
23.30 23.31 23.32 23.33 23.34 23.35 23.36 24.1 24.2 24.3 24.4 24.5 24.6 24.7 24.8 24.9 24.10 24.11 24.12 24.13 24.14 24.15 24.16 24.17 24.18 24.19 24.20 24.21 24.22 24.23 24.24 24.25 24.26 24.27 24.28 24.29 24.30 24.31 24.32 24.33 24.34 24.35 24.36 25.1 25.2 25.3 25.4 25.5 25.6 25.7 25.8 25.9 25.10 25.11 25.12 25.13 25.14 25.15 25.16 25.17 25.18 25.19 25.20 25.21 25.22 25.23 25.24 25.25 25.26 25.27 25.28 25.29 25.30 25.31 25.32 25.33 25.34 25.35 25.36 26.1 26.2
26.3 26.4 26.5 26.6 26.7 26.8 26.9 26.10 26.11 26.12 26.13 26.14 26.15 26.16 26.17 26.18 26.19 26.20 26.21 26.22 26.23 26.24 26.25 26.26 26.27 26.28 26.29 26.30 26.31 26.32 26.33 26.34 26.35 26.36 27.1 27.2
27.3 27.4 27.5 27.6 27.7 27.8 27.9 27.10 27.11 27.12 27.13 27.14 27.15 27.16
27.17 27.18 27.19 27.20 27.21 27.22
27.23 27.24 27.25 27.26 27.27 27.28 27.29 27.30 27.31 27.32 27.33 27.34 27.35 27.36 28.1 28.2 28.3 28.4 28.5 28.6 28.7 28.8 28.9 28.10 28.11 28.12 28.13 28.14 28.15 28.16 28.17 28.18 28.19 28.20 28.21 28.22 28.23 28.24 28.25 28.26 28.27 28.28 28.29 28.30 28.31 28.32 28.33 28.34 28.35 28.36 29.1 29.2 29.3 29.4 29.5 29.6 29.7 29.8 29.9 29.10 29.11 29.12 29.13 29.14 29.15 29.16 29.17 29.18 29.19 29.20 29.21 29.22 29.23 29.24 29.25 29.26 29.27 29.28 29.29 29.30
29.31 29.32 29.33 29.34 29.35 29.36 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13 30.14 30.15
30.16 30.17 30.18 30.19
30.20 30.21 30.22 30.23 30.24 30.25 30.26

A bill for an act
relating to elections; providing for "clean money"
campaigns funded without special interest money;
expanding certain definitions; requiring certain
campaign finance reports to be filed and published
electronically; requiring notice of independent
expenditures; requiring reports of excess spending by
candidates who do not agree to limit spending;
reducing certain contribution limits and spending
limits; limiting independent expenditures by political
parties on behalf of their own candidates as a
condition of receiving a public subsidy; imposing
campaign contribution and spending limits on political
party caucuses as a condition of receiving a public
subsidy; limiting multicandidate expenditures by
political parties; increasing public subsidies for
candidates who agree to lower contribution limits;
increasing spending limits and public subsidies to
respond to independent expenditures and excess
spending by nonparticipating candidates; repealing the
income tax checkoff for election campaigns; increasing
the maximum political contribution refund from $50 to
$100; imposing criminal penalties; appropriating
money; amending Minnesota Statutes 2004, sections
10A.01, subdivisions 9, 18, 21; 10A.02, subdivision
11a; 10A.14, subdivision 2; 10A.20, subdivisions 2,
6b, by adding subdivisions; 10A.25, subdivisions 1, 2,
2a, by adding subdivisions; 10A.257, subdivision 1;
10A.27, subdivisions 1, 11, by adding subdivisions;
10A.275, subdivision 1; 10A.28, subdivisions 1, 2;
10A.315; 10A.322; 200.02, by adding a subdivision;
290.06, subdivision 23; proposing coding for new law
in Minnesota Statutes, chapter 10A; repealing
Minnesota Statutes 2004, sections 10A.25, subdivision
6; 10A.31, subdivisions 1, 3, 3a, 4, 5, 5a, 6, 6a, 7,
10, 10a, 10b, and 11.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin LEGISLATIVE FINDINGS; PURPOSE.
new text end

new text begin Subdivision 1. new text end

new text begin Legislative findings. new text end

new text begin The legislature
finds that while this state has a system of partial public
financing of campaigns, our current system still encourages
large amounts of private money to be used to finance campaigns.
This private money undermines democracy in the following ways:
new text end

new text begin (a) It stifles the First Amendment, which was designed "to
secure the widest possible dissemination of information from
diverse and antagonistic sources," and "to assure the unfettered
interchange of ideas for the bringing about of political and
social changes desired by the people." Instead, heavy funding
of certain candidates and interests discourages other candidates
from running and prevents many perspectives from receiving any
dissemination whatsoever. In addition, after a certain point,
more spending does not create more speech but has the opposite
impact, overwhelming the public and causing them to tune out
speech from any candidate.
new text end

new text begin (b) It undermines the First Amendment right of voters to
hear speech from all candidates and all perspectives and
undermines the core First Amendment value of open and robust
debate in the political process.
new text end

new text begin (c) It inhibits communication with the electorate by
candidates without access to large sums of campaign money.
new text end

new text begin (d) It burdens elected officials and candidates with
endless hours of fund-raising, thus decreasing the time
available to carry out their public responsibilities.
new text end

new text begin (e) It discourages people from participating in the
political process. A 1998 poll conducted by St. Cloud State
University found that, because of their belief that contributors
have more influence than noncontributors do, one-third of
respondents are "less likely to vote or participate in politics."
Over half of those who said that they did not vote in the 1996
election said they were less likely to vote or participate
because of this belief.
new text end

new text begin (f) It violates the rights of citizens to equal and
meaningful participation in the democratic process.
new text end

new text begin (g) It creates a public perception of corruption and
undermines public confidence in the democratic process and
democratic institutions. This perception is held by almost nine
out of ten Minnesotans. The 1998 St. Cloud State University
poll showed that 88 percent of all Minnesotans believe elected
officials are more responsive to contributors than to voters who
do not contribute.
new text end

new text begin (h) It not only creates a perception of corruption, but
actually encourages elected officials to take money from private
interests that are directly affected by governmental actions.
new text end

new text begin (i) It diminishes the perceived, and perhaps the real,
accountability of elected officials to their constituents by
giving them incentives to be accountable to major campaign
contributors instead.
new text end

new text begin (j) It undermines the integrity of the election process by
making it difficult for qualified candidates without access to
large contributors or personal fortunes to mount competitive
campaigns and discourages them from running.
new text end

new text begin (k) It undermines the integrity of the election process by
placing challengers at a disadvantage, because large campaign
contributors tend to give their money to incumbents, thus
causing elections to be less competitive.
new text end

new text begin (l) It costs taxpayers millions of dollars for the
legislative and regulatory decisions made by elected officials
on behalf of major campaign contributors.
new text end

new text begin The legislature finds each of these defects on its own has
a corrosive impact on our democracy either by corrupting the
political process or by creating the appearance of corruption.
Accordingly, the state has a compelling interest in addressing
them through this act.
new text end

new text begin Subd. 2. new text end

new text begin Purpose. new text end

new text begin This act is intended to enable
campaigns to be conducted without special interest money and to
restore the First Amendment rights of nonwealthy candidates by
enabling them to disseminate their views without being drowned
out by heavily funded independent expenditures or ads by
opposing campaigns that they cannot respond to for lack of money.
new text end

new text begin This act is designed to create benefits for participating
candidates and political parties to compensate for the
restrictions applied to them and to further the compelling state
interest of encouraging participation in this system of
financing campaigns without special interest money.
new text end

Sec. 2.

Minnesota Statutes 2004, section 10A.01,
subdivision 9, is amended to read:


Subd. 9.

Campaign expenditure.

new text begin (a) new text end "Campaign
expenditure" or "expenditure" means a purchase or payment of
money or anything of value, or an advance of credit, made or
incurred for the purpose of influencing the nomination or
election of a candidate or for the purpose of promoting or
defeating a ballot question.

new text begin (b) "Expenditure" includes a cost incurred to design,
produce, or disseminate a communication if the communication
contains words such as "vote for," "reelect," "(name of
candidate) for (office)," "vote against," "defeat," or another
phrase or campaign slogan that in context can have no reasonable
meaning other than to advocate support for or opposition to the
nomination or election of one or more clearly identified
candidates.
new text end

new text begin (c) "Expenditure" is presumed to include a cost incurred to
design, produce, or disseminate a communication if the
communication names or depicts one or more clearly identified
candidates; is disseminated during the 45 days before a primary
election, during the 60 days before a general election, or
during a special election cycle until election day; and the cost
exceeds the following amounts for a communication naming or
depicting a candidate for the following offices:
new text end

new text begin (1) $500 for a candidate for governor, lieutenant governor,
attorney general, secretary of state, or state auditor; or
new text end

new text begin (2) $100 for a candidate for state senator or
representative.
new text end

new text begin An individual or association presumed under this paragraph
to have made an expenditure may rebut the presumption by an
affidavit signed by the spender and filed with the board stating
that the cost was not incurred with intent to influence the
nomination, election, or defeat of any candidate, supported by
any additional evidence the spender chooses to submit. The
board may consider any additional evidence it deems relevant and
material and must determine by a preponderance of the evidence
whether the cost was incurred with intent to influence the
nomination, election, or defeat of a candidate.
new text end

new text begin (d) new text end An expenditure is considered to be made in the year in
which the candidate made the purchase of goods or services or
incurred an obligation to pay for goods or services.

new text begin (e) new text end An expenditure made for the purpose of defeating a
candidate is considered made for the purpose of influencing the
nomination or election of that candidate or any opponent of that
candidate.

new text begin (f) new text end Except as provided in clause (1), "expenditure"
includes the dollar value of a donation in kind.

new text begin (g) new text end "Expenditure" does not include:

(1) noncampaign disbursements as defined in subdivision 26;

(2) services provided without compensation by an individual
volunteering personal time on behalf of a candidate, ballot
question, political committee, political fund, principal
campaign committee, or party unit; deleted text begin or
deleted text end

(3) the publishing or broadcasting of news items or
editorial comments by the news medianew text begin , if the news medium is not
owned by or affiliated with any candidate or principal campaign
committee; or
new text end

new text begin (4) a cost incurred by an association for a communication
targeted to inform solely its own dues-paying members of the
association's position on a candidate; provided that, if the
communication is sent directly to the members, such as by direct
mail or e-mail, up to 15 percent of the recipients need not be
members
new text end .

Sec. 3.

Minnesota Statutes 2004, section 10A.01,
subdivision 18, is amended to read:


Subd. 18.

Independent expenditure.

new text begin (a) new text end "Independent
expenditure" means an expenditure deleted text begin expressly advocating the
election or defeat of a clearly identified candidate, if the
expenditure
deleted text end new text begin that new text end is made without the express or implied consent,
authorization, or cooperation of, and not in concert with or at
the request or suggestion of, any candidate or any candidate's
principal campaign committee or agent. An independent
expenditure is not a contribution to that candidate. deleted text begin An
expenditure by a political party or political party unit in a
race where the political party has a candidate on the ballot is
not an independent expenditure.
deleted text end

new text begin (b) An expenditure is presumed to be not independent if,
for example:
new text end

new text begin (1) in the same election cycle in which the expenditure
occurs, the spender or the spender's agent retains the
professional services of an individual or entity that, in a
nonministerial capacity, provides or has provided
campaign-related service, including polling or other campaign
research, media consulting or production, direct mail, or
fundraising, to a candidate supported by the spender for
nomination or election to the same office as any candidate whose
nomination or election the expenditure is intended to influence
or to a political party working in coordination with the
supported candidate;
new text end

new text begin (2) the expenditure pays for a communication that
disseminates, in whole or in substantial part, a broadcast or
written, graphic, or other form of campaign material designed,
produced, or distributed by the candidate or the candidate's
principal campaign committee or their agents;
new text end

new text begin (3) the expenditure is based on information about the
candidate's electoral campaign plans, projects, or needs that is
provided by the candidate or the candidate's principal campaign
committee or their agents directly or indirectly to the spender
or the spender's agent, with an express or tacit understanding
that the spender is considering making the expenditure;
new text end

new text begin (4) before the election, the spender or the spender's agent
informs a candidate or the principal campaign committee or agent
of a candidate for the same office as a candidate clearly
identified in a communication paid for by the expenditure about
the communication's contents; timing, location, mode, or
frequency of dissemination; or intended audience; or
new text end

new text begin (5) in the same election cycle in which the expenditure
occurs, the spender or the spender's agent is serving or has
served in an executive, policymaking, fundraising, or advisory
position with the candidate's campaign or has participated in
strategic or policymaking discussions with the candidate's
campaign relating to the candidate's pursuit of nomination or
election to office and the candidate is pursuing the same office
as a candidate whose nomination or election the expenditure is
intended to influence.
new text end

new text begin An individual or association presumed under this paragraph
to have made an expenditure that was not independent may rebut
the presumption by an affidavit signed by the spender and filed
with the board stating that the expenditure was made without the
express or implied consent, authorization, or cooperation of,
and not in concert with or at the request or suggestion of, any
candidate or any candidate's principal campaign committee or
agent, supported by any additional evidence the spender chooses
to submit. The board may consider any additional evidence it
deems relevant and material and must determine by a
preponderance of the evidence whether the expenditure was
independent.
new text end

new text begin (c) An expenditure by anyone other than a principal
campaign committee that does not qualify as an independent
expenditure under this subdivision is deemed to be an approved
expenditure under subdivision 4.
new text end

Sec. 4.

Minnesota Statutes 2004, section 10A.01,
subdivision 21, is amended to read:


Subd. 21.

Lobbyist.

(a) "Lobbyist" means an individual:

(1) engaged for pay or other consideration of more than
deleted text begin $3,000 deleted text end new text begin $2,000 new text end from all sources in any year for the purpose of
attempting to influence legislative or administrative action, or
the official action of a metropolitan governmental unit, by
communicating or urging others to communicate with public or
local officials; or

(2) who spends more than $250, not including new text begin the first
$1,000 of
new text end the individual's own traveling expenses and membership
dues, in any year for the purpose of attempting to influence
legislative or administrative action, or the official action of
a metropolitan governmental unit, by communicating or urging
others to communicate with public or local officials.

(b) "Lobbyist" does not include:

(1) a public official;

(2) an employee of the statedeleted text begin , including an employee of any
of the public higher education systems
deleted text end ;

(3) an elected local official;

(4) a nonelected local official or an employee of a
political subdivision new text begin or public higher education system new text end acting
in an official capacity, unless the nonelected official or
employee of a political subdivision new text begin or public higher education
system
new text end spends more than 50 hours in any month attempting to
influence legislative or administrative action, or the official
action of a metropolitan governmental unit other than the
political subdivision new text begin or public higher education system
new text end employing the official or employee, by communicating or urging
others to communicate with public or local officials, including
time spent monitoring legislative or administrative action, or
the official action of a metropolitan governmental unit, and
related research, analysis, and compilation and dissemination of
information relating to legislative or administrative policy in
this state, or to the policies of metropolitan governmental
units;

(5) a party or the party's representative appearing in a
proceeding before a state board, commission, or agency of the
executive branch unless the board, commission, or agency is
taking administrative action;

(6) an individual while engaged in selling goods or
services to be paid for by public funds;

(7) a news medium or its employees or agents while engaged
in the publishing or broadcasting of news items, editorial
comments, or paid advertisements which directly or indirectly
urge official action;

(8) a paid expert witness whose testimony is requested by
the body before which the witness is appearing, but only to the
extent of preparing or delivering testimony; or

(9) a party or the party's representative appearing to
present a claim to the legislature and communicating to
legislators only by the filing of a claim form and supporting
documents and by appearing at public hearings on the claim.

(c) An individual who volunteers personal time to work
without pay or other consideration on a lobbying campaign, and
who does not spend more than the limit in paragraph (a), clause
(2), need not register as a lobbyist.

(d) An individual who provides administrative support to a
lobbyist and whose salary and administrative expenses
attributable to lobbying activities are reported as lobbying
expenses by the lobbyist, but who does not communicate or urge
others to communicate with public or local officials, need not
register as a lobbyist.

Sec. 5.

Minnesota Statutes 2004, section 10A.02,
subdivision 11a, is amended to read:


Subd. 11a.

Data privacy.

new text begin (a) new text end If, after making a public
finding concerning probable cause or entering a conciliation
agreement, the board determines that the record of the
investigation contains statements, documents, or other matter
that, if disclosed, would unfairly injure the reputation of an
innocent individual, the board may:

(1) retain the statement, document, or other matter as a
private record, as defined in section 13.02, subdivision 12, for
a period of one year, after which it must be destroyed; or

(2) return the statement, document, or other matter to the
individual who supplied it to the board.

new text begin (b) When publishing reports or statements on its Web site,
the board must not publish the home street address or telephone
number of an individual.
new text end

Sec. 6.

Minnesota Statutes 2004, section 10A.14,
subdivision 2, is amended to read:


Subd. 2.

Form.

The statement of organization must
include:

(1) the name and address of the committee, fund, or party
unit;

(2) the name and address of the chair of a political
committee, principal campaign committee, or party unit;

(3) the name and address of any supporting association of a
political fund;

(4) the name and address of the treasurer and any deputy
treasurers new text begin and, for a principal campaign committee, any other
individual authorized to accept contributions on behalf of the
principal campaign committee
new text end ;

(5) a listing of all depositories or safety deposit boxes
used; and

(6) for the state committee of a political party only, a
list of its party units.

Sec. 7.

Minnesota Statutes 2004, section 10A.20, is
amended by adding a subdivision to read:


new text begin Subd. 1b. new text end

new text begin Manner of filing; publication. new text end

new text begin If
contributions or expenditures exceed $5,000 in a year, the
report must be filed with the board in an electronic format
approved by the board. Regardless of whether the report is
filed electronically, the board must publish the report on its
Web site within seven days after the date it was due. The
publication must be in a form that permits a user of the Web
site to search the reports and prepare comparisons and
cross-tabulations among the various candidates, contributors,
vendors, and committees.
new text end

Sec. 8.

Minnesota Statutes 2004, section 10A.20,
subdivision 2, is amended to read:


Subd. 2.

Time for filing.

(a) The reports must be filed
with the board on or before January 31 of each year and
additional reports must be filed as required and in accordance
with paragraphs (b) deleted text begin and deleted text end new text begin ,new text end (c)new text begin , and (d)new text end .

(b) In each year in which the name of the candidate is on
the ballot, the report of the principal campaign committee must
be filed 15 days before a primary and ten days before a general
election, seven days before a special primary and a special
election, and ten days after a special election cycle.

(c) In each general election year, a political committee,
political fund, or party unit must file reports 15 days before a
primary and ten days before a general election.

new text begin (d) A political committee or political fund that makes
independent expenditures related to a special election must file
reports on the independent expenditures seven days before the
special primary and special election and ten days after the
special election cycle.
new text end

Sec. 9.

Minnesota Statutes 2004, section 10A.20,
subdivision 6b, is amended to read:


Subd. 6b.

Independent expenditures; notice.

(a)
Within deleted text begin 24 deleted text end new text begin 48 new text end hours after an individual, political committee, deleted text begin or
deleted text end political fundnew text begin , principal campaign committee, or party unit
new text end makes or becomes obligated by oral or written agreement to make
an independent expenditure in excess of $100 new text begin in a legislative
district election or $500 in a statewide election
new text end , other than an
expenditure by an association targeted to inform solely its own
dues-paying members of the association's position on a
candidate, the individual, political committee, deleted text begin or deleted text end political
fundnew text begin , principal campaign committee, or party unit new text end must file with
the board deleted text begin an affidavit notifying the board deleted text end new text begin a notice new text end of the
intent to make the independent expenditure and deleted text begin serve deleted text end new text begin provide new text end a
copy of the deleted text begin affidavit on deleted text end new text begin notice to new text end each candidate in the
affected race and deleted text begin on deleted text end new text begin to new text end the treasurer of the candidate's
principal campaign committee. The deleted text begin affidavit deleted text end new text begin notice new text end must contain
the information with respect to the expenditure that is required
to be reported under subdivision 3, paragraph (g); except that
if an expenditure is reported before it is made, the notice must
include a reasonable estimate of the anticipated amount. new text begin The
notice must include an affidavit, under penalty of perjury,
signed and sworn to by the individual or by the treasurer of the
committee, fund, or party unit identifying the candidate in
support of or opposition to whom the expenditure is made and
affirming that the expenditure was independent and involved no
cooperation or coordination with a candidate or a political
party.
new text end Each new expenditure requires a new notice.

(b) new text begin During the last three weeks before the primary election
and during the last three weeks before the general election, the
notice must be filed within 24 hours after making or becoming
obligated to make the independent expenditure.
new text end

new text begin (c) An individual or association may file a complaint with
the board that a required notice was not filed or that a notice
filed under this subdivision is false. The board must determine
the complaint promptly. If the board determines that a notice
was false and the board has distributed a public subsidy to a
candidate based on the false notice, the candidate must return
the subsidy to the board.
new text end

new text begin (d) new text end An individual or the treasurer of a political committee
deleted text begin or deleted text end new text begin ,new text end political fundnew text begin , principal campaign committee, or party unit
new text end who fails to give notice as required by this subdivision, or who
files a false deleted text begin affidavit of deleted text end notice, is guilty of a gross
misdemeanor and is subject to a civil fine of up to four times
the amount of the independent expenditure stated in the notice
or of which notice was required, whichever is greater.

Sec. 10.

Minnesota Statutes 2004, section 10A.20, is
amended by adding a subdivision to read:


new text begin Subd. 6c. new text end

new text begin Excess spending reports. new text end

new text begin The treasurer of the
principal campaign committee of a candidate who has not signed a
spending limit agreement under section 10A.322 must file with
the board a report disclosing the sum of all expenditures made
by or on behalf of the committee that exceed the expenditure
limit for any opponent of the candidate who has signed a
spending limit agreement under section 10A.322 within 48 hours
after the spending exceeds the spending limit by more than $100
for a candidate for legislative office or $500 for a candidate
for statewide office. The treasurer must file an additional
report within 48 hours after spending any additional amounts
that exceed the participating candidate's spending limit.
new text end

Sec. 11.

Minnesota Statutes 2004, section 10A.25,
subdivision 1, is amended to read:


Subdivision 1.

Limits are voluntary.

new text begin (a) new text end The expenditure
limits imposed by this section new text begin on a candidate new text end apply only to a
candidate who has signed an agreement under section 10A.322 to
be bound by them as a condition of receiving a public subsidy
for the candidate's campaign.

new text begin (b) The prohibition imposed by this section on a political
party applies only to a political party that has signed an
agreement under section 10A.322 to be bound by it as a condition
of receiving a public subsidy for the party's activities.
new text end

new text begin (c) The expenditure limits imposed by this section on a
party caucus in a house of the legislature apply only to a party
caucus that has signed and filed an agreement under section
10A.322 to be bound by them as a condition of receiving a public
subsidy for the caucus' activities.
new text end

Sec. 12.

Minnesota Statutes 2004, section 10A.25,
subdivision 2, is amended to read:


Subd. 2.

Amounts.

(a) deleted text begin In a year in which deleted text end new text begin During new text end an
election deleted text begin is held for an office sought by a candidate deleted text end new text begin cyclenew text end , the
principal campaign committee of the candidate must not make
campaign expenditures nor permit approved expenditures to be
made on behalf of the candidate that result in aggregate
expenditures in excess of the following:

(1) for governor and lieutenant governor, running together,
deleted text begin $2,188,090 deleted text end new text begin $1,800,000new text end ;

(2) for attorney general, deleted text begin $364,690 deleted text end new text begin $350,000new text end ;

(3) for secretary of state and state auditor, separately,
deleted text begin $182,350 deleted text end new text begin $175,000new text end ;

(4) for state senator, deleted text begin $54,740 deleted text end new text begin $45,000new text end ; new text begin and
new text end

(5) for state representative, deleted text begin $28,400 deleted text end new text begin $28,000new text end .

(b) In addition to the amount in paragraph (a), clause (1),
a candidate for endorsement for the office of lieutenant
governor at the convention of a political party may make
campaign expenditures and approved expenditures of five percent
of that amount to seek endorsement.

(c) If a special election cycle occurs during a general
election cycle, expenditures by or on behalf of a candidate in
the special election do not count as expenditures by or on
behalf of the candidate in the general election.

(d) The expenditure limits in this subdivision for an
office are increased by ten percent for a candidate who is
running for that office for the first time and who has not run
previously for any other office whose territory now includes a
population that is more than one-third of the population in the
territory of the new office.

new text begin (e) The expenditure limits in this subdivision for a
participating candidate are increased by the sum of expenditures
by a nonparticipating opponent of the candidate, as reported to
the board under section 10A.20, subdivision 2, 6, or 6c, in
excess of the participating candidate's original spending limit.
new text end

new text begin (f) The expenditure limits in this subdivision for a
candidate are increased by the sum of independent expenditures
made in opposition to the candidate plus independent
expenditures made in support of the candidate's major political
party opponents, as reported to the board under section 10A.20,
subdivision 2, 6, or 6b.
new text end

Sec. 13.

Minnesota Statutes 2004, section 10A.25,
subdivision 2a, is amended to read:


Subd. 2a.

Aggregated expenditures.

If a candidate makes
expenditures from more than one principal campaign committee for
nomination or election to statewide office in the same
election deleted text begin year deleted text end new text begin cyclenew text end , the amount of expenditures from all of the
candidate's principal campaign committees for statewide office
for that election deleted text begin year deleted text end new text begin cycle new text end must be aggregated for purposes of
applying the limits on expenditures under subdivision 2.

Sec. 14.

Minnesota Statutes 2004, section 10A.25, is
amended by adding a subdivision to read:


new text begin Subd. 14. new text end

new text begin Independent expenditures by political parties.
new text end

new text begin (a) A political party or party unit must not make an independent
expenditure.
new text end

new text begin (b) A political party that has agreed not to make
independent expenditures as a condition of receiving a public
subsidy is released from the prohibition but remains eligible to
receive a public subsidy if a political party that has not
agreed to the prohibition makes an independent expenditure
during that election cycle.
new text end

new text begin (c) A political party that has not agreed to the
prohibition in this subdivision must file written notice with
the board and serve written notice on every other political
party within 24 hours after making an independent expenditure.
The notice must state only that the political party has made an
independent expenditure. Upon receipt of the notice, the
political party that agreed to the prohibition is no longer
subject to the prohibition but remains eligible to receive a
public subsidy.
new text end

Sec. 15.

Minnesota Statutes 2004, section 10A.25, is
amended by adding a subdivision to read:


new text begin Subd. 15. new text end

new text begin Limits on party caucuses. new text end

new text begin (a) In a year in
which a general election is held for a house of the legislature,
the party unit composed of the members of a party caucus in that
house must not make campaign expenditures that result in
aggregate expenditures in excess of $500,000.
new text end

new text begin (b) During an election cycle, in any year before the
general election year for a house of the legislature, the party
unit composed of the members of a party caucus in that house
must not make campaign expenditures that exceed 20 percent of
the general election year limit.
new text end

new text begin (c) A party caucus in a house of the legislature that has
agreed to be bound by the expenditure limits imposed by this
subdivision as a condition of receiving a public subsidy is
released from the expenditure limits but remains eligible to
receive a public subsidy if another party caucus in the same
house of the legislature has not agreed to be bound by the
limits and has received contributions or made or become
obligated to make expenditures during that election cycle in
excess of 50 percent of the expenditure limit set forth in
paragraph (a).
new text end

new text begin (d) A party caucus in a house of the legislature that has
not agreed to be bound by the limits must file written notice
with the board and provide written notice to every other party
caucus in the same house of the legislature within 24 hours
after exceeding the limit in paragraph (c). The notice must
state only that the party caucus has received contributions or
made or become obligated to make campaign expenditures in excess
of the limit in paragraph (c). Upon receipt of the notice, a
party caucus that had agreed to be bound by the limits is no
longer bound by the expenditure limits but remains eligible to
receive a public subsidy.
new text end

Sec. 16.

Minnesota Statutes 2004, section 10A.257,
subdivision 1, is amended to read:


Subdivision 1.

Unused funds.

After all campaign
expenditures and noncampaign disbursements for an election cycle
have been made, an amount up to 50 percent of the deleted text begin election year
deleted text end expenditure limit for the office may be carried forward. Any
remaining amount up to the total amount of the public subsidy
from the state elections campaign fund must be returned to the
state treasury for credit to the general fund under section
10A.324. Any remaining amount in excess of the total public
subsidy must be contributed to the state elections campaign fund
or a political party for multicandidate expenditures as defined
in section 10A.275.

Sec. 17.

Minnesota Statutes 2004, section 10A.27,
subdivision 1, is amended to read:


Subdivision 1.

Contribution limits.

(a) Except as
provided in deleted text begin subdivision deleted text end new text begin subdivisions 1a and new text end 2, a candidate must
not permit the candidate's principal campaign committee to
accept aggregate contributions made or delivered by any
individual, political committee, or political fund in excess of
the following:

(1) to candidates for governor and lieutenant governor
running together, deleted text begin $2,000 deleted text end new text begin $1,000 new text end in an election deleted text begin year for the
office sought and $500 in other years
deleted text end new text begin cyclenew text end ;

(2) to a candidate for attorney general, $1,000 in an
election deleted text begin year for the office sought and $200 in other years
deleted text end new text begin cyclenew text end ;

(3) to a candidate for the office of secretary of state or
state auditor, $500 in an election deleted text begin year for the office sought
and $100 in other years
deleted text end new text begin cyclenew text end ;

(4) to a candidate for state senator, $500 in an election
deleted text begin year for the office sought and $100 in other years deleted text end new text begin cyclenew text end ; and

(5) to a candidate for state representative, $500 in an
election deleted text begin year for the office sought and $100 in the other year
deleted text end new text begin cyclenew text end .

(b) The following deliveries are not subject to the
bundling limitation in this subdivision:

(1) delivery of contributions collected by a member of the
candidate's principal campaign committeedeleted text begin , such as a block worker
or a volunteer who hosts a fund-raising event, to the
committee's treasurer
deleted text end new text begin named in the committee's statement of
organization as an individual authorized to accept contributions
on behalf of the committee
new text end ; and

(2) a delivery made by an individual on behalf of the
individual's spouse.

(c) A political committee or political fund must not make a
contribution a candidate is prohibited from accepting.

Sec. 18.

Minnesota Statutes 2004, section 10A.27, is
amended by adding a subdivision to read:


new text begin Subd. 1a. new text end

new text begin Limit on candidates who agree to spending
limit.
new text end

new text begin A candidate who has signed a spending limit agreement
under section 10A.322 must not permit the candidate's principal
campaign committee to accept aggregate contributions made or
delivered by an individual in excess of $100 in any year or by a
political committee, political fund, party unit, or lobbyist in
any amount.
new text end

new text begin The following deliveries are not subject to the bundling
limitation in this subdivision:
new text end

new text begin (1) delivery of contributions collected by a member of the
candidate's principal campaign committee named in the
committee's statement of organization as an individual
authorized to accept contributions on behalf of the committee;
and
new text end

new text begin (2) a delivery made by an individual on behalf of the
individual's spouse.
new text end

Sec. 19.

Minnesota Statutes 2004, section 10A.27,
subdivision 11, is amended to read:


Subd. 11.

Contributions from certain types of
contributors.

A candidate must not permit the candidate's
principal campaign committee to accept a contribution from a
political committee, political fund, new text begin party unit,new text end lobbyist, or
large contributor, if the contribution will cause the aggregate
contributions from those types of contributors to exceed an
amount equal to 20 percent of the expenditure limits for the
office sought by the candidate, provided that the 20 percent
limit must be rounded to the nearest $100. For purposes of this
subdivision, "large contributor" means an individual, other than
the candidate, who contributes an amount that is more than $100
and more than one-half the amount an individual may contribute.

Sec. 20.

Minnesota Statutes 2004, section 10A.27, is
amended by adding a subdivision to read:


new text begin Subd. 14. new text end

new text begin Contributions to party caucuses. new text end

new text begin The chair of
a party caucus within a house of the legislature that is subject
to a spending limit agreement under section 10A.322 must not
permit the caucus to accept aggregate contributions made or
delivered by an individual in excess of $100 in any year or by a
political committee, political fund, party unit, or lobbyist in
any amount.
new text end

Sec. 21.

Minnesota Statutes 2004, section 10A.27, is
amended by adding a subdivision to read:


new text begin Subd. 15. new text end

new text begin Contributions to other political committees or
funds.
new text end

new text begin The treasurer of a political committee, political fund,
or party unit must not permit the political committee, political
fund, or party unit to accept aggregate contributions from an
individual or association in an amount more than $500 in an
election cycle.
new text end

Sec. 22.

Minnesota Statutes 2004, section 10A.27, is
amended by adding a subdivision to read:


new text begin Subd. 16. new text end

new text begin Aggregate limit on individuals. new text end

new text begin An individual
may not contribute more than $5,000 in aggregate contributions
for any purpose to all candidates, political committees,
political funds, and party units in an election cycle.
new text end

Sec. 23.

Minnesota Statutes 2004, section 10A.275,
subdivision 1, is amended to read:


Subdivision 1.

Exceptions.

Notwithstanding other
provisions of this chapter, the following expenditures by a
party unit, or two or more party units acting together, with at
least one party unit being either: the state committee or the
party organization within a congressional district, county, or
legislative district, are not considered contributions to or
expenditures on behalf of a candidate for the purposes of
section 10A.25 or 10A.27 and must not be allocated to candidates
under section 10A.20, subdivision 3, paragraph (g):

(1) expenditures on behalf of candidates of that party
generally without referring to any of them specifically in a
published, posted, or broadcast advertisement;

(2) expenditures for the preparation, display, mailing, or
other distribution of an official party sample ballot listing
the names of three or more individuals whose names are to appear
on the ballot; new text begin or
new text end

(3) expenditures for a telephone conversation deleted text begin including
deleted text end new text begin mentioning with roughly equal emphasis new text end the names of three or
more individuals whose names are to appear on the ballotdeleted text begin ;
deleted text end

deleted text begin (4) expenditures for a political party fund-raising effort
on behalf of three or more candidates; or
deleted text end

deleted text begin (5) expenditures for party committee staff services that
benefit three or more candidates
deleted text end .

Sec. 24.

Minnesota Statutes 2004, section 10A.28,
subdivision 1, is amended to read:


Subdivision 1.

Exceeding expenditure limits.

new text begin (a) new text end A
candidate subject to the expenditure limits in section 10A.25
who permits the candidate's principal campaign committee to make
expenditures or permits approved expenditures to be made on the
candidate's behalf in excess of the limits imposed by section
10A.25, as adjusted by section 10A.255, is subject to a civil
penalty new text begin of new text end up to four times the amount by which the expenditures
exceeded the limit.

new text begin (b) The chair of a political party or party unit subject to
the prohibition in section 10A.25 that makes expenditures in
violation of section 10A.25 is subject to a civil penalty of up
to four times the amount of the expenditures.
new text end

new text begin (c) The chair of a party caucus within a house of the
legislature subject to the expenditure limits in section 10A.25
who permits the caucus to make expenditures in excess of the
limits imposed by section 10A.25, as adjusted by section
10A.255, is subject to a civil penalty of up to four times the
amount by which the expenditures exceeded the limit.
new text end

Sec. 25.

Minnesota Statutes 2004, section 10A.28,
subdivision 2, is amended to read:


Subd. 2.

Exceeding contribution limits.

A political
committee, political fund, or principal campaign committee that
makes a contribution, or a candidate who permits the candidate's
principal campaign committee to accept contributions, in excess
of the limits imposed by section 10A.27 is subject to a civil
penalty of up to four times the amount by which the contribution
exceeded the limits. new text begin The chair of a party caucus within a house
of the legislature who permits the caucus to accept
contributions in excess of the limits imposed by section 10A.27
is subject to a civil penalty of up to four times the amount by
which the contribution exceeded the limits.
new text end

Sec. 26.

Minnesota Statutes 2004, section 10A.315, is
amended to read:


10A.315 SPECIAL ELECTION SUBSIDY.

(a) Each eligible candidate for a legislative office in a
special election must be paid a public subsidy equal to deleted text begin the sum
of:
deleted text end

deleted text begin (1) the party account money at the last general election
for the candidate's party for the office the candidate is
seeking; and
deleted text end

deleted text begin (2) deleted text end the deleted text begin general account money deleted text end new text begin public subsidy new text end paid to a
candidate for the same office at deleted text begin the last deleted text end new text begin a new text end general election.

(b) A candidate who wishes to receive this public subsidy
must submit a signed agreement under section 10A.322 to the
board and must meet the contribution requirements of section
10A.323. The special election subsidy must be distributed in
the same manner as money deleted text begin in the party and general accounts deleted text end is
distributed to legislative candidates in a general election.

(c) The amount necessary to make the payments required by
this section is appropriated from the general fund to the board.

Sec. 27.

Minnesota Statutes 2004, section 10A.322, is
amended to read:


10A.322 SPENDING LIMIT AGREEMENTS.

Subdivision 1.

Agreement by candidate.

(a) As a
condition of receiving a public subsidy, a candidate must sign
and file with the board a written agreement in which the
candidate agrees that the candidate will comply with sections
10A.25; 10A.27, subdivision 10; 10A.31, subdivision 7, paragraph
(c); deleted text begin and deleted text end 10A.324new text begin ; and 10A.38new text end .

(b) Before the first day of filing for office, the board
must forward agreement forms to all filing officers. The board
must also provide agreement forms to candidates on request at
any time. The candidate must file the agreement with the board
deleted text begin by September 1 preceding the candidate's general election or a
special election held at the general election
deleted text end new text begin not later than the
day after the candidate files the affidavit of candidacy for the
office
new text end . An agreement may not be filed after that date. An
agreement once filed may not be rescinded.

(c) The board must notify the commissioner of revenue of
any agreement deleted text begin signed deleted text end new text begin filed new text end under this subdivision.

(d) deleted text begin Notwithstanding paragraph (b), if a vacancy occurs that
will be filled by means of a special election and the filing
period does not coincide with the filing period for the general
election, a candidate may sign and submit a spending limit
agreement not later than the day after the candidate files the
affidavit of candidacy or nominating petition for the office.
deleted text end

deleted text begin Subd. 2. deleted text end

deleted text begin How long agreement is effective. deleted text end

deleted text begin deleted text end The agreement,
insofar as it relates to the expenditure limits in section
10A.25, as adjusted by section 10A.255, and the contribution
limit in section 10A.27, subdivision 10, remains effective for
candidates until the dissolution of the principal campaign
committee of the candidate or the end of the first election
cycle completed after the agreement was filed, whichever occurs
first.

new text begin Subd. 2. new text end

new text begin Agreement by political party. new text end

new text begin (a) As a
condition of receiving a public subsidy, the chair of the state
committee of a political party must sign and file with the board
a written agreement in which the state committee agrees that the
political party and all its party units, other than a
legislative party caucus, will comply with section 10A.25. An
agreement once filed may not be rescinded.
new text end

new text begin (b) The board must provide agreement forms to political
parties on request at any time. The state chair must file the
agreement with the board by February 1 of the general election
year.
new text end

new text begin (c) The spending limit agreement remains in effect until
the end of the first general election cycle completed after the
agreement was filed or the dissolution of the political party,
whichever occurs first.
new text end

new text begin (d) The board must notify the commissioner of revenue of an
agreement filed under this subdivision.
new text end

new text begin Subd. 2a. new text end

new text begin Agreement by party caucus. new text end

new text begin (a) As a condition
of receiving a public subsidy, the chair of a party caucus in a
house of the legislature must sign and file with the board a
written agreement in which the caucus agrees that it will comply
with sections 10A.25 and 10A.27, subdivision 14. An agreement
once filed may not be rescinded.
new text end

new text begin (b) The board must provide agreement forms to legislative
party caucuses on request at any time. The party caucus must
file the agreement with the board by February 1 of the general
election year.
new text end

new text begin (c) The spending limit agreement remains in effect until
the end of the first election cycle completed after the
agreement was filed or the dissolution of the legislative party
caucus, whichever occurs first.
new text end

new text begin (d) The board must notify the commissioner of revenue of an
agreement filed under this subdivision.
new text end

Subd. 4.

Refund receipt forms; penalty.

new text begin (a) new text end The board
must make available to a deleted text begin political party on request and to any
deleted text end candidatenew text begin , political party, or legislative party caucus new text end for whom
an agreement under this section is effective, a supply of
official refund receipt forms that state in boldface type that
(1) a contributor who is given a receipt form is eligible to
claim a refund as provided in section 290.06, subdivision 23,
and (2) deleted text begin if the contribution is to a candidate, that deleted text end the
candidatenew text begin , political party, or legislative party caucus new text end has
signed an agreement to limit campaign expenditures as provided
in this section. The forms must provide duplicate copies of the
receipt to be attached to the contributor's claim. new text begin A principal
campaign committee or party unit must return to the board with
its termination report or destroy any official receipt forms
that have not been issued.
new text end

new text begin (b) new text end A candidate who does not sign an agreement under this
section and who willfully issues an official refund receipt form
or a facsimile of one to any of the candidate's contributors is
guilty of a misdemeanor. new text begin If the state chair of a political
party has not signed an agreement under this section and the
chair of a party unit willfully issues an official refund
receipt form or a facsimile of one to any of the party's
contributors, the chair of the party unit is guilty of a
misdemeanor. If the chair of a legislative party caucus has not
signed an agreement under this section and the caucus chair
willfully issues an official refund receipt form or a facsimile
of one to any of the caucus's contributors, the caucus chair is
guilty of a misdemeanor.
new text end

Sec. 28.

new text begin [10A.3235] PUBLIC SUBSIDY TO CANDIDATES.
new text end

new text begin Subdivision 1. new text end

new text begin Appropriation. new text end

new text begin In each general election
year there is appropriated from the general fund a sum
sufficient to pay the public subsidy provided for in this
section.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin A candidate who has duly filed a
spending limit agreement under section 10A.322, an affidavit of
contributions under section 10A.323, and an affidavit of
candidacy under section 204B.06, and who is opposed in either
the primary or general election is eligible to receive a public
subsidy under this section. Upon determining that a candidate
is eligible, the board must designate the candidate as
participating.
new text end

new text begin Subd. 3. new text end

new text begin Form of payment. new text end

new text begin The payment must be in the
form of a check made payable to "the campaign fund of ......
(name of candidate) ......" A check may include as an
additional payee a financial institution named by the candidate
in a notice filed with the board at least ten days before the
payment was due to be made. Once the notice has been filed, the
candidate may not remove or change the name of the additional
payee without filing with the board the written approval of the
financial institution previously named.
new text end

new text begin Subd. 4. new text end

new text begin Payment for primary election. new text end

new text begin Within ten days
after the close of filings for office, the board must pay each
participating candidate who has an opponent in a major party
primary a public subsidy equal to 25 percent of the candidate's
spending limit.
new text end

new text begin Subd. 5. new text end

new text begin Payment for general election. new text end

new text begin As soon as the
board has obtained from the secretary of state the results of
the primary election, but no later than one week after the State
Canvassing Board has certified the results of the primary, the
board must pay to each participating candidate whose name will
appear on the ballot and who has an opponent in the general
election a public subsidy equal to 65 percent of the candidate's
spending limit, less any amount paid under subdivision 4.
new text end

new text begin Subd. 6. new text end

new text begin Payment to match excess spending. new text end

new text begin Within five
days after receipt of a report of excess spending under section
10A.20, subdivision 2, 6, or 6c, the board must notify any
participating opponent of the nonparticipating candidate of the
amount of increase in the spending limit of the participating
candidate and pay the participating candidate an additional
public subsidy. The amount of the subsidy is equal to the
amount of the excess spending reported, subject to the limit in
subdivision 8.
new text end

new text begin Subd. 7. new text end

new text begin Payment to match independent expenditures. new text end

new text begin (a)
Within five days after receipt of a notice of independent
expenditures under section 10A.20, subdivision 2, 6, or 6b, the
board must notify a participating candidate of the amount of
increase in the spending limit of the participating candidate
and pay the participating candidate an additional public subsidy
as provided in this subdivision, subject to the limit in
subdivision 8.
new text end

new text begin (b) If the independent expenditure advocates the defeat of
a participating candidate, the board must pay a subsidy to the
participating candidate equal to the independent expenditure.
new text end

new text begin (c) If the independent expenditure advocates the election
of a participating candidate, the board must pay a subsidy to
each participating opponent of the candidate equal to the
independent expenditure.
new text end

new text begin (d) If the independent expenditure advocates the election
of a nonparticipating candidate, the board must pay a subsidy to
each participating opponent of the candidate. The amount of the
public subsidy is the amount by which the sum of campaign
expenditures by the nonparticipating candidate plus the
independent expenditure exceeds the public subsidy previously
paid or due to the participating candidate.
new text end

new text begin (e) For purposes of this subdivision, before the primary
election, "opponent" means a candidate whose name is on the
ballot for the primary of the same major party or, if there is
none, a candidate whose name will be on the ballot for the
general election. If an independent expenditure that advocates
the election of a candidate is made before the primary, and the
candidate wins the primary, "opponent" also means any other
candidate whose name will appear on the ballot in the general
election, but the notice required by this subdivision need not
be given and the public subsidy need not be paid until one week
after the State Canvassing Board has certified the results of
the primary.
new text end

new text begin Subd. 8. new text end

new text begin Overall limit. new text end

new text begin The total public subsidy paid to
a participating candidate under this section may not exceed
three times the candidate's original spending limit.
new text end

Sec. 29.

new text begin [10A.3237] PUBLIC SUBSIDY TO POLITICAL PARTIES.
new text end

new text begin Subdivision 1. new text end

new text begin Appropriation. new text end

new text begin In each general election
year there is appropriated from the general fund a sum
sufficient to pay the public subsidy provided for in this
section.
new text end

new text begin Subd. 2. new text end

new text begin Certification. new text end

new text begin By February 1 of each general
election year, the secretary of state must certify to the board
the name and mailing address of each major political party.
new text end

new text begin Subd. 3. new text end

new text begin Payment to state committee. new text end

new text begin By August 1 in each
general election year, the board must pay to the state committee
of each major political party that has signed and filed with the
board a spending limit agreement under section 10A.322 a public
subsidy of $200,000, plus $200,000 if the state committee of any
other major political party has not likewise signed and filed
with the board a spending limit agreement.
new text end

new text begin Subd. 4. new text end

new text begin Payment to legislative caucus. new text end

new text begin (a) By August 1
in each general election year, the board must pay a public
subsidy to each major political party caucus in a house of the
legislature that has a general election that year, if the caucus
has at least ten members in the senate or 20 members in the
house of representatives and the caucus chair has signed and
filed with the board a spending limit agreement under section
10A.322. The amount of the subsidy is $100,000, plus $100,000
if the chair of any other major political party caucus in the
same house with at least ten members in the senate or 20 members
in the house of representatives has not likewise signed and
filed with the board a spending limit agreement.
new text end

new text begin (b) A legislative major party caucus may, by a written
notice filed with the board, waive its right to all or part of
its allocation under paragraph (a) and the board must reallocate
to the state committee the amount waived.
new text end

new text begin Subd. 5. new text end

new text begin Use of public subsidy. new text end

new text begin Money allocated to a
party unit under subdivision 3 or 4 must be deposited in a
separate account and must not be spent to support any candidate
who has not signed and filed with the board a spending limit
agreement.
new text end

Sec. 30.

new text begin [10A.38] PUBLIC DEBATES.
new text end

new text begin As a condition of receiving a public subsidy, a candidate
must agree to participate in at least two public debates before
the primary and at least two public debates before the general
election with the candidate's major political party opponents if
a statewide nonprofit, nonpartisan organization with experience
in sponsoring debates at the state or national level offers to
sponsor a debate between the candidate and the candidate's major
party opponents. For purposes of this section, "nonpartisan"
means that the organization does not endorse candidates,
contribute to candidates, or make independent expenditures and
does not have any affiliate organizations that do. Disputes
concerning scheduling and conduct of debates must be mediated by
the Bureau of Mediation Services.
new text end

Sec. 31.

Minnesota Statutes 2004, section 200.02, is
amended by adding a subdivision to read:


new text begin Subd. 24. new text end

new text begin Party unit. new text end

new text begin "Party unit" means the state
committee or the party organization within a house of the
legislature, congressional district, county, legislative
district, municipality, or precinct.
new text end

Sec. 32.

Minnesota Statutes 2004, section 290.06,
subdivision 23, is amended to read:


Subd. 23.

Refund of contributions to political parties
and candidates.

(a) A taxpayer may claim a refund equal to the
amount of the taxpayer's contributions made in the calendar year
to candidates and to a political party. The maximum refund for
an individual must not exceed deleted text begin $50 deleted text end new text begin $100 new text end and for a married couple,
filing jointly, must not exceed deleted text begin $100 deleted text end new text begin $200new text end . A refund of a
contribution is allowed only if the taxpayer files a form
required by the commissioner and attaches to the form a copy of
an official refund receipt form issued by the candidate or party
and signed by the candidate, the treasurer of the candidate's
principal campaign committee, or the chair or treasurer of the
party unit, after the contribution was received. The receipt
forms must be numbered, and the data on the receipt that are not
public must be made available to the campaign finance and public
disclosure board upon its request. A claim must be filed with
the commissioner no sooner than January 1 of the calendar year
in which the contribution was made and no later than April 15 of
the calendar year following the calendar year in which the
contribution was made. A taxpayer may file only one claim per
calendar year. Amounts paid by the commissioner after June 15
of the calendar year following the calendar year in which the
contribution was made must include interest at the rate
specified in section 270.76.

(b) No refund is allowed under this subdivision for a
contribution to a candidate unless the candidate:

(1) has signed new text begin and filed new text end an agreement to limit campaign
expenditures as provided in section 10A.322;

(2) is seeking an office for which voluntary spending
limits are specified in section 10A.25; and

(3) has designated a principal campaign committee.

This subdivision does not limit the campaign expenditures
of a candidate who does not sign an agreement but accepts a
contribution for which the contributor improperly claims a
refund.

new text begin No refund is allowed under this subdivision for a
contribution to a political party or party unit unless the state
chair of the political party has signed and filed an agreement
to limit campaign expenditures as provided in section 10A.322.
new text end

new text begin No refund is allowed under this subdivision for a
contribution to a party unit that is a legislative party caucus
unless the chair of the legislative party caucus has signed and
filed an agreement to limit campaign expenditures as provided in
section 10A.322.
new text end

(c) For purposes of this subdivision, "political party"
deleted text begin means a major political party as defined in section 200.02,
subdivision 7, or a minor political party qualifying for
inclusion on the income tax or property tax refund form under
section 10A.31, subdivision 3a
deleted text end new text begin has the meaning given it in
section 10A.01, subdivision 29
new text end .

deleted text begin A "major party" or "minor party" includes the aggregate of
that party's organization within each house of the legislature,
the state party organization, and the party organization within
congressional districts, counties, legislative districts,
municipalities, and precincts
deleted text end new text begin "Party unit" has the meaning given
it in section 10A.01, subdivision 30
new text end .

"Candidate" means a candidate as defined in section 10A.01,
subdivision 10, except a candidate for judicial office.

"Contribution" means a gift of money.

(d) The commissioner shall make copies of the form
available to the public and candidates upon request.

(e) The following data collected or maintained by the
commissioner under this subdivision are private: the identities
of individuals claiming a refund, the identities of candidates
to whom those individuals have made contributions, and the
amount of each contribution.

(f) The commissioner shall report to the campaign finance
and public disclosure board by each August 1 a summary showing
the total number and aggregate amount of political contribution
refunds made on behalf of each candidate and each political
party. These data are public.

(g) The amount necessary to pay claims for the refund
provided in this section is appropriated from the general fund
to the commissioner of revenue.

(h) For a taxpayer who files a claim for refund via the
Internet or other electronic means, the commissioner may accept
the number on the official receipt as documentation that a
contribution was made rather than the actual receipt as required
by paragraph (a).

Sec. 33. new text begin TRANSITION.
new text end

new text begin Subdivision 1. new text end

new text begin Election cycle. new text end

new text begin Notwithstanding Minnesota
Statutes, section 10A.01, subdivision 16, the first election
cycle begins on the effective date of sections 1 to 34 and
concludes on December 31 following the next general election for
the office.
new text end

new text begin Subd. 2. new text end

new text begin Contribution limits. new text end

new text begin Contributions to a
candidate that were made before the effective date of sections 1
to 34 and were lawful when made need not be refunded, even
though they exceed the new limits on contributions in sections 1
to 34.
new text end

new text begin Subd. 3. new text end

new text begin Expenditure limits. new text end

new text begin All spending limit
agreements filed with the Campaign Finance and Public Disclosure
Board before the effective date of sections 1 to 34 become void
on that date and all eligibility for continued public subsidies
under Minnesota Statutes, chapter 10A or 290, is ended on that
date. The new expenditure limits and eligibility for a public
subsidy under sections 1 to 34 apply to candidates who sign and
file with the Campaign Finance and Public Disclosure Board a new
spending limit agreement under Minnesota Statutes, section
10A.322, on or after the effective date of sections 1 to 34.
new text end

Sec. 34. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2004, sections 10A.25, subdivision 6;
and 10A.31, subdivisions 1, 3, 3a, 4, 5, 5a, 6, 6a, 7, 10, 10a,
10b, and 11, are repealed.
new text end

Sec. 35. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 34 are effective the day following final
enactment. The spending limits in Minnesota Statutes, section
10A.25, subdivision 2, as amended by section 12, apply to the
general election in 2006 and must not be adjusted for inflation
under Minnesota Statutes, section 10A.255, until the 2008
election cycle.
new text end