as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to ethics in government; clarifying and 1.3 simplifying the law related to lobbyist registration, 1.4 conflicts of interest, and campaign finance; 1.5 eliminating invalid provisions; amending Minnesota 1.6 Statutes 1996, sections 10A.01; 10A.02; 10A.03; 1.7 10A.04; 10A.05; 10A.065, subdivisions 1 and 3; 10A.08; 1.8 10A.09; 10A.10; 10A.11; 10A.12; 10A.13; 10A.14; 1.9 10A.15; 10A.17; 10A.18; 10A.19; 10A.20; 10A.21, 1.10 subdivision 3; 10A.22; 10A.23; 10A.24; 10A.241; 1.11 10A.25; 10A.255, subdivision 1; 10A.265; 10A.27; 1.12 10A.275, subdivision 1; 10A.28; 10A.29; 10A.30, 1.13 subdivision 1; 10A.31; 10A.315; 10A.321; 10A.322; 1.14 10A.323; 10A.324, subdivisions 1 and 3; 10A.34; and 1.15 290.06, subdivision 23; Laws 1996, chapter 419, 1.16 section 10; repealing Minnesota Statutes 1996, 1.17 sections 10A.065, subdivision 5; 10A.255, subdivision 1.18 2; 10A.275, subdivisions 2 and 3; 10A.324, 1.19 subdivisions 2 and 4; 10A.325; 10A.335; 10A.40; 1.20 10A.41; 10A.42; 10A.43; 10A.44; 10A.45; 10A.46; 1.21 10A.47; 10A.48; 10A.49; 10A.50; and 10A.51. 1.22 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.23 Section 1. Minnesota Statutes 1996, section 10A.01, is 1.24 amended to read: 1.25 10A.01 [DEFINITIONS.] 1.26 Subdivision 1. [SCOPE.] For the purposes of sections 1.27 10A.01 to 10A.34, the terms defined in this section have the 1.28 meanings given them unless the context clearly indicates 1.29 otherwise. 1.30 Subd. 2. [ADMINISTRATIVE ACTION.] "Administrative action" 1.31 means an action by any official, board, commission or agency of 1.32 the executive branch to adopt, amend, or repeal a rulepursuant1.33tounder chapter 14. "Administrative action" does not include 2.1 the application or administration of an adopted rule, except in 2.2 cases of rate setting, power plant and powerline siting, and 2.3 granting of certificates of need under chapter 116J. 2.4 Subd. 3. [ASSOCIATION.] "Association" meansbusiness,2.5corporation, firm, partnership, committee, labor organization,2.6club, or any othera group of two or more persons,which2.7includes more thanwho are not all members of an immediate 2.8 family, acting in concert. 2.9 Subd. 4. [ASSOCIATED BUSINESS.] "Associated business" 2.10 meansanyan association in connection with which the individual 2.11 is compensated in excess of $50, except for actual and 2.12 reasonable expenses, in any month as a director, officer, owner, 2.13 member, partner, employer or employee, or is a holder of 2.14 securities worth $2,500 or more at fair market value. 2.15 Subd. 5. [CANDIDATE.] "Candidate" means an individual who 2.16 seeks nomination or election toany statewide or legislative2.17 officefor which reporting is not required under federal laws.2.18The term candidate shall also include an individual who seeks2.19nomination or election to supreme court, court of appeals, or2.20district court judgeships of theas a state constitutional 2.21 officer, legislator, or judge. An individualshall beis deemed 2.22 to seek nomination or election if the individual has taken the 2.23 action necessary under the law ofthethis stateof Minnesotato 2.24 qualify for nomination or election, has received contributions 2.25 or made expenditures in excess of $100, or has given implicit or 2.26 explicit consent for any other person to receive contributions 2.27 or make expenditures in excess of $100, for the purpose of 2.28 bringing about the individual's nomination or election. A 2.29 candidate remains a candidate until the candidate's principal 2.30 campaign committee is dissolved as provided in section 10A.24. 2.31 Subd. 6. [BOARD.] "Board" means the state ethical 2.32 practices board. 2.33 Subd. 7. [CONTRIBUTION.] (a) "Contribution" meansa2.34transfer of fundsmoney, a negotiable instrument, or a donation 2.35 in kind that is given to a political committee, political fund, 2.36 or principal campaign committee. 3.1 (b) "Contribution" includesanya loan or advance of credit 3.2 to a political committee, political fund, or principal campaign 3.3 committee,whichif the loan or advance of credit is(a): (1) 3.4 forgiven,; or(b) paid(2) repaid by an individual or an 3.5 association other than the political committee, political fund, 3.6 or principal campaign committee to which the loan or advance of 3.7 creditiswas made. If an advance of credit or a loan is 3.8 forgiven orpaidrepaid as provided in thissubdivision3.9 paragraph, it is a contribution in the year in which the loan or 3.10 advance of creditiswas made. 3.11A contribution made for the purpose of defeating a3.12candidate is considered made for the purpose of influencing the3.13nomination or election of that candidate or any opponent of that3.14candidate.3.15 (c) "Contribution" does not include services provided 3.16 without compensation by an individual volunteering personal time 3.17 on behalf of a candidate, ballot question, political committee 3.18 or political fund, or the publishing or broadcasting of news 3.19 items or editorial comments by the news media. 3.20Subd. 7a. [TRANSFER OF FUNDS.] "Transfer of funds" or3.21"transfer" means money or negotiable instruments given by an3.22individual or association to a political committee, political3.23fund, or principal campaign committee for the purpose of3.24influencing the nomination or election of a candidate or for the3.25purpose of promoting or defeating a ballot question.3.26 Subd. 7b. [DONATION IN KIND.] "Donation in kind" means 3.27 anything of value that is given, other than money or negotiable 3.28 instrumentsgiven by an individual or association to a political3.29committee, political fund, or principal campaign committee for3.30the purpose of influencing the nomination or election of a3.31candidate or for the purpose of promoting or defeating a ballot3.32question.Donation in kind includesAn approved expenditure is 3.33 a donation in kind. 3.34 Subd. 8. [DEPOSITORY.] "Depository" meansanya bank, 3.35 savings association, or credit union,organized under federal or 3.36 state law and transacting business withinMinnesotathis state. 4.1 Subd. 9. [ELECTION.] "Election" means a primary, special 4.2 primary, general, or special election. 4.3 Subd. 9a. [ELECTION CYCLE.] "Election cycle" means the 4.4 period from January 1 following a general election for an office 4.5 to December 31 following the next general election for that 4.6 office, except that "election cycle" for a special election 4.7 means the period from the date the special election writ is 4.8 issued to 60 days after the special election is held. 4.9 Subd. 10. [CAMPAIGN EXPENDITURE.] "Campaign expenditure" 4.10 or "expenditure" means a purchase or payment of money or 4.11 anything of value, or an advance of credit, made or incurred for 4.12 the purpose of influencing the nomination or election of a 4.13 candidate or for the purpose of promoting or defeating a ballot 4.14 question. 4.15 An expenditure is considered to be made in the year in 4.16 which the candidate made the purchase of goods or services or 4.17 incurred an obligation to pay for goods or services. 4.18 An expenditure made for the purpose of defeating a 4.19 candidate is considered made for the purpose of influencing the 4.20 nomination or election of that candidate or any opponent of that 4.21 candidate. 4.22 Except as provided in clause(a)(1), "expenditure" 4.23 includes the dollar value of a donation in kind. 4.24 "Expenditure" does not include: 4.25(a)(1) noncampaign disbursements as defined in section 4.26 10A.25, subdivision10c10a; 4.27(b) Transfers as defined in subdivision 7a;4.28(c)(2) services provided without compensation by an 4.29 individual volunteering personal time on behalf of a candidate, 4.30 ballot question, political committee, or political fund; or 4.31(d)(3) the publishing or broadcasting of news items or 4.32 editorial comments by the news media. 4.33 Subd. 10a. [APPROVED EXPENDITURE.] "Approved expenditure" 4.34 means an expenditure made on behalf of a candidate by an entity 4.35 other than the principal campaign committee ofthatthe 4.36 candidate,whichif the expenditure is made with the 5.1 authorization or expressed or implied consent of, or in 5.2 cooperation or in concert with, or at the request or suggestion 5.3 ofthatthe candidate, the candidate's principal campaign 5.4 committee, or the candidate's agent. An approved expenditure is 5.5 a contribution to that candidate. 5.6 Subd. 10b. [INDEPENDENT EXPENDITURE.] "Independent 5.7 expenditure" means an expenditure expressly advocating the 5.8 election or defeat of a clearly identified candidate,whichif 5.9 the expenditure is made without the express or implied consent, 5.10 authorization, or cooperation of, and not in concert with or at 5.11 the request or suggestion of, any candidate or any candidate's 5.12 principal campaign committee or agent. An independent 5.13 expenditure is not a contribution to that candidate. An 5.14 expenditure by a political party or political party unit, as5.15defined in section 10A.275, subdivision 3,in a race where the 5.16 political party has a candidate on the ballot is not an 5.17 independent expenditure. 5.18Subd. 10c. [NONCAMPAIGN DISBURSEMENT.] "Noncampaign5.19disbursement" means a purchase or payment of money or anything5.20of value made, or an advance of credit incurred, by a political5.21committee, political fund, or principal campaign committee for5.22any of the following purposes:5.23(a) payment for accounting and legal services;5.24(b) return of a contribution to the source;5.25(c) repayment of a loan made to the political committee,5.26political fund, or principal campaign committee by that5.27committee or fund;5.28(d) return of a public subsidy;5.29(e) payment for food, beverages, entertainment, and5.30facility rental for a fundraising event;5.31(f) services for a constituent by a member of the5.32legislature or a constitutional officer in the executive branch,5.33performed from the beginning of the term of office to5.34adjournment sine die of the legislature in the election year for5.35the office held, and half the cost of services for a constituent5.36by a member of the legislature or a constitutional officer in6.1the executive branch performed from adjournment sine die to 606.2days after adjournment sine die;6.3(g) a donation in kind given to the political committee,6.4political fund, or principal campaign committee for purposes6.5listed in clauses (e) and (f);6.6(h) payment for food and beverages provided to campaign6.7volunteers while they are engaged in campaign activities;6.8(i) payment of expenses incurred by elected or appointed6.9leaders of a legislative caucus in carrying out their leadership6.10responsibilities;6.11(j) payment by a principal campaign committee of the6.12candidate's expenses for serving in public office, other than6.13for personal uses;6.14(k) costs of child care for the candidate's children when6.15campaigning;6.16(l) fees paid to attend a campaign school;6.17(m) costs of a postelection party during the election year6.18when a candidate's name will no longer appear on a ballot or the6.19general election is concluded, whichever occurs first;6.20(n) interest on loans paid by a principal campaign6.21committee on outstanding loans;6.22(o) filing fees;6.23(p) post-general election thank-you notes or advertisements6.24in the news media;6.25(q) the cost of campaign material purchased to replace6.26defective campaign material, if the defective material is6.27destroyed without being used;6.28(r) transfers to a party unit as defined in section6.2910A.275, subdivision 3; and6.30(s) other purchases or payments specified in board rules or6.31advisory opinions as being for any purpose other than to6.32influence the nomination or election of a candidate or to6.33promote or defeat a ballot question.6.34The board shall determine whether an activity involves a6.35noncampaign disbursement within the meaning of this subdivision.6.36 Subd. 11. [LOBBYIST.] (a) "Lobbyist" means an individual: 7.1 (1) engaged for pay or other consideration, or authorized 7.2 to spend money by another individual, association, political 7.3 subdivision, or public higher education system, who spends more 7.4 than five hours in any month or more than $250, not including 7.5 the individual's own travel expenses and membership dues, in any 7.6 year, for the purpose of attempting to influence legislative or 7.7 administrative action, or the official action of a metropolitan 7.8 governmental unit, by communicating or urging others to 7.9 communicate with public or local officials; or 7.10 (2) who spends more than $250, not including the 7.11 individual's own traveling expenses and membership dues, in any 7.12 year for the purpose of attempting to influence legislative or 7.13 administrative action, or the official action of a metropolitan 7.14 governmental unit, by communicating or urging others to 7.15 communicate with public or local officials. 7.16 (b) "Lobbyist" does not include: 7.17 (1) a public official; 7.18 (2) an employee of the state, including an employee of any 7.19 of the public higher education systems; 7.20 (3) an elected local official; 7.21 (4) a nonelected local official or an employee of a 7.22 political subdivision acting in an official capacity, unless the 7.23 nonelected official or employee of a political subdivision 7.24 spends more than 50 hours in any month attempting to influence 7.25 legislative or administrative action, or the official action of 7.26 a metropolitan governmental unit other than the political 7.27 subdivision employing the official or employee, by communicating 7.28 or urging others to communicate with public or local officials, 7.29 including time spent monitoring legislative or administrative 7.30 action, or the official action of a metropolitan governmental 7.31 unit, and related research, analysis, and compilation and 7.32 dissemination of information relating to legislative or 7.33 administrative policy in this state, or to the policies of 7.34 metropolitan governmental units; 7.35 (5) a party or the party's representative appearing in a 7.36 proceeding before a state board, commission, or agency of the 8.1 executive branch unless the board, commission, or agency is 8.2 taking administrative action; 8.3 (6) an individual while engaged in selling goods or 8.4 services to be paid for by public funds; 8.5 (7) a news medium or its employees or agents while engaged 8.6 in the publishing or broadcasting of news items, editorial 8.7 comments, or paid advertisements which directly or indirectly 8.8 urge official action; 8.9 (8) a paid expert witness whose testimony is requested by 8.10 the body before which the witness is appearing, but only to the 8.11 extent of preparing or delivering testimony; or 8.12 (9)a stockholder of a family farm corporation as defined8.13in section 500.24, subdivision 2, who does not spend over $250,8.14excluding the stockholder's own travel expenses, in any year in8.15communicating with public officials; or8.16(10)a party or the party's representative appearing to 8.17 present a claim to the legislature and communicating to 8.18 legislators only by the filing of a claim form and supporting 8.19 documents and by appearing at public hearings on the claim. 8.20 Subd. 12. [MAJOR POLITICAL PARTY.] "Major political party" 8.21 means a major political party as defined in section 200.02, 8.22 subdivision 7. 8.23 Subd. 13. [MINOR POLITICAL PARTY.] "Minor political party" 8.24 meansany party other than a majora minor political party:as 8.25 defined in section 200.02, subdivision 22. 8.26(a) Under whose name in the last applicable general8.27election a candidate filed for legislative office and received8.28not less than ten percent of the vote for that office, or filed8.29for statewide office; or8.30(b) Which files a petition with the secretary of state8.31containing the names of 2,000 individuals registered to vote in8.32Minnesota and declaring that the signers desire that the party8.33be eligible to receive money from the state elections campaign8.34fund in the same manner as a major political party.8.35For the purposes of this chapter, all individuals who are8.36eligible to vote in areas where there is no permanent system of9.1registration shall be considered registered voters.9.2 Subd. 15. [POLITICAL COMMITTEE.] "Political committee" 9.3 meansanyan associationas defined in subdivision 3whose major 9.4 purpose is to influence the nomination or election of a 9.5 candidate or to promote or defeat a ballot question. 9.6 "Political committee" includes amajorpolitical partyas9.7defined in subdivision 12, a minor political party as defined in9.8subdivision 13or political party unit, andanya principal 9.9 campaign committee formedpursuant tounder section 10A.19. 9.10 Subd. 16. [POLITICAL FUND.] "Political fund" meansanyan 9.11 accumulation of dues or voluntary contributions by an 9.12 association other than a political committee,whichif the 9.13 accumulation is collected or expendedfor the purpose of9.14influencingto influence the nomination or election of a 9.15 candidate orfor the purpose of promotingto promote or 9.16defeatingdefeat a ballot question. 9.17 Subd. 17. [POLITICAL PARTY.] "Political party" means 9.18eithera major political party or a minor political party. A 9.19 political party is the aggregate of all its political party 9.20 units in this state. 9.21 Subd. 17a. [POLITICAL PARTY UNIT.] "Political party unit" 9.22 or "party unit" means the state party organization; the party 9.23 organization within each house of the legislature; or the party 9.24 organization within a congressional district, county, 9.25 legislative district, municipality, or precinct. 9.26 Subd. 18. [PUBLIC OFFICIAL.] "Public official" means any: 9.27(a)(1) member of the legislature; 9.28 (2) individual employed by the legislature as secretary of 9.29 the senate, legislative auditor, chief clerk of the house, 9.30 revisor of statutes, or researcher, legislative analyst, or 9.31 attorney in the office of senate counsel and research or house 9.32 research; 9.33(b)(3) constitutional officer in the executive branch and 9.34 the officer's chief administrative deputy; 9.35(c) member, chief administrative officer or deputy chief9.36administrative officer of a state board or commission which has10.1at least one of the following powers: (i) the power to adopt,10.2amend or repeal rules, or (ii) the power to adjudicate contested10.3cases or appeals;10.4 (4) solicitor general or deputy, assistant, or special 10.5 assistant attorney general; 10.6(d)(5) commissioner, deputy commissioner, or assistant 10.7 commissioner of any state department as designated pursuant to 10.8 section 15.01; 10.9 (6) member, chief administrative officer, or deputy chief 10.10 administrative officer of a state board or commission that has 10.11 either the power to adopt, amend, or repeal rules, or the power 10.12 to adjudicate contested cases or appeals; 10.13(e)(7) individual employed in the executive branch who is 10.14 authorized to adopt, amend, or repeal rules or adjudicate 10.15 contested cases; 10.16(f)(8) executive director of the state board of 10.17 investment; 10.18(g)(9) executive director of the Indian affairs 10.19 intertribal board; 10.20(h)(10) commissioner of the iron range resources and 10.21 rehabilitation board; 10.22(i)(11) commissioner of mediation services; 10.23(j)(12) deputy of any official listed in clauses(e)(7) 10.24 to(i)(11); 10.25(k)(13) judge of the workers' compensation court of 10.26 appeals; 10.27(l)(14) administrative law judge or compensation judge in 10.28 the state office of administrative hearings or referee in the 10.29 department of economic security; 10.30(m) solicitor general or deputy, assistant or special10.31assistant attorney general;10.32(n) individual employed by the legislature as secretary of10.33the senate, legislative auditor, chief clerk of the house,10.34revisor of statutes, or researcher, legislative analyst, or10.35attorney in the office of senate counsel and research or house10.36research;11.1(o)(15) member, regional administrator, division director, 11.2 general counsel, or operations manager of the metropolitan 11.3 council; 11.4 (16) member or chief administrator of a metropolitan 11.5 agency; 11.6(p)(17)thedirector of the racing commission,the11.7 director of the gambling control board,thedirector of the 11.8 state lottery,and theor deputy director of the state lottery; 11.9(q)(18) director of the division of gambling enforcement 11.10 in the department of public safety; 11.11(r)(19) member or executive director of the higher 11.12 education facilities authority; 11.13(s)(20) member of the board of directors or president of 11.14 the Minnesota world trade center corporation;or 11.15(t) member or chief administrator of a metropolitan agency11.16 Minnesota Technology, Inc.; or 11.17 (21) member of the board of directors or executive director 11.18 of the Minnesota state high school league. 11.19Subd. 19. [OFFICE HOLDER.] "Office holder" means an11.20individual who holds any statewide or legislative office, except11.21a federal office for which candidates are required to report11.22under federal laws, state supreme court justice, and judges of11.23the court of appeals, district court, county court, or county11.24municipal court.11.25 Subd. 20. [ADVANCE OF CREDIT.] "Advance of credit" means 11.26 any money owed for goods provided or services rendered. An 11.27 advance of credit is an expenditure or a noncampaign 11.28 disbursement in the year in which the goods or services are used 11.29 or consumed. "Advance of credit" does not mean a loan as 11.30 defined in subdivision 21. 11.31 Subd. 21. [LOAN.] "Loan" means an advance of money or 11.32 anything of value made to a political committee, political fund, 11.33 or principal campaign committee. 11.34 Subd. 22. [FINANCIAL INSTITUTION.] "Financial institution" 11.35 means a lending institution chartered by an agency of the 11.36 federal government or regulated by the commissioner of commerce. 12.1 Subd. 23. [BALLOT QUESTION.] "Ballot question" means a 12.2 question or propositionwhichthat is placed on the ballot and 12.3whichthat may be voted on by all voters of the state. 12.4 "Promoting or defeating a ballot question" includes activities 12.5 related to qualifying the question for placement on the ballot. 12.6 Subd. 24. [STATE COMMITTEE.] "State committee" means the 12.7 organizationwhichthat, by virtue of the bylaws of a political 12.8 party, is responsible for the day-to-day operation of the 12.9 political party at the state level. 12.10 Subd. 25. [LOCAL OFFICIAL.] "Local official" means a 12.11 person who holds elective office in a political subdivision or 12.12 who is appointed to or employed in a public position in a 12.13 political subdivision in which the person has authority to make, 12.14 to recommend, or to vote on as a member of the governing body, 12.15 major decisions regarding the expenditure or investment of 12.16 public money. 12.17 Subd. 26. [METROPOLITAN GOVERNMENTAL UNIT.] "Metropolitan 12.18 governmental unit" means any of the seven counties in the 12.19 metropolitan area as defined in section 473.121, subdivision 2, 12.20 a regional railroad authority established by one or more of 12.21 those counties under section 398A.03, a city with a population 12.22 of over 50,000 located in the seven-county metropolitan area, 12.23 the metropolitan council, or a metropolitan agency as defined in 12.24 section 473.121, subdivision 5a, the Minnesota state high school12.25league, and Minnesota Technology, Inc. 12.26 Subd. 27. [POLITICAL SUBDIVISION.] "Political subdivision" 12.27 means the metropolitan council, a metropolitan agency as defined 12.28 in section 473.121, subdivision 5a, or a municipality as defined 12.29 in section 471.345, subdivision 1, the Minnesota state high12.30school league, and Minnesota Technology, Inc. 12.31 Subd. 28. [PRINCIPAL.] "Principal" means an individualor, 12.32 association, political subdivision, or public higher education 12.33 system that: 12.34 (1) spends more than $500 in the aggregate in any calendar 12.35 year to engage a lobbyist, compensate a lobbyist, or authorize 12.36 the expenditure of money by a lobbyist; or 13.1 (2) is not included in clause (1) and spends a total of at 13.2 least $50,000 in any calendar year on efforts to influence 13.3 legislative action, administrative action, or the official 13.4 action of metropolitan governmental units, as described in 13.5 section 10A.04, subdivision 6. 13.6 Subd. 29. [POPULATION.] "Population" means the population 13.7 established by the most recent federal census, by a special 13.8 census taken by the United States Bureau of the Census, by an 13.9 estimate made by the metropolitan council, or by an estimate 13.10 made by the state demographer under section 4A.02, whichever has 13.11 the latest stated date of count or estimate. 13.12 Sec. 2. Minnesota Statutes 1996, section 10A.02, is 13.13 amended to read: 13.14 10A.02 [BOARD OFETHICAL PRACTICES BOARD.] 13.15 Subdivision 1. [COMPOSITION.] There is hereby created a 13.16 state ethical practices board composed of six members.The13.17members shall be appointed byThe governor shall appoint the 13.18 members with the advice and consent of three-fifths of both the 13.19 senate and the house of representatives acting separately. If 13.20 either house fails to confirm the appointment of a board member 13.21 within 45 legislative days after appointment or by adjournment 13.22 sine die, whichever occurs first, the appointment shall 13.23 terminate on the day following the 45th legislative day or on 13.24 adjournment sine die, whichever occurs first. If either house 13.25 votes not to confirm an appointment, the appointment terminates 13.26 on the day following the vote not to confirm. One membershall13.27 must be a former member of the legislature from a major 13.28 political party different from that of the governor; one 13.29 membershallmust be a former member of the legislature from the 13.30 same political party as the governor; two membersshallmust be 13.31 persons who have not been public officials, held any political 13.32 party office other than precinct delegate, or been elected to 13.33 public office for which party designation is required by statute 13.34 in the three years preceding the date of their appointment; and 13.35 the other two membersshallmust not support the same political 13.36 party. No more than three of the members of the boardshall14.1 must support the same political party. No member of the board 14.2 may currently serve as a lobbyist. 14.3 Subd. 2. [TERMS, COMPENSATION, REMOVAL, VACANCIES.]AnyAn 14.4 appointment to fill a vacancyshall beis made only for the 14.5 unexpired term of a member who is being replaced and the 14.6 appointeeshallmust meet the same stated qualifications as the 14.7 member being replaced. The membership terms, compensation, and 14.8 removal of members on the boardshall beare as provided in 14.9 section 15.0575, except that the extension of terms and the 14.10 filling of vacanciesshall beare subject to the advice and 14.11 consent of the legislature in the same manner as provided in 14.12 subdivision 1. 14.13 Subd. 3. [VOTE REQUIRED.] The concurring vote of four 14.14 members of the boardshall beis required to decide any matter 14.15 before the board. 14.16 Subd. 4. [OFFICERS; MEETINGS.] The board shall elect from 14.17 among its members a chair,and a vice-chairand a14.18secretary.The secretary shall keep a record of all proceedings14.19and actions by the board.Meetings of the boardshall beare at 14.20 the call of the chair or at the call of any four members of the 14.21 board acting together. 14.22 Subd. 5. [EMPLOYEES; EXPENSES.] The board shall appoint an 14.23 executive directorwho shall be. The executive director is in 14.24 the unclassified service. The executive director serves as 14.25 secretary of the board and shall keep a record of all 14.26 proceedings and actions by the board. The board may also employ 14.27 and prescribe the duties of other permanent or temporary 14.28 employees in the unclassified service as may be necessary to 14.29 administer this chapter, subject to appropriation. The 14.30 executive director and all other employeesshallserve at the 14.31 pleasure of the board. Expenses of the boardshallmust be 14.32 approved by the chair orsuch otheranother member as the rules 14.33 of the board may provide and the expensesshallmust then be 14.34 paid in the same manner as other state expenses are paid. 14.35 Subd. 7. [POLITICAL ACTIVITY.] All members and employees 14.36 of the boardshall beare subject to any provisions of law 15.1 regulating political activity by state employees. In addition, 15.2 no member or employee of the boardshallmay be a candidate for, 15.3 or holder of,(a)(1) a national, state, congressional district, 15.4 legislative district, county, or precinct office in a political 15.5 party, or(b)(2) an elected public office for which party 15.6 designation is required by statute. 15.7 Subd. 8. [DUTIES.] (a) The board shall:15.8(a)report at the close of each fiscal year to the 15.9 legislature, the governor, and the public concerning the action 15.10 it has taken, the names, salaries, and duties of all individuals 15.11 in its employ, and the money it has disbursed. The board shall 15.12 include and identify in its report any other reports it has made 15.13 during the fiscal year. It may indicate apparent abuses and 15.14 offer legislative recommendations;. 15.15 (b) The board shall prescribe forms for statements and 15.16 reports required to be filed under this chapter and make the 15.17 forms available to individuals required to file them;. 15.18 (c) The board shall make available to the individuals 15.19 required to file the reports and statements a manual setting 15.20 forth the recommended uniform methods of bookkeeping and 15.21 reporting;. 15.22 (d) The board shall develop a filing, coding, and 15.23 cross-indexing system consistent with the purposes of this 15.24 chapter;. 15.25 (e) The board shall make the reports and statements filed 15.26 with it available for public inspection and copying by the end 15.27 of the second day following the day on which they were 15.28 received.AnyAn individual may copy a report or statement by 15.29 hand or by duplicating machine and the board shall provide 15.30 duplicating services at cost for this purpose.NoInformation 15.31 copied from reports and statementsshallmay not be sold or 15.32utilizedused byanyan individual or association foranya 15.33 commercial purpose."Commercial purpose" does not include15.34 Purposes related to elections, political activities, or law 15.35 enforcement are not commercial purposes.AnyAn individual or 15.36 associationviolating the provisions ofwho violates thisclause16.1may beparagraph is subject to a civil penalty of up to $1,000. 16.2 An individual who knowingly violates this subdivision is guilty 16.3 of a misdemeanor;. 16.4 (f) Notwithstandingthe provisions ofsection 138.163, the 16.5 board shall preserve reports and statements for a period of five 16.6 years from the date of receipt;. 16.7 (g) The board shall compile and maintain a current list and 16.8 summary of all statements or parts of statements pertaining to 16.9 each candidate; and. 16.10 (h) The board shall prepare and publish reportsasitmay16.11deemconsiders appropriate. 16.12 Subd. 9. [DOCUMENTS; INFORMATION.] The executive 16.13 directorof the board or the director's staffshall inspect all 16.14 material filed with the board as promptly asisnecessary to 16.15 comply withthe provisions ofthis chapter,and other provisions 16.16 of law requiring the filing of a document with the board. The 16.17 executive director shall immediately notify the individual 16.18 required to file a document with the board if a written 16.19 complaint is filed with the board by any registered voter 16.20 alleging, or it otherwise appears, that a document filed with 16.21 the board is inaccurate or does not comply withthe provisions16.22ofthis chapter, or that the individual has failed to file a 16.23 document required by this chapter. The executive directorand16.24staffmay provide an individual required to file a document 16.25 under this chapter with factual information concerning the 16.26 limitations on corporate campaign contributions imposed by 16.27 section 211B.15. 16.28 Subd. 10. [INVESTIGATIONS.] The board may make audits and 16.29 investigations with respect to statements and reportswhichthat 16.30 are filed orwhichthat should have been filed underthe16.31provisions ofthis chapter. In all matters relating to its 16.32 official duties, the boardshall havehas the power to issue 16.33 subpoenas and cause them to be served. If a person does not 16.34 comply with a subpoena, the board may apply to the district 16.35 court of Ramsey county for issuance of an order compelling 16.36 obedience to the subpoena. A person failing to obey the order 17.1 is punishable by the court as for contempt. 17.2 Subd. 11. [COMPLAINTS.] (a) The board may investigate any 17.3 alleged violation of this chapter. The board shall investigate 17.4 any violationwhichthat is alleged in a written complaint filed 17.5 with the board and, except for alleged violations of section17.610A.25 or 10A.27,shall within 30 days after the filing of the 17.7 complaint make a public finding of whetheror notthere is 17.8 probable cause to believe a violation has occurred. In the case17.9of a written, except that if the complaintallegingalleges a 17.10 violation of section 10A.25 or 10A.27, the board shall either 17.11 enter a conciliation agreement or make a public finding of 17.12 whetheror notthere is probable cause, within 60 daysofafter 17.13 the filing of the complaint. The deadline for action onanya 17.14 written complaint may be extended by majority vote of the board. 17.15 (b) Within a reasonable time after beginning an 17.16 investigation of an individual or association, the board shall 17.17 notifythatthe individual or association of the fact of the 17.18 investigation. The board shall not makenoa finding of whether 17.19or notthere is probable cause to believe a violation has 17.20 occurred without notifying the individual or association of the 17.21 nature of the allegations and affording an opportunity to answer 17.22 those allegations. 17.23Any(c) A hearing or action of the board concerninganya 17.24 complaint or investigation other than a finding concerning 17.25 probable cause or a conciliation agreementshall beis 17.26 confidential. Until the board makes a public finding concerning 17.27 probable cause or enters a conciliation agreement: 17.28(a) No(1) a member, employee, or agent of the board shall 17.29 not disclose toanyan individualanyinformation obtained by 17.30 that member, employee, or agent concerninganya complaint or 17.31 investigation except as required to carry out the investigation 17.32 or take action in the matter as authorized by this chapter; and 17.33(b) Any(2) an individual who discloses information 17.34 contrary tothe provisions ofthis subdivisionshall beis 17.35 guilty of a misdemeanor. 17.36 (d) Except as provided in section 10A.28, after the board 18.1 makes a public finding of probable cause the board shall report 18.2 that finding to the appropriate law enforcement authorities. 18.3 Subd. 11a. [DISPOSITION OF RECORDS.] If, after making a 18.4 public finding concerning probable cause or entering a 18.5 conciliation agreement, the board determines that the record of 18.6 the investigation contains statements, documents, or other 18.7 matterwhichthat, if disclosed, would unfairly injure the 18.8 reputation of an innocent individual, the board may: 18.9(a)(1) retainany suchthe statement, document, or other 18.10 matter as a private record, as"private" isdefined in section 18.11 13.02, subdivision 12, for a period of one year, after which 18.12 itshallmust be destroyed; or 18.13(b)(2) returnany suchthe statement, document, or other 18.14 matter to the individual who supplied it to the board. 18.15 Subd. 12. [ADVISORY OPINIONS.] (a) The board may issue and 18.16 publish advisory opinions on the requirements of this chapter 18.17 based upon real or hypothetical situations. An application for 18.18 an advisory opinion may be made only by an individual or 18.19 association who wishes to use the opinion to guide the 18.20 individual's or the association's own conduct. The board shall 18.21 issue written opinions on all such questions submitted to it 18.22 within 30 days after receipt of written application, unless a 18.23 majority of the board agrees to extend the time limit. 18.24 (b) A written advisory opinion issued by the board is 18.25 binding on the board inanya subsequent board proceeding 18.26 concerning the person making or covered by the request and is a 18.27 defense in a judicial proceeding that involves the subject 18.28 matter of the opinion and is brought against the person making 18.29 or covered by the request unless: 18.30 (1) the board has amended or revoked the opinion before the 18.31 initiation of the board or judicial proceeding, has notified the 18.32 person making or covered by the request of its action, and has 18.33 allowed at least 30 days for the person to do anything that 18.34 might be necessary to comply with the amended or revoked 18.35 opinion; 18.36 (2) the request has omitted or misstated material facts; or 19.1 (3) the person making or covered by the request has not 19.2 acted in good faith in reliance on the opinion. 19.3 (c) A request for an opinion and the opinion itself are 19.4 nonpublic data. The board, however, may publish an opinion or a 19.5 summary of an opinion, but may not include in the publication 19.6 the name of the requester, the name of a person covered by a 19.7 request from an agency or political subdivision, or any other 19.8 information that might identify the requester, unless the person 19.9 consents to the inclusion. 19.10 Subd. 12a. [RULES.] If the board intends to apply 19.11 principles of law or policy announced in an advisory opinion 19.12 issued under subdivision 12 more broadly than to the individual 19.13 or association to whom the opinion was issued, the board must 19.14 adopt these principles or policies as rules under chapter 14. 19.15 Subd. 13. [RULES.]The provisions ofChapter 14 19.16applyapplies to the board. The board may adopt rules to carry 19.17 out the purposes of this chapter. 19.18 Subd. 14. [LEGAL SERVICES.] Notwithstandingthe provisions19.19ofsection 8.15, the board must not be assessed the cost of 19.20 legal services rendered to it by the attorney general's office. 19.21 Sec. 3. Minnesota Statutes 1996, section 10A.03, is 19.22 amended to read: 19.23 10A.03 [LOBBYIST REGISTRATION.] 19.24 Subdivision 1. [FIRST REGISTRATION.]EachA lobbyist shall 19.25 file a registration form with the board within five days after 19.26 becoming a lobbyist. 19.27 Subd. 2. [FORM.] The board shall prescribe a registration 19.28 formshall be prescribed by the board and shall, which must 19.29 include: 19.30(a)(1) the name and address of the lobbyist,; 19.31(b)(2) the principal place of business of the lobbyist,; 19.32(c)(3) the name and address of each person, if any, by 19.33 whom the lobbyist is retained or employed or on whose behalf the 19.34 lobbyist appears,; and 19.35(d)(4) a general description of the subject or subjects on 19.36 which the lobbyist expects to lobby. 20.1 If the lobbyist lobbies on behalf of an association, the 20.2 registration formshallmust include the name and address of the 20.3 officers and directors of the association. 20.4 Subd. 3. [FAILURE TO FILE.] The board shall notify by 20.5 certified mail or personal service any lobbyist who fails to 20.6 file a registration form within five days after becoming a 20.7 lobbyist. If a lobbyist fails to file a form within seven days 20.8 after receiving this notice, the board may impose a late filing 20.9 feeatof $5 per day, not to exceed $100, commencing with the 20.10 eighth day after receiving notice. The board shall further 20.11 notify by certified mail or personal service any lobbyist who 20.12 fails to file a form within 21 days of receiving a first notice 20.13 that the lobbyist may be subject to a criminal penalty for 20.14 failure to file the form. A lobbyist who knowingly fails to 20.15 file a form within seven days after receiving a second notice 20.16 from the board is guilty of a misdemeanor. 20.17 Sec. 4. Minnesota Statutes 1996, section 10A.04, is 20.18 amended to read: 20.19 10A.04 [LOBBYIST REPORTS.] 20.20 Subdivision 1. [CONTINUING REPORTS.]EachA lobbyist shall 20.21 file reports of the lobbyist's activities with the board as long 20.22 as the lobbyist continues to lobby. A lobbyist may file a 20.23 termination statement at any time after ceasing to lobby. 20.24 Subd. 2. [DUE DATES.] Each reportshallmust cover the 20.25 time from the last day of the period covered by the last report 20.26 to 15 daysprior tobefore the current filing date. The reports 20.27shallmust be filed with the board by the following dates: 20.28(a)(1) January 15; 20.29(b)(2) April 15; and 20.30(c)(3) July 15. 20.31 Subd. 3. [INFORMATION FROM PRINCIPAL.]Each person or20.32associationA principal about whose activities a lobbyist is 20.33 required to report shall provide the information required by 20.34 sections 10A.03 to 10A.05 to the lobbyist no later than five 20.35 days before the prescribed filing date. 20.36 Subd. 4. [CONTENT.] (a)TheA reportshallunder this 21.1 section must includesuchinformationasthe boardmay require21.2 requires from the registration form and the information required 21.3 by this subdivision for the reporting period. 21.4 (b)EachA lobbyist shall report the lobbyist's total 21.5 disbursements on lobbying, separately listing lobbying to 21.6 influence legislative action, lobbying to influence 21.7 administrative action, and lobbying to influence the official 21.8 actions of a metropolitan governmental unit, and a breakdown of 21.9 disbursements for each of those kinds of lobbying into 21.10 categories specified by the board, including but not limited to 21.11 the cost of publication and distribution of each publication 21.12 used in lobbying; other printing; media, including the cost of 21.13 production; postage; travel; fees, including allowances; 21.14 entertainment; telephone and telegraph; and other expenses. 21.15 (c)EachA lobbyist shall report the amount and nature of 21.16 each honorarium, gift, loan, item, or benefit, excluding 21.17 contributions to a candidate, equal in value to $5 or more, 21.18 given or paid to anypublic or localofficial, as defined in 21.19 section 10A.071, subdivision 1, by the lobbyist oranyan 21.20 employer oranyemployee of the lobbyist. The listshallmust 21.21 include the name and address of eachpublic or localofficial to 21.22 whom the honorarium, gift, loan, item, or benefit was given or 21.23 paid and the date it was given or paid. A lobbyist need report 21.24 only the aggregate amount and nature of food or beverages given 21.25 or made available to all members of the legislature or a house 21.26 of the legislature or to all members of a local legislative 21.27 body, along with the name of the legislative body and the date 21.28 it was given or made available. 21.29 (d) Each lobbyist shall report each original source of 21.30fundsmoney in excess of $500 in any year used for the purpose 21.31 of lobbying to influence legislative action,each such source of21.32funds used to influenceadministrative action,and each such21.33source of funds used to influenceor the official action of a 21.34 metropolitan governmentalunitsunit. The listshallmust 21.35 include the name, address, and employer, or, if self-employed, 21.36 the occupation and principal place of business, of each payer of 22.1fundsmoney in excess of $500. 22.2 Subd. 4a. [STATEMENT IN LIEU OF REPORT.] If in any 22.3 reporting period the lobbyist's reportable disbursements total 22.4not over$100 or less and no honorarium, gift, loan, item, or 22.5 benefit equal in value to $50 or more was given or paid toany22.6publican official, a statement to that effect in lieu of the 22.7 report may be filed for that period. The unreported 22.8 disbursementsshallmust be included in the report for the 22.9 following period, unless the total for that period, including 22.10 the carryover, is not over $100. The January 15 reportshall22.11 must include all previously unreported disbursements, even 22.12 though the total for the year is not over $100. 22.13 Subd. 5. [FAILURE TO FILE.] The board shall notify by 22.14 certified mail or personal service any lobbyist who fails after 22.15 seven days after a filing date imposed by this section to file a 22.16 report or statement required by this section. If a lobbyist 22.17 fails to file a report within seven days after receiving this 22.18 notice, the board may impose a late filing fee of $5 per day, 22.19 not to exceed $100, commencing with the eighth day after 22.20 receiving notice. The board shall further notify by certified 22.21 mail or personal service any lobbyist who fails to file a report 22.22 within 21 days after receiving a first notice that the lobbyist 22.23 may be subject to a criminal penalty for failure to file the 22.24 report. A lobbyist who knowingly fails to file such a report or 22.25 statement within seven days after receiving a second notice from 22.26 the board is guilty of a misdemeanor. 22.27 Subd. 6. [LOBBYIST AND PRINCIPAL REPORTS.] (a)EachA 22.28 principal shall report to the board as required in this 22.29 subdivision by March 15 for the preceding calendar year. 22.30 (b)EachA principal shall report which of the following 22.31 categories includes the total amount, rounded to the nearest 22.32 dollar, spent by the principal during the preceding calendar 22.33 year to influence legislative action, administrative action, and 22.34 the official action of metropolitan governmental units: 22.35 (1) $501 to $50,000; 22.36 (2) $50,001 to $150,000; or 23.1 (3) $150,001 to $250,000. 23.2 (c) Beyond $250,000, each additional $250,000 constitutes 23.3 an additional category, and each principal shall report which of 23.4 the categories includes the total amount spent by the principal 23.5 for the purposes provided in this subdivision. 23.6 (d) The principal shall report under this subdivision a 23.7 total amount that includes: 23.8 (1) all direct payments by the principal to lobbyists in 23.9Minnesotathis state; 23.10 (2) all expenditures for advertising, mailing, research, 23.11 analysis, compilation and dissemination of information, and 23.12 public relations campaigns related to legislative action, 23.13 administrative action, or the official action of metropolitan 23.14 governmental units inMinnesotathis state; and 23.15 (3) all salaries and administrative expenses attributable 23.16 to activities of the principal relating to efforts to influence 23.17 legislative action, administrative action, or the official 23.18 action of metropolitan governmental units inMinnesotathis 23.19 state. 23.20 Subd. 7. [FINANCIAL RECORDS.] The board may randomly audit 23.21 the financial records of lobbyists and principals required to 23.22 report under this section. 23.23Subd. 8. [REPORTS BY SOLICITORS.] A lobbyist who directly23.24solicits and causes others to make aggregate contributions to23.25candidates or a caucus of the members of a political party in a23.26house of the legislature in excess of $5,000 between January 123.27of the election year and 25 days before the primary or general23.28election must file the information in the report required by23.29section 10A.20, subdivision 14, ten days before the primary or23.30general election. This disclosure requirement is in addition to23.31the report required by section 10A.20, subdivision 14.23.32 Sec. 5. Minnesota Statutes 1996, section 10A.05, is 23.33 amended to read: 23.34 10A.05 [LOBBYIST REPORT.] 23.35 Within 30 days after each lobbyist filing date set by 23.36 section 10A.04, the executive director of the board shallreport24.1to the governor, and the presiding officer of each house of the24.2legislature,publish the names of the lobbyists registered who 24.3 were not previously reported, the names of thepersons or24.4associationsprincipals whom they represent as lobbyists, the 24.5 subject or subjects on which they are lobbying, and whether in 24.6 each case they lobby to influence legislativeoraction, 24.7 administrative actionor both. At the same times, the executive24.8director of the board shall report to the governing body of each24.9metropolitan governmental unit, the names of the registered24.10lobbyists who attempt to influence the official action of24.11metropolitan governmental units, the names of the persons or24.12associations whom they represent as lobbyists, and the subject24.13or subjects on which they are lobbying, or the official action 24.14 of a metropolitan governmental unit. 24.15 Sec. 6. Minnesota Statutes 1996, section 10A.065, 24.16 subdivision 1, is amended to read: 24.17 Subdivision 1. [REGISTERED LOBBYIST CONTRIBUTIONS; 24.18 LEGISLATIVE SESSION.] A candidate for the legislature or for 24.19 constitutional office, a candidate's principal campaign 24.20 committee,any other political committee with the candidate's24.21name or title, any committee authorized by the candidate,or a 24.22 political committee established by all or a part of the party 24.23 organization within a house of the legislature, shall not 24.24 solicit or accept a contribution on behalf of a candidate's 24.25 principal campaign committee,any other political committee with24.26the candidate's name or title, any committee authorized by the24.27candidate,or a political committee established by all or a part 24.28 of the party organization within a house of the legislature, 24.29 from a registered lobbyist, political committee, or political 24.30 fund during a regular session of the legislature. 24.31 Sec. 7. Minnesota Statutes 1996, section 10A.065, 24.32 subdivision 3, is amended to read: 24.33 Subd. 3. [CIVIL PENALTY.] A candidate or political 24.34 committee that violates this section is subject to a civil fine 24.35 of up to $500. If the board makes a public finding that there 24.36 is probable cause to believe a violation of this section has 25.1 occurred, the board shall bring an action, or transmit the 25.2 finding to a county attorney who shall bring an action, in the 25.3 district court of Ramsey county, toimposecollect a civil fine 25.4 asprescribedimposed by the board. Fines paid under this 25.5 section must be deposited in the general fund in the state 25.6 treasury. 25.7 Sec. 8. Minnesota Statutes 1996, section 10A.08, is 25.8 amended to read: 25.9 10A.08 [REPRESENTATION DISCLOSURE.] 25.10AnyA public official who represents a client for a fee 25.11 beforeanyan individual, board, commission, or agency that has 25.12 rule making authority in a hearing conducted under chapter 14, 25.13 shall disclose the official's participation in the action to the 25.14 board within 14 days after the appearance. The board shall 25.15 notify by certified mail or personal service any public official 25.16 who fails to disclose the participation within 14 days after the 25.17 appearance. If the public official fails to disclose the 25.18 participation within seven days of this notice, the board may 25.19 impose a late filing fee of $5 per day, not to exceed $100, 25.20 commencing on the eighth day after receiving notice. 25.21 Sec. 9. Minnesota Statutes 1996, section 10A.09, is 25.22 amended to read: 25.23 10A.09 [STATEMENTS OF ECONOMIC INTEREST.] 25.24 Subdivision 1. [TIME FOR FILING.] Except for a candidate 25.25 for elective office in the judicial branch, an individual shall 25.26 file a statement of economic interest with the board: 25.27 (1) within 60 days of accepting employment as a public 25.28 official or a local official in a metropolitan governmental 25.29 unit; 25.30 (2) within 14 days after filing an affidavit of candidacy 25.31 or petition to appear on the ballot for an electivepublicstate 25.32 office or an elective local office in a metropolitan 25.33 governmental unit; 25.34 (3) in the case of a public official requiring the advice 25.35 and consent of the senate, within 14 days after undertaking the 25.36 duties of office; or 26.1 (4) in the case of members of the Minnesota racing 26.2 commission, the director of the Minnesota racing commission, 26.3 chief of security, medical officer, inspector of pari-mutuels, 26.4 and stewards employed or approved by the commission or persons 26.5 who fulfill those duties under contract, within 60 days of 26.6 accepting or assuming duties. 26.7 Subd. 2. [NOTIFICATIONNOTICE TO BOARD.] The secretary of 26.8 state or the appropriate county auditor, upon receiving an 26.9 affidavit of candidacy or petition to appear on the ballot from 26.10 an individual required by this section to file a statement of 26.11 economic interest, and any official who nominates or employs a 26.12 public or local official required by this section to file a 26.13 statement of economic interest, shall notify the board of the 26.14 name of the individual required to file a statement and the date 26.15 of the affidavit, petition, or nomination. 26.16 Subd. 3. [NOTICE FROM BOARD.] The board shall notify the 26.17 secretary of state or the appropriate county auditor and, when 26.18 necessary in the case of appointive office, the presiding 26.19 officer of the house that will approve or disapprove the 26.20 nomination, of the name of the individual who has filed a 26.21 statement of economic interest with the board, a copy of the 26.22 statement, and the date on which the statement was filed. 26.23 Subd. 5. [FORM.] A statement of economic interest required 26.24 by this sectionshallmust be on a form prescribed by the 26.25 board. The individual filing shall provide the following 26.26 information: 26.27(a)(1) name, address, occupation, and principal place of 26.28 business; 26.29(b)(2) the name of each associated business and the nature 26.30 of that association; 26.31(c)(3) a listing of all real property within the state, 26.32 excluding homestead property, in which the individual holds: 26.33 (i) a fee simple interest, a mortgage, a contract for deed as 26.34 buyer or seller, or an option to buy, whether direct or 26.35 indirect,and whichif the interest is valued in excess of 26.36 $2,500; or (ii) an option to buy,whichif the property has a 27.1 fair market value of $50,000 or more; 27.2(d)(4) a listing of all real property within the state in 27.3 which a partnership of which the individual is a member holds: 27.4 (i) a fee simple interest, a mortgage, a contract for deed as 27.5 buyer or seller, or an option to buy, whether direct or 27.6 indirect, if the individual's share of the partnership interest 27.7 is valued in excess of $2,500; or (ii) an option to buy,which27.8 if the property has a fair market value of $50,000 or more.Any27.9 A listing under clause(c)(3) or(d) shall(4) must indicate 27.10 the street address and the municipality or the section, 27.11 township, range, and approximate acreage, whichever applies, and 27.12 the countywhereinin which the property is located; and 27.13(e)(5) a listing of any investments, ownership, or 27.14 interests in property connected with pari-mutuel horse racing in 27.15 the United States and Canada, including a race horse, in which 27.16 the individual directly or indirectly holds a partial or full 27.17 interest or an immediate family member holds a partial or full 27.18 interest. 27.19 Subd. 6. [SUPPLEMENTARY STATEMENT.] Each individual who is 27.20 required to file a statement of economic interest shall file a 27.21 supplementary statement on April 15 of each year that the 27.22 individual remains in office. The statementshallmust include 27.23 a space for each category of information in which the individual 27.24 may indicate that no change in information has occurred since 27.25 the previous statement. The supplementary statementshallmust 27.26 include the amount of each honorarium in excess of $50 received 27.27 since the previous statement, together withand the name and 27.28 address of the source of the honorarium. A statement of 27.29 economic interest submitted by an officeholdershallmust be 27.30 filed with the statement submitted as a candidate. 27.31 Subd. 6a. [LOCAL OFFICIALS.] A local official required to 27.32 file a statement under this section shall file it with the 27.33 governing body of the official's political subdivision. The 27.34 governing body shall maintain statements filed with it under 27.35 this subdivision as public data. 27.36 Subd. 7. [FAILURE TO FILE.] The board shall notify by 28.1 certified mail or personal service any individual who fails 28.2 within the prescribed time to file a statement of economic 28.3 interest required by this section. If an individual fails to 28.4 file a statement within seven days after receiving this notice, 28.5 the board may impose a late filing fee of $5 per day, not to 28.6 exceed $100, commencing on the eighth day after receiving 28.7 notice. The board shall further notify by certified mail or 28.8 personal service any individual who fails to file a statement 28.9 within 21 days after receiving a first notice that the 28.10 individual may be subject to a criminal penalty for failure to 28.11 file a statement. An individual who fails to file a statement 28.12 within seven days after a second notice is guilty of a 28.13 misdemeanor. 28.14 Subd. 8. [SUSPENSION.]AnyA public official, except a 28.15 member of the legislature or a constitutional officer, who is 28.16 required to file a statement of economic interest and fails to 28.17 do so by the prescribed deadlineshallmust be suspended without 28.18 pay by the board in the manner prescribed in the contested case 28.19 procedures in chapter 14. 28.20 Sec. 10. Minnesota Statutes 1996, section 10A.10, is 28.21 amended to read: 28.22 10A.10 [PENALTY FOR FALSE STATEMENTS.] 28.23 A report or statement required to be filed by sections 28.24 10A.02 to 10A.09shallmust be signed and certified as true by 28.25 the individual required to file the report.AnyAn individual 28.26 who signs and certifies to be true a report or statement knowing 28.27 it contains false information or who knowingly omits required 28.28 information is guilty of a gross misdemeanor. 28.29 Sec. 11. Minnesota Statutes 1996, section 10A.11, is 28.30 amended to read: 28.31 10A.11 [ORGANIZATION OF POLITICAL COMMITTEES.] 28.32 Subdivision 1. [OFFICERS.]EveryA political committee 28.33shallmust have a chair and a treasurer.Nothing in this28.34chapter shall prohibit them from beingThe chair and treasurer 28.35 may be the same individual. 28.36 Subd. 2. [TREASURER VACANCY.]No contribution shall be29.1accepted and no expenditure shall be made by or on behalf ofA 29.2 political committeeat a time when there is a vacancy inmay not 29.3 accept a contribution or make an expenditure or permit an 29.4 expenditure to be made on its behalf while the office of 29.5 treasurer is vacant. 29.6 Subd. 3. [DEPUTY TREASURERS.] The treasurer of a political 29.7 committee may appoint as many deputy treasurers as necessary and 29.8shall beis responsible for their accounts. 29.9 Subd. 4. [DEPOSITORIES.] The treasurer of a political 29.10 committee may designatenot more thanone or two depositories in 29.11 each county in which a campaign is conducted. 29.12 Subd. 5. [COMMINGLING PROHIBITED.]No funds ofA political 29.13 committeeshall be commingledmay not commingle its funds with 29.14anypersonal funds of officers, members, or associates of the 29.15 committee. 29.16 Subd. 7. [VIOLATIONS.]AnyA person who knowingly violates 29.17the provisions ofthis section is guilty of a misdemeanor. 29.18 Sec. 12. Minnesota Statutes 1996, section 10A.12, is 29.19 amended to read: 29.20 10A.12 [POLITICAL FUNDS.] 29.21 Subdivision 1. [WHEN REQUIRED.]NoAn association other 29.22 than a political committeeshall transfermay not contribute 29.23 more than $100 in aggregate in any one year to candidates or 29.24 political committees or make any approved or independent 29.25 expenditure or expenditure to promote or defeat a ballot 29.26 question unless thetransfercontribution or expenditure is made 29.27 from a political fund. 29.28 Subd. 2. [COMMINGLING PROHIBITED.] The contents of a 29.29 political fundshallmay not be commingled withanyother funds 29.30 or with the personal funds ofanyan officer or member of the 29.31 fund. 29.32 Subd. 3. [TREASURER.]EachAn associationwhichthat has a 29.33 political fundshallmust elect or appoint a treasurer of the 29.34 political fund. 29.35 Subd. 4. [TREASURER VACANCY.]No contributions to theA 29.36 political fundshall be accepted and no expendituresmay not 30.1 accept a contribution or make an expenditure ortransfers30.2 contribution from the political fundshall be madewhile the 30.3 office of treasurer of the political fund is vacant. 30.4 Subd. 5. [DUES; MEMBERSHIP FEES.]Notwithstanding30.5subdivision 1, anyAn association may, if not prohibited by 30.6 other law, deposit in its political fund money derived from dues 30.7 or membership fees.Pursuant toUnder section 10A.20, the 30.8 treasurer of the fund shall disclose the name of any member 30.9 whose dues, membership fees, and contributions deposited in the 30.10 political fund together exceed $100 inany onea year. 30.11 Subd. 6. [VIOLATIONS.]AnyA person who knowingly violates 30.12the provisions ofthis section is guilty of a misdemeanor. 30.13 Sec. 13. Minnesota Statutes 1996, section 10A.13, is 30.14 amended to read: 30.15 10A.13 [ACCOUNTSWHICHTHAT MUST BE KEPT.] 30.16 Subdivision 1. [ACCOUNTS; VIOLATIONS.] The treasurer of a 30.17 political committee or political fund shall keep an account of: 30.18(a)(1) the sum of all contributions, except any donation 30.19 in kind valued at $20 or less, made to the political committee 30.20 or political fund; 30.21(b)(2) the name and address of each source of a 30.22transfercontribution made to the political committee or 30.23 political fund in excess of $20, together with the date and 30.24 amount of each; 30.25(c) The name and address of each source of a donation in30.26kind valued in excess of $20, together with the date and amount;30.27(d)(3) each expenditure made by the committee or fund, 30.28 together with the date and amount; 30.29(e)(4) each approved expenditure made on behalf of the 30.30 committee or fund, together with the date and amount; and 30.31(f)(5) the name and address of each political committee or 30.32 political fund to whichtransferscontributions in excess of $20 30.33 have been made, together with the date and amount. 30.34 Any individual who knowingly violatesany provision ofthis 30.35 subdivision is guilty of a misdemeanor. 30.36 Subd. 2. [RECEIPTS.] The treasurer shall obtain a 31.1 receipted bill, stating the particulars, for every expenditure 31.2in excess ofover $100 made by, or approved expenditurein31.3excess ofover $100 made on behalf of, a political committee or 31.4 political fund, and for any expenditure or approved expenditure 31.5 in a lesser amount if the aggregate amount of lesser 31.6 expenditures and approved expenditures made to the same 31.7 individual or association duringanythe same year exceeds 31.8 $100. The treasurer shallpreserve allkeep receipted bills and 31.9 accounts required to be kept by this section for four years. 31.10 Sec. 14. Minnesota Statutes 1996, section 10A.14, is 31.11 amended to read: 31.12 10A.14 [REGISTRATION OF POLITICAL COMMITTEES AND POLITICAL 31.13 FUNDS.] 31.14 Subdivision 1. [FIRST REGISTRATION.] The treasurer of a 31.15 political committee or political fund shall register with the 31.16 board by filing a statement of organization no later than 14 31.17 days afterthe date upon whichthe committee or fund has made a 31.18 contribution, received contributions, or made expenditures in 31.19 excess of $100. 31.20 Subd. 2. [FORM.] The statement of organizationshallmust 31.21 include: 31.22(a)(1) the name and address of the political committee or 31.23 political fund; 31.24(b)(2) the name and address of any supporting association 31.25 of a political fund; 31.26(c)(3) the name and address of the chair, the treasurer, 31.27 and any deputy treasurers; 31.28(d)(4) a listing of all depositories or safety deposit 31.29 boxes used; 31.30(e)(5) a statementas towhether the committee is a 31.31 principal campaign committee as authorized by section 10A.19, 31.32 subdivision 1; and 31.33(f)(6) for political parties only, a list ofcategories of31.34substateits party unitsas defined in section 10A.27,31.35subdivision 4. 31.36 Subd. 4. [FAILURE TO FILE.] The board shall notify by 32.1 certified mail or personal service any individual who fails to 32.2 file a statement required by this section. If an individual 32.3 fails to file a statement within seven days after receiving a 32.4 notice, the board may impose a late filing fee of $5 per day, 32.5 not to exceed $100, commencing with the eighth day after 32.6 receiving notice. The board shall further notify by certified 32.7 mail or personal service any individual who fails to file a 32.8 statement within 21 days after receiving a first notice that 32.9 such individual may be subject to a criminal penalty for failure 32.10 to file the report. An individual who knowingly fails to file 32.11 the statement within seven days after receiving a second notice 32.12 from the board is guilty of a misdemeanor. 32.13 Sec. 15. Minnesota Statutes 1996, section 10A.15, is 32.14 amended to read: 32.15 10A.15 [CONTRIBUTIONS.] 32.16 Subdivision 1. [ANONYMOUS CONTRIBUTIONS.]No anonymous32.17contribution in excess of $20 shall be retained by anyA 32.18 political committee or political fund may not retain an 32.19 anonymous contribution in excess of $20, but shallbe forwarded32.20 forward it to the boardand depositedfor deposit in the general 32.21 account of the state elections campaign fund. 32.22 Subd. 2. [SOURCE; AMOUNT; DATE.]EveryAn individual who 32.23 receives a contribution in excess of $20 for a political 32.24 committee or political fund shall, on demand of the treasurer, 32.25 inform the treasurer of the name and, if known, the address of 32.26 the source of the contribution,together withthe amount of the 32.27 contribution, and the date it was received. 32.28 Subd. 3. [DEPOSIT.] Alltransferscontributions received 32.29 by or on behalf ofanya candidate, political committee, or 32.30 political fundshallmust be deposited in an account designated 32.31 "Campaign Fund of ..... (name of candidate, committee or 32.32 fund)." Alltransfers shallcontributions must be deposited 32.33 promptly upon receipt and, except fortransferscontributions 32.34 received during the last three days ofanya reporting period as 32.35 described in section 10A.20,shallmust be deposited during the 32.36 reporting period in which they were received.Any transferA 33.1 contribution received during the last three days of a reporting 33.2 periodshallmust be deposited within 72 hours of receipt 33.3 andshallmust be reported as received during the reporting 33.4 period whether or not deposited within that period.AnyA 33.5 depositedtransfercontribution may be returned to the 33.6 contributor within 60 days of deposit. Atransfercontribution 33.7 deposited and not returned within 60 days of that depositshall33.8be deemed for the purposes of this chapter, to bemust be 33.9 reported as accepted by the candidate, political committee, or 33.10 political fund. 33.11 Subd. 3a. [EXCESS.]NoA treasurer of a principal campaign 33.12 committee of a candidateshallmay not depositany transfer33.13whicha contribution that on its face exceeds the limit on 33.14 contributions tothatthe candidate prescribed by section 10A.27 33.15 unless, at the time of deposit, the treasurer issues a check to 33.16 the source for the amount of the excess. 33.17 Subd. 3b. [ATTRIBUTABLE CONTRIBUTIONS.] Contributions made 33.18 to a candidate or principal campaign committee that are directed 33.19 tothatthe candidate or principal campaign committee by a 33.20 political fund or committee must be reported as attributable to 33.21 the political fund or committee and count toward the 33.22 contribution limits of that fund or committee specified in 33.23 section 10A.27, if the political fund or committee was organized 33.24 or is operated primarily to direct contributions other than from 33.25 its ownfundsmoney to one or more candidates or principal 33.26 campaign committees. The treasurer of the political fund or 33.27 committee shall advise the candidate or the candidate's 33.28 principal campaign committee if the contribution or 33.29 contributions are not from thefundsmoney of the political fund 33.30 or the political committee and the original source of thefunds33.31 money. As used in this subdivision, the term "direct" includes, 33.32 but is not limited to, order, command, control, or instruct. A 33.33 violation of this subdivision is a violation of section 10A.29. 33.34 Subd. 3c. [RELATED COMMITTEES.] An individual, 33.35 association, political committee, or political fund may 33.36 establish, finance, maintain, or control a political committee 34.1 or political fund. One who does this is a "parent." The 34.2 political committee or fund so established, financed, 34.3 maintained, or controlled is a "subsidiary." If the parent is 34.4 an association, the association must create a political 34.5 committee or political fund to serve as the parent for reporting 34.6 purposes. A subsidiary must report its contribution to a 34.7 candidate or principal campaign committee as attributable to its 34.8 parent, and the contribution is counted toward the contribution 34.9 limits in section 10A.27 of the parent as well as of the 34.10 subsidiary. 34.11 Subd. 4. [VIOLATIONS.]AnyAn individual violatingthe34.12provisions ofthis section is guilty of a misdemeanor. 34.13 Subd. 5. [LOBBYIST, POLITICAL COMMITTEE, OR POLITICAL FUND 34.14 REGISTRATION NUMBER ON CHECKS.] A contribution made to a 34.15 candidate by a lobbyist, political committee, or political fund 34.16 must show the name of the lobbyist, political committee, or 34.17 political fund and the number under which it is registered with 34.18 the board. 34.19 Sec. 16. Minnesota Statutes 1996, section 10A.17, is 34.20 amended to read: 34.21 10A.17 [EXPENDITURES.] 34.22 Subdivision 1. [TREASURER MUST AUTHORIZE.]No expenditure34.23shall be made byA political committee, political fund, or 34.24 principal campaign committee may not expend money unlessitthe 34.25 expenditure is authorized by the treasurer or deputy treasurer 34.26 of that committee or fund. 34.27 Subd. 2. [WRITTEN AUTHORIZATION.]NoAn individual or 34.28 association may not make an approved expenditure of more than 34.29 $20 without receiving written authorizationas to the amount34.30that may be spent and the purpose of the expenditurefrom the 34.31 treasurer of the principal campaign committee of the candidate 34.32 who approved the expenditure stating the amount that may be 34.33 spent and the purpose of the expenditure. 34.34 Subd. 3. [PETTY CASH.] The treasurer or deputy treasurer 34.35 of a political committee may sign vouchers for petty cash ofnot34.36more thanup to $100 per week for statewide elections or $20 per 35.1 week for legislative elections, to be used for miscellaneous 35.2 expenditures. 35.3 Subd. 4. [INDEPENDENT EXPENDITURES.]AnyAn individual, 35.4 political committee, or political fund who independently 35.5 solicits or accepts contributions or makes independent 35.6 expenditures on behalf ofanya candidate shall publicly 35.7 disclose that the expenditure is an independent expenditure. 35.8 All written communications with those from whom contributions 35.9 are independently solicited or accepted or to whom independent 35.10 expenditures are made on behalf of a candidate,shallmust 35.11 contain a statement in conspicuous type that the activity is an 35.12 independent expenditure and is not approved by the candidate nor 35.13 is the candidate responsible for it. Similar languageshall35.14 must be included in all oral communications, in conspicuous type 35.15 on the front page of all literature and advertisements published 35.16 or posted, and at the end of all broadcast advertisements made 35.17 by that individual, political committee, or political fund on 35.18 the candidate's behalf. 35.19 Subd. 5. [VIOLATIONS.]AnyA person who knowingly violates 35.20the provisions ofsubdivision 2 is guilty of a misdemeanor. A 35.21 person who knowingly violatesthe provisions ofsubdivision 4 or 35.22 falsely claims that an expenditure was an independent 35.23 expenditure is guilty of a gross misdemeanor. 35.24 Sec. 17. Minnesota Statutes 1996, section 10A.18, is 35.25 amended to read: 35.26 10A.18 [TIME FOR RENDERING BILLSWHEN RENDERED AND PAID, 35.27 CHARGES, OR CLAIMS; PENALTY.] 35.28EveryA person who has a bill, charge, or claim againstany35.29 a political committee or political fund foranyan expenditure 35.30 shall render in writing to the treasurer of the committee or 35.31 fund the bill, charge, or claim within 60 days after the 35.32 material or service is provided.Failure to so present the35.33bill, charge or claimViolation of this section is a misdemeanor. 35.34 Sec. 18. Minnesota Statutes 1996, section 10A.19, is 35.35 amended to read: 35.36 10A.19 [PRINCIPAL CAMPAIGN COMMITTEE.] 36.1 Subdivision 1. [PRINCIPAL COMMITTEE REQUIRED.]NoA 36.2 candidate shall not accept contributions fromanya source, 36.3 other than self, in aggregate in excess of $100 or accept a 36.4 public subsidy unless the candidate designates and causes to be 36.5 formed a single principal campaign committee for each office 36.6 sought. A candidate may not authorize, designate, or cause to 36.7 be formed any other political committee bearing the candidate's 36.8 name or title or otherwise operating under the direct or 36.9 indirect control of the candidate. However, a candidate may be 36.10 involved in the direct or indirect control of a party unitas36.11defined in section 10A.275, subdivision 3. 36.12A political committee bearing a candidate's name or title36.13or otherwise operating under the direct or indirect control of36.14the candidate, other than a principal campaign committee of the36.15candidate, may not accept contributions after May 21, 1993, and36.16must be dissolved by December 31, 1993.36.17 Subd. 2. [CANDIDATE TO CONTROLREMOVAL OF OFFICERS.] A 36.18 candidate may at any time without cause remove and replace the 36.19 chair, treasurer, deputy treasurer, or any other officer of the 36.20 candidate's principal campaign committee. 36.21 Sec. 19. Minnesota Statutes 1996, section 10A.20, is 36.22 amended to read: 36.23 10A.20 [CAMPAIGN REPORTS.] 36.24 Subdivision 1. [COMMENCEMENT OF REPORTING.] The treasurer 36.25 ofeverya political committeeandor political fund shall begin 36.26 to file the reports required by this section in the first year 36.27 it receives contributions or makes expenditures in excess of 36.28 $100 and shall continue to file until the committee or fund is 36.29 terminated. 36.30 Subd. 2. [DUE DATES.] (a) The reportsshallmust be filed 36.31 with the board on or before January 31 of each year and 36.32 additional reportsshallmust be filed as required and in 36.33 accordance withclauses (a)paragraphs (b) and(b)(c). 36.34(a)(b) In each year in which the name of the candidate is 36.35 on the ballot, the report of the principal campaign committee 36.36shallmust be filed ten days before a primary and a general 37.1 election, seven days before a special primary and a special 37.2 election, and ten days after a special election cycle. The 37.3 report due after a special election may be filed on January 31 37.4 following the special election if the special election is 37.5 heldnot more than 60 days before that datein December or 37.6 January. 37.7(b)(c) In each general election year, a political 37.8committees andcommittee or politicalfundsfund other than a 37.9 principal campaigncommitteescommittee shall file reports ten 37.10 days before a primary and general election. 37.11 (d) If a scheduled filing date falls on a Saturday, Sunday, 37.12 or legal holiday, the filing dateshall beis the next regular 37.13 business day. 37.14 Subd. 3. [CONTENTS OF REPORT.]Each(a) The reportunder37.15this section shallmust disclose:37.16(a)the amount of liquid assets on hand at the beginning of 37.17 the reporting period;. 37.18 (b) The report must disclose the name, address, and 37.19 employer, or occupation if self-employed, of each individual, 37.20 political committee, or political fund whowithin the yearhas 37.21 made one or moretransfers or donations in kindcontributions to 37.22 the political committee or political fund, including the 37.23 purchase of tickets foralla fundraising 37.24effortseffort,whichthat in aggregate within the year exceed 37.25 $100 for legislative or statewide candidates or ballot 37.26 questions, together with the amount and date of eachtransfer or37.27donation in kindcontribution, and the aggregate amount 37.28 oftransfers and donations in kindcontributions within the year 37.29 from each source so disclosed. A donation in kindshallmust be 37.30 disclosed at its fair market value. An approved expenditureis37.31 must be listed as a donation in kind. A donation in kind is 37.32 considered consumed in the reporting period in which it is 37.33 received. The names of contributorsshallmust be listed in 37.34 alphabetical order;. 37.35 (c) The report must disclose the sum of contributions to 37.36 the political committee or political fund during the reporting 38.1 period;. 38.2 (d) The report must disclose each loan made or received by 38.3 the political committee or political fund within the year in 38.4 aggregate in excess of $100, continuously reported until repaid 38.5 or forgiven, together with the name, address, occupation, and 38.6theprincipal place of business, if any, of the lender and any 38.7 endorser and the date and amount of the loan. Ifanya loan 38.8 made to the principal campaign committee of a candidate is 38.9 forgivenat any timeor is repaid byanyan entity other than 38.10 that principal campaign committee, itshallmust be reported as 38.11 a contribution for the year in which the loan was made;. 38.12 (e) The report must disclose each receiptin excess of38.13 over $100 during the reporting period not otherwise listed under 38.14clausesparagraphs (b) to (d);. 38.15 (f) The report must disclose the sum of all receipts of the 38.16 political committee or political fund during the reporting 38.17 period;. 38.18 (g) The report must disclose the name and address of each 38.19 individual or association to whom aggregate expenditures, 38.20 including approved expenditures, have been made by or on behalf 38.21 of the political committee or political fund within the year in 38.22 excess of $100, together with the amount, date, and purpose of 38.23 each expenditure and the name and address of, and office sought 38.24 by, each candidate on whose behalf the expenditure was made, 38.25 identification of the ballot questionwhichthat the expenditure 38.26iswas intended to promote or defeat, and in the case of 38.27 independent expenditures made in opposition to a candidate, 38.28 the candidate's name, address, and office soughtfor each such38.29candidate;. 38.30 (h) The report must disclose the sum of all expenditures 38.31 made by or on behalf of the political committee or political 38.32 fund during the reporting period;. 38.33 (i) The report must disclose the amount and nature ofany38.34 an advance of credit incurred by the political committee or 38.35 political fund, continuously reported until paid or forgiven. 38.36 Ifanyan advance of credit incurred by the principal campaign 39.1 committee of a candidate is forgivenat any timeby the creditor 39.2 or paid byanyan entity other than that principal campaign 39.3 committee, itshallmust be reported as a donation in kind for 39.4 the year in which the advance of credit wasincurred;made. 39.5 (j) The report must disclose the name and address of each 39.6 political committee, political fund, or principal campaign 39.7 committee to whichaggregate transferscontributions have been 39.8 made that aggregate in excess of $100have been madewithin the 39.9 year, together withand the amount and date of eachtransfer;39.10 contribution. 39.11 (k) The report must disclose the sum of all 39.12transferscontributions made by the political committee, 39.13 political fund, or principal campaign committee during the 39.14 reporting period;. 39.15 (l)Except for contributions to a candidate or committee39.16for a candidate for office in a municipality as defined in39.17section 471.345, subdivision 1,The report must disclose the 39.18 name and address of each individual or association to 39.19 whomaggregatenoncampaign disbursements have been made that 39.20 aggregate in excess of $100have been madewithin the year by or 39.21 on behalf of a principal campaign committee, political 39.22 committee, or political fund, together withand the amount, 39.23 date, and purpose of each noncampaign disbursement;. 39.24 (m) The report must disclose the sum of all noncampaign 39.25 disbursements made within the year by or on behalf of a 39.26 principal campaign committee, political committee, or political 39.27 fund;. 39.28 (n) The report must disclose the name and address of a 39.29 nonprofit corporation that provides administrative assistance to 39.30 a political committee or political fund as authorized by section 39.31 211B.15, subdivision 17,together withthe type of 39.32 administrative assistance provided, and the aggregate fair 39.33 market value of each type of assistance provided to the 39.34 political committee or political fund during the reporting 39.35 period; and. 39.36(o) A report filed under subdivision 2, clause (b), by a40.1political committee or political fund that is subject to40.2subdivision 14, must contain the information required by40.3subdivision 14, if the political committee or political fund has40.4solicited and caused others to make aggregate contributions40.5greater than $5,000 between January 1 of the general election40.6year and the end of the reporting period. This disclosure40.7requirement is in addition to the report required by subdivision40.814.40.9 Subd. 3a. [LEGISLATIVE DISTRICT.]The reportsEach report 40.10 of a principal campaign committee of a legislative candidate 40.11 required by this sectionshallmust list in a prominent place on 40.12 the first pageof every reporteach county in which the 40.13 legislative district lies. 40.14 Subd. 4. [COVERAGE.] A reportshallmust cover the period 40.15 from the last day covered by the previous report to seven 40.16 daysprior tobefore the filing date, except that the report due 40.17 on January 31shallmust cover the period from the last day 40.18 covered by the previous report to December 31. 40.19 Subd. 5. [PREELECTION REPORTS.] Inanya statewide 40.20 election any loan, contribution, or contributions from any one 40.21 source totaling $2,000 or more, or in any judicial district or 40.22 legislative election totaling more than $400, received between 40.23 the last day covered in the last reportprior tobefore an 40.24 election and the electionshallmust be reported to the board in 40.25 one of the following ways: 40.26 (1) in person within 48 hours after its receipt; 40.27 (2) by telegram or mailgram within 48 hours after its 40.28 receipt; or 40.29 (3) by certified mail sent within 48 hours after its 40.30 receipt. 40.31 These loans and contributions must also be reported in the 40.32 next required report. 40.33 The 48-hour notice requirement does not apply with respect 40.34 to a primaryifin which the statewide or legislative candidate 40.35 is unopposedin that primary. 40.36 Subd. 6. [REPORTS BY INDIVIDUALS.]EveryA candidate who 41.1 does not designate and cause to be formed a principal campaign 41.2 committee,andanyan individual who makes independent 41.3 expenditures or expenditures expressly advocating the approval 41.4 or defeat of a ballot question in aggregate in excess of $100 in 41.5anya year,shall file with the board a report containing the 41.6 information required by subdivision 3. Reports required by this 41.7 subdivisionshallmust be filed on the dates on which reports by 41.8 committees and funds are filed. 41.9 Subd. 6a. [INDEPENDENT EXPENDITURES.]AnyAn individual, 41.10 political committee, or political fund filing a report or 41.11 statement disclosinganyan independent expenditurepursuant to41.12 under subdivision 3 or 6 shall file withthatthe report a sworn 41.13 statement that the disclosed expendituresso disclosedwere not 41.14 made with the authorization or expressed or implied consent of, 41.15 or in cooperation or in concert with, or at the request or 41.16 suggestion of any candidate,or any candidate's principal 41.17 campaign committee or agent. 41.18Subd. 6b. [INDEPENDENT EXPENDITURES; NOTICE.] (a) Within41.1924 hours after an individual, political committee, or political41.20fund makes or becomes obligated by oral or written agreement to41.21make an independent expenditure in excess of $100, other than an41.22expenditure by an association targeted to inform solely its own41.23dues-paying members of the association's position on a41.24candidate, the individual, political committee, or political41.25fund shall file with the board an affidavit notifying the board41.26of the intent to make the independent expenditure and serve a41.27copy of the affidavit on each candidate in the affected race and41.28on the treasurer of the candidate's principal campaign41.29committee. The affidavit must contain the information with41.30respect to the expenditure that is required to be reported under41.31subdivision 3, paragraph (g); except that if an expenditure is41.32reported before it is made, the notice must include a reasonable41.33estimate of the anticipated amount. Each new expenditure41.34requires a new notice.41.35(b) An individual or the treasurer of a political committee41.36or political fund who fails to give notice as required by this42.1subdivision, or who files a false affidavit of notice, is guilty42.2of a gross misdemeanor and is subject to a civil fine of up to42.3four times the amount of the independent expenditure stated in42.4the notice or of which notice was required, whichever is greater.42.5 Subd. 7. [STATEMENT IN LIEU OF REPORT.] If no contribution 42.6 is received or expenditure made by or on behalf of a candidate, 42.7 political fund, or political committee during a reporting 42.8 period, the treasurer of the committee or fund shall file with 42.9 the board at the time required by this section a statement to 42.10 that effect. 42.11 Subd. 8. [EXEMPTIONS AUTHORIZED.] The board shall exempt 42.12anya member of or contributor toanyan association, political 42.13 committee, or political fund, or any other individual, from the 42.14provisionsrequirements of this section if the member, 42.15 contributor, or other individual demonstrates by clear and 42.16 convincing evidence that disclosure would expose the member or 42.17 contributor to economic reprisals, loss of employment, or threat 42.18 of physical coercion. 42.19 An association, political committee, or political fund may 42.20 seek an exemption for all of its members or contributors if it 42.21 demonstrates by clear and convincing evidence that a substantial 42.22 number of its members or contributors would suffer a restrictive 42.23 effect on their freedom of association if members were required 42.24 to seek exemptions individually. 42.25 Subd. 10. [APPLICATION FOR EXEMPTION.]AnyAn individual, 42.26 association, political committee, or political fund seeking an 42.27 exemptionpursuant tounder subdivision 8 shall submit a written 42.28 application for exemption to the board. The board, without 42.29 hearing, shall grant or deny the exemption within 30 days after 42.30 receivinganthe application,and shall issue a written order 42.31 stating the reasons for its action. The board shall publish its 42.32 order in the State Register and give notice to all parties known 42.33 to the board to have an interest in the matter. If the board 42.34 receives a written objection to its action from any party within 42.35 20 days after publication of its order and notification of 42.36 interested parties, the board shall hold a contested case 43.1 hearing on the matter. Upon the filing of a timely objection 43.2 from the applicant, an order denying an exemptionshall beis 43.3 suspended pending the outcome of the contested case. If no 43.4 timely objection is received, the exemptionshall continue to be43.5 continues in effect until a written objection is filed with the 43.6 board in a succeeding election year. The board by rule shall 43.7 establish a procedure so thatanyan individual seeking an 43.8 exemption may proceed anonymously if the individual would be 43.9 exposed to the reprisals listed in subdivision 8 if the 43.10 individual's identity were to be revealed for the purposes of a 43.11 hearing. 43.12 Subd. 11. [REPRISAL PROHIBITED; VIOLATIONS.]NoA person 43.13 or association shall not engage in economic reprisals or 43.14 threaten loss of employment or physical coercion againstanya 43.15 person or association because of that person's or association's 43.16 political contributions or political activity. This subdivision 43.17shalldoes not apply to compensation for employment or loss of 43.18 employmentwhenif the political affiliation or viewpoint of the 43.19 employee is a bona fide occupational qualification of the 43.20 employment.AnyA person or associationwhichthat violates 43.21 this subdivision is guilty of a gross misdemeanor. 43.22 Subd. 12. [FAILURE TO FILE.] The board shall notify by 43.23 certified mail or personal service any individual who fails to 43.24 file a statement required by this section. If an individual 43.25 fails to file a statement due January 31 within seven days after 43.26 receiving a notice, the board may impose a late filing fee of $5 43.27 per day, not to exceed $100, commencing on the eighth day after 43.28 receiving notice. If an individual fails to file a statement 43.29 due beforeanya primary or election within three daysofafter 43.30 the date due, regardless of whether the individual has received 43.31 any notice, the board may impose a late filing fee of $50 per 43.32 day, not to exceed $500, commencing on the fourth day after the 43.33 date the statement was due. The board shall further notify by 43.34 certified mail or personal serviceanyan individual who fails 43.35 to fileanya statement within 14 days after receiving a first 43.36 notice from the board that the individual may be subject to a 44.1 criminal penalty for failure to file a statement. An individual 44.2 who knowingly fails to file the statement within seven days 44.3 after receiving a second notice from the board is guilty of a 44.4 misdemeanor. 44.5 Subd. 13. [THIRD-PARTY REIMBURSEMENT.] An individual, 44.6 political committee, or political fund filing a report 44.7 disclosing an expenditure or noncampaign disbursement that must 44.8 be reported and itemized under subdivision 3, paragraph (g) or 44.9 (l), that is a reimbursement to a third partyis required to44.10 must report the purpose of each expenditure or disbursement for 44.11 which the third party is being reimbursed. An expenditure or 44.12 disbursement is a reimbursement to a third party if it is for 44.13 goods or services that were not directly provided by the 44.14 individual or association to whom the expenditure or 44.15 disbursement is made. Third-party reimbursements include 44.16 payments to credit card companies and reimbursement of 44.17 individuals for expenses they have incurred. 44.18 Subd. 14. [REPORTS BY SOLICITORS.] An individual, 44.19 association, political committee, or political fund, other than 44.20 a candidate or the members of a candidate's principal campaign 44.21 committee, that directly solicits and causes others to make 44.22 contributions to candidates or a caucus of the members of a 44.23 political party in a house of the legislature, that aggregate 44.24 more than $5,000: 44.25 (1) between January 1 of a general election year and 17 44.26 days before the primary election; 44.27 (2) between January 1 of a general election year and 17 44.28 days before the general election; or 44.29 (3) in a calendar year; 44.30 must file with the board a report disclosing the amount of each 44.31 contribution, the names of the contributors, and to whom the 44.32 contributions were given. The reports under clauses (1) and (2) 44.33 must be included in the reports due ten days before the primary 44.34 and general election, respectively. The report for each 44.35 calendar year must be filed with the board by January 31 of the 44.36 following year.The report must cover the accumulated45.1contributions made or received during the calendar year.45.2 Sec. 20. Minnesota Statutes 1996, section 10A.21, 45.3 subdivision 3, is amended to read: 45.4 Subd. 3. [AVAILABLE TO PUBLIC.] Statements and reports 45.5 filed with a county auditorshallmust be available to the 45.6 public in the manner prescribed by section 10A.02, subdivision 45.7 8, clause (e). Statements and reports of principal campaign 45.8 committeesshallmust be retained until four years after the 45.9 election to which they pertain. Economic interest 45.10 statementsshallmust be retained until the subject of the 45.11 statement is no longer a candidate or officeholder. 45.12 Sec. 21. Minnesota Statutes 1996, section 10A.22, is 45.13 amended to read: 45.14 10A.22 [REPORTS AND STATEMENTS.] 45.15 Subdivision 1. [CERTIFICATION.] A report or statement 45.16 required by sections 10A.11 to 10A.34 to be filed by a treasurer 45.17 of a political committee or political fund, or by any other 45.18 individual,shallmust be signed and certified as true by the 45.19 individual required to file the report.AnyAn individual who 45.20 signs and certifies to be true a report or statement knowing it 45.21 contains false information or who knowingly omits required 45.22 information is guilty of a gross misdemeanor. 45.23 Subd. 4. [LISTED BY SOURCE; REFUSAL.] (a) The treasurer 45.24 shall list contributions from the same source under the same 45.25 name. When a contribution received fromanya source in a 45.26 reporting period is added to previously reported unitemized 45.27 contributions from the same source and the aggregate exceeds the 45.28 disclosure threshold of section 10A.20, the name, address, and 45.29 employer, or occupation if self-employed, of that sourceshall45.30 must then be listed on the prescribed schedule. 45.31 (b) A candidate may refuse to accept any contribution. 45.32 Subd. 5. [ALLOCATION TO CANDIDATES.] A political committee 45.33 or political fund making an expenditure on behalf of more than 45.34 one candidate for state or legislative office shall allocate the 45.35 expenditure among the candidates on a reasonable cost basis and 45.36 report the allocation for each candidate. 46.1 Subd. 6. [DOCUMENTATION; VIOLATIONS.]EachA person 46.2 required to fileanya report or statement shall maintain 46.3 records on the matters required to be reported, including 46.4 vouchers, canceled checks, bills, invoices, worksheets, and 46.5 receipts,whichthat will provide in sufficient detail the 46.6 necessary information from which the filed reports and 46.7 statements may be verified, explained, clarified, and checked 46.8 for accuracy and completeness. The person shall keep the 46.9 records available for audit, inspection, or examination by the 46.10 board or its authorized representatives for four years from the 46.11 date of filing of the reports or statements or of changes or 46.12 correctionstheretoto them.AnyA person who knowingly 46.13 violatesany provisions ofthis subdivision is guilty of a 46.14 misdemeanor. 46.15 Subd. 7. [STATEMENT REQUIRED; PENALTY.] (a) The treasurer 46.16 of a political committee or political fund shall not accept a 46.17 contribution of more than $100 from an association not 46.18 registered in this state unless the contribution is accompanied 46.19 by a written statementwhichthat meets the disclosure and 46.20 reporting period requirements imposed by section 10A.20. This 46.21 statementshallmust be certified as true and correct by an 46.22 officer of the contributing association. The political 46.23 committee or political fundwhichthat accepts the contribution 46.24 shall include a copy of the statement with the reportwhichthat 46.25 discloses the contribution to the board.The provisions ofThis 46.26 subdivisionshalldoes not apply when a national political party 46.27transferscontributes money to its affiliate in this state. 46.28 (b) An unregistered association may provide the written 46.29 statement required by this subdivision to no more than three 46.30 political committees or political funds inanya calendar year. 46.31 Each statement must cover at least the 30 days immediately 46.32 preceding and including the date on which the contribution was 46.33 made. An unregistered association or an officer of it is 46.34 subject to a civil penalty up to $1,000 if the association or 46.35 its officer: 46.36 (1) fails to provide a written statement as required by 47.1 this subdivision; or 47.2 (2) fails to register after giving the written statement 47.3 required by this subdivision to more than three political 47.4 committees or political funds inanya calendar year. 47.5 An officer of an association who violates this paragraph is 47.6 guilty of a misdemeanor. 47.7 Sec. 22. Minnesota Statutes 1996, section 10A.23, is 47.8 amended to read: 47.9 10A.23 [CHANGES AND CORRECTIONS.] 47.10AnyMaterial changes in information previously submitted 47.11 andanycorrections to a report or statementshallmust be 47.12 reported in writing to the board within ten days following the 47.13 date of the event prompting the change or the date upon which 47.14 the person filing became aware of the inaccuracy. The change or 47.15 correctionshallmust identify the form and the paragraph 47.16 containing the information to be changed or corrected.AnyA 47.17 person who willfully fails to report a material change or 47.18 correction is guilty of a gross misdemeanor. 47.19 Sec. 23. Minnesota Statutes 1996, section 10A.24, is 47.20 amended to read: 47.21 10A.24 [DISSOLUTION OR TERMINATION.] 47.22 Subdivision 1. [TERMINATION REPORT.]NoA political 47.23 committee or political fundshallmay not dissolve until it has 47.24 settled all of its debts and disposed of all its assets in 47.25 excess of $100 and filed a termination report. "Assets" include 47.26 credit balances at vendors and physical assets such as computers 47.27 and postage stamps. Physical assets must be listed at their 47.28 fair market value. The termination report may be made at any 47.29 time andshallmust include all information required in periodic 47.30 reports. 47.31 Subd. 2. [TERMINATION ALLOWED.] Notwithstanding 47.32 subdivision 1,after mailing notice to any remaining creditors47.33by certified mail,a political committee or political fund that 47.34 has debts incurred more than six years previously, has disposed 47.35 of all its assets, and has met the requirements of section 47.36 10A.20, subdivision 7, may notify any remaining creditors by 48.1 certified mail and then file a termination report. 48.2 Sec. 24. Minnesota Statutes 1996, section 10A.241, is 48.3 amended to read: 48.4 10A.241 [TRANSFER OF DEBTS.] 48.5 Notwithstandingany provisions of this chapter to the48.6contrary except as provided in thissection 10A.24, a candidate 48.7 may terminate the candidate's principal campaign committee for 48.8 one state office by transferring any debts of that committee to 48.9 the candidate's principal campaign committee for another state 48.10 office, provided that anyif all outstanding unpaid bills or 48.11 loans from the committee being terminated are assumed and 48.12 continuously reported by the committee to which the transfer is 48.13 being made until paid or forgiven. A loan that is forgiven is 48.14 covered by section 10A.20 and, for purposes of section 10A.324, 48.15 is a contribution to the principal campaign committee from which 48.16 the debt was transferred under this section. 48.17 Sec. 25. Minnesota Statutes 1996, section 10A.25, is 48.18 amended to read: 48.19 10A.25 [SPENDING LIMITSON CAMPAIGN EXPENDITURES.] 48.20 Subdivision 1. [LIMITS ARE VOLUNTARY.]For the purposes of48.21sections 10A.11 to 10A.34 a candidate for governor and a48.22candidate for lieutenant governor, running together, shall be48.23deemed to be a single candidate. Except as provided in48.24subdivision 3, all expenditures made by and all approved48.25expenditures made on behalf of the candidate for lieutenant48.26governor shall be considered to be expenditures by and approved48.27expenditures on behalf of the candidate for governor.The 48.28 expenditure limits imposed by this section apply only to a 48.29 candidate who has signed an agreement under section 10A.322 to 48.30 be bound by them as a condition of receiving a public subsidy 48.31 for the candidate's campaign. 48.32 Subd. 2. [AMOUNTS.] (a) In a year in which an election is 48.33 held for an office sought by a candidate,no expenditures shall48.34be made bythe principal campaign committee ofthatthe 48.35 candidate,shall not make campaign expenditures noranypermit 48.36 approved expenditures to be made on behalf ofthatthe candidate 49.1which expenditures and approved expendituresthat result inan49.2 aggregateamountexpenditures in excess of the following: 49.3 (1) for governor and lieutenant governor, running together, 49.4 $1,626,691; 49.5 (2) for attorney general, $271,116; 49.6 (3) for secretary of state, state treasurer, and state 49.7 auditor, separately, $135,559; 49.8 (4) for state senator, $40,669; 49.9 (5) for state representative, $20,335. 49.10 (b) In addition to the amount in paragraph (a), clause (1), 49.11 a candidate for endorsement for the office of lieutenant 49.12 governor at the convention of a political party may make 49.13 campaign expenditures and approved expenditures of five percent 49.14 of that amount to seek endorsement. 49.15 (c) If a special election cycle occurs during a general 49.16 election cycle, expenditures by or on behalf of a candidate in 49.17 the special election do not count as expenditures by or on 49.18 behalf of the candidate in the general election. 49.19(c)(d) The expenditure limits in this subdivision for an 49.20 office are increased by ten percent for a candidate who is 49.21 running for that office for the first time and who has not run 49.22 previously for any other office whose territory now includes a 49.23 population that is more than one-third of the population in the 49.24 territory of the new office. 49.25 Subd. 2a. [AGGREGATED EXPENDITURES.] If a candidate makes 49.26 expenditures from more than one principal campaign committee for 49.27 nomination or election to statewide office in the same election 49.28 year, the amount of expenditures from all of the candidate's 49.29 principal campaign committees for statewide office for that 49.30 election year must be aggregated for purposes ofthe application49.31ofapplying the limits oncampaignexpenditures under 49.32 subdivision 2, clauses (a) to (c). 49.33 Subd. 3. [GOVERNOR AND LIEUTENANT GOVERNOR A SINGLE 49.34 CANDIDATE.]Notwithstanding subdivision 2, clause (a), a49.35candidate for endorsement for the office of lieutenant governor49.36at the convention of a political party may make expenditures and50.1approved expenditures of $30,000 or five percent of the amount50.2in subdivision 2, clause (a), whichever is greater, to seek50.3endorsement. This amount shall be in addition to the amount50.4which may be expended pursuant to subdivision 2, clause50.5(a).For the purposes of sections 10A.11 to 10A.34, a candidate 50.6 for governor and a candidate for lieutenant governor, running 50.7 together, are considered a single candidate. Except as provided 50.8 in subdivision 2, paragraph (b), all expenditures made by or all 50.9 approved expenditures made on behalf of the candidate for 50.10 lieutenant governor are considered to be expenditures by or 50.11 approved expenditures on behalf of the candidate for governor. 50.12Subd. 4. The limits prescribed in this section shall not50.13apply to any expenditure or approved expenditure made or advance50.14of credit incurred before February 28, 1978 unless the goods or50.15services for which they were made or incurred are consumed or50.16used after February 28, 1978.50.17 Subd. 5. [CONTESTED PRIMARY RACES.] Notwithstanding the 50.18 limits imposed by subdivision 2, the winning candidate in a 50.19 contested race in a primary who received fewer than twice as 50.20 many votes as any one of the candidate's opponents in that 50.21 primary may makeaggregate expenditures and approved50.22 expenditures equal to 120 percent of the applicableamountlimit 50.23 as set forth in subdivision 2,as adjusted by section 10A.255.50.24A candidate in a contested primary race may not, under this50.25subdivision, make aggregate expenditures and approved50.26expenditures ofbut no more than 100 percent of theexpenditure50.27limits imposed by subdivision 2limit until after the primary. 50.28 Subd. 6. [NONELECTION YEARS.] During an election cycle, in 50.29 any year beforeanthe election year for the office held or 50.30 sought by the candidate,the aggregate amount ofa candidate 50.31 shall not make campaign expendituresby andnor permit approved 50.32 expenditures to be made on behalf ofathe candidatefor or50.33holder ofthatoffice shall notexceed 20 percent of the 50.34 expenditure limit set forth in subdivision 2. 50.35 Subd. 7. [PUBLICATION.] On or before December 31 of each 50.36 nonelection year the board shall determine and publish in the 51.1 State Register the expenditure limits for each office for the 51.2 next calendar year as prescribed by subdivision 2. 51.3 Subd. 10. [EFFECT OF OPPONENT'S CONDUCT.] (a) A candidate 51.4 who has agreed to be bound by the expenditure limits imposed by 51.5 this section as a condition of receiving a public subsidy for 51.6 the candidate's campaign is released from the expenditure limits 51.7 but remains eligible to receive a public subsidy if the 51.8 candidate has an opponent who does not agree to be bound by the 51.9 limits and receives contributions or makes or becomes obligated 51.10 to make expenditures during that election cycle in excess of the 51.11 following limits: 51.12 (1) up to ten days before the primary election, receipts or 51.13 expenditures equal to 20 percent of the expenditure limit for 51.14 that office as set forth in subdivision 2; or 51.15 (2) after ten days before the primary election, cumulative 51.16 receipts or expenditures during that election cycle equal to 50 51.17 percent of the expenditure limit for that office as set forth in 51.18 subdivision 2. 51.19 (b) A candidate who has not agreed to be bound by 51.20 expenditure limits, or the candidate's principal campaign 51.21 committee, shall file written notice with the board and provide 51.22 written notice to any opponent of the candidate for the same 51.23 office within 24 hours of exceeding the limits in paragraph (a), 51.24 clause (2). The notice must state only that the candidate or 51.25 candidate's principal campaign committee has received 51.26 contributions or made or become obligated to make campaign 51.27 expenditures in excess of the limits in paragraph (a), clause 51.28 (2). Upon receipt of the notice, the candidate whohashad 51.29 agreed to be bound by the limits is no longer bound by the 51.30 expenditure limits. 51.31 Subd. 10a. [NONCAMPAIGN DISBURSEMENTS.] A noncampaign 51.32 disbursement is not a campaign expenditure. "Noncampaign 51.33 disbursement" means a purchase or payment of money or anything 51.34 of value made, or an advance of credit incurred, by a political 51.35 committee, political fund, or principal campaign committee for 51.36 any of the following purposes: 52.1 (1) payment for accounting and legal services; 52.2 (2) return of a contribution to the source; 52.3 (3) repayment of a loan made to the political committee, 52.4 political fund, or principal campaign committee by that 52.5 committee or fund; 52.6 (4) return of a public subsidy; 52.7 (5) payment for food, beverages, entertainment, and 52.8 facility rental for a fundraising event; 52.9 (6) services for a constituent by a member of the 52.10 legislature or a constitutional officer in the executive branch, 52.11 performed from the beginning of the term of office to 52.12 adjournment sine die of the legislature in the election year for 52.13 the office held, and half the cost of services for a constituent 52.14 by a member of the legislature or a constitutional officer in 52.15 the executive branch performed from adjournment sine die to 60 52.16 days after adjournment sine die; 52.17 (7) a donation in kind given to the political committee, 52.18 political fund, or principal campaign committee for purposes 52.19 listed in clauses (5) and (6); 52.20 (8) payment for food and beverages provided to campaign 52.21 volunteers while they are engaged in campaign activities; 52.22 (9) payment of expenses incurred by elected or appointed 52.23 leaders of a legislative caucus in carrying out their leadership 52.24 responsibilities; 52.25 (10) payment by a principal campaign committee of the 52.26 candidate's expenses for serving in public office, other than 52.27 for personal uses; 52.28 (11) costs of child care for the candidate's children when 52.29 campaigning; 52.30 (12) fees paid to attend a campaign school; 52.31 (13) costs of a postelection party during the election year 52.32 when a candidate's name will no longer appear on a ballot or the 52.33 general election is concluded, whichever occurs first; 52.34 (14) interest on loans paid by a principal campaign 52.35 committee on outstanding loans; 52.36 (15) filing fees; 53.1 (16) post-general election thank-you notes or 53.2 advertisements in the news media; 53.3 (17) the cost of campaign material purchased to replace 53.4 defective campaign material, if the defective material is 53.5 destroyed without being used; 53.6 (18) contributions to a party unit; and 53.7 (19) other purchases or payments specified in board rules 53.8 or advisory opinions as being for any purpose other than to 53.9 influence the nomination or election of a candidate or to 53.10 promote or defeat a ballot question. 53.11 The board shall determine whether an activity involves a 53.12 noncampaign disbursement within the meaning of this subdivision. 53.13 Subd. 11. [CARRYFORWARD; DISPOSITION OF OTHER FUNDS.] 53.14 After all campaign expenditures and noncampaign disbursements 53.15 for an election cycle have been made, an amount up to 50 percent 53.16 of the election year expenditure limit for the office may be 53.17 carried forward. Any remaining amount up to the total amount of 53.18 the public subsidy from the state elections campaign fundand53.19any public matching subsidymust be returned to the state 53.20 treasury for credit to the general fund under section 10A.324. 53.21 Any remaining amount in excess of the total public subsidy must 53.22 be contributed to the state elections campaign fund or a 53.23 political party for multicandidate expenditures as defined in 53.24 section 10A.275. 53.25 Subd. 12. [UNUSED POSTAGE AND CREDIT BALANCES CARRIED 53.26 FORWARD.] Postage that is purchased but not used during an 53.27 election cycle and credit balances at vendors that exceed a 53.28 combined total of $500 must be carried forward and counted as 53.29 expenditures during the election cycle during which they are 53.30 used. 53.31Subd. 13. [INDEPENDENT EXPENDITURES; LIMITS INCREASED.]53.32(a) The expenditure limits in this section are increased by the53.33sum of independent expenditures made in opposition to a53.34candidate plus independent expenditures made on behalf of the53.35candidate's major political party opponents, other than53.36expenditures by an association targeted to inform solely its own54.1dues-paying members of the association's position on a candidate.54.2(b) Within 48 hours after receipt of an expenditure report54.3or notice required by section 10A.20, subdivision 3, 6, or 6b,54.4the board shall notify each candidate in the race of the54.5increase in the expenditure limit for the candidates against54.6whom the independent expenditures have been made.54.7(c) Within three days after providing this notice, the54.8board shall pay each candidate against whom the independent54.9expenditures have been made, if the candidate is eligible to54.10receive a public subsidy and has raised twice the minimum match54.11required, an additional public subsidy equal to one-half the54.12independent expenditures. The amount needed to pay the54.13additional public subsidy under this subdivision is appropriated54.14from the general fund to the board.54.15 Sec. 26. Minnesota Statutes 1996, section 10A.255, 54.16 subdivision 1, is amended to read: 54.17 Subdivision 1. [METHOD OF CALCULATION.] The dollar amounts 54.18providedin section 10A.25, subdivision 2, must be adjusted for 54.19 general election years as provided in this section. By June 1 54.20 of the general election year, the executive director of the 54.21 board shall determine the percentage increase in the consumer 54.22 price index from December of the year preceding the last general 54.23 election year to December of the year preceding the year in 54.24 which the determination is made. The dollar amounts used for 54.25 the preceding general election year must be multiplied by that 54.26 percentage. The product of the calculation must be added to 54.27 each dollar amount to produce the dollar limitations to be in 54.28 effect for the next general election. The product must be 54.29 rounded up to the next highestwhole dollarone-hundred dollar 54.30 increment. The index used must be the revised consumer price 54.31 index for all urban consumers for the St. Paul-Minneapolis 54.32 metropolitan area prepared by the United States Department of 54.33 Labor with 1982 as a base year. 54.34 Sec. 27. Minnesota Statutes 1996, section 10A.265, is 54.35 amended to read: 54.36 10A.265 [FREEDOM TO ASSOCIATE AND COMMUNICATE.] 55.1 Nothing in this chaptershallmay be construedas abridging55.2 to abridge the right of an association to communicate with its 55.3 members. 55.4 Sec. 28. Minnesota Statutes 1996, section 10A.27, is 55.5 amended to read: 55.6 10A.27 [ADDITIONAL LIMITATIONSCONTRIBUTION LIMITS.] 55.7 Subdivision 1. [CONTRIBUTION LIMITS.] (a) Except as 55.8 provided in subdivision 2,noa candidate shall not permit the 55.9 candidate's principal campaign committee to accept aggregate 55.10 contributions made or delivered by any individual, political 55.11 committee, or political fund in excess of the following: 55.12(a)(1) to candidates for governor and lieutenant governor 55.13 running together, $2,000 in an election year for the office 55.14 sought and $500 in other years; 55.15(b)(2) to a candidate for attorney general, $1,000 in an 55.16 election year for the office sought and $200 in other years; 55.17(c)(3) to a candidate for the office of secretary of 55.18 state, state treasurer or state auditor, $500 in an election 55.19 year for the office sought and $100 in other years; 55.20(d)(4) to a candidate for state senator, $500 in an 55.21 election year for the office sought and $100 in other years; and 55.22(e)(5) to a candidate for state representative, $500 in an 55.23 election year for the office sought and $100 in the other year. 55.24 (b) The following deliveries are not subject to the 55.25 bundling limitation in this subdivision: 55.26 (1) delivery of contributions collected by a member of the 55.27 candidate's principal campaign committee, such as a block worker 55.28 or a volunteer who hosts a fund raising event, to the 55.29 committee's treasurer; and 55.30 (2) a delivery made by an individual on behalf of the 55.31 individual's spouse. 55.32 Subd. 2. [POLITICAL PARTY LIMIT.]NoA candidate shall not 55.33 permit the candidate's principal campaign committee to accept 55.34 contributions from any political party units in aggregate in 55.35 excess of ten times the amount that may be contributed to that 55.36 candidate as set forth in subdivision 1. 56.1Subd. 4. For the purposes of this section, a political56.2party means the aggregate of the party organization within each56.3house of the legislature, the state party organization, and the56.4party organization within congressional districts, counties,56.5legislative districts, municipalities, and precincts.56.6 Subd. 5. [INDEPENDENT EXPENDITURES.]Nothing inThis 56.7 sectionshall be construed as limitingdoes not limit 56.8 independent expenditures on behalf of a candidate. 56.9Subd. 7. Contributions and approved expenditures made56.10prior to February 28, 1978 which are in excess of the limits56.11imposed by this section shall not be in violation of this56.12section but shall be disclosed as required by this chapter.56.13 Subd. 8. [EXCESS LOANS PROHIBITED.]NoA candidate shall 56.14 not permit the candidate's principal campaign committee to 56.15 accept a loan from other than a financial institution for an 56.16 amount in excess of the contribution limits imposed by this 56.17 section.NoA candidate shall not permit the candidate's 56.18 principal campaign committee to acceptanya loan from a 56.19 financial institution for whichthatthe financial institution 56.20 may holdanyan endorser ofthatthe loan liable to payany56.21 an amount in excess of the amount that the endorser may 56.22 contribute to that candidate. 56.23 Subd. 9. [CONTRIBUTIONS TO AND FROM OTHER CANDIDATES.] (a) 56.24 A candidate or the treasurer of a candidate's principal campaign 56.25 committee shall not accept atransfer orcontribution from 56.26 another candidate's principal campaign committee or from any 56.27 other committee bearing the contributing candidate's name or 56.28 title or otherwise authorized by the contributing candidate, 56.29 unless the contributing candidate's principal campaign committee 56.30 is being dissolved. A candidate's principal campaign committee 56.31 shall not make atransfer orcontribution to another candidate's 56.32 principal campaign committee, except when the contributing 56.33 committee is being dissolved. 56.34 (b) A candidate's principal campaign committee shall not 56.35 accept atransfer orcontribution from, or make a transfer or 56.36 contribution to, a committee associated with a person who seeks 57.1 nomination or election to the office of President, Senator, or 57.2 Representative in Congress of the United States. 57.3 (c) A candidate or the treasurer of a candidate's principal 57.4 campaign committee shall not accept a contribution from a 57.5 candidate for state or political subdivision office in any 57.6 state, unless the contribution is from the personal funds of the 57.7 candidate for state or political subdivision office. A 57.8 candidate or the treasurer of a candidate's principal campaign 57.9 committee shall not make a contribution from the principal 57.10 campaign committee to a candidate for state or political 57.11 subdivision office in any state. 57.12 Subd. 10. [PROHIBITEDLIMITED PERSONAL CONTRIBUTIONS.] A 57.13 candidate who accepts a public subsidy may not contribute to the 57.14 candidate's own campaign during a year more than ten times the 57.15 candidate'selection yearcontribution limit for that year under 57.16 subdivision 1. 57.17 Subd. 11. [CONTRIBUTIONS FROM CERTAIN TYPES OF 57.18 CONTRIBUTORS.] A candidate shall not permit the candidate's 57.19 principal campaign committee to accept a contribution from a 57.20 political committeeother thanthat is not a political party 57.21 unitas defined in section 10A.275, or from a political fund, a 57.22 lobbyist, or a large giver, if the contribution will cause the 57.23 aggregate contributions from those types of contributors to 57.24 exceed an amount equal to 20 percent of the expenditure limits 57.25 for the office sought by the candidate. For purposes of this 57.26 subdivision, "large giver" means an individual, other than the 57.27 candidate, who contributes an amount that is more than $100 and 57.28 more than one-half the amount an individual may contribute. 57.29Subd. 12. [CONTRIBUTIONS TO OTHER POLITICAL COMMITTEES OR57.30FUNDS.] The treasurer of a political committee or political57.31fund, other than a candidate's principal campaign committee or a57.32political party unit as defined in section 10A.275, shall not57.33permit the political committee or political fund to accept57.34aggregate contributions from an individual, political committee,57.35or political fund in an amount more than $100 a year.57.36 Sec. 29. Minnesota Statutes 1996, section 10A.275, 58.1 subdivision 1, is amended to read: 58.2Subdivision 1. [EXCEPTIONS.]Notwithstandinganyother 58.3 provisions of this chapter, the following expenditures by a 58.4state political party, a party unit, or two or more party units58.5acting together, with at least one party unit being either: the58.6 state party organization or by the party organization within a 58.7 congressional district, county, or legislative district,shall58.8 acting alone or together with one or more other party units, are 58.9 notbeconsidered contributions to or expenditures on behalf of 58.10 any candidate for the purposes of section 10A.25 or 10A.27,and 58.11shallmust not be allocated toanycandidatespursuant to58.12 under section 10A.22, subdivision 5: 58.13(a)(1) expenditures on behalf of candidates of that party 58.14 generally without referring to any of them specifically inany58.15advertisementa published, posted, or broadcast advertisement; 58.16(b)(2) expenditures for the preparation, display, mailing, 58.17 or other distribution of an official party sample ballot listing 58.18 the names of three or more individuals whose names are to appear 58.19 on the ballot; 58.20(c)(3) expenditures foranya telephone conversation 58.21 including the names of three or more individuals whose names are 58.22 to appear on the ballot; 58.23(d)(4) expenditures foranya political party fundraising 58.24 effort on behalf of three or more candidates; or 58.25(e)(5) expenditures for party committee staffmember58.26 services that benefit three or more candidates. 58.27 Sec. 30. Minnesota Statutes 1996, section 10A.28, is 58.28 amended to read: 58.29 10A.28 [PENALTY FOR EXCEEDING LIMITS.] 58.30 Subdivision 1. [CANDIDATEEXCEEDING EXPENDITURE LIMITS.] A 58.31 candidate subject to the expenditure limits in section 10A.25 58.32 who permits the candidate's principal campaign committee to make 58.33 expenditures or permits approved expenditures to be made on the 58.34 candidate's behalf in excess of the limits imposed by section 58.35 10A.25, as adjusted by section 10A.255, is subject to a civil 58.36 fine up to four times the amount by which the expenditures 59.1 exceeded the limit. 59.2 Subd. 2. [EXCEEDING CONTRIBUTION LIMITS.] A candidate who 59.3 permits the candidate's principal campaign committee to accept 59.4 contributions in excess of the limits imposed by section 10A.27, 59.5 and the treasurer of a political fund or political committee, 59.6 other than a principal campaign committee, who permits the 59.7 committee or fund to accept contributions in excess of the 59.8 limits imposed by section 10A.27,shall beis subject to a civil 59.9 fine of up to four times the amount by which the contribution 59.10 exceeded the limits. 59.11 Subd. 3. [CONCILIATION.] If the board finds that there is 59.12 reason to believe that excess expenditures have been made or 59.13 excess contributions accepted contrary tothe provisions of59.14 subdivision 1 or 2, the board shall make every effort for a 59.15 period ofnot less thanat least 14 days after its finding to 59.16 correct the matter by informal methods of conference and 59.17 conciliation and to enter a conciliation agreement with the 59.18 person involved. A conciliation agreementmade pursuant to59.19 under this subdivisionshall beis a matter of public record. 59.20 Unless violated, a conciliation agreementshall beis a bar to 59.21 any civil proceeding under subdivision 4. 59.22 Subd. 4. [PROBABLE CAUSE.] If the board is unable after a 59.23 reasonable time to correct by informal methodsanya matter 59.24whichthat constitutes probable cause to believe that excess 59.25 expenditures have been made or excess contributions accepted 59.26 contrary to subdivision 1 or 2, the board shall make a public 59.27 finding of probable cause in the matter. After making a public 59.28 finding, the board shall bring an action, or transmit the 59.29 finding to a county attorney who shall bring an action, in the 59.30 district court of Ramsey county or, in the case of a legislative 59.31 candidate, the district court of a county within the legislative 59.32 district, toimposecollect a civil fine asprescribedimposed 59.33 by the boardpursuant tounder subdivision 1 or 2. All money 59.34 recoveredpursuant tounder this sectionshallmust be deposited 59.35 in the general fund of the state. 59.36 Sec. 31. Minnesota Statutes 1996, section 10A.29, is 60.1 amended to read: 60.2 10A.29 [CIRCUMVENTION PROHIBITED.] 60.3 Any attempt by an individual or association to circumvent 60.4the provisions ofthis chapter by redirectingfundsa 60.5 contribution through, orcontributing fundsmaking a 60.6 contribution on behalf of, another individual or association is 60.7 a gross misdemeanor. 60.8 Sec. 32. Minnesota Statutes 1996, section 10A.30, 60.9 subdivision 1, is amended to read: 60.10 Subdivision 1. [ESTABLISHED.]There is hereby established60.11 An accountwithinis established in the special revenue fund of 60.12 the stateto beknown as the "state elections campaign fund." 60.13 Sec. 33. Minnesota Statutes 1996, section 10A.31, is 60.14 amended to read: 60.15 10A.31 [DESIGNATION OF INCOME TAX PAYMENTS.] 60.16 Subdivision 1. [DESIGNATION.]EveryAn individual resident 60.17 ofMinnesotathis state who files an income tax return or a 60.18 renter and homeowner property tax refund return with the 60.19 commissioner of revenue may designate on their original return 60.20 that $5 shall be paid from the general fund of the state into 60.21 the state elections campaign fund. If a husband and wife file a 60.22 joint return, each spouse may designate that $5 shall be paid. 60.23 No individualshall beis allowed to designate $5 more than once 60.24 in any year. The taxpayer may designate that the amount 60.25 designated be paid into the account of a political party or into 60.26 the general account. 60.27Subd. 2. The taxpayer may designate that the amount60.28designated be paid into the account of a political party or into60.29the general account.60.30 Subd. 3. [FORM.] The commissioner ofthe department of60.31 revenue shall provide on the first page of the income tax form 60.32 and the renter and homeowner property tax refund return a space 60.33 for the individual to indicate a wish toallocatepay $5 ($10 if 60.34 filing a joint return) from the general fund of the state to 60.35 finance election campaigns. The formshallmust also contain 60.36 language prepared by the commissionerwhichthat permits the 61.1 individual to direct the state toallocatepay the $5 (or $10 if 61.2 filing a joint return) to:(i)(1) one of the major political 61.3 parties;(ii)(2) any minor political partyas defined in61.4section 10A.01, subdivision 13, whichthat qualifies underthe61.5provisions ofsubdivision 3a; or(iii)(3) all qualifying 61.6 candidates as provided by subdivision 7. The renter and 61.7 homeowner property tax refund returnshallmust include 61.8 instructions that the individual filing the return may designate 61.9 $5 on the return only if the individual has not designated $5 on 61.10 the income tax return. 61.11 Subd. 3a. [QUALIFICATION OF POLITICAL PARTIES.] (a) A 61.12 major political partyas defined in section 10A.01, subdivision61.1312,qualifies for inclusion on the income tax form and property 61.14 tax refund return as provided in subdivision 3, provided thatif 61.15 it qualifies as a major political party by July 1 of the taxable 61.16 year. 61.17 (b) A minor political partyas defined in section 10A.01,61.18subdivision 13qualifies for inclusion on the income tax form 61.19 and property tax refund return as provided in subdivision 3,61.20provided that61.21(1)(a) if a petition is filed, it is filed by June 1 of the61.22taxable year; or61.23(b) if the party ran a candidate for statewide office, that61.24office must have been the office of governor and lieutenant61.25governor, secretary of state, state auditor, state treasurer, or61.26attorney general; and61.27(2)if the secretary of state certifies to the commissioner 61.28 of revenueby July 1, 1984, andby July 1 ofevery odd-numbered61.29 the taxable yearthereafter the parties which qualify as minor61.30political parties under this subdivision.61.31A minor party shall be certified only if the secretary of61.32state determinesthat the party satisfies the following 61.33 conditions: 61.34(a)(1)the party meets the requirements of section 10A.01,61.35subdivision 13, andin the lastapplicablegeneral election, the 61.36 party ran a candidate for thestatewide offices listed in clause62.1(1)(b) of this subdivisionoffice of governor and lieutenant 62.2 governor, secretary of state, state auditor, state treasurer, or 62.3 attorney general, who received votes in each county that in the 62.4 aggregate total at least one percent of the total number of 62.5 individuals who voted in the election; 62.6(b)(2) it is a political party, not a principal campaign 62.7 committee; and 62.8(c)(3) it has held a state convention in the last two 62.9 years, adopted a state constitution, and elected state officers;62.10 and 62.11(d)an officer of the party has filed with the secretary of 62.12 state a certificationthat the party held a state convention in62.13the last two years, adopted a state constitution, and elected62.14state officersto that effect. 62.15 Subd. 4. [APPROPRIATIONS.] (a) The amounts designated by 62.16 individuals for the state elections campaign fund, less three 62.17 percent, are appropriated from the general fundand shall, must 62.18 be transferred and credited to the appropriate account in the 62.19 state elections campaign fund, and are annually appropriated for 62.20 distribution as set forth in subdivisions 5, 5a, 6, and 7.An62.21amount equal toThe remaining three percentshallmust be 62.22retainedkept in the general fund for administrative costs. 62.23 (b) In addition to the amounts in paragraph (a), $1,500,000 62.24 for each general election is appropriated from the general 62.25 fund for transfer to the general account of the state elections 62.26 campaign fund. 62.27 Subd. 5. [ALLOCATIONS.] (a) [GENERAL ACCOUNT.] In each 62.28 calendar year the money in the general accountshallmust be 62.29 allocated to candidates as follows: 62.30 (1) 21 percent for the offices of governor and lieutenant 62.31 governor together; 62.32 (2) 3.6 percent for the office of attorney general; 62.33 (3) 1.8 percent each for the offices of secretary of state, 62.34 state auditor, and state treasurer; 62.35 (4) in each calendar year during the period in which state 62.36 senators serve a four-year term, 23-1/3 percent for the office 63.1 of state senator, and 46-2/3 percent for the office of state 63.2 representative; and 63.3 (5) in each calendar year during the period in which state 63.4 senators serve a two-year term, 35 percent each for the offices 63.5 of state senator and state representative. 63.6 (b) [PARTY ACCOUNT.] In each calendar year the money in 63.7 each party accountshallmust be allocated as follows: 63.8 (1) 14 percent for the offices of governor and lieutenant 63.9 governor together; 63.10 (2) 2.4 percent for the office of attorney general; 63.11 (3) 1.2 percent each for the offices of secretary of state, 63.12 state auditor, and state treasurer; 63.13 (4) in each calendar year during the period in which state 63.14 senators serve a four-year term, 23-1/3 percent for the office 63.15 of state senator, and 46-2/3 percent for the office of state 63.16 representative; 63.17 (5) in each calendar year during the period in which state 63.18 senators serve a two-year term, 35 percent each for the offices 63.19 of state senator and state representative; and 63.20 (6) ten percent for the state committee of a political 63.21 party;. 63.22 Money allocated to each state committee underthisclause 63.23 (6) must be deposited in a separate account and must be spent 63.24 for only those items enumerated in section 10A.275;. Money 63.25 allocated to a state committee underthisclause (6) must be 63.26 paid to the committee by the state treasurer as notified by the 63.27state ethical practicesboard as it is received in the account 63.28 on a monthly basis, with payment on the 15th day of the calendar 63.29 month following the month in which the returns were processed by 63.30 the department of revenue, provided that these distributions 63.31 would be equal to 90 percent of the amount of money indicated in 63.32 the department of revenue's weekly unedited reports of income 63.33 tax returns and property tax refund returns processed in the 63.34 month, as notified by the department of revenue to thestate63.35ethical practicesboard. The amounts paid to each state 63.36 committee of a political party are subject to biennial 64.1 adjustment and settlement at the time of each certification 64.2 required of the commissioner of revenue under subdivisions 7 and 64.3 10. If the total amount of payments received by a state 64.4 committee for the period reflected on a certification by the 64.5 department of revenue is different from the amount that should 64.6 have been received during the period according to the 64.7 certification, each subsequent monthly payment must be increased 64.8 or decreased to the fullest extent possible until the amount of 64.9 the overpayment is recovered or the underpayment is distributed. 64.10 Subd. 5a. [PARTY ACCOUNT FOR LEGISLATIVE CANDIDATES.] To 64.11assureensure thatmoneysmoney will be returned to the counties 64.12 from whichthey wereit was collected,and toassureensure 64.13 that the distribution ofthose moneysmoney rationally relates 64.14 to the support for particular parties or for particular 64.15 candidates within legislative districts, money from the party 64.16 accounts for legislative candidatesshallmust be distributed as 64.17follows:provided in this subdivision. 64.18 Each candidate for the state senate and state house of 64.19 representatives whose name is to appear on the ballot in the 64.20 general election shall receive money from the candidate's party 64.21 accountset aside forallocated to candidatesoffor the state 64.22 senate or state house of representatives, whichever applies, 64.23 according to the following formula;: 64.24 For each county within the candidate's district, the 64.25 candidate's share of the dollarsallocateddesignated by 64.26 taxpayers who resided in that county and credited to the 64.27 candidate's party account andset aside forallocated to that 64.28 officeshallmust be: 64.29(a)(1) the sum of the votes cast in the last general 64.30 election in that part of the county in the candidate's district 64.31 for all candidates of that candidate's party(i)whose names 64.32 appeared on the ballotin each voting precinct of the state and64.33(ii)statewide and for the state senate and state house of 64.34 representatives, divided by 64.35(b)(2) the sum of the votes cast inthatthe entire county 64.36 in the last general election for all candidates of that 65.1 candidate's party(i)whose names appeared on the ballotin each65.2voting precinct in the state and (ii)statewide and for the 65.3 state senate and state house of representatives, multiplied by 65.4(c)(3) the amount in the candidate's party account 65.5allocateddesignated by taxpayers who resided in that county and 65.6set aside for the candidates for theallocated to that office 65.7for which the candidate is running. 65.8 The sum of all the county shares calculated in the formula 65.9 above is the candidate's share of the candidate's party account. 65.10 In a year in which an election for the state senate occurs, 65.11 with respect to votes for candidates for the state senate only, 65.12 "last general election" means the last general election in which 65.13 an election for the state senate occurred. 65.14 Foranya party under whose name no candidate's name 65.15 appeared on the ballotin each voting precinct in the state65.16 statewide in the last general election, amounts in the party's 65.17 accountshallmust be allocated based on(a)(1) the number of 65.18 people voting in the last general election in that part of the 65.19 county in the candidate's district, divided by(b)(2) the 65.20 number of the people voting inthatthe entire county in the 65.21 last general election, multiplied by(c)(3) the amount in the 65.22 candidate's party accountallocateddesignated by taxpayers who 65.23 resided in that county andset aside for the candidates for the65.24 allocated to that officefor which the candidate is running. 65.25 Ina year in whichthe first general election aftera65.26legislative reapportionment is heldthe legislature is 65.27 redistricted, "the candidate's district" means the newly drawn 65.28 district,and voting data from the last general electionwill65.29 must be applied to the area encompassing the newly drawn 65.30 district, notwithstanding that the area was in a different 65.31 district in the last general election. 65.32 If in a district there was no candidate of a party for the 65.33 state senate or state house of representatives in the last 65.34 general election, or if a candidate for the state senate or 65.35 state house of representatives was unopposed, the vote for that 65.36 office for that partyshall beis the average vote of all the 66.1 remaining candidates of that party in each county of that 66.2 district whose votes are included in the sums in clauses(a)(1) 66.3 and(b)(2). The average voteshallmust be added to the sums 66.4 in clauses(a)(1) and(b)(2) before the calculation is made 66.5 for all districts in the county. 66.6Money from a party account not distributed to candidates66.7for state senator and representative in any election year shall66.8be returned to the general fund of the state. Money from a66.9party account not distributed to candidates for other offices in66.10an election year shall be returned to the party account for66.11reallocation to candidates as provided in clauses (1) to (6) in66.12the following year. Money from the general account refused by66.13any candidate shall be distributed to all other qualifying66.14candidates in proportion to their shares as provided in this66.15subdivision.66.16 Subd. 6. [PARTY ACCOUNT DISTRIBUTION.] As soon as the 66.17 board has obtained from the secretary of state the results of 66.18 the primary election, butin any eventno later than one week 66.19 after certification by the state canvassing board of the results 66.20 of the primary, the board shall distribute the availablefunds66.21 money in each party account, as certified by the commissioner of 66.22 revenue on September 1, to the candidates of that party who have 66.23 signedthea spending limit agreementas provided inunder 66.24 section 10A.322 and filed the affidavit of matching 66.25 contributions required by section 10A.323, and whose names are 66.26 to appear on the ballot in the general election, according to 66.27 the allocations set forth insubdivisionsubdivisions 5 and 5a. 66.28 If a candidate files the affidavit required by section 10A.323 66.29 after September 1 of the general election year, the board shall 66.30 pay the candidate's allocation to the candidate at the next 66.31 regular payment date for public subsidies for that election 66.32 cycle that occurs at least 15 days after the candidate files the 66.33 affidavit. 66.34 Subd. 6a. [PARTY ACCOUNT MONEY NOT DISTRIBUTED.] Money 66.35 from a party account not distributed to candidates for state 66.36 senator and representative in any election year must be returned 67.1 to the general fund of the state. Money from a party account 67.2 not distributed to candidates for other offices in an election 67.3 year must be returned to the party account for reallocation to 67.4 candidates as provided in subdivision 5, paragraph (b), in the 67.5 following year. 67.6 Subd. 7. [GENERAL ACCOUNT DISTRIBUTION.] (a) Within two 67.7 weeks after certification by the state canvassing board of the 67.8 results of the general election, the board shall distribute the 67.9 availablefundsmoney in the general account, as certified by 67.10 the commissioner of revenue on November 1 and according to 67.11 allocations set forth in subdivision 5, in equal amounts to all 67.12 candidatesfor each statewide officewho have signed a spending 67.13 limit agreement under section 10A.322 and filed the affidavit of 67.14 matching contributions required by section 10A.323 and who were: 67.15 (1) a candidate for statewide office who received at least 67.16 five percent of the votes cast in the general election for that 67.17 office, and to all candidates; or 67.18 (2) a candidate for legislative office who received at 67.19 least ten percent of the votes cast in the general election 67.20 forthe specific office for which they were candidates, provided67.21 that seat. 67.22 (b) The public subsidy under this subdivision may not be 67.23 paid in an amount that would cause the sum of the public subsidy 67.24 paid from the party account plus the public subsidy paid from 67.25 the general accountand the public subsidy paid to match67.26independent expendituresto exceed 50 percent of the expenditure 67.27 limit for the candidate. If a candidate is entitled to receive67.28an opponent's share of the general account public subsidy under67.29section 10A.25, subdivision 10, the opponent's share must be67.30excluded in calculating the 50 percent limitor 50 percent of 67.31 the expenditure limit that would have applied to the candidate 67.32 if the candidate had not been freed from expenditure limits 67.33 under section 10A.25, subdivision 10. Money from the general 67.34 account not paid to a candidate because of the 50 percent limit 67.35 must be distributed equally among all other qualifying 67.36 candidates for the same office until all have reached the 50 68.1 percent limit or the balance in the general account is 68.2 exhausted.The board shall not use the information contained in68.3the report of the principal campaign committee of any candidate68.4due ten days before the general election for the purpose of68.5reducing the amount due that candidate from the general account.68.6 Subd. 10. [DECEMBER DISTRIBUTION.] In the event that on 68.7 the date of either certification by the commissioner of revenue 68.8 as provided insubdivisionssubdivision 6andor 7, less than 98 68.9 percent of the tax returns have been processed, the commissioner 68.10 of revenue shall certify to the board by December 1 the amount 68.11 accumulated in each account since the previous certification. 68.12 By December 15, the board shall distribute to each candidate 68.13 according to the allocationsas providedinsubdivision68.14 subdivisions 5 and 5a the amounts to which the candidates are 68.15 entitled. 68.16 Subd. 10a. [FORM OF DISTRIBUTION.] The distribution to 68.17 candidates must be in the form of checks made "payable to the 68.18 campaign fund of ......(name of candidate)......." 68.19 Subd. 10b. [REMAINDER.]AnyMoney accumulated after the 68.20 final certificationshallmust bemaintainedkept in the 68.21 respective accounts for distribution in the next general 68.22 election year. 68.23 Subd. 11. [WRITE-IN CANDIDATES.] For the purposes of this 68.24 section, a write-in candidate is a candidate only upon complying 68.25 withthe provisions of sectionsections 10A.322, subdivision68.261and 10A.323. 68.27 Subd. 12. [UNOPPOSED CANDIDATE NOT ELIGIBLE.] A candidate 68.28 who is unopposed in both the primary election and the general 68.29 election is not eligible to receive a public subsidy from the 68.30 state election campaign fund. The subsidy from the party 68.31 account the candidate would otherwise have been eligible to 68.32 receive must be paid to the state committee of the candidate's 68.33 political party to be deposited in a special account 68.34 undersection 10A.31,subdivision 5, clause (6), and used for 68.35 only those items permitted under section 10A.275. 68.36 Sec. 34. Minnesota Statutes 1996, section 10A.315, is 69.1 amended to read: 69.2 10A.315 [SPECIAL ELECTION SUBSIDY.] 69.3 (a) Each eligible candidate for a legislative office in a 69.4 special election must be paid a public subsidy equal to the sum 69.5 of: 69.6 (1) the party account money at the last general election 69.7 for the candidate's party for the office the candidate is 69.8 seeking; and 69.9 (2) the general account money paid tocandidatesa 69.10 candidate for the same office at the last general election. 69.11 (b)If the filing period for the special election coincides69.12with the filing period for the general election, the candidate69.13must meet the matching requirements of section 10A.323 and the69.14special election subsidy must be distributed in the same manner69.15as money is distributed to legislative candidates in a general69.16election.69.17(c) If the filing period for the special election does not69.18coincide with the filing period for the general election, the69.19procedures in this paragraph apply.A candidate who wishes to 69.20 receive this public subsidy must submit a signed agreement under 69.21 section 10A.322 to the boardnot later than the day after the69.22candidate files the affidavit of candidacy or nominating69.23petition for the office. The candidateand must meet the 69.24 matching requirements of section 10A.323. The special election 69.25 subsidy must be distributed in the same manner as money in the 69.26 party and general accounts is distributed to legislative 69.27 candidates in a general election. 69.28(d)(c) The amount necessary to make the payments required 69.29 by this subdivision is appropriated from the general fund to the 69.30state treasurerboard. 69.31 Sec. 35. Minnesota Statutes 1996, section 10A.321, is 69.32 amended to read: 69.33 10A.321 [ESTIMATES OF MINIMUM AMOUNTS TO BE RECEIVED.] 69.34 Subdivision 1. [CALCULATION AND CERTIFICATION OF 69.35 ESTIMATES.] The commissioner of revenue shall calculate and 69.36 certify to the board before July 1 inaneach election year an 70.1 estimate of the total amount in the state general account of the 70.2 state elections campaign fund and the amount of money each 70.3 candidate who qualifies, as provided in section 10A.31, 70.4 subdivisions 6 and 7, may receive from the candidate's party 70.5 account in the state elections campaign fund. This estimate 70.6 must be based upon the allocations and formulas in section 70.7 10A.31,subdivisionsubdivisions 5 and 5a, any necessary vote 70.8 totals provided by the secretary of state to apply the formulas 70.9 in section 10A.31,subdivisionsubdivisions 5 and 5a, and the 70.10 amount of money expected to be available after 100 percent of 70.11 the tax returns have been processed. 70.12 Subd. 2. [PUBLICATION, CERTIFICATION, AND NOTIFICATION 70.13 PROCEDURES.] Before the first day of filing for office, the 70.14 board shall publish and forward to all filing officers the 70.15 estimates calculated and certified under subdivision 1 along 70.16 with a copy of section 10A.25, subdivision 10. Within seven 70.17 days after the last day for filing for office, the secretary of 70.18 state shall certify to the board the name, address, office 70.19 sought, and party affiliation of each candidate who has filed 70.20 with that office an affidavit of candidacy or petition to appear 70.21 on the ballot. The auditor of each county shall certify to the 70.22 board the same information for each candidate who has filed with 70.23 that county an affidavit of candidacy or petition to appear on 70.24 the ballot.Within seven days afterward, the board shall70.25estimate the minimum amount to be received by each candidate who70.26qualifies, as provided in section 10A.31, subdivisions 6 and 7.70.27 By August 15 the board shall notify all candidates of their 70.28 minimum amount. The board shall include with the notice a form 70.29 for the agreement provided in section 10A.322 along with a copy 70.30 of section 10A.25, subdivision 10. 70.31 Sec. 36. Minnesota Statutes 1996, section 10A.322, is 70.32 amended to read: 70.33 10A.322 [PUBLIC SUBSIDYSPENDING LIMIT AGREEMENTS.] 70.34 Subdivision 1. [AGREEMENT BY CANDIDATE.] (a) As a 70.35 condition of receiving a public subsidy, a candidate shall sign 70.36 and file with the board a written agreement in which the 71.1 candidate agrees that the candidate will comply with sections 71.2 10A.25 and 10A.324. 71.3 (b) Before the first day of filing for office, the board 71.4 shall forward agreement forms to all filing officers. The board 71.5 shall also provide agreement forms to candidates on request at 71.6 any time. The candidate may sign an agreement and submit it to 71.7 the filing officer on the day of filing an affidavit of 71.8 candidacy or petition to appear on the ballot, in which case the 71.9 filing officer shall without delay forward signed agreements to 71.10 the board. Alternatively, the candidate may submit the 71.11 agreement directly to the board at any time before September 1 71.12 preceding the candidate's general election. An agreement may 71.13 not be filed after that date. An agreement once filed may not 71.14 be rescinded. 71.15 (c) The board shall forward a copy of any agreement signed 71.16 under this subdivision to the commissioner of revenue. 71.17 (d) Notwithstandingany provisions of this section71.18 paragraph (b),whenif a vacancy occurs that will be filled by 71.19 means of a special election and the filing period does not 71.20 coincide with the filing period for the general election, a 71.21 candidate may sign and submit a spending limit agreementat any71.22time before the deadline for submission of a signed agreement71.23under section 10A.315not later than the day after the candidate 71.24 files the affidavit of candidacy or nominating petition for the 71.25 office. 71.26 Subd. 2. [HOW LONG AGREEMENT IS EFFECTIVE.] The agreement, 71.27 insofar as it relates to the expenditure limits in section 71.28 10A.25, as adjusted by section 10A.255, remains effective for 71.29 candidates until the dissolution of the principal campaign 71.30 committee of the candidate or the end of the first election 71.31 cycle completed after the agreement was filed, whichever occurs 71.32 first. 71.33Subd. 3. [ESTIMATE; ACTUAL AMOUNT.] For the purposes of71.34subdivisions 1 to 3 only, the total amount to be distributed to71.35each candidate is calculated to be the candidate's share of the71.36total estimated funds in the candidate's party account as72.1provided in section 10A.321, subdivision 1, plus the total72.2amount estimated as provided in section 10A.321, subdivision 1,72.3to be in the general account of the state elections campaign72.4fund and set aside for that office divided by the number of72.5candidates whose names are to appear on the general election72.6ballot for that office. If for any reason the amount actually72.7received by the candidate is greater than the candidate's share72.8of the estimate, and the contributions thereby exceed the72.9difference, the agreement must not be considered violated.72.10 Subd. 4. [REFUND RECEIPT FORMS; PENALTY.] The board shall 72.11 make available to a political party on request and to any 72.12 candidate for whom an agreement under this section is effective, 72.13 a supply of official refund receipt forms that state in boldface 72.14 type that (1) a contributor who is given a receipt form is 72.15 eligible to claim a refund as provided in section 290.06, 72.16 subdivision 23, and (2) if the contribution is to a candidate, 72.17 that the candidate has signed an agreement to limit campaign 72.18 expenditures as provided in this section. The forms must 72.19 provide duplicate copies of the receipt to be attached to the 72.20 contributor's claim. A candidate who does not sign an agreement 72.21 under this section and who willfully issues an official refund 72.22 receipt form or a facsimile of one to any of the candidate's 72.23 contributors is guilty of a misdemeanor. 72.24 Sec. 37. Minnesota Statutes 1996, section 10A.323, is 72.25 amended to read: 72.26 10A.323 [MATCHING REQUIREMENTS.] 72.27 In addition to the requirements of section 10A.322, to be 72.28 eligible to receive a public subsidy under section 10A.31or72.2910A.312a candidate or the candidate's treasurer shall file an 72.30 affidavit with the board stating that during that calendar year 72.31 the candidate has accumulated contributions from persons 72.32 eligible to vote in this state in the amount indicated for the 72.33 office sought, counting only the first $50 received from each 72.34 contributor: 72.35 (1) candidates for governor and lieutenant governor running 72.36 together, $35,000; 73.1 (2) candidates for attorney general, $15,000; 73.2 (3) candidates for secretary of state, state treasurer, and 73.3 state auditor, separately, $6,000; 73.4 (4) candidates for the senate, $3,000; and 73.5 (5) candidates for the house of representatives, $1,500. 73.6To be eligible to receive a public matching subsidy under73.7section 10A.312,The affidavit must state the total amount of 73.8 contributions that have been received from persons eligible to 73.9 vote in this state and the total amount of those contributions 73.10 received, disregarding the portion of any contribution in excess 73.11 of $50. 73.12 The candidate or the candidate's treasurer shall submit the 73.13 affidavit required by this section to the board in writing by 73.14 September 1 of the general election year to receive the payment 73.15based on the results ofmade following the primary election, by73.16September 15 to receive the payment made October 1, by October 173.17to receive the payment made October 15,and by November 1 to 73.18 receive the payment madeNovember 15, and by December 1 to73.19receive the payment made December 15following the general 73.20 election. 73.21 Sec. 38. Minnesota Statutes 1996, section 10A.324, 73.22 subdivision 1, is amended to read: 73.23 Subdivision 1. [WHEN RETURN REQUIRED.] A candidate shall 73.24 return all or a portion of the public subsidy received from the 73.25 state elections campaign fund or the publicmatchingsubsidy 73.26 received under section 10A.315, under the circumstances in this 73.27 section or section 10A.25, subdivision 11. 73.28(a) To the extent that the amount of public subsidy73.29received by the candidate exceeds the expenditure limits for the73.30office held or sought, as provided in section 10A.25 and as73.31adjusted by section 10A.255, the treasurer of the candidate's73.32principal campaign committee shall return the excess to the73.33board.73.34(b)To the extent that the amount of public subsidy 73.35 received exceeds the aggregate of: (1) actual expenditures made 73.36 by the principal campaign committee of the candidate; and (2) 74.1 approved expenditures made on behalf of the candidate, the 74.2 treasurer of the candidate's principal campaign committee shall 74.3 return an amount equal to the difference to the 74.4 board. Expenditures in excess of the candidate's spending limit 74.5 do not count in determining aggregate expenditures under this 74.6 paragraph. 74.7 Sec. 39. Minnesota Statutes 1996, section 10A.324, 74.8 subdivision 3, is amended to read: 74.9 Subd. 3. [HOW RETURN DETERMINED.] Whether or not a 74.10 candidate is required under subdivision 1 to return all or a 74.11 portion of the public subsidy must be determined from the report 74.12 required to be filed with the board by that candidate by January 74.13 31 of the year following an election.For purposes of this74.14section, a transfer from a principal campaign committee to a74.15political party is considered to be a noncampaign disbursement.74.16 The cost of postage that was not used during an election cycle 74.17 and payments that created credit balances at vendors at the 74.18 close of an election cycle are not considered expenditures for 74.19 purposes of determining the amount to be returned.AnyAn 74.20 amount required to be returned must be submitted in the form of 74.21 a check or money order and must accompany the report filed with 74.22 the board. The board shall forward the check or money order to 74.23 the state treasurer for deposit in the general fund. The amount 74.24 returned must not exceed the amount of public subsidy received 74.25 by the candidate. 74.26 Sec. 40. Minnesota Statutes 1996, section 10A.34, is 74.27 amended to read: 74.28 10A.34 [REMEDIES.] 74.29 Subdivision 1. [PERSONAL LIABILITY.] A person charged with 74.30 a duty under sections 10A.02 to 10A.34shall beis personally 74.31 liable for the penalty for failing to discharge it. 74.32 Subd. 1a. [RECOVERING LATE FEES.] The board may bring an 74.33 action in the district court in Ramsey county to recoveranya 74.34 late filing fee imposedpursuant to any provision ofunder this 74.35 chapter.AllMoney recoveredshallmust be deposited in the 74.36 general fund of the state. 75.1 Subd. 2. [INJUNCTIONS.] The board or a county attorney may 75.2 seek an injunction in the district court to enforcethe75.3provisions ofsections 10A.02 to 10A.34. 75.4 Subd. 3. [NOT A CRIME.] Unless otherwise provided, a 75.5 violation of sections 10A.02 to 10A.34 is not a crime. 75.6 Sec. 41. Minnesota Statutes 1996, section 290.06, 75.7 subdivision 23, is amended to read: 75.8 Subd. 23. [REFUND OF CONTRIBUTIONS TO POLITICAL PARTIES 75.9 AND CANDIDATES.] (a) A taxpayer may claim a refund equal to the 75.10 amount of the taxpayer's contributions made in the calendar year 75.11 to candidates and toanya political party. The maximum refund 75.12 for an individual must not exceed $50 and,for a married couple, 75.13 filing jointly, must not exceed $100. A refund of a 75.14 contribution is allowed only if the taxpayer files a form 75.15 required by the commissioner and attaches to the form a copy of 75.16 an official refund receipt form issued by the candidate or party 75.17 and signed by the candidate, the treasurer of the candidate's 75.18 principal campaign committee, or the party chair, after the 75.19 contribution was received. The receipt forms must be numbered, 75.20 and the data on the receipt that are not public must be made 75.21 available to theethical practicesboard upon its request. A 75.22 claim must be filed with the commissionernotno sooner than 75.23 January 1 of the calendar year in which the contributioniswas 75.24 made and no later than April 15 of the calendar year following 75.25 the calendar year in which the contributioniswas made. A 75.26 taxpayer may file only one claim per calendar year. Amounts 75.27 paid by the commissioner after June 15 of the calendar year 75.28 following the calendar year in which the contributioniswas 75.29 made must include interest at the rate specified in section 75.30 270.76. 75.31 (b) No refund is allowed under this subdivision for a 75.32 contribution toanya candidate unless the candidate: 75.33 (1) has signed an agreement to limit campaign expenditures 75.34 as provided in section 10A.322or 10A.43; 75.35 (2) is seeking an office for which voluntary spending 75.36 limits are specified in section 10A.25or 10A.43; and 76.1 (3) has designated a principal campaign committee. 76.2 This subdivision does not limit the campaign 76.3expenditureexpenditures of a candidate who does not sign an 76.4 agreement but accepts a contribution for which the contributor 76.5 improperly claims a refund. 76.6 (c) For purposes of this subdivision, "political party" 76.7 means a major political party as defined in section 200.02, 76.8 subdivision 7, or a minor political party qualifying for 76.9 inclusion on the income tax or property tax refund form under 76.10 section 10A.31, subdivision 3a. 76.11 A "major party" or "minor party" includes the aggregate of 76.12the partythat party's organization within each house of the 76.13 legislature, the state party organization, and the party 76.14 organization within congressional districts, counties, 76.15 legislative districts, municipalities, and precincts. 76.16 "Candidate" meansa congressional candidate as defined in76.17section 10A.41, subdivision 4, ora candidate as defined in 76.18 section 10A.01, subdivision 5, except a candidate for judicial 76.19 office. 76.20 "Contribution" means a gift of money. 76.21 (d) The commissioner shall make copies of the form 76.22 available to the public and candidates upon request. 76.23 (e) The following data collected or maintained by the 76.24 commissioner under this subdivision are private: the identities 76.25 of individuals claiming a refund, the identities of candidates 76.26 to whom those individuals have made contributions, and the 76.27 amount of each contribution. 76.28 (f) The commissioner shall report to theethical practices76.29 board by each August 1of each yeara summary showing the total 76.30 number and aggregate amount of political contribution refunds 76.31 made on behalf of each candidate and each political party. 76.32 These data are public. 76.33 (g) The amount necessary to pay claims for the refund 76.34 provided in this section is appropriated from the general fund 76.35 to the commissioner of revenue. 76.36 Sec. 42. Laws 1996, chapter 419, section 10, is amended to 77.1 read: 77.2 Sec. 10. [EFFECTIVE DATE.] 77.3 This act is effective for the state primary election in 77.4 1996 and thereafter. 77.5 The amendments made by this act are suspended during any 77.6 time that the decision of the eighth circuit court of appeals in 77.7 Twin Cities Area New Party v. McKenna, No. 94-3417MN, is stayed 77.8 or the mandate of the court is recalled. If the McKenna 77.9 decision is reversed, the amendments made by this act expire and 77.10 the prior law is revived, except that the amended definitions of 77.11 a major political party and a minor political party in sections 77.12 2 and 3 do not expire. The purpose of this paragraph is to 77.13 provide an orderly procedure for complying with the McKenna 77.14 decision while retaining the prior law prohibiting simultaneous 77.15 nominations to the extent permitted by the United States 77.16 Constitution. 77.17 Sec. 43. [INSTRUCTION TO REVISOR.] 77.18 The revisor of statutes shall renumber the definition 77.19 subdivisions of Minnesota Statutes, section 10A.01, in 77.20 alphabetical order and make necessary cross-reference changes 77.21 consistent with the renumbering. 77.22 Sec. 44. [REPEALER.] 77.23 Minnesota Statutes 1996, sections 10A.065, subdivision 5; 77.24 10A.255, subdivision 2; 10A.275, subdivisions 2 and 3; 10A.324, 77.25 subdivisions 2 and 4; 10A.325; 10A.335; 10A.40; 10A.41; 10A.42; 77.26 10A.43; 10A.44; 10A.45; 10A.46; 10A.47; 10A.48; 10A.49; 10A.50; 77.27 and 10A.51, are repealed.