SF 661

Conference Committee Report - 88th Legislature (2013 - 2014) Posted on 05/18/2013 06:43pm

1.1CONFERENCE COMMITTEE REPORT ON S.F. No. 661

1.2A bill for an act

1.3relating to campaign finance; providing for additional disclosure; making various
1.4changes to campaign finance and public disclosure law; expanding jurisdiction of
1.5Campaign Finance and Public Disclosure Board; expanding definition of public
1.6official;amending Minnesota Statutes 2012, sections 10A.01, subdivisions 10,
1.711, 16, 27, 28, 35, by adding subdivisions; 10A.02, subdivisions 9, 10, 11, 12,
1.815; 10A.025, subdivisions 2, 3, 4; 10A.04, subdivision 5; 10A.071, subdivision
1.93; 10A.105, subdivision 1; 10A.12, subdivisions 1, 1a, 2; 10A.121; 10A.14,
1.10subdivision 1, by adding a subdivision; 10A.15, subdivisions 1, 3; 10A.16;
1.1110A.20, subdivisions 1, 2, 3, 4, 5, 6, 7, 12, by adding a subdivision; 10A.241;
1.1210A.242, subdivision 1; 10A.25, subdivisions 2, 2a, 3, 3a; 10A.257, subdivision
1.131; 10A.27, subdivisions 1, 2, 9, 10, 11, 13, 14, 15; 10A.273, subdivisions 1,
1.144; 10A.30; 10A.31, subdivisions 1, 4, 7; 10A.315; 10A.321, subdivision 1;
1.1510A.322, subdivision 4; 10A.323; 10A.324, subdivision 1; 211B.32, subdivision
1.161; proposing coding for new law in Minnesota Statutes, chapter 10A; repealing
1.17Minnesota Statutes 2012, sections 10A.24; 10A.242; 10A.25, subdivision 6.
1.18May 18, 2013
1.19The Honorable Sandra L. Pappas
1.20President of the Senate
1.21The Honorable Paul Thissen
1.22Speaker of the House of Representatives
1.23We, the undersigned conferees for S.F. No. 661 report that we have agreed upon the
1.24items in dispute and recommend as follows:
1.25That the House recede from its amendments and that S.F. No. 661 be further
1.26amended as follows:
1.27Delete everything after the enacting clause and insert:

1.28"ARTICLE 1

1.29POLICY CHANGES

1.30    Section 1. Minnesota Statutes 2012, section 10A.01, is amended by adding a
1.31subdivision to read:
2.1    Subd. 7c. Ballot question political committee. "Ballot question political
2.2committee" means a political committee that makes only expenditures to promote or defeat
2.3a ballot question and disbursements permitted under section 10A.121, subdivision 1.

2.4    Sec. 2. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
2.5to read:
2.6    Subd. 7d. Ballot question political fund. "Ballot question political fund" means
2.7a political fund that makes only expenditures to promote or defeat a ballot question and
2.8disbursements permitted under section 10A.121, subdivision 1.

2.9    Sec. 3. Minnesota Statutes 2012, section 10A.01, subdivision 10, is amended to read:
2.10    Subd. 10. Candidate. "Candidate" means an individual who seeks nomination or
2.11election as a state constitutional officer, legislator, or judge. An individual is deemed to seek
2.12nomination or election if the individual has taken the action necessary under the law of this
2.13state to qualify for nomination or election, has received contributions or made expenditures
2.14in excess of $100, or has given implicit or explicit consent for any other person to receive
2.15contributions or make expenditures in excess of $100, for the purpose of bringing about the
2.16individual's nomination or election. A candidate remains a candidate until the candidate's
2.17principal campaign committee is dissolved as provided in section 10A.24 10A.243.

2.18    Sec. 4. Minnesota Statutes 2012, section 10A.01, subdivision 11, is amended to read:
2.19    Subd. 11. Contribution. (a) "Contribution" means money, a negotiable instrument,
2.20or a donation in kind that is given to a political committee, political fund, principal
2.21campaign committee, or party unit. An allocation by an association of general treasury
2.22money to be used for activities that must be or are reported through the association's
2.23political fund is considered to be a contribution for the purposes of disclosure required
2.24by this chapter.
2.25(b) "Contribution" includes a loan or advance of credit to a political committee,
2.26political fund, principal campaign committee, or party unit, if the loan or advance of credit
2.27is: (1) forgiven; or (2) repaid by an individual or an association other than the political
2.28committee, political fund, principal campaign committee, or party unit to which the loan
2.29or advance of credit was made. If an advance of credit or a loan is forgiven or repaid as
2.30provided in this paragraph, it is a contribution in the year in which the loan or advance
2.31of credit was made.
2.32(c) "Contribution" does not include services provided without compensation by an
2.33individual volunteering personal time on behalf of a candidate, ballot question, political
3.1committee, political fund, principal campaign committee, or party unit; the publishing or
3.2broadcasting of news items or editorial comments by the news media; or an individual's
3.3unreimbursed personal use of an automobile owned by the individual while volunteering
3.4personal time.

3.5    Sec. 5. Minnesota Statutes 2012, section 10A.01, subdivision 16, is amended to read:
3.6    Subd. 16. Election cycle. "Election cycle" means the period from January 1
3.7following a general election for an office to December 31 following the next general
3.8election for that office, except that "election cycle" for a special election means the period
3.9from the date the special election writ is issued to 60 days after the special election is held.
3.10 For a regular election, the period from January 1 of the year prior to an election year through
3.11December 31 of the election year is the "election segment" of the election cycle. Each
3.12other two-year segment of an election cycle is a "non-election segment" of the election
3.13cycle. An election cycle that consists of two calendar years has only an election segment.
3.14The election segment of a special election cycle includes the entire special election cycle.

3.15    Sec. 6. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
3.16to read:
3.17    Subd. 16a. Expressly advocating. "Expressly advocating" means that a
3.18communication clearly identifies a candidate and uses words or phrases of express
3.19advocacy.

3.20    Sec. 7. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
3.21to read:
3.22    Subd. 17c. General treasury money. "General treasury money" means money
3.23that an association other than a principal campaign committee, party unit, or political
3.24committee accumulates through membership dues and fees, donations to the association
3.25for its general purposes, and income from the operation of a business. General treasury
3.26money does not include money collected to influence the nomination or election of
3.27candidates or to promote or defeat a ballot question.

3.28    Sec. 8. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
3.29to read:
3.30    Subd. 26a. Person. "Person" means an individual, an association, a political
3.31subdivision, or a public higher education system.

4.1    Sec. 9. Minnesota Statutes 2012, section 10A.01, subdivision 27, is amended to read:
4.2    Subd. 27. Political committee. "Political committee" means an association whose
4.3major purpose is to influence the nomination or election of a candidate one or more
4.4candidates or to promote or defeat a ballot question, other than a principal campaign
4.5committee or a political party unit.

4.6    Sec. 10. Minnesota Statutes 2012, section 10A.01, subdivision 28, is amended to read:
4.7    Subd. 28. Political fund. "Political fund" means an accumulation of dues or
4.8voluntary contributions by an association other than a political committee, principal
4.9campaign committee, or party unit, if the accumulation is collected or expended to
4.10influence the nomination or election of a candidate one or more candidates or to promote
4.11or defeat a ballot question. The term "political fund" as used in this chapter may also refer
4.12to the association acting through its political fund.

4.13    Sec. 11. Minnesota Statutes 2012, section 10A.02, subdivision 9, is amended to read:
4.14    Subd. 9. Documents; information. The executive director must inspect all material
4.15filed with the board as promptly as necessary to comply with this chapter and, with other
4.16provisions of law requiring the filing of a document with the board, and with other
4.17provisions of law under the board's jurisdiction pursuant to subdivision 11. The executive
4.18director must immediately notify the an individual required to file a document with the
4.19board if a written complaint is filed with the board alleging, or it otherwise appears, that a
4.20document filed with the board is inaccurate or does not comply with this chapter, or that
4.21the individual has failed to file a document required by this chapter or has failed to comply
4.22with this chapter or other provisions under the board's jurisdiction pursuant to subdivision
4.2311. The executive director may provide an individual required to file a document under
4.24this chapter with factual information concerning the limitations on corporate campaign
4.25contributions imposed by section 211B.15.

4.26    Sec. 12. Minnesota Statutes 2012, section 10A.02, subdivision 10, is amended to read:
4.27    Subd. 10. Audits and investigations. The board may make audits and investigations,
4.28impose statutory civil penalties, and issue orders for compliance with respect to statements
4.29and reports that are filed or that should have been filed under the requirements of this
4.30chapter and provisions under the board's jurisdiction pursuant to subdivision 11. In all
4.31matters relating to its official duties, the board has the power to issue subpoenas and cause
4.32them to be served. If a person does not comply with a subpoena, the board may apply to
5.1the District Court of Ramsey County for issuance of an order compelling obedience to the
5.2subpoena. A person failing to obey the order is punishable by the court as for contempt.

5.3    Sec. 13. Minnesota Statutes 2012, section 10A.02, subdivision 11, is amended to read:
5.4    Subd. 11. Violations; enforcement. (a) The board may investigate any alleged
5.5violation of this chapter. The board may also investigate an alleged violation of section
5.6211B.04, 211B.12, or 211B.15 by or related to a candidate, treasurer, principal campaign
5.7committee, political committee, political fund, or party unit, as those terms are defined in
5.8this chapter. The board must investigate any violation that is alleged in a written complaint
5.9filed with the board and must within 30 days after the filing of the complaint make a public
5.10finding of whether there is probable cause to believe a violation has occurred findings and
5.11conclusions as to whether a violation has occurred and must issue an order, except that
5.12if the complaint alleges a violation of section 10A.25 or 10A.27, the board must either
5.13enter a conciliation agreement or make a public finding of whether there is probable cause,
5.14 findings and conclusions as to whether a violation has occurred and must issue an order
5.15 within 60 days after the filing of the complaint. The deadline for action on a written
5.16complaint may be extended by majority vote of the board.
5.17(b) The board may bring legal actions or negotiate settlements in its own name to
5.18recover money raised from contributions subject to the conditions in this paragraph.
5.19(1) No action may be commenced unless the board has made a formal determination,
5.20after an investigation, that the money was raised for political purposes as defined in
5.21section 211B.01, subdivision 6, and that the money was used for purposes not permitted
5.22under this chapter or under section 211B.12.
5.23(2) Prior to commencing an action, the board must give the association whose money
5.24was misused written notice by certified mail of its intent to take action under this subdivision
5.25and must give the association a reasonable opportunity, for a period of not less than 90
5.26days, to recover the money without board intervention. This period must be extended
5.27for at least an additional 90 days for good cause if the association is actively pursuing
5.28recovery of the money. The board may not commence a legal action under this subdivision
5.29if the association has commenced a legal action for the recovery of the same money.
5.30(3) Any funds recovered under this subdivision must be deposited in a campaign
5.31finance recovery account in the special revenue fund and are appropriated as follows:
5.32(i) an amount equal to the board's actual costs and disbursements in the action,
5.33including court reporter fees for depositions taken in the course of an investigation, is
5.34appropriated to the board for its operations;
6.1(ii) an amount equal to the reasonable value of legal services provided by the Office
6.2of the Attorney General in the recovery matter, calculated on the same basis as is used
6.3for charging legal fees to state agencies, is appropriated to the attorney general for the
6.4attorney general's operations; and
6.5(iii) any remaining balance is appropriated to the board for distribution to the
6.6association to which the money was originally contributed.
6.7(4) Notwithstanding clause (3), item (iii), if the candidate of a principal campaign
6.8committee is the person who used the association's money for illegal purposes, or if the
6.9association or political fund whose money was misused is no longer registered with the
6.10board, any money remaining after the payments specified in clause (3), items (i) and (ii),
6.11must be transferred to the general account of the state elections campaign account.
6.12(5) Any action by the board under this paragraph must be commenced not later than
6.13four years after the improper use of money is shown on a report filed with the board or the
6.14board has actual knowledge of improper use. No action may be commenced under this
6.15paragraph for improper uses disclosed on reports for calendar years prior to 2011.
6.16(6) If the board prevails in an action brought under this subdivision and the court
6.17makes a finding that the misuse of funds was willful, the court may enter judgment in favor
6.18of the board and against the person misusing the funds in the amount of the misused funds.
6.19(b) (c) Within a reasonable time after beginning an investigation of an individual
6.20or association, the board must notify the individual or association of the fact of the
6.21investigation. The board must not make a finding of whether there is probable cause to
6.22believe a violation has occurred without notifying the individual or association of the
6.23nature of the allegations and affording an opportunity to answer those allegations.
6.24(c) (d) A hearing or action of the board concerning a complaint or investigation
6.25other than a finding concerning probable cause or a conciliation agreement is confidential.
6.26Until the board makes a public finding concerning probable cause or enters a conciliation
6.27agreement:
6.28(1) a member, employee, or agent of the board must not disclose to an individual
6.29information obtained by that member, employee, or agent concerning a complaint or
6.30investigation except as required to carry out the investigation or take action in the matter
6.31as authorized by this chapter; and
6.32(2) an individual who discloses information contrary to this subdivision is subject
6.33to a civil penalty imposed by the board of up to $1,000.
6.34(e) A matter that is under the board's jurisdiction pursuant to this section and that
6.35may result in a criminal offense must be finally disposed of by the board before the alleged
6.36violation may be prosecuted by a city or county attorney.

7.1    Sec. 14. Minnesota Statutes 2012, section 10A.02, subdivision 12, is amended to read:
7.2    Subd. 12. Advisory opinions. (a) The board may issue and publish advisory
7.3opinions on the requirements of this chapter and of those sections listed in subdivision 11
7.4 based upon real or hypothetical situations. An application for an advisory opinion may
7.5be made only by an individual or association a person who is subject to chapter 10A and
7.6who wishes to use the opinion to guide the individual's or the association's person's own
7.7conduct. The board must issue written opinions on all such questions submitted to it
7.8within 30 days after receipt of written application, unless a majority of the board agrees
7.9to extend the time limit.
7.10(b) A written advisory opinion issued by the board is binding on the board in a
7.11subsequent board proceeding concerning the person making or covered by the request and
7.12is a defense in a judicial proceeding that involves the subject matter of the opinion and is
7.13brought against the person making or covered by the request unless:
7.14(1) the board has amended or revoked the opinion before the initiation of the board
7.15or judicial proceeding, has notified the person making or covered by the request of its
7.16action, and has allowed at least 30 days for the person to do anything that might be
7.17necessary to comply with the amended or revoked opinion;
7.18(2) the request has omitted or misstated material facts; or
7.19(3) the person making or covered by the request has not acted in good faith in
7.20reliance on the opinion.
7.21(c) A request for an opinion and the opinion itself are nonpublic data. The board,
7.22however, may publish an opinion or a summary of an opinion, but may not include in the
7.23publication the name of the requester, the name of a person covered by a request from an
7.24agency or political subdivision, or any other information that might identify the requester,
7.25unless the person consents to the inclusion.

7.26    Sec. 15. Minnesota Statutes 2012, section 10A.02, subdivision 15, is amended to read:
7.27    Subd. 15. Disposition of fees. The board must deposit all fees and civil penalties
7.28 collected under this chapter into the general fund in the state treasury.

7.29    Sec. 16. Minnesota Statutes 2012, section 10A.025, subdivision 2, is amended to read:
7.30    Subd. 2. Penalty for false statements. (a) A report or statement required to be filed
7.31under this chapter must be signed and certified as true by the individual required to file the
7.32report. The signature may be an electronic signature consisting of a password assigned
7.33by the board.
8.1(b) An individual who signs and certifies shall not sign and certify to be true a
8.2report or statement knowing it contains false information or who knowingly knowing it
8.3 omits required information is guilty of a gross misdemeanor and subject to a civil penalty
8.4imposed by the board of up to $3,000.
8.5(c) An individual shall not knowingly provide false or incomplete information to
8.6a treasurer with the intent that the treasurer will rely on that information in signing and
8.7certifying to be true a report or statement.
8.8(d) A person who violates paragraph (b) or (c) is subject to a civil penalty imposed
8.9by the board of up to $3,000. A violation of paragraph (b) or (c) is a gross misdemeanor.
8.10(e) The board may impose an additional civil penalty of up to $3,000 on the principal
8.11campaign committee or candidate, party unit, political committee, or association that has a
8.12political fund that is affiliated with an individual who violated paragraph (b) or (c).

8.13    Sec. 17. Minnesota Statutes 2012, section 10A.025, subdivision 3, is amended to read:
8.14    Subd. 3. Record keeping; penalty. (a) A person required to file a report or statement
8.15 or who has accepted record-keeping responsibility for the filer must maintain records on
8.16the matters required to be reported, including vouchers, canceled checks, bills, invoices,
8.17worksheets, and receipts, that will provide in sufficient detail the necessary information
8.18from which the filed reports and statements may be verified, explained, clarified, and
8.19checked for accuracy and completeness. The person must keep the records available for
8.20audit, inspection, or examination by the board or its authorized representatives for four
8.21years from the date of filing of the reports or statements or of changes or corrections to
8.22them. A person who knowingly violates this subdivision is guilty of a misdemeanor.
8.23(b) The board may impose a civil penalty of up to $3,000 on a person who knowingly
8.24violates this subdivision. The board may impose a separate civil penalty of up to $3,000
8.25on the principal campaign committee or candidate, party unit, political committee, or
8.26association that has a political fund that is affiliated with an individual who violated
8.27this subdivision.
8.28(c) A knowing violation of this subdivision is a misdemeanor.

8.29    Sec. 18. Minnesota Statutes 2012, section 10A.071, subdivision 3, is amended to read:
8.30    Subd. 3. Exceptions. (a) The prohibitions in this section do not apply if the gift is:
8.31    (1) a contribution as defined in section 10A.01, subdivision 11;
8.32    (2) services to assist an official in the performance of official duties, including
8.33but not limited to providing advice, consultation, information, and communication in
8.34connection with legislation, and services to constituents;
9.1    (3) services of insignificant monetary value;
9.2    (4) a plaque with a resale value of $5 or less;
9.3    (5) a trinket or memento costing $5 or less;
9.4    (6) informational material with a resale value of $5 or less; or
9.5    (7) food or a beverage given at a reception, meal, or meeting if:
9.6(i) the reception, meal, or meeting is held away from the recipient's place of work by
9.7an organization before whom the recipient appears to make a speech or answer questions
9.8as part of a program.; or
9.9(ii) the recipient is a member or employee of the legislature and an invitation to
9.10attend the reception, meal, or meeting was provided to all members of the legislature at
9.11least five days prior to the date of the event.
9.12    (b) The prohibitions in this section do not apply if the gift is given:
9.13    (1) because of the recipient's membership in a group, a majority of whose members
9.14are not officials, and an equivalent gift is given to the other members of the group; or
9.15    (2) by a lobbyist or principal who is a member of the family of the recipient, unless
9.16the gift is given on behalf of someone who is not a member of that family.
9.17EFFECTIVE DATE.This section is effective the day following final enactment.

9.18    Sec. 19. Minnesota Statutes 2012, section 10A.105, subdivision 1, is amended to read:
9.19    Subdivision 1. Single committee. A candidate must not accept contributions from a
9.20source, other than self, in aggregate in excess of $100 $750 or accept a public subsidy
9.21unless the candidate designates and causes to be formed a single principal campaign
9.22committee for each office sought. A candidate may not authorize, designate, or cause to be
9.23formed any other political committee bearing the candidate's name or title or otherwise
9.24operating under the direct or indirect control of the candidate. However, a candidate may
9.25be involved in the direct or indirect control of a party unit.

9.26    Sec. 20. Minnesota Statutes 2012, section 10A.12, subdivision 1, is amended to read:
9.27    Subdivision 1. When required for contributions and approved expenditures. An
9.28association other than a political committee or party unit may not contribute more than
9.29$100 $750 in aggregate in any one calendar year to candidates, political committees, or
9.30party units or make any approved or independent expenditure or expenditure to promote
9.31or defeat a ballot question expenditures of more than $750 in aggregate in any calendar
9.32year unless the contribution or expenditure is made from through a political fund.

9.33    Sec. 21. Minnesota Statutes 2012, section 10A.12, subdivision 1a, is amended to read:
10.1    Subd. 1a. When required for independent expenditures or ballot questions. An
10.2association other than a political committee that makes only independent expenditures
10.3and disbursements permitted under section 10A.121, subdivision 1, or expenditures to
10.4promote or defeat a ballot question must do so by forming and registering through an
10.5independent expenditure or ballot question political fund if the expenditure is in excess of
10.6$100 independent expenditures aggregate more than $1,500 in a calendar year or if the
10.7expenditures to promote or defeat a ballot question aggregate more than $5,000 in a
10.8calendar year, or by contributing to an existing independent expenditure or ballot question
10.9 political committee or political fund.

10.10    Sec. 22. Minnesota Statutes 2012, section 10A.12, subdivision 2, is amended to read:
10.11    Subd. 2. Commingling prohibited. The contents of a an association's political
10.12fund may not be commingled with other funds or with the personal funds of an officer or
10.13member of the association or the fund. It is not commingling for an association that uses
10.14only its own general treasury money to make expenditures and disbursements permitted
10.15under section 10A.121, subdivision 1, directly from the depository used for its general
10.16treasury money. An association that accepts more than $1,500 in contributions to influence
10.17the nomination or election of candidates or more than $5,000 in contributions to promote
10.18or defeat a ballot question must establish a separate depository for those contributions.

10.19    Sec. 23. Minnesota Statutes 2012, section 10A.121, is amended to read:
10.2010A.121 INDEPENDENT EXPENDITURE AND BALLOT QUESTION
10.21POLITICAL COMMITTEES AND INDEPENDENT EXPENDITURE POLITICAL
10.22FUNDS.
10.23    Subdivision 1. Permitted disbursements. An independent expenditure political
10.24committee or an independent expenditure political fund, or a ballot question political
10.25committee or fund, in addition to making independent expenditures, may:
10.26    (1) pay costs associated with its fund-raising and general operations;
10.27    (2) pay for communications that do not constitute contributions or approved
10.28expenditures; and
10.29    (3) make contributions to other independent expenditure or ballot question political
10.30committees or independent expenditure political funds;
10.31    (4) make independent expenditures;
10.32    (5) make expenditures to promote or defeat ballot questions;
10.33    (6) return a contribution to its source;
11.1    (7) for a political fund, record bookkeeping entries transferring the association's
11.2general treasury money allocated for political purposes back to the general treasury of
11.3the association; and
11.4    (8) for a political fund, return general treasury money transferred to a separate
11.5depository to the general depository of the association.
11.6    Subd. 2. Penalty. (a) An independent expenditure political committee or
11.7independent expenditure political fund is subject to a civil penalty of up to four times the
11.8amount of the contribution or approved expenditure if it does the following:
11.9    (1) makes a contribution to a candidate, party unit, political committee, or political
11.10fund other than an independent expenditure political committee or an independent
11.11expenditure political fund; or
11.12    (2) makes an approved expenditure.
11.13    (b) No other penalty provided in law may be imposed for conduct that is subject to a
11.14civil penalty under this section.

11.15    Sec. 24. Minnesota Statutes 2012, section 10A.14, subdivision 1, is amended to read:
11.16    Subdivision 1. First registration. The treasurer of a political committee, political
11.17fund, principal campaign committee, or party unit must register with the board by filing
11.18a registration statement of organization no later than 14 days after the committee, fund,
11.19or party unit has made a contribution, received contributions, or made expenditures in
11.20excess of $100 $750, or by the end of the next business day after it has received a loan
11.21or contribution that must be reported under section 10A.20, subdivision 5, whichever is
11.22earlier. This subdivision does not apply to ballot question or independent expenditure
11.23political committees or funds, which are subject to subdivision 1a.

11.24    Sec. 25. Minnesota Statutes 2012, section 10A.14, is amended by adding a subdivision
11.25to read:
11.26    Subd. 1a. Independent expenditure or ballot question political committees
11.27and funds; first registration; reporting. The treasurer of an independent expenditure
11.28or ballot question political committee or fund must register with the board by filing
11.29a registration statement:
11.30(1) no later than 14 calendar days after the committee or the association registering
11.31the political fund has:
11.32(i) received aggregate contributions for independent expenditures of more than
11.33$1,500 in a calendar year;
12.1(ii) received aggregate contributions for expenditures to promote or defeat a ballot
12.2question of more than $5,000 in a calendar year;
12.3(iii) made aggregate independent expenditures of more than $1,500 in a calendar
12.4year; or
12.5(iv) made aggregate expenditures to promote or defeat a ballot question of more
12.6than $5,000 in a calendar year; or
12.7(2) by the end of the next business day after it has received a loan or contribution
12.8that must be reported under section 10A.20, subdivision 5, and it has met one of the
12.9requirements of clause (1).

12.10    Sec. 26. Minnesota Statutes 2012, section 10A.15, subdivision 1, is amended to read:
12.11    Subdivision 1. Anonymous contributions. A political committee, political fund,
12.12principal campaign committee, or party unit may not retain an anonymous contribution
12.13in excess of $20, but must forward it to the board for deposit in the general account of
12.14the state elections campaign fund account.

12.15    Sec. 27. Minnesota Statutes 2012, section 10A.15, subdivision 3, is amended to read:
12.16    Subd. 3. Deposit. All contributions received by or on behalf of a candidate,
12.17principal campaign committee, political committee, political fund, or party unit must
12.18be deposited in an account designated "Campaign Fund of ..... (name of candidate,
12.19committee, fund, or party unit)." All contributions must be deposited promptly upon
12.20receipt and, except for contributions received during the last three days of a reporting
12.21period as described in section 10A.20, must be deposited during the reporting period
12.22in which they were received. A contribution received during the last three days of a
12.23reporting period must be deposited within 72 hours after receipt and must be reported
12.24as received during the reporting period whether or not deposited within that period. A
12.25candidate, principal campaign committee, political committee, political fund, or party unit
12.26may refuse to accept a contribution. A deposited contribution may be returned to the
12.27contributor within 60 90 days after deposit. A contribution deposited and not returned
12.28within 60 90 days after that deposit must be reported as accepted.

12.29    Sec. 28. Minnesota Statutes 2012, section 10A.20, subdivision 1, is amended to read:
12.30    Subdivision 1. First filing; duration. The treasurer of a political committee, political
12.31fund, principal campaign committee, or party unit must begin to file the reports required
12.32by this section in for the first year it receives contributions or makes expenditures in excess
12.33of $100 that require it to register under section 10A.14 and must continue to file until the
13.1committee, fund, or party unit is terminated. The reports must be filed electronically in a
13.2standards-based open format specified by the board. For good cause shown, the board
13.3must grant exemptions to the requirement that reports be filed electronically.

13.4    Sec. 29. Minnesota Statutes 2012, section 10A.20, subdivision 2, is amended to read:
13.5    Subd. 2. Time for filing. (a) The reports must be filed with the board on or before
13.6January 31 of each year and additional reports must be filed as required and in accordance
13.7with paragraphs (b) to (d).
13.8(b) In each year in which the name of the a candidate for legislative or district court
13.9judicial office is on the ballot, the report of the principal campaign committee must be
13.10filed 15 days before a primary and ten days before a general election, seven days before a
13.11special primary and a special election, and ten days after a special election cycle.
13.12(c) In each general election year, a political committee or, a political fund must file
13.13reports 28 and 15 days before a primary and 42 and ten days before a general election.
13.14Beginning in 2012, reports required under this paragraph must also be filed 56 days before
13.15a primary., a state party committee, a party unit established by all or a part of the party
13.16organization within a house of the legislature, and the principal campaign committee
13.17of a candidate for constitutional or appellate court judicial office must file reports on
13.18the following schedule:
13.19(1) a first-quarter report covering the calendar year through March 31, which is
13.20due April 14;
13.21(2) in a year in which a primary election is held in August, a report covering the
13.22calendar year through May 31, which is due June 14;
13.23(3) in a year in which a primary election is held before August, a pre-general-election
13.24report covering the calendar year through July 15, which is due July 29;
13.25(4) a pre-primary-election report due 15 days before a primary election;
13.26(5) a pre-general-election report due 42 days before the general election;
13.27(6) a pre-general-election report due ten days before a general election; and
13.28(7) for a special election, a constitutional office candidate whose name is on the
13.29ballot must file reports seven days before a special primary and a special election, and ten
13.30days after a special election cycle.
13.31(d) In each general election year, a party unit not included in paragraph (c) must file
13.32reports 15 days before a primary election and ten days before a general election.
13.33(e) Notwithstanding paragraphs (a) to (d), the principal campaign committee of a
13.34candidate whose name will not be on the general election ballot is not required to file the
13.35report due ten days before a general election or seven days before a special election.

14.1    Sec. 30. Minnesota Statutes 2012, section 10A.20, subdivision 3, is amended to read:
14.2    Subd. 3. Contents of report. (a) The report required by this section must include
14.3each of the items listed in paragraphs (b) to (o) that are applicable to the filer. The board
14.4shall prescribe forms based on filer type indicating which of those items must be included
14.5on the filer's report.
14.6(a) (b) The report must disclose the amount of liquid assets on hand at the beginning
14.7of the reporting period.
14.8(b) (c) The report must disclose the name, address, and employer, or occupation if
14.9self-employed, of each individual or association that has made one or more contributions
14.10to the reporting entity, including the purchase of tickets for a fund-raising effort, that in
14.11aggregate within the year exceed $100 $200 for legislative or statewide candidates or more
14.12than $500 for ballot questions, together with the amount and date of each contribution, and
14.13the aggregate amount of contributions within the year from each source so disclosed. A
14.14donation in kind must be disclosed at its fair market value. An approved expenditure must
14.15be listed as a donation in kind. A donation in kind is considered consumed in the reporting
14.16period in which it is received. The names of contributors must be listed in alphabetical
14.17order. Contributions from the same contributor must be listed under the same name. When
14.18a contribution received from a contributor in a reporting period is added to previously
14.19reported unitemized contributions from the same contributor and the aggregate exceeds
14.20the disclosure threshold of this paragraph, the name, address, and employer, or occupation
14.21if self-employed, of the contributor must then be listed on the report.
14.22(c) (d) The report must disclose the sum of contributions to the reporting entity
14.23during the reporting period.
14.24(d) (e) The report must disclose each loan made or received by the reporting entity
14.25within the year in aggregate in excess of $100 $200, continuously reported until repaid or
14.26forgiven, together with the name, address, occupation, and principal place of business,
14.27if any, of the lender and any endorser and the date and amount of the loan. If a loan
14.28made to the principal campaign committee of a candidate is forgiven or is repaid by an
14.29entity other than that principal campaign committee, it must be reported as a contribution
14.30for the year in which the loan was made.
14.31(e) (f) The report must disclose each receipt over $100 $200 during the reporting
14.32period not otherwise listed under paragraphs (b) (c) to (d) (e).
14.33(f) (g) The report must disclose the sum of all receipts of the reporting entity during
14.34the reporting period.
14.35(g) (h) The report must disclose the name and address of each individual or
14.36association to whom aggregate expenditures, including approved expenditures,
15.1 independent expenditures and ballot question expenditures have been made by or on
15.2behalf of the reporting entity within the year in excess of $100 $200, together with the
15.3amount, date, and purpose of each expenditure and the name and address of, and office
15.4sought by, each candidate on whose behalf the expenditure was made, identification of the
15.5ballot question that the expenditure was intended to promote or defeat and an indication of
15.6whether the expenditure was to promote or to defeat the ballot question, and in the case
15.7of independent expenditures made in opposition to a candidate, the candidate's name,
15.8address, and office sought. A reporting entity making an expenditure on behalf of more
15.9than one candidate for state or legislative office must allocate the expenditure among the
15.10candidates on a reasonable cost basis and report the allocation for each candidate.
15.11(h) (i) The report must disclose the sum of all expenditures made by or on behalf of
15.12the reporting entity during the reporting period.
15.13(i) (j) The report must disclose the amount and nature of an advance of credit
15.14incurred by the reporting entity, continuously reported until paid or forgiven. If an advance
15.15of credit incurred by the principal campaign committee of a candidate is forgiven by the
15.16creditor or paid by an entity other than that principal campaign committee, it must be
15.17reported as a donation in kind for the year in which the advance of credit was made.
15.18(j) (k) The report must disclose the name and address of each political committee,
15.19political fund, principal campaign committee, or party unit to which contributions have
15.20been made that aggregate in excess of $100 $200 within the year and the amount and
15.21date of each contribution.
15.22(k) (l) The report must disclose the sum of all contributions made by the reporting
15.23entity during the reporting period.
15.24(l) (m) The report must disclose the name and address of each individual or
15.25association to whom noncampaign disbursements have been made that aggregate in excess
15.26of $100 $200 within the year by or on behalf of the reporting entity and the amount, date,
15.27and purpose of each noncampaign disbursement.
15.28(m) (n) The report must disclose the sum of all noncampaign disbursements made
15.29within the year by or on behalf of the reporting entity.
15.30(n) (o) The report must disclose the name and address of a nonprofit corporation that
15.31provides administrative assistance to a political committee or political fund as authorized
15.32by section 211B.15, subdivision 17, the type of administrative assistance provided, and the
15.33aggregate fair market value of each type of assistance provided to the political committee
15.34or political fund during the reporting period.

15.35    Sec. 31. Minnesota Statutes 2012, section 10A.20, subdivision 5, is amended to read:
16.1    Subd. 5. Preelection Pre-election reports. (a) Any loan, contribution, or
16.2contributions:
16.3    (1) to a political committee or political fund from any one source totaling more than
16.4 $1,000 or more, or in a statewide election for;
16.5    (2) to the principal campaign committee of a candidate for an appellate court judicial
16.6office, any loan, contribution, or contributions from any one source totaling more than
16.7 $2,000 or more, or in any judicial;
16.8    (3) to the principal campaign committee of a candidate for district court judge
16.9 totaling more than $400 or more, and any loan, contribution, or contributions; or
16.10    (4) to the principal campaign committee of a candidate for constitutional office or
16.11for the legislature from any one source totaling 80 more than 50 percent or more of the
16.12 election cycle contribution limit for the office, received between the last day covered in
16.13the last report before an election and the election must be reported to the board in one of
16.14the following ways: in the manner provided in paragraph (b).
16.15(b) A loan, contribution, or contributions required to be reported to the board under
16.16paragraph (a) must be reported to the board either:
16.17    (1) in person by the end of the next business day after its receipt; or
16.18    (2) by electronic means sent within 24 hours after its receipt.
16.19    (c) These loans and contributions must also be reported in the next required report.
16.20    (d) This notice requirement does not apply with respect to in a primary in which
16.21the statewide or legislative election to a candidate who is unopposed in the primary, in a
16.22primary election to a ballot question political committee or fund, or in a general election to
16.23a candidate whose name is not on the general election ballot. The board must post the
16.24report on its Web site by the end of the next business day after it is received.
16.25    (e) This subdivision does not apply to a ballot question or independent expenditure
16.26political committee or fund that has not met the registration threshold of section 10A.14,
16.27subdivision 1a. However, if a contribution that would be subject to this section triggers the
16.28registration requirement in section 10A.14, subdivision 1a, then both registration under
16.29that section and reporting under this section are required.

16.30    Sec. 32. Minnesota Statutes 2012, section 10A.20, subdivision 6, is amended to read:
16.31    Subd. 6. Report when no committee. (a) A candidate who does not designate
16.32and cause to be formed a principal campaign committee and an individual who makes
16.33independent expenditures or campaign expenditures expressly advocating the approval or
16.34defeat of a ballot question in aggregate in excess of $100 $750 in a year must file with
16.35the board a report containing the information required by subdivision 3. Reports required
17.1by this subdivision must be filed on by the dates on which reports by principal campaign
17.2 committees, funds, and party units are must be filed.
17.3(b) An individual who makes independent expenditures that aggregate more than
17.4$1,500 in a calendar year or expenditures to promote or defeat a ballot question that
17.5aggregate more than $5,000 in a calendar year must file with the board a report containing
17.6the information required by subdivision 3. A report required by this subdivision must be
17.7filed by the date on which the next report by political committees and political funds
17.8must be filed.

17.9    Sec. 33. Minnesota Statutes 2012, section 10A.20, subdivision 7, is amended to read:
17.10    Subd. 7. Statement of inactivity. If a reporting entity principal campaign
17.11committee, party unit, or political committee, has no receipts or expenditures during a
17.12reporting period, the treasurer must file with the board at the time required by this section
17.13a statement to that effect.

17.14    Sec. 34. Minnesota Statutes 2012, section 10A.20, is amended by adding a subdivision
17.15to read:
17.16    Subd. 7a. Activity of political fund. An association is not required to file any
17.17statement or report for a reporting period when the association accepted no contributions
17.18into the association's political fund and made no expenditures from its political fund since
17.19the last date included in its most recent filed report. If the association maintains a separate
17.20checking account for its political fund, the receipt of interest on the proceeds of that
17.21account and the payment of fees to maintain that account do not constitute activity that
17.22requires the filing of a report for an otherwise inactive political fund.

17.23    Sec. 35. Minnesota Statutes 2012, section 10A.241, is amended to read:
17.2410A.241 TRANSFER OF DEBTS.
17.25    Notwithstanding section 10A.24, A candidate may terminate the candidate's
17.26principal campaign committee for one state office by transferring any debts of that
17.27committee to the candidate's principal campaign committee for another state office if
17.28all outstanding unpaid bills or loans from the committee being terminated are assumed
17.29and continuously reported by the committee to which the transfer is being made until
17.30paid or forgiven. A loan that is forgiven is covered by section 10A.20 and, for purposes
17.31of section 10A.324, is a contribution to the principal campaign committee from which
17.32the debt was transferred under this section.

18.1    Sec. 36. [10A.243] TERMINATION OF REGISTRATION.
18.2    Subdivision 1. Termination report. A political committee, political fund, principal
18.3campaign committee, or party unit may terminate its registration with the board after it
18.4has disposed of all its assets in excess of $100 by filing a final report of receipts and
18.5expenditures. The final report must be identified as a termination report and must include
18.6all financial transactions that occurred after the last date included on the most recent
18.7report filed with the board. The termination report may be filed at any time after the
18.8asset threshold in this section is reached.
18.9    Subd. 2. Asset disposition. "Assets" include credit balances at vendors, prepaid
18.10postage and postage stamps, as well as physical assets. Assets must be disposed of at their
18.11fair market value. Assets of a political fund that consist of, or were acquired using, only
18.12the general treasury money of the fund's supporting association remain the property of the
18.13association upon termination of the association's political fund registration and are not
18.14subject to the disposal requirements of this section.

18.15    Sec. 37. [10A.244] VOLUNTARY INACTIVE STATUS; POLITICAL FUNDS.
18.16    Subdivision 1. Election of voluntary inactive status. An association that has a
18.17political fund registered under this chapter may elect to have the fund placed on voluntary
18.18inactive status if the following conditions are met:
18.19(1) the association makes a written request for inactive status;
18.20(2) the association has filed all periodic reports required by this chapter and
18.21has received no contributions into its political fund and made no expenditures or
18.22disbursements through its political fund since the last date included on the association's
18.23most recent report; and
18.24(3) the association has satisfied all obligations to the state for late filing fees and civil
18.25penalties imposed by the board or the board has waived this requirement.
18.26    Subd. 2. Effect of voluntary inactive status. After an association has complied
18.27with the requirements of subdivision 1:
18.28(1) the board must notify the association that its political fund has been placed in
18.29voluntary inactive status and of the terms of this section;
18.30(2) the board must stop sending the association reports, forms, and notices of report
18.31due dates that are periodically sent to entities registered with the board;
18.32(3) the association is not required to file periodic disclosure reports for its political
18.33fund as otherwise required under this chapter;
18.34(4) the association may not accept contributions into its political fund and may not
18.35make expenditures, contributions, or disbursements through its political fund; and
19.1(5) if the association maintains a separate depository account for its political fund,
19.2it may continue to pay bank service charges and receive interest paid on that account
19.3while its political fund is in inactive status.
19.4    Subd. 3. Resumption of active status or termination. (a) An association that
19.5has placed its political fund in voluntary inactive status may resume active status upon
19.6written notice to the board.
19.7(b) A political fund placed in voluntary inactive status must resume active status
19.8within 14 days of the date that it has accepted contributions or made expenditures,
19.9contributions, or disbursements that aggregate more than $750 since the political fund was
19.10placed on inactive status. If, after meeting this threshold, the association does not notify
19.11the board that its fund has resumed active status, the board may place the association's
19.12political fund in active status and notify the association of the change in status.
19.13(c) An association that has placed its political fund in voluntary inactive status may
19.14terminate the registration of the fund without returning it to active status.
19.15    Subd. 4. Penalty for financial activity while in voluntary inactive status. If an
19.16association fails to notify the board of its political fund's resumption of active status under
19.17subdivision 3, the board may impose a civil penalty of $50 per day, not to exceed $1,000
19.18commencing on the 15th calendar day after the fund resumed active status.

19.19    Sec. 38. [10A.245] ADMINISTRATIVE TERMINATION OF INACTIVE
19.20COMMITTEES AND FUNDS.
19.21    Subdivision 1. Inactivity defined. (a) A principal campaign committee becomes
19.22inactive on the later of the following dates:
19.23(1) six years after the last election in which the individual for whom the committee
19.24exists was a candidate for the office sought or held at the time the principal campaign
19.25committee registered with the board; or
19.26(2) six years after the last day on which the individual for whom the committee
19.27exists served in an elective office subject to this chapter.
19.28(b) A political committee, political fund, or party unit becomes inactive when
19.29four years have elapsed since the end of a reporting period during which the political
19.30committee, political fund, or party unit made an expenditure or disbursement requiring
19.31itemized disclosure under this chapter.
19.32(c) A political fund that has elected voluntary inactive status under section 10A.244
19.33becomes inactive within the meaning of this section when four years have elapsed during
19.34which the political fund was continuously in voluntary inactive status.
20.1    Subd. 2. Termination by board. The board may terminate the registration of a
20.2principal campaign committee, party unit, political committee, or political fund found to be
20.3inactive under this section 60 days after sending written notice of inactivity by certified mail
20.4to the affected association at the last address on record with the board for that association.
20.5Within 60 days after the board sends notice under this section, the affected association must
20.6dispose of its assets as provided in this subdivision. The assets of the principal campaign
20.7committee, party unit, or political committee must be used for the purposes authorized by
20.8this chapter or section 211B.12 or must be liquidated and deposited in the general account
20.9of the state elections campaign account. The assets of an association's political fund that
20.10were derived from the association's general treasury money revert to the association's
20.11general treasury. Assets of a political fund that resulted from contributions to the political
20.12fund must be used for the purposes authorized by this chapter or section 211B.12 or must
20.13be liquidated and deposited in the general account of the state elections campaign account.

20.14    Sec. 39. [10A.246] UNPAID DEBT UPON TERMINATION.
20.15Termination of a registration with the board does not affect the liability, if any, of the
20.16association or its candidates, officers, or other individuals for obligations incurred in the
20.17name of the association or its political fund.

20.18    Sec. 40. Minnesota Statutes 2012, section 10A.25, subdivision 2, is amended to read:
20.19    Subd. 2. Amounts. (a) In a year in which an election is held for an office sought by a
20.20candidate segment of an election cycle, the principal campaign committee of the candidate
20.21must not make campaign expenditures nor permit approved expenditures to be made on
20.22behalf of the candidate that result in aggregate expenditures in excess of the following:
20.23(1) for governor and lieutenant governor, running together, $2,577,200 $3,500,000
20.24in the election segment and $1,500,000 in the nonelection segment;
20.25(2) for attorney general, $429,600 $600,000 in the election segment and $200,000 in
20.26the nonelection segment;
20.27(3) for secretary of state and state auditor, separately, $214,800 $400,000 in the
20.28election segment and $100,000 in the nonelection segment;
20.29(4) for state senator, $68,100 $90,000 in the election segment and $30,000 in
20.30a non-election segment;
20.31(5) for state representative, $34,300 $60,000 in the election segment.
20.32(b) In addition to the amount in paragraph (a), clause (1), a candidate for
20.33endorsement for the office of lieutenant governor at the convention of a political party
21.1may make campaign expenditures and approved expenditures of five percent of that
21.2amount to seek endorsement.
21.3(c) If a special election cycle occurs during a general election cycle, expenditures by
21.4or on behalf of a candidate in the special election do not count as expenditures by or on
21.5behalf of the candidate in the general election.
21.6(d) The expenditure limits in this subdivision for an office are increased by ten
21.7percent for a candidate who is running for that has not previously held the same office
21.8 for the first time, whose name has not previously been on the primary or general election
21.9ballot for that office, and who has not in the past ten years raised or spent more than $750
21.10in a run previously for any other office whose territory now includes a population that
21.11is more than one-third of the population in the territory of the new office. In the case of
21.12a legislative candidate, the office is that of a member of the house of representatives or
21.13senate without regard to any specific district.

21.14    Sec. 41. Minnesota Statutes 2012, section 10A.25, subdivision 2a, is amended to read:
21.15    Subd. 2a. Aggregated expenditures. If a candidate makes expenditures from more
21.16than one principal campaign committee for nomination or election to statewide office in
21.17the same segment of an election year cycle, the amount of expenditures from all of the
21.18candidate's principal campaign committees for statewide office for that segment of the
21.19 election year cycle must be aggregated for purposes of applying the limits on expenditures
21.20under subdivision 2.

21.21    Sec. 42. Minnesota Statutes 2012, section 10A.25, subdivision 3, is amended to read:
21.22    Subd. 3. Governor and lieutenant governor a single candidate. For the purposes
21.23of sections 10A.11 to 10A.34 this chapter, a candidate for governor and a candidate
21.24for lieutenant governor, running together, are considered a single candidate. Except
21.25as provided in subdivision 2, paragraph (b), all expenditures made by or all approved
21.26expenditures made on behalf of the candidate for lieutenant governor are considered to be
21.27expenditures by or approved expenditures on behalf of the candidate for governor.

21.28    Sec. 43. Minnesota Statutes 2012, section 10A.257, subdivision 1, is amended to read:
21.29    Subdivision 1. Unused funds. After all campaign expenditures and noncampaign
21.30disbursements for an election cycle have been made, an amount up to 50 25 percent of the
21.31election year cycle expenditure limit for the office may be carried forward. Any remaining
21.32amount up to the total amount of the public subsidy from the state elections campaign fund
21.33must be returned to the state treasury for credit to the general fund under section 10A.324.
22.1Any remaining amount in excess of the total public subsidy must be contributed to the
22.2state elections campaign fund account or a political party for multicandidate expenditures
22.3as defined in section 10A.275.

22.4    Sec. 44. Minnesota Statutes 2012, section 10A.27, subdivision 1, is amended to read:
22.5    Subdivision 1. Contribution limits. (a) Except as provided in subdivision 2,
22.6a candidate must not permit the candidate's principal campaign committee to accept
22.7aggregate contributions made or delivered by any individual, political committee, or
22.8 political fund, or association not registered with the board in excess of the following:
22.9(1) to candidates for governor and lieutenant governor running together, $2,000
22.10 $4,000 in the election segment of an election year cycle for the office sought and $500
22.11 $2,000 in other years the nonelection segment of the election cycle;
22.12(2) to a candidate for attorney general, secretary of state, or state auditor, $1,000
22.13 $2,500 in the election segment of an election year cycle for the office sought and $200
22.14 $1,500 in other years the nonelection segment of the election cycle;
22.15(3) to a candidate for secretary of state or state auditor, $2,000 in the election
22.16segment of an election cycle and $1,000 in the nonelection segment of the election cycle;
22.17(3) (4) to a candidate for state senator, $500 $1,000 in the election segment of an
22.18election year cycle for the office sought and $100 $1,000 in other years a nonelection
22.19segment of the election cycle;
22.20(4) (5) to a candidate for state representative, $500 $1,000 in the election segment of
22.21an election year cycle for the office sought and $100 in the other year; and
22.22(5) (6) to a candidate for judicial office, $2,000 $2,500 in the election segment of
22.23an election year cycle for the office sought and $500 $1,000 in other years a nonelection
22.24segment of the election cycle.
22.25(b) The following deliveries are not subject to the bundling limitation in this
22.26subdivision:
22.27(1) delivery of contributions collected by a member of the candidate's principal
22.28campaign committee, such as a block worker or a volunteer who hosts a fund-raising
22.29event, to the committee's treasurer; and
22.30(2) a delivery made by an individual on behalf of the individual's spouse.
22.31(c) A lobbyist, political committee, political party unit, or an association that has a
22.32political fund, or an association not registered with the board must not make a contribution
22.33a candidate is prohibited from accepting.

22.34    Sec. 45. Minnesota Statutes 2012, section 10A.27, subdivision 10, is amended to read:
23.1    Subd. 10. Limited personal contributions. A candidate who accepts a public
23.2subsidy signs an agreement under section 10A.322 may not contribute to the candidate's
23.3own campaign during a year segment of an election cycle more than ten five times the
23.4candidate's election year contribution limit for that segment under subdivision 1.

23.5    Sec. 46. Minnesota Statutes 2012, section 10A.27, subdivision 11, is amended to read:
23.6    Subd. 11. Contributions from certain types of contributors. A candidate must
23.7not permit the candidate's principal campaign committee to accept a contribution from
23.8a political committee, political fund, lobbyist, or large contributor, or association not
23.9registered with the board if the contribution will cause the aggregate contributions from
23.10those types of contributors during an election cycle segment to exceed an amount equal
23.11to 20 percent of the election cycle segment expenditure limits for the office sought by
23.12the candidate, provided that the 20 percent limit must be rounded to the nearest $100.
23.13For purposes of this subdivision, "large contributor" means an individual, other than the
23.14candidate, who contributes an amount that is more than $100 and more than one-half the
23.15amount an individual may contribute during the election cycle segment.

23.16    Sec. 47. Minnesota Statutes 2012, section 10A.27, subdivision 13, is amended to read:
23.17    Subd. 13. Unregistered association limit; statement; penalty. (a) The treasurer of
23.18a political committee, political fund, principal campaign committee, or party unit must not
23.19accept a contribution of more than $100 $200 from an association not registered under
23.20this chapter unless the contribution is accompanied by a written statement that meets the
23.21disclosure and reporting period requirements imposed by section 10A.20. This statement
23.22must be certified as true and correct by an officer of the contributing association. The
23.23committee, fund, or party unit that accepts the contribution must include a copy of the
23.24statement with the report that discloses the contribution to the board. This subdivision
23.25does not apply when a national political party contributes money to its affiliate in this state.
23.26(b) An unregistered association may provide the written statement required by this
23.27subdivision to no more than three committees, funds, or party units in a calendar year. Each
23.28statement must cover at least the 30 days immediately preceding and including the date on
23.29which the contribution was made. An unregistered association or an officer of it is subject
23.30to a civil penalty imposed by the board of up to $1,000, if the association or its officer:
23.31(1) fails to provide a written statement as required by this subdivision; or
23.32(2) fails to register after giving the written statement required by this subdivision to
23.33more than three committees, funds, or party units in a calendar year.
24.1(c) The treasurer of a political committee, political fund, principal campaign
24.2committee, or party unit who accepts a contribution in excess of $100 $200 from an
24.3unregistered association without the required written disclosure statement is subject to a
24.4civil penalty up to four times the amount in excess of $100 $200.
24.5(d) This subdivision does not apply:
24.6(1) when a national political party contributes money to its state committee; or
24.7(2) to purchases by candidates for federal office of tickets to events or space rental
24.8at events held by party units in this state (i) if the geographical area represented by the
24.9party unit includes any part of the geographical area of the office that the federal candidate
24.10is seeking and (ii) the purchase price is not more than that paid by other attendees or
24.11renters of similar spaces.

24.12    Sec. 48. Minnesota Statutes 2012, section 10A.27, subdivision 14, is amended to read:
24.13    Subd. 14. Contributions of business revenue. An association may, if not prohibited
24.14by other law, contribute revenue from the operation of a business to an independent
24.15expenditure or ballot question political committee or an independent expenditure political
24.16 fund without complying with subdivision 13.

24.17    Sec. 49. Minnesota Statutes 2012, section 10A.27, subdivision 15, is amended to read:
24.18    Subd. 15. Contributions of dues or contribution revenue or use of general
24.19treasury money. (a) An association may, if not prohibited by other law, contribute revenue
24.20from membership dues or fees, or from contributions received by the association its general
24.21treasury money to an independent expenditure or ballot question political committee or
24.22an independent expenditure political fund, including its own independent expenditure or
24.23ballot question political committee or fund, without complying with subdivision 13.
24.24(b) Before the day when the recipient committee or fund's next report must be
24.25filed with the board under section 10A.20, subdivision 2 or 5, an association that has
24.26contributed more than $5,000 or more in aggregate to independent expenditure political
24.27committees or funds during the calendar year or has contributed more than $5,000 in
24.28aggregate to ballot question political committees or funds during the calendar year
24.29must provide in writing to the recipient's treasurer a statement that includes the name,
24.30address, and amount attributable to each individual or association person that paid the
24.31association dues or fees, or made contributions donations to the association that, in total,
24.32aggregate more than $1,000 or more $5,000 of the contribution from the association to the
24.33independent expenditure or ballot question political committee or fund. The statement
24.34must also include the total amount of the contribution from individuals or associations
25.1 attributable to persons not subject to itemization under this section. The statement must be
25.2certified as true and correct by an officer of the donor association.
25.3(b) (c) To determine the amount of membership dues or fees, or contributions
25.4 donations made by an individual or association that exceed $1,000 of the contribution
25.5made by the donor association a person to an association and attributable to the
25.6association's contribution to the independent expenditure or ballot question political
25.7committee or fund, the donor association must:
25.8(1) apply a pro rata calculation to all unrestricted dues, fees, and contributions
25.9received by the donor association in the calendar year; or
25.10(2) as provided in paragraph (c) (d), identify the specific individuals or associations
25.11whose dues, fees, or contributions are included in the contribution to the independent
25.12expenditure political committee or fund.
25.13(c) (d) Dues, fees, or contributions from an individual or association must be
25.14identified in a contribution to an independent expenditure political committee or fund
25.15under paragraph (b) (c), clause (2), if:
25.16(1) the individual or association has specifically authorized the donor association to
25.17use the individual's or association's dues, fees, or contributions for this purpose; or
25.18(2) the individual's or association's dues, fees, or contributions to the donor
25.19association are unrestricted and the donor association designates them as the source of the
25.20subject contribution to the independent expenditure political committee or fund.
25.21(e) After a portion of an individual's or association's dues, fees, or contributions
25.22to the donor association have the general treasury money received by an association
25.23from a person has been designated as the source of a contribution to an independent
25.24expenditure or ballot question political committee or fund, that portion of the individual's
25.25or association's dues, fees, or contributions to the donor association association's general
25.26treasury money received from that person may not be designated as the source of any other
25.27contribution to an independent expenditure or ballot question political committee or fund.
25.28(d) For the purposes of this section, "donor association" means the association
25.29contributing to an independent expenditure political committee or fund that is required to
25.30provide a statement under paragraph (a).

25.31    Sec. 50. Minnesota Statutes 2012, section 10A.323, is amended to read:
25.3210A.323 AFFIDAVIT OF CONTRIBUTIONS.
25.33    (a) In addition to the requirements of section 10A.322, to be eligible to receive a
25.34public subsidy under section 10A.31 a candidate or the candidate's treasurer must file an
25.35affidavit with the board stating that:
26.1    (1) between January 1 of the previous year and the cutoff date for transactions
26.2included in the report of receipts and expenditures due before the primary election the
26.3candidate has accumulated, accumulate contributions from persons individuals eligible to
26.4vote in this state in at least the amount indicated for the office sought, counting only the
26.5first $50 received from each contributor, excluding in-kind contributions:
26.6    (1) (i) candidates for governor and lieutenant governor running together, $35,000;
26.7    (2) (ii) candidates for attorney general, $15,000;
26.8    (3) (iii) candidates for secretary of state and state auditor, separately, $6,000;
26.9    (4) (iv) candidates for the senate, $3,000; and
26.10    (5) (v) candidates for the house of representatives, $1,500.;
26.11    (2) the candidate or the candidate's treasurer must file an affidavit with the board
26.12stating that the principal campaign committee has complied with this paragraph. The
26.13affidavit must state the total amount of contributions that have been received from persons
26.14 individuals eligible to vote in this state, disregarding excluding:
26.15    (i) the portion of any contribution in excess of $50.;
26.16(ii) any in-kind contribution; and
26.17(iii) any contribution for which the name and address of the contributor is not known
26.18and recorded; and
26.19    (3) the candidate or the candidate's treasurer must submit the affidavit required
26.20by this section to the board in writing by the deadline for reporting of receipts and
26.21expenditures before a primary under section 10A.20, subdivision 4.
26.22    (b) A candidate for a vacancy to be filled at a special election for which the filing
26.23period does not coincide with the filing period for the general election must accumulate
26.24the contributions specified in paragraph (a) and must submit the affidavit required by this
26.25section to the board within five days after the close of the filing period for the special
26.26election for which the candidate filed.

26.27    Sec. 51. Minnesota Statutes 2012, section 211B.15, subdivision 6, is amended to read:
26.28    Subd. 6. Penalty for individuals. (a) An officer, manager, stockholder, member,
26.29agent, employee, attorney, or other representative of a corporation acting on behalf of the
26.30corporation who violates this section is subject to a civil penalty of up to ten times the
26.31amount of the violation, but in no case more than $10,000, imposed by the Campaign
26.32Finance and Public Disclosure Board under chapter 10A or imposed by the Office of
26.33Administrative Hearings under this chapter.
26.34(b) Knowingly violating this section is a crime. An officer, manager, stockholder,
26.35member, agent, employee, attorney, or other representative of a corporation acting in
27.1behalf of the corporation who violates is convicted of knowingly violating this section
27.2may be fined not more than $20,000 or be imprisoned for not more than five years, or both.

27.3    Sec. 52. Minnesota Statutes 2012, section 211B.15, subdivision 7, is amended to read:
27.4    Subd. 7. Penalty for corporations. (a) A corporation that violates this section is
27.5subject to a civil penalty of up to ten times the amount of the violation, but in no case
27.6more than $10,000, imposed by the Campaign Finance and Public Disclosure Board under
27.7chapter 10A or imposed by the Office of Administrative Hearings under this chapter.
27.8(b) Knowingly violating this section is a crime. A corporation convicted of
27.9knowingly violating this section is subject to a fine not greater than $40,000. A convicted
27.10domestic corporation may be dissolved as well as fined. If a foreign or nonresident
27.11corporation is convicted, in addition to being fined, its right to do business in this state
27.12may be declared forfeited.

27.13    Sec. 53. Minnesota Statutes 2012, section 211B.15, is amended by adding a subdivision
27.14to read:
27.15    Subd. 7b. Knowing violations. An individual or a corporation knowingly violates
27.16this section if, at the time of a transaction, the individual or the corporation knew:
27.17(1) that the transaction causing the violation constituted a contribution under chapter
27.1810A, chapter 211A, or chapter 383B; and
27.19 (2) that the contributor was a corporation subject to the prohibitions of subdivision 2.

27.20    Sec. 54. Minnesota Statutes 2012, section 211B.32, subdivision 1, is amended to read:
27.21    Subdivision 1. Administrative remedy; exhaustion. (a) Except as provided in
27.22paragraph (b), a complaint alleging a violation of chapter 211A or 211B must be filed with
27.23the office. The complaint must be finally disposed of by the office before the alleged
27.24violation may be prosecuted by a county attorney.
27.25(b) Complaints arising under those sections and related to those individuals and
27.26associations specified in section 10A.02, subdivision 11, paragraph (a), must be filed with
27.27the Campaign Finance and Public Disclosure Board.

27.28    Sec. 55. REPEALER.
27.29Minnesota Statutes 2012, sections 10A.24; 10A.242; and 10A.25, subdivision 6, are
27.30repealed.

27.31    Sec. 56. EFFECTIVE DATE.
28.1This article is effective the day following final enactment.

28.2ARTICLE 2

28.3PUBLIC OFFICIAL

28.4    Section 1. Minnesota Statutes 2012, section 10A.01, subdivision 35, is amended to read:
28.5    Subd. 35. Public official. "Public official" means any:
28.6    (1) member of the legislature;
28.7    (2) individual employed by the legislature as secretary of the senate, legislative
28.8auditor, chief clerk of the house of representatives, revisor of statutes, or researcher,
28.9legislative analyst, or attorney in the Office of Senate Counsel and Research or House
28.10Research;
28.11    (3) constitutional officer in the executive branch and the officer's chief administrative
28.12deputy;
28.13    (4) solicitor general or deputy, assistant, or special assistant attorney general;
28.14    (5) commissioner, deputy commissioner, or assistant commissioner of any state
28.15department or agency as listed in section 15.01 or 15.06, or the state chief information
28.16officer;
28.17    (6) member, chief administrative officer, or deputy chief administrative officer of a
28.18state board or commission that has either the power to adopt, amend, or repeal rules under
28.19chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;
28.20    (7) individual employed in the executive branch who is authorized to adopt, amend,
28.21or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
28.22    (8) executive director of the State Board of Investment;
28.23    (9) deputy of any official listed in clauses (7) and (8);
28.24    (10) judge of the Workers' Compensation Court of Appeals;
28.25    (11) administrative law judge or compensation judge in the State Office of
28.26Administrative Hearings or unemployment law judge in the Department of Employment
28.27and Economic Development;
28.28    (12) member, regional administrator, division director, general counsel, or operations
28.29manager of the Metropolitan Council;
28.30    (13) member or chief administrator of a metropolitan agency;
28.31    (14) director of the Division of Alcohol and Gambling Enforcement in the
28.32Department of Public Safety;
28.33    (15) member or executive director of the Higher Education Facilities Authority;
28.34    (16) member of the board of directors or president of Enterprise Minnesota, Inc.;
29.1    (17) member of the board of directors or executive director of the Minnesota State
29.2High School League;
29.3    (18) member of the Minnesota Ballpark Authority established in section 473.755;
29.4    (19) citizen member of the Legislative-Citizen Commission on Minnesota Resources;
29.5    (20) manager of a watershed district, or member of a watershed management
29.6organization as defined under section 103B.205, subdivision 13;
29.7    (21) supervisor of a soil and water conservation district;
29.8(22) director of Explore Minnesota Tourism;
29.9    (23) citizen member of the Lessard-Sams Outdoor Heritage Council established
29.10in section 97A.056;
29.11(24) citizen member of the Clean Water Council established in section 114D.30; or
29.12(25) member or chief executive of the Minnesota Sports Facilities Authority
29.13established in section 473J.07.;
29.14(26) district court judge, appeals court judge, or Supreme Court justice; or
29.15(27) county commissioner.

29.16    Sec. 2. Minnesota Statutes 2012, section 10A.07, is amended to read:
29.1710A.07 CONFLICTS OF INTEREST.
29.18    Subdivision 1. Disclosure of potential conflicts. A public official or a local
29.19official elected to or appointed by a metropolitan governmental unit who in the discharge
29.20of official duties would be required to take an action or make a decision that would
29.21substantially affect the official's financial interests or those of an associated business,
29.22unless the effect on the official is no greater than on other members of the official's
29.23business classification, profession, or occupation, must take the following actions:
29.24(1) prepare a written statement describing the matter requiring action or decision and
29.25the nature of the potential conflict of interest;
29.26(2) deliver copies of the statement to the official's immediate superior, if any; and
29.27(3) if a member of the legislature or of the governing body of a metropolitan
29.28governmental unit, deliver a copy of the statement to the presiding officer of the body
29.29of service.
29.30If a potential conflict of interest presents itself and there is insufficient time to
29.31comply with clauses (1) to (3), the public or local official must orally inform the superior
29.32or the official body of service or committee of the body of the potential conflict.
29.33    Subd. 2. Required actions. If the official is not a member of the legislature or of the
29.34governing body of a metropolitan governmental unit, the superior must assign the matter,
29.35if possible, to another employee who does not have a potential conflict of interest. If there
30.1is no immediate superior, the official must abstain, if possible, in a manner prescribed by
30.2the board from influence over the action or decision in question. If the official is a member
30.3of the legislature, the house of service may, at the member's request, excuse the member
30.4from taking part in the action or decision in question. If the official is not permitted or is
30.5otherwise unable to abstain from action in connection with the matter, the official must
30.6file a statement describing the potential conflict and the action taken. A public official
30.7must file the statement with the board and a local official must file the statement with the
30.8governing body of the official's political subdivision. The statement must be filed within a
30.9week of the action taken.
30.10    Subd. 3. Interest in contract; local officials. This section does not apply to a local
30.11official with respect to a matter governed by sections 471.87 and 471.88.
30.12    Subd. 4. Exception; judges. Notwithstanding subdivisions 1 and 2, a public official
30.13who is a district court judge, an appeals court judge, or a Supreme Court justice is not
30.14required to comply with the provisions of this section.

30.15    Sec. 3. Minnesota Statutes 2012, section 10A.071, subdivision 1, is amended to read:
30.16    Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this
30.17section.
30.18(b) "Gift" means money, real or personal property, a service, a loan, a forbearance or
30.19forgiveness of indebtedness, or a promise of future employment, that is given and received
30.20without the giver receiving consideration of equal or greater value in return.
30.21(c) "Official" means a public official, an employee of the legislature, a judge, or a
30.22local official of a metropolitan governmental unit.

30.23    Sec. 4. Minnesota Statutes 2012, section 10A.08, is amended to read:
30.2410A.08 REPRESENTATION DISCLOSURE.
30.25    Subdivision 1. Disclosure required. A public official who represents a client for a
30.26fee before an individual, board, commission, or agency that has rulemaking authority in a
30.27hearing conducted under chapter 14, must disclose the official's participation in the action
30.28to the board within 14 days after the appearance. If the public official fails to disclose the
30.29participation within ten business days after the disclosure required by this section was due,
30.30the board may impose a late filing fee of $5 per day, not to exceed $100, starting on the
30.3111th day after the disclosure was due. The board must send notice by certified mail to a
30.32public official who fails to disclose the participation within ten business days after the
30.33disclosure was due that the public official may be subject to a civil penalty for failure to
30.34disclose the participation. A public official who fails to disclose the participation within
31.1seven days after the certified mail notice was sent by the board is subject to a civil penalty
31.2imposed by the board of up to $1,000.
31.3    Subd. 2. Exception; judges. Notwithstanding subdivision 1, a public official who is
31.4a district court judge, an appeals court judge, or a Supreme Court justice is not required to
31.5comply with the provisions of this section.

31.6    Sec. 5. Minnesota Statutes 2012, section 10A.09, subdivision 6a, is amended to read:
31.7    Subd. 6a. Local officials Place of filing. A public official required to file a
31.8statement under this section must file it with the board. A local official required to file a
31.9statement under this section must file it with the governing body of the official's political
31.10subdivision. The governing body must maintain statements filed with it under this
31.11subdivision as public data. If an official position is defined as both a public official and as
31.12a local official of a metropolitan governmental unit under this chapter, the official must
31.13file the statement with the board.

31.14    Sec. 6. Minnesota Statutes 2012, section 10A.09, is amended by adding a subdivision
31.15to read:
31.16    Subd. 9. Waivers. Upon written request and for good cause shown, the board may
31.17waive the requirement that an official disclose the address of real property that constitutes
31.18a secondary residence of the official.

31.19    Sec. 7. EFFECTIVE DATE.
31.20This article is effective January 1, 2014, and applies to public officials elected or
31.21appointed to terms of office commencing on or after that date.

31.22ARTICLE 3

31.23TECHNICAL CHANGES

31.24    Section 1. Minnesota Statutes 2012, section 10A.01, subdivision 35, is amended to read:
31.25    Subd. 35. Public official. "Public official" means any:
31.26    (1) member of the legislature;
31.27    (2) individual employed by the legislature as secretary of the senate, legislative
31.28auditor, chief clerk of the house of representatives, revisor of statutes, or researcher,
31.29legislative analyst, fiscal analyst, or attorney in the Office of Senate Counsel and, Research
31.30or, and Fiscal Analysis, House Research, or the House Fiscal Analysis Department;
31.31    (3) constitutional officer in the executive branch and the officer's chief administrative
31.32deputy;
32.1    (4) solicitor general or deputy, assistant, or special assistant attorney general;
32.2    (5) commissioner, deputy commissioner, or assistant commissioner of any state
32.3department or agency as listed in section 15.01 or 15.06, or the state chief information
32.4officer;
32.5    (6) member, chief administrative officer, or deputy chief administrative officer of a
32.6state board or commission that has either the power to adopt, amend, or repeal rules under
32.7chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;
32.8    (7) individual employed in the executive branch who is authorized to adopt, amend,
32.9or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
32.10    (8) executive director of the State Board of Investment;
32.11    (9) deputy of any official listed in clauses (7) and (8);
32.12    (10) judge of the Workers' Compensation Court of Appeals;
32.13    (11) administrative law judge or compensation judge in the State Office of
32.14Administrative Hearings or unemployment law judge in the Department of Employment
32.15and Economic Development;
32.16    (12) member, regional administrator, division director, general counsel, or operations
32.17manager of the Metropolitan Council;
32.18    (13) member or chief administrator of a metropolitan agency;
32.19    (14) director of the Division of Alcohol and Gambling Enforcement in the
32.20Department of Public Safety;
32.21    (15) member or executive director of the Higher Education Facilities Authority;
32.22    (16) member of the board of directors or president of Enterprise Minnesota, Inc.;
32.23    (17) member of the board of directors or executive director of the Minnesota State
32.24High School League;
32.25    (18) member of the Minnesota Ballpark Authority established in section 473.755;
32.26    (19) citizen member of the Legislative-Citizen Commission on Minnesota Resources;
32.27    (20) manager of a watershed district, or member of a watershed management
32.28organization as defined under section 103B.205, subdivision 13;
32.29    (21) supervisor of a soil and water conservation district;
32.30(22) director of Explore Minnesota Tourism;
32.31    (23) citizen member of the Lessard-Sams Outdoor Heritage Council established
32.32in section 97A.056;
32.33(24) citizen member of the Clean Water Council established in section 114D.30; or
32.34(25) member or chief executive of the Minnesota Sports Facilities Authority
32.35established in section 473J.07.

33.1    Sec. 2. Minnesota Statutes 2012, section 10A.025, subdivision 4, is amended to read:
33.2    Subd. 4. Changes and corrections. Material changes in information previously
33.3submitted and corrections to a report or statement must be reported in writing to the board
33.4within ten days following the date of the event prompting the change or the date upon
33.5which the person filing became aware of the inaccuracy. The change or correction must
33.6identify the form and the paragraph containing the information to be changed or corrected.
33.7A person who willfully fails to report a material change or correction is guilty of a
33.8gross misdemeanor and is subject to a civil penalty imposed by the board of up to $3,000.
33.9 A willful violation of this subdivision is a gross misdemeanor.
33.10The board must send a notice by certified mail to any individual who fails to file a
33.11report required by this subdivision. If the individual fails to file the required report within
33.12ten business days after the notice was sent, the board may impose a late filing fee of $5 per
33.13day up to $100 starting on the 11th day after the notice was sent. The board must send
33.14an additional notice by certified mail to an individual who fails to file a report within 14
33.15days after the first notice was sent by the board that the individual may be subject to a
33.16civil penalty for failure to file a report. An individual who fails to file a report required by
33.17this subdivision within seven days after the second notice was sent by the board is subject
33.18to a civil penalty imposed by the board of up to $1,000.

33.19    Sec. 3. Minnesota Statutes 2012, section 10A.04, subdivision 5, is amended to read:
33.20    Subd. 5. Late filing. If a lobbyist or principal fails to file a report required by
33.21this section within ten business days after by the date the report was due, the board may
33.22impose a late filing fee of $5 $25 per day, not to exceed $100 $1,000, commencing with
33.23 the 11th day after the report was due. The board must send notice by certified mail to any
33.24lobbyist or principal who fails to file a report within ten business days after the report was
33.25due that the lobbyist or principal may be subject to a civil penalty for failure to file the
33.26report or pay the fee. A lobbyist or principal who fails to file a report or statement or pay a
33.27fee within seven days after the certified mail notice was sent by the board is subject to a
33.28civil penalty imposed by the board of up to $1,000.

33.29    Sec. 4. Minnesota Statutes 2012, section 10A.16, is amended to read:
33.3010A.16 EARMARKING CONTRIBUTIONS PROHIBITED.
33.31An individual, political committee, political fund, principal campaign committee, or
33.32party unit may not solicit or accept a contribution from any source with the express or
33.33implied condition that the contribution or any part of it be directed to a particular candidate
33.34other than the initial recipient. An individual, political committee, political fund, principal
34.1campaign committee, or party unit that knowingly accepts any earmarked contribution is
34.2guilty of a gross misdemeanor and subject to a civil penalty imposed by the board of up to
34.3$3,000. Knowingly accepting any earmarked contribution is a gross misdemeanor.

34.4    Sec. 5. Minnesota Statutes 2012, section 10A.20, subdivision 4, is amended to read:
34.5    Subd. 4. Period of report. A report must cover the period from January 1 of the
34.6reporting year to seven days before the filing date, except that the report due on January
34.731 must cover the period from the last day covered by the previous report January 1 to
34.8December 31 of the reporting year.

34.9    Sec. 6. Minnesota Statutes 2012, section 10A.20, subdivision 12, is amended to read:
34.10    Subd. 12. Failure to file; penalty. If an individual fails to file a report required by
34.11this section that is due January 31 within ten business days after the report was due, the
34.12board may impose a late filing fee of $25 per day, not to exceed $1,000, commencing
34.13the day after the report was due.
34.14If an individual fails to file a report required by this section that is due before a
34.15primary or general election within three days after the date due, regardless of whether the
34.16individual has received any notice, the board may impose a late filing fee of $50 per day,
34.17not to exceed $1,000, commencing on the day after the date the statement was due.
34.18The board must send notice by certified mail to an individual who fails to file a
34.19report within ten business days after the report was due that the individual may be subject
34.20to a civil penalty for failure to file the report. An individual who fails to file the report
34.21within seven days after the certified mail notice was sent by the board is subject to a civil
34.22penalty imposed by the board of up to $1,000.

34.23    Sec. 7. Minnesota Statutes 2012, section 10A.273, subdivision 1, is amended to read:
34.24    Subdivision 1. Contributions during legislative session. (a) A candidate for the
34.25legislature or for constitutional office, the candidate's principal campaign committee, or
34.26a political committee or party unit established by all or a part of the party organization
34.27within a house of the legislature, must not solicit or accept a contribution from a registered
34.28lobbyist, political committee, political fund, or dissolving principal campaign committee
34.29 an association not registered with the board, or from a party unit established by the party
34.30organization within a house of the legislature, during a regular session of the legislature.
34.31(b) A registered lobbyist, political committee, political fund, or dissolving principal
34.32campaign committee an association not registered with the board, or a party unit established
34.33by the party organization within a house of the legislature, must not make a contribution to a
35.1candidate for the legislature or for constitutional office, the candidate's principal campaign
35.2committee, or a political committee or party unit established by all or a part of the party
35.3organization within a house of the legislature during a regular session of the legislature.

35.4    Sec. 8. Minnesota Statutes 2012, section 10A.273, subdivision 4, is amended to read:
35.5    Subd. 4. Civil penalty. A candidate, political committee, party unit, political fund,
35.6principal campaign committee an association not registered with the board, or a registered
35.7lobbyist that violates this section is subject to a civil penalty imposed by the board of up
35.8to $1,000. If the board makes a public finding that there is probable cause to believe a
35.9violation of this section has occurred, the board must may bring an action, or transmit the
35.10finding to a county attorney who must bring an action, in the District Court of Ramsey
35.11County, to collect a civil penalty as imposed by the board. Penalties paid under this section
35.12must be deposited in the general fund in the state treasury.

35.13    Sec. 9. Minnesota Statutes 2012, section 10A.30, is amended to read:
35.1410A.30 STATE ELECTIONS CAMPAIGN FUND ACCOUNT.
35.15    Subdivision 1. Establishment. An account is established in the special revenue fund
35.16of the state known as the "state elections campaign fund account."
35.17    Subd. 2. Separate account. Within the state elections campaign fund account there
35.18must be maintained a separate political party account for the state committee and the
35.19candidates of each political party and a general account.
35.20    Subd. 3. Special elections account. An account is established in the special revenue
35.21fund of the state known as the "state special elections campaign account."

35.22    Sec. 10. Minnesota Statutes 2012, section 10A.31, subdivision 7, is amended to read:
35.23    Subd. 7. Distribution of general account. (a) As soon as the board has obtained
35.24the results of the primary election from the secretary of state, but no later than one week
35.25after certification of the primary results by the State Canvassing Board, the board must
35.26distribute the available money in the general account, as certified by the commissioner of
35.27revenue on September 1 one week before the state primary and according to allocations set
35.28forth in subdivision 5, in equal amounts to all candidates of a major political party whose
35.29names are to appear on the ballot in the general election and who:
35.30(1) have signed a spending limit agreement under section 10A.322;
35.31(2) have filed the affidavit of contributions required by section 10A.323; and
35.32(3) were opposed in either the primary election or the general election.
36.1(b) The public subsidy under this subdivision may not be paid in an amount that
36.2would cause the sum of the public subsidy paid from the party account plus the public
36.3subsidy paid from the general account to exceed 50 percent of the expenditure limit for the
36.4candidate or 50 percent of the expenditure limit that would have applied to the candidate if
36.5the candidate had not been freed from expenditure limits under section 10A.25, subdivision
36.610 . Money from the general account not paid to a candidate because of the 50 percent limit
36.7must be distributed equally among all other qualifying candidates for the same office until
36.8all have reached the 50 percent limit or the balance in the general account is exhausted.
36.9(c) A candidate must expend or become obligated to expend at least an amount equal
36.10to 50 percent of the money distributed by the board under this subdivision no later than the
36.11end of the final reporting period preceding the general election. Otherwise, the candidate
36.12must repay to the board the difference between the amount the candidate spent or became
36.13obligated to spend by the deadline and the amount distributed to the candidate under this
36.14subdivision. The candidate must make the repayment no later than six months following
36.15the general election. The candidate must reimburse the board for all reasonable costs,
36.16including litigation costs, incurred in collecting any amount due.
36.17If the board determines that a candidate has failed to repay money as required by this
36.18paragraph, the board may not distribute any additional money to the candidate until the
36.19entirety of the repayment has been made.

36.20    Sec. 11. Minnesota Statutes 2012, section 10A.315, is amended to read:
36.2110A.315 SPECIAL ELECTION SUBSIDY.
36.22(a) Each eligible candidate for a legislative office in a special election must be
36.23paid a public subsidy equal to the sum of:
36.24(1) the party account money at the last general election for the candidate's party
36.25for the office the candidate is seeking; and
36.26(2) the general account money paid to a candidate for the same office at the last
36.27general election.
36.28(b) A candidate who wishes to receive this public subsidy must submit a signed
36.29agreement under section 10A.322 to the board and must meet the contribution
36.30requirements of section 10A.323. The special election subsidy must be distributed in the
36.31same manner as money in the party and general accounts is distributed to legislative
36.32candidates in a general election.
36.33(c) The amount necessary to make the payments required by this section is
36.34appropriated from the general fund to the board for transfer to the state special elections
36.35campaign account for distribution by the board as set forth in this section.

37.1    Sec. 12. Minnesota Statutes 2012, section 10A.322, subdivision 4, is amended to read:
37.2    Subd. 4. Refund receipt forms; penalty. The board must make available to a
37.3political party on request and to any candidate for whom an agreement under this section
37.4is effective, a supply of official refund receipt forms that state in boldface type that:
37.5(1) a contributor who is given a receipt form is eligible to claim a refund as provided
37.6in section 290.06, subdivision 23,; and
37.7(2) if the contribution is to a candidate, that the candidate has signed an agreement to
37.8limit campaign expenditures as provided in this section.
37.9The forms must provide duplicate copies of the receipt to be attached to the contributor's
37.10claim. A candidate who does not sign an agreement under this section and who willfully
37.11issues The willful issuance of an official refund receipt form or a facsimile of one to any
37.12of the candidate's contributors by a candidate or treasurer of a candidate who did not sign
37.13an agreement under this section is guilty of a misdemeanor.

37.14ARTICLE 4

37.15CONFORMING CHANGES

37.16    Section 1. Minnesota Statutes 2012, section 10A.242, subdivision 1, is amended to read:
37.17    Subdivision 1. Dissolution required. A political committee, political fund, or
37.18principal campaign committee must be dissolved within 60 days after receiving notice
37.19from the board that the committee or fund has become inactive. The assets of the
37.20committee or fund must be spent for the purposes authorized by section 211B.12 and other
37.21applicable law or liquidated and deposited in the general account of the state elections
37.22campaign fund account within 60 days after the board notifies the committee or fund
37.23that it has become inactive.

37.24    Sec. 2. Minnesota Statutes 2012, section 10A.27, subdivision 9, is amended to read:
37.25    Subd. 9. Contributions to and from other candidates. (a) A candidate or the
37.26treasurer of a candidate's principal campaign committee must not accept a contribution
37.27from another candidate's principal campaign committee or from any other committee
37.28bearing the contributing candidate's name or title or otherwise authorized by the
37.29contributing candidate, unless the contributing candidate's principal campaign committee
37.30is being dissolved. A candidate's principal campaign committee must not make a
37.31contribution to another candidate's principal campaign committee, except when the
37.32contributing committee is being dissolved.
37.33(b) A principal campaign committee that makes a contribution to another principal
37.34campaign committee must provide with the contribution a written statement of the
38.1committee's intent to dissolve and terminate its registration within 12 months after the
38.2contribution was made. If the committee fails to dissolve and terminate its registration by
38.3that time, the board may levy a civil penalty up to four times the size of the contribution
38.4against the contributing committee. A contribution from a terminating principal campaign
38.5committee that is not accepted by another principal campaign committee must be forwarded
38.6to the board for deposit in the general account of the state elections campaign fund account.
38.7(c) A candidate's principal campaign committee must not accept a contribution from,
38.8or make a contribution to, a committee associated with a person who seeks nomination
38.9or election to the office of president, senator, or representative in Congress of the United
38.10States.
38.11(d) A candidate or the treasurer of a candidate's principal campaign committee must
38.12not accept a contribution from a candidate for political subdivision office in any state,
38.13unless the contribution is from the personal funds of the candidate for political subdivision
38.14office. A candidate or the treasurer of a candidate's principal campaign committee must
38.15not make a contribution from the principal campaign committee to a candidate for political
38.16subdivision office in any state.

38.17    Sec. 3. Minnesota Statutes 2012, section 10A.31, subdivision 1, is amended to read:
38.18    Subdivision 1. Designation. An individual resident of this state who files an income
38.19tax return or a renter and homeowner property tax refund return with the commissioner of
38.20revenue may designate on their original return that $5 be paid from the general fund of
38.21the state into the state elections campaign fund account. If a husband and wife file a joint
38.22return, each spouse may designate that $5 be paid. No individual is allowed to designate
38.23$5 more than once in any year. The taxpayer may designate that the amount be paid into
38.24the account of a political party or into the general account.

38.25    Sec. 4. Minnesota Statutes 2012, section 10A.31, subdivision 4, is amended to read:
38.26    Subd. 4. Appropriation. (a) The amounts designated by individuals for the state
38.27elections campaign fund account, less three percent, are appropriated from the general
38.28fund, must be transferred and credited to the appropriate account in the state elections
38.29campaign fund account, and are annually appropriated for distribution as set forth in
38.30subdivisions 5, 5a, 6, and 7. The remaining three percent must be kept in the general fund
38.31for administrative costs.
38.32(b) In addition to the amounts in paragraph (a), $1,020,000 for each general election
38.33is appropriated from the general fund for transfer to the general account of the state
38.34elections campaign fund account.

39.1    Sec. 5. Minnesota Statutes 2012, section 10A.321, subdivision 1, is amended to read:
39.2    Subdivision 1. Calculation and certification of estimates. The commissioner of
39.3revenue must calculate and certify to the board one week before the first day for filing for
39.4office in each election year an estimate of the total amount in the state general account
39.5of the state elections campaign fund account and the amount of money each candidate
39.6who qualifies, as provided in section 10A.31, subdivisions 6 and 7, may receive from the
39.7candidate's party account in the state elections campaign fund account. This estimate must
39.8be based upon the allocations and formulas in section 10A.31, subdivisions 5 and 5a, any
39.9necessary vote totals provided by the secretary of state to apply the formulas in section
39.1010A.31 , subdivisions 5 and 5a, and the amount of money expected to be available after
39.11100 percent of the tax returns have been processed.

39.12    Sec. 6. Minnesota Statutes 2012, section 10A.324, subdivision 1, is amended to read:
39.13    Subdivision 1. When return required. A candidate must return all or a portion
39.14of the public subsidy received from the state elections campaign fund account or the
39.15public subsidy received under section 10A.315, under the circumstances in this section or
39.16section 10A.257, subdivision 1.
39.17To the extent that the amount of public subsidy received exceeds the aggregate of:
39.18(1) actual expenditures made by the principal campaign committee of the candidate; and
39.19(2) approved expenditures made on behalf of the candidate, the treasurer of the candidate's
39.20principal campaign committee must return an amount equal to the difference to the board.
39.21The cost of postage that was not used during an election cycle and payments that created
39.22credit balances at vendors at the close of an election cycle are not considered expenditures
39.23for purposes of determining the amount to be returned. Expenditures in excess of the
39.24candidate's spending limit do not count in determining aggregate expenditures under
39.25this paragraph.

39.26    Sec. 7. Minnesota Statutes 2012, section 211B.37, is amended to read:
39.27211B.37 COSTS ASSESSED.
39.28Except as otherwise provided in section 211B.36, subdivision 3, the chief
39.29administrative law judge shall assess the cost of considering complaints filed under section
39.30211B.32 as provided in this section. Costs of complaints relating to a statewide ballot
39.31question or an election for a statewide or legislative office must be assessed against the
39.32appropriation from the general fund to the general account of the state elections campaign
39.33fund account in section 10A.31, subdivision 4. Costs of complaints relating to any other
39.34ballot question or elective office must be assessed against the county or counties in
40.1which the election is held. Where the election is held in more than one county, the chief
40.2administrative law judge shall apportion the assessment among the counties in proportion
40.3to their respective populations within the election district to which the complaint relates
40.4according to the most recent decennial federal census.

40.5    Sec. 8. EFFECTIVE DATE.
40.6    This article is effective the day following final enactment."
40.7Delete the title and insert:

40.8"A bill for an act

40.9relating to government operations; making various policy, technical, conforming,
40.10and other changes to campaign finance and public disclosure law; providing for
40.11additional disclosure; modifying certain regulations, reporting, spending and
40.12contribution limits, registration, definitions, and various procedures; modifying
40.13definition of public official; modifying penalties related to corporate political
40.14contributions; providing penalties;amending Minnesota Statutes 2012, sections
40.1510A.01, subdivisions 10, 11, 16, 27, 28, 35, by adding subdivisions; 10A.02,
40.16subdivisions 9, 10, 11, 12, 15; 10A.025, subdivisions 2, 3, 4; 10A.04, subdivision
40.175; 10A.07; 10A.071, subdivisions 1, 3; 10A.08; 10A.09, subdivision 6a, by
40.18adding a subdivision; 10A.105, subdivision 1; 10A.12, subdivisions 1, 1a, 2;
40.1910A.121; 10A.14, subdivision 1, by adding a subdivision; 10A.15, subdivisions
40.201, 3; 10A.16; 10A.20, subdivisions 1, 2, 3, 4, 5, 6, 7, 12, by adding a subdivision;
40.2110A.241; 10A.242, subdivision 1; 10A.25, subdivisions 2, 2a, 3; 10A.257,
40.22subdivision 1; 10A.27, subdivisions 1, 9, 10, 11, 13, 14, 15; 10A.273, subdivisions
40.231, 4; 10A.30; 10A.31, subdivisions 1, 4, 7; 10A.315; 10A.321, subdivision 1;
40.2410A.322, subdivision 4; 10A.323; 10A.324, subdivision 1; 211B.15, subdivisions
40.256, 7, by adding a subdivision; 211B.32, subdivision 1; 211B.37; proposing
40.26coding for new law in Minnesota Statutes, chapter 10A; repealing Minnesota
40.27Statutes 2012, sections 10A.24; 10A.242; 10A.25, subdivision 6."

41.1	We request the adoption of this report and repassage of the bill.
41.2	Senate Conferees:
41.3	.....		.....
41.4	Ann H. Rest		Katie Sieben
41.5	.....
41.6	Matt Schmit
41.7	House Conferees:
41.8	.....		.....
41.9	Ryan Winkler		Raymond Dehn
41.10	.....
41.11	Kurt Daudt