1.1 	A bill for an act
1.2 	relating to campaign finance; repealing the political contribution refund; 
1.3 	repealing the public subsidy program and related expenditure limits;amending 
1.4 	Minnesota Statutes 2014, sections 10A.01, subdivision 26; 10A.105, subdivision 
1.5 	1; 10A.257, subdivision 1; 270A.03, subdivision 7; 289A.50, subdivision 1; 
1.6 	290.01, subdivision 6; repealing Minnesota Statutes 2014, sections 10A.25, 
1.7 	subdivisions 1, 2, 2a, 3, 3a, 5, 10; 10A.255, subdivisions 1, 3; 10A.30; 10A.31, 
1.8 	subdivisions 1, 3, 3a, 4, 5, 5a, 6, 6a, 7, 7a, 10, 10a, 10b, 11; 10A.315; 10A.321; 
1.9 	10A.322, subdivisions 1, 2, 4; 10A.323; 10A.324, subdivisions 1, 3; 13.4967, 
1.10 	subdivision 2; 290.06, subdivision 23; Minnesota Rules, parts 4503.1400, 
1.11 	subparts 2, 3, 4, 5, 6, 7, 8, 9; 4503.1450.
1.12 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.13 	Section 1. Minnesota Statutes 2014, section 10A.01, subdivision 26, is amended to read:
1.14 		Subd. 26.Noncampaign disbursement. "Noncampaign disbursement" means 
1.15 	a purchase or payment of money or anything of value made, or an advance of credit 
1.16 	incurred, or a donation in kind received, by a principal campaign committee for any of 
1.17 	the following purposes:
1.18 	(1) payment for accounting and legal services;
1.19 	(2) return of a contribution to the source;
1.20 	(3) repayment of a loan made to the principal campaign committee by that committee;
1.21 	(4) return of a public subsidy;
1.22 	(5) payment for food, beverages, and necessary utensils and supplies, entertainment, 
1.23 	and facility rental for a fund-raising event;
1.24 	(6) (5) services for a constituent by a member of the legislature or a constitutional 
1.25 	officer in the executive branch, including the costs of preparing and distributing a 
1.26 	suggestion or idea solicitation to constituents, performed from the beginning of the term 
1.27 	of office to adjournment sine die of the legislature in the election year for the office 
2.1 	held, and half the cost of services for a constituent by a member of the legislature or a 
2.2 	constitutional officer in the executive branch performed from adjournment sine die to 60 
2.3 	days after adjournment sine die;
2.4 	(7) (6) payment for food and beverages consumed by a candidate or volunteers while 
2.5 	they are engaged in campaign activities;
2.6 	(8) (7) payment for food or a beverage consumed while attending a reception or 
2.7 	meeting directly related to legislative duties;
2.8 	(9) (8) payment of expenses incurred by elected or appointed leaders of a legislative 
2.9 	caucus in carrying out their leadership responsibilities;
2.10 	(10) (9) payment by a principal campaign committee of the candidate's expenses 
2.11 	for serving in public office, other than for personal uses;
2.12 	(11) (10) costs of child care for the candidate's children when campaigning;
2.13 	(12) (11) fees paid to attend a campaign school;
2.14 	(13) (12) costs of a postelection party during the election year when a candidate's 
2.15 	name will no longer appear on a ballot or the general election is concluded, whichever 
2.16 	occurs first;
2.17 	(14) (13) interest on loans paid by a principal campaign committee on outstanding 
2.18 	loans;
2.19 	(15) (14) filing fees;
2.20 	(16) (15) post-general election holiday or seasonal cards, thank-you notes, or 
2.21 	advertisements in the news media mailed or published prior to the end of the election cycle;
2.22 	(17) (16) the cost of campaign material purchased to replace defective campaign 
2.23 	material, if the defective material is destroyed without being used;
2.24 	(18) (17) contributions to a party unit;
2.25 	(19) (18) payments for funeral gifts or memorials;
2.26 	(20) (19) the cost of a magnet less than six inches in diameter containing legislator 
2.27 	contact information and distributed to constituents;
2.28 	(21) (20) costs associated with a candidate attending a political party state or national 
2.29 	convention in this state;
2.30 	(22) (21) other purchases or payments specified in board rules or advisory opinions 
2.31 	as being for any purpose other than to influence the nomination or election of a candidate 
2.32 	or to promote or defeat a ballot question; and
2.33 	(23) (22) costs paid to a third party for processing contributions made by a credit 
2.34 	card, debit card, or electronic check.
2.35 	The board must determine whether an activity involves a noncampaign disbursement 
2.36 	within the meaning of this subdivision.
3.1 	A noncampaign disbursement is considered to be made in the year in which the 
3.2 	candidate made the purchase of goods or services or incurred an obligation to pay for 
3.3 	goods or services.

3.4 	EFFECTIVE DATE. This section is effective July 1, 2015, and applies to elections 
3.5 	held on or after that date.

3.6 	Sec. 2. Minnesota Statutes 2014, section 10A.105, subdivision 1, is amended to read:
3.7 		Subdivision 1.Single committee. A candidate must not accept contributions 
3.8 	from a source, other than self, in aggregate in excess of $750 or accept a public subsidy
3.9 	unless the candidate designates and causes to be formed a single principal campaign 
3.10 	committee for each office sought. A candidate may not authorize, designate, or cause to be 
3.11 	formed any other political committee bearing the candidate's name or title or otherwise 
3.12 	operating under the direct or indirect control of the candidate. However, a candidate may 
3.13 	be involved in the direct or indirect control of a party unit.

3.14 	EFFECTIVE DATE. This section is effective July 1, 2015, and applies to elections 
3.15 	held on or after that date.

3.16 	Sec. 3. Minnesota Statutes 2014, section 10A.257, subdivision 1, is amended to read:
3.17 		Subdivision 1.Unused funds. For election cycles ending on or before December 
3.18 	31, 2016, after all campaign expenditures and noncampaign disbursements for an election 
3.19 	cycle have been made, an amount up to 25 percent of the 2014 election cycle expenditure 
3.20 	limit for the office may be carried forward. Any remaining amount up to the total amount of 
3.21 	the 2014 public subsidy from the state elections campaign fund must be returned to the state 
3.22 	treasury for credit to the general fund under section 10A.324. Any remaining amount in 
3.23 	excess of the 2014 total public subsidy must be contributed to the state elections campaign 
3.24 	account or a political party for multicandidate expenditures as defined in section 10A.275.

3.25 	EFFECTIVE DATE. This section is effective July 1, 2015, and applies to elections 
3.26 	held on or after that date.

3.27 	Sec. 4. Minnesota Statutes 2014, section 270A.03, subdivision 7, is amended to read:
3.28 		Subd. 7.Refund. "Refund" means an individual income tax refund or political 
3.29 	contribution refund, pursuant to chapter 290, or a property tax credit or refund, pursuant to 
3.30 	chapter 290A, or a sustainable forest payment to a claimant under chapter 290C.
4.1 	For purposes of this chapter, lottery prizes, as set forth in section 349A.08, subdivision 
4.2 	8, and amounts granted to persons by the legislature on the recommendation of the joint 
4.3 	senate-house of representatives Subcommittee on Claims shall be treated as refunds.
4.4 	In the case of a joint property tax refund payable to spouses under chapter 290A, 
4.5 	the refund shall be considered as belonging to each spouse in the proportion of the total 
4.6 	refund that equals each spouse's proportion of the total income determined under section 
4.7 	290A.03, subdivision 3. In the case of a joint income tax refund under chapter 289A, the 
4.8 	refund shall be considered as belonging to each spouse in the proportion of the total 
4.9 	refund that equals each spouse's proportion of the total taxable income determined under 
4.10 	section 290.01, subdivision 29. The commissioner shall remit the entire refund to the 
4.11 	claimant agency, which shall, upon the request of the spouse who does not owe the debt, 
4.12 	determine the amount of the refund belonging to that spouse and refund the amount to 
4.13 	that spouse. For court fines, fees, and surcharges and court-ordered restitution under 
4.14 	section 611A.04, subdivision 2, the notice provided by the commissioner of revenue under 
4.15 	section 270A.07, subdivision 2, paragraph (b), serves as the appropriate legal notice 
4.16 	to the spouse who does not owe the debt.

4.17 	EFFECTIVE DATE. This section is effective for political contribution refund 
4.18 	claims based on contributions made on or after July 1, 2015.

4.19 	Sec. 5. Minnesota Statutes 2014, section 289A.50, subdivision 1, is amended to read:
4.20 		Subdivision 1.General right to refund. (a) Subject to the requirements of this 
4.21 	section and section 289A.40, a taxpayer who has paid a tax in excess of the taxes lawfully 
4.22 	due and who files a written claim for refund will be refunded or credited the overpayment 
4.23 	of the tax determined by the commissioner to be erroneously paid.
4.24 	(b) The claim must specify the name of the taxpayer, the date when and the period 
4.25 	for which the tax was paid, the kind of tax paid, the amount of the tax that the taxpayer 
4.26 	claims was erroneously paid, the grounds on which a refund is claimed, and other 
4.27 	information relative to the payment and in the form required by the commissioner. An 
4.28 	income tax, estate tax, or corporate franchise tax return, or amended return claiming an 
4.29 	overpayment constitutes a claim for refund.
4.30 	(c) When, in the course of an examination, and within the time for requesting a 
4.31 	refund, the commissioner determines that there has been an overpayment of tax, the 
4.32 	commissioner shall refund or credit the overpayment to the taxpayer and no demand 
4.33 	is necessary. If the overpayment exceeds $1, the amount of the overpayment must 
4.34 	be refunded to the taxpayer. If the amount of the overpayment is less than $1, the 
5.1 	commissioner is not required to refund. In these situations, the commissioner does not 
5.2 	have to make written findings or serve notice by mail to the taxpayer.
5.3 	(d) If the amount allowable as a credit for withholding, estimated taxes, or dependent 
5.4 	care exceeds the tax against which the credit is allowable, the amount of the excess is 
5.5 	considered an overpayment. The refund allowed by section 290.06, subdivision 23, is also 
5.6 	considered an overpayment. The requirements of section 270C.33 do not apply to the 
5.7 	refunding of such an overpayment shown on the original return filed by a taxpayer.
5.8 	(e) If the entertainment tax withheld at the source exceeds by $1 or more the taxes, 
5.9 	penalties, and interest reported in the return of the entertainment entity or imposed by 
5.10 	section 290.9201, the excess must be refunded to the entertainment entity. If the excess is 
5.11 	less than $1, the commissioner need not refund that amount.
5.12 	(f) If the surety deposit required for a construction contract exceeds the liability of 
5.13 	the out-of-state contractor, the commissioner shall refund the difference to the contractor.
5.14 	(g) An action of the commissioner in refunding the amount of the overpayment does 
5.15 	not constitute a determination of the correctness of the return of the taxpayer.
5.16 	(h) There is appropriated from the general fund to the commissioner of revenue the 
5.17 	amount necessary to pay refunds allowed under this section.

5.18 	EFFECTIVE DATE. This section is effective for political contribution refund 
5.19 	claims based on contributions made on or after July 1, 2015.

5.20 	Sec. 6. Minnesota Statutes 2014, section 290.01, subdivision 6, is amended to read:
5.21 		Subd. 6.Taxpayer. The term "taxpayer" means any person or corporation subject to 
5.22 	a tax imposed by this chapter. For purposes of section 290.06, subdivision 23, the term 
5.23 	"taxpayer" means an individual eligible to vote in Minnesota under section 201.014.

5.24 	EFFECTIVE DATE. This section is effective for political contribution refund 
5.25 	claims based on contributions made on or after July 1, 2015.

5.26 	Sec. 8.  REPEALER.
 5.27 	(a) Minnesota Statutes 2014, sections 10A.25, subdivisions 1, 2, 2a, 3, 3a, 5, and 10; 
5.28 	10A.255, subdivisions 1 and 3; 10A.30; 10A.31, subdivisions 1, 3, 3a, 4, 5, 5a, 6, 6a, 7, 
5.29 	7a, 10, 10a, 10b, and 11; 10A.315; 10A.321; 10A.322, subdivisions 1, 2, and 4; 10A.323; 
5.30 	and 10A.324, subdivisions 1 and 3, and Minnesota Rules, parts 4503.1400, subparts 2, 3, 
5.31 	4, 5, 6, 7, 8, and 9; and 4503.1450, are repealed.
5.32 	(b) Minnesota Statutes 2014, sections 13.4967, subdivision 2; and 290.06, 
5.33 	subdivision 23, are repealed.

6.1 	EFFECTIVE DATE. Paragraph (a) is effective July 1, 2015, and applies to 
6.2 	elections held on or after that date. Paragraph (b) is effective for contributions made 
6.3 	after June 30, 2015.