Minnesota Session Laws - 1993, Regular Session

  
    Laws of Minnesota 1993 

                        CHAPTER 318-H.F.No. 201 
           An act relating to elections; providing campaign 
          reform; permitting cities to use mail ballots in city, 
          county, and state elections; limiting noncampaign 
          disbursements to items specified by law; requiring 
          lobbyists and political committees and funds to 
          include their registration number on contributions; 
          prohibiting certain "friends of" committees; requiring 
          reports by certain solicitors of campaign 
          contributions; limiting certain contributions; 
          changing the judicial ballot; regulating related 
          committees; changing expenditure limits; limiting use 
          of contributions carried forward; requiring unused 
          postage to be carried forward as an expenditure; 
          requiring certain notices; changing contribution 
          limits; limiting contributions by political parties; 
          prohibiting transfers from one candidate to another, 
          with certain exceptions; limiting contributions by 
          certain political committees, funds, and individuals; 
          eliminating public subsidies to unopposed candidates; 
          providing for a public matching subsidy; increasing 
          expenditure limits in certain cases; clarifying filing 
          requirements for candidate agreements and the duration 
          of the agreements; providing for distribution of 
          public subsidies; requiring return of public subsidies 
          under certain conditions; prohibiting political 
          contributions by certain nonprofit corporations and 
          partnerships; requiring certain reports; providing 
          transition language; defining certain terms; 
          clarifying certain language; imposing penalties; 
          appropriating money; amending Minnesota Statutes 1992, 
          sections 10A.01, subdivisions 10b, 10c, and by adding 
          subdivisions; 10A.04, by adding a subdivision; 
          10A.065, subdivisions 1 and 5; 10A.14, subdivision 2; 
          10A.15, by adding subdivisions; 10A.16; 10A.17, 
          subdivisions 4 and 5; 10A.19, subdivision 1; 10A.20, 
          subdivisions 2, 3, and by adding subdivisions; 10A.24, 
          subdivision 1; 10A.25, subdivisions 2, 6, 10, and by 
          adding subdivisions; 10A.27, subdivisions 1, 2, 9, and 
          by adding subdivisions; 10A.28, subdivision 2; 10A.31, 
          subdivisions 6, 7, 10, and by adding a subdivision; 
          10A.315; 10A.322, subdivisions 1 and 2; 10A.323; 
          10A.324, subdivisions 1, 3, and by adding a 
          subdivision; 204B.36, subdivision 4; 204B.45, 
          subdivision 1; 211B.12; 211B.15; and 290.06, 
          subdivision 23; proposing coding for new law in 
          Minnesota Statutes, chapters 10A; and 211A; repealing 
          Minnesota Statutes 1992, sections 10A.27, subdivision 
          6; 10A.31, subdivisions 8 and 9; 488A.021, subdivision 
          3; and 488A.19, subdivision 2. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                                ARTICLE 1
    Section 1.  Minnesota Statutes 1992, section 204B.45, 
subdivision 1, is amended to read: 
    Subdivision 1.  [AUTHORIZATION.] Any statutory or home rule 
charter city or town having fewer than 400 registered voters on 
June 1 of an election year and not located in a metropolitan 
county as defined by section 473.121 may apply to the county 
auditor to provide balloting by mail at any city, county, or 
state election with no polling place other than the office of 
the auditor or clerk.  The governing body may apply to the 
county auditor for permission to conduct balloting by mail.  The 
county board may provide for balloting by mail in unorganized 
territory. 

                                 ARTICLE 2
    Section 1.  Minnesota Statutes 1992, section 10A.01, is 
amended by adding a subdivision to read: 
    Subd. 9a.  [ELECTION CYCLE.] "Election cycle" means the 
period from January 1 following a general election for an office 
to December 31 following the next general election for that 
office, except that "election cycle" for a special election 
means the period from the date the special election writ is 
issued to 60 days after the special election is held. 
    Sec. 2.  Minnesota Statutes 1992, section 10A.01, 
subdivision 10b, is amended to read: 
    Subd. 10b.  "Independent expenditure" means an expenditure 
expressly advocating the election or defeat of a clearly 
identified candidate, which expenditure is made without the 
express or implied consent, authorization, or cooperation of, 
and not in concert with or at the request or suggestion of, any 
candidate or any candidate's principal campaign committee or 
agent.  An independent expenditure is not a contribution to that 
candidate.  An expenditure by a political party or political 
party unit, as defined in section 10A.275, subdivision 3, in a 
race where the political party has a candidate on the ballot is 
not an independent expenditure. 
    Sec. 3.  Minnesota Statutes 1992, section 10A.01, 
subdivision 10c, is amended to read: 
    Subd. 10c.  [NONCAMPAIGN DISBURSEMENT.] "Noncampaign 
disbursement" means a purchase or payment of money or anything 
of value made, or an advance of credit incurred, by a political 
committee, political fund, or principal campaign committee for 
any purpose other than to influence the nomination or election 
of a candidate or to promote or defeat a ballot question.  
    Noncampaign disbursement includes any of the following 
purposes: 
    (a) payment for accounting and legal services; 
    (b) return of a contribution to the source; 
    (c) repayment of a loan made to the political committee, 
political fund, or principal campaign committee by that 
committee or fund; 
    (d) return of money from the state elections campaign fund 
a public subsidy; 
    (e) payment for food, beverages, entertainment, and 
facility rental for a fundraising event; 
    (f) services for a constituent by a member of the 
legislature or a constitutional officer in the executive branch, 
performed from the beginning of the term of office to 60 days 
after adjournment sine die of the legislature in the election 
year for the office held, and half the cost of services for a 
constituent by a member of the legislature or a constitutional 
officer in the executive branch performed from adjournment sine 
die to 60 days after adjournment sine die; 
    (g) a donation in kind given to the political committee, 
political fund, or principal campaign committee for purposes 
listed in clauses (e) and (f); 
    (h) payment for food and beverages provided to campaign 
volunteers while they are engaged in campaign activities; 
    (i) payment of expenses incurred by elected or appointed 
leaders of a legislative caucus in carrying out their leadership 
responsibilities; 
    (j) payment by a principal campaign committee of the 
candidate's expenses for serving in public office, other than 
for personal uses; 
    (k) costs of child care for the candidate's children when 
campaigning; 
    (l) fees paid to attend a campaign school; 
    (m) costs of a postelection party during the election year 
when a candidate's name will no longer appear on a ballot or the 
general election is concluded, whichever occurs first; 
    (n) interest on loans paid by a principal campaign 
committee on outstanding loans; 
    (o) filing fees; 
    (p) post-general election thank-you notes or advertisements 
in the news media; 
    (q) the cost of campaign material purchased to replace 
defective campaign material, if the defective material is 
destroyed without being used; 
    (r) transfers to a party unit as defined in section 
10A.275, subdivision 3; and 
    (s) other purchases or payments specified in board rules or 
advisory opinions as being for any purpose other than to 
influence the nomination or election of a candidate or to 
promote or defeat a ballot question. 
    The board shall determine whether an activity involves a 
noncampaign disbursement within the meaning of this subdivision; 
and 
    (h) Payment for food and beverages provided to campaign 
volunteers while they are engaged in campaign activities.  
    Sec. 4.  Minnesota Statutes 1992, section 10A.01, is 
amended by adding a subdivision to read: 
    Subd. 29.  [POPULATION.] "Population" means the population 
established by the most recent federal census, by a special 
census taken by the United States Bureau of the Census, by an 
estimate made by the metropolitan council, or by an estimate 
made by the state demographer under section 4A.02, whichever has 
the latest stated date of count or estimate. 
    Sec. 5.  Minnesota Statutes 1992, section 10A.04, is 
amended by adding a subdivision to read: 
    Subd. 8.  [REPORTS BY SOLICITORS.] A lobbyist who directly 
solicits and causes others to make aggregate contributions to 
candidates or a caucus of the members of a political party in a 
house of the legislature in excess of $5,000 between January 1 
of the election year and 25 days before the primary or general 
election must file the information in the report required by 
section 10A.20, subdivision 14, ten days before the primary or 
general election.  This disclosure requirement is in addition to 
the report required by section 10A.20, subdivision 14. 
    Sec. 6.  Minnesota Statutes 1992, section 10A.065, 
subdivision 1, is amended to read: 
    Subdivision 1.  [REGISTERED LOBBYIST CONTRIBUTIONS; 
LEGISLATIVE SESSION.] A candidate for the legislature or for 
constitutional office, a candidate's principal campaign 
committee, any other political committee with the candidate's 
name or title, or any committee authorized by the candidate, or 
a political committee established by all or a part of the party 
organization within a house of the legislature, shall not 
solicit or accept a contribution on behalf of the a candidate's 
principal campaign committee, any other political committee with 
the candidate's name or title, or any committee authorized by 
the candidate, or a political committee established by all or a 
part of the party organization within a house of the 
legislature, from a registered lobbyist, political committee, or 
political fund during a regular session of the legislature.  
    Sec. 7.  Minnesota Statutes 1992, section 10A.065, 
subdivision 5, is amended to read: 
    Subd. 5.  [POLITICAL COMMITTEE.] This section does not 
apply to a political committee established by a state political 
party; by the party organization within a congressional 
district, county, legislative district, municipality, or 
precinct; by all or part of the party organization within each 
house of the legislature, except for individual members; by a 
candidate for a judicial office; or to a member of such a 
political committee acting solely on behalf of the committee. 
    Sec. 8.  Minnesota Statutes 1992, section 10A.14, 
subdivision 2, is amended to read: 
    Subd. 2.  The statement of organization shall include: 
    (a) The name and address of the political committee or 
political fund; 
    (b) The name and address of any supporting association of a 
political fund; 
    (c) The name and address of the chair, the treasurer, and 
any deputy treasurers; 
    (d) A listing of all depositories or safety deposit boxes 
used; 
    (e) A statement as to whether the committee is a principal 
campaign committee as authorized by section 10A.19, subdivision 
1; and 
    (f) For political parties only, a list of categories of 
substate units as defined in section 10A.27, subdivision 4. 
    Sec. 9.  Minnesota Statutes 1992, section 10A.15, is 
amended by adding a subdivision to read: 
    Subd. 3c.  [RELATED COMMITTEES.] An individual, 
association, political committee, or political fund may 
establish, finance, maintain, or control a political committee 
or political fund.  One who does this is a "parent."  The 
political committee or fund so established, financed, 
maintained, or controlled is a "subsidiary."  If the parent is 
an association, the association must create a political 
committee or political fund to serve as the parent for reporting 
purposes.  A subsidiary must report its contribution to a 
candidate or principal campaign committee as attributable to its 
parent, and the contribution is counted toward the contribution 
limits in section 10A.27 of the parent as well as of the 
subsidiary. 
    Sec. 10.  Minnesota Statutes 1992, section 10A.15, is 
amended by adding a subdivision to read: 
    Subd. 5.  [LOBBYIST, POLITICAL COMMITTEE, OR POLITICAL FUND 
REGISTRATION NUMBER ON CHECKS.] A contribution made to a 
candidate by a lobbyist, political committee, or political fund 
must show the name of the lobbyist, political committee, or 
political fund and the number under which it is registered with 
the board. 
    Sec. 11.  Minnesota Statutes 1992, section 10A.16, is 
amended to read: 
    10A.16 [EARMARKING CONTRIBUTIONS PROHIBITED.] 
    Any An individual, political committee, or political 
fund which receives may not solicit or accept a contribution 
from any source with the express or implied condition that the 
contribution or any part of it be directed to a particular 
candidate shall disclose to the ultimate recipient, and in the 
reports required by section 10A.20, the original source of the 
contribution, the fact that the contribution is earmarked and 
the candidate to whom it is directed.  The ultimate recipient of 
any contribution so earmarked shall also disclose the original 
source and the individual, political committee, or political 
fund through which it is directed. This section applies only to 
contributions required to be disclosed by section 10A.20, 
subdivision 3, clause (b).  Any other than the initial 
recipient.  An individual, political committee, or political 
fund who knowingly accepts any earmarked contribution and fails 
to make the required disclosure is guilty of a gross misdemeanor.
    Sec. 12.  Minnesota Statutes 1992, section 10A.17, 
subdivision 4, is amended to read: 
    Subd. 4.  Any individual, political committee, or political 
fund who independently solicits or accepts contributions or 
makes independent expenditures on behalf of any candidate shall 
publicly disclose that the candidate has not approved the 
expenditure is an independent expenditure.  All written 
communications with those from whom contributions are 
independently solicited or accepted or to whom independent 
expenditures are made on behalf of a candidate, shall contain a 
statement in conspicuous type that the activity is an 
independent expenditure and is not approved by the candidate nor 
is the candidate responsible for it.  Similar language shall be 
included in all oral communications, in conspicuous type on the 
front page of all literature and advertisements published or 
posted, and at the end of all broadcast advertisements made by 
that individual, political committee or political fund on the 
candidate's behalf. 
    Sec. 13.  Minnesota Statutes 1992, section 10A.17, 
subdivision 5, is amended to read: 
    Subd. 5.  Any person who knowingly violates the provisions 
of subdivision 2 or 4, or who falsely claims that the candidate 
has not approved the expenditure or activity is guilty of a 
misdemeanor.  A person who knowingly violates the provisions of 
subdivision 4 or falsely claims that an expenditure was an 
independent expenditure is guilty of a gross misdemeanor. 
    Sec. 14.  Minnesota Statutes 1992, section 10A.19, 
subdivision 1, is amended to read: 
    Subdivision 1.  No candidate shall accept contributions 
from any source, other than self, in aggregate in excess of $100 
or any money from the state elections campaign fund accept a 
public subsidy unless the candidate designates and causes to be 
formed a single principal campaign committee for each office 
sought.  A candidate may not authorize, designate, or cause to 
be formed any other political committee bearing the candidate's 
name or title or otherwise operating under the direct or 
indirect control of the candidate.  However, a candidate may be 
involved in the direct or indirect control of a party unit as 
defined in section 10A.275, subdivision 3. 
    A political committee bearing a candidate's name or title 
or otherwise operating under the direct or indirect control of 
the candidate, other than a principal campaign committee of the 
candidate, may not accept contributions after the effective date 
of this section, and must be dissolved by December 31, 1993.  
    Sec. 15.  Minnesota Statutes 1992, section 10A.20, 
subdivision 2, is amended to read: 
    Subd. 2.  The reports shall be filed with the board on or 
before January 31 of each year and additional reports shall be 
filed as required and in accordance with clauses (a) and (b).  
    (a) In each year in which the name of the candidate is on 
the ballot, the report of the principal campaign committee shall 
be filed ten days before a primary and a general election, seven 
days before a special primary and a special election, and 30 ten 
days after a special election cycle.  The report due after a 
special election may be filed on January 31 following the 
special election if the special election is held not more than 
60 days before that date.  
    (b) In each general election year political committees and 
political funds other than principal campaign committees shall 
file reports ten days before a primary and general election.  
    If a scheduled filing date falls on a Saturday, Sunday or 
legal holiday, the filing date shall be the next regular 
business day. 
    Sec. 16.  Minnesota Statutes 1992, section 10A.20, 
subdivision 3, is amended to read: 
    Subd. 3.  [CONTENTS OF REPORT.] Each report under this 
section shall disclose: 
    (a) The amount of liquid assets on hand at the beginning of 
the reporting period; 
    (b) The name, address and employer, or occupation if 
self-employed, of each individual, political committee or 
political fund who within the year has made one or more 
transfers or donations in kind to the political committee or 
political fund, including the purchase of tickets for all fund 
raising efforts, which in aggregate exceed $100 for legislative 
or statewide candidates or ballot questions, together with the 
amount and date of each transfer or donation in kind, and the 
aggregate amount of transfers and donations in kind within the 
year from each source so disclosed.  A donation in kind shall be 
disclosed at its fair market value.  An approved expenditure is 
listed as a donation in kind.  A donation in kind is considered 
consumed in the reporting period in which it is received. The 
names of contributors shall be listed in alphabetical order; 
    (c) The sum of contributions to the political committee or 
political fund during the reporting period; 
    (d) Each loan made or received by the political committee 
or political fund within the year in aggregate in excess of 
$100, continuously reported until repaid or forgiven, together 
with the name, address, occupation and the principal place of 
business, if any, of the lender and any endorser and the date 
and amount of the loan.  If any loan made to the principal 
campaign committee of a candidate is forgiven at any time or 
repaid by any entity other than that principal campaign 
committee, it shall be reported as a contribution for the year 
in which the loan was made; 
    (e) Each receipt in excess of $100 not otherwise listed 
under clauses (b) to (d); 
    (f) The sum of all receipts of the political committee or 
political fund during the reporting period; 
    (g) The name and address of each individual or association 
to whom aggregate expenditures, including approved expenditures, 
have been made by or on behalf of the political committee or 
political fund within the year in excess of $100, together with 
the amount, date and purpose of each expenditure and the name 
and address of, and office sought by, each candidate on whose 
behalf the expenditure was made, identification of the ballot 
question which the expenditure is intended to promote or defeat, 
and in the case of independent expenditures made in opposition 
to a candidate, the name, address and office sought for each 
such candidate; 
      (h) The sum of all expenditures made by or on behalf of the 
political committee or political fund during the reporting 
period; 
      (i) The amount and nature of any advance of credit incurred 
by the political committee or political fund, continuously 
reported until paid or forgiven.  If any advance of credit 
incurred by the principal campaign committee of a candidate is 
forgiven at any time by the creditor or paid by any entity other 
than that principal campaign committee, it shall be reported as 
a donation in kind for the year in which the advance of credit 
was incurred; 
    (j) The name and address of each political committee, 
political fund, or principal campaign committee to which 
aggregate transfers in excess of $100 have been made within the 
year, together with the amount and date of each transfer; 
    (k) The sum of all transfers made by the political 
committee, political fund, or principal campaign committee 
during the reporting period; 
    (l) Except for contributions to a candidate or committee 
for a candidate for office in a municipality as defined in 
section 471.345, subdivision 1, the name and address of each 
individual or association to whom aggregate noncampaign 
disbursements in excess of $100 have been made within the year 
by or on behalf of a principal campaign committee, political 
committee, or political fund, together with the amount, date, 
and purpose of each noncampaign disbursement; and 
    (m) The sum of all noncampaign disbursements made within 
the year by or on behalf of a principal campaign committee, 
political committee, or political fund; and 
    (n) A report filed under subdivision 2, clause (b), by a 
political committee or political fund that is subject to 
subdivision 14, must contain the information required by 
subdivision 14, if the political committee or political fund has 
solicited and caused others to make aggregate contributions 
greater than $5,000 between January 1 of the general election 
year and the end of the reporting period.  This disclosure 
requirement is in addition to the report required by subdivision 
14. 
    Sec. 17.  Minnesota Statutes 1992, section 10A.20, is 
amended by adding a subdivision to read: 
    Subd. 6b.  [INDEPENDENT EXPENDITURES; NOTICE.] (a) Within 
24 hours after an individual, political committee, or political 
fund makes or becomes obligated by oral or written agreement to 
make an independent expenditure in excess of $100, other than an 
expenditure by an association targeted to inform solely its own 
dues-paying members of the association's position on a 
candidate, the individual, political committee, or political 
fund shall file with the board an affidavit notifying the board 
of the intent to make the independent expenditure and serve a 
copy of the affidavit on each candidate in the affected race and 
on the treasurer of the candidate's principal campaign 
committee.  The affidavit must contain the information with 
respect to the expenditure that is required to be reported under 
subdivision 3, paragraph (g); except that if an expenditure is 
reported before it is made, the notice must include a reasonable 
estimate of the anticipated amount.  Each new expenditure 
requires a new notice. 
    (b) An individual or the treasurer of a political committee 
or political fund who fails to give notice as required by this 
subdivision, or who files a false affidavit of notice, is guilty 
of a gross misdemeanor and is subject to a civil fine of up to 
four times the amount of the independent expenditure stated in 
the notice or of which notice was required, whichever is greater.
    Sec. 18.  Minnesota Statutes 1992, section 10A.20, is 
amended by adding a subdivision to read: 
    Subd. 14.  [REPORTS BY SOLICITORS.] An individual, 
association, political committee, or political fund, other than 
a candidate or the members of a candidate's principal campaign 
committee, that directly solicits and causes others to make 
contributions to candidates or a caucus of the members of a 
political party in a house of the legislature, that aggregate 
more than $5,000 in a calendar year must file with the board a 
report disclosing the amount of each contribution, the names of 
the contributors, and to whom the contributions were given.  The 
report for each calendar year must be filed with the board by 
January 31 of the following year.  The report must cover the 
accumulated contributions made or received during the calendar 
year. 
    Sec. 19.  Minnesota Statutes 1992, section 10A.24, 
subdivision 1, is amended to read: 
    Subdivision 1.  [TERMINATION REPORT.] No political 
committee or political fund shall dissolve until it has settled 
all of its debts and disposed of all its assets in excess of 
$100 and filed a termination report.  "Assets" include credit 
balances at vendors and physical assets such as computers and 
postage stamps.  Physical assets must be listed at their fair 
market value.  The termination report may be made at any time 
and shall include all information required in periodic reports.  
    Sec. 20.  Minnesota Statutes 1992, section 10A.25, 
subdivision 2, is amended to read: 
    Subd. 2.  (a) In a year in which an election is held for an 
office sought by a candidate, no expenditures shall be made by 
the principal campaign committee of that candidate, nor any 
approved expenditures made on behalf of that candidate which 
expenditures and approved expenditures result in an aggregate 
amount in excess of the following: 
    (a) (1) For governor and lieutenant governor, running 
together, $1,626,691; 
    (b) (2) For attorney general, $271,116; 
    (c) (3) For secretary of state, state treasurer, and state 
auditor, separately, $135,559; 
    (d) (4) For state senator, $40,669; 
    (e) (5) For state representative, $20,335. 
    (b) If a special election cycle occurs during a general 
election cycle, expenditures by or on behalf of a candidate in 
the special election do not count as expenditures by or on 
behalf of the candidate in the general election. 
    (c) The expenditure limits in this subdivision for an 
office are increased by ten percent for a candidate who is 
running for that office for the first time and who has not run 
previously for any other office whose territory now includes a 
population that is more than one-third of the population in the 
territory of the new office. 
    Sec. 21.  Minnesota Statutes 1992, section 10A.25, 
subdivision 6, is amended to read: 
    Subd. 6.  In any year following before an election year for 
the office held or sought, the aggregate amount of expenditures 
by and approved expenditures on behalf of a candidate for or 
holder of that office shall not exceed one-fourth 20 percent of 
the expenditure limit set forth in subdivision 2. 
    Sec. 22.  Minnesota Statutes 1992, section 10A.25, 
subdivision 10, is amended to read: 
    Subd. 10.  [EFFECT OF OPPONENT'S AGREEMENT.] (a) The 
expenditure limits imposed by this section apply only to 
candidates whose major political party opponents agree to be 
bound by the limits and who themselves agree to be bound by the 
limits as a condition of receiving a public subsidy for their 
campaigns in the form of an allocation of money from the state 
elections campaign fund.  
    (b) A candidate of a major political party who agrees to be 
bound by the limits and receives a public subsidy, who has an 
opponent who:  (1) is a candidate of a major political party; 
and (2) does not agree to be bound by the limits but is 
otherwise eligible to receive a public subsidy: 
    (i) is no longer bound by the limits, including those in 
section 10A.324, subdivision 1, paragraph (c); and 
    (ii) is eligible to receive a public subsidy; and 
    (iii) also receives, or shares equally with any other 
candidate who agrees to be bound by limits, the opponent's share 
of the general account public subsidy under section 10A.31. 
    For purposes of this subdivision, "otherwise eligible to 
receive a public subsidy" means that a candidate meets the 
requirements of sections 10A.31, 10A.315, 10A.321, and 10A.322, 
but does not mean that the candidate has filed an affidavit of 
matching funds under section 10A.323. 
    Sec. 23.  Minnesota Statutes 1992, section 10A.25, is 
amended by adding a subdivision to read: 
    Subd. 11.  [CARRYFORWARD; DISPOSITION OF OTHER 
FUNDS.] After all campaign expenditures and noncampaign 
disbursements for an election cycle have been made, an amount up 
to 50 percent of the expenditure limit for the office may be 
carried forward.  Any remaining amount up to the total amount of 
the public subsidy from the state elections campaign fund and 
any public matching subsidy must be returned to the state 
treasury for credit to the general fund under section 10A.324.  
Any remaining amount in excess of the total public subsidy must 
be contributed to the state elections campaign fund or a 
political party for multicandidate expenditures as defined in 
section 10A.275. 
    Sec. 24.  Minnesota Statutes 1992, section 10A.25, is 
amended by adding a subdivision to read: 
    Subd. 12.  [UNUSED POSTAGE AND CREDIT BALANCES CARRIED 
FORWARD.] Postage that is purchased but not used during an 
election cycle and credit balances at vendors that exceed a 
combined total of $500 must be carried forward and counted as 
expenditures during the election cycle during which they are 
used. 
    Sec. 25.  Minnesota Statutes 1992, section 10A.25, is 
amended by adding a subdivision to read: 
    Subd. 13.  [INDEPENDENT EXPENDITURES; LIMITS 
INCREASED.] (a) The expenditure limits in this section are 
increased by the sum of independent expenditures made in 
opposition to a candidate plus independent expenditures made on 
behalf of the candidate's major political party opponents, other 
than expenditures by an association targeted to inform solely 
its own dues-paying members of the association's position on a 
candidate. 
    (b) Within 48 hours after receipt of an expenditure report 
or notice required by section 10A.20, subdivision 3, 6, or 6b, 
the board shall notify each candidate in the race of the 
increase in the expenditure limit for the candidates against 
whom the independent expenditures have been made. 
    (c) Within three days after providing this notice, the 
board shall pay each candidate against whom the independent 
expenditures have been made, if the candidate is eligible to 
receive a public subsidy and has raised twice the minimum match 
required, an additional public subsidy equal to one-half the 
independent expenditures.  The amount needed to pay the 
additional public subsidy under this subdivision is appropriated 
from the general fund to the board. 
    Sec. 26.  Minnesota Statutes 1992, section 10A.27, 
subdivision 1, is amended to read: 
    Subdivision 1.  [CONTRIBUTION LIMITS.] Except as provided 
in subdivisions 2 and 6, no candidate shall permit the 
candidate's principal campaign committee to accept aggregate 
contributions from made or delivered by any individual, 
political committee, or political fund in excess of the 
following: 
    (a) To candidates for governor and lieutenant governor 
running together, $20,000 $2,000 in an election year for the 
office sought and $3,000 $500 in other years; 
    (b) To a candidate for attorney general, $10,000 $1,000 in 
an election year for the office sought and $2,000 $200 in other 
years; 
    (c) To a candidate for the office of secretary of state, 
state treasurer or state auditor, $5,000 $500 in an election 
year for the office sought and $1,000 $100 in other years; 
    (d) To a candidate for state senator, $1,500 $500 in an 
election year for the office sought and one-third of that 
amount $100 in other years; and 
    (e) To a candidate for state representative, $750 $500 in 
an election year for the office sought and one-third of that 
amount $100 in the other year. 
    The following deliveries are not subject to the bundling 
limitation in this subdivision: 
    (1) delivery of contributions collected by a member of the 
candidate's principal campaign committee, such as a block worker 
or a volunteer who hosts a fund raising event, to the 
committee's treasurer; and 
    (2) a delivery made by an individual on behalf of the 
individual's spouse.  
    Sec. 27.  Minnesota Statutes 1992, section 10A.27, 
subdivision 2, is amended to read: 
    Subd. 2.  No candidate shall permit the candidate's 
principal campaign committee to accept contributions from any 
political party units in aggregate in excess of five ten times 
the amount that may be contributed to that candidate by a 
political committee as set forth in subdivision 1. 
    Sec. 28.  Minnesota Statutes 1992, section 10A.27, 
subdivision 9, is amended to read: 
    Subd. 9.  (a) A candidate or the treasurer of a candidate's 
principal campaign committee shall not accept in any calendar 
year aggregate contributions in an amount greater than the 
maximum amount allowed under subdivision 1 a transfer or 
contribution from another candidate's principal campaign 
committee or from any other committee bearing the contributing 
candidate's name or title or otherwise authorized by the 
contributing candidate, unless the contributing candidate's 
principal campaign committee is being dissolved.  A candidate's 
principal campaign committee shall not make a transfer or 
contribution to another candidate's principal campaign 
committee, except when the contributing committee is being 
dissolved.  
    (b) A candidate's principal campaign committee shall not 
accept a transfer or contribution from, or make a transfer or 
contribution to, a committee associated with a person who seeks 
nomination or election to the office of President, Senator, or 
Representative in Congress of the United States. 
    (c) A candidate or the treasurer of a candidate's principal 
campaign committee shall not accept a contribution from a 
candidate for political subdivision office, unless the 
contribution is from the personal funds of the candidate for 
political subdivision office.  A candidate or the treasurer of a 
candidate's principal campaign committee shall not make a 
contribution from the principal campaign committee to a 
candidate for political subdivision office. 
    Sec. 29.  Minnesota Statutes 1992, section 10A.27, is 
amended by adding a subdivision to read: 
    Subd. 10.  [PROHIBITED CONTRIBUTIONS.] A candidate who 
accepts a public subsidy may not contribute to the candidate's 
own campaign more than ten times the candidate's election year 
contribution limit under subdivision 1. 
    Sec. 30.  Minnesota Statutes 1992, section 10A.27, is 
amended by adding a subdivision to read: 
    Subd. 11.  [CONTRIBUTIONS FROM CERTAIN TYPES OF 
CONTRIBUTORS.] A candidate shall not permit the candidate's 
principal campaign committee to accept a contribution from a 
political committee other than a political party unit as defined 
in section 10A.275, a political fund, a lobbyist, or an 
individual, other than the candidate, who contributes more than 
half the amount an individual may contribute, if the 
contribution will cause the aggregate contributions from those 
types of contributors to exceed an amount equal to 20 percent of 
the expenditure limits for the office sought by the candidate. 
    Sec. 31.  Minnesota Statutes 1992, section 10A.27, is 
amended by adding a subdivision to read: 
    Subd. 12.  [CONTRIBUTIONS TO OTHER POLITICAL COMMITTEES OR 
FUNDS.] The treasurer of a political committee or political 
fund, other than a candidate's principal campaign committee or a 
political party unit as defined in section 10A.275, shall not 
permit the political committee or political fund to accept 
aggregate contributions from an individual, political committee, 
or political fund in an amount more than $100 a year. 
    Sec. 32.  Minnesota Statutes 1992, section 10A.28, 
subdivision 2, is amended to read: 
    Subd. 2.  A candidate who permits the candidate's principal 
campaign committee to accept contributions in excess of the 
limits imposed by section 10A.27, and the treasurer of a 
political fund or political committee, other than a principal 
campaign committee, who permits the committee or fund to accept 
contributions in excess of the limits imposed by section 10A.27, 
shall be subject to a civil fine of up to four times the amount 
by which the contribution exceeded the limits. 
    Sec. 33.  Minnesota Statutes 1992, section 10A.31, 
subdivision 6, is amended to read: 
    Subd. 6.  Within two weeks As soon as the board has 
obtained from the secretary of state the results of the primary 
election, but in any event no later than one week after 
certification by the state canvassing board of the results of 
the primary, the state treasurer board shall distribute the 
available funds in each party account, as certified by the 
commissioner of revenue on September 15 1, to the candidates of 
that party who have signed the agreement as provided in section 
10A.322 and filed the affidavit required by section 10A.323, and 
whose names are to appear on the ballot in the general election, 
according to the allocations set forth in subdivision 5.  If a 
candidate files the affidavit required by section 10A.323 after 
September 1 of the general election year, the board shall pay 
the candidate's allocation to the candidate at the next regular 
payment date for public subsidies for that election cycle that 
occurs at least 15 days after the candidate files the affidavit. 
    Sec. 34.  Minnesota Statutes 1992, section 10A.31, 
subdivision 7, is amended to read: 
    Subd. 7.  Within two weeks after certification by the state 
canvassing board of the results of the general election, the 
state treasurer board shall distribute the available funds in 
the general account, as certified by the commissioner of revenue 
on November 15 1 and according to allocations set forth in 
subdivision 5, in equal amounts to all candidates for each 
statewide office who received at least five percent of the votes 
cast in the general election for that office, and to all 
candidates for legislative office who received at least ten 
percent of the votes cast in the general election for the 
specific office for which they were candidates.  The board shall 
not use the information contained in the report of the principal 
campaign committee of any candidate due ten days before the 
general election for the purpose of reducing the amount due that 
candidate from the general account. 
    Sec. 35.  Minnesota Statutes 1992, section 10A.31, 
subdivision 10, is amended to read: 
    Subd. 10.  [DISTRIBUTION.] In the event that on the date of 
either certification by the commissioner of revenue as provided 
in subdivisions 6 and 7, less than 98 percent of the tax returns 
have been processed, the commissioner of revenue shall certify 
to the board on by December 7 1 the amount accumulated in each 
account since the previous certification.  Within one week 
thereafter By December 15, the board shall certify to the state 
treasurer the amount to be distributed distribute to each 
candidate according to the allocations as provided in 
subdivision 5.  As soon as practicable thereafter, the state 
treasurer shall distribute the amounts to which the candidates 
are entitled in the form of checks made "payable to the campaign 
fund of ......(name of candidate)......."  Any money accumulated 
after the final certification shall be maintained in the 
respective accounts for distribution in the next general 
election year. 
    Sec. 36.  Minnesota Statutes 1992, section 10A.31, is 
amended by adding a subdivision to read: 
    Subd. 12.  [UNOPPOSED CANDIDATE NOT ELIGIBLE.] A candidate 
who is unopposed in both the primary election and the general 
election is not eligible to receive a public subsidy from the 
state election campaign fund.  The subsidy from the party 
account the candidate would otherwise have been eligible to 
receive must be paid to the candidate's political party to be 
deposited in a special account under section 10A.31, subdivision 
5, clause (6), and used for only those items permitted under 
section 10A.275.  
    Sec. 37.  [10A.312] [PUBLIC MATCHING SUBSIDY.] 
    Subdivision 1.  [ELIGIBILITY.] (a) In addition to the 
subsidy payable from the state elections campaign fund, the 
board shall pay a public matching subsidy to a candidate who: 
    (1) is seeking an office for which voluntary spending 
limits are specified in section 10A.25; 
    (2) has designated a principal campaign committee; 
    (3) has signed and filed with the board an agreement to 
limit campaign expenditures as provided in section 10A.322 and 
is abiding by the agreement; 
    (4) has received contributions that exceed the threshold 
established by section 10A.323; 
    (5) has been nominated to appear on the ballot in the 
general election; and 
    (6) has submitted to the board the affidavits required by 
section 10A.323.  
    (b) A candidate who is unopposed in both the primary 
election and the general election is not eligible to receive a 
public matching subsidy under this section. 
   Subd. 2.  [AMOUNT.] The subsidy must be paid in an amount 
that will match the first $50 of contributions received from a 
person eligible to vote in this state, up to a total of 35 
percent of the expenditure limits for state senator or 
representative and up to a total of 25 percent of the 
expenditure limits for constitutional officers set forth in 
section 10A.25, subdivision 2, as adjusted for inflation under 
section 10A.255, except as otherwise provided in this 
subdivision.  The public subsidy under this section may not be 
paid in an amount that would cause the sum of the public subsidy 
paid under this section plus the public subsidy paid under 
section 10A.31 to exceed 50 percent of the expenditure limit for 
the office.  
    If a candidate's share of the state election campaign fund 
is equal to or greater than 50 percent of the spending limit for 
the office sought by the candidate, the candidate may not apply 
for a subsidy under this section.  The board must determine the 
candidate's anticipated share of the state election campaign 
fund based on the certification by the commissioner of revenue 
under section 10A.321.  If the subsequent certification by the 
commissioner of revenue under section 10A.31, subdivision 7, 
indicates that the candidate's share of the state election 
campaign fund is less than 50 percent of the spending limit for 
the office sought, the candidate may apply for the public match 
subsidy by submitting an affidavit by December 1.  
    Subd. 3.  [PAYMENT DATES.] (a) The board shall make the 
first payment of the public matching subsidy as soon as the 
board has obtained from the secretary of state the results of 
the primary election, but in any event no later than one week 
after certification by the state canvassing board of the results 
of the primary.  The board shall make the second payment by 
October 1 of the election year, the third payment by October 15 
of the election year, the fourth payment by November 15 of the 
election year, and the final payment by December 15 of the 
election year. 
    (b) The amount necessary to make the payments required by 
this section is appropriated from the general fund to the 
board. * (The preceding paragraph beginning "(b)" was vetoed by 
the governor.) 
    Sec. 38.  Minnesota Statutes 1992, section 10A.315, is 
amended to read: 
    10A.315 [SPECIAL ELECTION SUBSIDY.] 
    (a) Each eligible candidate for a legislative office in a 
special election must be paid a public subsidy equal to the sum 
of: 
    (1) the party account money at the last general election 
for the candidate's party for the office the candidate is 
seeking; and 
    (2) the general account money paid to candidates for the 
same office at the last general election.  
    (b) If the filing period for the special election coincides 
with the filing period for the general election, the candidate 
must meet the matching requirements of section 10A.323 and the 
special election subsidy must be distributed in the same manner 
as money is distributed to legislative candidates in a general 
election. 
    (c) If the filing period for the special election does not 
coincide with the filing period for the general election, the 
procedures in this paragraph apply.  A candidate who wishes to 
receive this public subsidy must submit a signed agreement under 
section 10A.322 to the board not later than the day after the 
candidate files the affidavit of candidacy or nominating 
petition for the office.  To receive a subsidy, The candidate 
must meet the matching requirements of section 10A.323, except 
that the dates in that section do not apply to a special 
election in which the filing period does not coincide with the 
filing period for the general election.  To the extent feasible, 
The special election subsidy must be distributed in the same 
manner as money in the party and general accounts is distributed 
to legislative candidates in a general election. 
    (c) (d) The amount necessary to make the payments required 
by this subdivision is appropriated from the general fund to the 
state treasurer. 
    Sec. 39.  Minnesota Statutes 1992, section 10A.322, 
subdivision 1, is amended to read: 
    Subdivision 1.  [AGREEMENT BY CANDIDATE.] (a) As a 
condition of receiving a public subsidy from the state elections 
campaign fund, a candidate shall sign and file with the board a 
written agreement in which the candidate agrees that the 
candidate will comply with sections 10A.25 and 10A.324. 
    (b) Before the first day of filing for office, the board 
shall forward agreement forms to all filing officers.  The board 
shall also provide agreement forms to candidates on request at 
any time.  The candidate may sign an agreement and submit it to 
the filing officer on the day of filing an affidavit of 
candidacy or petition to appear on the ballot, in which case the 
filing officer shall without delay forward signed agreements to 
the board.  Alternatively, the candidate may submit the 
agreement directly to the board at any time before September 1 
preceding the general election.  An agreement may not be signed 
or rescinded filed after that date.  An agreement once filed may 
not be rescinded. 
    (c) The board shall forward a copy of any agreement signed 
under this subdivision to the commissioner of revenue.  
    (d) Notwithstanding any provisions of this section, when a 
vacancy occurs that will be filled by means of a special 
election and the filing period does not coincide with the filing 
period for the general election, a candidate may sign and submit 
a spending limit agreement at any time before the deadline for 
submission of a signed agreement under section 10A.315. 
    Sec. 40.  Minnesota Statutes 1992, section 10A.322, 
subdivision 2, is amended to read: 
    Subd. 2.  [HOW LONG AGREEMENT IS EFFECTIVE.] The agreement, 
insofar as it relates to the expenditure limits in section 
10A.25, as adjusted by section 10A.255, remains effective for 
candidates until the dissolution of the principal campaign 
committee of the candidate or the day filings open for the next 
succeeding election to the office held or sought at the time of 
the agreement end of the first election cycle completed after 
the agreement was filed, whichever occurs first. 
    Sec. 41.  Minnesota Statutes 1992, section 10A.323, is 
amended to read: 
    10A.323 [MATCHING REQUIREMENTS.] 
    In addition to the requirements of section 10A.322, to be 
eligible to receive a public subsidy from the state elections 
campaign fund under section 10A.31 or 10A.312 a candidate or the 
candidate's treasurer shall file an affidavit with the board 
stating that during that calendar year the candidate has 
accumulated contributions, including unexpended balances from 
the year before, equal to 20 percent or more of the minimum 
amount that the board estimates, on August 15 of the general 
election year, would be received by the candidate from the state 
elections campaign fund. from persons eligible to vote in this 
state in the amount indicated for the office sought, counting 
only the first $50 received from each contributor: 
    (1) candidates for governor and lieutenant governor running 
together, $35,000; 
    (2) candidates for attorney general, $15,000; 
    (3) candidates for secretary of state, state treasurer, and 
state auditor, separately, $6,000; 
    (4) candidates for the senate, $3,000; and 
    (5) candidates for the house of representatives, $1,500. 
    To be eligible to receive a public matching subsidy under 
section 10A.312, the affidavit must state the total amount of 
contributions that have been received from persons eligible to 
vote in this state and the total amount of those contributions 
received, disregarding the portion of any contribution in excess 
of $50.  
    The candidate or the candidate's treasurer shall submit the 
affidavit required by this subdivision section to the board in 
writing by October September 1 of the general election year to 
receive the payment based on the results of the primary 
election, by September 15 to receive the payment made October 1, 
by October 1 to receive the payment made October 15, by November 
1 to receive the payment made November 15, and by December 1 to 
receive the payment made December 15.  
    Sec. 42.  Minnesota Statutes 1992, section 10A.324, 
subdivision 1, is amended to read: 
    Subdivision 1.  [WHEN RETURN REQUIRED.] A candidate shall 
return all or a portion of the public subsidy received from the 
state elections campaign fund or the public matching subsidy 
received under section 10A.315, under the circumstances in 
paragraph (a), (b), this section or (c) section 10A.25, 
subdivision 11. 
    (a) To the extent that the amount of public subsidy 
received by the candidate exceeds the expenditure limits for the 
office held or sought, as provided in section 10A.25 and as 
adjusted by section 10A.255, the treasurer of the candidate's 
principal campaign committee shall return the excess to the 
board. 
    (b) To the extent that the amount of public subsidy 
received exceeds the aggregate of:  (1) actual expenditures made 
by the principal campaign committee of the candidate; and (2) 
approved expenditures made on behalf of the candidate, the 
treasurer of the candidate's principal campaign committee shall 
return an amount equal to the difference to the board. 
    (c) Except for an amount equal to 25 percent of the 
expenditure limits set forth in section 10A.25, but not 
exceeding $15,000, any amount by which the aggregate 
contributions and approved expenditures agreed to exceed the 
difference between:  (1) the amount which legally may be 
expended by or for the candidate; and (2) the amount the 
candidate receives from the state elections campaign fund must 
be returned to the state treasurer, deposited in the state 
treasury, and credited to the general fund.  
    Sec. 43.  Minnesota Statutes 1992, section 10A.324, 
subdivision 3, is amended to read: 
    Subd. 3.  [HOW RETURN DETERMINED.] Whether or not a 
candidate is required under subdivision 1 to return all or a 
portion of the public subsidy received from the state elections 
campaign fund must be determined from the report required to be 
filed with the board by that candidate by January 31 of the year 
following an election.  For purposes of this section, a transfer 
from one a principal campaign committee to another principal 
campaign committee or to a political party is considered to be a 
noncampaign disbursement.  The cost of postage that was not used 
during an election cycle and payments that created credit 
balances at vendors at the close of an election cycle are not 
considered expenditures for purposes of determining the amount 
to be returned.  Any amount required to be returned must be 
submitted in the form of a check or money order and must 
accompany the report filed with the board.  The board shall 
forward the check or money order to the state treasurer for 
deposit in the general fund.  The amount returned must not 
exceed the amount of public subsidy received by the candidate 
from the state elections campaign fund. 
    Sec. 44.  Minnesota Statutes 1992, section 10A.324, is 
amended by adding a subdivision to read: 
    Subd. 5.  [RETURN OF OPPONENT'S PUBLIC SUBSIDY.] If a 
candidate received an opponent's public subsidy under section 
10A.25, subdivision 10, the candidate shall return all or a 
portion of the opponent's public subsidy if required under 
subdivision 1.  In addition, the candidate shall return all of 
the opponent's public subsidy to the board if the opponent is 
not required to file a campaign spending report under section 
10A.20 or if the opponent's postelection report due on January 
31 indicates that the opponent raised and spent $1,000 or less 
during the campaign. 
    Sec. 45.  Minnesota Statutes 1992, section 204B.36, 
subdivision 4, is amended to read: 
    Subd. 4.  [JUDICIAL CANDIDATES.] The official ballot shall 
contain the names of all candidates for each judicial office and 
shall state the number of those candidates for whom a voter may 
vote.  Each seat for an associate justice, associate judge, or 
judge of the district court must be numbered.  The title of each 
judicial office shall be printed on the official primary and 
general election ballot as follows:  
    (a) In the case of the supreme court:  
    "Chief justice (or associate justice) - supreme court (last 
name of incumbent) seat"; 
    "Associate justice (number) - supreme court" 
    (b) In the case of the court of appeals:  
    "Judge (number) - court of appeals (last name of incumbent) 
seat"; or 
    (c) In the case of the district court:  
    "Judge (number) - (number) district court (last name of 
incumbent) seat"; or 
    (d) In the case of the county court:  
    "Judge - (number) county court (last name of incumbent) 
seat." 
    Sec. 46.  [211A.12] [CONTRIBUTION LIMITS.] 
    A candidate may not accept aggregate contributions made or 
delivered by an individual or committee in excess of $300 in an 
election year for the office sought and $100 in other years; 
except that a candidate for an office whose territory has a 
population over 100,000 may not accept aggregate contributions 
made or delivered by an individual or committee in excess of 
$500 in an election year for the office sought and $100 in other 
years.  
    Sec. 47.  [211A.13] [PROHIBITED TRANSFERS.] 
    A candidate for political subdivision office must not 
accept contributions from the principal campaign committee of a 
candidate as defined in section 10A.01, subdivision 5.  A 
candidate for political subdivision office must not make 
contributions to a principal campaign committee, unless the 
contribution is made from the personal funds of the candidate 
for political subdivision office. 
    Sec. 48.  Minnesota Statutes 1992, section 211B.12, is 
amended to read: 
    211B.12 [LEGAL EXPENDITURES.] 
    Use of funds money collected for political purposes is 
prohibited unless the use is reasonably related to the conduct 
of election campaigns, or is a noncampaign disbursement as 
defined in section 10A.01, subdivision 10c.  The following are 
permitted expenditures when made for political purposes: 
    (1) salaries, wages, and fees; 
    (2) communications, mailing, transportation, and travel; 
    (3) campaign advertising; 
    (4) printing; 
    (5) office and other space and necessary equipment, 
furnishings, and incidental supplies; 
    (6) charitable contributions of not more than $100 $50 to 
any charity annually; and 
    (7) other expenses, not included in clauses (1) to (6), 
that are reasonably related to the conduct of election campaigns.
In addition, expenditures made for the purpose of providing 
information to constituents, whether or not related to the 
conduct of an election, are permitted expenses.  Money collected 
for political purposes and assets of a political committee or 
political fund may not be converted to personal use. 
    Sec. 49.  Minnesota Statutes 1992, section 211B.15, is 
amended to read: 
    211B.15 [CORPORATE OR LIMITED LIABILITY POLITICAL 
CONTRIBUTIONS.] 
    Subdivision 1.  [DEFINITIONS.] (a) For purposes of this 
section, the following terms have the meanings given them. 
    (b) "corporation" means: 
    (1) a corporation organized for profit that does business 
in Minnesota. this state; 
    (2) a nonprofit corporation that carries out activities in 
this state; or 
    (c) "Limited liability company" means (3) a limited 
liability company formed under chapter 322B, or under similar 
laws of another state, that does business in Minnesota this 
state. 
    Subd. 2.  [PROHIBITED CONTRIBUTIONS.] A corporation or 
limited liability company may not make a contribution or offer 
or agree to make a contribution, directly or indirectly, of any 
money, property, free service of its officers, or employees, or 
members, or thing of monetary value to a major political party, 
organization, committee, or individual to promote or defeat the 
candidacy of an individual for nomination, election, or 
appointment to a political office.  For the purpose of this 
subdivision, "contribution" includes an expenditure to promote 
or defeat the election or nomination of a candidate to a 
political office that is made with the authorization or 
expressed or implied consent of, or in cooperation or in concert 
with, or at the request or suggestion of, a candidate or 
committee established to support or oppose a candidate.  
    Subd. 3.  [INDEPENDENT EXPENDITURES.] A corporation or 
limited liability company may not make an independent 
expenditure or offer or agree to make an independent expenditure 
to promote or defeat the candidacy of an individual for 
nomination, election, or appointment to a political office.  For 
the purpose of this subdivision, "independent expenditure" means 
an expenditure that is not made with the authorization or 
expressed or implied consent of, or in cooperation or concert 
with, or at the request or suggestion of, a candidate or 
committee established to support or oppose a candidate. 
    Subd. 4.  [BALLOT QUESTION.] A corporation or limited 
liability company may make contributions or expenditures to 
promote or defeat a ballot question, to qualify a question for 
placement on the ballot unless otherwise prohibited by law, or 
to express its views on issues of public concern.  A corporation 
or limited liability company may not make a contribution to a 
candidate for nomination, election, or appointment to a 
political office or to a committee organized wholly or partly to 
promote or defeat a candidate. 
     Subd. 5.  [NEWS MEDIA.] This section does not prohibit 
publication or broadcasting of news items or editorial comments 
by the news media.  
    Subd. 6.  [PENALTY FOR INDIVIDUALS.] An officer, manager, 
stockholder, member, agent, employee, attorney, or other 
representative of a corporation or limited liability company 
acting in behalf of the corporation or limited liability company 
who violates this section may be fined not more than $20,000 or 
be imprisoned for not more than five years, or both.  
    Subd. 7.  [PENALTY FOR CORPORATIONS OR LIMITED LIABILITY 
COMPANIES.] A corporation or limited liability company convicted 
of violating this section is subject to a fine not greater than 
$40,000.  A convicted domestic corporation or limited liability 
company may be dissolved as well as fined.  If a foreign or 
nonresident corporation or limited liability company is 
convicted, in addition to being fined, its right to do business 
in this state may be declared forfeited.  
    Subd. 8.  [PERMITTED ACTIVITY; POLITICAL PARTY.] It is not 
a violation of this section for a political party, as defined in 
section 200.02, subdivision 7, to form a nonprofit corporation 
for the sole purpose of holding real property to be used 
exclusively as the party's headquarters. 
    Subd. 9.  [MEDIA PROJECTS.] It is not a violation of this 
section for a corporation or limited liability company to 
contribute to or conduct public media projects to encourage 
individuals to attend precinct caucuses, register, or vote if 
the projects are not controlled by or operated for the advantage 
of a candidate, political party, or committee. 
    Subd. 10.  [MEETING FACILITIES.] It is not a violation of 
this section for a corporation or limited liability company to 
provide meeting facilities to a committee, political party, or 
candidate on a nondiscriminatory and nonpreferential basis. 
    Subd. 11.  [MESSAGES ON PREMISES.] It is not a violation of 
this section for a corporation or limited liability company 
selling products or services to the public to post on its public 
premises messages that promote participation in precinct 
caucuses, voter registration, or elections if the messages are 
not controlled by or operated for the advantage of a candidate, 
political party, or committee. 
    Subd. 12.  [REPORTS REQUIRED.] The total amount of an 
expenditure or contribution for any one project permitted by 
subdivisions 9 and 11 that is more than $200, together with the 
date, purpose, and the names and addresses of the persons 
receiving the contribution or expenditures, must be reported to 
the secretary of state.  The reports must be filed on forms 
provided by the secretary of state on the dates required for 
committees under section 211A.02.  Failure to file is a 
misdemeanor. 
    Subd. 13.  [AIDING VIOLATION; PENALTY.] An individual who 
aids, abets, or advises a violation of this section is guilty of 
a gross misdemeanor. 
    Subd. 14.  [PROSECUTIONS; VENUE.] Violations of this 
section may be prosecuted in the county where the payment or 
contribution was made, where services were rendered, or where 
money was paid or distributed. 
    Subd. 15.  [NONPROFIT CORPORATION EXEMPTION.] The 
prohibitions in this section do not apply to a nonprofit 
corporation that: 
    (1) cannot engage in business activities; 
    (2) has no shareholders or other persons affiliated so as 
to have a claim on its assets or earnings; and 
    (3) was not established by a business corporation or a 
labor union and has a policy not to accept significant 
contributions from those entities. 
    Subd. 16.  [EMPLOYEE POLITICAL FUND SOLICITATION.] Any 
solicitation of political contributions by an employee must be 
in writing, informational and nonpartisan in nature, and not 
promotional for any particular candidate or group of 
candidates.  The solicitation must consist only of a general 
request on behalf of an independent political committee (conduit 
fund) and must state that there is no minimum contribution, that 
a contribution or lack thereof will in no way impact the 
employee's employment, that the employee must direct the 
contribution to candidates of the employee's choice, and that 
any response by the employee shall remain confidential and shall 
not be directed to the employee's supervisors or managers.  
Questions from an employee regarding a solicitation may be 
answered orally or in writing consistent with the above 
requirements.  Nothing in this subdivision authorizes a 
corporate donation of an employee's time prohibited under 
subdivision 2.  
    Sec. 50.  Minnesota Statutes 1992, section 290.06, 
subdivision 23, is amended to read: 
    Subd. 23.  [REFUND OF CONTRIBUTIONS TO POLITICAL PARTIES 
AND CANDIDATES.] (a) A taxpayer may claim a refund equal to the 
amount of the taxpayer's contributions made in the calendar year 
to candidates and to any political party.  The maximum refund 
for an individual must not exceed $50 and, for a married couple 
filing jointly, must not exceed $100.  A refund of a 
contribution is allowed only if the taxpayer files a form 
required by the commissioner and attaches to the form a copy of 
an official refund receipt form issued by the candidate or party 
and signed by the candidate, the treasurer of the candidate's 
principal campaign committee, or the party chair, after the 
contribution was received.  The receipt forms must be numbered, 
and the data on the receipt that are not public must be made 
available to the ethical practices board upon its request.  A 
claim must be filed with the commissioner not sooner than 
January 1 of the calendar year in which the contribution is made 
and no later than April 15 of the calendar year following the 
calendar year in which the contribution is made.  A taxpayer may 
file only one claim per calendar year.  Amounts paid by the 
commissioner after June 15 of the calendar year following the 
calendar year in which the contribution is made must include 
interest at the rate specified in section 270.76. 
    (b) No refund is allowed under this subdivision for a 
contribution to any candidate unless the candidate: 
    (1) has signed an agreement to limit campaign expenditures 
as provided in section 10A.322 or 10A.43; 
      (2) is seeking an office for which voluntary spending 
limits are specified in section 10A.25 or 10A.43; and 
     (3) has designated a principal campaign committee.  
     This subdivision does not limit the campaign expenditure of 
a candidate who does not sign an agreement but accepts a 
contribution for which the contributor improperly claims a 
refund.  
     (c) For purposes of this subdivision, "political party" 
means a major political party as defined in section 200.02, 
subdivision 7, or a minor political party qualifying for 
inclusion on the income tax or property tax refund form under 
section 10A.31, subdivision 3a.  
     A "major or minor party" includes the aggregate of the 
party organization within each house of the legislature, the 
state party organization, and the party organization within 
congressional districts, counties, legislative districts, 
municipalities, and precincts.  
    "Candidate" means a congressional candidate as defined in 
section 10A.41, subdivision 4, or a candidate as defined in 
section 10A.01, subdivision 5, except a candidate for judicial 
office.  
    "Contribution" means a gift of money. 
    (d) The commissioner shall make copies of the form 
available to the public and candidates upon request. 
    (e) The following data collected or maintained by the 
commissioner under this subdivision are private:  the identities 
of individuals claiming a refund, the identities of candidates 
to whom those individuals have made contributions, and the 
amount of each contribution.  
    (f) The commissioner shall report to the ethical practices 
board by August 1 of each year a summary showing the total 
number and aggregate amount of political contribution refunds 
made on behalf of each candidate and each political party.  
These data are public. 
    (g) The amount necessary to pay claims for the refund 
provided in this section is appropriated from the general fund 
to the commissioner of revenue. 
    Sec. 51.  [REPEALER.] 
    Minnesota Statutes 1992, sections 10A.27, subdivision 6; 
10A.31, subdivisions 8 and 9; 488A.021, subdivision 3; and 
488A.19, subdivision 2, are repealed. 
    Sec. 52.  [TRANSITION.] 
    Subdivision 1.  [ELECTION CYCLE.] Notwithstanding section 
1, the first election cycle begins the day following final 
enactment of this act and concludes on December 31 following the 
next general election for the respective offices listed in 
Minnesota Statutes, section 10A.27, subdivision 1, clauses (a) 
to (e). 
    Subd. 2.  [CONTRIBUTION LIMITS.] Contributions to a 
candidate that were made before the effective date of this act 
and were lawful when made need not be refunded, even though they 
exceed the new limit on contributions in section 10A.27, 
subdivision 1. 
    Subd. 3.  [EXPENDITURE LIMITS.] All spending limit 
agreements filed with the ethical practices board before the 
effective date of this act become void September 1, 1993, and 
all eligibility for continued public subsidies under Minnesota 
Statutes, chapter 10A or 290, is ended on that date.  The new 
expenditure limits and eligibility for a public subsidy under 
this act apply to candidates who sign and file with the ethical 
practices board a new spending limit agreement under this act 
after its effective date.  
    Subd. 4.  [INFLATION FREEZE.] The expenditure limits in 
Minnesota Statutes 1992, section 10A.25, subdivision 2, must not 
be adjusted for inflation for the 1994 election year.  The 
inflation adjustment under Minnesota Statutes 1992, section 
10A.255, must resume for the 1996 election year, but omitting 
any inflation attributable to the period between December 1991 
and December 1993. 
    Sec. 53.  [EFFECTIVE DATE.] 
    This act is effective the day following final enactment, 
except that section 19 is effective December 31, 1993, section 
28 is effective June 1, 1993, and sections 46 and 47 are 
effective January 1, 1994. 
    Presented to the governor May 17, 1993 
    Signed by the governor May 20, 1993, 10:58 a.m.