1.1                          A bill for an act 
  1.2             relating to labor; requiring labor organizations to 
  1.3             establish certain funds; prohibiting certain automatic 
  1.4             payroll deductions; providing criminal penalties; 
  1.5             proposing coding for new law in Minnesota Statutes, 
  1.6             chapter 179. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  [179.90] [CITATION.] 
  1.9      Sections 179.90 to 179.95 shall be known as the Labor 
  1.10  Organizations Deductions Act. 
  1.11     Sec. 2.  [179.91] [DEFINITIONS.] 
  1.12     Subdivision 1.  [SCOPE.] For the purposes of sections 
  1.13  179.90 to 179.95, the terms defined in this section have the 
  1.14  meanings given them unless otherwise stated. 
  1.15     Subd. 2.  [FUND.] "Fund" means the separate segregated fund 
  1.16  established by a labor organization for political purposes 
  1.17  according to the procedures and requirements of this act. 
  1.18     Subd. 3.  [LABOR ORGANIZATION.] "Labor organization" means 
  1.19  any association or organization of employees, and any agency, 
  1.20  employee representation committee, or plan in which employees 
  1.21  participate that exists, in whole or in part, to advocate on 
  1.22  behalf of employees about grievances, labor disputes, wages, 
  1.23  rates of pay, hours of employment, or conditions of work. 
  1.24     Labor organization includes employee associations and 
  1.25  unions for public employees, including both the National 
  1.26  Education Association and American Federation of Teachers, and 
  2.1   each local education association or affiliate of a national 
  2.2   education association. 
  2.3      Sec. 3.  [179.92] [LIMITS ON CONTRIBUTIONS.] 
  2.4      (a) Except as provided in paragraph (b), a labor 
  2.5   organization may not expend money for lobbying, electoral, and 
  2.6   political activities not bearing upon the ratification or 
  2.7   implementation of a collective bargaining agreement.  This 
  2.8   includes, but is not limited to, independent expenditures or 
  2.9   contributions to any candidate, political party, voter 
  2.10  registration campaign, or any other political cause. 
  2.11     (b) A labor organization may only expend money for 
  2.12  lobbying, electoral, and political activities not bearing upon 
  2.13  the ratification or implementation of a collective bargaining 
  2.14  agreement if the labor organization establishes a separate 
  2.15  segregated fund to be used for political purposes.  The labor 
  2.16  organization shall ensure that: 
  2.17     (1) contributions to the fund are solicited independently 
  2.18  from any other solicitations by the labor organization; 
  2.19     (2) dues or other fees for membership in the labor 
  2.20  organization are not used for political purposes, transferred to 
  2.21  the segregated fund, or intermingled in any way with fund money; 
  2.22  and 
  2.23     (3) the cost of administering the fund is paid from fund 
  2.24  contributions and not from dues or other fees for membership in 
  2.25  the labor organization. 
  2.26     Sec. 4.  [179.93] [VIOLATIONS; CRIMINAL PENALTIES.] 
  2.27     (a) It is unlawful for a labor organization to make a 
  2.28  contribution by using money or anything of value: 
  2.29     (1) secured by physical force, job discrimination, 
  2.30  membership discrimination, or financial reprisals, or threat of 
  2.31  force, job discrimination, membership discrimination, or 
  2.32  financial reprisals; or 
  2.33     (2) from dues, fees, or other money required as a condition 
  2.34  of membership in a labor organization or as a condition of 
  2.35  employment; or 
  2.36     (3) obtained in any commercial transaction. 
  3.1      (b) At the time the labor organization is soliciting money 
  3.2   for the fund from an employee, it is unlawful for a labor 
  3.3   organization to fail to: 
  3.4      (1) inform an employee of the fund's political purpose; and 
  3.5      (2) inform an employee of the employee's right to refuse to 
  3.6   contribute without the fear of reprisal. 
  3.7      (c) It is unlawful for a labor organization to solicit 
  3.8   money for the fund from any person other than its members and 
  3.9   their immediate families. 
  3.10     (d) It is unlawful for a labor organization to pay a member 
  3.11  for a contribution to the fund by providing a bonus, expense 
  3.12  account, rebate of dues or other membership fees, or any other 
  3.13  form of direct or indirect compensation. 
  3.14     (e) Any person violating this section is guilty of a 
  3.15  misdemeanor. 
  3.16     Sec. 5.  [179.94] [REGISTRATION; DISCLOSURE.] 
  3.17     Each fund established by a labor organization under this 
  3.18  section shall: 
  3.19     (1) register as a political action committee as required by 
  3.20  law; and 
  3.21     (2) file the financial reports for political action 
  3.22  committees required by law. 
  3.23     Sec. 6.  [179.95] [ASSIGNMENTS.] 
  3.24     (a) Except as provided in paragraph (d), an employee of any 
  3.25  person, firm, school district, or private or municipal 
  3.26  corporation within the state, may sign and deliver to the 
  3.27  employer a written instrument directing the employer to: 
  3.28     (1) deduct a specified sum from the employee's monthly 
  3.29  wages; and 
  3.30     (2) pay the deduction to a labor organization or union or 
  3.31  any other organization of employees as assignee. 
  3.32     (b) An employer who receives a written instrument assigning 
  3.33  a specified sum from the employee's wages shall: 
  3.34     (1) keep the instrument on file; 
  3.35     (2) deduct the specified sum from the employee's salary; 
  3.36  and 
  4.1      (3) pay the deducted amount to the organization or union 
  4.2   designated by the employee. 
  4.3      (c) The employer shall continue to make and pay the 
  4.4   deduction as directed by the employee until the employee revokes 
  4.5   or modifies the deduction in writing. 
  4.6      (d) Notwithstanding paragraph (a), an employee may not 
  4.7   direct an employer to deduct money from his wages and pay them 
  4.8   to: 
  4.9      (1) a registered political action committee; 
  4.10     (2) a fund defined by section 179.91; or 
  4.11     (3) any intermediary that contributes to a regional 
  4.12  political committee or fund as defined by section 179.91. 
  4.13     (e) Nothing in this section prohibits an individual from 
  4.14  making personal contributions to a registered political action 
  4.15  committee or to a fund.