Campaign finance reporting by social welfare organizations; individual contribution limits to political parties and committees; political disbursements and obligations by corporations, cooperative associations; and labor organizations and the scope of regulated activity and reporting of certain activity under the campaign finance law

2. This bill prohibits an individual from making contributions in excess of $10,000 in any calendar year to a committee that makes electioneering communications or expressly advocates the election or defeat of a clearly identified candidate. The bill also prohibits an individual from making contributions in excess of $10,000 in any calendar year to a political party.

3. Under current law, individuals who accept contributions, organizations that make or accept contributions, and individuals who or organizations that incur obligations or make disbursements for the purpose of influencing an election for state or local office are generally required to register with the appropriate filing officer and to file financial reports with that officer, regardless of whether they act in conjunction with or independently of any candidate who is supported or opposed.

With certain exceptions, this bill imposes additional registration and reporting requirements on any committee who, within 60 days of an election, makes any mass communication, including an electronic communication, a mass distribution, or a mass telephoning, that includes a reference to a clearly identified candidate at that election. In addition, the bill requires a committee who becomes subject to a registration requirement by making such a communication to report, upon registration, the information that would have been required to be reported if the committee had been registered with respect to any obligation incurred or disbursement made for the purpose of making such a communication prior to registration. The bill, however, does not require registration and reporting if the communication is made by a corporation, cooperative, or nonpolitical voluntary association and is limited to the corporation's, cooperative's, or association's members, shareholders, or subscribers.

The change in the scope of reportable activity under the bill also applies to contribution and disbursement (spending) limitations and restrictions by causing reportable "contributions," "obligations," and "disbursements" to include the cost of all reportable communications.

4. The bill also requires a special report by any campaign finance registrant who makes or incurs an obligation to make a mass communication that becomes reportable under the bill within 60 days of a primary or other election in an amount greater than $300 cumulatively since the date of the registrant's last report. The special report must be made within 24 hours after the date that disbursements or obligations that exceed $300 cumulatively are made or incurred and must include the information that would otherwise be reported on the registrant's next regular report in the form prescribed by the GAB.

5. Under the bill, no entity or individual may make a disbursement for express advocacy or for an electioneering communication that is coordinated with a candidate, personal campaign committee, candidate's agent, legislative campaign committee, or political party committee. Such activity is coordinated with a candidate or committee if the candidate or committee exercises control over, or engages in substantial discussions or negotiations with the person making the disbursement regarding, the content, timing, location, form, intended audience, or frequency of the activity.

6. Under the bill, an electioneering communication is a communication that refers to a clearly identified candidate who will appear on the ballot for election or nomination for election, is made within 60 days from the day on which the primary or election involving the candidate is held, and is targeted to the relevant electorate.

Any committee making a disbursement of $300 or more on an electioneering communication must, within 48 hours of making the disbursement, submit statements to GAB disclosing, among other things, the name of any candidate affected by the disbursement, the office that the candidate seeks, and whether the electioneering communication supports or opposes that candidate. The statements must also provide the name of every person who donated $300 or more to the committee and whether the committee coordinated or consulted with, or received the consent of the candidate or candidate's agent, regarding the disbursement.