Bill Text: AZ SB1406 | 2018 | Fifty-third Legislature 2nd Regular | Introduced


Bill Title: Campaign finance; city threshold exemption

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2018-01-30 - Senate read second time [SB1406 Detail]

Download: Arizona-2018-SB1406-Introduced.html

 

 

 

REFERENCE TITLE: campaign finance; city threshold exemption

 

 

 

 

State of Arizona

Senate

Fifty-third Legislature

Second Regular Session

2018

 

 

SB 1406

 

Introduced by

Senator Fann

 

 

AN ACT

 

amending sections 16-905 and 16-931, Arizona Revised Statutes; relating to campaign CONTRIBUTIONS and expenses.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 16-905, Arizona Revised Statutes, is amended to read:

START_STATUTE16-905.  Committee qualification; requirements; exemption; adjustments

A.  A candidate for election or retention shall register as a candidate committee if the candidate receives contributions or makes expenditures, in any combination, of at least one thousand dollars in connection with that candidacy.

B.  An entity shall register as a political action committee if both of the following apply:

1.  The entity is organized for the primary purpose of influencing the result of an election.

2.  The entity knowingly receives contributions or makes expenditures, in any combination, of at least one thousand dollars in connection with any election during a calendar year.

C.  A filing officer or enforcement officer shall make a rebuttable presumption that an entity is organized for the primary purpose of influencing the result of an election if the entity meets any of the following:

1.  Except for a religious organization, assembly or institution, claims tax exempt status but had not filed form 1023 or form 1024 with the internal revenue service, or the equivalent successor form designated by the internal revenue service, before making a contribution or expenditure.

2.  Made a contribution or expenditure and at that time had its tax exempt status revoked by the internal revenue service.

3.  Made a contribution or expenditure and at that time failed to file form 990 with the internal revenue service, or the equivalent successor form designated by the internal revenue service, if required by law.

4.  At the time of making a contribution or expenditure was not registered with the corporation commission if required by law.

5.  At the time of making a contribution or expenditure was registered with the corporation commission but was not in good standing.

D.  A fund that is established by a corporation, limited liability company, labor organization or partnership for the purpose of influencing the result of an election shall register as a political action committee.

E.  An entity may register as a political party committee only as prescribed in chapter 5 of this title.

F.  For city and town elections only, each person, candidate or entity that intends to accept contributions or make expenditures of less than one thousand dollars shall file an exemption statement in a form prescribed by the city or town filing officer that states that intention before making any expenditure, accepting any contribution, distributing any campaign literature or advertisement or circulating a petition.  If a person, candidate or entity that has filed a one thousand dollar threshold exemption statement pursuant to this subsection receives contributions or makes expenditures of one thousand dollars or more, in any combination, that person, candidate or entity is deemed to have qualified as a committee as prescribed by section 16-906 and shall file a statement of organization with the city or town filing officer pursuant to section 16‑906 within five business days after reaching the one thousand dollar limit.  On qualifying as a committee as prescribed by this section, the person, CANDIDATE or entity shall fully comply with all of the remaining requirements relating to committees.  The one thousand dollar amount prescribed by this subsection is exempt from the biennial increases prescribed by section 16-931.

F.  G.  A committee is not subject to state income tax and is not required to file a state income tax return.

G.  H.  The dollar amounts prescribed by subsections A and B of this section shall be increased every two years pursuant to section 16‑931. END_STATUTE

Sec. 2.  Section 16-931, Arizona Revised Statutes, is amended to read:

START_STATUTE16-931.  Biennial adjustments; committee registration; contribution limits

A.  In January of each odd-numbered year, the secretary of state shall increase:

1.  The committee registration thresholds specified in section 16‑905, subsections A and B by one hundred dollars.

2.  The contribution limits specified in article 1.2 of this chapter by one hundred dollars.

B.  The secretary of state shall publish the revised amounts and make the amounts available to election officials, candidates, committees and the public. END_STATUTE

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