Bill Text: IL SB2089 | 2017-2018 | 100th General Assembly | Introduced


Bill Title: Amends the Election Code. Includes certain tax-exempt organizations under the federal Internal Revenue Code in the definitions of political action committees, ballot initiative committees, and independent expenditure committees. Allows the tax-exempt organizations to establish a separate political committee whose function is to receive or make contributions, make expenditures, or any combination thereof, to support or oppose candidates or questions of public policy. Sets forth certain requirements for these separate committees. Effective immediately.

Spectrum: Slight Partisan Bill (Democrat 3-1)

Status: (Introduced) 2017-04-28 - Rule 2-10 Third Reading Deadline Established As May 31, 2017 [SB2089 Detail]

Download: Illinois-2017-SB2089-Introduced.html


100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
SB2089

Introduced 2/10/2017, by Sen. Don Harmon

SYNOPSIS AS INTRODUCED:
10 ILCS 5/9-1.8 from Ch. 46, par. 9-1.8
10 ILCS 5/9-6 from Ch. 46, par. 9-6

Amends the Election Code. Includes certain tax-exempt organizations under the federal Internal Revenue Code in the definitions of political action committees, ballot initiative committees, and independent expenditure committees. Allows the tax-exempt organizations to establish a separate political committee whose function is to receive or make contributions, make expenditures, or any combination thereof, to support or oppose candidates or questions of public policy. Sets forth certain requirements for these separate committees. Effective immediately.
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A BILL FOR

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1 AN ACT concerning elections.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Election Code is amended by changing
5Sections 9-1.8 and 9-6 as follows:
6 (10 ILCS 5/9-1.8) (from Ch. 46, par. 9-1.8)
7 Sec. 9-1.8. Political committees.
8 (a) "Political committee" includes a candidate political
9committee, a political party committee, a political action
10committee, a ballot initiative committee, and an independent
11expenditure committee.
12 (b) "Candidate political committee" means the candidate
13himself or herself or any natural person, trust, partnership,
14corporation, or other organization or group of persons
15designated by the candidate that accepts contributions or makes
16expenditures during any 12-month period in an aggregate amount
17exceeding $5,000 on behalf of the candidate.
18 (c) "Political party committee" means the State central
19committee of a political party, a county central committee of a
20political party, a legislative caucus committee, or a committee
21formed by a ward or township committeeman of a political party.
22For purposes of this Article, a "legislative caucus committee"
23means a committee established for the purpose of electing

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1candidates to the General Assembly by the person elected
2President of the Senate, Minority Leader of the Senate, Speaker
3of the House of Representatives, Minority Leader of the House
4of Representatives, or a committee established by 5 or more
5members of the same caucus of the Senate or 10 or more members
6of the same caucus of the House of Representatives.
7 (d) "Political action committee" means any natural person,
8trust, partnership, committee, association, corporation, or
9other organization, including one organized for tax-exempt
10status under Sections 501(c)(4), 501(c)(5), or 501(c)(6) of the
11Internal Revenue Code, or group of persons, other than a
12candidate, political party, candidate political committee, or
13political party committee, that accepts contributions or makes
14expenditures during any 12-month period in an aggregate amount
15exceeding $5,000 on behalf of or in opposition to a candidate
16or candidates for public office. "Political action committee"
17includes any natural person, trust, partnership, committee,
18association, corporation, or other organization, including one
19organized for tax-exempt status under Sections 501(c)(4),
20501(c)(5), or 501(c)(6) of the Internal Revenue Code, or group
21of persons, other than a candidate, political party, candidate
22political committee, or political party committee, that makes
23electioneering communications during any 12-month period in an
24aggregate amount exceeding $5,000 related to any candidate or
25candidates for public office.
26 (e) "Ballot initiative committee" means any natural

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1person, trust, partnership, committee, association,
2corporation, or other organization, including one organized
3for tax-exempt status under Sections 501(c)(4), 501(c)(5), or
4501(c)(6) of the Internal Revenue Code, or group of persons
5that accepts contributions or makes expenditures during any
612-month period in an aggregate amount exceeding $5,000 in
7support of or in opposition to any question of public policy to
8be submitted to the electors. "Ballot initiative committee"
9includes any natural person, trust, partnership, committee,
10association, corporation, or other organization, including one
11organized for tax-exempt status under Sections 501(c)(4),
12501(c)(5), or 501(c)(6) of the Internal Revenue Code, or group
13of persons that makes electioneering communications during any
1412-month period in an aggregate amount exceeding $5,000 related
15to any question of public policy to be submitted to the voters.
16The $5,000 threshold applies to any contributions or
17expenditures received or made with the purpose of securing a
18place on the ballot for, advocating the defeat or passage of,
19or engaging in electioneering communication regarding the
20question of public policy, regardless of the method of
21initiation of the question of public policy and regardless of
22whether petitions have been circulated or filed with the
23appropriate office or whether the question has been adopted and
24certified by the governing body.
25 (f) "Independent expenditure committee" means any trust,
26partnership, committee, association, corporation, or other

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1organization, including one organized for tax-exempt status
2under Sections 501(c)(4), 501(c)(5), or 501(c)(6) of the
3Internal Revenue Code, or group of persons formed for the
4exclusive purpose of making independent expenditures during
5any 12-month period in an aggregate amount exceeding $5,000 in
6support of or in opposition to (i) the nomination for election,
7election, retention, or defeat of any public official or
8candidate or (ii) any question of public policy to be submitted
9to the electors. "Independent expenditure committee" also
10includes any trust, partnership, committee, association,
11corporation, or other organization, including one organized
12for tax-exempt status under Sections 501(c)(4), 501(c)(5), or
13501(c)(6) of the Internal Revenue Code, or group of persons
14that makes electioneering communications that are not made in
15connection, consultation, or concert with or at the request or
16suggestion of a public official or candidate, a public
17official's or candidate's designated political committee or
18campaign, or an agent or agents of the public official,
19candidate, or political committee or campaign during any
2012-month period in an aggregate amount exceeding $5,000 related
21to (i) the nomination for election, election, retention, or
22defeat of any public official or candidate or (ii) any question
23of public policy to be submitted to the voters.
24(Source: P.A. 97-766, eff. 7-6-12; 98-115, eff. 7-29-13.)
25 (10 ILCS 5/9-6) (from Ch. 46, par. 9-6)

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1 Sec. 9-6. Accounting for contributions.
2 (a) A person who collects or accepts a contribution for a
3political committee shall, within 5 days after receipt of such
4contribution, submit to the treasurer a detailed account of the
5contribution, including (i) the amount, (ii) the name and
6address of the person making such contribution, (iii) the date
7on which the contribution was received, and (iv) the name and
8address of the person collecting or accepting the contribution
9for the political committee. A political committee shall
10disclose on the quarterly statement the name, address, and
11occupation of any person who collects or accepts contributions
12from at least 5 persons in the aggregate of $3,000 or more
13outside of the presence of a candidate or not in connection
14with a fundraising event sanctioned or coordinated by the
15political committee during a reporting period. This subsection
16does not apply to a person who is an officer of the committee,
17a compensated employee, a person authorized by an officer or
18the candidate of a committee to accept contributions on behalf
19of the committee, or an entity used for processing financial
20transactions by credit card or other means.
21 (b) Within 5 business days of contributing goods or
22services to a political committee, the contributor shall submit
23to the treasurer a detailed account of the contribution,
24including (i) the name and address of the person making the
25contribution, (ii) a description and market value of the goods
26or services, and (iii) the date on which the contribution was

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1made.
2 (c) All funds of a political committee shall be segregated
3from, and may not be commingled with, any personal funds of
4officers, members, or associates of such committee.
5 (d) An organization that qualifies for tax-exempt status
6under Sections 501(c)(4), 501(c)(5), or 501(c)(6) of the
7Internal Revenue Code may, in order to comply with the specific
8reporting provisions that are required of political
9committees, establish a separate political committee in the
10manner described in Section 9-3 of this Code whose exclusive
11function is to receive or make contributions, make
12expenditures, or any combination thereof, to support or oppose
13candidates or questions of public policy.
14 (1) To facilitate this option, nonprofit organizations
15 may create a separate segregated fund in which
16 contributions shall be deposited or made as defined in
17 Section 9-1.4 of this Code and from which expenditures
18 shall be dispersed as defined in Section 9-1.5 of this
19 Code.
20 (2) If a nonprofit organization chooses this option,
21 the disclosure of any deposits of money into the segregated
22 fund shall report the original source or sources of the
23 money and not the name of the parent nonprofit
24 organization.
25(Source: P.A. 96-832, eff. 1-1-11.)
26 Section 99. Effective date. This Act takes effect upon

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1becoming law.
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