Bill Text: MN SF661 | 2013-2014 | 88th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Campaign finance and public disclosure provisions modifications

Sponsorship: Partisan Bill (Democrat 4)

Status: (Passed) 2013-05-24 - Secretary of State Chapter 138 [SF661 Detail]

Download: Minnesota-2013-SF661-Engrossed.html

1.1A bill for an act
1.2relating to campaign finance; providing for additional disclosure; making various
1.3changes to campaign finance and public disclosure law; expanding jurisdiction of
1.4Campaign Finance and Public Disclosure Board; expanding definition of public
1.5official;amending Minnesota Statutes 2012, sections 10A.01, subdivisions 10,
1.611, 27, 28, 35, by adding subdivisions; 10A.02, subdivisions 9, 10, 11, 12, 15;
1.710A.025, subdivisions 2, 3, 4; 10A.04, subdivision 5; 10A.105, subdivision 1;
1.810A.12, subdivisions 1, 1a, 2; 10A.121; 10A.14, subdivision 1, by adding a
1.9subdivision; 10A.15, subdivisions 1, 2, 3; 10A.16; 10A.20, subdivisions 1, 2, 3,
1.104, 5, 6, 7, 12, by adding a subdivision; 10A.241; 10A.242, subdivision 1; 10A.25,
1.11subdivisions 2, 2a, 3, 3a; 10A.257, subdivision 1; 10A.27, subdivisions 1, 9, 10,
1.1211, 13, 14, 15; 10A.273, subdivisions 1, 4; 10A.30; 10A.31, subdivisions 1, 4, 7;
1.1310A.315; 10A.321, subdivision 1; 10A.322, subdivision 4; 10A.323; 10A.324,
1.14subdivision 1; 211B.32, subdivision 1; 211B.37; proposing coding for new law
1.15in Minnesota Statutes, chapter 10A; repealing Minnesota Statutes 2012, sections
1.1610A.24; 10A.242; 10A.25, subdivision 6.
1.17BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.18ARTICLE 1
1.19POLICY CHANGES

1.20    Section 1. Minnesota Statutes 2012, section 10A.01, is amended by adding a
1.21subdivision to read:
1.22    Subd. 7c. Ballot question political committee. "Ballot question political
1.23committee" means a political committee that makes only expenditures to promote or defeat
1.24a ballot question and disbursements permitted under section 10A.121, subdivision 1.

1.25    Sec. 2. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
1.26to read:
2.1    Subd. 7d. Ballot question political fund. "Ballot question political fund" means
2.2a political fund that makes only expenditures to promote or defeat a ballot question and
2.3disbursements permitted under section 10A.121, subdivision 1.

2.4    Sec. 3. Minnesota Statutes 2012, section 10A.01, subdivision 10, is amended to read:
2.5    Subd. 10. Candidate. "Candidate" means an individual who seeks nomination or
2.6election as a state constitutional officer, legislator, or judge. An individual is deemed to seek
2.7nomination or election if the individual has taken the action necessary under the law of this
2.8state to qualify for nomination or election, has received contributions or made expenditures
2.9in excess of $100, or has given implicit or explicit consent for any other person to receive
2.10contributions or make expenditures in excess of $100, for the purpose of bringing about the
2.11individual's nomination or election. A candidate remains a candidate until the candidate's
2.12principal campaign committee is dissolved as provided in section 10A.24 10A.243.

2.13    Sec. 4. Minnesota Statutes 2012, section 10A.01, subdivision 11, is amended to read:
2.14    Subd. 11. Contribution. (a) "Contribution" means money, a negotiable instrument,
2.15or a donation in kind that is given to a political committee, political fund, principal
2.16campaign committee, or party unit. An allocation by an association of general treasury
2.17money to be used for activities that must be or are reported through the association's
2.18political fund is considered to be a contribution for the purposes of disclosure required
2.19by this chapter.
2.20(b) "Contribution" includes a loan or advance of credit to a political committee,
2.21political fund, principal campaign committee, or party unit, if the loan or advance of credit
2.22is: (1) forgiven; or (2) repaid by an individual or an association other than the political
2.23committee, political fund, principal campaign committee, or party unit to which the loan
2.24or advance of credit was made. If an advance of credit or a loan is forgiven or repaid as
2.25provided in this paragraph, it is a contribution in the year in which the loan or advance
2.26of credit was made.
2.27(c) "Contribution" does not include services provided without compensation by an
2.28individual volunteering personal time on behalf of a candidate, ballot question, political
2.29committee, political fund, principal campaign committee, or party unit; the publishing or
2.30broadcasting of news items or editorial comments by the news media; or an individual's
2.31unreimbursed personal use of an automobile owned by the individual while volunteering
2.32personal time.

3.1    Sec. 5. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
3.2to read:
3.3    Subd. 16a. Expressly advocating. "Expressly advocating" means:
3.4(1) that a communication clearly identifies a candidate and uses words or phrases
3.5of express advocacy; or
3.6(2) that a communication, when taken as a whole and with limited reference to
3.7external events, such as the proximity to the election, is susceptible of no interpretation
3.8by a reasonable person other than as advocating the election or defeat of one or more
3.9clearly identified candidates.

3.10    Sec. 6. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
3.11to read:
3.12    Subd. 17c. General treasury money. "General treasury money" means money
3.13that an association other than a principal campaign committee, party unit, or political
3.14committee accumulates through membership dues and fees, donations to the association
3.15for its general purposes, and income from the operation of a business. General treasury
3.16money does not include money collected to influence the nomination or election of
3.17candidates or to promote or defeat a ballot question.

3.18    Sec. 7. Minnesota Statutes 2012, section 10A.01, is amended by adding a subdivision
3.19to read:
3.20    Subd. 26a. Person. "Person" means an individual, an association, a political
3.21subdivision, or a public higher education system.

3.22    Sec. 8. Minnesota Statutes 2012, section 10A.01, subdivision 27, is amended to read:
3.23    Subd. 27. Political committee. "Political committee" means an association whose
3.24major purpose is to influence the nomination or election of a candidate one or more
3.25candidates or to promote or defeat a ballot question, other than a principal campaign
3.26committee or a political party unit.

3.27    Sec. 9. Minnesota Statutes 2012, section 10A.01, subdivision 28, is amended to read:
3.28    Subd. 28. Political fund. "Political fund" means an accumulation of dues or
3.29voluntary contributions by an association other than a political committee, principal
3.30campaign committee, or party unit, if the accumulation is collected or expended to
3.31influence the nomination or election of a candidate one or more candidates or to promote
4.1or defeat a ballot question. The term "political fund" as used in this chapter may also refer
4.2to the association acting through its political fund.

4.3    Sec. 10. Minnesota Statutes 2012, section 10A.02, subdivision 9, is amended to read:
4.4    Subd. 9. Documents; information. The executive director must inspect all material
4.5filed with the board as promptly as necessary to comply with this chapter and, with other
4.6provisions of law requiring the filing of a document with the board, and with other
4.7provisions of law under the board's jurisdiction pursuant to subdivision 11. The executive
4.8director must immediately notify the an individual required to file a document with the
4.9board if a written complaint is filed with the board alleging, or it otherwise appears, that a
4.10document filed with the board is inaccurate or does not comply with this chapter, or that
4.11the individual has failed to file a document required by this chapter or has failed to comply
4.12with this chapter or other provisions under the board's jurisdiction pursuant to subdivision
4.1311. The executive director may provide an individual required to file a document under
4.14this chapter with factual information concerning the limitations on corporate campaign
4.15contributions imposed by section 211B.15.

4.16    Sec. 11. Minnesota Statutes 2012, section 10A.02, subdivision 10, is amended to read:
4.17    Subd. 10. Audits and investigations. The board may make audits and investigations,
4.18impose statutory civil penalties, and issue orders for compliance with respect to statements
4.19and reports that are filed or that should have been filed under the requirements of this
4.20chapter and provisions under the board's jurisdiction pursuant to subdivision 11. In all
4.21matters relating to its official duties, the board has the power to issue subpoenas and cause
4.22them to be served. If a person does not comply with a subpoena, the board may apply to
4.23the District Court of Ramsey County for issuance of an order compelling obedience to the
4.24subpoena. A person failing to obey the order is punishable by the court as for contempt.

4.25    Sec. 12. Minnesota Statutes 2012, section 10A.02, subdivision 11, is amended to read:
4.26    Subd. 11. Violations; enforcement. (a) The board may investigate any alleged
4.27violation of this chapter. The board may also investigate an alleged violation of section
4.28211B.04, 211B.12, or 211B.15 by or related to a candidate, treasurer, principal campaign
4.29committee, political committee, political fund, or party unit, as those terms are defined in
4.30this chapter. The board must investigate any violation that is alleged in a written complaint
4.31filed with the board and must within 30 days after the filing of the complaint make a public
4.32finding of whether there is probable cause to believe a violation has occurred findings and
4.33conclusions as to whether a violation has occurred and must issue an order, except that
5.1if the complaint alleges a violation of section 10A.25 or 10A.27, the board must either
5.2enter a conciliation agreement or make a public finding of whether there is probable cause,
5.3 findings and conclusions as to whether a violation has occurred and must issue an order
5.4 within 60 days after the filing of the complaint. The deadline for action on a written
5.5complaint may be extended by majority vote of the board.
5.6(b) The board may bring legal actions or negotiate settlements in its own name to
5.7recover money raised from contributions subject to the conditions in this paragraph.
5.8(1) No action may be commenced unless the board has made a formal determination,
5.9after an investigation, that the money was raised for political purposes as defined in
5.10section 211B.01, subdivision 6, and that the money was used for purposes not permitted
5.11under this chapter or under section 211B.12.
5.12(2) Prior to commencing an action, the board must give the association whose money
5.13was misused written notice by certified mail of its intent to take action under this subdivision
5.14and must give the association a reasonable opportunity, for a period of not less than 90
5.15days, to recover the money without board intervention. This period must be extended
5.16for at least an additional 90 days for good cause if the association is actively pursuing
5.17recovery of the money. The board may not commence a legal action under this subdivision
5.18if the association has commenced a legal action for the recovery of the same money.
5.19(3) Any funds recovered under this subdivision must be deposited in a campaign
5.20finance recovery account in the special revenue fund and are appropriated as follows:
5.21(i) an amount equal to the board's actual costs and disbursements in the action,
5.22including court reporter fees for depositions taken in the course of an investigation, is
5.23appropriated to the board for its operations;
5.24(ii) an amount equal to the reasonable value of legal services provided by the Office
5.25of the Attorney General in the recovery matter, calculated on the same basis as is used
5.26for charging legal fees to state agencies, is appropriated to the Office of the Attorney
5.27General for its operations; and
5.28(iii) any remaining balance is appropriated to the board for distribution to the
5.29association to which the money was originally contributed.
5.30(4) Notwithstanding clause (3), item (iii), if the candidate of a principal campaign
5.31committee is the person who used the association's money for illegal purposes, or if the
5.32association or political fund whose money was misused is no longer registered with the
5.33board, any money remaining after the payments specified in clause (3), items (i) and (ii),
5.34must be transferred to the general account of the state elections campaign account.
5.35(5) Any action by the board under this paragraph must be commenced not later than
5.36four years after the improper use of money is shown on a report filed with the board or the
6.1board has actual knowledge of improper use. No action may be commenced under this
6.2paragraph for improper uses disclosed on reports for calendar years prior to 2011.
6.3(6) If the board prevails in an action brought under this subdivision and the court
6.4makes a finding that the misuse of funds was willful, the court may enter judgment in favor
6.5of the board and against the person misusing the funds in the amount of the misused funds.
6.6(b) (c) Within a reasonable time after beginning an investigation of an individual
6.7or association, the board must notify the individual or association of the fact of the
6.8investigation. The board must not make a finding of whether there is probable cause to
6.9believe a violation has occurred without notifying the individual or association of the
6.10nature of the allegations and affording an opportunity to answer those allegations.
6.11(c) (d) A hearing or action of the board concerning a complaint or investigation
6.12other than a finding concerning probable cause or a conciliation agreement is confidential.
6.13Until the board makes a public finding concerning probable cause or enters a conciliation
6.14agreement:
6.15(1) a member, employee, or agent of the board must not disclose to an individual
6.16information obtained by that member, employee, or agent concerning a complaint or
6.17investigation except as required to carry out the investigation or take action in the matter
6.18as authorized by this chapter; and
6.19(2) an individual who discloses information contrary to this subdivision is subject
6.20to a civil penalty imposed by the board of up to $1,000.
6.21(e) A matter that is under the board's jurisdiction pursuant to this section and that
6.22may result in a criminal offense must be finally disposed of by the board before the alleged
6.23violation may be prosecuted by a city or county attorney.

6.24    Sec. 13. Minnesota Statutes 2012, section 10A.02, subdivision 12, is amended to read:
6.25    Subd. 12. Advisory opinions. (a) The board may issue and publish advisory
6.26opinions on the requirements of this chapter and of those sections listed in subdivision 11
6.27 based upon real or hypothetical situations. An application for an advisory opinion may
6.28be made only by an individual or association a person who is subject to chapter 10A and
6.29who wishes to use the opinion to guide the individual's or the association's person's own
6.30conduct. The board must issue written opinions on all such questions submitted to it
6.31within 30 days after receipt of written application, unless a majority of the board agrees
6.32to extend the time limit.
6.33(b) A written advisory opinion issued by the board is binding on the board in a
6.34subsequent board proceeding concerning the person making or covered by the request and
7.1is a defense in a judicial proceeding that involves the subject matter of the opinion and is
7.2brought against the person making or covered by the request unless:
7.3(1) the board has amended or revoked the opinion before the initiation of the board
7.4or judicial proceeding, has notified the person making or covered by the request of its
7.5action, and has allowed at least 30 days for the person to do anything that might be
7.6necessary to comply with the amended or revoked opinion;
7.7(2) the request has omitted or misstated material facts; or
7.8(3) the person making or covered by the request has not acted in good faith in
7.9reliance on the opinion.
7.10(c) A request for an opinion and the opinion itself are nonpublic data. The board,
7.11however, may publish an opinion or a summary of an opinion, but may not include in the
7.12publication the name of the requester, the name of a person covered by a request from an
7.13agency or political subdivision, or any other information that might identify the requester,
7.14unless the person consents to the inclusion.

7.15    Sec. 14. Minnesota Statutes 2012, section 10A.02, subdivision 15, is amended to read:
7.16    Subd. 15. Disposition of fees. The board must deposit all fees and civil penalties
7.17 collected under this chapter into the general fund in the state treasury.

7.18    Sec. 15. Minnesota Statutes 2012, section 10A.025, subdivision 2, is amended to read:
7.19    Subd. 2. Penalty for false statements. (a) A report or statement required to be filed
7.20under this chapter must be signed and certified as true by the individual required to file the
7.21report. The signature may be an electronic signature consisting of a password assigned
7.22by the board.
7.23(b) An individual who signs and certifies shall not sign and certify to be true a
7.24report or statement knowing it contains false information or who knowingly knowing it
7.25 omits required information is guilty of a gross misdemeanor and subject to a civil penalty
7.26imposed by the board of up to $3,000.
7.27(c) An individual shall not knowingly provide false or incomplete information to
7.28a treasurer with the intent that the treasurer will rely on that information in signing and
7.29certifying to be true a report or statement.
7.30(d) A person who violates paragraph (b) or (c) is subject to a civil penalty imposed
7.31by the board of up to $3,000. A violation of paragraph (b) or (c) is a gross misdemeanor.
7.32(e) The board may impose an additional civil penalty of up to $3,000 on the principal
7.33campaign committee or candidate, party unit, political committee, or association that has a
7.34political fund that is affiliated with an individual who violated paragraph (b) or (c).

8.1    Sec. 16. Minnesota Statutes 2012, section 10A.025, subdivision 3, is amended to read:
8.2    Subd. 3. Record keeping; penalty. (a) A person required to file a report or statement
8.3 or who has accepted record-keeping responsibility for the filer must maintain records on
8.4the matters required to be reported, including vouchers, canceled checks, bills, invoices,
8.5worksheets, and receipts, that will provide in sufficient detail the necessary information
8.6from which the filed reports and statements may be verified, explained, clarified, and
8.7checked for accuracy and completeness. The person must keep the records available for
8.8audit, inspection, or examination by the board or its authorized representatives for four
8.9years from the date of filing of the reports or statements or of changes or corrections to
8.10them. A person who knowingly violates this subdivision is guilty of a misdemeanor.
8.11(b) The board may impose a civil penalty of up to $3,000 on a person who knowingly
8.12violates this subdivision. The board may impose a separate civil penalty of up to $3,000
8.13on the principal campaign committee or candidate, party unit, political committee, or
8.14association that has a political fund that is affiliated with an individual who violated
8.15this subdivision.
8.16(c) A knowing violation of this subdivision is a misdemeanor.

8.17    Sec. 17. Minnesota Statutes 2012, section 10A.105, subdivision 1, is amended to read:
8.18    Subdivision 1. Single committee. A candidate must not accept contributions from a
8.19source, other than self, in aggregate in excess of $100 $750 or accept a public subsidy
8.20unless the candidate designates and causes to be formed a single principal campaign
8.21committee for each office sought. A candidate may not authorize, designate, or cause to be
8.22formed any other political committee bearing the candidate's name or title or otherwise
8.23operating under the direct or indirect control of the candidate. However, a candidate may
8.24be involved in the direct or indirect control of a party unit.

8.25    Sec. 18. Minnesota Statutes 2012, section 10A.12, subdivision 1, is amended to read:
8.26    Subdivision 1. When required for contributions and approved expenditures. An
8.27association other than a political committee or party unit may not contribute more than
8.28$100 $750 in aggregate in any one calendar year to candidates, political committees, or
8.29party units or make any approved or independent expenditure or expenditure to promote
8.30or defeat a ballot question expenditures of more than $750 in aggregate in any calendar
8.31year unless the contribution or expenditure is made from through a political fund.

8.32    Sec. 19. Minnesota Statutes 2012, section 10A.12, subdivision 1a, is amended to read:
9.1    Subd. 1a. When required for independent expenditures or ballot questions. An
9.2association other than a political committee that makes only independent expenditures
9.3and disbursements permitted under section 10A.121, subdivision 1, or expenditures to
9.4promote or defeat a ballot question must do so by forming and registering through an
9.5independent expenditure or ballot question political fund if the expenditure is in excess of
9.6$100 independent expenditures aggregate more than $1,500 in a calendar year or if the
9.7expenditures to promote or defeat a ballot question aggregate more than $5,000 in a
9.8calendar year, or by contributing to an existing independent expenditure or ballot question
9.9 political committee or political fund.

9.10    Sec. 20. Minnesota Statutes 2012, section 10A.12, subdivision 2, is amended to read:
9.11    Subd. 2. Commingling prohibited. The contents of a an association's political
9.12fund may not be commingled with other funds or with the personal funds of an officer or
9.13member of the association or the fund. It is not commingling for an association that uses
9.14only its own general treasury money to make expenditures and disbursements permitted
9.15under section 10A.121, subdivision 1, directly from the depository used for its general
9.16treasury money. An association that accepts more than $1,500 in contributions to influence
9.17the nomination or election of candidates or more than $5,000 in contributions to promote
9.18or defeat a ballot question must establish a separate depository for those contributions.

9.19    Sec. 21. Minnesota Statutes 2012, section 10A.121, is amended to read:
9.2010A.121 INDEPENDENT EXPENDITURE AND BALLOT QUESTION
9.21POLITICAL COMMITTEES AND INDEPENDENT EXPENDITURE POLITICAL
9.22FUNDS.
9.23    Subdivision 1. Permitted disbursements. An independent expenditure political
9.24committee or an independent expenditure political fund, or a ballot question political
9.25committee or fund, in addition to making independent expenditures, may:
9.26    (1) pay costs associated with its fund-raising and general operations;
9.27    (2) pay for communications that do not constitute contributions or approved
9.28expenditures; and
9.29    (3) make contributions to other independent expenditure or ballot question political
9.30committees or independent expenditure political funds;
9.31    (4) make independent expenditures;
9.32    (5) make disbursements for electioneering communications;
9.33    (6) make expenditures to promote or defeat ballot questions;
9.34    (7) return a contribution to its source;
10.1    (8) for a political fund, record bookkeeping entries transferring the association's
10.2general treasury money allocated for political purposes back to the general treasury of
10.3the association; and
10.4    (9) for a political fund, return general treasury money transferred to a separate
10.5depository to the general depository of the association.
10.6    Subd. 2. Penalty. (a) An independent expenditure political committee or
10.7independent expenditure political fund is subject to a civil penalty of up to four times the
10.8amount of the contribution or approved expenditure if it does the following:
10.9    (1) makes a contribution to a candidate, party unit, political committee, or political
10.10fund other than an independent expenditure political committee or an independent
10.11expenditure political fund; or
10.12    (2) makes an approved expenditure.
10.13    (b) No other penalty provided in law may be imposed for conduct that is subject to a
10.14civil penalty under this section.

10.15    Sec. 22. Minnesota Statutes 2012, section 10A.14, subdivision 1, is amended to read:
10.16    Subdivision 1. First registration. The treasurer of a political committee, political
10.17fund, principal campaign committee, or party unit must register with the board by filing
10.18a registration statement of organization no later than 14 days after the committee, fund,
10.19or party unit has made a contribution, received contributions, or made expenditures in
10.20excess of $100 $750, or by the end of the next business day after it has received a loan
10.21or contribution that must be reported under section 10A.20, subdivision 5, whichever is
10.22earlier. This subdivision does not apply to ballot question or independent expenditure
10.23political committees or funds, which are subject to subdivision 1a.

10.24    Sec. 23. Minnesota Statutes 2012, section 10A.14, is amended by adding a subdivision
10.25to read:
10.26    Subd. 1a. Independent expenditure or ballot question political committees
10.27and funds; first registration; reporting. The treasurer of an independent expenditure
10.28or ballot question political committee or fund must register with the board by filing
10.29a registration statement:
10.30(1) no later than 14 calendar days after the committee or the association registering
10.31the political fund has:
10.32(i) received aggregate contributions for independent expenditures of more than
10.33$1,500 in a calendar year;
11.1(ii) received aggregate contributions for expenditures to promote or defeat a ballot
11.2question of more than $5,000 in a calendar year;
11.3(iii) made aggregate independent expenditures of more than $1,500 in a calendar
11.4year; or
11.5(iv) made aggregate expenditures to promote or defeat a ballot question of more
11.6than $5,000 in a calendar year; or
11.7(2) by the end of the next business day after it has received a loan or contribution
11.8that must be reported under section 10A.20, subdivision 5, and it has met one of the
11.9requirements of clause (1).

11.10    Sec. 24. Minnesota Statutes 2012, section 10A.15, subdivision 1, is amended to read:
11.11    Subdivision 1. Anonymous contributions. A political committee, political fund,
11.12principal campaign committee, or party unit may not retain an anonymous contribution in
11.13excess of $20 $50, but must forward it to the board for deposit in the general account of
11.14the state elections campaign fund account.

11.15    Sec. 25. Minnesota Statutes 2012, section 10A.15, subdivision 2, is amended to read:
11.16    Subd. 2. Source; amount; date. An individual who receives a contribution in
11.17excess of $20 $50 for a political committee, political fund, principal campaign committee,
11.18or party unit must, on demand of the treasurer, inform the treasurer of the name and, if
11.19known, the address of the source of the contribution, the amount of the contribution, and
11.20the date it was received.

11.21    Sec. 26. Minnesota Statutes 2012, section 10A.15, subdivision 3, is amended to read:
11.22    Subd. 3. Deposit. All contributions received by or on behalf of a candidate,
11.23principal campaign committee, political committee, political fund, or party unit must
11.24be deposited in an account designated "Campaign Fund of ..... (name of candidate,
11.25committee, fund, or party unit)." All contributions must be deposited promptly upon
11.26receipt and, except for contributions received during the last three days of a reporting
11.27period as described in section 10A.20, must be deposited during the reporting period
11.28in which they were received. A contribution received during the last three days of a
11.29reporting period must be deposited within 72 hours after receipt and must be reported
11.30as received during the reporting period whether or not deposited within that period. A
11.31candidate, principal campaign committee, political committee, political fund, or party unit
11.32may refuse to accept a contribution. A deposited contribution may be returned to the
12.1contributor within 60 90 days after deposit. A contribution deposited and not returned
12.2within 60 90 days after that deposit must be reported as accepted.

12.3    Sec. 27. Minnesota Statutes 2012, section 10A.20, subdivision 1, is amended to read:
12.4    Subdivision 1. First filing; duration. The treasurer of a political committee, political
12.5fund, principal campaign committee, or party unit must begin to file the reports required
12.6by this section in for the first year it receives contributions or makes expenditures in excess
12.7of $100 that require it to register under section 10A.14 and must continue to file until the
12.8committee, fund, or party unit is terminated. The reports must be filed electronically in a
12.9standards-based open format specified by the board. For good cause shown, the board
12.10must grant exemptions to the requirement that reports be filed electronically.

12.11    Sec. 28. Minnesota Statutes 2012, section 10A.20, subdivision 2, is amended to read:
12.12    Subd. 2. Time for filing. (a) The reports must be filed with the board on or before
12.13January 31 of each year and additional reports must be filed as required and in accordance
12.14with paragraphs (b) to (d).
12.15(b) In each year in which the name of the a candidate for legislative or district court
12.16judicial office is on the ballot, the report of the principal campaign committee must be
12.17filed 15 days before a primary and ten days before a general election, seven days before a
12.18special primary and a special election, and ten days after a special election cycle.
12.19(c) In each general election year, a political committee or, a political fund must file
12.20reports 28 and 15 days before a primary and 42 and ten days before a general election.
12.21Beginning in 2012, reports required under this paragraph must also be filed 56 days before
12.22a primary., a state party committee, a party unit established by all or a part of the party
12.23organization within a house of the legislature, and the principal campaign committee
12.24of a candidate for constitutional or appellate court judicial office must file reports on
12.25the following schedule:
12.26(1) a first-quarter report covering the calendar year through March 31, which is
12.27due April 14;
12.28(2) in a year in which a primary election is held in August, a report covering the
12.29calendar year through May 31, which is due June 14;
12.30(3) in a year in which a primary election is held before August, a pre-general-election
12.31report covering the calendar year through July 15, which is due July 29;
12.32(4) a pre-primary-election report due 15 days before a primary election;
12.33(5) a pre-general-election report due 42 days before the general election;
12.34(6) a pre-general-election report due ten days before a general election; and
13.1(7) for a special election, a constitutional office candidate whose name is on the
13.2ballot must file reports seven days before a special primary and a special election, and ten
13.3days after a special election cycle.
13.4(d) In each general election year, a party unit not included in paragraph (c) must file
13.5reports 15 days before a primary election and ten days before a general election.
13.6(e) Notwithstanding paragraphs (a) to (d), the principal campaign committee of a
13.7candidate whose name will not be on the general election ballot is not required to file the
13.8report due ten days before a general election or seven days before a special election.

13.9    Sec. 29. Minnesota Statutes 2012, section 10A.20, subdivision 3, is amended to read:
13.10    Subd. 3. Contents of report. (a) The report required by this section must include
13.11each of the items listed in paragraphs (b) to (o) that are applicable to the filer. The board
13.12shall prescribe forms based on filer type indicating which of those items must be included
13.13on the filer's report.
13.14(a) (b) The report must disclose the amount of liquid assets on hand at the beginning
13.15of the reporting period.
13.16(b) (c) The report must disclose the name, address, and employer, or occupation if
13.17self-employed, of each individual or association that has made one or more contributions
13.18to the reporting entity, including the purchase of tickets for a fund-raising effort, that in
13.19aggregate within the year exceed $100 $200 for legislative or statewide candidates or more
13.20than $500 for ballot questions, together with the amount and date of each contribution, and
13.21the aggregate amount of contributions within the year from each source so disclosed. A
13.22donation in kind must be disclosed at its fair market value. An approved expenditure must
13.23be listed as a donation in kind. A donation in kind is considered consumed in the reporting
13.24period in which it is received. The names of contributors must be listed in alphabetical
13.25order. Contributions from the same contributor must be listed under the same name. When
13.26a contribution received from a contributor in a reporting period is added to previously
13.27reported unitemized contributions from the same contributor and the aggregate exceeds
13.28the disclosure threshold of this paragraph, the name, address, and employer, or occupation
13.29if self-employed, of the contributor must then be listed on the report.
13.30(c) (d) The report must disclose the sum of contributions to the reporting entity
13.31during the reporting period.
13.32(d) (e) The report must disclose each loan made or received by the reporting entity
13.33within the year in aggregate in excess of $100 $200, continuously reported until repaid or
13.34forgiven, together with the name, address, occupation, and principal place of business,
13.35if any, of the lender and any endorser and the date and amount of the loan. If a loan
14.1made to the principal campaign committee of a candidate is forgiven or is repaid by an
14.2entity other than that principal campaign committee, it must be reported as a contribution
14.3for the year in which the loan was made.
14.4(e) (f) The report must disclose each receipt over $100 $200 during the reporting
14.5period not otherwise listed under paragraphs (b) (c) to (d) (e).
14.6(f) (g) The report must disclose the sum of all receipts of the reporting entity during
14.7the reporting period.
14.8(g) (h) The report must disclose the name and address of each individual or
14.9association to whom aggregate expenditures, including approved expenditures,
14.10 independent expenditures, ballot question expenditures, and disbursements for
14.11electioneering communications have been made by or on behalf of the reporting entity
14.12within the year in excess of $100 $200, together with the amount, date, and purpose of
14.13each expenditure and the name and address of, and office sought by, each candidate on
14.14whose behalf the expenditure was made or, in the case of electioneering communications,
14.15each candidate identified positively in the communication, identification of the ballot
14.16question that the expenditure was intended to promote or defeat and an indication of
14.17whether the expenditure was to promote or to defeat the ballot question, and in the
14.18case of independent expenditures made in opposition to a candidate or electioneering
14.19communications in which a candidate is identified negatively, the candidate's name,
14.20address, and office sought. A reporting entity making an expenditure on behalf of more
14.21than one candidate for state or legislative office must allocate the expenditure among the
14.22candidates on a reasonable cost basis and report the allocation for each candidate.
14.23(h) (i) The report must disclose the sum of all expenditures made by or on behalf of
14.24the reporting entity during the reporting period.
14.25(i) (j) The report must disclose the amount and nature of an advance of credit
14.26incurred by the reporting entity, continuously reported until paid or forgiven. If an advance
14.27of credit incurred by the principal campaign committee of a candidate is forgiven by the
14.28creditor or paid by an entity other than that principal campaign committee, it must be
14.29reported as a donation in kind for the year in which the advance of credit was made.
14.30(j) (k) The report must disclose the name and address of each political committee,
14.31political fund, principal campaign committee, or party unit to which contributions have
14.32been made that aggregate in excess of $100 $200 within the year and the amount and
14.33date of each contribution.
14.34(k) (l) The report must disclose the sum of all contributions made by the reporting
14.35entity during the reporting period.
15.1(l) (m) The report must disclose the name and address of each individual or
15.2association to whom noncampaign disbursements have been made that aggregate in excess
15.3of $100 $200 within the year by or on behalf of the reporting entity and the amount, date,
15.4and purpose of each noncampaign disbursement.
15.5(m) (n) The report must disclose the sum of all noncampaign disbursements made
15.6within the year by or on behalf of the reporting entity.
15.7(n) (o) The report must disclose the name and address of a nonprofit corporation that
15.8provides administrative assistance to a political committee or political fund as authorized
15.9by section 211B.15, subdivision 17, the type of administrative assistance provided, and the
15.10aggregate fair market value of each type of assistance provided to the political committee
15.11or political fund during the reporting period.

15.12    Sec. 30. Minnesota Statutes 2012, section 10A.20, subdivision 5, is amended to read:
15.13    Subd. 5. Preelection Pre-election reports. (a) Any loan, contribution, or
15.14contributions:
15.15    (1) to a political committee or political fund from any one source totaling more than
15.16 $1,000 or more, or in a statewide election for;
15.17    (2) to the principal campaign committee of a candidate for an appellate court judicial
15.18office, any loan, contribution, or contributions from any one source totaling more than
15.19 $2,000 or more, or in any judicial;
15.20    (3) to the principal campaign committee of a candidate for district court judge
15.21 totaling more than $400 or more, and any loan, contribution, or contributions; or
15.22    (4) to the principal campaign committee of a candidate for constitutional office or
15.23for the legislature from any one source totaling 80 more than 50 percent or more of the
15.24 election cycle contribution limit for the office, received between the last day covered in
15.25the last report before an election and the election must be reported to the board in one of
15.26the following ways: in the manner provided in paragraph (b).
15.27(b) A loan, contribution, or contributions required to be reported to the board under
15.28paragraph (a) must be reported to the board either:
15.29    (1) in person by the end of the next business day after its receipt; or
15.30    (2) by electronic means sent within 24 hours after its receipt.
15.31    (c) These loans and contributions must also be reported in the next required report.
15.32    (d) This notice requirement does not apply with respect to in a primary in which
15.33the statewide or legislative election to a candidate who is unopposed in the primary, in a
15.34primary election to a ballot question political committee or fund, or in a general election to
16.1a candidate whose name is not on the general election ballot. The board must post the
16.2report on its Web site by the end of the next business day after it is received.
16.3    (e) This subdivision does not apply to a ballot question or independent expenditure
16.4political committee or fund that has not met the registration threshold of section 10A.14,
16.5subdivision 1a. However, if a contribution that would be subject to this section triggers the
16.6registration requirement in section 10A.14, subdivision 1a, then both registration under
16.7that section and reporting under this section are required.

16.8    Sec. 31. Minnesota Statutes 2012, section 10A.20, subdivision 6, is amended to read:
16.9    Subd. 6. Report when no committee. (a) A candidate who does not designate
16.10and cause to be formed a principal campaign committee and an individual who makes
16.11independent expenditures or campaign expenditures expressly advocating the approval or
16.12defeat of a ballot question in aggregate in excess of $100 $750 in a year must file with
16.13the board a report containing the information required by subdivision 3. Reports required
16.14by this subdivision must be filed on by the dates on which reports by principal campaign
16.15 committees, funds, and party units are must be filed.
16.16(b) An individual who makes independent expenditures that aggregate more than
16.17$1,500 in a calendar year or expenditures to promote or defeat a ballot question that
16.18aggregate more than $5,000 in a calendar year must file with the board a report containing
16.19the information required by subdivision 3. A report required by this subdivision must be
16.20filed by the date on which the next report by political committees and political funds
16.21must be filed.

16.22    Sec. 32. Minnesota Statutes 2012, section 10A.20, subdivision 7, is amended to read:
16.23    Subd. 7. Statement of inactivity. If a reporting entity principal campaign
16.24committee, party unit, or political committee, has no receipts or expenditures during a
16.25reporting period, the treasurer must file with the board at the time required by this section
16.26a statement to that effect.

16.27    Sec. 33. Minnesota Statutes 2012, section 10A.20, is amended by adding a subdivision
16.28to read:
16.29    Subd. 7a. Activity of political fund. An association is not required to file any
16.30statement or report for a reporting period when the association accepted no contributions
16.31into the association's political fund and made no expenditures from its political fund since
16.32the last date included in its most recent filed report. If the association maintains a separate
16.33checking account for its political fund, the receipt of interest on the proceeds of that
17.1account and the payment of fees to maintain that account do not constitute activity that
17.2requires the filing of a report for an otherwise inactive political fund.

17.3    Sec. 34. [10A.201] ELECTIONEERING COMMUNICATIONS.
17.4    Subdivision 1. Electioneering communication. (a) "Electioneering
17.5communication" means a communication distributed by television, radio, satellite, or
17.6cable broadcasting system; by means of printed material, signs, or billboards; or through
17.7the use of telephone communications that:
17.8(1) refers to a clearly identified candidate;
17.9(2) is made within:
17.10(i) 30 days before a primary election or special primary election for the office sought
17.11by the candidate; or
17.12(ii) 60 days before a general election or special election for the office sought by
17.13the candidate;
17.14(3) is targeted to the relevant electorate; and
17.15(4) is made without the express or implied consent, authorization, or cooperation
17.16of, and not in concert with or at the request or suggestion of, a candidate or a candidate's
17.17principal campaign committee or agent.
17.18(b) Electioneering communication does not include:
17.19(1) the publishing or broadcasting of news items or editorial comments by the news
17.20media;
17.21(2) a communication that constitutes an approved expenditure or an independent
17.22expenditure;
17.23(3) a communication by an association distributed only to the association's own
17.24members, donors, or subscribers in a newsletter or similar publication in a form that is
17.25routinely sent to the association's members;
17.26    (4) a voter guide, which is a pamphlet or similar printed materials, intended to help
17.27voters compare candidates' positions on a set of issues, as long as each of the following is
17.28true:
17.29    (i) the guide does not focus on a single issue or a narrow range of issues, but
17.30includes questions and subjects sufficient to encompass major issues of interest to the
17.31entire electorate;
17.32    (ii) the questions and any other description of the issues are clear and unbiased in
17.33both their structure and content;
17.34    (iii) the questions posed and provided to the candidates are identical to those
17.35included in the guide;
18.1    (iv) each candidate included in the guide is given a reasonable amount of time and
18.2the same opportunity as other candidates to respond to the questions;
18.3    (v) if the candidate is given limited choices for an answer to a question, for example:
18.4"support," "oppose," "yes," or "no", the candidate is also given an opportunity, subject to
18.5reasonable limits, to explain the candidate's position in the candidate's own words; the
18.6fact that a candidate provided an explanation is clearly indicated in the guide; and the
18.7guide clearly indicates that the explanations will be made available for public inspection,
18.8subject to reasonable conditions;
18.9    (vi) answers included in the guide are those provided by the candidates in response
18.10to questions, the candidate's answers are unedited, and the answers appear in close
18.11proximity to the question to which they respond;
18.12    (vii) if the guide includes candidates' positions based on information other than
18.13responses provided directly by the candidate, the positions are based on recorded votes,
18.14reliable media reports, or public statements of the candidates and are presented in an
18.15unedited and unbiased manner; and
18.16    (viii) the guide includes all major party candidates for each office listed in the guide;
18.17(5) any other communication specified in board rules or advisory opinions as being
18.18excluded from the definition of electioneering communications;
18.19(6) a communication that:
18.20(i) refers to a clearly identified candidate who is an incumbent member of the
18.21legislature or a constitutional officer;
18.22(ii) refers to a clearly identified issue that is or was before the legislature in the
18.23form of an introduced bill; and
18.24(iii) is made when the legislature is in session, or within ten days after the last
18.25day of a regular session of the legislature.
18.26(c) A communication that meets the requirements of paragraph (a) but is made with
18.27the authorization or express or implied consent of, or in cooperation or in concert with, or
18.28at the request or suggestion of a candidate, a candidate's principal campaign committee, or
18.29a candidate's agent is an approved expenditure.
18.30    (d) Distributing a voter guide questionnaire, survey, or similar document to
18.31candidates and communications with candidates limited to obtaining their responses,
18.32without more, do not constitute communications that would result in the voter guide being
18.33an approved expenditure on behalf of the candidate.
18.34    Subd. 2. Targeted to relevant electorate. (a) For purposes of this section, a
18.35communication that refers to a clearly identified candidate is targeted to the relevant
18.36electorate if the communication is distributed to or can be received by more than 1,500
19.1persons in the district the candidate seeks to represent, in the case of a candidate for the
19.2house of representatives, senate, or a district court judicial office or by more than 6,000
19.3persons in the state, in the case of a candidate for constitutional office or appellate court
19.4judicial office.
19.5    (b) A communication consisting of printed materials, other than signs, billboards,
19.6or advertisements published in the print media, is targeted to the relevant electorate if it
19.7meets the requirements of paragraph (a), and is distributed to voters by means of United
19.8States mail or through direct delivery to a resident's home or business.
19.9    Subd. 3. Disclosure of electioneering communications. (a) Electioneering
19.10communications made by a political committee, a party unit, or a principal campaign
19.11committee must be disclosed on the periodic reports of receipts and expenditures filed by
19.12the association on the schedule and in accordance with the terms of section 10A.20.
19.13(b) An association other than a political committee, party unit, or principal campaign
19.14committee may register a political fund with the board and disclose its electioneering
19.15communications on the reports of receipts and expenditures filed by the political fund.
19.16If it does so, it must disclose its disbursements for electioneering communication on the
19.17schedule and in accordance with the terms of section 10A.20.
19.18(c) An association that does not disclose its disbursements for electioneering
19.19communication under paragraph (a) or (b) must disclose its electioneering communications
19.20according to the requirements of subdivision 4.
19.21    Subd. 4. Statement required for electioneering communications made by
19.22unregistered associations. (a) Except for associations providing disclosure as specified
19.23in subdivision 3, paragraph (a) or (b), every person who makes a disbursement for the
19.24costs of producing or distributing electioneering communications that aggregate more than
19.25$1,500 in a calendar year must, within 24 hours of each disclosure date, file with the board
19.26a disclosure statement containing the information described in this subdivision.
19.27(b) Each statement required to be filed under this section must contain the following
19.28information:
19.29(1) the names of: (i) the association making the disbursement; (ii) any person
19.30exercising direction or control over the activities of the association with respect to the
19.31disbursement; and (iii) the custodian of the financial records of the association making
19.32disbursement;
19.33(2) the address of the association making the disbursement;
19.34(3) the amount of each disbursement of more than $200 during the period covered
19.35by the statement, a description of the purpose of the disbursement, and the identification of
19.36the person to whom the disbursement was made;
20.1(4) the names of the candidates identified or to be identified in the communication;
20.2(5) if the disbursements were paid out of a segregated bank account that consists
20.3of funds donated specifically for electioneering communications, the name and address
20.4of each person who gave the association more than $200 in aggregate to that account
20.5during the period beginning on the first day of the preceding calendar year and ending on
20.6the disclosure date; and
20.7(6) if the disbursements for electioneering communications were made using general
20.8treasury money of the association, an association that has paid more than $5,000 in
20.9aggregate for electioneering communications during the calendar year must file with its
20.10disclosure statement a written statement that includes the name, address, and amount
20.11attributable to each person that paid the association membership dues or fees, or made
20.12donations to the association that, in total, aggregate more than $5,000 of the money used
20.13by the association for electioneering communications. The statement must also include
20.14the total amount of the disbursements for electioneering communications attributable to
20.15persons not subject to itemization under this clause. The statement must be certified as
20.16true by an officer of the association that made the disbursements for the electioneering
20.17communications.
20.18(c) To determine the amount of the membership dues or fees, or donations
20.19made by a person to an association and attributable to the association's disbursements
20.20for electioneering communications, the association must separately prorate the total
20.21disbursements made for electioneering communications during the calendar year over all
20.22general treasury money received during the calendar year.
20.23(d) If the amount spent for electioneering communications exceeds the amount of
20.24general treasury money received by the association during that year:
20.25(1) the electioneering communications must be attributed first to all receipts of
20.26general treasury money received during the calendar year in which the electioneering
20.27communications were made;
20.28(2) any amount of current year electioneering communications that exceeds the total
20.29of all receipts of general treasury money during the current calendar year must be prorated
20.30over all general treasury money received in the preceding calendar year; and
20.31(3) if the allocation made in clauses (1) and (2) is insufficient to cover the subject
20.32electioneering communications, no further allocation is required.
20.33(e) After a portion of the general treasury money received by an association
20.34from a person has been designated as the source of a disbursement for electioneering
20.35communications, that portion of the association's general treasury money received
20.36from that person may not be designated as the source of any other disbursement for
21.1electioneering communications or as the source for any contribution to an independent
21.2expenditure political committee or fund.
21.3    Subd. 5. Disclosure date. For purposes of this section, the term "disclosure date"
21.4means the earlier of:
21.5(1) the first date on which an electioneering communication is publicly distributed,
21.6provided that the person making the electioneering communication has made
21.7disbursements for the direct costs of producing or distributing one or more electioneering
21.8communication aggregating in excess of $1,500; or
21.9(2) any other date during the same calendar year on which an electioneering
21.10communication is publicly distributed, provided that the person making the electioneering
21.11communication has made disbursements for the direct costs of distributing one or more
21.12electioneering communications aggregating in excess of $1,500 since the most recent
21.13disclosure date.
21.14    Subd. 6. Contracts to disburse. For purposes of this section, a person shall be
21.15treated as having made a disbursement if the person has entered into an obligation to
21.16make the disbursement.
21.17    Subd. 7. Statement of attribution. (a) An electioneering communication must
21.18include a statement of attribution.
21.19(1) For communications distributed by printed material, signs, and billboards, the
21.20statement must say, in conspicuous letters: "Paid for by [association name] [address]."
21.21(2) For communications distributed by television, radio, satellite, or cable
21.22broadcasting system, the statement must be included at the end of the communication and
21.23must orally state at a volume and speed that a person of ordinary hearing can comprehend:
21.24"The preceding communication was paid for by the [association name]."
21.25(3) For communications distributed by telephone communication, the statement
21.26must precede the communication and must orally state at a volume and speed that a person
21.27of ordinary hearing can comprehend: "The following communication is paid for by the
21.28[association name]."
21.29(b) If the communication is paid for by an association registered with the board, the
21.30statement of attribution must use the association's name as it is registered with the board.
21.31If the communication is paid for by an association not registered with the board, the
21.32statement of attribution must use the association's name as it is disclosed to the board on
21.33the association's disclosure statement associated with the communication.
21.34    Subd. 8. Failure to file; penalty. (a) If a person fails to file a statement required by
21.35this section by the date the statement is due, the board may impose a late filing fee of $50
21.36per day, not to exceed $1,000, commencing the day after the report was due.
22.1(b) The board must send notice by certified mail to a person who fails to file a
22.2statement within ten business days after the statement was due that the person may be
22.3subject to a civil penalty for failure to file the statement. A person who fails to file the
22.4statement within seven days after the certified mail notice was sent by the board is subject
22.5to a civil penalty imposed by the board of up to $1,000.
22.6(c) An association that provides disclosure under section 10A.20 rather than under
22.7this section is subject to the late filing fee and civil penalty provisions of section 10A.20
22.8and is not subject to the penalties provided in this subdivision.
22.9(d) An association that makes electioneering communications under this section and
22.10willfully fails to provide the statement required by subdivision 4, paragraph (b), clause
22.11(6), within the time specified is subject to an additional civil penalty of up to four times
22.12the amount of the electioneering communications disbursements that should have been
22.13included on the statement.

22.14    Sec. 35. Minnesota Statutes 2012, section 10A.241, is amended to read:
22.1510A.241 TRANSFER OF DEBTS.
22.16Notwithstanding section 10A.24, A candidate may terminate the candidate's
22.17principal campaign committee for one state office by transferring any debts of that
22.18committee to the candidate's principal campaign committee for another state office if
22.19all outstanding unpaid bills or loans from the committee being terminated are assumed
22.20and continuously reported by the committee to which the transfer is being made until
22.21paid or forgiven. A loan that is forgiven is covered by section 10A.20 and, for purposes
22.22of section 10A.324, is a contribution to the principal campaign committee from which
22.23the debt was transferred under this section.

22.24    Sec. 36. [10A.243] TERMINATION OF REGISTRATION.
22.25    Subdivision 1. Termination report. A political committee, political fund, principal
22.26campaign committee, or party unit may terminate its registration with the board after it
22.27has disposed of all its assets in excess of $100 by filing a final report of receipts and
22.28expenditures. The final report must be identified as a termination report and must include
22.29all financial transactions that occurred after the last date included on the most recent
22.30report filed with the board. The termination report may be filed at any time after the
22.31asset threshold in this section is reached.
22.32    Subd. 2. Asset disposition. "Assets" include credit balances at vendors, prepaid
22.33postage and postage stamps, as well as physical assets. Assets must be disposed of at their
22.34fair market value. Assets of a political fund that consist of, or were acquired using, only
23.1the general treasury money of the fund's supporting association remain the property of the
23.2association upon termination of the association's political fund registration and are not
23.3subject to the disposal requirements of this section.

23.4    Sec. 37. [10A.244] VOLUNTARY INACTIVE STATUS; POLITICAL FUNDS.
23.5    Subdivision 1. Election of voluntary inactive status. An association that has a
23.6political fund registered under this chapter may elect to have the fund placed on voluntary
23.7inactive status if the following conditions are met:
23.8(1) the association makes a written request for inactive status;
23.9(2) the association has filed all periodic reports required by this chapter and
23.10has received no contributions into its political fund and made no expenditures or
23.11disbursements for electioneering communications through its political fund since the last
23.12date included on the association's most recent report; and
23.13(3) the association has satisfied all obligations to the state for late filing fees and civil
23.14penalties imposed by the board or the board has waived this requirement.
23.15    Subd. 2. Effect of voluntary inactive status. After an association has complied
23.16with the requirements of subdivision 1:
23.17(1) the board must notify the association that its political fund has been placed in
23.18voluntary inactive status and of the terms of this section;
23.19(2) the board must stop sending the association reports, forms, and notices of report
23.20due dates that are periodically sent to entities registered with the board;
23.21(3) the association is not required to file periodic disclosure reports for its political
23.22fund as otherwise required under this chapter;
23.23(4) the association may not accept contributions into its political fund and may not
23.24make expenditures, contributions, or disbursements for electioneering communications
23.25through its political fund; and
23.26(5) if the association maintains a separate depository account for its political fund,
23.27it may continue to pay bank service charges and receive interest paid on that account
23.28while its political fund is in inactive status.
23.29    Subd. 3. Resumption of active status or termination. (a) An association that
23.30has placed its political fund in voluntary inactive status may resume active status upon
23.31written notice to the board.
23.32(b) A political fund placed in voluntary inactive status must resume active status
23.33within 14 days of the date that it has accepted contributions or made expenditures,
23.34contributions, or disbursements for electioneering communications that aggregate more
23.35than $750 since the political fund was placed on inactive status. If, after meeting this
24.1threshold, the association does not notify the board that its fund has resumed active
24.2status, the board may place the association's political fund in active status and notify the
24.3association of the change in status.
24.4(c) An association that has placed its political fund in voluntary inactive status may
24.5terminate the registration of the fund without returning it to active status.
24.6    Subd. 4. Penalty for financial activity while in voluntary inactive status. If an
24.7association fails to notify the board of its political fund's resumption of active status under
24.8subdivision 3, the board may impose a civil penalty of $50 per day, not to exceed $1,000
24.9commencing on the 15th calendar day after the fund resumed active status.

24.10    Sec. 38. [10A.245] ADMINISTRATIVE TERMINATION OF INACTIVE
24.11COMMITTEES AND FUNDS.
24.12    Subdivision 1. Inactivity defined. (a) A principal campaign committee becomes
24.13inactive on the later of the following dates:
24.14(1) six years after the last election in which the individual for whom the committee
24.15exists was a candidate for the office sought or held at the time the principal campaign
24.16committee registered with the board; or
24.17(2) six years after the last day on which the individual for whom the committee
24.18exists served in an elective office subject to this chapter.
24.19(b) A political committee, political fund, or party unit becomes inactive when
24.20four years have elapsed since the end of a reporting period during which the political
24.21committee, political fund, or party unit made an expenditure or disbursement requiring
24.22itemized disclosure under this chapter.
24.23(c) A political fund that has elected voluntary inactive status under section 10A.244
24.24becomes inactive within the meaning of this section when four years have elapsed during
24.25which the political fund was continuously in voluntary inactive status.
24.26    Subd. 2. Termination by board. The board may terminate the registration of a
24.27principal campaign committee, party unit, political committee, or political fund found to be
24.28inactive under this section 60 days after sending written notice of inactivity by certified mail
24.29to the affected association at the last address on record with the board for that association.
24.30Within 60 days after the board sends notice under this section, the affected association must
24.31dispose of its assets as provided in this subdivision. The assets of the principal campaign
24.32committee, party unit, or political committee must be used for the purposes authorized by
24.33this chapter or section 211B.12 or must be liquidated and deposited in the general account
24.34of the state elections campaign account. The assets of an association's political fund that
24.35were derived from the association's general treasury money revert to the association's
25.1general treasury. Assets of a political fund that resulted from contributions to the political
25.2fund must be used for the purposes authorized by this chapter or section 211B.12 or must
25.3be liquidated and deposited in the general account of the state elections campaign account.

25.4    Sec. 39. [10A.246] UNPAID DEBT UPON TERMINATION.
25.5Termination of a registration with the board does not affect the liability, if any, of the
25.6association or its candidates, officers, or other individuals for obligations incurred in the
25.7name of the association or its political fund.

25.8    Sec. 40. Minnesota Statutes 2012, section 10A.25, subdivision 2, is amended to read:
25.9    Subd. 2. Amounts. (a) In a year in which an election is held each election cycle for
25.10an office sought by a candidate, the principal campaign committee of the candidate must
25.11not make campaign expenditures nor permit approved expenditures to be made on behalf
25.12of the candidate that result in aggregate expenditures in excess of the following:
25.13(1) for governor and lieutenant governor, running together, $2,577,200 $5,000,000;
25.14(2) for attorney general, $429,600;
25.15(3) for secretary of state, and state auditor, separately, $214,800 each $1,500,000;
25.16(4) (3) for state senator, $68,100 $120,000;
25.17(5) (4) for state representative, $34,300 $60,000.
25.18(b) In addition to the amount in paragraph (a), clause (1), a candidate for
25.19endorsement for the office of lieutenant governor at the convention of a political party
25.20may make campaign expenditures and approved expenditures of five percent of that
25.21amount to seek endorsement.
25.22(c) If a special election cycle occurs during a general election cycle, expenditures by
25.23or on behalf of a candidate in the special election cycle do not count as expenditures by or
25.24on behalf of the candidate in the general election cycle.
25.25(d) The expenditure limits in this subdivision for an office are increased by ten
25.26percent for a candidate who is running for that office for the first time has not previously
25.27held the same office, whose name has not previously been on the primary or general
25.28election ballot for that office, and who has not in the past ten years raised or spent
25.29more than $750 in a run previously for any other office whose territory now includes a
25.30population that is more than one-third of the population in the territory of the new office.
25.31 In the case of a legislative candidate, the office is that of a member of the house of
25.32representatives or senate without regard to any specific district.

25.33    Sec. 41. Minnesota Statutes 2012, section 10A.25, subdivision 2a, is amended to read:
26.1    Subd. 2a. Aggregated expenditures. If a candidate makes expenditures from more
26.2than one principal campaign committee for nomination or election to statewide office
26.3in the same election year cycle, the amount of expenditures from all of the candidate's
26.4principal campaign committees for statewide office for that election year cycle must be
26.5aggregated for purposes of applying the limits on expenditures under subdivision 2.

26.6    Sec. 42. Minnesota Statutes 2012, section 10A.25, subdivision 3, is amended to read:
26.7    Subd. 3. Governor and lieutenant governor a single candidate. For the purposes
26.8of sections 10A.11 to 10A.34 this chapter, a candidate for governor and a candidate
26.9for lieutenant governor, running together, are considered a single candidate. Except as
26.10provided in subdivision 2, paragraph (b), All expenditures made by or all approved
26.11expenditures made on behalf of the candidate for lieutenant governor are considered to be
26.12expenditures by or approved expenditures on behalf of the candidate for governor.

26.13    Sec. 43. Minnesota Statutes 2012, section 10A.25, subdivision 3a, is amended to read:
26.14    Subd. 3a. Independent expenditures and electioneering communications. The
26.15principal campaign committee of a candidate must not make independent expenditures or
26.16disbursements for electioneering communications.

26.17    Sec. 44. Minnesota Statutes 2012, section 10A.257, subdivision 1, is amended to read:
26.18    Subdivision 1. Unused funds. After all campaign expenditures and noncampaign
26.19disbursements for an election cycle have been made, an amount up to 50 25 percent of the
26.20election year cycle expenditure limit for the office may be carried forward. Any remaining
26.21amount up to the total amount of the public subsidy from the state elections campaign fund
26.22must be returned to the state treasury for credit to the general fund under section 10A.324.
26.23Any remaining amount in excess of the total public subsidy must be contributed to the
26.24state elections campaign fund account or a political party for multicandidate expenditures
26.25as defined in section 10A.275.

26.26    Sec. 45. Minnesota Statutes 2012, section 10A.27, subdivision 1, is amended to read:
26.27    Subdivision 1. Contribution limits. (a) Except as provided in subdivision 2,
26.28a candidate must not permit the candidate's principal campaign committee to accept
26.29aggregate contributions in an election cycle made or delivered by any individual, political
26.30committee, or political fund, or association not registered with the board in excess of
26.31the following:
27.1(1) to candidates for governor and lieutenant governor running together, $2,000 in
27.2an election year for the office sought and $500 in other years $6,000;
27.3(2) to a candidate for attorney general, secretary of state, or state auditor, $1,000 in
27.4an election year for the office sought and $200 in other years $4,000;
27.5(3) to a candidate for state senator, $500 in an election year for the office sought
27.6and $100 in other years $3,000;
27.7(4) to a candidate for state representative, $500 in an election year for the office
27.8sought and $100 in the other year $1,500; and
27.9(5) to a candidate for judicial office, $2,000 in an election year for the office sought
27.10and $500 in other years $4,500.
27.11(b) The following deliveries are not subject to the bundling limitation in this
27.12subdivision:
27.13(1) delivery of contributions collected by a member of the candidate's principal
27.14campaign committee, such as a block worker or a volunteer who hosts a fund-raising
27.15event, to the committee's treasurer; and
27.16(2) a delivery made by an individual on behalf of the individual's spouse.
27.17(c) A lobbyist, political committee, political party unit, or an association that has a
27.18 political fund, or an association not registered with the board must not make a contribution
27.19a candidate is prohibited from accepting.

27.20    Sec. 46. Minnesota Statutes 2012, section 10A.27, subdivision 10, is amended to read:
27.21    Subd. 10. Limited personal contributions. A candidate who accepts a public
27.22subsidy signs an agreement under section 10A.322 may not contribute to the candidate's
27.23own campaign during a year an election cycle more than ten five times the candidate's
27.24election year cycle contribution limit under subdivision 1.

27.25    Sec. 47. Minnesota Statutes 2012, section 10A.27, subdivision 11, is amended to read:
27.26    Subd. 11. Contributions from certain types of contributors. A candidate must
27.27not permit the candidate's principal campaign committee to accept a contribution from
27.28a political committee, political fund, lobbyist, or large contributor, or association not
27.29registered with the board if the contribution will cause the aggregate contributions from
27.30those types of contributors to exceed an amount equal to 20 percent of the expenditure
27.31limits for the office sought by the candidate, provided that the 20 percent limit must be
27.32rounded to the nearest $100. For purposes of this subdivision, "large contributor" means
27.33an individual, other than the candidate, who contributes an amount that is more than $100
27.34and more than one-half the amount an individual may contribute.

28.1    Sec. 48. Minnesota Statutes 2012, section 10A.27, subdivision 13, is amended to read:
28.2    Subd. 13. Unregistered association limit; statement; penalty. (a) The treasurer of
28.3a political committee, political fund, principal campaign committee, or party unit must not
28.4accept a contribution of more than $100 $200 from an association not registered under
28.5this chapter unless the contribution is accompanied by a written statement that meets the
28.6disclosure and reporting period requirements imposed by section 10A.20. This statement
28.7must be certified as true and correct by an officer of the contributing association. The
28.8committee, fund, or party unit that accepts the contribution must include a copy of the
28.9statement with the report that discloses the contribution to the board. This subdivision
28.10does not apply when a national political party contributes money to its affiliate in this state.
28.11(b) An unregistered association may provide the written statement required by this
28.12subdivision to no more than three committees, funds, or party units in a calendar year. Each
28.13statement must cover at least the 30 days immediately preceding and including the date on
28.14which the contribution was made. An unregistered association or an officer of it is subject
28.15to a civil penalty imposed by the board of up to $1,000, if the association or its officer:
28.16(1) fails to provide a written statement as required by this subdivision; or
28.17(2) fails to register after giving the written statement required by this subdivision to
28.18more than three committees, funds, or party units in a calendar year.
28.19(c) The treasurer of a political committee, political fund, principal campaign
28.20committee, or party unit who accepts a contribution in excess of $100 $200 from an
28.21unregistered association without the required written disclosure statement is subject to a
28.22civil penalty up to four times the amount in excess of $100 $200.
28.23(d) This subdivision does not apply:
28.24(1) when a national political party contributes money to its state committee; or
28.25(2) to purchases by candidates for federal office of tickets to events or space rental
28.26at events held by party units in this state (i) if the geographical area represented by the
28.27party unit includes any part of the geographical area of the office that the federal candidate
28.28is seeking and (ii) the purchase price is not more than that paid by other attendees or
28.29renters of similar spaces.

28.30    Sec. 49. Minnesota Statutes 2012, section 10A.27, subdivision 14, is amended to read:
28.31    Subd. 14. Contributions of business revenue. An association may, if not prohibited
28.32by other law, contribute revenue from the operation of a business to an independent
28.33expenditure or ballot question political committee or an independent expenditure political
28.34 fund without complying with subdivision 13.

29.1    Sec. 50. Minnesota Statutes 2012, section 10A.27, subdivision 15, is amended to read:
29.2    Subd. 15. Contributions of dues or contribution revenue or use of general
29.3treasury money. (a) An association may, if not prohibited by other law, contribute revenue
29.4from membership dues or fees, or from contributions received by the association its general
29.5treasury money to an independent expenditure or ballot question political committee or
29.6an independent expenditure political fund, including its own independent expenditure or
29.7ballot question political committee or fund, without complying with subdivision 13.
29.8(b) Before the day when the recipient committee or fund's next report must be
29.9filed with the board under section 10A.20, subdivision 2 or 5, an association that has
29.10contributed more than $5,000 or more in aggregate to independent expenditure political
29.11committees or funds during the calendar year or has contributed more than $5,000 in
29.12aggregate to ballot question political committees or funds during the calendar year
29.13must provide in writing to the recipient's treasurer a statement that includes the name,
29.14address, and amount attributable to each individual or association person that paid the
29.15association dues or fees, or made contributions donations to the association that, in total,
29.16aggregate $1,000 or more more than $5,000 of the contribution from the association to the
29.17independent expenditure or ballot question political committee or fund. The statement
29.18must also include the total amount of the contribution from individuals or associations
29.19 attributable to persons not subject to itemization under this section. The statement must be
29.20certified as true and correct by an officer of the donor association.
29.21(b) (c) To determine the amount of membership dues or fees, or contributions
29.22 donations made by an individual or association that exceed $1,000 of the contribution
29.23made by the donor association a person to an association and attributable to the
29.24association's contribution to the independent expenditure or ballot question political
29.25committee or fund, the donor association must: separately prorate the total independent
29.26expenditures and ballot question expenditures made during the calendar year over all
29.27general treasury money received during the calendar year.
29.28(1) apply a pro rata calculation to all unrestricted dues, fees, and contributions
29.29received by the donor association in the calendar year; or
29.30(2) as provided in paragraph (c), identify the specific individuals or associations
29.31whose dues, fees, or contributions are included in the contribution to the independent
29.32expenditure political committee or fund.
29.33(c) Dues, fees, or contributions from an individual or association must be identified
29.34in a contribution to an independent expenditure political committee or fund under
29.35paragraph (b) , clause (2), if:
30.1(1) the individual or association has specifically authorized the donor association to
30.2use the individual's or association's dues, fees, or contributions for this purpose; or
30.3(2) the individual's or association's dues, fees, or contributions to the donor
30.4association are unrestricted and the donor association designates them as the source of the
30.5subject contribution to the independent expenditure political committee or fund.
30.6(d) If the amount contributed to independent expenditure and ballot question
30.7political committees or funds in a calendar year exceeds the amount of general treasury
30.8money received by the association during that year:
30.9(1) the contributions must be attributed first to all receipts of general treasury money
30.10received during the calendar year in which the contributions were made;
30.11(2) any amount of current-year contributions that exceeds the total of all receipts of
30.12general treasury money during the current calendar year must be prorated over all general
30.13treasury money received in the preceding calendar year; and
30.14(3) if the allocation made in clauses (1) and (2) is insufficient to cover the subject
30.15contributions, no further allocation is required.
30.16(e) After a portion of an individual's or association's dues, fees, or contributions to
30.17the donor association have the general treasury money received by an association from a
30.18person has been designated as the source of a contribution to an independent expenditure or
30.19ballot question political committee or fund, that portion of the individual's or association's
30.20dues, fees, or contributions to the donor association association's general treasury money
30.21received from that person may not be designated as the source of any other contribution to
30.22an independent expenditure or ballot question political committee or fund or as the source
30.23of funds for a disbursement for electioneering communications made by that association.
30.24(d) For the purposes of this section, "donor association" means the association
30.25contributing to an independent expenditure political committee or fund that is required to
30.26provide a statement under paragraph (a).

30.27    Sec. 51. Minnesota Statutes 2012, section 10A.323, is amended to read:
30.2810A.323 AFFIDAVIT OF CONTRIBUTIONS.
30.29    (a) In addition to the requirements of section 10A.322, to be eligible to receive a
30.30public subsidy under section 10A.31 a candidate or the candidate's treasurer must file an
30.31affidavit with the board stating that:
30.32    (1) between January 1 of the previous year and the cutoff date for transactions
30.33included in the report of receipts and expenditures due before the primary election the
30.34candidate has accumulated, accumulate contributions from persons individuals eligible to
31.1vote in this state in at least the amount indicated for the office sought, counting only the
31.2first $50 received from each contributor, excluding in-kind contributions:
31.3    (1) (i) candidates for governor and lieutenant governor running together, $35,000;
31.4    (2) (ii) candidates for attorney general, $15,000;
31.5    (3) (iii) candidates for secretary of state and state auditor, separately, $6,000;
31.6    (4) (iv) candidates for the senate, $3,000; and
31.7    (5) (v) candidates for the house of representatives, $1,500.;
31.8    (2) the candidate or the candidate's treasurer must file an affidavit with the board
31.9stating that the principal campaign committee has complied with this paragraph. The
31.10affidavit must state the total amount of contributions that have been received from persons
31.11 individuals eligible to vote in this state, disregarding excluding:
31.12    (i) the portion of any contribution in excess of $50.;
31.13(ii) any in-kind contribution; and
31.14(iii) any contribution for which the name and address of the contributor is not known
31.15and recorded; and
31.16    (3) the candidate or the candidate's treasurer must submit the affidavit required
31.17by this section to the board in writing by the deadline for reporting of receipts and
31.18expenditures before a primary under section 10A.20, subdivision 4.
31.19    (b) A candidate for a vacancy to be filled at a special election for which the filing
31.20period does not coincide with the filing period for the general election must accumulate
31.21the contributions specified in paragraph (a) and must submit the affidavit required by this
31.22section to the board within five days after the close of the filing period for the special
31.23election for which the candidate filed.

31.24    Sec. 52. Minnesota Statutes 2012, section 211B.32, subdivision 1, is amended to read:
31.25    Subdivision 1. Administrative remedy; exhaustion. (a) Except as provided in
31.26paragraph (b), a complaint alleging a violation of chapter 211A or 211B must be filed with
31.27the office. The complaint must be finally disposed of by the office before the alleged
31.28violation may be prosecuted by a county attorney.
31.29(b) Complaints arising under those sections and related to those individuals and
31.30associations specified in section 10A.02, subdivision 11, paragraph (a), must be filed with
31.31the Campaign Finance and Public Disclosure Board.

31.32    Sec. 53. REPEALER.
31.33Minnesota Statutes 2012, sections 10A.24; 10A.242; and 10A.25, subdivision 6, are
31.34repealed.

32.1    Sec. 54. EFFECTIVE DATE.
32.2    This article is effective the day following final enactment.

32.3ARTICLE 2
32.4TECHNICAL CHANGES

32.5    Section 1. Minnesota Statutes 2012, section 10A.01, subdivision 35, is amended to read:
32.6    Subd. 35. Public official. "Public official" means any:
32.7    (1) member of the legislature;
32.8    (2) individual employed by the legislature as secretary of the senate, legislative
32.9auditor, chief clerk of the house of representatives, revisor of statutes, or researcher,
32.10legislative analyst, fiscal analyst, or attorney in the Office of Senate Counsel and, Research
32.11or, and Fiscal Analysis, House Research, or the House Fiscal Analysis Department;
32.12    (3) constitutional officer in the executive branch and the officer's chief administrative
32.13deputy;
32.14    (4) solicitor general or deputy, assistant, or special assistant attorney general;
32.15    (5) commissioner, deputy commissioner, or assistant commissioner of any state
32.16department or agency as listed in section 15.01 or 15.06, or the state chief information
32.17officer;
32.18    (6) member, chief administrative officer, or deputy chief administrative officer of a
32.19state board or commission that has either the power to adopt, amend, or repeal rules under
32.20chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;
32.21    (7) individual employed in the executive branch who is authorized to adopt, amend,
32.22or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
32.23    (8) executive director of the State Board of Investment;
32.24    (9) deputy of any official listed in clauses (7) and (8);
32.25    (10) judge of the Workers' Compensation Court of Appeals;
32.26    (11) administrative law judge or compensation judge in the State Office of
32.27Administrative Hearings or unemployment law judge in the Department of Employment
32.28and Economic Development;
32.29    (12) member, regional administrator, division director, general counsel, or operations
32.30manager of the Metropolitan Council;
32.31    (13) member or chief administrator of a metropolitan agency;
32.32    (14) director of the Division of Alcohol and Gambling Enforcement in the
32.33Department of Public Safety;
32.34    (15) member or executive director of the Higher Education Facilities Authority;
32.35    (16) member of the board of directors or president of Enterprise Minnesota, Inc.;
33.1    (17) member of the board of directors or executive director of the Minnesota State
33.2High School League;
33.3    (18) member of the Minnesota Ballpark Authority established in section 473.755;
33.4    (19) citizen member of the Legislative-Citizen Commission on Minnesota Resources;
33.5    (20) manager of a watershed district, or member of a watershed management
33.6organization as defined under section 103B.205, subdivision 13;
33.7    (21) supervisor of a soil and water conservation district;
33.8(22) director of Explore Minnesota Tourism;
33.9    (23) citizen member of the Lessard-Sams Outdoor Heritage Council established
33.10in section 97A.056;
33.11(24) citizen member of the Clean Water Council established in section 114D.30; or
33.12(25) member or chief executive of the Minnesota Sports Facilities Authority
33.13established in section 473J.07.

33.14    Sec. 2. Minnesota Statutes 2012, section 10A.025, subdivision 4, is amended to read:
33.15    Subd. 4. Changes and corrections. Material changes in information previously
33.16submitted and corrections to a report or statement must be reported in writing to the board
33.17within ten days following the date of the event prompting the change or the date upon
33.18which the person filing became aware of the inaccuracy. The change or correction must
33.19identify the form and the paragraph containing the information to be changed or corrected.
33.20A person who willfully fails to report a material change or correction is guilty of a
33.21gross misdemeanor and is subject to a civil penalty imposed by the board of up to $3,000.
33.22 A willful violation of this subdivision is a gross misdemeanor.
33.23The board must send a notice by certified mail to any individual who fails to file a
33.24report required by this subdivision. If the individual fails to file the required report within
33.25ten business days after the notice was sent, the board may impose a late filing fee of $5 per
33.26day up to $100 starting on the 11th day after the notice was sent. The board must send
33.27an additional notice by certified mail to an individual who fails to file a report within 14
33.28days after the first notice was sent by the board that the individual may be subject to a
33.29civil penalty for failure to file a report. An individual who fails to file a report required by
33.30this subdivision within seven days after the second notice was sent by the board is subject
33.31to a civil penalty imposed by the board of up to $1,000.

33.32    Sec. 3. Minnesota Statutes 2012, section 10A.04, subdivision 5, is amended to read:
33.33    Subd. 5. Late filing. If a lobbyist or principal fails to file a report required by
33.34this section within ten business days after by the date the report was due, the board may
34.1impose a late filing fee of $5 $25 per day, not to exceed $100 $1,000, commencing with
34.2 the 11th day after the report was due. The board must send notice by certified mail to any
34.3lobbyist or principal who fails to file a report within ten business days after the report was
34.4due that the lobbyist or principal may be subject to a civil penalty for failure to file the
34.5report or pay the fee. A lobbyist or principal who fails to file a report or statement or pay a
34.6fee within seven days after the certified mail notice was sent by the board is subject to a
34.7civil penalty imposed by the board of up to $1,000.

34.8    Sec. 4. Minnesota Statutes 2012, section 10A.16, is amended to read:
34.910A.16 EARMARKING CONTRIBUTIONS PROHIBITED.
34.10An individual, political committee, political fund, principal campaign committee, or
34.11party unit may not solicit or accept a contribution from any source with the express or
34.12implied condition that the contribution or any part of it be directed to a particular candidate
34.13other than the initial recipient. An individual, political committee, political fund, principal
34.14campaign committee, or party unit that knowingly accepts any earmarked contribution is
34.15guilty of a gross misdemeanor and subject to a civil penalty imposed by the board of up to
34.16$3,000. Knowingly accepting any earmarked contribution is a gross misdemeanor.

34.17    Sec. 5. Minnesota Statutes 2012, section 10A.20, subdivision 4, is amended to read:
34.18    Subd. 4. Period of report. A report must cover the period from January 1 of the
34.19reporting year to seven days before the filing date, except that the report due on January
34.2031 must cover the period from the last day covered by the previous report January 1 to
34.21December 31 of the reporting year.

34.22    Sec. 6. Minnesota Statutes 2012, section 10A.20, subdivision 12, is amended to read:
34.23    Subd. 12. Failure to file; penalty. If an individual fails to file a report required by
34.24this section that is due January 31 within ten business days after the report was due, the
34.25board may impose a late filing fee of $25 per day, not to exceed $1,000, commencing
34.26the day after the report was due.
34.27If an individual fails to file a report required by this section that is due before a
34.28primary or general election within three days after the date due, regardless of whether the
34.29individual has received any notice, the board may impose a late filing fee of $50 per day,
34.30not to exceed $1,000, commencing on the day after the date the statement was due.
34.31The board must send notice by certified mail to an individual who fails to file a
34.32report within ten business days after the report was due that the individual may be subject
34.33to a civil penalty for failure to file the report. An individual who fails to file the report
35.1within seven days after the certified mail notice was sent by the board is subject to a civil
35.2penalty imposed by the board of up to $1,000.

35.3    Sec. 7. Minnesota Statutes 2012, section 10A.273, subdivision 1, is amended to read:
35.4    Subdivision 1. Contributions during legislative session. (a) A candidate for the
35.5legislature or for constitutional office, the candidate's principal campaign committee, or
35.6a political committee or party unit established by all or a part of the party organization
35.7within a house of the legislature, must not solicit or accept a contribution from a registered
35.8lobbyist, political committee, political fund, or dissolving principal campaign committee
35.9 an association not registered with the board, or from a party unit established by the party
35.10organization within a house of the legislature, during a regular session of the legislature.
35.11(b) A registered lobbyist, political committee, political fund, or dissolving principal
35.12campaign committee an association not registered with the board, or a party unit established
35.13by the party organization within a house of the legislature, must not make a contribution to a
35.14candidate for the legislature or for constitutional office, the candidate's principal campaign
35.15committee, or a political committee or party unit established by all or a part of the party
35.16organization within a house of the legislature during a regular session of the legislature.

35.17    Sec. 8. Minnesota Statutes 2012, section 10A.273, subdivision 4, is amended to read:
35.18    Subd. 4. Civil penalty. A candidate, political committee, party unit, political fund,
35.19principal campaign committee an association not registered with the board, or a registered
35.20lobbyist that violates this section is subject to a civil penalty imposed by the board of up
35.21to $1,000. If the board makes a public finding that there is probable cause to believe a
35.22violation of this section has occurred, the board must may bring an action, or transmit the
35.23finding to a county attorney who must bring an action, in the District Court of Ramsey
35.24County, to collect a civil penalty as imposed by the board. Penalties paid under this section
35.25must be deposited in the general fund in the state treasury.

35.26    Sec. 9. Minnesota Statutes 2012, section 10A.30, is amended to read:
35.2710A.30 STATE ELECTIONS CAMPAIGN FUND ACCOUNT.
35.28    Subdivision 1. Establishment. An account is established in the special revenue fund
35.29of the state known as the "state elections campaign fund account."
35.30    Subd. 2. Separate account. Within the state elections campaign fund account there
35.31must be maintained a separate political party account for the state committee and the
35.32candidates of each political party and a general account.
36.1    Subd. 3. Special elections account. An account is established in the special revenue
36.2fund of the state known as the "state special elections campaign account."

36.3    Sec. 10. Minnesota Statutes 2012, section 10A.31, subdivision 7, is amended to read:
36.4    Subd. 7. Distribution of general account. (a) As soon as the board has obtained
36.5the results of the primary election from the secretary of state, but no later than one week
36.6after certification of the primary results by the State Canvassing Board, the board must
36.7distribute the available money in the general account, as certified by the commissioner of
36.8revenue on September 1 one week before the state primary and according to allocations set
36.9forth in subdivision 5, in equal amounts to all candidates of a major political party whose
36.10names are to appear on the ballot in the general election and who:
36.11(1) have signed a spending limit agreement under section 10A.322;
36.12(2) have filed the affidavit of contributions required by section 10A.323; and
36.13(3) were opposed in either the primary election or the general election.
36.14(b) The public subsidy under this subdivision may not be paid in an amount that
36.15would cause the sum of the public subsidy paid from the party account plus the public
36.16subsidy paid from the general account to exceed 50 percent of the expenditure limit for the
36.17candidate or 50 percent of the expenditure limit that would have applied to the candidate if
36.18the candidate had not been freed from expenditure limits under section 10A.25, subdivision
36.1910
. Money from the general account not paid to a candidate because of the 50 percent limit
36.20must be distributed equally among all other qualifying candidates for the same office until
36.21all have reached the 50 percent limit or the balance in the general account is exhausted.
36.22(c) A candidate must expend or become obligated to expend at least an amount equal
36.23to 50 percent of the money distributed by the board under this subdivision no later than the
36.24end of the final reporting period preceding the general election. Otherwise, the candidate
36.25must repay to the board the difference between the amount the candidate spent or became
36.26obligated to spend by the deadline and the amount distributed to the candidate under this
36.27subdivision. The candidate must make the repayment no later than six months following
36.28the general election. The candidate must reimburse the board for all reasonable costs,
36.29including litigation costs, incurred in collecting any amount due.
36.30If the board determines that a candidate has failed to repay money as required by this
36.31paragraph, the board may not distribute any additional money to the candidate until the
36.32entirety of the repayment has been made.

36.33    Sec. 11. Minnesota Statutes 2012, section 10A.315, is amended to read:
36.3410A.315 SPECIAL ELECTION SUBSIDY.
37.1(a) Each eligible candidate for a legislative office in a special election must be
37.2paid a public subsidy equal to the sum of:
37.3(1) the party account money at the last general election for the candidate's party
37.4for the office the candidate is seeking; and
37.5(2) the general account money paid to a candidate for the same office at the last
37.6general election.
37.7(b) A candidate who wishes to receive this public subsidy must submit a signed
37.8agreement under section 10A.322 to the board and must meet the contribution
37.9requirements of section 10A.323. The special election subsidy must be distributed in the
37.10same manner as money in the party and general accounts is distributed to legislative
37.11candidates in a general election.
37.12(c) The amount necessary to make the payments required by this section is
37.13appropriated from the general fund to the board for transfer to the state special elections
37.14campaign account for distribution by the board as set forth in this section.

37.15    Sec. 12. Minnesota Statutes 2012, section 10A.322, subdivision 4, is amended to read:
37.16    Subd. 4. Refund receipt forms; penalty. The board must make available to a
37.17political party on request and to any candidate for whom an agreement under this section
37.18is effective, a supply of official refund receipt forms that state in boldface type that:
37.19(1) a contributor who is given a receipt form is eligible to claim a refund as provided
37.20in section 290.06, subdivision 23,; and
37.21(2) if the contribution is to a candidate, that the candidate has signed an agreement to
37.22limit campaign expenditures as provided in this section.
37.23The forms must provide duplicate copies of the receipt to be attached to the contributor's
37.24claim. A candidate who does not sign an agreement under this section and who willfully
37.25issues The willful issuance of an official refund receipt form or a facsimile of one to any
37.26of the candidate's contributors by a candidate or treasurer of a candidate who did not sign
37.27an agreement under this section is guilty of a misdemeanor.

37.28    Sec. 13. EFFECTIVE DATE.
37.29    This article is effective the day following final enactment.

37.30ARTICLE 3
37.31TECHNICAL CONFORMING CHANGES

37.32    Section 1. Minnesota Statutes 2012, section 10A.15, subdivision 1, is amended to read:
38.1    Subdivision 1. Anonymous contributions. A political committee, political fund,
38.2principal campaign committee, or party unit may not retain an anonymous contribution
38.3in excess of $20, but must forward it to the board for deposit in the general account of
38.4the state elections campaign fund account.

38.5    Sec. 2. Minnesota Statutes 2012, section 10A.242, subdivision 1, is amended to read:
38.6    Subdivision 1. Dissolution required. A political committee, political fund, or
38.7principal campaign committee must be dissolved within 60 days after receiving notice
38.8from the board that the committee or fund has become inactive. The assets of the
38.9committee or fund must be spent for the purposes authorized by section 211B.12 and other
38.10applicable law or liquidated and deposited in the general account of the state elections
38.11campaign fund account within 60 days after the board notifies the committee or fund
38.12that it has become inactive.

38.13    Sec. 3. Minnesota Statutes 2012, section 10A.27, subdivision 9, is amended to read:
38.14    Subd. 9. Contributions to and from other candidates. (a) A candidate or the
38.15treasurer of a candidate's principal campaign committee must not accept a contribution
38.16from another candidate's principal campaign committee or from any other committee
38.17bearing the contributing candidate's name or title or otherwise authorized by the
38.18contributing candidate, unless the contributing candidate's principal campaign committee
38.19is being dissolved. A candidate's principal campaign committee must not make a
38.20contribution to another candidate's principal campaign committee, except when the
38.21contributing committee is being dissolved.
38.22(b) A principal campaign committee that makes a contribution to another principal
38.23campaign committee must provide with the contribution a written statement of the
38.24committee's intent to dissolve and terminate its registration within 12 months after the
38.25contribution was made. If the committee fails to dissolve and terminate its registration by
38.26that time, the board may levy a civil penalty up to four times the size of the contribution
38.27against the contributing committee. A contribution from a terminating principal campaign
38.28committee that is not accepted by another principal campaign committee must be forwarded
38.29to the board for deposit in the general account of the state elections campaign fund account.
38.30(c) A candidate's principal campaign committee must not accept a contribution from,
38.31or make a contribution to, a committee associated with a person who seeks nomination
38.32or election to the office of president, senator, or representative in Congress of the United
38.33States.
39.1(d) A candidate or the treasurer of a candidate's principal campaign committee must
39.2not accept a contribution from a candidate for political subdivision office in any state,
39.3unless the contribution is from the personal funds of the candidate for political subdivision
39.4office. A candidate or the treasurer of a candidate's principal campaign committee must
39.5not make a contribution from the principal campaign committee to a candidate for political
39.6subdivision office in any state.

39.7    Sec. 4. Minnesota Statutes 2012, section 10A.31, subdivision 1, is amended to read:
39.8    Subdivision 1. Designation. An individual resident of this state who files an income
39.9tax return or a renter and homeowner property tax refund return with the commissioner of
39.10revenue may designate on their original return that $5 be paid from the general fund of
39.11the state into the state elections campaign fund account. If a husband and wife file a joint
39.12return, each spouse may designate that $5 be paid. No individual is allowed to designate
39.13$5 more than once in any year. The taxpayer may designate that the amount be paid into
39.14the account of a political party or into the general account.

39.15    Sec. 5. Minnesota Statutes 2012, section 10A.31, subdivision 4, is amended to read:
39.16    Subd. 4. Appropriation. (a) The amounts designated by individuals for the state
39.17elections campaign fund account, less three percent, are appropriated from the general
39.18fund, must be transferred and credited to the appropriate account in the state elections
39.19campaign fund account, and are annually appropriated for distribution as set forth in
39.20subdivisions 5, 5a, 6, and 7. The remaining three percent must be kept in the general fund
39.21for administrative costs.
39.22(b) In addition to the amounts in paragraph (a), $1,020,000 for each general election
39.23is appropriated from the general fund for transfer to the general account of the state
39.24elections campaign fund account.

39.25    Sec. 6. Minnesota Statutes 2012, section 10A.321, subdivision 1, is amended to read:
39.26    Subdivision 1. Calculation and certification of estimates. The commissioner of
39.27revenue must calculate and certify to the board one week before the first day for filing for
39.28office in each election year an estimate of the total amount in the state general account
39.29of the state elections campaign fund account and the amount of money each candidate
39.30who qualifies, as provided in section 10A.31, subdivisions 6 and 7, may receive from the
39.31candidate's party account in the state elections campaign fund account. This estimate must
39.32be based upon the allocations and formulas in section 10A.31, subdivisions 5 and 5a, any
39.33necessary vote totals provided by the secretary of state to apply the formulas in section
40.110A.31 , subdivisions 5 and 5a, and the amount of money expected to be available after
40.2100 percent of the tax returns have been processed.

40.3    Sec. 7. Minnesota Statutes 2012, section 10A.324, subdivision 1, is amended to read:
40.4    Subdivision 1. When return required. A candidate must return all or a portion
40.5of the public subsidy received from the state elections campaign fund account or the
40.6public subsidy received under section 10A.315, under the circumstances in this section or
40.7section 10A.257, subdivision 1.
40.8To the extent that the amount of public subsidy received exceeds the aggregate of:
40.9(1) actual expenditures made by the principal campaign committee of the candidate; and
40.10(2) approved expenditures made on behalf of the candidate, the treasurer of the candidate's
40.11principal campaign committee must return an amount equal to the difference to the board.
40.12The cost of postage that was not used during an election cycle and payments that created
40.13credit balances at vendors at the close of an election cycle are not considered expenditures
40.14for purposes of determining the amount to be returned. Expenditures in excess of the
40.15candidate's spending limit do not count in determining aggregate expenditures under
40.16this paragraph.

40.17    Sec. 8. Minnesota Statutes 2012, section 211B.37, is amended to read:
40.18211B.37 COSTS ASSESSED.
40.19Except as otherwise provided in section 211B.36, subdivision 3, the chief
40.20administrative law judge shall assess the cost of considering complaints filed under section
40.21211B.32 as provided in this section. Costs of complaints relating to a statewide ballot
40.22question or an election for a statewide or legislative office must be assessed against the
40.23appropriation from the general fund to the general account of the state elections campaign
40.24fund account in section 10A.31, subdivision 4. Costs of complaints relating to any other
40.25ballot question or elective office must be assessed against the county or counties in
40.26which the election is held. Where the election is held in more than one county, the chief
40.27administrative law judge shall apportion the assessment among the counties in proportion
40.28to their respective populations within the election district to which the complaint relates
40.29according to the most recent decennial federal census.

40.30    Sec. 9. EFFECTIVE DATE.
40.31    This article is effective the day following final enactment.
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