Bill Text: MS SB2590 | 2017 | Regular Session | Introduced


Bill Title: Campaign funds; prohibit personal use of.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2017-01-31 - Died In Committee [SB2590 Detail]

Download: Mississippi-2017-SB2590-Introduced.html

MISSISSIPPI LEGISLATURE

2017 Regular Session

To: Elections

By: Senator(s) McDaniel

Senate Bill 2590

AN ACT TO PROHIBIT THE PERSONAL USE OF CAMPAIGN FUNDS BY ANY ELECTED OFFICIAL OR BY ANY CANDIDATE FOR PUBLIC OFFICE; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  (1)  The personal use of campaign funds by any elected public office holder or by any candidate for public office, as defined in Mississippi law, is prohibited.  For the purposes of this section, "personal use" is defined as any use other than expenditures related to gaining or holding public office and for which the candidate for public office or elected public official would be required to treat the amount of the expenditure as gross income under Section 61 of the Internal Revenue Code of 1986, 26 U.S.C. Section 61, or any subsequent corresponding Internal Revenue Code of the United States, as from time to time amended.

     (2)  Expenditures that are specifically prohibited under this article include:

          (a)  Any residential or household items, supplies or expenditures, including mortgage, rent or utility payments for any part of any residence of a candidate or officeholder or a member of the candidate's or officeholder's family;

          (b)  Mortgage, rent or utility payments for any part of any nonresidential property that is owned by a candidate or officeholder or a member of a candidate's or officeholder's family and used for campaign purposes, to the extent the payments exceed the fair market value of the property usage;

          (c)  Funeral, cremation or burial expenses, including any expenses related to deaths within a candidate's or officeholder's family;

          (d)  Clothing, other than items of de minimis value that are used in the campaign;

          (e)  Automobiles, fuel, vehicle repair and maintenance costs and other expenses;

          (f)  Tuition payments;

          (g)  Dues, fees or gratuities at a country club, health club, recreational facility or other nonpolitical organization, unless they are part of a specific fundraising event that takes place on the organization's premises;

          (h)  Salary payments to a member of a candidate's family, unless the family member is providing bona fide services to the campaign.  If a family member provides bona fide services to a campaign, any salary payments in excess of the fair market value of the services provided is personal use;

          (i)  Admission to a sporting event, concert, theater or other form of entertainment, unless part of a specific campaign or officeholder activity;

          (j)  Loans of any type, including loans to candidates;

          (k)  Out-of-state travel expenses;

          (l)  Payment of any fines, fees or penalties assessed pursuant to Mississippi law.

     (3)  Any expense that directly results from campaign or officeholder activity is permitted use of campaign funds.  Such expenditures may include:

          (a)  The defrayal of ordinary and necessary expenses of a candidate or officeholder;

          (b)  Campaign office expenses and equipment, provided the expenditures and the use of the equipment can be directly attributable to the campaign;

          (c)  Donations to charitable organizations, not-for-profit organizations or for sponsorships, provided the candidate or officeholder does not personally benefit from the donation or receive compensation from the recipient organization;

          (d)  In-state travel expenses for an officeholder, provided that the travel is undertaken as an ordinary and necessary expense of seeking, holding or maintaining public office, or seeking, holding or maintaining a position within the Legislature or other publicly elected body.  If a candidate or officeholder uses campaign funds to pay expenses associated with travel that involves both personal activities and campaign or officeholder activities, the incremental expenses that result from the personal activities are personal use, unless the person(s) benefiting from this use reimburse(s) the campaign account within thirty (30) days for the amount of the incremental expenses;

          (e)  Gifts of nominal value and donations of a nominal amount made on a special occasion such as a holiday, graduation, marriage, retirement or death, unless made to a member of the candidate's or officeholder's family;

          (f)  Meal expenses which are incurred as part of a campaign activity or as a part of a function that is related to the candidate's or officeholder's responsibilities, including meals between and among candidates and/or officeholders that are incurred as an ordinary and necessary expense of seeking, holding or maintaining public office, or seeking holding, or maintaining a position within the Legislature or other publicly elected body;

          (g)  Food and beverages which are purchased as part of a campaign activity;

          (h)  Communication access expenses which are incurred as part of a campaign activity and operation to ensure that deaf and hard of hearing citizens are fully participating, are volunteers, and/or are otherwise maintaining a position with the campaign committee.  Examples of communication access expenses include, but are not limited to, the following:  captioning on television advertisements; video clips; sign language interpreters; computer-aided real time (CART) services; and assistive listening devices.

     (4)  Any campaign funds not used to pay for the expenses of gaining or holding public office shall:

          (a)  Be maintained in a campaign account(s);

          (b)  Be donated to a political organization, or to a political action committee;

          (c)  Be transferred in whole or in part into a newly established political action committee or ballot question advocate;

          (d)  Be donated to a tax-exempt charitable organization as that term is used in Section 501(c)(3) of the Internal Revenue Code of 1986, 26 U.S.C. Section 501, or any subsequent corresponding Internal Revenue Code of the United States as from time to time amended;

          (e)  Be donated to the State of Mississippi; or

          (f)  Be returned to the donor.

     (5)  Any candidate for public office or any elected official who violates this section shall be guilty of a misdemeanor offense and shall be punished by a fine in the amount of One Thousand Dollars ($1,000.00) and by a state assessment equal to the amount of misappropriated campaign funds.  The state assessment shall be imposed and collected as provided in Section 99-19-73 and shall be deposited into the Public Employees' Retirement System.  No fine or assessment imposed under this section shall be paid by a third party.

     SECTION 2.  It is unlawful for the Governor, Lieutenant Governor or any member of the Legislature to solicit or receive campaign contributions or hold a political fundraising function during any Regular or Special Legislative Session.

     SECTION 3.  This act shall take effect and be in force from and after July 1, 2017.

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