Bill Text: NY S08969 | 2023-2024 | General Assembly | Introduced
Bill Title: Amends provisions relating to public campaign financing; changes certain thresholds and procedures; permits retention of matching funds for future use; specifies when a candidate is opposed by a competitive candidate; requires a disclosure on political communications.
Spectrum: Partisan Bill (Democrat 21-0)
Status: (Introduced) 2024-04-03 - REFERRED TO ELECTIONS [S08969 Detail]
Download: New_York-2023-S08969-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 8969 IN SENATE April 3, 2024 ___________ Introduced by Sens. SKOUFIS, ADDABBO, BAILEY, BROUK, COMRIE, COONEY, FELDER, GONZALEZ, MANNION, MARTINEZ, PARKER, PERSAUD, RYAN, SCARCEL- LA-SPANTON, SEPULVEDA -- read twice and ordered printed, and when printed to be committed to the Committee on Elections AN ACT to amend the election law, in relation to public campaign financ- ing; and to repeal section 11 of part ZZZ of chapter 58 of the laws of 2020 amending the election law relating to public financing for state office; amending the state finance law relating to establishing the New York state campaign finance fund; and amending the tax law relat- ing to establishing the NYS campaign finance fund check-off, relating to the severability of the provisions thereof The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph (a) of subdivision 11 of section 14-200-a of the 2 election law, as added by section 4 of part ZZZ of chapter 58 of the 3 laws of 2020, is amended to read as follows: 4 (a) "matchable contribution" means a contribution not less than five 5 dollars and not more than two hundred fifty dollars, for a candidate for 6 public office to be voted on by the voters of the entire state or for 7 nomination to any such office, a contribution for any covered elections 8 held in the same election cycle, made by a natural person who is a resi- 9 dent in the state of New York to a participating candidate, and for a 10 candidate for election to the state assembly or state senate or for 11 nomination to any such office, a contribution for any covered elections 12 held in the same election cycle, made by a natural person who at the 13 time such contribution is made is also a resident of such state assembly 14 or state senate district from which such candidate is seeking nomination 15 or election, that has been reported in full to the PCFB in accordance 16 with sections 14-102 and 14-104 of this article by the candidate's 17 authorized committee and has been contributed on or before the day of 18 the applicable primary, general, runoff, or special election. Any 19 contribution, contributions, or a portion of a contribution determined 20 to be invalid for matching funds by the PCFB may not be treated as a 21 matchable contribution for any purpose. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD15083-07-4S. 8969 2 1 § 2. Subdivision 19 of section 14-200-a of the election law, as added 2 by section 4 of part ZZZ of chapter 58 of the laws of 2020, is amended 3 to read as follows: 4 19. "surplus" means [those funds where the total sum of contributions5received and] the difference between public [matchable] matching funds 6 received by a participating candidate and [his or her] such candidate's 7 authorized committee [exceeds the total campaign expenditures of such8candidate and authorized committee] for all covered elections held in 9 the same calendar year or for a special election to fill a vacancy and 10 the total such candidate and such candidate's authorized committee spent 11 on qualified campaign expenditures; provided that in cases where quali- 12 fied campaign expenditures of such candidate exceed public matching 13 funds received by such candidate and such candidate's authorized commit- 14 tee for all covered elections held in the same calendar year or for a 15 special election to fill a vacancy, the surplus is zero. 16 § 3. Section 14-203 of the election law, as added by section 4 of part 17 ZZZ of chapter 58 of the laws of 2020, is amended to read as follows: 18 § 14-203. Eligibility. 1. Terms and conditions. To be eligible for 19 [voluntary public financing] public matching funds under this title, a 20 candidate must: 21 (a) be a candidate in a covered election; 22 (b) meet all the requirements of law to have [his or her] such candi- 23 date's name on the ballot, subject to the requirements of subdivision 24 three of section 1-104 and subdivision one of section 6-142 of this 25 chapter; 26 (c) in the case of a covered general or special election, be opposed 27 by another candidate on the ballot who is not a write-in candidate; 28 (d) submit a certification in the form of an affidavit, in such form 29 as may be prescribed by the PCFB, that sets forth [his or her] such 30 candidate's acceptance of and agreement to comply with the terms and 31 conditions for the provision of such funds in each covered election and 32 such certification shall be submitted at least four months before a 33 primary election and on the last day in which a certification of nomi- 34 nation is filed in a special election pursuant to a schedule promulgated 35 by the PCFB; 36 (e) be certified as a participating candidate by the PCFB; 37 (f) not make, and not have made, expenditures from or use [his or her] 38 such candidate's personal funds or property or the personal funds or 39 property jointly held with [his or her] such candidate's spouse, or 40 unemancipated children in connection with [his or her] such candidate's 41 nomination for election or election to a covered office, but may make a 42 contribution to [his or her] such candidate's authorized committee in an 43 amount that does not exceed three times the applicable contribution 44 limit from an individual contributor to candidates for the office that 45 [he or she] such candidate is seeking; 46 (g) meet the threshold for eligibility set forth in subdivision two of 47 this section; 48 (g-1) not owe any payments, repayments, or civil penalties pursuant to 49 this title or any regulations promulgated thereunder, or any similar 50 payments, repayments, or civil penalties under any local public campaign 51 finance program within the previous ten years; 52 (h) continue to abide by all requirements during the post-election 53 period; and 54 (i) not have accepted contributions in amounts exceeding the contrib- 55 ution limits set forth for candidates in paragraphs a and b of subdivi-S. 8969 3 1 sion one of section 14-114 of this article during the election cycle for 2 which the candidate seeks certification; 3 (i) Provided however, that, if a candidate accepted contributions 4 exceeding such limits, such acceptance shall not prevent the candidate 5 from being certified by the PCFB if the candidate in a reasonable time, 6 as determined by rule, pays to the fund or returns to the contributor 7 the portion of any contribution that exceeded the applicable contrib- 8 ution limit. 9 (ii) If the candidate is unable to return such funds in a reasonable 10 time, as determined by rule, because they have already been spent, 11 acceptance of contributions exceeding the limits shall not prevent the 12 candidate from being certified by the PCFB if the candidate submits an 13 affidavit agreeing to pay to the fund all portions of any contributions 14 that exceeded the limit no later than thirty days before the general 15 election. If a candidate provides the PCFB with such an affidavit, any 16 disbursement of public funds to the candidate shall be reduced by no 17 more than twenty-five percent until the total amount owed by the candi- 18 date is repaid. 19 (iii) Nothing in this section shall be interpreted to require a candi- 20 date who retains funds raised during any previous election cycle to 21 forfeit such funds. Funds raised during a previous election cycle may be 22 retained and used by the candidate for the candidate's campaign in the 23 next election cycle but funds shall not qualify for satisfying the 24 threshold for participating in the public campaign finance program 25 established in this title nor shall they be eligible to be matched. The 26 PCFB shall adopt regulations to ensure that contributions that would 27 satisfy the applicable contribution limits authorized in this title 28 shall be transferred into the appropriate campaign account. 29 (iv) Contributions received and expenditures made by the candidate or 30 an authorized committee of the candidate prior to the effective date of 31 this title shall not constitute a violation of this title. Unexpended 32 contributions shall be treated the same as campaign surpluses under 33 subparagraph (iii) of this paragraph. Nothing in this recommendation 34 shall be construed to limit, in any way, any candidate or public offi- 35 cial from expending any portion of pre-existing campaign funds for any 36 lawful purpose other than those related to [his or her] such candidate's 37 campaign. 38 (v) A candidate who has raised matchable contributions but, in the 39 case of a covered primary, general or special election, is not opposed 40 by another candidate on the ballot who is not a write-in candidate, or 41 who chooses not to accept matchable funds, may retain such contributions 42 and apply them in accord with this title to the candidate's next 43 campaign, should there be one, in the next election cycle. 44 (vi) The total amount of public matching funds available to a partic- 45 ipating candidate and such candidate's authorized committee for a 46 covered general election pursuant to subdivision two of section 14-204 47 of this title shall be reduced by any unexpended public matching funds 48 received by such candidate and such candidate's authorized committee for 49 a covered primary election. 50 2. Threshold for eligibility. (a) The threshold for eligibility for 51 public funding for participating candidates shall be in the case of: 52 (i) governor, not less than five hundred thousand dollars in contrib- 53 utions including at least five thousand matchable contributions shall be 54 counted toward this qualifying threshold; 55 (ii) lieutenant governor, attorney general and comptroller, not less 56 than one hundred thousand dollars in contributions including at leastS. 8969 4 1 one thousand matchable contributions shall be counted toward this quali- 2 fying threshold; 3 (iii) state senator, except as otherwise provided in paragraph (c) of 4 this subdivision, not less than [twelve] twenty-four thousand dollars in 5 contributions including at least [one] three hundred fifty matchable 6 contributions shall be counted toward this qualifying threshold; and 7 (iv) member of the assembly, except as otherwise provided in paragraph 8 (c) of this subdivision, not less than [six] ten thousand dollars in 9 contributions including at least [seventy-five] one hundred forty-five 10 matchable contributions shall be counted toward this qualifying thresh- 11 old. 12 (b) [However, solely for] For purposes of achieving the monetary 13 thresholds in paragraph (a) of this subdivision, [the first two hundred14fifty dollars of] any portion of a contribution [of more than] when the 15 aggregate of contributions are in excess of two hundred fifty dollars 16 from any one contributor to a candidate or a candidate's committee which 17 would otherwise be matchable except that it comes from a contributor who 18 has contributed more than two hundred fifty dollars to such candidate or 19 candidate's committee, [is deemed to be a matchable contribution and] 20 shall not count toward satisfying such monetary threshold [but shall21not] or otherwise be considered a matchable contribution. 22 (c) With respect to the minimum dollar threshold for participating 23 candidates for state senate and state assembly, in such districts where 24 average median income ("AMI") is below the AMI as determined by the 25 United States Census Bureau three years before such election for which 26 public funds are sought, such minimum dollar threshold for eligibility 27 shall be reduced [by one-third] to sixteen thousand dollars for the 28 senate and six thousand dollars for the assembly. The PCFB shall make 29 public which districts are subject to such reduction no later than two 30 years before the first primary election for which funding is sought. 31 (d) Any participating candidate meeting the threshold for eligibility 32 in a primary election for one of the foregoing offices shall be applied 33 to satisfy the threshold for eligibility for such office in any other 34 subsequent election held in the same calendar year. Any participating 35 candidate who is nominated in a primary election and has participated in 36 the public financing program set forth in this title, [must] shall not 37 be required to participate in the public financing program for the 38 general election for such office should they choose to run in the gener- 39 al election. 40 § 4. Subdivisions 1, 2 and 5 of section 14-204 of the election law, as 41 added by section 4 of part ZZZ of chapter 58 of the laws of 2020, are 42 amended to read as follows: 43 1. In any primary election, receipt of public funds by participating 44 candidates and by their participating committees shall not exceed: 45 (a) for Governor $3,500,000 46 (b) for Lieutenant Governor, Attorney General or Comptroller $3,500,000 47 (c) for State Senator $375,000 48 (d) for Member of the Assembly [$175,000] 49 $145,000 50 2. In any general or special election, receipt of public funds by a 51 participating candidate's authorized committees shall not exceed: 52 (a) for Governor and Lieutenant Governor (combined) $3,500,000 53 (b) for Attorney General $3,500,000 54 (c) for Comptroller $3,500,000 55 (d) for State Senator $375,000 56 (e) for Member of the Assembly [$175,000]S. 8969 5 1 $145,000 2 5. A candidate only on the ballot in one or more primary elections in 3 which the number of persons eligible to vote for party nominees in each 4 such election totals fewer than one thousand shall not receive public 5 funds in excess of five thousand dollars for qualified campaign expendi- 6 tures in such election or elections; provided, however, such candidate 7 may receive up to five thousand dollars per each additional one thousand 8 voters over the first one thousand voters but shall not receive public 9 funds in excess of fifteen thousand dollars total for qualified campaign 10 expenditures in such election or elections. For the purposes of this 11 section, the number of persons eligible to vote for party nominees in a 12 primary election shall be as determined by the state board of elections 13 for the calendar year of the primary election. A candidate for office on 14 the ballot in more than one primary for such office, shall be deemed, 15 for purposes of this recommendation, to be a single candidate. 16 § 5. Subdivisions 3 and 4 of section 14-205 of the election law, as 17 added by section 4 of part ZZZ of chapter 58 of the laws of 2020, are 18 amended to read as follows: 19 3. Timing of payment. (a) The PCFB shall make any payment of public 20 matching funds to participating candidates as soon as is practicable. 21 But in all cases, it shall verify eligibility for public matching funds 22 within four days, excluding weekends and holidays, of receiving a 23 campaign contribution report filed in compliance with section 14-104 of 24 this article. Within two days of determining that a candidate for a 25 covered office is eligible for public matching funds, it shall authorize 26 payment of the applicable matching funds owed to the candidate. [The27PCFB shall schedule at least three payment dates in the thirty days28prior to a covered primary, general, or special election. If any of such29payments would require payment on a weekend or federal holiday, payment30shall be made on the next business day.] 31 (b) The PCFB shall schedule payment dates on (i) December fifteenth of 32 the year preceding the year of the covered election, (ii) January 33 fifteenth, February fifteenth, March fifteenth, April fifteenth, and a 34 minimum of three payment dates within the forty-five days prior to a 35 covered primary election, (iii) July fifteenth and a minimum of four 36 payment dates within the ninety days prior to a covered general 37 election, and (iv) a minimum of three payment dates within the thirty 38 days prior to any other covered election. If any of such payments would 39 require payment on a weekend or federal holiday, payment shall be made 40 on the next business day. A certification pursuant to paragraph (d) of 41 subdivision one of section 14-203 of this title shall be required to 42 have been filed with the PCFB no later than fifteen business days prior 43 to the December fifteenth, January fifteenth, February fifteenth, March 44 fifteenth, April fifteenth, or July fifteenth payment dates scheduled 45 pursuant to this subdivision for a participating candidate to receive 46 public funds on such payment date. For purposes of such payment dates, 47 the PCFB shall provide each candidate with a written determination spec- 48 ifying the basis for any non-payment. 49 4. Notwithstanding any provision of this section to the contrary, the 50 amount of public funds payable to a participating candidate on the 51 ballot in any covered election shall not exceed one-quarter of the maxi- 52 mum public funds payment otherwise applicable and no participating 53 candidate shall be eligible to receive a disbursement of public funds 54 prior to two weeks after the last day to file designating petitions for 55 a primary election unless the participating candidate is opposed by a 56 competitive candidate. [The PCFB shall, by regulation, set forth objec-S. 8969 6 1tive standards to determine whether a candidate is competitive and the2procedures for qualifying for the payment of public funds.] A partic- 3 ipating candidate shall be considered opposed by a competitive candidate 4 when at least one of the following conditions are met: 5 (a) For a covered general election only if the margin of victory was 6 twenty points or less in a contest involving an opposing major party 7 candidate in an election for public office in an area encompassing all 8 or part of the area that is the subject of the current election in the 9 last eight years preceding the election of the covered office sought. 10 (b) The opposing candidate has received the endorsement of a current 11 or former statewide elected official, or a current or former federal 12 elected official representing all or a portion of the area represented 13 by the covered office sought, or a current or former United States 14 senator, or in the case of a district that encompasses a portion of New 15 York city, a current or former citywide elected official. 16 (c) The opposing candidate has received three or more endorsements 17 from other current or former state, county, city, town, or village 18 elected officials who represent all or a part of the area covered by the 19 election. 20 (d) In the past ten years, the opposing candidate's spouse, domestic 21 partner, sibling, parent, or child holds or has held elective office in 22 an area encompassing all or part of the district represented by the 23 covered office sought. 24 (e) The opposing candidate has been deemed eligible to receive public 25 funds payment for the covered election. 26 (f) If the general election in that district was within a twenty-point 27 margin within the last six years. 28 (g) If an individual is self-funding and has given themselves or 29 loaned themselves twenty-four thousand dollars for senate elections or 30 ten thousand dollars for assembly elections. 31 (h) The opposing candidate previously held elected office. 32 § 6. Section 14-206 of the election law is amended by adding a new 33 subdivision 3 to read as follows: 34 3. All political communications, including but not limited to broad- 35 cast, cable or satellite schedules and scripts, advertisements, 36 pamphlets, circulars, flyers, brochures, letterheads and other printed 37 matter purchased or produced, and statements or information published or 38 conveyed to five hundred or more members of a general public audience by 39 computer or other electronic device, including but not limited to elec- 40 tronic mail or text message, and paid internet or digital advertise- 41 ments, purchased in connection with a covered election shall include a 42 disclosure which says "New York State Public Campaign Finance Program 43 participant". 44 § 7. Section 14-207 of the election law is amended by adding a new 45 subdivision 3-a to read as follows: 46 3-a. The PCFB shall develop and administer in person and online train- 47 ing for individuals to become certified as compliance officers under 48 this title. Such training shall include information concerning compli- 49 ance with the rules of the public campaign finance program, disclosure 50 and record keeping requirements, obligations of the program, and other 51 relevant information as determined by the PCFB. The PCFB shall promul- 52 gate regulations for the certification of compliance officers pursuant 53 to this subdivision and shall publish a list of certified compliance 54 officers on its website which shall be updated every thirty days.S. 8969 7 1 § 8. Paragraph (c) of subdivision 1 of section 14-208 of the election 2 law, as added by section 4 of part ZZZ of chapter 58 of the laws of 3 2020, is amended to read as follows: 4 (c) Except as provided in paragraph (b) of this subdivision, the PCFB 5 shall select not more than one-third of all participating candidates in 6 covered elections for audit through a lottery which shall be completed 7 within one year of the election in question. A separate lottery shall be 8 conducted for each office. The PCFB shall select senate and assembly 9 districts to be audited, auditing every candidate in each selected 10 district, while ensuring that the number of audited candidates within 11 those districts does not exceed fifty percent of all participating 12 candidates for the relevant office. The lottery for senate and assembly 13 elections shall be weighted to increase the likelihood that a district 14 for the relevant office is audited based on how frequently it has not 15 been selected for auditing during the past three election cycles. The 16 PCFB shall promulgate rules concerning the method of weighting the 17 senate and assembly lotteries, including provisions for the first three 18 election cycles for each office. The names of candidates selected for 19 an audit shall not be disclosed unless there is a declared finding of 20 wrongdoing by the PCFB. 21 § 9. Paragraph (c) of subdivision 2 of section 14-208 of the election 22 law, as added by section 4 of part ZZZ of chapter 58 of the laws of 23 2020, is amended and a new paragraph (d) is added to read as follows: 24 (c) If [the total sum of contributions received and public matching25payments from the fund received by a participating candidate and his or26her authorized committee exceed the total campaign expenditures of such27candidate and authorized committee for all covered elections held in the28same calendar year or for a special election to fill a vacancy] unspent 29 public matching funds remain in a participating candidate's authorized 30 committee bank account at the end of an election cycle that exceed the 31 participating candidate's total qualified campaign expenditures, such 32 candidate and committee shall [use such surplus funds to reimburse the33fund for payments received by such authorized committee from the fund34during such calendar year or for such special election] pay the fund the 35 amount of such surplus. Participating candidates shall make such 36 payments not later than twenty-seven days after all liabilities for the 37 election have been paid and in any event, not later than the day on 38 which the PCFB issues its final audit report for the participating 39 candidate's authorized committee; provided, however, that all unspent 40 public campaign funds for a participating candidate shall be immediately 41 due and payable to the PCFB upon a determination by the PCFB that the 42 participant has delayed the post-election audit. A participating candi- 43 date may make post-election expenditures with public funds only for 44 routine activities involving nominal [cost] costs associated with wind- 45 ing up a campaign and responding to the post-election audit. Nothing in 46 this title shall be construed to prevent a candidate or [his or her] 47 such candidate's authorized committee from using campaign contributions 48 received from private contributors for otherwise lawful expenditures. 49 (d) Candidates shall have thirty days to cure any violations identi- 50 fied by the PCFB in its post-election audit before there may be any 51 declared findings of wrongdoing. 52 § 10. Section 14-212 of the election law, as added by section 4 of 53 part ZZZ of chapter 58 of the laws of 2020, is amended to read as 54 follows: 55 § 14-212. Severability. [If any clause, sentence, or other portion of56paragraph (c) of subdivision two of section 14-203 of this title beS. 8969 8 1adjudged by any court of competent jurisdiction to be invalid, then2subparagraphs (iii) and (iv) of paragraph (a) of subdivision two of3section 14-203 of this title shall read as follows:4(iii) state senator, except as otherwise provided in paragraph (c) of5this subdivision, not less than ten thousand dollars in matchable6contributions including at least one hundred and fifty matchable7contributions in an amount greater than five dollars and no greater than8the limits in this chapter, of which the first two hundred fifty dollars9shall be counted toward this qualifying threshold; and10(iv) member of the assembly, except as otherwise provided in paragraph11(c) of this subdivision, not less than five thousand dollars in matcha-12ble contributions including at least seventy-five matchable contrib-13utions in an amount greater than five dollars and no greater than the14limits in this chapter, of which the first two hundred fifty dollars15shall be counted toward this qualifying threshold.] If any clause, 16 sentence, paragraph, subdivision, section or part of this article shall 17 be determined by any court of competent jurisdiction to be invalid, such 18 judgment shall not affect, impair or invalidate the remainder thereof, 19 but shall be confined in its operation to the particular clause, 20 sentence, paragraph, subdivision, section or part thereof directly found 21 invalid in the judgment rendered. It is hereby declared to be the intent 22 of the legislature that this article would have been enacted even if 23 such invalid provisions had not been included herein. 24 § 11. Section 11 of part ZZZ of chapter 58 of the laws of 2020 amend- 25 ing the election law relating to public financing for state office; 26 amending the state finance law relating to establishing the New York 27 state campaign finance fund; and amending the tax law relating to estab- 28 lishing the NYS campaign finance fund check-off, is REPEALED. 29 § 12. This act shall take effect immediately; provided, however, 30 subparagraphs (iii) and (iv) of paragraph (a) of subdivision 2 of 31 section 14-203 of the election law, as amended by section three of this 32 act, shall apply to all general elections which take place on and after 33 such date and shall apply to all primary and special elections which 34 take place on and after the first of December next succeeding the date 35 on which it shall have become a law. Effective immediately, the addi- 36 tion, amendment and/or repeal of any rule or regulation necessary for 37 the implementation of this act on its effective date are authorized to 38 be made and completed by the public campaign finance board on or before 39 such effective date.