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H.B. 302 Enrolled

                 

VOLUNTARY CONTRIBUTION ACT

                 
AMENDMENTS

                 
2004 GENERAL SESSION

                 
STATE OF UTAH

                 
Sponsor: Michael R. Styler

                 
                  LONG TITLE
                  General Description:
                      This bill modifies Labor Code and Election Code provisions relating to political
                  activities by labor organizations.
                  Highlighted Provisions:
                      This bill:
                      .    allows labor organizations to make expenditures from sources other than a political
                  fund, including union dues, to influence ballot propositions;
                      .    allows a labor organization to use union dues to pay the cost of establishing and
                  administering a political fund;
                      .    allows a labor organization to use union dues to solicit contributions from its
                  members to a political fund;
                      .    clarifies that labor organizations may expend union dues to communicate with their
                  members about political candidates or political issues; and
                      .    makes technical corrections.
                  Monies Appropriated in this Bill:
                      None
                  Other Special Clauses:
                      This bill provides a severability clause.
                  Utah Code Sections Affected:
                  AMENDS:
                      20A-11-1402, as last amended by Chapter 284, Laws of Utah 2003
                      20A-11-1404, as repealed and reenacted by Chapter 284, Laws of Utah 2003


                      34-32-1, as last amended by Chapter 284, Laws of Utah 2003
                      34-32-1.1, as enacted by Chapter 284, Laws of Utah 2003
                      34-32-4, as enacted by Chapter 85, Laws of Utah 1969
                 
                  Be it enacted by the Legislature of the state of Utah:
                      Section 1. Section 20A-11-1402 is amended to read:
                       20A-11-1402. Definitions.
                      (1) As used in this part:
                      (a) "Ballot proposition" includes constitutional amendments, initiatives, referenda, judicial
                  retention questions, opinion questions, or other questions submitted to the voters for their
                  approval or rejection.
                      (b) (i) "Labor organization" means a lawful organization of any kind that is composed, in
                  whole or in part, of employees and that exists for the purpose, in whole or in part, of dealing with
                  employers concerning grievances, labor disputes, wages, rates of pay, hours of employment, or
                  other terms and conditions of employment.
                      (ii) Except as provided in Subsection (1)(b)(iii), "labor organization" includes each
                  employee association and union for employees of public and private sector employers.
                      (iii) "Labor organization" does not include organizations governed by the National Labor
                  Relations Act, 29 U.S.C. Sec. 151 et seq. or the Railroad Labor Act, 45 U.S.C. Sec. 151 et seq.
                      (c) "Political fund" means a separate segregated fund established by a labor organization
                  for political purposes that meets the requirements of this part.
                      (d) "Political purposes" means an act done with the intent or in a way to influence or tend
                  to influence, directly or indirectly, any person to refrain from voting or to vote for or against[: (i)]
                  any candidate for public office at any caucus, political convention, primary, or election[; or].
                      [(ii) any ballot proposition.]
                      (e) "Union dues" means dues, fees, monies, or other assessments required as a condition
                  of membership or participation in a labor organization.
                      (2) Other terms defined in Section 20A-11-101 apply to this part.

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                      Section 2. Section 20A-11-1404 is amended to read:
                       20A-11-1404. Establishment and administration of political fund.
                      (1) A labor organization wishing to make expenditures for political purposes shall
                  establish a political fund.
                      (2) Each labor organization that establishes a political fund shall:
                      (a) maintain the political fund as a separate, segregated account apart from any account
                  containing monies received by a labor organization as union dues;
                      [(b) pay the costs of administering the political fund from contributions to the political
                  fund and not from union dues;]
                      [(c)] (b) ensure that each contribution to the political fund is voluntary; and
                      [(d)] (c) register the political fund as a political action committee or political issues
                  committee as required by this chapter.
                      (3) (a) [A] Except as otherwise provided in this part, a labor organization may only make
                  expenditures for political purposes from a political fund established in accordance with this part.
                      (b) A labor organization may not expend union dues for political purposes or transfer
                  union dues to a political fund.
                      (4) Nothing in this part precludes a labor organization from making expenditures of union
                  dues to communicate directly with its own members about political candidates or political issues.
                      (5) Nothing in this part precludes a labor organization from making expenditures of union
                  dues either for the establishment and administration of a political fund or to solicit contributions
                  from its members to a political fund.
                      (6) Nothing in this part is intended to, or may be construed to, preempt any requirement
                  of federal law.
                      Section 3. Section 34-32-1 is amended to read:
                       34-32-1. Assignments to labor unions -- Effect.
                      (1) As used in this section:
                      [(a) "Ballot proposition" means opinion questions specifically authorized by the
                  Legislature, constitutional amendments, initiatives, referenda, and judicial retention questions that

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                  are submitted to the voters for their approval or rejection.]
                      [(b)] (a) "Employee" means a person employed by any person, partnership, public,
                  private, or municipal corporation, school district, the state, or any political subdivision of the
                  state.
                      [(c)] (b) "Employer" means the person or entity employing an employee.
                      [(d)] (c) (i) "Labor organization" means a lawful organization of any kind that is
                  composed, in whole or in part, of employees, and that exists for the purpose, in whole or in part,
                  of dealing with employers concerning grievances, labor disputes, wages, rates of pay, hours of
                  employment, or other terms and conditions of employment.
                      (ii) Except as provided in Subsection (1)[(d)](c)(iii), "labor organization" includes each
                  employee association and union for employees of public and private sector employers.
                      (iii) "Labor organization" does not include organizations governed by the National Labor
                  Relations Act, 29 U.S.C. Sec. 151 et seq. or the Railroad Labor Act, 45 U.S.C. Sec. 151 et seq.
                      [(e) "Political purposes" means an act done with the intent or in a way to influence or
                  tend to influence, directly or indirectly, any person to refrain from voting or to vote for or
                  against:]
                      [(i) any candidate for public office at any caucus, political convention, primary, or
                  election; or]
                      [(ii) any ballot proposition.]
                      [(f)] (d) "Union dues" means dues, fees, monies, or other assessments required as a
                  condition of membership or participation in a labor organization.
                      (2) (a) An employee may direct, in writing, that an employer deduct from the employee's
                  wages a specified sum for union dues, not to exceed 3% per month, to be paid to a labor
                  organization designated by the employee.
                      (b) An employer shall cease making deductions for union dues from the wages of an
                  employee for the benefit of a labor organization when the employer receives a written
                  communication from the employee directing that the deductions cease.
                      Section 4. Section 34-32-1.1 is amended to read:

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                       34-32-1.1. Prohibiting public employers from making payroll deductions for
                  political purposes.
                      (1) As used in this section:
                      [(a) "Ballot proposition" means opinion questions specifically authorized by the
                  Legislature, constitutional amendments, initiatives, referenda, and judicial retention questions that
                  are submitted to the voters for their approval or rejection.]
                      [(b)] (a) (i) "Labor organization" means a lawful organization of any kind that is
                  composed, in whole or in part, of employees and that exists for the purpose, in whole or in part,
                  of dealing with employers concerning grievances, labor disputes, wages, rates of pay, hours of
                  employment, or other terms and conditions of employment.
                      (ii) Except as provided in Subsection (1)(b)(iii), "labor organization" includes each
                  employee association and union for public employees.
                      (iii) "Labor organization" does not include organizations governed by the National Labor
                  Relations Act, 29 U.S.C. Sec. 151 et seq. or the Railroad Labor Act, 45 U.S.C. Sec. 151 et seq.
                      [(c)] (b) "Political purposes" means an act done with the intent or in a way to influence or
                  tend to influence, directly or indirectly, any person to refrain from voting or to vote for or
                  against[: (i)] any candidate for public office at any caucus, political convention, primary, or
                  election[; or].
                      [(ii) any ballot proposition.]
                      [(d)] (c) "Public employee" means a person employed by:
                      (i) the state of Utah or any administrative subunit of the state;
                      (ii) a state institution of higher education; or
                      (iii) a municipal corporation, a county, a municipality, a school district, a special district,
                  or any other political subdivision of the state.
                      [(e)] (d) "Public employer" means an employer that is:
                      (i) the state of Utah or any administrative subunit of the state;
                      (ii) a state institution of higher education; or
                      (iii) a municipal corporation, a county, a municipality, a school district, a special district,

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                  or any other political subdivision of the state.
                      [(f)] (e) "Union dues" means dues, fees, assessments, or other monies required as a
                  condition of membership or participation in a labor organization.
                      (2) A public employer may not deduct from the wages of its employees any amounts to be
                  paid to:
                      (a) a candidate as defined in Section 20A-11-101 ;
                      (b) a personal campaign committee as defined in Section 20A-11-101 ;
                      (c) a political action committee as defined in Section 20A-11-101 ;
                      (d) a political issues committee as defined in Section 20A-11-101 ;
                      (e) a registered political party as defined in Section 20A-11-101 ;
                      (f) a political fund as defined in Section 20A-11-1402 ; or
                      (g) any entity established by a labor organization to solicit, collect, or distribute monies
                  primarily for political purposes as defined in this chapter.
                      (3) The attorney general may bring an action to require [the] a public employer to comply
                  with the requirements of this section.
                      Section 5. Section 34-32-4 is amended to read:
                       34-32-4. Exceptions from chapter.
                      (1) The provisions of this chapter shall not apply to carriers as that term is defined in the
                  Railway Labor Act passed by the Congress of the United States, June 21, 1934. 48 Stat. 1189,
                  U.S. Code, Title 45, Section 151.
                      (2) Nothing in this chapter is intended to, or may be construed to, preempt any
                  requirement of federal law.
                      Section 6. Severability clause.
                      If a court of competent jurisdiction holds that any portion of this act or the application of
                  any portion of this act to any person or circumstance is invalid:
                      (1) the invalid portion or application shall be severed; and
                      (2) the remainder of this act shall remain in effect without the invalid portion or
                  application.

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