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H.B. 39 Enrolled

             1     

ELECTION LAW - INDEPENDENT EXPENDITURES

             2     
AMENDMENTS

             3     
2014 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Douglas V. Sagers

             6     
Senate Sponsor: Evan J. Vickers

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill amends the Election Code by adding provisions relating to independent
             11      expenditures.
             12      Highlighted Provisions:
             13          This bill:
             14          .    defines terms;
             15          .    requires that, when a person makes total independent expenditures (i.e., an
             16      expenditure expressly advocating the success or defeat of a candidate or ballot
             17      proposition that is not made in coordination with the candidate or certain other
             18      persons) of $1,000 or more, the person is required to file a report relating to the
             19      independent expenditures;
             20          .    describes the content of an independent expenditure report;
             21          .    provides that an independent expenditure report is a public record;
             22          .    requires a person who files an independent expenditure report to preserve records
             23      relating to the report for at least two years; and
             24          .    establishes penalties for failing to timely file an independent expenditure report.
             25      Money Appropriated in this Bill:
             26          None
             27      Other Special Clauses:
             28          None
             29      Utah Code Sections Affected:


             30      ENACTS:
             31           20A-11-1701 , Utah Code Annotated 1953
             32           20A-11-1702 , Utah Code Annotated 1953
             33           20A-11-1703 , Utah Code Annotated 1953
             34           20A-11-1704 , Utah Code Annotated 1953
             35           20A-11-1705 , Utah Code Annotated 1953
             36           20A-11-1706 , Utah Code Annotated 1953
             37     
             38      Be it enacted by the Legislature of the state of Utah:
             39          Section 1. Section 20A-11-1701 is enacted to read:
             40     
Part 17. Independent Expenditures

             41          20A-11-1701. Title.
             42          This part is known as "Independent Expenditures."
             43          Section 2. Section 20A-11-1702 is enacted to read:
             44          20A-11-1702. Definitions.
             45          As used in this part:
             46          (1) "Clearly identified" means:
             47          (a) the name of the candidate appears;
             48          (b) a photograph or drawing of the candidate appears; or
             49          (c) the identity of the candidate or ballot proposition is apparent by unambiguous
             50      reference.

             51          (2) (a) "Independent expenditure" means an expenditure by a person expressly
             52      advocating the success or defeat of a clearly identified candidate or ballot proposition if the
             53      expenditure is not made in coordination with, or at the request or suggestion of:

             54          (i) a candidate;
             55          (ii) a candidate's personal campaign committee;
             56          (iii) a member of a candidate's personal campaign committee;
             57          (iv) a political action committee for which the candidate is an officer with primary


             58      decision making authority;

             59          (v) an agent of a candidate; or
             60          (vi) a political issues committee.
             61          (b) "Independent expenditure" includes:
             62          (i) the cost of creating and disseminating material for a public communication,
             63      including design and production costs; and

             64          (ii) a contract or other promise to make an expenditure described in Subsection (2)(a)
             65      or (2)(b)(i).

             66          (3) (a) "Public communication" means a communication by:
             67          (i) broadcast, cable, satellite communication, newspaper, magazine, outdoor
             68      advertising facility, mass mailing, or telephone bank; or

             69          (ii) another medium used for political advertising to the general public.
             70          (b) "Public communication" does not include:
             71          (i) a news story, a commentary, or an editorial disseminated by a broadcasting station,
             72      including a cable television operator, programmer, or producer, satellite television or radio
             73      provider, website, newspaper, magazine, or other periodical publication, that is not controlled
             74      by a candidate or political party; or

             75          (ii) a candidate debate or forum.
             76          (4) "Telephone bank" means 500 or more identical or substantially similar telephone
             77      calls within any 30-day period.
             78          Section 3. Section 20A-11-1703 is enacted to read:
             79          20A-11-1703. Exception.
             80          A registered political party is not required to comply with the requirements of this part.
             81          Section 4. Section 20A-11-1704 is enacted to read:
             82          20A-11-1704. Independent expenditure report.
             83          (1) Except as provided in Section 20A-11-1703 , within 30 days after the day on which
             84      a person has made a total of at least $1,000 in independent expenditures during an election
             85      cycle, the person shall file an independent expenditure report with the chief election officer.


             86          (2) Except as provided in Section 20A-11-1703 , within 30 days after the day on which
             87      a person has made a total of at least $1,000 in independent expenditures during an election
             88      cycle that were not reported in an independent expenditure report already filed with the chief
             89      election officer during the same election cycle, the person shall file another independent
             90      expenditure report with the chief election officer.

             91          (3) An independent expenditure report shall include the following information:
             92          (a) if the person who made the independent expenditures is an individual, the person's
             93      name, address, and phone number;

             94          (b) if the person who made the independent expenditures is not an individual:
             95          (i) the person's name, address, and phone number; and
             96          (ii) the name, address, and phone number of an individual who may be contacted by the
             97      chief election officer in relation to the independent expenditure report; and

             98          (c) for each independent expenditure made by the person during the current election
             99      cycle that was not reported in a previous independent expenditure report:

             100          (i) the date of the independent expenditure;
             101          (ii) the amount of the independent expenditure;
             102          (iii) the candidate or ballot proposition for which the independent expenditure
             103      expressly advocates the success or defeat and a description of whether the independent
             104      expenditure supports or opposes the candidate or ballot proposition;

             105          (iv) the identity, address, and phone number of the person to whom the independent
             106      expenditure was made;

             107          (v) a description of the goods or services obtained by the independent expenditure; and
             108          (vi) for each person who, for political purposes, made cumulative donations of $1,000
             109      or more during the current election cycle to the filer of the independent expenditure report:

             110          (A) the identity, address, and phone number of the person;
             111          (B) the date of the donation; and
             112          (C) the amount of the donation.
             113          (4) (a) If the person filing an independent expenditure report is an individual, the


             114      person shall sign the independent expenditure report and certify that the information contained
             115      in the report is complete and accurate.

             116          (b) If the person filing an independent expenditure report is not an individual:
             117          (i) the person filing the independent expenditure report shall designate an authorized
             118      individual to sign the independent expenditure report on behalf of the person; and

             119          (ii) the individual designated under Subsection (4)(b)(i) shall sign the independent
             120      expenditure report and certify that the information contained in the report is complete and
             121      accurate.

             122          (5) If a person who files an independent expenditure report previously filed an
             123      independent expenditure report during, or in relation to, the same election cycle that includes
             124      information, described in Subsection (3)(a) or (b), that has changed since the person filed the
             125      previous independent expenditure report, the person shall include in the most recent
             126      independent expenditure report a description of the information that has changed that includes
             127      both the old information and the new information.

             128          (6) An independent expenditure report is a public record under Title 63G, Chapter 2,
             129      Government Records Access and Management Act.
             130          Section 5. Section 20A-11-1705 is enacted to read:
             131          20A-11-1705. Detailed records.
             132          A person who files an independent expenditure report shall keep records of all
             133      independent expenditures made by the person, including receipts, and all donations described
             134      in Subsection 20A-11-1704 (3)(c)(vi), for at least two years after the day on which the
             135      independent expenditure report to which the records relate is filed.
             136          Section 6. Section 20A-11-1706 is enacted to read:
             137          20A-11-1706. Penalties.
             138          (1) The chief election officer shall impose a $100 fine against an individual who fails
             139      to file an independent expenditure report within the time period required by this part.
             140          (2) The chief election officer shall impose a $1000 fine against a person who is not an
             141      individual who fails to file an independent expenditure report within the time period required


             142      by this part.

             143          (3) The chief election officer shall deposit fines collected under this chapter in the
             144      General Fund.


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