California Legislature—2013–14 Regular Session

Assembly Bill No. 45

Introduced by Assembly Member Dickinson

December 19, 2012

An act to amend Sections 81010, 82013, 82015, 82016, 84101, 84211, 84215, 84605, 85201, 89519, 90003, 90005, and 91003 of, and to add Sections 84215.5 and 86119 to, the Government Code, relating to the Political Reform Act of 1974.

LEGISLATIVE COUNSEL’S DIGEST

AB 45, as introduced, Dickinson. Political Reform Act of 1974.

(1) The Political Reform Act of 1974 imposes various reporting and disclosure requirements for campaign contributions and expenditures. For purposes of the act, a “committee” is defined to include any person or combination of persons who receives contributions or makes independent expenditures totaling $1,000 or more in a calendar year. The act also defines a “controlled committee” to include a committee that is controlled directly or indirectly by a candidate.

This bill would increase the monetary threshold of contributions or independent expenditures that qualify a person or combination of persons as a committee to $2,000. The bill would also revise the definition of a “controlled committee” to specify that a committee controlled by a candidate who is elected to office is a controlled committee for the duration of the candidate’s entire term of office, as specified.

(2) The act requires committees to file periodic campaign statements. The act requires that the campaign statements disclose certain information about contributors who have made aggregate contributions, as defined, of $100 or more.

This bill would increase the monetary contribution threshold for requiring the disclosure of contributor information to $250.

This bill would revise the definition of “contribution” to include a payment to a multipurpose organization, as defined, made by a person who knows or has reason to know that the payment or portion of the payment will be used to make a contribution or an independent expenditure. The bill imposes a presumption that a donor has reason to know that his or her payment will be used to make a contribution or an independent expenditure if the recipient organization has made aggregate contributions or independent expenditures of $2,000 or more within the calendar year in which the payment is made or four preceding calendar years or if the donor payment is $50,000 or more, is made within the 6 months preceding the election, and the multipurpose organization makes a contribution or an independent expenditure of $50,000 or more within the 6 months prior to the election.

(3) The act defines as “surplus campaign funds” as campaign funds that are under the control of a former candidate or former elected officer as of the date of leaving elective office or the end of the postelection reporting period following the defeat of the candidate for elective office, whichever occurs last. The act restricts the purposes for which surplus campaign funds may be expended.

This bill would increase the time at which campaign funds become surplus campaign funds by 90 days following either the officer leaving elective office or the end of the postelection reporting period following the defeat of a candidate, whichever occurs last.

(4) The act imposes specified duties on a filing officer with respect to reports and statements filed with that filing officer, including supplying the necessary forms and manuals and determining whether required documents have been filed and conform on their face with the requirements of the act.

This bill would additionally require a filing officer to immediately affix a date stamp to each statement of economic interests that the officer receives to reflect the date of receipt. By imposing additional duties on local officials, this bill would impose a state-mandated local program.

(5) The act requires that certain campaign statements be filed with the Secretary of State online or electronically. The act requires that persons filing campaign statements online or electronically also continue to file the statements in a paper format.

This bill would repeal the requirement that a person file a paper copy of a campaign statement that is filed with the Secretary of State online or electronically, except during such times as the online or electronic system operated by the Secretary of State is malfunctioning, unavailable, or otherwise not capable of receiving online or electronically filed campaign statements.

(6) The act is administered and enforced by the Fair Political Practices Commission. The act authorizes the Commission, as well as the Franchise Tax Board, to perform discretionary investigations and audits with respect to campaign and lobbying reports and statements that are filed with the Secretary of State. The act prohibits members, employees, and agents of the Franchise Tax Board from divulging records, documents, or information received pursuant to audit activities authorized under the act. The act also authorizes any person residing in the jurisdiction to sue for injunctive relief to prevent violations or compel compliance with the act

This bill would require the Secretary of State to make campaign and lobbying statements and reports that are filed with the Secretary of State available to the Commission, upon request by the Commission. This bill would specify that the Commission may perform audits prior to the date of the election and prior to the date that a statement or report is required to be filed. The bill would prohibit the members, employees, and agents of the Commission from divulging records, documents, or information received in the course of the audits, as specified. The bill would authorize a person to challenge an audit by the Commission or any order resulting from an audit by seeking a writ of mandate, which would take priority over all other civil matters. The bill would specify that the Commission is authorized to seek an injunction to prevent a violation of or compel compliance with the act.

(7) The act makes a knowing or willful violation of its provisions a misdemeanor and subjects offenders to criminal penalties.

By expanding the scope of an existing crime, this bill would impose a state-mandated local program.

(8) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.

With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

(9) The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the act’s purposes upon a 2⁄3 vote of each house and compliance with specified procedural requirements.

This bill would declare that it furthers the purposes of the act.

Vote: ²⁄₃. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

Section 81010 of the Government Code is
amended to read:

81010.  

With respect to reports and statements filed with him
begin insert or her end insert pursuant to this title, the filing officer shall begin insert do all of the end insert
begin insert following end insert :

(a) Supply the necessary forms and manuals prescribed by the
Commission begin delete ; end delete begin insert . end insert

begin insert

(b) Immediately affix a date stamp to each statement of economic
interests filed pursuant to Chapter 7 (commencing with Section
87100) to reflect the date of receipt by the filing officer.

end insert begin delete

(b)

end delete

begin insert (c) end insert  Determine whether required documents have been filed and,
if so, whether they conform on their face with the requirements of
this title begin delete ; end delete begin insert . end insert

begin delete

(c)

end delete

begin insert (d) end insert  Notify promptly all persons and known committees who
have failed to file a report or statement in the form and at the time
required by this title begin delete ; end delete begin insert . end insert

begin delete

(d)

end delete

begin insert (e) end insert  Report apparent violations of this title to the appropriate
agencies begin delete ; and end delete begin insert . end insert

begin delete

(e)

end delete

begin insert (f) end insert  Compile and maintain a current list of all reports and
statements filed with this office.

SEC. 2.  

Section 82013 of the Government Code is amended
to read:

82013.  

“Committee” means any person or combination of
persons who directly or indirectly does any of the following:

(a) Receives contributions totaling begin delete one thousand dollars ($1,000) end delete
begin insert two thousand dollars ($2,000) end insert or more in a calendar year.

(b) Makes independent expenditures totaling begin delete one thousand end delete
begin delete dollars ($1,000) end delete begin insert two thousand dollars ($2,000) end insert or more in a
calendar year; or

(c) Makes contributions totaling ten thousand dollars ($10,000)
or more in a calendar year to or at the behest of candidates or
committees.

A person or combination of persons that becomes a committee
shall retain its status as a committee until such time as that status
is terminated pursuant to Section 84214.

SEC. 3.  

Section 82015 of the Government Code is amended
to read:

82015.  

(a) “Contribution” means a payment, a forgiveness of
a loan, a payment of a loan by a third party, or an enforceable
promise to make a payment except to the extent that full and
adequate consideration is received, unless it is clear from the
surrounding circumstances that it is not made for political purposes.

(b) (1) A payment made at the behest of a committee as defined
in subdivision (a) of Section 82013 is a contribution to the
committee unless full and adequate consideration is received from
the committee for making the payment.

(2) A payment made at the behest of a candidate is a contribution
to the candidate unless the criteria in either subparagraph (A) or
(B) are satisfied:

(A) Full and adequate consideration is received from the
candidate.

(B) It is clear from the surrounding circumstances that the
payment was made for purposes unrelated to his or her candidacy
for elective office. The following types of payments are presumed
to be for purposes unrelated to a candidate’s candidacy for elective
office:

(i) A payment made principally for personal purposes, in which
case it may be considered a gift under the provisions of Section
82028. Payments that are otherwise subject to the limits of Section
86203 are presumed to be principally for personal purposes.

(ii) A payment made by a state, local, or federal governmental
agency or by a nonprofit organization that is exempt from taxation
under Section 501(c)(3) of the Internal Revenue Code.

(iii) A payment not covered by clause (i), made principally for
legislative, governmental, or charitable purposes, in which case it
is neither a gift nor a contribution. However, payments of this type
that are made at the behest of a candidate who is an elected officer
shall be reported within 30 days following the date on which the
payment or payments equal or exceed five thousand dollars
($5,000) in the aggregate from the same source in the same
calendar year in which they are made. The report shall be filed by
the elected officer with the elected officer’s agency and shall be
a public record subject to inspection and copying pursuant to
subdivision (a) of Section 81008. The report shall contain the
following information: name of payor, address of payor, amount
of the payment, date or dates the payment or payments were made,
the name and address of the payee, a brief description of the goods
or services provided or purchased, if any, and a description of the
specific purpose or event for which the payment or payments were
made. Once the five-thousand-dollar ($5,000) aggregate threshold
from a single source has been reached for a calendar year, all
payments for the calendar year made by that source must be
disclosed within 30 days after the date the threshold was reached
or the payment was made, whichever occurs later. Within 30 days
after receipt of the report, state agencies shall forward a copy of
these reports to the Fair Political Practices Commission, and local
agencies shall forward a copy of these reports to the officer with
whom elected officers of that agency file their campaign
statements.

(C) For purposes of subparagraph (B), a payment is made for
purposes related to a candidate’s candidacy for elective office if
all or a portion of the payment is used for election-related activities.
For purposes of this subparagraph, “election-related activities”
shall include, but are not limited to, the following:

(i) Communications that contain express advocacy of the
nomination or election of the candidate or the defeat of his or her
opponent.

(ii) Communications that contain reference to the candidate’s
candidacy for elective office, the candidate’s election campaign,
or the candidate’s or his or her opponent’s qualifications for
elective office.

(iii) Solicitation of contributions to the candidate or to third
persons for use in support of the candidate or in opposition to his
or her opponent.

(iv) Arranging, coordinating, developing, writing, distributing,
preparing, or planning of any communication or activity described
in clause (i), (ii), or (iii).

(v) Recruiting or coordinating campaign activities of campaign
volunteers on behalf of the candidate.

(vi) Preparing campaign budgets.

(vii) Preparing campaign finance disclosure statements.

(viii) Communications directed to voters or potential voters as
part of activities encouraging or assisting persons to vote if the
communication contains express advocacy of the nomination or
election of the candidate or the defeat of his or her opponent.

(D) A contribution made at the behest of a candidate for a
different candidate or to a committee not controlled by the
behesting candidate is not a contribution to the behesting candidate.

(3) A payment made at the behest of a member of the Public
Utilities Commission, made principally for legislative,
governmental, or charitable purposes, is not a contribution.
However, payments of this type shall be reported within 30 days
following the date on which the payment or payments equal or
exceed five thousand dollars ($5,000) in the aggregate from the
same source in the same calendar year in which they are made.
The report shall be filed by the member with the Public Utilities
Commission and shall be a public record subject to inspection and
copying pursuant to subdivision (a) of Section 81008. The report
shall contain the following information: name of payor, address
of payor, amount of the payment, date or dates the payment or
payments were made, the name and address of the payee, a brief
description of the goods or services provided or purchased, if any,
and a description of the specific purpose or event for which the
payment or payments were made. Once the five-thousand-dollar
($5,000) aggregate threshold from a single source has been reached
for a calendar year, all payments for the calendar year made by
that source must be disclosed within 30 days after the date the
threshold was reached or the payment was made, whichever occurs
later. Within 30 days after receipt of the report, the Public Utilities
Commission shall forward a copy of these reports to the Fair
Political Practices Commission.

(c) “Contribution” includes the purchase of tickets for events
such as dinners, luncheons, rallies, and similar fundraising events;
the candidate’s own money or property used on behalf of his or
her candidacy other than personal funds of the candidate used to
pay either a filing fee for a declaration of candidacy or a candidate
statement prepared pursuant to Section 13307 of the Elections
Code; the granting of discounts or rebates not extended to the
public generally or the granting of discounts or rebates by television
and radio stations and newspapers not extended on an equal basis
to all candidates for the same office; the payment of compensation
by any person for the personal services or expenses of any other
person if the services are rendered or expenses incurred on behalf
of a candidate or committee without payment of full and adequate
consideration.

(d) “Contribution” further includes any transfer of anything of
value received by a committee from another committee, unless
full and adequate consideration is received.

(e) “Contribution” does not include amounts received pursuant
to an enforceable promise to the extent those amounts have been
previously reported as a contribution. However, the fact that those
amounts have been received shall be indicated in the appropriate
campaign statement.

(f) “Contribution” does not include a payment made by an
occupant of a home or office for costs related to any meeting or
fundraising event held in the occupant’s home or office if the costs
for the meeting or fundraising event are five hundred dollars ($500)
or less.

(g) Notwithstanding the foregoing definition of “contribution,”
the term does not include volunteer personal services or payments
made by any individual for his or her own travel expenses if the
payments are made voluntarily without any understanding or
agreement that they shall be, directly or indirectly, repaid to him
or her.

(h) “Contribution” further includes the payment of public
moneys by a state or local governmental agency for a
communication to the public that satisfies both of the following:

(1) The communication expressly advocates the election or
defeat of a clearly identified candidate or the qualification, passage,
or defeat of a clearly identified measure, or, taken as a whole and
in context, unambiguously urges a particular result in an election.

(2) The communication is made at the behest of the affected
candidate or committee.

begin insert

(i) (1) “Contribution” further includes a payment made to a
multipurpose organization if the donor knows or has reason to
know that the payment, or part of the payment, will be used to
make a contribution or an independent expenditure.

end insert begin insert

(2) For purposes of paragraph (1), a donor knows that a
payment to a multipurpose organization will be used to make a
contribution or an independent expenditure if the donor specifies
that to be the purpose for which the payment must be used or if
the donor makes the payment in response to a message or
solicitation indicating the multipurpose organization’s intent to
make a contribution or an independent expenditure.

end insert begin insert

(3) For purposes of paragraph (1), a donor is presumed to have
reason to know that a payment to a multipurpose organization will
be used to make a contribution or an independent expenditure if
the recipient multipurpose organization has made aggregate
contributions or independent expenditures of two thousand dollars
($2,000) or more during the calendar year in which the payment
is made or during any of the four preceding calendar years.

end insert begin insert

(4) For purposes of paragraph (1), a donor who makes an
aggregate payment of fifty thousand dollars ($50,000) or more to
a multipurpose organization within the six months prior to an
election is presumed to have reason to know that the aggregate
payments will be used by the multipurpose organization to make
a contribution or an independent expenditure if the multipurpose
organization makes an aggregate contribution or independent
expenditure of fifty thousand dollars ($50,000) or more to support
or oppose a candidate or ballot measure within the six months
prior to that election.

end insert begin insert

(5) A donor who makes a contribution described in paragraph
(1) shall be identified and reported by the multipurpose
organization receiving the contribution in accordance with
regulations adopted by the Commission.

end insert begin insert

(6) For purposes of this subdivision, “multipurpose
organization” means a nonprofit organization, a federal or
out-of-state political action committee, or a local club focusing
on educational or social activities.

end insert

SEC. 4.  

Section 82016 of the Government Code is amended
to read:

82016.  

(a) “Controlled committee” means a committee that
is controlled directly or indirectly by a candidate or state measure
proponent or that acts jointly with a candidate, controlled
committee, or state measure proponent in connection with the
making of expenditures. A candidate or state measure proponent
controls a committee if he or she, his or her agent, or any other
committee he or she controls has a significant influence on the
actions or decisions of the committee. begin insert A committee controlled by end insert
begin insert a candidate elected to office is a controlled committee within the end insert
begin insert meaning of this section for the duration of the candidate’s entire end insert
begin insert term of end insert begin insert office end insert begin insert . end insert

(b) Notwithstanding subdivision (a), a political party committee,
as defined in Section 85205, is not a controlled committee.

SEC. 5.  

Section 84101 of the Government Code is amended
to read:

84101.  

(a) A committee that is a committee by virtue of
subdivision (a) of Section 82013 shall file a statement of
organization. The committee shall file the original of the statement
of organization with the Secretary of State and shall also file a
copy of the statement of organization with the local filing officer,
if any, with whom the committee is required to file the originals
of its campaign reports pursuant to Section 84215. The original
and copy of the statement of organization shall be filed within 10
days after the committee has qualified as a committee. The
Secretary of State shall assign a number to each committee that
files a statement of organization and shall notify the committee of
the number. The Secretary of State shall send a copy of statements
filed pursuant to this section to the county elections official of each
county that he or she deems appropriate. A county elections official
who receives a copy of a statement of organization from the
Secretary of State pursuant to this section shall send a copy of the
statement to the clerk of each city in the county that he or she
deems appropriate.

(b) In addition to filing the statement of organization as required
by subdivision (a), if a committee qualifies as a committee under
subdivision (a) of Section 82013 before the date of an election in
connection with which the committee is required to file preelection
statements, but after the closing date of the last campaign statement
required to be filed before the election pursuant to Section 84200.7,
84200.8, or 84200.9, the committee shall file, by facsimile
transmission, guaranteed overnight delivery, or personal delivery
within 24 hours of qualifying as a committee, the information
required to be reported in the statement of organization. The
information required by this subdivision shall be filed with the
filing officer with whom the committee is required to file the
originals of its campaign reports pursuant to Section 84215.

(c) If an independent expenditure committee qualifies as a
committee pursuant to subdivision (a) of Section 82013 during the
time period described in Section 82036.5 and makes independent
expenditures of one thousand dollars ($1,000) or more to support
or oppose a candidate or candidates for office, the committee shall
file, by facsimile transmission, online transmission, guaranteed
overnight delivery, or personal delivery within 24 hours of
qualifying as a committee, the information required to be reported
in the statement of organization. The information required by this
section shall be filed with the filing officer with whom the
committee is required to file the original of its campaign reports
pursuant to Section 84215, and shall be filed at all locations
required for the candidate or candidates supported or opposed by
the independent expenditures. The filings required by this section
are in addition to filings that may be required by Sections 84203.5
and 84204.

(d) For purposes of this section, in calculating whether begin delete one end delete
begin delete thousand dollars ($1,000) end delete begin insert two thousand dollars ($2,000) end insert in
contributions has been received, payments for a filing fee or for a
statement of qualifications to appear in a sample ballot shall not
be included if these payments have been made from the candidate’s
personal funds.

SEC. 6.  

Section 84211 of the Government Code is amended
to read:

84211.  

Each campaign statement required by this article shall
contain all of the following information:

(a) The total amount of contributions received during the period
covered by the campaign statement and the total cumulative amount
of contributions received.

(b) The total amount of expenditures made during the period
covered by the campaign statement and the total cumulative amount
of expenditures made.

(c) The total amount of contributions received during the period
covered by the campaign statement from persons who have given
a cumulative amount of begin delete one hundred dollars ($100) end delete begin insert two hundred end insert
begin insert fifty dollars ($250) end insert or more.

(d) The total amount of contributions received during the period
covered by the campaign statement from persons who have given
a cumulative amount of less than begin delete one hundred dollars ($100) end delete begin insert two end insert
begin insert hundred fifty dollars ($250) end insert .

(e) The balance of cash and cash equivalents on hand at the
beginning and the end of the period covered by the campaign
statement.

(f) If the cumulative amount of contributions (including loans)
received from a person is begin delete one hundred dollars ($100) end delete begin insert two hundred end insert
begin insert fifty dollars ($250) end insert or more and a contribution or loan has been
received from that person during the period covered by the
campaign statement, all of the following:

(1) His or her full name.

(2) His or her street address.

(3) His or her occupation.

(4) The name of his or her employer, or if self-employed, the
name of the business.

(5) The date and amount received for each contribution received
during the period covered by the campaign statement and if the
contribution is a loan, the interest rate for the loan.

(6) The cumulative amount of contributions.

(g) If the cumulative amount of loans received from or made to
a person is begin delete one hundred dollars ($100) end delete begin insert two hundred fifty dollars end insert
begin insert ($250) end insert or more, and a loan has been received from or made to a
person during the period covered by the campaign statement, or
is outstanding during the period covered by the campaign
statement, all of the following:

(1) His or her full name.

(2) His or her street address.

(3) His or her occupation.

(4) The name of his or her employer, or if self-employed, the
name of the business.

(5) The original date and amount of each loan.

(6) The due date and interest rate of the loan.

(7) The cumulative payment made or received to date at the end
of the reporting period.

(8) The balance outstanding at the end of the reporting period.

(9) The cumulative amount of contributions.

(h) For each person, other than the filer, who is directly,
indirectly, or contingently liable for repayment of a loan received
or outstanding during the period covered by the campaign
statement, all of the following:

(1) His or her full name.

(2) His or her street address.

(3) His or her occupation.

(4) The name of his or her employer, or if self-employed, the
name of the business.

(5) The amount of his or her maximum liability outstanding.

(i) The total amount of expenditures made during the period
covered by the campaign statement to persons who have received
one hundred dollars ($100) or more.

(j) The total amount of expenditures made during the period
covered by the campaign statement to persons who have received
less than one hundred dollars ($100).

(k) For each person to whom an expenditure of one hundred
dollars ($100) or more has been made during the period covered
by the campaign statement, all of the following:

(1) His or her full name.

(2) His or her street address.

(3) The amount of each expenditure.

(4) A brief description of the consideration for which each
expenditure was made.

(5) In the case of an expenditure which is a contribution to a
candidate, elected officer, or committee or an independent
expenditure to support or oppose a candidate or measure, in
addition to the information required in paragraphs (1) to (4) above,
the date of the contribution or independent expenditure, the
cumulative amount of contributions made to a candidate, elected
officer, or committee, or the cumulative amount of independent
expenditures made relative to a candidate or measure; the full name
of the candidate, and the office and district for which he or she
seeks nomination or election, or the number or letter of the
measure; and the jurisdiction in which the measure or candidate
is voted upon.

(6) The information required in paragraphs (1) to (4), inclusive,
for each person, if different from the payee, who has provided
consideration for an expenditure of five hundred dollars ($500) or
more during the period covered by the campaign statement.

For purposes of subdivisions (i), (j), and (k) only, the terms
“expenditure” or “expenditures” mean any individual payment or
accrued expense, unless it is clear from surrounding circumstances
that a series of payments or accrued expenses are for a single
service or product.

(l) In the case of a controlled committee, an official committee
of a political party, or an organization formed or existing primarily
for political purposes, the amount and source of any miscellaneous
receipt.

(m) If a committee is listed pursuant to subdivision (f), (g), (h),
(k), (l), or (q), the number assigned to the committee by the
Secretary of State shall be listed, or if no number has been assigned,
the full name and street address of the treasurer of the committee.

(n) In a campaign statement filed by a candidate who is a
candidate in both a state primary and general election, his or her
controlled committee, or a committee primarily formed to support
or oppose such a candidate, the total amount of contributions
received and the total amount of expenditures made for the period
January 1 through June 30 and the total amount of contributions
received and expenditures made for the period July 1 through
December 31.

(o) The full name, residential or business address, and telephone
number of the filer, or in the case of a campaign statement filed
by a committee defined by subdivision (a) of Section 82013, the
name, street address, and telephone number of the committee and
of the committee treasurer. In the case of a committee defined by
subdivision (b) or (c) of Section 82013, the name that the filer uses
on campaign statements shall be the name by which the filer is
identified for other legal purposes or any name by which the filer
is commonly known to the public.

(p) If the campaign statement is filed by a candidate, the name,
street address, and treasurer of any committee of which he or she
has knowledge which has received contributions or made
expenditures on behalf of his or her candidacy and whether the
committee is controlled by the candidate.

(q) A contribution need not be reported nor shall it be deemed
accepted if it is not cashed, negotiated, or deposited and is returned
to the contributor before the closing date of the campaign statement
on which the contribution would otherwise be reported.

(r) If a committee primarily formed for the qualification or
support of, or opposition to, an initiative or ballot measure is
required to report an expenditure to a business entity pursuant to
subdivision (k) and 50 percent or more of the business entity is
owned by a candidate or person controlling the committee, by an
officer or employee of the committee, or by a spouse of any of
these individuals, the committee’s campaign statement shall also
contain, in addition to the information required by subdivision (k),
that person’s name, the relationship of that person to the committee,
and a description of that person’s ownership interest or position
with the business entity.

(s) If a committee primarily formed for the qualification or
support of, or opposition to, an initiative or ballot measure is
required to report an expenditure to a business entity pursuant to
subdivision (k), and a candidate or person controlling the
committee, an officer or employee of the committee, or a spouse
of any of these individuals is an officer, partner, consultant, or
employee of the business entity, the committee’s campaign
statement shall also contain, in addition to the information required
by subdivision (k), that person’s name, the relationship of that
person to the committee, and a description of that person’s
ownership interest or position with the business entity.

(t) If the campaign statement is filed by a committee, as defined
in subdivision (b) or (c) of Section 82013, information sufficient
to identify the nature and interests of the filer, including:

(1) If the filer is an individual, the name and address of the
filer’s employer, if any, or his or her principal place of business
if the filer is self-employed, and a description of the business
activity in which the filer or his or her employer is engaged.

(2) If the filer is a business entity, a description of the business
activity in which it is engaged.

(3) If the filer is an industry, trade, or professional association,
a description of the industry, trade, or profession which it
represents, including a specific description of any portion or faction
of the industry, trade, or profession which the association
exclusively or primarily represents.

(4) If the filer is not an individual, business entity, or industry,
trade, or professional association, a statement of the person’s nature
and purposes, including a description of any industry, trade,
profession, or other group with a common economic interest which
the person principally represents or from which its membership
or financial support is principally derived.

SEC. 7.  

Section 84215 of the Government Code is amended
to read:

84215.  

All candidates and elected officers and their controlled
committees, except as provided in subdivisions (d) and (e), shall
file one copy of the campaign statements required by Section 84200
with the elections official of the county in which the candidate or
elected official is domiciled, as defined in subdivision (b) of
Section 349 of the Elections Code. In addition, campaign
statements shall be filed at the following places:

(a) Statewide elected officers, including members of the State
Board of Equalization; Members of the Legislature; Supreme Court
justices, court of appeal justices, and superior court judges;
candidates for those offices and their controlled committees;
committees formed or existing primarily to support or oppose these
candidates, elected officers, justices and judges, or statewide
measures, or the qualification of state ballot measures; and all state
general purpose committees and filers not specified in subdivisions
(b) to (e), inclusive, shall file a campaign statement by online or
electronic means, as specified in Section 84605, and begin insert , if not required end insert
begin insert to file the statement by online or electronic means, end insert shall file the
original and one copy of the campaign statement in paper format
with the Secretary of State.

(b) Elected officers in jurisdictions other than legislative
districts, State Board of Equalization districts, or appellate court
districts that contain parts of two or more counties, candidates for
these offices, their controlled committees, and committees formed
or existing primarily to support or oppose candidates or local
measures to be voted upon in one of these jurisdictions shall file
the original and one copy with the elections official of the county
with the largest number of registered voters in the jurisdiction.

(c) County elected officers, candidates for these offices, their
controlled committees, committees formed or existing primarily
to support or oppose candidates or local measures to be voted upon
in any number of jurisdictions within one county, other than those
specified in subdivision (d), and county general purpose
committees shall file the original and one copy with the elections
official of the county.

(d) City elected officers, candidates for city office, their
controlled committees, committees formed or existing primarily
to support or oppose candidates or local measures to be voted upon
in one city, and city general purpose committees shall file the
original and one copy with the clerk of the city and are not required
to file with the local elections official of the county in which they
are domiciled.

(e) Elected members of the Board of Administration of the
Public Employees’ Retirement System, elected members of the
Teachers’ Retirement Board, candidates for these offices, their
controlled committees, and committees formed or existing
primarily to support or oppose these candidates or elected members
shall file the original and one copy with the Secretary of State, and
a copy shall be filed at the relevant board’s office in Sacramento.
These elected officers, candidates, and committees need not file
with the elections official of the county in which they are
domiciled.

(f) Notwithstanding any other provision of this section, a
committee, candidate, or elected officer is not required to file more
than the original and one copy, or one copy, of a campaign
statement with any one county elections official or city clerk or
with the Secretary of State.

(g) If a committee is required to file campaign statements
required by Section 84200 or 84200.5 in places designated in
subdivisions (a) to (d), inclusive, it shall continue to file these
statements in those places, in addition to any other places required
by this title, until the end of the calendar year.

SEC. 8.  

Section 84215.5 is added to the Government Code, to
read:

84215.5.  

A statement or report filed with the Secretary of State
pursuant to this chapter shall be made available to the Commission
by the Secretary of State, upon request of the Commission.

SEC. 9.  

Section 84605 of the Government Code is amended
to read:

84605.  

(a) The following persons shall file online or
electronically with the Secretary of State:

(1) Any candidate, including superior court, appellate court,
and Supreme Court candidates and officeholders, committee, or
other persons who are required, pursuant to Chapter 4 (commencing
with Section 84100), to file statements, reports, or other documents
in connection with a state elective office or state measure, provided
that the total cumulative reportable amount of contributions
received, expenditures made, loans made, or loans received is
twenty-five thousand dollars ($25,000) or more. In determining
the cumulative reportable amount, all controlled committees, as
defined by Section 82016, shall be included. For a committee
subject to this title prior to January 1, 2000, the beginning date for
calculating cumulative totals is January 1, 2000. For a committee
that is first subject to this title on or after January 1, 2000, the
beginning date for calculating cumulative totals is the date the
committee is first subject to this title. A committee, as defined in
subdivision (c) of Section 82013, shall file online or electronically
if it makes contributions of twenty-five thousand dollars ($25,000)
or more in a calendar year.

(2) Any general purpose committees, as defined in Section
82027.5, including the general purpose committees of political
parties, and small contributor committees, as defined in Section
85203, that cumulatively receive contributions or make
expenditures totaling twenty-five thousand dollars ($25,000) or
more to support or oppose candidates for any elective state office
or state measure. For a committee subject to this title prior to
January 1, 2000, the beginning date for calculating cumulative
totals is January 1, 2000. For a committee that first is subject to
this title on or after January 1, 2000, the beginning date for
calculating cumulative totals is the date the committee is first
subject to this title.

(3) Any slate mailer organization with cumulative reportable
payments received or made for the purposes of producing slate
mailers of twenty-five thousand dollars ($25,000) or more. For a
slate mailer organization subject to this title prior to January 1,
2000, the beginning date for calculating cumulative totals is
January 1, 2000. For a slate mailer organization that first is subject
to this title on or after January 1, 2000, the beginning date for
calculating cumulative totals is the date the organization is first
subject to this title.

(4) Any lobbyist, lobbying firm, lobbyist employer, or other
persons required, pursuant to Chapter 6 (commencing with Section
86100), to file statements, reports, or other documents, provided
that the total amount of any category of reportable payments,
expenses, contributions, gifts, or other items is two thousand five
hundred dollars ($2,500) or more in a calendar quarter.

(b) The Secretary of State shall also disclose on the Internet any
late contribution or late independent expenditure report, as defined
by Sections 84203 and 84204, respectively, not covered by
paragraph (1), (2), or (3) of subdivision (a) or any other provision
of law.

(c) Committees and other persons that are not required to file
online or electronically by this section may do so voluntarily.

(d) Once a person or entity is required to file online or
electronically, subject to subdivision (a) or (c), the person or entity
shall be required to file all subsequent reports online or
electronically.

(e) It shall be presumed that online or electronic filers file under
penalty of perjury.

(f) Persons filing online or electronically shall begin delete also end delete begin insert not be end insert
begin insert required to end insert continue to file required disclosure statements and
reports in paper format begin delete . The paper copy shall continue to be the end delete
begin delete official filing for audit and other legal purposes until the Secretary end delete
begin delete of State, pursuant to Section 84606, determines the system is end delete
begin delete operating securely and effectively end delete begin insert with the Secretary of State. end insert
begin insert However, an original paper copy shall be filed with the Secretary end insert
begin insert of State during any period of time for end insert begin insert which the online or electronic end insert
begin insert system operated by the Secretary of State is malfunctioning, end insert
begin insert unavailable, or otherwise not capable of receiving online or end insert
begin insert electronically filed disclosure statements and reports end insert .

(g) The Secretary of State shall maintain at all times a secured,
official version of all original online and electronically filed
statements and reports required by this chapter. Upon determination
by the Secretary of State, pursuant to Section 84606, that the
system is operating securely and effectively, this online or
electronic version shall be the official version for audit and other
legal purposes.

(h) Except for statements related to a local elective office or a
local ballot measure filed by a candidate for local elective office
who is also a candidate for elective state office, a copy of a
statement, report, or other document filed by online or electronic
means with the Secretary of State shall not be filed with a local
filing officer.

SEC. 10.  

Section 85201 of the Government Code is amended
to read:

85201.  

(a) Upon the filing of the statement of intention
pursuant to Section 85200, the individual shall establish one
campaign contribution account at an office of a financial institution
located in the state.

(b) As required by subdivision (f) of Section 84102, a candidate
who raises contributions of begin delete one thousand dollars ($1,000) end delete begin insert two end insert
begin insert thousand dollars ($2,000) end insert or more in a calendar year shall set forth
the name and address of the financial institution where the
candidate has established a campaign contribution account and the
account number on the committee statement of organization filed
pursuant to Sections 84101 and 84103.

(c) All contributions or loans made to the candidate, to a person
on behalf of the candidate, or to the candidate’s controlled
committee shall be deposited in the account.

(d) Any personal funds which will be utilized to promote the
election of the candidate shall be deposited in the account prior to
expenditure.

(e) All campaign expenditures shall be made from the account.

(f) Subdivisions (d) and (e) do not apply to a candidate’s
payment for a filing fee and statement of qualifications from his
or her personal funds.

(g) This section does not apply to a candidate who will not
receive contributions and who makes expenditures from personal
funds of less than begin delete one thousand dollars ($1,000) end delete begin insert two thousand end insert
begin insert dollars ($2,000) end insert in a calendar year to support his or her candidacy.
For purposes of this section, a candidate’s payment for a filing fee
and statement of qualifications shall not be included in calculating
the total expenditures made.

(h) An individual who raises contributions from others for his
or her campaign, but who raises or spends less than begin delete one thousand end delete
begin delete dollars ($1,000) end delete begin insert two thousand dollars ($2,000) end insert in a calendar year,
and does not qualify as a committee under Section 82013, shall
establish a campaign contribution account pursuant to subdivision
(a), but is not required to file a committee statement of organization
pursuant to Section 84101 or other statement of bank account
information.

SEC. 11.  

Section 86119 is added to the Government Code, to
read:

86119.  

A registration or report filed with the Secretary of State
pursuant to this chapter shall be made available to the Commission
by the Secretary of State, upon request of the Commission.

SEC. 12.  

Section 89519 of the Government Code is amended
to read:

89519.  

(a) Upon begin insert the 90th day after end insert leaving any elected office,
or begin delete at end delete begin insert the 90th day following end insert the end of the postelection reporting
period following the defeat of a candidate for elective office,
whichever occurs last, campaign funds begin delete raised after January 1, 1989, end delete
under the control of the former candidate or elected officer shall
be considered surplus campaign funds and shall be disclosed
pursuant to Chapter 4 (commencing with Section 84100).

(b) Surplus campaign funds shall be used only for the following
purposes:

(1) The payment of outstanding campaign debts or elected
officer’s expenses.

(2) The repayment of contributions.

(3) Donations to any bona fide charitable, educational, civic,
religious, or similar tax-exempt, nonprofit organization, where no
substantial part of the proceeds will have a material financial effect
on the former candidate or elected officer, any member of his or
her immediate family, or his or her campaign treasurer.

(4) Contributions to a political party committee, provided the
campaign funds are not used to support or oppose candidates for
elective office. However, the campaign funds may be used by a
political party committee to conduct partisan voter registration,
partisan get-out-the-vote activities, and slate mailers as that term
is defined in Section 82048.3.

(5) Contributions to support or oppose any candidate for federal
office, any candidate for elective office in a state other than
California, or any ballot measure.

(6) The payment for professional services reasonably required
by the committee to assist in the performance of its administrative
functions, including payment for attorney’s fees for litigation which
arises directly out of a candidate’s or elected officer’s activities,
duties, or status as a candidate or elected officer, including, but
not limited to, an action to enjoin defamation, defense of an action
brought of a violation of state or local campaign, disclosure, or
election laws, and an action from an election contest or recount.

(c) For purposes of this section, the payment for, or the
reimbursement to the state of, the costs of installing and monitoring
an electronic security system in the home or office, or both, of a
candidate or elected officer who has received threats to his or her
physical safety shall be deemed an outstanding campaign debt or
elected officer’s expense, provided that the threats arise from his
or her activities, duties, or status as a candidate or elected officer
and that the threats have been reported to and verified by an
appropriate law enforcement agency. Verification shall be
determined solely by the law enforcement agency to which the
threat was reported. The candidate or elected officer shall report
any expenditure of campaign funds made pursuant to this section
to the begin delete commission end delete begin insert Commission end insert . The report to the begin delete commission end delete
begin insert Commission end insert shall include the date that the candidate or elected
officer informed the law enforcement agency of the threat, the
name and the telephone number of the law enforcement agency,
and a brief description of the threat. No more than five thousand
dollars ($5,000) in surplus campaign funds may be used,
cumulatively, by a candidate or elected officer pursuant to this
subdivision. Payments made pursuant to this subdivision shall be
made during the two years immediately following the date upon
which the campaign funds become surplus campaign funds. The
candidate or elected officer shall reimburse the surplus fund
account for the fair market value of the security system no later
than two years immediately following the date upon which the
campaign funds became surplus campaign funds. The campaign
funds become surplus campaign funds upon sale of the property
on which the system is installed, or prior to the closing of the
surplus campaign fund account, whichever comes first. The
electronic security system shall be the property of the campaign
committee of the candidate or elected officer.

SEC. 13.  

Section 90003 of the Government Code is amended
to read:

90003.  

begin delete In end delete begin insert (a) end insert begin insert   end insert begin insert In end insert addition to the audits and investigations
required by Section 90001, the Franchise Tax Board and the
begin delete commission end delete begin insert Commission end insert may make investigations and audits with
respect to any reports or statements required by Chapter 4
(commencing with Section 84100), Chapter 5 (commencing with
Section 85100), or Chapter 6 (commencing with Section 86100).

begin insert

(b) (1) Nothing in this chapter shall be construed to prohibit
the Commission from undertaking any audit authorized by this
section prior to the date of the election or prior to the date upon
which the report or statement is required to be filed. A candidate
or committee shall, during the audit, make all relevant records
available for immediate review by the Commission.

end insert begin insert

(2) A person who is subject to an audit authorized by this section
may contest the performance of the audit or an order issued by
the Commission as a result of an audit by seeking a writ of
mandate. Venue for the proceeding shall be exclusively in the
County of Sacramento. The action shall be given priority over all
other civil matters.

end insert begin insert

(3) In addition to any other remedies available to the
Commission, including injunctive relief pursuant to Section 91003,
the Commission may seek an injunction pursuant to Title 7
(commencing with Section 501) of Part 2 of the Code of Civil
Procedure to compel a person who is subject to an audit authorized
by this section to cooperate with the Commission in the
performance of the audit or to compel compliance with an order
of the Commission resulting from the audit. Notwithstanding any
other law, an appeal of an injunction issued in favor of the
Commission shall not result in a mandatory stay pending the
resolution of the appeal. A stay of an injunction pending resolution
of the appeal may be ordered at the discretion of the court issuing
the injunction.

end insert

SEC. 14.  

Section 90005 of the Government Code is amended
to read:

90005.  

No member, employee begin insert , end insert or agent of the Franchise Tax
Board begin insert or the Commission end insert shall divulge or make known in any
manner any particulars of any record, documents, or information
which he receives by virtue of this chapter, except in furtherance
of the work of the Franchise Tax Board or in connection with any
court proceeding or any lawful investigation of any agency.

SEC. 15.  

Section 91003 of the Government Code is amended
to read:

91003.  

(a) Any person residing in the jurisdiction begin insert , including end insert
begin insert the Commission, end insert may sue for injunctive relief to enjoin violations
or to compel compliance with the provisions of this title. The court
may in its discretion require any plaintiff other than the begin delete commission end delete
begin insert Commission end insert to file a complaint with the begin delete commission end delete begin insert Commission end insert
prior to seeking injunctive relief. The court may award to a plaintiff
or defendant who prevails his costs of litigation, including
reasonable attorney’s fees.

(b) Upon a preliminary showing in an action brought by a person
residing in the jurisdiction that a violation of Article 1
(commencing with Section 87100), Article 4 (commencing with
Section 87400), or Article 4.5 (commencing with Section 87450)
of Chapter 7 of this title or of a disqualification provision of a
Conflict of Interest Code has occurred, the court may restrain the
execution of any official action in relation to which such a violation
occurred, pending final adjudication. If it is ultimately determined
that a violation has occurred and that the official action might not
otherwise have been taken or approved, the court may set the
official action aside as void. The official actions covered by this
subsection include, but are not limited to orders, permits,
resolutions and contracts, but do not include the enactment of any
state legislation. In considering the granting of preliminary or
permanent relief under this subsection, the court shall accord due
weight to any injury that may be suffered by innocent persons
relying on the official action.

SEC. 16.  

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution for certain
costs that may be incurred by a local agency or school district
because, in that regard, this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.

However, if the Commission on State Mandates determines that
this act contains other costs mandated by the state, reimbursement
to local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division
4 of Title 2 of the Government Code.

SEC. 17.  

The Legislature finds and declares that this bill
furthers the purposes of the Political Reform Act of 1974 within
the meaning of subdivision (a) of Section 81012 of the Government
Code.