Amended in Assembly January 17, 2014

Amended in Assembly August 21, 2013

Amended in Assembly August 7, 2013

Amended in Assembly July 2, 2013

Amended in Senate May 6, 2013

Amended in Senate April 9, 2013

Senate BillNo. 27


Introduced by Senator Correa

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(Principal coauthor: Assembly Member Gordon)

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(Coauthor: Senator Pavley)

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December 3, 2012


An act to amend Section 9084 of the Elections Code, and to amend Sections 82015, 82048.7, 84105, and 88001 of, and to add Sections 84222 and 84223 to, the Government Code, relating to the Political Reform Act of 1974begin insert, and declaring the urgency thereof, to take effect immediatelyend insert.

LEGISLATIVE COUNSEL’S DIGEST

SB 27, as amended, Correa. Political Reform Act of 1974.

(1) Existing law, the Political Reform Act of 1974, provides for the comprehensive regulation of campaign financing, including requiring the reporting of campaign contributions and expenditures, as defined, and imposing other reporting and recordkeeping requirements on campaign committees, as defined. The Fair Political Practices Commission administers and enforces the act. A violation of the act’s provisions is punishable as a misdemeanor.

This bill would revise the definition of “contribution” to include certain payments made by a person to a multipurpose organization, as specified.

This bill would require multipurpose organizations that meet specified criteria to comply with the registration and campaign reporting requirements of the act, as specified, including the disclosure of information relating to the organization’s donors.

This bill would require state ballot measure committees and state candidate committees that raise $1,000,000 or more for an election to maintain an accurate list of the committee’s top 10 contributors. This bill would require a committee to provide accurate lists of these contributors to the Commission, and would require the Commission to post the top 10 contributor lists on its Internet Web site, as specified, and to post updates to those lists when prescribed events occur. The bill would require the Commission to provide copies of the top 10 contributor lists to the Secretary of State, at the Secretary of State’s request, for purposes of posting those lists on the Secretary of State’s Internet Web site.

(2) The act requires a candidate or committee that receives contributions of $5,000 or more from any person to inform the contributor within 2 weeks that he or she may be subject to the act’s reporting requirements.

This bill would require that the candidate or committee inform the contributor within one week for a contribution of $10,000 or more received during the period in which late contribution reports must be filed. The bill would also require the notifications to reference the reporting requirements for multipurpose organizations.

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

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(3) Existing law requires the Secretary of State to prepare a ballot pamphlet that includes specified information with respect to an election.

This bill would require the Secretary of State to include in the ballot pamphlet a written explanation of the top 10 contributor lists required by the bill, including a description of the Internet Web sites where those lists would be available to the public.

(4) 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 no reimbursement is required by this act for a specified reason.

(5) 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 23 vote of each house and compliance with specified procedural requirements.

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

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(6) This bill would declare that it is to take effect immediately as an urgency statute.

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The bill would delay the operative date of its provisions until July 1, 2014.

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Vote: 23. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

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

P3    1

SECTION 1.  

The Legislature finds and declares all of the
2following:

3(a) Multipurpose organizations, including out-of-state
4organizations, are increasing their political activities in California,
5and it is important to clarify how disclosure requirements apply
6to these organizations to ensure that the public receives the required
7information in an accurate, timely, and transparent manner.

8(b) The Ninth Circuit Court of Appeals, in California Pro-Life
9Council, Inc. v. Randolph (9th Cir. 2007) 507 F.3d 1172, upheld
10the disclosure of a multipurpose organization’s political activities,
11as required by regulations of the Fair Political Practices
12Commission.

13(c) The disclosure of donors to multipurpose organizations that
14make contributions or expenditures to support or oppose California
15candidates and ballot measures serves the following important
16purposes:

17(1) It provides the electorate with information as to where
18campaign money comes from, increasing its ability to identify the
19supporters of a candidate or ballot measure.

20(2) It deters actual corruption and avoids the appearance of
21corruption by providing increased transparency of contributions
22and expenditures.

23(3) It is an important means of gathering the information
24necessary to detect violations of the Political Reform Act of 1974.

25(d) The people of California have a compelling interest in
26 receiving clear and easy to use information about who is financing
P4    1state ballot measures and candidate independent expenditure
2committees.

3(e) It is therefore the intent of the Legislature to strengthen the
4laws requiring the disclosure of contributions and expenditures in
5California elections by multipurpose organizations and to require
6committees that raise or spend one million dollars ($1,000,000)
7or more to support or oppose state ballot measures or make
8independent expenditures on behalf of a state candidate to disclose
9a list of their top 10 contributors on the Internet Web site of the
10Fair Political Practices Commission.

11

SEC. 2.  

Section 9084 of the Elections Code is amended to read:

12

9084.  

The ballot pamphlet shall contain all of the following:

13(a) A complete copy of each state measure.

14(b) A copy of the specific constitutional or statutory provision,
15if any, that each state measure would repeal or revise.

16(c) A copy of the arguments and rebuttals for and against each
17state measure.

18(d) A copy of the analysis of each state measure.

19(e) Tables of contents, indexes, art work, graphics, and other
20materials that the Secretary of State determines will make the ballot
21pamphlet easier to understand or more useful for the average voter.

22(f) A notice, conspicuously printed on the cover of the ballot
23pamphlet, indicating that additional copies of the ballot pamphlet
24will be mailed by the county elections official upon request.

25(g) A written explanation of the judicial retention procedure as
26required by Section 9083.

27(h) The Voter Bill of Rights pursuant to Section 2300.

28(i) If the ballot contains an election for the office of United
29States Senator, information on candidates for United States Senator.
30A candidate for United States Senator may purchase the space to
31place a statement in the state ballot pamphlet that does not exceed
32250 words. The statement may not make any reference to any
33opponent of the candidate. The statement shall be submitted in
34accordance with timeframes and procedures set forth by the
35Secretary of State for the preparation of the state ballot pamphlet.

36(j) If the ballot contains a question on the confirmation or
37retention of a justice of the Supreme Court, information on justices
38of the Supreme Court who are subject to confirmation or retention.

39(k) If the ballot contains an election for the offices of President
40and Vice President of the United States, a notice that refers voters
P5    1to the Secretary of State’s Internet Web site for information about
2candidates for the offices of President and Vice President of the
3United States.

4(l) A written explanation of the appropriate election procedures
5for party-nominated, voter-nominated, and nonpartisan offices as
6required by Section 9083.5.

7(m) A written explanation of the top 10 contributor lists required
8by Section 84223 of the Government Code, including a description
9of the Internet Web sites where those lists are available to the
10public.

11

SEC. 3.  

Section 82015 of the Government Code is amended
12to read:

13

82015.  

(a) “Contribution” means a payment, a forgiveness of
14a loan, a payment of a loan by a third party, or an enforceable
15promise to make a payment except to the extent that full and
16adequate consideration is received, unless it is clear from the
17surrounding circumstances that it is not made for political purposes.

18(b) (1) A payment made at the behest of a committee as defined
19in subdivision (a) of Section 82013 is a contribution to the
20committee unless full and adequate consideration is received from
21the committee for making the payment.

22(2) A payment made at the behest of a candidate is a contribution
23to the candidate unless the criteria in either subparagraph (A) or
24(B) are satisfied:

25(A) Full and adequate consideration is received from the
26candidate.

27(B) It is clear from the surrounding circumstances that the
28payment was made for purposes unrelated to his or her candidacy
29for elective office. The following types of payments are presumed
30to be for purposes unrelated to a candidate’s candidacy for elective
31office:

32(i) A payment made principally for personal purposes, in which
33case it may be considered a gift under the provisions of Section
3482028. Payments that are otherwise subject to the limits of Section
3586203 are presumed to be principally for personal purposes.

36(ii) A payment made by a state, local, or federal governmental
37agency or by a nonprofit organization that is exempt from taxation
38under Section 501(c)(3) of the Internal Revenue Code.

39(iii) A payment not covered by clause (i), made principally for
40legislative, governmental, or charitable purposes, in which case it
P6    1is neither a gift nor a contribution. However, payments of this type
2that are made at the behest of a candidate who is an elected officer
3shall be reported within 30 days following the date on which the
4payment or payments equal or exceed five thousand dollars
5($5,000) in the aggregate from the same source in the same
6calendar year in which they are made. The report shall be filed by
7the elected officer with the elected officer’s agency and shall be
8a public record subject to inspection and copying pursuant to
9subdivision (a) of Section 81008. The report shall contain the
10following information: name of payor, address of payor, amount
11of the payment, date or dates the payment or payments were made,
12the name and address of the payee, a brief description of the goods
13or services provided or purchased, if any, and a description of the
14specific purpose or event for which the payment or payments were
15made. Once the five-thousand-dollar ($5,000) aggregate threshold
16from a single source has been reached for a calendar year, all
17payments for the calendar year made by that source must be
18disclosed within 30 days after the date the threshold was reached
19or the payment was made, whichever occurs later. Within 30 days
20after receipt of the report, state agencies shall forward a copy of
21these reports to the Fair Political Practices Commission, and local
22agencies shall forward a copy of these reports to the officer with
23whom elected officers of that agency file their campaign
24statements.

25(C) For purposes of subparagraph (B), a payment is made for
26purposes related to a candidate’s candidacy for elective office if
27all or a portion of the payment is used for election-related activities.
28For purposes of this subparagraph, “election-related activities”
29shall include, but are not limited to, the following:

30(i) Communications that contain express advocacy of the
31nomination or election of the candidate or the defeat of his or her
32opponent.

33(ii) Communications that contain reference to the candidate’s
34candidacy for elective office, the candidate’s election campaign,
35or the candidate’s or his or her opponent’s qualifications for
36elective office.

37(iii) Solicitation of contributions to the candidate or to third
38persons for use in support of the candidate or in opposition to his
39or her opponent.

P7    1(iv) Arranging, coordinating, developing, writing, distributing,
2preparing, or planning of any communication or activity described
3in clause (i), (ii), or (iii).

4(v) Recruiting or coordinating campaign activities of campaign
5volunteers on behalf of the candidate.

6(vi) Preparing campaign budgets.

7(vii) Preparing campaign finance disclosure statements.

8(viii) Communications directed to voters or potential voters as
9part of activities encouraging or assisting persons to vote if the
10communication contains express advocacy of the nomination or
11election of the candidate or the defeat of his or her opponent.

12(D) A contribution made at the behest of a candidate for a
13different candidate or to a committee not controlled by the
14behesting candidate is not a contribution to the behesting candidate.

15(3) A payment made at the behest of a member of the Public
16Utilities Commission, made principally for legislative,
17governmental, or charitable purposes, is not a contribution.
18However, payments of this type shall be reported within 30 days
19following the date on which the payment or payments equal or
20exceed five thousand dollars ($5,000) in the aggregate from the
21same source in the same calendar year in which they are made.
22The report shall be filed by the member with the Public Utilities
23Commission and shall be a public record subject to inspection and
24copying pursuant to subdivision (a) of Section 81008. The report
25shall contain the following information: name of payor, address
26of payor, amount of the payment, date or dates the payment or
27payments were made, the name and address of the payee, a brief
28description of the goods or services provided or purchased, if any,
29and a description of the specific purpose or event for which the
30payment or payments were made. Once the five-thousand-dollar
31 ($5,000) aggregate threshold from a single source has been reached
32for a calendar year, all payments for the calendar year made by
33that source must be disclosed within 30 days after the date the
34threshold was reached or the payment was made, whichever occurs
35later. Within 30 days after receipt of the report, the Public Utilities
36Commission shall forward a copy of these reports to the Fair
37Political Practices Commission.

38(c) “Contribution” includes the purchase of tickets for events
39such as dinners, luncheons, rallies, and similar fundraising events;
40the candidate’s own money or property used on behalf of his or
P8    1her candidacy other than personal funds of the candidate used to
2pay either a filing fee for a declaration of candidacy or a candidate
3statement prepared pursuant to Section 13307 of the Elections
4Code; the granting of discounts or rebates not extended to the
5public generally or the granting of discounts or rebates by television
6and radio stations and newspapers not extended on an equal basis
7to all candidates for the same office; the payment of compensation
8by any person for the personal services or expenses of any other
9person if the services are rendered or expenses incurred on behalf
10of a candidate or committee without payment of full and adequate
11consideration.

12(d) “Contribution” further includes any transfer of anything of
13value received by a committee from another committee, unless
14full and adequate consideration is received.

15(e) “Contribution” does not include amounts received pursuant
16to an enforceable promise to the extent those amounts have been
17previously reported as a contribution. However, the fact that those
18amounts have been received shall be indicated in the appropriate
19campaign statement.

20(f) “Contribution” does not include a payment made by an
21occupant of a home or office for costs related to any meeting or
22fundraising event held in the occupant’s home or office if the costs
23for the meeting or fundraising event are five hundred dollars ($500)
24or less.

25(g) Notwithstanding the foregoing definition of “contribution,”
26the term does not include volunteer personal services or payments
27made by any individual for his or her own travel expenses if the
28payments are made voluntarily without any understanding or
29agreement that they shall be, directly or indirectly, repaid to him
30or her.

31(h) “Contribution” further includes the payment of public
32moneys by a state or local governmental agency for a
33communication to the public that satisfies both of the following:

34(1) The communication expressly advocates the election or
35defeat of a clearly identified candidate or the qualification, passage,
36or defeat of a clearly identified measure, or, taken as a whole and
37in context, unambiguously urges a particular result in an election.

38(2) The communication is made at the behest of the affected
39candidate or committee.

P9    1(i) “Contribution” further includes a payment made by a person
2to a multipurpose organization as defined and described in Section
384222.

4

SEC. 4.  

Section 82048.7 of the Government Code is amended
5to read:

6

82048.7.  

(a) “Sponsored committee” means a committee, other
7than a candidate controlled committee, that has one or more
8sponsors. Any person, except a candidate or other individual, may
9sponsor a committee.

10(b) A person sponsors a committee if any of the following apply:

11(1) The committee receives 80 percent or more of its
12contributions from the person or its members, officers, employees,
13or shareholders.

14(2) The person collects contributions for the committee by use
15of payroll deductions or dues from its members, officers, or
16employees.

17(3) The person, alone or in combination with other organizations,
18provides all or nearly all of the administrative services for the
19committee.

20(4) The person, alone or in combination with other organizations,
21sets the policies for soliciting contributions or making expenditures
22of committee funds.

23(c) A sponsor that is a multipurpose organization, as defined in
24subdivision (a) of Section 84222, and that makes contributions or
25expenditures from its general treasury funds shall comply with
26Section 84222.

27

SEC. 5.  

Section 84105 of the Government Code is amended
28to read:

29

84105.  

A candidate or committee that receives contributions
30of five thousand dollars ($5,000) or more from any person shall
31inform the contributor within two weeks of receipt of the
32contributions that he or she may be required to file campaign
33reports, and shall include a reference to the filing requirements for
34multipurpose organizations under Section 84222. However, a
35candidate or committee that receives a contribution of ten thousand
36dollars ($10,000) or more from any person during any period in
37which late contribution reports are required to be filed pursuant to
38Section 84203 shall provide the information to the contributor
39within one week. The notification required by this section is not
40required to be sent to any contributor who has an identification
P10   1number assigned by the Secretary of State issued pursuant to
2 Section 84101.

3

SEC. 6.  

Section 84222 is added to the Government Code, to
4read:

5

84222.  

(a) For purposes of this title, “multipurpose
6organization” means an organization described in Sections
7501(c)(3) to 501(c)(10), inclusive, of the Internal Revenue Code
8and that is exempt from taxation under Section 501(a) of the
9Internal Revenue Code, a federal or out-of-state political
10organization, a trade association, a professional association, a civic
11organization, a religious organization, a fraternal society, an
12educational institution, or any other association or group of persons
13acting in concert, that is operating for purposes other than making
14contributions or expenditures. “Multipurpose organization” does
15not include a business entity, an individual, or a federal candidate’s
16authorized committee, as defined in Section 431 of Title 2 of the
17United States Code, that is registered and filing reports pursuant
18to the Federal Election Campaign Act of 1971begin insert (Public Law
1992-225)end insert
.

20(b) A multipurpose organization that makes expenditures or
21contributions and does not qualify as a committee pursuant to
22subdivision (c) may qualify as an independent expenditure
23committee or major donor committee if the multipurpose
24organization satisfies subdivision (b) or (c) of Section 82013.

25(c) Except as provided in subparagraph (A) of paragraph (5), a
26multipurpose organization is a recipient committee within the
27meaning of subdivision (a) of Section 82013 only under one or
28more of the following circumstances:

29(1) The multipurpose organization is a political committee
30registered with the Federal Election Commission, except as
31provided in subdivision (a) of this section, or a political committee
32registered with another state, and the multipurpose organization
33makes contributions or expenditures in this state in an amount
34equal to or greater than the amount identified in subdivision (a) of
35Section 82013.

36(2) The multipurpose organization solicits and receives payments
37from donors in an amount equal to or greater than the amount
38identified in subdivision (a) of Section 82013 for the purpose of
39making contributions or expenditures.

P11   1(3) The multipurpose organization accepts payments from
2donors in an amount equal to or greater than the amount identified
3in subdivision (a) of Section 82013 subject to a condition,
4agreement, or understanding with the donor that all or a portion
5of the payments may be used for making contributions or
6expenditures.

7(4) The multipurpose organization has existing funds from a
8donor and a subsequent agreement or understanding is reached
9with the donor that all or a portion of the funds may be used for
10making contributions or expenditures in an amount equal to or
11greater than the amount identified in subdivision (a) of Section
1282013. The date of the subsequent agreement or understanding is
13deemed to be the date of receipt of the payment.

14(5) The multipurpose organization makes contributions or
15expenditures totaling more than fifty thousand dollars ($50,000)
16in a period of 12 months or more than one hundred thousand dollars
17($100,000) in a period of four consecutive calendar years.

18(A) A multipurpose organization shall not qualify as a committee
19within the meaning of subdivision (a) of Section 82013 pursuant
20to this paragraph if the multipurpose organization makes
21contributions or expenditures using only available nondonor funds.
22A multipurpose organization that makes contributions or
23expenditures with nondonor funds shall briefly describe the source
24of the funds used on its major donor or independent expenditure
25report.

26(B) For purposes of this paragraph, “nondonor funds” means
27investment income, including capital gains, or income earned from
28providing goods, services, or facilities, whether related or unrelated
29to the multipurpose organization’s program, sale of assets, or other
30receipts that are not donations.

31(d) A multipurpose organization that is a committee pursuant
32to paragraph (1) of subdivision (c) shall comply with the
33registration and reporting requirements of this chapter, subject to
34the following:

35(1) The multipurpose organization is not required to comply
36with subdivision (k) of Section 84211 for contributions and
37expenditures made to influence federal or out-of-state elections,
38which shall instead be reported as a single expenditure and be
39described as such on the campaign statement.

P12   1(2) A multipurpose organization registered with the Federal
2Election Commission is not subject to subdivisions (d) and (f) of
3Section 84211 but shall disclose the total amount of contributions
4received pursuant to subdivision (a) of Section 84211, and shall
5disclose the multipurpose organization’s name and identification
6number registered with the Federal Election Commission on the
7campaign statement.

8(e) (1) A multipurpose organization that is a committee pursuant
9to paragraph (2), (3), (4), or (5) of subdivision (c) shall comply
10with the registration and reporting requirements of this chapter,
11subject to the following, except that if the multipurpose
12organization is the sponsor of a committee as described in
13subdivision (f) it may report required information on its sponsored
14committee statement pursuant to subdivision (f):

15(A) The multipurpose organization shall register in the calendar
16year in which it satisfies any of the criteria in subdivision (c). The
17statement of organization filed pursuant to Section 84101 shall
18indicate that the organization is filing pursuant to this section as
19a multipurpose organization and state the organization’s nonprofit
20tax exempt status, if any. The statement of organization shall also
21describe the organization’s mission or most significant activities,
22and describe the organization’s political activities. A multipurpose
23organization may comply with the requirement to describe the
24mission or significant activities and political activities by
25referencing where the organization’s Internal Revenue Service
26Return of Organization Exempt From Income Tax form may be
27accessed.

28(B) Except as provided in this subparagraph, the registration of
29a multipurpose organization that meets the criteria of paragraph
30(5) of subdivision (c) shall terminate automatically on December
3131 of the calendar year in which the multipurpose organization is
32registered. The multipurpose organization shall not be required to
33file a semiannual statement pursuant to subdivision (b) of Section
3484200, unless the multipurpose organization has undisclosed
35contributions or expenditures to report, in which case termination
36shall occur automatically upon filing the semiannual statement
37that is due no later than January 31. After the multipurpose
38organization’s registration has terminated, the multipurpose
39organization’s reporting obligations are complete, unless the
40organization qualifies as a committee for purposes of subdivision
P13   1(a) of Section 82013 again in the following calendar year pursuant
2to subdivision (c) of this section. Notwithstanding this subdivision,
3a multipurpose organization may elect to remain registered as a
4committee by submitting written notification to the Secretary of
5State prior to the end of the calendar year.

6(C) A multipurpose organization shall report all contributions
7received that satisfy the criteria of paragraph (2), (3), or (4) of
8subdivision (c) of this section in the manner required by subdivision
9(f) of Section 84211, and for the balance of its contributions or
10expenditures shall further report contributors based on a last in,
11first out accounting method.

12(2) A multipurpose organization reporting pursuant to this
13subdivision shall disclose total contributions received in an amount
14equal to the multipurpose organization’s total contributions and
15expenditures made in the reporting period. When a multipurpose
16organization reports donors based on the last in, first out accounting
17method, it shall attribute to and include the information required
18by subdivision (f) of Section 84211 for any donor who donates
19one thousand dollars ($1,000) or more in a calendar year, except
20for the following:

21(A) A donor who designates or restricts the donation for
22purposes other than contributions or expenditures.

23(B) A donor who prohibits the multipurpose organization’s use
24of its donation for contributions or expenditures.

25(C) A private foundation, as defined by subdivision (a) of
26Section 509 of the Internal Revenue Code, that provides a grant
27that does not constitute a taxable expenditure for purposes of
28paragraph (1) or (2) of subdivision (d) of Section 4945 of the
29Internal Revenue Code.

30(3) A multipurpose organization that qualifies as a committee
31pursuant to paragraph (5) of subdivision (c) shall not be required
32to include contributions or expenditures made in a prior calendar
33year on the reports filed for the calendar year in which the
34multipurpose organization qualifies as a committee.

35(4) A contributor identified and reported in the manner provided
36in subparagraph (C) of paragraph (1) that is a multipurpose
37 organization and receives contributions that satisfy the criteria in
38subdivision (c) shall be subject to the requirements of this
39subdivision.

P14   1(5) The commission shall adopt regulations establishing notice
2requirements and reasonable filing deadlines for donors reported
3as contributors based on the last in, first out accounting method.

4(f) A multipurpose organization that is the sponsor of a
5committee as defined in Section 82048.7, that is a membership
6organization, that makes all of its contributions and expenditures
7from funds derived from dues, assessments, fees, and similar
8payments that do not exceed ten thousand dollars ($10,000) per
9calendar year from a single source, and that elects to report its
10contributions and expenditures on its sponsored committee’s
11 campaign statement pursuant to paragraph (1) of subdivision (e)
12shall report as follows:

13(1) The sponsored committee shall report all contributions and
14expenditures made from the sponsor’s treasury funds on statements
15and reports filed by the committee. The sponsor shall use a last in,
16first out accounting method and disclose the information required
17by subdivision (f) of Section 84211 for any person who pays dues,
18assessments, fees, or similar payments of one thousand dollars
19($1,000) or more to the sponsor’s treasury funds in a calendar year
20and shall disclose all contributions and expenditures made, as
21required by subdivision (k) of Section 84211, on the sponsored
22committee’s campaign statements.

23(2) The sponsored committee shall report all other contributions
24and expenditures in support of the committee by the sponsor, its
25intermediate units, and the members of those entities. A sponsoring
26organization makes contributions and expenditures in support of
27its sponsored committee when it provides the committee with
28money from its treasury funds, with the exception of establishment
29or administrative costs. With respect to dues, assessments, fees,
30and similar payments channeled through the sponsor or an
31intermediate unit to a sponsored committee, the original source of
32the dues, assessments, fees, and similar payments is the contributor.

33(3) A responsible officer of the sponsor, as well as the treasurer
34of the sponsored committee, shall verify the committee’s campaign
35statement pursuant to Section 81004.

36(g) For purposes of this section, “last in, first out accounting
37method” means an accounting method by which contributions and
38expenditures are attributed to the multipurpose organization’s
39contributors in reverse chronological order beginning with the
40most recent of its contributors or, if there are any prior
P15   1contributions or expenditures, beginning with the most recent
2contributor for which unattributed contributions remain.

3

SEC. 7.  

Section 84223 is added to the Government Code, to
4read:

5

84223.  

(a) A committee primarily formed to support or oppose
6a state ballot measure or state candidate that raises one million
7dollars ($1,000,000) or more for an election shall maintain an
8accurate list of the committee’s top 10 contributors, as specified
9by Commission regulations. A current list of the top 10 contributors
10shall be provided to the Commission for disclosure on the
11Commission’s Internet Web site, as provided in subdivision (c).

12(b) (1) Except as provided in paragraph (4), the list of top 10
13contributors shall identify the names of the 10 persons who have
14made the largest cumulative contributions to the committee, the
15total amount of each person’s contributions, the city and state of
16the person, the person’s committee identification number, if any,
17and any other information deemed necessary by the Commission.
18If any of the top 10 contributors identified on the list are
19committees pursuant to subdivision (a) of Section 82013, the
20Commission may require, by regulation, that the list also identify
21the top 10 contributors to those contributing committees.

22(2) (A) A committee primarily formed to support or oppose a
23state ballot measure shall count the cumulative amount of
24contributions received by the committee from a person for the
25period beginning 12 months prior to the date the committee made
26its first expenditure to qualify, support, or oppose the measure and
27ending with the current date.

28(B) A committee primarily formed to support or oppose a state
29candidate shall count the cumulative amount of contributions
30received by the committee from a person for the primary and
31general elections combined.

32(3) The aggregation rules of Section 85311 and any
33implementing regulations adopted by the Commission shall apply
34in identifying the persons who have made the top 10 cumulative
35contributions to a committee.

36(4) A person who makes contributions to a committee in a
37cumulative amount of less than ten thousand dollars ($10,000)
38shall not be identified or disclosed as a top 10 contributor to a
39committee pursuant to this section.

P16   1(c) (1) The Commission shall adopt regulations to govern the
2manner in which the Commission shall display top 10 contributor
3lists provided by a committee that is subject to this section, and
4the Commission shall post the top 10 contributor lists on its Internet
5Web site in the manner prescribed by those regulations. The
6Commission shall provide the top 10 contributor lists to the
7Secretary of State, upon the request of the Secretary of State, for
8the purpose of additionally posting the contributor lists on the
9Secretary of State’s Internet Web site.

10(2) A committee shall provide an updated top 10 contributor
11list to the Commission when any of the following occurs:

12(A) A new person qualifies as a top 10 contributor to the
13committee.

14(B) A person who is an existing top 10 contributor makes
15additional contributions to the committee.

16(C) A change occurs that alters the relative ranking order of the
17top 10 contributors.

18(3) The 10 persons who have made the largest cumulative
19contributions to a committee shall be listed in order from largest
20contribution amount to smallest amount. If two or more
21contributors of identical amounts meet the threshold for inclusion
22in the list of top 10 contributors, the order of disclosure shall be
23made beginning with the most recent contributor of that amount.

24(4) The Commission shall post or update a top 10 contributor
25list within five business days or, during the 16 days before the
26election, within 48 hours of a contributor qualifying for the list or
27of any change to the list.

28(d) In listing the top 10 contributors, a committee shall use
29reasonable efforts to identify and state the actual individuals or
30corporations that are the true sources of the contributions made to
31the committee from other persons or committees.

32(e) In addition to any other lists that the Commission is required
33to post on its Internet Web site, the Commission shall compile,
34maintain, and display on its Internet Web site a current list of the
35top 10 contributors supporting and opposing each state ballot
36measure, as prescribed by Commission regulations.

37

SEC. 8.  

Section 88001 of the Government Code is amended
38to read:

39

88001.  

The ballot pamphlet shall contain all of the following:

40(a) A complete copy of each state measure.

P17   1(b) A copy of the specific constitutional or statutory provision,
2if any, that would be repealed or revised by each state measure.

3(c) A copy of the arguments and rebuttals for and against each
4state measure.

5(d) A copy of the analysis of each state measure.

6(e) Tables of contents, indexes, art work, graphics, and other
7materials that the Secretary of State determines will make the ballot
8pamphlet easier to understand or more useful for the average voter.

9(f) A notice, conspicuously printed on the cover of the ballot
10pamphlet, indicating that additional copies of the ballot pamphlet
11will be mailed by the county elections official upon request.

12(g) A written explanation of the judicial retention procedure as
13required by Section 9083 of the Elections Code.

14(h) The Voter Bill of Rights pursuant to Section 2300 of the
15Elections Code.

16(i) If the ballot contains an election for the office of United
17States Senator, information on candidates for United States Senator.
18A candidate for United States Senator may purchase the space to
19place a statement in the state ballot pamphlet that does not exceed
20250 words. The statement may not make any reference to any
21opponent of the candidate. The statement shall be submitted in
22accordance with timeframes and procedures set forth by the
23Secretary of State for the preparation of the state ballot pamphlet.

24(j) If the ballot contains a question as to the confirmation or
25retention of a justice of the Supreme Court, information on justices
26of the Supreme Court who are subject to confirmation or retention.

27(k) If the ballot contains an election for the offices of President
28and Vice President of the United States, a notice that refers voters
29to the Secretary of State’s Internet Web site for information about
30candidates for the offices of President and Vice President of the
31United States.

32(l) A written explanation of the appropriate election procedures
33for party-nominated, voter-nominated, and nonpartisan offices as
34required by Section 9083.5 of the Elections Code.

35(m) A written explanation of the top 10 contributor lists required
36by Section 84223, including a description of the Internet Web sites
37where those lists are available to the public.

38

SEC. 9.  

No reimbursement is required by this act pursuant to
39Section 6 of Article XIII B of the California Constitution because
40the only costs that may be incurred by a local agency or school
P18   1district will be incurred because this act creates a new crime or
2infraction, eliminates a crime or infraction, or changes the penalty
3for a crime or infraction, within the meaning of Section 17556 of
4the Government Code, or changes the definition of a crime within
5the meaning of Section 6 of Article XIII B of the California
6Constitution.

7begin insert

begin insertSEC. 10end insertbegin insert.end insert  

end insert
begin insert

Sections 1, 6, and 7 of this act shall become operative
8on July 1, 2014. The changes made to Section 9084 of the Elections
9Code by Section 2 of this act and the changes made to Sections
1082015, 82048.7, 84105, and 88001 of the Government Code by
11Sections 3, 4, 5, and 8 of this act shall become operative on July
121, 2014.

end insert
13

begin deleteSEC. 10.end delete
14begin insertSEC. 11.end insert  

The Legislature finds and declares that this bill
15furthers the purposes of the Political Reform Act of 1974 within
16the meaning of subdivision (a) of Section 81012 of the Government
17Code.

18begin insert

begin insertSEC. 12.end insert  

end insert
begin insert

This act is an urgency statute necessary for the
19immediate preservation of the public peace, health, or safety within
20the meaning of Article IV of the Constitution and shall go into
21immediate effect. The facts constituting the necessity are:

end insert
begin insert

22In order to implement these proposals at the earliest possible
23time prior to the 2014 General Election, it is necessary that this
24act take immediate effect.

end insert


O

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