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PAG LIN 1 1 Section 1. Section 56.13, subsection 1, unnumbered 1 2 paragraph 1, Code 1997, is amended to read as follows: 1 3 Action involving a contribution or expenditure which must 1 4 be reported under this chapter and which is taken by any 1 5 person, candidate's committee, or political committee on 1 6 behalf of a candidate, if known and approved by the candidate, 1 7 shall be deemed action by the candidate and reported by the 1 8 candidate's committee. If a restricted campaign exists 1 9 pursuant to section 56.32, such action shall be deemed action 1 10 by the candidate, shall be reported by the candidate's 1 11 committee, and shall be credited against the candidate's 1 12 expenditure or contribution limits pursuant to section 56.33 1 13 or 56.36. It shall be presumed that a candidate approves the 1 14 action if the candidate had knowledge of it and failed to file 1 15 a statement of disavowal with thecommissioner orboard and 1 16 take corrective action within seventy-two hours of the action. 1 17 A person, candidate's committee, or political committee 1 18 taking such action independently of that candidate's committee 1 19 shall notify that candidate's committee in writing within 1 20 twenty-four hours of taking the action. The notification 1 21 shall provide that candidate's committee with the cost of the 1 22 promotion at fair market value. A copy of the notification 1 23 shall be sent to the board. If a candidate files a statement 1 24 of disavowal, the board shall forward a copy of the statement 1 25 to the candidate's opponent. 1 26 Sec. 2. Section 56.14, subsection 1, Code 1997, is amended 1 27 by adding the following new paragraph: 1 28 NEW PARAGRAPH. d. In addition to the identification 1 29 required in this section, a candidate's committee of a 1 30 candidate who is not registered for a restricted campaign 1 31 pursuant to section 56.32 shall include, on all published 1 32 material, a statement, equal in size to the identification 1 33 information, that the candidate is not registered for a 1 34 restricted campaign. A similar disclaimer shall be included, 1 35 vocally, in all radio and television commercials purchased on 2 1 behalf of the candidate. Candidates who have not registered 2 2 for a restricted campaign shall state, on published material 2 3 or in commercials, as required by this paragraph, the 2 4 following: "(name of candidate) refused to limit campaign 2 5 spending." A candidate who is registered for a restricted 2 6 campaign may include in materials and commercials a similar 2 7 statement indicating the candidate's agreement to limit 2 8 expenditures. 2 9 Sec. 3. Sections 4 through 11 of this Act are created as a 2 10 new division of chapter 56. 2 11 Sec. 4. NEW SECTION. 56.31 DEFINITIONS. 2 12 As used in this division, unless the context requires 2 13 otherwise: 2 14 1. "Advocacy information" is material published or 2 15 broadcast which discusses public issues, candidates, or voting 2 16 records from which a reasonable person could draw a fair 2 17 inference that the material recommends the defeat or election 2 18 of an identifiable candidate in a restricted campaign. 2 19 2. "Benefited candidate" means a candidate in a restricted 2 20 campaign whose election is recommended or whose opponent's 2 21 defeat is recommended by advocacy information or by the fair 2 22 inferences drawn from the advocacy information by a reasonable 2 23 person as determined by the board. 2 24 3. "Eligible office" means the offices of state 2 25 representative, state senator, secretary of agriculture, 2 26 secretary of state, treasurer of state, auditor of state, 2 27 attorney general, and governor. The office of lieutenant 2 28 governor shall not be considered a separate eligible office 2 29 but shall be considered with the office of governor for 2 30 purposes of this division. 2 31 4. "Political action committee" means any political 2 32 committee except a county statutory political committee, a 2 33 state statutory political committee, a national political 2 34 party, or a nonparty political organization under chapter 44. 2 35 5. "Qualifying nomination" means a nomination by a 3 1 political party as defined by section 43.2, or a nomination 3 2 under chapter 44 or 45. 3 3 6. "Restricted campaign" means a campaign for an eligible 3 4 office in which there are two or more candidates with 3 5 qualifying nominations and all of those candidates have 3 6 registered with the board and voluntarily agreed to limit 3 7 campaign expenditures and contributions pursuant to sections 3 8 56.33 and 56.36. 3 9 Sec. 5. NEW SECTION. 56.32 REGISTRATION FOR A RESTRICTED 3 10 CAMPAIGN. 3 11 1. Each candidate for an eligible office shall register 3 12 with the board and shall indicate whether the candidate 3 13 voluntarily agrees to limit campaign expenditures and 3 14 contributions in a restricted campaign prior to or with the 3 15 filing of nomination papers pursuant to chapter 43, 44, or 45. 3 16 2. Notwithstanding section 43.20, the nomination petition 3 17 of a candidate who does not agree to a restricted campaign 3 18 must contain signatures of at least twenty percent of the 3 19 total number of votes cast in the last general election for 3 20 that office. A candidate nominated pursuant to section 43.66 3 21 who does not agree to a restricted campaign must file a 3 22 nomination petition within fifteen days of nomination 3 23 containing signatures of at least twenty percent of the total 3 24 number of votes cast in the last general election for that 3 25 office in order to be placed on the general election ballot. 3 26 A candidate who agrees to a restricted campaign and whose 3 27 opponent does not agree to a restricted campaign is not 3 28 required to obtain signatures under this section and is not 3 29 subject to the limitations on campaign expenditures or 3 30 contributions imposed in this division, but shall be 3 31 considered as a candidate who agreed to a restricted campaign 3 32 for all other purposes of this division. 3 33 3. Notwithstanding the dates required for filing 3 34 disclosure reports pursuant to section 56.6, a candidate who 3 35 does not agree to a restricted campaign pursuant to this 4 1 section shall file a disclosure report each month until June 4 2 30 of the year of the election. Beginning July 1 of the year 4 3 of the election, the candidate shall file a disclosure report 4 4 every fourteen days until the date of the general election. 4 5 After the date of election, the candidate shall file a 4 6 disclosure report each month until the candidate files 4 7 nomination papers for the same or another public office, or 4 8 closes the candidate's campaign account. 4 9 The commissioner shall publish with the publication of 4 10 notice of the election and the ballot pursuant to section 4 11 49.53, the names of candidates who agree and do not agree to a 4 12 restricted campaign using the following language where 4 13 applicable: "These candidates refused to limit their campaign 4 14 spending."; or "These candidates voluntarily agreed to limit 4 15 their campaign spending." 4 16 Sec. 6. NEW SECTION. 56.33 RESTRICTED CAMPAIGNS – 4 17 LIMITS ON EXPENDITURES. 4 18 If a restricted campaign exists, the candidate's committees 4 19 of those candidates with qualifying nominations to eligible 4 20 offices are subject to the following limits on expenditures: 4 21 1. Governor. Total expenditure limit, five hundred 4 22 thousand dollars in a primary election if there is no primary 4 23 opponent, one million dollars in a primary election if there 4 24 is a primary opponent, and one million five hundred thousand 4 25 dollars in a general election. 4 26 2. Attorney general, secretary of agriculture, secretary 4 27 of state, treasurer of state, and auditor of state. Total 4 28 expenditure limit, fifty thousand dollars in a primary 4 29 election if there is no primary opponent, one hundred thousand 4 30 dollars in a primary election if there is a primary opponent, 4 31 and one hundred thousand dollars in a general election. 4 32 3. State senator. Total expenditure limit, ten thousand 4 33 dollars in a primary election if there is no primary opponent, 4 34 twenty-five thousand dollars in a primary election if there is 4 35 a primary opponent, and twenty-five thousand dollars in a 5 1 general election. 5 2 4. State representative. Total expenditure limit, five 5 3 thousand dollars in a primary election if there is no primary 5 4 opponent, fifteen thousand dollars in a primary election if 5 5 there is a primary opponent, and fifteen thousand dollars in a 5 6 general election. 5 7 For purposes of this division, an expenditure occurs at the 5 8 time of performance and not at the time of payment. 5 9 Actions involving an expenditure taken on behalf of a 5 10 candidate in a restricted campaign shall be accepted, 5 11 reported, and credited against the limits of this section, or 5 12 disavowed pursuant to section 56.13. Actions taken by a 5 13 county or state statutory political committee or a national 5 14 political party which benefit the political party generally 5 15 and which benefit more than one candidate shall not be 5 16 considered as expenditures under this division. 5 17 The board shall, by July 1 in each odd-numbered year, 5 18 adjust the limitations on expenditures to reflect any increase 5 19 in the consumer price index as published in the federal 5 20 register by the United States department of labor, bureau of 5 21 labor statistics. 5 22 Sec. 7. NEW SECTION. 56.34 PERIODS THE EXPENDITURE 5 23 LIMITS ARE IN EFFECT. 5 24 If a restricted campaign exists, the limitations of section 5 25 56.33 apply to expenses incurred during the following periods: 5 26 1. During an even-numbered year, from the date the 5 27 candidate or the candidate's treasurer files a statement of 5 28 organization as required by section 56.5, or from the date the 5 29 candidate or the candidate's designee files an affidavit of 5 30 candidacy with the state commissioner of elections, whichever 5 31 date is earlier, through the date of the general election for 5 32 that office. 5 33 2. During a special election, from the date the candidate 5 34 or the candidate's treasurer files a statement of organization 5 35 as required by section 56.5, or from the date the candidate or 6 1 the candidate's designee files an affidavit of candidacy with 6 2 the state commissioner of elections, whichever date is 6 3 earlier, through the date of the special election for that 6 4 office. 6 5 Sec. 8. NEW SECTION. 56.35 ADJUSTMENTS FOR BENEFITED 6 6 CANDIDATES AND OPPONENTS. 6 7 1. A person or political committee which causes the 6 8 publication, mass mailing, or broadcast of advocacy 6 9 information in a restricted campaign shall give notice to the 6 10 board and to the benefited candidate. The notice shall be 6 11 given by certified restricted mail within twenty-four hours 6 12 after the publication, mailing, or broadcast of the advocacy 6 13 information and be accompanied by the text of the advocacy 6 14 information and the amount of the publication, mailing, or 6 15 broadcasting expenditures. 6 16 2. The benefited candidate shall notify the board within 6 17 seventy-two hours of receipt of notice given pursuant to 6 18 subsection 1 whether the candidate accepts or disavows the 6 19 expenditure. If the candidate accepts the expenditure, the 6 20 expenditure shall be credited against the candidate's 6 21 expenditure limit. If the candidate files a statement of 6 22 disavowal, the board shall forward a copy of the statement to 6 23 the candidate's opponent. 6 24 3. For the purposes of this section, a benefited candidate 6 25 may claim up to the following amounts of aggregate disavowed 6 26 expenditures without review by the board: 6 27 a. Five hundred dollars for a benefited candidate for the 6 28 general assembly. 6 29 b. One thousand dollars for a benefited candidate for a 6 30 statewide office other than governor. 6 31 c. Five thousand dollars for a benefited candidate for 6 32 governor. 6 33 4. If the aggregate disavowed expenditures regarding a 6 34 benefited candidate exceed the amounts provided in subsection 6 35 3, the board shall review all material disavowed by the 7 1 candidate and determine if a reasonable person would or would 7 2 not draw a fair inference that the material assists the 7 3 election of the benefited candidate or the defeat of an 7 4 opposing candidate. However, the board shall not review a 7 5 disavowed expenditure more than once after the candidate has 7 6 exceeded the limits in subsection 3. If the board determines 7 7 that a candidate is benefited, the board shall attribute the 7 8 disavowed expenditure to the expenditure limits of the 7 9 benefited candidate and shall do one of the following: 7 10 increase the benefited candidate's opponent's expenditure 7 11 limits by the amount of the disavowed expenditures attributed 7 12 to the benefited candidate or eliminate the expenditure limit 7 13 of the benefited candidate's opponent for that election 7 14 period. 7 15 5. The board by rule may delegate decisions under 7 16 subsection 4 to a panel of three members of the board. If 7 17 delegated, the decisions of the panel constitute final agency 7 18 action for the purposes of chapter 17A. Notwithstanding 7 19 section 17A.19, a petition for judicial review of a decision 7 20 under this section shall be filed only in Polk county district 7 21 court, the court shall not stay the increase or elimination of 7 22 the limits for the candidates opposing the benefited candidate 7 23 pending the outcome of the judicial review proceeding, the 7 24 petitioner has only two days after filing to provide notice or 7 25 copies to the other parties, and the proceeding shall receive 7 26 the highest priority among the cases before the district 7 27 court. 7 28 6. The decisions under subsection 4 shall be made within 7 29 two days of the board's receipt of the benefited candidate's 7 30 disavowal of any expenditure which exceeds the limits in 7 31 subsection 3 and the benefited candidate and opponents shall 7 32 be promptly notified. 7 33 7. Advocacy information caused by a county or state 7 34 statutory political committee or a national political party 7 35 which benefits the political party generally and which 8 1 benefits more than one candidate are not subject to the 8 2 requirements of this section. 8 3 Sec. 9. NEW SECTION. 56.36 RESTRICTED CAMPAIGNS – 8 4 LIMITS ON ACCEPTANCE OF CONTRIBUTIONS. 8 5 If a restricted campaign exists, the acceptance of 8 6 contributions by candidates for the following offices from 8 7 political action committees and individuals is subject to the 8 8 following limitations: 8 9 1. Governor. 8 10 a. Total political action committee contributions, thirty- 8 11 five percent of the candidate's applicable expenditure limit 8 12 in a primary election, and thirty-five percent of the 8 13 candidate's expenditure limit in a general election. 8 14 b. Largest political action committee contribution, five 8 15 thousand dollars. 8 16 c. Largest individual contribution, excluding 8 17 contributions made by a candidate to the candidate's own 8 18 campaign, one thousand dollars. 8 19 2. Attorney general, secretary of agriculture, secretary 8 20 of state, treasurer of state, and auditor of state. 8 21 a. Total political action committee contributions, thirty- 8 22 five percent of the candidate's applicable expenditure limit 8 23 in a primary election, and thirty-five percent of the 8 24 candidate's expenditure limit in a general election. 8 25 b. Largest political action committee contribution, five 8 26 thousand dollars. 8 27 c. Largest individual contribution, excluding 8 28 contributions made by a candidate to the candidate's own 8 29 campaign, one thousand dollars. 8 30 3. State senator. 8 31 a. Total political action committee contributions, thirty- 8 32 five percent of the candidate's applicable expenditure limit 8 33 in a primary election, and thirty-five percent of the 8 34 candidate's expenditure limit in a general election. 8 35 b. Largest political action committee contribution, one 9 1 thousand dollars. 9 2 c. Largest individual contribution, excluding 9 3 contributions made by a candidate to the candidate's own 9 4 campaign, five hundred dollars. 9 5 4. State representative. 9 6 a. Total political action committee contributions, thirty- 9 7 five percent of the candidate's applicable expenditure limit 9 8 in a primary election, and thirty-five percent of the 9 9 candidate's expenditure limit in a general election. 9 10 b. Largest political action committee contribution, one 9 11 thousand dollars. 9 12 c. Largest individual contribution, excluding 9 13 contributions made by the candidate to the candidate's own 9 14 campaign, five hundred dollars. 9 15 5. Individual contributions to the candidate or 9 16 candidate's committee made by one individual of a cumulative 9 17 value of one hundred dollars or more shall be reported to the 9 18 board, including the name, address, occupation, and place of 9 19 business of the contributor. 9 20 Sec. 10. NEW SECTION. 56.37 PENALTIES. 9 21 1. A candidate who voluntarily agrees to a restricted 9 22 campaign, and who exceeds the expenditure or contribution 9 23 limitations in this division, shall be subject to a fine which 9 24 is based on the amount by which the candidate exceeds 9 25 permitted expenditures or contributions, so that the candidate 9 26 shall pay a percentage of the excess campaign expenditures or 9 27 contributions as follows: 9 28 a. Governor. Under two thousand dollars, one percent; two 9 29 thousand to ten thousand dollars, ten percent; ten thousand 9 30 one to twenty thousand dollars, twenty-five percent; over 9 31 twenty thousand dollars, fifty percent. 9 32 b. Attorney general, secretary of agriculture, secretary 9 33 of state, treasurer of state, and auditor of state. Under one 9 34 thousand dollars, one percent; one thousand to five thousand 9 35 dollars, ten percent; five thousand one to ten thousand 10 1 dollars, twenty-five percent; over ten thousand dollars, fifty 10 2 percent. 10 3 c. State senator. Under five hundred dollars, one 10 4 percent; five hundred to one thousand dollars, ten percent; 10 5 one thousand one to five thousand dollars, twenty-five 10 6 percent; over five thousand dollars, fifty percent. 10 7 d. State representative. Under two hundred fifty dollars, 10 8 one percent; two hundred fifty to five hundred dollars, ten 10 9 percent; five hundred one to two thousand five hundred 10 10 dollars, twenty-five percent; over two thousand five hundred 10 11 dollars, fifty percent. 10 12 Fines collected pursuant to this section shall be paid to 10 13 the state political party of the violating candidate's 10 14 opponent. 10 15 2. Mileage expenses of the candidate, at a rate determined 10 16 pursuant to section 2.10, are not subject to the expenditure 10 17 limits of section 56.33. 10 18 3. Except as provided in subsection 4, the criminal 10 19 penalty of section 56.16 applies to violations of this 10 20 division. 10 21 4. A candidate who knowingly and intentionally violates 10 22 the expenditure or contribution limits of section 56.33 or 10 23 section 56.36 is, upon conviction, guilty of a class "D" 10 24 felony, but is only subject to a fine and is not subject to 10 25 imprisonment, notwithstanding the provisions of section 902.9. 10 26 A candidate shall not take the oath of office pending 10 27 conviction or acquittal, following trial, on charges brought 10 28 under this subsection, and a candidate is disqualified from 10 29 holding office upon conviction obtained pursuant to this 10 30 subsection. 10 31 Sec. 11. NEW SECTION. 56.38 ATTRIBUTION OF SPECIFIC 10 32 CONTRIBUTIONS. 10 33 When all general assembly members are invited to an event 10 34 registered with the board, the costs associated with such an 10 35 event shall be considered a contribution under this chapter, 11 1 and not a gift under chapter 68B. Event sponsors shall 11 2 disclose the costs of the event to the board and provide a 11 3 signed log of general assembly members attending the event. 11 4 The board shall attribute the proportionate cost to each 11 5 member of the general assembly who signs the log at the event, 11 6 who shall not be required to disclose individually such 11 7 contributions on the disclosure forms filed with the board. 11 8 Sec. 12. Sections 13 through 18 of this Act are created as 11 9 a new division of chapter 56. 11 10 Sec. 13. NEW SECTION. 56.50 DEFINITIONS. 11 11 As used in this division, unless the context otherwise 11 12 requires: 11 13 1. "Board" means the truth in campaign practices board. 11 14 2. "Candidate" means a person who has taken affirmative 11 15 action to seek nomination or election to a state legislative 11 16 office or to the office of governor, lieutenant governor, 11 17 secretary of state, auditor of state, treasurer of state, 11 18 attorney general, or secretary of agriculture. 11 19 3. "Candidate's committee" means a candidate's committee 11 20 as defined in section 56.2. 11 21 4. "Negative statement" means a statement which attacks 11 22 the record, reputation, or integrity of a candidate or which 11 23 attacks the reputation or integrity of a member of a 11 24 candidate's immediate family. For purposes of this chapter, a 11 25 candidate's spouse, children, parents, and siblings are 11 26 members of a candidate's immediate family. 11 27 5. "Political organization" means an organization which is 11 28 not a political party but which meets the criteria established 11 29 under section 44.1 for nomination of candidates. 11 30 6. "Political party" means a political party under section 11 31 43.2. 11 32 7. "Statement" means a public written, electronic, or oral 11 33 communication which is made or transmitted by any means. For 11 34 purposes of this section, a communication is public if it is 11 35 made or transmitted in a manner that can be reasonably 12 1 expected to result in the statement being heard, read, or 12 2 viewed by members of the general public. 12 3 Sec. 14. NEW SECTION. 56.51 STATEMENTS BY OR ABOUT 12 4 CANDIDATES. 12 5 1. A candidate shall not make or cause to be made 12 6 untruthful or deliberately misleading statements regarding an 12 7 opposing candidate. For purposes of this section, a statement 12 8 shall be deemed to have been caused by a candidate if it is 12 9 made by a candidate's designated spokesperson, if it is 12 10 contained in materials produced or paid for by the candidate's 12 11 committee, or if it is contained in materials imputed to a 12 12 candidate under section 56.13. 12 13 2. A person who is not a candidate shall not knowingly 12 14 make untruthful or deliberately misleading statements about a 12 15 candidate. 12 16 3. If a candidate or candidate's committee pays for or 12 17 sponsors an oral negative statement about a candidate, the 12 18 statement shall be made by the candidate. For purposes of 12 19 this section, a statement which is imputed to a candidate 12 20 under section 56.13 is not sponsored by a candidate or 12 21 candidate's committee. 12 22 Sec. 15. NEW SECTION. 56.52 TRUTH IN CAMPAIGN PRACTICES 12 23 BOARD. 12 24 1. A three-member truth in campaign practices board is 12 25 established as an independent agency to investigate, review, 12 26 and determine the truthfulness or deliberately misleading 12 27 nature of statements made by candidates and other persons in 12 28 support or opposition of a candidate, as well as to 12 29 investigate negative statements made about candidates. 12 30 Members of the board shall be appointed by the chief justice 12 31 of the supreme court. Two members of the board shall be 12 32 affiliated with one of the two political parties whose 12 33 candidates for president of the United States or for governor, 12 34 as the case may be, received the largest and next largest 12 35 number of votes at the last general election but neither shall 13 1 be affiliated with the same political party. The other member 13 2 shall not be affiliated with a political party, but may be 13 3 affiliated with a political organization. 13 4 2. Members shall serve staggered four-year terms, which 13 5 shall begin at 12:01 a.m. on May 1 in the year of appointment 13 6 and end at 12:00 midnight on April 30 in the year of 13 7 expiration. A vacancy on the board shall be filled by 13 8 appointment for the unexpired portion of the term, within 13 9 ninety days of the vacancy and in accordance with the 13 10 procedures for regular appointments. A member of the board 13 11 may be reappointed to serve additional terms on the board. 13 12 Members may be removed in the same manner as provided in 13 13 section 69.15 except that once a vacancy or resignation 13 14 occurs, the governor shall notify the chief justice of the 13 15 supreme court, who shall make another appointment. 13 16 3. The board shall annually elect one member to serve as 13 17 the chairperson of the board and one member to serve as vice 13 18 chairperson. The vice chairperson shall act as the 13 19 chairperson in the absence or disability of the chairperson, 13 20 or in the event of a vacancy in that office. 13 21 4. Members of the board shall receive a per diem as 13 22 specified in section 7E.6 while conducting business of the 13 23 board, and payment of actual and necessary expenses incurred 13 24 in the performance of their duties. Members of the board 13 25 shall file statements of financial interest under section 13 26 68B.35. 13 27 5. The board shall employ a full-time executive director 13 28 who shall be the board's chief administrative officer. The 13 29 board shall employ or contract for the employment of legal 13 30 counsel notwithstanding section 13.7, and may employ any other 13 31 personnel as may be necessary to carry out the duties of the 13 32 board. The board's legal counsel shall be the chief legal 13 33 officer of the board, and shall advise the board on all legal 13 34 matters relating to the administration of this division. The 13 35 state may be represented by the board's legal counsel in any 14 1 civil action regarding the enforcement of this division or, at 14 2 the board's request, the state may be represented by the 14 3 office of the attorney general. Notwithstanding section 14 4 19A.3, all of the board's employees, except for the executive 14 5 director and legal counsel, shall be employed subject to the 14 6 merit system provisions of chapter 19A. 14 7 Sec. 16. NEW SECTION. 56.53 DUTIES OF THE BOARD. 14 8 The duties of the board shall include, but are not limited 14 9 to, all of the following: 14 10 1. Adopt rules pursuant to chapter 17A and conduct 14 11 investigations and hearings pursuant to section 56.54 and 14 12 chapter 17A, as necessary to carry out the purposes of this 14 13 division. 14 14 2. Adopt rules pursuant to chapter 17A establishing 14 15 standards for truthfulness and avoidance of making 14 16 deliberately misleading statements in campaign advertising by 14 17 candidates under this division and requiring candidates to 14 18 personally utter negative statements about candidates if the 14 19 statement is paid for by the candidate or candidate's 14 20 committee. 14 21 3. Develop, prescribe, and furnish any forms necessary for 14 22 the implementation of the procedures contained in this 14 23 division for the filing and hearing of complaints or the 14 24 issuance of advisory opinions. 14 25 4. Establish and impose penalties and any other 14 26 recommendations for punishment of persons who are subject to 14 27 penalties or punishment by the board for failure to comply 14 28 with the requirements of this division. 14 29 5. Determine, in case of dispute, at what time a person 14 30 has become a candidate. 14 31 6. Preserve copies of complaints, requests, and other 14 32 information filed with the board for a period of at least five 14 33 years from the date of receipt. 14 34 7. Establish a procedure for requesting and issuing formal 14 35 and informal board advisory opinions to candidates and 15 1 representatives of political parties and political 15 2 organizations. Following advice contained in a formal board 15 3 advisory opinion shall constitute a defense to a complaint 15 4 based upon the same facts and circumstances which is filed 15 5 with the board and which alleges a violation of this division 15 6 or rules of the board. 15 7 8. Establish a procedure for informing candidates and 15 8 other persons of the requirements of this division and rules 15 9 adopted by the board. 15 10 9. Establish fees, where necessary, to cover the costs 15 11 associated with preparing, printing, and distributing 15 12 materials to persons subject to the authority of the board. 15 13 Sec. 17. NEW SECTION. 56.54 COMPLAINTS – INVESTIGATIONS 15 14 – HEARINGS. 15 15 1. A candidate, a representative of a candidate's 15 16 committee, or a representative of a political party or 15 17 political organization may file a complaint with the board 15 18 regarding the truthfulness or deliberately misleading nature 15 19 of any statement made or caused to be made by a candidate or 15 20 alleging that a candidate or candidate's committee has paid 15 21 for or sponsored an oral negative statement which was made by 15 22 someone other than the candidate. For purposes of this 15 23 section, a statement is caused to be made by a candidate if it 15 24 is made by a candidate's designated spokesperson, is contained 15 25 in materials produced or paid for by the candidate's 15 26 committee, as defined under this chapter, or if it is action 15 27 or is a part of action which has been imputed to the candidate 15 28 under section 56.13. 15 29 2. A complaint shall include all of the following: 15 30 a. The name and address of the complainant. 15 31 b. If the allegation is that an untruthful or deliberately 15 32 misleading statement was made, a recitation of the statement 15 33 alleged to be untruthful or deliberately misleading. 15 34 c. If the allegation is that a negative statement was paid 15 35 for or sponsored by a candidate or candidate's committee and 16 1 was made by a person other than the candidate, a recitation of 16 2 the negative statement. 16 3 d. To the extent known, the time and place or manner in 16 4 which the statement was made. 16 5 e. If the statement complained of was made in writing, a 16 6 copy of the statement. 16 7 f. If the allegation is that an untruthful or deliberately 16 8 misleading statement was made, any circumstances, other than 16 9 the express language of the statement, which cause the 16 10 statement to be untruthful or deliberately misleading. 16 11 g. The name and address, if known, of the candidate or 16 12 other person who made the statement. 16 13 h. If the allegation is that an untruthful or deliberately 16 14 misleading statement was made, a statement of why or how the 16 15 statement complained of is untruthful or deliberately 16 16 misleading. 16 17 i. A certification by the complainant under penalty of 16 18 perjury that the facts stated to be true are true to the best 16 19 of the complainant's knowledge. 16 20 j. Any other relevant information or sources of 16 21 information. 16 22 3. The board staff and legal counsel shall review the 16 23 complaint to determine if the complaint is sufficient as to 16 24 form and legal substance. Deficiency as to form shall not 16 25 preclude consideration of a complaint. If the complaint is 16 26 legally deficient, the complaint shall be returned to the 16 27 complainant with a statement of the deficiency and shall not 16 28 be considered by the board until the deficiency is cured. A 16 29 legally sufficient complaint must meet all of the following 16 30 requirements: 16 31 a. Facts must be alleged that would establish either that 16 32 a candidate made or caused to be made an untruthful or 16 33 deliberately misleading statement about an opposing candidate 16 34 or that a candidate caused an oral negative statement to be 16 35 made by someone other than the candidate. 17 1 b. The person making the complaint must be a candidate or 17 2 a representative of a political party or political 17 3 organization. 17 4 c. If the allegation is that an untruthful or deliberately 17 5 misleading statement was made, the complaint must indicate why 17 6 or demonstrate how the statement is untruthful or deliberately 17 7 misleading. 17 8 d. The complaint must be filed within sixty days from the 17 9 date on which the statement that is complained of was made. 17 10 4. Upon receiving a legally sufficient complaint, the 17 11 board shall investigate or cause the investigation of the 17 12 facts alleged in the complaint. Once the investigation is 17 13 completed, the board shall meet and make a determination as to 17 14 whether the statement violates the requirements of this 17 15 division or rules adopted by the board. The meeting shall be 17 16 conducted in the manner provided for contested cases under 17 17 chapter 17A. However, a preponderance of evidence shall be 17 18 required to support a finding that a statement is untruthful 17 19 or deliberately misleading. In addition to holding meetings 17 20 at which two or more members are physically present, meetings 17 21 may be held electronically as provided under section 21.8. 17 22 Notwithstanding section 21.4, subsection 2, public notice of a 17 23 meeting of the board shall be made at a reasonable time before 17 24 the meeting, but no later than eight hours before the time set 17 25 for the meeting to begin. 17 26 5. The board shall render its decision within forty-eight 17 27 hours of receiving a legally valid complaint. If the forty- 17 28 eight-hour period concludes on a weekend or holiday, the 17 29 decision shall be made by the close of business hours on the 17 30 next succeeding business day. If the board finds that the 17 31 statement complained of was untruthful or deliberately 17 32 misleading or that an oral negative statement was made by 17 33 someone other than a candidate and was paid for by the 17 34 candidate or candidate's committee, the board's decision shall 17 35 include an order for any remedy, under section 56.55, that the 18 1 board deems appropriate. 18 2 6. At any stage during the investigation or after the 18 3 filing of a complaint, the board may approve a settlement 18 4 regarding an allegedly untruthful or deliberately misleading 18 5 statement or negative statement made by someone other than a 18 6 candidate. Terms of a settlement shall be reduced to writing 18 7 and be available for public inspection. In addition, the 18 8 board may authorize board staff to seek information regarding 18 9 routine matters brought to the attention of the board or its 18 10 staff. 18 11 7. A complaint shall be a public record. The entire 18 12 record of the board's action, including any investigation, 18 13 shall also be a public record. 18 14 Sec. 18. NEW SECTION. 56.55 REMEDIES. 18 15 1. If the board finds that a candidate or other person has 18 16 made or caused to be made an untruthful or deliberately 18 17 misleading statement, the board shall require a retraction of 18 18 the statement by any person found to be responsible for making 18 19 the statement or causing the statement to be made, within a 18 20 period of time to be specified by the board, in the same 18 21 manner and at the same cost as the original statement. Any 18 22 retraction shall be approved by the board before it is made 18 23 public. The board shall inform the complainant of any 18 24 proposed retraction and permit the complainant to submit 18 25 comments prior to the board's decision on approval or 18 26 disapproval of the proposed language. 18 27 2. For any violations of this division or rules adopted by 18 28 the board, the board may impose one or more of the following 18 29 penalties: 18 30 a. Issue an order requiring the person to cease and desist 18 31 from the actions constituting the violation. 18 32 b. Issue an order requiring the violator to take any 18 33 remedial action deemed appropriate by the board. 18 34 c. Publicly reprimand the violator for violations of this 18 35 division or rules adopted by the board. 19 1 d. Issue an order requiring the violator to pay a civil 19 2 penalty of not more than fifty thousand dollars for each 19 3 violation of this division or rules adopted by the board, to 19 4 be deposited in the Iowa election campaign fund. 19 5 3. If a person fails to comply with an order of the board 19 6 under this section, the board may petition the district court 19 7 for an order for enforcement of the order of the board. 19 8 Judicial enforcement of orders of the board shall be sought in 19 9 accordance with chapter 17A. 19 10 4. At any stage in a proceeding, the board may refer the 19 11 complaint and supporting information to the attorney general 19 12 or appropriate county attorney with a recommendation for 19 13 prosecution or enforcement of criminal penalties. 19 14 Sec. 19. ANTISEVERABILITY CLAUSE. Notwithstanding Code 19 15 section 4.12, if Code section 56.32, or Code section 56.35, 19 16 subsection 3 or 4, or Code section 56.37, subsection 3, or the 19 17 application thereof, is invalid, this Act as a whole shall be 19 18 invalid. 19 19 Sec. 20. SEVERABILITY CLAUSE. Notwithstanding other 19 20 sections of this Act, if any of sections 13 through 18 of this 19 21 Act, or the application of any of those sections, is declared 19 22 unconstitutional, the invalidity shall not affect the 19 23 provisions or application of this Act which can be given 19 24 effect without the invalid provisions or application, and to 19 25 this end, sections 13 through 18 are severable from this Act. 19 26 Sec. 21. EFFECTIVE DATE. This Act, except sections 13 19 27 through 18, takes effect January 1, 1998. Sections 13 through 19 28 18 of this Act, being deemed of immediate importance, take 19 29 effect upon enactment. 19 30 EXPLANATION 19 31 This bill amends Code chapter 56, relating to regulation of 19 32 political campaigns. The bill adds a new division to Code 19 33 chapter 56, allowing candidates for statewide office, as 19 34 specified in Code section 56.31, subsection 3, to register 19 35 with the Iowa ethics and campaign disclosure board and thereby 20 1 agree to voluntarily limit campaign contributions and 20 2 expenditures. 20 3 Expenditure limits are contained in Code section 56.33, and 20 4 contribution limits are contained in section 56.36. 20 5 Independent expenditures may be attributed to a candidate 20 6 according to Code sections 56.35 and 56.13. Candidates who do 20 7 not agree to these limitations will be identified through 20 8 publication by the election commissioner, pursuant to Code 20 9 section 56.32, and, pursuant to Code section 56.14, must 20 10 include a disclaimer in all material published or broadcast on 20 11 behalf of the candidate which notifies the public of the 20 12 candidate's refusal to agree to the spending limits. 20 13 Candidates who agree to but exceed the limitations will be 20 14 subject to penalties under Code section 56.37. 20 15 This bill also adds a new division to Code chapter 56 20 16 relating to truth in campaign practices. The division 20 17 requires a candidate to make only truthful statements during 20 18 campaigns and requires oral negative statements paid for or 20 19 sponsored by a candidate or candidate's committee to be made 20 20 by the candidate. New Code section 56.52 establishes a truth 20 21 in campaign practices board to investigate violations and 20 22 impose penalties. Remedies available to the board are set 20 23 forth in Code section 56.55. 20 24 The bill contains both an antiseverability clause 20 25 pertaining to certain sections of the bill, and a severability 20 26 clause pertaining to other sections of the bill. The bill 20 27 also provides for an immediate effective date for the 20 28 provisions relating to truth in campaign practices and an 20 29 effective date of January 1, 1998, for the other provisions of 20 30 the bill. 20 31 LSB 2006XS 77 20 32 jls/cf/24.1
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