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1 1 Section 1. NEW SECTION. 56.5B LIMITATIONS ON
1 2 CONTRIBUTIONS.
1 3 1. A political committee shall not make contributions
1 4 that, during any election campaign cycle, in the aggregate
1 5 exceed the following:
1 6 a. Two thousand dollars to any candidate or candidate's
1 7 committee for a statewide office.
1 8 b. Five hundred dollars to any candidate or candidate's
1 9 committee for the Iowa senate.
1 10 c. Two hundred fifty dollars to any candidate or
1 11 candidate's committee for the Iowa house of representatives.
1 12 2. A candidate or candidate's committee shall not
1 13 knowingly accept any contribution in violation of this
1 14 section.
1 15 3. For purposes of this section:
1 16 a. "Political committee" shall not include a state
1 17 statutory political committee, county statutory political
1 18 committee, city statutory political committee, or national
1 19 political party.
1 20 b. "Election campaign cycle" means the period of time
1 21 between any general or special election commencing on the day
1 22 following the previous election for that office and continuing
1 23 through election day.
1 24 c. "Statewide office" means the office of any of the state
1 25 officers listed in section 39.9.
1 26 4. This section shall not apply to the following:
1 27 a. Contributions to Iowa candidates for the United States
1 28 senate or house of representatives, or to any other candidate
1 29 for federal office.
1 30 b. Transfers of campaign funds made pursuant to section
1 31 56.42.
1 32 Sec. 2. NEW SECTION. 56.6A VOLUNTARY LIMITS ON
1 33 CONTRIBUTIONS AND EXPENDITURES.
1 34 1. A candidate for the general assembly may file a
1 35 declaration of limitation on expenditures pursuant to section
2 1 56.6B, certifying that the candidate and the candidate's
2 2 committee will not do any of the following:
2 3 a. Make expenditures during an election campaign cycle
2 4 exceeding the following amounts:
2 5 (1) Fifty thousand dollars for a candidate for the senate.
2 6 (2) Twenty-five thousand dollars for a candidate for the
2 7 house of representatives.
2 8 b. Accept direct contributions from a state, county, or
2 9 city statutory political committee or a national political
2 10 party.
2 11 2. A candidate who has filed a declaration of limitation
2 12 on expenditures pursuant to section 56.6B shall not be bound
2 13 by the declaration if any opposing candidate for the same
2 14 office has not filed a declaration of limitation on
2 15 expenditures pursuant to section 56.6B, or has filed a
2 16 declaration but has made expenditures exceeding the applicable
2 17 limit.
2 18 3. For the purposes of this section and sections 56.6B and
2 19 56.6C:
2 20 a. "Expenditures" shall include all amounts reported in
2 21 disclosure reports pursuant to section 56.6, subsection 3,
2 22 paragraph "g", as well as any amounts attributed to a
2 23 candidate pursuant to section 56.13.
2 24 b. "Election campaign cycle" means the period of time
2 25 between any general or special election commencing on the day
2 26 following the previous election for that office, and
2 27 continuing through election day.
2 28 Sec. 3. NEW SECTION. 56.6B DECLARATION OF LIMITATION ON
2 29 EXPENDITURES.
2 30 1. A declaration of limitation on expenditures shall meet
2 31 the requirements of section 56.6A, subsection 1, and shall
2 32 include the signature of the candidate.
2 33 2. A declaration of limitation on expenditures shall be
2 34 filed with the board no later than the date upon which the
2 35 candidate makes a filing pursuant to section 43.11, 44.1, or
3 1 45.4 to have the candidate's name placed on a ballot for
3 2 election to public office.
3 3 3. Once a declaration of limitation on expenditures has
3 4 been filed, a candidate's expenditures may be challenged
3 5 pursuant to the procedure in section 68B.32B. Notwithstanding
3 6 the requirements of that section, the board shall, within
3 7 twenty-four hours of the filing of a complaint, determine
3 8 whether there is probable cause to believe the existence of
3 9 facts that would establish an unreported expenditure, an
3 10 improperly reported expenditure, or aggregate expenditures
3 11 exceeding the applicable limit. The board shall proceed with
3 12 the remainder of the complaint procedure only upon a finding
3 13 of probable cause.
3 14 4. a. A finding by the board that a candidate has
3 15 exceeded the applicable expenditure limit shall not subject
3 16 the candidate to any criminal penalty under this chapter, but
3 17 shall release the candidate's opponent from any obligation to
3 18 comply with that candidate's own declaration of limitation of
3 19 expenditures.
3 20 b. A finding by the board that the candidate has not
3 21 reported or has improperly reported an expenditure shall
3 22 result in appropriate adjustment of the candidate's reported
3 23 expenditures, and may subject the candidate to penalties
3 24 pursuant to section 56.16.
3 25 Sec. 4. NEW SECTION. 56.6C TAX CREDIT FOR QUALIFIED
3 26 CONTRIBUTIONS.
3 27 A credit against taxes pursuant to section 422.12,
3 28 subsection 4, shall be allowed for a contribution to a
3 29 candidate for an office representing the legislative district
3 30 in which the contributor permanently resided at the time the
3 31 contribution was made who has filed a declaration of
3 32 limitation on expenditures pursuant to section 56.6B, not to
3 33 exceed one hundred dollars per person per qualified candidate.
3 34 Upon request by the state, the contributor shall substantiate
3 35 the claimed credit with an official receipt from the
4 1 candidate's committee to which a contribution was made.
4 2 Sec. 5. NEW SECTION. 56.14A FALSE INFORMATION IN
4 3 POLITICAL MATERIAL.
4 4 1. A person shall not be a sponsor of any published
4 5 material on behalf of or in opposition to any candidate or
4 6 ballot issue that contains any assertion, representation, or
4 7 statement of fact, including, but not limited to, information
4 8 concerning a candidate's prior public record, which the
4 9 sponsor knows to be untrue, deceptive, or misleading.
4 10 2. For purposes of this section, "published material"
4 11 means statements or graphic representations made through any
4 12 public medium which includes, but is not limited to, any of
4 13 the following:
4 14 a. Electronic media such as live or prerecorded radio or
4 15 television broadcasts, broadcasts or transmissions through
4 16 other publicly available electronic communications, and video
4 17 or audio tape recordings which are publicly distributed.
4 18 b. Print media, such as newspapers, pamphlets, folders,
4 19 display cards, signs, posters, or billboard advertisements.
4 20 c. Any other methods or mediums designed for publicly
4 21 advertising or publishing information.
4 22 3. For purposes of this section, "sponsor" means a person
4 23 who pays for or approves published material and shall include
4 24 a candidate or committee which knows and approves of an
4 25 independent expenditure made by another person under section
4 26 56.13.
4 27 Sec. 6. Section 56.42, subsection 2, Code 1997, is amended
4 28 to read as follows:
4 29 2. a. If an unexpended balance of campaign funds remains
4 30 in the committee's account when a candidate's committee
4 31 dissolves, the unexpended balance shall be transferred
4 32 pursuant to subsection 1.
4 33 b. If an unexpended balance of campaign funds remains in
4 34 the account of a candidate's committee for at least seven
4 35 years after the candidate's last day of service in a public
5 1 office, the unexpended balance shall be transferred pursuant
5 2 to subsection 1, paragraph "b".
5 3 Sec. 7. Section 422.12, Code 1997, is amended by adding
5 4 the following new subsection:
5 5 NEW SUBSECTION. 4. A tax credit for qualified political
5 6 contributions pursuant to section 56.6C.
5 7 Sec. 8. CAMPAIGN FINANCE COMMISSION. The campaign finance
5 8 commission is established to study the laws relating to the
5 9 financing of elections for office and to recommend reforms in
5 10 these laws, according to the following:
5 11 1. Appointment. The commission shall be composed of seven
5 12 members, bipartisan and gender-balanced in accordance with
5 13 sections 69.16 and 69.16A, and appointed as follows:
5 14 a. Three members shall be the state chairs of each of the
5 15 political parties, as defined in section 43.2, or their
5 16 designees.
5 17 b. Four members shall be jointly appointed by the majority
5 18 and minority leaders of the house and senate. These members
5 19 shall be appointed from nonpartisan organizations which have
5 20 researched, studied, and advocated the issue of political
5 21 campaign finance reform for fifteen years or more, or who are
5 22 specially qualified to serve on the commission because of
5 23 training or experience.
5 24 c. The commission shall elect a chair and vice-chair at
5 25 its first meetings.
5 26 2. Terms. The members of the commission shall serve for
5 27 the life of the commission.
5 28 3. Vacancies. A vacancy in the commission shall be filled
5 29 in the manner in which the original appointment was made.
5 30 Sec. 9. POWERS AND DUTIES OF THE COMMISSION.
5 31 1. Hearings. The commission may hold hearings which shall
5 32 be open and announced in advance to the public, take
5 33 testimony, and receive evidence as the commission considers
5 34 appropriate. Activities of the commission shall be held in
5 35 accordance with chapter 21.
6 1 The commission shall hold at least one hearing in each
6 2 congressional district within the state specifically to obtain
6 3 public input on the issue of campaign finance reform.
6 4 2. Quorum. Four members of the commission shall
6 5 constitute a quorum, but a lesser number may hold hearings.
6 6 3. Report. Not later than December 15, 1997, the
6 7 commission shall submit to the general assembly a report of
6 8 the activities of the commission, together with a draft of
6 9 legislation recommended by the commission to reform the laws
6 10 regarding the financing of political campaigns for
6 11 consideration by the general assembly in 1998 according to the
6 12 provisions of this Act.
6 13 4. Matters to be considered. In holding hearings and
6 14 preparing the report required under subsection 3, the
6 15 commission shall consider all issues related to campaign
6 16 finance reform, including, but not limited to expenditure
6 17 limits, expenditure and contribution disclosure, contribution
6 18 limits by individuals and committees, soft money, independent
6 19 expenditures, and negative campaigning. The commission may
6 20 secure directly from any department or agency such information
6 21 as the commission considers necessary, and the department or
6 22 agency shall promptly furnish such information to the
6 23 commission.
6 24 5. Staffing. Assistance shall be provided to the
6 25 commission by the central nonpartisan legislative staff
6 26 bureaus. The commission may utilize the services of the
6 27 legislative service bureau in formulating a draft of
6 28 legislation. The attorney general's office and the ethics and
6 29 campaign disclosure board shall serve as consultants, and
6 30 advise the commission as necessary.
6 31 Sec. 10. FAST-TRACK PROCEDURE.
6 32 1. The legislation drafted by the commission shall be
6 33 filed with each chamber on the first day of the 1998
6 34 legislative session, and immediately assigned to the committee
6 35 on state government in each chamber.
7 1 2. Each committee on state government shall have no more
7 2 than one week from the first day of the legislative session to
7 3 review the legislation. If approved by the committee, the
7 4 legislation shall immediately be placed on the calendar for
7 5 consideration by the full chamber. The legislation must be
7 6 approved or rejected by both chambers within thirty days of
7 7 the first day of the 1998 legislative session.
7 8 3. No amendment to the draft legislation shall be in order
7 9 in either chamber of the general assembly, either in committee
7 10 or on the floor. No motion to suspend the application of
7 11 these rules shall be in order in either chamber of the general
7 12 assembly, either in committee or on the floor.
7 13 4. All time periods under this section shall be calculated
7 14 according to calendar days. Weekends and days when the
7 15 general assembly is not in session shall be included in any
7 16 calculation.
7 17 Sec. 11. TERMINATION. The commission shall cease to exist
7 18 one month after the submission of its report under section 9
7 19 of this Act.
7 20 EXPLANATION
7 21 This bill relates to campaign finance.
7 22 New Code section 56.5B is created to set a limit on
7 23 contributions by political committees to certain political
7 24 campaigns. Limits apply to candidates for statewide offices
7 25 and the general assembly during each election campaign cycle,
7 26 which is defined as the period of time from a general or
7 27 special election until the next election day for that office.
7 28 Statutory political committees and national political parties
7 29 are not subject to these limits. Violation of these
7 30 provisions is a serious misdemeanor under Code section 56.16.
7 31 New Code section 56.6A provides for voluntary expenditure
7 32 limits in political campaigns by candidates for the general
7 33 assembly. Under new Code section 56.6C, persons who
7 34 contribute to a candidate for the general assembly who is
7 35 running in the person's legislative district and who has filed
8 1 a declaration of limitation on expenditures may claim a tax
8 2 credit of up to $100 per qualified candidate. A conforming
8 3 amendment is made to Code section 422.12 regarding the tax
8 4 credit. Under new Code section 56.6B expenditures may be
8 5 challenged pursuant to the procedure in Code section 68B.32B
8 6 by complaints to the Iowa ethics and campaign disclosure
8 7 board. A complaint challenging an expenditure must be
8 8 assessed by the board within 24 hours of the filing of the
8 9 complaint for probable cause that the expenditure was
8 10 unreported, improperly reported, or caused the candidate to
8 11 exceed the applicable limit. A finding that a candidate has
8 12 exceeded an applicable limit will release the candidate's
8 13 opponent from an obligation to comply with that candidate's
8 14 own declaration of limitation on expenditures.
8 15 New Code section 56.14A is created to prohibit published
8 16 material, on behalf of or in opposition to any candidate or
8 17 ballot issue, that contains information that the sponsor knows
8 18 to be untrue, deceptive, or misleading. "Published material"
8 19 is defined to include public statements or graphic
8 20 representations made through various forms of print,
8 21 electronic, or other mediums. A person who willfully violates
8 22 any of the requirements or prohibitions contained in chapter
8 23 56 is guilty of a serious misdemeanor, subject to a penalty of
8 24 a fine of at least $250 but not to exceed $1,500, and may also
8 25 include imprisonment of not more than one year.
8 26 Code section 56.42 is amended to permit a transfer of funds
8 27 remaining in a candidate's account to a national, state, or
8 28 local political party after the candidate has not served in
8 29 public office for seven years.
8 30 Finally, the bill creates a campaign finance commission to
8 31 review issues related to campaign finance reform, to prepare a
8 32 report to be submitted to the legislature by December 15,
8 33 1997, and to prepare draft reform legislation. The members of
8 34 the commission are composed of the three chairs of the state
8 35 political parties, and four representatives of nonpartisan
9 1 organizations that have studied and advocated campaign finance
9 2 reform. Public hearings shall be held in each congressional
9 3 district. The bill also provides for fast-track consideration
9 4 of the draft legislation by the general assembly. Both
9 5 chambers must debate and vote on the legislation, without any
9 6 amendment, within 30 days of the start of the 1998 legislative
9 7 session.
9 8 LSB 1923SV 77
9 9 jls/jj/8
Text: SF00519 Text: SF00521 Text: SF00500 - SF00599 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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