House File 571 - Introduced



                                       HOUSE FILE       
                                       BY  FALLON


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act establishing an Iowa clean election Act and fund,
  2    providing penalties, and providing effective and retroactive
  3    applicability dates.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 1304HH 81
  6 jr/pj/5

PAG LIN



  1  1    Section 1.  NEW SECTION.  68A.801  CITATION AND PURPOSE.
  1  2    This subchapter may be known and cited as the "Iowa Clean
  1  3 Election Act".  This subchapter establishes an alternative
  1  4 campaign financing option available to candidates running for
  1  5 statewide office or the general assembly.  This alternative
  1  6 campaign financing option is available to candidates for
  1  7 elections to be held beginning in the year 2006.  The Iowa
  1  8 ethics and campaign disclosure board shall administer this Act
  1  9 and the fund.  Candidates participating in the Iowa clean
  1 10 election Act must also comply with all other applicable
  1 11 election and campaign laws and rules.
  1 12    Sec. 2.  NEW SECTION.  68A.802  DEFINITIONS.
  1 13    As used in this subchapter, unless the context otherwise
  1 14 indicates, the following terms have the following meanings:
  1 15    1.  "Certified candidate" means a candidate running for
  1 16 statewide office or the general assembly who chooses to
  1 17 participate in the Iowa clean election Act and who is
  1 18 certified as an Iowa clean election Act candidate.
  1 19    2.  "Contribution" means the same as in section 68B.102.
  1 20    3.  "Fund" means the Iowa clean election fund established
  1 21 in section 68A.803.
  1 22    4.  "Nonparticipating candidate" means a candidate running
  1 23 for statewide office or the general assembly who does not
  1 24 choose to participate in the Iowa clean election Act or who is
  1 25 not seeking to be certified as an Iowa clean election Act
  1 26 candidate.
  1 27    5.  "Participating candidate" means a candidate who is
  1 28 running for statewide office or the general assembly who is
  1 29 seeking to be certified as an Iowa clean election Act
  1 30 candidate.
  1 31    6.  "Qualifying contribution" means a donation meeting all
  1 32 of the following requirements:
  1 33    a.  Made in the amount of five dollars in the form of a
  1 34 check, money order, credit card, or debit card payable to the
  1 35 fund in support of a specific candidate.
  2  1    b.  Made by a registered voter within the jurisdiction for
  2  2 the office a candidate is seeking.
  2  3    c.  Made during the designated qualifying period with the
  2  4 knowledge and approval of the candidate.
  2  5    d.  That is acknowledged by a written receipt that
  2  6 identifies the name and address of the donor on forms provided
  2  7 by the board.
  2  8    7.  "Qualifying period" means the following:
  2  9    a.  For a participating candidate seeking statewide office,
  2 10 the qualifying period begins November 1 immediately preceding
  2 11 an election year and ends at five p.m. on April 15 of the
  2 12 election year, unless the candidate is not a candidate of a
  2 13 political party, as that term is defined in section 43.2, in
  2 14 which case the period ends at five p.m. on June 2 of the
  2 15 election year.
  2 16    b.  For a participating candidate seeking election to the
  2 17 general assembly, the qualifying period begins January 1 of
  2 18 the election year and ends at five p.m. on April 15 of that
  2 19 election year, unless the candidate is not a candidate of a
  2 20 political party, as that term is defined in section 43.2, in
  2 21 which case the period ends at five p.m. on June 2 of that
  2 22 election year.
  2 23    8.  "Seed money contribution" means a contribution of no
  2 24 more than one hundred dollars per individual made to a
  2 25 candidate, including a contribution from the candidate or the
  2 26 candidate's family.  To be eligible for certification, a
  2 27 candidate may collect and spend only seed money contributions
  2 28 subsequent to becoming a candidate and throughout the
  2 29 qualifying period.  A candidate shall not collect or spend
  2 30 seed money contributions after certification as an Iowa clean
  2 31 election Act candidate.  A seed money contribution must be
  2 32 reported according to rules adopted by the board.
  2 33    Sec. 3.  NEW SECTION.  68A.803  IOWA CLEAN ELECTION FUND
  2 34 ESTABLISHED == SOURCES OF FUNDING.
  2 35    1.  FUND ESTABLISHED.  An Iowa clean election fund is
  3  1 established in the office of the state treasurer under the
  3  2 control of the board for the purposes of financing the
  3  3 election campaigns of certified Iowa clean election Act
  3  4 candidates running for statewide office or the general
  3  5 assembly and paying the administrative and enforcement costs
  3  6 of the board related to this subchapter.  Notwithstanding
  3  7 section 8.33, moneys appropriated to the fund and moneys
  3  8 remaining in the fund at the end of a fiscal year shall not
  3  9 revert to the general fund of the state.
  3 10    2.  SOURCES OF FUNDING.  All of the following must be
  3 11 deposited in the fund:
  3 12    a.  The qualifying contributions when those contributions
  3 13 are submitted to the board.
  3 14    b.  Any moneys appropriated to the fund by the general
  3 15 assembly.  If the board determines that the fund will not have
  3 16 sufficient revenues to cover the likely demand for moneys from
  3 17 the fund in an upcoming calendar year, the board shall report
  3 18 by January 1 its projections of the balances in the fund to
  3 19 the general assembly and the governor.
  3 20    c.  Revenues from the Iowa clean election fund tax checkoff
  3 21 provided for in section 422.12G.
  3 22    d.  Seed money contributions remaining unspent after a
  3 23 candidate has been certified as an Iowa clean election Act
  3 24 candidate.
  3 25    e.  Fund moneys that were distributed to an Iowa clean
  3 26 election Act candidate and that remain unspent after the
  3 27 candidate has lost a primary election or after the general
  3 28 election.
  3 29    f.  Other unspent fund moneys distributed to any Iowa clean
  3 30 election Act candidate who does not remain a candidate
  3 31 throughout a primary or general election cycle.
  3 32    g.  Voluntary donations made directly to the fund.
  3 33    h.  Civil penalties collected under section 68B.32D,
  3 34 section 1, paragraph "h", or section 68A.806.
  3 35    3.  DETERMINATION OF FUND AMOUNT.  By September 1 preceding
  4  1 each election year, the board shall publish an estimate of
  4  2 moneys in the fund available for distribution to certified
  4  3 candidates during the upcoming year's elections and an
  4  4 estimate of the likely demand for fund moneys during that
  4  5 election.  The board may submit proposed legislation to
  4  6 request additional funding.
  4  7    Sec. 4.  NEW SECTION.  68A.804  TERMS OF PARTICIPATION.
  4  8    1.  DECLARATION OF INTENT.  A participating candidate must
  4  9 file a declaration of intent to seek certification as an Iowa
  4 10 clean election Act candidate and to comply with the
  4 11 requirements of this subchapter.  The declaration of intent
  4 12 must be filed with the board prior to or during the qualifying
  4 13 period, except as provided in subsection 10, according to
  4 14 forms and procedures developed by the board.  A participating
  4 15 candidate must submit a declaration of intent prior to
  4 16 collecting qualifying contributions under this subchapter.
  4 17    2.  RESTRICTIONS ON CONTRIBUTIONS FOR PARTICIPATING
  4 18 CANDIDATES.  Subsequent to becoming a candidate and prior to
  4 19 certification, a participating candidate shall not accept
  4 20 contributions, except for seed money contributions.  A
  4 21 participating candidate must limit the candidate's seed money
  4 22 contributions to the following amounts:
  4 23    a.  One hundred thousand dollars for a candidate for
  4 24 statewide office.
  4 25    b.  Five thousand dollars for a candidate for the state
  4 26 senate.
  4 27    c.  Two thousand five hundred dollars for a candidate for
  4 28 the state house of representatives.
  4 29    3.  QUALIFYING CONTRIBUTIONS.  Participating candidates
  4 30 must obtain qualifying contributions during the qualifying
  4 31 period as follows:
  4 32    a.  For a candidate for statewide office, at least two
  4 33 thousand five hundred registered voters of this state must
  4 34 support the candidacy by making a qualifying contribution to
  4 35 that candidate.
  5  1    b.  For a candidate for the state senate, at least two
  5  2 hundred registered voters from the candidate's district must
  5  3 support the candidacy by making a qualifying contribution to
  5  4 that candidate.
  5  5    c.  For a candidate for the state house of representatives,
  5  6 at least one hundred registered voters from the candidate's
  5  7 district must support the candidacy by making a qualifying
  5  8 contribution to that candidate.
  5  9    A payment, gift, or anything of value shall not be given in
  5 10 exchange for a qualifying contribution.  A candidate may pay
  5 11 the fee for a money order which is a qualifying contribution,
  5 12 as long as the donor making the qualifying contribution pays
  5 13 the full five dollar amount reflected on the money order.  Any
  5 14 money order fees paid by a participating candidate must be
  5 15 paid for with seed money and reported in accordance with board
  5 16 rules.
  5 17    4.  FILING WITH BOARD.  A participating candidate must
  5 18 submit qualifying contributions to the board during the
  5 19 qualifying period according to procedures developed by the
  5 20 board, except as provided under subsection 10.
  5 21    5.  CERTIFICATION OF IOWA CLEAN ELECTION ACT CANDIDATES.
  5 22 Upon receipt of a final submittal of qualifying contributions
  5 23 by a participating candidate, the board shall determine
  5 24 whether or not the candidate has done all of the following:
  5 25    a.  Signed and filed a declaration of intent to participate
  5 26 as an Iowa clean election Act candidate.
  5 27    b.  Submitted the appropriate number of valid qualifying
  5 28 contributions.
  5 29    c.  Qualified as a candidate as provided by law.
  5 30    d.  Not accepted contributions, except for seed money
  5 31 contributions, and otherwise complied with seed money
  5 32 restrictions.
  5 33    e.  Not run for the same office as a nonparticipating
  5 34 candidate in a primary election in the same election year.
  5 35    f.  Otherwise met the requirements for participation as an
  6  1 Iowa clean election Act candidate.
  6  2    The board shall certify a candidate complying with the
  6  3 requirements of this section as an Iowa clean election Act
  6  4 candidate as soon as possible and no later than three days
  6  5 after final submittal of qualifying contributions.  Upon
  6  6 certification, a candidate must transfer to the fund any
  6  7 unspent seed money contributions.  A certified candidate must
  6  8 comply with all requirements of this subchapter after
  6  9 certification and throughout the primary and general election
  6 10 periods.
  6 11    6.  RESTRICTIONS ON CONTRIBUTIONS AND EXPENDITURES FOR
  6 12 CERTIFIED CANDIDATES.  After certification, a candidate must
  6 13 limit the candidate's campaign expenditures and obligations,
  6 14 including outstanding obligations, to the moneys distributed
  6 15 to the candidate from the fund and shall not accept any
  6 16 contributions unless specifically authorized by the board.
  6 17 All revenues distributed to certified candidates from the fund
  6 18 must be used for campaign=related purposes.  The board shall
  6 19 adopt rules establishing permissible campaign=related
  6 20 expenditures.
  6 21    7.  TIMING OF FUND DISTRIBUTION.  The board shall
  6 22 distribute to certified candidates moneys from the fund in
  6 23 amounts determined under subsection 8 in the following manner:
  6 24    a.  Within three days after certification, for candidates
  6 25 certified prior to March 15 of the election year, moneys from
  6 26 the fund must be distributed as if the candidates are in an
  6 27 uncontested primary election.
  6 28    b.  Within three days after certification, for all
  6 29 candidates certified between March 15 and April 15 of the
  6 30 election year, moneys from the fund must be distributed
  6 31 according to whether the candidate is in a contested or
  6 32 uncontested primary election.
  6 33    c.  For candidates in contested primary elections receiving
  6 34 a distribution under paragraph "a", additional moneys from the
  6 35 fund must be distributed within three days of March 15 of the
  7  1 election year.
  7  2    d.  Within three days after the primary election results
  7  3 are certified, for general election certified candidates,
  7  4 moneys from the fund must be distributed according to whether
  7  5 the candidate is in a contested or uncontested general
  7  6 election.
  7  7    8.  AMOUNT OF FUND DISTRIBUTION.  At least every four years
  7  8 the board shall determine the amount of funds to be
  7  9 distributed, subject to available funding, to participating
  7 10 candidates based on the type of election and office as
  7 11 follows:
  7 12    a.  For contested legislative primary elections, the amount
  7 13 of moneys to be distributed is the average amount of campaign
  7 14 expenditures made by each candidate during all contested
  7 15 primary election races for the immediately preceding two
  7 16 primary elections, as reported in the initial filing period
  7 17 subsequent to the primary election, for the respective offices
  7 18 of state senate and state house of representatives.
  7 19    b.  For uncontested legislative primary elections, the
  7 20 amount of moneys distributed is the average amount of campaign
  7 21 expenditures made by each candidate during all uncontested
  7 22 primary election races for the immediately preceding two
  7 23 primary elections, as reported in the initial filing period
  7 24 subsequent to the primary election, for the respective offices
  7 25 of state senate and state house of representatives.
  7 26    c.  For contested legislative general elections, the amount
  7 27 of moneys distributed is the average amount of campaign
  7 28 expenditures made by each candidate during all contested
  7 29 general election races for the immediately preceding two
  7 30 general elections, as reported in the initial filing period
  7 31 subsequent to the general election, for the respective offices
  7 32 of state senate and state house of representatives.
  7 33    d.  For uncontested legislative general elections, the
  7 34 amount of moneys to be distributed from the fund is forty
  7 35 percent of the amount distributed to a participating candidate
  8  1 in a contested general election.
  8  2    e.  For statewide primary elections, the amount of moneys
  8  3 distributed is two hundred thousand dollars per candidate in
  8  4 the primary election.
  8  5    f.  For statewide general elections, the amount of moneys
  8  6 distributed is four hundred thousand dollars per candidate in
  8  7 the general election.
  8  8    If the immediately preceding election cycles do not contain
  8  9 sufficient electoral data, the board shall use information
  8 10 from the most recent applicable elections.
  8 11    9.  MATCHING FUNDS.  When any campaign, finance, or
  8 12 election report shows that the sum of a candidate's
  8 13 expenditures or obligations, or funds raised or borrowed,
  8 14 whichever is greater, alone or in conjunction with independent
  8 15 expenditures reported under section 68A.401, exceeds the
  8 16 distribution amount under subsection 8, the board shall issue
  8 17 immediately to any opposing Iowa clean election Act candidate,
  8 18 subject to available funding, an additional amount equivalent
  8 19 to the reported excess.  Matching funds are limited to two
  8 20 times the amount originally distributed under subsection 8,
  8 21 paragraph "a", "c", "e", or "f", whichever is applicable.
  8 22    10.  CANDIDATE WHO IS NOT A CANDIDATE OF A POLITICAL PARTY.
  8 23 A candidate who is not a candidate of a political party, who
  8 24 is certified by April 15 preceding the primary election, is
  8 25 eligible for moneys from the fund in the same amounts and at
  8 26 the same time as an uncontested primary election candidate and
  8 27 a general election candidate as specified in subsections 7 and
  8 28 8.  For such a candidate not certified by April 15 at five
  8 29 p.m. the deadline for filing qualifying contributions is June
  8 30 2 at five p.m. preceding the general election.  A candidate
  8 31 certified after April 15 at five p.m. is eligible for revenues
  8 32 from the fund in the same amounts as a general election
  8 33 candidate, as specified in subsections 7 and 8.
  8 34    11.  OTHER PROCEDURES.  The board shall establish by rule
  8 35 procedures for qualification, certification, disbursement of
  9  1 fund moneys and return of unspent fund moneys for races
  9  2 involving special elections, recounts, vacancies, withdrawals,
  9  3 or replacement candidates.
  9  4    12.  REPORTING == UNSPENT MONEYS.  Notwithstanding any
  9  5 other provision of law, participating and certified candidates
  9  6 shall report any money collected, all campaign expenditures,
  9  7 obligations, and related activities to the board according to
  9  8 rules adopted by the board.  Upon the filing of a final report
  9  9 for any primary election in which a candidate was defeated and
  9 10 for the general election the candidate shall return all
  9 11 unspent fund moneys to the board.  In developing these
  9 12 procedures, the board shall utilize existing campaign
  9 13 reporting procedures whenever practicable.  The board shall
  9 14 ensure timely public access to campaign finance data.
  9 15    13.  DISTRIBUTIONS NOT TO EXCEED AMOUNT IN FUND.  The board
  9 16 shall not distribute moneys to certified candidates in excess
  9 17 of the total amount of moneys deposited in the fund.
  9 18 Notwithstanding any other provisions of this subchapter, if
  9 19 the board determines that the moneys in the fund are
  9 20 insufficient to meet distributions under subsections 8 and 9,
  9 21 the board may permit certified candidates to accept and spend
  9 22 contributions, reduced by any seed money contributions,
  9 23 aggregating no more than five hundred dollars per donor per
  9 24 election for statewide candidates and two hundred fifty
  9 25 dollars per donor per election for state senate and state
  9 26 house of representatives candidates, up to the applicable
  9 27 amounts set forth in subsections 8 and 9 according to rules
  9 28 adopted by the board.
  9 29    14.  APPEALS.  A candidate who has been denied
  9 30 certification as an Iowa clean election Act candidate or the
  9 31 opponent of a candidate who has been granted certification as
  9 32 an Iowa clean election Act candidate may challenge a
  9 33 certification decision by the board as follows:
  9 34    a.  A challenger may appeal to the full board within three
  9 35 days of the certification decision.  The appeal must be in
 10  1 writing and must set forth the reasons for the appeal.
 10  2    b.  Within five days after an appeal is properly made and
 10  3 after notice is given to the challenger and any opponent, the
 10  4 board shall hold a hearing pursuant to chapter 17A.  The board
 10  5 must rule on the appeal within three days after the completion
 10  6 of the hearing.
 10  7    c.  Judicial review of the decision of the board may be
 10  8 sought in accordance with chapter 17A.
 10  9    d.  A candidate whose certification by the board as an Iowa
 10 10 clean election Act candidate is revoked on appeal must return
 10 11 to the board any unspent moneys distributed from the fund.  If
 10 12 the board or court finds that an appeal was made frivolously
 10 13 or to cause delay or hardship, the board or court may require
 10 14 the moving party to pay costs of the board, court, and
 10 15 opposing parties, if any.
 10 16    Sec. 5.  NEW SECTION.  68A.805  BOARD TO ADOPT RULES.
 10 17    The board shall adopt rules to ensure effective
 10 18 administration of this subchapter.  The rules shall include
 10 19 but must not be limited to procedures for obtaining qualifying
 10 20 contributions, certification as an Iowa clean election Act
 10 21 candidate, circumstances involving special elections,
 10 22 vacancies, recounts, withdrawals, or replacements, collection
 10 23 of moneys for the fund, distribution of fund moneys to
 10 24 certified candidates, return of unspent fund disbursements,
 10 25 disposition of equipment purchased with fund moneys, and
 10 26 compliance with this subchapter.
 10 27    Sec. 6.  NEW SECTION.  68A.806  VIOLATIONS.
 10 28    1.  CIVIL PENALTY.  In addition to any other penalties that
 10 29 may be applicable, a person who violates any provision of this
 10 30 subchapter or rules of the board is subject to a civil penalty
 10 31 not to exceed ten thousand dollars per violation payable to
 10 32 the fund.  In addition to any penalty, for good cause shown, a
 10 33 candidate found in violation of this subchapter or rules of
 10 34 the board may be required to return to the fund all moneys
 10 35 distributed to the candidate from the fund.  If the board
 11  1 makes a finding that a violation of this subchapter or rules
 11  2 of the board has occurred, the board shall assess a civil
 11  3 penalty or transmit the finding to the attorney general for
 11  4 prosecution.  Civil penalties paid under this section shall be
 11  5 deposited in the fund.  In determining whether or not a
 11  6 candidate is in violation of the expenditure limits of this
 11  7 subchapter, the board may consider as a mitigating factor any
 11  8 circumstances out of the candidate's control.
 11  9    2.  CRIMINAL PENALTY.  A person who willfully or knowingly
 11 10 violates this subchapter or rules of the board or who
 11 11 willfully or knowingly makes a false statement in any report
 11 12 required by this subchapter commits a simple misdemeanor and,
 11 13 if certified as an Iowa clean election Act candidate, must
 11 14 return to the fund all moneys distributed to the candidate.
 11 15    Sec. 7.  NEW SECTION.  68A.807  STUDY REPORT.
 11 16    By January 30, 2008, and every four years after that date,
 11 17 the board shall prepare for submission to the general assembly
 11 18 a report documenting, evaluating, and making recommendations
 11 19 relating to the administration and enforcement of this
 11 20 subchapter.
 11 21    Sec. 8.  NEW SECTION.  422.12G  INCOME TAX CHECKOFF FOR THE
 11 22 IOWA CLEAN ELECTION FUND.
 11 23    1.  A person who files an individual or a joint income tax
 11 24 return with the department of revenue under section 422.13 may
 11 25 designate one dollar or more to be paid to the Iowa clean
 11 26 election fund as established in section 68A.803.  If the
 11 27 refund due on the return or the payment remitted with the
 11 28 return is insufficient to pay the additional amount designated
 11 29 by the taxpayer to the Iowa clean election fund, the amount
 11 30 designated shall be reduced to the remaining amount of the
 11 31 refund or the remaining amount remitted with the return.  The
 11 32 designation of a contribution to the Iowa clean election fund
 11 33 under this section is irrevocable.
 11 34    2.  The director of revenue shall draft the income tax form
 11 35 to allow the designation of contributions to the Iowa clean
 12  1 election fund on the tax return.  The department of revenue,
 12  2 on or before January 31, shall certify the total amount
 12  3 designated on the tax return forms due in the preceding
 12  4 calendar year and shall report the amount to the treasurer of
 12  5 state.  The treasurer of state shall credit the amount to the
 12  6 Iowa clean election fund.  However, before a checkoff pursuant
 12  7 to this section shall be permitted, all liabilities on the
 12  8 books of the department of revenue and accounts identified as
 12  9 owing under section 421.17 and the political contribution
 12 10 allowed under section 68A.601 shall be satisfied.
 12 11    3.  The income tax checkoff for the Iowa clean election
 12 12 fund is not subject to the provisions of section 422.12E.
 12 13    4.  The department of revenue shall adopt rules to
 12 14 administer this section.
 12 15    Sec. 9.  EFFECTIVE DATE AND RETROACTIVE APPLICABILITY.
 12 16    1.  Except as provided in subsection 2, this Act takes
 12 17 effect July 1, 2005, and applies to candidates in elections to
 12 18 be held beginning in the year 2006.
 12 19    2.  The section of this Act enacting section 422.12G, being
 12 20 deemed of immediate importance, takes effect upon enactment
 12 21 and applies retroactively for tax years beginning on or after
 12 22 January 1, 2005.
 12 23                           EXPLANATION
 12 24    Under this bill, certified candidates for statewide office
 12 25 and the general assembly have the option of having their
 12 26 campaigns publicly financed.  The bill first applies to
 12 27 elections beginning in the year 2006.
 12 28    Before certification by the Iowa ethics and campaign
 12 29 disclosure board as a clean election Act candidate, a
 12 30 candidate is permitted to accept seed money contributions,
 12 31 which are a specifically limited amount of money from private
 12 32 sources to help that candidate collect the qualifying
 12 33 contributions required for certification.  Seed money
 12 34 contributions must come from individuals.  No single
 12 35 contribution may exceed $100 per contributor, and the total
 13  1 amount of seed money contributions a candidate may accept is
 13  2 limited to $2,500 for candidates for state representative,
 13  3 $5,000 for candidates for state senate, and $100,000 for
 13  4 candidates for statewide office.  In order to be eligible to
 13  5 receive public funds, a candidate must receive a minimum
 13  6 number of qualifying contributions.  Each qualifying
 13  7 contribution must be in the amount of $5 in the form of a
 13  8 check or money order payable to the fund.  The contributions
 13  9 may be made only by registered voters within the jurisdiction
 13 10 of the office the candidate is seeking.  For a candidate for
 13 11 statewide office, at least 2,500 registered voters of this
 13 12 state must provide a qualifying contribution; for a candidate
 13 13 for the state senate, at least 200 registered voters from the
 13 14 candidate's district must provide a qualifying contribution;
 13 15 and for a candidate for the state house of representatives, at
 13 16 least 100 registered voters from the candidate's district must
 13 17 provide a qualifying contribution.
 13 18    After a candidate has been certified, the candidate can no
 13 19 longer accept contributions in any amount and must finance the
 13 20 campaign solely from the clean election Act fund.
 13 21    The Iowa clean election Act fund consists of moneys from
 13 22 the following sources:  qualifying contributions, state
 13 23 appropriations, seed money contributions remaining after a
 13 24 candidate has been certified, voluntary donations made to the
 13 25 fund, fines collected from violations of the bill, other
 13 26 unspent funds distributed to a candidate who does not remain a
 13 27 candidate throughout the election, and revenues generated from
 13 28 a tax checkoff program.
 13 29    The distribution of the fund to the certified candidates
 13 30 will be equal to the average amount of campaign expenditures
 13 31 for the office in question for the preceding two contested
 13 32 primaries, or contested general elections, as applicable.  The
 13 33 board cannot distribute amounts in excess of what is contained
 13 34 in the fund.  If the amount determined for distribution
 13 35 exceeds the amount available from the fund, the board will
 14  1 allow candidates to accept or spend contributions.
 14  2    Regardless of any other provisions of the law, certified
 14  3 candidates must report any moneys collected, all campaign
 14  4 expenditures, obligations, and related activities to the board
 14  5 according to procedures created by the board.  In addition,
 14  6 all unspent moneys must be returned to the fund.
 14  7    An expedited appeal process is established to contest
 14  8 certification decisions.  A candidate whose certification by
 14  9 the board as an Iowa clean election Act candidate is revoked
 14 10 must return to the board any unspent moneys distributed from
 14 11 the fund.  Judicial review is available pursuant to Code
 14 12 chapter 17A.
 14 13    Any person who violates any provision of this subchapter or
 14 14 rules of the board is subject to a civil penalty not to exceed
 14 15 $10,000 per violation payable to the fund.  In addition to any
 14 16 civil penalty, for good cause shown, a candidate found in
 14 17 violation of this subchapter or rules of the board may be
 14 18 required to return to the fund all moneys distributed to the
 14 19 candidate.  A person who willfully or knowingly violates these
 14 20 provisions or who willfully or knowingly makes a false
 14 21 statement in any report required by law commits a simple
 14 22 misdemeanor and, if certified as an Iowa clean election Act
 14 23 candidate, must return to the fund all moneys distributed to
 14 24 the candidate.
 14 25    The bill takes effect July 1, 2005, applying to candidates
 14 26 in elections beginning in the calendar year in 2006.  The
 14 27 income tax checkoff for the Iowa clean election fund is made
 14 28 retroactive to tax years beginning on or after January 1,
 14 29 2005.
 14 30 LSB 1304HH 81
 14 31 jr:rj/pj/5