Senate File 367 - Introduced SENATE FILE 367 BY MATHIS A BILL FOR An Act relating to campaigns for public office by requiring 1 certain independent expenditure donor disclosures and 2 providing judicial standards related to libelous statements 3 in published campaign materials. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2346XS (3) 87 aw/rj

S.F. 367 Section 1. Section 68A.102, subsection 17, Code 2017, is 1 amended to read as follows: 2 17. “Person” means, without limitation, any individual, 3 corporation, government or governmental subdivision or agency, 4 business trust, estate, trust, partnership or association, 5 labor union, social welfare organization, as described in 6 section 501(c)(4) of the Internal Revenue Code, or any other 7 legal entity. 8 Sec. 2. Section 68A.404, subsection 5, Code 2017, is amended 9 by adding the following new paragraph: 10 NEW PARAGRAPH . i. If the person making the independent 11 expenditure uses, in whole or in part, anything of value from 12 one or more donors which was not given for the purpose of 13 furthering the independent expenditure, the person making the 14 independent expenditure must disclose the names of each donor 15 who gave to the person making the independent expenditure 16 in the twelve months prior to the independent expenditure 17 being made and the amount and date of each donation in that 18 period. For purposes of this section, a donor is a person 19 who has rendered anything of value in return for which legal 20 consideration of equal or greater value is not given and 21 received. 22 Sec. 3. Section 659.4, Code 2017, is amended to read as 23 follows: 24 659.4 Candidate Libel in campaign materials —— contributor 25 liability —— candidate —— retraction —— time —— imputing sexual 26 misconduct. 27 1. a. For the purposes of this subsection: 28 (1) “Candidate” , “committee” , “contribution” , and “person” 29 mean the same as those terms are defined in section 68A.102. 30 (2) “Published material” means the same as defined in 31 section 68A.405, subsection 1. 32 b. A person making an independent expenditure under section 33 68A.404 or a committee commits libel if the person or committee 34 negligently makes a defamatory statement in published material 35 -1- LSB 2346XS (3) 87 aw/rj 1/ 3

S.F. 367 concerning a clearly identified candidate for public office. A 1 candidate for public office who is subject of such a libelous 2 statement may bring an action for damages under this subsection 3 against the person or committee responsible for publishing the 4 material. 5 c. The candidate under paragraph “b” may recover actual, 6 special, and exemplary damages. A person making the 7 independent expenditure under section 68A.404 or a committee 8 publishing libelous statements shall be liable for damages, and 9 any person making a contribution to the independent expenditure 10 or to the committee shall be jointly and severally liable 11 up to a dollar amount not to exceed the aggregate of the 12 person’s contributions to the independent expenditure or to the 13 committee in the two years preceding the filing of the action 14 for damages. 15 2. If the plaintiff was a candidate for office at the time 16 of the libelous publication, no retraction shall be available 17 unless published in a conspicuous place on the editorial page, 18 nor if the libel was published within two weeks next before 19 the election. This section subsection and sections 659.2 and 20 659.3 do not apply to libel imputing sexual misconduct to any 21 persons. 22 EXPLANATION 23 The inclusion of this explanation does not constitute agreement with 24 the explanation’s substance by the members of the general assembly. 25 This bill relates to campaigns for public office by 26 requiring independent expenditure donor disclosures and by 27 providing judicial standards related to libelous statements in 28 published campaign materials. 29 The bill expressly includes social welfare organizations 30 within the definition of the term “person” in Code chapter 31 68A. Under the bill, a social welfare organization is an 32 organization as described in section 501(c)(4) of the Internal 33 Revenue Code. 34 The bill requires that any person making an independent 35 -2- LSB 2346XS (3) 87 aw/rj 2/ 3

S.F. 367 expenditure disclose the names of each donor who gave to the 1 person making the independent expenditure in the 12 months 2 prior to the independent expenditure being made and the amount 3 and date of each donation in that period, even if the donation 4 was not given for the purpose of furthering the independent 5 expenditure. Under the bill, a person includes any individual, 6 corporation, government or governmental subdivision or agency, 7 business trust, estate, trust, partnership or association, 8 labor union, social welfare organization, or any other legal 9 entity. 10 The bill provides that a person making an independent 11 expenditure or a committee under Code chapter 68A commits libel 12 if the person or committee negligently publishes a defamatory 13 statement concerning a clearly identified candidate for 14 public office. The bill provides that a candidate for public 15 office who is subject of a libelous statement is permitted to 16 bring an action for damages against the person or committee 17 responsible for publishing the material. Under the bill, a 18 plaintiff can recover actual, special, and exemplary damages. 19 A person making the independent expenditure under Code section 20 68A.404 or committee making such libelous statements is 21 liable for damages, and any person making a contribution to 22 the independent expenditure or committee shall be jointly 23 and severally liable up to a dollar amount not to exceed the 24 aggregate of the person’s contributions to the independent 25 expenditure or committee in the two years preceding the filing 26 of the complaint for damages. 27 -3- LSB 2346XS (3) 87 aw/rj 3/ 3