House File 168 - IntroducedA Bill ForAn Act 1providing for public financing in certain political
2campaigns and making appropriations and including
3applicability provisions.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1   Section 1.  NEW SECTION.  68A.610  Checkoff — income tax —
2Iowa elections fund.
   3A person whose state income tax liability for any taxable
4year is five dollars or more may direct that five dollars of
5that liability be paid over to the Iowa elections fund, as
6established in section 68A.802, when submitting the person’s
7state income tax return to the department of revenue. In the
8case of married persons filing jointly and having a state
9income tax liability of ten dollars or more, each spouse may
10direct that five dollars be paid to the fund. The director of
11revenue shall provide space for the Iowa elections fund income
12tax checkoff on the income tax form. An explanation shall
13be included which clearly states that this checkoff does not
14constitute an additional tax liability. The action taken by a
15person for the checkoff is irrevocable.
16   Sec. 2.  NEW SECTION.  68A.801  Public campaign funding.
   171.  If a candidate for election to the house of
18representatives or the senate is opposed on the ballot, the
19Iowa elections fund shall match any eligible contribution
20received by the candidate to that candidate’s committee up to
21a maximum of five thousand dollars for a primary election and
22a maximum of five thousand dollars for the general election
23for the house of representatives, and up to a maximum of ten
24thousand dollars for a primary election and a maximum of ten
25thousand dollars for the general election for the senate.
   262.  If a candidate for election to a statewide elective
27office is opposed on the ballot, the Iowa elections fund shall
28match any eligible contribution received by the candidate to
29that candidate’s committee up to a maximum of one hundred
30thousand dollars for a primary election and a maximum of one
31hundred thousand dollars for the general election for the
32statewide elective office.
   333.  For purposes of subsections 1 and 2, “eligible
34contribution”
means a contribution of one hundred dollars or
35less from an eligible elector residing in the candidate’s
-1-1district.
   24.  Public contributions provided under this section
3shall not be transferred to a political committee. When
4a candidate’s committee is closed, any unspent public
5contributions shall be returned to the Iowa elections fund,
6up to the amount received by the candidate in the last
7election cycle during which the candidate received a public
8contribution.
9   Sec. 3.  NEW SECTION.  68A.802  Iowa elections fund — nature
10and purposes.
   111.  An Iowa elections fund is established as a separate fund
12within the office of the state treasurer under the control of
13the board. The fund is established for the following purposes:
   14a.  Providing financial assistance for state election
15campaigns during primary election and general election campaign
16periods pursuant to section 68A.801.
   17b.  Paying for the administrative and enforcement costs of
18the board in relation to this subchapter.
   192.  The fund shall consist of moneys received pursuant to
20section 68A.803 and moneys appropriated to the fund pursuant
21to subsection 3 of this section. Notwithstanding section 8.33
22and section 12C.7, unencumbered or unobligated moneys and any
23interest earned on moneys in the fund on June 30 of any fiscal
24year shall not revert to the general fund of the state but
25shall remain in the fund and be available for expenditure in
26subsequent years.
   273.  a.  For each year of the fiscal period beginning July 1,
282017, and ending June 30, 2020, there is appropriated annually
29from the general fund of the state to the Iowa elections fund
30the sum of two million two hundred fifty thousand dollars to
31be used by the Iowa ethics and campaign disclosure board for
32the purposes designated in subsection 1. This paragraph “a” is
33repealed effective July 1, 2020.
   34b.  Commencing with the fiscal year beginning July 1, 2020,
35and each subsequent fiscal year, there is appropriated annually
-2-1from the general fund of the state to the Iowa elections fund
2an amount sufficient to restore the balance of the fund to four
3million five hundred thousand dollars for expenditure for the
4purposes designated in subsection 1.
5   Sec. 4.  NEW SECTION.  68A.803  Other sources of funding.
   61.  In addition to any moneys appropriated by the general
7assembly to the fund established in section 68A.802, the
8following moneys shall be deposited in the fund:
   9a.  Moneys credited to the fund pursuant to section 68A.610.
   10b.  Moneys distributed to any candidate who does not remain
11a candidate until the primary or general election for which the
12moneys were distributed.
   13c.  Civil penalties levied by the board against candidates
14for violation of this subchapter.
   15d.  Voluntary donations made directly to the fund.
   16e.  Any other sources of revenue designated by the general
17assembly.
   182.  Moneys in the fund are appropriated annually to the Iowa
19ethics and campaign disclosure board for purposes of section
2068A.802, subsection 1.
21   Sec. 5.  NEW SECTION.  68A.804  Rules promulgated.
   22The Iowa ethics and campaign disclosure board shall
23administer the provisions of this subchapter and shall
24promulgate all necessary rules in accordance with chapter 17A.
25   Sec. 6.  Section 422.12E, subsection 1, Code 2017, is amended
26to read as follows:
   271.  For tax years beginning on or after January 1, 2019,
28there shall be allowed no more than four income tax return
29checkoffs on each income tax return. For tax years beginning
30on or after January 1, 2017, when the same four income tax
31return checkoffs have been provided on the income tax return
32for two consecutive years, the two checkoffs for which the
33least amount has been contributed, in the aggregate for the
34first tax year and through March 15 of the second tax year, are
35repealed. This section does not apply to the income tax return
-3-1checkoff checkoffs provided in section sections 68A.601 and
268A.610
.
3   Sec. 7.  NEW SECTION.  422.12N  Income tax checkoff for Iowa
4election fund.
   5A person who files an individual or a joint income tax
6return with the department of revenue under section 422.13 may,
7pursuant to section 68A.610, designate a contribution to the
8Iowa elections fund established in section 68A.802.
9   Sec. 8.  APPLICABILITY.  This Act applies beginning with
10the general election in November 2018, and its related primary
11election, and to all subsequent general and primary elections.
12EXPLANATION
13The inclusion of this explanation does not constitute agreement with
14the explanation’s substance by the members of the general assembly.
   15This bill establishes a fund within the state treasurer’s
16office, administered by the Iowa ethics and campaign disclosure
17board. The bill appropriates $2.25 million annually to the
18fund for the fiscal period beginning July 1, 2017, and ending
19June 30, 2020. Beginning in fiscal year 2020-2021, the bill
20appropriates an amount sufficient to restore the fund to a
21balance of $4.5 million. Effective with the 2018 election
22cycle, the board shall match contributions to a candidate who
23receives a contribution in an amount of $100 or less from
24eligible electors residing in the candidate’s district, up to a
25maximum of $5,000 per primary election and $5,000 per general
26election for the house of representatives; $10,000 per primary
27election and $10,000 per general election for the senate; and
28$100,000 per primary election and $100,000 per general election
29for statewide elective offices, if the candidate is opposed on
30the ballot.
   31The bill provides that public contributions provided under
32the bill shall not be transferred to a political committee.
33Any unspent contributions shall be returned to the Iowa
34elections fund when a candidate’s committee is closed, up to
35the amount received by the candidate in the last election cycle
-4-1during which the candidate received a public contribution.
   2The bill enacts new Code section 68A.610, which establishes
3a $5 income tax checkoff ($10 for joint filers) for deposit in
4the fund, paid out of any refund owed the taxpayer.
   5The bill provides for several sources of revenue for the Iowa
6elections fund:
   71. Moneys credited to the fund pursuant to the checkoff in
8new Code section 68A.610.
   92. Moneys distributed to any candidate who does not remain a
10candidate.
   113. Civil penalties.
   124. Voluntary donations.
   135. Any other sources of revenue designated by the general
14assembly.
   15The bill applies to the general election held in November
162018, and the related primary election, and to all subsequent
17general and primary elections.
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