HOUSE BILL No. 4291

 

 

March 5, 2019, Introduced by Reps. Calley, Sabo, Pagan, Vaupel and Hope and referred to the Committee on Elections and Ethics.

 

     A bill to amend 1976 PA 388, entitled

 

"Michigan campaign finance act,"

 

by amending sections 33 and 34 (MCL 169.233 and 169.234), section

 

33 as amended by 2017 PA 119 and section 34 as amended by 2012 PA

 

277.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 33. (1) A committee, other than an independent committee,

 

an independent expenditure committee, or a political committee

 

required to file with the secretary of state, supporting or

 

opposing a candidate shall file complete campaign statements as

 

required by this act and the rules promulgated under this act

 

according to the following schedule:

 

     (a) A Except as otherwise provided in subdivision (c), a

 

preelection campaign statement must be filed not later than the

 


eleventh twenty-fifth day of the month before an election. The

 

closing date for a campaign statement filed under this subdivision

 

is the sixteenth twentieth day of the month before the election.

 

     (b) A Except as otherwise provided in subdivision (c), a

 

postelection campaign statement must be filed not later than the

 

thirtieth twenty-fifth day following of the month of the election.

 

The closing date for a campaign statement filed under this

 

subdivision is the twentieth day following of the month of the

 

election. A committee supporting a candidate who loses the primary

 

election shall file closing campaign statements in accordance with

 

this section. If all liabilities of that candidate or committee are

 

paid before the closing date and additional contributions are not

 

expected, the campaign statement may be filed at any time after the

 

election, but not later than the thirtieth twenty-fifth day

 

following of the month of the election.

 

     (c) For an election occurring in conjunction with a

 

presidential primary election, or for a special election held on a

 

date other than a regular election date provided in section 641 of

 

the Michigan election law, 1954 PA 116, MCL 168.641, a preelection

 

campaign statement must be filed not later than the eleventh day

 

before the election, and the closing date for the statement is the

 

sixteenth day before the election. A postelection campaign

 

statement under this subdivision must be filed not later than the

 

twenty-fifth day following the election, and the closing date for

 

the statement is the twentieth day following the election. A

 

committee supporting a candidate who loses a special primary

 

election shall file closing campaign statements in accordance with


this subdivision. If all liabilities of that candidate or committee

 

are paid before the closing date and additional contributions are

 

not expected, the campaign statement may be filed at any time after

 

the election, but not later than the twenty-fifth day following the

 

election.

 

     (d) (c) For candidate committees only, in a year in which when

 

there is no election for the candidate the candidate committee is

 

supporting or opposing:

 

     (i) Not later than July 25 with a closing date of July 20 of

 

that year.

 

     (ii) Not later than October 25 with a closing date of October

 

20 of that year.

 

     (2) For the purposes of subsection (1):

 

     (a) A candidate committee shall file a preelection campaign

 

statement and a postelection campaign statement for each election

 

in which the candidate seeks nomination or election, except if an

 

individual becomes a candidate after the closing date for the

 

preelection campaign statement only the postelection campaign

 

statement is required for that election.

 

     (b) A committee other than a candidate committee shall file a

 

campaign statement for each period during which when expenditures

 

are made for the purpose of influencing the nomination or election

 

of a candidate or for the qualification, passage, or defeat of a

 

ballot question.

 

     (3) An independent committee, an independent expenditure

 

committee, or a political committee other than a house political

 

party caucus committee or senate political party caucus committee


required to file with the secretary of state shall file campaign

 

statements as required by this act according to the following

 

schedule:

 

     (a) Not later than April 25 of each year with a closing date

 

of April 20 of that year.

 

     (b) Not later than July 25 of each year with a closing date of

 

July 20 of that year.

 

     (c) Not later than October 25 of each year with a closing date

 

of October 20 of that year.

 

     (4) A house political party caucus committee or a senate

 

political party caucus committee required to file with the

 

secretary of state or a political party committee for a party

 

attempting to qualify as a new political party under section 685 of

 

the Michigan election law, 1954 PA 116, MCL 168.685, shall file

 

campaign statements as required by this act according to the

 

following schedule:

 

     (a) Not later than January 31 of each year with a closing date

 

of December 31 of the immediately preceding year.

 

     (b) Not later than April 25 of each year with a closing date

 

of April 20 of that year.

 

     (c) Not later than July 25 of each year with a closing date of

 

July 20 of that year.

 

     (d) Not later than October 25 of each year with a closing date

 

of October 20 of that year.

 

     (e) For the period beginning on the fourteenth day immediately

 

preceding a primary or special primary election and ending on the

 

day immediately following the primary or special primary election,


not later than 4 p.m. each business day with a closing date of the

 

immediately preceding day, only for a contribution received or

 

expenditure made that exceeds $1,000.00 per day.

 

     (f) For the period beginning on the fourteenth day immediately

 

preceding a general or special election and ending on the day

 

immediately following the general or special election, not later

 

than 4 p.m. each business day with a closing date of the

 

immediately preceding day, only for a contribution received or

 

expenditure made that exceeds $1,000.00 per day.

 

     (5) Notwithstanding subsection (3) or (4) or section 51, if an

 

independent expenditure is made within 45 days before a special

 

election by an independent committee, an independent expenditure

 

committee, or a political committee required to file a campaign

 

statement with the secretary of state, the committee shall file a

 

report of the expenditure with the secretary of state within 48

 

hours after the expenditure. The report must be made on a form

 

provided by the secretary of state and must include the date of the

 

independent expenditure, the amount of the expenditure, a brief

 

description of the nature of the expenditure, and the name and

 

address of the person to whom the expenditure was paid. The brief

 

description of the expenditure must include either the name of the

 

candidate and the office sought by the candidate or the name of the

 

ballot question and state whether the expenditure supports or

 

opposes the candidate or ballot question. This subsection does not

 

apply if the committee is required to report the independent

 

expenditure in a campaign statement that is required to be filed

 

before the date of the election for which the expenditure was made.


     (6) A candidate committee or a committee other than a

 

candidate committee that files a written statement under section

 

24(5) or (6) or that is automatically considered to have made a

 

statement under section 24(5) is not required to file a campaign

 

statement under subsection (1), (3), or (4) unless it received or

 

expended an amount in excess of $1,000.00. If the committee

 

receives or expends an amount in excess of $1,000.00 during a

 

period covered by a filing, the committee is then subject to the

 

campaign statement filing requirements under this act.

 

     (7) A committee, candidate, treasurer, or other individual

 

designated as responsible for the committee's record keeping,

 

report preparation, or report filing who fails to file a statement

 

as required by this section shall pay a late filing fee. If the

 

committee has raised $10,000.00 or less during the previous 2

 

years, the late filing fee is $25.00 for each business day the

 

statement remains unfiled, but not to exceed $500.00. If the

 

committee has raised more than $10,000.00 during the previous 2

 

years, the late filing fee must not exceed $1,000.00, determined as

 

follows:

 

     (a) Twenty-five dollars for each business day the report

 

remains unfiled.

 

     (b) An additional $25.00 for each business day after the first

 

3 business days the report remains unfiled.

 

     (c) An additional $50.00 for each business day after the first

 

10 business days the report remains unfiled.

 

     (8) If a candidate, treasurer, or other individual designated

 

as responsible for the committee's record keeping, report


preparation, or report filing fails to file 2 statements required

 

by this section or section 35 and both of the statements remain

 

unfiled for more than 30 days, that candidate, treasurer, or other

 

designated individual is guilty of a misdemeanor punishable by a

 

fine of not more than $1,000.00 or imprisonment for not more than

 

90 days, or both.

 

     (9) If a candidate is found guilty of a violation of this

 

section, the circuit court for that county, on application by the

 

attorney general or the prosecuting attorney of that county, may

 

prohibit that candidate from assuming the duties of a public office

 

or from receiving compensation from public funds, or both.

 

     (10) If a candidate, treasurer, or other individual designated

 

as responsible for a committee's record keeping, report

 

preparation, or report filing knowingly files an incomplete or

 

inaccurate statement or report required by this section, that

 

individual is subject to a civil fine of not more than $1,000.00.

 

     (11) If a candidate, treasurer, or other individual designated

 

as responsible for a committee's record keeping, report

 

preparation, or report filing knowingly omits or underreports

 

individual contributions or individual expenditures required to be

 

disclosed by this act, that individual is subject to a civil fine

 

of not more than $1,000.00 or the amount of the contributions and

 

expenditures omitted or underreported, whichever is greater.

 

     (12) If a candidate committee's account has a balance of

 

$20,000.00 or more and a candidate, treasurer, or other individual

 

designated as responsible for that committee's record keeping,

 

report preparation, or report filing fails to file campaign


statements required under this act for 2 consecutive years, that

 

candidate, treasurer, or other individual is guilty of a felony

 

punishable by imprisonment for not more than 3 years or a fine of

 

not more than $5,000.00, or both. Any money in a candidate

 

committee account described in this subsection is subject to

 

seizure by, and forfeiture to, this state as provided in this

 

section.

 

     (13) Not more than 5 business days after seizure of money

 

under subsection (12), the secretary of state shall deliver

 

personally or by registered mail to the last known address of the

 

candidate from whom the seizure was made an inventory statement of

 

the money seized. The inventory statement must also contain notice

 

to the effect that unless demand for hearing as provided in this

 

section is made within 10 business days, the money is forfeited to

 

this state. Within 10 business days after the date of service of

 

the notice, the candidate may by registered mail, facsimile

 

transmission, or personal service file with the secretary of state

 

a demand for a hearing before the secretary of state or a person

 

designated by the secretary of state for a determination as to

 

whether the money was lawfully subject to seizure and forfeiture.

 

The candidate is entitled to appear before the secretary of state

 

or a person designated by the secretary of state, to be represented

 

by counsel, and to present testimony and argument. Upon receipt of

 

a request for hearing, the secretary of state or a person

 

designated by the secretary of state shall hold the hearing within

 

15 business days. The hearing is not a contested case proceeding

 

and is not subject to the administrative procedures act of 1969,


1969 PA 306, MCL 24.201 to 24.328. After the hearing, the secretary

 

of state or a person designated by the secretary of state shall

 

render a decision in writing within 10 business days of the hearing

 

and, by order, shall either declare the money subject to seizure

 

and forfeiture or declare the money returnable to the candidate.

 

If, within 10 business days after the date of service of the

 

inventory statement, the candidate does not file with the secretary

 

of state a demand for a hearing before the secretary of state or a

 

person designated by the secretary of state, the money seized is

 

forfeited to this state by operation of law. If, after a hearing

 

before the secretary of state or a person designated by the

 

secretary of state, the secretary of state or a person designated

 

by the secretary of state determines that the money is lawfully

 

subject to seizure and forfeiture and the candidate does not appeal

 

to the circuit court of the county in which the seizure was made

 

within the time prescribed in this section, the money seized is

 

forfeited to this state by operation of law. If a candidate is

 

aggrieved by the decision of the secretary of state or a person

 

designated by the secretary of state, that candidate may appeal to

 

the circuit court of the county where the seizure was made to

 

obtain a judicial determination of the lawfulness of the seizure

 

and forfeiture. The action must be commenced within 20 days after

 

notice of a determination by the secretary of state or a person

 

designated by the secretary of state is sent to the candidate. The

 

court shall hear the action and determine the issues of fact and

 

law involved in accordance with rules of practice and procedure as

 

in other in rem proceedings.


     Sec. 34. (1) A ballot question committee shall file a campaign

 

statement as required by this act according to the following

 

schedule:

 

     (a) A Except as otherwise provided in subdivision (c), a

 

preelection campaign statement, the closing date of which shall be

 

is the sixteenth twentieth day of the month before the election,

 

shall must not be filed later than the eleventh twenty-fifth day of

 

the month before the election.

 

     (b) A Except as otherwise provided in subdivision (c), a

 

postelection campaign statement, the closing date of which shall be

 

is the twentieth day following of the month of the election, shall

 

must not be filed later than the thirtieth twenty-fifth day

 

following of the month of an election. If all liabilities of the

 

committee are paid before the closing date and additional

 

contributions are not expected, the campaign statement may be filed

 

at any time after the election, but not later than the thirtieth

 

twenty-fifth day following of the month of the election.

 

     (c) For an election occurring in conjunction with a

 

presidential primary election, or for a special election held on a

 

date other than a regular election date provided in section 641 of

 

the Michigan election law, 1954 PA 116, MCL 168.641, a preelection

 

campaign statement must be filed not later than the eleventh day

 

before the election, and the closing date for the statement is the

 

sixteenth day before the election. A postelection campaign

 

statement under this subdivision must be filed not later than the

 

twenty-fifth day following the election, and the closing date for

 

the statement is the twentieth day following the election. If all


liabilities of the committee are paid before the closing date and

 

additional contributions are not expected, the campaign statement

 

may be filed at any time after the election, but not later than the

 

twenty-fifth day following the election.

 

     (d) (c) Campaign statements not later than the following

 

dates every year:

 

     (i) February 15 with a closing date of February 10 of that

 

year.

 

     (i) (ii) April 25 with a closing date of April 20 of that

 

year.

 

     (ii) (iii) July 25 with a closing date of July 20 of that

 

year.

 

     (e) (d) In every odd numbered year, a campaign statement not

 

later than October 25 with a closing date of October 20 of that

 

year.

 

     (2) A ballot question committee supporting or opposing a

 

statewide ballot question shall file a campaign statement, of which

 

the closing date shall be is the twenty-eighth day after the filing

 

of the petition form, not later than 35 days after the petition

 

form is filed under section 483a of the Michigan election law, 1954

 

PA 116, MCL 168.483a.

 

     (3) If a ballot question committee supporting or opposing a

 

statewide ballot question fails to file a preelection statement

 

under this section, that committee or its treasurer shall pay a

 

late filing fee for each business day the statement remains not

 

filed in violation of this section, not to exceed $1,000.00,

 

pursuant to the following schedule:


     (a) First day--$25.00.

 

     (b) Second day--$50.00.

 

     (c) Third day--$75.00.

 

     (d) Fourth day and for each subsequent day that the statement

 

remains unfiled--$100.00.

 

     (4) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee supporting or opposing a

 

statewide ballot question fails to file a statement, other than a

 

preelection statement, under this section, that committee,

 

treasurer, or other designated individual shall pay a late filing

 

fee. If the committee has raised $10,000.00 or less during the

 

previous 2 years, the late filing fee shall be is $25.00 for each

 

business day the campaign statement remains unfiled, but not to

 

exceed $1,000.00. If the committee has raised more than $10,000.00

 

during the previous 2 years, the late filing fee shall be is $50.00

 

for each business day the campaign statement remains unfiled, but

 

not to exceed $2,000.00.

 

     (5) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee supporting or opposing other

 

than a statewide ballot question fails to file a statement under

 

this section, that committee, treasurer, or other designated

 

individual shall pay a late filing fee. If the committee has raised

 

$10,000.00 or less during the previous 2 years, the late filing fee

 

shall be is $25.00 for each business day the campaign statement

 

remains unfiled, but not to exceed $1,000.00. If the committee has


raised more than $10,000.00 during the previous 2 years, the late

 

filing fee shall be is $50.00 for each business day the campaign

 

statement remains unfiled, but not to exceed $2,000.00.

 

     (6) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee fails to file a statement as

 

required by subsection (1) or (2) for more than 7 days, that

 

treasurer or other designated individual is guilty of a misdemeanor

 

, punishable by a fine of not more than $1,000.00 , or imprisonment

 

for not more than 90 days, or both.

 

     (7) If a treasurer or other individual designated as

 

responsible for the record keeping, report preparation, or report

 

filing of a ballot question committee knowingly files an incomplete

 

or inaccurate statement or report required by this section, that

 

treasurer or other designated individual is subject to a civil fine

 

of not more than $1,000.00 or the amount of the undisclosed

 

contribution, whichever is greater.