Bill Text: NY A07732 | 2019-2020 | General Assembly | Introduced


Bill Title: Requires additional disclosures from lobbyists including: campaign contributions to elected officials; existing business relationships or associations with public officials; and the names of family members of a public official to whom the lobbyist, or his or her employer, paid compensation of over $500 in the preceding calendar year and the amount of compensation paid; provides for the disposition of campaign funds.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-01-08 - referred to governmental operations [A07732 Detail]

Download: New_York-2019-A07732-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          7732

                               2019-2020 Regular Sessions

                   IN ASSEMBLY

                                      May 17, 2019
                                       ___________

        Introduced  by M. of A. AUBRY -- read once and referred to the Committee
          on Governmental Operations

        AN ACT to amend the legislative law and the election law, in relation to
          disclosures required for lobbyists; and to amend the election law  and
          the  public  officers  law, in relation to campaign funds for personal
          use

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  This act shall be known and may be cited as the "Lobbyist
     2  Disclosure Campaign Fund Act".
     3    § 2. Section 1-c of the legislative law is amended  by  adding  a  new
     4  subdivision (x) to read as follows:
     5    (x)  The term "family member" shall mean any of the following, includ-
     6  ing  parents,  stepparents,  spouse,  domestic  partners,  grandparents,
     7  brothers, sisters, uncles, and aunts, whether of the whole blood or half
     8  blood or by or through legal sanction.
     9    § 3.  Paragraph 5 of subdivision (b) of section 1-h of the legislative
    10  law is amended by adding two new subparagraphs (vi) and (vii) to read as
    11  follows:
    12    (vi)  the campaign contributions made, in any form, to any campaign or
    13  political committee in New York state by the client by whom or on  whose
    14  behalf  the  lobbyist is retained, employed or designated, by the lobby-
    15  ist, and by any employees of the lobbyist.
    16    (vii) the amount of compensation paid and  the  names  of  any  family
    17  members  of  a public official to whom a lobbyist and the client by whom
    18  or on whose behalf the lobbyist is retained, employed or designated  has
    19  paid  compensation  of  more  than five hundred dollars in the preceding
    20  calendar year for personal employment or professional services.
    21    § 4. Subdivision (b) of section 1-h of the legislative law is  amended
    22  by adding a new paragraph 6 to read as follows:

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08928-01-9

        A. 7732                             2

     1    (6) the name, address and telephone number of any public official with
     2  whom the lobbyist has any business relationship.
     3    §  5. Paragraph 5 of subdivision (b) of section 1-j of the legislative
     4  law is amended by adding two new subparagraphs (vi) and (vii) to read as
     5  follows:
     6     (vi) the campaign contributions made, in any form, to any campaign or
     7  political committee in New York state by the client by whom or on  whose
     8  behalf  the  lobbyist is retained, employed or designated, by the lobby-
     9  ist, and by any employees of the lobbyist.
    10    (vii) the amount of compensation paid and  the  names  of  any  family
    11  members  of  a public official to whom a lobbyist and the client by whom
    12  or on whose behalf the lobbyist is retained, employed or designated  has
    13  paid  compensation  of  more  than five hundred dollars in the preceding
    14  calendar year for personal employment or professional services.
    15    § 6. Subdivision (b) of section 1-j of the legislative law is  amended
    16  by adding a new paragraph 7 to read as follows:
    17   (7)  the name, address and telephone number of any public official with
    18  whom the lobbyist has any business relationship.
    19    § 7. The election law is amended by adding two new sections 14-134 and
    20  14-136 to read as follows:
    21    § 14-134. Government contractor reporting and contribution limits.  1.
    22  Definitions. The following definitions shall apply to this section:
    23    a. "agent" means any person acting at the direction of or on behalf of
    24  an individual or business entity;
    25    b.  "business  entity"  means  a  business  corporation,  professional
    26  services  corporation,  limited  liability company, partnership, limited
    27  partnership, business trust, association or any other  legal  commercial
    28  entity  organized  under  the  laws  of this state or any other state or
    29  foreign jurisdiction, including any subsidiary  directly  or  indirectly
    30  controlled  by  the  business  entity,  and  any political organization,
    31  including but not limited to any political organization organized  under
    32  section 527 of the Internal Revenue Code, that is directly or indirectly
    33  controlled by the business entity;
    34    c.  "immediate  family"  means any spouse or child of an individual or
    35  any financially dependent  relatives  who  reside  in  the  individual's
    36  household;
    37    d.  "housekeeping  account"  means  an  account  maintained by a party
    38  committee or constituted committee from which expenditures are  made  to
    39  maintain  a permanent headquarters and staff and carry on ordinary party
    40  activities which are not for the express purpose of promoting the candi-
    41  dacy of specific candidates;
    42    e. "candidate for state office" means a candidate  for  the  following
    43  state  offices:  governor,  lieutenant governor, attorney general, comp-
    44  troller, senator, and member of the assembly; and
    45    f. "personal business transaction"  means  transactions  for  services
    46  offered  by  the  elected  official  in his or her capacity as a private
    47  citizen to any member of the public.
    48    2. The following persons and business entities who make a contribution
    49  to a candidate for state office, a political committee working  directly
    50  or  indirectly  to  aid or participate in such candidate's nomination or
    51  election, a political committee established or controlled by such candi-
    52  date, or a state or local committee of a political  party,  including  a
    53  housekeeping  account,  shall  file  reports  as required by subdivision
    54  three of this section with the board of elections within seven  calendar
    55  days  after the date of a contribution made within thirty-six days of an
    56  election, or, for contributions made at any other time,  within  thirty-

        A. 7732                             3

     1  six  days  of the date of the contribution or the date of any applicable
     2  contract, whichever occurs later:
     3    a. any person, organization, group of persons, or business entity that
     4  has  received, in a calendar year fifty thousand dollars or more through
     5  contracts from the state or any state-appointed entity with  contracting
     6  power;
     7    b. any person who owns more than ten percent of a business entity that
     8  is described in paragraph a of this subdivision;
     9    c.  any  person employed by an organization, group, or business entity
    10  described in paragraph a of this subdivision who holds a senior  manage-
    11  ment position as defined by the state ethics commission;
    12    d.  the  immediate family member of a person who is described in para-
    13  graph a, b or c of this subdivision; or
    14    e. any political committee established  or  controlled  by  a  person,
    15  organization, group of persons or business entity described in paragraph
    16  a, b, c and d of this subdivision.
    17    3. The board of elections shall prescribe forms and procedures for the
    18  reporting  required in subdivision two of this section which, at a mini-
    19  mum, shall require the electronic filing of the following information:
    20    a. the name, address, employer and the name of spouse  of  the  person
    21  making the contribution and the name of the spouse's employer;
    22    b.  the  name of the candidate, political committee, or state or local
    23  committee of  a  political  party,  including  a  housekeeping  account,
    24  receiving the contribution;
    25    c.  the  amount of the contract with the state or other entity defined
    26  in paragraph a of subdivision two of this section,  and  the  dates  and
    27  other information identifying each contract for services or goods; and
    28    d.  if an organization, group of persons, or business entity is making
    29  the contribution:
    30    (i) the names and business addresses of all persons who own more  than
    31  ten percent of the organization, group or entity; or
    32    (ii)  the  names and business addresses of all persons employed by the
    33  organization, group, or business entity who  hold  a  senior  management
    34  position as defined by the commission on governmental ethics.
    35    4.  The  board of elections shall maintain completed forms and reports
    36  described in subdivision two of this section for public inspection  both
    37  at  the  board  of  elections  office and through the board of elections
    38  electronic filing system for campaign finance disclosure (EFS).
    39    5. From twelve months after a bid or proposal to the  relevant  agency
    40  or  contracting authority for a contract described in subdivision two of
    41  this section and either twelve months after completion of the applicable
    42  contract, or upon completion of the applicable elected  official's  term
    43  in  office,  whichever  is  longer, it shall be unlawful for any person,
    44  organization, group of persons or business  entity  described  in  para-
    45  graphs a, b, c and d or e of subdivision two of this section to:
    46    a.  make  contributions to a candidate for state office, any political
    47  committee working directly or indirectly to aid or participate  in  such
    48  candidate's  nomination  or  election,  or any other political committee
    49  established or controlled by such candidate that  exceed  the  following
    50  amounts per election for the following offices:
    51    (i) governor: five hundred dollars;
    52    (ii) lieutenant governor: five hundred dollars;
    53    (iii) comptroller: five hundred dollars;
    54    (iv) attorney general: five hundred dollars;
    55    (v) senator: three hundred fifty dollars; or
    56    (vi) member of assembly: two hundred fifty dollars;

        A. 7732                             4

     1    b. make contributions to:
     2    (i)  political  committees  working  directly  or indirectly to aid or
     3  participate in the nomination or election of a candidate for the offices
     4  described in subparagraphs (i), (ii), (iii), (iv), (v) and (vi) of para-
     5  graph a of this subdivision, or other political  committees  established
     6  or  controlled by a candidate for the offices described in subparagraphs
     7  (i), (ii), (iii), (iv), (v) and (vi) of paragraph a of this  subdivision
     8  that in the aggregate exceed four thousand dollars per election; or
     9    (ii)  state  or  local  committees of a political party, or any house-
    10  keeping account, in an amount greater  than  one  thousand  dollars  per
    11  election,  and in an aggregate to all state or local committees of poli-
    12  tical parties in an aggregate that  exceeds  two  thousand  dollars  per
    13  election;
    14    c.  solicit a contribution on behalf of, or transmit a contribution on
    15  behalf of another to:
    16    (i) a candidate for any of the offices  for  which  contributions  are
    17  limited under paragraph a of this subdivision;
    18    (ii)  any political committee working directly or indirectly to aid or
    19  participate in the nomination or election of a candidate for office  for
    20  which  their  contributions  are limited in paragraph a of this subdivi-
    21  sion, or any other political committee established or  controlled  by  a
    22  candidate  for  the  offices  for  which their contributions are limited
    23  under paragraph a of this subdivision;
    24    (iii) a state or local committee of  a  political  party  including  a
    25  housekeeping account;
    26    d. participate in any fund-raising activities for:
    27    (i)  a  candidate  for  any of the offices for which contributions are
    28  limited under paragraph a of this subdivision;
    29    (ii) any political committee working directly or indirectly to aid  or
    30  participate  in the nomination or election of a candidate for office for
    31  which their contributions are limited in paragraph a  of  this  subdivi-
    32  sion,  or  any  other political committee established or controlled by a
    33  candidate for the offices for  which  their  contributions  are  limited
    34  under paragraph a of this subdivision;
    35    (iii)  a  state  or  local committee of a political party, including a
    36  housekeeping account;
    37    e. serve as chairperson, treasurer, or any other officer of:
    38    (i) any political committee working directly or indirectly to  aid  or
    39  participate  in the nomination or election of a candidate for office for
    40  which their contributions are limited under paragraph a of this subdivi-
    41  sion; or
    42    (ii) any other political committee  established  or  controlled  by  a
    43  candidate for which their contributions are limited under paragraph a of
    44  this subdivision;
    45    f.  conduct personal business transactions in an amount over two thou-
    46  sand dollars in any calendar year with a  public  official  holding  the
    47  offices  for  which their contributions are limited under paragraph a of
    48  this subdivision;
    49    g. deliver to any conduit or intermediary any  contribution  earmarked
    50  for a particular candidate for the offices for which their contributions
    51  are  limited  under  paragraph  a  of this subdivision, or any committee
    52  working directly or indirectly to aid or participate in such candidate's
    53  nomination or election, or any other political committee established  or
    54  controlled by such candidate; or
    55    h.  knowingly  take  any  step  to circumvent the restrictions in this
    56  subdivision.

        A. 7732                             5

     1    i. the provisions of this section shall not  apply  for  a  contractor
     2  making  a contribution, or any disclosure thereof required by this arti-
     3  cle, in any calendar  year  in  which  such  contractor  receives  funds
     4  disbursed  by  the  state  or  any instrumentality thereof pursuant to a
     5  federal  statute, rule or regulation that would render the state or such
     6  instrumentality or contractor ineligible to receive such funds by virtue
     7  of the operation of this section.
     8    This subdivision shall not be applicable to contributions made by  any
     9  person, organization, group of persons or business entity at a time when
    10  the  person,  organization,  group of persons or business entity did not
    11  meet the descriptions of paragraphs a, b, c, d and e of subdivision  two
    12  of this section.
    13    6.  The state or any state department, public entity or authority with
    14  contract-making power shall not enter into  an  agreement  or  otherwise
    15  contract  to procure services or any material, supplies or equipment, or
    16  to acquire, sell, or lease any land or building from any person,  organ-
    17  ization,  group of persons or business entity described in paragraphs a,
    18  b, c and d of subdivision two of this section who has  made  a  contrib-
    19  ution  prohibited  in subdivision five of this section. This subdivision
    20  shall not be applicable to contributions made by any  person,  organiza-
    21  tion,  group  of  persons  or business entity at a time when the person,
    22  organization, group of persons or  business  entity  did  not  meet  the
    23  descriptions  of  paragraph  a,  b, c, d or e of subdivision two of this
    24  section.  Nothing in this section shall impair the power of the state or
    25  any instrumentality thereof to enter into a contract with any contractor
    26  where federal funds would support the payment  or  performance  of  such
    27  contract  and  a  federal  statute,  rule or regulation would render the
    28  state or such instrumentality or contractor ineligible to  receive  such
    29  funds by virtue of the operation of this section.
    30    7.  Every  contract and bid application and specifications promulgated
    31  by the state or any state department, public entity  or  authority  with
    32  contract-making  power shall contain a provision describing the require-
    33  ments of section 14-116 of this article.
    34    8. Before entering into any agreement or any other contract to procure
    35  from any person, organization,  group  of  persons  or  business  entity
    36  services or any material, supplies or equipment, or to acquire, sell, or
    37  lease  any  land  or building, the state or any state department, public
    38  entity or authority with contract-making power  shall  receive  a  sworn
    39  statement  from  the contractor, made under penalty of perjury, that the
    40  bidder or offerer has not made  a  contribution  in  violation  of  this
    41  section.
    42    9.  No  candidate for state office shall accept campaign contributions
    43  from a  person,  organization,  group  of  persons  or  business  entity
    44  described  in  paragraph  a,  b,  c,  d  or e of subdivision two of this
    45  section in an amount exceeding those permitted in paragraph a of  subdi-
    46  vision  five  of  this section for twelve months after completion of the
    47  applicable contract, or the remainder of the candidate's term in office,
    48  whichever is longer.   This  subdivision  shall  not  be  applicable  to
    49  contributions  made  by  any  person,  organization, group of persons or
    50  business entity at a  time  when  the  person,  organization,  group  of
    51  persons or business entity did not meet the descriptions of paragraph a,
    52  b, c, d or e of subdivision two of this section.
    53    10.  No public official holding any of the offices listed in paragraph
    54  a of subdivision five of this section shall  conduct  personal  business
    55  transactions in an amount over two thousand dollars in any calendar year
    56  with  any  person,  organization,  group  of  persons or business entity

        A. 7732                             6

     1  described in paragraphs a, b,  c  and  d  of  subdivision  two  of  this
     2  section.
     3    11.  This  section  shall  not  prohibit any person from informing any
     4  other person of a position taken by a public official or a candidate for
     5  public office.
     6    12. The provisions of subdivisions two and five of this section  shall
     7  not  apply  to the campaign of any person described in paragraph a, b, c
     8  or d of subdivision two of this section who is a candidate  for  any  of
     9  those offices listed in paragraph a of subdivision five of this section.
    10    §  14-136.  Commissioning  authorities and licensing authorities.  The
    11  following persons shall not be appointed to  a  state  public  board  or
    12  commission  which  has  the  authority  to  award  or  audit  any public
    13  contract:
    14    1. a lobbyist registered under section one-e of the legislative law;
    15    2. any person or business entity who, in the previous two  years,  has
    16  received  fifty  thousand  dollars or more through one or more contracts
    17  from the state or any state-appointed entity with contracting power;
    18    3. any person who owns more than ten percent of a business entity that
    19  is described in subdivision two of this section;
    20    4. any person employed by an organization, group, or  business  entity
    21  described  in subdivision two of this section who holds a senior manage-
    22  ment position as defined by the commission on governmental ethics; or
    23    5. an immediate family member of a  person  described  in  subdivision
    24  one, two, three, or four of this section.
    25    §  8.  Section  14-130 of the election law, as amended by section 9 of
    26  part CC of chapter 56 of the  laws  of  2015,  is  amended  to  read  as
    27  follows:
    28    §  14-130.  Campaign funds for personal use. 1. Contributions received
    29  by a candidate or a political committee may only be  expended  for  [any
    30  lawful  purpose.  Such  funds  shall not be converted by any person to a
    31  personal use which is unrelated to a political campaign or  the  holding
    32  of  a  public  office  or  party  position]  bona fide purposes directly
    33  related to either:
    34    a. promoting the nomination or election of a candidate; or
    35    b. performing those duties of public office or  party  position  which
    36  are not paid for or eligible for reimbursement by the state or any poli-
    37  tical subdivision or private party.
    38    2. Permissible ordinary and necessary expenses relating to the holding
    39  of public office or party position shall include:
    40    a.  production  and  circulation  of flyers or other written materials
    41  related to duties of officeholder; the placement  of  holiday  greetings
    42  and  congratulatory  ads and memorial notices in local newspapers, maga-
    43  zines, journals or other publication;
    44    b. sponsorship or hosting of community meetings; tickets or  donations
    45  to  local  charitable,  non-profit or political events, organizations or
    46  activities  that  promote  the  welfare  of  constituents  or  political
    47  campaigns;
    48    c.  incidental  expenditures for the operation of legislative offices,
    49  including purchase of items such as memorial or get-well gifts,  flowers
    50  or similar items of nominal value for constituents or others;
    51    d. membership in organizations related to official duties and costs of
    52  attending  informational  meetings  attended  in  connection  with  such
    53  duties; and
    54    e. travel related to duties of office, provided that the travel is not
    55  undertaken for any purpose resulting in a personal or financial  benefit
    56  to the candidate or officeholder. If such expenses involve both personal

        A. 7732                             7

     1  activity  and  campaign or official activities, the incremental expenses
     2  associated with the personal activities are  personal  uses  unless  the
     3  campaign  is  reimbursed  for  such  sums from other than campaign funds
     4  within thirty days of the expenditure.
     5    Nothing  in  this  section  shall prohibit a candidate from purchasing
     6  office equipment with personal funds and leasing or renting such  equip-
     7  ment  or  property  to  a  committee  working with or for the candidate,
     8  provided the candidate or the campaign treasurer sign a written lease or
     9  rental agreement and files it with  the  appropriate  required  campaign
    10  financial  filing  which  shall  include the lease or rental price which
    11  shall not exceed the fair lease or rental value of the equipment  or  in
    12  the aggregate exceed the cost of its purchase.
    13    3.  Campaign funds shall not be converted to personal use, which shall
    14  be defined as expenditures that:
    15    a. are for the personal benefit of or to defray normal living expenses
    16  of the candidate, officeholder, immediate family or partner of either or
    17  any other person;
    18    b. are used to fulfill any commitment,  obligation,  or  expense  that
    19  would  exist  irrespective  of  the candidate's campaign or duties as an
    20  officeholder; or
    21    c. are put to any use for which the candidate or officeholder would be
    22  required to treat the amount of the expenditure as  gross  income  under
    23  section 61 of the Internal Revenue Code.
    24    4.  Expenditures  for  personal  use  shall  also include, but are not
    25  limited to, expenditures for:
    26    a. residential or household  items,  supplies,  maintenance  or  other
    27  expenditures,  including mortgage, rent, utilities, repairs, or improve-
    28  ments for any part of any personal residence of a candidate  or  office-
    29  holder, his or her immediate family or partner;
    30    b.  rent  or utility payments that exceed fair market value for use of
    31  any part of any non-residential property owned  by  a  candidate,  or  a
    32  member of a candidate's family or partner used for campaign purposes;
    33    c.  salary  and  other  fees  for  bona fide services to a campaign or
    34  legislative office that exceed fair and reasonable market value of  such
    35  services;
    36    d.  interest  or  any  other  finance charges for monies loaned to the
    37  campaign by the candidate or the spouse or partner of such candidate;
    38    e. tuition payments;
    39    f. dues, fees, or gratuities at private clubs, recreational facilities
    40  or other nonpolitical organizations,  unless  connected  to  a  specific
    41  widely attended fundraising event that takes place on the organization's
    42  premises;
    43    g.  automobile  purchases  or long term leases; short term car rentals
    44  and cellular equipment and services not used  exclusively  for  campaign
    45  purposes or duties as an officeholder;
    46    h. admission to sporting events, concerts, theaters, or other forms of
    47  entertainment,  unless  part  of  a  specific  campaign  or officeholder
    48  related activity; and
    49    i. payment of any fines, fees, or penalties assessed pursuant to  this
    50  chapter.
    51    5. No campaign funds shall be used to pay attorney's fees or any costs
    52  of  defending against any civil or criminal investigation or prosecution
    53  for alleged violations of state or federal  law  alleged  to  have  been
    54  committed while holding public office or as a candidate for office where
    55  the  candidate  or  public or party official, members of their immediate
    56  families or partners or the campaign is the target of such investigation

        A. 7732                             8

     1  or prosecution unless such expenditure is  used  exclusively  for  costs
     2  related  to  civil or criminal actions for alleged violations related to
     3  activities promoting the nomination or election of a candidate.
     4    [2.]  6.  No  contribution  shall be used to pay interest or any other
     5  finance charges upon monies loaned to the campaign by such candidate  or
     6  the spouse of such candidate.
     7    [3.]  7. For the purposes of this section, contributions "converted by
     8  any person to a personal use" are expenditures that are exclusively  for
     9  the  personal  benefit  of the candidate or any other individual, not in
    10  connection with a political campaign or the holding of a  public  office
    11  or  party  position.  "Converted  by any person to a personal use", when
    12  meeting the definition in this subdivision, shall include,  but  not  be
    13  limited to, expenses for the following:
    14    (i)  any  residential  or  household  items, supplies or expenditures,
    15  including mortgage, rent  or  utility  payments  for  any  part  of  any
    16  personal  residence  of  a  candidate or officeholder or a member of the
    17  candidate's or officeholder's family that are not incurred as  a  result
    18  of, or to facilitate, the individual's campaign, or the execution of his
    19  or  her duties of public office or party position. In the event that any
    20  property or building is used for both personal and campaign  use  or  as
    21  part  of  the  execution  of his or her duties of public office or party
    22  position, personal use shall constitute expenses that  exceed  the  pro-
    23  rated amount for such expenses based on fair-market value.
    24    (ii) mortgage, rent, or utility payments to a candidate or officehold-
    25  er  for  any  part  of  any  non-residential property that is owned by a
    26  candidate or officeholder or a member of a candidate's or officeholder's
    27  family and used for campaign purposes, to the extent the payments exceed
    28  the fair market value of the property's usage for campaign activities;
    29    (iii) clothing, other than items that are used in the campaign  or  in
    30  the execution of the duties of public office or party position;
    31    (iv) tuition payments unrelated to a political campaign or the holding
    32  of a public office or party position;
    33    (v)  salary  payments or other compensation provided to any person for
    34  services where such services are not solely  for  campaign  purposes  or
    35  provided in connection with the execution of the duties of public office
    36  or party position;
    37    (vi)  salary  payments or other compensation provided to a member of a
    38  candidate's family, unless the family  member  is  providing  bona  fide
    39  services to the campaign. If a family member provides bona fide services
    40  to  a  campaign,  any salary payments or other compensation in excess of
    41  the fair market value of  the  services  provided  shall  be  considered
    42  payments for personal use;
    43    (vii)  admission  to a sporting event, concert, theater, or other form
    44  of entertainment, unless such event is part of, or in connection with, a
    45  campaign or is related to the holding of public office  or  party  posi-
    46  tion;
    47    (viii)  payment  of any fines or penalties assessed against the candi-
    48  date  pursuant  to  this  chapter  or  in  connection  with  a  criminal
    49  conviction  or  by  the  joint  commission for public ethics pursuant to
    50  section ninety-four of the executive law or  sections  seventy-three  or
    51  seventy-three-a  of  the  public  officers law or the legislative ethics
    52  commission pursuant to section eighty of the legislative law;
    53    (ix) dues, fees, or gratuities at a country club, health club,  recre-
    54  ational  facility  or other entities with a similar purpose, unless they
    55  are expenses connected with a specific  fundraising  event  or  activity

        A. 7732                             9

     1  associated  with a political campaign or the holding of public office or
     2  party position that takes place on the organization's premises; and
     3    (x)  travel  expenses including automobile purchases or leases, unless
     4  used for campaign purposes or in connection with the  execution  of  the
     5  duties  of  public  office  or  party position and usage of such vehicle
     6  which is incidental to such purposes or the execution of such duties.
     7    [4.] 8. Nothing in  this  section  shall  prohibit  a  candidate  from
     8  purchasing  equipment  or  property  from  his or her personal funds and
     9  leasing or renting such equipment or property  to  a  committee  working
    10  directly  or  indirectly  with  him  to aid or participate in his or her
    11  nomination or election, including  an  exploratory  committee,  provided
    12  that  the  candidate  and  his  or her campaign treasurer sign a written
    13  lease or rental agreement. Such agreement shall  include  the  lease  or
    14  rental  price,  which shall not exceed the fair lease or rental value of
    15  the equipment. The candidate shall not receive lease or rental  payments
    16  which,  in the aggregate, exceed the cost of purchasing the equipment or
    17  property.
    18    [5.] 9. Nothing in this  section  shall  prohibit  an  elected  public
    19  officeholder  from  using campaign contributions to facilitate, support,
    20  or otherwise assist in the execution or performance of the duties of his
    21  or her public office.
    22    [6.] 10. The state board of elections shall  issue  advisory  opinions
    23  upon  request  regarding  expenditures that may or may not be considered
    24  personal use of contributions. Any formal or informal advisory  opinions
    25  issued  by  a  majority  vote of the commissioners of the state board of
    26  elections shall be binding on the board, the chief  enforcement  counsel
    27  established by subdivision three-a of section 3-100 of this chapter, and
    28  in  any subsequent civil or criminal action or proceeding or administra-
    29  tive proceeding.
    30    § 9. The election law is amended by adding a  new  section  14-138  to
    31  read as follows:
    32    §  14-138.  Disposition of campaign funds. 1. An authorized continuing
    33  candidate committee must dispose of all  funds  and  close  within  four
    34  years  after  the  later  of (a) the end of the individual's most recent
    35  term of office, or (b) the date of the election in which the  individual
    36  last was a filed candidate.
    37    2.  Any  candidate or political committee required to dispose of funds
    38  pursuant to this section shall, at the option of the candidate,  or  the
    39  treasurer  of a political committee formed solely to promote the passage
    40  or defeat of a ballot proposal, dispose of such  funds  by  any  of  the
    41  following means, or any combination thereof:
    42    a.  returning,  pro  rata, to each contributor the funds that have not
    43  been spent or obligated;
    44    b. donating the funds to a charitable  organization  or  organizations
    45  that meet the qualifications of section 501(c)(3) of the Internal Reven-
    46  ue Code;
    47    c. donating the funds to the state university;
    48    d. donating the funds to the state's general fund;
    49    e.  transferring  the  funds to a political party committee registered
    50  with the state board of elections; or
    51    f. contributing the funds to a candidate or political  committee  such
    52  that this does not exceed the limits set forth in section 14-114 of this
    53  article.
    54    3. No candidate or political committee shall dispose of campaign funds
    55  by  making expenditures for personal use as defined in section 14-130 of
    56  this article.

        A. 7732                            10

     1    4. Upon the death of a candidate, former candidate or holder of  elec-
     2  tive  office,  who  received  campaign  contributions, all contributions
     3  shall be disposed of according to this section within twelve  months  of
     4  the death of the candidate.
     5    §  10. Subdivision 1 of section 14-102 of the election law, as amended
     6  by chapter 8 and redesignated by chapter 9  of  the  laws  of  1978,  is
     7  amended to read as follows:
     8    1.  The  treasurer of every political committee which, or any officer,
     9  member or agent of any  such  committee  who,  in  connection  with  any
    10  election,  receives  or  expends  any  money  or other valuable thing or
    11  incurs any liability to pay money or its equivalent  shall  file  state-
    12  ments  sworn,  or subscribed and bearing a form notice that false state-
    13  ments made therein are punishable as a class A misdemeanor  pursuant  to
    14  section 210.45 of the penal law, at the times prescribed by this article
    15  setting forth all the receipts, contributions to and the expenditures by
    16  and  liabilities  of  the  committee,  and  of its officers, members and
    17  agents in its behalf. Such statements shall include the dollar amount of
    18  any receipt, contribution or transfer, or the fair market value  of  any
    19  receipt,  contribution  or  transfer,  which is other than of money, the
    20  name and address of the transferor,  contributor  or  person  from  whom
    21  received,  if the contributor is a lobbyist registered pursuant to arti-
    22  cle one-A of the legislative law and if the transferor,  contributor  or
    23  person  is  a  political  committee;  the name of and the political unit
    24  represented by the committee, the date of its receipt, the dollar amount
    25  of every expenditure, the name and address of the person to whom it  was
    26  made  or the name of and the political unit represented by the committee
    27  to which it was made and the date thereof, and shall state  clearly  the
    28  purpose  of  such expenditure. Any statement reporting a loan shall have
    29  attached to it a copy of the evidence of indebtedness.  Expenditures  in
    30  sums under fifty dollars need not be specifically accounted for by sepa-
    31  rate  items in said statements, and receipts and contributions aggregat-
    32  ing not more than ninety-nine dollars, from any one contributor need not
    33  be specifically accounted for by  separate  items  in  said  statements,
    34  provided  however,  that  such  expenditures, receipts and contributions
    35  shall be subject to the other provisions of section 14-118 of this arti-
    36  cle.
    37    § 11. Subdivision 3 of section  74  of  the  public  officers  law  is
    38  amended by adding a new paragraph j to read as follows:
    39    j. No officer or employee of a state agency required to file an annual
    40  statement of financial disclosure pursuant to section seventy-three-a of
    41  this  article  shall solicit or receive contributions for a campaign for
    42  state or federal office.
    43    § 12. This act shall take effect on the first of January next succeed-
    44  ing the date on which it shall have become a law; provided that  section
    45  14-134  of  the election law as added by section seven of this act shall
    46  take effect two years after such effective date;  and  provided  further
    47  that  sections eight, nine, ten and eleven of this act shall take effect
    48  on the sixtieth day after it shall have become a law; provided, however,
    49  that the state board of elections shall notify all  registered  campaign
    50  committees of the applicable provisions of sections eight, nine, ten and
    51  eleven of this act within thirty days after this act shall have become a
    52  law.
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