Bill Text: NY S06116 | 2019-2020 | General Assembly | Introduced
Bill Title: Enacts the "integrity in elections act of 2019"; authorizes a change of party affiliation not less than 25 days prior to the next ensuing primary, general or special election; requires the majority vote of the entire party committee for the jurisdiction in which a candidate for public office is running, in order to nominate such candidate as the party candidate; prohibits the transfer of funds between a candidate and committees not formed for the purposes of such candidate; limits independent expenditures for political purposes; limits contributions to $2,600 to any single candidate during an election cycle; enacts campaign finance reform to provide for matching funds for the campaigns of state elected officials; authorizes the imposition of an additional surcharge on recoveries for fraudulent practices regarding stocks, bonds and other securities; establishes the New York state campaign finance fund; provides for a New York state campaign finance fund check-off.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2019-05-29 - RECOMMIT, ENACTING CLAUSE STRICKEN [S06116 Detail]
Download: New_York-2019-S06116-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 6116 2019-2020 Regular Sessions IN SENATE May 16, 2019 ___________ Introduced by Sen. SAVINO -- read twice and ordered printed, and when printed to be committed to the Committee on Elections AN ACT to amend the election law, in relation to authorizing a change of party affiliation 25 days prior to the next ensuing primary, general or special election, overhauling campaign financing and providing a voluntary financing program for campaigns for state officers; to amend the general business law, in relation to authorizing the imposition of an additional surcharge on recoveries for fraudulent practices relat- ing to stocks, bonds and other securities; to amend the state finance law, in relation to establishing the New York state campaign finance fund and providing for transfers thereto from the abandoned property fund; to amend the tax law, in relation to providing for a New York state campaign finance fund check-off; and to repeal certain provisions of the election law relating thereto The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Short title. This act shall be known and may be cited as 2 the "integrity in elections act of 2019". 3 § 2. Legislative intent. The legislature declares that it is in the 4 public interest to create and ensure a truly democratic political 5 system, one of the highest integrity, in which citizens, regardless of 6 their income, status or financial wealth, are enabled and encouraged to 7 compete for public office. The legislature further declares that present 8 campaign finance laws must be amended to ensure that the voices of indi- 9 vidual small contributors are heard and that elections are conducted in 10 a fair and open manner. 11 Therefore, the legislature finds it necessary to establish a voluntary 12 system for the financing of campaigns for all qualified candidates for 13 state elective offices and constitutional convention delegates. The 14 legislature further finds that this new system which provides matching 15 funds for small contributions from individuals allows increased citizen EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD11713-01-9S. 6116 2 1 participation in state elections. The legislature also creates a new 2 campaign finance board placed within and working hand in hand with the 3 state board of elections to provide effective oversight and enforcement 4 of the voluntary campaign financing system. Finally, the legislature 5 lowers contribution limits for all contributors, whether or not the 6 candidate participates in the voluntary system, thereby removing the 7 influence of large contributions in state and local elections. 8 § 3. Subdivision 3 of section 5-304 of the election law, as amended by 9 chapter 90 of the laws of 1991, is amended to read as follows: 10 3. A change of enrollment received by the board of elections, showing 11 a dated cancellation mark of the United States Postal Service or 12 contained in an envelope showing such cancellation mark which is dated, 13 not later than the twenty-fifth day before the [general election shall14be deposited in a sealed enrollment box, which shall not be opened until15the first Tuesday following such general election. Such change of16enrollment shall be then removed and entered as provided in this arti-17cle] next ensuing primary, general or special election or delivered in 18 person to such county board of elections not later than the twenty-fifth 19 day before a primary, general or special election, shall be effective 20 for such election. Enrollment changes shall be entered as provided in 21 this article and shall be deemed to take effect on the fifth day after 22 such change of enrollment is received by the board of elections or if 23 the change of enrollment, or the envelope containing it, bears a dated 24 cancellation mark of the United States Postal Service, such change shall 25 be entered and shall be deemed to take effect on the tenth day after the 26 date of such mark, whichever is earlier; except that no change will take 27 effect sooner than the fifth day after the receipt of such change of 28 enrollment by the board of elections. 29 § 4. Subdivision 10 of section 14-100 of the election law, as added by 30 chapter 8 of the laws of 1978 and as redesignated by chapter 9 of the 31 laws of 1978, is amended and a new subdivision 18 is added to read as 32 follows: 33 10. "transfer" means any exchange of funds or any thing of value 34 between political committees authorized by the same candidate and taking 35 part solely in his or her campaign[, or any exchange of funds between a36party or constituted committee and a candidate or any of his authorized37political committees]. 38 18. "board", "state board" or "state board of elections" means the 39 campaign finance board as established in title two of this article. 40 § 5. Subdivision 1 of section 14-102 of the election law, as amended 41 by chapter 8 of the laws of 1978 and as redesignated by chapter 9 of the 42 laws of 1978, is amended to read as follows: 43 1. The treasurer of every political committee which, or any officer, 44 member or agent of any such committee who, in connection with any 45 election, receives or expends any money or other valuable thing or 46 incurs any liability to pay money or its equivalent shall file state- 47 ments sworn, or subscribed and bearing a form notice that false state- 48 ments made therein are punishable as a class A misdemeanor pursuant to 49 section 210.45 of the penal law, at the times prescribed by this [arti-50cle] title setting forth all the receipts, contributions to and the 51 expenditures by and liabilities of the committee, and of its officers, 52 members and agents in its behalf. Such statements shall include the 53 dollar amount of any receipt[,] or contribution [or transfer], or the 54 fair market value of any receipt[,] or contribution [or transfer], which 55 is other than of money, the name and address of the [transferor,] 56 contributor or person from whom received, and [if the transferor,S. 6116 3 1contributor or person is] for any transfer, contribution or receipt made 2 by a political committee; the name of and the political unit represented 3 by the committee, the date of its receipt, the dollar amount of every 4 expenditure, the name and address of the person to whom it was made or 5 the name of and the political unit represented by the committee to which 6 it was made and the date thereof, and shall state clearly the purpose of 7 such expenditure. Any statement reporting a loan shall have attached to 8 it a copy of the evidence of indebtedness. Expenditures in sums under 9 fifty dollars need not be specifically accounted for by separate items 10 in said statements, and receipts and contributions aggregating not more 11 than ninety-nine dollars, from any one contributor need not be specif- 12 ically accounted for by separate items in said statements, provided 13 however, that such expenditures, receipts and contributions shall be 14 subject to the other provisions of section 14-118 of this [article] 15 title. 16 § 6. Subdivisions 1 and 3 of section 14-114 of the election law, 17 subdivision 1 as amended by chapter 79 of the laws of 1992, paragraphs a 18 and b of subdivision 1 as amended by chapter 659 of the laws of 1994 and 19 subdivision 3 as amended by chapter 517 of the laws of 1986, are amended 20 to read as follows: 21 1. The following limitations apply to all contributions to candidates 22 for election to any public office or for nomination for any such office, 23 or for election to any party positions, and to all contributions to 24 political committees working directly or indirectly with any candidate 25 to aid or participate in such candidate's nomination or election, other 26 than any contributions to any party committee or constituted committee: 27 a. In any election for a public office to be voted on by the voters of 28 the entire state, or for nomination to any such office, no contributor 29 may make a contribution to any candidate or political committee, and no 30 candidate or political committee may accept any contribution from any 31 contributor, which is in the aggregate amount greater than: (i) in the 32 case of any nomination to public office, [the product of the total33number of enrolled voters in the candidate's party in the state, exclud-34ing voters in inactive status, multiplied by $.005, but such amount35shall be not less than four thousand dollars nor more than twelve] two 36 thousand six hundred dollars [as increased or decreased by the cost of37living adjustment described in paragraph c of this subdivision], and 38 (ii) in the case of any election to a public office, [twenty-five] two 39 thousand six hundred dollars [as increased or decreased by the cost of40living adjustment described in paragraph c of this subdivision]; 41 provided however, that the maximum amount contributed by any contributor 42 or accepted by any candidate or political committee for both a primary 43 and a general election shall not exceed two thousand six hundred 44 dollars; and provided further that the maximum amount which may be so 45 contributed or accepted[, in the aggregate,] from any candidate's child, 46 parent, grandparent, brother [and] or sister, [and] or the spouse of any 47 such persons, shall not exceed [in the case of any nomination to public48office an amount equivalent to the product of the number of enrolled49voters in the candidate's party in the state, excluding voters in inac-50tive status, multiplied by $.025, and in the case of any election for a51public office, an amount equivalent to the product of the number of52registered voters in the state excluding voters in inactive status,53multiplied by $.025] two thousand six hundred dollars. For the purposes 54 of this subdivision, the term "child" shall include persons eighteen 55 years of age or older.S. 6116 4 1 b. In any other election for party position or for election to a 2 public office or for nomination for any such office, no contributor may 3 make a contribution to any candidate or political committee and no 4 candidate or political committee may accept any contribution from any 5 contributor, which [is in the aggregate amount greater than] shall not 6 exceed: (i) in the case of any election for party position, or for 7 nomination to public office, the product of the total number of enrolled 8 voters in the candidate's party in the district in which he is a candi- 9 date, excluding voters in inactive status, multiplied by $.05, or two 10 thousand six hundred dollars, and (ii) in the case of any election for a 11 public office, the product of the total number of registered voters in 12 the district, excluding voters in inactive status, multiplied by $.05, 13 or two thousand six hundred dollars, however in the case of a nomination 14 within the city of New York for the office of mayor, public advocate or 15 comptroller, such amount shall be not less than four thousand dollars 16 nor more than twelve thousand dollars [as increased or decreased by the17cost of living adjustment described in paragraph c of this subdivision]; 18 in the case of an election within the city of New York for the office of 19 mayor, public advocate or comptroller, twenty-five thousand dollars [as20increased or decreased by the cost of living adjustment described in21paragraph c of this subdivision]; in the case of a nomination for state 22 senator, [four] two thousand six hundred dollars [as increased or23decreased by the cost of living adjustment described in paragraph c of24this subdivision]; in the case of an election for state senator, [six] 25 two thousand [two] six hundred [fifty] dollars [as increased or26decreased by the cost of living adjustment described in paragraph c of27this subdivision]; in the case of an election or nomination for a member 28 of the assembly, [twenty-five] two thousand six hundred dollars [as29increased or decreased by the cost of living adjustment described in30paragraph c of this subdivision]; but in no event shall any such maximum 31 [exceed fifty thousand dollars or] be less than one thousand dollars; 32 provided however, that the maximum amount which may be so contributed or 33 accepted[, in the aggregate,] from any candidate's child, parent, grand- 34 parent, brother [and] or sister, [and] or the spouse of any such 35 persons, shall not exceed in the case of any election for party position 36 or nomination for public office an amount equivalent to the number of 37 enrolled voters in the candidate's party in the district in which he is 38 a candidate, excluding voters in inactive status, multiplied by $.25 and 39 in the case of any election to public office, an amount equivalent to 40 the number of registered voters in the district, excluding voters in 41 inactive status, multiplied by $.25; or [twelve], two thousand six 42 hundred [fifty] dollars, [whichever is greater,] or in the case of a 43 nomination or election of a state senator, [twenty] two thousand six 44 hundred dollars, [whichever is greater,] or in the case of a nomination 45 or election of a member of the assembly [twelve] two thousand [five] six 46 hundred dollars[, whichever is greater, but in no event shall any such47maximum exceed one hundred thousand dollars]; provided, however, that 48 the maximum amount contributed by any contributor or accepted by any 49 candidate or political committee for both a primary and a general 50 election shall not exceed two thousand six hundred dollars; and 51 provided, further that the maximum amount which may be so contributed or 52 accepted from any candidate's child, parent, grandparent, brother or 53 sister, or the spouse of any such persons, shall not exceed two thousand 54 six hundred dollars for the nomination and election to a public office. 55 For the purposes of this subdivision, the term "child" shall mean 56 persons eighteen years of age or older.S. 6116 5 1 [c. At the beginning of each fourth calendar year, commencing in nine-2teen hundred ninety-five, the state board shall determine the percentage3of the difference between the most recent available monthly consumer4price index for all urban consumers published by the United States5bureau of labor statistics and such consumer price index published for6the same month four years previously. The amount of each contribution7limit fixed in this subdivision shall be adjusted by the amount of such8percentage difference to the closest one hundred dollars by the state9board which, not later than the first day of February in each such year,10shall issue a regulation publishing the amount of each such contribution11limit. Each contribution limit as so adjusted shall be the contribution12limit in effect for any election held before the next such adjustment.] 13 3. As used in this section the term "contributor" shall [not] include 14 a party committee supporting the candidate of such party or a consti- 15 tuted committee supporting the candidate of such party. 16 § 7. Subdivision 6 of section 14-114 of the election law is REPEALED. 17 § 8. Subdivision 10 of section 14-114 of the election law, as added by 18 chapter 79 of the laws of 1992, is amended to read as follows: 19 10.[a.] No contributor may make a contribution to a party or consti- 20 tuted committee and no such committee may accept a contribution from any 21 contributor which, in the aggregate, is greater than [sixty-two] ten 22 thousand [five hundred] dollars per annum. 23 [b. At the beginning of each fourth calendar year, commencing in nine-24teen hundred ninety-five, the state board shall determine the percentage25of the difference between the most recent available monthly consumer26price index for all urban consumers published by the United States27bureau of labor statistics and such consumer price index published for28the same month four years previously. The amount of such contribution29limit fixed in paragraph a of this subdivision shall be adjusted by the30amount of such percentage difference to the closest one hundred dollars31by the state board which, not later than the first day of February in32each such year, shall issue a regulation publishing the amount of such33contribution limit. Such contribution limit as so adjusted shall be the34contribution limit in effect for any election held before the next such35adjustment.] 36 § 9. Subdivision 2 of section 14-116 of the election law, as amended 37 by chapter 4 of the laws of 2019, is amended to read as follows: 38 2. a. Notwithstanding [the provisions of subdivision one of this39section, any corporation or an organization financially supported in40whole or in part, by such corporation, any limited liability company or41other corporate entity may make expenditures, including contributions,42not otherwise prohibited by law, for political purposes, in an amount43not to exceed five thousand dollars in the aggregate in any calendar44year; provided that no public utility shall use revenues received from45the rendition of public service within the state for contributions for46political purposes unless such cost is charged to the shareholders of47such a public service corporation] any other provision of law to the 48 contrary, no contribution, loan, loan guarantee or other security for 49 such a loan from any corporation, limited liability company, limited 50 liability partnership or partnership, other than in the regular course 51 of the lender's business, may be accepted by a candidate or a political 52 committee, other than a corporation, limited liability company, limited 53 liability partnership or partnership that is a political committee, for 54 all nominations to any office or election to any office. 55 b. A loan made to a candidate or political committee, other than a 56 constituted committee, by any person, firm or association shall beS. 6116 6 1 repaid by the date of the primary, special or general election, as the 2 case may be, or such loan shall be considered a contribution by such 3 person, firm or association including any person endorsing, cosigning, 4 guaranteeing, collateralizing or other providing security for the loan. 5 § 10. Subdivision 3 of section 14-124 of the election law is REPEALED. 6 § 11. The election law is amended by adding a new section 14-125 to 7 read as follows: 8 § 14-125. New York state business contract database. 1. a. As used in 9 this section: 10 (i) the term "business relationships with the state" shall mean any 11 contract for the procurement of goods, services or construction that is 12 entered into or in effect with the state of New York or any agency or 13 entity affiliated thereto not awarded through a competitive bid process 14 pursuant to articles nine and eleven of the state finance law. Business 15 relationships with the state shall not mean any person or entity 16 rejected from participation in such a contract or any person or entity 17 not participating in such a contract within twenty-four months of any 18 election. 19 (ii) the term "New York state business contract database" shall mean a 20 database created, operated, maintained and updated by the state comp- 21 troller accessible to the public which contains the names of persons who 22 have business relationships with the state. Such database shall be 23 created, operated, maintained and updated by the state comptroller in a 24 manner so as to ensure its reasonable accuracy and completeness; 25 provided, however, that in no event shall such database be updated less 26 frequently than once a month in any general election year. Such database 27 shall enable members of the public to determine if a given person has a 28 business relationship with the state. 29 (iii) the term "person" shall include any chief executive officer, 30 chief financial officer or chief operating officer of such entity or 31 persons serving in an equivalent capacity, any person employed in a 32 senior managerial capacity regarding such entity, or any person with an 33 interest in such entity which exceeds ten percent of the value of such 34 entity at fair market value. 35 (iv) the term "senior managerial capacity" shall mean a high level 36 supervisory capacity, either by virtue of title or duties, in which 37 substantial discretion and oversight is exercised over the solicitation, 38 letting or administration of business transactions with the state, 39 including contracts, franchises, concession, grants, economic develop- 40 ment agreements and application for land use approvals. 41 b. Any database maintained by the comptroller as of the effective date 42 of this section may serve as the New York state business contract data- 43 base upon certification by the comptroller to the chairman of the 44 campaign finance board that such database fulfills the requirements of 45 this section. Every state agency or authority of the state including any 46 entity affiliated thereto shall provide the comptroller with such infor- 47 mation as is necessary to construct, modify and maintain such database 48 in a timely manner. 49 2. a. Neither a candidate participating in the voluntary campaign 50 finance program established pursuant to this article, nor a political 51 committee of such candidate shall accept contributions for a covered 52 election which in the aggregate exceeds four hundred dollars from a 53 person or entity who has a business relationship with the state. 54 b. Neither a candidate who does not participate in a voluntary 55 campaign finance program pursuant to this article nor a political 56 committee of such candidate shall accept contributions for a coveredS. 6116 7 1 election which in the aggregate exceeds four hundred dollars from a 2 person or entity who has a business relationship with the state. 3 c. No contribution pursuant to this section to a candidate or to a 4 political committee of such candidate shall be eligible for matching 5 contributions pursuant to title two of this article. 6 d. If the campaign finance board determines that any contribution to a 7 candidate or to the political committee of such candidate violates the 8 provisions of this section, the campaign finance board shall notify such 9 candidate within twenty days of such determination and such candidate or 10 candidate's political committee shall make a reasonable attempt to 11 return such contribution to the contributor; provided, however, that if 12 such candidate or the political committee of such candidate is unable to 13 return such contribution, such monies shall be paid to the campaign 14 finance board for payment into the New York state campaign finance fund 15 pursuant to section ninety-nine-hh of the state finance law. 16 e. The state comptroller and the chairman of the campaign finance 17 board shall promulgate such rules and regulations as the comptroller and 18 the chairman deem necessary for the administration of this section. 19 § 12. The article heading of article 14 of the election law is amended 20 to read as follows: 21 CAMPAIGN [RECEIPTS AND EXPENDITURES] FINANCE 22 § 13. Sections 14-100 through 14-132 of article 14 of the election law 23 are designated title 1 and a new title heading is added to read as 24 follows: 25 CAMPAIGN RECEIPTS AND EXPENDITURES 26 § 14. Article 14 of the election law is amended by adding a new title 27 2 to read as follows: 28 TITLE II 29 MATCHING FINANCING 30 Section 14-200. Applicability and definitions. 31 14-202. Reporting requirements. 32 14-204. Contribution and receipt limitations. 33 14-206. Proof of compliance. 34 14-208. Eligibility. 35 14-212. Payment of matching funds. 36 14-214. Use of matching funds; qualified campaign expenditures. 37 14-216. Campaign finance board; general powers and duties. 38 14-218. Audits and repayments. 39 14-220. Civil enforcement. 40 14-222. Criminal penalties. 41 14-224. Reports. 42 14-226. Debates. 43 14-228. Distributions from campaign finance fund. 44 § 14-200. Applicability and definitions. This title shall apply exclu- 45 sively to the financing of campaigns of candidates for the nomination 46 for election, and for election to, the offices of governor, lieutenant 47 governor, state comptroller, attorney general, member of the assembly, 48 state senator and delegate to a constitutional convention. For purposes 49 of this title, the following terms shall have the following meanings: 50 1. "Authorized committee" means a political committee designated by a 51 candidate pursuant to section 14-202 of this title to receive contrib- 52 utions and make expenditures in support of such candidate's campaign. NoS. 6116 8 1 more than one authorized committee may be designated by a candidate in 2 any election cycle. 3 2. "Board" or "campaign finance board" means the board created by 4 section 14-216 of this title to administer the campaign finance fund. 5 3. "Campaign participant" means the candidate, or any campaign member, 6 campaign volunteer, or campaign consultant. 7 4. "Candidate" means any candidate for nomination for election, or for 8 election to, the offices of governor, lieutenant governor, state comp- 9 troller, attorney general, member of the assembly, state senator and 10 delegate to a constitutional convention whether such candidate is a 11 "participating candidate" or "nonparticipating candidate" as defined in 12 this section. 13 5. "Contribution" means: 14 (a) any gift, subscription, outstanding loan (to the extent provided 15 for in section 14-114 of this article), advance, or deposit of money or 16 anything of value, made in connection with the nomination for election, 17 or election, of any candidate, or made to promote the success or defeat 18 of a political party or principle, or of any ballot proposal; 19 (b) any payment, by any person other than a candidate or an authorized 20 committee, made in connection with the nomination for election or 21 election of any candidate, or any payment made to promote the success or 22 defeat of a political party or principle, or of any ballot proposal 23 including but not limited to compensation for the personal services of 24 any individual which are rendered in connection with a candidate's 25 election or nomination without charge; provided however, that none of 26 the foregoing shall be deemed a contribution if it is made, taken or 27 performed by a candidate or his or her spouse or by a person or a poli- 28 tical committee independent of the candidate or his or her agents or 29 political committees. For purposes of this title, the term "independent 30 of the candidate or his or her agents or political committees" shall 31 mean that the candidate or his or her agents or political committee did 32 not authorize, request, suggest, foster or cooperate in any such activ- 33 ity; and provided further, that the term contribution shall not include: 34 (i) the value of services provided without compensation by individuals 35 who volunteer a portion or all of their time on behalf of a candidate or 36 political committee; 37 (ii) the use of real or personal property and the cost of invitations, 38 food and beverages voluntarily provided by an individual to a candidate 39 or political committee on the individual's residential premises for 40 candidate-related activities to the extent such services do not exceed 41 five hundred dollars in value; 42 (iii) the travel expenses of any individual who on his or her own 43 behalf volunteers his or her personal services to any candidate or poli- 44 tical committee to the extent such expenses are unreimbursed and do not 45 exceed five hundred dollars in value; and 46 (iv) expenditures by a bona fide membership organization in support of 47 the following activities by members of the organization who are volun- 48 teering their time on behalf of a candidate, not to exceed twenty-five 49 dollars per member who volunteer for: (1) transportation of volunteers 50 to and from campaign activities; (2) cost of feeding volunteers while 51 volunteering for the campaign; and (3) materials such as badges and 52 clothing that identifies the name of the organization or candidate; and 53 (c) any funds received by a political committee from another political 54 committee to the extent such funds do not constitute a transfer. 55 6. "Contributor" means an entity, including, but not limited to, 56 natural persons, associations and bona fide membership organizations,S. 6116 9 1 that makes a contribution, as defined in subdivision four of this 2 section and pursuant to section 14-116 of this article. 3 7. "Covered election" means any primary election for nomination, 4 special or general election for election, to the offices of governor, 5 lieutenant governor, state comptroller, attorney general, member of the 6 assembly, state senator and delegate to a constitutional convention. 7 8. "Election cycle" means (a) the four year period starting the day 8 after the general election and ending on the day of the next succeeding 9 general election for the offices of governor, lieutenant governor, state 10 comptroller and attorney general, (b) the two year period starting the 11 day after the general election and ending on the date of the next 12 succeeding general election for candidates for the offices of state 13 senator and member of the assembly, and (c) six months prior to any 14 special election ending on the day after such special election. 15 9. "Expenditure" means any gift, subscription, advance, payment, or 16 deposit of money or anything of value, or a contract to make any gift, 17 subscription, payment, or deposit of money or anything of value, made in 18 connection with the nomination for election, or election, of any candi- 19 date. Expenditures made by contract are deemed made when such funds are 20 obligated. 21 10. "Fund" means the campaign finance fund created by section ninety- 22 nine-hh of the state finance law. 23 11. "Family or household members" mean the following individuals: 24 (a) persons related by consanguinity or affinity; 25 (b) persons legally married to one another; 26 (c) persons formerly married to one another regardless of whether they 27 still reside in the same household; 28 (d) persons who have a child in common regardless of whether such 29 persons are married or have lived together at any time; or 30 (e) persons who are not related by consanguinity or affinity and who 31 are or have been in an intimate relationship regardless of whether such 32 persons have lived together at any time. 33 12. "Item with significant value" means any item, including any item 34 valued at twenty-five dollars or more. 35 13. "Legislative leader" means any of the following: the temporary 36 president of the senate; the speaker of the assembly; the minority lead- 37 er of the senate; or the minority leader of the assembly. 38 14. "Matchable contribution" means a contribution, contributions or 39 such portion of a contribution or contributions made by a natural person 40 residing in the state of New York at the time of such contribution, with 41 a value not to exceed two hundred fifty dollars, to a participating 42 candidate for any primary and a contribution, contributions or such 43 portion of a contribution or contributions made by a natural person 44 residing in the state of New York at the time of such contribution with 45 a value not to exceed two hundred fifty dollars to a participating 46 candidate for a general election held in the same election cycle or to a 47 participating candidate in a special election that has been reported in 48 full to the state board of elections in accordance with sections 14-102, 49 14-104 and 14-108 of this article by the candidate's authorized commit- 50 tee and has been contributed on or before the date of the applicable 51 primary or general or special election in any election cycle. Any 52 contribution, contributions, or such portion of a contribution or 53 contributions determined to be invalid for matching funds by the 54 campaign finance board pursuant to the provisions of this title may not 55 be treated as a matchable contribution. In addition, the following 56 contributions are not matchable: (a) loans; (b) in-kind contributions ofS. 6116 10 1 property, goods, or services; (c) contributions in the form of the 2 purchase price paid for an item with significant value; (d) anonymous 3 contributions or contributions whose source is not itemized as required 4 by section 14-202 of this title; (e) contributions received during a 5 previous election cycle; (f) illegal contributions; and (g) contrib- 6 utions from individuals under the age of eighteen years at the time the 7 contribution is made. 8 15. "Nonparticipating candidate" shall mean a candidate for the office 9 of governor, lieutenant governor, state comptroller, attorney general, 10 member of the assembly, state senator or delegate to a constitutional 11 convention for a covered election who fails to file a written certif- 12 ication in the form of an affidavit pursuant to section 14-208 of this 13 title. 14 16. "Participating candidate" shall mean any candidate for nomination 15 for election, or election, to the offices of governor, lieutenant gover- 16 nor, state comptroller, attorney general, member of the assembly, state 17 senator and delegate to a constitutional convention who files a written 18 certification in the form of an affidavit pursuant to section 14-208 of 19 this title. 20 17. "Political committee" means a committee as defined in section 21 14-100 of this article. 22 18. "Matching funds" means monies paid from the campaign finance fund 23 to the authorized committee of participating candidates pursuant to this 24 title. 25 19. "Qualified campaign expenditure" shall mean an expenditure for 26 which matching funds may be used. 27 20. "Threshold for eligibility" shall mean the amount of matchable 28 contributions that a candidate's authorized committee must receive in 29 total in order for such candidate to qualify for matching funds under 30 this article. 31 21. "Transfer" shall mean any exchange of funds or any thing of value 32 between political committees authorized by the same candidate taking 33 part solely in his or her campaign. 34 § 14-202. Reporting requirements. 1. Every participating candidate 35 shall designate only one authorized committee to be eligible to receive 36 contributions of matching funds. Before receiving any such contribution 37 or making any expenditure therefrom for a covered election, each partic- 38 ipating candidate shall notify the state board of elections and the 39 campaign finance board as to the existence of his or her eligible 40 authorized committee that has been designated and approved by such 41 candidate. Such authorized committee shall, before receiving any 42 contribution or making any expenditure for a covered election: (a) 43 designate a treasurer; (b) obtain a tax identification number from the 44 internal revenue service; and (c) submit to the state board of 45 elections, either in writing or electronically, the identification 46 number of the committee designated to be eligible to receive matching 47 funds. 48 2. Disclosure. (a) Every participating candidate shall submit such 49 reports to the state board of elections as required by title one of this 50 article. Copies of such reports shall also be submitted to the campaign 51 finance board created pursuant to this article at the same time such 52 reports are submitted to the state board of elections. 53 (b) The campaign finance board shall review each disclosure report 54 filed with the state board of elections pursuant to title one of this 55 article and shall inform participating candidates and political commit- 56 tees including the authorized committee, of relevant questions the boardS. 6116 11 1 has concerning: (i) compliance with requirements of this title and of 2 the rules issued by the board; and (ii) qualifications for receiving 3 public matching funds pursuant to this title. In the course of such 4 review, the board shall give candidates and political committees includ- 5 ing the authorized committee, an opportunity to respond to and correct 6 potential violations and give candidates an opportunity to address ques- 7 tions the board has concerning their matchable contribution claims or 8 other issues concerning eligibility for receiving matching funds pursu- 9 ant to this title. Nothing in this paragraph shall preclude the board 10 from subsequently reviewing such a disclosure report and taking any 11 action otherwise authorized by this title. 12 (c) Only itemized contributions contained in reports filed with the 13 state board of elections shall be eligible for matching funds pursuant 14 to this title. 15 § 14-204. Contribution and receipt limitations. 1. A participating 16 candidate and his or her authorized committee shall not accept, either 17 directly or indirectly: 18 (a) total contributions from any one contributor that exceed two thou- 19 sand six hundred dollars in any primary in an election cycle for the 20 offices of governor, lieutenant governor, state comptroller, attorney 21 general, member of the assembly, state senator and delegate to a consti- 22 tutional convention and two thousand six hundred dollars for a general 23 or special election in an election cycle for the offices of governor, 24 lieutenant governor, state comptroller, attorney general, member of the 25 assembly, state senator or delegate to a constitutional convention, 26 provided, however, that not more than two thousand six hundred dollars 27 may be received by a candidate from a contributor per election cycle; or 28 (b) any contribution from a political committee that has not regis- 29 tered with the state board of elections or has not registered with the 30 appropriate entity as required by law. 31 2. All monetary contributions and all matching funds accepted by a 32 candidate's authorized committee shall be deposited into an account with 33 a bank licensed by the department of financial services held in the name 34 of the authorized political committee within ten business days of 35 receipt. Each authorized committee shall have no more than one checking 36 account. Monetary contributions, other than matching funds, may be 37 invested in accordance with the provisions of law relating thereto. 38 3. Contributions to candidates in covered elections shall, for each 39 election cycle, in all other respects, be subject to the limitations and 40 provisions of title one of this article. 41 § 14-206. Proof of compliance. Candidates and political committees 42 shall maintain such records of receipts and expenditures for a covered 43 election as may be required by the campaign finance board. Candidates 44 and political committees shall obtain and furnish to the board any 45 information it may request relating to the financial transactions or 46 contributions of candidates and political committees and furnish such 47 documentation and other proof of compliance with this title as may be 48 requested by the board. Candidates and political committees shall main- 49 tain copies of such records for a period of five years following a 50 general election. 51 § 14-208. Eligibility. 1. To be eligible for matching funds pursuant 52 to this title, a candidate must: (a) be a candidate for the offices of 53 governor, lieutenant governor, state comptroller, attorney general, 54 member of the assembly, state senator or delegate to a constitutional 55 convention in a covered election; (b) satisfy all the requirements of 56 law to have his or her name on the ballot; (c) in the case of a coveredS. 6116 12 1 general election, be opposed by another candidate on the ballot who is 2 not a write-in candidate; (d) submit a certification in the form of an 3 affidavit, in such form as may be prescribed by the campaign finance 4 board, that sets forth his or her agreement to comply with the terms and 5 conditions for the provision of such funds in each covered election 6 which shall be filed with such board no later than June first of an 7 election year; (e) be certified as a participating candidate by such 8 board not later than two weeks after the filing of such affidavit; (f) 9 not make, and not have made, expenditures from, or use, his or her 10 personal funds or property or personal funds or property jointly held 11 with his or her spouse, domestic partner, or child in connection with 12 his or her nomination for election or election to a covered office 13 except as a contribution to his or her authorized committee in an amount 14 that exceeds the applicable contribution limit of an individual contrib- 15 utor to candidates for the office that he or she is seeking; (g) meet 16 the threshold for eligibility set forth in subdivision two of this 17 section; (h) abide by the requirements set forth in this title and chap- 18 ter during the post-election period; (i) no candidate shall be eligible, 19 if the candidate or family or household member as defined in subdivision 20 eleven of section 14-200 of this title has been convicted of public 21 corruption as defined in section 496.06 of the penal law; and (j) no 22 candidate shall be eligible if the candidate or any campaign participant 23 has been found to be in previous violation of any public financing or 24 matching fund program rules, regulations or any provision of campaign 25 finance law. 26 2. The threshold for eligibility for matching funds for candidates in 27 a primary, general or special election for the following offices shall 28 be: 29 (a) governor in a primary or general election. The receipt of not less 30 than six hundred fifty thousand dollars from at least six thousand five 31 hundred matchable contributions in single amounts of no more than two 32 hundred fifty dollars from natural persons residing in the state; 33 (b) lieutenant governor in a primary election and state comptroller or 34 attorney general in a primary or general election. The receipt of not 35 less than two hundred thousand dollars from at least two thousand match- 36 able contributions in single amounts of no more than two hundred fifty 37 dollars from natural persons residing in the state; 38 (c) state senators in a primary, general or special election. The 39 receipt of not less than twenty thousand dollars in matchable contrib- 40 utions in single amounts of no more than two hundred fifty dollars from 41 natural persons residing in the state, including at least ten thousand 42 dollars from at least one hundred contributors who reside in the senate 43 district or reside in any portion of any county which constitutes any 44 measure of the district in which the seat is to be filled; 45 (d) members of the assembly in a primary, general or special election. 46 The receipt of not less than ten thousand dollars in matchable contrib- 47 utions in single amounts of no more than two hundred fifty dollars from 48 natural persons residing in the state, including at least five thousand 49 dollars from at least fifty contributors who reside in the assembly 50 district or reside in any portion of any county which constitutes any 51 measure of the district in which the seat is to be filled; 52 (e) at-large delegate to a constitutional convention in a primary or a 53 general election. The receipt of not less than twenty thousand dollars 54 in matchable contributions in single amounts of no more than two hundred 55 fifty dollars from natural persons residing in the state; andS. 6116 13 1 (f) district delegate to a constitutional convention in a primary or 2 general election. The receipt of not less than five thousand dollars in 3 at least fifty matchable contributions in single amounts of no more than 4 two hundred fifty dollars from natural persons residing in the district 5 or in the constituent county or residing in any portion of any county 6 which constitutes any measure of the district in which the seat is to be 7 filled. 8 3. (a) Candidates who are contested in a primary election and who do 9 not seek matching funds shall not be eligible for matching funds for the 10 general election in that year. The provisions of this subdivision shall 11 not apply to candidates for the office of lieutenant governor. 12 (b) Candidates who are unopposed in a general or special election 13 shall not be eligible to receive matching funds. 14 (c) No candidate for election to an office in a primary, general or 15 special election who has elected to participate in the voluntary 16 campaign financing system shall be deemed opposed and be eligible for 17 matching funds unless there is at least one other candidate, as defined 18 by subdivision seven of section 14-100 of this article for such office 19 for such election. 20 (d) Any participating candidate meeting the threshold for eligibility 21 in a primary election shall be deemed to have met the threshold for 22 eligibility for such office in any other election held in the same 23 election cycle. 24 (e) No participating candidate for nomination to an office who is 25 unopposed in a primary election shall be eligible for matching for qual- 26 ified campaign expenditures, provided, however, that where a contest 27 occurs in a primary for the nomination of at least one other party for 28 office, the authorized committee of an unopposed participating candidate 29 for nomination may raise and spend an amount equal to one-half of the 30 matching funds receipt limit for such office, as fixed by this title for 31 candidates who have elected to accept matching funds, with contributions 32 of up to two thousand six hundred dollars per contributor pursuant to 33 section 14-204 of this title. 34 § 14-212. Payment of matching funds. 1. No matching funds shall be 35 paid to an authorized committee unless the campaign finance board deter- 36 mines that the participating candidate has qualified pursuant to this 37 title. Payment shall not exceed the amounts specified in this section 38 and may be made only to the participating candidate's authorized commit- 39 tee. No matching funds shall be used except to reimburse or pay for 40 qualified campaign expenditures actually and lawfully incurred or to 41 repay loans used to pay qualified campaign expenditures. 42 2. If the threshold for eligibility is met, the participating candi- 43 date's authorized committee shall receive payment for qualified campaign 44 expenditures of six dollars of matching funds for each one dollar of 45 matchable contributions for a primary election and six dollars of match- 46 ing funds for each one dollar of matchable contributions for a general 47 or special election for all matchable contributions received after Janu- 48 ary first of the year in which such primary or general election to be 49 held and reported to the board. 50 3. (a) Matching funds received by participating candidates and their 51 authorized committees in a primary election shall not exceed: 52 (i) the sum of five million five hundred thousand dollars for the 53 office of governor; 54 (ii) the sum of two million seven hundred fifty thousand dollars for 55 the offices of lieutenant governor, state comptroller and attorney 56 general;S. 6116 14 1 (iii) the sum of eight hundred twenty-five thousand dollars for the 2 office of state senator; 3 (iv) the sum of four hundred twelve thousand five hundred dollars for 4 the office of member of the assembly; 5 (v) the sum of one hundred seventy-five thousand dollars for an 6 at-large delegate to a constitutional convention; and 7 (vi) the sum of fifty thousand dollars for a district delegate to a 8 constitutional convention. 9 (b) Matching funds received by participating candidates and their 10 authorized committees in a general or special election shall not exceed: 11 (i) the sum of eight million two hundred fifty thousand dollars for 12 the offices of governor and lieutenant governor; 13 (ii) the sum of four million one hundred twenty-five thousand dollars 14 for the offices of state comptroller and attorney general; 15 (iii) the sum of eight hundred twenty-five thousand dollars for the 16 office of state senator; 17 (iv) the sum of four hundred twelve thousand five hundred dollars for 18 the office of member of the assembly; 19 (v) the sum of one hundred seventy-five thousand dollars for an 20 at-large delegate to a constitutional convention; and 21 (vi) the sum of fifty thousand dollars for a district delegate to a 22 constitutional convention. 23 4. No matching funds shall be paid to any participating candidates in 24 a primary election any earlier than the day that such candidate is 25 certified as being on the ballot for such primary election. 26 5. No matching funds shall be paid to any participating candidates in 27 a general election any earlier than the day after the day of the primary 28 election held to nominate candidates for such election. 29 6. No matching funds shall be paid to any participating candidate who 30 has been disqualified or whose designating petitions have been declared 31 invalid by the appropriate board of elections or a court of competent 32 jurisdiction until and unless such finding is reversed by a higher 33 authority. No payment from the fund in the possession of such a candi- 34 date or such candidate's participating committee on the date of such 35 disqualification or invalidation may thereafter be expended for any 36 purpose except the payment of liabilities incurred before such date. All 37 such moneys shall be repaid to the fund. 38 7. The commissioner of taxation and finance shall make all payments of 39 matching funds to participating candidates as soon as practicable, but 40 no later than five days after submission by the participating candidate 41 of a campaign contribution report filed with the state board of 42 elections in compliance with this article. The campaign finance board 43 shall verify eligibility for and amount of matching funds within three 44 days after receipt of such contribution report. Upon determination of 45 eligibility of a participating candidate for matching funds and of 46 amount of such matching funds, the campaign finance board shall submit 47 within one day a duly approved, certified and executed voucher to the 48 department of taxation and finance requesting payment of such matching 49 funds and payment thereof shall be made to the participating candidate's 50 authorized committee not less than one day after such voucher is 51 received by the department of taxation and finance. If any of the time 52 limits in this title for payment fall on a weekend or holiday, payment 53 shall be made on the next business day. 54 8. The campaign finance board and the department of taxation and 55 finance shall promulgate rules to facilitate electronic fund transfers 56 directly from the fund into an authorized committee's bank account.S. 6116 15 1 § 14-214. Use of matching funds; qualified campaign expenditures. 1. 2 Matching funds provided under the provisions of this title may be used 3 only by an authorized committee for expenditures to further the partic- 4 ipating candidate's nomination for election, or election, including 5 payment for debts incurred within one year before an election to further 6 the participating candidate's nomination for election or election. 7 2. Such matching funds may not be used for: (a) an expenditure that 8 violates any law or regulation; (b) an expenditure in excess of the fair 9 market value of services, materials, facilities or other item of signif- 10 icant value received in exchange; (c) an expenditure made after the 11 candidate has been finally disqualified from the ballot; (d) an expendi- 12 ture for an obligation incurred after the only remaining opponent of the 13 candidate has been finally disqualified from the ballot; (e) an expendi- 14 ture made by cash payment; (f) a contribution or loan made to another 15 candidate or political committee; (g) an expenditure to support or 16 oppose another candidate or political committee; (h) gifts, except 17 brochures, buttons, signs and other printed campaign material; (i) legal 18 fees to defend against a criminal charge; or (j) a payment to an immedi- 19 ate family member of the participating candidate. 20 § 14-216. Campaign finance board; general powers and duties. 1. There 21 shall be a board within the state board of elections known as the 22 "campaign finance board" composed of seven members, of which one member, 23 who shall be the chairperson, shall be appointed by the governor with 24 the advice and consent of the senate, one member shall be appointed by 25 the state comptroller, one member shall be appointed by the attorney 26 general, one member shall be appointed by the temporary president of the 27 senate, one member shall be appointed by the speaker of the assembly, 28 one member shall be appointed by the minority leader of the senate and 29 one member shall be appointed by the minority leader of the assembly. 30 No member of the campaign finance board shall hold elective office, nor 31 shall any member be a lobbyist as defined in subdivision (a) of section 32 one-c of the legislative law. The members shall first be appointed to 33 serve as follows: (a) two members, one appointed by the temporary presi- 34 dent of the senate and one appointed by the minority leader of the 35 assembly for a term of two years, (b) two members, one appointed by the 36 minority leader of the senate and one appointed by the speaker of the 37 assembly for a term of three years, (c) one member appointed by the 38 attorney general for a term of four years, (d) one member appointed by 39 the comptroller for a term of five years and (e) the chairperson shall 40 serve for a term of six years. Members appointed thereafter shall be 41 appointed for terms of six years. 42 2. Each initial member's term shall commence on January first, two 43 thousand twenty. In case of a vacancy in the office of a member, a 44 member shall be appointed according to the original manner of appoint- 45 ment. Each member shall be a resident of the state of New York and 46 registered to vote therein. Each member shall agree not to make and 47 shall not make contributions to any candidate or authorized committee 48 for nomination for election or for election to the offices of governor, 49 lieutenant governor, state comptroller, attorney general, member of the 50 assembly, state senator and delegate to a constitutional convention. No 51 member shall serve as an officer of a political party or committee or be 52 a candidate or participate in any capacity in a campaign by a candidate 53 for nomination for election, or for election to the offices of governor, 54 lieutenant governor, state comptroller, attorney general, member of the 55 assembly, state senator and delegate to a constitutional convention. AnS. 6116 16 1 officer or employee of the state or any state agency shall not be eligi- 2 ble to be a member of the campaign finance board. 3 3. The members of the campaign finance board shall be entitled to 4 receive payment for actual and necessary expenses incurred in the 5 performance of their duties as members of such board. 6 4. A member of the campaign finance board may be removed by his or her 7 appointing authority solely for substantial neglect of duty, gross 8 misconduct in office, inability to discharge the powers or duties of the 9 office, or violation of the provisions of this chapter, after written 10 notice and opportunity for a public hearing pursuant to rules developed 11 by the campaign finance board. 12 5. The campaign finance board may employ or shall utilize existing 13 staff of the state board of elections as may be necessary, including an 14 executive director and a counsel, and make necessary expenditures 15 subject to appropriation. The campaign finance board shall retain an 16 independent auditor to perform ongoing audits of each covered election 17 by contract entered into pursuant to section one hundred sixty-three of 18 the state finance law. 19 6. In addition to the enforcement powers, and any other powers and 20 duties specified by law, the campaign finance board shall: 21 (a) (i) render advisory opinions with respect to questions arising 22 under this title upon the written request of a candidate, an officer of 23 a political committee or member of the public, or upon its own initi- 24 ative; (ii) promulgate rules regarding reasonable times to respond to 25 such requests; and (iii) make public the questions of interpretation for 26 which advisory opinions will be considered by the campaign finance board 27 and its advisory opinions, including by publication on its website; 28 (b) develop a program for informing candidates and the public as to 29 the purpose and effect of the provisions of this title, including by 30 means of a website; 31 (c) have the authority to promulgate such rules and regulations and 32 prescribe such forms as the campaign finance board deems necessary for 33 the administration of this title; and 34 (d) in conjunction with the state board of elections develop an inter- 35 active, searchable computer database that shall contain all information 36 necessary for the proper administration of this title including informa- 37 tion on contributions to and expenditures by candidates and their 38 authorized committees and distributions of moneys from the fund and 39 shall be accessible to the public on the state board of elections' 40 website. 41 7. Consistent with the provisions of the civil service law and subdi- 42 vision seventeen of section seventy-three of the public officers law, 43 and notwithstanding the provisions of any other law to the contrary, all 44 positions on the staff of the campaign finance board shall be classified 45 in the exempt class of the civil service. 46 8. The campaign finance board's administration of the fund shall be 47 governed by the provisions of this title and section ninety-nine-hh of 48 the state finance law. 49 9. The campaign finance board and its proceedings shall be governed by 50 the state administrative procedure act and subject to articles six and 51 seven of the public officers law. 52 10. The campaign finance board may take such other actions as are 53 necessary and proper to carry out the purposes of this title. 54 § 14-218. Audits and repayments. 1. The campaign finance board is 55 hereby empowered to audit and examine, pursuant to generally accepted 56 accounting principles, all matters relating to the performance of itsS. 6116 17 1 functions and any other matter relating to the administration of this 2 title. Such audits shall be conducted as frequently as the campaign 3 finance board deems necessary to ensure compliance with this title. 4 Every candidate who receives matching funds under this title shall also 5 be audited by the campaign finance board post-election. The cost of 6 complying with a post-election audit shall be borne by the candidate's 7 authorized committee. A candidate who has received matching funds under 8 this title must maintain a reserve of at least one percent of the total 9 amount of matching funds received by such candidate in his or her 10 campaign account to comply with the post-election audit. A candidate who 11 runs in both a primary and a general election, must maintain a reserve 12 of one percent of the total amount of matching funds received by such 13 candidate for both his or her primary and general election. A candidate 14 may use matching funds, private funds or a combination of matching and 15 private funds to comply with a post-election audit. The campaign finance 16 board shall issue to each campaign audited the final post-election audit 17 report that details its findings and shall provide such audit to the 18 governor and legislative leaders and make such audit report available on 19 the state board of elections' website. 20 2. If the campaign finance board determines that any portion of a 21 payment made to a candidate's authorized committee from the fund 22 exceeded the amount that such candidate was eligible to receive pursuant 23 to this title, the campaign finance board shall notify such committee 24 and such committee shall pay to the campaign finance board an amount 25 equal to the amount of the excess payment; provided, however, that if 26 the erroneous payment was due to an error made by the campaign finance 27 board, then the erroneous payment will be offset against any future 28 payment, if any. The participating candidate and the candidate's author- 29 ized committee shall be jointly and severally liable for any repayments 30 due to the campaign finance board for deposit by such board into the New 31 York state campaign finance fund. 32 3. If the campaign finance board determines that any portion of a 33 payment made to a candidate's authorized committee from the New York 34 state campaign finance fund was used for purposes other than qualified 35 campaign expenditures, the campaign finance board shall notify such 36 committee of the amount so disqualified and such committee shall pay to 37 the campaign finance board an amount equal to such disqualified amount. 38 Such monies shall be deposited into the New York state campaign finance 39 fund established pursuant to section ninety-nine-hh of the state finance 40 law. The candidate and the candidate's authorized committee shall be 41 jointly and severally liable for any repayments due to the campaign 42 finance board. 43 4. A participating candidate shall pay to the campaign finance board 44 for deposit into the campaign finance fund unspent matching funds for an 45 election not later than thirty days after all liabilities for the 46 election campaign have been paid and in any event, not later than twenty 47 days after the date on which the campaign finance board issues its final 48 audit report for the participating candidate's committee; provided, 49 however, that all unspent matching funds for a participating candidate 50 shall be immediately due and payable to the campaign finance board for 51 deposit into the New York state campaign finance fund upon its determi- 52 nation that the participant willfully delayed the post-election audit 53 process. A participating candidate may make post-election expenditures 54 only for routine activities involving nominal costs associated with 55 winding up a campaign and responding to the post-election audit pursuant 56 to section 14-228 of this title. For accounting purposes, all privateS. 6116 18 1 and personal contributions shall be considered spent before revenue from 2 the fund is spent or committed. 3 § 14-220. Civil enforcement. 1. Any person or authorized committee who 4 knowingly and willfully fails to make a filing as required by the 5 provisions of this title shall be subject to a fine to be imposed by the 6 campaign finance board in an amount not to exceed five thousand dollars. 7 2. Any person or authorized committee who knowingly and willfully 8 violates any other provision of this title or any rule promulgated here- 9 under shall be subject to a fine to be imposed by the campaign finance 10 board in an amount not to exceed ten thousand dollars. 11 3. Fines authorized under this section will be imposed by the campaign 12 finance board after a hearing at which the subject person or authorized 13 committee shall be given an opportunity to be heard. Such hearing shall 14 be held in such manner and upon such notice as may be prescribed by the 15 rules of the campaign finance board. For purposes of conducting such 16 hearings, the campaign finance board shall be deemed to be an agency 17 within the meaning of article three of the state administrative proce- 18 dure act and shall adopt rules governing the conduct of adjudicatory 19 proceedings and appeals taken pursuant to a proceeding commenced under 20 article seventy-eight of the civil practice law and rules relating to 21 the assessment of the fines herein authorized. 22 4. The campaign finance board shall publish on the state board of 23 elections' website the final order adjudicating any matter brought 24 pursuant to this section. 25 5. Any fines imposed by the campaign finance board pursuant to this 26 section shall be deposited into the New York state campaign finance 27 fund. 28 § 14-222. Criminal penalties. 1. Any person who knowingly and willful- 29 ly fails to make a filing required by the provisions of this title with- 30 in ten days after the date provided for such, or anyone that knowingly 31 and willfully violates any other provision of this title shall be guilty 32 of a misdemeanor and, in addition to such other penalties as may be 33 provided by law, shall be subject to a fine not to exceed the amount of 34 ten thousand dollars. 35 2. Any person who knowingly and willfully contributes, accepts or aids 36 or participates in the contribution or acceptance of a contribution in 37 an amount exceeding an applicable maximum specified in this article 38 shall be guilty of a misdemeanor and shall be subject to a fine not to 39 exceed the amount of ten thousand dollars. 40 3. Any person who knowingly makes a false statement or knowingly omits 41 a material fact to the campaign finance board or an auditor designated 42 by the campaign finance board during any audit conducted pursuant to 43 section 14-218 of this title shall be guilty of a class E felony. 44 4. In addition any other sentence lawfully imposed upon a finding of 45 guilt in a criminal prosecution commenced pursuant to the provisions of 46 this section, the court may order a defendant to repay to the campaign 47 finance board any matching funds obtained as a result of any criminal 48 conduct. 49 5. All such prosecutions for criminal acts under this article shall be 50 prosecuted by the attorney general. 51 6. Any and all fines imposed pursuant to this section shall be made 52 payable to the campaign finance board for deposit into the New York 53 state campaign finance fund. 54 § 14-224. Reports. The campaign finance board shall submit a report to 55 the governor and legislative leaders on or before February first, twoS. 6116 19 1 thousand twenty-one, and every two years thereafter, which shall 2 include: 3 1. a list of the participating and nonparticipating candidates in 4 covered elections and the votes received by each candidate in those 5 elections; 6 2. the amount of contributions and loans received, and expenditures 7 made, on behalf of participating and nonparticipating candidates; 8 3. the amount of matching funds each participating candidate received, 9 spent and repaid pursuant to this article; 10 4. analysis of the effect of this title on the election campaign for 11 the offices of governor, lieutenant governor, state comptroller, attor- 12 ney general, member of the assembly, state senator and delegate to a 13 constitutional convention, including its effect on the sources and 14 amounts of private financing, the level of campaign expenditures, voter 15 participation, the number of candidates, the candidates' abilities to 16 campaign effectively for public office, and the diversity of candidates 17 seeking and elected to office; 18 5. recommendations for changes or amendments to this title, including 19 changes in contribution limits, thresholds for eligibility and limits on 20 total matching funds; and 21 6. any other information that the campaign finance board deems rele- 22 vant. 23 § 14-226. Debates. The campaign finance board shall promulgate regu- 24 lations to facilitate debates among participating candidates. Partic- 25 ipating candidates are required to participate in at least one debate 26 before the primary election and in at least one debate before the gener- 27 al election for which the candidate receives public funds, unless the 28 participating candidate is running unopposed. A nonparticipating candi- 29 date may be a party to such debates. 30 § 14-228. Distributions from campaign finance fund. 1. This section 31 governs the campaign finance board's distribution of funds from the 32 campaign finance fund established by section ninety-nine-hh of the state 33 finance law, except as otherwise provided in this title. 34 2. No moneys shall be paid to any participating candidate who has been 35 disqualified by the campaign finance board or whose designating 36 petitions have been declared invalid by the state board of elections or 37 a court of competent jurisdiction until and unless such finding is 38 reversed by an appellate court. 39 3. No payment from the fund in the possession of such a candidate or 40 such a candidate's authorized committee on the date of such disquali- 41 fication or invalidation may thereafter be expended for any purpose 42 except the payment of liabilities incurred before that date. All excess 43 matching moneys paid to a disqualified candidate shall be returned to 44 the fund not less than thirty days after the general election for those 45 participating candidates who received matching moneys for the general 46 election, and otherwise, not less than thirty days after the primary 47 election for those participating candidates who received matching moneys 48 solely for the primary election. 49 4. (a) Participating candidates shall pay to the campaign finance 50 board unspent matching campaign funds from an election not later than 51 thirty days after all liabilities for the election have been paid and, 52 in any event, not less than twenty days after the date upon which the 53 campaign finance board issues its final audit report for the participat- 54 ing candidate's committee; provided, however, that all unspent matching 55 campaign funds for a participating candidate shall be immediately due 56 and payable to the campaign finance board upon its determination thatS. 6116 20 1 the participating candidate has, without just cause, delayed the post-e- 2 lection audit process. Unspent matching campaign funds determinations 3 made by the campaign finance board shall be based on the participating 4 candidate committee's receipts and expenditures. The campaign finance 5 board may also consider any other relevant information revealed in the 6 course of its audits or investigations or the investigations by any 7 other agency. 8 (b) (i) A participating candidate may not use receipts for any purpose 9 other than disbursements in the preceding election until all unspent 10 matching campaign funds have been repaid. A participating candidate 11 shall have the burden of demonstrating that a post-election expenditure 12 is for the preceding election. 13 (ii) Before repaying unspent matching campaign funds, a participating 14 candidate may make post-election expenditures only for routine activ- 15 ities involving nominal costs associated with winding up a campaign and 16 responding to the post-election audit. Such expenditures may include: 17 payment of utility bills and rent; reasonable staff salaries and 18 consultant fees for responding to a post-election audit; reasonable 19 moving expenses related to closing a campaign office; a holiday card 20 mailing to contributors, campaign volunteers, and staff members; thank 21 you notes for contributors, campaign volunteers, and staff members; 22 payment of taxes and other reasonable expenses for compliance with 23 applicable tax laws; and interest expenses. Routine post-election 24 expenditures that may be paid for with unspent matching campaign funds 25 do not include such items as post-election mailings other than as 26 specifically provided for in this subparagraph; making contributions; or 27 holding any post-election day event, including, but not limited to, any 28 meal or any party. Unspent campaign funds may not be used for transition 29 or inauguration activities. 30 5. All monies received by the campaign finance board pursuant to this 31 section shall be deposited into the New York state campaign finance fund 32 pursuant to section ninety-nine-hh of the state finance law. 33 § 15. The election law is amended by adding a new section 16-103 to 34 read as follows: 35 § 16-103. Proceedings as to matching funds. 1. The determination of 36 eligibility pursuant to section 14-208 of this chapter and any question 37 or issue relating to payments for qualified campaign expenditures pursu- 38 ant to section 14-212 of this chapter may be contested in a proceeding 39 instituted in the supreme court, Albany county, by any aggrieved candi- 40 date. 41 2. A proceeding with respect to such a determination of eligibility or 42 payment for qualified campaign expenditures pursuant to section 14-212 43 of this chapter shall be instituted within seven days after such deter- 44 mination was made. The campaign finance board shall be made a party to 45 any such proceeding. 46 3. Upon the campaign finance board's failure to receive the amount due 47 from a participating candidate or such candidate's committee after the 48 issuance of written notice of such amount due, as required by subdivi- 49 sion four of section 14-218 of this chapter, such board is authorized to 50 institute a special proceeding or civil action in supreme court, Albany 51 county, to obtain a judgment for any amounts determined to be payable to 52 the campaign finance board as a result of an examination and audit made 53 pursuant to title two of article fourteen of this chapter. 54 4. The campaign finance board is authorized to institute a special 55 proceeding or civil action in supreme court, Albany county, to obtain aS. 6116 21 1 judgment for civil penalties determined to be payable to the fair 2 elections board pursuant to section 14-218 of this chapter. 3 § 16. The general business law is amended by adding a new section 4 359-gg to read as follows: 5 § 359-gg. Additional surcharge. In addition to any penalty authorized 6 by section three hundred fifty-nine-g of this article or any damages or 7 other compensation recoverable including, but not limited to, any 8 settlement authorized by section sixty-three or sixty-three-c of the 9 executive law, there shall be assessed thereon an additional surcharge 10 in the amount of ten percent of the total amount of such penalty, 11 damages or settlement. Such surcharge shall be deposited in the New York 12 state campaign finance fund established by section ninety-nine-hh of the 13 state finance law. 14 § 17. The state finance law is amended by adding a new section 99-hh 15 to read as follows: 16 § 99-hh. New York state campaign finance fund. 1. There is hereby 17 established in the joint custody of the commissioner of taxation and 18 finance and the state comptroller a special fund to be known as the "New 19 York state campaign finance fund". 20 2. Such fund shall consist of all revenues received from the surcharge 21 imposed pursuant to section three hundred fifty-nine-gg of the general 22 business law, revenues received from campaign finance fund check-off 23 pursuant to section six hundred thirty-g of the tax law, revenues from 24 the abandoned property fund pursuant to section ninety-five of this 25 article, and all other moneys credited or transferred thereto from any 26 other fund or source pursuant to law. Nothing contained in this section 27 shall prevent the state from receiving grants, gifts, bequests or volun- 28 tary contributions for the purposes of the fund as defined in this 29 section and depositing them into the fund according to law. Monies in 30 the fund shall be kept separate from and not commingled with other funds 31 held in the joint custody of the commissioner of taxation and finance 32 and the state comptroller. 33 3. Moneys of the fund, following appropriation by the legislature, may 34 be expended for the purposes of making payments to candidates pursuant 35 to title two of article fourteen of the election law. Moneys shall be 36 paid out of the fund by the state comptroller on vouchers certified or 37 approved by the campaign finance board established pursuant to title two 38 of article fourteen of the election law, or the duly designated repre- 39 sentative of such board, in the manner prescribed by law, not more than 40 one working day after a voucher duly certified, approved and executed by 41 such board or its representative in the form prescribed by the state 42 comptroller is received by the state comptroller. 43 § 18. The tax law is amended by adding a new section 630-g to read as 44 follows: 45 § 630-g. Contribution to New York state campaign finance fund. Effec- 46 tive for any taxable year commencing on or after January first, two 47 thousand nineteen, an individual in any taxable year may elect to 48 contribute to the New York state campaign finance fund. Such contrib- 49 ution shall be in the amount of five dollars and shall not reduce the 50 amount of state tax owed by such individual. The commissioner shall 51 include space on the personal income tax return to enable a taxpayer to 52 make such contribution. Notwithstanding any other provision of law, all 53 revenues collected pursuant to this section shall be credited to the New 54 York state campaign finance fund and used only for those purposes 55 enumerated in section ninety-nine-hh of the state finance law.S. 6116 22 1 § 19. Section 95 of the state finance law is amended by adding a new 2 subdivision 5 to read as follows: 3 5. Notwithstanding any provision of this section authorizing the 4 transfer of any moneys in the abandoned property fund to the general 5 fund, in January of each year in which a state general election is to be 6 held pursuant to law, or at least six weeks prior to any state special 7 election, the comptroller, upon warrant or voucher by the chair of the 8 campaign finance board or his or her duly appointed representative, 9 shall transfer moneys of the abandoned property fund into the campaign 10 finance fund pursuant to section ninety-nine-hh of this article. On 11 March thirty-first of the year following such general election year, 12 such chair shall transfer to the general fund any surplus moneys of the 13 campaign finance fund as of such date. 14 § 20. Section 6-120 of the election law is REPEALED. 15 § 21. Severability. If any clause, sentence, subdivision, paragraph, 16 section or part of this act be adjudged by any court of competent juris- 17 diction to be invalid, such judgment shall not affect, impair or invali- 18 date the remainder thereof, but shall be confined in its operation to 19 the clause, sentence, subdivision, paragraph, section or part thereof 20 directly involved in the controversy in which such judgment shall have 21 been rendered. 22 § 22. This act shall take effect December 31, 2019; provided, however, 23 that all candidates will be eligible to participate in the optional 24 campaign finance system beginning with the 2020 general election.
