Full Text of HB3804 103rd General Assembly
HB3804 103RD GENERAL ASSEMBLY |
| | 103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024 HB3804 Introduced 2/17/2023, by Rep. Maurice A. West, II SYNOPSIS AS INTRODUCED: |
| 10 ILCS 5/9-1 | from Ch. 46, par. 9-1 | 10 ILCS 5/9-1.4 | from Ch. 46, par. 9-1.4 | 10 ILCS 5/9-1.5 | from Ch. 46, par. 9-1.5 | 10 ILCS 5/9-1.8 | from Ch. 46, par. 9-1.8 | 10 ILCS 5/9-1.14 | | 10 ILCS 5/9-1.15 | | 10 ILCS 5/9-1.16 new | | 10 ILCS 5/9-1.17 new | | 10 ILCS 5/9-3 | from Ch. 46, par. 9-3 | 10 ILCS 5/9-3.6 new | | 10 ILCS 5/9-3.10 new | | 10 ILCS 5/9-10 | from Ch. 46, par. 9-10 | 10 ILCS 5/9-10.5 new | | 10 ILCS 5/9-22 | from Ch. 46, par. 9-22 | 10 ILCS 5/9-28.5 | | 10 ILCS 5/9.50 new | | 10 ILCS 5/9-8.6 rep. | |
|
Amends the Election Code. Sets forth provisions concerning independent expenditures; coordinated expenditures; transfer records for independent expenditures; reporting requirements for independent expenditures; disclosure of original contributors on independent expenditures for public communications; judicial review of actions of the State Board of Elections; and a prohibition on structured contributions. Replaces references to "electioneering communication" with "election spending". Defines terms. Makes other changes.
|
| |
| | A BILL FOR |
|
| | | HB3804 | | LRB103 29670 BMS 56072 b |
|
| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Election Code is amended by changing | 5 | | Sections 9-1, 9-1.4, 9-1.5, 9-1.8, 9-1.14, 9-1.15, 9-3, 9-10, | 6 | | 9-22, and 9-28.5 and by adding Sections 9-1.16, 9-1.17, 9-3.6, | 7 | | 9-3.10, 9-10.5, and 9.50 as follows:
| 8 | | (10 ILCS 5/9-1) (from Ch. 46, par. 9-1)
| 9 | | Sec. 9-1.
As used in this Article, unless the context | 10 | | otherwise requires,
the terms defined in Sections 9-1.1 | 11 | | through 9-1.17 9-1.13 , have the respective
meanings as defined | 12 | | in those Sections.
| 13 | | (Source: P.A. 86-873.)
| 14 | | (10 ILCS 5/9-1.4) (from Ch. 46, par. 9-1.4)
| 15 | | Sec. 9-1.4. Contribution. | 16 | | (A) "Contribution" means:
| 17 | | (1) a gift, subscription, donation, dues, loan, advance, | 18 | | deposit
of money, or anything of value, knowingly received in | 19 | | connection with the
nomination for election, election, or | 20 | | retention of any candidate or person to or in public office or
| 21 | | in connection with any question of public policy;
| 22 | | (1.5) a gift, subscription, donation, dues, loan, advance, |
| | | HB3804 | - 2 - | LRB103 29670 BMS 56072 b |
|
| 1 | | deposit of money, or anything of value that constitutes | 2 | | election spending an electioneering communication made in | 3 | | concert or cooperation with or at the request, suggestion, or | 4 | | knowledge of a candidate, a political committee, or any of | 5 | | their agents;
| 6 | | (2) the purchase of tickets for fund-raising events, | 7 | | including but
not limited to dinners, luncheons, cocktail | 8 | | parties, and rallies made in
connection with the nomination | 9 | | for election, election, or retention of any person in or
to | 10 | | public office, or in
connection with any question of public | 11 | | policy;
| 12 | | (3) a transfer of funds received by a political committee | 13 | | from another political committee;
| 14 | | (4) the services of an employee donated by an employer, in | 15 | | which
case the contribution shall be listed in the name of the | 16 | | employer,
except that any individual services provided | 17 | | voluntarily and without
promise or expectation of compensation | 18 | | from any source shall not be deemed
a contribution; and
| 19 | | (5) an expenditure by a political committee made in | 20 | | cooperation, consultation, or concert with another political | 21 | | committee. | 22 | | (A-5) "In-kind contribution" means anything of value, | 23 | | other than a direct contribution of funds, knowingly received | 24 | | in connection with the nomination for election, election, or | 25 | | retention of any candidate or person to or in public office or | 26 | | in connection with any question of public policy, including: |
| | | HB3804 | - 3 - | LRB103 29670 BMS 56072 b |
|
| 1 | | (1) goods or services provided free of charge or at | 2 | | less than their market value; and | 3 | | (2) anything of value that constitutes election | 4 | | spending made in concert or cooperation with or at the | 5 | | request, suggestion, or knowledge of a candidate, a | 6 | | political committee, or any of their agents. | 7 | | (B) "Contribution" does not include:
| 8 | | (a) the use of real or personal property and the | 9 | | cost of invitations,
food,
and beverages, voluntarily | 10 | | provided by an individual in rendering voluntary
| 11 | | personal services on the individual's residential | 12 | | premises for
candidate-related
activities; provided | 13 | | the value of the service provided does not exceed an
| 14 | | aggregate of $150 in a reporting period;
| 15 | | (b) the sale of any food or beverage by a vendor | 16 | | for use in a candidate's
campaign at a charge less than | 17 | | the normal comparable charge, if such charge
for use | 18 | | in a candidate's campaign is at least equal to the cost | 19 | | of such
food or beverage to the vendor;
| 20 | | (c) communications by a corporation to its | 21 | | stockholders and executive or administrative personnel | 22 | | or their families; | 23 | | (d) communications by an association to its | 24 | | members and executive or administrative personnel or | 25 | | their families; | 26 | | (e) voter registration or other campaigns |
| | | HB3804 | - 4 - | LRB103 29670 BMS 56072 b |
|
| 1 | | encouraging voting that make no mention of any clearly | 2 | | identified candidate, public question, political | 3 | | party, group, or combination thereof; | 4 | | (f) a loan of money by a national or State bank or | 5 | | credit union made in accordance with the applicable | 6 | | banking laws and regulations and in the ordinary | 7 | | course of business, but the loan shall be listed on | 8 | | disclosure reports required by this Article; however, | 9 | | the use, ownership, or control of any security for | 10 | | such a loan, if provided by a person other than the | 11 | | candidate or his or her committee, qualifies as a | 12 | | contribution; or | 13 | | (g) an independent expenditure. | 14 | | (C) Interest or other investment income, earnings or | 15 | | proceeds, and refunds or returns of all or part of a | 16 | | committee's previous expenditures shall not be considered | 17 | | contributions but shall be listed on disclosure reports | 18 | | required by this Article. | 19 | | (Source: P.A. 96-832, eff. 1-1-11 .)
| 20 | | (10 ILCS 5/9-1.5) (from Ch. 46, par. 9-1.5) | 21 | | Sec. 9-1.5. Expenditure. | 22 | | (A) "Expenditure" means:
| 23 | | (1) a payment, distribution, purchase, loan, advance, | 24 | | deposit,
gift of money, or anything of value, in | 25 | | connection with the nomination
for election, election, or |
| | | HB3804 | - 5 - | LRB103 29670 BMS 56072 b |
|
| 1 | | retention of any person to or in public office or in
| 2 | | connection with any question of public policy;
| 3 | | (2) a payment, distribution, purchase, loan,
advance, | 4 | | deposit, gift of
money, or anything of value that | 5 | | constitutes election spending an electioneering | 6 | | communication
made in concert or cooperation with
or at | 7 | | the request, suggestion, or knowledge of a candidate, a | 8 | | political committee, or any of their
agents; or | 9 | | (3) a transfer of funds by a political committee to | 10 | | another political committee. | 11 | | (B) "Expenditure" does not
include:
| 12 | | (a) the use of real or personal property and the cost | 13 | | of invitations,
food,
and beverages, voluntarily provided | 14 | | by an individual in rendering voluntary
personal services | 15 | | on the individual's
residential premises for | 16 | | candidate-related activities; provided the value
of the | 17 | | service provided does not exceed an aggregate of $150 in a | 18 | | reporting
period;
or
| 19 | | (b) the sale of any food or beverage by a vendor for | 20 | | use in a candidate's
campaign at a charge less than the | 21 | | normal comparable charge, if such charge
for use in a | 22 | | candidate's
campaign is at least equal to the cost of such | 23 | | food or beverage to the vendor.
| 24 | | (Source: P.A. 96-832, eff. 1-1-11 .)
| 25 | | (10 ILCS 5/9-1.8)
(from Ch. 46, par. 9-1.8)
|
| | | HB3804 | - 6 - | LRB103 29670 BMS 56072 b |
|
| 1 | | Sec. 9-1.8. Political committees. | 2 | | (a) "Political committee" includes a candidate political | 3 | | committee, a political party committee, a political action | 4 | | committee, a ballot initiative committee, and an independent | 5 | | expenditure committee. | 6 | | (b) "Candidate political committee" means the candidate | 7 | | himself or herself or any natural person, trust, partnership, | 8 | | corporation, or other organization or group of persons | 9 | | designated by the candidate that accepts contributions or | 10 | | makes expenditures during any 12-month period in an aggregate | 11 | | amount exceeding $5,000 on behalf of the candidate. | 12 | | (c) "Political party committee" means the State central | 13 | | committee of a political party, a county central committee of | 14 | | a political party, a legislative caucus committee, or a | 15 | | committee formed by a ward or township committeeperson of a | 16 | | political party. For purposes of this Article, a "legislative | 17 | | caucus committee" means a committee established for the | 18 | | purpose of electing candidates to the General Assembly by the | 19 | | person elected President of the Senate, Minority Leader of the | 20 | | Senate, Speaker of the House of Representatives, Minority | 21 | | Leader of the House of Representatives, or a committee | 22 | | established by 5 or more members of the same caucus of the | 23 | | Senate or 10 or more members of the same caucus of the House of | 24 | | Representatives. | 25 | | (d) "Political action committee" means any natural person, | 26 | | trust, partnership, committee, association, corporation, or |
| | | HB3804 | - 7 - | LRB103 29670 BMS 56072 b |
|
| 1 | | other organization or group of persons, other than a | 2 | | candidate, political party, candidate political committee, or | 3 | | political party committee, that accepts contributions or makes | 4 | | expenditures during any 12-month period in an aggregate amount | 5 | | exceeding $5,000 on behalf of or in opposition to a candidate | 6 | | or candidates for public office. "Political action committee" | 7 | | includes any natural person, trust, partnership, committee, | 8 | | association, corporation, or other organization or group of | 9 | | persons, other than a candidate, political party, candidate | 10 | | political committee, or political party committee, that | 11 | | engages in election spending makes electioneering | 12 | | communications during any 12-month period in an aggregate | 13 | | amount exceeding $5,000 related to any candidate or candidates | 14 | | for public office. | 15 | | (e) "Ballot initiative committee" means any natural | 16 | | person, trust, partnership, committee, association, | 17 | | corporation, or other organization or group of persons that | 18 | | accepts contributions or makes expenditures during any | 19 | | 12-month period in an aggregate amount exceeding $5,000 in | 20 | | support of or in opposition to any question of public policy to | 21 | | be submitted to the electors. "Ballot initiative committee" | 22 | | includes any natural person, trust, partnership, committee, | 23 | | association, corporation, or other organization or group of | 24 | | persons that engages in election spending makes electioneering | 25 | | communications during any 12-month period in an aggregate | 26 | | amount exceeding $5,000 related to any question of public |
| | | HB3804 | - 8 - | LRB103 29670 BMS 56072 b |
|
| 1 | | policy to be submitted to the voters. The $5,000 threshold | 2 | | applies to any contributions or expenditures received or made | 3 | | with the purpose of securing a place on the ballot for, | 4 | | advocating the defeat or passage of, or engaging in election | 5 | | spending electioneering communication regarding the question | 6 | | of public policy, regardless of the method of initiation of | 7 | | the question of public policy and regardless of whether | 8 | | petitions have been circulated or filed with the appropriate | 9 | | office or whether the question has been adopted and certified | 10 | | by the governing body. | 11 | | (f) "Independent expenditure committee" means any trust, | 12 | | partnership, committee, association, corporation, or other | 13 | | organization or group of persons that: | 14 | | (1) makes independent expenditures during any 12-month | 15 | | period in an aggregate amount exceeding $5,000; | 16 | | (2) has as one of its major purposes influencing the | 17 | | nomination or election of a candidate or candidates; and | 18 | | (3) does not do any of the following: | 19 | | (i) make contributions to any political committee | 20 | | other than a ballot initiative committee or another | 21 | | independent expenditure committee; | 22 | | (ii) coordinate fundraising with any candidate or | 23 | | another political committee, other than a ballot | 24 | | initiative committee or another independent | 25 | | expenditure committee; | 26 | | (iii) coordinate fundraising or spending with any |
| | | HB3804 | - 9 - | LRB103 29670 BMS 56072 b |
|
| 1 | | group established, financed, maintained, or controlled | 2 | | by a candidate or another political committee, other | 3 | | than a ballot initiative committee or another | 4 | | independent expenditure committee; | 5 | | (iv) employ the services of a person that during | 6 | | the previous 2 years had provided campaign services | 7 | | for a public official or candidate whom the trust, | 8 | | partnership, committee, association, corporation, or | 9 | | other organization or group supports, unless the | 10 | | person establishes an effective firewall as described | 11 | | in subsection (f) of Section 9-1.17. | 12 | | In this subsection (f), "coordinate" means to make in | 13 | | cooperation, consultation, or concert with, or at the request | 14 | | or suggestion of, a candidate, a candidate's committee, or a | 15 | | political party committee. | 16 | | formed for the exclusive
purpose of making independent | 17 | | expenditures during any 12-month period in an aggregate amount | 18 | | exceeding $5,000 in support of or in opposition to (i) the | 19 | | nomination for election, election, retention, or defeat of any | 20 | | public official or candidate or (ii) any question of public | 21 | | policy to be submitted to the electors. "Independent | 22 | | expenditure committee" also includes any trust, partnership, | 23 | | committee, association, corporation, or other organization or | 24 | | group of persons that makes electioneering communications that | 25 | | are not made in connection, consultation, or concert with or | 26 | | at the request or suggestion of a public official or |
| | | HB3804 | - 10 - | LRB103 29670 BMS 56072 b |
|
| 1 | | candidate, a public official's or candidate's designated | 2 | | political committee or campaign, or an agent or agents of the | 3 | | public official, candidate, or political committee or campaign | 4 | | during any 12-month period in an aggregate amount exceeding | 5 | | $5,000 related to (i) the nomination for election, election, | 6 | | retention, or defeat of any public official or candidate or | 7 | | (ii) any question of public policy to be submitted to the | 8 | | voters. | 9 | | (g) "Limited activity committee" means a political | 10 | | committee for which a person who is nominated to a position | 11 | | that is subject to confirmation by the Senate, including a | 12 | | member of the State Board of Elections, is either an officer or | 13 | | a candidate the committee has designated to support.
| 14 | | (Source: P.A. 102-664, eff. 1-1-22 .)
| 15 | | (10 ILCS 5/9-1.14)
| 16 | | Sec. 9-1.14. Electioneering communication and public | 17 | | communication .
| 18 | | (a) "Electioneering communication" means, for the purposes | 19 | | of this Article,
any broadcast, cable, or satellite | 20 | | communication, including radio, television, or Internet | 21 | | communication, that (1) refers to (i) a
clearly
identified | 22 | | candidate or candidates who will appear on the ballot for | 23 | | nomination for election, election, or retention, (ii) a | 24 | | clearly identified political party, or (iii) a clearly | 25 | | identified question of public policy that will appear on the |
| | | HB3804 | - 11 - | LRB103 29670 BMS 56072 b |
|
| 1 | | ballot, (2) is made within (i) 60
days before a general | 2 | | election
or consolidated election or (ii) 30 days before a | 3 | | primary
election, (3) is targeted to the relevant electorate, | 4 | | and (4) is susceptible to no reasonable interpretation other | 5 | | than as an appeal to vote for or against a clearly identified | 6 | | candidate for nomination for election, election, or retention, | 7 | | a political party, or a question of public policy.
| 8 | | (b) "Electioneering communication" does not include:
| 9 | | (1) A communication, other than an advertisement, | 10 | | appearing in a news
story,
commentary, or editorial
| 11 | | distributed through the facilities of any legitimate news | 12 | | organization, unless
the
facilities are owned or | 13 | | controlled by any political party, political committee,
or | 14 | | candidate.
| 15 | | (2) A communication made solely to promote a | 16 | | nonpartisan candidate debate or forum
that is made by or | 17 | | on behalf of the person sponsoring the debate or forum.
| 18 | | (3) A communication made as part of a nonpartisan | 19 | | non-partisan activity designed to
encourage individuals to | 20 | | vote or to register to vote.
| 21 | | (4) A communication by an organization operating and | 22 | | remaining in good
standing under Section 501(c)(3) of the | 23 | | Internal Revenue Code of 1986.
| 24 | | (5) A communication exclusively between a labor | 25 | | organization, as defined under federal or State law, and | 26 | | its members.
|
| | | HB3804 | - 12 - | LRB103 29670 BMS 56072 b |
|
| 1 | | (6) A communication exclusively between an | 2 | | organization formed under Section 501(c)(6) of the | 3 | | Internal Revenue Code and its members.
| 4 | | (c) "Public communication" means, for the purposes of this | 5 | | Article, any broadcast, cable, satellite, radio, television, | 6 | | print, or Internet communication, or any other form of general | 7 | | public political advertising or marketing regardless of | 8 | | medium, including, but not limited to: | 9 | | (1) advertising placed for a fee in a print | 10 | | publication or on a website, or other digital medium; | 11 | | (2) outdoor advertising, such as billboards; or | 12 | | (3) mass mailing, phone banking, or text banking | 13 | | delivering an identical or substantially similar message | 14 | | intended to contact 500 or more persons within a 30-day | 15 | | period. | 16 | | (Source: P.A. 96-832, eff. 7-1-10 .) | 17 | | (10 ILCS 5/9-1.15) | 18 | | Sec. 9-1.15. Independent expenditure. | 19 | | (a) "Independent expenditure" means any payment, gift, | 20 | | donation, or expenditure of funds that: | 21 | | (1) is made for election spending as defined in | 22 | | Section 9-1.16; and | 23 | | (2) is not made in connection, consultation, or | 24 | | concert with or at the request or suggestion of a public | 25 | | official or candidate, the public official or candidate's |
| | | HB3804 | - 13 - | LRB103 29670 BMS 56072 b |
|
| 1 | | political committee, or the agent or agents of the public | 2 | | official, candidate, or political committee or campaign. | 3 | | (b) An independent expenditure is not considered a | 4 | | contribution to a political committee. An expenditure made by | 5 | | a person or political committee in connection, consultation, | 6 | | or concert with or at the request or suggestion of the public | 7 | | official or candidate, the public official's or candidate's | 8 | | political committee, or the agent or agents of the public | 9 | | official, candidate, or political committee or campaign shall | 10 | | be considered a contribution to the public official's or | 11 | | candidate's political committee. | 12 | | (c) A person that is not a political committee and that | 13 | | makes an independent expenditure that, alone or in combination | 14 | | with any other independent expenditure made by that person | 15 | | during any 12-month period, equals an aggregate value of at | 16 | | least $5,000 must file a written disclosure with the State | 17 | | Board of Elections within 2 business days after making any | 18 | | expenditure that results in the person meeting or exceeding | 19 | | the $5,000 threshold. A person who has made a written | 20 | | disclosure with the State Board of Elections shall have a | 21 | | continuing obligation to report further expenditures, in | 22 | | $1,000 increments, to the State Board of Elections until the | 23 | | conclusion of the next general election. | 24 | | (d) A person that makes an independent expenditure | 25 | | supporting or opposing a public official or candidate that, | 26 | | alone or in combination with any other independent expenditure |
| | | HB3804 | - 14 - | LRB103 29670 BMS 56072 b |
|
| 1 | | made by that person supporting or opposing that public | 2 | | official or candidate during the election cycle, equals an | 3 | | aggregate value of more than (i) $250,000 for statewide office | 4 | | or (ii) $100,000 for all other elective offices must file a | 5 | | written disclosure with the State Board of Elections within 2 | 6 | | business days after making any expenditure that results in the | 7 | | person exceeding the applicable threshold. Each disclosure | 8 | | must identify the person, the public official or candidate | 9 | | supported or opposed, the date, amount, and nature of each | 10 | | independent expenditure, and the person's occupation and | 11 | | employer, if applicable. | 12 | | (e) Every political committee that makes independent | 13 | | expenditures must report all such independent expenditures as | 14 | | required under Section 9-10. | 15 | | (f) If a political committee organized as an independent | 16 | | expenditure committee makes a contribution to any other | 17 | | political committee other than another independent expenditure | 18 | | committee or a ballot initiative committee, the State Board of | 19 | | Elections shall assess a fine equal to the amount of any | 20 | | contribution received in the preceding 2 years by the | 21 | | independent expenditure committee that exceeded the limits for | 22 | | a political action committee set forth in subsection (d) of | 23 | | Section 9-8.5. | 24 | | "Independent expenditure" means any payment, gift, | 25 | | donation, or expenditure of funds (i) by a natural person or | 26 | | political committee for the purpose of making electioneering |
| | | HB3804 | - 15 - | LRB103 29670 BMS 56072 b |
|
| 1 | | communications or of expressly advocating for or against the | 2 | | nomination for election, election, retention, or defeat of a | 3 | | clearly identifiable public official or candidate or for or | 4 | | against any question of public policy to be submitted to the | 5 | | voters and (ii) that is not made in connection, consultation, | 6 | | or concert with or at the request or suggestion of the public | 7 | | official or candidate, the public official's or candidate's | 8 | | designated political committee or campaign, or the agent or | 9 | | agents of the public official, candidate, or political | 10 | | committee or campaign.
| 11 | | (Source: P.A. 96-832, eff. 7-1-10; 97-766, eff. 7-6-12.) | 12 | | (10 ILCS 5/9-1.16 new) | 13 | | Sec. 9-1.16. Election spending. As used in this Article, | 14 | | "election spending" means any spending on: | 15 | | (1) express advocacy for or against the nomination for | 16 | | election, election, retention, or defeat of a clearly | 17 | | identifiable public official or candidate or for or | 18 | | against any question of public policy to be submitted to | 19 | | the voters; | 20 | | (2) an electioneering communication; | 21 | | (3) a public communication that promotes, attacks, | 22 | | supports, or opposes a clearly identifiable public | 23 | | official or candidate or any question of public policy to | 24 | | be submitted to the voters; | 25 | | (4) encouraging partisan voter activity, including |
| | | HB3804 | - 16 - | LRB103 29670 BMS 56072 b |
|
| 1 | | partisan voter registration, partisan get-out-the-vote | 2 | | activity, or partisan generic campaign activity; or | 3 | | (5) conducting research, design, production, polling, | 4 | | data analytics, mailing or social media list acquisition, | 5 | | or other activities conducted in preparation for or | 6 | | conjunction with activities in paragraphs (1), (2), (3), | 7 | | and (4). | 8 | | (10 ILCS 5/9-1.17 new) | 9 | | Sec. 9-1.17. Coordinated expenditures. | 10 | | (a) As used in this Section, "coordinated expenditure" | 11 | | means: | 12 | | (1) the republication of a candidate's or political | 13 | | party's campaign materials, unless such republication is | 14 | | used to oppose the candidate or party that created the | 15 | | materials; or | 16 | | (2) an expenditure that meets at least one conduct | 17 | | standard and one content standard. | 18 | | "Coordinated expenditure" does not include: | 19 | | (1) a communication that appears in a news story, | 20 | | commentary, or editorial; or | 21 | | (2) an expenditure for a nonpartisan candidate debate | 22 | | or forum. | 23 | | For purposes of defining coordinated expenditures: | 24 | | (1) "candidate" includes any person who is a candidate | 25 | | at the time of the expenditure, regardless of whether that |
| | | HB3804 | - 17 - | LRB103 29670 BMS 56072 b |
|
| 1 | | person was a candidate at the time the conduct | 2 | | constituting coordination took place; | 3 | | (2) an expenditure "not made totally independently" | 4 | | includes any expenditure made pursuant to any expressed or | 5 | | implied agreement with, or any general or particular | 6 | | understanding with, or pursuant to any request by or | 7 | | communication with, the candidate, committee, or political | 8 | | party about the expenditure; and | 9 | | (3) references to candidates or parties include | 10 | | agents, executives, or managers who worked for such | 11 | | persons during the 2 years preceding the expenditure. | 12 | | (b) Conduct constitutes coordination between a spender and | 13 | | the candidate or political party that benefits from the | 14 | | expenditure whenever: | 15 | | (1) an expenditure is not made totally independently | 16 | | of a candidate or party; | 17 | | (2) during the 2 years preceding the expenditure, the | 18 | | candidate, including immediate family members, or party | 19 | | directly or indirectly established, maintained, | 20 | | controlled, or principally funded the spender; | 21 | | (3) during the 2 years preceding the expenditure, a | 22 | | candidate or party official solicited funds for the | 23 | | spender, provided fundraising information to the spender, | 24 | | appeared as a speaker at a fundraiser for the spender, or | 25 | | gave permission to be featured in the spender's | 26 | | fundraising efforts; |
| | | HB3804 | - 18 - | LRB103 29670 BMS 56072 b |
|
| 1 | | (4) the expenditure is based on information about the | 2 | | candidate's or party's campaign needs that the candidate | 3 | | or party provided to the spender; or | 4 | | (5) during the 2 years preceding the expenditure, the | 5 | | spender employed the services of a person who, during the | 6 | | same period, had executive or managerial authority for the | 7 | | candidate or party, was authorized to raise or expend | 8 | | funds for the candidate or party, or provided the | 9 | | candidate or party with professional services other than | 10 | | accounting or legal services related to campaign or | 11 | | fundraising strategy. | 12 | | (c) An expenditure, when coordinated, constitutes funds | 13 | | spent for the purpose of influencing an election whenever: | 14 | | (1) regarding a candidate or a candidate's political | 15 | | committee, the expenditure is for: | 16 | | (i) a public communication that expressly | 17 | | advocates for or against the nomination or election of | 18 | | a candidate; that supports a candidate's election or | 19 | | opposes a candidate's opponent; or refers to a clearly | 20 | | identified candidate at any time from 120 days before | 21 | | a primary election, nominating caucus or convention, | 22 | | or retention election through the general election; | 23 | | (ii) an expenditure for partisan voter activity, | 24 | | including voter registration, get-out-the-vote | 25 | | activity, phone banking, or generic campaign activity, | 26 | | in the jurisdiction where the candidate is seeking |
| | | HB3804 | - 19 - | LRB103 29670 BMS 56072 b |
|
| 1 | | election; or | 2 | | (iii) an expenditure for research, design or | 3 | | production costs, polling expenses, data analytics, | 4 | | creating or purchasing mailing or social media lists, | 5 | | or other activities related to those defined in | 6 | | subdivisions (i) or (ii). | 7 | | (2) regarding a political party, the expenditure is | 8 | | for: | 9 | | (i) a public communication that expressly | 10 | | advocates for the election of a candidate of the | 11 | | political party or against a candidate of an opposing | 12 | | political party; that supports a candidate of the | 13 | | political party or opposes a candidate of an opposing | 14 | | political party, including generically advocating for | 15 | | the political party or against an opposing political | 16 | | party; or refers to a clearly identified candidate or | 17 | | political party at any time from 120 days before a | 18 | | primary election, nominating caucus or convention, or | 19 | | retention election through the general election; | 20 | | (ii) an expenditure for partisan voter activity, | 21 | | including voter registration, get-out-the-vote | 22 | | activity, phone banking, or generic campaign activity; | 23 | | or | 24 | | (iii) an expenditure for research, design or | 25 | | production costs, polling expenses, data analytics, | 26 | | creating or purchasing mailing or social media lists, |
| | | HB3804 | - 20 - | LRB103 29670 BMS 56072 b |
|
| 1 | | or other activities related to those defined in | 2 | | subdivisions (i) or (ii). | 3 | | (d) Notwithstanding paragraph (5) of subsection (b), | 4 | | expenditures involving former employees or common agents of a | 5 | | candidate or party will not be deemed coordinated if the | 6 | | spender implements, or causes another person to implement, an | 7 | | effective firewall. A person who relies upon a firewall bears | 8 | | the burden of proof of showing that the firewall was | 9 | | effective. A firewall must: | 10 | | (1) separate staff who provide a service to the | 11 | | spender in relation to its covered expenditures from other | 12 | | staff who provide services to a candidate or party | 13 | | supported by the spender's expenditures; | 14 | | (2) forbid an organization's owners, executives, | 15 | | managers, and supervisors from simultaneously overseeing | 16 | | the work of staff separated by a firewall; | 17 | | (3) prohibit the flow of strategic nonpublic | 18 | | information between the spender and the candidate or party | 19 | | supported by the covered expenditure and between specific | 20 | | staff who are separated by the firewall; | 21 | | (4) provide for physical and technological separation | 22 | | to ensure that strategic nonpublic information does not | 23 | | flow between the spender and the candidate or party and | 24 | | between the specific staff separated by the firewall; and | 25 | | (5) be in written form and distributed to all relevant | 26 | | employees and consultants before any relevant work is |
| | | HB3804 | - 21 - | LRB103 29670 BMS 56072 b |
|
| 1 | | performed regarding both the general firewall policy and | 2 | | any specific firewall created pursuant to the general | 3 | | firewall policy, and provided to the Board of Elections | 4 | | upon request. | 5 | | (10 ILCS 5/9-3) (from Ch. 46, par. 9-3) | 6 | | Sec. 9-3. Political committee statement of organization. | 7 | | (a) Every political committee shall file with the State | 8 | | Board of Elections a
statement of organization within 10 | 9 | | business days of the creation of
such
committee, except any | 10 | | political committee created within the 30 days before
an
| 11 | | election shall file a statement of organization within 2 | 12 | | business days in person, by facsimile transmission, or by | 13 | | electronic mail. Any change in information previously | 14 | | submitted in a statement of organization shall be reported, as | 15 | | required for the original statement of organization by this | 16 | | Section, within 10 days following that change.
The Board shall | 17 | | impose a civil penalty of $50 per business day upon political
| 18 | | committees for failing to file or late filing of a statement of | 19 | | organization. Such penalties shall not
exceed $5,000, and | 20 | | shall not exceed $10,000 for statewide office political
| 21 | | committees.
There shall be no fine if the statement is mailed | 22 | | and postmarked at least 72
hours prior to the filing deadline.
| 23 | | In addition to the civil penalties authorized by this | 24 | | Section, the State
Board of Elections or any other political | 25 | | committee may apply to the
circuit court for a temporary |
| | | HB3804 | - 22 - | LRB103 29670 BMS 56072 b |
|
| 1 | | restraining
order or a preliminary or permanent injunction | 2 | | against the political committee
to cease the expenditure of | 3 | | funds and to cease operations until the statement
of | 4 | | organization is filed.
| 5 | | For the purpose of this Section,
"statewide office" means | 6 | | the Governor, Lieutenant Governor, Secretary of State,
| 7 | | Attorney General, State Treasurer, and State Comptroller.
| 8 | | (b) The statement of organization shall include:
| 9 | | (1) the name
and address of the political committee | 10 | | and the designation required by Section 9-2;
| 11 | | (2) the scope, area of activity, party affiliation, | 12 | | and purposes of the political
committee;
| 13 | | (3) the name, address, and position of each custodian | 14 | | of the
committee's books and accounts;
| 15 | | (4) the name, address, and position of the committee's | 16 | | principal
officers, including the chairman, treasurer, and | 17 | | officers and members of
its finance committee, if any;
| 18 | | (5) the name and address of any sponsoring entity;
| 19 | | (6) a statement of what specific disposition of | 20 | | residual fund will
be made in the event of the dissolution | 21 | | or
termination of the committee;
| 22 | | (7) a listing of all banks or other financial | 23 | | institutions, safety
deposit boxes, and any other | 24 | | repositories or custodians of funds used by
the committee; | 25 | | and
| 26 | | (8) the amount of funds available for campaign |
| | | HB3804 | - 23 - | LRB103 29670 BMS 56072 b |
|
| 1 | | expenditures as of
the filing date of the committee's | 2 | | statement of organization.
| 3 | | For purposes of this Section, a "sponsoring entity" is (i) | 4 | | any person,
organization, corporation, or association that | 5 | | contributes
at least 33% of the total funding of the political | 6 | | committee or (ii) any person
or other entity that is | 7 | | registered or is required to register under the
Lobbyist | 8 | | Registration Act and contributes at least 33% of the total | 9 | | funding of
the political committee.
| 10 | | (c) Each statement of organization required to be
filed in | 11 | | accordance with this Section shall be verified, dated, and | 12 | | signed
by either the treasurer of the political committee | 13 | | making the statement or
the candidate on whose behalf the | 14 | | statement is made and shall contain
substantially the | 15 | | following verification: | 16 | | "VERIFICATION: | 17 | | I declare that this statement of organization (including | 18 | | any
accompanying schedules and statements) has been examined | 19 | | by me and, to the
best of my knowledge and belief, is a true, | 20 | | correct, and complete statement
of organization as required by | 21 | | Article 9 of the Election Code. I understand
that willfully | 22 | | filing a false or incomplete statement is
subject to a civil | 23 | | penalty of at least $1,001 and up to $5,000. | 24 | | ................ ..........................................
| 25 | | (date of filing) (signature of person making the statement)". | 26 | | (d) The statement of organization for a ballot initiative |
| | | HB3804 | - 24 - | LRB103 29670 BMS 56072 b |
|
| 1 | | committee also shall include a verification signed by the | 2 | | chairperson of the committee that (i) the committee is formed | 3 | | for the purpose of supporting or opposing a question of public | 4 | | policy, (ii) all contributions received and expenditures made | 5 | | by of the committee will be used for the purpose described in | 6 | | the statement of organization, (iii) the committee may accept | 7 | | unlimited contributions from any source, provided that the | 8 | | ballot initiative committee does not make contributions or | 9 | | expenditures in support of or opposition to a candidate or | 10 | | candidates for nomination for election, election, or | 11 | | retention, and (iv) failure to abide by these requirements | 12 | | shall deem the committee in violation of this Article. | 13 | | (d-5) The statement of organization for an independent | 14 | | expenditure committee also shall include a verification signed | 15 | | by the chairperson of the committee that (i) the committee is | 16 | | formed for the exclusive purpose of making independent | 17 | | expenditures, (ii) all contributions received and expenditures | 18 | | made by of the committee will be used for the purpose described | 19 | | in the statement of organization, (iii) the committee may | 20 | | accept unlimited contributions from any source, provided that | 21 | | the independent expenditure committee does not make | 22 | | contributions to any candidate political committee, political | 23 | | party committee, or political action committee, and (iv) | 24 | | failure to abide by these requirements shall deem the | 25 | | committee in violation of this Article. | 26 | | (e) For purposes of implementing the changes made by this |
| | | HB3804 | - 25 - | LRB103 29670 BMS 56072 b |
|
| 1 | | amendatory Act of the 96th General Assembly, every political | 2 | | committee in existence on the effective date of this | 3 | | amendatory Act of the 96th General Assembly shall file the | 4 | | statement required by this Section with the Board by December | 5 | | 31, 2010. | 6 | | (Source: P.A. 99-522, eff. 6-30-16.)
| 7 | | (10 ILCS 5/9-3.6 new) | 8 | | Sec. 9-3.6. Transfer records for independent expenditures. | 9 | | (a) As used in this Article: | 10 | | "Business income" means: | 11 | | (1) funds received by a person in commercial | 12 | | transactions in the ordinary course of a person's regular | 13 | | trade, business, or investments; or | 14 | | (2) membership or union dues to the extent that they | 15 | | do not exceed $5,000 from a person in a calendar year. | 16 | | "Covered entity" means any person, including a natural | 17 | | person or political committee, who spends $10,000 or more in | 18 | | an election cycle on independent expenditures, or who accepts | 19 | | $10,000 or more in an election cycle of in-kind contributions | 20 | | to enable independent expenditures, but not including: | 21 | | (1) individuals who spend only their own personal | 22 | | funds for independent expenditures; | 23 | | (2) organizations that spend only their own business | 24 | | income for independent expenditures; and | 25 | | (3) a political committee that receives no more than |
| | | HB3804 | - 26 - | LRB103 29670 BMS 56072 b |
|
| 1 | | $12,000 in contributions from any one person in a calendar | 2 | | year. | 3 | | "Identity" means: | 4 | | (1) in the case of a natural person, the name, mailing | 5 | | address, occupation, and employer of such individual; and | 6 | | (2) in the case of any other entity, the full name and | 7 | | address, federal tax status, and state of incorporation or | 8 | | partnership, if any, of such entity. | 9 | | "Original funds" means business income or the personal | 10 | | funds of an individual. | 11 | | "Personal funds" means: | 12 | | (1) any asset of an individual that the individual has | 13 | | legal control over and rightful title to; | 14 | | (2) income received by an individual, including: | 15 | | (A) salary and other earned income from bona fide | 16 | | employment; | 17 | | (B) dividends and proceeds from the individual's | 18 | | personal investments; and | 19 | | (C) bequests to the individual, including income | 20 | | from trusts established by bequests; and | 21 | | (3) a portion of assets that are jointly owned by the | 22 | | individual and the individual's spouse equal to the | 23 | | individual's share of the asset under the instrument of | 24 | | conveyance or ownership, but if no specific share is | 25 | | indicated by an instrument of conveyance or ownership, | 26 | | then the value of one-half of the property. |
| | | HB3804 | - 27 - | LRB103 29670 BMS 56072 b |
|
| 1 | | "Personal funds" does not include any asset or income | 2 | | received from any person for the purpose of influencing any | 3 | | election. | 4 | | "Traceable funds" means funds that have been given to a | 5 | | covered entity and for which, pursuant to subsection (c), no | 6 | | donor has opted out of their use or transfer for independent | 7 | | expenditures, or funds used to finance in-kind contributions | 8 | | to a covered entity to enable independent expenditures. | 9 | | "Transfer records" means a written record of the identity | 10 | | of the persons who directly or indirectly contributed or | 11 | | transferred original funds used for independent expenditures, | 12 | | the amounts of those contributions or transfers, and how such | 13 | | funds are disbursed. | 14 | | (b) A covered entity that spends $10,000 or more on | 15 | | independent expenditures in the 12 months before an election, | 16 | | or who accepts $10,000 or more in an election cycle of in-kind | 17 | | contributions to enable independent expenditures, must | 18 | | maintain transfer records. For the purposes of this Article, | 19 | | the amount of a covered entity's expenditures includes | 20 | | independent expenditures made by entities established, | 21 | | financed, maintained, or controlled by that committee or its | 22 | | officers. | 23 | | (c) Before a covered entity can use or transfer a donor's | 24 | | funds for independent expenditures, the donor must be notified | 25 | | in writing that the funds may be so used and must be given an | 26 | | opportunity to opt out of having the donation used or |
| | | HB3804 | - 28 - | LRB103 29670 BMS 56072 b |
|
| 1 | | transferred for such spending. The notice under this | 2 | | subsection: | 3 | | (1) shall inform donors that their contributions may | 4 | | be used for independent expenditures in Illinois and that | 5 | | information about donors may have to be reported to the | 6 | | State Board of Elections for disclosure to the public; | 7 | | (2) shall inform donors that they can opt out of | 8 | | having their contributions used or transferred for | 9 | | independent expenditures in Illinois by so notifying the | 10 | | covered entity in writing within 21 days; and | 11 | | (3) may be provided to the donor before or after the | 12 | | covered entity receives the contribution, but the | 13 | | contribution may not be used or transferred for | 14 | | independent expenditures until 21 days after the notice is | 15 | | provided or until the donor provides written consent, | 16 | | whichever is earlier. | 17 | | (d) Any person who contributes $10,000 or more in | 18 | | aggregate in traceable funds in an election cycle to a covered | 19 | | entity must inform that entity, within 10 days after receiving | 20 | | a written request from the covered entity, of the identities | 21 | | of persons who directly or indirectly contributed $1,000 or | 22 | | more in original funds being transferred, the amounts of such | 23 | | persons' original funds being transferred, and any persons who | 24 | | have previously transferred the original funds. If more than | 25 | | one transfer has previously occurred, the contributor must | 26 | | disclose all such previous transfers and intermediaries. The |
| | | HB3804 | - 29 - | LRB103 29670 BMS 56072 b |
|
| 1 | | contributor must maintain these records for at least 5 years | 2 | | and provide them, upon request, to the State Board of | 3 | | Elections. | 4 | | (e) Any person who makes an in-kind contribution to a | 5 | | covered entity of $10,000 or more in an election cycle to | 6 | | enable independent expenditures must inform that person, at | 7 | | the time the in-kind contribution is made or promised to be | 8 | | made, of the identities of persons who directly or indirectly | 9 | | contributed or provided $1,000 or more in original funds used | 10 | | to finance the in-kind contribution, the amounts of such | 11 | | persons' original funds so used, and any persons who had | 12 | | previously transferred such original funds. If more than one | 13 | | transfer had previously occurred, the in-kind contributor must | 14 | | disclose all such previous transfers and intermediaries. The | 15 | | in-kind contributor must maintain these records for at least 5 | 16 | | years and provide them, upon request, to the State Board of | 17 | | Elections. | 18 | | (10 ILCS 5/9-3.10 new) | 19 | | Sec. 9-3.10. Additional reporting requirements for | 20 | | entities making independent expenditures. | 21 | | (a) A covered entity as defined in Section 9-3.6 that is | 22 | | also a political committee registered with the State Board of | 23 | | Elections shall, in addition to the reporting requirements set | 24 | | forth elsewhere in this Article, include the following | 25 | | information on reports that it makes to the State Board of |
| | | HB3804 | - 30 - | LRB103 29670 BMS 56072 b |
|
| 1 | | Elections: | 2 | | (1) On the committee statement of organization: | 3 | | (A) the identity of any affiliated person who | 4 | | maintains its own transfer records and that person's | 5 | | relationship to the covered entity; and | 6 | | (B) the name, address, and position of the | 7 | | individual who is the custodian of the transfer | 8 | | records. | 9 | | (2) On reports disclosing contributions, including | 10 | | regular quarterly reports and reports on contributions of | 11 | | $1,000 or more as required by subsection (c) of Section | 12 | | 9-10: | 13 | | (A) each contributor of original funds who has | 14 | | contributed, directly or indirectly, more than $5,000 | 15 | | of traceable funds or in-kind contributions during the | 16 | | election cycle to the covered entity, and the date and | 17 | | amount of each of such contributor's contributions; | 18 | | (B) the identity of persons who acted as | 19 | | intermediaries who transferred, in whole or in part, | 20 | | traceable funds from original sources to the covered | 21 | | entity, and the date, amount, and source, original and | 22 | | intermediate, of such transferred funds; | 23 | | (C) the identity of each person who received from | 24 | | the covered entity disbursements aggregating to $1,000 | 25 | | or more of traceable funds during the election cycle | 26 | | and the date and purpose of each disbursement, |
| | | HB3804 | - 31 - | LRB103 29670 BMS 56072 b |
|
| 1 | | including the full name and office sought of any | 2 | | candidate that was supported, opposed, or referenced | 3 | | in a public communication that was financed, in whole | 4 | | or in part, with the disbursement; and | 5 | | (D) the identity of any person whose aggregate | 6 | | contributions of traceable funds to the covered entity | 7 | | constituted more than half of such funds of the | 8 | | covered entity at the start of the election cycle. | 9 | | (b) A covered entity as defined in Section 9-3.6 that is | 10 | | not a political committee shall file the following reports | 11 | | with the State Board of Elections: | 12 | | (1) Within 10 days of first disbursing $10,000 or more | 13 | | in aggregate during an election cycle on independent | 14 | | expenditures, or accepting $10,000 or more in aggregate | 15 | | during an election cycle of in-kind contributions to | 16 | | enable independent expenditures, the covered entity shall | 17 | | file an initial report that discloses: | 18 | | (A) the identity of the person who owns or | 19 | | controls the traceable funds; | 20 | | (B) the identity of any affiliated person who | 21 | | maintains its own transfer records and that person's | 22 | | relationship to the covered entity; | 23 | | (C) the name, address, and position of the | 24 | | individual who is the custodian of the transfer | 25 | | records; | 26 | | (D) the name, address, and position of at least |
| | | HB3804 | - 32 - | LRB103 29670 BMS 56072 b |
|
| 1 | | one individual who can control, directly or | 2 | | indirectly, how the traceable funds are disbursed; | 3 | | (E) the total amount of traceable funds owned or | 4 | | controlled by the covered entity on the date of the | 5 | | report; | 6 | | (F) each contributor of original funds who has | 7 | | contributed, directly or indirectly, more than $5,000 | 8 | | of traceable funds or in-kind contributions during the | 9 | | election cycle to the covered entity, and the date and | 10 | | amount of each of such contributor's contributions; | 11 | | (G) the identity of persons who acted as | 12 | | intermediaries who transferred, in whole or in part, | 13 | | traceable funds from original sources to the covered | 14 | | entity, and the date, amount, and source, original and | 15 | | intermediate, of such transferred funds; | 16 | | (H) the identity of each person who received from | 17 | | the covered entity disbursements aggregating to $1,000 | 18 | | or more of traceable funds during the election cycle | 19 | | and the date and purpose of each disbursement, | 20 | | including the full name and office sought of any | 21 | | candidate that was supported, opposed, or referenced | 22 | | in a public communication that was financed, in whole | 23 | | or in part, with the disbursement; and | 24 | | (I) the identity of any person whose aggregate | 25 | | contributions of traceable funds to the covered entity | 26 | | constituted more than half of such funds of the |
| | | HB3804 | - 33 - | LRB103 29670 BMS 56072 b |
|
| 1 | | covered entity at the start of the election cycle. | 2 | | (2) After its initial report and each time the covered | 3 | | entity disburses another $10,000 or more in aggregate | 4 | | during the election cycle on independent expenditures, or | 5 | | receives another $10,000 in aggregate during the election | 6 | | cycle of in-kind contributions to enable independent | 7 | | expenditures, the covered entity shall file an additional | 8 | | report within 10 days that shall disclose any information | 9 | | that has changed since it was previously reported pursuant | 10 | | to paragraph (1). | 11 | | (3) When information has changed since it was | 12 | | previously reported pursuant to paragraph (1) of | 13 | | subsection (b) but has not yet been reported, such changed | 14 | | information shall be reported within 20 days, except the | 15 | | reporting person need not report such changes that occur | 16 | | more than 2 years after the most recent report pursuant to | 17 | | this Section was filed. | 18 | | (10 ILCS 5/9-10) (from Ch. 46, par. 9-10)
| 19 | | Sec. 9-10. Disclosure of contributions and expenditures.
| 20 | | (a) The treasurer of every political committee shall file | 21 | | with the
Board reports of campaign contributions and | 22 | | expenditures as required by this Section on forms to be
| 23 | | prescribed or approved by the Board.
| 24 | | (b) Every political committee shall file quarterly reports | 25 | | of campaign contributions, expenditures, and independent |
| | | HB3804 | - 34 - | LRB103 29670 BMS 56072 b |
|
| 1 | | expenditures. The reports shall cover the period January 1 | 2 | | through March 31, April 1 through June 30, July 1 through | 3 | | September 30, and October 1 through December 31 of each year. A | 4 | | political committee shall file quarterly reports no later than | 5 | | the 15th day of the month following each period. Reports of | 6 | | contributions and expenditures must be filed to cover the | 7 | | prescribed time periods even though no contributions or | 8 | | expenditures may have been received or made during the period. | 9 | | A report is considered timely filed if it is received by the | 10 | | Board no later than 11:59 p.m. on the deadline or postmarked no | 11 | | later than 3 days prior to the deadline. | 12 | | (c) A political committee shall file a report of any | 13 | | contribution of $1,000 or more electronically with the Board | 14 | | within 5 business days after receipt of the contribution, | 15 | | except that the report shall be filed within 2 business days | 16 | | after receipt if (i) the contribution is received 30 or fewer | 17 | | days before the date of an election and (ii) the political | 18 | | committee supports or opposes a candidate or public question | 19 | | on the ballot at that election or makes expenditures in excess | 20 | | of $500 on behalf of or in opposition to a candidate, | 21 | | candidates, a public question, or public questions on the | 22 | | ballot at that election.
The State Board shall allow filings | 23 | | of reports of contributions of $1,000 or more by political | 24 | | committees that are not required to file electronically to be | 25 | | made by facsimile transmission. It is not a violation of this | 26 | | subsection (c) and a political committee does not need to file |
| | | HB3804 | - 35 - | LRB103 29670 BMS 56072 b |
|
| 1 | | a report of a contribution of $1,000 or more if the | 2 | | contribution is received and returned within the same period | 3 | | it is required to be disclosed on a quarterly report. | 4 | | (d) For the purpose of this Section, a contribution is | 5 | | considered received on the date (i) a monetary contribution | 6 | | was deposited in a bank, financial institution, or other | 7 | | repository of funds for the committee, (ii) the date a | 8 | | committee receives notice a monetary contribution was | 9 | | deposited by an entity used to process financial transactions | 10 | | by credit card or other entity used for processing a monetary | 11 | | contribution that was deposited in a bank, financial | 12 | | institution, or other repository of funds for the committee, | 13 | | or (iii) the public official, candidate, or political | 14 | | committee receives the notification of contribution of goods | 15 | | or services as required under subsection (b) of Section 9-6. | 16 | | (e) A political committee that makes independent | 17 | | expenditures of $1,000 or more shall file a report | 18 | | electronically with the Board within 5 business days after | 19 | | making the independent expenditure, except that the report | 20 | | shall be filed within 2 business days after making the | 21 | | independent expenditure during the 60-day period before an | 22 | | election.
| 23 | | (e-5) An independent expenditure committee that makes an | 24 | | independent expenditure supporting or opposing a public | 25 | | official or candidate that, alone or in combination with any | 26 | | other independent expenditure made by that independent |
| | | HB3804 | - 36 - | LRB103 29670 BMS 56072 b |
|
| 1 | | expenditure committee supporting or opposing that public | 2 | | official or candidate during the election cycle, equals an | 3 | | aggregate value of more than (i) $250,000 for statewide office | 4 | | or (ii) $100,000 for all other elective offices must file a | 5 | | written disclosure with the State Board of Elections within 2 | 6 | | business days after making any expenditure that results in the | 7 | | independent expenditure committee exceeding the applicable | 8 | | threshold.
| 9 | | (f) A copy of each report or statement filed under this | 10 | | Article
shall be
preserved by the person filing it for a period | 11 | | of two years from the
date of filing.
| 12 | | (g) The Board may assess a civil penalty against a | 13 | | committee or covered entity for any violation of this Section , | 14 | | Section 9-3.6, Section 9-3.10, or Section 9-10.5 . The Board | 15 | | shall provide notice of any violation no later than 5 years 365 | 16 | | days after the date of the violation and provide the committee | 17 | | or covered entity with an opportunity to appeal a violation. A | 18 | | committee shall not be fined if notice is not provided as | 19 | | required by this subsection. The fine assessed by the Board | 20 | | for a violation of this Section shall not be less than the | 21 | | amount contributed or undisclosed, and not more than the | 22 | | greater of double that amount or $10,000 exceed the amount of | 23 | | the contribution and may be no more than $500 for the first | 24 | | violation, no more than $1,000 for the second violation, no | 25 | | more than $2,000 for a third violation, and no more than $3,000 | 26 | | for any subsequent violations . When determining the amount of |
| | | HB3804 | - 37 - | LRB103 29670 BMS 56072 b |
|
| 1 | | the fine whether to waive or reduce a fine , the Board shall | 2 | | consider: (1) whether the political committee or covered | 3 | | entity made an attempt to disclose the contribution and any | 4 | | attempts made to correct the violation; (2) whether the | 5 | | violation was inadvertent, knowingly, or intentional; (3) | 6 | | whether the violation is attributed to a clerical or computer | 7 | | error; (4) the amount of the contribution or total | 8 | | contributions in the report; (5) whether the violation arose | 9 | | from a discrepancy between the date the contribution was | 10 | | reported and the date the contribution was received by a | 11 | | political committee or covered entity ; (6) the number of days | 12 | | the report was submitted late; and (7) any prior violations. | 13 | | (Source: P.A. 102-668, eff. 11-15-21.)
| 14 | | (10 ILCS 5/9-10.5 new) | 15 | | Sec. 9-10.5. Disclosure of original contributors on | 16 | | independent expenditures for public communications. | 17 | | (a) Independent expenditures for public communications | 18 | | financed by covered entities as defined in Section 9-3.6, | 19 | | including in-kind contributions of such communications | 20 | | accepted by covered entities, must include the following | 21 | | information: | 22 | | (1) Any public communication that has a visual | 23 | | component shall clearly and conspicuously display the | 24 | | names of the top 3 donors who directly or indirectly | 25 | | donated $10,000 or more during the election cycle to the |
| | | HB3804 | - 38 - | LRB103 29670 BMS 56072 b |
|
| 1 | | covered entity. This disclaimer shall include the | 2 | | following written statement: "[3 persons determined | 3 | | pursuant to subsection (b)] are the top 3 donors who | 4 | | helped pay for this message"; and | 5 | | (2) Any public communication that has an audio | 6 | | component shall clearly and conspicuously state the names | 7 | | of the top 3 donors who directly or indirectly donated | 8 | | $10,000 or more during the election cycle to the covered | 9 | | entities. This disclaimer shall include the following | 10 | | audio statement: "[3 persons determined pursuant to | 11 | | subsection (b)] are the top 3 donors who helped pay for | 12 | | this message." | 13 | | (b) The top 3 donors shall be determined by calculating | 14 | | the 3 donors of traceable funds that have contributed the most | 15 | | original funds, directly or indirectly, during the election | 16 | | cycle to the covered entities. | 17 | | (1) For purposes of this subsection (b), contributions | 18 | | of traceable funds made in prior election cycles shall be | 19 | | considered to have been contributed in the current | 20 | | election cycle if the contributor's aggregate | 21 | | contributions of original funds to the covered entities | 22 | | constituted more than half of the person's traceable funds | 23 | | at the start of the election cycle. | 24 | | (2) If multiple contributors have contributed | 25 | | identical amounts such that there is no difference in | 26 | | contributed amounts between the third-highest contributor |
| | | HB3804 | - 39 - | LRB103 29670 BMS 56072 b |
|
| 1 | | and the fourth-highest or lower contributor, the | 2 | | contributor who most recently contributed to the covered | 3 | | entity shall be deemed a top 3 donor. | 4 | | (3) No contributor of traceable funds shall be deemed | 5 | | a top 3 donor if its aggregate contributions of original | 6 | | funds during the election cycle to the covered entity are | 7 | | less than $10,000. | 8 | | (4) If no person meets the $10,000 threshold in | 9 | | paragraph (3), but one or more intermediaries transferred, | 10 | | directly or indirectly, more than $10,000 of traceable | 11 | | funds to the covered entity during the election cycle, | 12 | | then such intermediaries' transfers shall be treated as | 13 | | original funds for purposes of the disclaimer required by | 14 | | this Section.
| 15 | | (10 ILCS 5/9-22) (from Ch. 46, par. 9-22)
| 16 | | Sec. 9-22.
| 17 | | (a) Any party to a Board hearing, any person who files a | 18 | | complaint
on which a hearing was denied or not acted upon | 19 | | within the time specified
in Section 9-21 of this Act, and any | 20 | | party adversely affected by a judgment
of the Board may obtain | 21 | | judicial review, which shall be governed by the
provisions of | 22 | | the Administrative Review Law, as amended, and all amendments
| 23 | | and modifications thereof and the rules adopted pursuant | 24 | | thereto, except that--
| 25 | | (1) such judicial review shall be afforded directly in the |
| | | HB3804 | - 40 - | LRB103 29670 BMS 56072 b |
|
| 1 | | Appellate
Court for the District in which the cause of action | 2 | | arose and not in the
Circuit Court,
| 3 | | (2) such judicial review shall be obtained by filing a | 4 | | petition for
review within 7 days after entry of the order of | 5 | | other action complained
of,
| 6 | | (3) the time limit for filing such petition for review may | 7 | | be waived
with the consent of all parties involved, and
| 8 | | (4) if such petition for review is appealing
an order of | 9 | | the Board, the
effect of such order of the Board shall not be | 10 | | stayed unless the Appellate
Court so orders upon the motion of | 11 | | the petitioner and upon prior notice to
the Board.
| 12 | | (b) In reviewing the Board's dismissal of or failure to | 13 | | act upon a complaint, the court shall review de novo whether | 14 | | the Board's dismissal or failure to act was reasonable. The | 15 | | court shall disregard any claim or defense by the Board of | 16 | | prosecutorial discretion as a basis for dismissing or failing | 17 | | to act upon the complaint. | 18 | | (Source: P.A. 82-783.)
| 19 | | (10 ILCS 5/9-28.5)
| 20 | | Sec. 9-28.5. Injunctive relief for election spending | 21 | | electioneering communications . | 22 | | (a) Whenever the Attorney General, or a State's Attorney | 23 | | with jurisdiction over any portion of the relevant electorate, | 24 | | believes that any person, as defined in Section 9-1.6, is | 25 | | conducting election spending making, producing, publishing, |
| | | HB3804 | - 41 - | LRB103 29670 BMS 56072 b |
|
| 1 | | republishing, or broadcasting an electioneering communication | 2 | | paid for by any person, as defined in Section 9-1.6, who has | 3 | | not first complied with the registration and disclosure | 4 | | requirements of this Article, he or she may bring an action in | 5 | | the name of the People of the State of Illinois or, in the case | 6 | | of a State's Attorney, the People of the County, against such | 7 | | person or persons to restrain by preliminary or permanent | 8 | | injunction the conducting of election spending making, | 9 | | producing, publishing, republishing, or broadcasting of such | 10 | | electioneering communication until the registration and | 11 | | disclosure requirements have been met. | 12 | | (b) Any political committee that believes any person, as | 13 | | defined in Section 9-1.6, is conducting election spending | 14 | | making, producing, publishing, republishing, or broadcasting | 15 | | an electioneering communication paid for by any person, as | 16 | | defined in Section 9-1.6, who has not first complied with the | 17 | | registration and disclosure requirements of this Article may | 18 | | bring an action in the circuit court against such person or | 19 | | persons to restrain by preliminary or permanent injunction the | 20 | | conducting of election spending making, producing, publishing, | 21 | | republishing, or broadcasting of such electioneering | 22 | | communication until the registration and disclosure | 23 | | requirements have been met. | 24 | | (c) Whenever the Attorney General, or a State's Attorney | 25 | | with jurisdiction
over any portion of the relevant electorate, | 26 | | believes that any person, as
defined in Section 9-1.6, is |
| | | HB3804 | - 42 - | LRB103 29670 BMS 56072 b |
|
| 1 | | engaging in independent expenditures,
as defined in this | 2 | | Article, who has not first complied with the registration
and | 3 | | disclosure requirements of this Article, he or she may bring | 4 | | an action
in the name of the People of the State of Illinois | 5 | | or, in the case of a
State's Attorney, the People of the | 6 | | County, against such person or persons
to restrain by | 7 | | preliminary or permanent injunction the making of such | 8 | | expenditures
until the registration and disclosure | 9 | | requirements have been met. | 10 | | (d) Any political committee that believes any person, as | 11 | | defined in
Section 9-1.6, is engaging in independent | 12 | | expenditures, as defined in
this Article, who has not first | 13 | | complied with the registration and disclosure
requirements of | 14 | | this Article may bring an action in the circuit court against
| 15 | | such person or persons to restrain by preliminary or permanent | 16 | | injunction
the making of independent expenditures until the | 17 | | registration and disclosure
requirements have been met.
| 18 | | (Source: P.A. 96-832, eff. 7-1-10; 97-766, eff. 7-6-12.) | 19 | | (10 ILCS 5/9.50 new) | 20 | | Sec. 9.50. Prohibition on structured contributions. No | 21 | | person shall, for the purpose of evading the reporting | 22 | | requirements of this Article or any rule adopted under this | 23 | | Article, structure or assist in structuring, or attempt to | 24 | | structure or assist in structuring, any solicitation, | 25 | | contribution, expenditure, disbursement, or other transaction. |
| | | HB3804 | - 43 - | LRB103 29670 BMS 56072 b |
|
| 1 | | The penalty for any violation of this Section shall be a | 2 | | penalty of not less than the amount contributed or spent, and | 3 | | not more than the greater of double that amount or $10,000. | 4 | | (10 ILCS 5/9-8.6 rep.) | 5 | | Section 10. The Election Code is amended by repealing | 6 | | Section 9-8.6.
|
|