LRB-2614/1
JTK/RJM/MES/JK:kg:jf
2001 - 2002 LEGISLATURE
March 1, 2001 - Introduced by Representatives Musser, Travis and Bock,
cosponsored by Senators Burke, Harsdorf, Erpenbach, Rosenzweig and
Risser. Referred to Committee on Campaigns and Elections.
AB155,2,20
1An Act to repeal 11.01 (5m), 11.01 (12s), 11.05 (3) (o), 11.05 (9) (b), 11.06 (11),
211.24 (1m), 11.26 (9) (c), 11.26 (12m), 11.265, 11.31 (2m), 11.50 (2) (h), 11.50 (2)
3(i), 11.50 (3) and 13.625 (1) (c) 1. and 2.;
to renumber 11.05 (2r) (title), 11.05
4(9) (a), 11.24 (2) and 11.50 (7);
to renumber and amend 11.05 (1), 11.05 (2),
511.05 (2r), 11.12 (6), 11.50 (1) (a) 1., 11.50 (1) (a) 2., 11.50 (9) and 13.625 (1) (c)
6(intro.);
to amend 5.02 (13), 7.08 (2) (c) and (cm), 7.70 (3) (e) 1., 8.30 (2), 8.35
7(4) (a) 1. a. and b., 8.35 (4) (c) and (d), 10.02 (3) (b) 2m., 11.05 (3) (c), 11.05 (3)
8(n), 11.05 (5), 11.05 (12) (b), 11.05 (13), 11.06 (1) (intro.), 11.06 (1) (e), 11.06 (2),
911.06 (4) (b), 11.06 (5), 11.06 (7m) (a), 11.06 (7m) (c), 11.07 (1), 11.07 (5), 11.09
10(3), 11.10 (1), 11.12 (2), 11.12 (4), 11.12 (5), 11.14 (3), 11.16 (2), 11.16 (5), 11.19
11(title), 11.19 (1), 11.20 (1), 11.20 (7), 11.20 (9), 11.20 (10) (a), 11.20 (12), 11.21 (2),
1211.21 (15), 11.21 (16), 11.22 (3), 11.23 (1), 11.23 (2), 11.26 (1) (a) to (c), 11.26 (2)
13(a), 11.26 (4), 11.26 (8), 11.26 (9) (a) and (b), 11.26 (10), 11.31 (1) (intro.), 11.31
14(1) (a) to (d), 11.31 (1) (e) and (f), 11.31 (2), 11.31 (3), 11.38 (1) (a) 2., 11.38 (1) (a)
13., 11.38 (6), 11.38 (8) (b), 11.50 (2) (a), 11.50 (2) (b) 5., 11.50 (2) (c), 11.50 (2) (g),
211.50 (5), 11.50 (6), 11.50 (9) (title), 11.50 (11) (e), 11.60 (4), 11.61 (1) (a), 13.625
3(1) (b) 3., 13.625 (2), 13.625 (6), 15.61, 20.510 (1) (q), 25.42, 71.10 (3) (a), 71.10
4(3) (b) and 71.26 (1) (a);
to repeal and recreate 11.05 (9) (title) and 11.50 (4);
5and
to create 7.08 (2) (cs), 11.01 (13) and (20), 11.01 (16) (a) 3., 11.05 (1) (b),
611.05 (2) (b), 11.05 (3) (m), 11.05 (3) (r), 11.06 (2m) (b) to (d), 11.12 (2m), 11.12
7(6) (c) and (d), 11.12 (8) and (9), 11.19 (1m) and (6), 11.24 (1v), 11.24 (1w), 11.24
8(4), 11.26 (8m), 11.26 (8n), 11.31 (1) (de), 11.31 (1m), 11.31 (3p), 11.31 (9), 11.50
9(1) (a) 1. (intro.), 11.50 (1) (a) 2m., 11.50 (1) (am), 11.50 (1) (bm) and (cm), 11.50
10(2) (j), 11.50 (2m), 11.50 (2s), 11.50 (2w), 11.50 (7) (bm), 11.50 (9) (a) 1. and 2.,
1111.50 (9) (b) and (ba), 11.50 (14), 13.625 (3m), 20.855 (4) (ba), 71.05 (6) (a) 21.,
1271.07 (5) (a) 9., 71.07 (6n), 71.10 (4) (cn), 71.26 (2) (b) 1g., 71.26 (3) (e) 4., 71.34
13(1) (ad), 71.45 (2) (a) 16. and 806.04 (11m) of the statutes;
relating to: campaign
14financing, lobbying regulation, designations for the Wisconsin election
15campaign fund by individuals filing state income tax returns, income and
16franchise tax deductions for certain business expenses related to lobbying,
17creating a nonrefundable individual income tax credit for certain campaign
18contributions, composition and staffing of the elections board, providing
19exemptions from emergency rule procedures, granting rule-making authority,
20and making appropriations.
Analysis by the Legislative Reference Bureau
This bill makes numerous changes in the campaign financing law. The bill also
makes changes to the lobbying regulation and income and franchise tax laws and to
the composition and staffing of the elections board. Significant changes include:
Filing of campaign finance reports
1. Exemptions from registration and reporting
Currently, any individual who accepts contributions, makes disbursements, or
incurs obligations, and any committee or group that makes or accepts contributions,
makes disbursements, or incurs obligations, in connection with one or more elections
for state or local office or one or more state or local referenda exceeding $25
cumulatively within a calendar year is potentially subject to requirements to register
with the appropriate filing officer and to file campaign finance reports.
This bill provides that an individual who accepts contributions, makes
disbursements, or incurs obligations or a group that makes or accepts contributions,
makes disbursements, or incurs obligations in connection with one or more referenda
is not subject to registration and reporting requirements until the individual or
group engages in activity exceeding $100 cumulatively within a calendar year.
The bill also permits an individual or committee to claim an exemption from
reporting requirements if the individual or committee does not accept contributions,
make disbursements, or incur obligations exceeding $1,000 cumulatively within a
calendar year with respect to an election for state office, and does not accept
contributions exceeding $100 from a single source cumulatively within a calendar
year. If an individual or committee does not accept contributions, make
disbursements, or incur obligations with respect to an election for any state office but
accepts contributions, makes disbursements, or incurs obligations with respect to an
election for local office, the bill permits the individual or committee to claim an
exemption from reporting requirements only if the individual or committee does not
accept contributions, make disbursements, or incur obligations exceeding $100
cumulatively within a calendar year.
2. Electronic filing
Currently, reports under the campaign finance law must be filed by certain
dates specified by law and must cover time periods specified by law. Candidates for
state office or their personal campaign or authorized support committees and other
individuals, committees, and groups supporting or opposing candidates for state
office or statewide ballot questions file their reports with the state elections board.
Each registrant for whom the elections board serves as a filing agency and who or
that accepts contributions in a total amount or value of $20,000 or more during a
campaign period, or a biennial period for a registrant other than a candidate or
personal campaign or support committee, must file reports with the board
electronically. Any registrant who or that files a report electronically must also file
a copy of the report recorded on a medium prescribed by the board.
This bill requires each committee that is currently required to file its campaign
finance reports electronically to file those reports within 24 hours after a reportable
transaction occurs. Under the bill, once a registrant becomes subject to an electronic
reporting requirement, the requirement continues to apply until a termination
report is filed, regardless of the level of continuing financial activity of the registrant.
In accordance with current law, the bill also requires registrants who file
electronically to file copies of reports, at the times currently prescribed by law,
recorded on a medium prescribed by the board. The change applies effective with
reports filed on or after the day on which the bill becomes law.
3. Special reporting by certain registrants
Currently, a committee making contributions or a candidate or other individual
or committee accepting contributions, making disbursements, or incurring
obligations in support of or opposition to a candidate is generally required to file a
report no later than the eighth day before a primary or election at which the
candidate seeks nomination or election to office. The report must disclose
contributions made or accepted, disbursements made, and obligations incurred
through the 14th day prior to the primary or election. Currently, if a candidate for
state office receives one or more contributions from a single contributor aggregating
$500 or more during the 14-day period preceding an election, the candidate must
report to the elections board the information currently required to be disclosed
pertaining to contributions received by the candidate no later than 24 hours
following receipt of any such contribution or contributions.
This bill requires each candidate at the general or a special election for a major
state office (the office of governor, lieutenant governor, attorney general, secretary
of state, state treasurer, superintendent of public instruction, justice of the supreme
court, state senator, or representative to the assembly) who does not accept a public
grant (see below) and who makes any disbursement after the candidate has
accumulated cash in his or her campaign depository or has made disbursements in
his or her campaign exceeding a combined total of 75% of the amount of the
disbursement limitation for the office that the candidate seeks, to file daily reports,
by electronic mail or facsimile transmission, with the elections board and with each
candidate whose name appears on the ballot for the office in connection with which
the disbursement is made. The daily reports may be filed no later than 24 hours after
each disbursement is made, and must include the information that is currently
required to be reported pertaining to disbursements made by candidates. The daily
reports must be filed during the time period beginning with the later of the date of
the disbursement that triggers the requirement or the 7th day after the applicable
primary election or the date that a primary would be held, if required, and ending
with date of the election at which the candidate seeks office.
The bill similarly requires each committee that makes any disbursement for
the purpose of advocating the election or defeat of a candidate for a major state office
at the general election or a special election independently of any candidate who is
supported or whose opponent is opposed, within 60 days of that election or the
primary for that election, to file daily reports, by electronic mail or facsimile
transmission, with the elections board and with each candidate whose name appears
on the ballot for the office in connection with which the disbursement is made. These
daily reports must be filed no later than 24 hours after each disbursement is made,
and must include information specifying the date and purpose of the disbursement,
the payee, the name of each candidate who is supported or whose opponent is
opposed, and the total amount of disbursements made in support of or in opposition
to that candidate.
4. Mass communications
Currently, individuals who accept contributions, organizations which make or
accept contributions, or individuals who or organizations which incur obligations or
make disbursements for the purpose of influencing an election for state or local office
are generally required to register with the appropriate filing officer and to file
financial reports with that officer, regardless of whether they act in conjunction with
or independently of any candidate who is supported or opposed
With certain exceptions, this bill imposes registration and reporting
requirements, in addition, upon any individual who or organization that, within 60
days of an election and by means of a newspaper, periodical, commercial billboard,
radio station, television station, mass mailing, or telephone bank operator, makes a
communication which includes the name or likeness of a candidate at that election,
an office to be filled at that election, or a political party. The bill, however, does not
require registration and reporting if the communication is made by a corporation,
cooperative, or nonpolitical voluntary association and is limited to the corporation's,
cooperative's, or association's members, shareholders, or subscribers.
5. Timeliness in filing reports
Currently, where a requirement is imposed under the campaign finance law for
filing of a report by a specified date, the requirement may be satisfied by depositing
the report with the U.S. postal service no later than the date provided by law for
receipt of the report.
This bill permits satisfaction of the filing requirement only by delivering a
report to the appropriate filing officer or agency on or before the date provided by law
for receipt of the report or by depositing the report with the U.S. postal service no
later than the third day before that date.
Disbursement limitations and independent disbursements
Under current law, disbursement (expenditure) levels are specified for
candidates for various state and local offices. These levels become a binding
limitation upon any candidate for state office who accepts a state grant from the
Wisconsin election campaign fund or who agrees to be bound by the limitation, unless
the candidate is opposed by a major opponent who could have qualified for a grant
but declines to accept one. A candidate for state office who accepts a grant from the
Wisconsin election campaign fund and who agrees to be bound by the disbursement
limit applicable to the office which the candidate seeks may receive a grant equal to
45% of that disbursement limit, less certain committee contributions accepted by the
candidate, if there are sufficient moneys in the fund to finance the full amount of
grants for which candidates qualify.
Current law also imposes registration and financial reporting requirements on
committees and individuals making disbursements independently of a candidate in
support of or in opposition to a candidate for a state or local office. One requirement
is the obligation of the committee or individual to file reports with the appropriate
filing officer within 24 hours of making such a disbursement, if the disbursement is
made less than 15 days before a primary or election and if the cumulative amount
of such disbursements exceeds $20.
This bill:
1. Revises the current disbursement levels applicable to candidates for the
offices shown in the following chart:
-
See PDF for table ![PDF](https://docs.legis.wisconsin.gov/assets/image/file_acrobat.gif)
2. Provides that the total disbursement limitation for a candidate whose name
appears on the ballot at a primary election and who receives less than twice as many
votes at that election as another candidate for the same office is 120% of the amount
provided for the candidate receiving the greatest number of votes for that office.
3. Creates a biennial cost-of-living adjustment that causes the statutory
disbursement levels to be adjusted biennially, beginning in 2004, in accordance with
a formula tied to the "consumer price index" determined by the U.S. department of
labor.
4. Replaces the provision requiring reports of cumulative independent
disbursements exceeding $20 made later than 15 days prior to a primary or election
with a provision that requires cumulative independent disbursements
or obligations
exceeding $20 during that period to be so reported.
5. Increases the disbursement limitation of any candidate who accepts a public
grant by: a) an amount equal to any independent disbursements that are made to
oppose that candidate, or to support that candidate's opponent, exceeding 10% of the
disbursement limitation for the office that the candidate seeks; and b) the total
amount of disbursements exceeding the amount of the disbursement limitation for
that office made by any opposing candidate who does not accept a public grant.
6. Repeals the procedure by which a candidate who would not otherwise be
subject to statutory disbursement limitations may voluntarily agree to comply with
these limitations.
7. Repeals the exemption from disbursement limitations that currently applies
to any candidate who accepts a grant from the Wisconsin election campaign fund and
who is opposed by a major opponent who could have qualified for a grant but declines
to accept one. Under the bill, the candidate accepting the grant remains bound by
the applicable disbursement limitations.
Contribution limitations
Current law limits the amount of contributions which may be given to and
accepted by a candidate for state or local office. Currently, individuals are subject
to limitations on the amount of contributions made cumulatively to a particular
candidate and on the aggregate total of contributions made to all candidates. An
individual making a contribution to a candidate for statewide office may contribute
up to $10,000, an individual making a contribution to a candidate for the office of
state senator may contribute up to $1,000, and an individual making a contribution
to a candidate for the office of representative to the assembly may contribute up to
$500. However, an individual may not contribute more than $10,000 annually to all
candidates combined.
Under this bill, the limitation on individual contributions to candidates for
statewide offices is $1,000, the limitation on individual contributions to candidates
for the office of state senator is $500, and the limitation on individual contributions
to candidates for the office of representative to the assembly is $250. The annual
limitation on individual contributions to all candidates under the bill is $5,000.
Under current law, committees other than political party committees and
legislative campaign committees are subject to limitations on the amount of
contributions made cumulatively to a particular candidate. A committee may
contribute up to $43,238 to a candidate for statewide office. Current law also limits
the cumulative amount of contributions that a committee may make annually to a
particular political party, limits the cumulative amount of contributions that a
political party may accept annually from a particular committee, and limits the
aggregate total of contributions that a political party may accept during any
biennium from all committees. Currently, a committee may annually contribute up
to $6,000 to a particular political party, a political party may annually accept up to
$6,000 from a particular committee, and a political party may accept up to $150,000
in contributions from all committees during any biennium.
Under this bill, the limitation on committee contributions to candidates for
statewide office is increased to $45,000, the limitation on committee contributions
to a particular political party, and on the annual amount that a political party may
accept from a particular committee, is increased to $12,000, and the aggregate
limitation on contributions that a political party may accept during a biennium from
all committees is increased to $300,000.
Currently, no candidate who accepts a grant from the Wisconsin election
campaign fund or who files an affidavit affirming his or her voluntary compliance
with statutory disbursement limitations may make contributions to his or her own
campaign exceeding 200% of the limitations applicable to other individuals making
contributions to his or her campaign. This bill provides, instead, that no candidate
who accepts a grant from the Wisconsin election campaign fund may make
contributions to his or her own campaign exceeding $1,000.
Treatment of legislative campaign committees
Currently, the adherents of any political party in either house of the legislature
may organize a "legislative campaign committee" to support the candidacy of
members of their party for legislative office. Committees other than legislative
campaign committees and political party committees are generally subject to a
limitation upon the contributions that they may make to candidates for legislative
office or to political parties. Legislative campaign committees are subject only to
overall limitations on the aggregate contributions that may be accepted by a
candidate from entities other than individuals.
This bill eliminates the special status of legislative campaign committees, thus
causing them to be treated in the same manner as other special interest committees
for the purpose of contribution limitations.
Other contribution restrictions
This bill creates the following new prohibitions on contributions:
1. It prohibits contributions to incumbents who are seeking reelection to a
partisan state office from the first Monday in January of each odd-numbered year
through the enactment of the biennial budget act and, thereafter, during any
floorperiod, including any special or extraordinary session floorperiod. The
prohibition does not apply to contributions made to an incumbent who is subject to
a recall election from the date on which the petition for a recall election is filed until
the date of the recall election.
2. It prohibits any committee from making a contribution to any special interest
committee. The prohibition does not apply to a committee that is affiliated with a
labor organization that transfers a contribution to another committee that is
affiliated with the same labor organization.
3. It prohibits any personal campaign committee or support committee
authorized by a prospective candidate from making a contribution to any other such
committee.
4. It prohibits any lobbyist from making a contribution to a partisan elective
state official or candidate for a partisan elective state office or to such an official's or
candidate's personal campaign committee, except that the bill permits a lobbyist to
make a campaign contribution to a candidate for elective state office, or to the
personal campaign committee of such a candidate, if the candidate seeks office in the
jurisdiction or district where the lobbyist resides. Currently, a lobbyist may make
a contribution to any partisan elective state official or candidate for a partisan
elective state office in the year that an official or candidate seeks election between
June 1 and the day of the general election.