2. Increases the total disbursement limitation for a candidate for partisan office
at a general or special election whose name appears on the ballot at a primary
election, who receives less than twice as many votes at that election as another
candidate for the same office within the same party, and who has an opponent at the
general or special election who received at least 6% of the votes cast for all candidates
for that office at the primary election. Under the bill, the increased disbursement
limitation 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 or independent
expenditures other than disbursements made by special interest committees in close
proximity to the election for the purpose of making certain mass communications
that are made to oppose that candidate, or to support that candidate's opponent, if
that amount exceeds 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
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.
This bill establishes specified limitations on committee contributions to
candidates for statewide office as follows: a) candidates for governor, $45,000; b)
candidates for lieutenant governor, $15,000; c) candidates for attorney general,
$25,000; and d) candidates for secretary of state, state treasurer, superintendent of
public instruction, or justice of the supreme court, $10,000. Under the bill, 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 $18,000, and the aggregate limitation on contributions that a political
party may accept during a biennium from all committees is increased to $450,000.
Under current law, the aggregate contributions accepted by a candidate for
state or local office from all committees, when combined with any grant received from
the Wisconsin election campaign fund, may not exceed 65% of the disbursement level
or limitation for the office that the candidate seeks. In addition, the contributions
received by a candidate for state or local office from all committees other than
political party or legislative campaign committees, when combined with any grant
received from the Wisconsin election campaign fund, may not exceed 45% of the
disbursement level or limitation for the office that the candidate seeks. This bill
provides instead that the aggregate contributions accepted by a candidate for state
or local office from all political party committees may not exceed the following:
-
See PDF for table ![PDF](https://docs.legis.wisconsin.gov/assets/image/file_acrobat.gif)
In addition, the bill provides that the aggregate contributions received by a
candidate for state or local office from all committees other than political party
committees may not exceed the following:
-
See PDF for table ![PDF](https://docs.legis.wisconsin.gov/assets/image/file_acrobat.gif)
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. 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 an elective state official or personal campaign committee of an
elective state official from soliciting a lobbyist or principal (person who employs a
lobbyist) to arrange for another person to make a contribution to that official or
personal campaign committee or to another elective state official or the personal
campaign committee of that official.
Currently, if a registrant receives a contribution, the registrant must deposit
the contribution in its campaign depository account no later than the end of the fifth
business day commencing after receipt, unless the registrant returns the
contribution before that time. A registrant must report the occupation and principal
place of employment of any individual who makes any contribution or contributions
to a registrant exceeding $100 in amount or value cumulatively within a calendar
year. This bill provides that whenever a registrant receives a contribution in the
form of money the registrant must obtain this information from a contributor, if
required, before depositing the contributor's contribution in its campaign depository
account. Under the bill, if the registrant does not obtain the required information
within the period prescribed for making deposits, the registrant must return the
contribution.
Contributions through conduits
Currently, if an individual or organization receives a political contribution
consisting of money and transfers the contribution to another individual or
organization without exercising discretion as to the amount to be transferred and the
individual to whom or the organization to which the transfer is made, the
contribution is considered to be made by the original contributor for purposes of
reporting by the ultimate recipient. The contribution is also treated as an individual
contribution for purposes of determining compliance with contribution limitations
and qualifying contributions for public grants. The individual or organization
making the transfer is called a "conduit" under the law. In most cases, a conduit is
required to register and file campaign finance reports unless the conduit does not
transfer any contributions to candidates or to personal campaign, legislative
campaign, or political party committees.
This bill treats a contribution of money transferred by a conduit as a
contribution from the conduit rather than from the individuals contributing to the
conduit and applies the same limitations on the amounts of conduit contributions to
candidates as apply to committee contributions to candidates. The change does not
affect aggregate limitations on the amounts of contributions that candidates may
accept from committees.
Disposition of residual or excess funds
Under current law, residual funds remaining when a person who is required to
register under the campaign financing law disbands or ceases incurring obligations,
making disbursements, or accepting contributions or excess funds received by a
registrant that may not be legally expended may generally be used for any lawful
political purpose, returned to the original contributors, or donated to a charitable
organization or the common school fund.
This bill allows residual or excess funds to be transferred to the Wisconsin
election campaign fund.
Wisconsin election campaign fund
Sources and uses of funds
Under current law, the Wisconsin election campaign fund is financed through
an individual income tax "checkoff." Every individual filing a state income tax return
who has a tax liability or is entitled to a tax refund may direct that $1 of general
purpose revenue be transferred to the fund. Individuals filing a joint return may
separately choose whether to direct that the $1 transfer be made. All moneys
transferred to the fund are placed in accounts for specified state offices, and
candidates for those offices may qualify for grants from the fund to be used for
specified campaign expenses. No moneys in the fund may be used for any other
purpose.
This bill:
1. Increases the amount of the individual income tax checkoff for the Wisconsin
election campaign fund from $1 to $5, effective for tax returns filed for taxable years
beginning on or after January 1 following the day on which the bill becomes law.
Under the bill, individuals filing a joint return may separately choose whether to
make the $5 checkoff. The bill also permits individuals to determine whether to
designate their checkoffs for a "general account," which is distributed to all
candidates who qualify for a grant, or for the account of an eligible political party,
which is distributed to all candidates representing that party who qualify for a grant.
However, if there are insufficient moneys in these accounts to permit any candidate
who qualifies for a grant from receiving the full amount for which the candidate
qualifies, the bill provides for the deficiency to be drawn from state general purpose
revenue.
2. Authorizes the state elections board to set aside an amount not exceeding 5%
of the moneys transferred to the Wisconsin election campaign fund in each year,
before distributions are made to candidate office accounts, to provide public
information concerning the purpose and effect of the fund and the income tax
checkoff for the fund. As part of the public information program, the board must
prepare an easily understood description of the purpose and effect of the fund and
the tax checkoff. The department of revenue is required to include and highlight the
description in its income tax preparation instructions related to the tax checkoff.
Grant eligibility requirements and amounts
Under current law, grants from the Wisconsin election campaign fund are
available to finance specified campaign expenses of eligible candidates for the offices
of state senator, representative to the assembly, governor, lieutenant governor,
attorney general, state treasurer, secretary of state, justice of the supreme court, and
superintendent of public instruction. To receive a grant, a candidate must file an
application with the state elections board no later than the deadline for filing
nomination papers. Following the primary election or the date on which a primary
would be held, if required, the board determines whether a candidate who applies
for a grant meets the following eligibility requirements:
1. If the candidate seeks a partisan state office at a general election, the
candidate must have received at least 6% of the total votes cast in the primary and
have won the primary. If the candidate seeks a partisan state office at a special
election, the candidate must either: a) appear on the ballot or in the column of a
political party whose candidate for the same office at the preceding general election
received at least 6% of the vote; or b) receive at least 6% of the votes cast at the special
election.
2. The candidate must have an opponent in the election.
3. The candidate must receive, during a specified time period, a specified
amount through contributions from individuals of $100 or less. For a candidate for
the office of governor, lieutenant governor, secretary of state, state treasurer,
attorney general, justice of the supreme court, or superintendent of public
instruction, the amount is 5% of the authorized disbursement level for the office
which the candidate seeks. For a candidate for the office of state senator or
representative to the assembly, the amount is 10% of the authorized disbursement
level for the office which the candidate seeks.
Under current law, a candidate for any office who accepts a grant must comply
with statutorily prescribed contribution and disbursement limitations, unless at
least one of the candidate's opponents who received at least 6% of the votes cast for
all candidates for that office at a partisan primary, if a primary was held, does not
accept a grant and does not voluntarily agree to comply with the contribution and
disbursement limitations for that office. The maximum grant that a candidate may
receive is that amount which, when added to all other contributions accepted from
sources other than individuals, political party committees, and legislative campaign
committees, is equal to 45% of the authorized disbursement level for the office which
the candidate seeks. No grants are available to finance campaign expenses in
primary elections.
Currently, the elections board must notify the state treasurer that a candidate
has qualified to receive a grant as soon as possible after the board is able to determine
that the candidate has qualified to receive the grant. The state treasurer then has
three business days to transmit the grant to the candidate.
This bill:
1. Provides that a candidate for the office of state senator or representative to
the assembly must receive contributions equal to only 3% of the authorized
disbursement level for the office which the candidate seeks in order to qualify for a
grant, but provides that the contributions of $100 or less from individuals used by
a candidate for any state office to determine eligibility for a grant from the Wisconsin
election campaign fund must be made by individuals who reside in this state and, in
the case of a candidate for legislative office, by individuals at least 50% of whom
reside in a county having territory within the district in which the candidate seeks
office.
2. Provides that a candidate who applies for a grant may not accept any
contribution from any committee other than a political party committee. If the
candidate has accepted any contribution from a committee other than a political
party committee during the campaign for the office that the candidate is currently
seeking, the candidate must return the contribution to the contributor or donate the
contribution to a charitable organization or to the Wisconsin election campaign fund
or the common school fund before filing an application for a grant. The candidate
may, however, later accept a contribution from a committee other than a political
party committee if the candidate is determined by the elections board to be ineligible
to receive a grant, after the date of that determination.
3. Provides that the maximum grant that a candidate for state office may
receive is the lesser of 45% of the authorized disbursement limitation for the office
that the candidate seeks, or that amount which, when added to all other
contributions accepted by the candidate, is equal to the disbursement limitation for
the office that the candidate seeks, unless the candidate qualifies to receive a grant
for primary election campaign expenses or a supplemental grant (see below).
4. Permits a candidate who qualifies to receive a grant for a general, spring, or
special election campaign, who was opposed at the primary election preceding that
election by a candidate whose name appeared on the ballot, and who files double the
minimum number of nomination paper signatures currently required for the office
that the candidate seeks, to receive a grant to finance specified primary election
campaign expenses. This grant, in combination with the grant received by the
candidate for the election campaign, is equal the lesser of 55% of the authorized
disbursement limitation for the office that the candidate seeks or that amount which,
when added to all other contributions accepted by the candidate, is equal to the
disbursement limitation for the office that the candidate seeks, unless the candidate
qualifies to receive a supplemental grant (see below).
5. Provides that a candidate who accepts a grant shall receive a supplemental
grant in an amount equal to: a) the total amount of any independent disbursements
that are made by special interest committees to oppose that candidate, or to support
that candidate's opponent and of any independent expenditures other than
disbursements made by special interest committees in close proximity to the election
for the purpose of making certain mass communications to oppose that candidate or
to support that candidate's opponent, if the total amount exceeds 10% of the
disbursement limitation for the office that the candidate seeks; b) the total amount
of disbursements exceeding the amount of the disbursement limitation for that office
made by an opposing candidate who does not accept a grant; and c) the total amount
of contributions intended to be received or received by special interest committees
for the purpose of opposing the candidate who accepts the grant or supporting that
candidate's opponent.
6. Requires the elections board and state treasurer to electronically transmit
supplemental grants to qualifying candidates who so request within 24 hours after
the candidates qualify to receive the supplemental grants.
Penalties for violations
Currently, violators of the campaign finance law are subject to a forfeiture (civil
penalty) of not more than $500 for each violation, except that violators of
contribution limitations are subject to a forfeiture of not more than treble the amount
unlawfully contributed. In addition, currently, any person who is delinquent in filing
a report is subject to a forfeiture of not more than $50 or one percent of the annual
salary of the office for which a candidate is being supported or opposed, whichever
is greater, for each day of delinquency. Currently, any person who makes an unlawful
contribution is subject to a forfeiture of treble the amount of the unlawful
contribution.
Currently, whoever intentionally violates certain provisions of the campaign
finance law, such as registration requirements, contribution limitations, the
prohibition against making contributions in the name of another person, the
prohibition against using contributions for most nonpolitical purposes, and the
prohibition against filing false reports and statements may be fined not more than
$1,000 or imprisoned for not more than six months, or both, if the violation does not
exceed $100 in amount or value, and may be fined not more than $10,000 or
imprisoned for not more than four years and six months, or both, if the violation
exceeds $100 in amount or value.
This bill provides that if any candidate or committee, other than a conduit,
accepts a contribution, makes a disbursement, makes any other expenditure for the
purpose of making certain mass media communications (see above) or incurs an
obligation to make a disbursement to support or oppose a candidate for a major state
office (governor, lieutenant governor, attorney general, secretary of state, state
treasurer, state superintendent of public instruction, or justice of the supreme court)
without first registering and reporting to the extent required under the bill, the
offender is subject to a forfeiture (civil penalty) of not more than $500 for each day
of violation. The bill also provides that if any of these candidates or committees
accepts one or more contributions, makes one or more disbursements, or incurs one
or more obligations to make disbursements for such a purpose in an amount that is
more or less than the amount reported by that candidate or committee:
l. By more than 5% but not more than 10%, the candidate or committee must
forfeit four times the amount of the difference.
2. By more than 10% but not more than 15%, the candidate or committee must
forfeit six times the amount of the difference.
3. By more than 15%, the candidate or committee must forfeit eight times the
amount of the difference.
Initial applicability
All campaign finance changes under the bill apply to elections held on or after
the day on which the bill becomes law.
Elections board
This bill increases the authorized FTE positions for the board by 1.0 GPR
campaign finance investigator position and 1.0 GPR auditor position.
Official action in return for providing
or withholding things of value
Currently, no person may offer or give to a state public official, including a
member of the legislature, directly or indirectly, and no state public official may
solicit or accept from any person, directly or indirectly, anything of value if it could
reasonably be expected to influence the state public official's vote, official actions, or
judgment, or could reasonably be considered a reward for any official action or
inaction on the part of the state public official.
This bill provides, in addition, that no state or local public official holding an
elective office may, directly or by means of an agent, give, or offer or promise to give,
or withhold, or offer or promise to withhold, his or her vote or influence, or promise
to take or refrain from taking official action with respect to any proposed or pending
matter in consideration of or upon condition that any other person make or refrain
from making a political contribution, or provide or refrain from providing any service
or other thing of value, to or for the benefit of a candidate, a political party, any other
person who is subject to a registration requirement under the campaign finance law,
or any person making a mass communication that contains a reference to a clearly
identified state or local public official or a candidate for state or local public office.
Violators are subject to a forfeiture (civil penalty) of not more than $5,000 for
each violation, and are also subject to a forfeiture in an amount equal to the amount
or value of any political contribution, service, or other thing of value that was
wrongfully obtained, or if no political contribution, service, or other thing of value
was obtained, an amount equal to the maximum contribution that an individual is
permitted to make to a candidate for the office sought or held by the official,
whichever amount is greater. Intentional violators are guilty of a misdemeanor and
are subject to a fine of not less than $100 nor more than $5,000 or imprisonment in
the county jail for not more than one year or both.
The bill also provides that, if the ethics board refuses or otherwise fails to
authorize an investigation or a district attorney fails to initiate a prosecution with
respect to any violation of the prohibition created by the bill within 30 days after
receiving a verified complaint alleging such a violation, the person making the
complaint may bring a lawsuit to recover a forfeiture on behalf of the state. If the
person making the complaint prevails, the bill provides that the court may require
the defendant to pay the complainant's attorney fees and costs, but any forfeiture
recovered must be paid to the state. If the court finds that a lawsuit was frivolous,
the court must award fees and costs to the defendant. The bill provides that no
complaint alleging a violation of the prohibition contained in the bill may be filed
during the period beginning 120 days before a general or spring election or the date
that a special election is ordered and ending on the date of that election against a
candidate who files a declaration of candidacy to have his or her name appear on the
ballot at that election.
Nonseverability
Currently, if any part of an act is found by a court to be invalid, those parts that
are valid are severed from the invalid part and the severed parts continue in force.
This bill provides that if any part of the act resulting from enactment of the bill
relating to reporting of independent expenditures for mass communications and
provision of supplemental grants to candidates who are opposed or whose opponents
are supported by those expenditures or by independent disbursements that are
reportable under current law is found by a court to be invalid, then all of those parts
of the act are void. The bill also provides that if any part of the act resulting from
enactment of the bill relating to reporting by candidates who decline to accept public
grants and provision of supplemental grants to candidates who are opposed or whose
opponents are supported by those expenditures is found by a court to be invalid, then
the entire act is void.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB104-engrossed,15,72
5.02
(13) "Political party" or "party" means a state committee registered under
3s. 11.05
and organized exclusively for political purposes under whose name
4candidates appear on a ballot at any election, and all county, congressional,
5legislative, local and other affiliated committees authorized to operate under the
6same name. For purposes of ch. 11, the term does not include
a legislative campaign
7committee or a committee filing an oath under s. 11.06 (7).
SB104-engrossed,16,89
7.08
(2) (c) As soon as possible after the canvass of the spring and September
10primary votes, but no later than the first Tuesday in March and the 4th Tuesday in
11September, transmit to the state treasurer a certified list of all eligible candidates
1for state office who have filed applications under s. 11.50 (2) and
whom who the board
2determines
to be are eligible to receive payments from the Wisconsin election
3campaign fund. The
board shall also electronically transmit a similar list of
4candidates who the board determines are eligible to receive a grant under s. 11.50
5(9) (ba) or (bb) within 24 hours after any candidate qualifies to receive such a grant.
6Each list shall contain each candidate's name, the mailing address indicated upon
7the candidate's registration form, the office for which the individual is a candidate
8and the party or principle which he or she represents, if any.
SB104-engrossed,16,219
(cm) As soon as possible after the canvass of a special primary, or the date that
10the primary would be held, if required, transmit to the state treasurer a certified list
11of all eligible candidates for state office who have filed applications under s. 11.50 (2)
12and
whom who the board determines
to be are eligible to receive a grant from the
13Wisconsin election campaign fund prior to the election. The board shall also transmit
14a similar list of candidates, if any, who have filed applications under s. 11.50 (2) and
15whom who the board determines
to be are eligible to receive a grant under s. 11.50
16(1) (a) 2. after the special election. The
board shall electronically transmit a similar
17list of candidates who the board determines are eligible to receive a grant under s.
1811.50 (9) (ba) or (bb) within 24 hours after any candidate qualifies to receive such a
19grant. Each list shall contain each candidate's name, the mailing address indicated
20upon the candidate's registration form, the office for which the individual is a
21candidate and the party or principle which he or she represents, if any.
SB104-engrossed,16,2523
7.08
(2) (cs) In each even-numbered year, certify to the state treasurer for the
24period beginning with the month following certification and ending with the month
25in which the next certification is made by the board:
SB104-engrossed,17,4
11. No later than July 1, the name of each political party that qualifies under
2s. 11.50 (1) (am) 1. as an eligible political party as of the preceding June 1 and whose
3state chairperson has filed a request to establish an account for the party under s.
411.50 (2s) (a).
SB104-engrossed,17,85
2. No later than December 15, the name of each political party that qualifies
6under s. 11.50 (1) (am) 2. as an eligible political party as of the date of the preceding
7general election and whose state chairperson has filed a written request to establish
8an account for the party under s. 11.50 (2s) (a).
SB104-engrossed,17,1410
8.10
(3) (intro.) The certification of a qualified elector under s. 8.15 (4) (a) shall
11be appended to each nomination paper.
The Except as otherwise required under s.
1211.50 (4m) for a candidate who seeks a grant from the Wisconsin election campaign
13fund, the number of required signatures on nomination papers filed under this
14section is:
SB104-engrossed,17,1816
8.15
(6) (intro.)
The Except as otherwise required under s. 11.50 (4m) for a
17candidate who seeks a grant from the Wisconsin election campaign fund, the number
18of required signatures on nomination papers shall be as follows:
SB104-engrossed,18,220
8.20
(4) The Except as otherwise required under s. 11.50 (4m) for a candidate
21who seeks a grant from the Wisconsin election campaign fund, the number of
22required signatures on nomination papers for independent candidates shall be the
23same as the number specified in s. 8.15 (6). For independent presidential electors
24intending to vote for the same candidates for president and vice president, the
1number of required signatures shall be not less than 2,000 nor more than 4,000
2electors.
SB104-engrossed,18,104
8.30
(2) If no registration statement has been filed by or on behalf of a candidate
5for state or local office in accordance with s. 11.05 (2g)
or (2r) by the applicable
6deadline for filing nomination papers by
such the candidate, or the deadline for filing
7a declaration of candidacy for an office for which nomination papers are not filed, the
8name of the candidate may not appear on the ballot. This subsection may not be
9construed to exempt a candidate from applicable penalties if he or she files a
10registration statement later than the time prescribed in ss. 11.01 (1) and 11.05 (2g).
SB104-engrossed,18,1912
8.35
(4) (a) 1. a.
Donated to the former candidate's local or state political party
13if If the former candidate was a partisan candidate
or, donated to the former
14candidate's local or state political party, donated to
the a charitable organization
of
15the former candidate's choice or the charitable organization chosen
or transferred to
16the board for deposit in the Wisconsin election campaign fund, as instructed by the
17former candidate or, if the candidate left no instruction, by the former candidate's
18next of kin
if the former candidate is deceased, or if no choice is made returned to the
19donors on a proportional basis; or
SB104-engrossed,18,2520
b. If the former candidate was a nonpartisan candidate, donated to
the a 21charitable organization
of the former candidate's choice or the charitable
22organization chosen or transferred to the board for deposit in the Wisconsin election
23campaign fund, as instructed by the former candidate or, if the candidate left no
24instruction, by the former candidate's next of kin
if the former candidate is deceased;
25or