AB289: Bill Text

2005 - 2006 LEGISLATURE

2005 Assembly BILL 289

April 4, 2005 - Introduced by Representatives Schneider and Lehman. Referred to Committee on Campaigns and Elections.

AB289,1,6 An Act to amend 11.26 (1) (intro.), 11.26 (4) and 11.26 (9) (a); to repeal and recreate 11.24 (4), 11.26 (1) (intro.), 11.26 (4) and 11.26 (9) (a) (intro.); to create 11.06 (1) (em) and 11.262 of the statutes; and to affect 2001 Wisconsin Act 109, section 9115 (2y) (b); relating to: restriction of political contributions to certain elective state officials and committees and exemption of certain candidates from certain contribution limitations.

Analysis by the Legislative Reference Bureau

Under current statutes, no person may make a contribution to an incumbent partisan elective state official or his or her personal campaign or authorized support committee for the purpose of promoting his or her nomination or reelection to the office held by the official during the period from the first Monday in January of each odd-numbered year through the date of enactment of the biennial budget act. The prohibition does not apply to an incumbent against whom a recall petition is filed. This statute was enacted as part of 2001 Wisconsin Act 109. In Wisconsin Realtors Association v. Ponto et al., 233 F. Supp.2d 1078 (W.D. Wis., 2002), the U.S. District Court precluded enforcement of this law.

This bill prohibits any person from making a contribution to an incumbent partisan elective state official, or candidate for partisan elective state office, or to an official's or candidate's personal campaign committee or authorized support committee, for the purpose of promoting the official's or candidate's nomination, election, or reelection to office during the period beginning on the day after the general election in which the office is filled and ending on May 31 of the year preceding the year in which the term of office expires. The prohibition does not apply to an incumbent official against whom a recall petition is filed or to a candidate in a recall election, nor to that official's or candidate's personal campaign or support committee. The bill also prohibits an official, candidate, or committee from accepting a contribution that is prohibited by the bill.

Currently, contributions by individuals to a candidate for state or local office are subject to limitations in specified amounts for each office. Also, the total amount or value of contributions that an individual may make to all candidates for state or local office in a calendar year is limited to $10,000. In addition, a candidate for state or local office may not accept more than a specified amount from all committees, including political party committees. This bill provides that a candidate who is opposed by another candidate who spends more than a specified amount from personal funds may accept additional contributions from individuals and political party committees that are not subject to these limitations under certain conditions, up to a specified amount. The specified amount depends in part upon the amount of personal funds expended and that amount is modified to reflect preexisting balances in a campaign treasury before the year in which an election is held and any personal funds expended by the candidate who utilizes the authority to accept additional contributions under the bill. The bill provides that any additional contributions that are accepted must be returned to the contributors or donated to a charitable organization or the common school fund if not expended or obligated on or before the date of an election. The bill also precludes any candidate from repaying personal loans that the candidate makes to his or her campaign from certain contributions after the date of an election. In addition, the bill requires a candidate who spends personal funds exceeding a specified level to file special reports with his or her filing officer and with opposing candidates.

Violators are subject to a forfeiture (civil penalty) of treble the amount or value of any unlawful contribution. Intentional violators are guilty of a misdemeanor and may be fined not more than $1,000 or imprisoned for not more than six months or both.

Because this bill creates a new crime or revises a penalty for an existing crime, the Joint Review Committee on Criminal Penalties may be requested to prepare a report concerning the proposed penalty and the costs or savings that are likely to result if the bill is enacted.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB289, s. 1 Section 1. 11.06 (1) (em) of the statutes is created to read:

AB289,3,3 11.06 (1) (em) A separate statement of all contributions returned to the contributor or donated to a charitable organization or the common school fund under s. 11.262 (6).

AB289, s. 2 Section 2. 11.24 (4) of the statutes, as created by 2001 Wisconsin Act 109, is repealed and recreated to read:

AB289,3,6 11.24 (4) (a) In this subsection:

AB289,3,8 1. "Authorized support committee" means a support committee authorized by an individual under s. 11.05 (3) (p).

AB289,3,10 2. "Partisan elective state official" means an individual who holds a partisan state office.

AB289,3,17 (b) Except as provided in par. (d), no person may make a contribution to a partisan elective state official or candidate for a partisan state office or to the personal campaign committee or authorized support committee of such an official or candidate for the purpose of promoting that official's or candidate's nomination, election, or reelection to office during the period beginning on the day after the general election in which the office is filled and ending on May 31 of the year preceding the year in which the term of office expires.

AB289,3,20 (c) No partisan elective state official or candidate for a partisan state office, and no personal campaign committee or authorized support committee of such an official or candidate, may accept a contribution that is prohibited under par. (b).

AB289,4,2 (d) A person may make a contribution to an official against whom a recall petition has been filed or a candidate in a recall election or to the personal campaign committee or authorized support committee of that official or candidate during the period beginning on the date on which the petition offered for filing is filed under s. 9.10 (3) (b) and ending on the date of the recall election unless, in the case of a partisan elective state official, the official resigns at an earlier date under s. 9.10 (3) (c).

AB289, s. 3 Section 3. 11.26 (1) (intro.) of the statutes is amended to read:

AB289,4,8 11.26 (1) (intro.) No Except as provided in s. 11.262, no individual may make any contribution or contributions to a candidate for election or nomination to any of the following offices and to any individual or committee under s. 11.06 (7) acting solely in support of such a candidate or solely in opposition to the candidate's opponent to the extent of more than a total of the amounts specified per candidate:

AB289, s. 4 Section 4. 11.26 (1) (intro.) of the statutes, as affected by 2001 Wisconsin Act 109, is repealed and recreated to read:

AB289,4,16 11.26 (1) (intro.) Subject to sub. (10a) and except as provided under subs. (1m), (1t), (9m), and (10) and s. 11.262, no individual may make any contribution or contributions to a candidate for election or nomination to any of the following offices and to any individual or committee under s. 11.06 (7) acting solely in support of such a candidate or solely in opposition to the candidate's opponent to the extent of more than a total of the amounts specified per candidate:

AB289, s. 5 Section 5. 11.26 (4) of the statutes is amended to read:

AB289,4,22 11.26 (4) No Except as provided in s. 11.262, no individual may make any contribution or contributions to all candidates for state and local offices and to any individuals who or committees which are subject to a registration requirement under s. 11.05, including legislative campaign committees and committees of a political party, to the extent of more than a total of $10,000 in any calendar year.

AB289, s. 6 Section 6. 11.26 (4) of the statutes, as affected by 2001 Wisconsin Act 109, is repealed and recreated to read:

AB289,5,5 11.26 (4) Subject to sub. (10a) and except as provided in s. 11.262, no individual may make any contribution or contributions to all candidates for state and local offices and to any individuals who or committees which are subject to a registration requirement under s. 11.05, including committees of a political party, to the extent of more than a total of $10,000 in any calendar year.

AB289, s. 7 Section 7. 11.26 (9) (a) (intro.) of the statutes, as affected by 2001 Wisconsin Act 109, is repealed and recreated to read:

AB289,5,13 11.26 (9) (a) (intro.) Except as provided under sub. (9m) and s. 11.262, no individual who is a candidate for state or local office may receive and accept more than 65% of the value of the total disbursement level determined under s. 11.31 (1), adjusted as provided under s. 11.31 (9), for the office for which he or she is a candidate during any primary and election campaign combined from all committees subject to a filing requirement, including political party committees, except as follows:

AB289, s. 8 Section 8. 11.26 (9) (a) of the statutes is amended to read:

AB289,5,20 11.26 (9) (a) No Except as provided in s. 11.262, no individual who is a candidate for state or local office may receive and accept more than 65% of the value of the total disbursement level determined under s. 11.31 for the office for which he or she is a candidate during any primary and election campaign combined from all committees subject to a filing requirement, including political party and legislative campaign committees.

AB289, s. 9 Section 9. 11.262 of the statutes is created to read:

AB289,5,23 11.262 Increased limitations in response to the use of personal funds. (1) In this section:

AB289,5,25 (a) "Authorized support committee" means a support committee authorized by an individual under s. 11.05 (3) (p).

AB289,6,1 (b) "Campaign" has the meaning given in s. 11.26 (17).

AB289,6,2 (c) "Disbursement from personal funds" means any of the following:

AB289,6,3 1. A disbursement made by a candidate using personal funds.

AB289,6,6 2. A contribution made by a candidate using personal funds, or a loan to the candidate or his or her personal campaign or authorized support committee that is secured using personal funds.

AB289,6,16 (d) "Gross receipts advantage" means any amount by which the aggregate amount of 50 percent of the gross receipts of a candidate and his or her personal campaign and authorized support committee, if any, during a campaign, excluding contributions from personal funds, that may be disbursed in connection with the campaign, determined at the end of June 30 and January 31 of the year preceding the year of the election at which the candidate seeks office, exceeds the aggregate amount of 50 percent of the gross receipts of any opposing candidate and his or her personal campaign and authorized support committee, if any, that may be disbursed in connection with the campaign, determined at the end of June 30 and January 31 of the year preceding the year of the election at which the candidate seeks office.

AB289,6,19 (e) "Opposing candidate" means a candidate whose name is certified under s. 7.08 (2) (a) or 8.50 (1) (d) to appear on the ballot at the same election as another candidate.

AB289,6,24 (f) "Opposition personal funds amount" means an amount equal to any amount by which the greatest aggregate amount of disbursements made by an opposing candidate exceeds the aggregate amount of disbursements from personal funds made by a candidate in a campaign, plus the gross receipts advantage against that candidate in that campaign.

AB289,6,25 (g) "Personal funds" means any of the following:

AB289,7,3 1. Any asset that, at the time that an individual becomes a candidate, the individual has a legal right of access to or control over and with respect to which the candidate had legal and rightful title or an equitable interest.

AB289,7,4 2. Income received during the current campaign of the candidate.

AB289,7,8 3. A portion of each asset that is jointly owned by a candidate and his or her spouse equal to the candidate's share of the asset under the instrument or conveyance of ownership, but if no share is specified, the value of 50 percent of the asset.

AB289,7,10 (h) "Threshold amount" means the disbursement level specified under s. 11.31 (1) for the office that a candidate seeks.

AB289,7,13 (2) Subject to sub. (4), if the opposition personal funds amount with respect to a candidate in a campaign exceeds the threshold amount, the limitation provided in sub. (3) applies in lieu of the limitation under s. 11.26 (1).

AB289,7,18 (3) If this section applies to a candidate, the limitation under s. 11.26 (4) does not apply with respect to any contribution made to the candidate or the candidate's personal campaign or authorized support committee if the contribution is made during a period in which the candidate may accept the contribution. In addition, if the opposition personal funds amount is more than:

AB289,7,20 (a) Two times the threshold amount but not more than 4 times the threshold amount, the limitations under s. 11.26 (1) are multiplied by 3.

AB289,7,22 (b) Four times the threshold amount but not more than 10 times the threshold amount, the limitations under s. 11.26 (1) are multiplied by 6.

AB289,8,6 (c) Ten times the threshold amount the limitations under s. 11.26 (1) are multiplied by 6 and s. 11.26 (9) does not apply to contributions made to the candidate by a political party committee, except that a candidate and his or her personal campaign and authorized support committee, if any, may not accept contributions from a political party committee under this paragraph exceeding any amount by which the aggregate amount of the contributions accepted by the candidate and his or her personal campaign and authorized support committee, if any, under this subsection in that campaign exceed 110 percent of the opposition personal funds amount.

AB289,8,10 (4) A candidate or personal campaign or authorized support committee may not accept, and a political party committee may not make any contribution to a candidate or candidate's personal campaign or authorized support committee that is permitted under sub. (2):

AB289,8,12 (a) Until the candidate has received notification under sub. (8) of the information required to determine the opposition personal funds amount; and

AB289,8,16 (b) To the extent that the contributions, when added to the aggregate amount of contributions permitted under sub. (2) that have been previously accepted by the candidate and his or her personal campaign and authorized support committees in the campaign, exceed 110 percent of the opposition personal funds amount.

AB289,8,21 (5) No candidate and his or her personal campaign and authorized support committee may accept any contribution permitted under sub. (2) after the date on which an opposing candidate ceases to be a candidate to the extent that the amount of the increase under sub. (2) in the limitations that would otherwise apply to that candidate under s. 11.26 (1), (4), and (9) is attributable to the opposing candidate.

AB289,9,2 (6) If a candidate or his or her personal campaign or authorized support committee does not expend or obligate the entire amount of additional contributions received under sub. (3) on or before the date of the election at which the candidate seeks office, the candidate or committee shall, no later than 50 days after the election at which the candidate sought office, return the contribution to the contributor or donate the contribution to a charitable organization or the common school fund.

AB289,9,7 (7) No candidate who makes personal loans to his or her campaign after the effective date of this subsection .... [revisor inserts date], may repay any portion of those loans exceeding the threshold amount from contributions made to the candidate or his or her personal campaign or authorized support committee after the date of the election to which the campaign relates.

AB289,9,13 (8) (a) No later than the 16th day beginning after the day on which an individual becomes a candidate in any campaign, the individual shall file with his or her filing officer and with each opposing candidate, in the form and manner prescribed by the board, a declaration stating the aggregate amount of disbursements from personal funds that the individual intends to make or obligate to make in connection with the campaign exceeding the threshold amount.

AB289,9,18 (b) No later than 24 hours after a candidate or his or her personal campaign or authorized support committee makes or obligates to make an aggregate amount of disbursements from personal funds exceeding 2 times the threshold amount in connection with any campaign, the candidate shall file notification with the board and with each opposing candidate, in the form and manner prescribed by the board.

AB289,9,24 (c) After a candidate or his or her personal campaign or authorized support committee makes or obligates to make an aggregate amount of disbursements from personal funds exceeding 2 times the threshold amount, the candidate shall, no later than 24 hours after a candidate or his or her personal campaign or authorized support committee makes or obligates to make an aggregate amount of disbursements from personal funds exceeding an additional 25 percent of the threshold amount, file an additional notification with his or her filing officer and with each opposing candidate, in the form and manner prescribed by the board.

AB289, s. 10 Section 10. 2001 Wisconsin Act 109, section 9115 (2y) (b), as last affected by 2003 Wisconsin Act 39, is amended to read:

AB289,11,12 [2001 Wisconsin Act 109] Section 9115 (2y) (b) Notwithstanding section 990.001 (11) of the statutes, if a court finds that any part of the repeal of sections 11.01 (12s), 11.05 (3) (o), 11.265, 11.50 (3), and 11.50 (10) of the statutes, the renumbering of sections 11.05 (2r) (title), 11.24 (2), and 11.50 (1) (a) 1. of the statutes, the renumbering and amendment of sections 11.05 (1), 11.05 (2), 11.05 (2r), 11.12 (6), 11.26 (9) (a), 11.31 (2m), 11.50 (1) (a) 2., 11.50 (5), 11.50 (9), and 71.10 (3) (a) of the statutes, the amendment of sections 5.02 (13), 5.05 (2), 7.08 (2) (c), 7.08 (2) (cm), 8.30 (2), 8.35 (4) (a) 1. a. and b., 8.35 (4) (c) and (d), 11.05 (3) (c), 11.05 (5), 11.05 (9) (b), 11.05 (12) (b), 11.05 (13), 11.06 (1) (intro.), 11.06 (1) (e), 11.06 (2), 11.06 (3) (b) (intro.), 11.06 (4) (b), 11.06 (5), 11.06 (7m) (a), 11.06 (7m) (b), 11.06 (7m) (c), 11.07 (1), 11.07 (5), 11.09 (3), 11.10 (1), 11.12 (2), 11.12 (4), 11.12 (5), 11.14 (3), 11.16 (2), 11.16 (5), 11.19 (title), 11.19 (1), 11.20 (1), 11.20 (2), 11.20 (3) (a) and (b), 11.20 (7), 11.20 (8) (intro.), 11.20 (8) (a), 11.20 (9), 11.20 (10) (a), 11.20 (12), 11.21 (2), 11.21 (15), 11.21 (16), 11.22 (3), 11.23 (1), 11.23 (2), 11.26 (1) (intro.), 11.26 (2) (intro.), 11.26 (2) (a), 11.26 (3), 11.26 (4), 11.26 (5), 11.26 (6), 11.26 (8), 11.26 (9) (b), 11.26 (10), 11.26 (15), 11.26 (17) (a), 11.31 (1) (intro.), 11.31 (1) (a) to (d), 11.31 (1) (e) and (f), 11.31 (2), 11.31 (2m) (title), 11.31 (3), 11.38 (1) (a) 2., 11.38 (6), 11.38 (8) (b), 11.50 (2) (a), 11.50 (2) (b) 3. and 4., 11.50 (2) (b) 5., 11.50 (2) (c), 11.50 (2) (f), 11.50 (2) (g), 11.50 (2) (h), 11.50 (2) (i), 11.50 (6), 11.50 (7) (intro.), 11.50 (8), 11.50 (10m), 11.50 (11) (e), 11.60 (4), 11.61 (1) (a) (by Section 2d), 20.510 (1) (q), 25.42, 71.08 (1) (intro.), and 71.10 (3) (b) of the statutes, the repeal and recreation of sections 11.05 (9) (title) and 11.50 (4) of the statutes, the creation of sections 11.001 (2m), 11.01 (4m), 11.01 (12w), (13) and (14), 11.01 (16) (a) 3., 11.05 (1) (b), 11.05 (2) (b), 11.05 (3) (m), 11.05 (3) (r), 11.06 (1) (cm) and (dm), 11.06 (2m) (b) to (d), 11.06 (11) (bm), 11.12 (6) (am), 11.12 (6) (c) and (d), 11.12 (8) and (9), 11.20 (2s), 11.20 (2t), 11.20 (8) (am), 11.24 (1w), 11.24 (4), 11.26 (1m), 11.26 (1t), 11.26 (2) (ae), (am), (as) and (av), 11.26 (2m), 11.26 (2t), 11.26 (8n), 11.26 (8r), 11.26 (9) (a) 1. to 4., 11.26 (9) (am), 11.26 (9m), 11.26 (10a), 11.31 (1) (de), 11.31 (2m) (a), 11.31 (3p), 11.31 (9), 11.385, 11.50 (1) (a) 1. (intro.), 11.50 (1) (a) 2m., 11.50 (1) (am), 11.50 (1) (bm) and (cm), 11.50 (2) (b) 6., 11.50 (2) (j), 11.50 (2m), 11.50 (2s), 11.50 (2w), 11.50 (9) (b), 11.50 (14), 11.60 (3r), 71.07 (6s), 71.10 (3) (ac), 71.10 (3) (d), 71.10 (4) (gw), and 806.04 (11m) of the statutes or Sections 9115 (2v), (2x), and (2y), 9132 (4v), 9215 (3v), 9244 (6v), 9315 (2v) and (2w), and 9344 (2v) of this act is unconstitutional, the treatment of those provisions by this act is void.

AB289, s. 11 Section 11. Nonstatutory provisions.

AB289,11,19 (1) Notwithstanding section 990.001 (11) of the statutes, if a court finds that the repeal and recreation of section 11.26 (1) (intro.), (4), and (9) (a) (intro.) of the statutes by this act, or any part of the laws specified in 2001 Wisconsin Act 109, section 9115 (2y) (b), as affected by this act, is unconstitutional, the repeal and recreation of section 11.26 (1) (intro.), (4), and (9) (a) (intro.) of the statutes by this act is void.

AB289,11,20 (End)