SB289INTRODUCED Page 0 HAQ583-1 By Senator Givhan RFD: State Governmental Affairs First Read: 03-May-23 2023 Regular Session 1 2 3 4 5 6 HAQ583-1 05/03/2023 PMG (L)tgw 2023-1859 Page 1 SYNOPSIS: Under existing law, political action committees (PACs) are prohibited from making contributions to other PACs, except that PACs may make contributions to principal campaign committees, so long as the donor PAC is not a principal campaign committee. This bill would permit PACs to make contributions to political parties so long as the donor PAC is not a principal campaign committee. A BILL TO BE ENTITLED AN ACT Relating to political action committees; to amend Section 17-5-15, Code of Alabama 1975, to permit PACs to make contributions to political parties in certain circumstances. BE IT ENACTED BY THE LEGISLATURE OF ALABAMA: Section 1. Section 17-5-15, Code of Alabama 1975, is amended to read as follows: "§17-5-15 (a) It shall be unlawful for any person, acting for himself or herself or on behalf of any entity, to make a contribution in the name of another person or entity, or 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SB289 INTRODUCEDSB289 INTRODUCED Page 2 knowingly permit his or her name, or the entity's name, to be used to effect such a contribution made by one person or entity in the name of another person or entity, or for any candidate, principal campaign committee, or political action committee to knowingly accept a contribution made by one person or entity in the name of another person or entity; provided, however, that nothing in this chapter prohibits any person from soliciting and receiving contributions from other persons for the purpose of making expenditures to a candidate, political campaign committee, political action committee, or elected state or local official required to file reports pursuant to Section 17-5-8. (b)(1) It shall be unlawful for any political action committee or tax exempt political organization under 26 U.S.C. § 527, including a principal campaign committee, or any person authorized to make an expenditure on behalf of such political action committee or 527 organization, to make a contribution, expenditure, or any other transfer of funds to any other political action committee or 527 organization. It shall be unlawful for any principal campaign committee or any person authorized to make an expenditure on behalf of such principal campaign committee to make a contribution, expenditure, or other transfer of funds to any other principal campaign committee, except where the contribution, expenditure, or any other transfer of funds is made from a principal campaign committee to another principal campaign committee on behalf of the same person. (2) Notwithstanding the foregoingsubdivision (1), a 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 SB289 INTRODUCEDSB289 INTRODUCED Page 3 political action committee that is not a principal campaign committee may make contributions, expenditures, or other transfers of funds to a principal campaign committeecommittees and political parties ; and a separate segregated fund established by a corporation under federal law, if the fund does not receive any contributions from within this state other than contributions from its employees and directors, is not restricted by this subsection in the amount it may transfer to a political action committee established under the provisions of Section 17-5-14.1 by the same or an affiliated corporation." Section 2. This act shall become effective immediately following its passage and approval by the Governor, or its otherwise becoming law. 57 58 59 60 61 62 63 64 65 66 67 68 69 70