Amended IN Assembly March 23, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2188Introduced by Assembly Member MullinFebruary 12, 2018 An act to amend Section 82025 of Sections 84504.3, 84504.4, and 84510 of, and to add Section 84504.6 to, the Government Code, relating to the Political Reform Act of 1974. LEGISLATIVE COUNSEL'S DIGESTAB 2188, as amended, Mullin. Political Reform Act of 1974: campaign disclosures. disclosures: advertisements.Existing law, the Political Reform Act of 1974, requires specified disclosures in advertisements regarding the source of the advertisement. The act defines advertisement for this purpose as a general or public communication that is authorized and paid for by a committee for the purpose of supporting or opposing a candidate or candidates for elective office or a ballot measure or ballot measures. Among other things, the act requires an electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, to include the text Who funded this ad? and a hyperlink to an Internet Web site containing specified disclosures. However, the act requires that an advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, only include specified disclosures in a contrasting color and in no less than 8 point font on the committees profile, landing page, or similar location, and not on each individual post, comment, or other similar communication.This bill would require the disclosures on the committees profile, landing page, or similar location to be on the cover or header photo of the committees profile, landing page, or similar location and in no less than 10 point font. The bill would require the disclosures to be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.This bill would require an online platform, as defined, to display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The bill would require an online platform to maintain and make available a complete record of any request to purchase an advertisement on the online platform made by a committee that purchased $500 or more in advertisements on the online platform during the preceding 12 months. The bill would require an online platform to display a prominent button, tab, or hyperlink near the top of a profile, landing page, or similar location of the committee that links to a page clearly showing the records of any request made by the committee to purchase an advertisement on the online platform. The bill would make a person who intentionally violates these provisions for the purpose of avoiding disclosure liable in a civil or administrative action brought by the Fair Political Practices Commission or any person for a fine up to 3 times the cost of the advertisement, including placement costs.The act requires a radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement.This bill would require an electronic media advertisement, other than a mass electronic mailing, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement.Because a violation of the act is punishable as a misdemeanor, this bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the acts purposes upon a 2/3 vote of each house of the Legislature and compliance with specified procedural requirements.This bill would declare that it furthers the purposes of the act.Existing law, the Political Reform Act of 1974, provides for the comprehensive regulation of campaign financing and activities. The act defines expenditure as a payment, a forgiveness of a loan, a payment of a loan by a 3rd party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes, and provides that an expenditure is made on the date payment is made or on the date the consideration, if any, is received, whichever is earlier.This bill would make technical, nonsubstantive changes to these provisions.Digest Key Vote: MAJORITY2/3 Appropriation: NO Fiscal Committee: NOYES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 84504.3 of the Government Code is amended to read:84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following:(1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer.(2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5.(c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon.(e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504.(f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.(g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title.SEC. 2. Section 84504.4 of the Government Code is amended to read:84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements:(a)(1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement.(b)(2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen.(b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement.SEC. 3. Section 84504.6 is added to the Government Code, to read:84504.6. (a) An online platform shall do all of the following:(1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following:(A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored.(B) Located adjacent to the text stating that the advertisement is promoted or sponsored.(C) Clearly clickable.(D) Linked to the profile or landing page of the committee that paid for the advertisement.(2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following:(i) A digital copy of the advertisement.(ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed.(iii) Information regarding the average rate charged for the advertisement.(iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers.(v) The name and identification number of the committee that paid for the advertisement.(B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years.(3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2).(b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section.(c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months.SEC. 4. Section 84510 of the Government Code is amended to read:84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation.(c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state.SEC. 5. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SEC. 6. The Legislature finds and declares that this bill furthers the purposes of the Political Reform Act of 1974 within the meaning of subdivision (a) of Section 81012 of the Government Code.SECTION 1.Section 82025 of the Government Code is amended to read:82025.(a)Expenditure means a payment, a forgiveness of a loan, a payment of a loan by a third party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes. Expenditure does not include a candidates use of his or her own money to pay for either a filing fee for a declaration of candidacy or a candidate statement prepared pursuant to Section 13307 of the Elections Code. An expenditure is made on the earlier of the date the payment is made or on the date consideration, if any, is received.(b)A payment is made for political purposes if it is any of the following:(1)For purposes of influencing or attempting to influence the action of the voters for or against the nomination or election of a candidate or candidates, or the qualification or passage of any measure.(2)Made by any of the following:(A)A candidate, unless it is clear from surrounding circumstances that the payment was made for personal purposes unrelated to his or her candidacy or status as an officeholder.(B)A controlled committee.(C)An official committee of a political party, including a state central committee, county central committee, assembly district committee, or any subcommittee of such committee.(D)An organization formed or existing primarily for political purposes, as described in paragraph (1), including, but not limited to, a political action committee established by any membership organization, labor union, or corporation.(c)Expenditure includes any monetary or nonmonetary payment made by any person, other than the persons or organizations described in subdivision (b), that is used for communications that expressly advocate the nomination, election, or defeat of a clearly identified candidate or candidates, or the qualification, passage, or defeat of a clearly identified ballot measure.(1)Clearly identified is defined as follows:(A)A candidate is clearly identified if the communication states his or her name, makes unambiguous reference to his or her office or status as a candidate, or unambiguously describes him or her in any manner.(B)A group of candidates is clearly identified if the communication makes unambiguous reference to some well-defined characteristic of the group, even if the communication does not name each candidate. A communication that clearly identifies a group of candidates and expressly advocates their election or defeat is reportable as an expenditure, but the expenditure need not be allocated among all members of the class or group on the campaign statement reporting the expenditure.(C)A measure that has qualified to be placed on the ballot is clearly identified if the communication states a proposition number, official title, or popular name associated with the measure. In addition, the measure is clearly identified if the communication refers to the subject matter of the measure and either states that the measure is before the people for a vote or, taken as a whole and in context, unambiguously refers to the measure.(D)A measure that has not qualified to be placed on the ballot is clearly identified if the communication refers to the subject matter of the measure and the qualification drive.(2)A communication expressly advocates the nomination, election, or defeat of a candidate or the qualification, passage, or defeat of a measure if it contains express words of advocacy such as vote for, elect, support, cast your ballot, vote against, defeat, reject, sign petitions for, or, within 60 days before an election in which the candidate or measure appears on the ballot, the communication otherwise refers to a clearly identified candidate or measure so that the communication, taken as a whole, unambiguously urges a particular result in an election.(A)Except for those communications paid for with public moneys by a state or local government agency, a communication, taken as a whole, unambiguously urges a particular result in an election if it is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure. A communication is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure when, taken as a whole, it could only be interpreted by a reasonable person as containing an appeal to vote for or against a specific candidate or measure because of both of the following:(i)The electoral portion of the communication is unmistakable, unambiguous, and suggestive of only one meaning.(ii)Reasonable minds could not differ as to whether it encourages a vote for or against a clearly identified candidate or measure, or encourages some other kind of action on a legislative, executive, or judicial matter or issue.(B)The following nonexhaustive examples, referring to candidates or measures on the ballot in an upcoming election, illustrate statements that in most contexts would not be susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure: Smiths the One; No Measure A; Rally round OMalley; Create jobs with Measure X; Only Nancy Brown can clean out City Hall; Proposition 123 - your last chance to save California; Joe Green will earn your trust; Bob Boone is unqualified for office and a special-interest puppet; Shirley Hall - bad for California, bad for you.(C)The following nonexhaustive examples, referring to candidates or measures on the ballot in an upcoming election, illustrate statements that would be susceptible of a reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure: Assembly Member Nancy Brown needs to be tough on criminals. Call her and tell her to stand firm on AB 100; Poor children need a home too. Support the Mayors stance against more budget cuts; Thank you, Supervisor Smith, for continuing to support our farmers.(D)Safe Harbor. A communication does not expressly advocate the nomination, election, or defeat of a candidate, or the qualification, passage, or defeat of a measure, within the meaning of this section, if both of the following apply:(i)The communication does not mention an election, candidacy, political party unless required by law, opposing candidate, or voting by the general public, and it does not take a position on the character, qualifications, or fitness for office of a candidate or officeholder, or the merits of a ballot measure.(ii)The communication focuses on a legislative, executive, or judicial matter or issue, either urging a candidate to take a particular position or action with respect to the matter or issue, or urging the public to adopt a particular position and to contact the candidate with respect to the matter or issue.(E)Rules of Interpretation. If a communication does not qualify for the safe harbor described in subparagraph (D), the commission shall consider if the communication has an interpretation other than as an appeal to vote for or against a clearly identified candidate or measure, in order to determine if, on balance, the communication is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a clearly identified candidate or measure.(3)Reporting Expenditures.(A)The amount of an expenditure reportable pursuant to this subdivision shall include all costs directly attributable to the communication, including, but not limited to, salaries, production, postage, space or time purchased, agency fees, printing, and any additional administrative or overhead costs attributable to the communication. The expenditure does not include any of the regular ongoing business overhead that will be incurred in similar amounts regardless of the communication.(B)When a printed or broadcast communication circulates outside the state, the expenditure may be calculated on the basis of the fraction of the total cost attributable to circulation within the state.(C)Costs directly traceable to the communication are reportable when the communication is made, or when payments are made in connection with the development, production, or dissemination of the communication, whichever occurs first.(D)The costs of printing and distributing petitions, recruiting, training, and paying expenses of petition circulators, and other costs incurred in connection with the qualification of a measure are reportable expenditures.(4)Notwithstanding this subdivision, expenditure does not include costs incurred for communications that expressly advocate the nomination, election, or defeat of a clearly identified candidate or candidates, or the qualification, passage, or defeat of a clearly identified measure or measures by either of the following:(A)A broadcasting station, including a cable or satellite television operation, programmer, or producer, Internet Web site, or a regularly published newspaper, magazine, or other periodical of general circulation, including an Internet or electronic publication, that routinely carries news and commentary of general interest, for the cost of covering or carrying a news story, commentary, or editorial.(B)A regularly published newsletter or regularly published periodical, other than those specified in subparagraph (A), whose circulation is limited to an organizations members, employees, shareholders, other affiliated individuals, and those who request or purchase the publication. This subparagraph applies only to the costs regularly incurred in publishing the newsletter or periodical. If additional costs are incurred because the newsletter or periodical is issued on other than its regular schedule, expanded in circulation, or substantially altered in style, size, or format, the additional costs are expenditures.(5)The term expenditure also does not include uncompensated Internet activity by an individual supporting or opposing a candidate or measure as stated in Section 18215.2 of Title 2 of the California Code of Regulations.(d)A payment used to make contributions, as defined in Section 82015, is an expenditure. Amended IN Assembly March 23, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2188Introduced by Assembly Member MullinFebruary 12, 2018 An act to amend Section 82025 of Sections 84504.3, 84504.4, and 84510 of, and to add Section 84504.6 to, the Government Code, relating to the Political Reform Act of 1974. LEGISLATIVE COUNSEL'S DIGESTAB 2188, as amended, Mullin. Political Reform Act of 1974: campaign disclosures. disclosures: advertisements.Existing law, the Political Reform Act of 1974, requires specified disclosures in advertisements regarding the source of the advertisement. The act defines advertisement for this purpose as a general or public communication that is authorized and paid for by a committee for the purpose of supporting or opposing a candidate or candidates for elective office or a ballot measure or ballot measures. Among other things, the act requires an electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, to include the text Who funded this ad? and a hyperlink to an Internet Web site containing specified disclosures. However, the act requires that an advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, only include specified disclosures in a contrasting color and in no less than 8 point font on the committees profile, landing page, or similar location, and not on each individual post, comment, or other similar communication.This bill would require the disclosures on the committees profile, landing page, or similar location to be on the cover or header photo of the committees profile, landing page, or similar location and in no less than 10 point font. The bill would require the disclosures to be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.This bill would require an online platform, as defined, to display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The bill would require an online platform to maintain and make available a complete record of any request to purchase an advertisement on the online platform made by a committee that purchased $500 or more in advertisements on the online platform during the preceding 12 months. The bill would require an online platform to display a prominent button, tab, or hyperlink near the top of a profile, landing page, or similar location of the committee that links to a page clearly showing the records of any request made by the committee to purchase an advertisement on the online platform. The bill would make a person who intentionally violates these provisions for the purpose of avoiding disclosure liable in a civil or administrative action brought by the Fair Political Practices Commission or any person for a fine up to 3 times the cost of the advertisement, including placement costs.The act requires a radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement.This bill would require an electronic media advertisement, other than a mass electronic mailing, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement.Because a violation of the act is punishable as a misdemeanor, this bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the acts purposes upon a 2/3 vote of each house of the Legislature and compliance with specified procedural requirements.This bill would declare that it furthers the purposes of the act.Existing law, the Political Reform Act of 1974, provides for the comprehensive regulation of campaign financing and activities. The act defines expenditure as a payment, a forgiveness of a loan, a payment of a loan by a 3rd party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes, and provides that an expenditure is made on the date payment is made or on the date the consideration, if any, is received, whichever is earlier.This bill would make technical, nonsubstantive changes to these provisions.Digest Key Vote: MAJORITY2/3 Appropriation: NO Fiscal Committee: NOYES Local Program: NOYES Amended IN Assembly March 23, 2018 Amended IN Assembly March 23, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2188 Introduced by Assembly Member MullinFebruary 12, 2018 Introduced by Assembly Member Mullin February 12, 2018 An act to amend Section 82025 of Sections 84504.3, 84504.4, and 84510 of, and to add Section 84504.6 to, the Government Code, relating to the Political Reform Act of 1974. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 2188, as amended, Mullin. Political Reform Act of 1974: campaign disclosures. disclosures: advertisements. Existing law, the Political Reform Act of 1974, requires specified disclosures in advertisements regarding the source of the advertisement. The act defines advertisement for this purpose as a general or public communication that is authorized and paid for by a committee for the purpose of supporting or opposing a candidate or candidates for elective office or a ballot measure or ballot measures. Among other things, the act requires an electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, to include the text Who funded this ad? and a hyperlink to an Internet Web site containing specified disclosures. However, the act requires that an advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, only include specified disclosures in a contrasting color and in no less than 8 point font on the committees profile, landing page, or similar location, and not on each individual post, comment, or other similar communication.This bill would require the disclosures on the committees profile, landing page, or similar location to be on the cover or header photo of the committees profile, landing page, or similar location and in no less than 10 point font. The bill would require the disclosures to be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.This bill would require an online platform, as defined, to display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The bill would require an online platform to maintain and make available a complete record of any request to purchase an advertisement on the online platform made by a committee that purchased $500 or more in advertisements on the online platform during the preceding 12 months. The bill would require an online platform to display a prominent button, tab, or hyperlink near the top of a profile, landing page, or similar location of the committee that links to a page clearly showing the records of any request made by the committee to purchase an advertisement on the online platform. The bill would make a person who intentionally violates these provisions for the purpose of avoiding disclosure liable in a civil or administrative action brought by the Fair Political Practices Commission or any person for a fine up to 3 times the cost of the advertisement, including placement costs.The act requires a radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement.This bill would require an electronic media advertisement, other than a mass electronic mailing, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement.Because a violation of the act is punishable as a misdemeanor, this bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the acts purposes upon a 2/3 vote of each house of the Legislature and compliance with specified procedural requirements.This bill would declare that it furthers the purposes of the act.Existing law, the Political Reform Act of 1974, provides for the comprehensive regulation of campaign financing and activities. The act defines expenditure as a payment, a forgiveness of a loan, a payment of a loan by a 3rd party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes, and provides that an expenditure is made on the date payment is made or on the date the consideration, if any, is received, whichever is earlier.This bill would make technical, nonsubstantive changes to these provisions. Existing law, the Political Reform Act of 1974, requires specified disclosures in advertisements regarding the source of the advertisement. The act defines advertisement for this purpose as a general or public communication that is authorized and paid for by a committee for the purpose of supporting or opposing a candidate or candidates for elective office or a ballot measure or ballot measures. Among other things, the act requires an electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, to include the text Who funded this ad? and a hyperlink to an Internet Web site containing specified disclosures. However, the act requires that an advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, only include specified disclosures in a contrasting color and in no less than 8 point font on the committees profile, landing page, or similar location, and not on each individual post, comment, or other similar communication. This bill would require the disclosures on the committees profile, landing page, or similar location to be on the cover or header photo of the committees profile, landing page, or similar location and in no less than 10 point font. The bill would require the disclosures to be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media. This bill would require an online platform, as defined, to display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The bill would require an online platform to maintain and make available a complete record of any request to purchase an advertisement on the online platform made by a committee that purchased $500 or more in advertisements on the online platform during the preceding 12 months. The bill would require an online platform to display a prominent button, tab, or hyperlink near the top of a profile, landing page, or similar location of the committee that links to a page clearly showing the records of any request made by the committee to purchase an advertisement on the online platform. The bill would make a person who intentionally violates these provisions for the purpose of avoiding disclosure liable in a civil or administrative action brought by the Fair Political Practices Commission or any person for a fine up to 3 times the cost of the advertisement, including placement costs. The act requires a radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement. This bill would require an electronic media advertisement, other than a mass electronic mailing, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, to include a specified disclosure regarding who paid for the advertisement. Because a violation of the act is punishable as a misdemeanor, this bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the acts purposes upon a 2/3 vote of each house of the Legislature and compliance with specified procedural requirements. This bill would declare that it furthers the purposes of the act. Existing law, the Political Reform Act of 1974, provides for the comprehensive regulation of campaign financing and activities. The act defines expenditure as a payment, a forgiveness of a loan, a payment of a loan by a 3rd party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes, and provides that an expenditure is made on the date payment is made or on the date the consideration, if any, is received, whichever is earlier. This bill would make technical, nonsubstantive changes to these provisions. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. Section 84504.3 of the Government Code is amended to read:84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following:(1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer.(2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5.(c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon.(e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504.(f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.(g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title.SEC. 2. Section 84504.4 of the Government Code is amended to read:84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements:(a)(1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement.(b)(2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen.(b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement.SEC. 3. Section 84504.6 is added to the Government Code, to read:84504.6. (a) An online platform shall do all of the following:(1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following:(A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored.(B) Located adjacent to the text stating that the advertisement is promoted or sponsored.(C) Clearly clickable.(D) Linked to the profile or landing page of the committee that paid for the advertisement.(2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following:(i) A digital copy of the advertisement.(ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed.(iii) Information regarding the average rate charged for the advertisement.(iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers.(v) The name and identification number of the committee that paid for the advertisement.(B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years.(3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2).(b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section.(c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months.SEC. 4. Section 84510 of the Government Code is amended to read:84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation.(c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state.SEC. 5. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SEC. 6. The Legislature finds and declares that this bill furthers the purposes of the Political Reform Act of 1974 within the meaning of subdivision (a) of Section 81012 of the Government Code.SECTION 1.Section 82025 of the Government Code is amended to read:82025.(a)Expenditure means a payment, a forgiveness of a loan, a payment of a loan by a third party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes. Expenditure does not include a candidates use of his or her own money to pay for either a filing fee for a declaration of candidacy or a candidate statement prepared pursuant to Section 13307 of the Elections Code. An expenditure is made on the earlier of the date the payment is made or on the date consideration, if any, is received.(b)A payment is made for political purposes if it is any of the following:(1)For purposes of influencing or attempting to influence the action of the voters for or against the nomination or election of a candidate or candidates, or the qualification or passage of any measure.(2)Made by any of the following:(A)A candidate, unless it is clear from surrounding circumstances that the payment was made for personal purposes unrelated to his or her candidacy or status as an officeholder.(B)A controlled committee.(C)An official committee of a political party, including a state central committee, county central committee, assembly district committee, or any subcommittee of such committee.(D)An organization formed or existing primarily for political purposes, as described in paragraph (1), including, but not limited to, a political action committee established by any membership organization, labor union, or corporation.(c)Expenditure includes any monetary or nonmonetary payment made by any person, other than the persons or organizations described in subdivision (b), that is used for communications that expressly advocate the nomination, election, or defeat of a clearly identified candidate or candidates, or the qualification, passage, or defeat of a clearly identified ballot measure.(1)Clearly identified is defined as follows:(A)A candidate is clearly identified if the communication states his or her name, makes unambiguous reference to his or her office or status as a candidate, or unambiguously describes him or her in any manner.(B)A group of candidates is clearly identified if the communication makes unambiguous reference to some well-defined characteristic of the group, even if the communication does not name each candidate. A communication that clearly identifies a group of candidates and expressly advocates their election or defeat is reportable as an expenditure, but the expenditure need not be allocated among all members of the class or group on the campaign statement reporting the expenditure.(C)A measure that has qualified to be placed on the ballot is clearly identified if the communication states a proposition number, official title, or popular name associated with the measure. In addition, the measure is clearly identified if the communication refers to the subject matter of the measure and either states that the measure is before the people for a vote or, taken as a whole and in context, unambiguously refers to the measure.(D)A measure that has not qualified to be placed on the ballot is clearly identified if the communication refers to the subject matter of the measure and the qualification drive.(2)A communication expressly advocates the nomination, election, or defeat of a candidate or the qualification, passage, or defeat of a measure if it contains express words of advocacy such as vote for, elect, support, cast your ballot, vote against, defeat, reject, sign petitions for, or, within 60 days before an election in which the candidate or measure appears on the ballot, the communication otherwise refers to a clearly identified candidate or measure so that the communication, taken as a whole, unambiguously urges a particular result in an election.(A)Except for those communications paid for with public moneys by a state or local government agency, a communication, taken as a whole, unambiguously urges a particular result in an election if it is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure. A communication is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure when, taken as a whole, it could only be interpreted by a reasonable person as containing an appeal to vote for or against a specific candidate or measure because of both of the following:(i)The electoral portion of the communication is unmistakable, unambiguous, and suggestive of only one meaning.(ii)Reasonable minds could not differ as to whether it encourages a vote for or against a clearly identified candidate or measure, or encourages some other kind of action on a legislative, executive, or judicial matter or issue.(B)The following nonexhaustive examples, referring to candidates or measures on the ballot in an upcoming election, illustrate statements that in most contexts would not be susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure: Smiths the One; No Measure A; Rally round OMalley; Create jobs with Measure X; Only Nancy Brown can clean out City Hall; Proposition 123 - your last chance to save California; Joe Green will earn your trust; Bob Boone is unqualified for office and a special-interest puppet; Shirley Hall - bad for California, bad for you.(C)The following nonexhaustive examples, referring to candidates or measures on the ballot in an upcoming election, illustrate statements that would be susceptible of a reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure: Assembly Member Nancy Brown needs to be tough on criminals. Call her and tell her to stand firm on AB 100; Poor children need a home too. Support the Mayors stance against more budget cuts; Thank you, Supervisor Smith, for continuing to support our farmers.(D)Safe Harbor. A communication does not expressly advocate the nomination, election, or defeat of a candidate, or the qualification, passage, or defeat of a measure, within the meaning of this section, if both of the following apply:(i)The communication does not mention an election, candidacy, political party unless required by law, opposing candidate, or voting by the general public, and it does not take a position on the character, qualifications, or fitness for office of a candidate or officeholder, or the merits of a ballot measure.(ii)The communication focuses on a legislative, executive, or judicial matter or issue, either urging a candidate to take a particular position or action with respect to the matter or issue, or urging the public to adopt a particular position and to contact the candidate with respect to the matter or issue.(E)Rules of Interpretation. If a communication does not qualify for the safe harbor described in subparagraph (D), the commission shall consider if the communication has an interpretation other than as an appeal to vote for or against a clearly identified candidate or measure, in order to determine if, on balance, the communication is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a clearly identified candidate or measure.(3)Reporting Expenditures.(A)The amount of an expenditure reportable pursuant to this subdivision shall include all costs directly attributable to the communication, including, but not limited to, salaries, production, postage, space or time purchased, agency fees, printing, and any additional administrative or overhead costs attributable to the communication. The expenditure does not include any of the regular ongoing business overhead that will be incurred in similar amounts regardless of the communication.(B)When a printed or broadcast communication circulates outside the state, the expenditure may be calculated on the basis of the fraction of the total cost attributable to circulation within the state.(C)Costs directly traceable to the communication are reportable when the communication is made, or when payments are made in connection with the development, production, or dissemination of the communication, whichever occurs first.(D)The costs of printing and distributing petitions, recruiting, training, and paying expenses of petition circulators, and other costs incurred in connection with the qualification of a measure are reportable expenditures.(4)Notwithstanding this subdivision, expenditure does not include costs incurred for communications that expressly advocate the nomination, election, or defeat of a clearly identified candidate or candidates, or the qualification, passage, or defeat of a clearly identified measure or measures by either of the following:(A)A broadcasting station, including a cable or satellite television operation, programmer, or producer, Internet Web site, or a regularly published newspaper, magazine, or other periodical of general circulation, including an Internet or electronic publication, that routinely carries news and commentary of general interest, for the cost of covering or carrying a news story, commentary, or editorial.(B)A regularly published newsletter or regularly published periodical, other than those specified in subparagraph (A), whose circulation is limited to an organizations members, employees, shareholders, other affiliated individuals, and those who request or purchase the publication. This subparagraph applies only to the costs regularly incurred in publishing the newsletter or periodical. If additional costs are incurred because the newsletter or periodical is issued on other than its regular schedule, expanded in circulation, or substantially altered in style, size, or format, the additional costs are expenditures.(5)The term expenditure also does not include uncompensated Internet activity by an individual supporting or opposing a candidate or measure as stated in Section 18215.2 of Title 2 of the California Code of Regulations.(d)A payment used to make contributions, as defined in Section 82015, is an expenditure. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. Section 84504.3 of the Government Code is amended to read:84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following:(1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer.(2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5.(c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon.(e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504.(f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.(g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title. SECTION 1. Section 84504.3 of the Government Code is amended to read: ### SECTION 1. 84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following:(1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer.(2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5.(c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon.(e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504.(f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.(g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title. 84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following:(1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer.(2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5.(c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon.(e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504.(f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.(g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title. 84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following:(1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer.(2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5.(c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font.(d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon.(e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504.(f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media.(g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title. 84504.3. (a) An electronic media advertisement, other than an Internet Web site, paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall comply with both of the following: (1) Include the text Who funded this ad? in a contrasting color and a font size that is easily readable by the average viewer. (2) Such The text shall be a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font. (b) Notwithstanding subdivision (a), the text required by paragraph (1) of subdivision (a) is not required if including the language would be impracticable. In such circumstances the advertisement need only include a hyperlink to an Internet Web site containing the disclosures required by Sections 84502, 84503, and 84506.5. (c) Notwithstanding subdivisions (a) and (b), an Internet Web site paid for by a committee, other than a political party committee or a candidate controlled committee established for an elective office of the controlling candidate, shall include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color and in no less than 8 point font. (d) An Internet Web site that is hyperlinked as provided for in paragraph (2) of subdivision (a) shall remain online and available to the public until 30 days after the date of the election in which the candidate or ballot measure supported or opposed by the advertisement was voted upon. (e) An advertisement made via a form of electronic media that is audio only and therefore cannot include either of the disclaimers in subdivision (a) shall comply with the disclaimer requirements for radio advertisements in Section 84504. (f) An advertisement made via a form of electronic media that allows users to engage in discourse and post content, or any other type of social media, shall only be required to include the disclosures required by Sections 84502, 84503, and 84506.5 in a contrasting color that is easily readable by the average viewer and in no less than 8 10 point font on the cover or header photo of the committees profile, landing page, or similar location and shall not be required to include the disclaimer required by subdivision (a) on each individual post, comment, or other similar communication. The disclosures specified in this subdivision shall be fully visible on the cover or header photo when the profile, landing page, or similar location is viewed from any electronic device that is commonly used to view this form of electronic media. (g) The disclaimer required by this section does not apply to advertisements made via social media for which the only expense or cost of the communication is compensated staff time unless the social media account where the content is posted was created only for the purpose of advertisements governed by this title. SEC. 2. Section 84504.4 of the Government Code is amended to read:84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements:(a)(1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement.(b)(2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen.(b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement. SEC. 2. Section 84504.4 of the Government Code is amended to read: ### SEC. 2. 84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements:(a)(1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement.(b)(2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen.(b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement. 84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements:(a)(1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement.(b)(2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen.(b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement. 84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements:(a)(1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement.(b)(2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen.(b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement. 84504.4. (a) A radio or television advertisement that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by Section 84502 subject to the following requirements: (a) (1) In a radio advertisement, the words shall be included at the beginning or end of the advertisement and read in a clearly spoken manner and in a pitch and tone substantially similar to the rest of the advertisement. (b) (2) In a television advertisement, the words shall appear in writing for at least four seconds with letters in a type size that is greater than or equal to 4 percent of the height of the screen. (b) An electronic media advertisement, other than a mass electronic mailing as defined in Section 84305, that is paid for by a political party or a candidate controlled committee established for an elective office of the controlling candidate, and that does not support or oppose a ballot measure and is not paid for by an independent expenditure, shall include the disclosure required by subdivision (f) of Section 84504.3 in the advertisement. SEC. 3. Section 84504.6 is added to the Government Code, to read:84504.6. (a) An online platform shall do all of the following:(1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following:(A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored.(B) Located adjacent to the text stating that the advertisement is promoted or sponsored.(C) Clearly clickable.(D) Linked to the profile or landing page of the committee that paid for the advertisement.(2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following:(i) A digital copy of the advertisement.(ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed.(iii) Information regarding the average rate charged for the advertisement.(iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers.(v) The name and identification number of the committee that paid for the advertisement.(B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years.(3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2).(b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section.(c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months. SEC. 3. Section 84504.6 is added to the Government Code, to read: ### SEC. 3. 84504.6. (a) An online platform shall do all of the following:(1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following:(A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored.(B) Located adjacent to the text stating that the advertisement is promoted or sponsored.(C) Clearly clickable.(D) Linked to the profile or landing page of the committee that paid for the advertisement.(2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following:(i) A digital copy of the advertisement.(ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed.(iii) Information regarding the average rate charged for the advertisement.(iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers.(v) The name and identification number of the committee that paid for the advertisement.(B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years.(3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2).(b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section.(c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months. 84504.6. (a) An online platform shall do all of the following:(1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following:(A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored.(B) Located adjacent to the text stating that the advertisement is promoted or sponsored.(C) Clearly clickable.(D) Linked to the profile or landing page of the committee that paid for the advertisement.(2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following:(i) A digital copy of the advertisement.(ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed.(iii) Information regarding the average rate charged for the advertisement.(iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers.(v) The name and identification number of the committee that paid for the advertisement.(B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years.(3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2).(b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section.(c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months. 84504.6. (a) An online platform shall do all of the following:(1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following:(A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored.(B) Located adjacent to the text stating that the advertisement is promoted or sponsored.(C) Clearly clickable.(D) Linked to the profile or landing page of the committee that paid for the advertisement.(2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following:(i) A digital copy of the advertisement.(ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed.(iii) Information regarding the average rate charged for the advertisement.(iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers.(v) The name and identification number of the committee that paid for the advertisement.(B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years.(3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2).(b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section.(c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months. 84504.6. (a) An online platform shall do all of the following: (1) Display a hyperlink with the text Who funded this ad? on an advertisement paid for by a committee. The hyperlink shall be all of the following: (A) In the same font and in the same font size, which shall be no less than 8 point font, as the online platforms text stating that the advertisement is promoted or sponsored. (B) Located adjacent to the text stating that the advertisement is promoted or sponsored. (C) Clearly clickable. (D) Linked to the profile or landing page of the committee that paid for the advertisement. (2) (A) Maintain, and make available for online public inspection in machine readable format, a complete record of any request to purchase on the online platform an advertisement that is made by a committee that purchased five hundred dollars ($500) or more in advertisements on the online platform during the preceding 12 months. Each record shall contain all of the following: (i) A digital copy of the advertisement. (ii) A description of the audience targeted by the advertisement, the number of views generated from the advertisement, and the date and time that the advertisement was first displayed and last displayed. (iii) Information regarding the average rate charged for the advertisement. (iv) The name of the candidate to which the advertisement refers and the office to which the candidate is seeking election, as applicable and whether the advertisement is in support of or opposition to the candidate or the ballot measure to which the advertisement refers. (v) The name and identification number of the committee that paid for the advertisement. (B) The information required under this paragraph shall be made available as soon as possible and shall be retained by the online platform for no less than four years. (3) Display a prominent button, tab, or hyperlink with the text View Ads near the top of a profile, landing page, or similar location of a committee that paid for an advertisement in a position that the average viewer will readily see it upon viewing that page. The button, tab, or hyperlink shall link to a page clearly showing all of the advertisement records required by paragraph (2). (b) A committee that requests to purchase an advertisement on an online platform shall provide the online platform with all information necessary for the online platform to comply with the requirements of this section. (c) For purposes of this section, an online platform means a public-facing Internet Web site, web application, or digital application, including a social network, ad network, or search engine, which sells advertisements and has 50,000,000 or more unique monthly United States visitors or users for a majority of months during the preceding 12 months. SEC. 4. Section 84510 of the Government Code is amended to read:84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation.(c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state. SEC. 4. Section 84510 of the Government Code is amended to read: ### SEC. 4. 84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation.(c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state. 84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation.(c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state. 84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs.(b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation.(c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state. 84510. (a) (1) In addition to the remedies provided for in Chapter 11 (commencing with Section 91000) of this title, any 91000), a person who violates Section 84503 or 84506.5 is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs. (2) Notwithstanding paragraph (1), any a person who intentionally violates any a provision of Sections 84504 to 84504.3, inclusive, or Section 84504.5, 84504.5 or 84504.6, for the purpose of avoiding disclosure is liable in a civil or administrative action brought by the Commission or any person for a fine up to three times the cost of the advertisement, including placement costs. (b) The remedies provided in subdivision (a) shall also apply to any person who purposely causes any other person to violate any of the sections described in paragraph (1) or (2) of subdivision (a) or who aids and abets any other person in a violation. (c) If a judgment is entered against the defendant or defendants in an action brought under this section, the plaintiff shall receive 50 percent of the amount recovered. The remaining 50 percent shall be deposited in the General Fund of the state. In an action brought by a local civil prosecutor, 50 percent shall be deposited in the account of the agency bringing the action and 50 percent shall be paid to the General Fund of the state. SEC. 5. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution. SEC. 5. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution. SEC. 5. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution. ### SEC. 5. SEC. 6. The Legislature finds and declares that this bill furthers the purposes of the Political Reform Act of 1974 within the meaning of subdivision (a) of Section 81012 of the Government Code. SEC. 6. The Legislature finds and declares that this bill furthers the purposes of the Political Reform Act of 1974 within the meaning of subdivision (a) of Section 81012 of the Government Code. SEC. 6. The Legislature finds and declares that this bill furthers the purposes of the Political Reform Act of 1974 within the meaning of subdivision (a) of Section 81012 of the Government Code. ### SEC. 6. (a)Expenditure means a payment, a forgiveness of a loan, a payment of a loan by a third party, or an enforceable promise to make a payment, unless it is clear from the surrounding circumstances that it is not made for political purposes. Expenditure does not include a candidates use of his or her own money to pay for either a filing fee for a declaration of candidacy or a candidate statement prepared pursuant to Section 13307 of the Elections Code. An expenditure is made on the earlier of the date the payment is made or on the date consideration, if any, is received. (b)A payment is made for political purposes if it is any of the following: (1)For purposes of influencing or attempting to influence the action of the voters for or against the nomination or election of a candidate or candidates, or the qualification or passage of any measure. (2)Made by any of the following: (A)A candidate, unless it is clear from surrounding circumstances that the payment was made for personal purposes unrelated to his or her candidacy or status as an officeholder. (B)A controlled committee. (C)An official committee of a political party, including a state central committee, county central committee, assembly district committee, or any subcommittee of such committee. (D)An organization formed or existing primarily for political purposes, as described in paragraph (1), including, but not limited to, a political action committee established by any membership organization, labor union, or corporation. (c)Expenditure includes any monetary or nonmonetary payment made by any person, other than the persons or organizations described in subdivision (b), that is used for communications that expressly advocate the nomination, election, or defeat of a clearly identified candidate or candidates, or the qualification, passage, or defeat of a clearly identified ballot measure. (1)Clearly identified is defined as follows: (A)A candidate is clearly identified if the communication states his or her name, makes unambiguous reference to his or her office or status as a candidate, or unambiguously describes him or her in any manner. (B)A group of candidates is clearly identified if the communication makes unambiguous reference to some well-defined characteristic of the group, even if the communication does not name each candidate. A communication that clearly identifies a group of candidates and expressly advocates their election or defeat is reportable as an expenditure, but the expenditure need not be allocated among all members of the class or group on the campaign statement reporting the expenditure. (C)A measure that has qualified to be placed on the ballot is clearly identified if the communication states a proposition number, official title, or popular name associated with the measure. In addition, the measure is clearly identified if the communication refers to the subject matter of the measure and either states that the measure is before the people for a vote or, taken as a whole and in context, unambiguously refers to the measure. (D)A measure that has not qualified to be placed on the ballot is clearly identified if the communication refers to the subject matter of the measure and the qualification drive. (2)A communication expressly advocates the nomination, election, or defeat of a candidate or the qualification, passage, or defeat of a measure if it contains express words of advocacy such as vote for, elect, support, cast your ballot, vote against, defeat, reject, sign petitions for, or, within 60 days before an election in which the candidate or measure appears on the ballot, the communication otherwise refers to a clearly identified candidate or measure so that the communication, taken as a whole, unambiguously urges a particular result in an election. (A)Except for those communications paid for with public moneys by a state or local government agency, a communication, taken as a whole, unambiguously urges a particular result in an election if it is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure. A communication is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure when, taken as a whole, it could only be interpreted by a reasonable person as containing an appeal to vote for or against a specific candidate or measure because of both of the following: (i)The electoral portion of the communication is unmistakable, unambiguous, and suggestive of only one meaning. (ii)Reasonable minds could not differ as to whether it encourages a vote for or against a clearly identified candidate or measure, or encourages some other kind of action on a legislative, executive, or judicial matter or issue. (B)The following nonexhaustive examples, referring to candidates or measures on the ballot in an upcoming election, illustrate statements that in most contexts would not be susceptible of any reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure: Smiths the One; No Measure A; Rally round OMalley; Create jobs with Measure X; Only Nancy Brown can clean out City Hall; Proposition 123 - your last chance to save California; Joe Green will earn your trust; Bob Boone is unqualified for office and a special-interest puppet; Shirley Hall - bad for California, bad for you. (C)The following nonexhaustive examples, referring to candidates or measures on the ballot in an upcoming election, illustrate statements that would be susceptible of a reasonable interpretation other than as an appeal to vote for or against a specific candidate or measure: Assembly Member Nancy Brown needs to be tough on criminals. Call her and tell her to stand firm on AB 100; Poor children need a home too. Support the Mayors stance against more budget cuts; Thank you, Supervisor Smith, for continuing to support our farmers. (D)Safe Harbor. A communication does not expressly advocate the nomination, election, or defeat of a candidate, or the qualification, passage, or defeat of a measure, within the meaning of this section, if both of the following apply: (i)The communication does not mention an election, candidacy, political party unless required by law, opposing candidate, or voting by the general public, and it does not take a position on the character, qualifications, or fitness for office of a candidate or officeholder, or the merits of a ballot measure. (ii)The communication focuses on a legislative, executive, or judicial matter or issue, either urging a candidate to take a particular position or action with respect to the matter or issue, or urging the public to adopt a particular position and to contact the candidate with respect to the matter or issue. (E)Rules of Interpretation. If a communication does not qualify for the safe harbor described in subparagraph (D), the commission shall consider if the communication has an interpretation other than as an appeal to vote for or against a clearly identified candidate or measure, in order to determine if, on balance, the communication is not susceptible of any reasonable interpretation other than as an appeal to vote for or against a clearly identified candidate or measure. (3)Reporting Expenditures. (A)The amount of an expenditure reportable pursuant to this subdivision shall include all costs directly attributable to the communication, including, but not limited to, salaries, production, postage, space or time purchased, agency fees, printing, and any additional administrative or overhead costs attributable to the communication. The expenditure does not include any of the regular ongoing business overhead that will be incurred in similar amounts regardless of the communication. (B)When a printed or broadcast communication circulates outside the state, the expenditure may be calculated on the basis of the fraction of the total cost attributable to circulation within the state. (C)Costs directly traceable to the communication are reportable when the communication is made, or when payments are made in connection with the development, production, or dissemination of the communication, whichever occurs first. (D)The costs of printing and distributing petitions, recruiting, training, and paying expenses of petition circulators, and other costs incurred in connection with the qualification of a measure are reportable expenditures. (4)Notwithstanding this subdivision, expenditure does not include costs incurred for communications that expressly advocate the nomination, election, or defeat of a clearly identified candidate or candidates, or the qualification, passage, or defeat of a clearly identified measure or measures by either of the following: (A)A broadcasting station, including a cable or satellite television operation, programmer, or producer, Internet Web site, or a regularly published newspaper, magazine, or other periodical of general circulation, including an Internet or electronic publication, that routinely carries news and commentary of general interest, for the cost of covering or carrying a news story, commentary, or editorial. (B)A regularly published newsletter or regularly published periodical, other than those specified in subparagraph (A), whose circulation is limited to an organizations members, employees, shareholders, other affiliated individuals, and those who request or purchase the publication. This subparagraph applies only to the costs regularly incurred in publishing the newsletter or periodical. If additional costs are incurred because the newsletter or periodical is issued on other than its regular schedule, expanded in circulation, or substantially altered in style, size, or format, the additional costs are expenditures. (5)The term expenditure also does not include uncompensated Internet activity by an individual supporting or opposing a candidate or measure as stated in Section 18215.2 of Title 2 of the California Code of Regulations. (d)A payment used to make contributions, as defined in Section 82015, is an expenditure.