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Regular Session, 2012
HOUSE BILL NO. 955
BY REPRESENTATIVE TIM BURNS
CAMPAIGN FINANCE: Provides relative to enforcement of certain provisions of the
Campaign Finance Disclosure Act
AN ACT1
To amend and reenact R.S. 18:463(A)(2)(c)(i), 1505.4(A)(1) and (4), (C), and (D)(1),2
1511.4(D), and 1511.5(A)(1) and (2), (B), and (D) and to enact R.S. 18:1511.4.1,3
relative to the Campaign Finance Disclosure Act; to clarify the enforcement of4
certain violations of the Campaign Finance Disclosure Act; to the provide for the5
powers, functions, and duties of the Supervisory Committee on Campaign Finance6
Disclosure and the Ethics Adjudicatory Board relative to such enforcement; and to7
provide for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 18:463(A)(2)(c)(i), 1505.4(A)(1) and (4), (C), and (D)(1), 1511.4(D),10
and 1511.5(A)(1) and (2), (B), and (D) are hereby amended and reenacted and11
R.S.18:1511.4.1 is hereby enacted to read as follows: 12
§463. Notice of candidacy; financial disclosure; political advertising; penalties13
A.14
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(2)16
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(c) For the purposes of this Paragraph: 18
(i) "Outstanding fine, fee, or penalty pursuant to the Campaign Finance19
Disclosure Act" shall mean a fine, fee, or penalty equal to an amount of two hundred20 HLS 12RS-1058 ENGROSSED
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fifty dollars or more assessed by order of the Supervisory Committee on Campaign1
Finance Disclosure or by final decision of an adjudicatory panel of the Ethics2
Adjudicatory Board pursuant to the Campaign Finance Disclosure Act that has been3
converted into a court order for which all appeals have been exhausted or a judgment4
of a district court assessing civil penalties pursuant to the Campaign Finance5
Disclosure Act and that has become executory pursuant to R.S. 18:1511.5 R.S.6
18:1511.4.1 or 1511.5.7
* * *8
§1505.4. Civil penalties; failure to file; timely and accurate filing; forfeiture9
A.(1) Any candidate, the treasurer or chairman of a political committee, or10
any other person required to file any reports under this Chapter, who knowingly fails11
to file or who knowingly fails to timely file any such reports as are required by this12
Chapter may be assessed a civil penalty as provided in R.S. 42:1157 R.S.13
18:1511.4.1 for each day until such report is filed.14
* * *15
(4)(a) For reports required by this Chapter which are required to be filed16
between the time a candidate qualifies and election day, in addition to any penalties17
which may be imposed under this Section or any other law, the supervisory18
committee may impose on any person required to file such a report who has not filed19
such report by the sixth day after the report is due, after a hearing by the supervisory20
committee pursuant to the provisions of R.S. 18:1511.4(C) an adjudicatory hearing21
by an adjudicatory panel of the Ethics Adjudicatory Board conducted in accordance22
with the provisions of the Code of Governmental Ethics, with notice to the party who23
is the subject of the hearing, an additional civil penalty not to exceed ten thousand24
dollars.25
(b) For all other reports required by this Chapter, in addition to any penalties26
which may be imposed by this Section or any other law, the supervisory committee27
may impose on any person required to file such a report who has not filed such report28
by the eleventh day after the report is due, after a hearing by the supervisory29 HLS 12RS-1058 ENGROSSED
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committee pursuant to the provisions of R.S. 18:1511.4(C) an adjudicatory hearing1
by an adjudicatory panel of the Ethics Adjudicatory Board conducted in accordance2
with the provisions of the Code of Governmental Ethics, with notice to the party who3
is the subject of the hearing, an additional civil penalty not to exceed ten thousand4
dollars.5
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C. Notwithstanding the provisions of Subsection A of this Section and the7
provisions of R.S. 42:1157 R.S. 18:1511.4.1, for committees that are supporting,8
opposing, or otherwise influencing the nomination or election of a person to public9
office the maximum amount of the penalty that shall be imposed for knowingly10
failing to file or knowingly failing to timely file any reports required by this Chapter11
for a special election shall be the total of the expenditures made for the purpose of12
supporting, opposing, or otherwise influencing the nomination or election of a person13
or persons to public office in such special election or the maximum penalty under the14
provisions of Subsection A of this Section, whichever is less. This Subsection shall15
not apply to a candidate's principal campaign committee or any designated subsidiary16
committee of a candidate.17
D.(1) Any elected official who fails to comply with a final order of a court18
or the supervisory committee or a final decision of an adjudicatory panel of the19
Ethics Adjudicatory Board which imposes a fine, fee, or penalty pursuant to this20
Chapter and against which all appeal delays have lapsed shall be subject to forfeiture21
of the nonexempt portion of his public salary, as provided in this Subsection, until22
such time as he has complied with such order or final decision. The forfeiture shall23
take effect no less than twenty days after notice is sent to the elected official pursuant24
to Paragraph (2) of this Subsection.25
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§1511.4. Supervisory committee; investigations27
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D. Upon petition by the supervisory committee or an adjudicatory panel of1
the Ethics Adjudicatory Board any district court within the jurisdiction of which any2
inquiry is being carried on may, in case of refusal to obey a subpoena or order of the3
supervisory committee or an adjudicatory panel of the Ethics Adjudicatory Board4
issued pursuant to this Chapter, issue an order requiring compliance. Any failure to5
obey the order of the court may be punished by the court as a contempt thereof.6
§1511.4.1. Enforcement; failure to file; failure to timely file7
A. The staff of the supervisory committee may assess and issue a final order8
for the payment of civil penalties for knowingly failing to file or knowingly failing9
to timely file in accordance with R.S. 18:1505.4 and rules adopted by the supervisory10
committee.11
B. The supervisory committee may waive all or part of any civil penalties12
assessed pursuant to Subsection A of this Section. A request for waiver of such13
penalties shall be made in writing to the supervisory committee, which shall14
promulgate rules governing the procedure to request a waiver. The supervisory15
committee may take into consideration the provisions of R.S. 18:1511.5(B) in its16
consideration of the request for waiver of civil penalties. The final disposition of a17
waiver request shall not be appealable to the Ethics Adjudicatory Board or a panel18
thereof.19
C.(1) A final order issued pursuant to Subsection A of this Section shall be20
appealable to an adjudicatory panel of the Ethics Adjudicatory Board which shall21
conduct an adjudicatory hearing in accordance with the Code of Governmental22
Ethics.23
(2) If a final order is appealed pursuant to Paragraph (1) of this Subsection,24
an adjudicatory panel of the Ethics Adjudicatory Board shall determine the penalties,25
if any, that should be imposed in accordance with this Chapter, and shall issue a final26
decision. The final decision may be appealed as provided in R.S. 42:1142.27
(3) The Ethics Adjudicatory Board, or a panel thereof, shall have the power28
and authority to subpoena witnesses, administer oaths, compel the production of29 HLS 12RS-1058 ENGROSSED
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books, records, and papers, public and private, require the submission under oath of1
written reports or answers to questions, and to do all that is necessary to effect the2
provisions of this Chapter.3
D. When all delays for a request for waiver or appeal have expired, a final4
order of the supervisory committee or its staff or final decision of an adjudicatory5
panel of the Ethics Adjudicatory Board shall become executory and may be enforced6
as any other money judgement. The supervisory committee may file civil7
proceedings to collect such civil penalties in the district court of the parish in which8
the candidate, chairman, or treasurer of the political committee or other person9
required to file reports is domiciled. The proceedings shall be conducted pursuant10
to the relevant provisions of the Louisiana Code of Civil Procedure. The proceeds11
of such civil penalties shall be paid directly to the treasurer of the state of Louisiana.12
§1511.5. Procedure for enforcement; civil13
A.(1) When the results of the investigation by the supervisory committee14
indicate that a violation of this Chapter has occurred which is subject to civil15
penalties, the supervisory committee is authorized to file civil proceedings to collect16
the civil penalties provided in R.S. 18:1505.4(B) or 1505.5.17
(2) The provisions of this Section shall not apply to any action for the18
payment of late filing fees for reports or statements civil penalties due pursuant to19
R.S. 18:1505.4 for knowingly failing to file or knowingly failing to timely file,20
which shall be governed by R.S. 42:1157, except that the board may take into21
consideration the provisions of Subsection B of this Section in its consideration of22
"good cause" shown for waiver of any late fees, pursuant to R.S. 42:1157.2 R.S.23
18:1511.4.1.24
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B. In determining the amount of the civil penalty to be assessed, the district26
court shall take into consideration, where applicable, the reason for the failure to file27
timely, or the reason for failing to disclose required information, or the reason for28
inaccurately disclosing required information;, the nature of the office sought by the29 HLS 12RS-1058 ENGROSSED
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candidate, or the nature of the office or offices sought by a candidate supported or1
opposed, in the case of by a political committee or other person;, the significance of2
the information undisclosed or, where appropriate, inaccurately disclosed to the3
voting public;, and whether or not the candidate, chairman or treasurer of the4
political committee, or other person actually has filed a report or disclosed such5
information prior to the election or prior to the institution of the rule to show cause.6
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D. A judgment assessing civil penalties shall become executory when all8
delays for appeal have expired according to the Louisiana Code of Civil Procedure,9
and may be enforced as any other money judgment ; however. However, the10
proceeds of such civil penalties shall be paid directly to the treasurer of the state of11
Louisiana.12
Section 2. This Act shall become effective upon signature by the governor or, if not13
signed by the governor, upon expiration of the time for bills to become law without signature14
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If15
vetoed by the governor and subsequently approved by the legislature, this Act shall become16
effective on the day following such approval.17
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Tim Burns HB No. 955
Abstract: Clarifies the powers, functions, and duties of the Supervisory Committee on
Campaign Finance Disclosure and the Ethics Adjudicatory Board relative to the
assessment of penalties and the enforcement of certain violations of the Campaign
Finance Disclosure Act.
Present law provides the supervisory committee (which is the Board of Ethics) with the
authority to investigate apparent or alleged violations of the Campaign Finance Disclosure
Act (CFDA). Proposed law retains present law.
Present law (Campaign Finance Disclosure Act) provides for civil penalties for late filing
to be assessed on persons required to file reports who knowingly fail to file or timely file the
report. Present law provisions in the Code of Governmental Ethics (ethics code) authorize
the staff to assess and order the payment of these civil penalties and provide that a person
may request a waiver or may appeal the assessment to the Board of Ethics. HLS 12RS-1058 ENGROSSED
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Proposed law removes reference to the present law provisions in the ethics code and
provides in the CFDA that the staff may assess and issue an order for the payment of the
civil penalties for failure to file and failure to timely file. Proposed law further provides that
the supervisory committee may waive all or part of such civil penalties and provides that the
disposition of the waiver request is not appealable to the Ethics Adjudicatory Board (EAB),
or a panel thereof (EAB panel). Also provides that the order by the staff is appealable to an
EAB panel which shall conduct an adjudicatory hearing in accordance with the ethics code.
Provides, in such case, that an EAB panel determines the penalties, if any, that should be
imposed in accordance with the CFDA. Specifies that the final decision of an EAB panel
may be appealed as provided in the ethics code. Provides that when all delays for waiver
requests and appeal have expired, a final order or decision shall become executory and may
be enforced as any other money judgement.
Present law further authorizes the supervisory committee to impose additional civil penalties
up to $10,000 on any person required to file certain election related reports who has not filed
the report by the sixth day after it is due or in the case of other reports by the eleventh day
after its due, with notice to the party who is the subject of the hearing.
Proposed law provides instead that an adjudicatory panel of the Ethics Adjudicatory Board
conducts an adjudicatory hearing in accordance with the provisions of the ethics code and
otherwise retains present law. Proposed law authorizes the EAB or panel thereof to
subpoena witnesses, administer oaths, compel production of documents, and to do all as
necessary to effect the provisions of the CFDA.
Present law provides that any person required to file reports under the CFDA who knowingly
and willfully fails to disclose, or knowingly and willfully fails to accurately disclose, any
information required to be disclosed in the reports required herein, may be assessed a civil
penalty for each day until such information is disclosed by amendment to the appropriate
report. Defines "knowingly and willfully", as conduct which could have been avoided
through the exercise of due diligence.
Proposed law retains present law but specifies that the supervisory committee, when an
investigation indicates a violation has occurred, may file civil proceedings to collect these
penalties.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 18:463(A)(2)(c)(i), 1505.4(A)(1) and (4), (C), and (D)(1), 1511.4(D), and
1511.5(A)(1) and (2), (B), and (D); Adds 18:1511.4.1)
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on House and Governmental
Affairs to the original bill.
1. Provides that the supervisory committee, when an investigation indicates a
violation has occurred, may file civil proceedings to collect per day civil
penalties for willfully failing to disclose or knowingly and willfully failing to
accurately disclose any information required until such information is disclosed
by amendment.