Minnesota 2023-2024 Regular Session

Minnesota Senate Bill SF288 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1.1 A bill for an act
2	2	1.2 relating to campaign finance; prohibiting certain political activities by
3	3	1.3 foreign-influenced corporations; requiring a certification of compliance; prohibiting
4	4	1.4 candidates from accepting certain contributions; amending Minnesota Statutes
5	5	1.5 2022, sections 10A.27, subdivision 11; 211B.15, subdivisions 1, 7, 7b, by adding
6	6	1.6 subdivisions.
7	7	1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
8	8	1.8 Section 1. Minnesota Statutes 2022, section 10A.27, subdivision 11, is amended to read:
9	9	1.9 Subd. 11.Contributions from certain types of contributors.(a) A candidate must not
10	10	1.10permit the candidate's principal campaign committee to accept a contribution from a political
11	11	1.11committee, political fund, lobbyist, or association not registered with the board if the
12	12	1.12contribution will cause the aggregate contributions from those types of contributors during
13	13	1.13an election cycle segment to exceed an amount equal to 20 percent of the election cycle
14	14	1.14segment expenditure limits for the office sought by the candidate, provided that the 20
15	15	1.15percent limit must be rounded to the nearest $100.
16	16	1.16 (b) A candidate must not permit the candidate's principal campaign committee to accept
17	17	1.17a contribution that is prohibited by section 211B.15.
18	18	1.18 Sec. 2. Minnesota Statutes 2022, section 211B.15, subdivision 1, is amended to read:
19	19	1.19 Subdivision 1.Definitions.(a) For purposes of this section, the terms defined in this
20	20	1.20subdivision have the meanings given. Unless otherwise provided, the definitions in section
21	21	1.2110A.01 also apply to this section.
22	22	1.22 (b) "Chief executive officer" means the highest-ranking officer or decision-making
23	23	1.23individual with authority over a corporation's affairs.
24	24	1Sec. 2.
25	25	23-00552 as introduced01/03/23 REVISOR JFK/HL
26	26	SENATE
27	27	STATE OF MINNESOTA
28	28	S.F. No. 288NINETY-THIRD SESSION
29	29	(SENATE AUTHORS: MURPHY and Port)
30	30	OFFICIAL STATUSD-PGDATE
31	31	Introduction and first reading01/12/2023
32	32	Referred to Elections 2.1 (c) "Corporation" means:
33	33	2.2 (1) a corporation organized for profit that does business in this state;
34	34	2.3 (2) a nonprofit corporation that carries out activities in this state; or
35	35	2.4 (3) a limited liability company formed under chapter 322C, or under similar laws of
36	36	2.5another state, that does business in this state.
37	37	2.6 (d) "Foreign-influenced corporation" means a corporation for which at least one of the
38	38	2.7following conditions is met:
39	39	2.8 (1) a single foreign owner holds, owns, controls, or otherwise has direct or indirect
40	40	2.9beneficial ownership of one percent or more of the total equity, outstanding voting shares,
41	41	2.10membership units, or other applicable ownership interests of the corporation;
42	42	2.11 (2) two or more foreign owners in aggregate hold, own, control, or otherwise have direct
43	43	2.12or indirect beneficial ownership of five percent or more of the total equity, outstanding
44	44	2.13voting shares, membership units, or other applicable ownership interests of the corporation;
45	45	2.14or
46	46	2.15 (3) a foreign owner participates directly or indirectly in the corporation's decision-making
47	47	2.16process with respect to the corporation's political activities in the United States.
48	48	2.17 (e) "Foreign investor" means a person or entity that:
49	49	2.18 (1) holds, owns, controls, or otherwise has direct or indirect beneficial ownership of
50	50	2.19equity, outstanding voting shares, membership units, or otherwise applicable ownership
51	51	2.20interests of a corporation; and
52	52	2.21 (2) is a government of a foreign country; a political party organized in a foreign country;
53	53	2.22a partnership, association, corporation, organization, or other combination of persons
54	54	2.23organized under the laws of or having its principal place of business in a foreign country;
55	55	2.24or an individual who is not a citizen or national of the United States and who is not lawfully
56	56	2.25admitted for permanent residence in the United States.
57	57	2.26 (f) "Foreign owner" means:
58	58	2.27 (1) a foreign investor; or
59	59	2.28 (2) a corporation in which a foreign investor holds, owns, controls, or otherwise has
60	60	2.29directly or indirectly acquired beneficial ownership of equity or voting shares in an amount
61	61	2.30that is equal to or greater than 50 percent of the total equity or outstanding voting shares.
62	62	2Sec. 2.
63	63	23-00552 as introduced01/03/23 REVISOR JFK/HL 3.1 Sec. 3. Minnesota Statutes 2022, section 211B.15, is amended by adding a subdivision to
64	64	3.2read:
65	65	3.3 Subd. 4a.Foreign-influenced corporations.(a) Notwithstanding subdivisions 3 and
66	66	3.44, a foreign-influenced corporation must not:
67	67	3.5 (1) make an expenditure, or offer or agree to make an expenditure, to promote or defeat
68	68	3.6the candidacy of an individual for nomination, election, or appointment to a public office;
69	69	3.7 (2) make contributions or expenditures to promote or defeat a ballot question, to qualify
70	70	3.8a question for placement on the ballot, or to express its views on issues of public concern;
71	71	3.9 (3) make a contribution to a candidate for nomination, election, or appointment to a
72	72	3.10public office or to a candidate's principal campaign committee;
73	73	3.11 (4) make a contribution to a political committee, political fund, or political party unit;
74	74	3.12or
75	75	3.13 (5) take any action to publicly endorse or oppose a candidate for nomination, election,
76	76	3.14or appointment to a public office, or to endorse or oppose a ballot question or other issue
77	77	3.15of public concern.
78	78	3.16 (b) Notwithstanding subdivisions 8 to 11, a foreign-influenced corporation is prohibited
79	79	3.17from engaging in the activities otherwise authorized by those subdivisions.
80	80	3.18 Sec. 4. Minnesota Statutes 2022, section 211B.15, is amended by adding a subdivision to
81	81	3.19read:
82	82	3.20 Subd. 4b.Certification of compliance with subdivision 4a.A corporation that makes
83	83	3.21a contribution or expenditure authorized by subdivision 3 or 4 must, within seven business
84	84	3.22days after the contribution or expenditure is made, submit a certification to the Campaign
85	85	3.23Finance and Public Disclosure Board that it was not a foreign-influenced corporation as of
86	86	3.24the date the contribution or expenditure was made. The certification must be signed by the
87	87	3.25corporation's chief executive officer after reasonable inquiry, under penalty of perjury. If
88	88	3.26the activity requiring certification was a contribution to an independent expenditure
89	89	3.27committee, the corporation must additionally provide a copy of the certification to that
90	90	3.28committee.
91	91	3.29 Sec. 5. Minnesota Statutes 2022, section 211B.15, subdivision 7, is amended to read:
92	92	3.30 Subd. 7.Penalty for corporations.(a) A corporation that violates this section is subject
93	93	3.31to a civil penalty of up to ten times the amount of the violation, but in no case more than
94	94	3Sec. 5.
95	95	23-00552 as introduced01/03/23 REVISOR JFK/HL 4.1$10,000, imposed by the Campaign Finance and Public Disclosure Board under chapter
96	96	4.210A or imposed by the Office of Administrative Hearings under this chapter.
97	97	4.3 (b) Knowingly violating this section is a crime. A corporation convicted of knowingly
98	98	4.4violating this section is subject to a fine not greater than $40,000. A convicted domestic
99	99	4.5corporation may be dissolved as well as fined. If a foreign, foreign-influenced, or nonresident
100	100	4.6corporation is convicted, in addition to being fined, its right to do business in this state may
101	101	4.7be declared forfeited.
102	102	4.8 Sec. 6. Minnesota Statutes 2022, section 211B.15, subdivision 7b, is amended to read:
103	103	4.9 Subd. 7b.Knowing violations.An individual or a corporation knowingly violates this
104	104	4.10section if, at the time of a transaction, the individual or the corporation knew:
105	105	4.11 (1) that the transaction causing the violation constituted a contribution under chapter
106	106	4.1210A, 211A, or 383B; and
107	107	4.13 (2) that the contributor was a corporation subject to the prohibitions of subdivision 2 or
108	108	4.144a.
109	109	4.15 Sec. 7. EFFECTIVE DATE.
110	110	4.16 This act is effective July 1, 2023, and applies to contributions, expenditures, and other
111	111	4.17applicable activities occurring on or after that date.
112	112	4Sec. 7.
113	113	23-00552 as introduced01/03/23 REVISOR JFK/HL