EXPLANATION-Matter enclosed in bold-faced brackets [thus] in this bill is not enacted and is intended to be omitted in the law. FIRST REGULAR SESSION SENATE BILL NO. 242 103RD GENERAL ASSEMBLY INTRODUCED BY SENATOR NURRENBERN. 1171S.01I KRISTINA MARTIN, Secretary AN ACT To repeal section 130.034, RSMo, and to enact in lieu thereof one new section relating to permissible uses for campaign funds, with penalty provisions. Be it enacted by the General Assembly of the State of Missouri, as follows: Section A. Section 130.034, RSMo, is repealed and one new 1 section enacted in lieu thereof, to be known as section 130.034, 2 to read as follows:3 130.034. 1. Contributions as defined in section 1 130.011, received by any committee shall not be converted to 2 any personal use. 3 2. Contributions may be used for any purpose allowed 4 by law including, but not limited to: 5 (1) Any ordinary expenses incurred relating to a 6 campaign; 7 (2) Any ordinary and necessary expenses incurred in 8 connection with the duties of a holder of elective office; 9 (3) Any childcare expenses that result directly from 10 campaigning for office or in connection with the duties of 11 public office that would not have been otherwise incurred 12 but for those activities. Eligible childcare expenses 13 include any expenses that provide for the well -being and 14 protection of the child, provided that no expenditu re shall 15 be made to a member of the candidate's or office holder's 16 household; 17 SB 242 2 (4) Any expenses associated with the duties of 18 candidacy or of elective office pertaining to the 19 entertaining of or providing social courtesies to 20 constituents, profes sional associations, or other holders of 21 elective office; 22 [(4)] (5) The return of any contribution to the person 23 who made the contribution to the candidate or holder of 24 elective office; 25 [(5)] (6) To contribute to a political organization 26 [or candidate committee ] as allowed by law; 27 [(6)] (7) To establish a new committee as defined by 28 this chapter; 29 [(7)] (8) To make an unconditional gift which is fully 30 vested to any charitable, fraternal or civic organizations 31 or other associations formed to provide for some good in the 32 order of benevolence, if such candidate, former candidate or 33 holder of elective office or such person's immediate family 34 gain no direct financial benefit from the unconditional gift; 35 [(8)] (9) Except when such candidate, former candidate 36 or holder of elective office dies while the committee 37 remains in existence, the committee may make an 38 unconditional gift to a fund established for the benefit of 39 the spouse and children of the candidate, former candida te 40 or holder of elective office. The provisions of this 41 subdivision shall expire October 1, 1997. 42 3. Upon the death of the candidate, former candidate 43 or holder of elective office who received such 44 contributions, all contributions shall be dispo sed of 45 according to this section and any funds remaining after 46 final settlement of the candidate's decedent's estate, or if 47 no estate is opened, then twelve months after the 48 SB 242 3 candidate's death, will escheat to the state of Missouri to 49 be deposited in the general revenue fund. 50 4. No contributions, as defined in section 130.011, 51 received by a candidate, former candidate or holder of 52 elective office shall be used to make restitution payments 53 ordered of such individual by a court of law or for the 54 payment of any fine resulting from conviction of a violation 55 of any local, state or federal law. 56 5. Committees described in subdivision (17) of section 57 130.011 shall make expenditures only for the purpose of 58 determining whether an individual will be a candidate. Such 59 expenditures include polling information, mailings, personal 60 appearances, telephone expenses, office and travel expenses 61 but may not include contributions to other candidate 62 committees. 63 6. Any moneys in the exploratory comm ittee fund may be 64 transferred to the candidate committee upon declaration of 65 candidacy for the position being explored. Such funds shall 66 be included for the purposes of reporting and limitation. 67 In the event that candidacy is not declared for the pos ition 68 being explored, the remaining exploratory committee funds 69 shall be returned to the contributors on a pro rata basis. 70 In no event shall the amount returned exceed the amount 71 given by each contributor nor be less than ten dollars. 72 7. Funds held in candidate committees, campaign 73 committees, debt service committees, and exploratory 74 committees shall be liquid such that these funds shall be 75 readily available for the specific and limited purposes 76 allowed by law. These funds may be invested on ly in short- 77 term treasury instruments or short -term bank certificates 78 with durations of one year or less, or that allow the 79 removal of funds at any time without any additional 80 SB 242 4 financial penalty other than the loss of interest income. 81 Continuing committees, political party committees, and other 82 committees such as out -of-state committees not formed for 83 the benefit of any single candidate or ballot issue shall 84 not be subject to the provisions of this subsection. This 85 subsection shall not be interpre ted to restrict the 86 placement of funds in an interest -bearing checking account. 87