A.B. 497
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ASSEMBLY BILL NO. 497–ASSEMBLYMEMBER YEAGER
MARCH 24, 2025
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Referred to Committee on Legislative Operations and Elections
SUMMARY—Revises provisions relating to campaign finance.
(BDR 24-996)
FISCAL NOTE: Effect on Local Government: No.
Effect on the State: No.
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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to campaign finance; authorizing a committee for
political action to use money in its campaign finance
account for certain purposes; clarifying that nonprofit
organizations or corporations are not a committee for
political action for purposes of campaign finance
requirements; revising provisions relating to the disposal
of unspent campaign contributions; and providing other
matters properly relating thereto.
Legislative Counsel’s Digest:
Existing law requires every committee for political action to, not later than 1 1
week after receiving contributions the sum of which, in the aggregate is $1,000 or 2
more, open and maintain a separate account in a financial institution located in the 3
United States for the deposit of any contributions received. (NRS 294A.130) 4
Section 1 of this bill authorizes a committee for political action to use money in the 5
account for certain purposes. 6
Section 2 of this bill revises the definition of a “committee for political action” 7
to exclude from the definition any nonprofit organization or nonprofit corporation 8
duly organized under federal law or under the laws of this State, any other state, the 9
District of Columbia or any territory of the United States. 10
Existing law governs the disposition of unspent campaign contributions by a 11
candidate or former public officer. Under existing law, a candidate who is elected 12
to office may use unspent contributions in the candidate’s next election, but a 13
candidate who is defeated is required to dispose of unspent contributions. (NRS 14
294A.160) Section 3 of this bill authorizes a candidate who is defeated to use 15
unspent contributions in the candidate’s next election. If, within 4 years, such a 16
candidate doesn’t file a declaration of candidacy or appear on an official ballot at 17
any election, section 3 requires the defeated candidate to dispose of unspent 18
contributions. 19
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Existing law authorizes certain former public officers who resigned or did not 20
run for reelection to use unspent contributions in a future election. In such a 21
circumstance, existing law requires such unspent contributions to be disposed of 22
within 4 years if the former public officer does not file a declaration of candidacy 23
or appear on the ballot. (NRS 294A.160) Section 3 of this bill instead requires any 24
former public officer to dispose of unspent contributions not later than the 15th day 25
of the second month after leaving office. 26
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. Chapter 294A of NRS is hereby amended by 1
adding thereto a new section to read as follows: 2
A committee for political action may use money in the separate 3
account opened and maintained pursuant to subsection 3 of NRS 4
294A.130 to: 5
1. Subject to the limitations set forth in NRS 294A.100, make 6
a contribution to a candidate; 7
2. Make a contribution to a legal defense fund; 8
3. Make a contribution to a nonprofit corporation; 9
4. Make a contribution to another committee for political 10
action; 11
5. Make a contribution to a committee for the recall of a 12
public officer; 13
6. Make a contribution to a political party or a committee 14
sponsored by a political party; or 15
7. Make any expenditure, including, without limitation, an 16
independent expenditure. 17
Sec. 2. NRS 294A.0055 is hereby amended to read as follows: 18
294A.0055 1. “Committee for political action” means: 19
(a) Any group of natural persons or entities that solicits or 20
receives contributions from any other person, group or entity and: 21
(1) Makes or intends to make contributions to candidates or 22
other persons; or 23
(2) Makes or intends to make expenditures, 24
designed to affect the outcome of any primary election, general 25
election, special election or question on the ballot. 26
(b) Any business or social organization, corporation, 27
partnership, association, trust, unincorporated organization or labor 28
union: 29
(1) Which has as its primary purpose affecting the outcome 30
of any primary election, general election, special election or any 31
question on the ballot and for that purpose receives contributions in 32
excess of $1,500 in a calendar year or makes expenditures in excess 33
of $1,500 in a calendar year; or 34
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(2) Which does not have as its primary purpose affecting the 1
outcome of any primary election, general election, special election 2
or any question on the ballot, but for the purpose of affecting the 3
outcome of any election or question on the ballot receives 4
contributions in excess of $5,000 in a calendar year or makes 5
independent expenditures in excess of $5,000 in a calendar year. 6
2. “Committee for political action” does not include: 7
(a) An organization made up of legislative members of a 8
political party whose primary purpose is to provide support for their 9
political efforts. 10
(b) An entity solely because it provides goods or services to a 11
candidate or committee in the regular course of its business at the 12
same price that would be provided to the general public. 13
(c) An individual natural person. 14
(d) Except as otherwise provided in paragraph (b) of subsection 15
1, an individual corporation or other business organization who has 16
filed articles of incorporation or other documentation of 17
organization with the Secretary of State pursuant to title 7 of NRS. 18
(e) Except as otherwise provided in paragraph (b) of subsection 19
1, a labor union. 20
(f) A personal campaign committee or the personal 21
representative of a candidate who receives contributions or makes 22
expenditures that are reported as contributions or expenditures by 23
the candidate. 24
(g) A committee for the recall of a public officer. 25
(h) A major or minor political party or any committee sponsored 26
by a major or minor political party. 27
(i) Any nonprofit organization or nonprofit corporation duly 28
organized under federal law or under the laws of this State, any 29
other state, the District of Columbia or any territory of the United 30
States. 31
Sec. 3. NRS 294A.160 is hereby amended to read as follows: 32
294A.160 1. It is unlawful for: 33
(a) A candidate to spend money received as a contribution: 34
(1) For the candidate’s personal use; or 35
(2) To pay himself or herself a salary. 36
(b) A public officer to spend unspent contributions: 37
(1) For the public officer’s personal use; or 38
(2) To pay himself or herself a salary. 39
2. Notwithstanding the provisions of NRS 294A.286, a 40
candidate or public officer may use contributions to pay for any 41
legal expenses that the candidate or public officer incurs in relation 42
to a campaign or serving in public office without establishing a legal 43
defense fund. Any such candidate or public officer shall report any 44
expenditure of contributions to pay for legal expenses in the same 45
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manner and at the same time as the report filed pursuant to NRS 1
294A.120 or 294A.200. A candidate or public officer shall not use 2
contributions to satisfy a civil or criminal penalty imposed by law. 3
3. Except as otherwise provided in [subsection 5,] this section, 4
every candidate for office at a primary election, general election or 5
special election who is elected to that office and received 6
contributions that were not spent or committed for expenditure 7
before the primary election, general election or special election shall 8
dispose of the money through one or any combination of the 9
following methods: 10
(a) Return the unspent money to contributors; 11
(b) Use the money in the candidate’s next election or for the 12
payment of other expenses related to public office or his or her 13
campaign, regardless of whether he or she is a candidate for a 14
different office in the candidate’s next election; 15
(c) Contribute the money to: 16
(1) The campaigns of other candidates for public office or for 17
the payment of debts related to their campaigns; 18
(2) If the candidate was elected to the office of a Legislator, 19
another member of the Legislature who is authorized to solicit or 20
accept contributions pursuant to NRS 294A.117; 21
(3) A political party; or 22
(4) Any combination of persons or groups set forth in 23
subparagraphs (1), (2) and (3); 24
(d) Donate the money to any tax-exempt nonprofit entity; or 25
(e) Donate the money to any governmental entity or fund of this 26
State or a political subdivision of this State. A candidate who 27
donates money pursuant to this paragraph may request that the 28
money be used for a specific purpose. 29
4. Except as otherwise provided in subsection 5, every 30
candidate for office at a primary election, general election or special 31
election who withdraws pursuant to NRS 293.202 or 293C.195 after 32
filing a declaration of candidacy [,] or is removed from the ballot by 33
court order [or is defeated for or otherwise not elected to that office] 34
and who received contributions that were not spent or committed for 35
expenditure before the primary election, general election or special 36
election shall, not later than the 15th day of the second month after 37
the election, dispose of the money through one or any combination 38
of the following methods: 39
(a) Return the unspent money to contributors; 40
(b) Contribute the money to: 41
(1) The campaigns of other candidates for public office or for 42
the payment of debts related to their campaigns; 43
(2) A political party; or 44
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(3) Any combination of persons or groups set forth in 1
subparagraphs (1) and (2); 2
(c) Donate the money to any tax-exempt nonprofit entity; or 3
(d) Donate the money to any governmental entity or fund of this 4
State or a political subdivision of this State. A candidate who 5
donates money pursuant to this paragraph may request that the 6
money be used for a specific purpose. 7
5. Every candidate for office at a special election to recall a 8
public officer shall dispose of the unspent contributions through one 9
or any combination of the methods set forth in subsection 4 not later 10
than the 15th day of the second month following the last day for the 11
candidate to receive a contribution pursuant to NRS 294A.115. 12
6. Every candidate for office who withdraws after filing a 13
declaration of candidacy, is defeated for that office at a primary 14
election or is removed from the ballot by court order before a 15
primary election or general election and who received a contribution 16
from a person in excess of $5,000 shall, not later than the 15th day 17
of the second month after the primary election or general election, 18
as applicable, return any money in excess of $5,000 to the 19
contributor. 20
7. Except [for a former public officer who is subject to the 21
provisions of subsection 11, every person who qualifies as a] as 22
otherwise provided in this subsection, every candidate [by receiving 23
one or more qualifying contributions in excess of $100 but who,] 24
who appears on the ballot but is defeated at a primary election or 25
general election may use unspent contributions in the candidate’s 26
next election. Such a candidate is subject to the reporting 27
requirements set forth in NRS 294A.120, 294A.125, 294A.128, 28
294A.200 and 294A.362 for as long as the candidate has unspent 29
contributions. If, within 4 years [after the date of receiving the first 30
of those qualifying contributions,] , the candidate does not: 31
(a) File a declaration of candidacy; or 32
(b) Appear on an official ballot at any election, 33
the candidate shall, not later than the 15th day of the month after 34
the end of the 4-year period, dispose of all contributions that have 35
not been spent or committed for expenditure through one or any 36
combination of the methods set forth in subsection 4. 37
8. [Except as otherwise provided in subsection 9, every] Every 38
former public officer who [: 39
(a) Does not run for reelection to the office which he or she 40
holds; 41
(b) Is not a candidate for any other office and does not qualify as 42
a candidate by receiving one or more qualifying contributions in 43
excess of $100; and 44
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(c) Has] has contributions that are not spent or committed for 1
expenditure remaining from a previous election [, 2
] shall, not later than the 15th day of the second month after [the 3
expiration of the public officer’s term of] leaving office, dispose of 4
those contributions in the manner provided in subsection 4. 5
9. [Every public officer who: 6
(a) Resigns from his or her office; 7
(b) Is not a candidate for any other office and does not qualify as 8
a candidate by receiving one or more qualifying contributions in 9
excess of $100; and 10
(c) Has contributions that are not spent or committed for 11
expenditure remaining from a previous election, 12
shall, not later than the 15th day of the second month after the 13
effective date of the resignation, dispose of those contributions in 14
the manner provided in subsection 4. 15
10. Except as otherwise provided in subsection 11, every 16
public officer who: 17
(a) Does not run for reelection to the office which he or she 18
holds or who resigns from his or her office; 19
(b) Is a candidate for any other office or qualifies as a candidate 20
by receiving one or more qualifying contributions in excess of $100; 21
and 22
(c) Has contributions that are not spent or committed for 23
expenditure remaining from a previous election, 24
may use the unspent contributions in a future election. Such a 25
public officer is subject to the reporting requirements set forth in 26
NRS 294A.120, 294A.125, 294A.128, 294A.200 and 294A.362 for 27
as long as the public officer is a candidate for any office or qualifies 28
as a candidate by receiving one or more qualifying contributions in 29
excess of $100. 30
11. Every former public officer described in subsection 10 who 31
qualifies as a candidate by receiving one or more qualifying 32
contributions in excess of $100 but who, within 4 years after the 33
date of receiving the first of those qualifying contributions, does not: 34
(a) File a declaration of candidacy; or 35
(b) Appear on an official ballot at any election, 36
shall, not later than the 15th day of the month after the end of the 37
4-year period, dispose of all contributions that have not been spent 38
or committed for expenditure through one or any combination of the 39
methods set forth in subsection 4. 40
12.] In addition to the methods for disposing of the unspent 41
money set forth in this section, a Legislator may donate not more 42
than $500 of that money to the Nevada Silver Haired Legislative 43
Forum created pursuant to NRS 427A.320. 44
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[13.] 10. Any contributions received before a candidate for 1
office at a primary election, general election or special election dies 2
that were not spent or committed for expenditure before the death of 3
the candidate must be disposed of in the manner provided in 4
subsection 4. 5
[14.] 11. The court shall, in addition to any penalty which may 6
be imposed pursuant to NRS 294A.420, order the candidate or 7
public officer to dispose of any remaining contributions in the 8
manner provided in this section. 9
[15.] 12. As used in this section [: 10
(a) “Contribution”] , “contribution” includes, without 11
limitation, any interest and other income earned on a contribution. 12
[(b) “Qualifying contribution” means the receipt of a 13
contribution that causes a person to qualify as a candidate pursuant 14
to subsection 3 of NRS 294A.005.] 15
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