Texas 2019 - 86th Regular

Texas House Bill HB2586 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 2586
	1	+	By: Leach, et al. (Senate Sponsor - Hughes) H.B. No. 2586
	2	+	(In the Senate - Received from the House May 7, 2019;
	3	+	May 8, 2019, read first time and referred to Committee on State
	4	+	Affairs; May 10, 2019, rereferred to Committee on Administration;
	5	+	May 13, 2019, reported favorably by the following vote: Yeas 5,
	6	+	Nays 0; May 13, 2019, sent to printer.)
	7	+	Click here to see the committee vote
2	8
3	9
	10	+	A BILL TO BE ENTITLED
4	11		AN ACT
5	12		relating to political contributions and political expenditures
6	13		made to or by political committees or other persons.
7	14		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	15		SECTION 1. Section 251.001, Election Code, is amended by
9	16		amending Subdivisions (8) and (12) and adding Subdivision (21) to
10	17		read as follows:
11	18		(8) "Direct campaign expenditure" means a campaign
12	19		expenditure that does not constitute a campaign contribution by the
13	20		person making the expenditure. A campaign expenditure does not
14	21		constitute a contribution by the person making the expenditure to a
15	22		candidate or officeholder if the expenditure is made without the
16	23		prior consent or approval of the candidate or officeholder on whose
17	24		behalf the expenditure is made. A campaign expenditure made in
18	25		connection with a measure does not constitute a contribution by the
19	26		person making the expenditure if it is not made as a political
20	27		contribution to a political committee supporting or opposing the
21	28		measure.
22	29		(12) "Political committee" means two or more [a group
23	30		of] persons acting in concert with [that has as] a principal purpose
24	31		of accepting political contributions or making political
25	32		expenditures. The term does not include a group composed
26	33		exclusively of two or more individual filers or political
27	34		committees required to file reports under this title who make
28	35		reportable expenditures for a joint activity.
29	36		(21) "In-kind contribution" means a contribution of
30	37		goods, services, or any other thing of value that is not money, and
31	38		includes an agreement made or other obligation incurred, whether
32	39		legally enforceable or not, to make the contribution. The term does
33	40		not include a direct campaign expenditure.
34	41		SECTION 2. Subchapter A, Chapter 251, Election Code, is
35	42		amended by adding Sections 251.0015 and 251.0016 to read as
36	43		follows:
37	44		Sec. 251.0015. COMMUNICATION WITH CANDIDATE. For purposes
38	45		of Section 251.001(8), communication between a person and a
39	46		candidate, officeholder, or candidate's or officeholder's agent is
40	47		not evidence that the person obtained the candidate's or
41	48		officeholder's consent or approval for a campaign expenditure made
42	49		after the communication by the person on behalf of the candidate or
43	50		officeholder unless the communication establishes that:
44	51		(1) the expenditure is incurred at the request or
45	52		suggestion of the candidate, officeholder, or candidate's or
46	53		officeholder's agent;
47	54		(2) the candidate, officeholder, or candidate's or
48	55		officeholder's agent is materially involved in decisions regarding
49	56		the creation, production, or distribution of a campaign
50	57		communication related to the expenditure; or
51	58		(3) the candidate, officeholder, or candidate's or
52	59		officeholder's agent shares information about the candidate's or
53	60		officeholder's plans or needs that is:
54	61		(A) material to the creation, production, or
55	62		distribution of a campaign communication related to the
56	63		expenditure; and
57	64		(B) not available to the public.
58	65		Sec. 251.0016. COMMON VENDOR. A person using the same
59	66		vendor as a candidate, officeholder, or political committee
60	67		established or controlled by a candidate or officeholder is not
61	68		acting in concert with the candidate, officeholder, or committee to
62	69		make a campaign expenditure unless the person makes the expenditure
63	70		using information from the vendor about the campaign plans or needs
64	71		of the candidate, officeholder, or committee that is:
65	72		(1) material to the expenditure; and
66	73		(2) not available to the public.
67	74		SECTION 3. Section 252.003, Election Code, is amended by
68	75		amending Subsection (a) and adding Subsection (a-1) to read as
69	76		follows:
70	77		(a) In addition to the information required by Section
71	78		252.002, a campaign treasurer appointment by a general-purpose
72	79		committee must include:
73	80		(1) the full name, and any acronym of the name that
74	81		will be used in the name of the committee as provided by Subsection
75	82		(d), of each corporation, labor organization, or other association
76	83		or legal entity that directly establishes, administers, or controls
77	84		the committee, if applicable, or the name of each person who
78	85		determines to whom the committee makes contributions or the name of
79	86		each person who determines for what purposes the committee makes
80	87		expenditures;
81	88		(2) the full name and address of each general-purpose
82	89		committee to whom the committee intends to make political
83	90		contributions; [and]
84	91		(3) the name of the committee and, if the name is an
85	92		acronym, the words the acronym represents; and
86	93		(4) before the committee may use a political
87	94		contribution from a corporation or a labor organization to make a
88	95		direct campaign expenditure in connection with a campaign for an
89	96		elective office, an affidavit stating that:
90	97		(A) the committee is not established or
91	98		controlled by a candidate or an officeholder; and
92	99		(B) the committee will not use any political
93	100		contribution from a corporation or a labor organization to make a
94	101		political contribution to:
95	102		(i) a candidate for elective office;
96	103		(ii) an officeholder; or
97	104		(iii) a political committee that has not
98	105		filed an affidavit under this subdivision or Section
99	106		252.0031(a)(2).
100	107		(a-1) Filing an affidavit under Subsection (a)(4) does not
101	108		create any additional reporting requirements under Section
102	109		254.261.
103	110		SECTION 4. Section 252.0031, Election Code, is amended by
104	111		amending Subsection (a) and adding Subsections (a-1) and (a-2) to
105	112		read as follows:
106	113		(a) In addition to the information required by Section
107	114		252.002, a campaign treasurer appointment by a specific-purpose
108	115		committee for supporting or opposing a candidate for an office
109	116		specified by Section 252.005(1) must include:
110	117		(1) the name of and the office sought by the candidate;
111	118		and
112	119		(2) before the committee may use a political
113	120		contribution from a corporation or a labor organization to make a
114	121		direct campaign expenditure in connection with a campaign for an
115	122		elective office, an affidavit stating that:
116	123		(A) the committee is not established or
117	124		controlled by a candidate or an officeholder; and
118	125		(B) the committee will not use any political
119	126		contribution from a corporation or a labor organization to make a
120	127		political contribution to:
121	128		(i) a candidate for elective office;
122	129		(ii) an officeholder; or
123	130		(iii) a political committee that has not
124	131		filed an affidavit under this subdivision or Section 252.003(a)(4).
125	132		(a-1) If the [that] information required to be provided
126	133		under Subsection (a) changes, the committee shall immediately file
127	134		an amended appointment reflecting the change.
128	135		(a-2) Filing an affidavit under Subsection (a)(2) does not
129	136		create any additional reporting requirements under Section
130	137		254.261.
131	138		SECTION 5. Subchapter D, Chapter 253, Election Code, is
132	139		amended by adding Section 253.097 to read as follows:
133	140		Sec. 253.097. CONTRIBUTION FROM CORPORATION OR LABOR
134	141		ORGANIZATION. A corporation or labor organization may make
135	142		campaign contributions from its own property to a political
136	143		committee that has filed an affidavit with the committee's campaign
137	144		treasurer appointment in accordance with Section 252.003(a)(4) or
138	145		252.0031(a)(2).
139	146		SECTION 6. Sections 253.100(a) and (e), Election Code, are
140	147		amended to read as follows:
141	148		(a) A corporation, acting alone or with one or more other
142	149		corporations, may make one or more political expenditures to
143	150		finance the establishment or administration of a general-purpose
144	151		committee. In addition to any other expenditure that is considered
145	152		permissible under this section, a corporation may make an
146	153		expenditure for the maintenance and operation of a general-purpose
147	154		committee, including an expenditure for:
148	155		(1) office space maintenance and repairs;
149	156		(2) telephone and Internet services;
150	157		(3) office equipment;
151	158		(4) utilities;
152	159		(5) general office and meeting supplies;
153	160		(6) salaries for routine clerical, data entry, and
154	161		administrative assistance necessary for the proper administrative
155	162		operation of the committee;
156	163		(7) legal and accounting fees for the committee's
157	164		compliance with this title;
158	165		(8) routine administrative expenses incurred in
159	166		establishing and administering a general-purpose political
160	167		committee;
161	168		(9) management and supervision of the committee,
162	169		including expenses incurred in holding meetings of the committee's
163	170		governing body to interview candidates and make endorsements
164	171		relating to the committee's support;
165	172		(10) the recording of committee decisions;
166	173		(11) expenses incurred in hosting candidate forums in
167	174		which all candidates for a particular office in an election are
168	175		invited to participate on the same terms; [or]
169	176		(12) expenses incurred in preparing and delivering
170	177		committee contributions; or
171	178		(13) creation and maintenance of the committee's
172	179		public Internet web pages that do not contain political
173	180		advertising.
174	181		(e) Subsection (d) does not apply to a corporation or labor
175	182		organization making a campaign contribution to a political
176	183		committee under Section 253.097 or an expenditure to communicate
177	184		with its stockholders or members, as applicable, or with the
178	185		families of its stockholders or members as provided by Section
179	186		253.098.
180	187		SECTION 7. Section 253.101, Election Code, is amended by
181	188		adding Subsection (a-1) to read as follows:
182	189		(a-1) Subsection (a) does not prohibit a political
183	190		committee from making a political contribution or political
184	191		expenditure wholly or partly from a campaign contribution made by a
185	192		corporation or labor organization to the political committee under
186	193		Section 253.096 or 253.097.
187		-	SECTION 8. Section 254.031(a), Election Code, is amended to
188		-	read as follows:
189		-	(a) Except as otherwise provided by this chapter, each
190		-	report filed under this chapter must include:
191		-	(1) the amount of political contributions, other than
192		-	political contributions described by Subdivision (1-a), from each
193		-	person that in the aggregate exceed $50 and that are accepted during
194		-	the reporting period by the person or committee required to file a
195		-	report under this chapter, the full name and address of the person
196		-	making the contributions, and the dates of the contributions;
197		-	(1-a) the amount of political contributions from each
198		-	person that are made electronically and that are accepted during
199		-	the reporting period by the person or committee required to file a
200		-	report under this chapter, the full name and address of the person
201		-	making the contributions, and the dates of the contributions;
202		-	(2) the amount of loans that are made during the
203		-	reporting period for campaign or officeholder purposes to the
204		-	person or committee required to file the report and that in the
205		-	aggregate exceed $50, the dates the loans are made, the interest
206		-	rate, the maturity date, the type of collateral for the loans, if
207		-	any, the full name and address of the person or financial
208		-	institution making the loans, the full name and address, principal
209		-	occupation, and name of the employer of each guarantor of the loans,
210		-	the amount of the loans guaranteed by each guarantor, and the
211		-	aggregate principal amount of all outstanding loans as of the last
212		-	day of the reporting period;
213		-	(3) the amount of political expenditures that in the
214		-	aggregate exceed $100 and that are made during the reporting
215		-	period, the full name and address of the persons to whom the
216		-	expenditures are made, and the dates and purposes of the
217		-	expenditures;
218		-	(4) the amount of each payment made during the
219		-	reporting period from a political contribution if the payment is
220		-	not a political expenditure, the full name and address of the person
221		-	to whom the payment is made, and the date and purpose of the
222		-	payment;
223		-	(5) the total amount or a specific listing of the
224		-	political contributions of $50 or less accepted and the total
225		-	amount or a specific listing of the political expenditures of $100
226		-	or less made during the reporting period;
227		-	(6) the total amount of all political contributions
228		-	accepted and the total amount of all political expenditures made
229		-	during the reporting period;
230		-	(7) the name of each candidate or officeholder who
231		-	benefits from a direct campaign expenditure made during the
232		-	reporting period by the person or committee required to file the
233		-	report, and the office sought or held, excluding a direct campaign
234		-	expenditure that is made by the principal political committee of a
235		-	political party on behalf of a slate of two or more nominees of that
236		-	party;
237		-	(8) as of the last day of a reporting period for which
238		-	the person is required to file a report, the total amount of
239		-	political contributions accepted, including interest or other
240		-	income on those contributions, maintained in one or more accounts
241		-	in which political contributions are deposited as of the last day of
242		-	the reporting period;
243		-	(9) any credit, interest, rebate, refund,
244		-	reimbursement, or return of a deposit fee resulting from the use of
245		-	a political contribution or an asset purchased with a political
246		-	contribution that is received during the reporting period and the
247		-	amount of which exceeds $100;
248		-	(10) any proceeds of the sale of an asset purchased
249		-	with a political contribution that is received during the reporting
250		-	period and the amount of which exceeds $100;
251		-	(11) any investment purchased with a political
252		-	contribution that is received during the reporting period and the
253		-	amount of which exceeds $100;
254		-	(12) any other gain from a political contribution that
255		-	is received during the reporting period and the amount of which
256		-	exceeds $100; and
257		-	(13) the full name and address of each person from whom
258		-	an amount described by Subdivision (9), (10), (11), or (12) is
259		-	received, the date the amount is received, and the purpose for which
260		-	the amount is received.
261		-	SECTION 9. Section 254.031(a), Election Code, as amended by
262		-	this Act, applies only to a report under Chapter 254, Election Code,
263		-	that is required to be filed on or after the effective date of this
264		-	Act. A report under Chapter 254, Election Code, that is required to
265		-	be filed before the effective date of this Act is governed by the
266		-	law in effect on the date the report is required to be filed, and the
267		-	former law is continued in effect for that purpose.
268		-	SECTION 10. The change in law made by this Act applies only
	194	+	SECTION 8. The change in law made by this Act applies only
269	195		to an offense committed on or after the effective date of this Act.
270	196		An offense committed before the effective date of this Act is
271	197		governed by the law in effect on the date the offense was committed,
272	198		and the former law is continued in effect for that purpose. For
273	199		purposes of this section, an offense was committed before the
274	200		effective date of this Act if any element of the offense occurred
275	201		before that date.
276		-	SECTION 11. This Act takes effect September 1, 2019.
277		-	______________________________ ______________________________
278		-	President of the Senate Speaker of the House
279		-	I certify that H.B. No. 2586 was passed by the House on May 7,
280		-	2019, by the following vote: Yeas 143, Nays 4, 2 present, not
281		-	voting; and that the House concurred in Senate amendments to H.B.
282		-	No. 2586 on May 23, 2019, by the following vote: Yeas 139, Nays 2,
283		-	2 present, not voting.
284		-	______________________________
285		-	Chief Clerk of the House
286		-	I certify that H.B. No. 2586 was passed by the Senate, with
287		-	amendments, on May 19, 2019, by the following vote: Yeas 29, Nays
288		-	2.
289		-	______________________________
290		-	Secretary of the Senate
291		-	APPROVED: __________________
292		-	Date
293		-	__________________
294		-	Governor
	202	+	SECTION 9. This Act takes effect September 1, 2019.
	203	+	* * * * *