Texas 2025 - 89th Regular

Texas Senate Bill SB2035 Compare Versions

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

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1	1	2025S0180-1 03/06/25
2	2	By: Hughes, BettencourtKing S.B. No. 2035
3	3
4	4
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to contributions, expenditures, and related activities
10	10	for supporting or opposing a ballot measure; creating criminal
11	11	offenses; providing a civil penalty.
12	12	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	13	SECTION 1. Section 51.014(a), Civil Practice and Remedies
14	14	Code, is amended to read as follows:
15	15	(a) A person may appeal from an interlocutory order of a
16	16	district court, county court at law, statutory probate court, or
17	17	county court that:
18	18	(1) appoints a receiver or trustee;
19	19	(2) overrules a motion to vacate an order that
20	20	appoints a receiver or trustee;
21	21	(3) certifies or refuses to certify a class in a suit
22	22	brought under Rule 42 of the Texas Rules of Civil Procedure;
23	23	(4) grants or refuses a temporary injunction or grants
24	24	or overrules a motion to dissolve a temporary injunction as
25	25	provided by Chapter 65;
26	26	(5) denies a motion for summary judgment that is based
27	27	on an assertion of immunity by an individual who is an officer or
28	28	employee of the state or a political subdivision of the state;
29	29	(6) denies a motion for summary judgment that is based
30	30	in whole or in part upon a claim against or defense by a member of
31	31	the electronic or print media, acting in such capacity, or a person
32	32	whose communication appears in or is published by the electronic or
33	33	print media, arising under the free speech or free press clause of
34	34	the First Amendment to the United States Constitution, or Article
35	35	I, Section 8, of the Texas Constitution, or Chapter 73;
36	36	(7) grants or denies the special appearance of a
37	37	defendant under Rule 120a, Texas Rules of Civil Procedure, except
38	38	in a suit brought under the Family Code;
39	39	(8) grants or denies a plea to the jurisdiction by a
40	40	governmental unit as that term is defined in Section 101.001;
41	41	(9) denies all or part of the relief sought by a motion
42	42	under Section 74.351(b), except that an appeal may not be taken from
43	43	an order granting an extension under Section 74.351;
44	44	(10) grants relief sought by a motion under Section
45	45	74.351(l);
46	46	(11) denies a motion to dismiss filed under Section
47	47	90.007;
48	48	(12) denies a motion to dismiss filed under Section
49	49	27.003;
50	50	(13) denies a motion for summary judgment filed by an
51	51	electric utility regarding liability in a suit subject to Section
52	52	75.0022;
53	53	(14) denies a motion filed by a municipality with a
54	54	population of 500,000 or more in an action filed under Section
55	55	54.012(6) or 214.0012, Local Government Code;
56	56	(15) makes a preliminary determination on a claim
57	57	under Section 74.353;
58	58	(16) overrules an objection filed under Section
59	59	148.003(d) or denies all or part of the relief sought by a motion
60	60	under Section 148.003(f); [or]
61	61	(17) grants or denies a motion for summary judgment
62	62	filed by a contractor based on Section 97.002; or
63	63	(18) makes a determination of probable cause under
64	64	Section 253.206(b), Election Code.
65	65	SECTION 2. Chapter 252, Election Code, is amended by adding
66	66	Sections 252.0012, 252.0033, and 252.0034 to read as follows:
67	67	Sec. 252.0012. DEFINITIONS. In this chapter:
68	68	(1) "Direct or indirect" means, with respect to an act
69	69	by a person, the person acting alone or jointly with, through, or on
70	70	behalf of another person.
71	71	(2) "Preliminary activity" includes conducting a poll
72	72	or focus group on the ballot measure, drafting sample ballot
73	73	measure language, making telephone calls in relation to the ballot
74	74	measure, or incurring travel expenses in relation to the ballot
75	75	measure.
76	76	Sec. 252.0033. CONTENTS OF APPOINTMENT BY SPECIFIC-PURPOSE
77	77	COMMITTEE FOR SUPPORTING OR OPPOSING BALLOT MEASURE. In addition
78	78	to the information required by Section 252.002, a campaign
79	79	treasurer appointment by a specific-purpose committee for
80	80	supporting or opposing a ballot measure must include an affidavit
81	81	certifying that the committee did not receive direct or indirect
82	82	funding from a foreign national, as defined by Section 253.201, for
83	83	preliminary activity regarding the ballot measure.
84	84	Sec. 252.0034. CONTENTS OF APPOINTMENT BY GENERAL-PURPOSE
85	85	COMMITTEE THAT SUPPORTS OR OPPOSES BALLOT MEASURE. In addition to
86	86	the information required by Section 252.002, a campaign treasurer
87	87	appointment by a general-purpose committee that supports or opposes
88	88	a ballot measure must include an affidavit certifying that the
89	89	committee did not receive direct or indirect funding from a foreign
90	90	national, as defined by Section 253.201, for preliminary activity
91	91	regarding the ballot measure.
92	92	SECTION 3. Chapter 253, Election Code, is amended by adding
93	93	Subchapter G to read as follows:
94	94	SUBCHAPTER G. RESTRICTIONS ON CONTRIBUTIONS, EXPENDITURES, AND
95	95	RELATED ACTIVITIES INVOLVING GENERAL-PURPOSE OR SPECIFIC-PURPOSE
96	96	COMMITTEE SUPPORTING OR OPPOSING BALLOT MEASURE
97	97	Sec. 253.201. DEFINITIONS. In this subchapter:
98	98	(1) "Directly or indirectly" means, with respect to an
99	99	act by a person, the person acting alone or jointly with, through,
100	100	or on behalf of another person.
101	101	(2) "Foreign national" means:
102	102	(A) an individual who is not a United States
103	103	citizen or national;
104	104	(B) a government of a foreign country or of a
105	105	political subdivision of a foreign country;
106	106	(C) a foreign political party;
107	107	(D) a person that is organized under the law of or
108	108	has the person's principal place of business in a foreign country;
109	109	or
110	110	(E) a person that is wholly or primarily owned by
111	111	a person described by Paragraph (A), (B), (C), or (D).
112	112	Sec. 253.202. APPLICABILITY. (a) This subchapter applies
113	113	only to a general-purpose committee or specific-purpose committee
114	114	that supports or opposes a ballot measure.
115	115	(b) For purposes of this subchapter, a prohibition under
116	116	this chapter related to contributions and expenditures by a foreign
117	117	national that is a person wholly or primarily owned by a person
118	118	described by Section 253.201(2)(A), (B), (C), or (D) does not apply
119	119	if:
120	120	(1) the contribution or expenditure is derived
121	121	entirely from money generated in the United States; and
122	122	(2) each decision related to the contribution or
123	123	expenditure, other than a decision on setting overall contribution
124	124	or expenditure budget amounts, is made by an individual who is a
125	125	United States citizen or national.
126	126	Sec. 253.203. PROHIBITED CONTRIBUTIONS AND EXPENDITURES;
127	127	AFFIRMATION REQUIRED. (a) A general-purpose committee or
128	128	specific-purpose committee may not knowingly and directly or
129	129	indirectly:
130	130	(1) solicit or accept a contribution from a foreign
131	131	national;
132	132	(2) solicit or accept a contribution from a person
133	133	that in the four years preceding the date on which the contribution
134	134	is made knowingly accepted, directly or indirectly, money from one
135	135	or more foreign nationals that in the aggregate exceeds $100,000;
136	136	or
137	137	(3) solicit a foreign national to make an expenditure
138	138	on the committee's behalf.
139	139	(b) On receipt of a contribution by a general-purpose
140	140	committee or specific-purpose committee, the committee shall
141	141	obtain from the person making the contribution a written
142	142	affirmation that the person:
143	143	(1) is not a foreign national; and
144	144	(2) has not, in the four years preceding the date on
145	145	which the contribution is made, knowingly accepted money from one
146	146	or more foreign nationals that in the aggregate exceeds $100,000.
147	147	Sec. 253.204. PROHIBITED CONDUCT BY FOREIGN NATIONALS
148	148	RELATED TO CONTRIBUTIONS AND EXPENDITURES. (a) A foreign national
149	149	may not direct, dictate, control, or directly or indirectly
150	150	participate in a person's decision-making process with regard to
151	151	influencing a ballot measure, including the person's decision to
152	152	make a contribution or expenditure to influence a ballot measure.
153	153	(b) A foreign national may not directly or indirectly
154	154	solicit the making by a person of a donation, contribution, or
155	155	expenditure to influence a ballot measure.
156	156	Sec. 253.205. RECORDKEEPING AND CERTIFICATION REQUIREMENTS
157	157	RELATED TO CERTAIN CONTRIBUTIONS AND EXPENDITURES; PRESUMPTION OF
158	158	VIOLATION; CRIMINAL OFFENSE. (a) A general-purpose committee or
159	159	specific-purpose committee that makes a contribution or an
160	160	expenditure to support or oppose a ballot measure, or a person who
161	161	makes a direct campaign expenditure to support or oppose a ballot
162	162	measure, shall maintain a record of the contribution, expenditure,
163	163	or direct campaign expenditure until the second anniversary of the
164	164	date the contribution, expenditure, or direct campaign expenditure
165	165	is made.
166	166	(b) Not later than 48 hours after a person makes a direct
167	167	campaign expenditure to support or oppose a ballot measure, the
168	168	person shall certify to the commission, in the form and manner the
169	169	commission requires, that the person:
170	170	(1) has not in the four years preceding the date on
171	171	which the expenditure is made knowingly accepted money from foreign
172	172	nationals that in the aggregate exceeds $100,000; and
173	173	(2) will not for the remainder of the year during which
174	174	the ballot measure will appear on the ballot knowingly accept money
175	175	from foreign nationals that in the aggregate exceeds $100,000.
176	176	(c) An individual commits an offense if the individual
177	177	knowingly:
178	178	(1) fails to maintain a record described by Subsection
179	179	(a); or
180	180	(2) fails to submit the certification required by
181	181	Subsection (b).
182	182	(d) An offense under this section is a Class B misdemeanor.
183	183	(e) Any determination that a general-purpose committee,
184	184	specific-purpose committee, or person who made a contribution or
185	185	direct campaign expenditure to support or oppose a ballot measure
186	186	has accepted funds in the aggregate that exceed $100,000 from one or
187	187	more foreign nationals in the four years preceding the contribution
188	188	or direct campaign expenditure at issue shall create a presumption
189	189	that the committee or person has violated this section.
190	190	Sec. 253.206. ENFORCEMENT. (a) The commission may bring a
191	191	civil action to enforce this subchapter. In all actions brought
192	192	pursuant to this section, the burden of proof shall be on the
193	193	commission.
194	194	(b) Before discovery in an action brought under this
195	195	section, the court must hold a hearing to determine whether there is
196	196	probable cause to believe that a person has violated this
197	197	subchapter.
198	198	(c) If, after the hearing required by Subsection (b), the
199	199	court determines that:
200	200	(1) probable cause does not exist to believe that a
201	201	violation of this subchapter occurred, the court shall dismiss the
202	202	action with prejudice; or
203	203	(2) probable cause exists to believe that a violation
204	204	of this subchapter occurred, the court shall:
205	205	(A) enter an order stating the court's findings;
206	206	(B) resume the action; and
207	207	(C) cause the action to be expedited.
208	208	(d) After an affirmative finding under Subsection (c), a
209	209	defendant may, at a time determined by the court and before the
210	210	scheduling of a trial date, present evidence sufficient to rebut
211	211	the probable cause finding by making an ex parte presentation of
212	212	records to the court for in camera review.
213	213	(e) If the court determines that a general-purpose
214	214	committee or specific-purpose committee has accepted a
215	215	contribution in violation of this subchapter, the committee shall,
216	216	not later than the 30th day after the date of the court's
217	217	determination, return to the person who made the contribution the
218	218	contribution accepted in violation of this subchapter. If either
219	219	party appeals the court's determination, the court shall order the
220	220	contribution at issue to be placed in escrow pending the outcome of
221	221	the appeal.
222	222	(f) If a general-purpose committee or specific-purpose
223	223	committee that was determined to have accepted a contribution in
224	224	violation of this subchapter is unable to return all or part of the
225	225	contribution as required by Subsection (e), the committee's
226	226	directors, officers, and executive members are jointly and
227	227	severally liable for returning the remaining part of the
228	228	contribution.
229	229	(g) If the court determines that a person who made a direct
230	230	campaign expenditure to support or oppose a ballot measure has
231	231	violated this subchapter, the person shall, not later than the 30th
232	232	day after the date of the court's determination, disgorge to the
233	233	commission funds in an amount equal to the reported cost of the
234	234	direct campaign expenditure. If a person who is not an individual is
235	235	unable to disgorge the requisite funds under this subsection, its
236	236	directors, officers, or executive members shall be liable in their
237	237	personal capacities, jointly and severally, for the payment of the
238	238	amount due. In the event of an appeal, the court shall order the
239	239	funds subject to disgorgement to be placed in escrow pending the
240	240	outcome of the appeal.
241	241	(h) A person who violates this subchapter is liable for a
242	242	civil penalty in an amount not to exceed three times the amount of
243	243	the contribution accepted or expenditure made in violation of this
244	244	subchapter.
245	245	(i) If the commission prevails in an action brought under
246	246	Subsection (a), the court shall award:
247	247	(1) injunctive relief sufficient to prevent the
248	248	defendant from violating this subchapter or engaging in acts that
249	249	aid or abet violations of this subchapter; and
250	250	(2) statutory damages up to twice the amount of the
251	251	prohibited contribution or expenditure.
252	252	(j) The commission may bring an action to enjoin a person
253	253	who violates this subchapter from engaging in activities that would
254	254	require registration as a lobbyist under Chapter 305, Government
255	255	Code, for a period to be determined by the court. In determining
256	256	the period to prohibit a person from engaging in those activities,
257	257	the court shall consider:
258	258	(1) the seriousness of the violation, including the
259	259	nature, circumstances, extent, and gravity of the violation;
260	260	(2) whether the person acted in bad faith when
261	261	engaging in conduct constituting a violation of this subchapter;
262	262	(3) whether the person has previously violated this
263	263	subchapter; and
264	264	(4) the duration of an injunction necessary to deter
265	265	future violations.
266	266	Sec. 253.207. PROHIBITED DISCLOSURE OF CERTAIN DONORS;
267	267	CRIMINAL OFFENSE. (a) In this section:
268	268	(1) "Nonprofit organization" means an organization
269	269	exempt from federal income taxation under Section 501(a), Internal
270	270	Revenue Code of 1986, as an organization described by Section
271	271	501(c)(3) of that code.
272	272	(2) "Public servant" has the meaning assigned by
273	273	Section 1.07(41), Penal Code.
274	274	(b) An investigation of an alleged violation of this
275	275	subchapter must be conducted in a manner to ensure that the identity
276	276	of a person who makes a lawful donation to a nonprofit organization
277	277	is kept confidential. The commission or a court may not compel the
278	278	disclosure of the identity of a person who makes a lawful donation
279	279	to a nonprofit organization unless the disclosure is directly
280	280	related to an alleged violation of this subchapter.
281	281	(c) A public servant may not disclose to the public the
282	282	identity of a person who makes a lawful donation to a nonprofit
283	283	organization unless the person is determined to have violated this
284	284	subchapter.
285	285	(d) A public servant commits an offense if the individual
286	286	knowingly discloses or reveals to the public the identity of a
287	287	person who makes a lawful donation to a nonprofit organization,
288	288	unless the person has been determined to have violated this
289	289	subchapter by a court.
290	290	(e) For purposes of this section, a person has been
291	291	determined to have violated this subchapter by a court after an
292	292	order has been entered by the court to that effect.
293	293	(f) An offense under this section is a Class A misdemeanor.
294	294	SECTION 4. Subchapter E, Chapter 254, Election Code, is
295	295	amended by adding Section 254.131 to read as follows:
296	296	Sec. 254.131. ADDITIONAL CONTENTS OF REPORTS OF COMMITTEES
297	297	SUPPORTING OR OPPOSING BALLOT MEASURE. (a) In this section:
298	298	(1) "Foreign national" has the meaning assigned by
299	299	Section 253.201.
300	300	(2) "Directly or indirectly" means, with respect to an
301	301	act by a person, the person acting alone or jointly with, through,
302	302	or on behalf of another person.
303	303	(b) In addition to the contents required by Section 254.031,
304	304	the campaign treasurer of a general-purpose committee or
305	305	specific-purpose committee that supports or opposes a ballot
306	306	measure must include an affirmation that:
307	307	(1) the committee did not knowingly, whether directly
308	308	or indirectly:
309	309	(A) solicit or accept a contribution from a
310	310	foreign national; or
311	311	(B) solicit a foreign national to make an
312	312	expenditure on the committee's behalf; and
313	313	(2) no contribution included in the report was made
314	314	by:
315	315	(A) a foreign national; or
316	316	(B) a person that in the four years preceding the
317	317	date on which the contribution is made knowingly accepted, whether
318	318	directly or indirectly, money from one or more foreign nationals
319	319	that in the aggregate exceeds $100,000.
320	320	SECTION 5. The changes in law made by this Act to Chapters
321	321	252 and 254, Election Code, apply only to a campaign treasurer
322	322	appointment required to be filed under Chapter 252 or a report
323	323	required to be filed under Chapter 254 on or after the effective
324	324	date of this Act. A campaign treasurer appointment or report
325	325	required to be filed before the effective date of this Act is
326	326	governed by the law in effect at the time the appointment or report
327	327	was filed, and the former law is continued in effect for that
328	328	purpose.
329	329	SECTION 6. Subchapter G, Chapter 253, Election Code, as
330	330	added by this Act, applies only to a contribution or expenditure
331	331	made or an activity related to the making of a contribution or
332	332	expenditure that occurs on or after the effective date of this Act.
333	333	A contribution or expenditure made or a related activity that
334	334	occurs before the effective date of this Act is governed by the law
335	335	in effect at the time the contribution or expenditure was made or
336	336	the activity occurred, and the former law is continued in effect for
337	337	that purpose.
338	338	SECTION 7. This Act takes effect September 1, 2025.