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AB-2889 Political Reform Act of 1974: contribution limits.(2019-2020)

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Date Published: 02/21/2020 09:00 PM
AB2889:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill
No. 2889


Introduced by Assembly Member Mullin

February 21, 2020


An act to amend Sections 85301, 85305, 85306, 85307, 85315, 85316, 85317, and 85318 of the Government Code, relating to the Political Reform Act of 1974.


LEGISLATIVE COUNSEL'S DIGEST


AB 2889, as introduced, Mullin. Political Reform Act of 1974: contribution limits.
The Political Reform Act of 1974 prohibits a person, other than a small contributor committee or political party committee, from making to a candidate for elective state office, for statewide elective office, or for the office of Governor, and prohibits those candidates from accepting from a person, a contribution totaling more than a specified amount per election. For a candidate for elective state office other than a candidate for statewide elective office, the limitation on contributions is $3,000 per election, as that amount is adjusted by the Fair Political Practices Commission in January of every odd-numbered year. The act, beginning January 1, 2021, subjects a candidate for city or county office to this contribution limit. However, this contribution limit and related provisions of the act do not apply in a jurisdiction in which the county or city imposes a limit on contributions.
This bill would clarify that the contribution limitation and related provisions of the act would not be applicable to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the city or county. The bill would make conforming changes.
The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the act’s purposes upon a 2/3 vote of each house of the Legislature and compliance with specified procedural requirements.
This bill would declare that it furthers the purposes of the act.
Vote: 2/3   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 85301 of the Government Code is amended to read:

85301.
 (a) A person, other than a small contributor committee or political party committee, shall not make to a candidate for elective state office other than a candidate for statewide elective office, and a candidate for elective state office other than a candidate for statewide elective office shall not accept from a person, a contribution totaling more than three thousand dollars ($3,000) per election.
(b) Except to a candidate for Governor, a person, other than a small contributor committee or political party committee, shall not make to a candidate for statewide elective office, and except a candidate for Governor, a candidate for statewide elective office shall not accept from a person other than a small contributor committee or a political party committee, a contribution totaling more than five thousand dollars ($5,000) per election.
(c) A person, other than a small contributor committee or political party committee, shall not make to a candidate for Governor, and a candidate for Governor shall not accept from any person other than a small contributor committee or political party committee, a contribution totaling more than twenty thousand dollars ($20,000) per election.
(d) (1) A person shall not make to a candidate for elective county or city office, and a candidate for elective county or city office shall not accept from a person, a contribution totaling more than the amount set forth in subdivision (a) per election, as that amount is adjusted by the Commission pursuant to Section 83124. This subdivision does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(2)This subdivision shall become operative on January 1, 2021.

(e) The provisions of this section do not apply to a candidate’s contributions of the candidate’s personal funds to the candidates own campaign.

SEC. 2.

 Section 85305 of the Government Code, as added by Section 6 of Chapter 556 of the Statutes of 2019, is amended to read:

85305.
 (a)A candidate for elective state, county, or city office or committee controlled by that candidate shall not make a contribution to any other candidate for elective state, county, or city office in excess of the limits set forth in subdivision (a) of Section 85301. This section does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(b)This section shall become operative on January 1, 2021.

SEC. 3.

 Section 85306 of the Government Code, as added by Section 8 of Chapter 556 of the Statutes of 2019, is amended to read:

85306.
 (a) A candidate may transfer campaign funds from one controlled committee to a controlled committee for elective state, county, or city office of the same candidate. Contributions transferred shall be attributed to specific contributors using a “last in, first out” or “first in, first out” accounting method, and these attributed contributions when aggregated with all other contributions from the same contributor shall not exceed the limits set forth in Section 85301 or 85302.
(b) Notwithstanding subdivision (a), a candidate for elective state office, other than a candidate for statewide elective office, who possesses campaign funds on January 1, 2001, may use those funds to seek elective office without attributing the funds to specific contributors.
(c) Notwithstanding subdivision (a), a candidate for statewide elective office who possesses campaign funds on November 6, 2002, may use those funds to seek elective office without attributing the funds to specific contributors.
(d) This section does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(e)This section shall become operative on January 1, 2021.

SEC. 4.

 Section 85307 of the Government Code, as added by Section 10 of Chapter 556 of the Statutes of 2019, is amended to read:

85307.
 (a) The provisions of this article regarding loans apply to extensions of credit, but do not apply to loans made to a candidate by a commercial lending institution in the lender’s regular course of business on terms available to members of the general public for which the candidate is personally liable.
(b) Notwithstanding subdivision (a), a candidate for elective state, county, or city office shall not personally loan to the candidate’s campaign, including the proceeds of a loan obtained by the candidate from a commercial lending institution, an amount, the outstanding balance of which exceeds one hundred thousand dollars ($100,000). A candidate shall not charge interest on any loan the candidate made to the candidate’s campaign. This subdivision does not apply to a jurisdiction in which the county or city imposes a limit on contributions a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(c)This section shall become operative on January 1, 2021.

SEC. 5.

 Section 85315 of the Government Code, as added by Section 12 of Chapter 556 of the Statutes of 2019, is amended to read:

85315.
 (a) Notwithstanding any other provision of this chapter, an elected state, county, or city officer may establish a committee to oppose the qualification of a recall measure, and the recall election. This committee may be established when the elected state, county, or city officer receives a notice of intent to recall pursuant to Section 11021 of the Elections Code. An elected state, county, or city officer may accept campaign contributions to oppose the qualification of a recall measure, and if qualification is successful, the recall election, without regard to the campaign contribution limits set forth in this chapter. The voluntary expenditure limits do not apply to expenditures made to oppose the qualification of a recall measure or to oppose the recall election.
(b) After the failure of a recall petition or after the recall election, the committee formed by the elected state, county, or city officer shall wind down its activities and dissolve. Any remaining funds shall be treated as surplus funds and shall be expended within 30 days after the failure of the recall petition or after the recall election for a purpose specified in subdivision (b) of Section 89519.
(c) This section does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(d)This section shall become operative on January 1, 2021.

SEC. 6.

 Section 85316 of the Government Code, as added by Section 14 of Chapter 556 of the Statutes of 2019, is amended to read:

85316.
 (a) Except as provided in subdivision (b), a contribution for an election may be accepted by a candidate for elective state, county, or city office after the date of the election only to the extent that the contribution does not exceed net debts outstanding from the election, and the contribution does not otherwise exceed the applicable contribution limit for that election.
(b) Notwithstanding subdivision (a), an elected state officer may accept contributions after the date of the election for the purpose of paying expenses associated with holding the office provided that the contributions are not expended for any contribution to any state or local committee. Contributions received pursuant to this subdivision shall be deposited into a bank account established solely for the purposes specified in this subdivision.
(1) A person shall not make, and an elected state officer shall not receive from a person, a contribution pursuant to this subdivision totaling more than the following amounts per calendar year:
(A) Three thousand dollars ($3,000) in the case of an elected state officer of the Assembly or Senate.
(B) Five thousand dollars ($5,000) in the case of a statewide elected state officer other than the Governor.
(C) Twenty thousand dollars ($20,000) in the case of the Governor.
(2) An elected state officer shall not receive contributions pursuant to paragraph (1) that, in the aggregate, total more than the following amounts per calendar year:
(A) Fifty thousand dollars ($50,000) in the case of an elected state officer of the Assembly or Senate.
(B) One hundred thousand dollars ($100,000) in the case of a statewide elected state officer other than the Governor.
(C) Two hundred thousand dollars ($200,000) in the case of the Governor.
(3) Any contribution received pursuant to this subdivision shall be deemed to be a contribution to that candidate for election to any state office that the candidate may seek during the term of office to which the candidate is currently elected, including, but not limited to, reelection to the office the candidate currently holds, and shall be subject to any applicable contribution limit provided in this title. If a contribution received pursuant to this subdivision exceeds the allowable contribution limit for the office sought, the candidate shall return the amount exceeding the limit to the contributor on a basis to be determined by the Commission. The expenditures made by elected state officers pursuant to this subdivision shall not be subject to the voluntary expenditure limitations in Section 85400.
(4) The Commission shall adjust the calendar year contribution limitations and aggregate contribution limitations set forth in this subdivision in January of every odd-numbered year to reflect any increase or decrease in the Consumer Price Index. Those adjustments shall be rounded to the nearest one hundred dollars ($100).
(c) This section does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(d)This section shall become operative on January 1, 2021.

SEC. 7.

 Section 85317 of the Government Code, as added by Section 16 of Chapter 556 of the Statutes of 2019, is amended to read:

85317.
 (a)Notwithstanding subdivision (a) of Section 85306, a candidate for elective state, county, or city office may carry over contributions raised in connection with one election for elective state, county, or city office to pay campaign expenditures incurred in connection with a subsequent election for the same elective state, county, or city office. This section does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(b)This section shall become operative on January 1, 2021.

SEC. 8.

 Section 85318 of the Government Code, as added by Section 18 of Chapter 556 of the Statutes of 2019, is amended to read:

85318.
 (a) A candidate for elective state, county, or city office may raise contributions for a general election before the primary election, and for a special general election before a special primary election, for the same elective state, county, or city office if the candidate sets aside these contributions and uses these contributions for the general election or special general election. If the candidate for elective state, county, or city office is defeated in the primary election or special primary election, or otherwise withdraws from the general election or special general election, the general election or special general election funds shall be refunded to the contributors on a pro rata basis less any expenses associated with the raising and administration of general election or special general election contributions. Notwithstanding Section 85201, candidates for elective state, county, or city office may establish separate campaign contribution accounts for the primary and general elections or special primary and special general elections.
(b) This section does not apply in a jurisdiction in which the county or city imposes a limit on contributions to a candidate for elective county or city office that is subject to a mandatory limit on contributions adopted by the county or city pursuant to Section 85702.5.

(c)This section shall become operative on January 1, 2021.

SEC. 9.

 The Legislature finds and declares that this bill furthers the purposes of the Political Reform Act of 1974 within the meaning of subdivision (a) of Section 81012 of the Government Code.