By Madden                                             H.B. No. 3461

         Line and page numbers may not match official copy.

         Bill not drafted by TLC or Senate E&E.

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the regulation of certain political contributions and

 1-3     political expenditures; providing civil and criminal penalties.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 251.001, Election Code, is amended by

 1-6     amending Subdivision (13) and adding Subdivision (21) to read as

 1-7     follows:

 1-8                 (13)  "Specific-purpose committee" means a political

 1-9     committee that does not have among its principal purposes those of

1-10     a general-purpose committee but does have among its principal

1-11     purposes:

1-12                       (A)  supporting or opposing [one or more]:

1-13                             (i)  two or more candidates, all of whom

1-14     are identified and are seeking offices that are known; or

1-15                             (ii)  one or more measures, all of which

1-16     are identified; or

1-17                       (B)  assisting two [one] or more officeholders,

1-18     all of whom are identified[; or]

1-19                       [(C)  supporting or opposing only one candidate

1-20     who is unidentified or who is seeking an office that is unknown].

1-21                 (21)  "Principal political committee of a candidate or

 2-1     officeholder" means a political committee established under Section

 2-2     251.010 for supporting a candidate or assisting an officeholder.

 2-3           SECTION 2.  Subchapter A, Chapter 251, Election Code, is

 2-4     amended by adding Sections 251.010 to read as follows:

 2-5           Sec. 251.010.  PRINCIPAL POLITICAL COMMITTEE.  (a)  A

 2-6     candidate or officeholder shall designate in writing a political

 2-7     committee to serve as the person's principal political committee.

 2-8           (b)  A designation under Subsection (a) must be:

 2-9                 (1)  made not later than the 15th day after the date

2-10     the person becomes a candidate or officeholder; and

2-11                 (2)  filed with the authority with whom the committee's

2-12     campaign treasurer appointment is required to be filed.

2-13           (c)  A candidate or officeholder may not have more than one

2-14     principal political committee at a time.  A person who is both a

2-15     candidate and an officeholder may not have more than one principal

2-16     political committee.  A candidate who becomes an officeholder is

2-17     not required to designate a new principal political committee.

2-18           (d)  A prohibition or restriction imposed by this title on a

2-19     candidate or officeholder applies to the principal political

2-20     committee of a candidate or officeholder.

2-21           (e)  A person may not establish a specific-purpose committee

2-22     for supporting or opposing only one candidate or assisting only one

2-23     officeholder.

2-24           SECTION 3.  Sections 252.001, 252.0031, 252.0032, 252.005,

2-25     and 252.006, Election Code, are amended to read as follows:

 3-1           Sec. 252.001.  APPOINTMENT OF CAMPAIGN TREASURER REQUIRED.

 3-2     Each [candidate and each] political committee shall appoint a

 3-3     campaign treasurer as provided by this chapter.

 3-4           Sec. 252.0031.  CONTENTS OF APPOINTMENT BY SPECIFIC-PURPOSE

 3-5     COMMITTEE.  [(a)]  In addition to the information required by

 3-6     Section 252.002, a campaign treasurer appointment by a

 3-7     specific-purpose committee for supporting or opposing two or more

 3-8     candidates [a candidate] for an office specified by Section

 3-9     252.005(1) must include the name of and the office sought by each

3-10     [the] candidate the committee supports or opposes.  If that

3-11     information changes, the committee shall immediately file an

3-12     amended appointment reflecting the change.

3-13           [(b)  The name of a specific-purpose committee for supporting

3-14     a candidate for an office specified by Section 252.005(1) must

3-15     include the name of the candidate that the committee supports.]

3-16           Sec. 252.0032.  CONTENTS OF APPOINTMENT BY PRINCIPAL

3-17     POLITICAL COMMITTEE [CANDIDATE].  (a)  In addition to the

3-18     information required by Section 252.002, a campaign treasurer

3-19     appointment by a principal political committee of a candidate or

3-20     officeholder [candidate] must include:

3-21                 (1)  the candidate's or officeholder's telephone

3-22     number; and

3-23                 (2)  a statement, signed by the candidate or

3-24     officeholder, that the candidate or officeholder is aware of the

3-25     nepotism law, Chapter 573, Government Code.

 4-1           (b)  A campaign treasurer appointment that is filed in a

 4-2     manner other than by use of an officially prescribed form is not

 4-3     invalid because it fails to comply with Subsection (a)(2).

 4-4           Sec. 252.005.  AUTHORITY WITH WHOM APPOINTMENT FILED:

 4-5     PRINCIPAL POLITICAL COMMITTEE [CANDIDATE].  A principal political

 4-6     committee of a candidate or officeholder [An individual] must file

 4-7     a campaign treasurer appointment [for the individual's own

 4-8     candidacy] with:

 4-9                 (1)  the commission, if the appointment is made by the

4-10     principal political committee of a candidate for or holder of [for

4-11     candidacy for]:

4-12                       (A)  a statewide office;

4-13                       (B)  a district office filled by voters of more

4-14     than one county;

4-15                       (C)  the office of state senator;

4-16                       (D)  the office of state representative; or

4-17                       (E)  the office of member, State Board of

4-18     Education;

4-19                 (2)  the county clerk, if the appointment is made by

4-20     the principal political committee of a candidate for or holder of

4-21     [for candidacy for] a county office, a precinct office, or a

4-22     district office other than one included in Subdivision (1);

4-23                 (3)  the clerk or secretary of the governing body of

4-24     the political subdivision or, if the political subdivision has no

4-25     clerk or secretary, with the governing body's presiding officer, if

 5-1     the appointment is made by the principal political committee of a

 5-2     candidate for or holder of [for candidacy for] an office of a

 5-3     political subdivision other than a county;

 5-4                 (4)  the county clerk if:

 5-5                       (A)  the appointment is made by the principal

 5-6     political committee of a candidate for or holder of [for candidacy

 5-7     for] an office of a political subdivision other than a county;

 5-8                       (B)  the governing body for the political

 5-9     subdivision has not been formed; and

5-10                       (C)  no boundary of the political subdivision

5-11     crosses a boundary of the county; or

5-12                 (5)  the commission if:

5-13                       (A)  the appointment is made by the principal

5-14     political committee of a candidate for or holder of [for candidacy

5-15     for] an office of a political subdivision other than a county;

5-16                       (B)  the governing body for the political

5-17     subdivision has not been formed; and

5-18                       (C)  the political subdivision is situated in

5-19     more than one county.

5-20           Sec. 252.006.  AUTHORITY WITH WHOM APPOINTMENT FILED:

5-21     SPECIFIC-PURPOSE COMMITTEE FOR SUPPORTING OR OPPOSING CANDIDATES

5-22     [CANDIDATE] OR ASSISTING OFFICEHOLDERS [OFFICEHOLDER].  A

5-23     specific-purpose committee for supporting or opposing candidates [a

5-24     candidate] or assisting officeholders [an officeholder ] must file

5-25     its campaign treasurer appointment with the same authority as the

 6-1     appointment by a principal political committee in connection with

 6-2     [for candidacy for] the office.

 6-3           SECTION 4.  Section 252.010(a), Election Code, is amended to

 6-4     read as follows:

 6-5           (a)  If a candidate whose principal political committee [who]

 6-6     has filed a campaign treasurer appointment decides to seek a

 6-7     different office that would require the appointment to be filed

 6-8     with another authority, a copy of the appointment certified by the

 6-9     authority with whom it was originally filed must be filed with the

6-10     other authority in addition to the new campaign treasurer

6-11     appointment.

6-12           SECTION 5.  Section 252.015(a), Election Code, is amended to

6-13     read as follows:

6-14           (a)  Each principal political committee of a candidate or

6-15     officeholder, each specific-purpose committee for supporting or

6-16     opposing candidates [a candidate] for an office specified by

6-17     Section 252.005(1) or a statewide or district measure, and each

6-18     general-purpose committee may appoint an assistant campaign

6-19     treasurer by written appointment filed with the commission.

6-20           SECTION 6.  Section 253.002(b), Election Code, is amended to

6-21     read as follows:

6-22           (b)  This section does not apply to:

6-23                 (1)  an individual making an expenditure authorized by

6-24     Subchapter C;

6-25                 (2)  a corporation or labor organization making an

 7-1     expenditure authorized by Subchapter D;

 7-2                 (3)  [a candidate making or authorizing an expenditure

 7-3     for the candidate's own election;]

 7-4                 [(4)]  a political committee; or

 7-5                 (4) [(5)]  a campaign treasurer or assistant campaign

 7-6     treasurer acting in an official capacity.

 7-7           SECTION 7.  Section 253.031, Election Code, is amended to

 7-8     read as follows:

 7-9           Sec. 253.031.  CONTRIBUTION AND EXPENDITURE WITHOUT CAMPAIGN

7-10     TREASURER PROHIBITED.  (a)  A candidate or officeholder may not

7-11     knowingly accept a campaign contribution as authorized by Section

7-12     253.0311 or make or authorize a campaign expenditure as authorized

7-13     by Section 253.0312 at a time when a campaign treasurer appointment

7-14     for the principal political committee of the candidate or

7-15     officeholder is not in effect.

7-16           (b)  A political committee may not knowingly accept political

7-17     contributions totaling more than $500 or make or authorize

7-18     political expenditures totaling more than $500 at a time when a

7-19     campaign treasurer appointment for the committee is not in effect.

7-20           (c)  A political committee may not knowingly make or

7-21     authorize a campaign contribution or campaign expenditure

7-22     supporting or opposing a candidate for an office specified by

7-23     Section 252.005(1) in a primary or general election unless the

7-24     committee's campaign treasurer appointment has been filed not later

7-25     than the 30th day before the appropriate election day.

 8-1           (d)  This section does not apply to a political party's

 8-2     county executive committee that accepts political contributions or

 8-3     makes political expenditures, except that:

 8-4                 (1)  a county executive committee that accepts

 8-5     political contributions or makes political expenditures shall

 8-6     maintain the records required by Section 254.001; and

 8-7                 (2)  a county executive committee that accepts

 8-8     political contributions or makes political expenditures that, in

 8-9     the aggregate, exceed $5,000 in a calendar year shall file:

8-10                       (A)  a campaign treasurer appointment as required

8-11     by Section 252.001 not later than the 15th day after the date that

8-12     amount is exceeded; and

8-13                       (B)  the reports required by Subchapter F,

8-14     Chapter 254, including in the political committee's first report

8-15     all political contributions accepted and all political expenditures

8-16     made before the effective date of the campaign treasurer

8-17     appointment.

8-18           (e)  [This section does not apply to an out-of-state

8-19     political committee unless the committee is subject to Chapter 252

8-20     under Section 251.005.]

8-21           [(f)]  A person who violates this section commits an offense.

8-22     An offense under this section is a Class A misdemeanor.

8-23           SECTION 8.  Subchapter B, Chapter 253, Election Code, is

8-24     amended by adding Sections 253.0311 and 253.0312 to read as

8-25     follows:

 9-1           Sec. 253.0311.  ACCEPTANCE OF POLITICAL CONTRIBUTION BY

 9-2     CANDIDATE OR OFFICEHOLDER.  (a)  Except as provided by Subsection

 9-3     (b), a candidate or officeholder may not knowingly accept a

 9-4     political contribution in connection with the person's own

 9-5     candidacy or office.

 9-6           (b)  A candidate or officeholder may accept a political

 9-7     contribution on behalf of the person's principal political

 9-8     committee unless the committee itself would be prohibited from

 9-9     accepting the contribution.

9-10           (c)  A person who violates this section commits an offense.

9-11     An offense under this section is a Class A misdemeanor.

9-12           Sec. 253.0312.  CONTRIBUTION OR EXPENDITURE BY CANDIDATE OR

9-13     OFFICEHOLDER FROM PERSONAL FUNDS.  (a)  Except as provided by

9-14     Subsection (b), a candidate or officeholder may not knowingly make

9-15     a political contribution or political expenditure from the person's

9-16     personal funds in connection with the person's own candidacy or

9-17     office.

9-18           (b)  A candidate or officeholder may make a political

9-19     contribution from the person's personal funds to the person's

9-20     principal political committee.

9-21           (c)  A person who violates this section commits an offense.

9-22     An offense under this section is a Class A misdemeanor.

9-23           SECTION 9.  Section 253.033(a), Election Code, is amended to

9-24     read as follows:

9-25           (a)  The principal political committee of a [A] candidate

 10-1    or[,] officeholder[,] or a specific-purpose committee may not

 10-2    knowingly accept from a contributor in a reporting period political

 10-3    contributions in cash that in the aggregate exceed $100.

 10-4          SECTION 10.  Sections 253.034(a)-(c), Election Code, are

 10-5    amended to read as follows:

 10-6          (a)  During the period beginning on the 30th day before the

 10-7    date a regular legislative session convenes and continuing through

 10-8    the day of final adjournment, a person may not knowingly make a

 10-9    political contribution to:

10-10                (1)  the principal political committee of a statewide

10-11    officeholder;

10-12                (2)  the principal political committee of a member of

10-13    the legislature; or

10-14                (3)  a specific-purpose committee for supporting,

10-15    opposing, or assisting a statewide officeholder or member of the

10-16    legislature.

10-17          (b)  The principal political committee of a [A] statewide

10-18    officeholder or of[,] a member of the legislature[,] or a

10-19    specific-purpose committee for supporting, opposing, or assisting a

10-20    statewide officeholder or member of the legislature may not

10-21    knowingly accept a political contribution, and shall refuse a

10-22    political contribution that is received, during the period

10-23    prescribed by Subsection (a).  A political contribution that is

10-24    received and refused during that period shall be returned to the

10-25    contributor not later than the 30th day after the date of receipt.

 11-1    A contribution made by mail is not considered received during that

 11-2    period if it was placed with postage prepaid and properly addressed

 11-3    in the United States mail before the beginning of the period.  The

 11-4    date indicated by the post office cancellation mark is considered

 11-5    to be the date the contribution was placed in the mail unless

 11-6    proven otherwise.

 11-7          (c)  This section does not apply to a political contribution

 11-8    that was made and accepted with the intent that it be used:

 11-9                (1)  in an election held or ordered during the period

11-10    prescribed by Subsection (a) in which the person on whose behalf

11-11    [accepting] the contribution is accepted is a candidate if the

11-12    contribution was made after the person's principal political

11-13    committee filed [person appointed] a campaign treasurer appointment

11-14    [with the appropriate authority] and before the person was sworn in

11-15    for that office;

11-16                (2)  to defray expenses incurred in connection with an

11-17    election contest; or

11-18                (3)  by the principal political committee of a person

11-19    who holds a statewide [state] office or of a member of the

11-20    legislature if the person or member was defeated at the general

11-21    election held immediately before the session is convened [or by a

11-22    specific-purpose political committee that supports or assists only

11-23    that person or member].

11-24          SECTION 11.  Sections 253.035(b), (g), and (h), Election

11-25    Code, are amended to read as follows:

 12-1          (b)  A principal political committee of a candidate or

 12-2    officeholder or specific-purpose committee that accepts a political

 12-3    contribution may not convert the contribution to the personal use

 12-4    of a candidate, officeholder, or former candidate or officeholder.

 12-5          (g)  A principal political committee of a candidate or

 12-6    officeholder or specific-purpose committee that converts a

 12-7    political contribution to the personal use of a candidate,

 12-8    officeholder, or former candidate or officeholder in violation of

 12-9    this section is civilly liable to the state for an amount equal to

12-10    the amount of the converted contribution plus reasonable court

12-11    costs.

12-12          (h)  Except as provided by Section 253.0351, [or] 253.042, or

12-13    253.162, a candidate or officeholder who makes political

12-14    expenditures from the candidate's or officeholder's personal funds

12-15    may reimburse those personal funds from political contributions in

12-16    the amount of those expenditures only if:

12-17                (1)  the expenditures from personal funds were fully

12-18    reported as political expenditures, including the payees, dates,

12-19    purposes, and amounts of the expenditures, in the report required

12-20    to be filed under this title that covers the period in which the

12-21    expenditures from personal funds were made; and

12-22                (2)  the report on which the expenditures from personal

12-23    funds are disclosed clearly designates those expenditures as having

12-24    been made from the person's personal funds and that the

12-25    expenditures are subject to reimbursement.

 13-1                SECTION 12.  Section 253.037(c), Election Code, is

 13-2    amended to read as follows:

 13-3          (c)  Subsection (a) does not apply to a political party's

 13-4    county executive committee that is complying with Section 253.031

 13-5    or to a general-purpose committee that accepts contributions from a

 13-6    multi candidate political committee, [(]as defined by 2 U.S.C.

 13-7    Section 431 and its subsequent amendments,  [the Federal Election

 13-8    Campaign Act)] that is registered with the Federal Election

 13-9    Commission[, provided that the general-purpose committee is in

13-10    compliance with Section 253.032].

13-11          SECTION 13.  Section 253.038(a), Election Code, is amended to

13-12    read as follows:

13-13          (a)  A candidate or officeholder, the principal political

13-14    committee of a candidate or officeholder, or a specific-purpose

13-15    committee for supporting, opposing, or assisting the candidate or

13-16    officeholder may not knowingly make or authorize a payment from a

13-17    political contribution to purchase real property or to pay the

13-18    interest on or principal of a note for the purchase of real

13-19    property.

13-20          SECTION 14.  Section 253.041(a), Election Code, is amended to

13-21    read as follows:

13-22          (a)  A candidate or officeholder, the principal political

13-23    committee of the candidate or officeholder, or a specific-purpose

13-24    committee for supporting, opposing, or assisting the candidate or

13-25    officeholder may not knowingly make or authorize a payment from a

 14-1    political contribution if the payment is made for personal services

 14-2    rendered by the candidate or officeholder or by the spouse or

 14-3    dependent child of the candidate or officeholder to:

 14-4                (1)  a business in which the candidate or officeholder

 14-5    has a participating interest of more than 10 percent, holds a

 14-6    position on the governing body of the business, or serves as an

 14-7    officer of the business; or

 14-8                (2)  the candidate or officeholder or the spouse or

 14-9    dependent child of the candidate or officeholder.

14-10          SECTION 15.  Sections 253.042(a), (b), and (e) Election Code,

14-11    are amended to read as follows:

14-12          (a)  A candidate or officeholder who makes political

14-13    contributions to the candidate's or officeholder's principal

14-14    political committee [expenditures] from the candidate's or

14-15    officeholder's personal funds may not reimburse those personal

14-16    funds from political contributions in amounts that in the aggregate

14-17    exceed the following amounts for each election in which the

14-18    person's name appears on the ballot:

14-19                (1)  for a statewide office other than governor,

14-20    $250,000; and

14-21                (2)  for governor, $500,000.

14-22          (b)  A principal political committee of a candidate or

14-23    officeholder that [candidate or officeholder who] accepts one or

14-24    more political contributions in  the form of loans, including an

14-25    extension of credit or a guarantee of a loan or extension of

 15-1    credit, from one or more persons related within the second degree

 15-2    by consanguinity or affinity, as determined under Chapter 573,

 15-3    Government Code, to the candidate or officeholder the committee

 15-4    supports or assists [within the second degree by affinity or

 15-5    consanguinity] may not use political contributions to repay the

 15-6    loans in amounts that in the aggregate exceed the amount prescribed

 15-7    by Subsection (a).  A principal political committee of a candidate

 15-8    or officeholder may not use political contributions, in amounts

 15-9    that in the aggregate exceed the amount prescribed by Subsection

15-10    (a), to repay any other loan or extension of credit for which the

15-11    candidate or officeholder the committee supports or assists is

15-12    personally liable.

15-13          (e)  A principal political committee of a candidate or

15-14    officeholder may not pay [This section does not prohibit the

15-15    payment of interest on loans covered by this section at a

15-16    commercially reasonable rate, except that] interest on a loan to

15-17    the person's principal political committee [loans] from the [a]

15-18    candidate's or officeholder's personal funds or on a loan [loans]

15-19    from the personal funds of any person related to the candidate or

15-20    officeholder within the second degree by affinity or consanguinity,

15-21    as determined under Subchapter B, Chapter 573, Government Code [is

15-22    included in the amount prescribed by Subsection (a, (b), or (c)].

15-23          SECTION 16.  Sections 253.091 and 253.092, Election Code, are

15-24    amended to read as follows:

15-25          Sec. 253.091.  CORPORATIONS COVERED.  This subchapter applies

 16-1    only to corporations that are organized under the Texas Business

 16-2    Corporation Act, the Texas Non-Profit Corporation Act (Article

 16-3    1396-1.01 et seq., Vernon's Texas Civil Statutes), the Texas

 16-4    Miscellaneous Corporation Laws Act (Article 1302-1.01 et seq.,

 16-5    Vernon's Texas Civil Statutes), federal law, or law of another

 16-6    state or nation.

 16-7          Sec. 253.092.  TREATMENT OF INCORPORATED POLITICAL COMMITTEE.

 16-8    (a)  If a political committee the only principal purpose of which

 16-9    is accepting political contributions and making political

16-10    expenditures incorporates for liability purposes only, the

16-11    committee is not considered to be a corporation for purposes of

16-12    this subchapter.

16-13          (b)  Subsection (a) applies only to a corporation that:

16-14                (1)  is formed for the express purpose of promoting

16-15    political ideas and does not engage in business activities;

16-16                (2)  has no shareholders or other affiliated persons

16-17    who have a claim to the corporation's assets or earnings; and

16-18                (3)  is not established by a business corporation or a

16-19    labor organization and has adopted a policy under which the

16-20    corporation does not accept contributions from business

16-21    corporations or labor organizations.

16-22          SECTION 17.  Subchapter D, Chapter 253, Election Code, is

16-23    amended by adding Section 253.0931 to read as follows:

16-24          Sec. 253.0931.  CERTAIN LIMITED LIABILITY ENTITIES COVERED.

16-25    (a)  For purposes of this subchapter, the following  entities are

 17-1    considered to be corporations covered by this subchapter:

 17-2                (1)  limited partnerships organized under the Texas

 17-3    Revised Limited Partnership Act (Article 6132a-1, Vernon's Texas

 17-4    Civil Statutes); and

 17-5                (2)  limited liability companies organized under the

 17-6    Texas Limited Liability Company Act (Article 1528n, Vernon's Texas

 17-7    Civil Statutes).

 17-8          (b)  For purposes of this subchapter, the members of the

 17-9    entities specified by Subsection (a) are considered to be

17-10    stockholders.

17-11          SECTION 18.  Section 253.131, Election Code, is amended by

17-12    amending the heading and Subsections (b) and (c) to read as

17-13    follows:

17-14          Sec. 253.131.  LIABILITY TO PRINCIPAL POLITICAL COMMITTEES

17-15    [CANDIDATES].

17-16          (b)  If the contribution or expenditure is in support of a

17-17    candidate, the principal political committee of each opposing

17-18    candidate whose name appears on the ballot is entitled to recover

17-19    damages under this section.

17-20          (c)  If the contribution or expenditure is in opposition to a

17-21    candidate, the candidate's principal political committee

17-22    [candidate] is entitled to recover damages under this section.

17-23          SECTION 19.  Sections 253.153(a) and (c), Election Code, are

17-24    amended to read as follows:

17-25          (a)  The principal political committee of a [A] judicial

 18-1    candidate or officeholder, a  specific-purpose committee for

 18-2    supporting or opposing two or more [a] judicial candidates

 18-3    [candidate], or a specific-purpose committee for assisting two or

 18-4    more [a] judicial officeholders [officeholder] may not knowingly

 18-5    accept a political contribution except during the period:

 18-6                (1)  beginning on:

 18-7                      (A)  the 210th day before the date an application

 18-8    for a place on the ballot or for nomination by convention for the

 18-9    office is required to be filed, if the election is for a full term;

18-10    or

18-11                      (B)  the later of the 210th day before the date

18-12    an application for a place on the ballot or for nomination by

18-13    convention for the office is required to be filed or the date a

18-14    vacancy in the office occurs, if the election is for an unexpired

18-15    term; and

18-16                (2)  ending on the 120th day after the date of:

18-17                      (A)  the general election for state and county

18-18    officers, if the candidate or officeholder has an opponent in the

18-19    general election;

18-20                      (B)  except as provided by Subsection (c), the

18-21    runoff primary election, if the candidate or officeholder is a

18-22    candidate in the runoff primary election and does not have an

18-23    opponent in the general election; or

18-24                      (C)  except as provided by Subsection (c), the

18-25    general primary election, if the candidate or officeholder is not a

 19-1    candidate in the runoff primary election and does not have an

 19-2    opponent in the general election.

 19-3          (c)  Notwithstanding Subsection (a)(2), the principal

 19-4    political committee of a judicial candidate who does not have an

 19-5    opponent whose name will appear on the ballot or a specific-purpose

 19-6    committee for supporting such a candidate may accept a political

 19-7    contribution after another person files a declaration of write-in

 19-8    candidacy opposing the candidate.

 19-9          SECTION 20.  Section 253.154(a), Election Code, is amended to

19-10    read as follows:

19-11          (a)  The principal political committee of a [A] write-in

19-12    candidate for judicial office or a specific-purpose committee for

19-13    supporting two or more [a] write-in candidates [candidate] for

19-14    judicial office may not knowingly accept a political contribution

19-15    before the candidate files a declaration of write-in candidacy.

19-16          SECTION 21.  Section 253.1541(b), Election Code, is amended

19-17    to read as follows:

19-18          (b)  Notwithstanding Section 253.153, the principal political

19-19    committee of a person to whom this section applies may accept

19-20    officeholder contributions beginning on the date the person assumes

19-21    the duties of office and ending on the 60th day after that date.

19-22          SECTION 22.  Section 253.155(a), Election Code, is amended to

19-23    read as follows:

19-24          (a)  Except as provided by Subsection (c), the principal

19-25    political committee of a judicial candidate or officeholder may not

 20-1    knowingly accept political contributions from a person that in the

 20-2    aggregate exceed the limits prescribed by Subsection (b) in

 20-3    connection with each election in which the person is involved.

 20-4          SECTION 23.  Sections 253.157(a)-(c), Election Code, as

 20-5    amended by Chapters 479 and 552, Acts of the 75th Legislature,

 20-6    Regular Session, 1997, are reenacted and amended to read as

 20-7    follows:

 20-8          (a)  The principal political committee of a [A] judicial

 20-9    candidate or officeholder [or a specific-purpose committee for

20-10    supporting or opposing a judicial candidate] may not accept a

20-11    political contribution in excess of $100. from a person if:

20-12                (1)  the person is a law firm, a member of a law firm,

20-13    or a general-purpose committee established or controlled by a law

20-14    firm; and

20-15                (2)  the contribution when aggregated with all

20-16    political contributions accepted by the principal political

20-17    committee [candidate or committee] from the law firm, other members

20-18    of the law firm, or [from] a general-purpose committee established

20-19    or controlled by the law firm in connection with the election would

20-20    exceed six times the applicable contribution limit under Section

20-21    253.155.

20-22          (b)  A principal political committee of a judicial candidate

20-23    or officeholder that [person who] receives a political contribution

20-24    that violates Subsection (a) shall return the contribution to the

20-25    contributor not later than the later of:

 21-1                (1)  the last day of the reporting period in which the

 21-2    contribution is received; or

 21-3                (2)  the fifth day after the date the contribution is

 21-4    received.

 21-5          (c)  A principal political committee of a judicial candidate

 21-6    or officeholder that [person who] fails to return a political

 21-7    contribution as required by Subsection (b) is liable for a civil

 21-8    penalty not to exceed three times the total amount of political

 21-9    contributions accepted from the law firm, members of the law firm,

21-10    or general-purpose committees established or controlled by the law

21-11    firm in connection with the election.

21-12          SECTION 24.  Sections 253.160(a) and (b), Election Code, are

21-13    amended to read as follows:

21-14          (a)  The principal political committee of a [A] judicial

21-15    candidate or officeholder [or a specific-purpose committee for

21-16    supporting or opposing a judicial candidate or assisting a judicial

21-17    officeholder] may not knowingly accept a political contribution

21-18    from a general-purpose committee that, when aggregated with each

21-19    other political contribution from a general-purpose committee in

21-20    connection with an election, exceeds 15 percent of the applicable

21-21    limit on expenditures prescribed by Section 253.168, regardless of

21-22    whether the limit on expenditures is suspended.

21-23          (b)  A principal political committee of a judicial candidate

21-24    or officeholder that [person who] receives a political contribution

21-25    that violates Subsection (a) shall return the contribution to the

 22-1    contributor not later than the later of:

 22-2                (1)  the last day of the reporting period in which the

 22-3    contribution is received; or

 22-4                (2)  the fifth day after the date the contribution is

 22-5    received.

 22-6          SECTION 25.  Section 253.1601, Election Code, is amended to

 22-7    read as follows:

 22-8          Sec. 253.1601.  CONTRIBUTION TO CERTAIN COMMITTEES CONSIDERED

 22-9    CONTRIBUTION TO PRINCIPAL POLITICAL COMMITTEE [CANDIDATE].  For

22-10    purposes of Sections 253.155, 253.157, and 253.160, a contribution

22-11    to a specific-purpose committee for the purpose of supporting two

22-12    or more [a] judicial candidates [candidate], opposing the

22-13    [candidate's] opponent of two or more judicial candidates, or

22-14    assisting two or more candidates [the candidate] as officeholders

22-15    [an officeholder] is considered to be a contribution to the

22-16    principal political committee of each judicial candidate or

22-17    officeholder the committee supports or assists.

22-18          SECTION 26.  Sections 253.161(a)-(c), Election Code, are

22-19    amended to read as follows:

22-20          (a)  The principal political committee of a [A] judicial

22-21    candidate or officeholder, a specific-purpose committee for

22-22    supporting or opposing two or more [a] judicial candidates

22-23    [candidate], or a specific-purpose committee for assisting two or

22-24    more [a] judicial officeholders [officeholder] may not use a

22-25    political contribution to make a campaign expenditure for judicial

 23-1    office or to make an officeholder expenditure in connection with a

 23-2    judicial office if the contribution was accepted while the

 23-3    candidate or officeholder:

 23-4                (1)  was a candidate for an office other than a

 23-5    judicial office; or

 23-6                (2)  held an office other than a judicial office,

 23-7    unless the person had become a candidate for judicial office.

 23-8          (b)  The principal political committee of a [A] candidate

 23-9    or[,] officeholder[,] or a specific-purpose committee for

23-10    supporting, opposing, or assisting a [the] candidate or

23-11    officeholder may not use a political contribution to make a

23-12    campaign expenditure for an office other than a judicial office or

23-13    to make an officeholder expenditure in connection with an office

23-14    other than a judicial office if the contribution was accepted while

23-15    the candidate or officeholder:

23-16                (1)  was a candidate for a judicial office; or

23-17                (2)  held a judicial office, unless the person had

23-18    become a candidate for another office.

23-19          (c)  This section does not prohibit the principal political

23-20    committee of a candidate or officeholder from making a political

23-21    contribution to the principal political committee of another

23-22    candidate or officeholder.

23-23          SECTION 27.  Sections 253.1611(a)-(d), Election Code, are

23-24    amended to read as follows:

23-25          (a)  The principal political committee of a [A] judicial

 24-1    candidate or officeholder or a specific-purpose committee for

 24-2    supporting or opposing two or more [a] judicial candidates

 24-3    [candidate] or assisting two or more [a] judicial officeholders

 24-4    [officeholder] may not use a political contribution to make

 24-5    political contributions that in the aggregate exceed $100 in a

 24-6    calendar year to the principal political committee of a candidate

 24-7    or officeholder.

 24-8          (b)  The principal political committee of a [A] judicial

 24-9    candidate or a specific-purpose committee for supporting or

24-10    opposing two or more [a] judicial candidates [candidate] may not

24-11    use a political contribution to make political contributions to a

24-12    political committee in connection with a primary election.

24-13          (c)  The principal political committee of a [A] judicial

24-14    candidate or a specific-purpose committee for supporting or

24-15    opposing two or more [a] judicial candidates [candidate] may not

24-16    use a political contribution to make a political contribution to a

24-17    political committee that, when aggregated with each other political

24-18    contribution to a political committee in connection with a general

24-19    election, exceeds $500.

24-20          (d)  The principal political committee of a [A] judicial

24-21    officeholder or a specific-purpose committee for assisting two or

24-22    more [a] judicial officeholders [officeholder] may not use a

24-23    political contribution to make a political contribution to a

24-24    political committee in any calendar year in which the office held

24-25    is not on the ballot.

 25-1          SECTION 28.  Section 253.162, Election Code, is amended to

 25-2    read as follows:

 25-3          Sec. 253.162.  RESTRICTIONS ON REIMBURSEMENT OF PERSONAL

 25-4    FUNDS AND PAYMENTS ON CERTAIN LOANS.  (a)  A judicial candidate or

 25-5    officeholder who makes political contributions to the person's

 25-6    principal political committee [expenditures] from the person's

 25-7    personal funds may not reimburse the personal funds from political

 25-8    contributions in amounts that in the aggregate exceed, for each

 25-9    election in which the person's name appears on the ballot:

25-10                (1)  for a statewide judicial office, $100,000; or

25-11                (2)  for an office other than a statewide judicial

25-12    office, five times the applicable contribution limit under Section

25-13    253.155.

25-14          (b)  The principal political committee of a [A] judicial

25-15    candidate or officeholder may not:

25-16                (1)  use political contributions to repay a loan [who

25-17    accepts one or more political contributions in the form of loans],

25-18    including an extension of credit or a guarantee of a loan or

25-19    extension of credit, from one or more persons related to the

25-20    candidate or officeholder within the second degree by

25-21    consanguinity, as determined under Subchapter B, Chapter 573,

25-22    Government Code; or

25-23                (2)  use political contributions, in amounts that in

25-24    the aggregate exceed the amount prescribed by Subsection (a), to

25-25    repay any other loan or extension of credit for which the candidate

 26-1    or officeholder is personally liable[, may not use political

 26-2    contributions to repay the loans].

 26-3          (c)  The total amount of both reimbursements under Subsection

 26-4    (a) and repayments under Subsection (b)(2) made by the principal

 26-5    political committee of a candidate or officeholder may not exceed

 26-6    the amount prescribed by Subsection (a).

 26-7          (d)  A person who is both a candidate and an officeholder may

 26-8    reimburse the person's personal funds or repay loans from political

 26-9    contributions only in one capacity.

26-10          (e) [(d)]  A person who violates this section is liable for a

26-11    civil penalty not to exceed three times the amount by which the

26-12    reimbursement or repayment made in violation of this section

26-13    exceeds the applicable limit prescribed by Subsection (a).

26-14          SECTION 29.  Sections 253.163(a), (b), and (d), Election

26-15    Code, are amended to read as follows:

26-16          (a)  A person other than the principal political committee of

26-17    a candidate or[,] officeholder[,] or the principal political

26-18    committee of the state executive committee or a county executive

26-19    committee of a political party may not make political expenditures

26-20    that in the aggregate exceed $5,000 for the purpose of supporting

26-21    or opposing a candidate for an office other than a statewide

26-22    judicial office or assisting such a candidate as an officeholder

26-23    unless the person files with the authority with whom a campaign

26-24    treasurer appointment by the principal political committee of a

26-25    candidate for the office is required to be filed a written

 27-1    declaration of the person's intent to make expenditures that exceed

 27-2    the limit prescribed by this subsection.

 27-3          (b)  A person other than the principal political committee of

 27-4    a candidate or[,] officeholder[,] or the principal political

 27-5    committee of the state executive committee or a county executive

 27-6    committee of a political party may not make political expenditures

 27-7    that in the aggregate exceed $25,000 for the purpose of supporting

 27-8    or opposing a candidate for a statewide judicial office or

 27-9    assisting such a candidate as an officeholder unless the person

27-10    files with the commission a written declaration of the person's

27-11    intent to make expenditures that exceed the limit prescribed by

27-12    this subsection.

27-13          (d)  A declaration received under Subsection (a) or (b) shall

27-14    be filed with the records of the principal political committee of

27-15    each judicial candidate or officeholder on whose behalf the person

27-16    filing the declaration intends to make political expenditures.  If

27-17    the person intends to make only political expenditures opposing a

27-18    judicial candidate, the declaration shall be filed with the records

27-19    of the principal political committee of each candidate for the

27-20    office.

27-21          SECTION 30.  Sections 253.164(a)-(c), Election Code, are

27-22    amended to read as follows:

27-23          (a)  When a person becomes a candidate for a judicial office,

27-24    the person shall file with the authority with whom the candidate's

27-25    principal political committee is required to file its campaign

 28-1    treasurer appointment [is required to be filed]:

 28-2                (1)  a sworn declaration of compliance stating that the

 28-3    person voluntarily agrees to comply with the limits on expenditures

 28-4    prescribed by this subchapter; or

 28-5                (2)  a written declaration of the person's intent to

 28-6    make expenditures that exceed the limits prescribed by this

 28-7    subchapter.

 28-8          (b)  The limits on contributions and on reimbursement of

 28-9    personal funds prescribed by this subchapter apply to complying

28-10    candidates and their principal political committees unless

28-11    suspended as provided by Section 253.165 or 253.170.  The limits on

28-12    contributions and on reimbursement of personal funds prescribed by

28-13    this subchapter apply to noncomplying candidates and their

28-14    principal political committees regardless of whether the limits on

28-15    contributions, expenditures, and reimbursement of personal funds

28-16    are suspended with respect to [for] complying candidates.

28-17          (c)  The principal political committee of a [A] judicial

28-18    candidate may not knowingly accept a campaign contribution or make

28-19    or authorize a campaign expenditure before the candidate files a

28-20    declaration under Subsection (a).

28-21          SECTION 31.  Sections 253.165(a), (b), and (e), Election

28-22    Code, are amended to read as follows:

28-23          (a)  A complying candidate and the candidate's principal

28-24    political committee are [or a specific-purpose committee for

28-25    supporting a complying candidate is] not required to comply with

 29-1    the limits on contributions, expenditures, and the reimbursement of

 29-2    personal funds prescribed by this subchapter if another person

 29-3    becomes a candidate for the same office and:

 29-4                (1)  files a declaration of intent to exceed the limits

 29-5    on expenditures under Section 253.164(a)(2);

 29-6                (2)  fails to file a declaration of compliance under

 29-7    Section 253.164(a)(1) or a declaration of intent under Section

 29-8    253.164(a)(2);

 29-9                (3)  files a declaration of compliance under Section

29-10    253.164(a)(1) but later exceeds the limits on expenditures; or

29-11                (4)  violates Section 253.173 or 253.174.

29-12          (b)  The executive director of the commission shall issue an

29-13    order suspending the limits on contributions and expenditures for a

29-14    specific office not later than the fifth day after the date the

29-15    executive director determines that:

29-16                (1)  a person has become a candidate for that office

29-17    and:

29-18                      (A)  has filed a declaration of intent to exceed

29-19    the limits on expenditures under Section 253.164(a)(2); or

29-20                      (B)  has failed to file a declaration of

29-21    compliance under Section 253.164(a)(1) or a declaration of intent

29-22    under Section 253.164(a)(2);

29-23                (2)  the principal political committee of a complying

29-24    candidate for that office has exceeded the limit on expenditures

29-25    prescribed by this subchapter; or

 30-1                (3)  a candidate for that office has violated Section

 30-2    253.173 or 253.174.

 30-3          (e)  A county clerk who receives a written allegation that

 30-4    the principal campaign committee of a complying candidate has

 30-5    exceeded the limit on expenditures or that a candidate has engaged

 30-6    in conduct prohibited by Section 253.173 or 253.174 shall deliver a

 30-7    copy of the allegation to the executive director of the commission

 30-8    not later than the fifth day after the date the county clerk

 30-9    receives the allegation.  The county clerk shall, at no cost to the

30-10    commission, deliver to the executive director by mail or telephonic

30-11    facsimile machine copies of documents relevant to the allegation

30-12    not later than 48 hours after the executive director requests the

30-13    documents.

30-14          SECTION 32.  Section 253.168(a), Election Code, is amended to

30-15    read as follows:

30-16          (a)  For each election in which the candidate is involved,

30-17    the principal political committee of a complying candidate may not

30-18    knowingly make or authorize political expenditures that in the

30-19    aggregate exceed:

30-20                (1)  for a statewide judicial office, $2 million;

30-21                (2)  for the office of chief justice or justice, court

30-22    of appeals:

30-23                      (A)  $500,000, if the population of the judicial

30-24    district is more than one million; or

30-25                      (B)  $350,000, if the population of the judicial

 31-1    district is one million or less; or

 31-2                (3)  for an office other than an office covered by

 31-3    Subdivision (1) or (2):

 31-4                      (A)  $350,000, if the population of the judicial

 31-5    district is more than one million;

 31-6                      (B)  $200,000, if the population of the judicial

 31-7    district is 250,000 to one million; or

 31-8                      (C)  $100,000, if the population of the judicial

 31-9    district is less than 250,000.

31-10          SECTION 33.  Section 253.169, Election Code, is amended to

31-11    read as follows:

31-12          Sec. 253.169.  EXPENDITURE BY CERTAIN COMMITTEES CONSIDERED

31-13    EXPENDITURE BY CANDIDATE.  (a)  For purposes of Section 253.168, an

31-14    expenditure by a specific-purpose committee for the purpose of

31-15    supporting a candidate, opposing the candidate's opponent, or

31-16    assisting the candidate as an officeholder is considered to be an

31-17    expenditure by the principal political committee of the candidate

31-18    unless the candidate, in an affidavit filed with the authority with

31-19    whom the candidate's principal political committee is required to

31-20    file its campaign treasurer appointment [is required to be filed],

31-21    states that the candidate's campaign, including the candidate, an

31-22    aide to the candidate, a campaign officer, or a campaign consultant

31-23    of the candidate, has not directly or indirectly communicated with

31-24    the committee in regard to a strategic matter, including polling

31-25    data, advertising, or voter demographics, in connection with the

 32-1    candidate's campaign.

 32-2          (b)  This section applies only to an expenditure of which the

 32-3    principal campaign committee of the candidate or officeholder has

 32-4    notice.

 32-5          (c)  An affidavit under this section shall be filed with the

 32-6    next report the principal political committee of the candidate or

 32-7    officeholder is required to file under Chapter 254 following the

 32-8    receipt of notice of the expenditure.

 32-9          SECTION 34.  Sections 253.170(a) and (b), Election Code, are

32-10    amended to read as follows:

32-11          (a)  A complying candidate for an office other than a

32-12    statewide judicial office and the candidate's principal political

32-13    committee are [or a specific-purpose committee for supporting such

32-14    a candidate is] not required to comply with the limits on

32-15    contributions, expenditures, and the reimbursement of personal

32-16    funds prescribed by this subchapter if a person other than the

32-17    candidate's opponent or the principal political committee of the

32-18    state executive committee or a county executive committee of a

32-19    political party makes political expenditures that in the aggregate

32-20    exceed $5,000 for the purpose of supporting the candidate's

32-21    opponent, opposing the candidate, or assisting the candidate's

32-22    opponent as an officeholder.

32-23          (b)  A complying candidate for a statewide judicial office

32-24    and the candidate's principal political committee are [or a

32-25    specific-purpose committee for supporting such a candidate is] not

 33-1    required to comply with the limits on contributions, expenditures,

 33-2    and the reimbursement of personal funds prescribed by this

 33-3    subchapter if a person other than the principal political committee

 33-4    of the candidate's opponent or the principal political committee of

 33-5    the state executive committee or a county executive committee of a

 33-6    political party makes political expenditures that in the aggregate

 33-7    exceed $25,000 for the purpose of supporting the candidate's

 33-8    opponent, opposing the candidate, or assisting the candidate's

 33-9    opponent as an officeholder.

33-10          SECTION 35.  Section 253.171(a), Election Code, is amended to

33-11    read as follows:

33-12          (a)  Except as provided by Subsection (b), a political

33-13    contribution to the principal political committee of a complying

33-14    candidate or a direct campaign expenditure on behalf of a complying

33-15    candidate that is made by the principal political committee of the

33-16    state executive committee or a county executive committee of a

33-17    political party is considered to be a political expenditure by the

33-18    principal political committee of the candidate for purposes of the

33-19    expenditure limits prescribed by Section 253.168.

33-20          SECTION 36.  Section 253.172(a), Election Code, is amended to

33-21    read as follows:

33-22          (a)  The principal political committee of a [A] candidate who

33-23    files a declaration of compliance under Section 253.164(a)(1) and

33-24    who later files a declaration of intent to exceed the limits on

33-25    expenditures under Section 253.164(a)(2) or a specific-purpose

 34-1    committee for supporting such a candidate may not make a political

 34-2    expenditure that causes the person to exceed the applicable limit

 34-3    on expenditures prescribed by Section 253.168 before the 60th day

 34-4    after the date the candidate files the declaration of intent to

 34-5    exceed the limits on expenditures.

 34-6          SECTION 37.  The heading to Subchapter A, Chapter 254,

 34-7    Election Code, is amended to read as follows:

 34-8             SUBCHAPTER A.  RECORD KEEPING; GENERAL PROVISIONS

 34-9          SECTION 38.  Section 254.001, Election Code, is amended to

34-10    read as follows:

34-11          Sec. 254.001.  RECORD KEEPING REQUIRED.  (a)  [Each candidate

34-12    and each officeholder shall maintain a record of all reportable

34-13    activity.]

34-14          [(b)]  Each campaign treasurer of a political committee shall

34-15    maintain a record of all reportable activity.

34-16          (b) [(c)]  The record must contain the information that is

34-17    necessary for filing the reports required by this chapter.

34-18          (c) [(d)]  A person required to maintain a record under this

34-19    section shall preserve the record for at least two years beginning

34-20    on the filing deadline for the report containing the information in

34-21    the record.

34-22          (d) [(e)]  A person who violates this section commits an

34-23    offense.  An offense under this section is a Class B misdemeanor.

34-24          SECTION 39.  Subchapter A, Chapter 254, Election Code, is

34-25    amended by adding Section 254.002 to read as  follows:

 35-1          Sec. 254.002.  SUBSTANTIAL INTEREST IN BUSINESS ENTITY.  (a)

 35-2    In this chapter, "business entity" means any entity recognized by

 35-3    law through which business for profit is conducted, including a

 35-4    sole proprietorship, partnership, firm, corporation, holding

 35-5    company, joint stock company, receivership, or trust.

 35-6          (b)  For purposes of this chapter, a person has a substantial

 35-7    interest in a business entity if the person:

 35-8                (1)  has a controlling interest in the business entity;

 35-9                (2)  owns more than 10 percent of the voting interest

35-10    in the business entity;

35-11                (3)  owns more than $25,000 of the fair market value of

35-12    the business entity;

35-13                (4)  has a direct or indirect participating interest by

35-14    shares, stock, or otherwise, regardless of whether voting rights

35-15    are included, in more than 10 percent of the profits, proceeds, or

35-16    capital gains of the business entity;

35-17                (5)  is a member of the board of directors or other

35-18    governing board of the business entity; or

35-19                (6)  serves as an elected officer of the business

35-20    entity.

35-21          SECTION 40.  Section 254.031(a), Election Code, is amended to

35-22    read as follows:

35-23          (a)  Except as otherwise provided by this chapter, each

35-24    report filed under this chapter must include:

35-25                (1)  the amount of political contributions from each

 36-1    person that in the aggregate exceed $100 [$50] and that are

 36-2    accepted during the reporting period by the [person or] committee

 36-3    required to file a report under this chapter, the full name, [and]

 36-4    address, and principal occupation of the person making the

 36-5    contributions, and the dates of the contributions;

 36-6                (2)  the amount of loans that are made during the

 36-7    reporting period for campaign or officeholder purposes to the

 36-8    [person or] committee required to file the report and that in the

 36-9    aggregate exceed $100 [$50], the dates the loans are made, the

36-10    interest rate, the maturity date, the type of collateral for the

36-11    loans, if any, the full name and address of the person or financial

36-12    institution making the loans, the full name and address, principal

36-13    occupation, and name of the employer of each guarantor of the

36-14    loans, the amount of the loans guaranteed by each guarantor, and

36-15    the aggregate principal amount of all outstanding loans as of the

36-16    last day of the reporting period;

36-17                (3)  the amount of political expenditures that in the

36-18    aggregate exceed $100 [$50] and that are made during the reporting

36-19    period, the full name and address of the persons to whom the

36-20    expenditures are made, and the dates and purposes of the

36-21    expenditures;

36-22                (4)  the amount of each payment made during the

36-23    reporting period from a political contribution if the payment is

36-24    not a political expenditure, the full name and address of the

36-25    person to whom the payment is made, and the date and purpose of the

 37-1    payment;

 37-2                (5)  the total amount or a specific listing of the

 37-3    political contributions of $100 [$50] or less accepted and the

 37-4    total amount or a specific listing of the political expenditures of

 37-5    $100 [$50] or less made during the reporting period;

 37-6                (6)  the total amount of all political contributions

 37-7    accepted and the total amount of all political expenditures made

 37-8    during the reporting period; [and]

 37-9                (7)  the name of each candidate or officeholder who

37-10    benefits from a direct campaign expenditure made during the

37-11    reporting period by the person or committee required to file the

37-12    report, and the office sought or held, excluding a direct campaign

37-13    expenditure that is made by the principal political committee of a

37-14    political party on behalf of a slate of two or more nominees of

37-15    that party; and

37-16                (8)  as of the last day of the reporting period, the

37-17    difference between:

37-18                      (A)  the sum of all money in accounts maintained

37-19    at financial institutions by the committee required to file the

37-20    report, the amount of political contributions received by the

37-21    committee but not deposited in an account, and cash on hand; and

37-22                      (B)  each outstanding check or other withdrawal

37-23    against an account at a financial institution.

37-24          SECTION 41.  Subchapter B, Chapter 254, Election Code, is

37-25    amended by adding Sections 254.0312 and 254.0313 to read as

 38-1    follows:

 38-2          Sec. 254.0312.  REPORTING BY OUT-OF-STATE POLITICAL

 38-3    COMMITTEE.  Instead of the information required by Sections

 38-4    254.031(a)(3), (5), and (6), each report filed under this chapter

 38-5    by an out-of-state political committee must include:

 38-6                (1)  the amount of political expenditures in connection

 38-7    with elections in this state that in the aggregate exceed $100 and

 38-8    that are made during the reporting period, the full name and

 38-9    address of the persons to whom the expenditures are made, and the

38-10    dates and purposes of the expenditures;

38-11                (2)  the total amount or a specific listing of the

38-12    political contributions of $100 or less accepted and the total

38-13    amount or a specific listing of the political expenditures in

38-14    connection with elections in this state of $100 or less made during

38-15    the reporting period; and

38-16                (3)  the total amount of all political contributions

38-17    accepted and the total amount of all political expenditures in

38-18    connection with elections in this state made during the reporting

38-19    period.

38-20          Sec. 254.0313.  USE OF FICTITIOUS CONTRIBUTORS.  (a)

38-21    Notwithstanding any other provision of this chapter and as provided

38-22    by this section, a political committee may report political

38-23    contributions as received from fictitious contributors to permit

38-24    the committee to determine whether information regarding the

38-25    committee's contributors is being used in violation of Section

 39-1    254.0401.

 39-2          (b)  A political committee may, on each report filed, list

 39-3    not more than 10 fictitious names that do  not represent the names

 39-4    of actual contributors to the committee.

 39-5          (c)  A political committee that uses fictitious names shall

 39-6    subtract the total dollar amount of the fictitious contributions

 39-7    from the total amount of contributions listed under Section

 39-8    254.031(a)(5) or 254.0312(3), as applicable.

 39-9          (d)  The principal political committee of a candidate or

39-10    officeholder or a specific-purpose committee may not attribute more

39-11    than $1,000 in contributions to the same fictitious contributor in

39-12    any calendar year. A general-purpose committee may not attribute

39-13    more than $5,000 in contributions to the same fictitious

39-14    contributor in any calendar year.

39-15          (e)  A political committee that uses fictitious contributors

39-16    shall send a list of the fictitious contributors under separate

39-17    cover directly to the authority with whom the committee's campaign

39-18    treasurer appointment is required to be filed, on or before the

39-19    date any report containing those fictitious contributors is filed.

39-20    The authority shall maintain the list but shall exclude it from the

39-21    public record. A list submitted under this section is excepted from

39-22    the requirements of Section 552.021, Government Code.

39-23          (f)  A political committee may not use fictitious

39-24    contributors to circumvent a reporting requirement or a limitation

39-25    or prohibition prescribed by this title.

 40-1          SECTION 42.  Sections 254.034(a) and (d), Election Code, are

 40-2    amended to read as follows:

 40-3          (a)  A determination to accept or refuse a political

 40-4    contribution that is received by a [candidate, officeholder, or]

 40-5    political committee shall be made not later than the end of the

 40-6    reporting period during which the contribution is received.

 40-7          (d)  A person [candidate, officeholder, or political

 40-8    committee] commits an offense if the person knowingly fails to

 40-9    return a political contribution as required by Subsection (c).

40-10          SECTION 43.  Section 254.036, Election Code, is amended to

40-11    read as follows:

40-12          Sec. 254.036.  FORM OF REPORT; AFFIDAVIT; MAILING OF FORMS.

40-13    (a)  Each report filed under this chapter with an authority other

40-14    than the commission must be on a form prescribed by the commission

40-15    and must be written in black ink or typed with black typewriter

40-16    ribbon unless the report is a computer printout.  If the report is

40-17    a computer printout, the printout must conform to the same format

40-18    and paper size as the form prescribed by the commission.  A report

40-19    filed in compliance with this subsection must be:

40-20                (1)  hand-delivered to the authority with whom it is

40-21    required to be filed; or

40-22                (2)  mailed from and postmarked in:

40-23                      (A)  if the person filing the report is the

40-24    principal political committee of a candidate or officeholder, the

40-25    municipality in which the candidate or officeholder resides or the

 41-1    municipality in which the office the candidate or officeholder

 41-2    seeks or holds is located; or

 41-3                      (B)  if the person filing the report is a

 41-4    specific-purpose committee for supporting or opposing two or more

 41-5    candidates or assisting two or more officeholders, the municipality

 41-6    in which each candidate or officeholder resides, the municipality

 41-7    in which the office each candidate or officeholder seeks or holds

 41-8    is located, or the municipality in which the committee's campaign

 41-9    treasurer resides.

41-10          (b)  Except as provided by Subsection (c), (e), or (f) each

41-11    report filed with the commission under this chapter must be filed

41-12    by direct electronic transfer to the commission, using computer

41-13    software provided by the commission.

41-14          (c)  A political committee that is required to file reports

41-15    with the commission under this chapter may file reports that comply

41-16    with Subsection (a) if the committee does not intend to accept

41-17    political contributions that in the aggregate exceed $15,000 or to

41-18    make political expenditures that in the aggregate exceed $15,000 in

41-19    connection with each election in which the committee is involved.

41-20    The amount of a filing fee paid by a candidate is excluded from the

41-21    $15,000 maximum expenditure permitted under this subsection.  A

41-22    political committee shall file reports as required by Subsection

41-23    (b) if:

41-24                (1)  the committee exceeds $15,000 in political

41-25    contributions or political expenditures in connection with an

 42-1    election; or

 42-2                (2)  the committee assists an officeholder and exceeds

 42-3    $15,000 in political contributions or political expenditures during

 42-4    the period beginning on the 120th day after the date of the most

 42-5    recent election in which the officeholder was a candidate and

 42-6    ending on the 210th day before the date an application for a place

 42-7    on the ballot or for nomination by convention for the office held

 42-8    is required to be filed.

 42-9          (d)  To be entitled to file reports under Subsection (c), a

42-10    political committee must file with the campaign treasurer

42-11    appointment a written declaration of intent not to exceed $15,000

42-12    in political contributions or political expenditures in connection

42-13    with each election in which the committee is involved.  The

42-14    declaration of intent must contain a statement that the political

42-15    committee understands that if the $15,000 maximum for political

42-16    contributions or political expenditures is exceeded, the committee

42-17    is required to file reports under Subsection (b).

42-18          (e)  The principal political committee of a candidate for an

42-19    office described by Section 252.005(5) or a specific-purpose

42-20    committee for supporting or opposing only candidates for an office

42-21    described by Section 252.005(5) or a measure described by Section

42-22    252.007(5) may file reports that comply with Subsection (a).

42-23          (f)  An individual required to file a report with the

42-24    commission in connection with a direct campaign expenditure to

42-25    which Section 253.062 applies may file a report that complies with

 43-1    Subsection (a).

 43-2          (g)  Each report filed under this chapter must be accompanied

 43-3    by an affidavit executed by the person required to file the report.

 43-4    The affidavit must contain the statement:  "I swear, or affirm,

 43-5    under penalty of perjury, that the accompanying report is true and

 43-6    correct and includes all information required to be reported by me

 43-7    under Title 15, Election Code."  A report filed under this chapter

 43-8    is considered to be under oath by the person required to file the

 43-9    report, and the person is subject to prosecution under Chapter 37,

43-10    Penal Code, regardless of the absence of or a defect in the

43-11    affidavit.

43-12          (h) [(c)]  As part of the notification required by Section

43-13    251.033, the commission shall mail the appropriate forms to each

43-14    person required to file a report with the commission during that

43-15    reporting period.

43-16          (i) [(d)]  The commission shall prescribe forms for purposes

43-17    of legislative caucus reports under Section 254.0311 that are

43-18    separate and distinct from forms for other reports under this

43-19    chapter.

43-20          (j) [(e)  A report filed under this chapter is considered to

43-21    be under oath by the person required to file the report regardless

43-22    of the absence of or defect in the affidavit of verification,

43-23    including a signature.]

43-24          [(f)  A person required to file a report under this chapter

43-25    is subject to prosecution under Chapter 37, Penal Code, regardless

 44-1    of the absence of or defect in the affidavit of verification.]

 44-2          [(g)]  This section applies to a report that is filed

 44-3    electronically or otherwise.

 44-4          SECTION 44.  Section 254.038, Election Code, is amended to

 44-5    read as follows:

 44-6          Sec. 254.038.  ADDITIONAL REPORTS [TELEGRAM REPORT] BY

 44-7    CERTAIN [CANDIDATES AND] POLITICAL COMMITTEES.  (a)  In addition to

 44-8    other reports required by this chapter, the following persons shall

 44-9    file additional reports during the period beginning the ninth day

44-10    before election day and ending at 12 noon on the second day before

44-11    election day:

44-12                (1)  the principal political committee of a candidate

44-13    for statewide office who has an opponent whose name is to appear on

44-14    the ballot and who accepts political contributions from a person

44-15    that in the aggregate exceed $1,000 during that reporting period;

44-16                (2)  the principal political committee of a candidate

44-17    for state senator who has an opponent whose name is to appear on

44-18    the ballot and who accepts political contributions from a person

44-19    that in the aggregate exceed $1,000 during that reporting period;

44-20                (3)  the principal political committee of [(2)]  a

44-21    candidate for state representative who has an opponent whose name

44-22    is to appear on the ballot and who accepts political contributions

44-23    from a person that in the aggregate exceed $200 during that

44-24    reporting period;

44-25                (4)  a general-purpose committee that:

 45-1                      (A)  accepts political contributions from a

 45-2    person that in the aggregate exceed $1,000 during that reporting

 45-3    period; or

 45-4                      (B)  makes direct campaign expenditures

 45-5    supporting or opposing either a single candidate that in the

 45-6    aggregate exceed $1,000 or a group of candidates that in the

 45-7    aggregate exceed $15,000 during that reporting period; and

 45-8                (5)  a principal political committee of a candidate or

 45-9    officeholder or a specific-purpose committee that is required to

45-10    file reports with the commission under this chapter and that

45-11    accepts political contributions that in the aggregate exceed $1,000

45-12    during that reporting period, other than:

45-13                      (A)  a principal political committee listed in

45-14    Subdivisions (1)-(4);

45-15                      (B)  a principal political committee required to

45-16    file reports with the commission in connection with an office

45-17    described by Section 252.005(5); or

45-18                      (C)  a specific-purpose committee required to

45-19    file reports with the commission in connection with a measure

45-20    described by Section 252.007(5) [(3)  a specific-purpose committee

45-21    for supporting or opposing a candidate for state senator and that

45-22    accepts political contributions from a person that in the aggregate

45-23    exceed $1,000 during that reporting period; and]

45-24                [(4)  a specific-purpose committee for supporting or

45-25    opposing a candidate for state representative and that accepts

 46-1    political contributions from a person that in the aggregate exceed

 46-2    $200 during that reporting period].

 46-3          (b)  Each report required by this section must include the

 46-4    amount of the political contributions specified by Subsection (a),

 46-5    the full name and address of the person making the contributions,

 46-6    and the dates of the contributions.

 46-7          (c)  A report under this section shall be filed

 46-8    electronically or, if the person filing the report is permitted to

 46-9    file reports that comply with Section 254.036(a), by telegram or

46-10    telephonic facsimile machine or by hand with the commission not

46-11    later than 48 hours after the contribution is accepted.

46-12          [(d)  Section 254.036 does not apply to a report required by

46-13    this section.]

46-14          SECTION 45.  Subchapter B, Chapter 254, Election Code, is

46-15    amended by adding Section 254.0381 to read as follows:

46-16          Sec. 254.0381.  ADDITIONAL REPORT OF CERTAIN CONTRIBUTIONS.

46-17    (a)  In addition to other reports required by this chapter, a

46-18    political committee that accepts a political contribution of $5,000

46-19    or more shall file a report not later than 24 hours after the

46-20    contribution is accepted.

46-21          (b)  Each report required by this section must include the

46-22    amount of the political contribution, the full name, physical

46-23    residence or business address, and principal occupation of the

46-24    person making the contribution, and the date of the contribution.

46-25          (c)  A report under this section shall be filed

 47-1    electronically or, if the political committee filing the report is

 47-2    permitted to file reports that comply with Section 254.036(a), by

 47-3    telegram or telephonic facsimile machine or by hand.

 47-4          SECTION 46.  Section 254.0391(a), Election Code, is amended

 47-5    to read as follows:

 47-6          (a)  The principal political committee of a [A] statewide

 47-7    officeholder, a member of the legislature, [or a specific-purpose

 47-8    committee for supporting, opposing, or assisting a statewide

 47-9    officeholder or member of the legislature,] or a candidate for

47-10    statewide office or the legislature or a specific-purpose committee

47-11    for supporting or opposing two or more candidates for statewide

47-12    office or the legislature or for assisting two or more statewide

47-13    officeholders or members of the legislature [the candidate,] that

47-14    accepts a political contribution during the period beginning on the

47-15    date the governor signs the proclamation calling a special

47-16    legislative session and continuing through the date of final

47-17    adjournment shall report the contribution to the commission not

47-18    later than the 30th day after the date of final adjournment.

47-19          SECTION 47.  Section 254.041(c), Election Code, is amended to

47-20    read as follows:

47-21          (c)  A violation of Subsection (a)(2) by the principal

47-22    political committee of a candidate or officeholder is a Class A

47-23    misdemeanor if the report fails to include information required by

47-24    Section 254.061(3) [or Section 254.091(2), as applicable].

47-25          SECTION 48.  Section 254.042(a), Election Code, is amended to

 48-1    read as follows:

 48-2          (a)  The commission shall determine from any available

 48-3    evidence whether a report, other than a [telegram] report under

 48-4    Section 254.038 [or 254.039], required to be filed with the

 48-5    commission under this  chapter is late.  On making that

 48-6    determination, the commission shall immediately mail a notice of

 48-7    the determination to the person required to file the report.

 48-8          SECTION 49.  Subchapter C, Chapter 254, Election Code, is

 48-9    amended to read as follows:

48-10       SUBCHAPTER C.  REPORTING BY PRINCIPAL POLITICAL COMMITTEE OF

48-11                         CANDIDATE OR OFFICEHOLDER

48-12          Sec. 254.061.  ADDITIONAL CONTENTS OF REPORTS.  In addition

48-13    to the contents required by Section 254.031, each report by the

48-14    principal political committee of a candidate or officeholder must

48-15    include:

48-16                (1)  the candidate's or officeholder's full name and

48-17    address, the office sought or held, and the identity and date of

48-18    the election for which the report is filed, if applicable;

48-19                (2)  the campaign treasurer's name, residence or

48-20    business street address, and telephone number;

48-21                (3)  for each political committee from which the

48-22    candidate or officeholder received notice under Section 254.128 or

48-23    254.161:

48-24                      (A)  the committee's full name and address;

48-25                      (B)  an indication of whether the committee is a

 49-1    general-purpose committee or a specific-purpose committee; and

 49-2                      (C)  the full name and address of the committee's

 49-3    campaign treasurer;

 49-4                (4)  the full name and address of each individual

 49-5    acting as a campaign treasurer of a political committee under

 49-6    Section 253.062 from whom the principal political committee

 49-7    [candidate] received notice under Section 254.128 or 254.161; [and]

 49-8                (5)  on a separate page or pages of the report, the

 49-9    identification of any payment from political contributions made to

49-10    a business in which the candidate or officeholder has a

49-11    participating interest of more than 10 percent, holds a position on

49-12    the governing body of the business, or serves as an officer of the

49-13    business; and

49-14                (6)  on a separate page or pages of the report, the

49-15    identification and amount of any executory contract between a

49-16    person making political contributions that in the aggregate exceed

49-17    $5000 and that are accepted during the reporting period by the

49-18    principal political committee, or between a business entity in

49-19    which a person described by this subdivision has a substantial

49-20    interest, and:

49-21                      (A)  a state agency, if the candidate or

49-22    officeholder is a candidate for or holder of a statewide or

49-23    district office other than an office of district judge, district

49-24    attorney, or criminal district attorney;

49-25                      (B)  a state agency or the county in which the

 50-1    candidate or officeholder will serve or serves, if the candidate or

 50-2    officeholder is a candidate for or holder of an office of district

 50-3    judge, district attorney, or criminal district attorney; or

 50-4                      (C)  the political subdivision served by the

 50-5    office sought or held by the candidate or officeholder, if the

 50-6    candidate or officeholder seeks or holds an office other than an

 50-7    office described by Paragraph (A) or (B).

 50-8          Sec. 254.0611.  ADDITIONAL CONTENTS OF REPORTS BY PRINCIPAL

 50-9    POLITICAL COMMITTEE OF CERTAIN JUDICIAL CANDIDATES AND

50-10    OFFICEHOLDERS.  (a)  In addition to the contents required by

50-11    Sections 254.031 and 254.061, each report by the principal

50-12    political committee of a candidate for or holder of a judicial

50-13    office covered by Subchapter F, Chapter 253, must include:

50-14                (1)  the total amount of political contributions,

50-15    including interest or other income, maintained in one or more

50-16    accounts in which political contributions are deposited as of the

50-17    last day of the reporting period;

50-18                (2)  for each individual from whom the principal

50-19    political committee [person] filing the report has accepted

50-20    political contributions that in the aggregate exceed $100 and that

50-21    are accepted during the reporting period:

50-22                      (A)  the principal occupation and job title of

50-23    the individual and the full name of the employer of the individual

50-24    or of the law firm of which the individual or the individual's

50-25    spouse is a member, if any; or

 51-1                      (B)  if the individual is a child, the full name

 51-2    of the law firm of which either of the individual's parents is a

 51-3    member, if any;

 51-4                (3)  a specific listing of each asset valued at $500 or

 51-5    more that was purchased with political contributions and on hand as

 51-6    of the last day of the reporting period;

 51-7                (4)  for each political contribution accepted by the

 51-8    principal political committee [person] filing the report but not

 51-9    received as of the last day of the reporting period:

51-10                      (A)  the full name and address of the person

51-11    making the contribution;

51-12                      (B)  the amount of the contribution; and

51-13                      (C)  the date of the contribution; and

51-14                (5)  for each outstanding loan to the principal

51-15    political committee [person] filing the report as of the last day

51-16    of the reporting period:

51-17                      (A)  the full name and address of the person or

51-18    financial institution making the loan; and

51-19                      (B)  the full name and address of each guarantor

51-20    of the loan other than the candidate or officeholder.

51-21          (b)  In this section:

51-22                (1)  "Child" has the meaning assigned by Section

51-23    253.158.

51-24                (2)  "Law firm" and "member" have the meanings assigned

51-25    by Section 253.157.

 52-1          Sec. 254.062.  [CERTAIN OFFICEHOLDER ACTIVITY INCLUDED.  If

 52-2    an officeholder who becomes a candidate has reportable activity

 52-3    that is not reported under Subchapter D before the end of the

 52-4    period covered by the first report the candidate is required to

 52-5    file under this subchapter, the reportable activity shall be

 52-6    included in the first report filed under this subchapter instead of

 52-7    in a report filed under Subchapter D.]

 52-8          [Sec. 254.063.]  SEMIANNUAL REPORTING SCHEDULE FOR PRINCIPAL

 52-9    POLITICAL COMMITTEE [CANDIDATE].  (a)  The principal political

52-10    committee of a [A] candidate or officeholder shall file two reports

52-11    for each year as provided by this section.

52-12          (b)  The first report shall be filed not later than July 15.

52-13    The report covers the period beginning January 1, the day the

52-14    principal political committee's [candidate's] campaign treasurer

52-15    appointment is filed, or the first day after the period covered by

52-16    the last report required to be filed under this subchapter, as

52-17    applicable, and continuing through June 30.

52-18          (c)  The second report shall be filed not later than January

52-19    15.  The report covers the period beginning July 1, the day the

52-20    principal political committee's [candidate's] campaign treasurer

52-21    appointment is filed, or the first day after the period covered by

52-22    the last report required to be filed under this subchapter, as

52-23    applicable, and continuing through December 31.

52-24          Sec. 254.063 [254.064].  ADDITIONAL REPORTS OF PRINCIPAL

52-25    POLITICAL COMMITTEE OF OPPOSED CANDIDATE.  (a)  In addition to

 53-1    other  required reports, for each election in which a person is a

 53-2    candidate and has an opponent whose name is to appear on the

 53-3    ballot, the person's principal political committee [person] shall

 53-4    file two reports.

 53-5          (b)  The first report shall be filed not later than the 30th

 53-6    day before election day.  The report covers the period beginning

 53-7    the day the principal political committee's [candidate's] campaign

 53-8    treasurer appointment is filed or the first day after the period

 53-9    covered by the last report required to be filed under this chapter,

53-10    as applicable, and continuing through the 40th day before election

53-11    day.

53-12          (c)  The second report shall be filed not later than the

53-13    eighth day before election day.  The report covers the period

53-14    beginning the 39th day before election day and continuing through

53-15    the 10th day before election day.

53-16          (d)  If a person becomes an opposed candidate after a

53-17    reporting period prescribed by Subsection (b) or (c), the person's

53-18    principal political committee [person] shall file the committee's

53-19    [person's] first report not later than the regular deadline for the

53-20    report covering the period during which the person becomes an

53-21    opposed candidate.  The period covered by the first report begins

53-22    the day the committee's [candidate's] campaign treasurer

53-23    appointment is filed.

53-24          (e)  In addition to other required reports, the principal

53-25    political committee of an opposed candidate in a runoff election

 54-1    shall file one report for that election.  The runoff election

 54-2    report shall be filed not later than the eighth day before runoff

 54-3    election day.  The report covers the period beginning the ninth day

 54-4    before the date of the main election and continuing through the

 54-5    10th day before runoff election day.

 54-6          Sec. 254.064 [254.065].  FINAL REPORT.  (a)  If the principal

 54-7    political committee of a candidate or officeholder expects no

 54-8    reportable activity in connection with the candidacy or office to

 54-9    occur after the period covered by a report filed under this

54-10    subchapter, the committee [candidate] may designate the report as a

54-11    "final" report.

54-12          (b)  The designation of a report as a final report:

54-13                (1)  relieves the principal political committee

54-14    [candidate] of the duty to file additional reports under this

54-15    subchapter, except as provided by Subsection (c); and

54-16                (2)  terminates the principal political committee's

54-17    [candidate's] campaign treasurer appointment.

54-18          (c)  If, after a principal political committee's

54-19    [candidate's] final report is filed, reportable activity with

54-20    respect to the candidacy or office occurs, the principal political

54-21    committee [candidate] shall file the appropriate reports under this

54-22    subchapter and is otherwise subject to the provisions of this title

54-23    applicable to principal political committees of candidates and

54-24    officeholders.  A report filed under this subsection may be

54-25    designated as a final report.

 55-1          Sec. 254.065 [254.066].  AUTHORITY WITH WHOM REPORTS FILED.

 55-2    Reports under this subchapter shall be filed with the authority

 55-3    with whom the principal political committee's [candidate's]

 55-4    campaign treasurer appointment is required to be filed.

 55-5          SECTION 50.  Section 254.121, Election Code, is amended to

 55-6    read as follows:

 55-7          Sec. 254.121.  ADDITIONAL CONTENTS OF REPORTS.  In addition

 55-8    to the contents required by Section 254.031,  each report by a

 55-9    campaign treasurer of a specific-purpose committee must include:

55-10                (1)  the committee's full name and address;

55-11                (2)  the full name, residence or business street

55-12    address, and telephone number of the committee's campaign

55-13    treasurer;

55-14                (3)  the identity and date of the election for which

55-15    the report is filed, if applicable;

55-16                (4)  the name of each candidate and each measure

55-17    supported or opposed by the committee, indicating for each whether

55-18    the committee supports or opposes;

55-19                (5)  the name of each officeholder assisted by the

55-20    committee;

55-21                (6)  the amount of each political expenditure in the

55-22    form of a political contribution that is made to [a candidate,

55-23    officeholder, or] another political committee and that is returned

55-24    to the committee during the reporting period, the name of the

55-25    committee [person] to whom the expenditure was originally made, and

 56-1    the date it is returned;

 56-2                (7)  on a separate page or pages of the report, the

 56-3    identification of any payment from political contributions made to

 56-4    a business in which a [the] candidate or officeholder supported or

 56-5    assisted by the committee has a participating interest of more than

 56-6    10 percent, holds a position on the governing body of the business,

 56-7    or serves as an officer of the business; [and]

 56-8                (8)  on a separate page or pages of the report, the

 56-9    identification of any contribution from a corporation or labor

56-10    organization made and accepted under Subchapter D, Chapter 253; and

56-11                (9)  on a separate page or pages of the report, the

56-12    identification and amount of any executory contract between a

56-13    person making political contributions that in the aggregate exceed

56-14    $5000 and that are accepted during the reporting period by the

56-15    committee, or between a business entity in which a person described

56-16    by this subdivision has a substantial interest, and:

56-17                      (A)  a state agency, if the committee supports or

56-18    assists a candidate for or holder of a statewide or district office

56-19    other than an office of district judge, district attorney, or

56-20    criminal district attorney;

56-21                      (B)  a state agency or the county in which the

56-22    officeholder serves, if the committee supports or assists a

56-23    candidate for or holder of an office of district judge, district

56-24    attorney, or criminal district attorney; or

56-25                      (C)  the political subdivision served by the

 57-1    office sought by the candidate or held by the officeholder, if the

 57-2    committee supports or assists a candidate for or holder of an

 57-3    office other than an office described by Paragraph (A) or (B).

 57-4          SECTION 51.  Section 254.126(a), Election Code, is amended to

 57-5    read as follows:

 57-6          (a)  If a specific-purpose committee for assisting only

 57-7    officeholders [an officeholder] expects no reportable activity to

 57-8    occur after the period covered by a report filed under this

 57-9    subchapter, the committee's campaign treasurer may designate the

57-10    report as a "dissolution" report.

57-11          SECTION 52.  Section 254.128(a), Election Code, is amended to

57-12    read as follows:

57-13          (a)  If a specific-purpose committee accepts political

57-14    contributions or makes political expenditures for a candidate or

57-15    officeholder, the committee's campaign treasurer shall deliver

57-16    written notice of that fact to the principal political committee of

57-17    the affected candidate or officeholder not later than the end of

57-18    the period covered by the report in which the reportable activity

57-19    occurs.

57-20          SECTION 53.  Section 254.151, Election Code, is amended to

57-21    read as follows:

57-22          Sec. 254.151.  ADDITIONAL CONTENTS OF REPORTS.  In addition

57-23    to the contents required by Section 254.031, each report by a

57-24    campaign treasurer of a general-purpose committee must include:

57-25                (1)  the committee's full name and address;

 58-1                (2)  the full name, residence or business street

 58-2    address, and telephone number of the committee's campaign

 58-3    treasurer;

 58-4                (3)  the identity and date of the election for which

 58-5    the report is filed, if applicable;

 58-6                (4)  the name of each identified candidate or measure

 58-7    or classification by party of candidates supported or opposed by

 58-8    the committee, indicating whether the committee supports or opposes

 58-9    each listed candidate, measure, or classification by party of

58-10    candidates;

58-11                (5)  the name of each identified officeholder or

58-12    classification by party of officeholders assisted by the committee;

58-13                (6)  the principal occupation of each person from whom

58-14    political contributions that in the aggregate exceed $100 are

58-15    accepted during the reporting period;

58-16                (7)  the amount of each political expenditure in the

58-17    form of a political contribution made to [a candidate,

58-18    officeholder, or] another political committee that is returned to

58-19    the committee during the reporting period, the name of the

58-20    committee [person] to whom the expenditure was originally made, and

58-21    the date it is returned; and

58-22                (8)  the amount of political contributions from a

58-23    corporation or labor organization under Section 253.100 that in the

58-24    aggregate exceed $100 and that are accepted during the reporting

58-25    period by the committee, the full name and address of the

 59-1    corporation or labor organization making the contributions, and the

 59-2    dates of the contributions; and

 59-3                (9)  on a separate page or pages of the report, the

 59-4    identification of any political contribution from a corporation or

 59-5    labor organization made and accepted under Subchapter D, Chapter

 59-6    253 other than a  contribution reported under Subdivision (8).

 59-7          SECTION 54.  Subchapter F, Chapter 254, Election Code, is

 59-8    amended by adding Section 254.1511 to read as follows:

 59-9          Sec. 254.1511.  REPORTS BY PRINCIPAL POLITICAL COMMITTEE OF

59-10    POLITICAL PARTY; ADDITIONAL CONTENTS.  (a)  Each semiannual report

59-11    by the principal political committee of the state executive

59-12    committee of a political party must list the political

59-13    contributions and political expenditures made in connection with

59-14    each candidate or officeholder.

59-15          (b)  In addition to the contents required by Sections 254.031

59-16    and 254.151, each report by the principal political committee of

59-17    the state executive committee of a political party must include,

59-18    for each candidate or officeholder for whose benefit the principal

59-19    political committee makes a political contribution or political

59-20    expenditure in the calendar year:

59-21                (1)  the total amount of political contributions made

59-22    during the calendar year to the principal political committee of

59-23    the candidate or officeholder or to another political committee on

59-24    behalf of the candidate or officeholder; and

59-25                (2)  the total amount of political expenditures made

 60-1    during the calendar year for the benefit of the candidate or

 60-2    officeholder.

 60-3          SECTION 55.  Section 254.181(a), Election Code, is amended to

 60-4    read as follows:

 60-5          (a)  The principal political committee of an [An] opposed

 60-6    candidate or a specific-purpose committee required to file reports

 60-7    under Subchapter C or E  may file a report under this subchapter

 60-8    instead if the [candidate or] committee does not intend to accept

 60-9    political contributions that in the aggregate exceed $500 or to

60-10    make political expenditures that in the aggregate exceed $500 in

60-11    connection with the election.

60-12          SECTION 56.  Section 254.182, Election Code, is amended to

60-13    read as follows:

60-14          Sec. 254.182.  DECLARATION OF INTENT REQUIRED.  (a)  To be

60-15    entitled to file reports under this subchapter, the principal

60-16    political committee of an opposed candidate or a specific-purpose

60-17    committee must file with the campaign treasurer appointment a

60-18    written declaration of intent not to exceed $500 in political

60-19    contributions or political expenditures in the election.

60-20          (b)  The declaration of intent must contain a statement that

60-21    the [candidate or] committee understands that if the $500 maximum

60-22    for contributions and expenditures is exceeded, the [candidate or]

60-23    committee is required to file reports under Subchapter C or E, as

60-24    applicable.

60-25          SECTION 57.  Sections 254.183(a), (b), and (d), Election

 61-1    Code, are amended to read as follows:

 61-2          (a)  The principal political committee of an [An] opposed

 61-3    candidate or a specific-purpose committee that exceeds $500 in

 61-4    political contributions or political expenditures in the election

 61-5    shall file reports as required by Subchapter C or E, as applicable.

 61-6          (b)  If a [candidate or] committee exceeds the $500 maximum

 61-7    after the filing deadline prescribed by Subchapter C or E for the

 61-8    first report required to be filed under the appropriate subchapter,

 61-9    the [candidate or] committee shall file a report not later than 48

61-10    hours after the maximum is exceeded.

61-11          (d)  The reporting period for the next report filed by the

61-12    [candidate or] committee begins on the day after the last day of

61-13    the period covered by the report filed under Subsection (b).

61-14          SECTION 58.  Section 254.184, Election Code, is amended to

61-15    read as follows:

61-16          Sec. 254.184.  APPLICABILITY OF REGULAR REPORTING

61-17    REQUIREMENTS.  (a)  Subchapter C or E, as applicable, applies to

61-18    the principal political committee of an opposed candidate or a

61-19    specific-purpose committee filing under this subchapter to the

61-20    extent that the appropriate subchapter does not conflict with this

61-21    subchapter.

61-22          (b)  A [candidate or] committee filing under this subchapter

61-23    is not required to file any reports of political contributions and

61-24    political expenditures other than the semiannual reports required

61-25    to be filed not later than July 15 and January 15.

 62-1          SECTION 59.  Section 254.201, Election Code, is amended to

 62-2    read as follows:

 62-3          Sec. 254.201.  ANNUAL REPORT OF UNEXPENDED CONTRIBUTIONS.  A

 62-4    [(a)  This section applies to:]

 62-5                [(1)  a] former officeholder or a person who was an

 62-6    unsuccessful candidate who has unexpended political contributions

 62-7    after the person's principal political committee files [filing] the

 62-8    last report required to be filed by Subchapter C [D; or]

 62-9                [(2)  a person who was an unsuccessful candidate who

62-10    has unexpended political contributions after filing the last report

62-11    required to be filed by Subchapter C.]

62-12          [(b)  A person covered by this section] shall file an annual

62-13    report for each year in which the person retains unexpended

62-14    contributions.

62-15          SECTION 60.  Section 254.203(a), Election Code, is amended to

62-16    read as follows:

62-17          (a)  A person may not retain political contributions covered

62-18    by this title, assets purchased with the contributions, or interest

62-19    and other income earned on the contributions for more than six

62-20    years after the date the person either ceases to be an officeholder

62-21    or candidate or the person's principal political committee files a

62-22    final report under this chapter, whichever is later.

62-23          SECTION 61.  Sections 254.204(a) and (d), Election Code, are

62-24    amended to read as follows:

62-25          (a)  At the end of the six-year period prescribed by Section

 63-1    254.203, the former officeholder or candidate shall remit any

 63-2    unexpended political contributions to one or more of the following:

 63-3                (1)  the political party with which the person was

 63-4    affiliated when the person's name last appeared on a ballot;

 63-5                (2)  a [candidate or] political committee;

 63-6                (3)  the comptroller [of public accounts] for deposit

 63-7    in the state treasury [State Treasury];

 63-8                (4)  one or more persons from whom political

 63-9    contributions were received, in accordance with Subsection (d);

63-10                (5)  a recognized tax-exempt, charitable organization

63-11    formed for educational, religious, or scientific purposes; or

63-12                (6)  a public or private postsecondary educational

63-13    institution or an institution of higher education as defined by

63-14    Section 61.003(8), Education Code, solely for the purpose of

63-15    assisting or creating a scholarship program.

63-16          (d)  The amount of political contributions disposed of under

63-17    Subsection (a)(4) to one person may not exceed the aggregate amount

63-18    accepted from that person during the last two years that the

63-19    principal political committee of the candidate or officeholder

63-20    accepted contributions under this title.

63-21          SECTION 62.  Section 254.231(b), Election Code, is amended to

63-22    read as follows:

63-23          (b)  The principal political committee of each [Each]

63-24    opposing candidate whose name appears on the ballot is entitled to

63-25    recover damages under this section.

 64-1          SECTION 63.  The following provisions of the Election Code

 64-2    are repealed:

 64-3                (1)  Sections 251.005, 253.032, 253.036, 253.100(d) and

 64-4    254.039; and

 64-5                (2)  Subchapter D, Chapter 254.

 64-6          SECTION 64.  This Act takes effect September 1, 1999.

 64-7          SECTION 65.  (a)  Not later than September 15, 1999, each

 64-8    person who on September 1, 1999, is a candidate, as that term is

 64-9    defined in Section 251.001, Election Code, or an officeholder

64-10    covered by Title 15, Election Code, shall designate a principal

64-11    political committee as required by Section 251.010, Election Code,

64-12    as added by this Act.

64-13          (b)  Not later than the 15th day after the date a candidate

64-14    or officeholder designates a principal political committee as

64-15    required by Subsection (a) of this section, the person shall

64-16    transfer to the committee each asset that the person holds in the

64-17    person's capacity as a candidate or officeholder.

64-18          (c)  Not later than the 15th day after the date a candidate

64-19    or officeholder designates a principal political committee as

64-20    required by Subsection (a) of this section, the committee shall

64-21    assume each liability of the person in the person's capacity as a

64-22    candidate or officeholder.

64-23          SECTION 66.  (a)  Section 253.031, Election Code, as amended

64-24    by this Act, applies only to a political contribution accepted or

64-25    political expenditure made by an out-of-state political committee,

 65-1    as that term is defined in Section 251.001, Election Code, on or

 65-2    after September 1, 1999. A political contribution accepted or a

 65-3    political expenditure made by an out-of-state political committee

 65-4    before September 1, 1999, is governed by the law in effect at the

 65-5    time the contribution is accepted or expenditure is made, and the

 65-6    former law is continued in effect for that purpose.

 65-7          (b)  Subchapter D, Chapter 253 and Sections 254.031, 254.038,

 65-8    254.061, 254.121, and 254.151, Election Code, as amended by this

 65-9    Act, and Sections 254.0312, 254.0381, and 254.1511, Election Code,

65-10    as added by this Act, apply only to the reporting of a political

65-11    contribution accepted or political expenditure made on or after

65-12    September 1, 1999.  The reporting of a political contribution

65-13    accepted or a political expenditure made before that date is

65-14    governed by the law in effect at the time the contribution or

65-15    expenditure was accepted or made, and the former law is continued

65-16    in effect for that purpose.

65-17          (c)  Sections 253.042(b) and 253.162, Election Code, as

65-18    amended by this Act, apply only to repayment of a loan or extension

65-19    of credit that is made on or after September 1, 1999.  The

65-20    repayment of a loan or extension of credit that was made before

65-21    September 1, 1999, is governed by the law in effect on the date the

65-22    loan or extension of credit was made, and the former law is

65-23    continued in effect for that purpose.

65-24          SECTION 67.  To the extent of any conflict, this Act prevails

65-25    over another Act of the 76th Legislature, Regular Session, 1999,

 66-1    relating to nonsubstantive additions and corrections in enacted

 66-2    codes.

 66-3          SECTION 68.  The importance of this legislation and the

 66-4    crowded condition of the calendars in both houses create an

 66-5    emergency and an imperative public necessity that the

 66-6    constitutional rule requiring bills to be read on three several

 66-7    days in each house be suspended, and this rule is hereby suspended.