GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1997

H	1 

HOUSE BILL 3

Short Title:  Full Disclosure Act.	(Public)

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Sponsors: Representatives C. Wilson; Black, Cansler, Church, Hardy, Hill, Hurley, Morris, Mosley, Rayfield, Russell, Shubert, and G. Wilson.

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Referred to:  Election Law and Campaign Reform.

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January 30, 1997

A BILL TO BE ENTITLED
AN ACT TO IMPROVE THE PUBLIC RIGHT TO KNOW ABOUT CAMPAIGNS.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 163-278.9(a) reads as rewritten:
"(a)	The treasurer of each candidate and of each political committee shall file under verification with the Board the following reports:
(1)	Organizational Report. – The appointment of the treasurer as required by G.S. 163-278.7(a), the statement of organization required by G.S. 163-278.7(b), and a report of all contributions and expenditures not previously reported shall be filed with the Board no later than the tenth day following the day the candidate files his notice of candidacy or the tenth day following the organization of the political committee, whichever occurs first. Any candidate whose campaign is being conducted by a political committee which is handling all contributions and expenditures for his campaign shall file a statement with the Board stating such fact at the time required herein for the organizational report. Thereafter, the candidate's political committee shall be responsible for filing all reports required by law.
				(5a)	Quarterly Reports. – During even-numbered years during which there is an election for that candidate or in which the campaign committee is supporting a candidate, the treasurer shall file a report with the Board not later than seven days after the end of each calendar quarter, covering the prior calendar quarter, except that the report for the third quarter shall also cover the period in October through the seventeenth day before the election, the third quarter  report shall be due seven days after that date, and the fourth quarter report shall not include that period if a third quarter report was required to be filed.
	If there are contributions or expenditures covering the prior calendar year, they shall be included in the first quarterly report if a report is due for the first quarter.
(6)	Semiannual Reports. – If contributions are received or expenditures made for which no reports are otherwise required by this Article, any and all such contributions and expenditures shall be reported by the last Friday in July, covering the period through the last day of June, and shall be reported by the last Friday in January, covering the period through the last day of December. "
Section 2.  G.S. 163-278.11(a)(1) reads as rewritten:
"(1)	Contributions. – A list of all contributions required to be listed under G.S. 163-278.8 received by or on behalf of a candidate, political committee, or referendum committee. The statement shall list the name and complete mailing address of each contributor, the amount contributed, the occupation of the donor, and the date such contribution was received. The total sum of all contributions to date shall be plainly exhibited. Forms for required reports shall be prescribed by the Board."
Section 3.  G.S. 163-278.19(b) reads as rewritten:
"(b)	It shall, however, be lawful for any corporation, business entity, labor union, professional association or insurance company to communicate with its employees, stockholders or members and their families on any subject; to conduct nonpartisan registration and get-out-the-vote campaigns aimed at their employees, stockholders, or members and their families; or for officials and employees of any corporation, insurance company or business entity or the officials and members of any labor union or professional association to establish, administer, contribute to, and to receive and solicit contributions to a separate segregated fund to be utilized for political purposes except as provided in G.S. 163-278.20, and those individuals shall be deemed to become and be a political committee as that term is defined in G.S. 163-278.6(14) or a referendum committee as defined in G.S. 163-278.6(18b); provided, however, that it shall be unlawful for any such fund to make a contribution or expenditure by utilizing contributions secured by physical force, job discrimination, financial reprisals or the threat of force, job discrimination or financial reprisals, or by dues, fees, or other moneys required as a condition of membership or employment or as a requirement with respect to any terms or conditions of employment, including, without limitation, hiring, firing, transferring, promoting, demoting, or granting seniority or employment-related benefits of any kind, or by moneys obtained in any commercial transaction whatsoever.  Even if use of funds received from an employee or member is otherwise not unlawful, no business entity, labor union, professional association or insurance company may use any funds received from an employee or member by payroll deduction for any political action committee unless the employee or member has separately consented in writing."
Section 4.  (a) G.S. 163-278.6(1) reads as rewritten:
"(1)	The term ‘board' means the State Board of Elections with respect to all candidates for State and multi-county district offices and the county or municipal board of elections with respect to all candidates for single-county district, county and municipal offices. The term means the State Board of Elections with respect to all statewide referenda and the county or municipal board of elections conducting all local referenda."
(b)	G.S. 163-278.6(18) reads as rewritten:
"(18)	The term 'public office' means any office filled by election by the people on a statewide, county, municipal or district basis, and this Article shall be applicable to such elective offices whether the election therefor is partisan or nonpartisan."
(c)	G.S. 163-278.6(18a) reads as rewritten:
"(18a)	The term 'referendum' means any question, issue, or act referred to a vote of the people of the entire State by the General Assembly, a unit of local government, or by the people under any applicable local act and includes constitutional amendments and State bond issues. The term ‘referendum' includes any type of municipal, county, or special district referendum."
(d)	G.S. 163-278.40(2) reads as rewritten:
"(2)	The term 'city' means any incorporated city, town, or village."
Section 5.  G.S. 163-278.9 is amended by adding a new subsection to read:
"( j)	Treasurers for the following entities shall file the reports required by this section electronically, according to rules which shall be promulgated by the State Board of Elections:
(1)	Candidates for statewide office;
(2)	The State executive committees of political parties;
(3)	Political committees that make contributions to candidates for statewide office or make independent expenditures that affect contests for statewide office."
Section 6.  The State Board of Elections shall provide access to the public of campaign finance reports over the internet as soon as technically feasible.
Section 7.  Sections 1 and 2 of this act apply beginning with reports to be filed in 1998. Section 3 of this act applies to dues paid after July 1, 1997.  Section 4 of this act applies to municipal elections beginning in 1998.  Section 5 of this act applies with respect to reports filed on or after January 1, 1998.  Sections 6 and 7 of this act are effective upon becoming law.