HOUSE BILL 7
48th legislature - STATE OF NEW MEXICO - first special session, 2007
INTRODUCED BY
Gail Chasey
AN ACT
RELATING TO ELECTIONS; REQUIRING POLITICAL COMMITTEES THAT MAKE INDEPENDENT EXPENDITURES TO REGISTER AND FILE REPORTS WITH THE SECRETARY OF STATE; PROVIDING ADDITIONAL REPORTING REQUIREMENTS FOR PUBLIC OFFICIALS, CANDIDATES, CAMPAIGN COMMITTEES AND POLITICAL COMMITTEES; LIMITING CAMPAIGN CONTRIBUTIONS TO CANDIDATES FOR STATEWIDE AND DISTRICT OFFICES; PROHIBITING CERTAIN CASH CONTRIBUTIONS; GRANTING SUBPOENA POWER TO THE SECRETARY OF STATE FOR INVESTIGATIONS PURSUANT TO THE CAMPAIGN REPORTING ACT; EXPANDING DEFINITIONS; PROVIDING ADDITIONAL PENALTIES; RECONCILING MULTIPLE AMENDMENTS TO THE SAME SECTION OF LAW IN LAWS 1997; AMENDING AND ENACTING SECTIONS OF THE CAMPAIGN REPORTING ACT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. Section 1-19-25 NMSA 1978 (being Laws 1979, Chapter 360, Section 1) is amended to read:
"1-19-25. SHORT TITLE.--Sections 1-19-25 through
[1-19-36] 1-19-37 NMSA 1978 may be cited as the "Campaign Reporting Act"."
Section 2. Section 1-19-26 NMSA 1978 (being Laws 1979, Chapter 360, Section 2, as amended) is amended to read:
"1-19-26. DEFINITIONS.--As used in the Campaign Reporting Act:
A. "advertising campaign" means an advertisement or series of advertisements used for a political purpose and disseminated to the public either in print, by radio or television broadcast or by any other electronic means, including telephonic communications, and may include direct or bulk mailings of printed materials;
B. "anonymous contribution" means a contribution the contributor of which is unknown to the candidate or [his] the candidate's agent or the political committee or its agent who accepts the contribution;
C. "bank account" means an account in a financial institution located in New Mexico;
D. "campaign committee" means two or more persons authorized by a candidate to raise, collect or expend contributions on the candidate's behalf for the purpose of electing [him] the candidate to office;
E. "candidate" means an individual who seeks or considers an office in an election covered by the Campaign Reporting Act, including a public official, who either has filed a declaration of candidacy or nominating petition or:
(1) for a non-statewide office, has received contributions or made expenditures of one thousand dollars ($1,000) or more or authorized another person or campaign committee to receive contributions or make expenditures of one thousand dollars ($1,000) or more for the purpose of seeking election to the office; or
(2) for a statewide office, has received contributions or made expenditures of two thousand five hundred dollars ($2,500) or more or authorized another person or campaign committee to receive contributions or make expenditures of two thousand five hundred dollars ($2,500) or more for the purpose of seeking election to the office or for candidacy exploration purposes in the years prior to the year of the election;
F. "contribution" means a gift, subscription, loan, advance or deposit of money or other thing of value, including the estimated value of an in-kind contribution, that is made or received for a political purpose, including payment of a debt incurred in an election campaign, but does not include the value of services provided without compensation or unreimbursed travel or other personal expenses of individuals who volunteer a portion or all of their time on behalf of a candidate or political committee, nor does it include the administrative or solicitation expenses of a political committee that are paid by an organization that sponsors the committee;
G. "deliver" or "delivery" means to deliver by certified or registered mail, telecopier, electronic transmission or facsimile or by personal service;
H. "election" means any primary, general or statewide special election in New Mexico and includes county and judicial retention elections but excludes municipal, school board and special district elections;
I. "election year" means an even-numbered year in which an election covered by the Campaign Reporting Act is held;
J. "expenditure" means a payment, transfer or distribution or obligation or promise to pay, transfer or distribute any money or other thing of value for a political purpose, including payment of a debt incurred in an election campaign or pre-primary convention, but does not include independent expenditures or the administrative or solicitation expenses of a political committee that are paid by an organization that sponsors the committee;
K. "general election period" means the period during an election cycle that begins the day after the primary election and ends on the day of the general election;
L. "independent expenditure" means a payment, transfer or distribution or obligation or promise to pay, transfer or distribute any money or thing of value:
(1) for the purpose of expressly advocating the election or defeat of a clearly identified candidate or in support of or opposition to a constitutional amendment or other question submitted to the voters; and
(2) without the cooperation, consultation, request or suggestion of, or being in concert with, a candidate, a candidate's authorized committee or its agents or a political party or its agents;
[K.] M. "person" means an individual or entity;
[L.] N. "political committee" means two or more persons, other than members of a candidate's immediate family or campaign committee or a husband and wife who make a contribution out of a joint account, who are selected, appointed, chosen, associated, organized or operated primarily for a political purpose; and political committee includes:
(1) political action committees or similar organizations composed of employees or members of any corporation, labor organization, trade or professional association or any other similar group that raises, collects, expends or contributes money or any other thing of value for a political purpose;
(2) a single individual [who by his] whose actions [represents] represent that [he] the individual is a political committee; [and]
(3) a person or an organization of two or more persons that within one calendar year expends funds in excess of five hundred dollars ($500) to conduct an advertising campaign for a political purpose; and
(4) a person or an organization of two or more persons that makes independent expenditures in this state exceeding five hundred dollars ($500) in any calendar year;
[M.] O. "political purpose" means influencing or attempting to influence an election or pre-primary convention, including a constitutional amendment or other question submitted to the voters;
[N.] P. "prescribed form" means a form or electronic format prepared and prescribed by the secretary of state;
Q. "primary election period" means the period during an election cycle that begins the day after the general election and ends on the day of the primary election;
[O.] R. "proper filing officer" means either the secretary of state or the county clerk as provided in
Section 1-19-27 NMSA 1978;
[P.] S. "public official" means a person elected to an office in an election covered by the Campaign Reporting Act or a person appointed to an office that is subject to an election covered by that act;
[Q.] T. "reporting individual" means every public official, candidate or treasurer of a campaign committee and every treasurer of a political committee; and
[R.] U. "statement of exception" or "statement" means the prescribed form subscribed and sworn to by a candidate to indicate that the candidate does not intend to raise or expend the minimum amount required for the filing of a report of expenditures and contributions as provided in Section 1-19-33 NMSA 1978."
Section 3. Section 1-19-26.1 NMSA 1978 (being Laws 1993, Chapter 46, Section 2, as amended) is amended to read:
"1-19-26.1. POLITICAL COMMITTEES--REGISTRATION--DISCLOSURES.--
A. It is unlawful for [any] a political committee that receives, contributes or expends in excess of five hundred dollars ($500) in any calendar year to continue to receive or make [any] a contribution or expenditure for a political purpose unless that political committee appoints and maintains a treasurer and registers with the secretary of state.
B. A political committee shall register with the secretary of state within ten days of receiving, contributing or expending in excess of five hundred dollars ($500) by paying a filing fee of fifty dollars ($50.00) and filing a statement of organization under oath on a prescribed form showing:
(1) the full name of the political committee, which shall fairly and accurately reflect the identity of the committee, including any sponsoring organization, and its address;
(2) a statement of the purpose for which the political committee was organized;
(3) the name, address and relationship of any connected or associated organization or entity;
(4) the names and addresses of the officers of the committee; and
(5) an identification of the bank used by the committee for all expenditures or contributions made or received.
C. A political committee required to register pursuant to this section shall file all reports required by the Campaign Reporting Act.
[C.] D. Except as provided in Subsection E of this section, the provisions of this section do not apply to a political committee that is located in another state and is registered with the federal election commission if the political committee reports on federal reporting forms filed with the federal election commission all expenditures for and contributions made to reporting individuals in New Mexico and files with the secretary of state, according to the schedule required for the filing of forms with the federal election commission, a copy of either the full report or the cover sheet and the portions of the federal reporting forms that contain the information on expenditures for and contributions made to reporting individuals in New Mexico.
E. The provisions of Subsection D of this section do not apply to a political committee that makes independent expenditures in this state exceeding five hundred dollars ($500) in any calendar year."
Section 4. Section 1-19-27 NMSA 1978 (being Laws 1979, Chapter 360, Section 3, as amended) is amended to read:
"1-19-27. REPORTS REQUIRED--PROPER FILING OFFICER.--
A. Except for those candidates who file a statement of exception in an election year pursuant to Section 1-19-33 NMSA 1978, all reporting individuals shall [annually] file with the proper filing officer [a report of expenditures and contributions] all reports required by the Campaign Reporting Act on a prescribed form. The [report] reports shall be filed [on the second Monday in May] pursuant to the provisions of [Subsection A of] Section 1-19-29 NMSA 1978.
B. A reporting individual of a political committee shall file the following reports in accordance with the filing requirements of the Campaign Reporting Act:
(1) a report of expenditures and contributions pursuant to Section 1-19-31 NMSA 1978 if the political committee only makes expenditures or receives contributions during the required reporting period;
(2) a report of independent expenditures pursuant to Section 1-19-31.1 NMSA 1978 if the political committee only makes independent expenditures during the required reporting period; or
(3) a report of expenditures and contributions and a report of independent expenditures pursuant to Sections 1-19-31 and 1-19-31.1 NMSA 1978 if the political committee makes expenditures or receives contributions and makes independent expenditures during the required reporting period.
[B.] C. The proper filing officer for filing reports of expenditures and contributions and reports of independent expenditures by a political committee is the secretary of state.
[C.] D. The proper filing officer for filing reports of expenditures and contributions or statements of exception is the secretary of state for all public officials.
[D.] E. The secretary of state shall develop or contract for services to develop an electronic reporting system for receiving and for public inspection of reports of expenditures and contributions, reports of independent expenditures and statements of exception to the Campaign Reporting Act. The electronic reporting system shall:
(1) enable a person to file reports on line by filling out forms on the secretary of state's web site; and
(2) provide for encrypted transmissions."
Section 5. Section 1-19-28 NMSA 1978 (being Laws 1979, Chapter 360, Section 4, as amended) is amended to read:
"1-19-28. FURNISHING REPORT FORMS--POLITICAL
COMMITTEES--CANDIDATES.--
A. The secretary of state annually shall furnish to all reporting individuals the prescribed forms for the reporting of expenditures and contributions, the reporting of independent expenditures, supplemental reports and a statement of exception and the specific dates the reports and statement are due.
B. In addition to the provisions of Subsection A of this section, at the time of filing a declaration of candidacy or a nominating petition, the proper filing officer shall give the candidate the prescribed reporting forms and the schedule of specific dates for filing the required reports or a statement of exception. The prescribed forms shall also be made available to all reporting individuals at the office of the secretary of state and in each county at the office of the county clerk."
Section 6. Section 1-19-29 NMSA 1978 (being Laws 1993, Chapter 46, Section 5, as amended) is amended to read:
"1-19-29. TIME AND PLACE OF FILING REPORTS.--
A. Annually, all reporting individuals shall file with the proper filing officer by 5:00 p.m. on the second Monday in May [a report of] all reports required by the Campaign Reporting Act for all expenditures made, [and] contributions received or independent expenditures made, on or before the first Monday in May and not previously reported. The [report] reports shall be filed annually until the reporting individual's bank account has been closed and the other provisions specified in Subsection E of this section have been satisfied.
B. In an election year, in addition to the May [report] reports provided for in Subsection A of this section, all reporting individuals, except for persons who file a statement of exception pursuant to Section 1-19-33 NMSA 1978 and except for public officials who are not candidates in an election that year, shall file all reports [of all expenditures made and contributions received] required by the Campaign Reporting Act, according to the following schedule:
(1) by 5:00 p.m. on the second Monday in October, [a report of] all reports required by the Campaign Reporting Act for all expenditures made, [and] contributions received or independent expenditures made on or before the first Monday in October and not previously reported;
(2) by 5:00 p.m. on the Thursday before a primary, general or statewide special election, [a report of] all reports required by the Campaign Reporting Act for all expenditures made, [and] contributions received or independent expenditures made by 5:00 p.m. on the Tuesday before the election. Any contribution or pledge to contribute that is received after 5:00 p.m. on the Tuesday before the election and that is for five hundred dollars ($500) or more in a legislative or non-statewide judicial election, or [two thousand five hundred dollars ($2,500)] one thousand dollars ($1,000) or more in a statewide election, shall be reported to the proper filing officer either in a supplemental report on a prescribed form within twenty-four hours of receipt or in the report to be filed by 5:00 p.m. on the Thursday before a primary, general or statewide special election, except that any such contribution or pledge to contribute that is received after 5:00 p.m. on the Friday before the election may be reported by 12:00 noon on the Monday before the election; and
(3) by 5:00 p.m. on the thirtieth day after a primary, general or statewide special election, [a report of] all reports required by the Campaign Reporting Act for all expenditures made, [and] contributions received or independent expenditures made on or before the twenty-fifth day after the election and not previously reported.
C. Notwithstanding the other provisions of this section, the report due on the thirtieth day after an election need be the only report filed after the annual May report if the candidate is not opposed in the election and if the report includes all expenditures made and contributions received for that election and not previously reported.
D. [A report of expenditures and contributions] Reports required by this section that are filed after a deadline set forth in this section shall not be deemed to have been timely filed.
E. Each reporting individual shall file [a report of expenditures and contributions annually] all reports required by the Campaign Reporting Act pursuant to the filing schedule set forth in this section, regardless of whether any expenditures were made, [or] contributions were received or independent expenditures were made during the reporting period. Reports shall be required until the reporting individual delivers a report to the proper filing officer stating that:
(1) there are no outstanding campaign debts;
(2) all money has been expended in accordance with the provisions of Section 1-19-29.1 NMSA 1978; and
(3) the reporting individual's bank account has been closed.
F. Each treasurer of a political committee shall file [a report of expenditures and contributions annually] all reports required by the Campaign Reporting Act pursuant to the filing schedule set forth in this section until the treasurer files a report that affirms that the committee has dissolved or no longer exists and that its bank account has been closed.
G. A reporting individual who is a candidate within the meaning of the Campaign Reporting Act because of the amount of contributions [he] the candidate receives or expenditures [he] the candidate makes and who does not ultimately file a declaration of candidacy or a nominating petition with the proper filing officer shall nevertheless file a report, not later than the second Monday in May for a primary election or the second Monday in October for a general election, of all contributions received and expenditures made on or before the first Monday in May for a primary election or the first Monday in October for a general election and not previously reported.
H. Reports required by this section shall be filed electronically by all reporting individuals.
I. Reports required by this section shall be subscribed and sworn to by the candidate or the treasurer of the political committee. A report filed electronically shall be electronically authenticated by the candidate or the treasurer of the political committee using an electronic signature in conformance with the Electronic Authentication of Documents Act and the Uniform Electronic Transactions Act. For the purposes of the Campaign Reporting Act, a report that is electronically authenticated in accordance with the provisions of this subsection shall be deemed to have been subscribed and sworn to by the candidate or the treasurer of the political committee who was required to file the report.
[I.] J. Reporting individuals may apply to the secretary of state for exemption from electronic filing in case of hardship, which shall be defined by the secretary of state."
Section 7. Section 1-19-31 NMSA 1978 (being Laws 1979, Chapter 360, Section 7, as amended) is amended to read:
"1-19-31. [CONTENTS OF] REPORT OF EXPENDITURES AND CONTRIBUTIONS.--
A. Each required report of expenditures and contributions shall be [typed or printed legibly, or] on a computer disc or format approved by the secretary of state and shall include:
(1) the name and address of the person or entity to whom an expenditure was made or from whom a contribution was received, except as provided for anonymous contributions or contributions received from special events as provided in Section 1-19-34 NMSA 1978; provided that, for contributors, the name of the entity or the first and last names of any individual shall be the full name of the entity or individual and initials only shall not constitute a full name unless that is the complete legal name;
(2) [the] every occupation [or type of] and the name of the business or businesses of [any] the person or entity making contributions of [two hundred fifty dollars ($250)] one hundred dollars ($100) or more in the aggregate per election;
(3) every employer of the person or entity making contributions of one hundred dollars ($100) or more in the aggregate per election;
[(3)] (4) the amount of the expenditure or contribution or value thereof;
[(4)] (5) the purpose of the expenditure; [and]
[(5)] (6) the date the expenditure was made or the contribution was received; and
(7) the cumulative total of all contributions received from the person or entity making a contribution.
[B. The report of expenditures and contributions shall be subscribed and sworn to by the candidate or the treasurer of the political committee. If the report of expenditures and contributions is filed in an electronically readable format, the report shall be subscribed and sworn to in an independent affidavit signed by the candidate or the treasurer of the political committee and delivered to the secretary of state within forty-eight hours after the report is electronically filed.
C.] B. Each report shall contain an opening and closing cash balance for the bank account maintained by the reporting individual during the reporting period and the name of the financial institution.
[D.] C. Each report shall specify the amount of each unpaid debt and the identity of the person to whom the debt is owed."
Section 8. A new section of the Campaign Reporting Act, Section 1-19-31.1 NMSA 1978, is enacted to read:
"1-19-31.1. [NEW MATERIAL] REPORT OF INDEPENDENT EXPENDITURES.--Each required report of independent expenditures shall be on a computer disc or format approved by the secretary of state and shall include:
A. the full name and address of the committee making the independent expenditure;
B. the name, address, occupation and employer of the reporting individual filing the report on behalf of the committee;
C. the full name of the candidate whose election is supported or opposed by the independent expenditure or a description of the constitutional amendment or other question submitted to the voters that is supported or opposed by the independent expenditure;
D. the total amount of independent expenditures made in support of or opposition to each candidate or constitutional amendment or other question submitted to the voters;
E. for each person to whom the political committee made an independent expenditure of at least one hundred dollars ($100):
(1) the person's full name and street address;
(2) the date, amount and purpose of the independent expenditure; and
(3) the cumulative amount of independent expenditures made to the person;
F. an opening and closing cash balance for the bank account maintained by the reporting individual during the reporting period and the name of the financial institution; and
G. the amount of each unpaid debt and the identity of the person to whom the debt is owed."
Section 9. Section 1-19-32 NMSA 1978 (being Laws 1979, Chapter 360, Section 8, as amended) is amended to read:
"1-19-32. INSPECTION OF PUBLIC RECORDS.--
A. Each of the following documents is a public record open to public inspection during regular office hours in the office in which the document was filed or from which the document was issued:
(1) a statement of exception;
(2) a report of expenditures and contributions;
(3) a report of independent expenditures;
[(3)] (4) an advisory opinion issued by the
secretary of state;
[(4)] (5) a document specified as a public record in the Campaign Reporting Act; and
[(5)] (6) an arbitration decision issued by an arbitration panel and filed with the secretary of state.
B. Each public record described in Subsection A of this section shall be retained by the state for five years and may be destroyed five years after the date of filing unless a legal action or prosecution is pending that requires the preservation of the public record.
C. The secretary of state shall provide for electronic access to reports of expenditures and contributions and reports of independent expenditures and statements of exception submitted electronically by reporting individuals no more than ten days after the filing deadlines imposed by the Campaign Reporting Act. The secretary of state shall also provide for electronic access to a list of all reporting individuals who fail to file reports by the deadlines imposed by that act. The secretary of state shall maintain the list in accordance with Section 1-19-35 NMSA 1978. Electronic access shall include access via the internet and shall be in an easily searchable format."
Section 10. A new section of the Campaign Reporting Act is enacted to read:
"[NEW MATERIAL] CANDIDATES--CAMPAIGN CONTRIBUTIONS--LIMITATIONS.--
A. A person or political committee shall not make a contribution or offer or agree to make a contribution, directly or indirectly, to a candidate, campaign committee or treasurer of a campaign committee that will cause that person's or political committee's aggregate amount of contributions to the candidate to exceed two thousand three hundred dollars ($2,300) during each primary election period and general election period.
B. A candidate, campaign committee or treasurer of a campaign committee shall not accept or solicit a contribution, directly or indirectly, from a person or political committee that will cause that person's or political committee's aggregate amount of contributions to the candidate to exceed two thousand three hundred dollars ($2,300) during each primary election period and general election period. C. On the day after each general election, the contribution amounts provided in Subsections A and B of this section shall be increased by the annual percentage increase between the next preceding calendar year and the preceding calendar year of the consumer price index for all urban consumers, United States city average for all items, published by the United States department of labor. The amount of the increase shall be rounded to the nearest multiple of one hundred dollars ($100). The secretary of state shall publish by October 1 before each general election the adjusted contribution limits that shall take effect the day after the following general election."
Section 11. Section 1-19-34 NMSA 1978 (being Laws 1979, Chapter 360, Section 10, as amended) is amended to read:
"1-19-34. CANDIDATES--POLITICAL COMMITTEES--TREASURER--BANK ACCOUNT--ANONYMOUS CONTRIBUTIONS--CONTRIBUTIONS FROM SPECIAL EVENTS--CASH CONTRIBUTIONS.--
A. It is unlawful for the members of any political committee or any candidate to make any expenditure or solicit or accept any contribution for a political purpose unless:
(1) a treasurer has been appointed and is constantly maintained; provided, however, when a duly appointed treasurer is unable for any reason to continue as treasurer, the candidate or political committee shall appoint a successor; and provided further that a candidate may serve as [his] the candidate's own treasurer;
(2) all disbursements of money and receipts of contributions are authorized by and through the candidate or treasurer;
(3) a separate bank account has been established and all receipts of money contributions and all expenditures of money are deposited in and disbursed from the one bank account maintained by the treasurer in the name of the candidate or political committee; provided that nothing in this section shall prohibit investments from the bank account to earn interest as long as the investments and earnings are fully reported. All disbursements except for disbursements made from a petty cash fund of one hundred dollars ($100) or less shall be by check made payable to the person or entity receiving the disbursement and not to "cash" or "bearer"; and
(4) the treasurer, upon disbursing or receiving money or other things of value, immediately enters and thereafter keeps a proper record preserved by [him] the treasurer, including a full, true and itemized statement and account of each sum disbursed or received, the date of such disbursal or receipt, to whom disbursed or from whom received and the object or purpose for which it was disbursed or received.
B. No anonymous contributions [may] shall be accepted in excess of one hundred dollars ($100). The aggregate amount of anonymous contributions received by a reporting individual during a primary or general election or a statewide special election shall not exceed two thousand dollars ($2,000) for statewide races and five hundred dollars ($500) for all other races.
C. Cash contributions received at special events that are unidentifiable as to specific contributor but identifiable as to the special event are not subject to the anonymous contribution limits provided for in this section [so long as no]. A single special event [raises] shall not raise, after expenses, more than one thousand dollars ($1,000) in such cash contributions. For those contributions, due diligence and best efforts shall be made to disclose on a special prescribed form the sponsor, date, place, total amount received, expenses incurred, estimated number of persons in attendance and other identifiable factors that describe the special event. For purposes of this subsection, "special event" includes an event such as a barbecue or similar fundraiser where tickets costing fifteen dollars ($15.00) or less are sold or an event such as a coffee, tea or similar reception.
D. A cash contribution from a single source given in a twenty-four-hour period in excess of one hundred dollars ($100) may not be accepted.
[D.] E. Any contributions received pursuant to this section in excess of the limits established in Subsections B, [and] C and D of this section shall be donated to the state general fund or an organization to which a federal income tax deduction would be available under Subparagraph (A) of Paragraph (1) of Subsection (b) of Section 170 of the Internal Revenue Code of 1986, as amended."
Section 12. Section 1-19-34.4 NMSA 1978 (being Laws 1993, Chapter 46, Section 15, as amended) is amended to read:
"1-19-34.4. EDUCATION AND VOLUNTARY COMPLIANCE--INVESTIGATIONS--BINDING ARBITRATION--REFERRALS FOR ENFORCEMENT.--
A. The secretary of state shall advise and seek to educate all persons required to perform duties under the Campaign Reporting Act of those duties. This includes advising all known reporting individuals at least annually of that act's deadlines for submitting required reports and statements of exception. The secretary of state, in consultation with the attorney general, shall issue advisory opinions, when requested in writing to do so, on matters concerning that act. All prescribed forms prepared shall be clear and easy to complete.
B. The secretary of state may initiate investigations to determine whether any provision of the Campaign Reporting Act has been violated. The secretary may compel the production of books, records and papers pertinent to an investigation conducted pursuant to that act. The subpoena issued by the secretary shall state with reasonable certainty the nature of the investigation, the nature of the information required to be produced, the time and place where the information shall be produced and the consequences of failure to obey the subpoena.
C. After service of a subpoena upon a person pursuant to this section, if the person neglects or refuses to comply with the subpoena, the secretary of state may apply to the district court where the custodian of the documents is located for an order compelling compliance. A person who fails to comply with the district court's order is subject to penalty for contempt of court.
D. Failure to cooperate with an investigation conducted by the secretary of state pursuant to this section is a violation of the Campaign Reporting Act.
[Additionally] E. Any person who believes that a provision of [that] the Campaign Reporting Act has been violated may file a written complaint with the secretary of state any time prior to ninety days after an election, except that no complaints from the public may be filed within eight days prior to an election. The secretary of state shall adopt procedures for issuing advisory opinions and processing complaints and notifications of violations.
[C.] F. The secretary of state shall at all times seek to ensure voluntary compliance with the provisions of the Campaign Reporting Act. If the secretary of state determines that a provision of that act for which a penalty may be imposed has been violated, the secretary of state shall by written notice set forth the violation and the fine imposed and inform the reporting individual that [he] the individual has ten working days from the date of the letter to correct the matter and to provide a written explanation, under penalty of perjury, stating any reason why the violation occurred. If a timely explanation is filed and the secretary of state determines that good cause exists to waive the fine imposed, the secretary of state may by a written notice of final action partially or fully waive any fine imposed for any late, incomplete or false report or statement of exception. A written notice of final action shall be sent by certified mail.
[D.] G. Upon receipt of the notice of final action, the person against whom the penalty has been imposed may protest the secretary of state's determination, including an advisory opinion, by submitting on a prescribed form a written request for binding arbitration to the secretary of state within ten working days of the date of the notice of final action. Any fine imposed shall be due and payable within ten working days of the date of notice of final action. No additional fine shall accrue pending the issuance of the arbitration decision. Fines paid pursuant to a notice of final action that are subsequently reduced or dismissed shall be reimbursed with interest within ten working days after the filing of the arbitration decision with the secretary of state. Interest on the reduced or dismissed portion of the fine shall be the same as the rate of interest earned by the secretary of state's escrow account to be established by the department of finance and administration.
[E.] H. An arbitration hearing shall be conducted by a single arbitrator selected within ten days by the person against whom the penalty has been imposed from a list of five arbitrators provided by the secretary of state. Neither the secretary of state nor a person subject to the Campaign Reporting Act, Lobbyist Regulation Act or Financial Disclosure Act may serve as an arbitrator. Arbitrators shall be considered to be independent contractors, not public officers or employees, and shall not be paid per diem and mileage.
[F.] I. The arbitrator shall conduct the hearing within thirty days of the request for arbitration. The arbitrator may impose any penalty the secretary of state is authorized to impose. The arbitrator shall state the reasons for [his] the arbitrator's decision in a written document that shall be a public record. The decision shall be final and binding. The decision shall be issued and filed with the secretary of state within thirty days of the conclusion of the hearing. Unless otherwise provided for in this section or by rule [or regulation] adopted by the secretary of state, the procedures for the arbitration shall be governed by the Uniform Arbitration Act. No arbitrator shall be subject to liability for actions taken pursuant to this section.
[G.] J. The secretary of state may refer a matter to the attorney general or a district attorney for a civil injunctive or other appropriate order or for criminal enforcement."
Section 13. Section 1-19-35 NMSA 1978 (being Laws 1979, Chapter 360, Section 11, as amended by Laws 1997, Chapter 12, Section 2 and also by Laws 1997, Chapter 112, Section 5) is amended to read:
"1-19-35. REPORTS AND STATEMENTS--LATE FILING PENALTY--FAILURE TO FILE.--
A. Except for the report required to be filed and delivered the Thursday prior to the election and any supplemental report, as required in Paragraph (2) of Subsection B of Section 1-19-29 NMSA 1978, that is due prior to the election, and subject to the provisions of Section 1-19-34.4 NMSA 1978, if a statement of exception, [or] a report of expenditures and contributions or a report of independent expenditures contains false or incomplete information or is filed after any deadline imposed by the Campaign Reporting Act, the responsible reporting individual or political committee, in addition to any other penalties or remedies prescribed by the Election Code, shall be liable for and shall pay to the secretary of state fifty dollars ($50.00) per day for each regular working day after the time required by the Campaign Reporting Act for the filing of statements of exception, [or] reports of expenditures and contributions or reports of independent expenditures until the complete or true statement or report is filed, up to a maximum of five thousand dollars ($5,000).
B. If any reporting individual files a false, intentionally incomplete or late report of expenditures and contributions or a report of independent expenditures due on the Thursday prior to the election, the reporting individual or political committee shall be liable and pay to the secretary of state five hundred dollars ($500) for the first working day and fifty dollars ($50.00) for each subsequent working day after the time required for the filing of the report until the true and complete report is filed, up to a maximum of five thousand dollars ($5,000).
C. If a reporting individual fails to file or files a late supplemental report of expenditures and contributions or a report of independent expenditures as required in Paragraph (2) of Subsection B of Section 1-19-29 NMSA 1978, the reporting individual or political committee shall be liable for and pay to the secretary of state a penalty equal to the amount of each contribution received or pledged after the Tuesday before the election that was not timely filed.
D. If a reporting individual fails to file a report by the deadline imposed by the Campaign Reporting Act, the secretary of state shall publish the individual's name on a list that includes all reporting individuals who failed to file a report by the appropriate deadline. The secretary shall designate the individual on the list as delinquent and shall only remove the individual from the list when the individual satisfies the reporting requirements. The list shall be electronically accessible to the public via the internet pursuant to Section 1-19-32 NMSA 1978.
[D.] E. All sums collected for the penalty shall be deposited in the state general fund. A report or statement of exception shall be deemed timely filed only if it is received by the proper filing officer by the date and time prescribed by law.
[E.] F. Any candidate who fails or refuses to file a report of expenditures and contributions or statement of exception or to pay a penalty imposed by the secretary of state as required by the Campaign Reporting Act shall not, in addition to any other penalties provided by law:
(1) have [his] the candidate's name printed upon the ballot if the violation occurs before and through the final date for the withdrawal of candidates; or
(2) be issued a certificate of nomination or election, if the violation occurs after the final date for withdrawal of candidates or after the election, until the candidate satisfies all reporting requirements of the Campaign Reporting Act and pays all penalties owed.
[F.] G. Any candidate who loses an election and who failed or refused to file a report of expenditures and contributions, [or] a report of independent expenditures or a statement of exception or to pay a penalty imposed by the secretary of state as required by the Campaign Reporting Act shall not be, in addition to any other penalties provided by law, permitted to file a declaration of candidacy or nominating petition for any future election until the candidate satisfies all reporting requirements of that act and pays all penalties owed."
Section 14. EFFECTIVE DATE.--The effective date of the provisions of this act is January 1, 2008.