0001| HOUSE BILL 738 | 0002| 42ND LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, | 0003| 1996 | 0004| INTRODUCED BY | 0005| ROBERT A. PERLS | 0006| | 0007| | 0008| | 0009| | 0010| | 0011| AN ACT | 0012| RELATING TO ELECTIONS; PROVIDING FOR PUBLIC FINANCING OF | 0013| ELECTIONS FOR THE STATE CORPORATION COMMISSION; AMENDING AND | 0014| ENACTING SECTIONS OF THE CAMPAIGN REPORTING ACT; CREATING THE | 0015| PUBLIC FINANCING ELECTION FUND; MAKING AN APPROPRIATION. | 0016| | 0017| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0018| Section 1. A new section of the Campaign Reporting Act is | 0019| enacted to read: | 0020| "[NEW MATERIAL] PUBLIC FINANCING--STATE CORPORATION | 0021| COMMISSION--REGULATIONS.-- | 0022| A. Elections to the state corporation commission | 0023| shall be publicly financed pursuant to the provisions of this | 0024| section. | 0025| B. If a candidate for the state corporation | 0001| commission agrees to receive public funds for an election | 0002| campaign, the candidate shall agree to expend no more than the | 0003| maximum amount of one hundred thousand dollars ($100,000) in a | 0004| primary or general election campaign. The maximum amount | 0005| provided in this subsection shall be adjusted annually to | 0006| account for annual changes in the consumer price index. | 0007| C. To be eligible to receive public funds for an | 0008| election for the state corporation commission, a candidate shall | 0009| execute an affidavit agreeing to the spending limits provided in | 0010| this section and affirming that the candidate agrees to be bound | 0011| by the provisions of this section. | 0012| D. Before receiving public funds, a candidate shall | 0013| be required first to raise five percent of the maximum amount | 0014| that may be expended in the election campaign from contributions | 0015| by individuals that in the aggregate total one hundred dollars | 0016| ($100) or less from each individual. For the purposes of | 0017| determining this qualifying threshold amount, a candidate and | 0018| the candidate's spouse may not contribute more than one hundred | 0019| dollars ($100) each. Neither in-kind contributions nor loans | 0020| may be used to meet the qualifying threshold amount. | 0021| E. Once a candidate raises the qualifying threshold | 0022| amount required in Subsection D of this section, the candidate | 0023| shall receive one dollar ($1.00) for every one dollar ($1.00) | 0024| the candidate raises from allowable contributions by individuals | 0025| that exceed the qualifying threshold amount, up to the maximum | 0001| amount allowed for the election campaign. | 0002| F. A candidate who is not opposed in an election is | 0003| not eligible for the public funds provided in this section. | 0004| G. Contributions to a candidate who agrees to be | 0005| bound by the provisions of this section shall be subject to the | 0006| following limits and restrictions for each primary or general | 0007| election: | 0008| (1) contributions by an individual to a | 0009| candidate may not exceed one hundred dollars ($100), but the | 0010| candidate and the candidate's spouse may contribute, including | 0011| the maximum one hundred dollars ($100) each is allowed to | 0012| contribute for the qualifying threshold amount, up to a total of | 0013| five hundred dollars ($500) each; | 0014| (2) contributions by a political committee to a | 0015| candidate may not exceed five hundred dollars ($500); | 0016| (3) a corporation may not directly contribute | 0017| any corporate funds to a candidate; | 0018| (4) the campaign committee of a candidate for | 0019| an office other than the state corporation commission may not | 0020| contribute from his campaign funds to the campaign of a | 0021| candidate for the state corporation commission; | 0022| (5) no more than twenty-five percent of the | 0023| maximum amount that may be spent on an election may be | 0024| contributed by political committees or other entities, as | 0025| opposed to individuals and matching public funds; and | 0001| (6) no employer may provide any bonus, salary | 0002| increase or loan to his employees for the purpose of arranging | 0003| for or encouraging contributions to be made with that money to a | 0004| candidate for the state corporation commission. | 0005| H. If a candidate who is opposed in a primary or | 0006| general election for the state corporation commission does not | 0007| agree to be bound by the provisions of this section, or if an | 0008| independent political committee makes expenditures in opposition | 0009| to a candidate who has agreed to be bound by the provisions of | 0010| this section, then the following provisions apply: | 0011| (1) the spending and other limits on the | 0012| candidate who agreed to be bound by the provisions of this | 0013| section shall be waived, and that candidate may raise additional | 0014| funds from any authorized source, without restrictions unless | 0015| otherwise provided by law, and shall receive additional dollar-for-dollar matching public funds up to the limit of the amount | 0016| spent by the opposing candidate or political committee; and | 0017| (2) the opposing candidate who does not agree | 0018| to be bound by the provisions of this section or the independent | 0019| political committee that makes expenditures in opposition to a | 0020| candidate who has agreed to be bound by the provisions of this | 0021| section shall, notwithstanding any other laws, be required to | 0022| submit campaign contribution and expenditure reports every three | 0023| days. | 0024| I. The secretary of state may adopt regulations | 0025| necessary to implement the provisions of this section." | 0001| Section 2. A new section of the Campaign Reporting Act is | 0002| enacted to read: | 0003| "[NEW MATERIAL] PUBLIC FINANCING ELECTION FUND-- | 0004| CREATION.-- | 0005| A. The "public financing election fund" is created | 0006| as a revolving fund in the state treasury. The fund shall | 0007| consist of appropriations, loan repayments, gifts, grants, | 0008| donations and interest earned on investment of the fund. Money | 0009| in the fund shall not revert at the end of a fiscal year. | 0010| B. The purpose of the public financing election fund | 0011| is to provide public funds for election campaigns for the state | 0012| corporation commission. | 0013| C. The public financing election fund shall be | 0014| administered by the secretary of state. Administrative costs of | 0015| the secretary of state shall not be paid from the fund. Money | 0016| in the fund shall be expended only on warrants drawn by the | 0017| secretary of finance and administration pursuant to vouchers | 0018| signed by the secretary of state or the secretary of state's | 0019| authorized representative in accordance with the provisions of | 0020| the Campaign Reporting Act." | 0021| Section 3. Section 1-19-29.1 NMSA 1978 (being Laws 1993, | 0022| Chapter 46, Section 6, as amended) is amended to read: | 0023| "1-19-29.1. CAMPAIGN FUNDS--LIMITATION ON USE.-- | 0024| A. It is unlawful for any candidate or his agent to | 0025| make an expenditure of contributions received, except for the | 0001| following purposes or as otherwise provided in this section: | 0002| (1) expenditures of the campaign; | 0003| (2) expenditures of legislators that are | 0004| reasonably related to performing the duties of the office held, | 0005| including mail, telephone and travel expenditures to serve | 0006| constituents, but excluding personal and legislative session | 0007| living expenses; | 0008| (3) donations to the ~~[state]~~ general fund; | 0009| (4) donations to an organization to which a | 0010| federal income tax deduction would be permitted under | 0011| Subparagraph (A) of Paragraph (1) of Subsection (b) of Section | 0012| 170 of the Internal Revenue Code of 1986, as amended; | 0013| (5) expenditures to eliminate the campaign debt | 0014| of the candidate for the office sought or expenditures incurred | 0015| by the candidate when seeking election to another public office | 0016| covered by the Campaign Reporting Act, except the state | 0017| corporation commission; | 0018| (6) donations to a political party or to | 0019| another candidate seeking election to public office, except the | 0020| state corporation commission; or | 0021| (7) disbursements to return unused funds pro | 0022| rata to the contributors if no campaign debt exists. | 0023| B. A judge subject to a nonpartisan retention | 0024| election or a candidate for judicial office shall solicit or | 0025| accept campaign funds and return unused funds in accordance with | 0001| the provisions of the Code of Judicial Conduct. | 0002| C. No contributions solicited for or received in a | 0003| federal election campaign may be used in a state election | 0004| campaign." | 0005| Section 4. Section 1-19-34.2 NMSA 1978 (being Laws 1993, | 0006| Chapter 46, Section 13, as amended) is amended to read: | 0007| "1-19-34.2. REGULATED INDUSTRY SOLICITATIONS | 0008| PROHIBITED--STATE CORPORATION COMMISSION CAMPAIGN SOLICITATION | 0009| AND ACCEPTANCE PROHIBITED.-- | 0010| A. It is unlawful for an elected state official, | 0011| public officer or employee who works for a regulatory office or | 0012| a candidate who seeks election to a regulatory office or anyone | 0013| authorized by a candidate to solicit funds on his behalf to | 0014| knowingly solicit a contribution from an entity or its officers | 0015| or employees or a person that is directly regulated by the | 0016| office. | 0017| B. It is unlawful for an elected member of or | 0018| candidate for the state corporation commission, an employee of | 0019| the state corporation commission or anyone authorized to act on | 0020| their behalf to knowingly solicit or accept a contribution from | 0021| an entity, its officers or employees or a person that is | 0022| directly regulated by the state corporation commission. | 0023| C. For purposes of this section, an entity or | 0024| person is directly regulated by an office when the entity's or | 0025| person's charges for services offered to the public are set or | 0001| directly subject to approval by the regulatory office or when a | 0002| license to do business in the state is determined by the | 0003| regulatory office; provided that an entity or person is | 0004| directly regulated by the state corporation commission only when | 0005| the charges for services offered to the public are set or | 0006| directly subject to approval by the state corporation | 0007| commission." | 0008| Section 5. APPROPRIATION.--Three hundred thousand dollars | 0009| ($300,000) is appropriated from the general fund to the public | 0010| financing election fund for the purpose of providing public | 0011| funds for election campaigns for the state corporation | 0012| commission. Any unexpended or unencumbered balance remaining in | 0013| the fund at the end of a fiscal year shall not revert to the | 0014| general fund. | 0015| - - | 0016| | 0017| | 0018| | 0019| | 0020| | 0021| | 0022| | 0023| | 0024| | 0025| | 0001| |