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F I S C A L I M P A C T R E P O R T





SPONSOR: Pederson DATE TYPED: 03/12/99 HB 46/aHVEC
SHORT TITLE: Electronic Campaign Reports SB
ANALYST: Gonzales


APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY99 FY2000 FY99 FY2000
$ 200.0 Non-Rec GF



(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates/Conflicts with/Companion to/Relates to



SOURCES OF INFORMATION



Secretary of State



SUMMARY



Synopsis of HVEC Amendment



Amendment #1 provides for the secretary of state with a choice of either developing or contracting for services to develop an electronic reporting system.



Amendment #2 changes the method of reporting expenditures/contributions for statewide elective office from individuals who had contributions or expenditures of $5,000 or more to and exception from reporting for individuals who had contributions or expenditures of $2,500 or less. The effect of the amendment is that it will include more people in the reporting process. The amendment language also identifies the type of election involved in the reporting process-primary, general or special. The Secretary of State does not anticipate any significant administrative impact as a result of the changes.



Amendment #3 changes the method of reporting expenditures/contributions for legislative, public regulation commission and political committee from individuals who had contributions or expenditures of $5,000 or more to and exception from reporting for individuals who had contributions or expenditures of $1,000 or less. The effect of the amendment is that it will include more people in the reporting process. The amendment language also identifies the type of election involved in the reporting process-primary, general or special. The Secretary of State does not anticipate any significant administrative impact as a result of the changes.



Amendment #4 gives the secretary of state the authority to adopt rules to prevent the unauthorized use of information derived from campaign reports of expenditures and contributions.



Amendment # 5 reduces the appropriation from $550,000 to $200,000. The reduction in appropriation is sufficient to cover any expenditures relating to this bill according to the Secretary of States office.



Synopsis of Bill



House Bill 46 amends the Campaign Reporting Act requires the secretary of state to develop an electronic reporting system to allow for electronic reporting and retrieval of information required by the Campaign Reporting Act. The electronic access shall include access via the Internet. The reports required to be filed shall be filed electronically beginning January 1, 2002 for statewide elective office reporting individuals who have contributions or expenditures in any calendar year of $5.0 dollars or more; January 1, 2004 for legislative, public regulation commission and political committee reporting individuals who have contributions or expenditures in any calendar year of $5.0 dollars or more; and January 1, 2008 for all statewide elective office, legislative, public regulation commission and political committee reporting individuals.



FISCAL IMPLICATIONS



The bill makes a general fund appropriation of $550.0 to the Secretary of State for expenditure in fiscal year 2000 and 2001 to design and develop the electronic reporting system. Any unexpended or unencumbered balance remaining at the end of fiscal year 2001 reverts to the general fund.



ADMINISTRATIVE IMPLICATIONS



Information from the Secretary of State is still pending as to whether or not an additional FTE would be needed to comply with designing, creating and implementing a program.



TECHNICAL ISSUES



page 11, lines 10 and 15, the word "calender" should be spelled "calendar"



See attachment for additional issues from the Secretary of State.



JMG/BD/njw:gm