HOUSE BILL REPORT
ESB 6128
This analysis was prepared by non-partisan legislative staff for the use of legislative members in
their deliberations. This analysis is not a part of the legislation nor does it constitute a
statement of legislative intent.
As Reported by House Committee On:
State Government & Tribal Affairs
Title: An act relating to persons authorized to make expenditures on behalf of a candidate or committee.
Brief Description: Requiring the naming of the person or persons authorized to make expenditures on behalf of a candidate or committee.
Sponsors: Senators Keiser and Kohl-Welles.
Brief History:
State Government & Tribal Affairs: 3/27/07, 3/28/07 [DPA].
Brief Summary of Engrossed Bill (As Amended by House Committee) |
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HOUSE COMMITTEE ON STATE GOVERNMENT & TRIBAL AFFAIRS
Majority Report: Do pass as amended. Signed by 5 members: Representatives Hunt, Chair; Appleton, Vice Chair; Green, McDermott and Ormsby.
Minority Report: Do not pass. Signed by 4 members: Representatives Chandler, Ranking Minority Member; Armstrong, Assistant Ranking Minority Member; Kretz and Miloscia.
Staff: Marsha Reilly (786-7135).
Background:
Under campaign finance laws, candidates and political committees are required to file a
statement of organization with the Public Disclosure Commission (PDC). The statement of
organization must include information such as the name and address of the committee, the
names and addresses of all related or affiliated committees or other persons, and the names
and addresses of its officers including the treasurer.
All monetary contributions received by a candidate or political committee must be deposited
by the treasurer into an account established and designated for that purpose. All
contributions must be reported to the PDC at regular intervals as set forth in statute.
Expenditures may be made by a candidate or political committee only on the authority of the
treasurer or the candidate, and a record of all expenditures must be maintained by the
treasurer.
Campaign finance laws provide a definition of "contribution" and further define what is not a
"contribution." Generally, a contribution includes:
A "contribution" does not include:
Summary of Amended Bill:
The definition of "contribution" is amended to include an expenditure made by a person in
cooperation, consultation, or concert with, or at the request or suggestion of, the person or
persons named on the candidate's or committee's registration form who directs expenditures
on behalf of the candidate or committee. A change is also made to further delineate what a
"contribution" is not. A contribution does not include the performance of ministerial
functions by a person on behalf of two or more candidates or political committees as long as
that person is a volunteer or is paid for the services by the candidate or political committee,
subject to the following conditions:
The statement of organization filed by a candidate or political committee must include the
name, address, and title of any person who directs expenditures as well as any person who is
paid to perform ministerial functions on behalf of two or more candidates or political
committees.
Only those persons named on the candidate's or committee's registration form may authorize
expenditures by any candidate or political committee.
Amended Bill Compared to Original Bill:
The amendment stipulates that the person who performs ministerial functions is either paid
by or is a volunteer for two or more candidates or political committees and requires that the
person only perform ministerial functions as defined by the PDC by rule; the person who is
paid by two or more candidates or political committees to perform ministerial functions be
identified on the candidate's or committee's statement of organization; and that the person
performing ministerial functions does not disclose information not publicly available or
required by law or engage in any activity that constitutes a contribution.
Appropriation: None.
Fiscal Note: Not requested.
Effective Date of Amended Bill: The bill takes effect January 1, 2008.
Staff Summary of Public Testimony:
(In support) The bill increases the transparency of the current standards by requiring that
those persons who make financial decisions for a candidate or political committee be
identified on the statement of organization. It also allows an individual who provides
ministerial functions to work for other committees and not be counted as a contribution. This
function is essentially non-decision making. It is data entry or an office function of
maintaining records. The current statute prohibits any kind of coordination and the bill does
not change current law. These data-entry type of positions should not be counted as a
contribution. The PDC supports the increased disclosure and accountability provisions
requiring persons who authorize expenditures for a campaign to be identified on the
statement of organization.
(With concerns) The PDC has concerns about the language regarding the performance of
ministerial functions by a person on behalf of one or more candidates or political committees.
The PDC is uncomfortable with the notion that the same person would be able to perform
these functions for a candidate as well as a political committee making independent
expenditures supporting that same candidate. A lack of separation between these campaigns
would not promote confidence in the system. Any business, union, PAC or other
organization could pay to have these services performed for a candidate and that payment
would not be considered a contribution. The PDC suggests that the language be amended to
require the names of persons performing ministerial functions be disclosed and that it be
emphasized that persons performing ministerial functions could not share non-public
information regarding one campaign's activities with the other campaign without a
contribution ensuing.
(Opposed) None.
Persons Testifying: (In support) Senator Keiser, prime sponsor.
(With concerns) Vicki Rippie, Public Disclosure Commission.