HOUSE BILL NO. 61

INTRODUCED BY COBB J

A BILL FOR AN ACT ENTITLED: "AN ACT CREATING THE MONTANA SUPREME COURT ELECTION CAMPAIGN FINANCING ACT; PROVIDING FOR PUBLIC FINANCING OF SUPREME COURT ELECTION CAMPAIGNS; PROVIDING FOR ADMINISTRATION BY THE SECRETARY OF STATE; PROVIDING A STATUTORY APPROPRIATION; PROVIDING FUND TRANSFERS FROM THE GENERAL FUND; AMENDING SECTIONS 13-37-240 AND 17-7-502, MCA; AND PROVIDING EFFECTIVE DATES, AN APPLICABILITY DATE, AND A TERMINATION DATE."

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:

NEW SECTION. Section 1. Designation of general fund money for public financing of supreme court election campaigns. (1) Each individual taxpayer who is required to file an income tax return under this chapter may designate money to be paid from the state general fund to the account provided for in [section 4] for financing Montana supreme court election campaigns by marking the appropriate box on the state income tax return.

(2) Except as provided in subsection (5), each state individual income tax return must contain a conspicuous provision for indicating whether the taxpayer and the taxpayer's spouse want $5 to be paid from the state general fund to the Montana supreme court election campaign financing program.

(3) An individual may not designate more than $5 in a year to be deposited in the account created by [section 4]. Money designated by a taxpayer pursuant to this section must be deposited in the account after the department has deducted the amount necessary for the department to administer this section as provided in 15-30-153.

(4) Money must be deposited in the account by June 30 of each year of a general election. The department shall assist the secretary of state in determining the amount of money deposited in the account pursuant to this section.

(5) If the balance in the fund reaches $500,000, then no additional contributions to the fund may be made. Once the balance is reached, the department may not include the donation provision provided for in subsection (2) in individual income tax return forms. All money in excess of $500,000 must be transferred to the general fund.

NEW SECTION. Section 2. Short title. [Sections 2 through 5] may be cited as the "Montana Supreme Court Election Campaign Financing Act".

NEW SECTION. Section 3. Definitions. Unless the context requires otherwise, the following definitions apply to [sections 2 through 5]:

(1) "Account" means the account created by [section 4].

(2) "Candidate" means a candidate in a general election for election to the Montana supreme court.

NEW SECTION. Section 4. Montana supreme court election campaign financing program -- administration. (1) There is an account in the state special revenue fund in the state treasury to be used for financing Montana supreme court election campaigns. The account consists of all money deposited in the account.

(2) Money deposited in the account is statutorily appropriated, as provided in 17-7-502, to the secretary of state, and may be used by the secretary of state only for supreme court election campaign financing program payments and administration of the Montana supreme court election campaign financing program provided for in [sections 2 through 5]. Money in the account approved for payment by the secretary of state must be paid by the state treasurer in the same manner as payment of claims by a state agency.

(3) Money in the account not approved for payment by the secretary of state pursuant to [section 5] must remain in the account. Upon termination of [sections 2 through 5], money in the account must be deposited in the state general fund.

NEW SECTION. Section 5. Montana supreme court election campaign financing program -- timing and conditions of payment -- penalty. (1) The secretary of state shall administer a Montana supreme court election campaign financing program in accordance with [sections 2 through 5].

(2) Except as provided in this section, the secretary of state shall on August 1 in the year of a primary election approve the following amounts for payment from the account to each candidate for election to the Montana supreme court:

(a) $75,000, if two or more candidates have filed for one seat; or

(b) $8,000, if only one candidate has filed for one seat.

(3) If there is sufficient money in the account, the secretary of state shall, not later than October 1 in the year of a primary election, approve the payment of one-half of the amount provided in subsection (2) to be made to a candidate who replaces a candidate who died or withdrew from a race prior to the general election.

(4) A payment from the account may not be approved by the secretary of state if the candidate has informed the secretary of state that the payment will not be accepted by the candidate.

(5) Acceptance by a candidate of a payment made pursuant to this section does not prohibit the candidate from accepting a campaign contribution in money or in kind from another source.

(6) A candidate who accepts a payment from the account shall, within 120 days after the time for filing the closing campaign report pursuant to 13-37-228, return to the secretary of state surplus funds from the candidate's campaign received from any source. The secretary of state shall provide a form to accompany a payment made pursuant to this section informing the candidate of the candidate's responsibility to return surplus campaign funds from any source to the secretary of state once a payment from the account is accepted by the candidate. For the purposes of this section, a payment from the account is accepted by a candidate by the cashing of the state warrant drawn upon the account.

(7) A candidate who accepts a payment from the account but withdraws from the race before the election shall return surplus campaign funds received from any source to the secretary of state within 120 days of withdrawal from the race. The campaign treasurer for a candidate who accepted a payment from the account but died before the election shall return surplus campaign funds received from any source to the secretary of state within 120 days of the candidate's death.

(8) The secretary of state shall deposit in the account money returned to the secretary of state pursuant to subsections (6) and (7).

(9) A candidate or campaign treasurer failing to comply with the requirements of subsections (6) and (7) is guilty of a misdemeanor.

Section 6. Section 13-37-240, MCA, is amended to read:

"13-37-240. Surplus campaign funds. (1) A candidate shall dispose of any surplus funds from the candidate's campaign within 120 days after the time of filing the closing campaign report pursuant to 13-37-228. In disposing of the surplus funds, a candidate may not contribute the funds to another campaign, including the candidate's own future campaign, or use the funds for personal benefit. The candidate shall provide a supplement to the closing campaign report to the commissioner showing the disposition of any surplus campaign funds.

(2) A candidate for election to the supreme court who has accepted a payment from the Montana supreme court election campaign financing program provided for in [sections 2 through 5] shall comply with [section 5(6)]. A candidate who accepts a payment from the Montana supreme court election campaign financing program but withdraws from the race before the election shall comply with [section 5(7)]. The campaign treasurer of a candidate for election to the supreme court who accepted a payment from the supreme court election campaign financing program but died before the general election shall comply with [section 5(7)].

(3) For purposes of this section, "personal benefit" means a use that will provide a direct or indirect benefit of any kind to the candidate or any member of the candidate's immediate family."

Section 7. Section 17-7-502, MCA, is amended to read:

"17-7-502. (Temporary) Statutory appropriations -- definition -- requisites for validity. (1) A statutory appropriation is an appropriation made by permanent law that authorizes spending by a state agency without the need for a biennial legislative appropriation or budget amendment.

(2) Except as provided in subsection (4), to be effective, a statutory appropriation must comply with both of the following provisions:

(a) The law containing the statutory authority must be listed in subsection (3).

(b) The law or portion of the law making a statutory appropriation must specifically state that a statutory appropriation is made as provided in this section.

(3) The following laws are the only laws containing statutory appropriations: 2-17-105; 3-5-901; 5-13-403; 10-3-203; 10-3-310; 10-3-312; 10-3-314; 10-4-301; [section 4]; 15-1-111; 15-23-706; 15-30-195; 15-31-702; 15-36-324; 15-36-325; 15-37-117; 15-38-202; 15-65-121; 15-70-101; 16-1-404; 16-1-406; 16-1-411; 16-11-308; 17-3-106; 17-3-212; 17-3-222; 17-6-101; 17-7-304; 18-11-112; 19-3-319; 19-6-709; 19-9-702; 19-13-604; 19-17-301; 19-18-512; 19-19-305; 19-19-506; 20-8-107; 20-8-111; 20-26-1503; 22-3-1004; 23-5-136; 23-5-306; 23-5-409; 23-5-610; 23-5-612; 23-5-631; 23-7-301; 23-7-402; 37-43-204; 37-51-501; 39-71-503; 39-71-907; 39-71-2321; 42-2-105; 44-12-206; 44-13-102; 50-4-623; 53-6-703; 53-24-206; 67-3-205; 75-1-1101; 75-5-1108; 75-6-214; 75-11-313; 77-1-131; 80-2-103; 80-2-222; 80-4-416; 81-5-111; 82-11-161; 85-20-402; 87-1-513; 90-3-301; 90-4-215; 90-6-331; and 90-9-306.

(4) There is a statutory appropriation to pay the principal, interest, premiums, and costs of issuing, paying, and securing all bonds, notes, or other obligations, as due, that have been authorized and issued pursuant to the laws of Montana. Agencies that have entered into agreements authorized by the laws of Montana to pay the state treasurer, for deposit in accordance with 17-2-101 through 17-2-107, as determined by the state treasurer, an amount sufficient to pay the principal and interest as due on the bonds or notes have statutory appropriation authority for the payments. (In subsection (3): pursuant to sec. 7, Ch. 567, L. 1991, the inclusion of 19-6-709 terminates upon death of last recipient eligible for supplemental benefit; pursuant to sec. 7(2), Ch. 29, L. 1995, the inclusion of 15-30-195 terminates July 1, 2001; pursuant to sec. 5, Ch. 461, L. 1997, the inclusion of 77-1-131 terminates October 1, 2003; and pursuant to secs. 13, 16(1), Ch. 549, L. 1997, the inclusion of 90-3-301 terminates July 1, 1999.)

17-7-502. (Effective July 1, 2008) Statutory appropriations -- definition -- requisites for validity. (1) A statutory appropriation is an appropriation made by permanent law that authorizes spending by a state agency without the need for a biennial legislative appropriation or budget amendment.

(2) Except as provided in subsection (4), to be effective, a statutory appropriation must comply with both of the following provisions:

(a) The law containing the statutory authority must be listed in subsection (3).

(b) The law or portion of the law making a statutory appropriation must specifically state that a statutory appropriation is made as provided in this section.

(3) The following laws are the only laws containing statutory appropriations: 2-17-105; 3-5-901; 5-13-403; 10-3-203; 10-3-310; 10-3-312; 10-3-314; 10-4-301; [section 4]; 15-23-706; 15-30-195; 15-31-702; 15-36-324; 15-36-325; 15-37-117; 15-38-202; 15-65-121; 15-70-101; 16-1-404; [16-1-406;] 16-1-411; 16-11-308; 17-3-106; 17-3-212; 17-3-222; 17-5-404; 17-5-804; 17-6-101; 17-7-304; 18-11-112; 19-3-319; 19-6-709; 19-9-702; 19-13-604; 19-17-301; 19-18-512; 19-19-205; 19-19-305; 19-19-506; 20-8-107; 20-9-361; 20-26-1503; 22-3-1004; 23-5-136; 23-5-306; 23-5-409; 23-5-610; 23-5-612; 23-5-631; 23-7-301; 23-7-402; 32-1-537; 37-43-204; 37-51-501; 39-71-503; 39-71-907; 39-71-2321; 42-2-105; 44-12-206; 44-13-102; 50-4-623; 50-5-232; 50-40-206; 53-6-150; 53-6-703; 53-24-206; 60-2-220; 67-3-205; 75-1-1101; 75-5-1108; 75-6-214; 75-5-1108; 75-6-214; 75-11-313; 77-1-505; 80-2-103; 80-2-222; 80-4-416; 81-5-111; 82-11-136; 82-11-161; 85-1-220; 85-20-402; 87-1-513; 90-4-215; 90-6-331; 90-7-220; 90-7-221; and 90-9-306.

(4) There is a statutory appropriation to pay the principal, interest, premiums, and costs of issuing, paying, and securing all bonds, notes, or other obligations, as due, that have been authorized and issued pursuant to the laws of Montana. Agencies that have entered into agreements authorized by the laws of Montana to pay the state treasurer, for deposit in accordance with 17-2-101 through 17-2-107, as determined by the state treasurer, an amount sufficient to pay the principal and interest as due on the bonds or notes have statutory appropriation authority for the payments. (In subsection (3): pursuant to sec. 7, Ch. 567, L. 1991, the inclusion of 19-6-709 terminates upon death of last recipient eligible for supplemental benefit; and pursuant to sec. 68(2), Ch. 422, L. 1997, this version becomes effective July 1, 2008.)"

NEW SECTION. Section 8. Fund transfers. (1) On July 1, 2000, there is transferred from the general fund to the secretary of state $300,000 to be deposited in the account created in [section 4] and used for the purposes of that account.

(2) On July 1, 2002, there is transferred from the general fund to the secretary of state $1,250,000 to be deposited in the account created in [section 4] and used for the purposes of that account.

NEW SECTION. Section 9. Codification instruction. (1) [Section 1] is intended to be codified as an integral part of Title 15, chapter 30, part 1, and the provisions of Title 15, chapter 30, part 1, apply to [section 1].

(2) [Sections 2 through 5] are intended to be codified as an integral part of Title 13, and the provisions of Title 13 apply to [sections 2 through 5].

NEW SECTION. Section 10. Effective dates -- contingent voidness. (1) [Section 1] is effective January 1, 2000, if [this act] is passed and approved without funding for the secretary of state in the amounts of $300,000 on July 1, 2000, and $150,000 on July 1, 2002, to be deposited in the account created in [section 4].

(2) If [this act] is passed and approved with the funding referred to in subsection (1), then [section 1] is void.

(3) [Sections 2 through 9, 11, and 12 and this section] are effective October 1, 1999.

NEW SECTION. Section 11. Applicability. [This act] applies to tax years beginning after December 31, 1998.

NEW SECTION. Section 12. Termination. [This act] terminates January 1, 2003.

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