Presented by: Gary J. Holland, Assistant General Counsel, Department of State

Telephone: 850-245-6536 Email: gjholland@dos.state.fl.usJune 23, 2011

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Kurt S. BrowningSecretary of State

Dr. Gisela Salas

Director, Division of Elections

Florida Department of State

An Overview of Changes in 2011 to

Chapter 106, Florida Statutes - Campaign Financing

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Statement of Candidate(s. 106.023 – Changed)

Revised wording of DS-DE 84 –

a cost savings:

From having “received, read, and understand the requirements of Chapter 106” to having “been provided access to read and understand the requirements ….”

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Registered Agent(s. 106.022 – New)

New provision for political committees and ECO filings:

The appointment of the registered agent is filed with applicable filing officer (not always with the Division, as existed formerly).

•Form for appointment: DS-DE 414

Political Parties/APCs “Testing the Waters” Polls (s. 106.17 – New)

New provision:

A state or county political party executive committee or an affiliated party committee may conduct polls for purpose of determining the viability of potential candidates. Poll results may be shared with and are not considered contributions to the potential candidate. 5

Acceptance by Political Party of In-Kind Contribution (s. 106.08 – Changed)

A county party executive committee must file a prior written acceptance of an in-kind contribution with the SOE (no longer only with the Division). The acceptance is filed at same time as finance reports are due.

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Cash Contributions(s. 106.09 – Changed)

• Clarification:

May contribute NMT $50 cash or by cashier’s check in the aggregate per candidate or committee per election.

(Thus, can be $50 before primary; another $50 before general)

Designation of Campaign Account (s. 106.11(1) – Changed)

Remedies conflict between s. 106.05 and s.106.11 concerning naming the campaign account. Mandates name of campaign account to be:

“(Name of candidate or committee) Campaign Account”

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Debit Cards(s. 106.11(2) – Changed)

Two provisions deleted:

1.List of authorized debit card

users provided to the Division

2. Required expiration date to be Nov 30th of general election year.

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Loans by Candidates(s. 106.11(6) – New)

New provision:

A candidate who makes a loan to his/her campaign which has been reported per s. 106.07 may be reimbursed for the loan at any time the campaign account has sufficient funds to repay the loan and satisfy its other obligations.

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Surplus Funds Disposition (s. 106.141 – Changed)

A candidate who has surplus funds at the end of the campaign has no limit as to the amount of those funds that may be given to his/her political party.

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Political Committees(s. 106.03 – Changed)

Trigger for registering:

Changed from “anticipating” receiving contributions or making expenditures >$500/calendar year to

actually receiving contributions or making expenditures >$500/calendar year

Location for registration:

If PC would be required to file in two or more locations, need only file with the Division.

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Electioneering Communications Organizations(s. 106.03 – Changed)

Criteria for filing statement of organization:

Filing of Statement of Organization now dependent on expenditures, not receipt of contributions; plus, depends on the timing of the expenditure. (see next slides)

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Electioneering Communications Organizations(s. 106.03 – Changed) cont’d

Group must file as an ECO within:

1.24 hours of the date on which group makes expenditures for an EC > $5000 if such expenditures occur within 30 days of a primary or special primary election or 60 days before any other election.

OR

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Electioneering Communications Organizations (s. 106.03 – Changed) cont’d

2.24 hours after the 30th day before a primary or special primary election or 60 days before any other election, as applicable, if the group makes expenditures for an EC > $5000 before the “30/60” window.

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Electioneering Communications Organizations (s. 106.03 – Changed) cont’d

Gary Holland’s interpretation and bottom-line:

1. If a group makes expenditures > $5000 during the “30/60-day” window, it must register as an ECO within 24 hours of making such expenditures; or

2. If a group makes expenditures > $5000 before the “30/60-day” window, it need not register as an ECO until 24 hours after the beginning of the “30/60-day” window. 16

Electioneering Communications Organizations (s. 106.03) cont’d

Example #1: A group spends $10,000 for a TV advertisement 90 days before an election to show facts why a pending referendum should be defeated.

Does this trigger an ECO registration requirement?

Answer: No. It’s a trick question; electioneering communications concern only candidates, not issues. 17

Electioneering Communications Organizations (s. 106.03) cont’d

Example #2: A group spends $8,000 for an EC TV advertisement 45 days before the primary election praising the virtues of a candidate.

Does this trigger an ECO registration requirement?

Answer: Yes – the group must register as ECO within 24 hours after the 30th day before the primary election. 18

Electioneering Communications Organizations (s. 106.03) cont’d

Example #3: A group spends $3,500 for a direct mail campaign 20 days before the general election detailing the vices of a candidate.

Does this trigger an ECO registration requirement?

Answer: No, to trigger the ECO registration, the expenditures must exceed $5,000. 19

Electioneering Communications Organizations(s. 106.03 – Changed) cont’d

Location for ECO registration:

If ECO would be required to file in two or more locations, it need only file with the Division.

Retroactive reports back to last

general election no longer required.

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Campaign Finance Reports

(s. 106.07 – Changed)

• Timing: Clarifies that there is not a quarterly report due for 3rd quarter immediately preceding a general election.

• Special Primary Election to fill vacancy: PCs making expenditures to influence the election must file reports on dates set by Department.

Campaign Finance Reports(s. 106.07 – Changed) cont’d

• Notice for incomplete reports: No longer required to be by registered mail; can be by certified mail or another delivery method using a common carrier that provides proof of delivery.

• Notice for incomplete or late-filed reports: Deemed complete upon proof of delivery to address on record with the filing officer.

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Campaign Finance Reports(s. 106.07 – Changed) cont’d

• Incomplete reports: Campaign treasurers have 7 (formerly 3) days after notice to file amended report.

• Checks: Removes outdated provision that depository had to return all checks to treasurer.

• Receipts for reimbursed expenditures: Treasurer must retain receipts for reimbursement.

Campaign Finance Reports(s. 106.07 – Changed) cont’d

• Increased Fine Provisions: Now also apply to reports that are due preceding special primary and special elections.

• Notice of late filed reports by PC: Notice may now also be served on registered agent, not merely the chair.

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Political Party’s Campaign Finance Reports(s. 106.29 – Changed)

• Special primary or special election to fill vacancy: Parties who make expenditures to influence the election now must file reports on dates set by Department.

• Increased fines: Applicable now to special elections (if fail to file on preceding Friday).

• Notice for late-filed reports: Sufficient if proof of delivery to address on record for party chair.

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Disclaimers & Political Advertisements(s. 106.143 – Changed)

4 major changes:

1. If ad paid for by a candidate: Ad need not

say “approved by” the candidate.

2.Disclaimer now exists for write-in candidate: No party affiliation permitted in this disclaimer.

3.Nonpartisan candidates: Ch 106 now prohibits campaigning based on party affiliation.

4.Tickets and ads for campaign fundraisers: No longer need a disclaimer (s. 106.025).

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New Provisions re: Enforcement of Chapter 106

• Violation of Ch 106 does not affect candidate’s qualifying for office, unless law prescribes such.

• Respondents given 14 days to respond before Florida Elections Commission may find a complaint legally sufficient.

• DOAH can impose fines in cases generated from the Commission.

• Commission may enter into consent order without respondent admitting violation.

POCs at Department of State for questions on Chapter 106:

Procedural: Kristi Reid BronsonBureau of Elections Recordsphone: 850-245-6240email: krbronson@dos.state.fl.us

Legal: Gary J. HollandOffice of General Counsel phone: 850-245-6536 email: gjholland@dos.state.fl.us

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Questions

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