STAND. COM. REP. NO.705
Honolulu, Hawaii
, 2001
RE: H.B. No. 170
H.D. 1
Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twenty-First State Legislature
Regular Session of 2001
State of Hawaii
Sir:
Your Committee on Judiciary and Hawaiian Affairs, to which was referred H.B. No. 170 entitled:
"A BILL FOR AN ACT RELATING TO ELECTIONS,"
begs leave to report as follows:
The purpose of this bill is to require that expenditures or financial assistance of a political party to a candidate, with or without the cooperation, consultation, request, or suggestion of the candidate, are contributions to and expenditures by the candidate.
Kokua Council testified in support of this bill. Common Cause Hawaii testified in support of the intent of the bill. The Hawaii Republican Party, Advocates for Consumer Rights, and the Representative from the 50th District testified in opposition to the measure. The Campaign Spending Commission commented on the bill.
Your Committee circulated a draft bill containing many proposed amendments to this measure. Your Committee has accordingly amended this bill; and, as amended, this bill:
(1) Allows voters with physical disabilities to receive a ballot outside the polling place, but within the 100 foot area, and vote.
(2) Removes expenditures of nominal value from campaign spending requirements. "Nominal value" means a value so small that it's negligible – perhaps something such as a pencil, rubberband, etc. but maybe not a box of pencils or case of rubber bands.
(3) Limits qualifying campaign contributions to those made by individual residents of Hawaii. Receiving only qualifying campaign contributions allows a candidate to receive public funding for an election.
(4) Requires that notification of failure to report or filing of a substantially defective or deficient report be done by registered mail.
(5) Repeals the requirement that an explanation accompany the correction; repeals the requirement that the correction be in writing; changes the time of submission for the correction to be submitted from "5 days after mailing of the notice" to "5 days after receipt of the notice."
(6) Replaces the requirement that a response is due after newspaper notification or website publication with a requirement that a response is due after notification has been mailed.
(7) Repeals the duty of the Commission to adopt a code of fair campaign practices as a part of its rules.
(8) Limits the compensation for the Executive Director of the Commission to that of deputies or assistants to department heads; limits compensation for other employees to that paid to civil service employees performing similar duties.
(9) Repeals the duty of the Commission to censure any candidate who fails to comply with the code of fair campaign practices.
(10) Changes the time the Commission has to render an advisory opinion about violations of the campaign spending laws from "within ninety days after all information necessary to issue an opinion has been obtained" to "within ninety days of the request".
(11) Exempts candidates or committees that have already filed an organizational report from filing additional such reports unless there have been changes since the previous report filed. Exempts candidates already in office from filing an organizational report when the candidate files nomination papers provided there have been no changes since the previous filing.
(12) Deletes requirements to file certain copies of reports from candidates or committees associated with candidates.
(13) Changes the amount of time a county clerk's office must preserve reports filed pursuant to the election law from 10 years to the current election cycle.
(14) Consolidates the filing requirements of the chairperson, treasurer, other officers, and the custodians of the books and account if other than a designated officer.
(15) Authorizes the campaign treasurer or the deputy campaign treasurer to designate a person to receive contributions or make expenditures on behalf of the appointing candidate, committee, or party.
(16) Authorizes campaign funds to be contributed to nonprofit organizations provided they meet the state and federal requirements for nonprofits for income tax purposes.
(17) Cuts contribution amounts in half.
(18) Prohibits state and national banks, corporations and labor organizations from contributing to campaigns or soliciting funds from anyone other than stockholders, officers, members or their families.
(19) Prohibits campaign contributions from any person who has been awarded a government contract. Prohibits contributors from receiving government contracts.
(20) Requires that recipients of excess campaign contributions be nonprofit organizations exempt from taxation pursuant to section 501(c)(3) of the Internal Revenue Code.
(21) Authorizes a campaign treasurer to designate a person who may withdraw or pay funds from a campaign depository.
(22) Requires any political party that makes an expenditure in support of an identifiable candidate to file a report with the Campaign Spending Commission which includes the name of the candidate and the amount of the expenditure.
(23) Removes the notarization requirement for the affidavit for voluntary campaign expenditure limitation.
(24) Requires the Campaign Spending Commission to submit an analysis of data in each race including:
(A) The total amount spent;
(B) The sources of contributions by sector and by amount; and
(C) The ratio of spending of successful to nonsuccessful races.
(25) Requires clear, audible, or legible, prominent disclaimers containing specific information about who paid for all campaign advertisements.
(26) Prohibits a party from advertising in support of a candidate, against a candidate's opponent, or on ballot issues unless they meet the same conditions currently required of candidates or their committees in the same circumstances. Includes a penalty up to $1000 for a violation of these provisions.
(27) Raises the amount of public funding available to a candidate in any election from 15% to 30% of the total expenditure limit for each election.
(28) Prohibits candidates for governor and lieutenant governor running as co-candidates in a general election from receiving public funds if one of the candidates has not agreed to abide by the required spending limits for such funding.
(29) Raises the amount that an individual may pay to the Hawaii Election Campaign Fund from $2 to $8.
(30) Deletes the exemption for house bulletins from the campaign spending law.
Your Committee is confident that these changes to Hawaii's campaign spending law will ensure equality and fairness in the election system while ensuring the integrity of the election process.
As affirmed by the record of votes of the members of your Committee on Judiciary and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 170, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 170, H.D. 1, and be placed on the calendar for Third Reading.
Respectfully submitted on behalf of the members of the Committee on Judiciary and Hawaiian Affairs,
____________________________ ERIC G. HAMAKAWA, Chair |
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