STAND. COM. REP. NO. 2590

Honolulu, Hawaii

RE: S.B. No. 2992

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred S.B. No. 2992 entitled:

"A BILL FOR AN ACT RELATING TO CAMPAIGN FINANCE,"

begs leave to report as follows:

The purpose and intent of this measure is to clarify that the definition of "advertisement" as it relates to campaign finance law does not include signs, banners, bumper stickers, and other sundry items.

Your Committee received testimony in opposition to this measure from the Campaign Spending Commission.

Your Committee finds that signs and banners are a common component of political campaigns, including organized advertising by candidates, committees, or grassroot political activities. Due to the size and manner of construction of some signs and banners, especially for those signs and banners that are handmade, it creates a potentially untenable situation when considering the disclosures required under campaign finance law. Your Committee further finds that the blanket removal of signs and banners from the definition of "advertising" may lead candidate and noncandidate committees to believe that expenditures for campaign signs and banners need not be reported on the Campaign Spending Commission's electronic filing system, which could reduce transparency in campaign financing.

Your Committee has amended this measure by:

(1) Removing language amending the definition of "advertisement" as it relates to campaign finance law; and

(2) Adding language exempting signs and banners from the requirement that campaign advertisements contain the name and address of the candidate, candidate committee, noncandidate committee, or other person paying for the sign or banner and notice of whether or not the sign or banner has the approval of the candidate; provided that signs and banners advocating passage or defeat of an issue or question on the ballot are required to contain the name and address of the candidate, candidate committee, or noncandidate committee paying for the sign or banner.

As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2992, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2992, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Judiciary,

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BRIAN T. TANIGUCHI, Chair