102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB3541

 

Introduced 2/22/2021, by Rep. Kelly M. Cassidy

 

SYNOPSIS AS INTRODUCED:
 
10 ILCS 5/9-1.8  from Ch. 46, par. 9-1.8
10 ILCS 5/9-6  from Ch. 46, par. 9-6

    Amends the Election Code. Includes in the definitions of "political action committee", "ballot initiative committee", and "independent expenditure committee" an organization organized for tax-exempt status under the Internal Revenue Code. Provides that an organization that qualifies for tax-exempt status under the Internal Revenue Code may, in order to comply with the specific reporting provisions that are required of political committees, establish a separate political committee in which the exclusive function is to receive or make contributions, make expenditures, or any combination thereof, to support or oppose candidates or questions of public policy. Allows the nonprofit organizations to create a separate segregated fund in which contributions shall be deposited or made and from which expenditures shall be disbursed. Provides that if the nonprofit organization chooses the option, the disclosure of any deposits of money into the segregated fund shall report the original sources of the money and not the name of the parent nonprofit organization. Effective immediately.


LRB102 13488 SMS 18835 b

 

 

A BILL FOR

 

HB3541LRB102 13488 SMS 18835 b

1    AN ACT concerning elections.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Election Code is amended by changing
5Sections 9-1.8 and 9-6 as follows:
 
6    (10 ILCS 5/9-1.8)   (from Ch. 46, par. 9-1.8)
7    Sec. 9-1.8. Political committees.
8    (a) "Political committee" includes a candidate political
9committee, a political party committee, a political action
10committee, a ballot initiative committee, and an independent
11expenditure committee.
12    (b) "Candidate political committee" means the candidate
13himself or herself or any natural person, trust, partnership,
14corporation, or other organization or group of persons
15designated by the candidate that accepts contributions or
16makes expenditures during any 12-month period in an aggregate
17amount exceeding $5,000 on behalf of the candidate.
18    (c) "Political party committee" means the State central
19committee of a political party, a county central committee of
20a political party, a legislative caucus committee, or a
21committee formed by a ward or township committeeperson of a
22political party. For purposes of this Article, a "legislative
23caucus committee" means a committee established for the

 

 

HB3541- 2 -LRB102 13488 SMS 18835 b

1purpose of electing candidates to the General Assembly by the
2person elected President of the Senate, Minority Leader of the
3Senate, Speaker of the House of Representatives, Minority
4Leader of the House of Representatives, or a committee
5established by 5 or more members of the same caucus of the
6Senate or 10 or more members of the same caucus of the House of
7Representatives.
8    (d) "Political action committee" means any natural person,
9trust, partnership, committee, association, corporation, or
10other organization, including one organized for tax-exempt
11status under Section 501(c)(4), 501(c)(5), or 501(c)(6) of the
12Internal Revenue Code, or group of persons, other than a
13candidate, political party, candidate political committee, or
14political party committee, that accepts contributions or makes
15expenditures during any 12-month period in an aggregate amount
16exceeding $5,000 on behalf of or in opposition to a candidate
17or candidates for public office. "Political action committee"
18includes any natural person, trust, partnership, committee,
19association, corporation, or other organization, including one
20organized for tax-exempt status under Section 501(c)(4),
21501(c)(5), or 501(c)(6) of the Internal Revenue Code, or group
22of persons, other than a candidate, political party, candidate
23political committee, or political party committee, that makes
24electioneering communications during any 12-month period in an
25aggregate amount exceeding $5,000 related to any candidate or
26candidates for public office.

 

 

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1    (e) "Ballot initiative committee" means any natural
2person, trust, partnership, committee, association,
3corporation, or other organization, including one organized
4for tax-exempt status under Section 501(c)(4), 501(c)(5), or
5501(c)(6) of the Internal Revenue Code, or group of persons
6that accepts contributions or makes expenditures during any
712-month period in an aggregate amount exceeding $5,000 in
8support of or in opposition to any question of public policy to
9be submitted to the electors. "Ballot initiative committee"
10includes any natural person, trust, partnership, committee,
11association, corporation, or other organization, including one
12organized for tax-exempt status under Section 501(c)(4),
13501(c)(5), or 501(c)(6) of the Internal Revenue Code, or group
14of persons that makes electioneering communications during any
1512-month period in an aggregate amount exceeding $5,000
16related to any question of public policy to be submitted to the
17voters. The $5,000 threshold applies to any contributions or
18expenditures received or made with the purpose of securing a
19place on the ballot for, advocating the defeat or passage of,
20or engaging in electioneering communication regarding the
21question of public policy, regardless of the method of
22initiation of the question of public policy and regardless of
23whether petitions have been circulated or filed with the
24appropriate office or whether the question has been adopted
25and certified by the governing body.
26    (f) "Independent expenditure committee" means any trust,

 

 

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1partnership, committee, association, corporation, or other
2organization or group of persons formed for the exclusive
3purpose of making independent expenditures during any 12-month
4period in an aggregate amount exceeding $5,000 in support of
5or in opposition to (i) the nomination for election, election,
6retention, or defeat of any public official or candidate or
7(ii) any question of public policy to be submitted to the
8electors. "Independent expenditure committee" also includes
9any trust, partnership, committee, association, corporation,
10or other organization, including one organized for tax-exempt
11status under Section 501(c)(4), 501(c)(5), or 501(c)(6) of the
12Internal Revenue Code, or group of persons that makes
13electioneering communications that are not made in connection,
14consultation, or concert with or at the request or suggestion
15of a public official or candidate, a public official's or
16candidate's designated political committee or campaign, or an
17agent or agents of the public official, candidate, or
18political committee or campaign during any 12-month period in
19an aggregate amount exceeding $5,000 related to (i) the
20nomination for election, election, retention, or defeat of any
21public official or candidate or (ii) any question of public
22policy to be submitted to the voters.
23(Source: P.A. 100-1027, eff. 1-1-19.)
 
24    (10 ILCS 5/9-6)  (from Ch. 46, par. 9-6)
25    Sec. 9-6. Accounting for contributions.

 

 

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1    (a) A person who collects or accepts a contribution for a
2political committee shall, within 5 days after receipt of such
3contribution, submit to the treasurer a detailed account of
4the contribution, including (i) the amount, (ii) the name and
5address of the person making such contribution, (iii) the date
6on which the contribution was received, and (iv) the name and
7address of the person collecting or accepting the contribution
8for the political committee. A political committee shall
9disclose on the quarterly statement the name, address, and
10occupation of any person who collects or accepts contributions
11from at least 5 persons in the aggregate of $3,000 or more
12outside of the presence of a candidate or not in connection
13with a fundraising event sanctioned or coordinated by the
14political committee during a reporting period. This subsection
15does not apply to a person who is an officer of the committee,
16a compensated employee, a person authorized by an officer or
17the candidate of a committee to accept contributions on behalf
18of the committee, or an entity used for processing financial
19transactions by credit card or other means.
20    (b) Within 5 business days of contributing goods or
21services to a political committee, the contributor shall
22submit to the treasurer a detailed account of the
23contribution, including (i) the name and address of the person
24making the contribution, (ii) a description and market value
25of the goods or services, and (iii) the date on which the
26contribution was made.

 

 

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1    (c) All funds of a political committee shall be segregated
2from, and may not be commingled with, any personal funds of
3officers, members, or associates of such committee.
4    (d) An organization that qualifies for tax-exempt status
5under Section 501(c)(4), 501(c)(5), or 501(c)(6) of the
6Internal Revenue Code may, in order to comply with the
7specific reporting provisions that are required of political
8committees, establish a separate political committee in the
9manner described in Section 9-3 in which the exclusive
10function is to receive or make contributions, make
11expenditures, or any combination thereof, to support or oppose
12candidates or questions of public policy.
13    To facilitate this option, nonprofit organizations may
14create a separate segregated fund in which contributions shall
15be deposited or made pursuant to Section 9-1.4 and from which
16expenditures shall be disbursed pursuant to Section 9-1.5.
17    If a nonprofit organization chooses this option, the
18disclosure of any deposits of money into the segregated fund
19shall report the original sources of the money and not the name
20of the parent nonprofit organization.
21(Source: P.A. 96-832, eff. 1-1-11.)
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.