Requires entities advertising for political purposes to disclose in such advertisements the source thereof

3 Co-sponsors

• Kevin S. Parker
• John L. Sampson
• Daniel L. Squadron

BILL NUMBER:S1921

Title of bill

An act to amend the election law, in relation to the disclosure of sources for political advertisements

Purpose

The purpose of this bill is to ensure that the public is fully informed of the sources of political advertisements in support of or in opposition to a candidate, or a ballot proposal or constitutional amend- ment, in order to prevent the sponsors of such communications from concealing their interests in the outcome by acting through third parties, such as trade associations.

Summary of provisions

Section 1: Adds a new election law section Sec. 14-107, which defines independent expenditures and those affected by the bill, such as trade associations, and requires that whenever a person or trade association makes an independent expenditure of more than one thousand dollars for a political advertisement or other communication to the general public, the one paying for it must be identified, and the communication must state that it is not authorized by the candidate or his or her commit- tee. If the sponsor is a trade association, it must disclose its three largest contributors since January first of the year in which the adver- tisement is published, and, if the advertisement is made with respect to a presidential primary race, it must disclose the three largest contrib- utors since July first of the year before the primary. Willful violation of these provisions is punishable by a civil penalty of up to $1,000 or the cost of the communication, whichever is greater, and the attorney general is given concurrent jurisdiction with district attorneys to prosecute such offenses.

Section 2: Provides that the Act takes effect immediately.

Existing law

None.

Justification

This bill is a response to the decision of the U.S. Supreme Court in Citizens United v. Federal Election commission, which effectively eliminated restrictions on corporations' ability to spend corporate treasury funds in support of or in opposition to political candidates, political parties and ballot issues. Disclosure of corporate funding of political advertising is viewed by many as at least a partial solution, as it will empower the press to investigate the interests being served by the political advertising, and allow the public to make informed decisions regarding the weight to be given to such advertising. Because recent statements by some corporate leaders have indicated that they would try to hide their political expenditures by contributing to trade associations that could buy political advertisements without disclosing the source of their funding, this bill requires that such trade associations disclose in any such advertisements their three larg- est contributors.

Legislative history

2010: S.7479 - Advanced to Third Reading Calendar. 2011-2012: S.1566 - Referred to Elections.

Fiscal implications

None to the state.

Effective date

This bill is effective immediately.