S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7506

                            I N  S E N A T E

                             April 16, 2010
                               ___________

Introduced by Sens. ADAMS, SQUADRON, ADDABBO, BRESLIN, KRUEGER, PERKINS,
  SCHNEIDERMAN, SERRANO, THOMPSON -- read twice and ordered printed, and
  when printed to be committed to the Committee on Elections

AN  ACT  enacting  the  "2010 Campaign Finance Reform Act"; to amend the
  election law, the state finance law and the tax law,  in  relation  to
  providing  for  optional  partial public financing of certain election
  campaigns in this state; and to amend the election law, in relation to
  limiting personal use of campaign funds, establishing certain contrib-
  ution limits, identification of the source of certain political commu-
  nications and providing for a state  board  of  elections  enforcement
  unit and counsel

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Short title.  This act shall be known and may be  cited  as
the "2010 Campaign Finance Reform Act".
  S  2.  Legislative findings and declaration.  The legislature declares
that it is in the public interest to create and ensure a truly democrat-
ic political system in which citizens,  irrespective  of  their  income,
status,  or financial connections, are enabled and encouraged to compete
for public office. Therefore, the  legislature  finds  it  necessary  to
establish  a system of public financing for all qualified candidates for
state elective offices and constitutional convention delegates.
  S 3. The article heading of article 14 of the election law is  amended
to read as follows:

          CAMPAIGN RECEIPTS AND EXPENDITURES; PUBLIC FINANCING

  S 4. Section 14-100 of the election law is amended by adding three new
subdivisions 12, 13 and 14 to read as follows:
  12. "CLEARLY IDENTIFIED CANDIDATE" MEANS THAT:
  (A) THE NAME OF THE CANDIDATE INVOLVED APPEARS;
  (B) A PHOTOGRAPH OR DRAWING OF THE CANDIDATE APPEARS; OR
  (C)  THE  IDENTITY  OF THE CANDIDATE IS APPARENT BY UNAMBIGUOUS REFER-
ENCE.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD16792-02-0

S. 7506                             2

  13. "GENERAL PUBLIC AUDIENCE" MEANS AN AUDIENCE COMPOSED OF MEMBERS OF
THE PUBLIC, INCLUDING A TARGETED SUBGROUP  OF  MEMBERS  OF  THE  PUBLIC;
PROVIDED,  HOWEVER,  IT  DOES  NOT  MEAN AN AUDIENCE SOLELY COMPRISED OF
MEMBERS, RETIREES AND STAFF OF A LABOR ORGANIZATION OR  THEIR  IMMEDIATE
FAMILY  MEMBERS  OR AN AUDIENCE SOLELY COMPRISED OF EMPLOYEES OF A BUSI-
NESS ENTITY.
  14. "LABOR ORGANIZATION" MEANS ANY  ORGANIZATION  OF  ANY  KIND  WHICH
EXISTS  FOR  THE PURPOSE, IN WHOLE OR IN PART, OF REPRESENTING EMPLOYEES
EMPLOYED WITHIN THE STATE OF NEW  YORK  IN  DEALING  WITH  EMPLOYERS  OR
EMPLOYER  ORGANIZATIONS  OR WITH A STATE GOVERNMENT, OR ANY POLITICAL OR
CIVIL SUBDIVISION OR OTHER AGENCY THEREOF, CONCERNING TERMS  AND  CONDI-
TIONS  OF EMPLOYMENT, GRIEVANCES, LABOR DISPUTES, OR OTHER MATTERS INCI-
DENTAL TO THE EMPLOYMENT RELATIONSHIP.  FOR THE PURPOSES OF  THIS  ARTI-
CLE, EACH LOCAL, PARENT NATIONAL OR PARENT INTERNATIONAL ORGANIZATION OF
A  STATEWIDE LABOR ORGANIZATION, AND EACH STATEWIDE FEDERATION RECEIVING
DUES FROM SUBSIDIARY LABOR ORGANIZATIONS, SHALL BE CONSIDERED A SEPARATE
LABOR ORGANIZATION.
  S 5. Section 14-106 of the election law, as amended by  chapter  8  of
the laws of 1978, is amended to read as follows:
  S  14-106.  Political  [advertisements  and literature] COMMUNICATION.
The statements required to be filed under the provisions of this  [arti-
cle]  TITLE next succeeding a primary, general or special election shall
be accompanied by a [facsimile or]  copy  of  all  BROADCAST,  CABLE  OR
SATELLITE  SCHEDULES  AND SCRIPTS, advertisements, pamphlets, circulars,
flyers, brochures, letterheads and other  printed  matter  purchased  or
produced  [and  a  schedule of all radio or television time, and scripts
used therein], AND REPRODUCTIONS OF STATEMENTS OR  INFORMATION  CONVEYED
TO FIVE HUNDRED OR MORE MEMBERS OF A GENERAL PUBLIC AUDIENCE BY COMPUTER
OR  OTHER  ELECTRONIC DEVICE, purchased in connection with such election
by or under the authority of the person  filing  the  statement  or  the
committee or the person on whose behalf it is filed, as the case may be.
Such  [facsimiles,]  copies, schedules and scripts shall be preserved by
the officer with whom or the board with which it is required to be filed
for a period of one year from the date of filing thereof.
  S 6. The election law is amended by adding a  new  section  14-107  to
read as follows:
  S  14-107.  INDEPENDENT EXPENDITURE REPORTING. 1. FOR PURPOSES OF THIS
TITLE:
  (A) "INDEPENDENT EXPENDITURE" MEANS AN EXPENDITURE MADE  BY  A  PERSON
FOR  AN  AUDIO  OR  VIDEO COMMUNICATION TO A GENERAL PUBLIC AUDIENCE VIA
BROADCAST, CABLE OR SATELLITE OR A WRITTEN COMMUNICATION  TO  A  GENERAL
PUBLIC   AUDIENCE  VIA  ADVERTISEMENTS,  PAMPHLETS,  CIRCULARS,  FLYERS,
BROCHURES, LETTERHEADS OR OTHER PRINTED MATTER AND STATEMENTS OR  INFOR-
MATION  CONVEYED  TO  FIVE  HUNDRED  OR MORE MEMBERS OF A GENERAL PUBLIC
AUDIENCE BY COMPUTER OR OTHER ELECTRONIC DEVICES  WHICH:  (I)  EXPRESSLY
ADVOCATES  THE  ELECTION  OR DEFEAT OF A CLEARLY IDENTIFIED CANDIDATE OR
THE SUCCESS OR DEFEAT OF A BALLOT PROPOSAL AND (II) SUCH CANDIDATE,  THE
CANDIDATE'S  POLITICAL COMMITTEE OR ITS AGENTS, OR A POLITICAL COMMITTEE
FORMED TO PROMOTE THE SUCCESS OR DEFEAT OF  A  BALLOT  PROPOSAL  OR  ITS
AGENTS,  DID NOT AUTHORIZE, REQUEST, SUGGEST, FOSTER OR COOPERATE IN ANY
SUCH COMMUNICATION.
  (B) INDEPENDENT EXPENDITURES DO NOT INCLUDE:
  (I) A COMMUNICATION APPEARING IN A WRITTEN NEWS STORY, COMMENTARY,  OR
EDITORIAL  OR  DISTRIBUTED  THROUGH  THE  FACILITIES OF ANY BROADCASTING
STATION, CABLE OR SATELLITE UNLESS SUCH PUBLICATION  OR  FACILITIES  ARE

S. 7506                             3

OWNED  OR  CONTROLLED  BY  ANY  POLITICAL  PARTY, POLITICAL COMMITTEE OR
CANDIDATE; OR
  (II) A COMMUNICATION THAT CONSTITUTES A CANDIDATE DEBATE OR FORUM; OR
  (III)  A  COMMUNICATION  WHICH  CONSTITUTES  AN EXPENDITURE MADE BY AN
ENTITY REQUIRED TO REPORT SUCH EXPENDITURE WITH A BOARD OF ELECTIONS.
  (C) FOR PURPOSES OF THIS SECTION, THE TERM "PERSON" SHALL MEAN PERSON,
GROUP OF PERSONS, ENTITY, ORGANIZATION, CORPORATION OR ASSOCIATION.
  2. WHENEVER ANY PERSON MAKES ONE OR MORE INDEPENDENT EXPENDITURES THAT
IN THE AGGREGATE EXCEEDS ONE THOUSAND DOLLARS IN ANY CALENDAR YEAR, SUCH
COMMUNICATION DESCRIBED IN SUBDIVISION ONE OF THIS SECTION SHALL CLEARLY
STATE, WITH RESPECT TO COMMUNICATIONS  REGARDING  CANDIDATES,  THAT  THE
COMMUNICATION  IS NOT AUTHORIZED BY ANY CANDIDATE, ANY CANDIDATE'S POLI-
TICAL COMMITTEE OR ANY OF ITS AGENTS.  A KNOWING AND  WILLFUL  VIOLATION
OF  THE  PROVISIONS  OF  THIS  SUBDIVISION SHALL SUBJECT THE PERSON TO A
CIVIL PENALTY EQUAL TO ONE THOUSAND DOLLARS OR THE COST OF THE  COMMUNI-
CATION,  WHICHEVER  IS  GREATER, IN A SPECIAL PROCEEDING OR CIVIL ACTION
BROUGHT BY THE STATE BOARD OF ELECTIONS.
  3. (A) ANY PERSON WHICH MAKES INDEPENDENT EXPENDITURES THAT COST  MORE
THAN ONE THOUSAND DOLLARS IN THE AGGREGATE SHALL REPORT SUCH INDEPENDENT
EXPENDITURES  TO THE STATE BOARD OF ELECTIONS IN THE MANNER SPECIFIED IN
SECTION 14-108 OF THIS TITLE.
  (B) ANY INDEPENDENT EXPENDITURE MADE AFTER THE CLOSE OF THE PERIOD  TO
BE  COVERED  IN  THE LAST STATEMENT FILED BEFORE ANY PRIMARY, GENERAL OR
SPECIAL ELECTION, BUT BEFORE SUCH ELECTION,  SHALL  BE  REPORTED  WITHIN
TWENTY-FOUR  HOURS IN THE SAME MANNER AS PROVIDED FOR IN SUBDIVISION TWO
OF SECTION 14-108 OF THIS TITLE.
  4. EACH SUCH STATEMENT SHALL INCLUDE:
  (A) THE NAME AND ADDRESS OF THE PERSON MAKING THE STATEMENT;
  (B) THE NAME AND ADDRESS OF THE PERSON MAKING THE INDEPENDENT EXPENDI-
TURE;
  (C) THE NAME AND ADDRESS OF ANY PERSON OR  ENTITY  PROVIDING  A  GIFT,
LOAN,  ADVANCE  OR  DEPOSIT OF ONE HUNDRED DOLLARS OR MORE FOR THE INDE-
PENDENT EXPENDITURE, OR THE PROVISION OF SERVICES FOR THE SAME, AND  THE
DATE  IT  WAS GIVEN; PROVIDED, HOWEVER, THE NAME AND ADDRESS OF A MEMBER
OF A LABOR ORGANIZATION IS NOT REQUIRED FOR A  GIFT,  LOAN,  ADVANCE  OR
DEPOSIT  OF  ONE  HUNDRED  DOLLARS  OR MORE TO A LABOR ORGANIZATION OR A
LABOR ORGANIZATION POLITICAL ACTION COMMITTEE;
  (D) THE DOLLAR AMOUNT PAID FOR EACH INDEPENDENT EXPENDITURE, THE  NAME
AND  ADDRESS OF THE PERSON OR ENTITY RECEIVING THE PAYMENT, THE DATE THE
PAYMENT WAS MADE AND A DESCRIPTION OF THE INDEPENDENT EXPENDITURE; AND
  (E) THE ELECTION TO WHICH THE INDEPENDENT EXPENDITURE PERTAINS AND THE
NAME OF THE CLEARLY IDENTIFIED CANDIDATE OR THE BALLOT  PROPOSAL  REFER-
ENCED.
  5.  ANY  REPORT  MADE PURSUANT TO THIS SECTION SHALL INCLUDE A COPY OF
ALL MATERIALS THAT PERTAIN TO THE INDEPENDENT EXPENDITURE, INCLUDING BUT
NOT LIMITED TO BROADCAST,  CABLE  OR  SATELLITE  SCHEDULE  AND  SCRIPTS,
ADVERTISEMENTS, PAMPHLETS, CIRCULARS, FLYERS, BROCHURES, LETTERHEADS AND
OTHER PRINTED MATTER.
  6.  ANY  REPORT  OF A LOAN THAT IS MADE FOR AN INDEPENDENT EXPENDITURE
SHALL INCLUDE WRITTEN EVIDENCE OF THE INDEBTEDNESS.
  7. EVERY STATEMENT REQUIRED TO BE FILED PURSUANT TO THIS SECTION SHALL
BE FILED BY ELECTRONIC REPORTING PROCESS OR OVERNIGHT MAIL TO THE  STATE
BOARD OF ELECTIONS.
  8.  THE  STATE  BOARD  OF  ELECTIONS SHALL PROMULGATE REGULATIONS WITH
RESPECT TO THE STATEMENTS REQUIRED TO BE FILED BY THIS SECTION AND SHALL
PROVIDE FORMS SUITABLE FOR SUCH STATEMENTS.

S. 7506                             4

  S 7. Section 14-112 of the election law, as amended by chapter 930  of
the laws of 1981, is amended to read as follows:
  S  14-112.  Political committee authorization statement.  1. Any poli-
tical committee aiding or taking part in the election or  nomination  of
any  candidate,  other  than by making contributions, shall file, in the
office in which the statements of such committee are to be filed  pursu-
ant  to  this  [article] TITLE, either a sworn verified statement by the
treasurer of such committee that the candidate has authorized the  poli-
tical  committee  to aid or take part in his election or that the candi-
date has not authorized the  committee  to  aid  or  take  part  in  his
election.
  2.  NO  LATER  THAN  THREE DAYS AFTER THE LAST DAY TO FILE DESIGNATING
PETITIONS, A CANDIDATE FOR STATEWIDE OFFICE, STATE LEGISLATIVE OFFICE OR
CONSTITUTIONAL CONVENTION DELEGATE SHALL FILE A STATEMENT WITH THE STATE
BOARD OF ELECTIONS STATING WHETHER THE CANDIDATE HAS OR WILL  CONTRIBUTE
PERSONAL  FUNDS  TO  HIS  OR  HER  AUTHORIZED  COMMITTEE FOR USE IN SUCH
ELECTION AND AN ESTIMATE OF THE AMOUNT OF PERSONAL FUNDS CONTRIBUTED  OR
TO  BE CONTRIBUTED.   THE KNOWING AND WILLFUL FAILURE TO FILE THE STATE-
MENT REQUIRED BY THIS SUBDIVISION SHALL SUBJECT THE CANDIDATE TO A CIVIL
PENALTY NOT TO EXCEED FIVE THOUSAND DOLLARS IN A SPECIAL  PROCEEDING  OR
CIVIL ACTION BROUGHT BY THE STATE BOARD OF ELECTIONS.
  S  8.  Section  14-126 of the election law, as amended by chapter 8 of
the laws of 1978, subdivision 1 as amended by chapter 128 of the laws of
1994, subdivisions 2, 3 and 4 as redesignated by chapter 9 of  the  laws
of 1978, is amended to read as follows:
  S  14-126.  Violations;  penalties.  1. Any person who fails to file a
statement required to be filed by this [article] TITLE shall be  subject
to  a civil penalty, not in excess of five hundred dollars, to be recov-
erable in a special proceeding or civil action  to  be  brought  by  the
state board of elections or other board of elections.
  2.  ANY PERSON WHO KNOWINGLY AND WILLFULLY FAILS TO IDENTIFY INDEPEND-
ENT  EXPENDITURES  AS  REQUIRED  BY SUBDIVISION TWO OF SECTION 14-107 OF
THIS TITLE OR KNOWINGLY  AND  WILLFULLY  FAILS  TO  FILE  THE  STATEMENT
REQUIRED  BY  SUBDIVISION  TWO  OF SECTION 14-112 OF THIS TITLE SHALL BE
SUBJECT TO A CIVIL PENALTY IN  A  SPECIAL  PROCEEDING  OR  CIVIL  ACTION
BROUGHT BY THE STATE BOARD OF ELECTIONS.
  [2.]  3. Any person who knowingly and willfully fails to file a state-
ment required to be filed by this [article] TITLE within ten days  after
the  date provided for filing such statement or any person who knowingly
and willfully violates any other provision of this [article] TITLE shall
be guilty of a misdemeanor.
  [3.] 4. Any person who knowingly and willfully contributes, accepts or
aids or participates in the acceptance of a contribution  in  an  amount
exceeding  an applicable maximum specified in this [article] TITLE shall
be guilty of a misdemeanor.
  [4.] 5. Any person who shall, acting on behalf of a candidate or poli-
tical committee, knowingly and willfully solicit, organize or coordinate
the formation of activities of one or more unauthorized committees, make
expenditures in connection with the nomination for election or  election
of  any  candidate, or solicit any person to make any such expenditures,
for the purpose of evading the contribution limitations of  this  [arti-
cle] TITLE, shall be guilty of a class E felony.
  S  9. Sections 14-100 through 14-132 of article 14 of the election law
are designated title 1 and a new title  heading  is  added  to  read  as
follows:
                   CAMPAIGN RECEIPTS AND EXPENDITURES

S. 7506                             5

  S  10. Article 14 of the election law is amended by adding a new title
2 to read as follows:
                                TITLE II
                            PUBLIC FINANCING
SECTION 14-200. DEFINITIONS.
        14-202. ELIGIBILITY.
        14-204. QUALIFIED CAMPAIGN EXPENDITURES.
        14-206. OPTIONAL PUBLIC FINANCING.
        14-208. CONTRIBUTION AND RECEIPT LIMITATIONS.
        14-210. EXPENDITURE LIMITATIONS.
        14-212. EXAMINATIONS AND AUDITS; REPAYMENTS.
        14-214. CIVIL PENALTIES.
  S  14-200.  DEFINITIONS. AS USED IN THIS TITLE, UNLESS ANOTHER MEANING
IS CLEARLY INDICATED:
  1. THE TERM "STATE BOARD" SHALL MEAN THE STATE BOARD OF ELECTIONS.
  2. THE TERM "ELIGIBLE CANDIDATE" SHALL MEAN A CANDIDATE FOR NOMINATION
OR ELECTION TO ANY OF THE  OFFICES  OF  GOVERNOR,  LIEUTENANT  GOVERNOR,
COMPTROLLER, ATTORNEY GENERAL, MEMBER OF THE STATE LEGISLATURE, AT-LARGE
DELEGATE  TO  A  CONSTITUTIONAL  CONVENTION  OR  DISTRICT  DELEGATE TO A
CONSTITUTIONAL CONVENTION.
  3. THE TERM "PARTICIPATING COMMITTEE" SHALL MEAN  A  SINGLE  POLITICAL
COMMITTEE  WHICH A CANDIDATE CERTIFIES IS THE COMMITTEE THAT WILL SOLELY
BE USED TO PARTICIPATE IN THE PUBLIC  FINANCING  SYSTEM  ESTABLISHED  BY
THIS TITLE AFTER JANUARY FIRST OF THE YEAR IN WHICH THE PRIMARY, GENERAL
OR  SPECIAL ELECTION IS HELD FOR THE PUBLIC OFFICE SOUGHT.  A MULTI-CAN-
DIDATE COMMITTEE MAY NOT BE A PARTICIPATING COMMITTEE.
  4. THE TERM "PARTICIPATING CANDIDATE" SHALL MEAN A  CANDIDATE  WHO  IS
ELIGIBLE  TO  PARTICIPATE IN THE OPTIONAL PUBLIC FINANCING SYSTEM ESTAB-
LISHED BY THIS TITLE, HAS MET THE  THRESHOLD  FOR  ELIGIBILITY  AND  HAS
ELECTED TO PARTICIPATE IN THE PUBLIC FINANCING SYSTEM.
  5.  THE  TERM "MATCHABLE CONTRIBUTIONS" SHALL MEAN THAT PORTION OF THE
AGGREGATE CONTRIBUTIONS MADE (A) IN THE CASE OF  A  PRIMARY  OR  GENERAL
ELECTION, AFTER JANUARY FIRST OF THE YEAR IN WHICH THE PRIMARY OR GENER-
AL ELECTION IS HELD FOR THE PUBLIC OFFICE SOUGHT OR (B) IN THE CASE OF A
SPECIAL  ELECTION, WITHIN SIX MONTHS OF SUCH ELECTION BY NATURAL PERSONS
RESIDENT IN THE STATE OF NEW YORK  TO  A  CANDIDATE  FOR  NOMINATION  OR
ELECTION  TO  ANY OF THE OFFICES COVERED BY THE PROVISIONS OF THIS TITLE
WHICH DO NOT EXCEED TWO HUNDRED FIFTY DOLLARS, WHICH HAVE BEEN  REPORTED
IN  FULL  BY THE CANDIDATE'S PARTICIPATING COMMITTEE TO THE STATE BOARD,
INCLUDING THE CONTRIBUTOR'S FULL NAME AND RESIDENTIAL ADDRESS.  "MATCHA-
BLE  CONTRIBUTIONS" SHALL BE THE NET AMOUNT OF ANY MONETARY CONTRIBUTION
REALIZED BY A CANDIDATE OR  DESIGNATED  COMMITTEE  AFTER  DEDUCTING  THE
REASONABLE  VALUE  OF  ANY GOODS OR SERVICES PROVIDED THE CONTRIBUTOR IN
CONNECTION WITH THE CONTRIBUTION, EXCEPT  THAT  CONTRIBUTIONS  FROM  ANY
PERSON WHO HAS RECEIVED A PAYMENT OR ANYTHING OF VALUE FROM SUCH COMMIT-
TEE  OR  FROM  A PERSON WHO IS AN OFFICER, DIRECTOR OR EMPLOYEE OF, OR A
PERSON WHO HAS A TEN PERCENT OR GREATER OWNERSHIP INTEREST IN ANY ENTITY
WHICH HAS RECEIVED SUCH A PAYMENT OR THING OF VALUE SHALL NOT BE MATCHA-
BLE.  A LOAN MAY NOT BE TREATED AS A MATCHABLE CONTRIBUTION.
  6. THE TERM "QUALIFIED CAMPAIGN EXPENDITURE" SHALL MEAN AN EXPENDITURE
FOR WHICH PUBLIC FUNDS MAY BE USED.
  7. THE TERM "FUND" SHALL MEAN THE  NEW  YORK  STATE  CAMPAIGN  FINANCE
FUND.
  8. THE TERM "THRESHOLD FOR ELIGIBILITY" SHALL MEAN THE AMOUNT OF TOTAL
MATCHABLE CONTRIBUTIONS THAT THE PARTICIPATING COMMITTEE OF AN OTHERWISE
ELIGIBLE  CANDIDATE  MUST RECEIVE, AS REQUIRED BY SECTION 14-202 OF THIS

S. 7506                             6

TITLE, IN ORDER TO QUALIFY FOR OPTIONAL  PUBLIC  FINANCING  PURSUANT  TO
THIS TITLE.
  9.  THE TERM "CONTRIBUTION" SHALL HAVE THE SAME MEANING AS IN SUBDIVI-
SION NINE OF SECTION 14-100 OF THIS ARTICLE.
  S 14-202. ELIGIBILITY. 1. TO BE ELIGIBLE FOR OPTIONAL PUBLIC FINANCING
UNDER THIS TITLE, A CANDIDATE FOR NOMINATION OR ELECTION MUST:
  (A) MEET ALL THE REQUIREMENTS OF THIS CHAPTER AND OTHER PROVISIONS  OF
LAW TO HAVE HIS OR HER NAME ON THE BALLOT;
  (B)  BE  A  CANDIDATE  FOR  STATEWIDE OFFICE, THE STATE LEGISLATURE OR
DELEGATE TO A CONSTITUTIONAL CONVENTION AT A PRIMARY, GENERAL OR SPECIAL
ELECTION AND MEET THE THRESHOLD FOR ELIGIBILITY SET FORTH IN SUBDIVISION
TWO OF THIS SECTION;
  (C) ELECT TO PARTICIPATE IN THE PUBLIC FINANCING SYSTEM ESTABLISHED BY
THIS TITLE NOT LATER THAN SEVEN DAYS AFTER THE LAST DAY TO  FILE  DESIG-
NATING  PETITIONS  FOR  THE  OFFICE SUCH CANDIDATE IS SEEKING OR, IN THE
CASE OF A SPECIAL ELECTION, NOT LATER THAN THE LAST DAY TO FILE NOMINAT-
ING CERTIFICATES FOR SUCH OFFICE;
  (D) AGREE TO OBTAIN AND FURNISH TO THE STATE BOARD ANY EVIDENCE IT MAY
REASONABLY REQUEST RELATING TO  HIS  OR  HER  CAMPAIGN  EXPENDITURES  OR
CONTRIBUTIONS AND FURNISH SUCH OTHER PROOF OF COMPLIANCE WITH THIS TITLE
AS MAY BE REQUESTED BY THE STATE BOARD;
  (E)  HAVE  A  SINGLE  AUTHORIZED  POLITICAL  COMMITTEE WHICH HE OR SHE
CERTIFIES AS THE PARTICIPATING COMMITTEE FOR THE PURPOSES OF THIS TITLE;
AND
  (F) AGREE TO IDENTIFY ACCURATELY IN ALL CAMPAIGN MATERIALS THE  PERSON
OR ENTITY THAT PAID FOR SUCH CAMPAIGN MATERIAL.
  2.  THE THRESHOLD FOR ELIGIBILITY FOR PUBLIC FUNDING FOR CANDIDATES IN
A PRIMARY, GENERAL OR SPECIAL ELECTION FOR THE FOLLOWING  OFFICES  SHALL
BE:
  (A)  GOVERNOR  IN  A  PRIMARY  OR GENERAL ELECTION. NOT LESS THAN NINE
HUNDRED THOUSAND DOLLARS FROM AT LEAST NINE THOUSAND MATCHABLE  CONTRIB-
UTIONS MADE UP OF SUMS OF UP TO TWO HUNDRED FIFTY DOLLARS PER INDIVIDUAL
CONTRIBUTOR WHO RESIDES IN NEW YORK STATE.
  (B)  LIEUTENANT  GOVERNOR  IN  A  PRIMARY  ELECTION AND COMPTROLLER OR
ATTORNEY GENERAL IN A PRIMARY OR GENERAL ELECTION.  NOT LESS THAN  THREE
HUNDRED THOUSAND DOLLARS FROM AT LEAST THREE THOUSAND MATCHABLE CONTRIB-
UTIONS MADE UP OF SUMS OF UP TO TWO HUNDRED FIFTY DOLLARS PER INDIVIDUAL
CONTRIBUTOR WHO RESIDES IN NEW YORK STATE.
  (C)  MEMBERS  OF  THE  STATE  SENATE  IN A PRIMARY, GENERAL OR SPECIAL
ELECTION. NOT LESS THAN TWENTY-FIVE THOUSAND DOLLARS FROM AT  LEAST  TWO
HUNDRED  FIFTY  MATCHABLE  CONTRIBUTIONS  MADE  UP  OF SUMS OF UP TO TWO
HUNDRED FIFTY DOLLARS PER INDIVIDUAL CONTRIBUTOR WHO RESIDES IN NEW YORK
STATE INCLUDING AT LEAST TWELVE THOUSAND FIVE HUNDRED  DOLLARS  FROM  AT
LEAST  ONE HUNDRED TWENTY-FIVE INDIVIDUAL CONTRIBUTORS WHO RESIDE IN THE
SENATE DISTRICT IN WHICH THE SEAT IS TO BE FILLED.
  (D) MEMBERS OF THE ASSEMBLY IN A PRIMARY, GENERAL OR SPECIAL ELECTION.
NOT LESS THAN TEN THOUSAND DOLLARS FROM AT LEAST ONE  HUNDRED  MATCHABLE
CONTRIBUTIONS  MADE  UP  OF  SUMS OF UP TO TWO HUNDRED FIFTY DOLLARS PER
INDIVIDUAL CONTRIBUTOR WHO RESIDES IN NEW YORK STATE INCLUDING AT  LEAST
FIVE  THOUSAND DOLLARS FROM AT LEAST FIFTY INDIVIDUALS WHO RESIDE IN THE
ASSEMBLY DISTRICT IN WHICH THE SEAT IS TO BE FILLED.
  (E) AT-LARGE DELEGATE TO A CONSTITUTIONAL CONVENTION IN A  PRIMARY  OR
GENERAL  ELECTION.  NOT  LESS  THAN TWENTY-FIVE THOUSAND DOLLARS FROM AT
LEAST TWO HUNDRED FIFTY MATCHABLE CONTRIBUTIONS MADE UP OF SUMS OF UP TO
TWO HUNDRED FIFTY DOLLARS PER INDIVIDUAL CONTRIBUTOR WHO RESIDES IN  NEW
YORK STATE.

S. 7506                             7

  (F)  DISTRICT  DELEGATE TO A CONSTITUTIONAL CONVENTION IN A PRIMARY OR
GENERAL ELECTION. NOT LESS THAN FIVE  THOUSAND  DOLLARS  FROM  AT  LEAST
FIFTY MATCHABLE CONTRIBUTIONS MADE UP OF SUMS OF UP TO TWO HUNDRED FIFTY
DOLLARS  PER INDIVIDUAL CONTRIBUTOR WHO RESIDES IN THE DISTRICT IN WHICH
THE SEAT IS TO BE FILLED.
  3.  IN  ORDER  TO  BE  ELIGIBLE  TO  RECEIVE PUBLIC FUNDS IN A PRIMARY
ELECTION A CANDIDATE MUST AGREE, THAT IN THE EVENT SUCH CANDIDATE  IS  A
CANDIDATE  FOR  SUCH  OFFICE  IN THE GENERAL ELECTION IN SUCH YEAR, THAT
SUCH CANDIDATE WILL BE BOUND BY THE PROVISIONS OF THIS TITLE, INCLUDING,
BUT NOT LIMITED TO, THE RECEIPT AND EXPENDITURE LIMITS OF THIS TITLE.
  4. CANDIDATES WHO ARE CONTESTED IN A PRIMARY ELECTION AND WHO  DO  NOT
SEEK PUBLIC FUNDS SHALL NOT BE ELIGIBLE FOR PUBLIC FUNDS FOR THE GENERAL
ELECTION  IN  THAT  YEAR.  THE  PROVISIONS OF THIS SUBDIVISION SHALL NOT
APPLY TO CANDIDATES FOR THE OFFICE OF LIEUTENANT GOVERNOR.
  5. CANDIDATES WHO ARE UNOPPOSED IN A GENERAL OR SPECIAL ELECTION SHALL
NOT BE ELIGIBLE TO RECEIVE PUBLIC FUNDS.
  6. NO CANDIDATE FOR ELECTION TO AN OFFICE IN  A  PRIMARY,  GENERAL  OR
SPECIAL  ELECTION WHO HAS ELECTED TO PARTICIPATE IN THE PUBLIC FINANCING
SYSTEM SHALL BE DEEMED OPPOSED AND RECEIVE PUBLIC FUNDS UNLESS AT  LEAST
ONE OTHER CANDIDATE FOR SUCH OFFICE IN SUCH ELECTION WHO ALSO ELECTED TO
PARTICIPATE  IN THE PUBLIC FINANCING SYSTEM, OR SUCH CANDIDATE'S COMMIT-
TEE, OR AT LEAST ONE OTHER CANDIDATE FOR SUCH OFFICE  IN  SUCH  ELECTION
WHO  HAS NOT ELECTED TO PARTICIPATE, OR SUCH CANDIDATE'S COMMITTEE, HAVE
EITHER SPENT, CONTRACTED OR OBLIGATED TO SPEND, OR HAVE CONTRIBUTED SUCH
CANDIDATE'S  PERSONAL  FUNDS  TO  SUCH  CANDIDATE'S  COMMITTEE  OR  HAVE
RECEIVED  IN  LOANS OR CONTRIBUTIONS, AN AMOUNT EXCEEDING TEN PERCENT OF
THE EXPENDITURE LIMIT FOR SUCH OFFICE IN SUCH ELECTION WHICH IS FIXED BY
THIS TITLE FOR CANDIDATES WHO HAVE ELECTED TO ACCEPT SUCH PUBLIC  FUNDS.
IF  ANY  CANDIDATE  FOR  AN  OFFICE  AND THE COMMITTEE OF SUCH CANDIDATE
REACHES THE THRESHOLD TO QUALIFY TO RECEIVE  PUBLIC  FUNDS,  OR  SPENDS,
CONTRACTS  OR  OBLIGATES  TO  SPEND,  OR  CONTRIBUTES  SUCH  CANDIDATE'S
PERSONAL FUNDS TO SUCH CANDIDATE'S COMMITTEE OR  RECEIVES  IN  LOANS  OR
CONTRIBUTIONS,  AN AMOUNT EXCEEDING TEN PERCENT OF THE EXPENDITURE LIMIT
FOR SUCH OFFICE IN SUCH ELECTION AT ANY TIME AFTER THE  FILING  DEADLINE
FOR  THE  LAST REPORT REQUIRED TO BE FILED BEFORE THE FIRST DISTRIBUTION
OF PUBLIC FUNDS FOR SUCH ELECTION,  SUCH  CANDIDATE  OR  COMMITTEE  MUST
NOTIFY THE STATE BOARD OF THAT FACT WITHIN TWENTY-FOUR HOURS IN THE SAME
MANNER AS PROVIDED IN SUBDIVISION TWO OF SECTION 14-108 OF THIS ARTICLE.
  S  14-204.  QUALIFIED  CAMPAIGN EXPENDITURES. 1. PUBLIC FUNDS PROVIDED
UNDER THE PROVISIONS OF THIS TITLE MAY ONLY BE USED FOR EXPENDITURES  BY
THE PARTICIPATING COMMITTEE AUTHORIZED BY THE CANDIDATE TO MAKE EXPENDI-
TURES  ON SUCH CANDIDATE'S BEHALF, TO FURTHER THE CANDIDATE'S NOMINATION
OR ELECTION AFTER JANUARY FIRST OF THE YEAR  IN  WHICH  THE  PRIMARY  OR
GENERAL ELECTION IS HELD FOR THE OFFICE SOUGHT, FOR SERVICES, MATERIALS,
FACILITIES  OR OTHER THINGS OF VALUE USED DURING THAT CAMPAIGN CYCLE OR,
IN THE CASE OF A SPECIAL ELECTION, FOR EXPENDITURES  DURING  THE  PERIOD
COMMENCING  THREE  MONTHS BEFORE AND ENDING ONE MONTH AFTER SUCH SPECIAL
ELECTION. THE TOTAL OF ALL EXPENDITURES MADE BY THE CANDIDATE  AND  SUCH
CANDIDATE'S  PARTICIPATING  COMMITTEE,  INCLUDING  ALL PAYMENTS RECEIVED
FROM THE FUND, SHALL NOT EXCEED THE EXPENDITURE LIMITATIONS  ESTABLISHED
IN  SECTION  14-210  OF  THIS TITLE, EXCEPT INSOFAR AS SUCH PAYMENTS ARE
MADE TO REPAY LOANS USED TO PAY CAMPAIGN EXPENDITURES.
  2. SUCH PUBLIC FUNDS MAY NOT BE USED FOR:
  (A) AN EXPENDITURE IN VIOLATION OF ANY LAW OF THE UNITED STATES OR  OF
THIS STATE;

S. 7506                             8

  (B)  PAYMENTS  OR  ANYTHING OF VALUE GIVEN OR MADE TO THE CANDIDATE, A
RELATIVE OF THE CANDIDATE, OR TO A BUSINESS ENTITY  IN  WHICH  ANY  SUCH
PERSON  HAS  A TEN PERCENT OR GREATER OWNERSHIP INTEREST OR OF WHICH ANY
SUCH PERSON IS AN OFFICER, DIRECTOR OR EMPLOYEE;
  (C) PAYMENT IN EXCESS OF THE FAIR MARKET VALUE OF SERVICES, MATERIALS,
FACILITIES OR OTHER THINGS OF VALUE RECEIVED IN EXCHANGE;
  (D)  ANY  EXPENDITURE  MADE  AFTER THE PARTICIPATING CANDIDATE, OR THE
ONLY REMAINING OPPONENT OF SUCH CANDIDATE, HAS BEEN DISQUALIFIED OR  HAD
SUCH CANDIDATE'S PETITIONS DECLARED INVALID BY A BOARD OF ELECTIONS OR A
COURT  OF  COMPETENT  JURISDICTION  UNTIL  AND  UNLESS  SUCH  FINDING IS
REVERSED BY A HIGHER AUTHORITY.
  (E) ANY EXPENDITURE MADE TO CHALLENGE THE VALIDITY OF ANY PETITION  OF
DESIGNATION  OR NOMINATION OR ANY CERTIFICATE OF NOMINATION, ACCEPTANCE,
AUTHORIZATION, DECLINATION OR SUBSTITUTION;
  (F) EXPENDITURE FOR NONCAMPAIGN RELATED FOOD, DRINK OR  ENTERTAINMENT;
AND
  (G) GIFTS, EXCEPT BROCHURES, BUTTONS, SIGNS AND OTHER CAMPAIGN MATERI-
AL.
  S  14-206.  OPTIONAL PUBLIC FINANCING. 1. PARTICIPATING CANDIDATES FOR
NOMINATION OR ELECTION IN PRIMARY, GENERAL  AND  SPECIAL  ELECTIONS  MAY
OBTAIN PAYMENT TO A PARTICIPATING COMMITTEE FROM PUBLIC FUNDS FOR QUALI-
FIED  CAMPAIGN  EXPENDITURES.  NO  SUCH  PUBLIC FUNDS SHALL BE PAID TO A
PARTICIPATING COMMITTEE UNTIL THE CANDIDATE HAS QUALIFIED TO  APPEAR  ON
THE  BALLOT AND FILED A SWORN STATEMENT WITH THE STATE BOARD ELECTING TO
PARTICIPATE IN THE OPTIONAL PUBLIC  FINANCING  SYSTEM  AND  AGREEING  TO
ABIDE  BY THE REQUIREMENTS OF THIS TITLE.  PAYMENTS SHALL NOT EXCEED THE
AMOUNTS SPECIFIED IN THIS TITLE, AND SHALL BE MADE  ONLY  IN  ACCORDANCE
WITH  THE  PROVISIONS OF THIS TITLE. SUCH PAYMENTS MAY ONLY BE MADE TO A
PARTICIPATING CANDIDATE'S PARTICIPATING COMMITTEE. NO PUBLIC FUNDS SHALL
BE USED EXCEPT  AS  REIMBURSEMENT  OR  PAYMENT  FOR  QUALIFIED  CAMPAIGN
EXPENDITURES  ACTUALLY  AND  LAWFULLY INCURRED OR TO REPAY LOANS USED TO
PAY QUALIFIED CAMPAIGN EXPENDITURES.
  2. THE PARTICIPATING COMMITTEE OF EACH PARTICIPATING  CANDIDATE  SHALL
BE  ENTITLED  TO  FOUR  DOLLARS  IN  PUBLIC FUNDS FOR EACH ONE DOLLAR OF
MATCHABLE CONTRIBUTIONS OBTAINED AND REPORTED  TO  THE  STATE  BOARD  IN
ACCORDANCE  WITH  THE  PROVISIONS OF THIS TITLE, PROVIDED, HOWEVER, SUCH
PUBLIC FUNDS SHALL ONLY BE USED FOR QUALIFIED CAMPAIGN EXPENDITURES.
  3. (A) HOWEVER, IF ANY CANDIDATE IN ANY ELECTION  FOR  AN  OFFICE  FOR
WHICH  PUBLIC  FUNDS  ARE  AVAILABLE  PURSUANT TO THE PROVISIONS OF THIS
TITLE, ELECTS NOT TO ACCEPT PUBLIC FUNDS  AND  SUCH  CANDIDATE  OR  SUCH
CANDIDATE'S COMMITTEE EITHER SPENDS, CONTRACTS OR OBLIGATES TO SPEND, OR
CONTRIBUTES  SUCH CANDIDATE'S PERSONAL FUNDS TO SUCH CANDIDATE'S COMMIT-
TEE OR RECEIVES IN LOANS  OR  CONTRIBUTIONS,  AN  AMOUNT  EXCEEDING  THE
EXPENDITURE LIMIT FOR SUCH OFFICE, AS FIXED BY THIS TITLE FOR CANDIDATES
WHO  HAVE  ELECTED  TO  ACCEPT  PUBLIC FUNDS, THEN (I) SUCH CANDIDATE OR
COMMITTEE MUST NOTIFY THE STATE BOARD OF  THE  FACT  WITHIN  TWENTY-FOUR
HOURS VIA THE INTERNET USING THE ELECTRONIC FILING SYSTEM ESTABLISHED BY
THE  STATE  BOARD, OR IF SUCH CANDIDATE DOES NOT FILE ELECTRONICALLY VIA
THE INTERNET, BY FACSIMILE OR OVERNIGHT MAIL; AND (II) THE PARTICIPATING
COMMITTEE OF EACH PARTICIPATING CANDIDATE FOR SUCH OFFICE SHALL BE ENTI-
TLED TO A GRANT OF PUBLIC FUNDS EQUAL  TO  TWENTY-FIVE  PERCENT  OF  THE
TOTAL AMOUNT OF PUBLIC FUNDS RECEIVED BY THE PARTICIPATING CANDIDATE FOR
MATCHABLE  CONTRIBUTIONS  OBTAINED AND REPORTED TO THE STATE BOARD. SUCH
GRANT SHALL BE PAID WITHIN TWO BUSINESS DAYS AND SHALL ONLY BE USED  FOR
QUALIFIED CAMPAIGN EXPENDITURES.

S. 7506                             9

  (B)  HOWEVER, IF ANY CANDIDATE IN ANY ELECTION FOR AN OFFICE FOR WHICH
PUBLIC FUNDS ARE AVAILABLE PURSUANT TO THE  PROVISIONS  OF  THIS  TITLE,
ELECTS NOT TO ACCEPT PUBLIC FUNDS AND SUCH CANDIDATE OR SUCH CANDIDATE'S
COMMITTEE EITHER SPENDS, CONTRACTS OR OBLIGATES TO SPEND, OR CONTRIBUTES
SUCH  CANDIDATE'S  PERSONAL  FUNDS  TO  SUCH  CANDIDATE'S  COMMITTEE  OR
RECEIVES IN LOANS OR CONTRIBUTIONS, AN AMOUNT EXCEEDING THE TOTAL OF THE
EXPENDITURE LIMIT FOR SUCH OFFICE, AS FIXED BY THIS TITLE FOR CANDIDATES
WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS, PLUS  THE  TWENTY-FIVE  PERCENT
GRANT  ALREADY  RECEIVED  BY  THE PARTICIPATING CANDIDATE, THEN (I) SUCH
CANDIDATE OR COMMITTEE MUST NOTIFY THE STATE BOARD OF  THE  FACT  WITHIN
TWENTY-FOUR  HOURS  VIA  THE INTERNET USING THE ELECTRONIC FILING SYSTEM
ESTABLISHED BY THE STATE BOARD, OR IF SUCH CANDIDATE DOES NOT FILE ELEC-
TRONICALLY VIA THE INTERNET, BY FACSIMILE OR OVERNIGHT  MAIL;  AND  (II)
THE  PARTICIPATING  COMMITTEE  OF  EACH PARTICIPATING CANDIDATE FOR SUCH
OFFICE SHALL BE ENTITLED TO AN ADDITIONAL GRANT OF PUBLIC FUNDS EQUAL TO
TWENTY-FIVE PERCENT OF THE TOTAL AMOUNT OF PUBLIC FUNDS RECEIVED BY  THE
PARTICIPATING   CANDIDATE   FOR  MATCHABLE  CONTRIBUTIONS  OBTAINED  AND
REPORTED TO THE STATE BOARD. SUCH GRANT SHALL BE PAID WITHIN  TWO  BUSI-
NESS DAYS AND SHALL ONLY BE USED FOR QUALIFIED CAMPAIGN EXPENDITURES.
  (C)  HOWEVER, IF ANY CANDIDATE IN ANY ELECTION FOR AN OFFICE FOR WHICH
PUBLIC FUNDS ARE AVAILABLE PURSUANT TO THE  PROVISIONS  OF  THIS  TITLE,
ELECTS NOT TO ACCEPT PUBLIC FUNDS AND SUCH CANDIDATE OR SUCH CANDIDATE'S
COMMITTEE EITHER SPENDS, CONTRACTS OR OBLIGATES TO SPEND, OR CONTRIBUTES
SUCH  CANDIDATE'S  PERSONAL  FUNDS  TO  SUCH  CANDIDATE'S  COMMITTEE  OR
RECEIVES IN LOANS OR CONTRIBUTIONS, AN AMOUNT EXCEEDING THE TOTAL OF THE
EXPENDITURE LIMIT FOR SUCH OFFICE, AS FIXED BY THIS TITLE FOR CANDIDATES
WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS, PLUS THE  FIFTY  PERCENT  TOTAL
AGGREGATE  GRANT  ALREADY  RECEIVED BY THE PARTICIPATING CANDIDATE, THEN
(I) SUCH CANDIDATE OR COMMITTEE MUST NOTIFY THE STATE BOARD OF THE  FACT
WITHIN  TWENTY-FOUR  HOURS  VIA THE INTERNET USING THE ELECTRONIC FILING
SYSTEM ESTABLISHED BY THE STATE BOARD, OR IF  SUCH  CANDIDATE  DOES  NOT
FILE  ELECTRONICALLY  VIA  THE INTERNET, BY FACSIMILE OR OVERNIGHT MAIL;
AND (II) THE PARTICIPATING COMMITTEE OF EACH PARTICIPATING CANDIDATE FOR
SUCH OFFICE SHALL BE ENTITLED TO AN ADDITIONAL  GRANT  OF  PUBLIC  FUNDS
EQUAL  TO  TWENTY-FIVE  PERCENT  OF  THE  TOTAL  AMOUNT  OF PUBLIC FUNDS
RECEIVED BY THE  PARTICIPATING  CANDIDATE  FOR  MATCHABLE  CONTRIBUTIONS
OBTAINED AND REPORTED TO THE STATE BOARD. SUCH GRANT SHALL BE PAID WITH-
IN  TWO  BUSINESS  DAYS  AND  SHALL  ONLY BE USED FOR QUALIFIED CAMPAIGN
EXPENDITURES.
  (D) HOWEVER, IF ANY CANDIDATE IN ANY ELECTION FOR AN OFFICE FOR  WHICH
PUBLIC  FUNDS  ARE  AVAILABLE  PURSUANT TO THE PROVISIONS OF THIS TITLE,
ELECTS NOT TO ACCEPT PUBLIC FUNDS AND SUCH CANDIDATE OR SUCH CANDIDATE'S
COMMITTEE EITHER SPENDS, CONTRACTS OR OBLIGATES TO SPEND, OR CONTRIBUTES
SUCH  CANDIDATE'S  PERSONAL  FUNDS  TO  SUCH  CANDIDATE'S  COMMITTEE  OR
RECEIVES IN LOANS OR CONTRIBUTIONS, AN AMOUNT EXCEEDING THE TOTAL OF THE
EXPENDITURE LIMIT FOR SUCH OFFICE, AS FIXED BY THIS TITLE FOR CANDIDATES
WHO  HAVE  ELECTED TO ACCEPT PUBLIC FUNDS, PLUS THE SEVENTY-FIVE PERCENT
TOTAL AGGREGATE GRANT ALREADY RECEIVED BY THE  PARTICIPATING  CANDIDATE,
THEN  (I) SUCH CANDIDATE OR COMMITTEE MUST NOTIFY THE STATE BOARD OF THE
FACT WITHIN TWENTY-FOUR HOURS VIA  THE  INTERNET  USING  THE  ELECTRONIC
FILING  SYSTEM ESTABLISHED BY THE STATE BOARD, OR IF SUCH CANDIDATE DOES
NOT FILE ELECTRONICALLY VIA THE  INTERNET,  BY  FACSIMILE  OR  OVERNIGHT
MAIL;  AND (II) THE PARTICIPATING COMMITTEE OF EACH PARTICIPATING CANDI-
DATE FOR SUCH OFFICE SHALL BE ENTITLED TO AN ADDITIONAL GRANT OF  PUBLIC
FUNDS  EQUAL  TO TWENTY-FIVE PERCENT OF THE TOTAL AMOUNT OF PUBLIC FUNDS
RECEIVED BY THE  PARTICIPATING  CANDIDATE  FOR  MATCHABLE  CONTRIBUTIONS

S. 7506                            10

OBTAINED AND REPORTED TO THE STATE BOARD. SUCH GRANT SHALL BE PAID WITH-
IN TWO BUSINESS DAYS AND MAY ONLY BE USED FOR QUALIFIED CAMPAIGN EXPEND-
ITURES.
  4.  (A) NO PARTICIPATING CANDIDATE FOR NOMINATION FOR AN OFFICE WHO IS
UNOPPOSED IN A PRIMARY ELECTION SHALL BE ENTITLED TO  PAYMENT  FROM  THE
FUND FOR QUALIFIED CAMPAIGN EXPENDITURES.
  (B)  WHERE THERE IS A CONTEST IN SUCH PRIMARY FOR THE NOMINATION OF AT
LEAST ONE OTHER PARTY FOR SUCH OFFICE, THE PARTICIPATING COMMITTEE OF AN
UNOPPOSED PARTICIPATING CANDIDATE FOR NOMINATION MAY RAISE AND SPEND  AN
AMOUNT EQUAL TO ONE-HALF THE EXPENDITURE LIMIT FOR SUCH OFFICE, AS FIXED
BY  THIS  TITLE  FOR CANDIDATES WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS,
WITH CONTRIBUTIONS OF UP TO TWO THOUSAND DOLLARS PER CONTRIBUTOR.   SUCH
PAYMENT  CAN  ONLY BE EXPENDED FOR PROPERTY, SERVICES OR FACILITIES USED
ON OR BEFORE THE DATE OF SUCH PRIMARY ELECTION.
  5. THE STATE BOARD SHALL PROMPTLY EXAMINE ALL REPORTS OF CONTRIBUTIONS
TO DETERMINE WHETHER, ON THEIR FACE,  THEY  MEET  THE  REQUIREMENTS  FOR
MATCHABLE CONTRIBUTIONS, AND SHALL KEEP A RECORD OF SUCH CONTRIBUTIONS.
  6.  THE STATE BOARD SHALL PROMULGATE REGULATIONS FOR THE CERTIFICATION
OF THE AMOUNT OF FUNDS PAYABLE BY THE COMPTROLLER, FROM THE FUND  ESTAB-
LISHED  PURSUANT  TO SECTION NINETY-TWO-T OF THE STATE FINANCE LAW, TO A
PARTICIPATING CANDIDATE THAT HAS  QUALIFIED  TO  RECEIVE  SUCH  PAYMENT.
THESE  REGULATIONS  SHALL  INCLUDE  THE PROMULGATION AND DISTRIBUTION OF
FORMS ON WHICH CONTRIBUTIONS AND EXPENDITURES ARE TO  BE  REPORTED,  THE
PERIODS  DURING  WHICH  SUCH  REPORTS MUST BE FILED AND THE VERIFICATION
REQUIRED. THE STATE BOARD SHALL INSTITUTE  PROCEDURES  WHICH  WILL  MAKE
POSSIBLE  PAYMENT BY THE FUND WITHIN FOUR BUSINESS DAYS AFTER RECEIPT OF
THE REQUIRED FORMS AND VERIFICATIONS.
  S 14-208. CONTRIBUTION AND RECEIPT LIMITATIONS. 1.   IN  ANY  PRIMARY,
SPECIAL  OR GENERAL ELECTION FOR ANY STATEWIDE OFFICE, STATE LEGISLATIVE
OFFICE OR CONSTITUTIONAL CONVENTION DELEGATE NO CONTRIBUTOR MAY  MAKE  A
CONTRIBUTION  TO ANY PARTICIPATING CANDIDATE OR SUCH CANDIDATE'S PARTIC-
IPATING COMMITTEE,  AND  NO  PARTICIPATING  CANDIDATE  OR  PARTICIPATING
COMMITTEE MAY ACCEPT ANY CONTRIBUTION FROM ANY CONTRIBUTOR WHICH, IN THE
AGGREGATE AMOUNT, IS GREATER THAN TWO THOUSAND DOLLARS.
  2.  (A) NOTWITHSTANDING THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED
BY THIS TITLE FOR CANDIDATES WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS,  A
PARTICIPATING CANDIDATE FOR GOVERNOR OR LIEUTENANT GOVERNOR IN A PRIMARY
OR  GENERAL  ELECTION  OR  SUCH  CANDIDATE'S PARTICIPATING COMMITTEE MAY
ACCEPT FROM A STATE PARTY COMMITTEE WHICH HAS NOMINATED  SUCH  CANDIDATE
SERVICES  IN  AN  AMOUNT  WHICH,  IN  THE AGGREGATE, DOES NOT EXCEED TWO
MILLION  FIVE  HUNDRED  THOUSAND  DOLLARS;   PROVIDED,   HOWEVER,   THAT
TWENTY-FIVE  PERCENT  OF  SUCH  AMOUNT  MAY BE ACCEPTED IN THE FORM OF A
TRANSFER.
  (B) NOTWITHSTANDING THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED  BY
THIS  TITLE  FOR  CANDIDATES  WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS, A
PARTICIPATING CANDIDATE FOR ATTORNEY GENERAL OR COMPTROLLER IN A PRIMARY
OR GENERAL ELECTION OR  SUCH  CANDIDATE'S  PARTICIPATING  COMMITTEE  MAY
ACCEPT  FROM  A STATE PARTY COMMITTEE WHICH HAS NOMINATED SUCH CANDIDATE
SERVICES IN AN AMOUNT WHICH, IN  THE  AGGREGATE,  DOES  NOT  EXCEED  ONE
MILLION  DOLLARS;  PROVIDED,  HOWEVER,  THAT TWENTY-FIVE PERCENT OF SUCH
AMOUNT MAY BE ACCEPTED IN THE FORM OF A TRANSFER.
  (C) NOTWITHSTANDING THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED  BY
THIS  TITLE  FOR  CANDIDATES  WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS, A
PARTICIPATING CANDIDATE FOR STATE  SENATOR  IN  A  PRIMARY,  GENERAL  OR
SPECIAL  ELECTION OR SUCH CANDIDATE'S PARTICIPATING COMMITTEE MAY ACCEPT
FROM A STATE PARTY COMMITTEE WHICH HAS NOMINATED SUCH CANDIDATE SERVICES

S. 7506                            11

IN  AN AMOUNT WHICH, IN THE AGGREGATE, DOES NOT EXCEED ONE HUNDRED THOU-
SAND DOLLARS; PROVIDED, HOWEVER, THAT TWENTY-FIVE PERCENT OF SUCH AMOUNT
MAY BE ACCEPTED IN THE FORM OF A TRANSFER.
  (D)  NOTWITHSTANDING THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED BY
THIS TITLE FOR CANDIDATES WHO HAVE ELECTED TO  ACCEPT  PUBLIC  FUNDS,  A
PARTICIPATING CANDIDATE FOR MEMBER OF THE ASSEMBLY IN A PRIMARY, GENERAL
OR  SPECIAL  ELECTION  OR  SUCH  CANDIDATE'S PARTICIPATING COMMITTEE MAY
ACCEPT FROM A STATE PARTY COMMITTEE WHICH HAS NOMINATED  SUCH  CANDIDATE
SERVICES  IN  AN  AMOUNT  WHICH, IN THE AGGREGATE, DOES NOT EXCEED FIFTY
THOUSAND DOLLARS; PROVIDED, HOWEVER, THAT TWENTY-FIVE  PERCENT  OF  SUCH
AMOUNT MAY BE ACCEPTED IN THE FORM OF A TRANSFER.
  (E)  NOTWITHSTANDING THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED BY
THIS TITLE FOR CANDIDATES WHO HAVE ELECTED TO  ACCEPT  PUBLIC  FUNDS,  A
PARTICIPATING  CANDIDATE  FOR  DELEGATE  AT-LARGE  TO  A  CONSTITUTIONAL
CONVENTION IN A  GENERAL  ELECTION  OR  SUCH  CANDIDATE'S  PARTICIPATING
COMMITTEE  MAY  ACCEPT  FROM A STATE PARTY COMMITTEE WHICH HAS NOMINATED
SUCH CANDIDATE SERVICES IN AN AMOUNT WHICH, IN THE AGGREGATE,  DOES  NOT
EXCEED  FIFTY  THOUSAND  DOLLARS;  PROVIDED,  HOWEVER,  THAT TWENTY-FIVE
PERCENT OF SUCH AMOUNT MAY BE ACCEPTED IN THE FORM OF A TRANSFER.
  (F) NOTWITHSTANDING THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED  BY
THIS  TITLE  FOR  CANDIDATES  WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS, A
PARTICIPATING  CANDIDATE  FOR  DISTRICT  DELEGATE  TO  A  CONSTITUTIONAL
CONVENTION  IN  A  GENERAL  ELECTION  OR  SUCH CANDIDATE'S PARTICIPATING
COMMITTEE MAY ACCEPT FROM A STATE PARTY COMMITTEE  WHICH  HAS  NOMINATED
SUCH  CANDIDATE  SERVICES IN AN AMOUNT WHICH, IN THE AGGREGATE, DOES NOT
EXCEED TEN THOUSAND DOLLARS; PROVIDED, HOWEVER, THAT TWENTY-FIVE PERCENT
OF SUCH AMOUNT MAY BE ACCEPTED IN THE FORM OF A TRANSFER.
  (G) FOR PURPOSES OF THIS SUBDIVISION, THE TERM STATE  PARTY  COMMITTEE
INCLUDES ANY OF ITS SUBCOMMITTEES.
  3.  NOTWITHSTANDING  ANY  EXPENDITURE  LIMIT IN THIS SUBDIVISION, EACH
COUNTY COMMITTEE OF ANY PARTY WHICH NOMINATES A CANDIDATE FOR  STATEWIDE
OFFICE  OR  STATE  LEGISLATIVE  OFFICE, INCLUDING WITHIN THE TERM COUNTY
COMMITTEE ANY OF ITS SUBCOMMITTEES, MAY EXPEND IN SUPPORT OF  EACH  SUCH
CANDIDATE  FOR  STATEWIDE  OFFICE OF SUCH PARTY WHO HAS AGREED TO ACCEPT
PUBLIC FINANCING, AN AMOUNT WHICH SHALL NOT EXCEED THE SUM OF TWO  CENTS
FOR EACH VOTER REGISTERED IN SUCH COUNTY AS DETERMINED BY THE RECORDS OF
THE APPROPRIATE BOARD OF ELECTIONS AS OF THE PRECEDING GENERAL ELECTION.
  4.  IN  COMPUTING  THE  AGGREGATE AMOUNT EXPENDED FOR PURPOSES OF THIS
SECTION, EXPENDITURES MADE BY  A  STATE  PARTY  COMMITTEE  OR  A  COUNTY
COMMITTEE IN SUPPORT OF MORE THAN ONE CANDIDATE SHALL BE ALLOCATED AMONG
SUCH  CANDIDATES  SUPPORTED BY THE COMMITTEE IN ACCORDANCE WITH FORMULAS
PROMULGATED BY THE STATE BOARD OR,  IN  THE  ABSENCE  OF  SUCH  OFFICIAL
FORMULAS,  IN ACCORDANCE WITH A FORMULA BASED UPON REASONABLE STANDARDS.
THE STATEMENTS FILED BY SUCH PARTY COMMITTEE  IN  ACCORDANCE  WITH  THIS
CHAPTER  SHALL SET FORTH, IN ADDITION TO THE OTHER INFORMATION REQUIRED,
THE TOTAL AMOUNT EXPENDED BY THE PARTY COMMITTEE ON BEHALF OF  ALL  SUCH
CANDIDATES  AND  THE AMOUNT ALLOCATED TO EACH CANDIDATE BY DOLLAR AMOUNT
AND PERCENTAGE.  EXPENDITURES BY A PARTY FOR  ACTIVITIES  WHICH  DO  NOT
SUPPORT OR OPPOSE THE ELECTION OF ANY CANDIDATE OR CANDIDATES BY NAME OR
BY CLEAR INFERENCE SHALL NOT BE REGARDED AS EXPENDITURES ON BEHALF OF OR
IN OPPOSITION TO A CANDIDATE.
  5.  A  PARTICIPATING  CANDIDATE  FOR  A PUBLIC OFFICE FOR WHICH PUBLIC
FUNDS ARE AVAILABLE PURSUANT TO THIS TITLE SHALL NOT ACCEPT ANY CONTRIB-
UTIONS ANY EARLIER THAN ONE DAY AFTER THE PREVIOUS GENERAL ELECTION  FOR
THE OFFICE WHICH SUCH CANDIDATE IS SEEKING, OR ANY LATER THAN THE DAY OF
THE  GENERAL ELECTION FOR THE OFFICE SOUGHT, EXCEPT THAT A PARTICIPATING

S. 7506                            12

CANDIDATE OR PARTICIPATING COMMITTEE WHICH HAS A DEFICIT ON THE  DAY  OF
THE GENERAL ELECTION MAY, AFTER SUCH DATE, ACCEPT CONTRIBUTIONS WHICH DO
NOT EXCEED THE AMOUNT OF SUCH DEFICIT AND THE EXPENSES INCURRED IN RAIS-
ING SUCH CONTRIBUTIONS OR THE EXPENDITURE LIMIT FOR SUCH OFFICE AS FIXED
BY  THIS  TITLE  FOR CANDIDATES WHO HAVE ELECTED TO ACCEPT PUBLIC FUNDS.
CONTRIBUTIONS TO A PARTICIPATING CANDIDATE  OR  PARTICIPATING  COMMITTEE
WHICH WERE RECEIVED BEFORE JANUARY FIRST OF THE YEAR IN WHICH THE PRIMA-
RY  OR  GENERAL ELECTION IS HELD FOR THE PUBLIC OFFICE SOUGHT OR, IN THE
CASE OF A SPECIAL ELECTION RECEIVED MORE  THAN  SIX  MONTHS  BEFORE  THE
SPECIAL  ELECTION,  MAY  NOT  BE  EXPENDED  IN ANY ELECTION FOR ANY SUCH
OFFICE.
  6. EXCEPT FOR THE LIMITATIONS SPECIFICALLY SET FORTH IN THIS  SECTION,
PARTICIPATING  CANDIDATES  SHALL  BE  SUBJECT  TO THE PROVISIONS OF THIS
ARTICLE.
  S 14-210. EXPENDITURE LIMITATIONS. THE FOLLOWING  EXPENDITURE  LIMITA-
TIONS  APPLY  TO  ALL EXPENDITURES BY PARTICIPATING CANDIDATES AND THEIR
PARTICIPATING  COMMITTEES  RECEIVING  PUBLIC  FUNDS  PURSUANT   TO   THE
PROVISIONS OF THIS TITLE:
  1.  (A)  IN ANY PRIMARY ELECTION, EXPENDITURES BY PARTICIPATING CANDI-
DATES AND BY THEIR PARTICIPATING COMMITTEES SHALL NOT EXCEED:
  (I) FOR GOVERNOR, THE SUM OF ONE DOLLAR AND TEN CENTS FOR  EACH  VOTER
ENROLLED  IN THE CANDIDATE'S PARTY IN THE STATE; PROVIDED, HOWEVER, SUCH
SUM SHALL NOT BE LESS THAN NINE HUNDRED THOUSAND DOLLARS NOR  MORE  THAN
NINE MILLION DOLLARS;
  (II) FOR LIEUTENANT GOVERNOR, COMPTROLLER OR ATTORNEY GENERAL, THE SUM
OF  ONE  DOLLAR AND TEN CENTS FOR EACH VOTER ENROLLED IN THE CANDIDATE'S
PARTY IN THE STATE; PROVIDED, HOWEVER, SUCH SUM SHALL NOT BE  LESS  THAN
SIX HUNDRED THOUSAND DOLLARS NOR MORE THAN SIX MILLION DOLLARS;
  (III)  FOR  SENATOR,  THE  SUM OF TWO DOLLARS AND FIFTY CENTS FOR EACH
VOTER  ENROLLED  IN  THE  CANDIDATE'S  PARTY  IN  THE  SENATE  DISTRICT;
PROVIDED,  HOWEVER, SUCH SUM SHALL NOT BE LESS THAN THIRTY-FIVE THOUSAND
DOLLARS NOR MORE THAN THREE HUNDRED SEVENTY-FIVE THOUSAND DOLLARS;
  (IV) FOR MEMBER OF THE ASSEMBLY, THE SUM  OF  TWO  DOLLARS  AND  FIFTY
CENTS  FOR  EACH VOTER ENROLLED IN THE CANDIDATE'S PARTY IN THE ASSEMBLY
DISTRICT; PROVIDED, HOWEVER, SUCH SUM SHALL NOT  BE  LESS  THAN  FIFTEEN
THOUSAND DOLLARS NOR MORE THAN ONE HUNDRED FIFTY THOUSAND DOLLARS;
  (V)  FOR  AT-LARGE DELEGATE TO A CONSTITUTIONAL CONVENTION, THE SUM OF
FIFTEEN CENTS FOR EACH VOTER ENROLLED IN THE CANDIDATE'S  PARTY  IN  THE
STATE;  PROVIDED,  HOWEVER, SUCH SUM SHALL NOT BE LESS THAN SEVENTY-FIVE
THOUSAND  DOLLARS  NOR  MORE  THAN  ONE  HUNDRED  SEVENTY-FIVE  THOUSAND
DOLLARS;
  (VI) FOR DISTRICT DELEGATES TO A CONSTITUTIONAL CONVENTION, THE SUM OF
ONE  DOLLAR  AND  TEN  CENTS  FOR EACH VOTER ENROLLED IN THE CANDIDATE'S
PARTY IN THE DISTRICT; PROVIDED, HOWEVER, SUCH SUM  SHALL  NOT  BE  LESS
THAN FIVE THOUSAND DOLLARS NOR MORE THAN FIFTY THOUSAND DOLLARS;
  (B)  THE  ENROLLMENT  NUMBERS USED TO CALCULATE THE EXPENDITURE LIMITS
PROVIDED FOR IN THIS SUBDIVISION SHALL BE THE ENROLLMENTS DULY  REPORTED
BY  THE  APPROPRIATE  BOARD OR BOARDS OF ELECTION AS OF THE LAST GENERAL
ELECTION PRECEDING THE PRIMARY ELECTION.
  2.  IN ANY GENERAL OR SPECIAL ELECTION, EXPENDITURES BY  PARTICIPATING
CANDIDATES  FOR THE FOLLOWING OFFICES AND BY THEIR PARTICIPATING COMMIT-
TEES SHALL NOT EXCEED THE FOLLOWING AMOUNTS:
  CANDIDATES FOR ELECTION TO THE OFFICE OF:
  GOVERNOR AND LIEUTENANT GOVERNOR (COMBINED)                $12,000,000
  ATTORNEY GENERAL                                           $8,000,000
  COMPTROLLER                                                $8,000,000

S. 7506                            13

  MEMBER OF SENATE                                           $375,000
  MEMBER OF ASSEMBLY                                         $150,000
  DELEGATE AT-LARGE TO A CONSTITUTIONAL CONVENTION           $350,000
  DISTRICT DELEGATE TO A CONSTITUTIONAL CONVENTION           $75,000
  3. PARTICIPATING CANDIDATES FOR OFFICE WHO ARE UNOPPOSED IN THE PRIMA-
RY  ELECTION MAY EXPEND BEFORE THE PRIMARY ELECTION, FOR SERVICES, MATE-
RIALS OR FACILITIES USED ON OR BEFORE THE DATE OF SUCH PRIMARY ELECTION,
AN AMOUNT EQUAL TO HALF THE SUM SUCH CANDIDATES  WOULD  BE  ENTITLED  TO
SPEND  IF  THEIR  NOMINATION  WAS  CONTESTED  IN  SUCH  PRIMARY ELECTION
PROVIDED THERE IS A PRIMARY CONTEST FOR THE NOMINATION OF AT  LEAST  ONE
OTHER PARTY FOR SUCH OFFICE.
  4.  EXPENDITURES  FOR LEGAL FEES AND REASONABLE EXPENSES TO DEFEND THE
VALIDITY OF PETITIONS OF DESIGNATION OR NOMINATION  OR  CERTIFICATES  OF
NOMINATION,  ACCEPTANCE,  AUTHORIZATION, DECLINATION OR SUBSTITUTION, OR
TO SUCCESSFULLY CHALLENGE ANY SUCH PETITION OR CERTIFICATE ON GROUNDS OF
FRAUD, OR FOR EXPENSES INCURRED TO  COMPLY  WITH  THE  CAMPAIGN  FINANCE
REPORTING  REQUIREMENTS  OF  THIS  ARTICLE,  SHALL NOT BE SUBJECT TO THE
EXPENDITURE LIMITS OF THIS SUBDIVISION.
  S 14-212. EXAMINATIONS AND AUDITS;  REPAYMENTS.  1.  THE  STATE  BOARD
SHALL  CONDUCT A THOROUGH EXAMINATION AND AUDIT OF THE CONTRIBUTIONS AND
QUALIFIED CAMPAIGN EXPENSES OF  THE  PARTICIPATING  COMMITTEE  OF  EVERY
PARTICIPATING CANDIDATE WHO RECEIVED PAYMENTS PURSUANT TO SECTION 14-206
OF THIS TITLE.
  2.  (A)  IF THE STATE BOARD DETERMINES THAT ANY PORTION OF THE PAYMENT
MADE TO A PARTICIPATING COMMITTEE FROM THE FUND WAS  IN  EXCESS  OF  THE
AGGREGATE  AMOUNT OF PAYMENTS TO WHICH SUCH ELIGIBLE CANDIDATE WAS ENTI-
TLED PURSUANT TO SECTION 14-206 OF THIS  TITLE,  IT  SHALL  NOTIFY  SUCH
COMMITTEE OF THE EXCESS AMOUNT AND SUCH COMMITTEE SHALL PAY TO THE STATE
BOARD AN AMOUNT EQUAL TO THE AMOUNT OF EXCESS PAYMENTS.
  (B) IF THE STATE BOARD DETERMINES THAT ANY AMOUNT OF PAYMENT MADE TO A
PARTICIPATING  COMMITTEE  FROM THE FUND WAS USED FOR PURPOSES OTHER THAN
TO DEFRAY QUALIFIED CAMPAIGN EXPENSES, IT SHALL NOTIFY SUCH  PARTICIPAT-
ING  COMMITTEE OF THE AMOUNT DISQUALIFIED AND SUCH PARTICIPATING COMMIT-
TEE SHALL PAY TO THE STATE BOARD AN AMOUNT EQUAL  TO  SUCH  DISQUALIFIED
AMOUNT.
  (C)  IF THE TOTAL OF CONTRIBUTIONS AND PAYMENTS FROM THE FUND RECEIVED
BY  ANY  PARTICIPATING  CANDIDATE  AND  SUCH  CANDIDATE'S  PARTICIPATING
COMMITTEE,  EXCEEDS  THE  CAMPAIGN  EXPENDITURES  OF  SUCH CANDIDATE AND
COMMITTEE, SUCH CANDIDATE AND COMMITTEE SHALL USE SUCH EXCESS  FUNDS  TO
REIMBURSE THE FUND FOR PAYMENTS RECEIVED BY SUCH COMMITTEE FROM THE FUND
NOT LATER THAN TEN DAYS AFTER ALL PERMISSIBLE LIABILITIES HAVE BEEN PAID
AND  IN ANY EVENT, NOT LATER THAN MARCH THIRTY-FIRST OF THE YEAR FOLLOW-
ING THE YEAR OF THE ELECTION FOR WHICH SUCH PAYMENTS WERE  INTENDED.  NO
SUCH EXCESS FUNDS SHALL BE USED FOR ANY OTHER PURPOSE.
  3. IF A COURT OF COMPETENT JURISDICTION DISQUALIFIES A CANDIDATE WHOSE
PARTICIPATING  COMMITTEE  HAS  RECEIVED PUBLIC FUNDS ON THE GROUNDS THAT
SUCH CANDIDATE COMMITTED FRAUDULENT ACTS IN ORDER TO OBTAIN A  PLACE  ON
THE  BALLOT  AND  SUCH  DECISION IS NOT REVERSED BY A HIGHER COURT, SUCH
CANDIDATE AND SUCH CANDIDATE'S PARTICIPATING COMMITTEE SHALL PAY TO  THE
STATE  BOARD  AN  AMOUNT  EQUAL TO THE TOTAL OF PUBLIC FUNDS RECEIVED BY
SUCH PARTICIPATING COMMITTEE.
  4. THE STATE BOARD MUST PROVIDE WRITTEN NOTICE  OF  ALL  PAYMENTS  DUE
FROM  A  PARTICIPATING  CANDIDATE  OR  SUCH CANDIDATE'S COMMITTEE TO THE
STATE BOARD AND PROVIDE AN OPPORTUNITY FOR THE CANDIDATE OR COMMITTEE TO
REBUT, IN WHOLE OR IN PART, THE ALLEGED AMOUNT DUE. UPON A FINAL WRITTEN

S. 7506                            14

DETERMINATION BY THE STATE BOARD, THE AMOUNT DUE SHALL BE  PAID  TO  THE
STATE BOARD WITHIN THIRTY DAYS OF SUCH DETERMINATION.
  5.  ALL  PAYMENTS RECEIVED BY THE STATE BOARD PURSUANT TO THIS SECTION
SHALL BE DEPOSITED IN THE NEW YORK STATE CAMPAIGN  FINANCE  FUND  ESTAB-
LISHED BY SECTION NINETY-TWO-T OF THE STATE FINANCE LAW.
  S 14-214. CIVIL PENALTIES. 1. ANY PERSON WHO FAILS TO FILE A STATEMENT
OR RECORD REQUIRED TO BE FILED BY THIS TITLE OR THE RULES OR REGULATIONS
OF THE STATE BOARD IN IMPLEMENTATION THEREOF SHALL BE SUBJECT TO A CIVIL
PENALTY,  NOT IN EXCESS OF FIVE THOUSAND DOLLARS, TO BE RECOVERABLE IN A
SPECIAL PROCEEDING OR CIVIL ACTION BROUGHT BY THE STATE BOARD.
  2. IF THE AGGREGATE AMOUNT OF EXPENDITURES BY A  PARTICIPATING  CANDI-
DATE  AND  SUCH CANDIDATE'S PARTICIPATING COMMITTEE EXCEEDS THE EXPENDI-
TURE LIMITATIONS CONTAINED IN THIS TITLE  SUCH  PARTICIPATING  CANDIDATE
SHALL  BE  LIABLE  FOR A CIVIL PENALTY IN AN AMOUNT EQUAL TO THREE TIMES
THE SUM BY WHICH SUCH EXPENDITURES EXCEED THE PERMITTED  AMOUNT,  TO  BE
RECOVERABLE IN A SPECIAL PROCEEDING OR CIVIL ACTION BROUGHT BY THE STATE
BOARD.
  3.  ALL  PAYMENTS RECEIVED BY THE STATE BOARD PURSUANT TO THIS SECTION
SHALL BE DEPOSITED IN THE NEW YORK STATE CAMPAIGN  FINANCE  FUND  ESTAB-
LISHED BY SECTION NINETY-TWO-T OF THE STATE FINANCE LAW.
  S  11.  The  election law is amended by adding a new section 16-103 to
read as follows:
  S 16-103. PROCEEDINGS AS TO PUBLIC FINANCING. 1. THE DETERMINATION  OF
ELIGIBILITY  PURSUANT TO SECTION 14-202 OF THIS CHAPTER AND ANY QUESTION
OR ISSUE RELATING TO PAYMENTS FOR QUALIFIED CAMPAIGN EXPENDITURES PURSU-
ANT TO SECTION 14-206 OF THIS CHAPTER MAY BE CONTESTED IN  A  PROCEEDING
INSTITUTED  IN THE SUPREME COURT, ALBANY COUNTY, BY ANY AGGRIEVED CANDI-
DATE.
  2. A PROCEEDING WITH RESPECT TO SUCH A DETERMINATION OF ELIGIBILITY OR
PAYMENT FOR QUALIFIED CAMPAIGN EXPENDITURES PURSUANT TO  SECTION  14-206
OF  THIS CHAPTER SHALL BE INSTITUTED WITHIN SEVEN DAYS AFTER SUCH DETER-
MINATION WAS MADE. THE STATE BOARD SHALL BE MADE A  PARTY  TO  ANY  SUCH
PROCEEDING.
  3.  UPON  THE  STATE  BOARD'S FAILURE TO RECEIVE THE AMOUNT DUE FROM A
PARTICIPATING CANDIDATE OR SUCH CANDIDATE'S COMMITTEE AFTER THE ISSUANCE
OF WRITTEN NOTICE OF SUCH AMOUNT DUE, AS REQUIRED BY SUBDIVISION FOUR OF
SECTION 14-212 OF THIS CHAPTER, THE STATE BOARD IS AUTHORIZED TO  INSTI-
TUTE A SPECIAL PROCEEDING OR CIVIL ACTION IN SUPREME COURT, ALBANY COUN-
TY, TO OBTAIN A JUDGMENT FOR ANY AMOUNTS DETERMINED TO BE PAYABLE TO THE
STATE  BOARD  AS  A  RESULT OF AN EXAMINATION AND AUDIT MADE PURSUANT TO
TITLE II OF ARTICLE FOURTEEN OF THIS CHAPTER.
  4. THE STATE BOARD IS AUTHORIZED TO INSTITUTE A SPECIAL PROCEEDING  OR
CIVIL  ACTION  IN SUPREME COURT, ALBANY COUNTY, TO OBTAIN A JUDGMENT FOR
CIVIL PENALTIES DETERMINED TO BE PAYABLE TO THE STATE BOARD PURSUANT  TO
SECTION 14-214 OF THIS CHAPTER.
  S  12.  The  election  law is amended by adding a new section 4-115 to
read as follows:
  S 4-115. NOTICE TO THE STATE BOARD OF ELECTIONS OF CANDIDATES FOR  THE
LEGISLATURE.  1.  EACH BOARD OF ELECTIONS WITH WHICH PETITIONS ARE FILED
FOR MEMBER OF THE STATE LEGISLATURE SHALL, NOT LATER THAN ONE WEEK AFTER
THE LAST DAY TO FILE SUCH PETITIONS, SEND NOTICE TO THE STATE  BOARD  OF
ELECTIONS  OF  SUCH  INFORMATION  ABOUT  EACH SUCH PETITION AS THE STATE
BOARD SHALL REQUIRE.
  2. EACH SUCH COUNTY BOARD OF ELECTIONS SHALL, NOT LATER THAN  THE  DAY
AFTER THE LAST DAY TO FILE A PETITION OR CERTIFICATE OF NOMINATION FOR A
GENERAL  OR SPECIAL ELECTION OR A CERTIFICATE OF ACCEPTANCE, DECLINATION

S. 7506                            15

OR SUBSTITUTION FOR A GENERAL, PRIMARY OR SPECIAL ELECTION FOR ANY  SUCH
OFFICE, SEND TO THE STATE BOARD OF ELECTIONS SUCH INFORMATION ABOUT EACH
SUCH PETITION OR CERTIFICATE AS THE STATE BOARD SHALL REQUIRE.
  3.  IF  ANY  SUCH COUNTY BOARD OF ELECTIONS SHOULD DISQUALIFY ANY SUCH
CANDIDATE OR RULE THE PETITION OR CERTIFICATE DESIGNATING OR  NOMINATING
ANY SUCH CANDIDATE INVALID, IT SHALL FORTHWITH NOTIFY THE STATE BOARD OF
ELECTIONS OF SUCH DECISION.
  4.  IF ANY SUCH COUNTY BOARD OF ELECTIONS SHALL BE NOTIFIED OF A DECI-
SION OF A COURT OF COMPETENT JURISDICTION DISQUALIFYING ANY SUCH  CANDI-
DATE  OR DECLARING ANY SUCH PETITION INVALID OR REVERSING ANY SUCH DECI-
SION BY SUCH  BOARD  OF  ELECTIONS  OR  ANOTHER  COURT,  SUCH  BOARD  OF
ELECTIONS  SHALL  FORTHWITH  NOTIFY THE STATE BOARD OF ELECTIONS OF SUCH
DECISION.
  5. THE STATE BOARD OF ELECTIONS MAY PRESCRIBE FORMS  FOR  THE  NOTICES
REQUIRED  BY  THIS  SECTION AND SHALL PRESCRIBE THE MANNER IN WHICH SUCH
NOTICES SHALL BE GIVEN.
  S 13. The state finance law is amended by adding a new section 92-t to
read as follows:
  S 92-T. NEW YORK STATE CAMPAIGN FINANCE FUND.  1.    THERE  IS  HEREBY
ESTABLISHED  IN  THE  JOINT  CUSTODY  OF  THE  STATE COMPTROLLER AND THE
COMMISSIONER OF TAXATION AND FINANCE A FUND TO BE KNOWN AS THE NEW  YORK
STATE CAMPAIGN FINANCE FUND.
  2.  SUCH FUND SHALL CONSIST OF ALL REVENUES RECEIVED FROM THE NEW YORK
STATE CAMPAIGN FINANCE FUND CHECK-OFF  PURSUANT  TO  SUBSECTION  (F)  OF
SECTION  SIX  HUNDRED FIFTY-EIGHT OF THE TAX LAW, FROM THE GENERAL FUND,
AND FROM ALL OTHER MONEYS CREDITED OR TRANSFERRED THERETO FROM ANY OTHER
FUND OR SOURCE PURSUANT TO LAW.
  3. MONEYS OF THE FUND, FOLLOWING APPROPRIATION BY THE LEGISLATURE, MAY
BE EXPENDED FOR THE PURPOSES OF MAKING PAYMENTS TO  CANDIDATES  PURSUANT
TO  TITLE  II  OF  ARTICLE FOURTEEN OF THE ELECTION LAW. MONEYS SHALL BE
PAID OUT OF THE FUND ON THE AUDIT AND WARRANT OF THE  STATE  COMPTROLLER
ON  VOUCHERS  CERTIFIED  OR APPROVED BY THE STATE BOARD OF ELECTIONS, OR
ITS DULY DESIGNATED REPRESENTATIVE, IN THE MANNER PRESCRIBED BY LAW, NOT
MORE THAN FOUR WORKING DAYS AFTER SUCH VOUCHER IS RECEIVED BY THE  STATE
COMPTROLLER.
  4.  NOTWITHSTANDING  ANY  PROVISION OF LAW TO THE CONTRARY, IF, IN ANY
STATE FISCAL YEAR, THE STATE CAMPAIGN FINANCE FUND LACKS THE  AMOUNT  OF
MONEY  TO  PAY ALL CLAIMS VOUCHERED BY ELIGIBLE CANDIDATES AND CERTIFIED
OR APPROVED BY THE STATE BOARD OF ELECTIONS, ANY SUCH  DEFICIENCY  SHALL
BE  PAID,  UPON  AUDIT  AND WARRANT OF THE STATE COMPTROLLER, FROM FUNDS
DEPOSITED IN THE GENERAL FUND OF THE STATE NOT MORE  THAN  FOUR  WORKING
DAYS AFTER SUCH VOUCHER IS RECEIVED BY THE STATE COMPTROLLER.
  5.  COMMENCING  IN TWO THOUSAND FIFTEEN, IF THE SURPLUS IN THE FUND ON
APRIL FIRST OF THE YEAR AFTER A YEAR IN  WHICH  A  GOVERNOR  IS  ELECTED
EXCEEDS  TWENTY-FIVE PERCENT OF THE DISBURSEMENTS FROM THE FUND OVER THE
PREVIOUS FOUR YEARS, THE EXCESS SHALL REVERT TO THE GENERAL FUND OF  THE
STATE.
  6.  NO PUBLIC FUNDS SHALL BE PAID TO ANY PARTICIPATING CANDIDATES IN A
PRIMARY ELECTION ANY EARLIER THAN THE DAY THAT SUCH CANDIDATE IS  CERTI-
FIED AS BEING ON THE BALLOT FOR SUCH PRIMARY ELECTION.
  7.  NO PUBLIC FUNDS SHALL BE PAID TO ANY PARTICIPATING CANDIDATES IN A
GENERAL ELECTION ANY EARLIER THAN THE DAY AFTER THE DAY OF  THE  PRIMARY
ELECTION HELD TO NOMINATE CANDIDATES FOR SUCH ELECTION.
  8.  NO PUBLIC FUNDS SHALL BE PAID TO ANY PARTICIPATING CANDIDATES IN A
SPECIAL ELECTION ANY EARLIER THAN THE DAY AFTER THE  LAST  DAY  TO  FILE
CERTIFICATES OF PARTY NOMINATION FOR SUCH SPECIAL ELECTION.

S. 7506                            16

  9.  NO  PUBLIC  FUNDS SHALL BE PAID TO ANY PARTICIPATING CANDIDATE WHO
HAS BEEN DISQUALIFIED OR WHOSE DESIGNATING PETITIONS HAVE BEEN  DECLARED
INVALID  BY  THE  APPROPRIATE BOARD OF ELECTIONS OR A COURT OF COMPETENT
JURISDICTION UNTIL AND UNLESS SUCH  FINDING  IS  REVERSED  BY  A  HIGHER
AUTHORITY.  NO  PAYMENT FROM THE FUND IN THE POSSESSION OF SUCH A CANDI-
DATE OR SUCH CANDIDATE'S PARTICIPATING COMMITTEE ON  THE  DATE  OF  SUCH
DISQUALIFICATION  OR  INVALIDATION  MAY  THEREAFTER  BE EXPENDED FOR ANY
PURPOSE EXCEPT THE PAYMENT OF LIABILITIES INCURRED BEFORE SUCH DATE. ALL
SUCH MONEYS SHALL BE REPAID TO THE FUND.
  S 14. Section 658 of the tax law is amended by adding a new subsection
(f) to read as follows:
  (F) NEW YORK STATE CAMPAIGN FINANCE FUND  CHECK-OFF.    (1)  FOR  EACH
TAXABLE  YEAR  BEGINNING  ON  AND AFTER JANUARY FIRST, TWO THOUSAND TEN,
EVERY INDIVIDUAL WHOSE NEW YORK STATE INCOME TAX LIABILITY FOR THE TAXA-
BLE YEAR FOR WHICH THE RETURN IS FILED  IS  FIVE  DOLLARS  OR  MORE  MAY
DESIGNATE  ON  SUCH  RETURN  THAT FIVE DOLLARS BE PAID INTO THE NEW YORK
STATE CAMPAIGN FINANCE FUND ESTABLISHED BY SECTION NINETY-TWO-T  OF  THE
STATE  FINANCE  LAW.    WHERE A HUSBAND AND WIFE FILE A JOINT RETURN AND
HAVE A NEW YORK STATE INCOME TAX LIABILITY  FOR  THE  TAXABLE  YEAR  FOR
WHICH  THE  RETURN  IS  FILED  OF  TEN DOLLARS OR MORE, OR FILE SEPARATE
RETURNS ON A SINGLE FORM, EACH SUCH TAXPAYER MAY  MAKE  SEPARATE  DESIG-
NATIONS  ON  SUCH  RETURN  OF  FIVE DOLLARS TO BE PAID INTO THE NEW YORK
STATE CAMPAIGN FINANCE FUND.
  (2) THE COMMISSIONER SHALL TRANSFER TO THE  NEW  YORK  STATE  CAMPAIGN
FINANCE  FUND, ESTABLISHED PURSUANT TO SECTION NINETY-TWO-T OF THE STATE
FINANCE LAW, AN AMOUNT EQUAL TO FIVE DOLLARS MULTIPLIED BY THE NUMBER OF
DESIGNATIONS.
  (3) FOR PURPOSES OF THIS SUBSECTION, THE INCOME TAX  LIABILITY  OF  AN
INDIVIDUAL  FOR ANY TAXABLE YEAR IS THE AMOUNT OF TAX IMPOSED UNDER THIS
ARTICLE REDUCED BY THE SUM OF THE  CREDITS  (AS  SHOWN  IN  HIS  OR  HER
RETURN) ALLOWABLE UNDER THIS ARTICLE.
  (4)  THE DEPARTMENT SHALL INCLUDE A PLACE ON EVERY PERSONAL INCOME TAX
RETURN FORM TO BE FILED BY AN INDIVIDUAL FOR A TAX YEAR BEGINNING ON  OR
AFTER  JANUARY  FIRST,  TWO  THOUSAND TEN, IMMEDIATELY ABOVE THE CERTIF-
ICATION UNDER WHICH THE TAXPAYER IS REQUIRED TO SIGN SUCH FORM, FOR SUCH
TAXPAYER TO MAKE THE DESIGNATIONS DESCRIBED IN  PARAGRAPH  ONE  OF  THIS
SUBSECTION.  SUCH RETURN FORM SHALL CONTAIN A CONCISE EXPLANATION OF THE
PURPOSE OF SUCH OPTIONAL DESIGNATIONS.
  S 15. Campaign finance review panel. 1. There is  hereby  created  and
established the "campaign finance review panel". The panel shall consist
of  the  commissioner of taxation and finance, the director of the divi-
sion of the budget, the state comptroller and the  two  members  of  the
state  board  of  elections  who rotate as chairperson of the board. The
commissioner of taxation and finance shall be chairperson.
  2. The panel is empowered and it shall be  its  duty  to  monitor  and
review  the  implementation of the 2010 Campaign Finance Reform Act. The
panel shall report to the governor and the legislature on March 31, 2012
and on March 31, 2014. The report  shall  include:  (a)  the  number  of
candidates  qualifying  and  opting  for  public  financing, the amounts
expended for this purpose in the preceding fiscal year and a  projection
of the number of candidates likely to qualify and opt for public financ-
ing  and  their expenditures in future elections; (b) an analysis of the
effect of the 2010 Campaign Finance Reform Act on  political  campaigns,
including  its  effect  on the sources and amounts of private financing,
the level of campaign expenditures, voter participation, the  number  of
candidates  and  the  candidate's  ability  to  campaign effectively for

S. 7506                            17

public office; (c) a review of  the  procedures  utilized  in  providing
public funds to candidates; and (d) such recommended changes in the 2010
Campaign Finance Reform Act as it deems appropriate.
  S  16.  Subdivision 9 of section 14-100 of the election law is amended
by adding a new paragraph 4 to read as follows:
  (4) THE TERM "CONTRIBUTION" DOES NOT INCLUDE EXPENDITURES  BY  A  BONA
FIDE  MEMBERSHIP  ORGANIZATION IN SUPPORT OF THE FOLLOWING ACTIVITIES BY
MEMBERS OF THE ORGANIZATION WHO ARE VOLUNTEERING THEIR TIME ON BEHALF OF
A CANDIDATE, NOT TO EXCEED TWENTY-FIVE DOLLARS  PER  MEMBER  WHO  VOLUN-
TEERS,  FOR:  TRANSPORTATION  OF  VOLUNTEERS TO AND FROM CAMPAIGN ACTIV-
ITIES; COST OF FEEDING VOLUNTEERS WHILE VOLUNTEERING FOR  THE  CAMPAIGN;
AND  MATERIALS  SUCH  AS BADGES AND CLOTHING THAT IDENTIFIES THE NAME OF
THE ORGANIZATION AND/OR CANDIDATE.
  S 17. Paragraphs a and b of subdivision 1 of  section  14-114  of  the
election law, as amended by chapter 659 of the laws of 1994, are amended
to read as follows:
  a. In any election for a public office to be voted on by the voters of
the  entire  state, or for nomination to any such office, no contributor
may make a contribution to any candidate or political committee, and  no
candidate  or  political  committee may accept any contribution from any
contributor, which is in the aggregate amount greater than:  (i) in  the
case of any nomination to public office, the product of the total number
of  enrolled  voters  in  the  candidate's party in the state, excluding
voters in inactive status, multiplied by $.005, but such amount shall be
not [less] MORE than [four] TWO thousand FOUR HUNDRED dollars [nor  more
than  twelve  thousand dollars] as increased or decreased by the cost of
living adjustment described in paragraph c of this subdivision, and (ii)
in the case of any election to a public office, [twenty-five] TWO  thou-
sand  FOUR  HUNDRED  dollars  as  increased  or decreased by the cost of
living adjustment described in paragraph c of this subdivision; provided
however, that  the  maximum  amount  which  may  be  so  contributed  or
accepted,  in  the aggregate, from any candidate's child, parent, grand-
parent, brother and sister, and the spouse of any  such  persons,  shall
not  exceed  in  the  case  of any nomination to public office an amount
equivalent to the product of the number of enrolled voters in the candi-
date's party in the state, excluding voters in inactive  status,  multi-
plied  by $.025, and in the case of any election for a public office, an
amount equivalent to the product of the number of registered  voters  in
the state excluding voters in inactive status, multiplied by $.025.
  b.  In  any  other  election  for  party position or for election to a
public office or for nomination for any such office, no contributor  may
make  a  contribution  to  any  candidate  or political committee and no
candidate or political committee may accept any  contribution  from  any
contributor,  which  is in the aggregate amount greater than: (i) in the
case of any election for party position, or  for  nomination  to  public
office, the product of the total number of enrolled voters in the candi-
date's  party in the district in which he OR SHE is a candidate, exclud-
ing voters in inactive status, multiplied by $.05, and (ii) in the  case
of  any election for a public office, the product of the total number of
registered voters in the district, excluding voters in inactive  status,
multiplied  by $.05, however in the case of a nomination within the city
of New York for the office of mayor,  public  advocate  or  comptroller,
such  amount  shall  be  not  [less]  MORE than [four] TWO thousand FOUR
HUNDRED dollars [nor more than twelve thousand dollars] as increased  or
decreased  by  the cost of living adjustment described in paragraph c of
this subdivision; in the case of an election within the city of New York

S. 7506                            18

for the office of mayor, public advocate or  comptroller,  [twenty-five]
TWO  thousand FOUR HUNDRED dollars as increased or decreased by the cost
of living adjustment described in paragraph c of  this  subdivision;  in
the  case  of  a  nomination for state senator, [four] TWO thousand FOUR
HUNDRED dollars as increased or decreased by the cost of living  adjust-
ment  described  in  paragraph  c of this subdivision; in the case of an
election for state  senator,  [six]  TWO  thousand  [two]  FOUR  hundred
[fifty]  dollars as increased or decreased by the cost of living adjust-
ment described in paragraph c of this subdivision; in  the  case  of  an
election  or  nomination for a member of the assembly, [twenty-five] TWO
THOUSAND FOUR hundred dollars as increased or decreased by the  cost  of
living  adjustment described in paragraph c of this subdivision; [but in
no event shall any such maximum exceed fifty thousand dollars or be less
than one thousand dollars;] provided however, that  the  maximum  amount
which  may  be  so  contributed  or accepted, in the aggregate, from any
candidate's child, parent, grandparent,  brother  and  sister,  and  the
spouse of any such persons, shall not exceed in the case of any election
for  party position or nomination for public office an amount equivalent
to the number of  enrolled  voters  in  the  candidate's  party  in  the
district in which he OR SHE is a candidate, excluding voters in inactive
status,  multiplied  by  $.25  and in the case of any election to public
office, an amount equivalent to the number of registered voters  in  the
district,  excluding  voters  in inactive status, multiplied by $.25; or
twelve hundred fifty dollars, whichever is greater, or in the case of  a
nomination  or  election  of  a  state senator, twenty thousand dollars,
whichever is greater, or in the case of a nomination or  election  of  a
member  of the assembly, twelve thousand five hundred dollars, whichever
is greater, but in no event shall any such maximum  exceed  one  hundred
thousand dollars.
  S  18.  Section 14-130 of the election law, as added by chapter 152 of
the laws of 1985, is amended to read as follows:
  S 14-130. Campaign funds for personal use. 1.  Contributions  received
by  a  candidate  or a political committee may ONLY be expended for [any
lawful purpose. Such funds shall not be converted by  any  person  to  a
personal  use  which is unrelated to a political campaign or the holding
of a public office  or  party  position]  BONA  FIDE  PURPOSES  DIRECTLY
RELATED TO EITHER:
  A. PROMOTING THE NOMINATION OR ELECTION OF A CANDIDATE; OR
  B.  PERFORMING  THOSE  DUTIES OF PUBLIC OFFICE OR PARTY POSITION WHICH
ARE NOT PAID FOR OR ELIGIBLE FOR REIMBURSEMENT BY THE STATE OR ANY POLI-
TICAL SUBDIVISION OR PRIVATE PARTY.
  2. PERMISSIBLE ORDINARY AND NECESSARY EXPENSES RELATING TO THE HOLDING
OF PUBLIC OFFICE OR PARTY POSITION SHALL INCLUDE:
  A. PRODUCTION AND CIRCULATION OF FLYERS  OR  OTHER  WRITTEN  MATERIALS
RELATED  TO  DUTIES  OF OFFICEHOLDER; THE PLACEMENT OF HOLIDAY GREETINGS
AND CONGRATULATORY ADS AND MEMORIAL NOTICES IN LOCAL  NEWSPAPERS,  MAGA-
ZINES, JOURNALS OR OTHER PUBLICATION;
  B.  SPONSORSHIP OR HOSTING OF COMMUNITY MEETINGS; TICKETS OR DONATIONS
TO LOCAL CHARITABLE, NON-PROFIT OR POLITICAL  EVENTS,  ORGANIZATIONS  OR
ACTIVITIES  THAT  PROMOTE  THE  WELFARE  OF  CONSTITUENTS  OR  POLITICAL
CAMPAIGNS;
  C. INCIDENTAL EXPENDITURES FOR THE OPERATION OF  LEGISLATIVE  OFFICES,
INCLUDING  PURCHASE OF ITEMS SUCH AS MEMORIAL OR GET-WELL GIFTS, FLOWERS
OR SIMILAR ITEMS OF NOMINAL VALUE FOR CONSTITUENTS OR OTHERS;

S. 7506                            19

  D. MEMBERSHIP IN ORGANIZATIONS RELATED TO OFFICIAL DUTIES AND COSTS OF
ATTENDING  INFORMATIONAL  MEETINGS  ATTENDED  IN  CONNECTION  WITH  SUCH
DUTIES; AND
  E. TRAVEL RELATED TO DUTIES OF OFFICE, PROVIDED THAT THE TRAVEL IS NOT
UNDERTAKEN  FOR ANY PURPOSE RESULTING IN A PERSONAL OR FINANCIAL BENEFIT
TO THE CANDIDATE OR OFFICEHOLDER. IF SUCH EXPENSES INVOLVE BOTH PERSONAL
ACTIVITY AND CAMPAIGN OR OFFICIAL ACTIVITIES, THE  INCREMENTAL  EXPENSES
ASSOCIATED  WITH  THE  PERSONAL  ACTIVITIES ARE PERSONAL USES UNLESS THE
CAMPAIGN IS REIMBURSED FOR SUCH SUMS  FROM  OTHER  THAN  CAMPAIGN  FUNDS
WITHIN THIRTY DAYS OF THE EXPENDITURE.
  NOTHING  IN  THIS  SECTION  SHALL PROHIBIT A CANDIDATE FROM PURCHASING
OFFICE EQUIPMENT WITH PERSONAL FUNDS AND LEASING OR RENTING SUCH  EQUIP-
MENT  OR  PROPERTY  TO  A  COMMITTEE  WORKING WITH OR FOR THE CANDIDATE,
PROVIDED THE CANDIDATE OR THE CAMPAIGN TREASURER SIGN A WRITTEN LEASE OR
RENTAL AGREEMENT AND FILES IT WITH  THE  APPROPRIATE  REQUIRED  CAMPAIGN
FINANCIAL  FILING  WHICH  SHALL  INCLUDE THE LEASE OR RENTAL PRICE WHICH
SHALL NOT EXCEED THE FAIR LEASE OR RENTAL VALUE OF THE EQUIPMENT  OR  IN
THE AGGREGATE EXCEED THE COST OF ITS PURCHASE.
  3.  CAMPAIGN FUNDS SHALL NOT BE CONVERTED TO PERSONAL USE, WHICH SHALL
BE DEFINED AS EXPENDITURES THAT:
  A. ARE FOR THE PERSONAL BENEFIT OF OR TO DEFRAY NORMAL LIVING EXPENSES
OF THE CANDIDATE, OFFICEHOLDER, IMMEDIATE FAMILY OR PARTNER OF EITHER OR
ANY OTHER PERSON;
  B. ARE USED TO FULFILL ANY COMMITMENT,  OBLIGATION,  OR  EXPENSE  THAT
WOULD  EXIST  IRRESPECTIVE  OF  THE CANDIDATE'S CAMPAIGN OR DUTIES AS AN
OFFICEHOLDER; OR
  C. ARE PUT TO ANY USE FOR WHICH THE CANDIDATE OR OFFICEHOLDER WOULD BE
REQUIRED TO TREAT THE AMOUNT OF THE EXPENDITURE AS  GROSS  INCOME  UNDER
SECTION 61 OF THE INTERNAL REVENUE CODE.
  4.  EXPENDITURES  FOR  PERSONAL  USE  SHALL  ALSO INCLUDE, BUT ARE NOT
LIMITED TO, EXPENDITURES FOR:
  A. RESIDENTIAL OR HOUSEHOLD  ITEMS,  SUPPLIES,  MAINTENANCE  OR  OTHER
EXPENDITURES,  INCLUDING MORTGAGE, RENT, UTILITIES, REPAIRS, OR IMPROVE-
MENTS FOR ANY PART OF ANY PERSONAL RESIDENCE OF A CANDIDATE  OR  OFFICE-
HOLDER, HIS OR HER IMMEDIATE FAMILY OR PARTNER;
  B.  RENT  OR UTILITY PAYMENTS THAT EXCEED FAIR MARKET VALUE FOR USE OF
ANY PART OF ANY NON-RESIDENTIAL PROPERTY OWNED  BY  A  CANDIDATE,  OR  A
MEMBER OF A CANDIDATE'S FAMILY OR PARTNER USED FOR CAMPAIGN PURPOSES;
  C.  SALARY  AND  OTHER  FEES  FOR  BONA FIDE SERVICES TO A CAMPAIGN OR
LEGISLATIVE OFFICE THAT EXCEED FAIR AND REASONABLE MARKET VALUE OF  SUCH
SERVICES;
  D.  INTEREST  OR  ANY  OTHER  FINANCE CHARGES FOR MONIES LOANED TO THE
CAMPAIGN BY THE CANDIDATE OR THE SPOUSE OR PARTNER OF SUCH CANDIDATE;
  E. TUITION PAYMENTS;
  F. DUES, FEES, OR GRATUITIES AT PRIVATE CLUBS, RECREATIONAL FACILITIES
OR OTHER NONPOLITICAL ORGANIZATIONS,  UNLESS  CONNECTED  TO  A  SPECIFIC
WIDELY ATTENDED FUNDRAISING EVENT THAT TAKES PLACE ON THE ORGANIZATION'S
PREMISES;
  G.  AUTOMOBILE  PURCHASES  OR LONG TERM LEASES; SHORT TERM CAR RENTALS
AND CELLULAR EQUIPMENT AND SERVICES NOT USED  EXCLUSIVELY  FOR  CAMPAIGN
PURPOSES OR DUTIES AS AN OFFICEHOLDER;
  H. ADMISSION TO SPORTING EVENTS, CONCERTS, THEATERS, OR OTHER FORMS OF
ENTERTAINMENT,  UNLESS  PART  OF  A  SPECIFIC  CAMPAIGN  OR OFFICEHOLDER
RELATED ACTIVITY; AND
  I. PAYMENT OF ANY FINES, FEES, OR PENALTIES ASSESSED PURSUANT TO  THIS
CHAPTER.

S. 7506                            20

  5. NO CAMPAIGN FUNDS SHALL BE USED TO PAY ATTORNEY'S FEES OR ANY COSTS
OF  DEFENDING AGAINST ANY CIVIL OR CRIMINAL INVESTIGATION OR PROSECUTION
FOR ALLEGED VIOLATIONS OF STATE OR FEDERAL  LAW  ALLEGED  TO  HAVE  BEEN
COMMITTED WHILE HOLDING PUBLIC OFFICE OR AS A CANDIDATE FOR OFFICE WHERE
THE  CANDIDATE  OR  PUBLIC OR PARTY OFFICIAL, MEMBERS OF THEIR IMMEDIATE
FAMILIES OR PARTNERS OR THE CAMPAIGN IS THE TARGET OF SUCH INVESTIGATION
OR PROSECUTION UNLESS SUCH EXPENDITURE IS  USED  EXCLUSIVELY  FOR  COSTS
RELATED  TO  CIVIL OR CRIMINAL ACTIONS FOR ALLEGED VIOLATIONS RELATED TO
ACTIVITIES PROMOTING THE NOMINATION OR ELECTION OF A CANDIDATE.
  S 19. The election law is amended by adding a new  section  14-132  to
read as follows:
  S  14-132.  DISPOSITION OF CAMPAIGN FUNDS. 1. AN AUTHORIZED CONTINUING
CANDIDATE COMMITTEE MUST DISPOSE OF ALL FUNDS AND CLOSE WITHIN TWO YEARS
AFTER THE LATER OF (A) THE END OF THE INDIVIDUAL'S MOST RECENT  TERM  OF
OFFICE, OR (B) THE DATE OF THE ELECTION IN WHICH THE INDIVIDUAL LAST WAS
A FILED CANDIDATE.
  2.  ANY  CANDIDATE OR POLITICAL COMMITTEE REQUIRED TO DISPOSE OF FUNDS
PURSUANT TO THIS SECTION SHALL, AT THE OPTION OF THE CANDIDATE,  OR  THE
TREASURER  OF A POLITICAL COMMITTEE FORMED SOLELY TO PROMOTE THE PASSAGE
OR DEFEAT OF A BALLOT PROPOSAL, DISPOSE OF SUCH  FUNDS  BY  ANY  OF  THE
FOLLOWING MEANS, OR ANY COMBINATION THEREOF:
  A.  RETURNING,  PRO  RATA, TO EACH CONTRIBUTOR THE FUNDS THAT HAVE NOT
BEEN SPENT OR OBLIGATED;
  B. DONATING THE FUNDS TO A CHARITABLE  ORGANIZATION  OR  ORGANIZATIONS
THAT MEET THE QUALIFICATIONS OF SECTION 501(C)(3) OF THE INTERNAL REVEN-
UE CODE;
  C. DONATING THE FUNDS TO THE STATE UNIVERSITY;
  D. DONATING THE FUNDS TO THE STATE'S GENERAL FUND;
  E.  TRANSFERRING  THE  FUNDS TO A POLITICAL PARTY COMMITTEE REGISTERED
WITH THE STATE BOARD OF ELECTIONS; OR
  F. CONTRIBUTING THE FUNDS TO A CANDIDATE OR POLITICAL  COMMITTEE  SUCH
THAT THIS DOES NOT EXCEED THE LIMITS SET FORTH IN SECTION 14-114 OF THIS
TITLE.
  3. NO CANDIDATE OR POLITICAL COMMITTEE SHALL DISPOSE OF CAMPAIGN FUNDS
BY  MAKING EXPENDITURES FOR PERSONAL USE AS DEFINED IN SECTION 14-130 OF
THIS TITLE.
  4. UPON THE DEATH OF A CANDIDATE, FORMER CANDIDATE OR HOLDER OF  ELEC-
TIVE  OFFICE,  WHO  RECEIVED  CAMPAIGN  CONTRIBUTIONS, ALL CONTRIBUTIONS
SHALL BE DISPOSED OF ACCORDING TO THIS SECTION WITHIN TWELVE  MONTHS  OF
THE DEATH OF THE CANDIDATE.
  S  20. Subdivision 1 of section 14-102 of the election law, as amended
by chapter 8 and redesignated by chapter 9  of  the  laws  of  1978,  is
amended to read as follows:
  1.  The  treasurer of every political committee which, or any officer,
member or agent of any  such  committee  who,  in  connection  with  any
election,  receives  or  expends  any  money  or other valuable thing or
incurs any liability to pay money or its equivalent  shall  file  state-
ments  sworn,  or subscribed and bearing a form notice that false state-
ments made therein are punishable as a class A misdemeanor  pursuant  to
section  210.45 of the penal law, at the times prescribed by this [arti-
cle] TITLE setting forth all the  receipts,  contributions  to  and  the
expenditures  by  and liabilities of the committee, and of its officers,
members and agents in its behalf.  Such  statements  shall  include  the
dollar  amount  of  any  receipt,  contribution or transfer, or the fair
market value of any receipt, contribution or transfer,  which  is  other
than  of  money,  the name and address of the transferor, contributor or

S. 7506                            21

person from whom received, IF THE CONTRIBUTOR IS A  LOBBYIST  REGISTERED
PURSUANT  TO ARTICLE ONE-A OF THE LEGISLATIVE LAW and if the transferor,
contributor or person is a political committee;  the  name  of  and  the
political  unit  represented  by the committee, the date of its receipt,
the dollar amount of every expenditure, the  name  and  address  of  the
person to whom it was made or the name of and the political unit repres-
ented  by  the  committee to which it was made and the date thereof, and
shall state clearly the  purpose  of  such  expenditure.  Any  statement
reporting  a  loan  shall  have attached to it a copy of the evidence of
indebtedness. Expenditures in sums  under  fifty  dollars  need  not  be
specifically  accounted  for  by  separate items in said statements, and
receipts  and  contributions  aggregating  not  more  than   ninety-nine
dollars, from any one contributor need not be specifically accounted for
by  separate  items  in  said  statements,  provided  however, that such
expenditures, receipts and contributions shall be subject to  the  other
provisions of section 14-118 of this [article] TITLE.
  S  21.  Subdivision 3 of section 3-100 of the election law, as amended
by chapter 220 of the laws of 2005, is amended to read as follows:
  3. The commissioners of the state board of  elections  shall  have  no
other public employment. The commissioners shall receive an annual sala-
ry  of  twenty-five  thousand dollars, within the amounts made available
therefor by appropriation. The board shall, for the purposes of sections
seventy-three and seventy-four of the public officers law, be  a  "state
agency",  and  such commissioners shall be "officers" of the state board
of elections for the purposes of such sections. Within the amounts  made
available  by appropriation therefor, the state board of elections shall
appoint two co-executive directors, [counsel] AN ENFORCEMENT COUNSEL,  A
DEPUTY  ENFORCEMENT  COUNSEL, WHO SHALL BE A MEMBER OF A DIFFERENT MAJOR
POLITICAL PARTY THAN THE ENFORCEMENT COUNSEL, A SPECIAL COUNSEL, A DEPU-
TY SPECIAL COUNSEL, WHO SHALL BE A MEMBER OF A DIFFERENT MAJOR POLITICAL
PARTY THAN THE SPECIAL COUNSEL, A DIRECTOR  OF  ELECTION  OPERATIONS,  A
DEPUTY  DIRECTOR  OF  ELECTION  OPERATIONS,  WHO  SHALL BE A MEMBER OF A
DIFFERENT MAJOR POLITICAL PARTY THAN  THE  DIRECTOR  OF  ELECTION  OPER-
ATIONS,  A  DIRECTOR  OF PUBLIC INFORMATION, A DEPUTY DIRECTOR OF PUBLIC
INFORMATION, WHO SHALL BE A MEMBER OF A DIFFERENT MAJOR POLITICAL  PARTY
THAN  THE DIRECTOR OF PUBLIC INFORMATION and such other staff members as
are necessary in the exercise  of  its  functions,  and  may  fix  their
compensation.  [Anytime  after  the effective date of the chapter of the
laws of two thousand five  which  amended  this  subdivision,  the]  THE
commissioners or, in the case of a vacancy on the board, the commission-
er of each of the major political parties shall appoint one co-executive
director.  Each  co-executive director shall serve a term of four years.
THE ENFORCEMENT COUNSEL AND THE SPECIAL COUNSEL SHALL EACH SERVE A  TERM
OF  FOUR  YEARS  AND  MAY ONLY BE REMOVED FOR CAUSE.  ANY TIME AFTER THE
EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND  TEN  AMENDING
THIS  SUBDIVISION, THE COMMISSIONERS, OR IN THE CASE OF A VACANCY ON THE
BOARD, THE COMMISSIONER, OF EACH OF THE SAME MAJOR  POLITICAL  PARTY  AS
THE  INCUMBENT  ENFORCEMENT COUNSEL, DEPUTY ENFORCEMENT COUNSEL, SPECIAL
COUNSEL, DEPUTY SPECIAL COUNSEL, DIRECTOR OF ELECTION OPERATIONS, DEPUTY
DIRECTOR OF ELECTION OPERATIONS,  DIRECTOR  OF  PUBLIC  INFORMATION  AND
DEPUTY  DIRECTOR  OF  PUBLIC  INFORMATION,  SHALL APPOINT SUCH COUNSELS,
DIRECTORS AND DEPUTIES. Any vacancy in the office of co-executive direc-
tor, ENFORCEMENT COUNSEL, DEPUTY ENFORCEMENT COUNSEL,  SPECIAL  COUNSEL,
DEPUTY SPECIAL COUNSEL, DIRECTOR OF ELECTION OPERATIONS, DEPUTY DIRECTOR
OF ELECTION OPERATIONS, DIRECTOR OF PUBLIC INFORMATION AND DEPUTY DIREC-
TOR  OF  PUBLIC INFORMATION, shall be filled by the commissioners or, in

S. 7506                            22

the case of a vacancy on the board, the commissioner of the  same  major
political  party  as  the vacating incumbent for the remaining period of
the term of such vacating incumbent, FOR THE  REMAINING  PERIOD  OF  THE
TERM OF SUCH VACATING INCUMBENT.
  S  22. Subdivision 3, paragraph (c) of subdivision 9-A and subdivision
17 of section 3-102 of the  election  law,  subdivisions  3  and  17  as
amended  by  chapter 9 of the laws of 1978, paragraph (c) of subdivision
9-A as added by chapter 430 of the laws of 1997 and  subdivision  17  as
renumbered  by  chapter  23  of the laws of 2005, are amended to read as
follows:
  3. conduct any investigation necessary to carry out the provisions  of
this  chapter,  PROVIDED,  HOWEVER,  THAT  THE  STATE BOARD OF ELECTIONS
ENFORCEMENT COUNSEL, ESTABLISHED PURSUANT TO SECTION 3-104 OF THIS ARTI-
CLE, SHALL CONDUCT ANY INVESTIGATION NECESSARY TO ENFORCE THE PROVISIONS
OF ARTICLE FOURTEEN OF THIS CHAPTER ON BEHALF OF THE BOARD OF ELECTIONS;
  (c) establish [a] AN EDUCATIONAL AND training program on ALL REPORTING
REQUIREMENTS INCLUDING BUT NOT LIMITED TO the electronic reporting proc-
ess and make it EASILY AND READILY available to any  such  candidate  or
committee AND NOTIFY ANY SUCH CANDIDATE OR COMMITTEE OF THE AVAILABILITY
OF THE MOST RECENT CAMPAIGN FINANCE HANDBOOK;
  17.    HEAR  AND  CONSIDER  THE  RECOMMENDATIONS OF THE STATE BOARD OF
ELECTIONS ENFORCEMENT COUNSEL REGARDING THE ENFORCEMENT OF VIOLATIONS OF
ARTICLE FOURTEEN OF THIS CHAPTER;
  18. perform such other acts as may  be  necessary  to  carry  out  the
purposes of this chapter.
  S 23. Section 3-104 of the election law, subdivisions 1, 3, 4 and 5 as
redesignated  and  subdivision  2 as amended by chapter 9 of the laws of
1978, is amended to read as follows:
  S 3-104. State board of elections AND THE  STATE  BOARD  OF  ELECTIONS
ENFORCEMENT  COUNSEL;  enforcement powers.  1. (A) THERE SHALL BE A UNIT
KNOWN AS THE STATE BOARD OF ELECTIONS ENFORCEMENT UNIT ESTABLISHED WITH-
IN THE STATE BOARD OF ELECTIONS. THE HEAD OF  SUCH  UNIT  SHALL  BE  THE
ENFORCEMENT COUNSEL.
  (B)  The  state  board of elections shall have jurisdiction of, and be
responsible for, the execution and  enforcement  of  the  provisions  of
[article   fourteen  of  this  chapter  and  other]  statutes  governing
campaigns, elections and related procedures; PROVIDED HOWEVER  THAT  THE
ENFORCEMENT  COUNSEL SHALL HAVE SOLE AUTHORITY WITHIN THE STATE BOARD OF
ELECTIONS TO INVESTIGATE ON HIS OR HER OWN INITIATIVE OR UPON COMPLAINT,
ALLEGED  VIOLATIONS  OF  ARTICLE  FOURTEEN  OF  THIS  CHAPTER  AND   ALL
COMPLAINTS  ALLEGING  ARTICLE  FOURTEEN VIOLATIONS SHALL BE FORWARDED TO
THE ENFORCEMENT UNIT. NOTHING IN THIS  SECTION  SHALL  BE  CONSTRUED  TO
DIMINISH OR ALTER THE STATE BOARD OF ELECTIONS' JURISDICTION PURSUANT TO
THIS CHAPTER.
  2.  Whenever  [the state board of elections or other] A LOCAL board of
elections shall determine, on its own initiative or upon  complaint,  or
otherwise,  that  there  is substantial reason to believe a violation of
this chapter or  any  code  or  regulation  promulgated  thereunder  has
[occurred]  BEEN  COMMITTED  BY  A CANDIDATE OR POLITICAL COMMITTEE THAT
FILES STATEMENTS OR IS REQUIRED TO DO SO PURSUANT TO ARTICLE FOURTEEN OF
THIS CHAPTER SOLELY WITH SUCH LOCAL BOARD, it shall  expeditiously  make
an  investigation  which shall also include investigation of reports and
statements made or failed to be made by the complainant  and  any  poli-
tical  committee supporting his candidacy if the complainant is a candi-
date or, if the complaint was made by an officer or member  of  a  poli-
tical  committee, of reports and statements made or failed to be made by

S. 7506                            23

such political committee and any candidates supported by it. [The  state
board  of elections, in lieu of making such an investigation, may direct
the appropriate board of elections to make an investigation.] The  state
board of elections may request, and shall receive, the assistance of the
state police in any investigation it shall conduct.
  3.  [If, after an investigation, the state or other board of elections
finds reasonable cause to believe that a violation  warranting  criminal
prosecution  has taken place, it shall forthwith refer the matter to the
district attorney of the appropriate county and shall make available  to
such  district  attorney  all  relevant papers, documents, testimony and
findings relevant to its investigation.
  4. The state or other  board  of  elections  may,  where  appropriate,
commence  a judicial proceeding with respect to the filing or failure to
file any statement of receipts, expenditures,  or  contributions,  under
the  provisions  of  this  chapter, and the state board of elections may
direct the  appropriate  other  board  of  elections  to  commence  such
proceeding.
  5.]   IF THE ENFORCEMENT COUNSEL DETERMINES THAT A VIOLATION OF SUBDI-
VISION ONE OF SECTION 14-126 OF THIS CHAPTER HAS  OCCURRED  WHICH  COULD
WARRANT  A CIVIL PENALTY, THE ENFORCEMENT COUNSEL SHALL, UPON HIS OR HER
DISCRETION, SEEK TO RESOLVE THE MATTER EXTRA-JUDICIALLY  OR  COMMENCE  A
SPECIAL  PROCEEDING  IN  THE SUPREME COURT PURSUANT TO SECTION 16-114 OF
THIS CHAPTER.
  4. UPON RECEIPT OF A COMPLAINT AND SUPPORTING INFORMATION OR AN INTER-
NAL REFERRAL FROM THE ENFORCEMENT UNIT ALLEGING ANY OTHER  VIOLATION  OF
ARTICLE  FOURTEEN OF THIS CHAPTER, THE ENFORCEMENT COUNSEL SHALL ANALYZE
THE FACTS AND THE LAW RELEVANT TO SUCH COMPLAINT OR REFERRAL  TO  DETER-
MINE  IF  AN INVESTIGATION SHOULD BE UNDERTAKEN. THE ENFORCEMENT COUNSEL
SHALL, IF NECESSARY, REQUEST ADDITIONAL INFORMATION FROM THE COMPLAINANT
TO ASSIST SUCH COUNSEL IN MAKING THIS DETERMINATION. SUCH ANALYSIS SHALL
INCLUDE THE FOLLOWING: FIRST, WHETHER THE ALLEGATIONS,  IF  TRUE,  WOULD
CONSTITUTE  A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER AND, SECOND,
WHETHER THE ALLEGATIONS ARE SUPPORTED BY CREDIBLE EVIDENCE.
  5.  IF  THE  ENFORCEMENT  COUNSEL  DETERMINES  THAT  THE   ALLEGATIONS
CONTAINED  IN  A COMPLAINT, IF TRUE, WOULD NOT CONSTITUTE A VIOLATION OF
ARTICLE FOURTEEN OF  THIS  CHAPTER  OR  THAT  THE  ALLEGATIONS  ARE  NOT
SUPPORTED  BY  CREDIBLE EVIDENCE, HE OR SHE SHALL: (A) NOTIFY THE DEPUTY
ENFORCEMENT COUNSEL OF SUCH DETERMINATION AND (B)  PUBLICLY  NOTIFY  THE
STATE  BOARD  OF  ELECTIONS OF SUCH DETERMINATION. IF THE STATE BOARD OF
ELECTIONS PUBLICLY DETERMINES, AS PROVIDED IN THIS TITLE, THAT THE ALLE-
GATIONS, IF TRUE, WOULD CONSTITUTE A VIOLATION OF  ARTICLE  FOURTEEN  OF
THIS CHAPTER AND THAT THE ALLEGATIONS APPEAR TO BE SUPPORTED BY CREDIBLE
EVIDENCE, IT SHALL DIRECT THAT THE ENFORCEMENT COUNSEL CONDUCT AN INVES-
TIGATION.  LACKING  SUCH  A DETERMINATION, THE ENFORCEMENT COUNSEL SHALL
ISSUE A LETTER TO THE COMPLAINANT DISMISSING THE COMPLAINT.
  6. IF THE ENFORCEMENT COUNSEL  DETERMINES  THAT  THE  ALLEGATIONS,  IF
TRUE,  WOULD  CONSTITUTE A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER
AND THAT THE ALLEGATIONS APPEAR TO BE SUPPORTED BY CREDIBLE EVIDENCE, HE
OR SHE SHALL: (A) NOTIFY THE DEPUTY ENFORCEMENT COUNSEL OF  (I)  HIS  OR
HER  INTENT TO RESOLVE THE MATTER EXTRA-JUDICIALLY DUE TO THE DE MINIMUS
NATURE OF THE VIOLATION; OR (II) HIS OR HER INTENT TO COMMENCE AN INVES-
TIGATION, AND (B) PUBLICLY NOTIFY THE STATE BOARD OF ELECTIONS  OF  SUCH
INTENT  NO  LATER  THAN  THE  BOARD'S  NEXT REGULARLY SCHEDULED MEETING.
NOTIFICATION SHALL SUMMARIZE THE RELEVANT FACTS AND THE  APPLICABLE  LAW
AND  SHALL,  TO  THE EXTENT POSSIBLE, PROTECT FROM PUBLIC DISCLOSURE THE
IDENTITY OF THE COMPLAINANT AND THE INDIVIDUAL SUBJECT TO THE COMPLAINT.

S. 7506                            24

THE DEPUTY ENFORCEMENT COUNSEL SHALL HAVE THE OPPORTUNITY TO REVIEW  THE
ENTIRE  FILE  OF ANY PRELIMINARY INVESTIGATION CONDUCTED BY THE ENFORCE-
MENT COUNSEL A MINIMUM OF TEN DAYS PRIOR  TO  SAID  REGULARLY  SCHEDULED
MEETING OF THE BOARD AND TO SUBMIT A PUBLIC, WRITTEN CONCURRENCE WITH OR
DISSENT FROM THE ENFORCEMENT COUNSEL'S PROPOSAL.
  7.  IF, UPON CONSIDERING THE ENFORCEMENT COUNSEL'S NOTICE OF INTENT TO
COMMENCE AN INVESTIGATION AND THE DEPUTY ENFORCEMENT COUNSEL'S RECOMMEN-
DATION, THE STATE BOARD OF ELECTIONS BELIEVES THAT THE  ALLEGATIONS,  IF
TRUE, WOULD NOT CONSTITUTE A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAP-
TER,  OR THE ALLEGATIONS ARE NOT SUPPORTED BY CREDIBLE EVIDENCE OR, THAT
ON BALANCE, THE EQUITIES FAVOR A DISMISSAL OF THE COMPLAINT,  THE  BOARD
SHALL  PUBLICLY  DIRECT THAT AN INVESTIGATION NOT BE UNDERTAKEN NO LATER
THAN SIXTY DAYS AFTER THE RECEIPT OF NOTIFICATION FROM  THE  ENFORCEMENT
COUNSEL  OF HIS OR HER INTENT TO COMMENCE AN INVESTIGATION. IN DETERMIN-
ING WHETHER THE EQUITIES FAVOR A DISMISSAL OF THE COMPLAINT,  THE  STATE
BOARD OF ELECTIONS SHALL CONSIDER THE FOLLOWING FACTORS: (A) WHETHER THE
COMPLAINT  ALLEGES  A  DE  MINIMUS VIOLATION OF ARTICLE FOURTEEN OF THIS
CHAPTER; (B) WHETHER THE SUBJECT OF THE COMPLAINT HAS MADE A GOOD  FAITH
EFFORT  TO  CORRECT  THE  VIOLATION;  AND (C) WHETHER THE SUBJECT OF THE
COMPLAINT HAS A HISTORY OF SIMILAR VIOLATIONS.   DETERMINATIONS  OF  THE
STATE  BOARD  OF ELECTIONS TO DISMISS A COMPLAINT AND NOT PROCEED WITH A
FORMAL INVESTIGATION SHALL BE VOTED UPON AS PROVIDED IN SUBDIVISION FOUR
OF SECTION 3-100 OF THIS TITLE AT AN OPEN MEETING  PURSUANT  TO  ARTICLE
SEVEN  OF THE PUBLIC OFFICERS LAW, AND SHALL BE MADE ON A FAIR AND EQUI-
TABLE BASIS AND WITHOUT REGARD TO THE  STATUS  OF  THE  SUBJECT  OF  THE
COMPLAINT.
  8.  ABSENT A TIMELY DETERMINATION BY THE STATE BOARD OF ELECTIONS THAT
AN INVESTIGATION SHALL NOT BE UNDERTAKEN, THE ENFORCEMENT COUNSEL  SHALL
COMMENCE  AN INVESTIGATION ON A TIMELY BASIS. IF THE ENFORCEMENT COUNSEL
DETERMINES THAT ADDITIONAL INVESTIGATIVE  POWERS,  AS  PROVIDED  FOR  IN
SUBDIVISIONS  FOUR,  FIVE  AND  SIX  OF SECTION 3-102 OF THIS TITLE, ARE
NEEDED TO COMPLETE THE COUNSEL'S INVESTIGATION, HE OR SHE SHALL  REQUEST
SUCH  ADDITIONAL  POWERS  FROM THE STATE BOARD OF ELECTIONS. SUCH POWERS
SHALL BE GRANTED BY THE BOARD IN PUBLIC ONLY WHEN THE BOARD  FINDS  THAT
FURTHER INVESTIGATION IS WARRANTED AND JUSTIFIED.
  9.  AT  THE  CONCLUSION  OF ITS INVESTIGATION, THE ENFORCEMENT COUNSEL
SHALL PROVIDE THE DEPUTY ENFORCEMENT COUNSEL  AND  THE  STATE  BOARD  OF
ELECTIONS  WITH  A WRITTEN RECOMMENDATION AS TO: (A) WHETHER SUBSTANTIAL
REASON EXISTS TO BELIEVE A VIOLATION OF ARTICLE FOURTEEN OF THIS CHAPTER
HAS OCCURRED AND, IF SO, THE NATURE OF THE VIOLATION AND ANY  APPLICABLE
PENALTY,  AS  DEFINED  IN  SECTION  14-126 OF THIS CHAPTER, BASED ON THE
NATURE OF THE VIOLATION; (B)  WHETHER  THE  MATTER  SHOULD  BE  RESOLVED
EXTRA-JUDICIALLY;  (C)  WHETHER A SPECIAL PROCEEDING SHOULD BE COMMENCED
IN THE SUPREME COURT TO RECOVER A  CIVIL  PENALTY;  AND  (D)  WHETHER  A
REFERRAL  SHOULD  BE MADE TO A DISTRICT ATTORNEY PURSUANT TO SUBDIVISION
ELEVEN OF THIS SECTION BECAUSE REASONABLE  CAUSE  EXISTS  TO  BELIEVE  A
VIOLATION  WARRANTING  CRIMINAL  PROSECUTION HAS TAKEN PLACE. THE DEPUTY
ENFORCEMENT COUNSEL SHALL HAVE THE OPPORTUNITY TO REVIEW THE ENTIRE FILE
OF ANY INVESTIGATION CONDUCTED BY THE ENFORCEMENT COUNSEL A  MINIMUM  OF
TEN  DAYS  PRIOR TO SAID REGULARLY SCHEDULED MEETING OF THE BOARD AND TO
SUBMIT A PUBLIC, WRITTEN CONCURRENCE WITH OR DISSENT FROM  THE  ENFORCE-
MENT COUNSEL'S RECOMMENDATION.
  10.  THE  STATE  BOARD OF ELECTIONS SHALL ACCEPT, MODIFY OR REJECT THE
ENFORCEMENT COUNSEL'S RECOMMENDATION NO  LATER  THAN  SIXTY  DAYS  AFTER
RECEIPT  OF  SUCH RECOMMENDATION. IN MAKING ITS DETERMINATION, THE BOARD
SHALL AGAIN CONSIDER: (A) WHETHER THE COMPLAINT  ALLEGES  A  DE  MINIMUS

S. 7506                            25

VIOLATION  OF  ARTICLE FOURTEEN OF THIS CHAPTER; (B) WHETHER THE SUBJECT
OF THE COMPLAINT HAS MADE A GOOD FAITH EFFORT TO CORRECT THE  VIOLATION;
AND  (C)  WHETHER  THE SUBJECT OF THE COMPLAINT HAS A HISTORY OF SIMILAR
VIOLATIONS.  ALL  SUCH DETERMINATIONS SHALL BE VOTED UPON AS PROVIDED IN
SUBDIVISION FOUR OF SECTION 3-100 OF  THIS  TITLE  AT  AN  OPEN  MEETING
PURSUANT  TO ARTICLE SEVEN OF THE PUBLIC OFFICERS LAW, AND SHALL BE MADE
ON A FAIR AND EQUITABLE BASIS, WITHOUT  REGARD  TO  THE  STATUS  OF  THE
SUBJECT OF THE COMPLAINT.
  11.  (A)  IF  THE  STATE BOARD OF ELECTIONS DETERMINES, AS PROVIDED IN
SUBDIVISION TEN OF THIS  SECTION,  THAT  SUBSTANTIAL  REASON  EXISTS  TO
BELIEVE  THAT  A  PERSON, ACTING AS OR ON BEHALF OF A CANDIDATE OR POLI-
TICAL COMMITTEE UNDER CIRCUMSTANCES EVINCING AN INTENT TO  VIOLATE  SUCH
LAW,  HAS UNLAWFULLY ACCEPTED A CONTRIBUTION IN EXCESS OF A CONTRIBUTION
LIMITATION ESTABLISHED IN ARTICLE FOURTEEN OF THIS CHAPTER, WHICH  COULD
WARRANT  A CIVIL PENALTY AS PROVIDED FOR IN SUBDIVISION THREE OF SECTION
14-126 OF THIS CHAPTER, THE BOARD SHALL DIRECT  THE  COMMENCEMENT  OF  A
SPECIAL PROCEEDING IN THE SUPREME COURT.
  (B)  IF THE STATE BOARD OF ELECTIONS DETERMINES, AS PROVIDED IN SUBDI-
VISION TEN OF THIS SECTION THAT REASONABLE CAUSE  EXISTS  TO  BELIEVE  A
VIOLATION  WARRANTING  CRIMINAL  PROSECUTION  HAS TAKEN PLACE, THE BOARD
SHALL REFER THE MATTER TO A DISTRICT ATTORNEY AND SHALL  MAKE  AVAILABLE
TO  SUCH DISTRICT ATTORNEY ALL PAPERS, DOCUMENTS, TESTIMONY AND FINDINGS
RELEVANT TO ITS INVESTIGATION.
  12. UPON NOTIFICATION THAT A SPECIAL PROCEEDING HAS BEEN COMMENCED  BY
A  PARTY  OTHER  THAN  THE STATE BOARD OF ELECTIONS, PURSUANT TO SECTION
16-114 OF THIS CHAPTER, THE STATE BOARD OF ELECTIONS  SHALL  DIRECT  THE
ENFORCEMENT  COUNSEL TO INVESTIGATE THE ALLEGED VIOLATIONS UNLESS OTHER-
WISE DIRECTED BY THE COURT.
  13. THE ENFORCEMENT COUNSEL SHALL PREPARE A REPORT, TO BE INCLUDED  IN
THE  ANNUAL  REPORT  TO  THE  GOVERNOR  AND LEGISLATURE, SUMMARIZING THE
ACTIVITIES OF THE UNIT DURING  THE  PREVIOUS  YEAR.  SUCH  REPORT  SHALL
INCLUDE:  (A)  THE  NUMBER  OF  COMPLAINTS  RECEIVED;  (B) THE NUMBER OF
COMPLAINTS THAT WERE FOUND TO NEED INVESTIGATION AND THE NATURE OF  EACH
COMPLAINT;  AND  (C) THE NUMBER OF MATTERS THAT HAVE BEEN RESOLVED.  THE
REPORT SHALL NOT CONTAIN ANY INFORMATION FOR  WHICH  DISCLOSURE  IS  NOT
PERMITTED.
  14.  The state board of elections may promulgate rules and regulations
consistent with law to effectuate the provisions of this section.
  S 24. The state of New York shall appropriate during each fiscal  year
to the New York state board of elections enforcement unit, not less than
thirty-five percent of the appropriation available from the general fund
for  the  state  board  of  elections  to  pay  for the expenses of such
enforcement unit.
  S 25. Severability. If any clause, sentence,  subdivision,  paragraph,
section  or part of title II of article 14 of the election law, as added
by section nineteen of this act be adjudged by any  court  of  competent
jurisdiction  to  be  invalid, such judgment shall not affect, impair or
invalidate the remainder thereof, but shall be confined in its operation
to the clause, sentence, subdivision, paragraph, section or part thereof
directly involved in the controversy in which such judgment  shall  have
been rendered.
  S  26.  This act shall take effect immediately; provided, however, all
state candidates and constitutional convention delegates will be  eligi-
ble  to  participate  in  the public financing system beginning with the
2014 election and state  legislature  candidates  will  be  eligible  to

S. 7506                            26

participate  in  the  public  financing  system  beginning with the 2016
election.