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This entry was published on 2021-01-08
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Disclosure of certain activities by non-charitable non-profit entities
Executive (EXC) CHAPTER 18, ARTICLE 7-A
§ 172-f. Disclosure of certain activities by non-charitable non-profit
entities. 1. Definitions. (a) "Covered Entity" means any corporation or
entity that is qualified as an exempt organization or entity by the
United States Department of the Treasury under I.R.C. 501(c)(4).

(b) "Covered communication" means a communication by a covered entity,
not otherwise reported by such covered entity pursuant to article one-A
of the legislative law or article fourteen of the election law, by a
covered entity conveyed to five hundred or more members of a general
public audience in the form of: (i) an audio or video communication via
broadcast, cable or satellite; (ii) a written communication via
advertisements, pamphlets, circulars, flyers, brochures, letterheads; or
(iii) other published statement which: refers to and advocates for or
against a clearly identified elected official, executive or
administrative body or legislative body relating to the sponsorship,
support, opposition, or outcome of any proposed legislation, pending
legislation, rule, regulation, hearing or decision, or advocates for or
against action by any elected official, executive or administrative body
or legislative body.

Covered communication shall not include: (i) communications with a
professional journalist or newscaster, including an editorial board or
editorial writer of a newspaper, magazine, news agency, press
association or wire service, relating to news, as these terms are
defined in section seventy-nine-h of the civil rights law, and
communications relating to confidential and non-confidential news as
described in subdivisions (b) and (c) of section seventy-nine-h of the
civil rights law respectively and communications made pursuant to
community outreach efforts for broadcast stations required by federal
law; or

(ii) a communication that is: (A) directed, sent or distributed by the
covered entity only to individuals who affirmatively consent to be
members of the covered entity, contribute funds to the covered entity,
or, pursuant to the covered entity's articles or bylaws, have the right
to vote directly or indirectly for the election of directors or
officers, or on changes to bylaws, disposition of all or substantially
all of the covered entity's assets or the merger or dissolution of the
covered entity; or (B) for the purpose of promoting or staging any
candidate debate, town hall or similar forum to which at least two
candidates seeking the same office, or two proponents of differing
positions on a referendum or question submitted to voters, are invited
as participants, and which does not promote or advance one candidate or
position over another.

(c) "Expenditures for covered communications" shall mean: (i) any
expenditure made, liability incurred, or contribution provided for
covered communications; or (ii) any other transfer of funds, assets,
services or any other thing of value to any individual, group,
association, corporation whether organized for profit or not-for-profit,
labor union, political committee, political action committee, or any
other entity for the purpose of supporting or engaging in covered
communications by the recipient or a third party.

(d) "Donation" shall mean any contribution, including in-kind, gift,
loan, advance or deposit of money or anything of value made to a covered
entity unless such donation is deposited into an account the funds of
which are not used for making expenditures for covered communications.

(e) "Reporting period" shall mean the six month period within a
calendar year starting January first and ending June thirtieth or the
six month period within a calendar year starting July first and ending
December thirty-first.

2. Disclosure of expenditures for covered communications. (a) Any
covered entity that makes expenditures for covered communications in an
aggregate amount or fair market value exceeding ten thousand dollars in
a calendar year shall file a financial disclosure report with the
department of state. The financial disclosure report shall include:

(i) the name and address of the covered entity that made the
expenditure for covered communications;

(ii) the name or names of any individuals who exert operational or
managerial control over the covered entity. The disclosures required by
this paragraph shall include the name of at least one natural person;

(iii) a detailed description of the covered communication;

(iv) the dollar amount paid for each covered communication, the name
and address of the person or entity receiving the payment, and the date
the payment was made; and

(v) for any restricted donation received by the covered entity in
whole or in part for the support of the covered communication, the name
and address of any individual, corporation, association, or group that
made a donation to the covered entity and the date of such donation, and
the amount of the donation, together with a description of any

(b) The covered entity shall file a financial disclosure report with
the department of state within thirty days of the close of a reporting

3. Public disclosure of funding disclosure reports. The department of
state shall promulgate any regulations necessary to implement these
requirements and shall publish on the department's website the reports
of covered communications required by this section. Such publishing
shall not include the names and addresses of individual donors to
covered entities, nor shall such publishing include the covered entity's
Internal Revenue Service Form 990 Schedule B. Such report shall not be
made public pursuant to this section if, based upon a review of the
relevant facts presented by the covered entity, such disclosure may
cause harm, threats, harassment, or reprisals to the source of the
donation or to individuals or property affiliated with the source of the
donation. The covered entity may appeal the secretary's determination
and such appeal shall be heard by a judicial hearing officer who is
independent and not affiliated with or employed by the department of
state, pursuant to regulations promulgated by the department of state.
The reports subject to disclosure pursuant to this section that are the
subject of such appeal pursuant to this section shall not be made public
pending final judgment on appeal.

4. If a covered entity's annual report filed pursuant to section one
hundred seventy-two-b of this article does not include a completed
Internal Revenue Service Form 990 schedule B, the entity shall in
addition to filing a disclosure with the department of law, also file
with the department of state a complete Internal Revenue Service Form
990 schedule B, regardless of whether such form is submitted or required
to be submitted to the Internal Revenue Service.