PROPOSED
HOUSE OF REPRESENTATIVES AMENDMENTS TO S.B. 1180
(Reference to Senate engrossed bill)
Strike everything after the enacting clause and insert:
"Section 1. Section 16-926, Arizona Revised Statutes, is amended to read:
16-926. Campaign finance reports; contents
A. A committee shall file campaign finance reports with the filing officer. The secretary of state's instructions and procedures manual adopted pursuant to section 16-452 shall prescribe the format for all reports and statements.
B. A campaign finance report shall set forth:
1. The amount of cash on hand at the beginning of the reporting period.
2. Total receipts during the reporting period, including:
(a) An itemized list of receipts in the following categories, including the source, amount and date of receipt, together with the total of all receipts in each category:
(i) Contributions from in-state individuals whose contributions exceed $100 for that election cycle, including identification of the contributor's occupation and employer. Notwithstanding section 16-901, paragraph 29, subdivision (a), a person whose residential address is protected from public disclosure pursuant to section 16-153 is not required to disclose the person's residential address and shall instead provide an alternate mailing address.
(ii) Contributions from out-of-state individuals, including identification of the contributor's occupation and employer.
(iii) Contributions from candidate committees.
(iv) Contributions from political action committees.
(v) Contributions from political parties.
(vi) Contributions from partnerships.
(vii) For a political action committee or political party, contributions from corporations and limited liability companies, including identification of the corporation's or limited liability company's file number issued by the corporation commission.
(viii) For a political action committee or political party, contributions from labor organizations, including identification of the labor organization's file number issued by the corporation commission.
(ix) For a candidate committee, a candidate's contribution of personal monies.
(x) All loans, including identification of any endorser or guarantor other than a candidate's spouse, and the contribution amount endorsed or guaranteed by each.
(xi) Rebates and refunds.
(xii) Interest on committee monies.
(xiii) The fair market value of in-kind contributions received.
(xiv) Extensions of credit that remain outstanding, including identification of the creditor and the purpose of the extension.
(b) The aggregate amount of contributions from all in-state individuals whose contributions do not exceed $100 for the election cycle.
3. An itemized list of all disbursements in excess of $250 during the reporting period in the following categories, including the recipient, the recipient's address, a description of the disbursement and the amount and date of the disbursement, together with the total of all disbursements in each category:
(a) Disbursements for operating expenses.
(b) Contributions to candidate committees.
(c) Contributions to political action committees.
(d) Contributions to political parties.
(e) Contributions to partnerships.
(f) For a political action committee or political party, contributions to corporations and limited liability companies, including identification of the corporation's or limited liability company's file number issued by the corporation commission.
(g) For a political action committee or political party, contributions to labor organizations, including identification of the labor organization's file number issued by the corporation commission.
(h) Repayment of loans.
(i) Refunds of contributions.
(j) Loans made.
(k) The value of in-kind contributions provided.
(l) Independent expenditures that are made to advocate the election or defeat of a candidate, including identification of the candidate, office sought by the candidate, election date, mode of advertising and distribution or publication date.
(m) Expenditures to advocate the passage or defeat of a ballot measure, including identification of the ballot measure, ballot measure serial number, election date, mode of advertising and distribution or publication date.
(n) Expenditures to advocate for or against the issuance of a recall election order or for the election or defeat of a candidate in a recall election, including identification of the officer to be recalled or candidate supported or opposed, mode of advertising and distribution or publication date.
(o) Any other disbursements or expenditures.
4. An itemized list of all persons who are required to be registered as a lobbyist, authorized public lobbyist or designated public lobbyist pursuant to title 41, chapter 7, article 8.1 and who the committee reasonably knows have forwarded to the committee two or more contributions that in the aggregate total $15,000 or more or who the committee has credited with two or more contributions that in the aggregate total $15,000 or more. The itemized list shall include the name and address of the person who forwarded the contributions or who is credited with the contributions, the person's employer and the aggregate amount of contributions forwarded by or received and credited to that person.
4. 5. The total sum of all receipts and disbursements for the reporting period.
5. 6. A certification by the committee treasurer, issued under penalty of perjury, that the contents of the report are true and correct.
C. For the purposes of reporting under subsection B of this section:
1. A contribution is deemed to be received either on the date the committee knowingly takes possession of the contribution or the date of the check or credit card payment. For an in-kind contribution of services, the contribution is deemed made either on the date the services are performed or the date the committee receives the services.
2. An expenditure or disbursement is deemed made either on the date the committee authorizes the monies to be spent or the date the monies are withdrawn from the committee's account. For a transaction by check, the expenditure or disbursement is deemed made on the date the committee signs the check. For a credit card transaction on paper, the expenditure or disbursement is deemed made on the date the committee signs the authorization to charge the credit card. For an electronic transaction, an expenditure or disbursement is deemed made on the date the committee electronically authorizes the charge. For an agreement to purchase goods or services, the expenditure or disbursement is deemed made either on the date the parties enter into the agreement or the date the purchase order is issued.
3. A committee may record its transactions using any of the methods authorized by this subsection but for each type of contribution, expenditure or disbursement made or received, the committee shall use a consistent method of recording transactions throughout the election cycle.
D. The amount of an in-kind contribution of services shall be equal to the usual and normal charges for the services on the date performed.
E. If any receipt or disbursement is earmarked, the committee shall report the identity of the person to whom the receipt or disbursement is earmarked.
F. Candidate committee reports shall be cumulative for the election cycle to which they relate. Political action committee and political party reports shall be cumulative for a two-year election cycle ending in the year of a statewide general election. If there has been no change during the reporting period in an item listed in the immediately preceding report, only the amount need be carried forward.
G. For a political action committee that receives individual contributions through a payroll deduction plan, that committee is not required to separately itemize each contribution received from the contributor during the reporting period. In lieu of itemization, the committee may report all of the following:
1. The aggregate amount of contributions received from the contributor through the payroll deduction plan during the reporting period.
2. The individual's identity.
3. The amount deducted per pay period.
H. An entity that makes independent expenditures or ballot measure expenditures in excess of $1,000 during a reporting period shall file an expenditure report with the filing officer for the applicable reporting period. Expenditure reports shall identify the candidate or ballot measure supported or opposed, office sought by the candidate, if any, election date, mode of advertising and first date of publication, display, delivery or broadcast of the advertisement.
Sec. 2. Section 16-927, Arizona Revised Statutes, is amended to read:
16-927. Campaign finance reporting period
A. A political action committee and political party shall file a campaign finance report covering each reporting period as follows:
1. For a calendar quarter without an election, the political action committee or political party shall file a quarterly report. The quarterly report shall be:
(a) Filed not later than the fifteenth day after the calendar quarter.
(b) Complete through the last day of the calendar quarter.
2. For a calendar quarter with an election, the political action committee or political party shall file a preelection and postelection report as follows:
(a) A preelection report shall be:
(i) Filed not later than ten days before the election.
(ii) Complete from the first day of the applicable calendar quarter through the seventeenth day before the election.
(b) A postelection report shall be:
(i) Filed not later than the fifteenth day after the applicable calendar quarter.
(ii) Complete from the sixteenth day before the election through the last day of the applicable calendar quarter.
B. A candidate committee shall file a campaign finance report only during the four calendar quarters comprising the twelve-month period preceding the general election for the office for which the candidate is seeking election, or for cities and towns, the city's or town's second, runoff or general election, however designated by the city or town. The reporting period for a candidate committee's first campaign finance report of the election cycle shall include the entire election cycle to date.
C. In addition to the reports required by subsections A and B of this section, a political action committee and a candidate committee shall report on a web-based digital platform MAINTAINED by the secretary of state as prescribed by section 41-1239 every CONTRIBUTION within thirty business days after receiving the CONTRIBUTION. The report prescribed by this subsection shall include only the name of the CONTRIBUTOR, the amount of the CONTRIBUTION and the date of the contribution.
C. D. A committee shall file campaign finance reports until terminated.
Sec. 3. Section 41-1231, Arizona Revised Statutes, is amended to read:
41-1231. Definitions
In this article, unless the context otherwise requires:
1. "Authorized lobbyist" means any person, other than a designated lobbyist or lobbyist for compensation, who is employed by, retained by or representing a principal, with or without compensation, for the purpose of lobbying and who is listed as an authorized lobbyist by the principal in its registration pursuant to section 41-1232.
2. "Authorized public lobbyist" means a person, other than a designated public lobbyist, who is employed by, retained by or representing a public body, with or without compensation, for the purpose of lobbying and who is listed as an authorized public lobbyist by the public body in its registration pursuant to section 41-1232.01.
3. "Designated lobbyist" means the person who is designated by a principal as the single point of contact for the principal and who is listed as the designated lobbyist by the principal in its registration pursuant to section 41-1232.
4. "Designated public lobbyist" means the person who is designated by a public body as the single point of contact for the public body and who is listed as the designated public lobbyist by the public body in its registration pursuant to section 41-1232.01.
5. "Entertainment" means the amount of any expenditure paid or incurred for admission to any sporting or cultural event or for participation in any sporting or cultural activity.
6. "Expenditure":
(a) Means a payment, distribution, loan, advance, deposit or gift of money or anything of value and includes a contract, promise or agreement, whether or not legally enforceable, to make an expenditure that provides a benefit to an individual state officer or state employee, INCLUDING A CONTRACT, PROMISE OR AGREEMENT, WHETHER OR NOT LEGALLY ENFORCEABLE, TO MAKE AN EXPENDITURE, and that is incurred by or on behalf of one or more principals, public bodies, lobbyists, designated public lobbyists or authorized public lobbyists.
(b) iNCLUDES AN EXPENDITURE FOR A GIFT OR ENTERTAINMENT.
7. "Family gift" means a gift to a state officer or employee or a member of the officer's or employee's household from a principal, lobbyist, designated public lobbyist or authorized public lobbyist who is a relative of the state officer or employee or a member of the household of the state officer or employee if the donor is not acting as the agent or intermediary for someone other than a person covered by this paragraph.
8. "Food or beverage" means the amount of any expenditure paid or incurred for food or beverages for a state officer or employee provided at a location at which the principal, public body, lobbyist, designated public lobbyist or authorized public lobbyist who made the expenditure is present.
9. "Gift" means a payment, distribution, expenditure, advance, deposit or donation of money, any intangible personal property or any kind of tangible personal or real property. For the purposes of this article, gift does not include:
(a) A gift, devise or inheritance from an individual's spouse, child, parent, grandparent, grandchild, brother, sister, parent-in-law, brother-in-law, sister-in-law, nephew, niece, aunt, uncle or first cousin or the spouse of any such individual if the donor is not acting as the agent or intermediary for someone other than a person covered by this subdivision.
(b) Expenditures that are either properly reported or exempt from reporting under this chapter for:
(i) A speaking engagement.
(ii) Food or beverages.
(iii) Travel and lodging.
(iv) Flowers.
(c) (b) Salary, compensation or employer-reimbursed expenses lawfully paid to a public official.
(d) (c) The value, cost or price of professional or consulting services that are not rendered to obtain a benefit for any registered principal, public body, lobbyist, designated public lobbyist or authorized public lobbyist or the clients of a principal or lobbyist.
(e) Expenses relating to a special event or function to which all members of the legislature, either house of the legislature or any committee of the legislature is invited.
(f) A plaque or other form of recognition similar to a plaque to a state officer or state employee to signify the honorary recognition of a service or other notable accomplishment.
(g) Informational material such as books, reports, pamphlets, calendars or periodicals.
(h) (d) An item that is not used and that is returned within fifteen days of receipt to the donor or that is delivered within fifteen days of receipt to a charitable organization and that is not claimed as a charitable contribution for state or federal income tax purposes.
(i) (e) A campaign contribution that is properly received and reported as required by law.
(j) An item that is given to a state officer or employee if the state officer or employee gives an item of approximately the same value to the giver of the item at the same time that the item is given or on a similar occasion as the one that prompted the original item to be given.
(k) Gifts of a personal nature that were customarily received by an individual from the donor before the individual became a state officer or employee.
(l) (f) An item that is given to the general public at an event.
10. "Legislation" means bills, resolutions, memorials, amendments, nominations and other matters that are pending or proposed in either house of the legislature of this state.
11. "Lobbying":
(a) Means attempting to influence the passage or defeat of any legislation by directly communicating with any legislator or attempting to influence any formal rulemaking proceeding pursuant to chapter 6 of this title or rulemaking proceedings that are exempt from chapter 6 of this title by directly communicating with any state officer or employee.
(b) Includes, for a person who is otherwise required to be registered as a lobbyist for compensation pursuant to this article, attempting to influence the procurement of materials, services or construction by an agency as defined in section 41-1001, including the office of the governor.
(c) Does not include:
(i) Interagency communications between state agency employees.
(ii) Communications between a public official or employee of a public body, designated public lobbyist or authorized public lobbyist and any state officer, except for a member of the legislature, or an employee of the legislature.
(iii) Oral questions or comments made by a person to a state officer or employee regarding a proposed rule and made in public at a meeting or workshop that is open to the public and that is sponsored by a state agency, board, commission, council or office.
(iv) Communications between a public body and a self-employed person or person employed by a partnership or company regarding the procurement of materials, services or construction unless the self-employed person or person employed by a partnership or company is otherwise required to register pursuant to this article or is employed by, supervised by at any level or contracted by a person who is otherwise required to register as a lobbyist for compensation pursuant to this article.
12. "Lobbyist" means any person, other than a designated public lobbyist or authorized public lobbyist, who is employed by, retained by or representing a person other than himself, with or without compensation, for the purpose of lobbying and who is listed as a lobbyist by the principal in its registration pursuant to section 41-1232. Lobbyist includes a lobbyist for compensation, designated lobbyist and authorized lobbyist.
13. "Lobbyist for compensation" means a lobbyist who is compensated for the primary purpose of lobbying on behalf of a principal and who is listed by the principal in its registration pursuant to section 41-1232.
14. "Person" means an individual, partnership, committee, association or corporation and any other organization or group of persons, except legislators and political parties qualified for representation on the ballot pursuant to section 16-801 or 16-804.
15. "Personal hospitality" means hospitality, meals, beverages, transportation or lodging furnished but not commercially provided by a person on property or facilities owned or possessed by the person or the person's family.
16. "Principal" means any person, other than a public body, that employs, retains, engages or uses, with or without compensation, a lobbyist. Principal includes any subsidiary of a corporation.
17. "Procurement" has the same meaning prescribed in section 41-2503.
18. "Public body" means the Arizona board of regents, a university under the jurisdiction of the Arizona board of regents, the judicial department, any state agency, board, commission or council, any county, any county elected officer who elects to appoint a designated public lobbyist or any city, town, district or other political subdivision of this state that receives and uses tax revenues and that employs, retains, engages or uses, with or without compensation, a designated public lobbyist or authorized public lobbyist.
19. "Public official" means a person who is duly elected, appointed or retained through election to an elected state, county or local office.
20. "Single expenditure" means an expenditure that provides a benefit of more than twenty dollars to an individual state officer or state employee and that is incurred by or on behalf of one or more principals, public bodies, lobbyists, designated public lobbyists or authorized public lobbyists.
21. "Speaking engagement":
(a) Means the amount of any expense paid or incurred for entrance fees, lodging, food and beverage, entertainment, travel and other expenses for the state officer's or employee's attendance at an event, committee, meeting, conference or seminar, including meetings of state, regional or national organizations or their committees concerned with legislative or governmental activities if the state officer or employee participates in the event as a speaker or panel participant by presenting information relating to the state officer's or employee's legislative or official duties or by performing a ceremonial function appropriate to the state officer's or employee's position.
(b) Does not include expenditures for an honorarium or any other similar fee paid to a speaker.
22. "State employee" means an employee of the legislature, a university under the jurisdiction of the Arizona board of regents, the judicial department or a state office, agency, board, commission or council.
23. "State officer" means a person who is duly elected, appointed or retained through election to any state office, or a member of any state board, commission or council, and includes a member of the legislature.
Sec. 4. Section 41-1232.02, Arizona Revised Statutes, is amended to read:
41-1232.02. Expenditure reporting; principals and lobbyists; gifts
A. Each principal shall report annually all single expenditures within five business days after making the expenditures, whether or not the expenditures were made in the course of lobbying. These single expenditures shall be itemized separately, and each itemization shall include the date of the expenditure, the amount of the expenditure, the name of each state officer or employee receiving or benefitting from the expenditure, the category of the expenditure and the name of the lobbyist or other person who made the expenditure on behalf of the principal. In addition each principal shall report annually the aggregate of all expenditures of $20 or less received by or benefitting a state officer or employee, whether or not the expenditures were made in the course of lobbying. The report shall be filed by March 1 and shall list the annual expenditures made on behalf of the principal. If March 1 is a Saturday, Sunday or other legal holiday, the report shall be filed on the next business day.
B. Each lobbyist for compensation and designated lobbyist shall report quarterly all single expenditures incurred in the preceding calendar quarter by the lobbyist for compensation or designated lobbyist within five business days after making the expenditures, whether or not the single expenditures were made in the course of lobbying. These single expenditures shall be itemized separately, and each itemization shall include the date of the expenditure, the amount of the expenditure, the name of the state officer or employee receiving or benefitting from the expenditure, the category of the expenditure and the principal on whose behalf the expenditure was made. If the expenditure was made by the lobbyist and was not made on behalf of a principal, it shall be itemized separately. The quarterly report shall be filed not later than the last day of the month following the end of the calendar quarter, unless the last day of the month is a Saturday, Sunday or other legal holiday. In that case, the report shall be filed on the next business day.
C. Each lobbyist for compensation and designated lobbyist shall also report quarterly the aggregate of all expenditures of $20 or less received by or benefitting a state officer or employee within five business days after making the expenditures, whether or not the expenditures were made in the course of lobbying. The report shall list separately the aggregate of expenditures made on behalf of each principal and the aggregate not made on behalf of any principal. In the fourth calendar quarter, these expenditures shall also be listed by cumulative total for the calendar year. Each quarterly lobbyist report The lobbyist for compensation or designated lobbyist shall include all reportable expenditures made by any employee of the lobbyist for compensation or designated lobbyist, regardless of whether that employee is listed as a lobbyist on any registration filed by a principal engaging the lobbyist. The quarterly report shall be filed not later than the last day of the month following the end of the calendar quarter, unless the last day of the month is a Saturday, Sunday or other legal holiday. In that case, the report shall be filed the next business day.
D. The reports required by subsections A and B of this section shall identify each single expenditure according to the following categories:
1. Food or beverages.
2. Speaking engagement.
3. Travel and lodging.
4. Flowers.
5. Other expenditures.
E. Expenditures by principals and lobbyists such as those for the lobbyist's personal sustenance, office expenses, filing fees, legal fees, employees' compensation, lodging and travel are not required to be reported. In addition, expenditures by a principal or a lobbyist for family gifts, personal hospitality or those items excluded from the definition of gift pursuant to section 41-1231, paragraph 9, subdivision (a), (b), (c), (d), (e) or (f), (g), (h), (i), (j), (k) or (l) are not required to be reported.
F. All expenditures incurred by a principal or lobbyist for special events for legislators, including parties, dinners, athletic events, entertainment and other functions, to which all members of the legislature, either house of the legislature or any committee of the legislature are invited shall be reported. Expenditures are not required to be allocated to individual legislators, but for each such event a description of the event and the date, location, name of the legislative body invited and total expenditures incurred shall be reported. Expenditures for special events held in conjunction with state, national or regional meetings of an organization or association concerned or dealing with legislative or other governmental activities to which all state officers or state employees in attendance at such event are invited shall be reported in the same manner.
G. All information required to be filed pursuant to this section with the secretary of state shall be filed in that office and preserved by the secretary of state for five years from the date of filing, after which time the information shall be destroyed. The information is a public record and open to public inspection.
H. If a principal, lobbyist for compensation or designated lobbyist makes no expenditures that it would otherwise be required to report during a specified reporting period, the principal, lobbyist for compensation or designated lobbyist may sign a form under penalty of perjury prescribed by the secretary of state indicating that there were no expenditures during the specific reporting period.
I. H. A person or organization shall not make a gift to or an expenditure on behalf of a state officer or employee through another person or organization for the purpose of disguising the identity of the person making the gift or expenditure.
J. A principal or lobbyist or any other person acting on behalf of a principal or lobbyist shall not give to any state officer or state employee and a state officer or state employee shall not accept from a principal or lobbyist either of the following:
1. Gifts with a total value of more than $10 during any calendar year.
2. Gifts that are designed to influence the state officer's or state employee's official conduct.
Sec. 5. Section 41-1232.03, Arizona Revised Statutes, is amended to read:
41-1232.03. Expenditure reporting; public bodies and public lobbyists; gifts
A. Each public body shall report annually all single expenditures received by or benefitting a member of the legislature within five business days after making the expenditures, whether or not the expenditures were made in the course of lobbying. These expenditures shall be itemized separately, and each itemization shall include the date of the expenditure, the amount of the expenditure, the name of each member of the legislature receiving or benefitting from the expenditure, the category of the expenditure and the name of the designated public lobbyist or authorized public lobbyist who made the expenditure on behalf of the public body. In addition each public body shall report annually the aggregate of all expenditures of $20 or less received by or benefitting a member of the legislature within five business days after making the expenditures, whether or not the expenditures were made in the course of lobbying. The report shall list all expenditures by the public body made in the course of lobbying for the personal sustenance, filing fee, legal fees, employees' compensation, meals, lodging and travel of the designated public lobbyist and all authorized public lobbyists employed or retained by, and representing, the public body. The public body shall apportion expenditures that are attributable both to lobbying and to other activities of the public body and shall report only the portion attributable to lobbying. For the purpose of reporting employee compensation, a public body, on establishing a time allocation schedule for apportioned lobbying activity based on actual experience under this article, may submit after the 1993 calendar year an affidavit to the secretary of state stating the compensation attributable to lobbying for subsequent years for the designated public lobbyist and all authorized public lobbyists whose job responsibilities have not been significantly altered since the time allocation schedule was established. The report shall be filed by March 1 and shall list the annual expenditures made on behalf of the public body. If March 1 is a Saturday, Sunday or other legal holiday, the report shall be filed on the next business day.
B. Each designated public lobbyist shall report quarterly all single expenditures received by or benefitting a member of the legislature and incurred in the preceding calendar quarter by the designated public lobbyist within five business day after making the expenditures, whether or not the single expenditures were made in the course of lobbying. Each designated public lobbyist's report lobbyist shall also include all single expenditures incurred in the preceding calendar quarter by each authorized public lobbyist who is registered pursuant to section 41-1232.01 by the same public body that registered the designated public lobbyist. This subsection does not apply to an expenditure that was made by a designated public lobbyist or authorized public lobbyist and that was received by or benefitted an employee of a public body, if the employee is not a member or employee of the legislature or a member of the household of a member or employee of the legislature. These expenditures shall be itemized separately, and each itemization shall include the date of the expenditure, the amount of the expenditure, the name of the member or employee receiving or benefitting from the expenditure, the category of the expenditure and the public body on whose behalf the expenditure was made. If the expenditure was made by the designated public lobbyist or authorized public lobbyist and was not made on behalf of a public body, it shall be itemized separately. The quarterly report shall be filed not later than the last day of the month following the end of the calendar quarter, unless the last day of the month is a Saturday, Sunday or other legal holiday. In that case, the report shall be filed on the next business day.
C. Each designated public lobbyist shall also report quarterly the aggregate of all expenditures of $20 or less received by or benefitting a member of the legislature within five business days after making the expenditures, whether or not the expenditures were made in the course of lobbying. Each designated public lobbyist's report shall also include the aggregate of all expenditures of $20 or less that were received by or benefitted a member of the legislature and that were made by an authorized public lobbyist who is registered pursuant to section 41-1232.01 by the same public body that registered the designated public lobbyist. This subsection does not apply to an expenditure that was made by a designated public lobbyist or authorized public lobbyist and that was received by or benefitted an employee of a public body, if the employee is not a member or employee of the legislature or a member of the household of a member or employee of the legislature. The report shall list separately the aggregate of expenditures made on behalf of each public body and the aggregate not made on behalf of any public body. In the fourth calendar quarter, these expenditures shall also be listed by cumulative total for the calendar year. Each quarterly The designated public lobbyist report shall include all reportable expenditures made by any employee of the designated public lobbyist or authorized public lobbyist, regardless of whether that employee is listed as a designated public lobbyist or authorized public lobbyist on any registration filed by a public body engaging the designated public lobbyist or authorized public lobbyist. The quarterly report shall be filed not later than the last day of the month following the end of the calendar quarter, unless the last day of the month is a Saturday, Sunday or other legal holiday. In that case, the report shall be filed on the next business day.
D. The reports required by subsections A and B of this section shall identify the nature of each single expenditure according to the following categories:
1. Food or beverages.
2. Speaking engagement.
3. Travel and lodging.
4. Flowers.
5. Other expenditures.
E. Expenditures by a public body, designated public lobbyist or authorized public lobbyist for personal sustenance, family gifts, personal hospitality or those items excluded from the definition of gift pursuant to section 41-1231, paragraph 9, subdivision (a), (b), (c), (d), (e) or (f), (g), (h), (i), (j), (k) or (l) are not required to be reported.
F. All expenditures incurred by a public body, designated public lobbyist or authorized public lobbyist in the case of special events for legislators, including parties, dinners, athletic events, entertainment and other functions, to which all members of the legislature, either house of the legislature or any committee of the legislature are invited shall be reported. Expenditures are not required to be allocated to individual legislators, but for each such event a description of the event and the date, location, name of the legislative body invited and total expenditures incurred shall be reported. Expenditures for special events held in conjunction with state, national or regional meetings of an organization or association concerned or dealing with legislative or other governmental activities to which all members or employees of the legislature in attendance at such event are invited shall be reported in the same manner.
G. All information required to be filed pursuant to this section with the secretary of state shall be filed in that office and preserved by the secretary of state for five years from the date of filing, after which time the information shall be destroyed. The information is a public record and open to public inspection.
H. If a public body or designated public lobbyist makes no expenditures that it would otherwise be required to report during a specified reporting period, the public body or designated public lobbyist may sign a form under penalty of perjury prescribed by the secretary of state indicating that there were no expenditures during the specific reporting period.
I. H. A person or organization shall not make a gift to or an expenditure on behalf of a member or employee of the legislature through another person or organization for the purpose of disguising the identity of the person making the gift or expenditure.
J. A public body, designated public lobbyist or authorized public lobbyist or any other person acting on behalf of a public body, designated public lobbyist or authorized public lobbyist shall not give to any member of the legislature and a member of the legislature shall not accept from a public body, designated public lobbyist or authorized public lobbyist either of the following:
1. Gifts with a total value of more than $10 during any calendar year.
2. Gifts that are designed to influence the member's or employee's official conduct.
K. Subsection J of this section does not apply to gifts given by a public body, designated public lobbyist or authorized public lobbyist to an employee of a public body, if the employee is not a public official or a member of the household of a public official or if the gift is accepted on behalf of the public body and remains the property of the public body.
Sec. 6. Delayed repeal
Section 41-1232.08, Arizona Revised Statutes, is repealed from and after December 31,2024.
Sec. 7. Section 41-1239, Arizona Revised Statutes, is amended to read:
41-1239. Duties of secretary of state
A. The secretary of state shall:
1. Prescribe and publish the registration and registration amendment forms and the annual and quarterly expenditure forms, handbooks and rules necessary to carry out the provisions of this article.
2. Refer to the attorney general or county attorney for investigation any matter which the secretary of state has reason to believe constitutes a violation of any of the provisions of this article.
3. Provide for the cross-referencing of the registration required by sections 41-1232 and 41-1232.01 so that each lobbyist authorized by a principal pursuant to section 41-1232, subsection A and each public lobbyist authorized by a public body pursuant to section 41-1232.01, subsection A shall be identified with such principal.
4. Advise incumbents and nonincumbent candidates regarding campaign finance laws and public officer reporting and disclosure laws. At the request of the person asking for advice, the secretary of state shall log the request and the response.
5. Compile and issue an annual report of all expenditures reported by principals, public bodies, lobbyists and public lobbyists. The annual report shall accurately summarize all expenditures for lobbying but shall not double report expenditures by a lobbyist that were reimbursed and reported by a principal or public body. The report shall list the name of each principal or public body along with the name of each lobbyist or public lobbyist that is listed on the principal's registration statement.
6. Develop and maintain a web-based digital platform for lobbyist expenditure reporting and campaign contributions. The digital platform shall be accessible from a mobile APPLICATION and allow for the real-time entry of lobbyist expenditure reporting and campaign contributions. The secretary of state may enter into a contract with a third party to develop and maintain the application.
B. The secretary of state may adopt rules regarding initiative, referendum and recall. Rules adopted pursuant to this subsection apply to statewide and county initiatives, referenda and recalls.
Sec. 8. Section 41-1901, Arizona Revised Statutes, is amended to read:
41-1901. Establishment of commission
There is established a commission to be known as The independent commission on salaries for elective state officers, hereinafter referred to is established and shall be known as the commission.
Sec. 9. Section 41-1902, Arizona Revised Statutes, is amended to read:
41-1902. Membership; terms; vacancies; compensation
A. The commission is composed consists of five seven members, who shall be appointed from private life, as follows:
1. Two by the governor, one of whom shall be designated as chairman by the governor.
2. One by the president of the senate.
3. One by the MINORITY party leader of the senate.
3. 4. One by the speaker of the house of representatives.
5. One by the MINORITY party leader of the house of representatives.
4. 6. One by the chief justice of the supreme court. The person appointed by the chief JUSTICE of the supreme court is designated to serve as chairperson. The members shall select a vice chairperson from among the remaining members.
B. Beginning in 2002, members shall be appointed biennially and serve until they have submitted the report made pursuant to section 41-1903 two-year terms.
C. Any vacancy in the membership shall be filled in the manner in which the original appointment was made.
D. The Commission members of the commission shall serve without compensation, but shall be reimbursed for travel and subsistence expenses as provided by law for state officers. The department of administration, personnel division shall provide the commission with such staff as is necessary to perform its functions and shall provide record-keeping recordkeeping facilities and other facilities as needed.
E. Commission members shall meet on the call of the chairperson or vice chairperson.
Sec. 10. Section 41-1903, Arizona Revised Statutes, is amended to read:
41-1903. Function
A. Beginning in 2002 2023, the commission shall biennially annually conduct a review of the rates of pay of elective state officers, of justices and judges of courts of record and of clerks of the superior court. Such The review by the commission shall be made for the purpose of determining and providing the pay levels appropriate to the duties and responsibilities of the respective offices and positions subject to such review. The review shall also consider changes to the cost of living in this state and nationally. The commission may hold public hearings to aid it in its work.
B. The commission shall submit to the governor no and the legislature not later than June December 1 a report of the results of each review conducted by the commission of the offices and positions subject to this chapter, together with its recommendations.
Sec. 11. Section 41-1904, Arizona Revised Statutes, is amended to read:
41-1904. Recommendations
A. The governor shall include, in the budget next transmitted by him to the legislature after the date of the submission of the report and recommendations of the commission, his own recommendations with respect to the exact rates of pay which he deems advisable for those offices and positions subject to this chapter.
B. A. All or part, as the case may be, of the recommendations of the governor transmitted to the governor and the legislature in the budget relating to salaries shall become effective on the first Monday of January July 1 of the next calendar year following the transmittal of his the recommendations in the budget, but only to the extent that between the date of transmittal of such recommendations in the budget and the ninetieth day following the transmittal of his recommendations close of the regular legislative session:
1. No statute has been enacted which that establishes rates of pay other than those proposed by all or part of such recommendations.
2. Neither house of the legislature specifically disapproves all or part of such recommendations. In case of either of a legislative enactment or disapproval by either house, the recommendations are effective only insofar as not altered or disapproved.
C. Any part of the recommendations of the governor may, in accordance with express provisions of express recommendations, be made operative on a date later than the date on which such recommendations otherwise would take effect.
D. The recommendations of the commission as to legislative salaries shall be certified by it to the secretary of state and the secretary of state shall submit to the qualified electors at the next regular general election the question, "Shall the recommendations of the commission on salaries for elective state officers concerning legislative salaries be accepted? Yes /__/ No /__/". Such recommendations if approved by the electors shall become effective at the beginning of the next regular legislative session without any other authorizing legislation.
B. Beginning on the second Monday of 2023 and for every year THEREAFTER, legislative salaries shall be sixty percent of the governor's salary.
E. C. The recommendations of the governor transmitted to the legislature under this chapter shall, upon on their effective date, supersede all provisions of law in that conflict therewith with those recommendations. The recommendations of the governor which do take effect shall be published with the laws of the state.
Sec. 12. Appropriation; secretary of state; exemption
A. The sum of $10,000,000 is appropriated from the state general fund in fiscal year 2022-2023 to the secretary of state for developing and implementing the campaign finance and lobbyist reporting systems prescribed by this act. The secretary of state shall submit quarterly to the joint legislative budget committee the proposed expenditures prescribed by this subsection.
B. The appropriation made in subsection A of this section is exempt from the provisions of section 35-190, Arizona Revised Statutes, relating to lapsing of appropriations.
Sec. 13. Conditional enactment
This act does not become effective unless the Constitution of Arizona is amended by a vote of the people at the next general election by passage of Senate Concurrent Resolution 1018, fifty-fifth legislature, second regular session, relating to the commission on salaries for elective state officers, and for sections 16-927, 41-1231, 41-1232.02 and 41-1232.03, Arizona Revised Statutes, as amended by this act, not before from and after December 31, 2024."
Amend title to conform