An Act Regarding Campaign Finance Disclosure by Political Action Committees
Maine Legislature, Session 123, LD 1394
Committee: Legal and Veterans Affairs
Amends: 21-A MRSA §1052, 21-A MRSA §1056-B, 21-A MRSA §1060-A

Legislative Document 
No. 1394 
S.P.482 
March 14, 2007 
An Act Regarding Campaign Finance Disclosure by Political Action 
Committees 
Reported by Senator MARRACHE of Kennebec for the Commission on Governmental 
Ethics and Election Practices pursuant to the Maine Revised Statutes, Title 1, section 1009. 
Reference to the Committee on Legal and Veterans Affairs suggested and ordered printed 
under Joint Rule 218. 
Print~d on recycled paper 
JOY J. O'BRIEN 
Secretary of the Senate 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 21-A MRSA §1052, sub-§5, ~A, as amended by PL 2005, c. 575, §5, is 
further amended to read: 
A. Includes: 
(1) Any separate or segregated fund established by any corporation, membership 
organization, nonprofit organization, cooperative ef~ labor organization or other 
organization whose purpose is to influence the outcome of an election, including 
a candidate or question; and 
(2) }\ny person who serves as a funding and transfer mechanism and spends 
money to initiate, advance, promote, defeat or influence in any 'tVay a candidate, 
campaign, political party, referendum or initiated petition in this ~tate; 
(3) :Any organi'i'iation, including any corporation or association, that has as its 
maj or purpose advocating the passage or defeat of a ballot question and that 
makes expenditures other than by contribution to a political action committee, for 
the purpose of the initiation, promotion or defeat of any question; and 
(4) Any organization, including any corporation or association, that has as its 
maj or purpose advocating the passage or defeat of a ballot question and that 
solicits funds from members or nonmembers and spends more than $1,500 in a 
calendar year to initiate, advance, promote, defeat or influence in any way a 
candidate, campaign, political party, referendum or initiated petition, including 
the collection of signatures for a direct initiative, in this ~tate; and 
(5) Any organization that has as its major purpose influencing the nomination or 
election of any person to political office or initiating, promoting or defeating a 
campaign, referendum or initiative in this State and that raises contributions or 
makes expenditures in excess of $1 ,500 for that purpose; and 
Sec. 2. 21-A MRS A §1052-A is enacted to read: 
§10S2-A. Requirement to form a political action committee 
An organization that does not have as its major purpose influencing elections in this 
State is required to form an affiliated political action committee as set forth in this 
section. 
1. 
Influencing candidate elections. 
An organization other than an authorized 
candidate committee or party committee may not make expenditures in excess of $5,000 
in anyone calendar year for the purpose of influencing the nomination or election of anv 
person to political office unless the expenditures are made from a political action 
committee or are made as a contribution to a candidate or authorized candidate 
committee, political action committee or party committee. 
2. 
Influencing referenda. 
An organization other than an authorized candidate 
committee or party committee may not make expenditures in excess of $5,000 in anyone 
calendar year for the purpose of initiating, promoting or defeating a campaign, 
II 
2-t 
referendum or initiative unless the expenditures are made from a political action 
co}nmittee or are made as a contribution to a candidate or authorized _candidate 
committee, political action committee or party committee. 
3. Commingling prohibited. The monetary assets of a political action committee 
must be maintained in a separate account and may not be commingled with other funds, 
such as funds of an affiliated organization or the personal funds of an officer of the 
political action committee. 
Sec. 3. 21-A MRSA §1056-B, as enacted by PL 1999, c. 729, §8, is repealed. 
Sec. 4. 21-A MRSA §1060-A is enacted to read: 
§1060-A. Reporting by an affiliated political action committee 
A political action committee that is affiliated with another organization shall report 
contributions in compliance with this section. 
1. Funds earmarked to influence elections. The political action committee shall 
report as contributions anv funds received from an affiliated organization that were 
eannarked by the original contributor to influence elections. Contributions eamlarked to 
influence elections include: 
A. Funds that the contributor specified were given to influence, promote or oppose a 
candidate election or ballot question or that the contributor specified must be 
provided to the affiliated political action committee; 
B. Funds contributed in response to a solicitation that leads the contributor to believe 
that the funds would be used specifically for the purpose of influencing, promoting or 
opposing a candidate election or ballot question; and 
C. Funds that can reasonably be detemlined to have been provided by the contributor 
for the purpose of influencing, promoting or opposing a candidate election or ballot 
question when viewed in the context in which the contribution was givcn and \vith 
respect to the recipient's activities regarding the election. 
2. Transfers from affiliated organization. If an organization transfers funds from 
its general treasury to an affiliated political action committee that have not been 
earmarked by the original contributor to influence elections, the transferred funds must be 
reported by the political action committee as a contribution from the affiliated 
organization. 
3. Donated staff. An organization that provides services by its emplovees to assist 
an affiliated political action committee is not required to compensate the employees from 
the segregated funds of the political action committee. The political action committee 
shall report the received services as an in-kind contribution. 
Pug::: 2 - 123LR2533(Ol)-1 
SUMMARY 
::: 
This bill defines a political action committee as an organization whose major purpose 
IS to influence elections and that raises or spends more than $1,500 to influence an 
election. 
The definition also includes a separate or segregated fund established to 
influence elections. The bill also requires that an organization that does not have a major 
purpose to influence elections form an affiliated political action committee if the 
organization spends more than $5,000 in any calendar year to influence an election. The 
bill also establishes how a political action committee affiliated with another organization 
must report contributions, funds transfers and donated statT time from that organization. 
The bill repeals the Maine Revised Statutes, Title 21-A, section 1056-B, which required 
repOJ1s from any person other than a political action committee than raised or spent more 
than S 1 ,500 to influence an election. 
Pagl: 3 - 123LR2S33(OI)-1