Reference is to Printer's Date 2/27/14-H.
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION
1. (A) The General
Assembly by this act has determined to create one commission, to
be known as the South Carolina Commission on Ethics Enforcement
and Disclosure, to administer, supervise and if necessary
investigate the ethical conduct and ethics requirements imposed
by law or rule on members of the General Assembly and others,
now administered by the House of Representatives and Senate
Ethics Committees. The authority of this new commission shall
specifically include the authority to receive, regulate, and
supervise all statements of economic interests and other ethics
filings required of these individuals by law or rule, the
compliance by these individuals with all ethical requirements
imposed by law or rule, and the receipt and investigation of
ethics complaints regarding these individuals. However, the
punishment or sanctions, if any, for violations and the
authority to adjudicate alleged violations shall rest with the
House or Senate Ethics Committee, as applicable.
(B) The General
Assembly by this act also has determined to vest in the South
Carolina Commission on Ethics Enforcement and Disclosure the
authority to administer, supervise, and if necessary investigate
the ethical conduct and ethics requirements imposed by law on
public officials, public members, public employees, and others
by the provisions of Chapter 17, Title 2 and Chapter 13, Title 8
of the 1976 Code now administered by the State Ethics
Commission. The authority of this new commission shall
specifically include the authority to receive, regulate, and
supervise all statements of economic interests and other ethics
filings required of these individuals by law, the compliance by
these individuals with all ethical requirements imposed by law,
and the receipt and investigation of ethics complaints regarding
these individuals. However, the punishment or sanctions, if
any, for violations and the authority to adjudicate alleged
violations shall rest with the State Ethics Commission.
(C) The duties and
responsibilities of the commission as provided in subsection (A)
the General Assembly has also determined to extend to the
ethical conduct and ethical requirements imposed by law, rule,
and the Cannons of Judicial Conduct on judges and other judicial
officials of the unified judicial system now administered by the
Supreme Court through its Commission on Judicial Conduct.
However, the punishment or sanctions, if any, for violations and
the authority to adjudicate alleged violations shall rest with
the Supreme Court.
SECTION 2. Chapter 13, Title 8 of the 1976 Code is amended by adding:
Section 8-13-410. (A)
There is created the South Carolina
Commission on Ethics Enforcement and Disclosure composed of the
members provided for in this section.
(B)(1) Two members must
be of the House of Representatives elected by the House. One
member elected by the House must be from the largest minority
party represented in the House. Members from the House shall
serve a term of two years coterminous with their terms of office
as a member of the House.
(2)
Two members must be of the Senate elected by the Senate.
One member elected by the Senate must be from the largest
minority party represented in the Senate. Members from the
Senate must serve a term of four years coterminous with their
terms of office as a member of the Senate.
(C) Four members must
be appointed by the Governor, none of whom may be a public
official, to serve for terms of four years each coterminous with
that of the Governor.
(D) Four members must
be elected by majority vote of the Supreme Court, each of whom
must be an actively serving judge in one of the courts of record
of this State. Members of the Supreme Court are not eligible to
be elected to the commission and retired judges sitting or
permitted to sit as judges in the courts of this State also are
not eligible to be elected to serve on this commission. These
judges shall serve initial terms of two years on the commission
and thereafter, such judicial members of the commission shall be
elected for terms of four years.
(E) The members of the
commission, except for the members appointed by the Governor,
shall serve ex-officio. No person shall serve consecutive terms
on the commission, except that the members who serve an initial
term of less than four years are eligible to serve for a single
additional term. Members appointed by the Governor shall
receive no compensation but shall receive the usual mileage,
subsistence, and per diem as is paid by law to members of state
boards, commission, and committees to be paid from the approved
accounts of the commission. Vacancies must be filled in the
manner of the original selection for the unexpired portion of
the term only.
(F) The chairman of the
commission must be elected by the members of the commission.
The commission may elect a vice chairman and such other officers
as it considers necessary. A majority of the members of the
commission shall constitute a quorum. The commission shall
adopt a policy concerning the attendance of its members at
commission meetings. the commission meets at the call of the
chairman or a majority of its members. Members may set their
own policy related to the rotation of the selection of
officers.
(G) The terms of
members of the commission not otherwise specified begin on July
first of the applicable year and end on June thirtieth.
(H) The commission
shall receive such appropriations for its operations and
responsibilities as may be provided by the General Assembly in
the annual general appropriations act, in addition to the other
sources of revenue available to it as provided by law.
(I) Members of the
commission while serving on the commission may not make
political contributions in any manner prohibited by law and
shall conduct themselves in accordance with the Cannons of
Judicial Conduct. The provisions of Section 8-13-330(B) and (C)
also apply to members of the commission except for its
legislative members.
Section 8-13-415. (A)
On the effective date of this article, the
functions, duties, and powers of the House of Representatives
and Senate Ethics Committees in regard to the authority to
receive, regulate, and supervise all statements of economic
interests and other ethics filings required by law or rule for
individuals now under their jurisdiction, the compliance by
these individuals with all ethical requirements imposed by law
or rule including those contained in Chapter 17, Title 2 and
Chapter 13, Title 8, and the receipt and investigation of ethics
complaints regarding these individuals are devolved upon the
South Carolina Commission on Ethics Enforcement and Disclosure.
However, the punishment or sanctions, if any, for violations and
the authority to adjudicate alleged violations shall rest with
the House or Senate Ethics Committee, as applicable.
(B) On the effective
date of this article, the functions, duties, and powers of the
State Ethics Commission in regard to the authority to receive,
regulate, and supervise all statements of economic interests and
other ethics filings required by law for individuals now under
their jurisdiction, the compliance by these individuals with all
ethical requirements imposed by law including those contained in
Chapter 17, Title 2 and Chapter 13, Title 8, and the receipt and
investigation of ethics complaints regarding these individuals
are devolved upon the South Carolina Commission on Ethics
Enforcement and Disclosure. However, the punishment or
sanctions, if any, for violations and the authority to
adjudicate alleged violations shall rest with the State Ethics
Commission.
(C) On the effective
date of this article, the functions, duties, and powers of the
Supreme Court of this State acting through its Commission on
Judicial Conduct in regard to the authority to receive,
regulate, and supervise all statements of economic interests and
other ethics filings required by law or rule for judges and
other individuals now under its jurisdiction, the compliance by
these judges or other individuals with all ethical requirements
imposed by law or rule including the Cannons of Judicial Conduct
and Chapter 17, Title 2 and Chapter 13, Title 8, and the receipt
and investigation of ethics complaints regarding these judges or
other individuals are devolved upon the South Carolina
Commission on Ethics Enforcement and Disclosure. However, the
punishment or sanctions, if any, for violations and the
authority to adjudicate alleged violations shall rest with the
Supreme Court.
Section 8-13-420. (A)
Beginning July 1, 2015, pursuant to the
provisions of Section 8-13-415, the Commission on Ethics
Enforcement and Disclosure shall have the specified jurisdiction
over and may receive complaints involving, but not limited to,
the following individuals:
(1)
all statewide or constitutional officers of the state and
their staffs;
(2)
any person who holds an elected or appointed position for
any political subdivision of the state and their staffs;
(3)
members of all boards and commissions of the State and its
political subdivisions and their staffs;
(4)
any lobbyist or lobbyist principal or any person acting as
a lobbyist or lobbyist principal who has failed to register as
such; and
(5)
candidates for a state or local public office, except for
the General Assembly, filled by popular election whether or not
elected to such office.
(B) Beginning July 1,
2015, pursuant to the provisions of Section 8-13-415, the
Commission on Ethics Enforcement and Disclosure shall have the
specified jurisdiction over and may receive complaints
involving, but not limited to, the following individuals:
(1)
judges and other judicial officials of the unified
judicial system and their staffs whose conduct is now regulated
and supervised by the Commission on Judicial Conduct as governed
by the Supreme Court; and
(2)
judges of the Administrative Law Court and their
staffs.
(C) Beginning July 1,
2015, pursuant to the provisions of Section 8-13-415, the
Commission on Ethics Enforcement and Disclosure shall have the
specified jurisdiction over and may receive complaints
involving, but not limited to, the following individuals:
(1)
all members of the General Assembly and their staffs,
including employees of caucuses; and
(2)
candidates for election to the General Assembly whether or
not elected.
Section 8-13-425. The
commission has these duties and powers:
(1) to prescribe online
forms for statements required to be filed by this chapter and
make these forms available in a publicly accessible online
format;
(2) to prepare and
publish a manual setting forth recommended uniform methods of
reporting for use by persons required to file statements
required by this chapter;
(3) to accept and file
information voluntarily supplied that exceeds the requirements
of this chapter;
(4) to develop and
maintain a searchable, online database of all filings received
by the commission. At a minimum. the database must be
searchable by the name of any filer, contributor, or recipient
of campaign funds, office sought, or position held;
(5) to ascertain
whether a person has failed to comply fully and accurately with
the disclosure requirements of this chapter and to notify
promptly the person to file the necessary notices and reports to
satisfy the requirements of this chapter or regulations
promulgated by the commission under this chapter;
(6)(a) to initiate or
receive complaints alleging ethical violations of law or rule by
those individuals subject to its jurisdiction;
(b)(i)
no complaint may be accepted by the commission concerning
a candidate for elective office during the fifty-day period
before an election in which the person is a candidate. During
this fifty-day period, any person may petition the court of
common pleas alleging the violations complained of and praying
for appropriate relief by way of mandamus or injunction, or
both. Within ten days, a rule to show cause hearing must be
held, and the court must either dismiss the petition or direct
that a mandamus order or an injunction, or both, be issued. A
violation of this chapter by a candidate during this fifty-day
period must be considered to be an irreparable injury for which
no adequate remedy at law exists. The institution of an action
for injunctive relief does not relieve any party to the
proceeding from any penalty prescribed for violations of this
chapter. The court must award reasonable attorney's fees and
costs to the nonpetitioning party if a petition for mandamus or
injunctive relief is dismissed based upon a finding that
the:
( i)
petition is being presented for an improper purpose such
as harassment or to cause delay;
(ii)
claims, defenses, and other legal contentions are not
warranted by existing law or are based upon a frivolous argument
for the extension, modification, or reversal of existing law or
the establishment of new law; and
(iii)
allegations and other factual contentions do not have
evidentiary support or, if specifically so identified, are not
likely to have evidentiary support after reasonable opportunity
for further investigation or discovery.
(vi)
action on a complaint filed against a member or candidate
for the General Assembly which was received more than fifty days
before the election but which cannot be processed by the
commission, must be postponed until after the election;
(c)
if an alleged violation is found to be groundless by the
commission, the entire matter must be stricken from public
record. If the commission finds that the complaining party
willfully filed a groundless complaint, the finding must be
reported to the Attorney General. The willful filing of a
groundless complaint is a misdemeanor and, upon conviction, a
person must be fined not more than one thousand dollars or
imprisoned not more than one year;
(d)
action may not be taken on a complaint filed more than
four years after the alleged violation occurred unless a person,
by fraud or other device, prevents discovery of the violation;
(7) to issue, upon
request from persons covered by this chapter, and publish
advisory opinions on the requirements of this chapter, based on
real or hypothetical sets of circumstances; provided, that an
opinion rendered by the commission, until amended or revoked, is
binding on the commission in any subsequent charges concerning
the person who requested the opinion and who acted in reliance
on it in good faith unless material facts were omitted or
misstated by the person in the request for the opinion.
Advisory opinions must be in writing and are considered rendered
when approved by a majority of commission members. Advisory
opinions must be made available to the public unless the
commission, by majority vote of the total membership of the
commission, requires an opinion to remain confidential.
However, the identities of the parties involved must be withheld
upon request; and
(8) to promulgate
regulations to carry out the provisions of this chapter.
However, with respect to complaints, investigations, and
hearings the rights of due process as expressed in the rules
governing the practice of law must be followed.
Section 8-13-430. All
complaints received by the commission must:
(1) be in written
form;
(2) contain specific
factual allegations of a violation of law or rule against an
individual subject to its jurisdiction;
(3) contain any and all
supporting documentation or evidence in the possession of the
complainant that supports the allegations
contained in the complaint;
(4) be signed by the
person filing the complaint; and
(5) contain a signed
statement that the complainant will abide by the procedures
established by the commission for the investigation and
disposition of complaints.
Section 8-13-440. (A)
All complaints, documents, meetings,
correspondence, memorandums, or other items in the possession of
the commission relating to a specific complaint are considered
confidential until the complaint is referred by a vote of the
full commission as provided in Section 8-13-465. If the matter
is not referred, it remains confidential.
(B) The release, in any
manner, of any information by any person in violation of
subsection (A) is a considered a misdemeanor and, upon
conviction, the person must be fined one thousand dollars or
imprisoned sixty days, or both.
(C) The commission is
authorized through its staff to prosecute violations of this
section before the appropriate magistrate's court of Richland
County.
Section 8-13-445. A respondent, at any time after being notified of the existence of a complaint against them, may waive their right to confidentiality. This waiver must be made in writing and signed by the respondent or their counsel. All waivers are considered complete and shall apply to all materials, except internal commission communications or attorney work product unrelated to the staff's investigation of the complaint, that is the possession of the commission and its staff. Partial waivers are not allowed.
Section 8-13-450.
Upon the receipt of a complaint, the
director of the commission shall:
(1)
within ten business days forward a copy of the complaint
and all supporting evidence or documentation submitted by the
complainant to the subject of the complaint;
(2)
evaluate the allegations of the complaint, assuming all
alleged facts are accurate, to determine if the complaint
contains an allegation of a violation of law or rule. If the
complaint does not contain facts sufficient to constitute a
violation of law or rule, the director shall cause the complaint
to be dismissed and notify the complainant and respondent of his
decision, in writing. If the matter is dismissed, the director
shall have no further duties related to the specific
complaint;
(3)
cause a panel of three commissioners, with at least one
from each of the appointing authorities, to be assigned to
oversee the commission's investigation of the complaint;
(4)
notify the respondent, in writing, that they shall reply
to the allegations in writing within thirty calendar days of
this notification. The director also shall advise the
respondent, in writing, of their right to obtain counsel and the
investigation and hearing procedures used by the commission,
(5)
cause the commission staff to begin the investigation of
the complaint. Staff assigned to investigate a complaint shall
report directly to the three member panel assigned for that
complaint.
Section 8-13-455. (A)
The staff may request and receive
information in any form from any party relevant to the complaint
being investigated.
(B) The commission
staff, through an affirmative vote of the three member panel,
may issue subpoenas to testify and subpoenas for documents in
the possession of either the complainant or respondent in a
matter or in possession of any relevant witness identified by
either party in their initial filing with the commission.
(C) The commission
staff, through an affirmative vote of the three member panel,
may request the assistance of specialized staff from the
Department of Revenue or the South Carolina Law Enforcement
Division, as the matter may require. Upon a request from the
commission, the Department of Revenue or SLED may temporarily
assign the necessary staff to the commission. Any temporarily
assigned staff shall abide by the policy and procedures for
investigation set out by the commission and shall report to the
three member panel.
(D) The staff, under
the supervision of the three member panel, shall compile the
results of its investigation, including all supporting
documentation, depositions, or other evidence for presentation
to the full commission.
Section 8-13-460. (A)
The results of an investigation by the three
member panel, along with the complaint, respondents response,
and all documentation accompanying both, then must be presented
to the full commission in executive session, unless the
respondent has waived their right to confidentiality, by the
commission staff.
(B) The full commission
shall consider whether the evidence presented has raised facts
sufficient to potentially constitute a violation of law or rule,
including any technical violations. The commission then, by a
majority vote of the membership, may refer the matter to the
appropriate entity having jurisdiction as provided in Section
8-13-465.
(C) The commission is
not authorized to adjudicate any issues or violations raised or
alleged by the complaint.
Section 8-13-465. (A)
If a person who is the subject of the
Commission's investigation is a member of the General Assembly,
their staff, or other person subject to the jurisdiction of the
House of Representatives or Senate Ethics Committees in regard
to ethical conduct, that matter upon the conclusion of the
Commission's investigation may be referred to the appropriate
Ethics Committee for such further action as it considers
appropriate, consistent with the penalty or sanction provisions,
if any, provided by law or rule for that conduct.
(B) If a person who is
the subject of the commission's investigation is a member of the
executive branch or was otherwise subject to the jurisdiction of
the State Ethics Commission in regard to ethical conduct, that
matter upon conclusion of the commission's investigation may be
referred to the State Ethics Commission and brought to a
conclusion by the State Ethics Commission consistent with any
penalties or sanctions authorized and provided by law for that
conduct.
(C) If a person who is
the subject of the Commission's investigation is a member of the
state judiciary or is another individual subject to the
jurisdiction of the Supreme Court in regard to ethical conduct,
that matter upon the conclusion of the commission's
investigation may be referred to the Supreme Court for such
further action as the Supreme Court considers appropriate,
consistent with the penalty or sanction provisions, if any,
provided by law or rule for that conduct.
(D) The commission may
make a referral as provided in this section for further action
if it determines the investigation has raised facts sufficient
to potentially constitute a violation of law or of rule,
including any technical violations. The referral must be
accompanied by the commission's investigation report. If a
referral by the commission is made, all records and information
of the commission relating to the complaints, its investigation,
and its investigation report become public information. If a
referral is not made, the complaint is considered dismissed and
no further action regarding the complaint may be taken. The
commission also shall notify the complainant and the respondent
of its decision to make or not make a referral.
(E) Nothing in this
section or article prevents the commission after completion of
its investigation from referring the matter to the Attorney
General for further action rather than to the appropriate entity
required by this section where a criminal violation may have
occurred based on the results of the investigation
Section 8-13-470. The commission may employ and remove, at its pleasure, a director. The director has the responsibility for employing and terminating other personnel as may be necessary. The director administers the daily business of the commission and performs duties assigned by the commission.
Section 8-13-475. When hired, filing for office, or appointed and upon assuming the duties of employment, office, or position in state government, a public official, public member, and public employee shall receive a brochure prepared by the commission describing the general application of this chapter.
Section 8-13-480. Upon request, the commission shall make statements and reports filed with the commission available for public inspection and copying during regular office hours. The commission shall provide copying facilities at a cost not to exceed the actual cost. A statement may be requested by mail, and the commission shall mail a copy of the requested information to the individual making the request upon payment of appropriate postage, copying costs, and employee labor costs. The commission shall publish and make available to the public and to persons subject to this chapter explanatory information concerning this chapter, the duties imposed by this chapter, and the means for enforcing this chapter.
Section 8-13-485. The commission shall establish a system of electronic filing for all disclosures and reports required pursuant to Chapter 13, Title 8 and Chapter 17, Title 2 from all persons and entities subject to its jurisdiction. These disclosures and reports must be filed using an Internet-based filing system as prescribed by the commission. The information contained in the reports and disclosure forms, with the exception of social security numbers, campaign bank account numbers, and tax ID numbers, must be publicly accessible, searchable, and transferable."
SECTION 3. (A)
The employees, assets, and liabilities of the State
Ethics Commission are transferred to the newly created South
Carolina Commission on Ethics Enforcement and Disclosure on the
effective date of Article 4, Chapter 13, Title 8. The executive
director of the State Ethics Commission on the effective date of
Article 4, Chapter 13, Title 8 shall become the Director of the
Commission on Ethics Enforcement and Disclosure.
(B) Both the State
Ethics Commission, the newly created Commission on Ethics
Enforcement and Disclosure, and their staffs shall meet and be
provided space at the offices of the State Ethics
Commission.
(C) Regulations
promulgated by the State Ethics Commission are continued and are
considered to be promulgated by the newly created South Carolina
Commission on Ethics Enforcement and Disclosure.
SECTION 4. Article 3, Chapter 13, Title 8 of the 1976 Code is amended to read:
Section 8-13-310. (A)
The State Ethics Commission as constituted
under law in effect before July 1, 1992, is reconstituted to
continue in existence with the appointment and qualification of
the at-large members as prescribed in this section and with the
changes in duties and powers as prescribed in this chapter. On
July 1, 1993, when the duties and powers given to the Secretary
of State in Chapter 17 of Title 2 are transferred to the State
Ethics Commission, the Code Commissioner is directed to change
all references to "this chapter" in Article 3 of
Chapter 13 of Title 8 to "this chapter and Chapter 17 of
Title 2".
(B) There is created the State Ethics
Commission composed of nine members appointed by the Governor,
upon the advice and consent of the General Assembly. One member
shall represent each of the seven congressional districts, and
two members must be appointed from the State at large. No member
of the General Assembly or other public official must be
eligible to serve on the State Ethics Commission. The Governor
shall make the appointments based on merit regardless of race,
color, creed, or gender and shall strive to assure that the
membership of the commission is representative of all citizens
of the State of South Carolina.
(C) The terms of the members are for five
years and until their successors are appointed and qualify. The
members of the State Ethics Commission serving on this chapter's
effective date may continue to serve until the expiration of
their terms. These members may then be appointed to serve one
full five-year term under the provisions of this chapter.
Members representing the first, third, and sixth congressional
districts on this chapter's effective date are eligible to be
appointed for a full five-year term in or after 1991. Members
currently representing the second, fourth, and fifth
congressional districts on this chapter's effective date are
eligible to be appointed for a full five-year term in or after
1993. The initial appointments for the at-large members of the
commission created by this chapter must be for a one-, two-, or
three-year term, but these at-large members are eligible
subsequently for a full five-year term. Under this section, the
at-large members of the commission are to be appointed to begin
service on or after July 1, 1992. Vacancies must be filled in
the manner of the original appointment for the unexpired portion
of the term only. Members of the commission who have completed
a full five-year term are not eligible for reappointment.
(D) The commission shall elect a chairman,
a vice-chairman, and such other officers as it considers
necessary. Five members of the commission shall constitute a
quorum. The commission must adopt a policy concerning the
attendance of its members at commission meetings. The
commission meets at the call of the chairman or a majority of
its members. Members of the commission, while serving on
business of the commission, receive per diem, mileage, and
subsistence as is provided by law for members of state boards,
committees, and commissions.
Section 8-13-320.
(A) Beginning
July 1, 2015, the State Ethics Commission has the duty and power
to adjudicate complaint referrals from the Commission on Ethics
Enforcement and Disclosure as provided in Section 8-13-465 and
also has the power and duty to impose penalties or other
punishments as authorized in this chapter in regard to
violations found which result therefrom. Otherwise, the duties
and functions of the State Ethics Commission under this chapter,
unless otherwise stated, are devolved upon the Commission on
Ethics Enforcement and Disclosure and the provisions of this
chapter shall be construed accordingly and shall apply mutatis
mutandis.
(B) Beginning
July 1, 2015, the State Ethics Commission has these duties
and powers:
(1) to
prescribe forms for statements required to be filed by this
chapter and to furnish these forms to persons required to file
them;
(2)
to prepare and publish a manual setting forth recommended
uniform methods of reporting for use by persons required to file
statements required by this chapter;
(3)
to accept and file information voluntarily supplied that exceeds
the requirements of this chapter;
(4)
to develop a filing, coding, and cross-indexing system consonant
with the purposes of this chapter;
(5)
to make the notices of registration and reports filed available
for public inspection and copying as soon as may be practicable
after receipt of them and to permit copying of a report or
statement by hand or by duplicating machine, as requested by a
person, at the expense of the person;
(6)(1) to
preserve the originals or copies of notices and reports for four
years from date of receipt;
(7)
to ascertain whether a person has failed to comply
fully and accurately with the disclosure requirements of this
chapter and promptly to notify the person to file the necessary
notices and reports to satisfy the requirements of this chapter
or regulations promulgated by the commission under this
chapter;
(8)(2) to
request the Attorney General, in the name of the commission, to
initiate, prosecute, defend, or appear in a civil or criminal
action for the purpose of enforcing the provisions of this
chapter, including a civil proceeding for injunctive relief and
presentation to a grand jury. Action may not be taken on a
complaint filed more than four years after the violation is
alleged to have occurred unless a person, by fraud or other
device, prevents discovery of the violation. The Attorney
General may initiate an action to recover a fee, compensation,
gift, or profit received by a person as a result of a violation
of the chapter no later than one year after a determination by
the commission that a violation of this chapter has
occurred;
(9) to initiate or receive
complaints and make investigations, as provided in item (10), of
statements filed or allegedly failed to be filed under the
provisions of this chapter and Chapter 17 of Title 2 and, upon
complaint by an individual, of an alleged violation of this
chapter or Chapter 17 of Title 2 by a public official, public
member, or public employee except members or staff, including
staff elected to serve as officers of or candidates for the
General Assembly unless otherwise provided for under House or
Senate rules. Any person charged with a violation of this
chapter or Chapter 17 of Title 2 is entitled to the
administrative hearing process contained in this section.
(a)
The commission may commence an investigation on the filing of a
complaint by an individual or by the commission, as provided in
item (10)(d), upon a majority vote of the total membership of
the commission.
(b)(1) No complaint may be accepted by the
commission concerning a candidate for elective office during the
fifty-day period before an election in which he is a candidate.
During this fifty-day period, any person may petition the court
of common pleas alleging the violations complained of and
praying for appropriate relief by way of mandamus or injunction,
or both. Within ten days, a rule to show cause hearing must be
held, and the court must either dismiss the petition or direct
that a mandamus order or an injunction, or both, be issued. A
violation of this chapter by a candidate during this fifty-day
period must be considered to be an irreparable injury for which
no adequate remedy at law exists. The institution of an action
for injunctive relief does not relieve any party to the
proceeding from any penalty prescribed for violations of this
chapter. The court must award reasonable attorneys fees and
costs to the nonpetitioning party if a petition for mandamus or
injunctive relief is dismissed based upon a finding that
the:
(i)
petition is being presented for an improper purpose such as
harassment or to cause delay;
(ii)
claims, defenses, and other legal contentions are not warranted
by existing law or are based upon a frivolous argument for the
extension, modification, or reversal of existing law or the
establishment of new law; and
(iii)
allegations and other factual contentions do not have
evidentiary support or, if specifically so identified, are not
likely to have evidentiary support after reasonable opportunity
for further investigation or discovery.
(2) Action on
a complaint filed against a candidate which was received more
than fifty days before the election but which cannot be disposed
of or dismissed by the commission at least thirty days before
the election must be postponed until after the election.
(c) If an
alleged violation is found to be groundless by the commission,
the entire matter must be stricken from public record. If the
commission finds that the complaining party wilfully filed a
groundless complaint, the finding must be reported to the
Attorney General. The wilful filing of a groundless complaint
is a misdemeanor and, upon conviction, a person must be fined
not more than one thousand dollars or imprisoned not more than
one year. In lieu of the criminal penalty provided by this
item, a civil penalty of not more than one thousand dollars may
be assessed against the complainant upon proof, by a
preponderance of the evidence, that the filing of the complaint
was wilful and without just cause or with malice.
(d) Action
may not be taken on a complaint filed more than four years after
the violation is alleged to have occurred unless a person, by
fraud or other device, prevents discovery of the violation. The
Attorney General may initiate an action to recover a fee,
compensation, gift, or profit received by a person as a result
of a violation of the chapter no later than one year after a
determination by the commission that a violation of this chapter
has occurred;
(10)(3) to
conduct its investigations,
inquiries, and hearings in this manner:
(a)
The commission shall accept from an
individual, whether personally or on behalf of an organization
or governmental body, a verified complaint, in writing, that
states the name of a person alleged to have committed a
violation of this chapter and the particulars of the violation.
The commission shall forward a copy of the complaint, a general
statement of the applicable law with respect to the complaint,
and a statement explaining the due process rights of the
respondent including, but not limited to, the right to counsel
to the respondent within ten days of the filing of the
complaint.
(b) If the
commission or its executive director determines that the
complaint does not allege facts sufficient to constitute a
violation, the commission must dismiss the complaint and notify
the complainant and respondent. The entire matter must be
stricken from public record unless the respondent, by written
authorization to the State Ethics Commission, waives the
confidentiality of the existence of the complaint and authorizes
the release of information about the disposition of the
complaint.
(c) If the
commission or its executive director determines that the
complaint alleges facts sufficient to constitute a violation, an
investigation may be conducted of the alleged
violation.
(d)(a) If the
commission, upon the receipt of any information
a referral from the Commission on Ethics Enforcement and
Disclosure as provided in Section 8-13-465, finds probable
cause to believe that a violation of the chapter has occurred,
it may, upon its own motion and an affirmative vote of the
majority of the total membership of the commission, file a
verified complaint, in writing, that states the name of the
person alleged to have committed a violation of this chapter and
the particulars of the violation. The commission shall forward
a copy of the complaint, a general statement of the applicable
law with respect to the complaint, and a statement explaining
the due process rights of the respondent including, but not
limited to, the right to counsel to the respondent within ten
days of the filing of the complaint.
(e)(b) If the
commission determines that assistance is needed in conducting
an investigation a hearing, the
commission shall request the assistance of appropriate
agencies.
(f)(c) The
commission may order testimony to be taken in any
investigation or hearing by deposition before a
person who is designated by the commission and has the power to
administer oaths and, in these instances, to compel testimony.
The commission may administer oaths and affirmation for the
testimony of witnesses and issue subpoenas by approval of the
chairman, subject to judicial enforcement, and issue subpoenas
for the procurement of witnesses and materials including books,
papers, records, documents, or other tangible objects relevant
to the agency's investigation by approval of the chairman,
subject to judicial enforcement. A person to whom a subpoena
has been issued may move before a commission panel or the
commission for an order quashing a subpoena issued under this
section.
(g)(d) All
investigations, inquiries, hearings, and
accompanying documents must remain confidential until a
finding of probable cause or dismissal unless the respondent
waives the right to confidentiality. The wilful release of
confidential information is a misdemeanor, and any person
releasing confidential information, upon conviction, must be
fined not more than one thousand dollars or imprisoned not more
than one year are open to the public or are
considered to be public information upon the referral of a
matter to the commission as provided in Section
8-13-465.
(h)(e) The
commission must afford a public official, public member, public
employee, lobbyist, or lobbyist's principal who is the subject
of a complaint the opportunity to be heard on the alleged
violation under oath, the opportunity to offer information, and
the appropriate due process rights including, but not limited
to, the right to counsel. The commission, in its discretion,
may turn over to the Attorney General for prosecution apparent
evidence of a violation of the chapter.
(i)(f)
At the conclusion of its investigation
Upon a referral from the Commission on Ethics Enforcement and
Disclosure as provided in Section 8-13-465, the commission
staff, in a preliminary written decision with findings of fact
and conclusions of law, must make a recommendation whether
probable cause exists to believe that a violation of this
chapter has occurred. If the commission determines that
probable cause does not exist, it shall send a written decision
with findings of fact and conclusions of law to the respondent
and the complainant. If the commission determines that there is
probable cause to believe that a violation has been committed,
its preliminary decision may contain an order setting forth a
date for a hearing before a panel of three commissioners,
selected at random, to determine whether a violation of the
chapter has occurred. If the commission finds probable cause to
believe that a violation of this chapter has occurred, the
commission may waive further proceedings if the respondent takes
action to remedy or correct the alleged violation.
(j)(g) If a
hearing is to be held, the respondent must be allowed to examine
and make copies of all evidence in the commission's possession
relating to the charges. The same discovery techniques which
are available to the commission must be equally available to the
respondent, including the right to request the commission to
subpoena witnesses or materials and the right to conduct
depositions as prescribed by subitem
(f)(c). A panel of three commissioners
must conduct a hearing in accordance with Chapter 23 of Title 1
(Administrative Procedures Act), except as otherwise expressly
provided. Panel action requires the participation of the three
panel members. During a commission panel hearing conducted to
determine whether a violation of the chapter has occurred, the
respondent must be afforded appropriate due process protections,
including the right to be represented by counsel, the right to
call and examine witnesses, the right to introduce exhibits, and
the right to cross-examine opposing witnesses. All evidence,
including records the commission considers, must be offered
fully and made a part of the record in the proceedings. The
hearings must be held in executive session unless the respondent
requests an open hearing.
(k)(h) No
later than sixty days after the conclusion of a hearing to
determine whether a violation of the chapter has occurred, the
commission panel must set forth its determination in a written
decision with findings of fact and conclusions of law. The
commission panel, where appropriate, shall recommend
disciplinary or administrative action, or in the case of an
alleged criminal violation, refer the matter to the Attorney
General for appropriate action. The Attorney General may seek
injunctive relief or may take other appropriate action as
necessary. In the case of a public employee, the commission
panel shall file a report to the administrative department
executive responsible for the activities of the employee. If
the complaint is filed against an administrative department
executive, the commission panel shall refer the case to the
Governor.
(l)(i) The
written decision as provided for in subitem
(k)(h) may set forth an order:
( i)
requiring the public official, public member, or public
employee to pay a civil penalty of not more than two thousand
dollars for each violation;
(ii)
requiring the forfeiture of gifts, receipts, or profits,
or the value thereof, obtained in violation of the chapter,
voiding nonlegislative state action obtained in violation of the
chapter; or
(iii)
requiring a combination of subitems (i) and (ii) above, as
necessary and appropriate.
(m)(j) Within
ten days after service of an order, report, or recommendation, a
respondent may apply to the commission for a full commission
review of the decision made by the commission panel. The review
must be made on the record established in the panel hearings.
This review is the final disposition of the complaint before the
commission. An appeal to the court of appeals, pursuant to
Section 1-23-380 and as provided in the South Carolina Appellate
Court Rules, stays all actions and recommendations of the
commission unless otherwise determined by the court.
(n)(k) A fine
imposed by the commission, disciplinary action taken by an
appropriate authority, or a determination not to take
disciplinary action made by an appropriate authority is public
record. This section does not limit the power of either chamber
of the General Assembly to impeach a public official or limit
the power of a department to discipline its own officials or
employees. This section does not preclude prosecution of public
officials, public members, or public employees for violation of
any law of this State.
(o)(l) All
actions taken by the commission on complaints, except on alleged
violations which are found to be groundless by the commission,
are a matter of public record upon final disposition;
(11) to issue,
upon request from persons covered by this chapter, and publish
advisory opinions on the requirements of this chapter, based on
real or hypothetical sets of circumstances; provided, that an
opinion rendered by the commission, until amended or revoked, is
binding on the commission in any subsequent charges concerning
the person who requested the opinion and who acted in reliance
on it in good faith unless material facts were omitted or
misstated by the person in the request for the opinion.
Advisory opinions must be in writing and are considered rendered
when approved by five or more commission members subscribing to
the advisory opinion. Advisory opinions must be made available
to the public unless the commission, by majority vote of the
total membership of the commission, requires an opinion to
remain confidential. However, the identities of the parties
involved must be withheld upon request;
(12)(4) to
promulgate and publish rules and regulations to
carry out the provisions of this chapter. Provided, that with
respect to complaints, investigations, and
hearings, the rights of due process as expressed in the
Rules Governing the Practice of Law must be followed;
(13)(5) on and
after July 1, 1993, to administer Chapter 17 of Title 2 by use
of the duties and powers listed in this section in regard to
punishment for violations of these provisions and the
adjudication of alleged violations;
(14)(6) to file, in the court of
common pleas of the county in which the respondent of a
complaint resides, a certified copy of an order or decision of
the commission, whereupon the court must render judgment in
accordance with the order or decision without charge to the
commission and must notify the respondent of the judgment
imposed. The judgment has the same effect as though it had been
rendered in a case duly heard and determined by the court.
Section 8-13-325. In
order to offset costs associated with the: (1) administration
and regulation of lobbyists and lobbyist's principals, and (2)
enforcement of Chapter 17 of Title 2, the State
Ethics Commission on Ethics Enforcement and
Disclosure shall retain fees generated by the registration
of lobbyists and lobbyists' principals and the initial fine of
one hundred dollars, as provided in Section 2-17-50(A)(2)(a),
and the initial fine of one hundred dollars, as provided in
Section 8-13-1510(1), for reports received by the State
Ethics Commission on Ethics Enforcement and
Disclosure.
Section 8-13-330.
(A) The commission may
employ and remove such staff as may be authorized and
provided by the General Assembly in the annual general
appropriations act, at its pleasure, an executive
director. The executive director has the responsibility for
employing and terminating other personnel as may be necessary.
The executive director administers the daily business of the
commission and performs duties assigned by the
commission.
(B) No member or employee of the State
Ethics Commission may be a candidate, an official in a
political party, or a lobbyist. Other than by virtue of
membership on or employment with the State Ethics Commission, no
member or employee of the State Ethics Commission may be
a public official, public member, or public employee.
(C) No member of the State Ethics
Commission or its staff may participate in political management
or in a political campaign during the member's or employee's
term of office or employment. No member of the State
Ethics Commission or its staff may make a contribution to a
candidate or knowingly attend a fundraiser held for the benefit
of a candidate. Violation of this provision subjects the
employee to immediate dismissal and the commissioner to removal
by the Governor.
Section 8-13-340. The State Ethics Commission at the close of each fiscal year shall report to the General Assembly and the Governor concerning the action it has taken, the names, salaries, and duties of all persons in its employ, and the money it has disbursed and shall make other reports on matters within its jurisdiction and recommendations for further legislation as may appear desirable.
Section 8-13-350.
When hired, filing for office, or appointed and
upon assuming the duties of employment, office, or position in
state government, a public official, public member, and public
employee shall receive a brochure prepared by the State Ethics
Commission describing the general application of this chapter.
Section 8-13-360.
Upon request, the
commission shall make statements and reports filed with the
commission available for public inspection and copying during
regular office hours. The commission shall provide copying
facilities at a cost not to exceed the actual cost. A statement
may be requested by mail, and the commission shall mail a copy
of the requested information to the individual making the
request upon payment of appropriate postage, copying costs, and
employee labor costs. The commission shall publish and
make available to the public and to persons subject to this
chapter explanatory information concerning this chapter, the
duties imposed by this chapter, and the means for enforcing this
chapter."
Section 8-13-365.
The commission shall establish a system of
electronic filing for all disclosures and reports required
pursuant to Chapter 13, Title 8 and Chapter 17, Title 2 except
for forms and reports required pursuant to Article 9, Chapter
13, Title 8. These disclosures and reports must be filed using
an Internet-based filing system as prescribed by the commission.
The information contained in the reports and disclosure forms,
with the exception of social security numbers, campaign bank
account numbers, and tax ID numbers, must be publicly
accessible, searchable, and transferable."
SECTION 5. Article 5, Chapter 13, Title 8 of the 1976 Code is amended to read:
Section 8-13-510. There is created a House of Representatives Legislative Ethics Committee and a Senate Legislative Ethics Committee. Each ethics committee is composed of six members unless otherwise provided by rule of the respective House. Terms are coterminous with the term for which members are elected to the House or Senate. Vacancies must be filled for the unexpired term in the manner of the original selection. The members of each ethics committee must be elected by the House or the Senate, as appropriate. One member of each ethics committee must be elected as chairman by a majority of the members of the ethics committee.
Section 8-13-520. Each ethics committee shall meet and recommend any changes in the law or rules relating to ethics considered proper to their respective houses. Changes recommended must be consistent with the Constitution of the State of South Carolina, the provisions of this chapter, and any other applicable law.
Section 8-13-530.
(A) Beginning
July 1, 2015, the Ethics Committees of the House and Senate have
the duty and power to adjudicate complaint referrals from the
Commission on Ethics Enforcement and Disclosure as provided in
Section 8-13-465 and also have the power and duty to impose
penalties or other punishments as authorized in this article in
regard to violations found which result therefrom. Otherwise,
the duties and functions of the Ethics Committees of the House
and Senate under this chapter, unless otherwise stated, are
devolved upon the Commission on Ethics Enforcement and
Disclosure and the provisions of this chapter shall be construed
accordingly and shall apply mutatis mutandis.
(B) Each ethics
committee shall:
(1)
ascertain whether a person has failed to comply
fully and accurately with the disclosure requirements of this
chapter and promptly notify the person to file the necessary
notices and reports to satisfy the requirements of this
chapter;
(2)
receive complaints filed by individuals and, upon
a majority vote of the total membership of the committee, file
complaints when alleged violations are identified;
(3)
upon the filing of a complaint, investigate
possible violations of breach of a privilege governing a member
or staff of the appropriate house, the alleged breach of a rule
governing a member of, legislative caucus committees for, or a
candidate, or staff for the appropriate house, misconduct of a
member or staff of, legislative caucus committees for, or a
candidate for the appropriate house, or a violation of this
chapter or Chapter 17 of Title 2;
(4)(1)
receive and hear, upon a
referral from the Commission on Ethics Enforcement and
Disclosure as provided in Section 8-13-465, a complaint
which alleges a breach of a privilege governing a member or
staff of the appropriate house, the alleged breach of a rule
governing a member or staff of or candidate for the appropriate
house, misconduct of a member or staff of or candidate for the
appropriate house, or a violation of this chapter or Chapter 17
of Title 2. No complaint may be accepted by the ethics
committee concerning a member of or candidate for the
appropriate house during the fifty-day period before an election
in which the member or candidate is a candidate. During this
fifty-day period, any person may petition the court of common
pleas alleging the violations complained of and praying for
appropriate relief by way of mandamus or injunction, or both.
Within ten days, a rule to show cause hearing must be held, and
the court must either dismiss the petition or direct that a
mandamus order or an injunction, or both, be issued. A violation
of this chapter by a candidate during this fifty-day period must
be considered to be an irreparable injury for which no adequate
remedy at law exists. The institution of an action for
injunctive relief does not relieve any party to the proceeding
from any penalty prescribed for violations of this chapter. The
court must award reasonable attorney's fees and costs to the
nonpetitioning party if a petition for mandamus or injunctive
relief is dismissed based upon a finding that the:
(
i) petition is being
presented for an improper purpose such as harassment or to cause
delay;
(ii) claims,
defenses, and other legal contentions are not warranted by
existing law or are based upon a frivolous argument for the
extension, modification, or reversal of existing law or the
establishment of new law; and
(iii)
allegations and other factual contentions do not
have evidentiary support or, if specifically so identified, are
not likely to have evidentiary support after reasonable
opportunity for further investigation or discovery.
Action on a complaint
filed against a member or candidate which was received more than
fifty days before the election but which cannot be disposed of
or dismissed by the ethics committee at least thirty days before
the election must be postponed until after the election;
(5)(2)
obtain information and investigate complaints as
provided in Section 8-13-540 with respect to any complaint filed
pursuant to this chapter or Chapter 17 of Title 2 and to that
end may compel if necessary by subpoena in
conducting hearings the attendance and testimony of
witnesses and the production of pertinent books and papers;
(6)(3)
administer or recommend sanctions appropriate to a
particular member or staff of or candidate for the appropriate
house pursuant to Section 8-13-540 or dismiss the charges;
and
(7)(4) act as
an advisory body to the General Assembly and to individual
members of or candidates for the appropriate house on questions
pertaining to the disclosure and filing requirements of members
of or candidates for the appropriate house.
Section 8-13-540.
Unless otherwise provided for by House or Senate
rule, as appropriate, each ethics committee must conduct its
investigation of a complaint filed pursuant to this chapter or
Chapter 17 of Title 2 in accordance with this section.
(1) When a
complaint is filed with or by the ethics committee, a copy must
promptly be sent to the person alleged to have committed the
violation. If the ethics committee determines the complaint
does not allege facts sufficient to constitute a violation, the
complaint must be dismissed and the complainant and respondent
notified. If the ethics committee finds that the complaining
party wilfully filed a groundless complaint, the finding must be
reported to appropriate law enforcement authorities. The wilful
filing of a groundless complaint is a misdemeanor and, upon
conviction, a person must be fined not more than one thousand
dollars or imprisoned not more than one year. In lieu of the
criminal penalty provided by this subsection, a civil penalty of
not more than one thousand dollars may be assessed against the
complainant upon proof, by a preponderance of the evidence, that
the filing of the complaint was wilful and without just cause or
with malice. If the ethics committee determines the complaint
alleges facts sufficient to constitute a violation, it shall
promptly investigate the alleged violation and may compel by
subpoena the attendance and testimony of witnesses and the
production of pertinent books and papers.
(1)
If after such preliminary
investigation receipt of a referral from the
Commission on Ethics Enforcement and Disclosure as provided in
Section 8-13-465, the ethics committee finds that probable
cause exists to support an alleged violation, it shall, as
appropriate:
(a)
render an advisory opinion to the respondent and require
the respondent's compliance within a reasonable time; or
(b)
convene a formal hearing on the matter within thirty days
of the respondent's failure to comply with the advisory opinion.
All ethics committee investigations and
records relating to the preliminary
investigation on a matter are confidential
until receipt of a referral from the Commission on Ethics
Enforcement and Disclosure as provided in Section 8-13-465.
No complaint shall be accepted which is filed later than
four years after the alleged violation occurred.
(2)
If a hearing is to be held, the respondent must be allowed
to examine and make copies of all evidence in the ethics
committee's possession relating to the charges. At the hearing
the charged party must be afforded appropriate due process
protections, including the right to be represented by counsel,
the right to call and examine witnesses, the right to introduce
exhibits, and the right to cross-examine opposing witnesses.
All hearings must be conducted in executive
open session.
(3)
After the hearing, the ethics committee shall determine
its findings of fact. If the ethics committee, based on
competent and substantial evidence, finds the respondent has
violated this chapter or Chapter 17 of Title 2, it shall:
(a)
administer a public or private reprimand;
(b)
determine that a technical violation as provided for in
Section 8-13-1170 has occurred;
(c)
recommend expulsion of the member; and/or,
(d)
in the case of an alleged criminal violation, refer the
matter to the Attorney General for
investigation. The ethics committee shall report its
findings in writing to the Speaker of the House or President Pro
Tempore of the Senate, as appropriate. The report must be
accompanied by an order of punishment and supported and signed
by a majority of the ethics committee members. If the ethics
committee finds the respondent has not violated a code or
statutory provision, it shall dismiss the charges.
(4)
An individual has ten days from the date of the
notification of the ethics committee's action to appeal the
action to the full legislative body.
(5)
No ethics committee member may participate in any matter
in which he is involved.
(6)
The ethics committee shall establish procedures which
afford respondents appropriate due process protections,
including the right to be represented by counsel, the right to
call and examine witnesses, the right to introduce exhibits, and
the right to cross-examine opposing witnesses.
Section 8-13-550. (A)
Upon receipt of a recommendation of
expulsion or an appeal from an order of the ethics committee
made pursuant to the provisions of Section 8-13-540, the
presiding officer of the House or Senate shall call the House or
Senate into open session at a time to be determined at his
discretion or in executive session if the House or Senate
chooses, as a committee of the whole, to consider the action of
the ethics committee. The House or Senate shall sustain or
overrule the ethics committee's action or order other action
consistent with this chapter or Chapter 17 of Title 2.
(B) Upon consideration
of an ethics committee report by the House or the Senate,
whether in executive or open session, the results of the
consideration, except in the case of the issuance of a private
reprimand, are a matter of public record.
Section 8-13-560.
Unless otherwise currently or hereafter provided for by
House or Senate rule, as is appropriate:
(1)
A member of the General Assembly who is indicted in a
state court or a federal court for a crime that is a felony, a
crime that involves moral turpitude, a crime that has a sentence
of two or more years, or a crime that violates election laws
must be suspended immediately without pay by the presiding
officer of the House or Senate, as appropriate. The suspension
remains in effect until the public official is acquitted,
convicted, pleads guilty, or pleads nolo contendere. In the
case of a conviction, the office must be declared vacant. In
the event of an acquittal or dismissal of charges against the
public official, he is entitled to reinstatement and back
pay.
(2)
If the public official is involved in an election between
the time of the suspension and final conclusion of the
indictment, the presiding officer of the House or Senate, or the
Governor, as appropriate, shall again suspend him at the
beginning of his next term. The suspended public official may
not participate in the business of his public office."
SECTION 6. Section 8-13-100(5) and (9) of the 1976 Code are amended to read:
"(5) 'Candidate'
means a person who seeks appointment, nomination for election,
or election to a state or local office, or
authorizes or knowingly permits the collection or disbursement
of money for the promotion of his candidacy or election, or
maintains an open bank account containing contributions. It
also means a person on whose behalf write-in votes are solicited
if the person has knowledge of such solicitation. 'Candidate'
does not include a person within the meaning of Section 431(b)
of the Federal Election Campaign Act of 1976.
(9) 'Contribution'
means a gift, subscription, loan, guarantee upon which
collection is made, forgiveness of a loan, an advance, in-kind
contribution or expenditure, a deposit of money, or
anything of value made to a candidate or committee, as
defined in Section 8-13-1300(6), for the purpose of
influencing to influence an
election;, or payment or compensation
for the personal service of another person which is rendered
for any purpose to a candidate or committee
without charge to influence an election whether any of the
above are made or offered directly or indirectly.
'Contribution' does not include volunteer personal services on
behalf of a candidate or committee for which the volunteer or
any person acting on behalf of or instead of the volunteer
receives no compensation either in cash or in-kind, directly
or indirectly, from any source."
SECTION 7. Section 8-13-740(A)(2)(c) of the 1976 Code, as last amended by Act 181 of 1993, is further amended to read:
"(c) in a
contested case or a matter that may become a contested
case, as defined in Section 1-23-310, excluding a contested
case for a rate or price fixing matter before the South Carolina
Public Service Commission or South Carolina Department of
Insurance, or in an agency's consideration of the drafting and
promulgation of regulations under Chapter 23,
of Title 1 in a public hearing."
SECTION 8. Section 8-13-745 of the 1976 Code, as added by Act 248 of 1991, is amended to read:
"Section 8-13-745.
(A) No member of the General Assembly
or an individual with whom he is associated or
business with which he is associated may represent a client for
a fee in a contested case, as defined in Section 1-23-310,
before an agency, a commission, board, department, or other
entity if the member of the General Assembly has voted in the
election, appointment, recommendation, or confirmation of a
member of the governing body of the agency, board, department,
or other entity within the twelve preceding months.
(B) Notwithstanding any
other provision of law, after the effective date of this
section, no member of the General Assembly or any
individual with whom he is associated or business with
which he is associated may represent a client for a fee in a
contested case, as defined in Section 1-23-310, before an
agency, a commission, board, department, or other entity
elected, appointed, recommended, or confirmed by the House, the
Senate, or the General Assembly if that member has voted on the
section of that year's general appropriation bill or
supplemental appropriation bill relating to that agency,
commission, board, department, or other entity within one year
from the date of the vote. This subsection does not prohibit a
member from voting on other sections of the general
appropriation bill or from voting on the general appropriation
bill as a whole.
(C)
Notwithstanding any other provision of law, after
the effective date of this section, no member of the General
Assembly or an individual with whom he is associated in
partnership or a business, company, corporation, or partnership
where his interest is greater than five percent may enter into
any contract for goods or services with an agency, a commission,
board, department, or other entity funded with general funds or
other funds if the member has voted on the section of that
year's appropriation bill relating to that agency, commission,
board, department, or other entity within one year from the date
of the vote...This subsection does not prohibit a member from
voting on other sections of the appropriation bill or from
voting on the general appropriation bill as a whole.
Notwithstanding any other provision of law, a public
official, including members of the General Assembly, or a public
employee, may not take a vote on or take an action on a matter
in which he, an immediate family member, or a business with
which he is associated has a known financial interest.
(D) The provisions
of this section do not apply to any court in the unified
judicial system.
(E) When a member of
the General Assembly is required by law to appear because of his
business interest as an owner or officer of the business or in
his official capacity as a member of the General Assembly, this
section does not apply.
(F) The provisions of
subsections (A), (B), and (C) do not apply in the case of any
vote or action taken by a member of the General Assembly
prior to before January 1, 1992."
SECTION 9. Chapter 13, Title 8 of the 1976 Code is amended by adding:
"Section 8-13-756. The provisions of Sections 8-13-700, 8-13-710, 8-13-715, and 8-13-755 do not apply to a public employee of an institution of higher learning who participates in the development of intellectual property that benefits the institution and the State of South Carolina, provided that the institution of higher learning retains some royalty rights to the intellectual property."
SECTION 10. Section 8-13-780(B) of the 1976 Code is amended to read:
"(B) In addition
to existing remedies for breach of the ethical standards of this
chapter or regulations promulgated hereunder,
the State Ethics Commission may impose an oral
or a written warning or reprimand."
SECTION 11. Section 8-13-1120 of the 1976 Code, as last amended by Act 6 of 1995, is further amended to read:
"Section 8-13-1120.
(A) A statement of economic interests
filed pursuant to Section 8-13-1110 must be on forms
prescribed by the State Ethics Commission and must
contain full and complete information concerning:
(1)
the name, business or government address, and workplace
telephone number of the filer;
(2)
the source, type, and amount or value of income, not to
include tax refunds, of substantial monetary value received from
a governmental entity by the filer or a member of the filer's
immediate family during the reporting period;
(3)(a)
the description, value, and location of all real property
owned and options to purchase real property during the reporting
period by a filer or a member of the filer's immediate family
if:
( i)
there have been any public improvements of more than two
hundred dollars on or adjacent to the real property within the
reporting period and the public improvements are actually
known to the filer; or
(ii)
the interest has been or can reasonably be expected
to be the subject of a conflict of interest with the filer's
official responsibilities and duties based upon information
actually known to the filer; or
(b)
if a sale, lease, or rental of personal or real property
is to a state, county, or municipal instrumentality of
government, a copy of the contract, lease, or rental agreement
must be attached to the statement of economic interests;
(4)
the name of each organization which paid for or reimbursed
actual expenses of the filer for speaking before a public or
private group, the amount of such payment or reimbursement, and
the purpose, date, and location of the speaking engagement;
(5)
the identity of every business or entity in which the
filer or a member of the filer's immediate family held or
controlled, in the aggregate, securities or interests
constituting five percent or more of the total issued and
outstanding securities and interests which constitute a value of
one hundred thousand dollars or more;
(6)(a)
a listing by name and address of each creditor to whom the
filer or member of the filer's immediate family owed a debt in
excess of five hundred dollars at any time during the reporting
period, if the creditor is subject to regulation by the filer or
is seeking or has sought a business or financial arrangement
with the filer's agency or department other than for a credit
card or retail installment contract, and the original amount of
the debt and amount outstanding unless:
( i)
the debt is promised or loaned by a bank, savings and
loan, or other licensed financial institution which loans money
in the ordinary course of its business and on terms and interest
rates generally available to a member of the general public
without regard to status as a public official, public member, or
public employee; or
(ii)
the debt is promised or loaned by an individual's family
member if the person who promises or makes the loan is not
acting as the agent or intermediary for someone other than a
person named in this subitem; and
(b)
the rate of interest charged the filer or a member of the
filer's immediate family for a debt required to be reported in
(a);
If a discharge of a debt required to be
reported in (a) has been made, the date of the transaction must
be shown.
(7)
the name of any lobbyist, as defined in Section
2-17-10(13) who is:
(a)
an immediate family member of the filer;
(b)
an individual with whom or business with which the filer
or a member of the filer's immediate family is associated;
(8)
if a public official, public member, or public employee
receives compensation from an individual or business which
contracts with the governmental entity with which the public
official, public member, or public employee
serves or is employed, the public official, public member, or
public employee must report the name and address of that
individual or business and the amount of compensation
paid to the public official, public member, or public employee
by the contract between the governmental entity
and that individual or business;
(9)
the source and a brief description of any gifts, including
transportation, lodging, food, or entertainment received during
the preceding calendar year from:
(a)
a person, if there is reason to believe the donor would
not give the gift, gratuity, or favor but for the official's or
employee's office or position; or
(b)
a person, or from an officer or director of a person, if
the public official or public employee has reason to believe the
person:
( i)
has or is seeking to obtain contractual or other business
or financial relationship with the official's or employee's
agency; or
(ii)
conducts operations or activities which are regulated by
the official's or employee's agency if the value of the gift is
twenty-five dollars or more in a day or if the value totals, in
the aggregate, two hundred dollars or more in a calendar
year. ;
(10)
the source of any other income received by the
filer or a member of the filer's immediate family, not to
include income received pursuant to:
( i)
a court order;
(ii)
a savings, checking or brokerage account with a
bank, savings and loan, or other licensed financial institution
which offers savings, checking or brokerage accounts in the
ordinary course of its business and on terms and interest rates
generally available to a member of the general public without
regard to status as a public official, public member, or public
employee;
(iii)
a mutual fund or similar fund in which an
investment company invests its shareholders' money in a
diversified selection of securities;
(11)
the specific source of income received by a
public official, a member of the public official's immediate
family, or a business with which the public official or a member
of his immediate family are associated if the public official or
a member of the public official's immediate family directly
derives income from a:
( i)
contractual or financial relationship, including
a consultant or independent contractor's relationship, with a
lobbyist's principal or an entity controlled by, affiliated
with, or existing for the benefit of a lobbyist's principal;
(ii)
contractual or financial relationship, including
a consultant or independent contractor relationship, with a
state or local governmental entity;
(iii)
source regulated by the governmental regulatory
agency with which the public official serves.
For purposes of item (11), 'contractual
or financial relationship' does not include a relationship from
which income received by a public official, a member of the
public official's immediate family, or a business with which the
public official or his immediate family is associated is derived
from commercial transactions in which the fair market value of
goods transferred or services rendered is paid;
(12)
the specific source of income received by a
public member, a member of the public member's immediate family,
or a business with which the public member or a member of his
immediate family are associated if the public member or his
immediate family directly derives income from a source regulated
by the governmental regulatory agency with which the public
member serves.
(B) This article does
not require the disclosure of economic interests information
concerning:
(1)
a spouse separated pursuant to a court order from the
public official, public member, or public employee;
(2)
a former spouse;
(3)
a campaign contribution that is permitted and reported
under Article 13 of this chapter; or
(4)
matters determined to require confidentiality pursuant to
Section 2-17-90(E)."
SECTION 12. Section 8-13-1300 (4),(6), (7), (23), and (32) of the 1976 Code, as last amended by Act 76 of 2003, is further amended to read:
" (4)
'Candidate' means: (a) a person who seeks
appointment, nomination for election, or election to a statewide
or local office, or authorizes or knowingly permits the
collection or disbursement of money for the promotion of his
candidacy or election; (b) a person who is exploring whether or
not to seek election at the state or local level;
or (c) a person on whose behalf write-in votes
are solicited if the person has knowledge of such
solicitation; or (d) a person who maintains an open bank
account containing contributions. 'Candidate' does not
include a candidate within the meaning of Section 431(b) of the
Federal Election Campaign Act of 1976.
(6)
'Committee' means an association, a club, an organization,
or a group of persons, including a party committee, a
legislative caucus committee, or a noncandidate committee,
which, to influence the outcome of an elective
office, has as its major purpose the nomination,
election, or defeat of one or more candidates and receives
contributions or makes expenditures in excess of five hundred
dollars in the aggregate during an election cycle. It also
means a person who, to influence the outcome of an
elective office, has the major purpose to support or
oppose the nomination, election, or defeat of one or more
candidates and makes:
(a)
contributions aggregating at least twenty-five thousand
dollars during an election cycle to or at the request of a
candidate or a committee, or a combination of them; or
(b)
independent expenditures aggregating five hundred dollars
or more during an election cycle for the election or defeat of a
candidate.
'Committee' includes a party
committee, a legislative caucus committee, a noncandidate
committee, or a committee that is not a campaign committee for a
candidate but that is organized for the purpose of influencing
an election.
(7) 'Contribution' means a gift,
subscription, loan, guarantee upon which collection is made,
forgiveness of a loan, an advance, in-kind contribution or
expenditure, a deposit of money, or anything of value made to a
candidate or committee to influence an
election;, or payment or compensation
for the personal service of another person which is rendered
for any purpose to a candidate or committee
without charge to influence an election, whether any of
the above are made or offered directly or indirectly.
'Contribution' does not include (a) volunteer
personal services on behalf of a candidate or committee for
which the volunteer or any person acting on behalf of or instead
of the volunteer receives no compensation either in cash or
in-kind, directly or indirectly, from any source; or
(b) a gift, subscription, loan, guarantee upon which collection
is made, forgiveness of a loan, an advance, in-kind contribution
or expenditure, a deposit of money, or anything of value made to
a committee, other than a candidate committee, and is used to
pay for communications made not more than forty-five days before
the election to influence the outcome of an elective office as
defined in Section 8-13-1300(31)(c). These funds must be
deposited in an account separate from a campaign account as
required in Section 8-13-1312.
(23) 'Noncandidate
committee' means a committee that is not a campaign committee
for a candidate but is organized to influence an
election or to support or oppose a candidate or public
official has as its major purpose the nomination,
election, or defeat of one or more candidates, which
receives contributions or makes expenditures in excess of five
hundred dollars in the aggregate during an election cycle.
'Noncandidate committee' does not include political action
committees that contribute solely to federal campaigns.
(32) 'Ballot measure
committee' means:
(a)
an association, club, an organization, or a group of
persons which, to influence the outcome of a ballot
measure, whose major purpose is to promote or defeat
a ballot measure and receives contributions or makes
expenditures in excess of two thousand five hundred dollars in
the aggregate during an election cycle;
(b)
a person, other than an individual, who, to influence the
outcome of a ballot measure, makes contributions aggregating at
least fifty thousand dollars during an election cycle to or at
the request of a ballot measure committee; or
(c)
a person, other than an individual, who, to influence the
outcome of a ballot measure, makes independent expenditures
aggregating two thousand five hundred dollars or more during an
election cycle."
SECTION 13. Section 8-13-1300 of the 1976 Code is amended by adding an appropriately numbered subsection to read:
"( )
'electioneering communication' means any broadcast, cable,
or satellite communication or mass postal mailing or telephone
bank that has the following characteristics:
(a)
refers to a clearly identified candidate for elected
office; and
(b)
that is publically aired or distributed within sixty days
prior to a general election or within thirty days prior to a
primary for that office. The definition does not include:
(1)
a communication appearing in a news story, commentary, or
editorial distributed through the facilities of any broadcasting
station, unless those facilities are owned or controlled by any
political party, political committee, or candidate;
(2)
a communication that constitutes an expenditure or
independent expenditure under this Article,
(3)
a communication that constitutes a candidate debate or
forum conducted pursuant to rules adopted by a political party
or that solely promotes that debate or forum and is made by or
on behalf of the person sponsoring the debate or forum; or
(4)
a communication that meets all of the following criteria:
( i)
does not mention any election, candidacy, political party,
opposing candidate, or voting by the general public;
(ii)
does not take a position on the candidate's character or
qualifications and fitness for office; and
(iii)
proposes a commercial transaction."
SECTION 14. Section 8-13-1302 of the 1976 Code is amended to read:
"Section 8-13-1302.
(A) A candidate, committee, or ballot
measure committee must maintain and preserve an account of:
(1)
the total amount of contributions accepted by the
candidate, committee, or ballot measure committee;
(2)
the name and address of each person making a contribution
and the amount and date of receipt of each contribution;
(3)
the total amount of expenditures made by or on behalf of
the candidate, committee, or ballot measure committee;
(4)
the name and address of each person to whom an expenditure
is made including the date, amount, purpose, and beneficiary of
the expenditure;
(5)
all receipted bills, canceled checks, or other proof of
payment for each expenditure; and
(6)
the occupation of each person making a contribution.
(B) The candidate,
committee, or ballot measure committee must maintain and
preserve all receipted bills and accounts required by this
article for four years.
(C) An
appropriate supervisory office may request in writing,
disclosure of any records required to be maintained by this
section, subject to the limitations of Section 8-13-320(9)(d).
Such a request shall be for purposes of verifying campaign
disclosure forms filed pursuant to Section 8-13-1308. A
candidate, committee, or ballot measure committee must comply
with a written request from an appropriate supervisory office
within thirty days."
SECTION 15. Section 8-13-1308 of the 1976 Code is amended to read:
"Section 8-13-1308.
(A) Upon the receipt or expenditure of
campaign contributions or the making of independent expenditures
totaling an accumulated aggregate of five hundred dollars or
more, a candidate or committee required to file a statement of
organization pursuant to Section 8-13-1304(A) must file an
initial certified campaign report within ten days of these
initial receipts or expenditures. However, a candidate who does
not receive or expend campaign contributions totaling an
accumulated aggregate of five hundred dollars or more must file
an initial certified campaign report fifteen days before an
election.
(B) Following the
filing of an initial certified campaign report, additional
certified campaign reports must be filed within ten days
following the end of each calendar quarter in which
contributions are received or expenditures are made, whether
before or after an election until the campaign account undergoes
final disbursement pursuant to the provisions of Section
8-13-1370.
(C) Campaign reports
filed by a candidate must be certified by the candidate.
Campaign reports filed by a committee must be certified by a
duly authorized officer of the committee.
(D)(1) At least fifteen
days before an election, a certified campaign report must be
filed showing contributions of more than one hundred dollars and
expenditures to or by the candidate or committee for the period
ending twenty days before the election. The candidate or
committee must maintain a current list during the period before
the election commencing at the beginning of the calendar quarter
of the election of all contributions of more than one hundred
dollars and expenditures. The list must be open to public
inspection upon request.
(2)
A committee immediately shall file a campaign report
listing expenditures if it makes an independent expenditure or
an incurred expenditure within the calendar quarter in which the
election is conducted or twenty days before the election,
whichever period of time is greater, in excess of:
(a)
ten thousand dollars in the case of a candidate for
statewide office; or
(b)
two thousand dollars in the case of a candidate for any
other office.
(3)
In the event of a runoff election, candidates or
committees are not required to file another campaign report in
addition to the reports already required under this section.
However, records must remain open to public inspection upon
request between the election and the runoff.
(E) Two days before
an election, a certified campaign report must be filed showing
contributions of more than one hundred dollars and expenditures
to or by the candidate or committee for the period commencing at
least twenty days before the election and ending two days before
the election.
(F)
Notwithstanding the provisions of subsections (B) and (D),
if a pre-election campaign report provided for in subsection (D)
is required to be filed within thirty days of the end of the
prior quarter, a candidate or committee must combine the
quarterly report provided for in subsection (B) and the
pre-election report and file the combined report subject to the
provisions of subsection (D) no later than fifteen days before
the election.
(F)(G)
Certified campaign reports detailing campaign
contributions and expenditures must contain:
(1)
the total of contributions accepted by the candidate or
committee;
(2)
the name and address of each person making a contribution
of more than one hundred dollars and the amount and date of
receipt of each contribution;
(3)
the total expenditures made by or on behalf of the
candidate or committee;
(4)
the name and address of each person to whom an expenditure
is made from campaign funds, including the date, amount,
purpose, and beneficiary of the expenditure.
(G)(H)
Notwithstanding any other reporting requirements in
this chapter, a political party, legislative caucus committee,
and a party committee must file a certified campaign report upon
the receipt of anything of value which totals in the aggregate
five hundred dollars or more. For purposes of this section,
"anything of value" includes contributions received
which may be used for the payment of operation expenses of a
political party, legislative caucus committee, or a party
committee. A political party also must comply with the reporting
requirements of subsections (B), (C), and (F)
(G) of Section 8-13-1308 in the same manner as a
candidate or committee.
(H)(I)
A committee that solicits contributions pursuant to
Section 8-13-1331 must certify compliance with that section on a
form prescribed by the State Ethics Commission."
SECTION 16. Section 8-13-1312 of the 1976 Code is amended to read:
"Section 8-13-1312.
Except as is required for the separation of funds and
expenditures under the provisions of Section 8-13-1300(7), a
candidate shall not establish more than one campaign checking
account and one campaign savings account for each office sought,
and a committee shall not establish more than one checking
account and one savings account unless federal or state law
requires additional accounts. For purposes of this article,
certificates of deposit or other interest bearing instruments
are not considered separate accounts. A candidate's accounts
must be established in a financial institution that conducts
business within the State and in an office located within the
State that conducts business with the general public. The
candidate or a duly authorized officer of a committee must
maintain the accounts in the name of the candidate or committee.
An acronym must not be used in the case of a candidate's
accounts. An acronym or abbreviation may be used in the case of
a committee's accounts if the acronym or abbreviation commonly
is known or clearly recognized by the general public.
Except as otherwise provided under Section
8-13-1348(C), Expenses paid on behalf of a candidate or
committee must be drawn from the campaign account and issued on
a check signed or authorized by the candidate or a duly
authorized officer of a committee, must be paid by
debit or credit card issued in the name of the candidate or
committee or must be paid through online transfers authorized by
the candidate or a duly authorized officer of a committee.
All contributions received by the candidate or committee,
directly or indirectly, must be deposited in the campaign
account by the candidate or committee within ten days after
receipt. All contributions received by an agent of a candidate
or committee must be forwarded to the candidate or committee not
later than five days after receipt. A contribution must not be
deposited until the candidate or committee receives information
regarding the name and address of the contributor. If the name
and address cannot be determined within seven days after
receipt, the contribution must be remitted to the Children's
Trust Fund."
SECTION 17. Chapter 13, Title 8 of the 1976 Code is amended by adding:
"Section 8-13-1313.
A person who is not a committee required to file subject
to Section 8-13-1304 and who makes an independent expenditure in
an aggregate amount or value in excess of five hundred dollars
during a calendar year or makes an electioneering communication
must file a report of such expenditure or communication with the
State Ethics Commission electronically in the manner prescribed
by the Commission pursuant to Section 8-13-365 within thirty
days or if the independent expenditure or electioneering
communication is made within thirty days before an election, the
report must be filed within forty-eight hours. The report must
include:
(1)
a detailed description of the use of the expenditure or
communication and the amount of the expenditure or the cost of
the communication;
(2)
the full name, primary occupation of the reporting person,
as well as the physical address and phone number for the
residence or place of business for the reporting person;
(3)
the identification of the chief executive officer or for
all controlling individuals if the reporting person is a
business or another organization that is not an individual, to
include name, title, employer, and address;
(4)
the name of the candidate or ballot measure that is the
subject of the independent expenditure or electioneering
communication and whether the expenditure or communication was
made in support of, or opposition to, the candidate or ballot
measure;
(5)
the chief executive officer or controlling individual must
file, under penalty of perjury, a certification that the
independent expenditure is not made in cooperation,
consultation, or coordination with, or at the request or
suggestion of, any candidate or any authorized committee or
agent of such candidate; and
(6)(a)
the identification of the top five donors to the reporting
person and for any donor who has donated more than ten thousand
dollars to the committee within the previous twelve months, to
include name, primary occupation, address, and amount of the
donation; and
(b)
if the donor is a business or another organization that is
not an individual, then the identification must indicate the
name and title of the chief executive officer or the controlling
individual of the donor organization."
SECTION 18. Section 8-13-1318 of the 1976 Code, as added by Act 248 of 1991, is amended to read:
"Section 8-13-1318.
(A) If a candidate has a debt
from a campaign for an elective office, the candidate may accept
contributions to retire the debt, even if the candidate accepts
contributions for another elective office or the same elective
office during a subsequent election cycle, as long as those
contributions accepted to retire the debt are:
(1)
within the contribution limits applicable to the last
election in which the candidate sought the elective office for
which the debt was incurred; and
(2)
reported as provided in this article.
(B) Any
contributions received pursuant to this section must be used for
the purpose of retiring campaign debt only."
SECTION 19. Section 8-13-1320(1) of the 1976 Code is amended to read:
"(1) A
contribution made on or before the seventh day after a primary
or primary runoff is may be attributed
to the primary or primary runoff, respectively
or the general election cycle that follows the primary or
primary runoff."
SECTION 20. Section 8-13-1338(A) of the 1976 Code, as added by Section 248 of 1991, is amended to read by adding a new item (5) at the end to read:
"(5) the head of any state agency or department who is selected by the Governor, General Assembly, or an appointed or elected board."
SECTION 21. Section 8-13-1340 of the 1976 Code is amended to read:
"Section 8-13-1340.
(A) Except as provided in
subsections (B) and (E) subsection (B),
a candidate or public official shall not make a contribution to
another candidate or make an independent expenditure on behalf
of another candidate or public official from the candidate's or
public official's campaign account or through a committee,
except legislative caucus committees, directly or indirectly
established, financed, maintained, or controlled by the
candidate or public official.
(B) This section does
not prohibit a candidate from:
(1)
making a contribution from the candidate's own personal
funds on behalf of the candidate's candidacy or to another
candidate for a different office; or
(2)
providing the candidate's surplus funds or material assets
upon final disbursement to a legislative caucus committee or
party committee in accordance with the procedures for the final
disbursement of a candidate under Section 8-13-1370 of this
article.
(C) Assets or funds
which are the proceeds of a campaign contribution and which are
held by or under the control of a public official or a candidate
for public office on January 1, 1992, are considered to be funds
held by a candidate and subject to subsection (A).
(D) A committee is
considered to be directly or indirectly established, financed,
maintained, or controlled by a candidate or public official if
any of the following are applicable:
(1)
the candidate or public official, or an agent of either,
has signature authority on the committee's checks;
(2)
funds contributed or disbursed by the committee are
authorized or approved by the candidate or public official;
(3)
the candidate or public official is clearly identified on
either the stationery or letterhead of the committee;
(4)
the candidate or public official signs solicitation
letters or other correspondence on behalf of the entity;
(5)
the candidate, public official, or his campaign staff,
office staff, or immediate family members, or any other
agent of either, has the authority to approve, alter,
or veto the committee's solicitations, contributions, donations,
disbursements, or contracts to make disbursements; or
(6)
the committee pays for travel by the candidate or public
official, his campaign staff or office staff, or any other agent
of the candidate or public official, in excess of one hundred
dollars per calendar year.
(E)
The provisions of subsection (A) do not apply to a
committee directly or indirectly established, financed,
maintained, or controlled by a candidate or public official if
the candidate or public official directly or indirectly
establishes, finances, maintains, or controls only one committee
in addition to any committee formed by the candidate or public
official to solely promote his own candidacy and one legislative
caucus committee.
(F)
No committee operating under the provisions of
Section 8-13-1340(E) may:
(1) solicit
or accept a contribution from a registered lobbyist if that
lobbyist engages in lobbying the public office or public body
for which the candidate is seeking election; or
(2) transfer
anything of value to any other committee except as a
contribution under the limitations of Section 8-13-1314(A) or
the dissolution provisions of Section 8-13-1370."
SECTION 22. Section 8-13-1348 of the 1976 Code is amended to read:
"Section 8-13-1348.
(A) No candidate, committee, public
official, or political party may use campaign funds to defray
personal expenses which are unrelated to the campaign or the
office if the candidate is an officeholder nor may these funds
be converted to personal use. The prohibition of this
subsection does not extend to the incidental personal use of
campaign materials or equipment nor to an expenditure used to
defray any ordinary expenses incurred in connection with an
individual's duties as a holder of elective office.
(B) The payment or
reimbursement of reasonable and necessary
travel expenses or for food or
beverages consumed by the candidate or members of his immediate
family while at, and in connection with, a political event are
permitted. associated with the campaign or the
office are permitted. However:
(1)
any payment or reimbursement of mileage for
travel associated with the campaign or office must be at the
rate established for the year by the Internal Revenue
Service;
(2)
the payment or reimbursement for any lodging
expenses, food and beverage expenses, or travel expenses other
than mileage for the candidate, a member of the candidate's
immediate family, or staff must be for travel for the purpose of
campaigning for office or otherwise a part of the official
responsibilities of an officeholder. Official responsibilities
of the officeholder shall include, but not be limited to,
political party events, official appearances or meetings for
which reimbursement is not offered by the governmental entity,
and educational forums or conventions to which an officeholder
is invited in their official capacity;
(3)
any communication or other office equipment
purchased with campaign funds, including but not limited to cell
phones, computers, printers, copiers and other similar devices
shall be the sole property of the campaign and must be disclosed
as assets at the time of purchase. Further, this equipment must
be accounted for pursuant to Sections 8-13-1368 and 8-13-1370
upon the final disbursement of a campaign account; and
(4)
any payments to campaign or office staff must be
made contemporaneously with the work provided. A campaign may
not employ an immediate family member of the candidate.
(C)(1)
An expenditure of more than twenty-five
dollars drawn upon a campaign account must be made
by:
(a)
a written instrument a check drawn
upon a campaign account;
(b) debit or
credit card; or
(c) online
transfers.
The campaign account must contain
the name of the candidate or committee, and the expenditure must
contain the name of the recipient. These expenditures
must be reported pursuant to the provisions of Section
8-13-1308.
(2)
Expenditures of twenty-five dollars
or less that are not made by a written instrument, debit card,
or online transfer containing the name of the candidate or
committee and the name of the recipient must be accounted for by
a written receipt or written record. (D) An
expenditure may not be made that is clearly in excess of the
fair market value of services, materials, facilities, or other
things of value received in exchange.
(E) A candidate
or a duly authorized officer of a committee may not withdraw
more than one hundred dollars from the campaign account to
establish or replenish a petty cash fund for the candidate or
committee at any time, and at no time may the fund exceed one
hundred dollars. Expenditures from the petty cash fund may be
made only for office supplies, food, transportation expenses,
and other necessities and may not exceed twenty-five dollars for
each expenditure. If an appropriate supervisory
office determines that a violation of this section has occurred,
involving the misuse of campaign funds, it shall notify the
offending person of its determination in writing and the person
is then afforded a period of thirty days from the date of the
notification to cure the violation by reimbursing the campaign
account from personal funds in an amount necessary to make the
campaign account whole. If this reimbursement occurs, the
violation is considered cured and no further civil or criminal
action against the person may occur. However, the person must
not be offered the opportunity to cure the misuse if the
appropriate supervisory office makes a determination that
either:
(1)
the person was previously put on notice by an
appropriate supervisory office that an identical or
substantially similar expenditure did not comply with this
section;
(2)
the misuse of funds resulted from an intentional
or fraudulent attempt to apply campaign funds to personal use;
or
(3)
the expenditure or multiple expenditures exceed
two thousand dollars in the aggregate for an election
cycle."
SECTION 23. The repeal or amendment by this act of any law, whether temporary or permanent or civil or criminal, does not affect pending actions, rights, duties, or liabilities founded thereon, or alter, discharge, release or extinguish any penalty, forfeiture, or liability incurred under the repealed or amended law, unless the repealed or amended provision shall so expressly provide. After the effective date of this act, all laws repealed or amended by this act must be taken and treated as remaining in full force and effect for the purpose of sustaining any pending or vested right, civil action, special proceeding, criminal prosecution, or appeal existing as of the effective date of this act, and for the enforcement of rights, duties, penalties, forfeitures, and liabilities as they stood under the repealed or amended laws. Moreover, the provisions of this act, to include those provisions that amend existing laws, shall not apply to conduct that occurred prior to the effective date of this act.
SECTION 24. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this act, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 25. Except as otherwise provided in this section, the provisions of this act take effect upon approval by the Governor. However, Sections 1 through 5 take effect on July 1, 2015, Section 11 takes effect on January 1, 2015, and other provisions of this act which require modifications to be implemented to the electronic filing system for disclosures and reports as determined by the State Ethics Commission shall not apply or be implemented until six months after approval of this act by the Governor. /
Renumber sections to conform.
Amend title to conform.