Sponsored by:
Assemblywoman AMY H. HANDLIN
District 13 (Monmouth)
SYNOPSIS
Prohibits campaign contributions by certain individuals, businesses or other organizations that purchase or acquire property involved in eminent domain proceedings.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning certain campaign contributions by certain individuals, businesses and other organizations and supplementing P.L.1973, c.83 (C.19:44A-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Notwithstanding the provisions of any other law to the contrary, no individual, business or other organization shall:
a. be permitted to purchase, or otherwise acquire title or a right to develop or redevelop, property immediately following or as a result of proceedings under the "Eminent Domain Act of 1971," P.L.1971, c.361 (C.20:3-1 et seq.) including for the purposes of the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.), if, during the preceding one-year period, that individual, business or other organization made a contribution:
(1) subject to the reporting requirements of the "New Jersey Campaign Contributions and Expenditures Reporting Act," P.L.1973, c.83 (C.19:44A-1 et seq.); or
(2) (a) to an issue advocacy organization organized under section 527 of the federal Internal Revenue Code (26 U.S.C. s.527),
(b) to an organization organized under paragraph (4) of subsection c. of section 501 of the federal Internal Revenue Code (26 U.S.C. s.501),
(c) to an organization under any other current or future section of the federal Internal Revenue Code that the Election Law Enforcement Commission determines is similar to any of the organizations described in subparagraphs (a) or (b) of this paragraph; or
(d) to a candidate committee, joint candidates committee, political party committee, legislative leadership committee, political committee, or continuing political committee, other than a political committee or continuing political committee organized solely for the purpose of advocating the passage or defeat of a public question; or
b. make such a contribution described in paragraph a. of this section for a period of three years after such purchase or acquisition by that individual, business or other organization.
No committee or organization shall accept such a contribution from an individual, business or other organization for a period of three years after such purchase or acquisition by that individual, business or other organization.
The prohibition in this section shall be in addition to the prohibition in R.S.19:34-45 against the making of contributions by certain corporations having the right to condemn land, in P.L.2004, c.19 (C.19:44A-20.3 et seq.), in P.L.2005, c.51 (C.19:44A-20.13 et seq.), or in an ordinance, resolution or regulation established by a local government unit pursuant to section 1 of P.L.2005, c.271 (C.40A:11-51).
2. As used in this act:
"business" means any business corporation, professional services corporation, limited liability company, partnership, or limited partnership, or other commercial entity organized under the laws of this State or of any other state or foreign jurisdiction.
"interest" means the ownership or control of more than 10% of the profits or assets of a business entity or 10% of the stock in the case of a business entity that is a corporation for profit, as appropriate.
When a business is a natural person, a contribution by that person's spouse or child, residing therewith, shall be deemed to be a contribution by the business. When a business is other than a natural person, a contribution by any person or other business having an interest therein shall be deemed to be a contribution by the business.
3. An individual who, or a business or other organization that, is determined by the Election Law Enforcement Commission to have willfully and knowingly made a contribution in violation of the provisions of section 1 of this act shall be liable to a penalty of up to $50,000 for each violation and may be debarred from such purchases or acquisitions in the State for up to five years. A monetary penalty imposed pursuant to this section may be recovered by a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
4. Any committee or organization that is determined by the Election Law Enforcement Commission to have willfully and knowingly accepted a contribution in violation of the provisions section 1 of this act shall be liable to a penalty of up to twice the amount of the contribution for each violation, in accordance with the procedures and jurisdiction of the commission.
5. Nothing contained in this act shall be construed as affecting the eligibility of any individual, business or other organization to purchase, or otherwise acquire title or a right to develop or redevelop, property because that individual, business or other organization made a contribution during the one-year period immediately preceding the effective date of this act.
6. This act shall take effect immediately.
STATEMENT
The purpose of this bill is to eliminate the actuality or appearance of corruption which may result when property is purchased or acquired for development or redevelopment immediately following or as a result of proceedings under the "Eminent Domain Act of 1971," (N.J.S.A.20:3-1 et seq.), including for the purposes of the "Local Redevelopment and Housing Law," (N.J.S.A.40A:12A-1) by individuals, businesses or other organizations that contribute to campaigns for public office.
Specifically, it provides that an individual who, or a business or other organization that, has made a campaign contribution would be prohibited for one year from purchasing, or otherwise acquiring title or a right to develop or redevelop, property immediately following or as a result of proceedings under the "Eminent Domain Act of 1971," including for the purposes of the "Local Redevelopment and Housing Law." A contribution is one (1) subject to the reporting requirements of the "New Jersey Campaign Contributions and Expenditures Reporting Act;" or (2) made to an issue advocacy organization organized under section 527 of the federal Internal Revenue Code, an organization organized under paragraph (4) of subsection c. of section 501 of the federal Internal Revenue Code, or an organization under any other current or future section of the federal Internal Revenue Code that the Election Law Enforcement commission determines is similar to any of these organizations; or (3) made to a candidate committee, joint candidates committee, political party committee, legislative leadership committee, political committee, or continuing political committee, other than a political committee or continuing political committee organized solely for the purpose of advocating the passage or defeat of a public question.
The bill also prohibits an individual who or a business or other organization that has made a purchase or acquisition from making a campaign contribution for a period of three years thereafter. Contributions made prior to the bill's effective date would not affect an individual's, business' or other organization's eligibility.
An individual who or business or other organization that willfully and knowingly violates the bill's provisions would be subject to a penalty of up to $50,000 and debarment from such purchases or acquisitions in the State for up to five years. A committee or organization that willfully and knowingly accepts a contribution in violation of the bill's provisions would be subject to a penalty of up to twice the amount of the contribution for each violation.