STATE OF NEW YORK ________________________________________________________________________ 1418 2023-2024 Regular Sessions IN ASSEMBLY January 17, 2023 ___________ Introduced by M. of A. ROZIC, COLTON, LUPARDO, PEOPLES-STOKES, L. ROSEN- THAL -- Multi-Sponsored by -- M. of A. GLICK, SIMON, THIELE -- read once and referred to the Committee on Election Law AN ACT to amend the business corporation law, the cooperative corpo- rations law, the not-for-profit corporation law, the railroad law, the transportation corporations law, the banking law and the limited liability company law, in relation to enacting the "corporate poli- tical activity accountability to shareholders act" The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Short title. This act shall be known and may be cited as 2 the "corporate political activity accountability to shareholders act". 3 § 2. The business corporation law is amended by adding a new section 4 631 to read as follows: 5 § 631. Political contributions. 6 (a) Definitions. When used in this section: 7 (1) The term "contribution" means any gift, subscription, outstanding 8 loan, advance, deposit of money or any thing of value provided to a 9 political committee, party committee, constituted committee or duly 10 constituted subcommittee of a county committee, as those terms are 11 defined in article fourteen of the election law, in support or oppo- 12 sition to a candidate for public or party office, referendum, political 13 party, electioneering communication or any communication made to the 14 general public intended to encourage the public to contact a government 15 official, candidate for public or party office or political party 16 regarding pending legislation, public policy or a government rule or 17 regulation; 18 (2) The term "independent expenditure" means an expenditure made by a 19 person for an audio or video communication to a general public audience 20 via broadcast, cable or satellite or a written communication to a gener- 21 al public audience via advertisements, pamphlets, circulars, flyers, EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02431-01-3A. 1418 2 1 brochures, letterheads or other printed matter and statements or infor- 2 mation conveyed to five hundred or more members of a general public 3 audience by computer or other electronic devices which: (i) expressly 4 advocates the election or defeat of a clearly identified candidate or 5 the success or defeat of a ballot proposal and (ii) such candidate, the 6 candidate's political committee or its agents, or a political committee 7 formed to promote the success or defeat of a ballot proposal or its 8 agents, did not authorize, request, suggest, foster or cooperate in any 9 such communication. Independent expenditures do not include: (A) a 10 communication appearing in a written news story, commentary, or editori- 11 al or distributed through the facilities of any broadcasting station, 12 cable or satellite unless such publication or facilities are owned or 13 controlled by any political party, political committee or candidate; or 14 (B) a communication that constitutes a candidate debate or forum; or (C) 15 a communication which constitutes an expenditure made by an entity 16 required to report such expenditure with a board of elections. 17 (b) Notwithstanding any other limits on corporate contributions to, or 18 expenditures on behalf of, candidates for public or party office, poli- 19 tical committees, party committees or ballot referendum, before a corpo- 20 ration or any of its subsidiaries may make a contribution or independent 21 expenditure, the corporation shall, at least annually, obtain the prior 22 authorization by vote of a majority of the shares cast on such resol- 23 ution to make contributions or independent expenditures up to a stated 24 aggregate annual amount for a stated business purpose. 25 (c) Any corporation, either by itself or its subsidiaries, making a 26 contribution or independent expenditure shall at least annually disclose 27 to its shareholders and file with the secretary of state an accounting 28 of the contributions and independent expenditures used for such 29 purposes, including: 30 (1) the date of the contribution or independent expenditure; 31 (2) the amount of the contribution or independent expenditure; and 32 (3) the identity of the recipient of the contribution, or if an inde- 33 pendent expenditure, the identity of the candidate, referendum, poli- 34 tical party, pending legislation, public policy or a government rule or 35 regulation supported or opposed. 36 (d) The secretary of state shall post each corporation's annual 37 disclosure on the website maintained by the secretary of state. 38 (e) The attorney general may commence an action or special proceeding 39 to enforce the provisions of this section. 40 § 3. The business corporation law is amended by adding a new section 41 1321 to read as follows: 42 § 1321. Political contributions. 43 (a) Definitions. When used in this section: 44 (1) The term "contribution" means any gift, subscription, outstanding 45 loan, advance, deposit of money or any thing of value provided to a 46 political committee, party committee, constituted committee or duly 47 constituted subcommittee of a county committee, as those terms are 48 defined in article fourteen of the election law, in support or oppo- 49 sition to a candidate for public or party office, referendum, political 50 party, electioneering communication or any communication made to the 51 general public intended to encourage the public to contact a government 52 official, candidate for public or party office or political party 53 regarding pending legislation, public policy or a government rule or 54 regulation; 55 (2) The term "independent expenditure" means an expenditure made by a 56 person for an audio or video communication to a general public audienceA. 1418 3 1 via broadcast, cable or satellite or a written communication to a gener- 2 al public audience via advertisements, pamphlets, circulars, flyers, 3 brochures, letterheads or other printed matter and statements or infor- 4 mation conveyed to five hundred or more members of a general public 5 audience by computer or other electronic devices which: (i) expressly 6 advocates the election or defeat of a clearly identified candidate or 7 the success or defeat of a ballot proposal and (ii) such candidate, the 8 candidate's political committee or its agents, or a political committee 9 formed to promote the success or defeat of a ballot proposal or its 10 agents, did not authorize, request, suggest, foster or cooperate in any 11 such communication. Independent expenditures do not include: (A) a 12 communication appearing in a written news story, commentary, or editori- 13 al or distributed through the facilities of any broadcasting station, 14 cable or satellite unless such publication or facilities are owned or 15 controlled by any political party, political committee or candidate; or 16 (B) a communication that constitutes a candidate debate or forum; or (C) 17 a communication which constitutes an expenditure made by an entity 18 required to report such expenditure with a board of elections. 19 (b) Notwithstanding any other limits on corporate contributions to, or 20 expenditures on behalf of, candidates for public or party office, poli- 21 tical committees, party committees or ballot referendum, before a 22 foreign corporation doing business in the state in accordance with 23 section thirteen hundred one of this article may make a contribution or 24 independent expenditure in New York, the foreign corporation shall, at 25 least annually, obtain the prior authorization by vote of a majority of 26 the shares cast on such resolution to make contributions or independent 27 expenditures up to a stated aggregate annual amount for a stated busi- 28 ness purpose. 29 (c) Any foreign corporation, either by itself or its subsidiaries, 30 making a contribution or independent expenditure in New York shall at 31 least annually disclose to its shareholders and file with the secretary 32 of state an accounting of the contributions and independent expenditures 33 used for such purposes, including: 34 (1) the date of the contribution or independent expenditure; 35 (2) the amount of the contribution or independent expenditure; and 36 (3) the identity of the recipient of the contribution, or if an inde- 37 pendent expenditure, the identity of the candidate, referendum, poli- 38 tical party, pending legislation, public policy or a government rule or 39 regulation supported or opposed. 40 (d) The secretary of state shall post each foreign corporation's annu- 41 al disclosure on the website maintained by the secretary of state. 42 (e) The attorney general may commence an action or special proceeding 43 to enforce the provisions of this section. 44 § 4. The business corporation law is amended by adding a new section 45 1517 to read as follows: 46 § 1517. Political contributions. 47 (a) Definitions. When used in this section: 48 (1) The term "contribution" means any gift, subscription, outstanding 49 loan, advance, deposit of money or any thing of value provided to a 50 political committee, party committee, constituted committee or duly 51 constituted subcommittee of a county committee, as those terms are 52 defined in article fourteen of the election law, in support or oppo- 53 sition to a candidate for public or party office, referendum, political 54 party, electioneering communication or any communication made to the 55 general public intended to encourage the public to contact a government 56 official, candidate for public or party office or political partyA. 1418 4 1 regarding pending legislation, public policy or a government rule or 2 regulation; 3 (2) The term "independent expenditure" means an expenditure made by a 4 person for an audio or video communication to a general public audience 5 via broadcast, cable or satellite or a written communication to a gener- 6 al public audience via advertisements, pamphlets, circulars, flyers, 7 brochures, letterheads or other printed matter and statements or infor- 8 mation conveyed to five hundred or more members of a general public 9 audience by computer or other electronic devices which: (i) expressly 10 advocates the election or defeat of a clearly identified candidate or 11 the success or defeat of a ballot proposal and (ii) such candidate, the 12 candidate's political committee or its agents, or a political committee 13 formed to promote the success or defeat of a ballot proposal or its 14 agents, did not authorize, request, suggest, foster or cooperate in any 15 such communication. Independent expenditures do not include: (A) a 16 communication appearing in a written news story, commentary, or editori- 17 al or distributed through the facilities of any broadcasting station, 18 cable or satellite unless such publication or facilities are owned or 19 controlled by any political party, political committee or candidate; or 20 (B) a communication that constitutes a candidate debate or forum; or (C) 21 a communication which constitutes an expenditure made by an entity 22 required to report such expenditure with a board of elections. 23 (b) Notwithstanding any other limits on professional service corpo- 24 ration contributions to, or expenditures on behalf of, candidates for 25 public or party office, political committees, party committees or ballot 26 referendum, before a professional service corporation may make a 27 contribution or independent expenditure, the professional service corpo- 28 ration shall, at least annually, obtain the prior authorization by vote 29 of a majority of the shares cast on such resolution to make contrib- 30 utions or independent expenditures up to a stated aggregate annual 31 amount for a stated business purpose. 32 (c) Any professional service corporation, either by itself or its 33 subsidiaries, making a contribution or independent expenditure shall at 34 least annually disclose to its shareholders and file with the secretary 35 of state an accounting of the contributions and independent expenditures 36 used for such purposes, including: 37 (1) the date of the contribution or independent expenditure; 38 (2) the amount of the contribution or independent expenditure; and 39 (3) the identity of the recipient of the contribution, or if an inde- 40 pendent expenditure, the identity of the candidate, referendum, poli- 41 tical party, pending legislation, public policy or a government rule or 42 regulation supported or opposed. 43 (d) The secretary of state shall post each professional service corpo- 44 ration's annual disclosure on the website maintained by the secretary of 45 state. 46 (e) The attorney general may commence an action or special proceeding 47 to enforce the provisions of this section. 48 § 5. The business corporation law is amended by adding a new section 49 1534 to read as follows: 50 § 1534. Political contributions. 51 (a) Definitions. When used in this section: 52 (1) The term "contribution" means any gift, subscription, outstanding 53 loan, advance, deposit of money or any thing of value provided to a 54 political committee, party committee, constituted committee or duly 55 constituted subcommittee of a county committee, as those terms are 56 defined in article fourteen of the election law, in support or oppo-A. 1418 5 1 sition to a candidate for public or party office, referendum, political 2 party, electioneering communication or any communication made to the 3 general public intended to encourage the public to contact a government 4 official, candidate for public or party office or political party 5 regarding pending legislation, public policy or a government rule or 6 regulation; 7 (2) The term "independent expenditure" means an expenditure made by a 8 person for an audio or video communication to a general public audience 9 via broadcast, cable or satellite or a written communication to a gener- 10 al public audience via advertisements, pamphlets, circulars, flyers, 11 brochures, letterheads or other printed matter and statements or infor- 12 mation conveyed to five hundred or more members of a general public 13 audience by computer or other electronic devices which: (i) expressly 14 advocates the election or defeat of a clearly identified candidate or 15 the success or defeat of a ballot proposal and (ii) such candidate, the 16 candidate's political committee or its agents, or a political committee 17 formed to promote the success or defeat of a ballot proposal or its 18 agents, did not authorize, request, suggest, foster or cooperate in any 19 such communication. Independent expenditures do not include: (A) a 20 communication appearing in a written news story, commentary, or editori- 21 al or distributed through the facilities of any broadcasting station, 22 cable or satellite unless such publication or facilities are owned or 23 controlled by any political party, political committee or candidate; or 24 (B) a communication that constitutes a candidate debate or forum; or (C) 25 a communication which constitutes an expenditure made by an entity 26 required to report such expenditure with a board of elections. 27 (b) Notwithstanding any other limits on foreign professional service 28 corporation contributions to, or expenditures on behalf of, candidates 29 for public or party office, political committees, party committees or 30 ballot referendum, before a foreign professional service corporation, as 31 defined by subdivision (d) of section fifteen hundred twenty-five of 32 this article, may make a contribution or independent expenditure in New 33 York, the foreign professional service corporation shall, at least annu- 34 ally, obtain the prior authorization by vote of a majority of the shares 35 cast on such resolution to make contributions or independent expendi- 36 tures up to a stated aggregate annual amount for a stated business 37 purpose. 38 (c) Any foreign professional service corporation, either by itself or 39 its subsidiaries, making a contribution or independent expenditure in 40 New York shall at least annually disclose to its shareholders and file 41 with the secretary of state an accounting of the contributions and inde- 42 pendent expenditures used for such purposes, including: 43 (1) the date of the contribution or independent expenditure; 44 (2) the amount of the contribution or independent expenditure; and 45 (3) the identity of the recipient of the contribution, or if an inde- 46 pendent expenditure, the identity of the candidate, referendum, poli- 47 tical party, pending legislation, public policy or a government rule or 48 regulation supported or opposed. 49 (d) The secretary of state shall post each foreign professional 50 service corporation's annual disclosure on the web site maintained by 51 the secretary of state. 52 (e) The attorney general may commence an action or special proceeding 53 to enforce the provisions of this section. 54 § 6. The cooperative corporations law is amended by adding a new 55 section 78 to read as follows:A. 1418 6 1 § 78. Political contributions. 1. Definitions. When used in this 2 section: 3 (a) The term "contribution" means any gift, subscription, outstanding 4 loan, advance, deposit of money or any thing of value provided to a 5 political committee, party committee, constituted committee or duly 6 constituted subcommittee of a county committee, as those terms are 7 defined in article fourteen of the election law, in support or oppo- 8 sition to a candidate for public or party office, referendum, political 9 party, electioneering communication or any communication made to the 10 general public intended to encourage the public to contact a government 11 official, candidate for public or party office or political party 12 regarding pending legislation, public policy or a government rule or 13 regulation; 14 (b) The term "independent expenditure" means an expenditure made by a 15 person for an audio or video communication to a general public audience 16 via broadcast, cable or satellite or a written communication to a gener- 17 al public audience via advertisements, pamphlets, circulars, flyers, 18 brochures, letterheads or other printed matter and statements or infor- 19 mation conveyed to five hundred or more members of a general public 20 audience by computer or other electronic devices which: (i) expressly 21 advocates the election or defeat of a clearly identified candidate or 22 the success or defeat of a ballot proposal and (ii) such candidate, the 23 candidate's political committee or its agents, or a political committee 24 formed to promote the success or defeat of a ballot proposal or its 25 agents, did not authorize, request, suggest, foster or cooperate in any 26 such communication. Independent expenditures do not include: (A) a 27 communication appearing in a written news story, commentary, or editori- 28 al or distributed through the facilities of any broadcasting station, 29 cable or satellite unless such publication or facilities are owned or 30 controlled by any political party, political committee or candidate; or 31 (B) a communication that constitutes a candidate debate or forum; or (C) 32 a communication which constitutes an expenditure made by an entity 33 required to report such expenditure with a board of elections. 34 2. Notwithstanding any other limits on cooperative corporation 35 contributions to or expenditures on behalf of political candidates, 36 political committees, party committees, or ballot referendums, before a 37 cooperative corporation may make a contribution or independent expendi- 38 ture, the cooperative corporation shall at least annually obtain the 39 prior authorization by vote of a majority of the shares or members cast 40 on such resolution to make contributions or independent expenditures, up 41 to a stated aggregate annual amount for a stated business purpose. 42 3. Any cooperative corporation, either by itself or its subsidiaries, 43 making a contribution or independent expenditure shall, at least annual- 44 ly, disclose to its shareholders and file with the secretary of state an 45 accounting of the contributions and independent expenditures used for 46 such purposes, including: 47 (a) the date of the contribution or independent expenditure; 48 (b) the amount of the contribution or independent expenditure; and 49 (c) the identity of the recipient of the contribution, or if an inde- 50 pendent expenditure, the identity of the candidate, referendum, poli- 51 tical party, pending legislation, public policy or a government rule or 52 regulation supported or opposed. 53 4. The secretary of state shall post each cooperative corporation's 54 annual disclosure on the website maintained by the secretary of state. 55 5. The attorney general may commence an action or special proceeding 56 to enforce the provisions of this section.A. 1418 7 1 § 7. The not-for-profit corporation law is amended by adding a new 2 section 522 to read as follows: 3 § 522. Political contributions. 4 (a) Definitions. When used in this section: 5 (1) The term "contribution" means any gift, subscription, outstanding 6 loan, advance, deposit of money or any thing of value provided to a 7 political committee, party committee, constituted committee or duly 8 constituted subcommittee of a county committee, as those terms are 9 defined in article fourteen of the election law, in support or oppo- 10 sition to a candidate for public or party office, referendum, political 11 party, electioneering communication or any communication made to the 12 general public intended to encourage the public to contact a government 13 official, candidate for public or party office or political party 14 regarding pending legislation, public policy or a government rule or 15 regulation; 16 (2) The term "independent expenditure" means an expenditure made by a 17 person for an audio or video communication to a general public audience 18 via broadcast, cable or satellite or a written communication to a gener- 19 al public audience via advertisements, pamphlets, circulars, flyers, 20 brochures, letterheads or other printed matter and statements or infor- 21 mation conveyed to five hundred or more members of a general public 22 audience by computer or other electronic devices which: (i) expressly 23 advocates the election or defeat of a clearly identified candidate or 24 the success or defeat of a ballot proposal and (ii) such candidate, the 25 candidate's political committee or its agents, or a political committee 26 formed to promote the success or defeat of a ballot proposal or its 27 agents, did not authorize, request, suggest, foster or cooperate in any 28 such communication. Independent expenditures do not include: (A) a 29 communication appearing in a written news story, commentary, or editori- 30 al or distributed through the facilities of any broadcasting station, 31 cable or satellite unless such publication or facilities are owned or 32 controlled by any political party, political committee or candidate; or 33 (B) a communication that constitutes a candidate debate or forum; or (C) 34 a communication which constitutes an expenditure made by an entity 35 required to report such expenditure with a board of elections. 36 (b) Notwithstanding any other limits on not-for-profit corporation 37 contributions to, or expenditures on behalf of, candidates for public or 38 party office, political committees, party committees or ballot referen- 39 dum, before a not-for-profit corporation or any of its subsidiaries may 40 make a contribution or independent expenditure, the not-for-profit 41 corporation shall, at least annually, obtain the prior authorization by 42 vote of a majority of the members voting on such resolution to make 43 contributions or independent expenditures up to a stated aggregate annu- 44 al amount for a stated business purpose. 45 (c) Any not-for-profit corporation, either by itself or its subsid- 46 iaries, making a contribution or independent expenditure shall at least 47 annually disclose to its members and file with the secretary of state an 48 accounting of the contributions and independent expenditures used for 49 such purposes, including: 50 (1) the date of the contribution or independent expenditure; 51 (2) the amount of the contribution or independent expenditure; and 52 (3) the identity of the recipient of the contribution, or if an inde- 53 pendent expenditure, the identity of the candidate, referendum, poli- 54 tical party, pending legislation, public policy or a government rule or 55 regulation supported or opposed.A. 1418 8 1 (d) The secretary of state shall post each not-for-profit corpo- 2 ration's annual disclosure on the website maintained by the secretary of 3 state. 4 (e) The attorney general may commence an action or special proceeding 5 to enforce the provisions of this section. 6 § 8. The railroad law is amended by adding a new section 35 to read as 7 follows: 8 § 35. Political contributions. 1. Definitions. When used in this 9 section: 10 (a) The term "contribution" means any gift, subscription, outstanding 11 loan, advance, deposit of money or any thing of value provided to a 12 political committee, party committee, constituted committee or duly 13 constituted subcommittee of a county committee, as those terms are 14 defined in article fourteen of the election law, in support or oppo- 15 sition to a candidate for public or party office, referendum, political 16 party, electioneering communication or any communication made to the 17 general public intended to encourage the public to contact a government 18 official, candidate for public or party office or political party 19 regarding pending legislation, public policy or a government rule or 20 regulation; 21 (b) The term "independent expenditure" means an expenditure made by a 22 person for an audio or video communication to a general public audience 23 via broadcast, cable or satellite or a written communication to a gener- 24 al public audience via advertisements, pamphlets, circulars, flyers, 25 brochures, letterheads or other printed matter and statements or infor- 26 mation conveyed to five hundred or more members of a general public 27 audience by computer or other electronic devices which: (i) expressly 28 advocates the election or defeat of a clearly identified candidate or 29 the success or defeat of a ballot proposal and (ii) such candidate, the 30 candidate's political committee or its agents, or a political committee 31 formed to promote the success or defeat of a ballot proposal or its 32 agents, did not authorize, request, suggest, foster or cooperate in any 33 such communication. Independent expenditures do not include: (A) a 34 communication appearing in a written news story, commentary, or editori- 35 al or distributed through the facilities of any broadcasting station, 36 cable or satellite unless such publication or facilities are owned or 37 controlled by any political party, political committee or candidate; or 38 (B) a communication that constitutes a candidate debate or forum; or (C) 39 a communication which constitutes an expenditure made by an entity 40 required to report such expenditure with a board of elections. 41 2. Notwithstanding any other limits on railroad corporation contrib- 42 utions to or expenditures on behalf of political candidates, political 43 committees, party committees, or ballot referendums, before a railroad 44 corporation may make a contribution or independent expenditure, the 45 railroad corporation shall at least annually obtain the prior authori- 46 zation by vote of a majority of the shares or members cast on such 47 resolution to make contributions or independent expenditures, up to a 48 stated aggregate annual amount for a stated business purpose. 49 3. Any railroad corporation, either by itself or its subsidiaries, 50 making contributions or independent expenditures shall, at least annual- 51 ly, disclose to its shareholders and file with the secretary of state an 52 accounting of the contributions and independent expenditures used for 53 such purposes, including: 54 (a) the date of the contribution or independent expenditure; 55 (b) the amount of the contribution or independent expenditure; andA. 1418 9 1 (c) the identity of the recipient of the contribution, or if an inde- 2 pendent expenditure, the identity of the candidate, referendum, poli- 3 tical party, pending legislation, public policy or a government rule or 4 regulation supported or opposed. 5 4. The secretary of state shall post each railroad corporation's annu- 6 al disclosure on the website maintained by the secretary of state. 7 5. The attorney general may commence an action or special proceeding 8 to enforce the provisions of this section. 9 § 9. The transportation corporations law is amended by adding a new 10 section 8 to read as follows: 11 § 8. Political contributions. (a) Definitions. When used in this 12 section: 13 (1) The term "contribution" means any gift, subscription, outstanding 14 loan, advance, deposit of money or any thing of value provided to a 15 political committee, party committee, constituted committee or duly 16 constituted subcommittee of a county committee, as those terms are 17 defined in article fourteen of the election law, in support or oppo- 18 sition to a candidate for public or party office, referendum, political 19 party, electioneering communication or any communication made to the 20 general public intended to encourage the public to contact a government 21 official, candidate for public or party office or political party 22 regarding pending legislation, public policy or a government rule or 23 regulation; 24 (2) The term "independent expenditure" means an expenditure made by a 25 person for an audio or video communication to a general public audience 26 via broadcast, cable or satellite or a written communication to a gener- 27 al public audience via advertisements, pamphlets, circulars, flyers, 28 brochures, letterheads or other printed matter and statements or infor- 29 mation conveyed to five hundred or more members of a general public 30 audience by computer or other electronic devices which: (i) expressly 31 advocates the election or defeat of a clearly identified candidate or 32 the success or defeat of a ballot proposal and (ii) such candidate, the 33 candidate's political committee or its agents, or a political committee 34 formed to promote the success or defeat of a ballot proposal or its 35 agents, did not authorize, request, suggest, foster or cooperate in any 36 such communication. Independent expenditures do not include: (A) a 37 communication appearing in a written news story, commentary, or editori- 38 al or distributed through the facilities of any broadcasting station, 39 cable or satellite unless such publication or facilities are owned or 40 controlled by any political party, political committee or candidate; or 41 (B) a communication that constitutes a candidate debate or forum; or (C) 42 a communication which constitutes an expenditure made by an entity 43 required to report such expenditure with a board of elections. 44 (b) Notwithstanding any other limits on transportation corporation 45 contributions to, or expenditures on behalf of, candidates for public or 46 party office, political committees, party committees or ballot referen- 47 dum, before a transportation corporation or any of its subsidiaries may 48 make a contribution or independent expenditure, the transportation 49 corporation shall, at least annually, obtain the prior authorization by 50 vote of a majority of the shares cast on such resolution to make 51 contributions or independent expenditures up to a stated aggregate annu- 52 al amount for a stated business purpose. 53 (c) Any transportation corporation, either by itself or its subsid- 54 iaries, making contributions or independent expenditures shall at least 55 annually disclose to its shareholders and file with the secretary ofA. 1418 10 1 state an accounting of the contributions and independent expenditures 2 used for such purposes, including: 3 (1) the date of the contribution or independent expenditure; 4 (2) the amount of the contribution or independent expenditure; and 5 (3) the identity of the recipient of the contribution, or if an inde- 6 pendent expenditure, the identity of the candidate, referendum, poli- 7 tical party, pending legislation, public policy or a government rule or 8 regulation supported or opposed. 9 (d) The secretary of state shall post each transportation corpo- 10 ration's annual disclosure on the website maintained by the secretary of 11 state. 12 (e) The attorney general may commence an action or special proceeding 13 to enforce the provisions of this section. 14 § 10. The banking law is amended by adding a new section 5017 to read 15 as follows: 16 § 5017. Political contributions. 1. Definitions. When used in this 17 section: 18 (a) The term "contribution" means any gift, subscription, outstanding 19 loan, advance, deposit of money or any thing of value provided to a 20 political committee, party committee, constituted committee or duly 21 constituted subcommittee of a county committee, as those terms are 22 defined in article fourteen of the election law, in support or oppo- 23 sition to a candidate for public or party office, referendum, political 24 party, electioneering communication or any communication made to the 25 general public intended to encourage the public to contact a government 26 official, candidate for public or party office or political party 27 regarding pending legislation, public policy or a government rule or 28 regulation; 29 (b) The term "independent expenditure" means an expenditure made by a 30 person for an audio or video communication to a general public audience 31 via broadcast, cable or satellite or a written communication to a gener- 32 al public audience via advertisements, pamphlets, circulars, flyers, 33 brochures, letterheads or other printed matter and statements or infor- 34 mation conveyed to five hundred or more members of a general public 35 audience by computer or other electronic devices which: (i) expressly 36 advocates the election or defeat of a clearly identified candidate or 37 the success or defeat of a ballot proposal and (ii) such candidate, the 38 candidate's political committee or its agents, or a political committee 39 formed to promote the success or defeat of a ballot proposal or its 40 agents, did not authorize, request, suggest, foster or cooperate in any 41 such communication. Independent expenditures do not include: (A) a 42 communication appearing in a written news story, commentary, or editori- 43 al or distributed through the facilities of any broadcasting station, 44 cable or satellite unless such publication or facilities are owned or 45 controlled by any political party, political committee or candidate; or 46 (B) a communication that constitutes a candidate debate or forum; or (C) 47 a communication which constitutes an expenditure made by an entity 48 required to report such expenditure with a board of elections. 49 2. Notwithstanding any other limits on corporation contributions to or 50 expenditures on behalf of political candidates, political committees, 51 party committees, or ballot referendums, before a corporation may make a 52 contribution or independent expenditure, the corporation shall at least 53 annually obtain the prior authorization by vote of a majority of the 54 shares or members cast on such resolution to make contributions or inde- 55 pendent expenditures, up to a stated aggregate annual amount for a stat- 56 ed business purpose.A. 1418 11 1 3. Any corporation, either by itself or its subsidiaries, making a 2 contribution or independent expenditure shall, at least annually, 3 disclose to its shareholders and file with the secretary of state an 4 accounting of the contributions and independent expenditures used for 5 such purposes, including: 6 (a) the date of the contribution or independent expenditure; 7 (b) the amount of the contribution or independent expenditure; and 8 (c) the identity of the recipient of the contribution, or if an inde- 9 pendent expenditure, the identity of the candidate, referendum, poli- 10 tical party, pending legislation, public policy or a government rule or 11 regulation supported or opposed. 12 4. The secretary of state shall post each corporation's annual disclo- 13 sure on the website maintained by the secretary of state. 14 5. The attorney general may commence an action or special proceeding 15 to enforce the provisions of this section. 16 § 11. The limited liability company law is amended by adding a new 17 section 510 to read as follows: 18 § 510. Political contributions. (a) Definitions. When used in this 19 section: 20 (1) The term "contribution" means any gift, subscription, outstanding 21 loan, advance, deposit of money or any thing of value provided to a 22 political committee, party committee, constituted committee or duly 23 constituted subcommittee of a county committee, as those terms are 24 defined in article fourteen of the election law, in support or oppo- 25 sition to a candidate for public or party office, referendum, political 26 party, electioneering communication or any communication made to the 27 general public intended to encourage the public to contact a government 28 official, candidate for public or party office or political party 29 regarding pending legislation, public policy or a government rule or 30 regulation; 31 (2) The term "independent expenditure" means an expenditure made by a 32 person for an audio or video communication to a general public audience 33 via broadcast, cable or satellite or a written communication to a gener- 34 al public audience via advertisements, pamphlets, circulars, flyers, 35 brochures, letterheads or other printed matter and statements or infor- 36 mation conveyed to five hundred or more members of a general public 37 audience by computer or other electronic devices which: (i) expressly 38 advocates the election or defeat of a clearly identified candidate or 39 the success or defeat of a ballot proposal and (ii) such candidate, the 40 candidate's political committee or its agents, or a political committee 41 formed to promote the success or defeat of a ballot proposal or its 42 agents, did not authorize, request, suggest, foster or cooperate in any 43 such communication. Independent expenditures do not include: (A) a 44 communication appearing in a written news story, commentary, or editori- 45 al or distributed through the facilities of any broadcasting station, 46 cable or satellite unless such publication or facilities are owned or 47 controlled by any political party, political committee or candidate; or 48 (B) a communication that constitutes a candidate debate or forum; or (C) 49 a communication which constitutes an expenditure made by an entity 50 required to report such expenditure with a board of elections. 51 (b) Notwithstanding any other limits on contributions to, or expendi- 52 tures on behalf of, candidates for public or party office, political 53 committees, party committees or ballot referendum, before a limited 54 liability company may make a contribution or independent expenditure, 55 the limited liability company shall, at least annually, obtain the prior 56 authorization by vote of a majority of the members or managers cast onA. 1418 12 1 such resolution to make contributions or independent expenditures up to 2 a stated aggregate annual amount for a stated business purpose. 3 (c) Any limited liability company, either by itself or its subsid- 4 iaries, making a contribution or independent expenditure shall at least 5 annually disclose to its members or managers and file with the secretary 6 of state an accounting of the contributions and independent expenditures 7 used for such purposes, including: 8 (1) the date of the contribution or independent expenditure; 9 (2) the amount of the contribution or independent expenditure; and 10 (3) the identity of the recipient of the contribution, or if an inde- 11 pendent expenditure, the identity of the candidate, referendum, poli- 12 tical party, pending legislation, public policy or a government rule or 13 regulation supported or opposed. 14 (d) The secretary of state shall post each limited liability company's 15 annual disclosure on the website maintained by the secretary of state. 16 (e) The attorney general may commence an action or special proceeding 17 to enforce the provisions of this section. 18 § 12. Severability. If any clause, sentence, paragraph, section or 19 part of this act shall be adjudged by any court of competent jurisdic- 20 tion to be invalid and after exhaustion of all further judicial review, 21 the judgment shall not affect, impair or invalidate the remainder there- 22 of, but shall be confined in its operation to the clause, sentence, 23 paragraph, section or part of this act directly involved in the contro- 24 versy in which the judgment shall have been rendered. 25 § 13. This act shall take effect on the first of August next succeed- 26 ing the date on which it shall have become a law.