Bill Text: NY S03383 | 2017-2018 | General Assembly | Introduced
Bill Title: Regulates political contributions and expenditures by limited liability companies and the reporting thereof.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2018-01-03 - REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS [S03383 Detail]
Download: New_York-2017-S03383-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 3383 2017-2018 Regular Sessions IN SENATE January 23, 2017 ___________ Introduced by Sen. GALLIVAN -- read twice and ordered printed, and when printed to be committed to the Committee on Corporations, Authorities and Commissions AN ACT to amend the limited liability company law and the election law, in relation to political contributions and expenditures by limited liability companies and other entities The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 201 of the limited liability company law is amended 2 to read as follows: 3 § 201. Purpose. A limited liability company may be formed under this 4 chapter for any lawful business purpose or purposes except to do in this 5 state any business for which another statute specifically requires some 6 other business entity or natural person to be formed or used for such 7 business; or formed or used for the sole purpose of making political 8 contributions or expenditures unless registered as a political committee 9 or independent expenditure committee with the board of elections. 10 § 2. Paragraphs 6 and 7 of subdivision (e) of section 203 of the 11 limited liability company law, as added by chapter 470 of the laws of 12 1997, are amended and a new paragraph 8 is added to read as follows: 13 (6) if all or specified members are to be liable in their capacity as 14 members for all or specified debts, obligations or liabilities of the 15 limited liability company as authorized pursuant to section six hundred 16 nine of this chapter, a statement that all or specified members are so 17 liable for such debts, obligations or liabilities in their capacity as 18 members of the limited liability company as authorized pursuant to 19 section six hundred nine of this chapter; [and] 20 (7) any other provisions, not inconsistent with law, that the members 21 elect to include in the articles or organization for the regulation of 22 the internal affairs of the limited liability company, including, but 23 not limited to, (A) the business purpose for which the limited liability EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD00345-01-7S. 3383 2 1 company is formed, (B) a statement of whether there are limitations on 2 the authority of members or managers or a class or classes thereof to 3 bind the limited liability company and (C) any provisions that are 4 required or permitted to be included in the operating agreement of the 5 limited liability company pursuant to section four hundred seventeen of 6 this chapter[.]; and 7 (8) if a limited liability company is formed and registered in a state 8 other than New York, it must register with the secretary of state and 9 meet the same formation and filing requirements of a limited liability 10 company formed and registered in New York prior to making political 11 contributions or expenditures for any state or local candidate for 12 elected office. 13 § 3. Subdivision 1 of section 14-102 of the election law, as amended 14 by chapter 8 of the laws of 1978 and as redesignated by chapter 9 of the 15 laws of 1978, is amended to read as follows: 16 1. The treasurer of every political committee which, or any officer, 17 member or agent of any such committee who, in connection with any 18 election, receives or expends any money or other valuable thing or 19 incurs any liability to pay money or its equivalent shall file state- 20 ments sworn, or subscribed and bearing a form notice that false state- 21 ments made therein are punishable as a class A misdemeanor pursuant to 22 section 210.45 of the penal law, at the times prescribed by this article 23 setting forth all the receipts, contributions to and the expenditures by 24 and liabilities of the committee, and of its officers, members and 25 agents in its behalf. Such statements shall include the dollar amount of 26 any receipt, contribution or transfer, or the fair market value of any 27 receipt, contribution or transfer, which is other than of money, the 28 name and address of the transferor, contributor or person from whom 29 received, and if the transferor, contributor or person is a political 30 committee; the name of and the political unit represented by the commit- 31 tee, the date of its receipt, the dollar amount of every expenditure, 32 the name and address of the person to whom it was made or the name of 33 and the political unit represented by the committee to which it was made 34 and the date thereof, and shall state clearly the purpose of such 35 expenditure. Any statement of campaign receipt that includes a contrib- 36 ution from a limited liability company shall include the name of the 37 registered agent for service of process filed with the secretary of 38 state except that where no registered agent is so designated, one 39 natural person who is associated with such limited liability company. 40 Any statement reporting a loan shall have attached to it a copy of the 41 evidence of indebtedness. Expenditures in sums under fifty dollars need 42 not be specifically accounted for by separate items in said statements, 43 and receipts and contributions aggregating not more than ninety-nine 44 dollars, from any one contributor need not be specifically accounted for 45 by separate items in said statements, provided however, that such 46 expenditures, receipts and contributions shall be subject to the other 47 provisions of section 14-118 of this article. 48 § 4. Subdivision 1 of section 14-104 of the election law, as amended 49 by section 1 of part C of chapter 286 of the laws of 2016, is amended to 50 read as follows: 51 1. Any candidate for election to public office, or for nomination for 52 public office at a contested primary election or convention, or for 53 election to a party position at a primary election, shall file state- 54 ments sworn, or subscribed and bearing a form notice that false state- 55 ments made therein are punishable as a class A misdemeanor pursuant to 56 section 210.45 of the penal law, at the times prescribed by this articleS. 3383 3 1 setting forth the particulars specified by section 14-102 of this arti- 2 cle, as to all moneys or other valuable things, paid, given, expended or 3 promised by him or her to aid his or her own nomination or election, or 4 to promote the success or defeat of a political party, or to aid or 5 influence the nomination or election or the defeat of any other candi- 6 date to be voted for at the election or primary election or at a conven- 7 tion, including contributions to political committees, officers, members 8 or agents thereof, and transfers, receipts and contributions to him or 9 her to be used for any of the purposes above specified, or in lieu ther- 10 eof, any such candidate may file such a sworn statement at the first 11 filing period, on a form prescribed by the state board of elections that 12 such candidate has made no such expenditures and does not intend to make 13 any such expenditures, except through a political committee authorized 14 by such candidate pursuant to this article. Such candidate may designate 15 a committee of no less than three persons who shall be authorized to 16 appoint and remove the treasurer of any authorized committee of the 17 candidate. The designation or revocation of the committee shall be 18 evidenced in a writing filed with the state board of elections by the 19 candidate authorizing the committee. The candidate may revoke such 20 designation at any time. A committee authorized by such a candidate may 21 fulfill all of the filing requirements of this act on behalf of such 22 candidate. Any statement of campaign receipt that includes a contrib- 23 ution from a limited liability company shall include the name of the 24 registered agent for service of process filed with the secretary of 25 state except that where no registered agent is so designated, one 26 natural person who is associated with such limited liability company. 27 § 5. This act shall take effect on the first of January next succeed- 28 ing the date on which it shall have become a law; provided, however, 29 that if section 1 of part C of chapter 286 of the laws of 2016 shall not 30 have taken effect on or before such date then section four of this act 31 shall take effect on the same date and in the same manner as such chap- 32 ter of the laws of 2016 takes effect.
