Current through Register Vol. 2022, No. 3, March, 2022
§
700
Definitions.
(a)
Contribution - As used in these rules, the term
"contribution" means, whether direct or indirect, advances, deposits, or
transfers of funds, contracts, or obligations, whether or not legally
enforceable, payments, gifts, subscriptions, assessments, payment for services,
dues, advancements, forbearance, loans, pledge or promise of money or anything
of value, whether or not legally enforceable, to a candidate, committee, or
holder of elective office, made for the purpose of influencing the nomination
or election of any candidate.
"Contribution" includes the purchase of tickets for events such
as dinners, luncheons, rallies, and similar fundraising events; the granting of
discounts or rebates by television stations, radio stations, and newspapers not
extended on an equal basis to all candidates for the same office; and any
payments for the services of any person serving as an agent of a candidate or
committee by a person other than the candidate or committee or persons whose
expenditures the candidates or committee must report under these rules. The
term "contribution" further includes any transfer of anything of value received
by a committee from another committee. "Contribution" shall not include
noncompensated, nonreimbursed, volunteer personal services or travel.
"Contribution and expenditure" shall not include activity
sponsored and funded by a political party that meets the definition of
"political party" under Ark. Code Ann. §
7-1-101 or the requirements of Ark.
Code Ann. §
7-7-205 to promote its candidates
or nominees through events such as dinners, luncheons, rallies, or similar
gatherings and shall not include nonpartisan activity designed to encourage
individuals to register to vote or to vote or any communication by any
membership organization to its members or stockholders if the membership
organization or corporation is not organized primarily for the purpose of
influencing the nomination for election or election of any candidate.
(b)
Expenditure - As used in these rules, the term
"expenditure" means a purchase, payment, distribution, gift, loan, or advance
of money or anything of value, and a contract, promise, or agreement to make an
expenditure, made for the purpose of influencing the nomination or election of
any candidate.
"Contribution and expenditure" shall not include activity
sponsored and funded by a political party that meets the definition of
"political party" under Ark. Code Ann. §
7-1-101 or the requirements of Ark.
Code Ann. §
7-7-205 to promote its candidates
or nominees through events such as dinners, luncheons, rallies, or similar
gatherings and shall not include nonpartisan activity designed to encourage
individuals to register to vote or to vote or any communication by any
membership organization to its members or stockholders if the membership
organization or corporation is not organized primarily for the purpose of
influencing the nomination for election or election of any candidate.
(c)
Independent
Expenditure - As used in these rules, the term "independent
expenditure" means any expenditure which is not a contribution and expressly
advocates the election or defeat of a clearly identified candidate for office;
is made without arrangement, cooperation, or consultation between any candidate
or any authorized committee or agent of the candidate and the person making the
expenditure or any authorized agent of that person; and is not made in concert
with or at the request or suggestion of any candidate or any authorized
committee or agent of the candidate.
(d)
Independent Expenditure
Committee - As used in these rules, the term "independent
expenditure committee" means any person who receives contributions from one (1)
or more persons in order to make an independent expenditure and is registered
pursuant to Ark. Code Ann. §
7-6-227 prior to making
expenditures.
(e)
Person - As used in these rules, the term
"person" means any individual, proprietorship, firm, partnership, joint
venture, syndicate, labor union, business trust, company, corporation,
association, committee, or any other organization or group of persons acting in
concert. It shall also include a political party that meets the definition of a
political party under Ark. Code Ann. §
7-1-101 or a political party that
meets the requirements of Ark. Code Ann. §
7-7-205, county political party
committees, and legislative caucus committees.
(f)
Printed Campaign
Materials -
(1) "Printed
campaign materials" means:
(A) Literature
mailed to an elector that is intended to or calculated to influence the vote of
an elector in an election in this state, including without limitation signs,
banners, flyers, and pamphlets; and
(B) Yard signs and push cards intended to or
calculated to influence the vote of an elector in an election in this
state.
(2) "Printed
campaign materials" does not mean political paraphernalia, including without
limitation stickers, buttons, pens, T-shirts, or other similar
trinkets.
§
701
Registration by Independent Expenditure
Committees
(a)
(1)
(A) To
qualify as an independent expenditure committee, the committee is required to
register with the Secretary of State within fifteen (15) days after accepting
contributions during a calendar year that exceed five hundred dollars ($500) in
the aggregate.
(B) Registration
shall be annually renewed by January 15, unless the committee has ceased to
exist.
(C) Registration shall be on
forms provided by the Secretary of State, and the contents therein shall be
verified by an affidavit of an officer of the committee.
(2)
(A) The
committee shall designate a resident agent who shall be an individual who
resides in the State of Arkansas.
(B) No contribution shall be accepted from a
committee and no expenditure shall be made by a committee that has not
registered and does not have a resident agent.
(3) An out-of-state committee shall be
required to comply with the registration and reporting provisions of these
rules if the committee makes an independent expenditure or independent
expenditures within the State of Arkansas that in the aggregate exceed more
than five hundred dollars ($500) during a calendar year.
(b) The registration form of an independent
expenditure committee shall contain the following information:
(1) The name, address, and, where available,
phone number of the committee and the name, address, phone number, and place of
employment of each of its officers, provided if the committee's name is an
acronym, then both it and the words forming the acronym shall be
disclosed;
(2) The full name and
street address, city, state, and zip code of each financial institution the
committee uses for purposes of receiving contributions or making expenditures
within the State of Arkansas;
(3) A
written acceptance of designation as a resident agent;
(4) A certification by a committee officer,
under penalty of false swearing, that the information provided on the
registration is true and correct; and
(5) A clause submitting the committee to the
jurisdiction of the State of Arkansas for all purposes related to compliance
with the provisions of subchapter 2 of chapter 6, Title 7 of the Arkansas
Code.
(c)
(1) When a committee makes a change to any of
the information required in § 701(b) of these rules, an amendment is
required to be filed within ten (10) days to reflect the change.
(2) A committee failing to file an amendment
shall be subject to a late filing fee of ten dollars ($10.00) for each day the
change is not filed.
§ 702
Reporting of Independent
Expenditures
(a) A person who or an
independent expenditure committee which makes independent expenditures in an
aggregate amount or value in excess of five hundred dollars ($500) in a
calendar year shall file reports with the Secretary of State:
(1) No later than thirty (30) days prior to
preferential primary elections, general elections, and special elections
covering the period ending thirty-five (35) days prior to such
elections;
(2) No later than seven
(7) days prior to preferential primary elections, runoff elections, general
elections, and special elections covering the period ending ten (10) days prior
to such elections; and
(3) As for a
final report, no later than thirty (30) days after the end of the month in
which the last election is held at which the candidate seeks nomination or
election.
(b) Such
reports shall include:
(1) In the case of an
individual making such an expenditure, the name, address, telephone number,
principal place of business, employer, and occupation of the
individual;
(2) In the case of a
committee, the name, address, employer, and occupation of its
officers;
(3) In the case of a
person who is not an individual, the principal name of the entity, the address,
and the name, address, employer, and occupation of its officers;
(4) The total amount of contributions
received, with loans stated separately, and the total amount of expenditures
made during the filing periods, and the cumulative amount of those
totals;
(5) The name and address of
each person who made a contribution or contributions that in the aggregate
exceeded fifty dollars ($50.00);
(6) The contributor's principal place of
business, employer, occupation, the amount contributed, the date the
contribution was accepted by the committee, and the aggregate contributed for
each election;
(7) The name and
address of each person who contributed a nonmoney item, together with a
description of the item, the date of receipt, and the value, not including
volunteer service by individuals;
(8) An itemization of all single expenditures
made which exceed one hundred dollars ($100), including the amount of the
expenditure, the name and address of any person to whom the expenditure was
made and the date the expenditure was made;
(9) A list of all paid workers and the amount
the workers were paid;
(10) A list
of all expenditures by categories, including, but not limited to:
(A) Television, radio, print, and other
advertising;
(B) Direct
mail;
(C) Office
supplies;
(D) Rent;
(E) Travel;
(F) Expenses;
(G) Entertainment; and
(H) Telephone.
(11) The total amount of all nonitemized
expenditures made during the filing period; and
(12) The current balance of committee
funds.
(c) The
information required in § 702(b)(4)-(10) of these rules may be provided in
the form of schedules attached to the report.
(d) The report shall be verified by an
affidavit of an officer of the committee stating that to the best of his or her
knowledge and belief the information disclosed is a complete, true, and
accurate financial statement of the committee's contributions received and
made.
(e)
(1) A report is timely filed if it is filed
in electronic form through the official website of the Secretary of State on or
before the date that the report is due.
(2)
(A) The
Secretary of State shall receive reports in a readable electronic format that
is acceptable to the Secretary of State and approved by the Arkansas Ethics
Commission.
(B) The Arkansas Ethics
Commission shall approve the format used by the Secretary of State for the
filing of independent expenditure reports in electronic form to ensure that all
required information is requested.
(C) The official website of the Secretary of
State shall allow for searches of independent expenditure report information
filed in electronic form.
(3)
(A) A
person required to file reports or register in paper form under Ark. Code Ann.
§
7-6-220 may file reports or
register in paper form if:
(i) The person
does not have access to the technology necessary to submit reports or
registration in electronic form; and
(ii) Submitting reports or registration in
electronic form would constitute a substantial hardship for the
person.
(B) A person
filing reports or registration in paper form under subdivision (e)(3)(A) of
this rule shall submit with its first report or registration a notarized
affidavit on a form prepared by the Secretary of State declaring that:
(i) The person does not have access to the
technology necessary to submit reports or registration in electronic
form;
(ii) Submitting reports or
registration in electronic form would constitute a substantial hardship for the
person; and
(iii) The person agrees
to file all other reports in paper form for the duration of the period of
registration.
(4) The Secretary of State shall:
(A) Not accept a report or registration in
paper form under subdivision (e)(3)(A) of this rule if a notarized affidavit
was not submitted with the:
(i) Registration
of a political action committee; or
(ii) First report of a person or independent
expenditure committee;
(B) Provide written notice to the political
action committee within five (5) business days if the registration in paper
form was not filed or accepted;
(C)
Provide written notice to a political action committee, person, or independent
expenditure committee within five (5) business days if a report in paper form
was not filed or accepted; and
(D)
Provide the reason the registration or report in paper form was not filed or
accepted.
(5) The
Secretary of State shall make available to persons wishing to file reports in
paper form under Ark. Code Ann. § 7-6-231:
(A) Information on the deadlines for filing
required reports; and
(B)
(i) Appropriate forms and instructions for
complying with the deadlines.
(ii)
The Arkansas Ethics Commission shall approve the forms and instructions used by
the Secretary of State under Ark. Code Ann. § 7-6-231 to ensure that all
required information is requested.
(6) Reports shall be filed on the forms
furnished by the Secretary of State, except that computer-generated
contribution and expenditure reports shall be accepted by the Secretary of
State and the Arkansas Ethics Commission provided that all of the requisite
elements are included.
(7)
(A) A report submitted in paper form under
Ark. Code Ann. § 7-6-231 other than a preelection report is timely filed
if it is either hand delivered or mailed to the Secretary of State, properly
addressed, and postage prepaid, bearing a postmark indicating that it was
received by the post office or common carrier on or before the date that the
report is due.
(B) A preelection
report submitted in paper form under Ark. Code Ann. § 7-6-231 is timely
filed if it is received by the Secretary of State no later than seven (7) days
before the election for which it is filed.
(C) The Secretary of State shall accept a
report via facsimile, provided the original is received by the Secretary of
State within ten (10) days of the date of facsimile transmission.
(8)
(A) The Secretary of State shall make
available reports submitted in paper form on a portion of the official website
of the Secretary of State.
(B) The
Secretary of State shall comply with the requirements of Ark. Code Ann. §
7-6-214(c)
regarding the "paper filer" designation and publication requirements for all
reports submitted in paper form.
§ 703
Out-of-State Independent
Expenditure Committees
An out-of-state independent expenditure committee is required to
comply with the registration and reporting provisions of §§ 701-702
and is subject to the jurisdiction of the State of Arkansas for all purposes
related to compliance with the provisions of subchapter 2 of chapter 6, Title 7
of the Arkansas Code, if the committee makes an independent expenditure or
independent expenditures within the State of Arkansas that in the aggregate
exceed more than five hundred dollars ($500) during a calendar year.
§ 704
Paid For By
Disclaimer
(a) All articles,
statements, or communications appearing in any newspaper printed or circulated
in this state intended or calculated to influence the vote of any elector in
any election and for the publication of which a consideration is paid or to be
paid shall clearly contain the words "paid Political Advertisement", "Paid
Political Ad", or "Paid for by" the candidate, committee, or person who paid
for the message. Both the persons placing and the persons publishing the
articles, statements, or communications shall be responsible for including the
required disclaimer. In addition, all articles, statements, or communications
appearing in any radio, television, or any other electronic medium intended or
calculated to influence the vote of any elector in any election and for the
publication of which a consideration is paid or to be paid shall clearly
contain the words "Paid Political Advertisement" or "Paid Political Ad" or
"Paid for by", "Sponsored by", or "Furnished by" the true sponsor of the
advertisement. Both the persons placing and the persons publishing the
articles, statements, or communications shall be responsible for including the
required disclaimer.
(b)
(1) Printed campaign materials as defined in
§ 700(f) of these rules, shall clearly contain the words "Paid for by"
followed by the name of the candidate, committee, or person who paid for the
campaign sign, campaign literature, or other printed campaign
materials.
(2) Subdivision (b)(1)
of this section applies only to campaign signs, campaign literature, and other
printed campaign materials created by or sponsored by a political candidate,
the campaign of a political candidate, a political action committee, or an
independent expenditure committee.
§ 705
Penalties
If the Arkansas Ethics Commission finds that a person or an
independent expenditure committee has committed a violation of Ark. Code Ann.
§
7-6-220 and/ or Ark. Code Ann.
§
7-6-227, then it may impose a fine
of not less than fifty dollars ($50.00) and not more than three thousand, five
hundred dollars ($3,500.00) and/or issue a public letter of caution, warning,
or reprimand. In addition, a committee failing to file an amendment within ten
(10) days as required by § 701(c) shall be subject to a late filing fee of
ten dollars ($10.00) for each day the change is not filed.
§ 706
Records Retention
(a) An independent expenditure committee
required to comply with the registration requirements of § 701 shall
maintain for a period of four (4) years records evidencing the name, address,
and place of employment of each person that contributed to the independent
expenditure committee, along with the amount contributed. Such a committee
shall also maintain for a period of four (4) years records evidencing each
independent expenditure made by the committee, along with the amount of each
expenditure.
(b) A person required
to comply with the reporting requirements of § 702 shall maintain for a
period of four (4) years records evidencing each independent expenditure made
by the person, along with the amount of each expenditure.
§ 707
Administrative Expenses of
Independent Expenditure Committees
It is permissible for an independent expenditure committee to pay
reasonable administrative expenses out of the contributions it has
received.
