HOUSE OF REPRESENTATIVES

H.B. NO.

680

THIRTIETH LEGISLATURE, 2019

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO INTERNAL REVENUE CODE SECTION 501(C)(4) ORGANIZATIONS.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


SECTION 1. Chapter 11, Hawaii Revised Statutes, is amended by adding a new section to part XIII to be appropriately designated and to read as follows:

"11- Internal Revenue Code section 501(c)(4) organizations; disclosures; communications. (a) An organization that is exempt from federal taxation under Internal Revenue Code section 501(c)(4) shall file semi-annual reports with the commission if the organization directly spends more than $10,000 in a calendar year, or provides another entity with more than $10,000 in a calendar year, to make one or more communications that refer to and advocate for, or against, a clearly identified elected official or the position of any elected official related to an official government action.

(b) The reports shall be made on forms created by the commission and shall identify any donor that gave the organization $1,000 or more during the six-month reporting period, regardless of whether the donor intended to fund any election activity.

(c) The semi-annual reports shall be filed with the commission on June 30 and December 31 of each year.

(d) This section shall not apply if:

(1) The communications are sent to persons who:

(A) Contribute funds to the organization;

(B) Are members of the organization; or

(C) Have the right to vote on organizational matters relating to the organization;

(2) The communications are made to the media or relate to efforts to promote non-partisan debates or similar forums; or

(3) The organization files preliminary, final, and supplemental reports with the commission as a noncandidate committee.

(e) For the purposes of this section, the term "communications" includes internet communications such as online advertisements, websites, social media pages, and mass emails."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

 

INTRODUCED BY:

_____________________________

 

 


 


 

Report Title:

Nonprofit Organizations; Employee Associations; Disclosures; Campaign Spending Commission; Communications

 

Description:

Requires an organization that is exempt from federal taxation under IRC section 501(c)(4) to submit semi-annual reports to the campaign spending commission if the organization expends funds to make communications that advocate for or against elected officials or their positions on government actions.

 

 

 

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