BD. OF ETHICS, LOBBYING, AND CAMPAIGN FINANCE.

View NCGA Bill Details2011-2012 Session
House Bill 710 (Public) Filed Wednesday, April 6, 2011
TO COMBINE THE FUNCTIONS OF THE STATE ETHICS COMMISSION, THE LOBBYING SECTION OF THE SECRETARY OF STATE, AND THE CAMPAIGN FINANCE DIVISION OF THE STATE BOARD OF ELECTIONS INTO AN AGENCY TO BE KNOWN AS THE STATE BOARD OF ETHICS, LOBBYING, AND CAMPAIGN FINANCE.
Intro. by Lewis.

Status: Re-ref Com On Elections (House Action) (Jun 16 2011)

Bill History:

H 710

Bill Summaries:

  • Summary date: Jun 9 2011 - More information

    House committee substitute, reported in on 6/8/11, makes the following changes to the 1st edition.
    Section 1 Makes a number of technical codification and conforming changes throughout this section. Additional changes are as follows:
    (a) Subchapter I: General Provisions
    Amends GS 163A-1(b) to provide that members of the State Board of Ethics, Lobbying, and Campaign Finance (the “State Board”) who are appointed by the General Assembly may be removed from office by the Governor for nonfeasance where the member fails to attend an officially called meeting of the State Board and the member’s continued absence for three days thereafter results in the lack of a quorum pursuant to GS 163A-2(c).
    Amends GS 163A-2(a) to require the State Board to meet monthly in addition to meeting upon the call of the chair.
    Amends GS 163A-4(a) to clarify that the State Board has all powers and duties (was, general supervision) over lobbying, ethics, and campaign finance regulation.
    Amends GS 163A-5 to delete previous language relating to temporary rules and regulations adopted by the State Board, and reserves this section for future codification.
    Establishes new GS 163A-11 requiring the State Board to cooperate and share information with the State Board of Elections, the Judicial Standards Commission, and the Legislative Ethics Committee when requested to do so. Requires the State Board to certify to the appropriate board of elections a successful candidate’s compliance with state campaign finance regulations. Requires the State Board to redact identifying information from any formal advice rendered and publish redacted formal advisory opinions.
    (b) Subchapter II: Ethics and Lobbying
    Rewrites this subchapter to include language substantially similar to Article 1 of GS Chapter 163A and GS 163A-208 through GS 163A-210 as contained in Section 1 of Senate Bill 772 (1st edition), except amends GS 163A-250 by adding a new subsection (10) requiring the State Board to perform systematic reviews of lobbyist, lobbyist principal, and liaison personnel reportable expenditure reports.
    Reserves the following sections of this subchapter for future codification: GS 163A-209 through GS 163A-249, and Articles 6 through 9 of GS Chapter 163A.
    (c) Subchapter III: Reserved
    Reserves this subchapter (Articles 10 through 44 of GS Chapter 163A) for future codification.
    (d) Subchapter IV: Campaign Finance Regulation
    Establishes a new Article 45 of GS Chapter 163A relating to the regulation of campaign finance, and recodifies related sections and Articles of Chapter 163 into the new Article 45.
    Sections 2 through 30 make technical, conforming, and recodification changes consistent with Section 1 of the bill.
    Section 31 authorizes the Joint Legislative Elections Oversight Committee to study the budgets, programs and policies of the State Board and county boards of elections to determine ways in which to improve campaign finance regulation.
    Section 32 amends GS 143B-417(1) to add the State Board to the list of state agencies and offices to which the North Carolina Internship Council of the Department of Administration allocates student interns.
    Section 33 amends GS 147-64.6B to make technical conforming changes.
    Section 34 repeals GS 150B-1(d)(16) (which exempted the State Ethics Commission from rule-making requirements under Article 2 of Chapter 150B).
    Section 35 amends GS 150B-38(a)(6) to make technical conforming changes.
    Sections 36 through 40 provide that ongoing investigations, hearings, actions, and proceedings being conducted by the State Ethics Commission, State Board of Elections, and the Secretary of State are not affected or abated by the enactment of this legislation and may be carried forward by the State Board. Keeps in effect all policies, rules, regulations, evaluations, and determinations rendered by the State Ethics Commission, State Board of Elections, and the Secretary of State until modified or rescinded by the State Board.
    Sections 41 and 44 through 46 provide for administrative and budget transfers of personnel and assets of the State Ethics Commission, the State Board of Elections, and the Office of the Secretary of State to the State Board consistent with the consolidation provisions of the act.
    Section 42 requires the State Board to adopt rules regarding investigations and hearings within 6 months of its initial appointment.
    Section 43 provides that, until such time as the State Board appoints its Executive Director, the director of the Division of Campaign Finance, Division of Ethics, or Division of Lobbying with the most state service will serve as the acting Executive Director.
    Section 47 provides that the State Board will be appointed and begin work on or before October 1, 2011, but actions taken by the State Board prior to January 1, 2012, do not become effective until that date or a later date as specified by the State Board.
    Section 47.5 requires the Speaker of the House and President Pro Tempore of the Senate to select one of their appointees from a list of 3 names submitted by the minority leaders of their respective chambers. Requires the Governor to select one appointee from a list of three names submitted by the executive committee of the opposite political party.
    Section 48 requires the State Board to report any recommendations for statutory changes necessary to further implement the consolidation to the Joint Legislative Elections Oversight Committee and the Legislative Ethics Committee on specified dates in 2012 and 2013.
    Section 49 revises the effective date of the 1st edition to make most provisions effective January 1, 2012 (Sections 47 and 47.5 become effective when the act becomes law).


  • Summary date: Apr 6 2011 - More information

    Adds new GS Chapter 163A entitled State Board of Ethics, Lobbying, and Campaign Finance.
    Adds new GS 163A-1 to establish the State Board of Ethics, Lobbying, and Campaign Finance (Board), to consist of six registered voters. Specifies qualifications for appointment, oath of office, terms of office, conditions under which members may be removed from office, and how vacancies are filled. Prohibits certain persons from serving on the Board and prohibits certain activities by Board members.
    Adds new GS 163A-2 to specify how Board meetings are called, the place where meetings are conducted, and meeting quorum and minutes requirements.
    Adds new GS 163A-3 to authorize Board members to receive compensation for travel and other expenses.
    Adds new GS 163A-4 to provide the Board with general supervision over the State Government Ethics Act, lobbying laws, and campaign finance regulations. Imposes on the Board the following duties: (1) publish and furnish to county and municipal boards of elections and other election officials a sufficient number of indexed copies of all lobbying, ethics, campaign finance, and election laws and rules and regulations; (2) investigate the administration of the laws subject to the Board’s enforcement according to specified procedures; (3) make recommendations to the Governor and the General Assembly relative to the conduct and administration of the laws it enforces as it may deem advisable; and (4) employ an executive director. Specifies that all complaints or inquiries regarding laws enforced by the Board be referred to the Board. Provides that any person seeking judicial review of any Board decision must file in the Superior Court of Wake County.
    Adds new GS 163A-5 to provide that if any law subject to the Board’s enforcement is held unconstitutional or invalid and such ruling adversely affects the conduct and holding of any pending primary or election, the Board is authorized to make reasonable interim rules and regulation, subject to certain restrictions.
    Adds new GS 163A-6 to specify certain powers of the Board chair.
    Adds new GS 163A-7 to authorize the Board to exercise the full power and authority to maintain order and to enforce obedience to its lawful commands during its sessions and specifies consequences for failing to obey the lawful commands of the Board.
    Adds new GS 163A-8 to direct the Attorney General to provide the Board with legal assistance in executing its authority. Also authorizes the Board to employ private counsel, upon the recommendation of the Attorney General and approval of the Governor.
    Adds new GS 163A-9 to create certain director positions.
    Adds new GS 163A-10 to specify that the Board is an independent regulatory and quasi-judicial agency.
    Makes conforming changes to GS 115D-2.1, GS 116-7, GS 120-102, GS 120-103.1, GS 120-104, GS 120C-100(a), Chapter 138A of the General Statutes, GS 143-47.7, GS 143B-350, GS 143B-417, GS 147-64.6, GS 147-64.6B, GS 150B-1, GS 163-278.30, Chapter 120C of the General Statutes, and GS 163-278.
    Directs the Board to adopt rules regarding the conduct of its hearings. Directs county and municipal boards of elections to refer all complaints concerning campaign finance to the Board.
    Transfers (1) the State Ethics Commission; (2) the campaign finance functions of the State Board of Elections; and (3) the lobbying registration and enforcement functions of the Secretary of State to the Board.


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