HBA-JEK H.B. 1956 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1956
By: Naishtat
Elections
4/16/2001
Introduced



BACKGROUND AND PURPOSE 

In 1991, the legislature passed an ethics reform law to limit the amount of
political contributions statewide candidates may use to repay personal
loans to their campaigns.  The law does not, however, limit the amount of
contributions a candidate may use to repay a bank loan for which the
candidate is personally liable.  House Bill 1956 limits the amount of
political contributions a candidate for governor or any other statewide
office or statewide judicial office may use to repay any loan or extension
of credit. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 1956 amends the Election Code to prohibit a candidate or
officeholder from using political contributions that in the aggregate
exceed $500,000 for the office of governor, $250,000 for any other
statewide office, $100,000 for a statewide judicial office, or five times
the applicable limit under the Judicial Campaign Fairness Act for a
non-statewide judicial office to repay any loan or extension of credit that
the candidate or officeholder has a personal liability or obligation for or
guarantees. 

H.B. 1956 prohibits the total amount of reimbursements and repayments made
by a judicial candidate or officeholder for such a loan or extension of
credit or for political expenditures from the person's personal funds from
exceeding $100,000 for any other statewide office or five times the
applicable limit under the Judicial Campaign Fairness Act for a
non-statewide judicial office.  The bill prohibits a judicial candidate
from using political contributions to repay a loan from one or more persons
related to the candidate or officeholder within the second degree by
consanguinity.  The bill authorizes a person who is both a candidate and an
officeholder to repay loans from political contributions only in one
capacity. 

EFFECTIVE DATE

September 1, 2001.