By: Huffman	S.B. No. 1969

	A BILL TO BE ENTITLED
	AN ACT
	relating to ethics of public servants, including the functions and
	duties of the Texas Ethics Commission; the regulation of political
	contributions, political advertising, lobbying, and conduct of
	public servants; and the reporting of political contributions and
	expenditures and personal financial information; providing civil
	and criminal penalties.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	ARTICLE 1. GENERAL PROCEDURES OF TEXAS ETHICS COMMISSION
	SECTION 1.01.  Subchapter B, Chapter 571, Government Code,
	is amended by adding Section 571.033 to read as follows:
	Sec. 571.033.  NOTIFICATION PROCEDURES. The commission
	shall adopt rules prescribing how the commission will notify any
	person or provide any notice required by this subtitle, Chapter
	305, or Title 15, Election Code.
	SECTION 1.02.  Section 571.0671, Government Code, is amended
	by adding Subsection (d) to read as follows:
	(d)  Electronic report data saved in a commission temporary
	storage location for later retrieval and editing before the report
	is filed is confidential and may not be disclosed. After the report
	is filed, the information disclosed in the report is subject to the
	law requiring the filing of the report.
	ARTICLE 2. PERSONAL FINANCIAL STATEMENTS
	SECTION 2.01.  Section 571.0671, Government Code, is amended
	to read as follows:
	Sec. 571.0671.  REQUIREMENTS FOR ELECTRONIC FILING
	SOFTWARE. (a)  Computer software provided or approved by the
	commission for use under Section 254.036(b), Election Code, or
	Section 302.013, [or] 305.0064, or 572.0291 must:
	(1)  use a standardized format for the entry of names,
	addresses, and zip codes;
	(2)  provide for secure and encoded transmission of
	data from the computer of a person filing a report to the computers
	used by the commission;
	(3)  be capable of being used by a person with basic
	computing skills;
	(4)  provide confirmation to a person filing a report
	that the report was properly received; and
	(5)  permit a person using a computer to prepare a
	report or to retrieve information from a report to import
	information to the report from a variety of computer software
	applications that meet commission specifications for a standard
	file format or export information from the report to a variety of
	computer software applications that meet commission specifications
	for a standard file format without the need to reenter information.
	(b)  Before determining the specifications for computer
	software developed, purchased, or licensed for use under Section
	254.036, Election Code, or Section 302.013, [or] 305.0064, or
	572.0291, the commission shall conduct at least one public hearing
	to discuss the specifications. For at least 10 days following the
	hearing, the commission shall accept public comments concerning the
	software specifications.
	(c)  The commission may provide software for use under
	Section 254.036(b), Election Code, or Section 302.013, [or]
	305.0064, or 572.0291 by making the software available on the
	Internet. If the commission makes the software available on the
	Internet, the commission is not required to provide the software on
	computer diskettes, CD-ROMs, or other storage media without charge
	to persons required to file reports under that section, but may
	charge a fee for providing the software on storage media. A fee
	under this subsection may not exceed the cost to the commission of
	providing the software.
	SECTION 2.02.  Subchapter B, Chapter 572, Government Code,
	is amended by adding Section 572.0291 to read as follows:
	Sec. 572.0291.  ELECTRONIC FILING REQUIRED. A financial
	statement filed with the commission must be filed by computer
	diskette, modem, or other means of electronic transfer, using
	computer software provided by the commission or computer software
	that meets commission specifications for a standard file format.
	SECTION 2.03.  Subchapter B, Chapter 572, Government Code,
	is amended by adding Section 572.0292 to read as follows:
	Sec. 572.0292.  PREPARATION OF FORMS. The commission shall
	design forms that may be used for filing a financial statement with
	an authority other than the commission.
	SECTION 2.04.  The heading to Section 572.030, Government
	Code, is amended to read as follows:
	Sec. 572.030.  NOTIFICATION OF FILING REQUIREMENT
	[PREPARATION AND MAILING OF FORMS].
	SECTION 2.05.  Subsections (b) and (c), Section 572.030,
	Government Code, are amended to read as follows:
	(b)  The commission shall notify [mail to] each individual
	required to file under this subchapter of [a notice that]:
	(1)  the requirement [states] that the individual [is
	required to] file a financial statement under this subchapter;
	(2)  [identifies] the filing dates for the financial
	statement as provided by Sections 572.026 and 572.027; and
	(3)  [describes] the manner in which the individual may
	electronically file the financial statement and access
	instructions for filing financial statements on [obtain the
	financial statement forms and instructions from] the commission's
	Internet website[;
	[(4)     states that on request of the individual, the
	commission will mail to the individual a copy of the financial
	statement forms and instructions; and
	[(5)     states, if applicable, the fee for mailing the
	forms and instructions and the manner in which the individual may
	pay the fee].
	(c)  The notification [notice] required by Subsection (b)
	must be provided [mailed]:
	(1)  before the 30th day before the deadline for filing
	the financial statement under Section 572.026(a) or (c), except as
	otherwise provided by this subsection;
	(2)  not later than the 15th day after the applicable
	deadline for filing an application for a place on the ballot or a
	declaration of write-in candidacy for candidates required to file
	under Section 572.027(a), (b), or (c);
	(3)  not later than the seventh day after the date of
	appointment for individuals required to file under Section
	572.026(b), or if the legislature is in session, sooner if
	possible; and
	(4)  not later than the fifth day after the date the
	certificate of nomination is filed for candidates required to file
	under Section 572.027(d) [574.027(d)].
	SECTION 2.06.  Subsection (b), Section 572.031, Government
	Code, is amended to read as follows:
	(b)  If the commission determines that an individual has
	failed to file the statement in compliance with this subchapter,
	the commission shall notify [send a written statement of the
	determination to] the appropriate prosecuting attorney for
	[attorneys of] the state of the determination.
	SECTION 2.07.  Section 572.032, Government Code, is amended
	by amending Subsection (a-1) and adding Subsection (a-2) to read as
	follows:
	(a-1)  The commission shall remove the home address of a
	judge, [or] justice, or district attorney from a financial
	statement filed under this subchapter before:
	(1)  permitting a member of the public to view the
	statement; or
	(2)  providing a copy of the statement to a member of
	the public.
	(a-2)  The commission shall remove the home address of an
	individual from a financial statement filed by the individual under
	this subchapter before:
	(1)  permitting a member of the public to view the
	statement; or
	(2)  providing a copy of the statement to a member of
	the public.
	SECTION 2.08.  Subsections (a) and (b), Section 572.033,
	Government Code, are amended to read as follows:
	(a)  The commission shall determine from any available
	evidence whether a statement required to be filed under this
	subchapter is late. On making a determination that the statement is
	late, the commission shall notify [immediately mail a notice of the
	determination to] the individual responsible for filing the
	statement and [to] the appropriate prosecuting attorney for the
	state of the determination.
	(b)  If a statement is determined to be late, the individual
	responsible for filing the statement is liable to the state for a
	civil penalty of $500. If a statement is more than 30 days late, the
	commission shall issue a warning of liability [by registered mail]
	to the individual responsible for the filing. If the penalty is not
	paid before the 10th day after the date on which the warning is
	received, the individual is liable for a civil penalty in an amount
	determined by commission rule, but not to exceed $10,000.
	SECTION 2.09.  Section 145.003, Local Government Code, is
	amended by adding Subsection (c) to read as follows:
	(c)  The statement may be filed with the clerk or secretary
	by electronic mail. The clerk or secretary may prescribe
	guidelines for filing by electronic mail.
	SECTION 2.10.  Subsection (d), Section 145.004, Local
	Government Code, is amended to read as follows:
	(d)  The timeliness of the filing is governed by Section
	572.029, Government Code. In addition, a financial statement that
	is not filed by electronic mail is timely filed if it is properly
	addressed and placed in the United States post office or in the
	hands of a common or contract carrier not later than the last day
	for filing the financial statement. The post office cancellation
	mark or the receipt mark of a common or contract carrier is prima
	facie evidence of the date the statement was deposited with the post
	office or carrier. The individual filing the statement may show by
	competent evidence that the actual date of posting was different
	from that shown by the mark.
	SECTION 2.11.  Section 159.003, Local Government Code, is
	amended by adding Subsection (c) to read as follows:
	(c)  The statement may be filed with the county clerk by
	electronic mail. The county clerk may prescribe guidelines for
	filing by electronic mail.
	SECTION 2.12.  Subsection (b), Section 159.004, Local
	Government Code, is amended to read as follows:
	(b)  The timeliness of the filing is governed by Section
	572.029, Government Code. In addition, a financial statement that
	is not filed by electronic mail is timely filed if it is properly
	addressed and placed in the United States post office or in the
	hands of a common or contract carrier not later than the last day
	for filing the financial statement. The post office cancellation
	mark or the receipt mark of a common or contract carrier is prima
	facie evidence of the date the statement was deposited with the post
	office or carrier. The individual filing the statement may show by
	competent evidence that the actual date of posting was different
	from that shown by the mark.
	SECTION 2.13.  Section 159.034, Local Government Code, is
	amended by adding Subsection (d) to read as follows:
	(d)  A report filed under this subchapter may be filed by
	electronic mail. The authority with whom the report is filed may
	prescribe guidelines for filing by electronic mail.
	SECTION 2.14.  Section 159.052, Local Government Code, is
	amended by adding Subsection (c) to read as follows:
	(c)  A financial statement filed with the county clerk may be
	filed by electronic mail. The county clerk may prescribe
	guidelines for filing by electronic mail under this subsection.
	SECTION 2.15.  Subsection (b), Section 159.053, Local
	Government Code, is amended to read as follows:
	(b)  The timeliness of the filing is governed by Section
	572.029, Government Code. In addition, a financial statement that
	is not filed by electronic mail is timely filed if it is properly
	addressed and placed in the United States post office or in the
	hands of a common or contract carrier not later than the last day
	for filing the financial statement. The post office cancellation
	mark or the receipt mark of a common or contract carrier is prima
	facie evidence of the date the statement was deposited with the post
	office or carrier. The individual filing the statement may show by
	competent evidence that the actual date of posting was different
	from that shown by the mark.
	SECTION 2.16.  Subsection (a-1), Section 572.032,
	Government Code, as amended by this Act, applies to any financial
	statement filed under Subchapter B, Chapter 572, Government Code,
	that the Texas Ethics Commission maintains on file and that is
	accessible to the public on or after the effective date of this Act.
	SECTION 2.17.  Subsection (a-2), Section 572.032,
	Government Code, as added by this Act, applies only to a financial
	statement filed under Subchapter B, Chapter 572, Government Code,
	on or after the date the Texas Ethics Commission determines that the
	computer software that a person is required to use to
	electronically file a financial statement includes features that
	allow the commission to easily and quickly redact information in
	the statement. A financial statement filed before that date is
	governed by the law in effect on the date of filing, and the former
	law is continued in effect for that purpose.
	ARTICLE 3. CAMPAIGN FINANCE
	SECTION 3.01.  Subdivision (16), Section 251.001, Election
	Code, is amended to read as follows:
	(16)  "Political advertising" means a communication
	supporting or opposing a candidate for nomination or election to a
	public office or office of a political party, a political party, a
	public officer, or a measure that:
	(A)  in return for consideration, is published in
	a newspaper, magazine, or other periodical or is broadcast by radio
	or television; [or]
	(B)  is transmitted by an automated dial
	announcing device, as defined by Section 55.121, Utilities Code; or
	(C)  appears:
	(i)  in a pamphlet, circular, flier,
	billboard or other sign, bumper sticker, or similar form of written
	communication; or
	(ii)  on an Internet website.
	SECTION 3.02.  Section 251.003, Election Code, is amended to
	read as follows:
	Sec. 251.003.  [PROHIBITION OF] DOCUMENT FILING FEE. (a)  A
	candidate, an officeholder other than the secretary of state, and a
	political committee shall pay an annual fee for each year in which
	the candidate, officeholder, or political committee files [A charge
	may not be made for filing] a document required to be filed under
	this title.
	(b)  This section does not apply to:
	(1)  a candidate, officeholder, or specific-purpose
	committee who files reports under this title with an authority
	other than the commission;
	(2)  a candidate who filed a petition in lieu of the
	filing fee with the candidate's application for a place on the
	ballot; or
	(3)  an officeholder who filed a petition in lieu of the
	filing fee with the application for a place on the ballot as a
	candidate for the office held by the officeholder.
	(c)  The commission shall by rule determine the amount of the
	annual fee under this section in an amount, not to exceed $100, that
	the commission determines necessary for the administration of this
	title.
	(d)  The commission shall adopt rules to implement this
	section.
	SECTION 3.03.  The heading to Chapter 252, Election Code, is
	amended to read as follows:
	CHAPTER 252. CAMPAIGN TREASURER, AND PRINCIPAL POLITICAL COMMITTEE
	SECTION 3.04.  Chapter 252, Election Code, is amended by
	designating Sections 252.001 through 252.015 as Subchapter A and
	adding a subchapter heading to read as follows:
	SUBCHAPTER A. CAMPAIGN TREASURER
	SECTION 3.05.  Section 252.001, Election Code, is amended to
	read as follows:
	Sec. 252.001.  APPOINTMENT OF CAMPAIGN TREASURER REQUIRED.
	Except as provided in Subchapter C, each [Each] candidate and each
	political committee shall appoint a campaign treasurer as provided
	by this subchapter [chapter].
	SECTION 3.06.  Subchapter A, Chapter 252, Election Code, is
	amended by adding Section 252.00311 to read as follows:
	Sec. 252.00311.  CERTAIN USE OF CANDIDATE'S NAME BY
	POLITICAL COMMITTEE PROHIBITED. (a)  Notwithstanding Section
	252.0031(b), the name of a political committee may not include the
	name of any candidate that the committee supports if the candidate
	has not previously consented to and approved of the committee's
	formation.
	(b)  A violation of this section is a deceptive trade
	practice under Subchapter E, Chapter 17, Business & Commerce Code,
	and is actionable under that subchapter.
	SECTION 3.07.  Chapter 252, Election Code, is amended by
	adding Subchapter B to read as follows:
	SUBCHAPTER B. PRINCIPAL POLITICAL COMMITTEE
	Sec. 252.101.  DESIGNATION OF PRINCIPAL POLITICAL
	COMMITTEE. (a)  A candidate required to file a campaign treasurer
	appointment with the commission or an officeholder of an office for
	which a candidate is required to file a campaign treasurer
	appointment with the commission may designate a specific-purpose
	committee as the principal political committee for the candidate or
	officeholder with the responsibility of reporting any activity of
	the candidate or officeholder for which the candidate or
	officeholder would otherwise be required to file a report under
	Chapter 254.
	(b)  A candidate who designates a principal political
	committee under this subchapter is not required to appoint a
	campaign treasurer under Subchapter A.
	(c)  A designation of a principal political committee must be
	in writing and filed with the commission.
	Sec. 252.102.  LIMITATION ON DESIGNATION OF AND AS PRINCIPAL
	POLITICAL COMMITTEE. (a)  A candidate or officeholder may
	designate only one specific-purpose committee as the candidate's or
	officeholder's principal political committee.
	(b)  A specific-purpose committee may be designated as the
	principal political committee for only one candidate or
	officeholder.
	SECTION 3.08.  Subchapter A, Chapter 253, Election Code, is
	amended by adding Section 253.006 to read as follows:
	Sec. 253.006.  CERTAIN CONTRIBUTIONS AND EXPENDITURES BY
	LOBBYISTS RESTRICTED. (a)  In this section, "administrative
	action," "communicates directly with," "legislation," "member of
	the executive branch," and "member of the legislative branch" have
	the meanings assigned by Section 305.002, Government Code.
	(b)  Notwithstanding any other provision of law and except as
	provided by Subsection (c), a person required to register under
	Chapter 305, Government Code, may not, before the second
	anniversary of the date the last term for which the person was
	elected ends, knowingly make or authorize a political contribution
	or political expenditure from political contributions accepted by
	the person as a candidate or officeholder.
	(c)  Subsection (b) does not apply to a person who:
	(1)  communicates directly with a member of the
	legislative or executive branch only to influence legislation or
	administrative action on behalf of:
	(A)  a nonprofit organization exempt from federal
	income taxation under Section 501(a), Internal Revenue Code of
	1986, as an organization described by Section 501(c)(3) of that
	code;
	(B)  a group of low-income individuals; or
	(C)  a group of individuals with disabilities;
	and
	(2)  does not receive compensation other than
	reimbursement for actual expenses for engaging in communication
	described by Subdivision (1).
	(d)  A person who violates this section commits an offense.
	An offense under this section is a Class A misdemeanor.
	SECTION 3.09.  Subsection (a), Section 253.158, Election
	Code, is amended to read as follows:
	(a)  For purposes of Sections 253.155 and 253.157, a
	contribution by the [spouse or] child of an individual is
	considered to be a contribution by the individual.
	SECTION 3.10.  Section 254.036, Election Code, is amended by
	amending Subsections (c) and (c-1) and adding Subsections (d) and
	(d-1) to read as follows:
	(c)  A candidate, officeholder, or political committee that
	is required to file reports with the commission may file reports
	that comply with Subsection (a) if:
	(1)  the candidate, officeholder, or campaign
	treasurer of the committee files with the commission an affidavit
	stating that the candidate, officeholder, or committee, an agent of
	the candidate, officeholder, or committee, or a person with whom
	the candidate, officeholder, or committee contracts does not use
	computer equipment to keep the current records of political
	contributions, political expenditures, or persons making political
	contributions to the candidate, officeholder, or committee; and
	(2)  the candidate, officeholder, or committee has
	never [does not], in a calendar year, accepted [accept] political
	contributions that in the aggregate exceeded [exceed] $20,000 or
	made [make] political expenditures that in the aggregate exceeded
	[exceed] $20,000.
	(c-1)  An affidavit under Subsection (c) must be filed with
	each report filed under Subsection (a). The affidavit must include
	a statement that the candidate, officeholder, or political
	committee understands that the candidate, officeholder, or
	committee shall file reports as required by Subsection (b) if:
	(1)  the candidate, officeholder, or committee, a
	consultant of the candidate, officeholder, or committee, or a
	person with whom the candidate, officeholder, or committee
	contracts uses computer equipment for a purpose described by
	Subsection (c); or
	(2)  the candidate, officeholder, or committee ever
	exceeds $20,000 in political contributions or political
	expenditures in a calendar year.
	(d)  A legislative caucus may file reports that comply with
	Subsection (a) if:
	(1)  the legislative caucus chair files with the
	commission an affidavit stating that the caucus, an agent of the
	caucus, or a person with whom the caucus contracts does not use
	computer equipment to keep the current records of contributions,
	expenditures, or persons making contributions to the caucus; and
	(2)  the caucus has never, in a calendar year, accepted
	contributions that in the aggregate exceeded $20,000 or made
	expenditures that in the aggregate exceeded $20,000.
	(d-1)  An affidavit under Subsection (d) must be filed with
	each report filed under Subsection (a). The affidavit must include
	a statement that the legislative caucus understands that the caucus
	shall file reports as required by Subsection (b) if:
	(1)  the caucus, a consultant of the caucus, or a person
	with whom the caucus contracts uses computer equipment for a
	purpose described by Subsection (d); or
	(2)  the caucus ever exceeds $20,000 in contributions
	or expenditures in a calendar year.
	SECTION 3.11.  Subsections (a) and (b), Section 254.042,
	Election Code, are amended to read as follows:
	(a)  The commission shall determine from any available
	evidence whether a report required to be filed with the commission
	under this chapter is late. On making that determination, the
	commission shall immediately notify [mail a notice of the
	determination to] the person required to file the report of the
	determination.
	(b)  If a report other than a report under Section
	254.064(c), 254.124(c), or 254.154(c) or the first report under
	Section 254.063 or 254.123 that is required to be filed following
	the primary or general election is determined to be late, the person
	required to file the report is liable to the state for a civil
	penalty of $500. If a report under Section 254.064(c), 254.124(c),
	or 254.154(c) or the first report under Section 254.063 or 254.153
	that is required to be filed following the primary or general
	election is determined to be late, the person required to file the
	report is liable to the state for a civil penalty of $500 for the
	first day the report is late and $100 for each day thereafter that
	the report is late. If a report is more than 30 days late, the
	commission shall issue a warning of liability [by registered mail]
	to the person required to file the report. If the penalty is not
	paid before the 10th day after the date on which the warning is
	received, the person is liable for a civil penalty in an amount
	determined by commission rule, but not to exceed $10,000.
	SECTION 3.12.  Subchapter C, Chapter 254, Election Code, is
	amended by adding Section 254.067 to read as follows:
	Sec. 254.067.  REPORT NOT REQUIRED. If during any reporting
	period prescribed by this subchapter a candidate designates a
	specific-purpose committee as the candidate's principal political
	committee as provided by Section 252.101, the candidate is not
	required to file a report covering that period if the candidate's
	principal political committee reports all of the activity that
	would otherwise be required to be included in the report,
	including:
	(1)  the amount of any political contribution,
	including any loan, made by the candidate to the principal
	political committee; and
	(2)  the amount of any political expenditure made by
	the candidate from personal funds and whether the candidate intends
	to seek reimbursement of the expenditure from the principal
	political committee.
	SECTION 3.13.  Section 254.095, Election Code, is amended to
	read as follows:
	Sec. 254.095.  REPORT NOT REQUIRED. (a)  If at the end of
	any reporting period prescribed by this subchapter an officeholder
	who is required to file a report with an authority other than the
	commission has not accepted political contributions that in the
	aggregate exceed $500 or made political expenditures that in the
	aggregate exceed $500, the officeholder is not required to file a
	report covering that period.
	(b)  If during any reporting period prescribed by this
	subchapter an officeholder designates a specific-purpose committee
	as the officeholder's principal political committee as provided by
	Section 252.101, the officeholder is not required to file a report
	covering that period if the officeholder's principal political
	committee reports all of the activity that would otherwise be
	required to be included in the report, including:
	(1)  the amount of any political contribution,
	including any loan, made by the officeholder to the principal
	political committee; and
	(2)  the amount of any political expenditure made by
	the officeholder from personal funds and whether the officeholder
	intends to seek reimbursement of the expenditure from the principal
	political committee.
	SECTION 3.14.  Section 254.157, Election Code, is amended to
	read as follows:
	Sec. 254.157.  MONTHLY REPORTING SCHEDULE. (a)  The
	campaign treasurer of a general-purpose committee filing monthly
	reports shall file a report not later than the 10th [fifth] day of
	the month following the period covered by the report. A report
	covering the month preceding an election in which the committee is
	involved must be received by the commission [authority with whom
	the report is required to be filed] not later than the 10th [fifth]
	day of the month following the period covered by the report.
	(b)  A monthly report covers the period beginning the first
	calendar [26th] day of each month and continuing through the last
	calendar [25th] day of that [the following] month[, except that the
	period covered by the first report begins January 1 and continues
	through January 25].
	SECTION 3.15.  Section 254.158, Election Code, is amended to
	read as follows:
	Sec. 254.158.  EXCEPTION TO MONTHLY REPORTING SCHEDULE. If
	the campaign treasurer appointment of a general-purpose committee
	filing monthly reports is filed after January 1 of the year in which
	monthly reports are filed, the period covered by the first monthly
	report begins the day the appointment is filed and continues
	through the last calendar [25th] day of the month in which the
	appointment is filed unless the appointment is filed the last
	calendar [25th or a succeeding] day of the month. In that case, the
	period continues through the last calendar [25th] day of the month
	following the month in which the appointment is filed.
	SECTION 3.16.  Subchapter J, Chapter 254, Election Code, is
	amended by adding Section 254.2611 to read as follows:
	Sec. 254.2611.  CERTAIN NONPROFIT MEMBERSHIP ASSOCIATIONS
	NOT ACTING IN CONCERT. For purposes of Section 254.261, a person is
	not considered to be acting in concert with another person if the
	person:
	(1)  is a nonprofit membership association subject to
	Subchapter D, Chapter 253;
	(2)  is part of a multi-tiered local, state, and
	national nonprofit membership association structure; and
	(3)  communicates with any entity within the
	multi-tiered association structure to make a direct campaign
	expenditure in this state.
	SECTION 3.17.  Subchapter J, Chapter 254, Election Code, is
	amended by adding Section 254.263 to read as follows:
	Sec. 254.263.  APPLICABILITY OF PRIVILEGE TO CERTAIN PERSONS
	MAKING DIRECT CAMPAIGN EXPENDITURES. The privilege established
	under Subchapter C, Chapter 22, Civil Practice and Remedies Code,
	does not apply to:
	(1)  a person who is required to file a report under
	Section 254.261, who controls a political committee, or who makes a
	political expenditure described by Section 253.100(a);
	(2)  a person who is required to be disclosed on federal
	Internal Revenue Service Form 990 as an entity related to a person
	described by Subdivision (1); or
	(3)  a person who is an employee or contractor of, who
	acts under the control of, or who acts on behalf of a person
	described by Subdivision (1) or (2).
	SECTION 3.18.  Section 255.001, Election Code, is amended by
	amending Subsections (a) and (d) and adding Subsections (a-1) and
	(a-2) to read as follows:
	(a)  A person may not knowingly cause to be published,
	distributed, or broadcast political advertising containing express
	advocacy that does not include [indicate] in the advertising:
	(1)  an indication that it is political advertising;
	[and]
	(2)  the full name of:
	(A)  the person who paid for the political
	advertising;
	(B)  the political committee authorizing the
	political advertising; or
	(C)  the candidate or specific-purpose committee
	supporting the candidate, if the political advertising is
	authorized by the candidate;
	(3)  if the political advertising is authorized by the
	candidate:
	(A)  for advertising transmitted through radio,
	an audio statement made by the candidate that identifies the
	candidate and states that the candidate has approved the
	communication; and
	(B)  for advertising transmitted through
	television:
	(i)  a clearly identifiable photographic or
	similar image of the candidate; and
	(ii)  a statement in writing identifying the
	candidate and stating that the candidate has approved the
	communication that appears:
	(a)  at the end of the communication
	for not less than four seconds; and
	(b)  in letters that are at least four
	percent of the vertical screen height; and
	(4)  if the political advertising is not authorized by
	the candidate:
	(A)  for advertising transmitted through radio,
	an audio statement of the name of the person who paid for the
	advertising, made by an individual named in the statement or by a
	representative of a person named in the statement who is not an
	individual; and
	(B)  for advertising transmitted through
	television, a written statement that contains the name of the
	person who paid for the advertising and that appears:
	(i)  at the end of the communication for not
	less than four seconds; and
	(ii)  in letters that are at least four
	percent of the vertical screen height.
	(a-1)  An Internet website containing political advertising
	must contain the disclosure required by this section on each page of
	the website containing the political advertising. The disclosure
	must appear:
	(1)  in a printed box set apart from the rest of the
	contents of the page;
	(2)  in a font size that is at least 12 pixels; and
	(3)  in black text on a white background or in a text
	color so that the degree of contrast between the background color
	and the disclosure text color is at least as great as the degree of
	contrast between the background color and the color of the largest
	text on the page.
	(a-2)  If political advertising appears on a social media
	website, a disclosure that complies with Subsection (a-1) must
	appear on the appropriate social media profile page. If political
	advertising on an Internet website, including a social media
	profile page, is too small to include the disclosure in a manner
	that complies with Subsection (a-1), the disclosure satisfies the
	requirements of Subsection (a-1) if the disclosure links to another
	Internet website page that displays the full disclosure and is
	operational and freely accessible during the time the advertisement
	is visible. Internet advertising that is too small to include a
	disclosure complying with Subsection (a-1) includes an
	advertisement classified as a micro bar or button according to
	applicable advertising standards, an advertisement that has 200 or
	fewer characters, and a graphic or picture link in which including
	the disclosure is not reasonably practical because of the size of
	the graphic or picture link.
	(d)  This section does not apply to:
	(1)  tickets or invitations to political fund-raising
	events;
	(2)  campaign buttons, pins, hats, or similar campaign
	materials; [or]
	(3)  circulars or flyers that cost in the aggregate
	less than $500 to publish and distribute; or
	(4)  political advertising distributed by sending a
	text message using a mobile communications service.
	SECTION 3.19.  Section 257.003, Election Code, is amended by
	amending Subsection (a) and adding Subsection (e) to read as
	follows:
	(a)  A political party that accepts contributions authorized
	by Section 253.104 shall report all contributions and expenditures
	made to and from the account required by Section 257.002, except as
	provided by Subsection (e).
	(e)  A county executive committee of a political party is not
	required to file a report under this section if the committee:
	(1)  has less than $250 in one or more accounts
	maintained by the committee in which contributions authorized by
	Section 253.104 are deposited, as of the last day of the preceding
	reporting period;
	(2)  has not accepted any contributions authorized by
	Section 253.104 during the reporting period to be covered by the
	report; and
	(3)  has not made an expenditure from contributions
	authorized by Section 253.104 during the reporting period to be
	covered by the report.
	SECTION 3.20.  Subchapter B, Chapter 305, Government Code,
	is amended by adding Section 305.030 to read as follows:
	Sec. 305.030.  EXPENDITURES FROM POLITICAL CONTRIBUTIONS
	RESTRICTED. (a)  In this section, "political contribution" has the
	meaning assigned by Section 251.001, Election Code.
	(b)  Notwithstanding any other provision of law and except as
	provided by Subsection (c), a person required to register under
	this chapter may not, before the second anniversary of the date the
	last term for which the person was elected ends, knowingly make or
	authorize an expenditure under this chapter from political
	contributions accepted by the person as a candidate or
	officeholder.
	(c)  Subsection (b) does not apply to a person who:
	(1)  communicates directly with a member of the
	legislative or executive branch only to influence legislation or
	administrative action on behalf of:
	(A)  a nonprofit organization exempt from federal
	income taxation under Section 501(a), Internal Revenue Code of
	1986, as an organization described by Section 501(c)(3) of that
	code;
	(B)  a group of low-income individuals; or
	(C)  a group of individuals with disabilities; and
	(2)  does not receive compensation other than
	reimbursement for actual expenses for engaging in communication
	described by Subdivision (1).
	SECTION 3.21.  Section 253.006, Election Code, as added by
	this article, and Section 305.030, Government Code, as added by
	this article, apply to a political contribution, political
	expenditure, or lobbying expenditure made on or after September 1,
	2013, from funds accepted as a political contribution, regardless
	of the date the funds were accepted.
	SECTION 3.22.  Section 253.158, Election Code, as amended by
	this Act, applies only to a political contribution accepted on or
	after the effective date of this Act. A contribution accepted
	before the effective date of this Act is governed by the law in
	effect on the date the contribution was accepted or the expenditure
	was made, and the former law is continued in effect for that
	purpose.
	SECTION 3.23.  The changes in law made by this article apply
	only to a report required to be filed under Chapter 254, Election
	Code, on or after the effective date of this Act. A report required
	to be filed under Chapter 254, Election Code, before the effective
	date of this Act is governed by the law in effect on the date the
	report is due, and the former law is continued in effect for that
	purpose.
	SECTION 3.24.  (a)  Not later than September 15, 2015, each
	legislative caucus in existence on September 1, 2015, shall appoint
	a caucus chair and file a caucus chair appointment with the Texas
	Ethics Commission as required by Subchapter B, Chapter 252,
	Election Code, as added by this Act. Notwithstanding Section
	254.0311, Election Code, as amended by this Act:
	(1)  not later than October 1, 2015, a legislative
	caucus shall file a report under Section 254.0311, Election Code,
	as that section existed before amendment by this Act, that covers
	the period beginning July 1, 2015, or the day the caucus is
	organized, as applicable, and continuing through September 15,
	2015; and
	(2)  not later than January 15, 2016, a legislative
	caucus chair appointed under this subsection shall file a report
	under Section 254.0311, Election Code, as amended by this Act, that
	covers the period beginning September 15, 2015, and continuing
	through December 31, 2015.
	(b)  A legislative caucus chair appointed under Subsection
	(a) of this section is not responsible for:
	(1)  reporting caucus activity that occurs before
	September 15, 2013; or
	(2)  maintaining records of caucus activity that occurs
	before September 15, 2015.
	ARTICLE 4. EFFECTIVE DATE
	SECTION 4.01.  This Act takes effect September 1, 2015.