The proposed bill amends the Michigan Campaign Finance Act by adding new sections 29a and 29b, which establish electronic filing requirements for financial statements from 527 and 501(c)(4) organizations. Under Section 29a, 527 organizations must file financial statements electronically with the Secretary of State by January 31 and July 31 each year, detailing contributions and expenditures. The bill outlines specific information that must be included in these statements, such as the names and addresses of contributors, itemized expenditures, and provisions for late filing fees based on the amount raised in the previous two years. Additionally, penalties for non-compliance are established, including civil fines and potential dissolution of the organization for repeated offenses.

Section 29b similarly mandates that 501(c)(4) organizations file financial statements electronically, with the same deadlines and requirements for information disclosure as outlined for 527 organizations. The bill also includes provisions for filing waivers for organizations expecting to receive or expend less than $5,000 in a calendar year. Like Section 29a, it establishes penalties for failure to file, including civil fines and dissolution for repeated violations. Both sections require organizations that must dissolve due to non-compliance to donate remaining funds to a tax-exempt organization under section 501(c)(3) of the Internal Revenue Code. The bill is set to take effect on January 1, 2027, contingent upon the enactment of related legislation.

Statutes affected:
House Introduced Bill: 169.201, 169.282