The bill amends the Michigan Campaign Finance Act by creating a state campaign fund administered by the state treasurer. It allows individuals with a tax liability of $3.00 or more to designate that amount to the state campaign fund when filing their income tax returns. For joint filers, each spouse can designate $3.00 if their combined tax liability is $6.00 or more. The bill also mandates that the tax designation must be clearly printed on the first page of the income tax return.

Additionally, the bill stipulates that the cumulative amounts designated to the state campaign fund must be appropriated annually from the general fund, ensuring that the funds remain available for distribution without fiscal year limitations, except for amounts exceeding $10,000,000, which will lapse to the general fund after a gubernatorial election. The bill also includes provisions for the distribution of funds to qualifying candidates and specifies that if there are insufficient funds for primary election candidates, the available money must be distributed on a pro-rata basis. Notably, it removes a provision regarding a one-time transfer of $7,200,000 from the state campaign fund to the general fund for the fiscal year 2006-2007. The enactment of this bill is contingent upon the approval of certain resolutions by the state constitution.

Statutes affected:
House Introduced Bill: 169.261