BILL NUMBER: S701
SPONSOR: KRUEGER
 
TITLE OF BILL:
An act to amend the election law, in relation to campaign funds for
personal use
 
PURPOSE:
This legislation will more clearly delineate how candidates for elected
office can and cannot use their campaign funds, and establish rules for
the disposal of excess campaign funds upon the death of a candidate.
 
SUMMARY OF PROVISIONS:
Section 1 amends section 14-130 of the election law, defining the proper
uses of campaign funds and delineating the improper use of campaign
funds;
Section 2 adds a new section 14-132 to the election law, delineating
when and how political committees must dispose of unused campaign funds
upon the death of a candidate or elected official.
Section 3 sets forth the effective date.
 
JUSTIFICATION:
This bill addresses a number of concerns with how campaign funds are
expended. Currently, New York's election law, allowing candidates to
spend campaign funds for "any lawful purpose," is among the most lax in
the nation. While spending campaign funds for personal use is technical-
ly prohibited, the lack of any definition for what constitutes a
personal use renders the provision meaningless. This shortcoming in the
law is striking when compared to the detailed restrictions issued by the
Federal Election Commission. And when it is combined with the provision
that allows elected officials to retain campaign funds for any use
related to the holding of public office, it gives legislators virtual
carte blanche for expenditures that are, at best, tangentially related
to their campaigns and official duties.
Examples of successful, unsuccessful or former candidates using excess
campaign funds fox luxury vehicles, sky boxes, extravagant meals, inter-
national travel and home improvements have regularly appeared in newspa-
pers across the state. There is a growing and justifiable public percep-
tion that campaign funds are being used to enhance the post election
lifestyles of candidates for public office. Such largesse turns the
ideal of representatives serving the public on its head.
Campaign donors have a reasonable expectation that their contributions
will be used for the candidate's election efforts and the execution of
his or her duties. They do not expect their contributions to subsidize
personal spending. This legislation addresses these abuseswhile preserv-
ing elected officials' ability to fund the legitimate work of their
offices.
By adding a detailed list, both in generalities and specific examples,
to the current language, the line as to what can and cannot be done is
brightly drawn. In addition to the obvious need to spend campaign funds
on campaigns, the expanded definition makes it clear that expenditures
related to holding public office are restricted to those costs that
would not otherwise be incurred if an individual was a private citizen.
In addition, the bill sets limits on how long campaign committees can be
maintained after the death of a candidate. Reports of committees contin-
uing years after campaigns were ended are all too common. By setting
time limits and also specifying how excess funds can be disbursed, this
abuse will be eliminated.
 
LEGISLATIVE HISTORY:
2023-24: S.1149/A 8006(Simon) Elections
2021-22: S.4458 Elections
2019-20: S.2513 Elections
2017-18: S.4231 Elections
2015-16: S.2214 Elections
2013-14: S.5127 Elections
 
LOCAL FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
This act shall take effect on the 60th day after becoming law.

Statutes affected:
S701: 14-132 election law