This bill makes changes to laws governing the bureau of ethics and campaign finance ("bureau"), as described below.
EMPLOYEES OF THE BUREAU
Present law requires the board of directors of the bureau ("board") to appoint a full-time executive director who serves at the pleasure of the board, and requires other employees of the bureau to be employed on recommendation of the executive director with the approval of the board. Under present law, the executive director and all other employees of the bureau constitute the staff of the bureau and its two divisions. Present law authorizes the board to call on the office of the state coordinator of elections for such advice, documents or services as it may require.
This bill removes the requirement that other employees of the bureau be employed on recommendation of the executive director with the approval of the board, and, instead, only requires the assistant director and general counsel, if any, be employed on recommendation of the executive director with the approval of the board. Pursuant to this bill, all other employees of the bureau are employed by the executive director.
DISPOSITION OF FEES, APPROPRIATIONS, AND PENALTIES
Present law requires all fees imposed by the registry of election finance and the ethics commission and collected by the bureau, as well as all appropriations made to the bureau, to be deposited by the state treasurer in a separate account exclusively for the bureau, and to be used by the bureau to defray expenses necessary to administer this law; campaign finance law; ethics and lobbying laws; ethical standards for officials and employees; and disclosure statements of conflict of interests, including the payment of salaries to employees, the purchase of supplies, and any other necessary expenses. Present law prohibits unexpended and unobligated fees remaining in this account at the end of any fiscal year from reverting to the general fund, and requires such fees to remain available for use by the bureau. However, present law requires penalties collected by the bureau to be deposited into the state general fund.
This bill adds the following to the above provisions:
(1) Uncollected civil penalties assessed by either the registry of election finance or the ethics commission must be marked as "unable to be collected" and removed from the appropriate register of unpaid civil penalties, as provided by the Campaign Financial Disclosure Act and the Ethics Commission Act, upon a determination either by the office of the attorney general, by the executive director of the bureau upon recommendation of a vendor retained for purposes of collecting such outstanding civil penalties, or by either the registry of election finance or the Tennessee ethics commission, as appropriate, that the uncollected civil penalties cannot reasonably be collected; and
(2) If a civil penalty assessed against an individual or political action committee is marked as "unable to be collected" and removed from the appropriate register of unpaid civil penalties, then an individual against whom the civil penalties were assessed remains ineligible to qualify for election as provided by the Campaign Financial Disclosure Act and the Ethics Commission Act, as applicable, and a political campaign committee against whom the civil penalties were assessed remains subject to the limitations of the Campaign Financial Disclosure Act until the outstanding civil penalty is paid.
NOTICE
This bill authorizes both the registry of election finance and the Tennessee ethics commission to require all individuals and organizations required to file a report or statement with the registry or commission to provide a valid email address, wherever available, that may be relied upon and used as the preferred method of providing notice pursuant to all provisions of law within the jurisdiction of the registry or commission. When an email address is not available, this bill authorizes both the registry and the commission to utilize first-class mail to provide notice pursuant to all provisions of law within the jurisdiction of the registry or commission. This bill requires each filer to ensure that the filer's designated email address, where available, and mailing address is updated and correct whenever a change to such occurs.
Pursuant to this bill, notice is deemed to have been appropriately delivered and received, absent evidence to the contrary, on the fifth calendar day following the date of electronic delivery, or the date of the postmark if delivered by mail, as applicable.
This bill requires the registry of election finance and the ethics commission to advise persons and organizations registering with the registry or commission that the person or organization will be provided notice by email, or first-class mail if email is unavailable, at the email and mail addresses provided by the registrant. Pursuant to this bill, this information must be stated in bold and all caps on the registration forms and the letter developed by the registry or ethics commission and must also be published on the website of the registry and commission, respectively.
ON FEBRUARY 13, 2023, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 159, AS AMENDED.
AMENDMENT #1 replaces "political action committee" with "political campaign committee" in (2), addressing limitations placed upon such a committee if a civil penalty assessed against the committee is marked as "unable to be collected" and removed from the appropriate register of unpaid civil penalties.

Statutes affected:
Introduced: 4-55-102(a), 4-55-102, 4-55-104
Amended with SA0005 -- 02/13/2023: 4-55-102(a), 4-55-102, 4-55-104