Assembly Bill 517 aims to explicitly prohibit foreign nationals from making contributions to referendum committees in Wisconsin. The bill renumbers the existing statute 11.1208 (4) to 11.1208 (4) (a) and introduces a new provision, 11.1208 (4) (b), which states that no foreign national may contribute to a referendum committee, and no referendum committee may accept contributions from foreign nationals. This legislative action is a response to a recent Federal Election Commission decision that allowed foreign contributions to ballot initiative committees, as they were not classified as elections under federal law.

By establishing this prohibition, the bill seeks to strengthen the integrity of the electoral process in Wisconsin and ensure that referendum committees are not influenced by foreign entities. The definition of "foreign national" is aligned with existing federal regulations, specifically referencing 11 CFR 110.20 (a) (3) and 52 USC 30121 (b). This legislative measure reflects a commitment to maintaining a fair and transparent electoral environment at both state and local levels.