Current through Vol. 24-16, September 15, 2024
Rule 39b.
(1)
Except as otherwise provided in this rule, an expenditure for a communication
that uses the name or likeness of 1 or more specific candidates is subject to
the prohibition on contributions and expenditures in section 54 of the act if
the communication is broadcast or distributed within 45 calendar days before
the date of an election in which the candidates name is eligible to appear on
the ballot.
(2) This rule does not
apply to any of the following:
(a) An
expenditure for communication by a person with the persons paid members or
stockholders and individuals who can be solicited for contributions to a
separate segregated fund.
(b) An
expenditure for nonpartisan voter registration or nonpartisan get-out-the-vote
activities ,including the production and distribution of voter guides, that is
made by an organization that is exempt from federal income tax under section
501(c)(3) of the internal revenue code of 1986,
26 U.S.C.
501 (c)(3) or any successor
statute.
(c) An expenditure for
communication by a qualified nonprofit corporation as defined in subrule (3) of
this rule.
(3) A
nonprofit corporation shall be considered a qualified nonprofit corporation for
the purposes of this rule if all of the following conditions are met:
(a) The corporation's only express purpose is
the promotion of political ideas, including issue advocacy, election influence
activity, and research, training, or educational activity that is expressly
tied to the corporation's political goals.
(b) The corporation does not engage in
business activities.
(c) The
corporation does not have shareholders or other persons, other than employees
and creditors who do not have an ownership interest, affiliated with the
corporation in any way that could allow the shareholders or other persons to
make a claim on the corporation's assets or earnings.
(d) The corporation does not offer or provide
to any person a benefit that is a disincentive for the person to disassociate
from the corporation on the basis of the corporation's position on a political
issue. A benefit includes, but is not limited to, the following:
(i) Credit cards, insurance policies, or
savings plans.
(ii) Training,
education, or business information, other than that which is necessary to
enable the recipient to engage in the promotion of the corporation's political
beliefs.
(e) The
corporation was not established by, or affiliated with, a business corporation,
joint stock company, domestic dependent sovereign, or labor organization.
If the corporation is unable, for good cause, to
demonstrate that this requirement is satisfied, then the corporation shall have
a written policy against accepting donations from business corporations, joint
stock companies, domestic dependent sovereigns, or labor organizations.
(f) The corporation is registered
under section 501(c)(4) of the internal revenue code of 1986,
26 U.S.C.
501 (c)(4).
