Campaign Finance And Bookkeeping Manual Book

Campaign Finance And Bookkeeping Manual Book
  • Page 1

    CAMPAIGN FINANCE AND BOOKKEEPING MANUAL April 2004 Wisconsin State Elections Board 17 West Main Street, Suite 310 P.O. Box 2973 Madison, WI 53701-2973 Phone: 608-266-8005 Fax: 608-267-0500 E-mail: seb@seb.state.wi.us Website: http://elections.state.wi.us

  • Page 2

    INTRODUCTION Wisconsin campaign finance law requires candidates for public office to register their intent to run for office, to disclose their campaign receipts and disbursements, and to abide by certain contribution limits and prohibitions. To help candidates and their treasurers comply wi...

  • Page 3

    CONTENTS Page I. REGISTRATION REQUIREMENTS 1 Who is Required to Register Completing a Registration Statement Amending a Registration Statement Penalty for Not Filing a Registration Statement II. EXEMPTION FROM FILING CAMPAIGN FINANCE REPORTS 3 Eligibility Financial Records During Exemption...

  • Page 4

    iii VI. TERMINATION OF REGISTRATION AND REPORTING 13 REQUIREMENTS Disposal of Residual Funds VII. RECOMMENDED BOOKKEEPING SYSTEM 14 SAMPLES OF COMPLETED FORMS Campaign Registration Statement (EB-1) 24 Special Report of Late Contribution (EB-3) 26 Campaign Finance Report (EB-2) 28 QUIC...

  • Page 5

    I. REGISTRATION REQUIREMENTS Who is Required to Register Under Wisconsin campaign finance law, a candidate for election to public office must register with the appropriate filing officer. A candidate for state office: Governor, Lieutenant Governor, Attorney General, Secretary of State, S...

  • Page 6

    Item 1. Candidate and Candidate Committee Information This section must be completed by all candidates and candidate committees. It contains the information identifying the candidate and committee, party affiliation (if any), office sought (including branch and district number), date of the p...

  • Page 7

    accounts for investment purposes, including savings account, certificates of deposit, money market, or a safe deposit box, they should be listed on a separate sheet of paper and attached to the registration statement. Candidates running for more than one elected office are only allowed one prima...

  • Page 8

    Committees on exemption may receive up to $1,000 in a calendar year, and may spend up to $1,000 in the same calendar year. The candidate’s contributions do count toward the total receipts of $1,000 or less in a calendar year. The $100 limit on contributions from a single source does not apply...

  • Page 9

    filed and the period of time covered by the report. (A table of reporting periods and filing deadlines is found on page 66). Failure to receive a notice does not excuse the committee from filing the report on time. PACs (political action committees) and political party committees are sent fili...

  • Page 10

    The date which must be provided for all contributions is the date the committee received the contribution, that is, the date it acquired possession and control of the contribution, not the date of deposit or date on the check (unless all dates are the same). All money spent by the committee is r...

  • Page 11

    Computer Generated Campaign Finance Reports The use of personal computers to store campaign information and to generate the various schedules needed for campaign finance reports is becoming more popular. This section is intended to help those who want to computerize part or all of their campaig...

  • Page 12

    IV. MAJOR PROVISIONS OF WISCONSIN CAMPAIGN FINANCE LAW Contribution Limits The contribution limits established by state statute determine the maximum amount of contributions (cash, loans, and in-kind contributions combined) that an individual or committee can give or receive over a campaign per...

  • Page 13

    an individual may not contribute more than $10,000 in a calendar year to any combination of Wisconsin candidates or political committees. Committee Contribution Limits The committee contribution limits for candidates for statewide office and local office vary. The specific amounts are listed i...

  • Page 14

    mailing and is not reimbursed for the cost of the stamps, the value of the stamps is an in-kind contribution to the campaign committee from that campaign worker. When an individual is paid to work on behalf of a candidate by a political committee or some other individual, the payment for those s...

  • Page 15

    A registrant should not accept contributions over $25 from organizations that have not registered. If the committee is notified that a contribution was received from an unregistered organization, the committee must return the contribution, and not accept any additional contributions from that or...

  • Page 16

    contributions to the campaign by a guarantor may not exceed the individual contribution limit for the guarantor. A bank loan to a candidate, the proceeds of which the candidate loans to the committee is a personal contribution (loan) from the candidate. This type of loan is reported as a contri...

  • Page 17

    for through an in-kind contribution, it must bear the disclaimer of the recipient campaign committee. Abbreviations may not be used for the name of a candidate or campaign committee. No disclaimer is required on 1) personal correspondence not reproduced by machine for distribution, 2) a single ...

  • Page 18

    Disposal of Residual Funds A candidate or committee may dispose of remaining funds when terminating by: 1. Returning money to contributors in amounts that are not more than the contributor’s original contribution (note: the candidate or treasurer may choose which contributors to refund. You ...

  • Page 19

    DAILY RECEIPTS LOG Date Amount 2004 Name and Complete Address $20 or Less Over $20 YTD Total EB-2 Schedule Bank Deposit 01/03 Comm. For Better Candidates 108 N. Capitol St., Madison 53702 500.00 500.00 1B 01/05 DEPOSIT 500.00 03/15 Jim Johnson 1502 Main St., Mt. Horeb 54312 20.00 20.00 1A...

  • Page 20

    Contributions of $20 or less should be totaled for each report period. When a contributor’s cumulative contributions exceed $20, the amounts must be itemized. They should not be reported in the unitemized contribution total. When a contribution from another registrant is received, the same...

  • Page 21

    The top part of the card records the information about each contribution that may be needed for completing the finance reports. Depending on the total amount of the contribution, the treasurer may not be required to report all the information on each card. But this information will be available...

  • Page 22

    06/07 Computerland, 195 N. Johns St., Waunakee, WI 53708 505 Office Supplies 47.93 2A July 2004 finance report cutoff 07/01 Peoples Bank, 123 Elm St., Deforest, WI 53532 ------- Service charges 19.50 2A 07/27 John Doe for Assembly 418 E. Water St., Lodi, WI 53555 506 Contribution 250.00 2B 08...

  • Page 23

    In preparing campaign finance reports, in-kind contributions should be taken from this record and listed in Schedule 1A (Contributions Including Loans from Individuals) if the in-kind contribution comes from an individual, or Schedule 1B (Contributions from Committees) if the in-kind contribution...

  • Page 24

    SAMPLE CONTRIBUTION LIMIT LEDGER Single Committee: $500 Maximum Limits (State Assembly) Cumulative Committee (45%) Limit - $7,763 Cumulative Committee / Party (65%) Limit - $11,213 Date Contributor Contribution Amount PAC, Candidate Comm., WECF Limit $7,763 All Committees including Parties Li...

  • Page 25

    contributor’s occupation and the name and address of his or her principal place of employment. 4. Contributions from individuals received through a conduit are reported in Schedule 1A. They are treated in the same manner as other individual contributions. 5. Each individual contributor’s nam...

  • Page 26

    are purchased for resale by the committee, give the purpose as “campaign T-shirts for resale,” not “T-shirts” only. 4. The receipt of an in-kind contribution is also reported as an in-kind expenditure in Schedule 2A and either itemized or unitemized, depending on the amount. 5. Expenditur...

  • Page 27

    23 SAMPLE FORMS Completed Candidate Campaign Registration Statement (EB-1) Completed Special Report of Late Contribution (EB-3) Completed Campaign Finance Report (EB-2) Addendums & Quick Reference Topics (Treasurers may wish to remove or flag these pages for a quick reference whe...

  • Page 28

    24 CAMPAIGN REGISTRATION STATEMENT STATE OF WISCONSIN FOR OFFICE USE ONLY EB-1 IF A CANDIDATE ...

  • Page 29

    25 3. COMMITTEE TREASURER (Campaign finance correspondence is mailed to this address.) Treasurer’s Name Sidney Worth Telephone Number (residence) (608) 462-5696 Address (number and street) 105 North Avenue Telephone Number (employment) (608) 462-7299 City, State and Zip Code Baraboo, WI 5391...

  • Page 30

    SPECIAL REPORT OF LATE CONTRIBUTION CANDIDATE/COMMITTEE/INDIVIDUAL INFORMATION Candidate/Committee/Individual Name Friends of Abe McCarthy for Assembly WSEB I.D. # (if assigned) 100517 Address (Number, Street) 1400 Riverfront Drive City, State, Zip Code Baraboo, WI 53913 Telephone Number (608) ...

  • Page 31

    27 INSTRUCTIONS FOR FILING SPECIAL REPORT OF LATE CONTRIBUTION When This Report is Required: A special report of late contribution must be filed for contributions of $500 or more received after the closing date of the Pre-Primary or Pre-Election report and before the primary or election. Thi...

  • Page 32

    CAMPAIGN FINANCE REPORT STATE OF WISCONSIN Is This Report an Amendment: Yes No Instructions for completing schedules ...

  • Page 33

    29 Instructions for Completing Summary Page of Form EB-2 Instructions for Completing Schedules are on the Back of Each Schedule Committee Identification ► Print or type the complete name and mailing address of your committee. ► Enter the committee WSEB ID number (the number printed in the up...

  • Page 34

    30 SCHEDULE 1-A Page __1__ of __1__ RECEIPTS Contributions (Including Loans) From Individuals Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Date 09/30/04 Full Name, Mailing Address and Zip Code Shirley Mc...

  • Page 35

    31 Instructions for Completing Schedule 1-A RECEIPTS Contributions (Including Loans) From Individuals General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report contributions, including loans fro...

  • Page 36

    32 RECEIPTS SCHEDULE 1-B Contributions from Committees Page __1__ of __1__ (Transfers-In) Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Date 09/30/04 Full Name of Comm...

  • Page 37

    33 Instructions for Completing Schedule 1-B RECEIPTS Contributions From Committees (Transfers-In) General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report contributions from committees (trans...

  • Page 38

    SCHEDULE 1-C RECEIPTS Other Income and Commercial Loans Page __1_ of __1_ Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Date 09/30/04 Full Na...

  • Page 39

    35 Instructions for Completing Schedule 1-C RECEIPTS Other Income and Commercial Loans General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report other income and commercial loans on this form. ...

  • Page 40

    36 SCHEDULE 2-A DISBURSEMENTS Gross Expenditures Page __1_ of __1_ Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Date 09/30/04 Full Name, Mailing Address and Zip Code Of Person or Business to Whom Payment i...

  • Page 41

    37 Instructions for Completing Schedule 2-A DISBURSEMENTS Gross Expenditures General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report gross expenditures on this form. ► Enter the number of S...

  • Page 42

    38 SCHEDULE 2-B Page _1_ of __1_ DISBURSEMENTS Contributions To Committees (Transfers-Out) Complete Committee Name Friends of Abe McCarthy for Assembly Instructio...

  • Page 43

    39 Instructions for Completing Schedule 2-B DISBURSEMENTS Contributions to Committees General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to use this form to report Contributions to Committees (Tra...

  • Page 44

    SCHEDULE 3-A Page _1_ of _1_ ADDITIONAL DISCLOSURE Incurred Obligations Excluding Loans Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Outstanding Balance Beginning This Period New Obligations or Additi...

  • Page 45

    41 Instructions for Completing Schedule 3-A ADDITIONAL DISCLOSURE Incurred Obligations Excluding Loans General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report incurred obligations on this for...

  • Page 46

    SCHEDULE 3-B Page _1_ of _1__ ADDITIONAL DISCLOSURE Loans Individual, Committee or Commercial Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Outstanding Balance Beginning of This Period New Loans This Pe...

  • Page 47

    43 Instructions for Completing Schedule 3-B ADDITIONAL DISCLOSURE Loans – Individual, Committee or Commercial General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report loans on this form. ...

  • Page 48

    ADDITIONAL DISCLOSURE Page __1__ of __1__ In-Kind Estimates Complete Committee Name Friends of Abe McCarthy for Assembly SCHEDULE 3-C Estimated Value of In-Kind Contributions Received From Individuals and Committees Instructions for completing schedules are on the back of each schedule. D...

  • Page 49

    45 Instructions for Completing Schedules 3-C & 3-D ADDITIONAL DISCLOSURE In-Kind Estimates General Instructions: ► If you know the actual cost/value of the in-kind contribution, do not use this schedule. Refer to the appropriate schedule (1-A or 1-B). If the cost/value is not known, plea...

  • Page 50

    SCHEDULE 3-E ADDITIONAL DISCLOSURE Contributions Returned to Contributor Page _1_ of 1__ Complete Committee Name Friends of Abe McCarthy for Assembly Instructions for completing schedules are on the back of each schedule. Date of Original Contribution Name and Address of Contributor Amou...

  • Page 51

    47 Instructions for Completing Schedules 3-E & 3-F ADDITIONAL DISCLOSURE General Instructions: ► Print or type the complete name of your committee in the box provided. ► Duplicate as many pages as you will need in order to report Returned or Donated Contributions on this form. ► Enter t...

  • Page 52

    48 CAMPAIGN REGISTRATION STATEMENT STATE OF WISCONSIN EB-1 FOR OFFICE USE ONLY IF A CANDIDATE DOES NOT ...

  • Page 53

    49 3. COMMITTEE TREASURER (Campaign finance correspondence is mailed to this address.) Treasurer’s Name Telephone Number (residence) Address (number and street) Telephone Number (employment) City, State and Zip Code 4. PRINCIPAL OFFICERS OF COMMITTEE AND OTHER CUSTODIANS OF BOOKS AND ...

  • Page 54

    50 SCHEDULE 4 TERMINATION REQUEST Complete Committee Name WSEB ID Number • A committee may terminate its registration and reporting requirements if the committee will no longer receive contributions, make disbursements or incur obligations, and the cash balance and obligations have been...

  • Page 55

    Non-Candidate Committees (PACs, Parties, Referendum Groups) Filing Fee: All committees (other than candidates) registered with the State Elections Board are required to pay a filing fee of $100 if they had total expenditures exceeding $2,500 for the calendar year. This fee is due by the due da...

  • Page 56

    52 Reconciling Records: This is the best way to make sure your reports accurately reflect the committee’s activity. First you must complete a normal reconciliation or the committee’s check book to the bank account. Once you have identified outstanding checks and arrived at a reconciled ban...

  • Page 57

    53 Filing Fee Reminder for PACs, Parties, and Groups Each individual, committee, group, or corporation that is registered with the State Elections Board, whose spending exceeds a total of $2,500 in any year, shall pay an annual filing fee of $100. This provision does not apply to candidates or ...

  • Page 58

    54 Committee Worksheet for determining filing fee requirement From the Campaign Finance Report (EB-2), the contribution amounts are found on the line that is shaded in this example. Sample from EB-2 Summary Page Column A Column B This Period Year-to-Date 2. DISBURSEMENTS A. Gross Ex...

  • Page 59

    55 EXPENDITURES BY POLITICAL PARTY COMMITTEES Wisconsin law restricts the use of political funds. Money in a committee’s campaign account may be spent for political purposes only. The State Elections Board has not expanded on the definition of political purpose with specific examples in the ...

  • Page 60

    QUICK REFERENCE TOPICS IN-KIND CONTRIBUTIONS: DEFINITION: Any goods, services, or property offered to the committee at no cost or at less than the market value. Note: You must obtain the committee’s consent before you make an in-kind contribution. EXAMPLE: An individual purchases stamps us...

  • Page 61

    57 This table helps summarize the contributor information you are required to get from the individual, and what is required to be disclosed on the reports. Year-to-Date Amount Contributor Information Internal Committee Records Contributor Information Required on Finance Reports $10 or less An...

  • Page 62

    58 original check (lost or stopped payment) on Schedule 1-C, and the replacement check along with any bank fees on Schedule 2-A. Receipts or Disbursements do not agree with bank totals: Total receipts and total disbursements on the finance reports should include the value of any in-kind contribu...

  • Page 63

    CASH BALANCE RECONCILIATION WORKSHEET The ending cash balance on your January continuing campaign finance report should be the same as the reconciled bank balance on December 31. It is important to reconcile these two figures each time you file a report. This ensures that you are able to ident...

  • Page 64

    60 EXPENDITURES BY CANDIDATE CAMPAIGN COMMITTEES Wisconsin law restricts the use of campaign funds. Money in a candidate’s campaign account may be spent for political purposes only. The State Elections Board has not expanded on the definition of political purpose with specific examples in th...

  • Page 65

    61 A capital asset, such as a computer, purchased and owned by an individual for personal use, may be leased to the campaign. Any rent or reimbursement paid by the campaign shall be at market rate and the terms of the lease shall be in writing. See ElBd 1.75, Wis. Adm. Code for further guidanc...

  • Page 66

    62 CAMPAIGN COMMITTEE FUNDS MAY NOT BE USED TO SUPPLEMENT CAPITOL OFFICE ACCOUNTS. If a legislator overspends his/her Capitol office account, campaign committee funds may not be used to reimburse the excess amount. Capitol office accounts are for the conduct of state business and, therefore, d...

  • Page 67

    63 CONTRIBUTION LIMITS FOR LOCAL OFFICES All candidates running for elected office must abide by contribution limits that vary depending on the office sought and the population of the district. The only contributor not subject to limits is the candidate contributing to his or her own electio...

  • Page 68

    64 45% LIMIT - Total Contributions a Candidate May Receive from All Committees Excluding Political Party Committees - 11.26(9)(b), Stats. This is the maximum amount of contributions a candidate may receive from all PAC s and candidate personal campaign committees per campaign period. (Check w...

  • Page 69

    CONTRIBUTION LIMITS STATE OFFICES THESE LIMITS APPLY TO ALL CANDIDATES AND PERSONAL CAMPAIGN COMMITTEES. Contribution limitations apply cumulatively to the entire primary and election campaign in which the candidate participates, whether or not there is a contested primary election. Office...

  • Page 70