North Carolina § 163-278 - 6. Definitions.

§ 163-278. 6. Definitions.

When used in this Article: The term "affiliated party committee" means a General Assembly affiliated party committee as established by G.S. 163-278.8B or Council of State affiliated party committee as established by G.S. 163-278.8C. The term "electioneering communication" means any broadcast, cable, or satellite communication, or mass mailing, or telephone bank that has all the following characteristics: Refers to a clearly identified candidate for elected office. In the case of the general election in November of the even-numbered year is aired or transmitted within 30 days of the election for that office. May be received by either: 50,000 or more individuals in the State in an election for statewide office or 7,500 or more individuals in any other election if in the form of broadcast, cable, or satellite communication. 20,000 or more households, cumulative per election, in a statewide election or 2,500 households, cumulative per election, in any other election if in the form of mass mailing or telephone bank. Making a public announcement of a definite intent to run for public office in a particular election. Receiving funds or making payments or giving the consent for anyone else to receive funds or transfer anything of value for the purpose of bringing about that individual's nomination or election to office. Transferring anything of value includes incurring an obligation to transfer anything of value. 50,000 or more individuals in the State in an election for statewide office or 7,500 or more individuals in any other election if in the form of broadcast, cable, or satellite communication. 20,000 or more households, cumulative per election, in a statewide election or 2,500 households, cumulative per election, in any other election if in the form of mass mailing or telephone bank. Proposes a commercial transaction. A public opinion poll conducted by a news medium, as defined in G.S. 8-53.11(a)(3), conducted by an organization whose primary purpose is to conduct or publish public opinion polls, or contracted for by a person to be conducted by an organization whose primary purpose is to conduct or publish public opinion polls. This sub-subdivision shall not apply to a push poll. For the purpose of this sub-subdivision, "push poll" shall mean the political campaign technique in which an individual or organization attempts to influence or alter the view of respondents under the guise of conducting a public opinion poll. A communication made by a news medium, as defined in G.S. 8-53.11(a)(3), if the communication is in print. (3) The term "board" means the State Board of Elections with respect to all candidates for State, legislative, and judicial offices and the county board of elections with respect to all candidates for county and municipal offices. The term means the State Board of Elections with respect to all statewide referenda and the county board of elections conducting all local referenda. (5) The term "broadcasting station" means any commercial radio or television station or community antenna radio or television station. Special definitions of "radio" and "television" that apply only in Part 1A of this Article are set forth in G.S. 163-278.38 Z. (7) The term "business entity" means any partnership, joint venture, joint-stock company, company, firm, or any commercial or industrial establishment or enterprise. (9) The term "candidate" means any individual who, with respect to a public office listed in G.S. 163-278.6(18) , has taken positive action for the purpose of bringing about that individual's nomination, retention, or election to public office. Examples of positive action include any of the following: a. Filing a notice of candidacy, filing a notice to be retained, or a petition requesting to be a candidate. b. Being certified as a nominee of a political party for a vacancy. c. Otherwise qualifying as a candidate in a manner authorized by law. Status as a candidate for the purpose of this Article continues if the individual is receiving contributions to repay loans or cover a deficit or is making expenditures to satisfy obligations from an election already held. Special definitions of "candidate" and "candidate campaign committee" that apply only in Part 2 of this Article are set forth in G.S. 163-278.38 Z. (11) The term "communications media" or "media" means broadcasting stations, carrier current stations, newspapers, magazines, periodicals, outdoor advertising facilities, billboards, newspaper inserts, and any person or individual whose business is polling public opinion, analyzing or predicting voter behavior or voter preferences. Special definitions of "print media," "radio," and "television" that apply only in Part 1A of this Article are set forth in G.S. 163-278.38 Z. (13) The terms "contribute" or "contribution" mean any advance, conveyance, deposit, distribution, transfer of funds, loan, payment, gift, pledge or subscription of money or anything of value whatsoever, made to, or in coordination with, a candidate to support or oppose the nomination or election of one or more clearly identified candidates, to a political committee, to a political party, to an affiliated party committee, or to a referendum committee, whether or not made in an election year, and any contract, agreement, or other obligation to make a contribution. An expenditure forgiven by a person or entity to whom it is owed shall be reported as a contribution from that person or entity. These terms include, without limitation, such contributions as labor or personal services, postage, publication of campaign literature or materials, in-kind transfers, loans or use of any supplies, office machinery, vehicles, aircraft, office space, or similar or related services, goods, or personal or real property. These terms also include, without limitation, the proceeds of sale of services, campaign literature and materials, wearing apparel, tickets or admission prices to campaign events such as rallies or dinners, and the proceeds of sale of any campaign-related services or goods. Notwithstanding the foregoing meanings of "contribution," the word shall not be construed to include services provided without compensation by individuals volunteering a portion or all of their time on behalf of a candidate, political committee, or referendum committee. The term "contribution" does not include an "independent expenditure." If: a. Any individual, person, committee, association, or any other organization or group of individuals, including but not limited to, a political organization (as defined in section 527(e)(1) of the Internal Revenue Code of 1986) makes, or contracts to make, any disbursement for any electioneering communication, as defined in this section; and b. That disbursement is coordinated with a candidate, an authorized political committee of that candidate, a State or local political party or committee of that party, an affiliated party committee, or an agent or official of any such candidate, party, or committee that disbursement or contracting shall be treated as a contribution to the candidate supported by the electioneering communication or that candidate's party and as an expenditure by that candidate or that candidate's party. (14) - (19) [Reserved.] (20) The term "coordinated expenditure" means an expenditure that is made in concert or cooperation with, or at the request or suggestion of, a candidate, a candidate campaign committee as defined in G.S. 163-278.3(3), the agent of the candidate, or the agent of the candidate campaign committee. An expenditure for the distribution of information relating to a candidate's campaign, positions, or policies, that is obtained through publicly available resources, including a candidate campaign committee, is not a coordinated expenditure if it is not made in concert or cooperation with, or at the request or suggestion of, a candidate, the candidate campaign committee, the agent of the candidate, or the agent of the candidate campaign committee. (22) The term "coordination" means in concert or cooperation with, or at the request or suggestion of. (24) The term "corporation" means any corporation established under either domestic or foreign charter, and includes a corporate subsidiary and any business entity in which a corporation participates or is a stockholder, a partner or a joint venturer. The term applies regardless of whether the corporation does business in the State of North Carolina. (26) The term "costs of collection" means monies spent by the State Board in the collection of the penalties levied under this Article to the extent the costs do not constitute more than fifty percent (50%) of the civil penalty. The costs are presumed to be ten percent (10%) of the civil penalty unless otherwise determined by the State Board of Elections based on the records of expenses incurred by the State Board of Elections for its collection procedures. (28) The term "day" means calendar day. (30) The term "election" means any general or special election, a first or second primary, a run-off election, or an election to fill a vacancy. The term "election" shall not include any local or statewide referendum. (32) The term "election cycle" means the period of time from January 1 after an election for an office through December 31 after the election for the next term of the same office. Where the term is applied in the context of several offices with different terms, "election cycle" means the period from January 1 of an odd-numbered year through December 31 of the next even-numbered year. (33) - (40) [Reserved.] (41) The term "electioneering communication" means any broadcast, cable, or satellite communication, or mass mailing, or telephone bank that has all the following characteristics: a. Refers to a clearly identified candidate for elected office. b. In the case of the general election in November of the even-numbered year is aired or transmitted within 60 days of the election for that office. c. May be received by either: (43) The term "electioneering communication" does not include any of the following: a. A communication appearing in a news story, commentary, or editorial distributed through the facilities of any broadcasting station, unless those facilities are owned or controlled by any political party, affiliated party committee, political committee, or candidate. b. A communication that constitutes an expenditure or independent expenditure under this Article. c. A communication that constitutes a candidate debate or forum conducted pursuant to rules adopted by the Board or that solely promotes that debate or forum and is made by or on behalf of the person sponsoring the debate or forum. d. A communication made while the General Assembly is in session which, incidental to advocacy for or against a specific piece of legislation pending before the General Assembly, urges the audience to communicate with a member or members of the General Assembly concerning that piece of legislation or a solicitation of others as defined in G.S. 163-120 C-100(a)(13) properly reported under Chapter 120C of the General Statute. e. A communication that meets all of the following criteria: 1. Does not mention any election, candidacy, political party, opposing candidate, or voting by the general public. 2. Does not take a position on the candidate's character or qualifications and fitness for office. (45) - (48) [Reserved.] (49) The term "enforcement costs" means salaries, overhead, and other monies spent by the State Board of Elections in the enforcement of the penalties provisions of this Article, including the costs of investigators, attorneys, travel costs for State Board employees and its attorneys, to the extent the costs do not constitute more than fifty percent (50%) of the sum levied for the enforcement costs and civil late penalty. (51) The terms "expend" or "expenditure" mean any purchase, advance, conveyance, deposit, distribution, transfer of funds, loan, payment, gift, pledge or subscription of money or anything of value whatsoever, whether or not made in an election year, and any contract, agreement, or other obligation to make an expenditure, to support or oppose the nomination, election, or passage of one or more clearly identified candidates, or ballot measure. An expenditure forgiven by a person or entity to whom it is owed shall be reported as a contribution from that person or entity. Supporting or opposing the election of clearly identified candidates includes supporting or opposing the candidates of a clearly identified political party. The term "expenditure" also includes any payment or other transfer made by a candidate, political committee, or referendum committee. (53) The term "independently expend" or "independent expenditure" means an expenditure to support or oppose the nomination or election of one or more clearly identified candidates that is not a coordinated expenditure. Supporting or opposing the election of clearly identified candidates includes supporting or opposing the candidates of a clearly identified political party. A contribution is not an independent expenditure. As applied to referenda, the term "independent expenditure" applies if consultation or coordination does not take place with a referendum committee that supports a ballot measure the expenditure supports, or a referendum committee that opposes the ballot measure the expenditure opposes. (55) The term "individual" means a single individual or more than one individual. (57) The term "insurance company" means any person whose business is making or underwriting contracts of insurance, and includes mutual insurance companies, stock insurance companies, and fraternal beneficiary associations. (59) The term "labor union" means any union, organization, combination or association of employees or workmen formed for the purposes of securing by united action favorable wages, improved labor conditions, better hours of labor or work-related benefits, or for handling, processing or righting grievances by employees against their employers, or for representing employees collectively or individually in dealings with their employers. The term includes any unions to which Article 10, Chapter 95 applies. (60) - (69) [Reserved.] (70) The term "mass mailing" means any mailing by United States mail or facsimile to 20,000 or more households, cumulative per election, in a statewide election or 2,500 households, cumulative per election, in any other election. (72) The term "person" means any business entity, corporation, insurance company, labor union, or professional association. (74) The term "political committee" means a combination of two or more individuals, such as any person, committee, association, organization, or other entity that makes, or accepts anything of value to make, contributions or expenditures and has one or more of the following characteristics: a. Is controlled by a candidate; b. Is a political party or executive committee of a political party or is controlled by a political party or executive committee of a political party; c. Is created by a corporation, business entity, insurance company, labor union, or professional association pursuant to G.S. 163-278.19(b) ; or d. Has the major purpose to support or oppose the nomination or election of one or more clearly identified candidates; [or] e. Is an affiliated party committee. Supporting or opposing the election of clearly identified candidates includes supporting or opposing the candidates of a clearly identified political party. If the entity qualifies as a "political committee" under sub-subdivision a., b., c., or d. of this subdivision, it continues to be a political committee if it receives contributions or makes expenditures or maintains assets or liabilities. A political committee ceases to exist when it winds up its operations, disposes of its assets, and files its final report. The term "political committee" includes the campaign of a candidate who serves as his or her own treasurer. Special definitions of "political action committee" and "candidate campaign committee" that apply only in Part 2 of this Article are set forth in G.S. 163-278.38 Z. (76) The term "political party" means any political party organized or operating in this State, whether or not that party is recognized under the provisions of G.S. 163-96 . A special definition of "political party organization" that applies only in Part 1A of this Article is set forth in G.S. 163-278.38 Z. An affiliated party committee is deemed a political party for this Article as set forth in G.S. 163-278.8 B and G.S. 163-278.8 C. (78) The term "professional association" means any trade association, group, organization, association, or collection of persons or individuals formed for the purposes of advancing, representing, improving, furthering or preserving the interests of persons or individuals having a common vocation, profession, calling, occupation, employment, or training. (80) The term "public office" means any office filled by election by the people on a statewide, county, municipal or district basis, and this Article shall be applicable to such elective offices whether the election therefor is partisan or nonpartisan. (82) The term "referendum" means any question, issue, or act referred to a vote of the people of the entire State by the General Assembly, a unit of local government, or by the people under any applicable local act and includes constitutional amendments and State bond issues. The term "referendum" includes any type of municipal, county, or special district referendum and any initiative or referendum authorized by a municipal charter or local act. A recall election shall not be considered a referendum within the meaning of this Article. (84) The term "referendum committee" means a combination of two or more individuals such as a committee, association, organization, or other entity or a combination of two or more business entities, corporations, insurance companies, labor unions, or professional associations such as a committee, association, organization, or other entity the primary purpose of which is to support or oppose the passage of any referendum on the ballot. If the entity qualifies as a "referendum committee" under this subdivision, it continues to be a referendum committee if it receives contributions or makes expenditures or maintains assets or liabilities. A referendum committee ceases to exist when it winds up its operations, disposes of its assets, and files its final report. (85) - (92) [Reserved.] (93) The term "telephone bank" means telephone calls that are targeted to the relevant electorate, except when those telephone calls are made by volunteer workers, whether or not the design of the telephone bank system, development of calling instructions, or training of volunteers was done by paid professionals. (95) The term "treasurer" means an individual appointed by a candidate, political committee, or referendum committee as provided in G.S. 163-278.7 or G.S. 163-278.40 A. History (1973, c. 1272, s. 1; 1975, c. 798, ss. 5, 6; 1979, c. 500, s. 1; c. 1073, ss. 1-3, 19, 20; 1981, c. 837, s. 1; 1983, c. 331, s. 6; 1985, c. 352, ss. 1-3; 1997-515, ss. 4(a)-(c), 7(b)-(d); 1999-31, ss. 1(a), (b), 2(a)-(c), 3, 4(a); 1999-424, s. 6(a), (b); 2002-159, s. 55(n); 2003-278, s. 5; 2004-125, s. 3; 2004-127, s. 15; 2004-203, s. 12(b); 2005-430, s. 10; 2006-264, s. 23; 2007-391, s. 3; 2008-150, s. 6(a); 2008-187, s. 33(a); 2009-534, ss. 1, 3(a), (b); 2010-170, s. 1; 2011-31, s. 20; 2013-381, s. 50.1; 2015-66, s. 8(a); 2015-258, s. 3(b), (b1); 2015-264, s. 81(c), (d); 2017-6, s. 3; 2018-144, s. 3.4(m); 2018-146, ss. 3.1(a), (b), 4.6.) Local Modification. - Town of Chapel Hill: 1987 (Reg. Sess., 1988), c. 1023, s. 2, 2007-222, s. 1 (expires July 1, 2012). Preclearance under Section 5 of the Voting Rights Act. - Session Laws 2010-170, s. 17, provides, in part: "Sections 1 through 15 of this act become effective upon preclearance by the United States Department of Justice." Preclearance was received by letter dated September 23, 2010. Editor's Note. - This section was recodified as now former G.S. 163A-1411 by Session Laws 2017-6, s. 3. Former G.S. 163A-1411 was then re-recodified as this section by Session Laws 2018-146, s. 3.1(a), effective January 31, 2019. The historical citation from the former section has been added to this section as re-recodified. At the direction of the Revisor of Statutes, subdivision (1a), as added by Session Laws 2015-258, s. 3(b1), and subdivision (1) were renumbered as subdivisions (1) and (1a), respectively, to maintain alphabetical order. Session Laws 1997-515, s. 14, is a severability clause. Session Laws 1997-515, s. 15, provides, in part: "Prosecutions for, or sentences based on, offenses occurring before the relevant effective dates in this act are not abated or affected by this act, and the statutes that would be applicable to those prosecutions or sentences but for the provisions of this act remain applicable to those prosecutions or sentences." Subdivision (7), as amended by Session Laws 2005-430, s. 10, effective December 1, 2005, is applicable to all contributions and expenditures made or accepted on or after that date. Session Laws 2007-391, s. 1(c), was amended by Session Laws 2008-198, s. 33(a), to eliminate any confusion as to the effective dates of the 2007 act. Session Laws 2007-391, s. 3, which deleted the former second paragraph under subdivision (14)d., is effective August 19, 2007. Session Laws 2008-97, s. 1, repealed section 2-7 of the Charter of the Town of Carrboro, S.L. 1987, c. 476, as added by S.L. 1993, c. 660, s. 2, which was a local modification for G.S. 163-278.6 and 163-278.40. Session Laws 2010-170, s. 16, is a severability clause. Session Laws 2013-381, s. 60.1, is a severability clause. Session Laws 2015-258, s. 3(t), as added by Session Laws 2015-264, s. 81(e), is a severability clause. Session Laws 2015-258, s. 4, made the amendments by Session Laws 2015-258, s. 3, effective September 30, 2015, and applicable to contributions and expenditures made on or after that date. Session Laws 2015-264, s. 91.7, is a severability clause. Session Laws 2018-146, s. 3.1(b), effective January 31, 2019, repealed Session Laws 2017-6, s. 3, which had recodified this section. Session Laws 2019-4 provides in its preamble: "Whereas, in November 2018, the voters of North Carolina approved a constitutional amendment requiring every voter offering to vote in person to present photographic identification before voting; and "Whereas, the approved constitutional amendment became effective upon certification of the November 6, 2018, election results; and "Whereas, the General Assembly of North Carolina enacted S.L. 2018-144 in December 2018, setting forth the general laws governing the requirements of photographic identification for voting in person and the exceptions thereto, and setting forth a time line of implementation for the 2019 elections and thereafter; and "Whereas, S.L. 2018-144 also contained reforms to the process of absentee voting by mail and those reforms require rule making and other implementation efforts from the State Board of Elections; and "Whereas, in February 2019, the need for a special congressional election to fill a vacancy in the United States House of Representatives has arisen due to unforeseen circumstances, and the Governor has determined a schedule for such special election; and "Whereas, in March 2019, the State Board of Elections issued an order to conduct a new election in a separate United States House of Representatives district and has determined a schedule for such new election; and "Whereas, the schedule of the two additional elections generates concerns about the ability of the county boards of election and the State Board of Elections to ensure uniformity in the requirement to present photographic identification before voting in person; and "Whereas, the absentee voting by mail reforms in S.L. 2018-144 require rule making and other administrative procedures on the part of the State Board of Elections which will not be completed prior to the two additional 2019 congressional elections; and "Whereas, the State Board of Elections needs legislative clarity regarding absentee voting by mail in order to conduct the two additional 2019 congressional elections in an orderly fashion; Now, therefore," Session Laws 2019-4, s. 1(a), (b), provides: "(a) S.L. 2018-144 shall not apply to any election held in 2019 for which the filing period opens prior to the date set forth in Section 1.5(a)(8) of S.L. 2018-144. "(b) Notwithstanding Section 1(a) of this act, all implementation and educational efforts set forth in S.L. 2018-144 during 2019 by the State and counties shall continue." Effect of Amendments. - Session Laws 2004-203, s. 12(b), effective August 17, 2004, added the last sentences in subdivisions (2), (4), and (5); added the last paragraph in subdivision (14); and added the last sentence in subdivision (15). Session Laws 2004-127, s. 15, as amended by Session Laws 2006-264, s. 23, effective July 26, 2004, deleted the former last sentence of subdivision (9) which read: "The special definition of 'expenditure' in G.S. 163-278.12 A applies only in that section." Session Laws 2007-391, s. 3, effective August 19, 2007, deleted the former second paragraph under subdivision (14)d. Session Laws 2008-150, s. 6(a), effective August 2, 2008, in subdivision (14), added the fourth paragraph; and in sub-subdivision (14)d, substituted "Has the major purpose" for "Has as a major purpose" at the beginning. Session Laws 2009-534. ss. 1 and 3, effective December 1, 2009, rewrote subdivision (4); and, in subdivisions (6) and (9), substituted "obligation to make" for "promise or other obligation, whether or not legally enforceable, to make" in the first sentence, and added the present second sentence in both subdivisions. Session Laws 2010-170, s. 1, effective upon preclearance by the United States Department of Justice [September 23, 2010], added subdivisions (5h) and (5g); in the first sentence in subdivision (6), substituted "anything of value whatsoever, made to, or in coordination with, a candidate" for "anything of value whatsoever, to a candidate"; in subdivision (6)a., substituted "this section" for "G.S. 163-278.80(2) and (3) and G.S. 163-278.90(2) and (3)"; added subdivisions (8j) and (8k); in the first sentence in subdivision (9a), substituted "election of one or more clearly identified candidates that is not a coordinated expenditure" for "election of one or more clearly identified candidates that is made without consultation or coordination with a candidate or agent of a candidate whose nomination or election the expenditure supports or whose opponent's nomination or election the expenditure opposes"; and added subdivisions (12k) and (18k). Session Laws 2011-31, s. 20, effective April 7, 2011, twice deleted "or municipal" preceding "board of elections" in subdivision (1). Session Laws 2013-381, s. 50.1, effective January 1, 2014, added "In the case of the general election in November of the even-numbered year is aired or transmitted after September 7 of that year, and in the case of any other election" at the beginning of subdivision (8j)b. Session Laws 2015-66, s. 8(a), effective June 11, 2015, in subdivision (4), inserted "retention" in the first sentence, added "any of the following" at the end of the first paragraph, inserted "filing a notice to be retained" in sub-subdivision (4)a., and made minor stylistic changes. Session Laws 2015-258, s. 3(b), effective September 30, 2015, inserted "to an affiliated party committee" in the first sentence of subdivision (6); inserted "an affiliated party committee" in sub-subdivision (6)b.; inserted "affiliated party committee" in sub-subdivision (8k)a.; added sub-subdivision (14)e.; and added the last sentence of subdivision (15). For applicability, see editor's note. Session Laws 2015-258, s. 3(b1), as added by Session Laws 2015-264, s. 81(c), effective October 1, 2015, added subdivision (1a) (now (1)), defining "affiliated party committee." For effective date and applicability of Session Laws 2015-258, see editor's note. Session Laws 2015-264, s. 81(d), effective October 1, 2015, in subdivision (15), as amended by Session Laws 2015-248, s. 3(b), added "and G.S. 163-278.8 C" at the end of the last sentence. Session Laws 2018-144, s. 3.4(m), effective December 19, 2018, in subdivision (41)b., deleted "163A-1301" following "G.S. 163A-1300"; and made a minor stylistic change. Legal Periodicals. - For survey of 1978 administrative law, see 57 N.C.L. Rev. 831 (1979). For survey of 1979 administrative law, see 58 N.C.L. Rev. 1185 (1980). For article, "Preston v. Leake: Applying the Appropriate Standard of Review to North Carolina's Campaign Contributions Ban," see 47 Wake Forest L. Rev. 875 (2012).