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S10663 Summary:

BILL NOS10663
 
SAME ASNo Same As
 
SPONSORGOUNARDES
 
COSPNSR
 
MLTSPNSR
 
Amd §§14-107 & 14-126, El L; amd §1052, NYC Chart
 
Relates to reporting of certain independent expenditures and penalties for failing to report such expenditures; includes certain communications which use language or imagery substantially associated with a candidate's campaign, platform, background, or publicly stated positions, such that a reasonable viewer would understand the communication as designed to influence the outcome of such general, special, or primary election in the definition of independent expenditure.
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S10663 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10663
 
                    IN SENATE
 
                                      July 15, 2026
                                       ___________
 
        Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules
 
        AN  ACT  to  amend  the  election  law and the New York city charter, in
          relation to independent expenditures
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Paragraph  (a)  of  subdivision  1  of  section 14-107 of
     2  election law, as amended by chapter 595 of the laws of 2025, is  amended
     3  to read as follows:
     4    (a)  "Independent  expenditure"  means an expenditure made by an inde-
     5  pendent expenditure committee in the form  of  (i)  an  audio  or  video
     6  communication via broadcast, cable or satellite, (ii) a written communi-
     7  cation  via  advertisements,  pamphlets,  circulars,  flyers, brochures,
     8  letterheads or (iii) other published statements, where such  expenditure
     9  is  conveyed  to  five hundred or more members of a general public audi-
    10  ence, or in the form of  any  paid  internet  or  digital  advertisement
    11  targeted  to  fifty  or more members of a general public audience, or in
    12  the form of a public-facing website, which:  (i)  irrespective  of  when
    13  such  communication  is  made,  contains words such as "vote," "oppose,"
    14  "support," "elect," "defeat," or "reject," which call for  the  election
    15  or  defeat of the clearly identified candidate, (ii) refers to and advo-
    16  cates for or against a clearly identified candidate or  ballot  proposal
    17  on  or  after  January  first  of the year of the election in which such
    18  candidate is seeking office or such proposal shall appear on the ballot,
    19  or (iii) within sixty days before a general or special election for  the
    20  office  sought  by  the  candidate  or  thirty  days  before  a  primary
    21  election[,]:
    22    (A) includes or references a clearly identified candidate;
    23    (B) uses such candidate's name, voice, likeness, or another descriptor
    24  that would be understood by a reasonable viewer to refer to such  candi-
    25  date; or
    26    (C) regardless of whether the communication identifies or references a
    27  clearly  identified  candidate,  uses  language or imagery substantially
    28  associated with a candidate's campaign, platform, background, or public-
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15921-01-6

        S. 10663                            2
 
     1  ly stated positions, such that a reasonable viewer would understand  the
     2  communication  as  designed  to  influence  the outcome of such general,
     3  special, or primary election.   An  independent  expenditure  shall  not
     4  include  communications  where such candidate, the candidate's political
     5  committee or its agents, a party committee or its agents, or  a  consti-
     6  tuted committee or its agents or a political committee formed to promote
     7  the success or defeat of a ballot proposal or its agents, did authorize,
     8  request, suggest, foster or cooperate in such communication.
     9    §  2.  Subdivision 3 of section 14-126 of the election law, as amended
    10  by chapter 87 of the laws of 2020, is amended to read as follows:
    11    3. (a) Any person who falsely identifies or [knowingly] fails to iden-
    12  tify any independent expenditure  as  required  by  subdivision  two  of
    13  section  14-107  of  this  article  or  any  political  communication as
    14  required in section 14-106 of this article shall be subject to  a  civil
    15  penalty  up to [one thousand dollars] one million dollars per day of the
    16  violation or up to the cost of the communication, whichever is  greater,
    17  in  a  special  proceeding or civil action brought by the state board of
    18  elections chief enforcement counsel pursuant to paragraph (a) of  subdi-
    19  vision  five  of  section  3-104  of  this chapter. For purposes of this
    20  subdivision, the term "person" shall mean a person,  group  of  persons,
    21  corporation, unincorporated business entity, labor organization or busi-
    22  ness,  trade  or  professional  association or organization or political
    23  committee.
    24     (b) Any person who knowingly  and  willfully  falsely  identifies  or
    25  knowingly and willfully fails to identify any independent expenditure as
    26  required  by  subdivision  two  of section 14-107 of this article or any
    27  political communication as required in section 14-106  of  this  article
    28  shall  be  subject  to a civil penalty of up to five million dollars per
    29  day of the knowing and willful violation, or  up  to  the  cost  of  the
    30  communication,  whichever  is  greater, in a special proceeding or civil
    31  action brought by the state board of elections chief enforcement counsel
    32  pursuant to paragraph (a) of subdivision five of section 3-104  of  this
    33  chapter.  For purposes of this subdivision, the term "person" shall mean
    34  a person, group of persons, corporation, unincorporated business entity,
    35  labor organization or business, trade  or  professional  association  or
    36  organization or political committee.
    37    (c)  Such  chief  enforcement  counsel  shall  further be empowered to
    38  pursue injunctive relief to enjoin an unlawful  disclosure  or  communi-
    39  cation described in this subdivision.
    40    (d) Where a person knowingly and willfully falsely identifies or know-
    41  ingly  and  willfully  fails  to identify any independent expenditure as
    42  required by subdivision two of section 14-107 of  this  article  or  any
    43  political  communication  as  required in section 14-106 of this article
    44  and an individual is injured  thereby,  such  individual  may  bring  an
    45  action  for actual damages, punitive damages, injunctive relief, reason-
    46  able attorneys fees and costs, and other such remedies as  a  court  may
    47  deem appropriate.
    48    § 3. Subparagraph (a) of paragraph 15 of subdivision a of section 1052
    49  of  the  New  York  city  charter is amended by adding three new clauses
    50  (iv), (v) and (vi) to read as follows:
    51    (iv) "Direct donor" shall mean a donor that is not itself a  political
    52  committee or political action committee.
    53    (v)  "Political committee" shall mean as defined in subdivision one of
    54  section 14-100 of the election law.
    55    (vi) "Political action committee" shall mean as defined in subdivision
    56  sixteen of section 14-100 of the election law.

        S. 10663                            3
 
     1    § 4. Clauses (i), (ii), (iii) and (iv) of subparagraph  (c)  of  para-
     2  graph  15 of subdivision a of section 1052 of the New York city charter,
     3  as amended by local law number 41 of the city of New York for  the  year
     4  2014, are amended to read as follows:
     5    (i)  (A)  on  any  written, typed, or printed communication, or on any
     6  internet text or graphical advertisement,  in  a  conspicuous  size  and
     7  style, the words "Paid for by" followed by the name of the individual or
     8  the  name  of the entity, the name of its owner, if any, and the name of
     9  its chief executive officer or equivalent, if any,  and,  following  the
    10  words  "Top  Three Donors," a list of the three largest aggregate donors
    11  to such entity in the twelve months preceding the election, except  that
    12  no  donor  that  contributed  less  than  five  thousand  dollars to the
    13  disclosing entity in the twelve months preceding the election  shall  be
    14  included in such disclosure, and except that if such entity has only one
    15  or  two donors that contributed at least five thousand dollars the words
    16  "Top Three Donors" shall be replaced by the words "Top  Donor"  or  "Top
    17  Donors"  as  applicable, and except that expenditures funded by an indi-
    18  vidual or where no such donors exist need not  include  the  words  "Top
    19  Three Donors" or a list of donors, and except that this clause shall not
    20  apply  to  communications  required  to include a disclosure pursuant to
    21  subdivision  sixteen  of  section  3-703  of  the  administrative  code.
    22  Provided, however, that in the event that one of the top donors required
    23  to  be  listed  under  this clause is a political committee or political
    24  action committee, such communication, text, or advertisement shall  then
    25  list the three largest aggregate donors, as described in this clause, of
    26  such committee. In the event that one of the top donors to the political
    27  committee  or  political  action  committee, having contributed at least
    28  five thousand dollars to such committee in the twelve  months  preceding
    29  the  election,  is  yet  another political committee or political action
    30  committee, such communication, text, or advertisement shall be  required
    31  to  list  the top three donors of such other committee, and so on and so
    32  forth, until the donors of all such political  committees  or  political
    33  action  committees  are  listed in the manner required herein for direct
    34  donors.
    35    (B) If the third largest donor to the disclosing  entity  has  donated
    36  the  same  amount  in  the  twelve  months preceding the election as the
    37  fourth largest donor during such period, such entity  may  choose  which
    38  three donors to include so long as no donor is included that has donated
    39  less  in  the  twelve months preceding the election than any other donor
    40  that is not included.  Such written disclosures shall  further  include,
    41  in  a conspicuous size and style, the following words: "More information
    42  at nyc.gov/FollowTheMoney." The board may, at its discretion,  designate
    43  a  website other than nyc.gov/FollowTheMoney as the website that must be
    44  included in such disclosure. All disclosures  required  by  this  clause
    45  shall  be  enclosed  in a box within the borders of the communication or
    46  advertisement that contains only  those  disclosures  required  by  this
    47  subparagraph,  the  rules  of  the board, the election law, or any other
    48  applicable law or rule. For the purposes of this clause, the "owner"  of
    49  an  entity  shall  be  an individual or entity with a greater than fifty
    50  percent ownership interest in such entity. The disclosures  required  by
    51  this clause shall not apply to bumper stickers, pins, buttons, pens, and
    52  similar  small  items  upon  which such disclosures cannot be reasonably
    53  printed;
    54    (ii) (A) on any paid television advertisement or paid  internet  video
    55  advertisement,  clearly spoken in a pitch and tone substantially similar
    56  to the rest of the advertisement, at the beginning or end of the  adver-

        S. 10663                            4
 
     1  tisement, the words "paid for by" followed by the name of the individual
     2  or  the  name of the entity, and, in a conspicuous size and style simul-
     3  taneous with such spoken disclosure, the written  words  "Paid  for  by"
     4  followed  by  the  name  of  the  individual  or the name of the entity,
     5  followed by the words "The top three donors to the organization  respon-
     6  sible for this advertisement are," followed by a list of the three larg-
     7  est  aggregate  donors to such entity in the twelve months preceding the
     8  election, except that no donor that contributed less than five  thousand
     9  dollars  to  the  disclosing  entity  in the twelve months preceding the
    10  election shall be included in such disclosure, and except that  if  such
    11  entity  has  only one or two donors that contributed at least five thou-
    12  sand dollars the words "top three donors" shall be replaced by the words
    13  "top donor" or "top donors" as applicable, and except that  expenditures
    14  funded  by  an individual or where no such donors exist need not include
    15  the words "The top three donors to the organization responsible for this
    16  advertisement are" or a list of donors,  and  except  that  this  clause
    17  shall  not  apply  to  communications  required  to include a disclosure
    18  pursuant to subdivision sixteen of section 3-703 of  the  administrative
    19  code.    Provided, however, that in the event that one of the top donors
    20  required to be listed under this clause  is  a  political  committee  or
    21  political  action  committee, such advertisement shall then disclose the
    22  three largest aggregate donors, as described in  this  clause,  of  such
    23  committee.    In  the  event that one of the top donors to the political
    24  committee or political action committee,  having  contributed  at  least
    25  five  thousand  dollars to such committee in the twelve months preceding
    26  the election, is yet another political  committee  or  political  action
    27  committee,  such  advertisement  shall  be  required to disclose the top
    28  three donors of such other committee, and so on and so forth, until  the
    29  donors  of  all such political committees or political action committees
    30  are disclosed in the manner required herein for direct donors.
    31    (B) If the third largest donor to the disclosing  entity  has  donated
    32  the  same  amount  in  the  twelve  months preceding the election as the
    33  fourth largest donor during such period, such entity  may  choose  which
    34  three donors to include so long as no donor is included that has donated
    35  less  in  the  twelve months preceding the election than any other donor
    36  that is not included. Such written disclosures shall further include, in
    37  a conspicuous size and style, the following words: "More information  at
    38  nyc.gov/FollowTheMoney."  The  board may, at its discretion, designate a
    39  website other than nyc.gov/FollowTheMoney as the website  that  must  be
    40  included  in  such  disclosure. All written disclosures required by this
    41  clause shall be enclosed in a box that contains only  those  disclosures
    42  required by this subparagraph, the rules of the board, the election law,
    43  or any other applicable law or rule;
    44    (iii)  (A) in any paid radio advertisement, paid internet audio adver-
    45  tisement, or automated telephone call, clearly spoken  in  a  pitch  and
    46  tone  substantially similar to the rest of the advertisement or call, at
    47  the end of the advertisement or call, the words "paid for  by"  followed
    48  by the name of the individual or the name of the entity, followed by the
    49  words  "with funding provided by," followed by a list of the three larg-
    50  est aggregate donors to such entity in the twelve months  preceding  the
    51  election,  except that no donor that contributed less than five thousand
    52  dollars to the disclosing entity in  the  twelve  months  preceding  the
    53  election  shall be included in such disclosure, and except that expendi-
    54  tures funded by an individual or where no such  donors  exist  need  not
    55  include  the  words  "with funding provided by" or a list of donors, and
    56  except that this clause shall not apply to  communications  required  to

        S. 10663                            5
 
     1  include a disclosure pursuant to subdivision sixteen of section 3-703 of
     2  the  administrative code.  Provided, however, that in the event that one
     3  of the top donors required to be listed under this clause is a political
     4  committee  or  political  action  committee,  such advertisement or call
     5  shall then disclose the three largest aggregate donors, as described  in
     6  this  clause, of such committee. In the event that one of the top donors
     7  to  the  political  committee  or  political  action  committee,  having
     8  contributed  at  least  five  thousand  dollars to such committee in the
     9  twelve months preceding the election, is yet another political committee
    10  or political action committee,  such  advertisement  or  call  shall  be
    11  required  to  disclose the top three donors of such other committee, and
    12  so on and so forth, until the donors of all such political committees or
    13  political action committees are disclosed in the manner required  herein
    14  for direct donors.
    15    (B)  If  the  third largest donor to the disclosing entity has donated
    16  the same amount in the twelve  months  preceding  the  election  as  the
    17  fourth  largest  donor  during such period, such entity may choose which
    18  three donors to include so long as no donor is included that has donated
    19  less in the twelve months preceding the election than  any  other  donor
    20  that  is  not  included. In the case of a radio or internet audio adver-
    21  tisement covered by this clause that is thirty seconds  in  duration  or
    22  shorter,    the    clearly    spoken    words   "more   information   at
    23  nyc.gov/FollowTheMoney" may be included in a pitch and tone substantial-
    24  ly similar to the rest of the advertisement, instead of the words  "with
    25  funding  provided  by" followed by a list of the three largest aggregate
    26  donors in the twelve months preceding the election.  The board  may,  at
    27  its discretion, designate a website other than nyc.gov/FollowTheMoney as
    28  the website that must be included in such disclosure; and
    29    (iv)  in  any  non-automated telephone call, clearly spoken during any
    30  such call lasting longer than ten seconds, the words "this call is  paid
    31  for by," followed by the name of the individual or the name of the enti-
    32  ty,   followed   by   the   words  "more  information  is  available  at
    33  nyc.gov/FollowTheMoney." The board may, at its discretion,  designate  a
    34  website  other  than  nyc.gov/FollowTheMoney as the website that must be
    35  included in such disclosure; provided, however, that in the  event  that
    36  the  entity is a political committee or political action committee, such
    37  telephone call shall then disclose the top donor of such  committee.  In
    38  the event that the donor to the political  committee or political action
    39  committee,  having  contributed  at  least five thousand dollars to such
    40  committee in the twelve months preceding the election,  is  yet  another
    41  political  committee  or political action committee, such telephone call
    42  shall be required to disclose the top donor of such other committee, and
    43  so on and so forth, until the donors of all such political committees or
    44  political action committees are disclosed in the manner required  herein
    45  for direct donors.
    46    § 5. Subparagraph (d) of paragraph 15 of subdivision a of section 1052
    47  of  the  New  York  city charter, as added by section 7 of Question 2 of
    48  local law number 60 of the city of  New  York  for  the  year  2010,  is
    49  amended to read as follows:
    50    (d) (i) The board may, upon notice and opportunity to be heard, assess
    51  civil penalties in an amount not in excess of [ten thousand] one million
    52  dollars per day for each violation of this paragraph. The intentional or
    53  knowing violation of this paragraph shall be punishable as a misdemeanor
    54  in addition to any other penalty provided under law.

        S. 10663                            6
 
     1    (ii)  The  board  may  further  pursue  injunctive relief to enjoin an
     2  unlawful disclosure or communication not in compliance with subparagraph
     3  (c) of this paragraph.
     4    §  6.  This  act shall take effect on the ninetieth day after it shall
     5  have become a law. Effective immediately, the addition, amendment and/or
     6  repeal of any rule or regulation necessary  for  the  implementation  of
     7  this  act  on its effective date are authorized to be made and completed
     8  on or before such effective date.
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