wa-law.org > bill > 2025-26 > HB 2705 > Original Bill

HB 2705 - Campaign funds/ethics compl.

Source

Section 1

  1. The surplus funds of a candidate or a candidate's authorized committee may only be disposed of in any one or more of the following ways:

    1. Return the surplus to a contributor in an amount not to exceed that contributor's original contribution;

    2. Using surplus, reimburse the candidate for lost earnings incurred as a result of that candidate's election campaign. Lost earnings shall be verifiable as unpaid salary or, when the candidate is not salaried, as an amount not to exceed income received by the candidate for services rendered during an appropriate, corresponding time period. All lost earnings incurred shall be documented and a record thereof shall be maintained by the candidate or the candidate's authorized committee. The committee shall maintain a copy of this record in accordance with RCW 29B.25.090(6);

    3. Transfer the surplus without limit to a political party or to a caucus political committee;

    4. Donate the surplus to a charitable organization registered in accordance with chapter 19.09 RCW;

    5. Transmit the surplus to the state treasurer for deposit in the general fund, the Washington state legacy project, state library, and archives account under RCW 43.07.380, or the legislative international trade account under RCW 43.15.050, as specified by the candidate or political committee;

    6. Hold the surplus in the depository or depositories designated in accordance with RCW 29B.25.050 for possible use in a future election campaign for the same office last sought by the candidate and report any such disposition in accordance with RCW 29B.25.100. If the candidate subsequently announces or publicly files for office, the appropriate information must be reported to the commission in accordance with RCW 29B.25.020 through 29B.25.100. If a subsequent office is not sought the surplus held shall be disposed of in accordance with the requirements of this section; or

    7. [Empty]

      1. Hold the surplus campaign funds in a separate account for nonreimbursed public office-related expenses or as provided in this section, and report any such disposition in accordance with RCW 29B.25.100. The separate account required under this subsection shall not be used for deposits of campaign funds that are not surplus.

      2. For purposes of this subsection (1)(g), a public office-related expense includes, but is not limited to, direct out-of-pocket expenses made by the candidate or elected official for legal expenses incurred in responding to a citizen action or ethics complaint, investigation, or hearing, commenced under chapter 42.52 RCW or the applicable local ethics code, that concerns the candidate or elected official in his or her capacity as a candidate or elected official. Legal expenses eligible for disposition also include those incurred in petitioning for a protection order that relates to the citizen action or ethics complaint. Disposition may occur for any of the legal fees described in this subsection incurred after January 1, 2025.

  2. No candidate or authorized committee may transfer funds to any other candidate or other political committee.

  3. The disposal of surplus funds under this section shall not be considered a contribution for purposes of this title.

Section 2

Contributions received and reported in accordance with RCW 29B.25.060 through 29B.25.100 and 29B.40.080 may only be paid to a candidate, or a treasurer or other individual or expended for such individual's personal use under the following circumstances:

  1. Reimbursement for or payments to cover lost earnings incurred as a result of campaigning or services performed for the political committee. Lost earnings shall be verifiable as unpaid salary, or when the individual is not salaried, as an amount not to exceed income received by the individual for services rendered during an appropriate, corresponding time period. All lost earnings incurred shall be documented and a record shall be maintained by the candidate or the candidate's authorized committee in accordance with RCW 29B.25.090.

  2. Reimbursement for direct out-of-pocket election campaign and postelection campaign related expenses made by the individual. For example, expenses for child care or other direct caregiving responsibilities may be reimbursed if they are incurred directly as a result of the candidate's campaign activities. To receive reimbursement from the political committee, the individual shall provide the political committee with written documentation as to the amount, date, and description of each expense, and the political committee shall include a copy of such information when its expenditure for such reimbursement is reported pursuant to RCW 29B.25.100.

  3. Repayment of loans made by the individual to political committees shall be reported pursuant to RCW 29B.25.100. However, contributions may not be used to reimburse a candidate for loans totaling more than four thousand seven hundred dollars made by the candidate to the candidate's own authorized committee.

  4. Reimbursement for direct out-of-pocket expenses made by a candidate or elected official for legal expenses incurred in responding to a citizen action or ethics complaint, investigation, or hearing, commenced under chapter 42.52 RCW or the applicable local ethics code, that concerns the candidate or elected official in his or her capacity as a candidate or elected official. Reimbursable legal expenses also include those incurred in petitioning for a protection order that relates to the citizen action or ethics complaint. Reimbursement may occur for any legal fees described in this subsection incurred after January 1, 2025. To receive reimbursement from the political committee, the individual shall provide the political committee with written documentation as to the amount, date, and description of each expense, and the political committee shall include a copy of such information when its expenditure for such reimbursement is reported pursuant to RCW 29B.25.100.


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