Senate Bill No. 606
(By Senators Wooton, Ball, Bowman, Dittmar, Hunter, Kessler,
Oliverio, Schoonover, Snyder, Deem and Kimble)
____________
[Originating in the Committee on the Judiciary;
reported February 18, 1998.]
_____________
A BILL to amend and reenact section five-f, article eight, chapter
three of the code of West Virginia, one thousand nine hundred
thirty-one, as amended, relating to establishing restrictions
on loans used for election purposes; providing that such loans
be made only by certain lending institutions; limiting
endorsements, guarantees and forms of security; and
establishing exceptions for loans made by candidates or their
spouses.
Be it enacted by the Legislature of West Virginia:
That section five-f, article eight, chapter three of the code
of West Virginia, one thousand nine hundred thirty-one, as amended,
be amended and reenacted to read as follows:
ARTICLE 8. REGULATION AND CONTROL OF ELECTIONS.
§3-8-5f. Loans to candidates, organizations or persons for
election purposes.
(a) Every candidate, financial agent, person or association of
persons or organization advocating or opposing the nomination or election of any candidate or the passage or defeat of any issue or
item to be voted upon who receives money or any other thing of
value as a loan toward election expenses shall execute, in writing,
an agreement with the individual, a lending institution or
organization making the loan. Such agreement shall state the date
and amount of the loan, the terms, including interest and repayment
schedule, and a description of the collateral, if any, and the full
names and addresses of all parties to the agreement. A copy of the
agreement shall be filed with the financial statement next required
after the loan is executed.
(b) Loans may only be made by lending institutions authorized
to make loans in this state. Such loans shall be subject to the
following requirements:
(1) Endorsements or guarantees of such loans may be made by
the candidate or his or her spouse;
(2) Endorsements or guarantees of such loans by parties other
than the candidate or his or her spouse may be made only to the
extent of the contribution limits established in this article; and
(3) No other form of security shall be furnished in connection
with such loans by any party other than the candidate or his or her
spouse.
(c) The provisions of this section shall not be construed to
prohibit a candidate or his or her spouse from loaning money to the
candidate or to the candidate's political committee.
_________
(NOTE: The purpose of this bill is to establish restrictions
on loans made for election purposes.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.)