Minnesota Statutes 10A.244 – Voluntary Inactive Status; Political Funds
Subdivision 1.Election of voluntary inactive status.
An association that has a political fund registered under this chapter may elect to have the fund placed on voluntary inactive status if the following conditions are met:
Terms Used In Minnesota Statutes 10A.244
- Association: means a group of two or more persons, who are not all members of an immediate family, acting in concert. See Minnesota Statutes 10A.01
- Board: means the state Campaign Finance and Public Disclosure Board. See Minnesota Statutes 10A.01
- Depository: means a bank, savings association, or credit union organized under federal or state law and transacting business within this state. See Minnesota Statutes 10A.01
- Political fund: means an accumulation of dues or voluntary contributions by an association other than a political committee, principal campaign committee, or party unit, if the accumulation is collected or expended to influence the nomination or election of one or more candidates or local candidates or to promote or defeat a ballot question. See Minnesota Statutes 10A.01
- state: extends to and includes the District of Columbia and the several territories. See Minnesota Statutes 645.44
(1) the association makes a written request for inactive status;
(2) the association has filed all periodic reports required by this chapter and has received no contributions into its political fund and made no expenditures or disbursements, including disbursements for electioneering communications, through its political fund since the last date included on the association’s most recent report; and
(3) the association has satisfied all obligations to the state for late filing fees and civil penalties imposed by the board or the board has waived this requirement.
Subd. 2.Effect of voluntary inactive status.
After an association has complied with the requirements of subdivision 1:
(1) the board must notify the association that its political fund has been placed in voluntary inactive status and of the terms of this section;
(2) the board must stop sending the association reports, forms, and notices of report due dates that are periodically sent to entities registered with the board;
(3) the association is not required to file periodic disclosure reports for its political fund as otherwise required under this chapter;
(4) the association may not accept contributions into its political fund and may not make expenditures, contributions, or disbursements, including disbursements for electioneering communications, through its political fund; and
(5) if the association maintains a separate depository account for its political fund, it may continue to pay bank service charges and receive interest paid on that account while its political fund is in inactive status.
Subd. 3.Resumption of active status or termination.
(a) An association that has placed its political fund in voluntary inactive status may resume active status upon written notice to the board.
(b) A political fund placed in voluntary inactive status must resume active status within 14 days of the date that it has accepted contributions or made expenditures, contributions, or disbursements, including disbursements for electioneering communications, that aggregate more than $750 since the political fund was placed on inactive status. If, after meeting this threshold, the association does not notify the board that its fund has resumed active status, the board may place the association’s political fund in active status and notify the association of the change in status.
(c) An association that has placed its political fund in voluntary inactive status may terminate the registration of the fund without returning it to active status.
Subd. 4.Penalty for financial activity while in voluntary inactive status.
If an association fails to notify the board of its political fund’s resumption of active status under subdivision 3, the board may impose a civil penalty of $50 per day, not to exceed $1,000 commencing on the 15th calendar day after the fund resumed active status.