§ 14-130 — Campaign funds for personal use

§ 14-130. Campaign funds for personal use. 1. Contributions received\nby a candidate or a political committee may be expended for any lawful\npurpose. Such funds shall not be converted by any person to a personal\nuse which is unrelated to a political campaign or the holding of a\npublic office or party position.\n 2. No contribution shall be used to pay interest or any other finance\ncharges upon monies loaned to the campaign by such candidate or the\nspouse of such candidate.\n 3. For the purposes of this section, contributions "converted by any\nperson to a personal use" are expenditures that are exclusively for the\npersonal benefit of the candidate or any other individual, not in\nconnection with a political campaign or the holding of a public office\nor party position. "Converted by any person to a personal use", when\nmeeting the definition in this subdivision, shall include, but not be\nlimited to, expenses for the following:\n (i) any residential or household items, supplies or expenditures,\nincluding mortgage, rent or utility payments for any part of any\npersonal residence of a candidate or officeholder or a member of the\ncandidate's or officeholder's family that are not incurred as a result\nof, or to facilitate, the individual's campaign, or the execution of his\nor her duties of public office or party position. In the event that any\nproperty or building is used for both personal and campaign use or as\npart of the execution of his or her duties of public office or party\nposition, personal use shall constitute expenses that exceed the\npro-rated amount for such expenses based on fair-market value.\n (ii) mortgage, rent, or utility payments to a candidate or\nofficeholder for any part of any non-residential property that is owned\nby a candidate or officeholder or a member of a candidate's or\nofficeholder's family and used for campaign purposes, to the extent the\npayments exceed the fair market value of the property's usage for\ncampaign activities;\n (iii) clothing, other than items that are used in the campaign or in\nthe execution of the duties of public office or party position;\n (iv) tuition payments unrelated to a political campaign or the holding\nof a public office or party position;\n (v) salary payments or other compensation provided to any person for\nservices where such services are not solely for campaign purposes or\nprovided in connection with the execution of the duties of public office\nor party position;\n (vi) salary payments or other compensation provided to a member of a\ncandidate's family, unless the family member is providing bona fide\nservices to the campaign. If a family member provides bona fide services\nto a campaign, any salary payments or other compensation in excess of\nthe fair market value of the services provided shall be considered\npayments for personal use;\n (vii) admission to a sporting event, concert, theater, or other form\nof entertainment, unless such event is part of, or in connection with, a\ncampaign or is related to the holding of public office or party\nposition;\n (viii) payment of any fines or penalties assessed against the\ncandidate pursuant to this chapter or in connection with a criminal\nconviction or by the joint commission for public ethics pursuant to\nsection ninety-four of the executive law or sections seventy-three or\nseventy-three-a of the public officers law or the legislative ethics\ncommission pursuant to section eighty of the legislative law;\n (ix) dues, fees, or gratuities at a country club, health club,\nrecreational facility or other entities with a similar purpose, unless\nthey are expenses connected with a specific fundraising event or\nactivity associated with a political campaign or the holding of public\noffice or party position that takes place on the organization's\npremises;\n (x) travel expenses including automobile purchases or leases, unless\nused for campaign purposes or in connection with the execution of the\nduties of public office or party position and usage of such vehicle\nwhich is incidental to such purposes or the execution of such duties;\nand\n (xi) childcare expenses, other than expenses incurred in the campaign\nor in the execution of the duties of public office or party position.\n 4. Nothing in this section shall prohibit a candidate from purchasing\nequipment or property from his or her personal funds and leasing or\nrenting such equipment or property to a committee working directly or\nindirectly with him to aid or participate in his or her nomination or\nelection, including an exploratory committee, provided that the\ncandidate and his or her campaign treasurer sign a written lease or\nrental agreement. Such agreement shall include the lease or rental\nprice, which shall not exceed the fair lease or rental value of the\nequipment. The candidate shall not receive lease or rental payments\nwhich, in the aggregate, exceed the cost of purchasing the equipment or\nproperty.\n 5. Nothing in this section shall prohibit an elected public\nofficeholder from using campaign contributions to facilitate, support,\nor otherwise assist in the execution or performance of the duties of his\nor her public office.\n 6. The state board of elections shall issue advisory opinions upon\nrequest regarding expenditures that may or may not be considered\npersonal use of contributions. Any formal or informal advisory opinions\nissued by a majority vote of the commissioners of the state board of\nelections shall be binding on the board, the chief enforcement counsel\nestablished by subdivision three-a of section 3-100 of this chapter, and\nin any subsequent civil or criminal action or proceeding or\nadministrative proceeding.\n