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HB 5197

Campaign finance: contributions and expenditures; contributions by certain foreign entities; prohibit. Amends secs. 7, 15, 24, 26, 51 & 54 of 1976 PA 388 (MCL 169.207 et seq.) & adds sec. 34a.

2025-2026 Regular Session Introduced by Will Bruck and 1 co-sponsor

Bans foreign nationals from funding, directing, or participating in Michigan ballot-question campaigns; adds disclosure rules and penalties for violations.

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Bill Summary · HB 5197

HB 5197 — Summary (Introduced Oct 30, 2025)

Purpose: Amend the Michigan Campaign Finance Act (1976 PA 388; MCL 169.207 et seq.) to prohibit foreign nationals from funding, directing, or otherwise materially participating in efforts to qualify, promote, or defeat ballot questions; to add new disclosure/affirmation requirements for ballot-question activity; and to limit public disclosure of donor lists in certain investigations. The bill amends sections 7, 15, 24, 26, 51, and 54 and adds section 34a.

Key provisions

  • Prohibition on foreign-national participation
    • Bars a foreign national from: making contributions, expenditures, or independent expenditures; soliciting donations; directing/controlling or participating in decision-making to promote/defeat or qualify a ballot question.
  • Definition of “foreign national”
    • Includes non‑U.S. citizens or lawful permanent residents; foreign governments/subdivisions; foreign political parties; entities organized in or principally based in a foreign country.
    • Excludes a U.S. entity that is wholly or majority foreign‑owned only if (1) contributions/expenditures are entirely from U.S. operations and (2) decisions about the contributions/expenditures are made by U.S. citizens or permanent residents (except high‑level budget setting).
  • Prohibitions on recipients and intermediaries
    • Committees, political parties, candidates, individuals, or separate segregated funds may not knowingly solicit, accept, or use money from a foreign national for prohibited ballot‑question purposes.
  • Ballot‑question committee requirements
    • Prohibits committees from knowingly receiving foreign‑national funds; must return prohibited contributions within 30 business days.
    • Statements of organization must include a certification that foreign nationals did not directly/indirectly fund preliminary activities (e.g., polling, drafting language, travel).
    • Campaign statements must affirm no prohibited foreign‑national contributions were knowingly received and that each donor is not a foreign national and has not accepted >$100,000 aggregate from foreign nationals in the prior four years.
  • Independent expenditures
    • For statewide ballot‑question independent expenditures, filers must affirm they have not accepted >$100,000 aggregate from foreign nationals in the prior four years and will not accept >$100,000 aggregate through the election date.
  • Investigations and donor nondisclosure
    • In investigations/proceedings related to alleged violations by foreign nationals, donor lists of implicated tax‑exempt organizations are confidential except for information directly related to the alleged violation; that donor information is exempt from FOIA disclosure.
  • Sanctions
    • Specific civil penalty for certain violations capped at double the amount of an undisclosed contribution; general MCF Act penalties otherwise apply (typically up to $1,000 per violation unless otherwise specified).

Who would be affected

  • Ballot‑question committees, initiative/ referendum campaigns, political parties, candidates, PACs, separate segregated funds, and persons making independent expenditures; donors and tax‑exempt organizations implicated in investigations; foreign individuals, entities, and governments (as defined).

Procedural / timeline notes

  • Introduced March 14, 2025 (Rep. Rachelle Smit); first reading April 7, 2025; referred to Committee on Election Integrity (Oct 30, 2025). Companion bill: SB 2692.
  • Amends multiple sections of the Michigan Campaign Finance Act and adds Sec. 34a.

Fiscal impact

  • Indeterminate. Fines collected would be deposited to support public and county law libraries and, per existing law, $10 of civil fines is deposited to the state Justice System Fund. Actual revenues depend on enforcement outcomes.

(Complete to 11-3-25; based on House Fiscal Agency legislative analysis and introduced bill text.)

Compiled from official sources — confirm details with the bill’s official record.

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