Bill
SB 3870
Illinois bans foreign-influenced entities from political contributions or expenditures and requires a CEO certification within 7 days, with civil penalties equal to the prohibited
Title: ELEC CD-FOREIGN CONTRIBUTIONS
Jurisdiction: Illinois
Introduced: February 6, 2026
Sponsor: Sen. Sally J. Turner (co-sponsor)
Effective date: July 1, 2026
Purpose and main intent
- Prohibits foreign-influenced business entities from making political contributions or expenditures under certain conditions.
- Aims to prevent influences by foreign entities on Illinois elections, including contributions used for elections, independent expenditures, electioneering communications, or ballot initiatives.
Key definitions (new sections added to the Election Code)
- Chief executive officer (Sec. 9-1.16): The highest-ranking officer authorized to make business decisions.
- Foreign national (Sec. 9-1.17): Any non-U.S. citizen/non-permanent resident, foreign government or subdivision, foreign political party, or a foreign-ruled entity.
- Foreign-influenced business entity (Sec. 9-1.18): A business entity meeting any of:
1) One foreign investor holds 1%+ direct/indirect ownership.
2) Two or more foreign investors collectively hold 5%+ ownership.
3) A foreign investor participates in the entity’s decision-making regarding U.S. political activities.
Excludes ownership held in U.S.-based mutual funds for the ownership calculation.
- Foreign investor (Sec. 9-1.19): A person meeting ownership criteria and described as a government, foreign political party, foreign entity, non-U.S. citizen/non-permanent resident individual, or a U.S.-based entity where foreign interests hold 50%+ of equity/voting shares.
Prohibited actions by foreign-influenced business entities (Sec. 9-8.7)
- A foreign-influenced business entity shall not make:
- A contribution or donation conditioned on spending for specified political purposes (including expenditures, independent expenditures, or ballot-related actions).
- A contribution to a candidate or political committee.
- An expenditure on electioneering communications.
- A contribution or expenditure to support or oppose a ballot initiative.
- Certification and disclosure requirements:
- Within 7 days after a for-profit entity makes a contribution or expenditure (including independent expenditures), the entity must:
- Provide a certification to the State Board of Elections that it was not a foreign-influenced business entity on the date of the contribution/expenditure, signed by the CEO under penalty of perjury after reasonable inquiry.
- Provide a copy of the certification to the recipient (candidate, committee, or person).
- Certification must be based on beneficial ownership as per applicable corporate law and/or federal regulations (e.g., 17 CFR 240.13d-3 and 240.13d-5 when registered on a national exchange).
- Penalties and enforcement:
- Civil penalty equal to the amount of the prohibited contribution/expenditure if a violation occurs.
- Acknowledges that liability is not imposed on candidates or recipients; they may rely in good faith on a certification.
Other related provisions (existing or amended)
- Section 9-28.5 (Injunctive relief) remains in effect with provisions for restraining electioneering communications and expenditures that have not complied with registration/disclosure requirements. This includes actions by the Attorney General or State’s Attorneys and by political committees.
Who is affected
- For-profit business entities that may be foreign-influenced (as defined by Sec. 9-1.18) and engage in political activity (contributions, expenditures, independent expenditures, or electioneering communications) in Illinois.
- Polling/monitoring bodies: Illinois State Board of Elections, Attorney General, State’s Attorneys, political committees, and candidates receiving contributions.
- Recipient entities of contributions and the general electorate, who would see increased transparency and compliance obligations.
Procedural and timeline aspects
- Effective date: July 1, 2026.
- Certification deadline: Within 7 days after any applicable contribution or expenditure is made.
- Certification mechanism: CEO-perjured certification of non-foreign-influenced status, with copies to recipients.
- Enforcement: Civil penalties equal to the amount of the prohibited contribution/expenditure; no liability imposed on recipients for relying on certifications.
Notes
- The bill emphasizes certification and transparency regarding ownership and control of entities involved in political spending.
- It contains severability clause and standard enforcement language.
- It explicitly states it does not create liability for candidates or recipients simply by relying on a certification.
Compiled from official sources — confirm details with the bill’s official record.
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