SB 1197 makes targeted amendments to the Candidate for Office Financial Disclosure Act (part of 2023 PA 282) to clarify who must report, narrow some spousal reporting requirements, add specificity to unearned‑income and securities disclosures, and modernize filing options. The changes were proposed to align statutory reporting requirements with the intent of Proposal 22‑1 and guidance from the Attorney General’s opinion during initial implementation.
Definition of “candidate for office”: Clarifies that the term applies to candidates (Governor, Lieutenant Governor, Secretary of State, Attorney General, state representative, state senator) who are subject to the Michigan Campaign Finance Act, whose candidate committee received or expended more than $1,000 during the election cycle, and who intend to appear on the ballot during that election cycle.
Spousal reporting threshold: A candidate must list the name of a spouse, but must report the spouse’s occupation and employer(s) only if the spouse received at least $1,000 in annual income.
Unearned income and securities: Requires candidates to report the origin and the address of sources of unearned income (reportable when > $200 during the reporting period) and the origin and address of securities (reportable when aggregate fair market value ≥ $1,000). The statute retains CPI adjustments for reporting thresholds (Detroit CPI, adjusted every 4 years).
Other reporting thresholds and items (unchanged/retained in text): assets held for investment or production of income with fair market value thresholds ($1,000+), liabilities over $10,000, disclosure exceptions for widely held funds, etc.
Deletion of definitions: The bill removes the Act’s separate definitions of “gift” and “honorarium” (as previously included in the Act text).
Department of State form availability: Requires the Department of State to post the most recent financial disclosure form on its website (committee report specifies availability by March 2025).
Filing flexibility: The Secretary of State must accept statements and reports submitted via email as an acceptable alternative to the Act’s web/electronic filing system.
Filing deadlines / compliance: Annual filing by May 15 in election years (with special rules for committees organized after May 15); candidates receiving a SOS notice must file corrections or the report within 9 business days.
