SB 1032 Hawaii Senate · 2025 Regular Session

RELATING TO CAMPAIGN FINANCE.

Summary

Prohibits foreign entities and foreign-influenced business entities from making contributions, expenditures, electioneering communications, or donations for election purposes. Allows every business entity that contributes or expends funds in a state election to certify that the entity is not and will not be a foreign corporation or foreign-influenced business entity if the entity intends to make contributions or expenditures within an election cycle. Specifies that if the conditions that determine whether a business entity qualifies as a foreign‑influenced business entity are held unconstitutional by a final judgment, including all appeals, the Campaign Spending Commission is required to establish revised conditions that are constitutional. Requires noncandidate committees making only independent expenditures to obtain a statement of certification from each top contributor required to be listed in an advertisement avowing that no funds were derived from foreign entities or foreign-influenced business entities. Effective 7/1/3000. (HD1)

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2025

Committee Review

Mar 2025

Senate Passage

Mar 2025

House Passage

Governor

Introduced Jan 17, 2025 Last action Mar 18, 2025

Maddy AI version diff · 3 comparisons

What changed between versions

SB1032_SD1 → SB1032_SD2 · 3 edits

MINOR

This version of the bill (SD2) is a technical revision of the previous version (SD1) that corrects formatting errors, removes metadata artifacts from the document markup, and standardizes the layout. The substantive policy content regarding campaign finance restrictions on foreign entities remains unchanged.

Scope change

No substantive change to the bill's scope or applicability; only formatting and metadata cleanup.

TECHNICAL

Removed metadata headers, footers, page numbers, and document tracking information that were embedded in the previous version.

Corrected formatting inconsistencies in section headers and statutory text to match standard legislative document formatting.

Added a summary description field at the end of the document for informational purposes.

SB1032 → SB1032_HD1 · 7 edits

MODERATE

This bill was reformatted from a Senate draft to a House draft version, with substantive policy changes including expanded definitions of prohibited entities, new certification requirements for businesses, and updated disclosure rules for political advertisements. The changes aim to strengthen protections against foreign influence in Hawaii elections by clarifying what constitutes a 'foreign-influenced business entity' and requiring businesses to certify their independence before making political contributions.

Scope change

The bill's scope was expanded to include additional business entity types (LLCs, limited partnerships, business trusts) in the definition of 'business entity' and introduced the new category of 'foreign-influenced business entity' with specific ownership thresholds.

DEFINITION

Added new definition of 'foreign-influenced business entity' covering entities with single foreign investors owning 1%+ equity, six+ foreign investors owning 5%+ equity, or foreign investors participating in political decision-making.

Added new definition of 'foreign investor' including foreign governments, foreign political parties, non-citizen individuals, and foreign-owned business entities with 50%+ ownership.

ELIGIBILITY

Expanded the list of prohibited entities from just foreign nationals and corporations to include foreign-influenced business entities with specific ownership criteria.

REQUIREMENT

Added requirement for businesses to file certification statements with the Campaign Spending Commission within seven days of making first contribution, certifying they are not foreign-influenced entities.

Modified disclosure requirements for political advertisements to require statements of certification from top contributors and new language for when contributors cannot be identified.

ENFORCEMENT

Added provision requiring contributions from foreign-influenced entities to escheat to the Hawaii election campaign fund.

TIMELINE

Changed effective date from unspecified to July 1, 3000 (likely a placeholder or error in the draft).

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 18, 2025

Committee

Reported from JHA (Stand. Com. Rep. No. 1333) as amended in HD 1, recommending passage on Second Reading and referral to FIN.

lower

Mar 12, 2025

Lower · Passed

The committee on JHA recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 9 Ayes: Representative(s) Tarnas, Poepoe, Belatti, Hashem, Kahaloa, Perruso, Takayama, Todd, Garcia; Ayes with reservations: none; 1 Noes: Representative(s) Shimizu; and 1 Excused: Representative(s) Cochran.

lower

Mar 6, 2025

Committee

Referred to JHA, FIN, referral sheet 19

lower

Mar 4, 2025

Introduced

Received from Senate (Sen. Com. No. 241) in amended form (SD 2).

lower

Mar 4, 2025

Upper · Passed

Report adopted; Passed Third Reading, as amended (SD 2). Ayes, 25; Aye(s) with reservations: none . Noes, 0 (none). Excused, 0 (none). Transmitted to House.

upper

Feb 27, 2025

Upper · Passed

The committee(s) on JDC recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in JDC were as follows: 5 Aye(s): Senator(s) Rhoads, Gabbard, Chang, San Buenaventura, Awa; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.

upper

Feb 18, 2025

Upper · Passed

The committee(s) on JDC will hold a public decision making on 02-20-25 10:01AM; CR 016 & Videoconference.

upper

Feb 11, 2025

Committee

Reported from TCA (Stand. Com. Rep. No. 257) with recommendation of passage on Second Reading, as amended (SD 1) and referral to JDC.

upper

Jan 30, 2025

Upper · Passed

The committee(s) on TCA recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in TCA were as follows: 5 Aye(s): Senator(s) Lee, C., Inouye, Elefante, Kanuha, DeCorte; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.

upper

Jan 27, 2025

Upper · Passed

The committee(s) on TCA has scheduled a public hearing on 01-30-25 3:00PM; Conference Room 224 & Videoconference.

upper

Jan 23, 2025

Committee

Referred to TCA, JDC.

upper

Jan 17, 2025

Introduced

Introduced.

upper

3 primary · 2 co-sponsors