A BILL TO BE ENTITLED
AN ACT to strengthen the penalties against improper and coercive political fundraising practices against state employees and to apply the law to all state employees.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 126‑13 reads as rewritten:
"§ 126‑13.  Appropriate political activity of State employees defined.
(a)	As an individual, each State employee retains all the rights and obligations of citizenship provided in the Constitution and laws of the State of North Carolina and the Constitution and laws of the United States of America; however, no State employee shall:
(1)	Take any active part in managing a campaign, or campaign for political office or otherwise engage in political activity while on duty or within any period of time during which he is expected to perform services for which he receives compensation from the State;
(2)	Otherwise use the authority of his position, or utilize State funds, supplies or vehicles to secure support for or oppose any candidate, party, or issue in an election involving candidates for office or party nominations, or affect the results thereof.
(a1)	Nothing in subsection (a) of this section shall prohibit any otherwise lawful action of an elected official to communicate with constituents, to formulate legislation or public policy, to discuss legislation or public policy, to discuss that elected official's conduct in office, and to perform any of the customary and usual duties of that office or elective office generally. 
(b)	No head of any State department, agency, or institution or other State employee exercising supervisory authority shall make, issue, or enforce any rule or policy the effect of which is to interfere with the right of any State employee as an individual to engage in political activity while not on duty or at times during which he is not performing services for which he receives compensation from the State. A State employee who is or may be expected to perform his duties on a twenty‑four hour per day basis shall not be prevented from engaging in political activity except during regularly scheduled working hours or at other times when he is actually performing the duties of his office. 
(c)	The willful violation of this section shall be a Class 1 misdemeanor.
(d)	The provisions of this section apply to all State employees without exception. For purposes of this section, the term "State employees" includes public school employees, community college employees, and employees of The University of North Carolina."
SECTION 2.  G.S. 126‑14 reads as rewritten:
"§ 126‑14.  Coercion by State employee or appointee to obtain political contribution or support.
(a)	It is unlawful for any State employee or a person appointed to State 				
office to coerce any State employee or applicant for State employment to support or contribute to a political candidate, political committee as defined in G.S. 163‑278.6, or political party or to change the party designation of that person's voter registration by threatening that change in employment status or discipline or preferential personnel treatment will occur with regard to  that person or to any other State employee or applicant for State employment.
(b)	Any person willfully violating this section shall be guilty of a  Class H felony. 
(b1)	Any candidate, political committee, or political party that accepts a contribution knowing it was coerced in violation of this section shall be subject to a civil penalty of up to three times the amount of the contribution. Any contribution that was coerced in violation of this section shall be returned to the contributor, regardless of whether the contributee knew it was coerced. Except as specified in this subsection, the State Board of Elections shall enforce the provisions of this subsection, using the methods set forth in G.S. 163-278.34(b) and (e).
(c)	A State employee subject to the Personnel Act, probationary State employee, or temporary State employee who without probable cause falsely accuses a State employee or a person appointed to State office of violating this section shall be subject to discipline or change in employment status in accordance with the provisions of G.S. 126‑35, 126‑37, and 126‑38 and may, as otherwise provided by law, be subject to criminal penalties for perjury or civil liability for libel, slander, or malicious prosecution. 
(c1)	Every State employee covered by this section shall be covered with regard to the rights and duties of this section by the protections and rights of Article 14 of this Chapter.
(d)	The provisions of this section apply to all State employees and applicants for State employment without exception. For purposes of this section, the term "State employees" includes public school employees, community college employees, and employees of The University of North Carolina."
SECTION 3.  G.S. 126‑14.1 reads as rewritten:
"§ 126‑14.1.  Coercion by non-State employee to obtain political contribution or support.
(a)	It is unlawful for any person who is not a State employee or appointee to a State office to 				
coerce any State employee or applicant for State employment to support or contribute to a political candidate, political committee as defined in G.S. 163‑278.6, or political party or to change the party designation of his voter registration by explicitly threatening that change in employment status or discipline or preferential personnel treatment will occur with regard to  that person or to any other State employee or applicant for State employment.
(b)	Any person violating this section shall be guilty of a Class H felony.
(b1)	Any candidate, political committee, or political party that accepts a contribution knowing it was coerced in violation of this section shall be subject to a civil penalty of up to three times the amount of the contribution. Any contribution that was coerced in violation of this section shall be returned to the contributor, regardless of whether the contributee knew it was coerced. Except as specified in this subsection, the State Board of Elections shall enforce the provisions of this subsection, using the methods set forth in G.S. 163-278.34(b) and (e).
(c)	A State employee subject to the Personnel Act, probationary State employee, or temporary State employee, who without probable cause falsely accuses a person of violating this section shall be subject to discipline or change in employment status in accordance with the provisions of G.S. 126‑35, 126‑37, and 126‑38 and may, as otherwise provided by law, be subject to criminal penalties for perjury or civil liability for libel, slander, or malicious prosecution.
(c1)	Every State employee covered by this section shall be covered with regard to the rights and duties of this section by the protections and rights of Article 14 of this Chapter.
(d)	The provisions of this section apply to all State employees and applicants for State employment without exception. For purposes of this section, "State employees" includes public school employees, community college employees, and employees of The University of North Carolina."
SECTION 4.  G.S. 126‑5(c) reads as rewritten:
"(c)	Except as to the policies, rules, and plans established by the Commission pursuant to G.S. 126‑4(1), 126‑4(2), 126‑4(3), 126‑4(4), 126‑4(5), 126‑4(6), and 126‑7, and except as to the provisions of G.S. 126-13, 126-14, 126-14.1, and of Articles 6 and 7 of this Chapter, the provisions of this Chapter shall not apply to:
(1)	A State employee who is not a career State employee as defined by this Chapter.
(2)	One confidential assistant and two confidential secretaries for each elected or appointed department head and one confidential secretary for each chief deputy or chief administrative assistant.
(3)	Employees in exempt policymaking positions designated pursuant to G.S. 126‑5(d).
(4)	The chief deputy or chief administrative assistant to the head of each State department who is designated either by statute or by the department head to act for and perform all of the duties of such department head during his absence or incapacity."
SECTION 5.  G.S. 126‑5(c1) reads as rewritten:
"(c1)	Except as to the provisions of G.S. 126-13, 126-14, 126-14.1, and of Articles 6 and 7 of this Chapter, the provisions of this Chapter shall not apply to:
(1)	Constitutional officers of the State.
(2)	Officers and employees of the Judicial Department.
(3)	Officers and employees of the General Assembly.
(4)	Members of boards, committees, commissions, councils, and advisory councils compensated on a per diem basis.
(5)	Officials or employees whose salaries are fixed by the General Assembly, or by the Governor, or by the Governor and Council of State, or by the Governor subject to the approval of the Council of State.
(6)	Employees of the Office of the Governor that the Governor, at any time, in his discretion, exempts from the application of the provisions of this Chapter by means of a letter to the State Personnel Director designating these employees.
(7)	Employees of the Office of the Lieutenant Governor, that the Lieutenant Governor, at any time, in his discretion, exempts from the application of the provisions of this Chapter by means of a letter to the State Personnel Director designating these employees.
(8)	Instructional and research staff, physicians, and dentists of The University of North Carolina.
(9)	Employees whose salaries are fixed under the authority vested in the Board of Governors of The University of North Carolina by the provisions of G.S. 116‑11(4), 116‑11(5), and 116‑14.
(10)	Repealed by Session Laws 1991, c. 84, s. 1.
(11)	North Carolina School of Science and Mathematics' employees whose salaries are fixed in accordance with the provisions of G.S. 116‑235(c)(1) and G.S. 116‑235(c)(2).
(12)	Employees of the North Carolina Low‑Level Radioactive Waste Management Authority whose salaries are fixed pursuant to G.S. 104G‑5(g)(1) and G.S. 104G‑5(g)(2).
(13)	Employees of the North Carolina Hazardous Waste Management Commission whose salaries are fixed pursuant to G.S. 130B‑6(g)(1) and G.S. 130B‑6(g)(2).
(14)	Employees of the North Carolina State Ports Authority.
(15)	Employees of the North Carolina Global TransPark Authority.
(16)	The executive director and one associate director of the North Carolina Center for Nursing established under Article 9F of Chapter 90 of the General Statutes.
(17)	The executive director of the independent staff of the Information Resources Management Commission established under G.S. 143B‑472.41A.
(18)	Employees of the Tobacco Trust Fund Commission established in Article 75 of Chapter 143 of the General Statutes.
(19)	Employees of the Health and Wellness Trust Fund Commission established in Article 21 of Chapter 130A of the General Statutes.
(20)	Employees of the North Carolina Rural Redevelopment Authority created in Part 2D of Article 10 of Chapter 143B of the General Statutes."
SECTION 6.  G.S. 126‑5(c2) reads as rewritten:
(c2)	Except for the provisions of G.S. 126-13, 126-14, 126-14.1, the provisions of this Chapter shall not apply to:
(1)	Public school superintendents, principals, teachers, and other public school employees.
(2)	Recodified as G.S. 126‑5(c)(4) by Session Laws 1985 (Regular Session, 1986), c. 1014, s. 41.
(3)	Employees of community colleges whose salaries are fixed in accordance with the provisions of G.S. 115D‑5 and G.S. 115D‑20, and employees of the Community Colleges System Office whose salaries are fixed by the State Board of Community Colleges in accordance with the provisions of G.S. 115D‑3."
SECTION 7.  G.S. 126‑5(c3) reads as rewritten:
"(c3)	Except as to the policies, rules, and plans established by the Commission pursuant to G.S. 126‑4(5) and the provisions of G.S. 126-13, 126-14, 126-14.1, and of Article 6 of this Chapter, the provisions of this Chapter shall not apply to: Teaching and related educational classes of employees of the Department of Correction, the Department of Health and Human Services, and any other State department, agency or institution, whose salaries shall be set in the same manner as set for corresponding public school employees in accordance with Chapter 115C of the General Statutes."
SECTION 8.  This act becomes effective January 1, 2003.