(1) As used in this section:
"Candidate" has the same meaning as set forth in section 2 (2) of article XXVIII ofthe state constitution.
"Candidate committee" has the same meaning as set forth in section 2 (3) of articleXXVIII of the state constitution.
"Petition entity" means any person or committee that provides payment to a circulator to circulate a petition to nominate a candidate.
(2) (a) It is unlawful for any petition entity to provide payment to a circulator to circulate a petition to nominate a candidate without first obtaining a license from the secretary of state.
(b) (I) The secretary of state may deny a license if he or she finds that the petition entity or any of its principals have been found, in a judicial or administrative proceeding, to have authorized or knowingly permitted any of the acts set forth in subsection (2)(c) of this section.
(II) The secretary of state shall deny a license if no current representative of the petition entity has completed the training related to potential fraudulent activities in petition circulation as established by the secretary of state in accordance with section 1-4-905 (7).
(c) The secretary of state shall revoke a petition entity's license if, at any time after receiving a license, the petition entity is determined to no longer be in compliance with the requirements set forth in subsection (2)(b) of this section or if the petition entity authorized or knowingly permitted:
Forgery of a registered elector's signature;
Circulation of a petition section, in whole or part, by anyone other than the circulatorwho signs the affidavit attached to the petition section;
Use of a false circulator name or address in the affidavit;
Payment of money or other things of value to any person for the purpose of inducing the person to sign or withdraw his or her name from a petition; or
A notary public's notarization of a circulator affidavit outside of the physical presence of the circulator or without the production of the required identification for notarization of a petition section.
(3) (a) Whenever the secretary of state believes that a violation of this section has occurred, the secretary of state may investigate the violation. The secretary of state may also investigate possible violations of this section upon a signed complaint from any person.
If the secretary of state denies, revokes, suspends, or imposes a condition on a license, the applicant or licensee is entitled to timely notice and hearing in accordance with article 4 of title 24.
If, after a hearing, the secretary of state finds that an unlicensed petition entity circulated a petition in violation of this section, the secretary of state shall fine the petition entity in an amount not to exceed one hundred dollars per circulator for each day that the individual or individuals circulated petition sections on behalf of the unlicensed petition entity.
If, after a hearing, the secretary of state finds that a petition entity violated a provision of subsection (2)(c) of this section, the secretary shall revoke the entity's license for not less than ninety days or more than one hundred eighty days. Upon finding any subsequent violation of a provision of subsection (2)(c) of this section, the secretary shall revoke the petition entity's license for not less than one hundred eighty days or more than one year. The secretary shall consider all circumstances surrounding the violations in fixing the length of the revocations.
If, after a hearing, the secretary of state finds that a petition entity violated the requirements of subsection (5) of this section, the secretary shall fine the petition entity in an amount not to exceed five thousand dollars.
A petition entity whose license has been revoked may apply for reinstatement to beeffective upon expiration of the term of revocation.
In determining whether to reinstate a license, the secretary of state may consider:
The entity's ownership by, employment of, or contract with any person who served asa director, officer, owner, or principal of a petition entity whose license was revoked under this section or section 1-40-135, the role of such individual in the facts underlying the prior license revocation, and the role of such individual in a petition entity's post-revocation activities; and
Any other facts the entity chooses to present to the secretary, including but not limited to remedial steps, if any, that have been implemented to avoid future acts that would violate this article 4 or article 40 of this title 1.
(4) (a) The secretary of state shall issue a decision on any application for a new or reinstated license within ten business days after a petition entity files an application. The application must be on a form prescribed by the secretary and must include, at a minimum:
The name of any candidate or candidate committee for which a petition will be circulated by circulators coordinated or paid by the petition entity;
The current name, address, telephone number, and electronic-mail address of thepetition entity; and
The name and signature of the designated agent of the petition entity for the candidate or candidate committee.
A petition entity shall notify the secretary of state within twenty days of any changein the information submitted pursuant to subsection (4)(a) of this section.
The secretary of state shall charge a nonrefundable license fee for each application inaccordance with section 24-21-104 (3).
A petition entity shall ensure that a petition circulated by the entity is delivered to thecandidate or candidate committee no later than three days before the deadline for the candidate to file the petition.
The secretary of state may create a single application and license, and charge a singlefee, for entities subject to this section and section 1-40-135.
Source: L. 2019: Entire section added, (HB 19-1278), ch. 326, p. 3015, § 22, effective August 2.
Cross references: For the short title ("Colorado Votes Act") in HB 19-1278, see section 1 of chapter 326, Session Laws of Colorado 2019.