1. (a) A committee whose statement of organization has been filed with the election division may disband at any time in the manner prescribed by this section.
2. (b) The commission may administratively disband a committee in the manner prescribed by this section.

3. (c) The commission has exclusive jurisdiction to disband any of the following:

   1. (1) A candidate's committee for state office.
   2. (2) A candidate's committee for legislative office.
   3. (3) A legislative caucus committee.
   4. (4) A political action committee that has filed a statement or report with the election division.
   5. (5) A regular party committee that has filed a statement or report with the election division.

4. (d) The commission may administratively disband a committee in the following manner:

   1. (1) Not later than the last Friday of January of each year, the election division shall review the list of committees that have filed statements of organization with the division under this article.

   2. (2) If the election division determines the following, the election division may begin a proceeding before the commission to administratively disband the committee:

      1. (A) The committee has not filed a report of expenditures during the previous calendar year.
      2. (B) The committee has never filed a report of expenditures or the last report filed by the committee reported cash on hand in an amount that does not exceed one thousand dollars ($1,000).

      3. (C) The election division has attempted to contact the committee:

         1. (i) by United States mail during the previous calendar year to provide notice of upcoming deadlines to file a report of expenditures, but the communication has been returned by the United States Postal Service due to an unknown or insufficient address; or
         2. (ii) by electronic mail, if the committee provided an electronic mail address to the election division, but the electronic mail was returned as undeliverable.
   3. (3) The election division shall provide notice of the proceeding by certified mail to the last known address of the chairman and treasurer of the committee.

   4. (4) The commission may issue an order administratively dissolving the committee if the commission makes the following findings:

      1. (A) There is no evidence that the committee continues to receive contributions, make expenditures, or otherwise function as a committee.
      2. (B) According to the best evidence available to the commission, the dissolution of the committee will not impair any contract or impede the collection of a debt or judgment by any person or impair the prosecution of any violation of criminal law.

   5. (5) If the commission:

      1. (A) administratively dissolves a committee under subdivision (4); and

      2. (B) finds that the prudent use of public resources makes further efforts to collect any outstanding civil penalty imposed against the committee wasteful or unjust;

         the commission may also waive the outstanding civil penalty previously imposed by the commission against the committee.

   6. (6) The election division shall arrange for the publication in the Indiana Register of an order administratively disbanding a committee.
   7. (7) An order issued under this subsection takes effect immediately upon its adoption, unless otherwise specified in the order.

5. (e) If the chairman or treasurer of a committee wishes to disband the committee, the committee must do either of the following:

   1. (1) Give written notification of the dissolution and transfer a surplus of contributions less expenditures to any one (1) or a combination of the following:

      1. (A) One (1) or more regular party committees.
      2. (B) One (1) or more candidate's committees.
      3. (C) The election division.
      4. (D) An organization exempt from federal income taxation under Section 501 of the Internal Revenue Code.
      5. (E) Contributors to the committee, on a pro rata basis.
   2. (2) Use the surplus in any other manner permitted under IC 3-9-3-4 .

6. (f) Except as provided in subsection (d) concerning the waiver of civil penalties, a dissolution or transfer of funds does not relieve the committee or the committee's members from any:

   1. (1) civil liability, including the liability of the committee's chairman or treasurer for the payment of any debts incurred by or on behalf of the committee; or
   2. (2) criminal liability.

As added by P.L.47-2026, SEC.2.