§ 5-09 Loans.
RCNY § 5-09
(a)Deposit. All loans must be accepted and deposited, or rejected and returned, within 10 business days after receipt.
(b)Loans over $100 may not be made by cash or credit card.
(c)Loans forgiven. Any portion of a loan that is forgiven is a monetary contribution from the source of the loan, subject to the contribution limits and prohibitions.
(d)Third party repayment of loan. If any portion of a loan is repaid by an individual or entity other than the committee that received the loan, the portion thus repaid is a contribution by that individual or entity.
(e)Repayment by next election. If a loan is not repaid by the date of the next election in which the candidate appears on the ballot, the loan, guarantee, or other security for the loan will be considered a contribution subject to the Act's contribution limits and prohibitions.
(f)Loans made in regular course of business. A loan made in the regular course of the lender's business shall be deemed, to the extent not repaid by the date of the next election in which the candidate appears on the ballot, a contribution by the lender and by any other individual or entity endorsing, cosigning, guaranteeing, collateralizing, or otherwise providing security for the loan.
(g)Loans not made in regular course of business. A loan not made in the regular course of the lender's business shall be deemed, to the extent not repaid by the date of the next election in which the candidate appears on the ballot, a contribution by the lender.
(h)Attributing a loan to an election. A loan is presumed to be accepted for the next election in which the candidate seeks nomination or election following the day that the loan is received, except as otherwise provided in 52 RCNY § 5-09(i), and except that: (i) in the case of a state or local election, loans received before the first January 12 after an election will be presumed to be accepted for that election; and (ii) in the case of a federal election, loans received before the first January 1 after the election will be presumed to be accepted for that election, except as may otherwise be provided under federal law and regulations.
(i)Post-election loans.
(ii)Loans received after an election must be deposited in the committee bank account for that election.
(iii)A loan to a candidate's principal committee made from such candidate's personal funds, after a final determination of the Board has been issued with respect to such committee, for the purpose of paying penalties or making required repayments to the Fund pursuant to such determination, is not subject to the contribution limit, even if such loan is subsequently forgiven by such candidate.
(j)Interest. A candidate’s committee shall not pay interest or other finance charges on a loan made from the personal funds of the candidate, from the personal funds of a spouse, domestic partner, child, grandchild, parent, grandparent, or sibling of the candidate or spouse or domestic partner of such child, grandchild, parent, grandparent, or sibling, or from an entity in which the candidate or any such person has a 10% or greater ownership interest. (Added City Record 8/16/2019, eff. 9/15/2019; amended City Record 11/19/2024, eff. 12/19/2024)
