Bill > SB2039

This bill establishes a new chapter in Hawaii law to prohibit certain business entities from engaging in election and campaign finance activities, which are defined as actions that promote or oppose political candidates or ballot questions. Specifically, a "covered business entity," meaning a business where owners, shareholders, members, or managers have limited liability for the entity's actions, is forbidden from participating in these activities. If a covered business entity violates this prohibition, it can be involuntarily dissolved or dissociated, and its owners, shareholders, members, and managers will be held personally liable for the entity's actions as if they were in a general partnership. This prohibition does not apply to candidate committees and non-candidate committees that are already regulated by campaign finance laws. The bill also includes standard provisions for severability and states that it will take effect upon approval and ratification of a constitutional amendment in 2026 that allows for the regulation, restriction, or prohibition of non-natural persons' participation in election and campaign finance activities.

Business and Industry

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=2039&year=2026