BILL ANALYSIS                                                                                                                                                                                                    Ó






                            SENATE COMMITTEE ON ELECTIONS
                            AND CONSTITUTIONAL AMENDMENTS
                           Senator Norma J. Torres, Chair


          BILL NO:   SB 1103              HEARING DATE:  4/22/14
          AUTHOR:    PADILLA              ANALYSIS BY:   Darren Chesin
          AMENDED:   AS INTRODUCED
          FISCAL:    YES
          
                                        SUBJECT

           Political Reform Act: candidacy for state office

                                      DESCRIPTION  
          
           Existing law  , pursuant to the Political Reform Act (PRA),  
          requires an individual to file a statement of intention to be a  
          candidate for an elective office, signed under penalty of  
          perjury, prior to soliciting or receiving a contribution or  
          loan. 

           Existing law  also requires the individual to establish one  
          campaign contribution account, as specified, upon filing the  
          statement of intention to be a candidate.  Furthermore, all  
          contributions or loans made to the candidate, to a person on  
          behalf of the candidate, or to the candidate's controlled  
          committee must be deposited in the account.  Any personal funds  
          that will be utilized to promote the election of the candidate  
          must also be deposited in the account prior to expenditure and  
          all campaign expenditures must be made from the account.

           Existing law  prohibits an individual from filing nomination  
          papers for more than one office at the same election but does  
          not prohibit an individual from filing a statement of intention  
          and establishing a campaign contribution account for more than  
          one office at the same election.

           This bill  would not prohibit an individual from filing more than  
          one statement of intention for more than one office at the same  
          election but it would provide that if an individual has already  
          filed a statement of intention to be a candidate for an elective  
          state office, the subsequent filing of a statement of intention  
          to be a candidate for a different elective state office to be  
          voted upon at the same election would constitute a revocation of  
          the previously filed statement and it would prohibit the  









          individual thereafter from soliciting or receiving a  
          contribution or loan for the office associated with the first  
          statement filed.

           This bill  would also provide that if an individual has  
          established campaign contribution accounts for multiple elective  
          state offices that are to be voted upon at the same election,  
          the individual shall deposit contributions only into the  
          campaign contribution account associated with the most recently  
          filed statement of intention to be a candidate.

           Existing law  does not prohibit an individual from filing a  
          statement of intention to be a candidate for elective state  
          office at an election occurring after the next time that office  
          will appear on the ballot (e.g. it is currently permissible to  
          file a statement to be a candidate for state office for the  
          2018, 2020, 2022 etc. elections even though the office will next  
          appear on the 2016 ballot).

           This bill  would prohibit an individual from filing, and the  
          Secretary of State from accepting, a statement of intention to  
          be a candidate for an elective state office at an election other  
          than the election at which that elective state office will next  
          appear on the ballot.

                                      BACKGROUND  
          
           Statements of Intention vs. Nomination Papers  .  A statement of  
          intention to be a candidate for an elective office is intended  
          to disclose an individual's intent to start raising campaign  
          contributions toward seeking a particular office.  Nomination  
          papers, including declarations of candidacy, are filed with  
          elections officials in order for the individual's name to appear  
          on the ballot as an actual candidate for the office.

           Ramifications on Contribution Limits  .  As stated below, the  
          author contends that permitting individuals to raise campaign  
          contributions for more than one office appearing on the same  
          ballot could be viewed as a way to circumvent the applicable  
          contribution limits in place for the individual offices.   
          Currently, the limits for campaign contributions to candidates  
          for elective state office are as follows:

           To a candidate for elective state office other than a  
          SB 1103 PADILLA                                                   
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            candidate for statewide elective office, no person may  
            contribute more than $4,100 per election and no small  
            contributor committee may contribute more than $8,200 per  
            election;

           To a candidate for elective statewide office other than a  
            candidate for Governor, no person may contribute more than  
            $6,800 per election and no small contributor committee may  
            contribute more than $13,600 per election;

           To a candidate for Governor, no person or small contributor  
            committee may contribute more than $27,200 per election.

          Existing law requires the Fair Political Practices Commission  
          (FPPC) to adjust these contribution limits biannually to reflect  
          any increase or decrease in the Consumer Price Index.

                                       COMMENTS  
          
           1.According to the Author  :  There is a need to build and restore  
            government trust in the election process. The belief that  
            money buys influence from elected legislators has led to laws  
            that attempt to diminish it.  Currently, the PRA limits  
            campaign contributions to $4,100 per person for candidates or  
            office holders that are running for California State Senate  
            and Assembly.  Candidates for statewide constitutional offices  
            have contribution limits of $6,800 per person with the  
            exception of the Governor who has a limit of $26,000.  Despite  
            the limits, an individual who decides to open two candidate  
            controlled committees can cumulatively generate more money  
            than what is legally permitted and undermine the effectiveness  
            of existing campaign contribution limits. Individuals may  
            receive funding in two different committees from the same  
            source while spending for one campaign while it benefits  
            another one.

          Currently, it is legal to declare an intention to run for more  
            than one office at a time.  By simply expressing the intention  
            to run for multiple offices an official may open multiple  
            campaign committees.  These multiple campaign committees can  
            potentially be used to cumulatively raise far in excess of the  
            established campaign contribution limits.

           2.Some "Double Dipping" OK  .  As stated above, the author  
          SB 1103 PADILLA                                                   
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            contends that permitting individuals to raise campaign  
            contributions for more than one office appearing on the same  
            ballot could be viewed as a way to circumvent the applicable  
            contribution limits in place for the individual offices.   
            However, this bill would not prohibit, for instance, an  
            individual from raising campaign contributions for a  
            legislative office scheduled to appear on the 2016 ballot  
            while simultaneously raising contributions for a statewide  
            office scheduled to appear on the 2018 ballot. 

           3.The Ted Gaines Paradox  .  Senator Ted Gaines was elected to the  
            Senate in a special run-off election held on January 4, 2011.   
            However, the special primary election for that race was  
            consolidated with the November 2, 2010 Statewide General  
            Election at which then-Assemblymember Gaines also appeared on  
            the ballot as a candidate for re-election to the Assembly.   
            This was not the first time such a situation had occurred.   
            While existing law prohibits an individual from filing  
            nomination papers for more than one office at the same  
            election this somewhat rare situation is permitted because the  
            regular election and the consolidated special election are  
            legally considered two different elections that just happen to  
            occur on the same day.  Ergo, the restrictions imposed by this  
            bill would presumably not apply to candidates who might appear  
            twice on the same ballot under the same circumstances.

                                       POSITIONS  

          Sponsor: Author

           Support: None received

           Oppose:  None received










          SB 1103 PADILLA                                                   
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