Skip to content
Subscribe

Campaign Finance: California's Proposition 32 Explained

Published:
proposition-32

Open primaries were implemented in California this year and its impact has already been felt. The next step in electoral reform could be in campaign finance. Proposition 32 will be on the ballot this November. "The Paycheck Protection Initiative" is one of its many monikers.

The initiative is designed to apply to state and local elections but not federal contests. Proposition 32 targets corporations, public and private sector labor unions, and government contractors. All three groups would not be allowed to directly contribute to any local or state candidate. Contributions are most commonly in the form of monetary support and the ban would also extend to committees coordinated with a candidate.

An important distinction to make is between political contributions and independent expenditures. Independent expenditures are defined as money spent on political speech that is not in coordination with a candidate. A union or corporation simply releasing an advertisement for or against a candidate is an independent expenditure. However, full disclosure of state and local expenditures is required by law. Proposition 32 would not affect independent expenditures.

Both political contributions and independent expenditures are under the umbrella of "political spending".

Current campaign finance laws in California limit individual and group contributions to $26,000 for gubernatorial candidates and $3,900 for state legislative candidates.

You may be wondering where the initiative gets its "Paycheck Protection" name. Prop 32 seeks to ban unions and corporations from using payroll deductions for political spending. Again, the ban does not extend to federal elections, as Prop 32 only affects state and local elections. Payroll deductions for collective bargaining will also remain unaffected. One stipulation is that an employer may use payroll deductions for political spending only if the employee consents. This way, the money is voluntarily contributed to the independent expenditures of the union or corporation.

Opponents of the proposition say that the ban on mandatory payroll deduction for political purposes marginalizes unions. This is where labor unions receive most of their political funding. Corporations have vast resources outside of payroll deductions. The proponents state that union members will have increased freedom to do as they wish with their money. Again, union members can willingly deduct from their own wages for political spending.

Regarding government contractors, they would not be allowed to contribute to candidates who have authority in awarding contracts at all. This provision also includes union members with collective bargaining contracts.

Former Democratic State Senator Gloria Romero is endorsing the "Yes on 32" campaign and released this ad on Monday:

http://www.youtube.com/watch?v=mUoTUK-pDkg&feature=plcp

The opposition to the proposition has also released their ad, which has been up since last month.

http://www.youtube.com/watch?v=rnisN4nelFc

Gloria Romero's endorsement comes as a surprise since the "No on 32" campaign is union-supported. We can see exactly who is funding and how much they're funding the two sides to Proposition 32, as of August 1st, 2012. Proponents of the measure have accumulated around $4 million. As reported by the Los Angeles Times, the California Teacher's Association has added $7.5 million to the opposition campaign, accumulating $17.7 million in total. These numbers will definitely change as we approach this year's election.

Proposition 32 attempts to even the playing field in state and local campaigns. As voters, we must understand the initiative from different perspectives. Does Proposition 32 truly reform campaign finance in a desirable manner? Will it just create more hoops for contributors to jump through, or is this a step in the right direction? Your answer will be heard come November.

Adhere to the IVN etiquette

By posting a comment, you agree to adhere to our etiquette rules: No partisan attacks, no personal attacks, substantiate your sources, no self-promotion.

Contact IVN

Questions about this article or our coverage? Send us a message. A free IVN member account is required.

Message sent

Thanks, we’ll review it and get back to you if needed.

Message not sent

Sorry, something went wrong. Please try again.

Sign in to send a message

Messages are tied to your IVN member account. Signing in is free and takes a few seconds.

Contact IVN

Questions about this article or our coverage? Send us a message. A free IVN member account is required.

Message sent

Thanks, we’ll review it and get back to you if needed.

Message not sent

Sorry, something went wrong. Please try again.

Sign in to send a message

Messages are tied to your IVN member account. Signing in is free and takes a few seconds.

Republish this article

Republishing guidelines

Republish IVN articles for free. Independent Voter News articles may be republished online or in print under a Creative Commons BY-NC-ND 4.0 license, on these terms:

  1. Credit the author and IVN. Keep the byline ("By Author Name, Independent Voter News") and the attribution note at the end, which links to the original.
  2. Keep the meaning. You may update time and place references and apply your house style. You may trim for length, as long as the cuts don't change the meaning or misrepresent the author. Keep the headline. Mark any additions as your own (for example "Additional reporting by ...").
  3. Translations are welcome. Translate faithfully, add "Translated from English by [your outlet]", and tell us at editor@ivn.us.
  4. Keep the links, including the link to the original article.
  5. Keep the tracking image. The HTML includes a 1-pixel image that counts readers on your page. It collects no personal information.
  6. Photos and illustrations. Images credited to IVN may be used with this article only. Images credited to others (AP, Getty, Unsplash, Wikimedia and so on) stay under their owners' terms. Secure the rights or switch "Include images" off.
  7. Don't sell it. You can't sell our articles or sell ads specifically against them. Your normal site advertising is fine.
  8. No implied endorsement. Don't suggest that IVN or the author endorses you, your candidates or your causes, or that donations to you support IVN.
  9. Keep labels. Opinion or analysis pieces keep that label.
  10. Point search engines to the original. Where your CMS allows, set the canonical URL to the original IVN article.
  11. No bulk or automated republishing, and don't submit our articles to aggregators (Apple News, Google News, MSN) as your own.
  12. Corrections and removals. Update your copy when we correct it, and remove it promptly if we ask. We'll contact you at the email you give us.
  13. Questions or print republication: editor@ivn.us.

IVN staff: fill in who you're inviting above, then create the invite.

Preparing the article

Campaign Finance: California's Proposition 32 Explained

Choose a format
  • HTML
  • Email HTML
  • Markdown
  • Formatted (.docx)
  • Plain text
  • WordPress blocks
  • PDF
Choose a platform

Photos credited to others need their owners' permission.

To for

Republishing somewhere else? Questions? editor@ivn.us