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Minutes for HB2011 - Committee on Elections
Short Title
Campaign finance; increasing contribution limits; contributions received during primary period.
Minutes Content for Wed, Feb 1, 2017
Chairperson Keith Esau opened the hearing on HB2011.
Mike Heim of the Revisor's Office explained that the bill was introduced in the prior year but did not make it to the floor of the house. He indicated the bill adds a new section to the current statute dealing with campaign contributions which would permit candidates to receive contributions during the primary election season for the general election. If the candidate does not run in the general election, the candidate has to give any money back received for the general election. The candidate cannot spend the money until the general election period. The bill also raises the limitations on campaign contributions depending upon the type of office.
Clay Barker, executive director of the Republican Party, testified in favor of the bill (Attachment 1). He said there is a trend of trying to get the money flow to entities that are more transparent. Groups characterized as 501(c)(4) entities don't have to report until two years after an election.
Mr. Barker indicated Section 1 of the bill was similar to what is allowed in federal elections. By allowing candidates to collect donations before the general election, candidates are able to define their positions after the primary before other organizations jump in. The cost of campaigning has increased, yet the current limitations have been unchanged for years. A sheet showing the historical limits was introduced by Chairperson Esau (Attachment 2). Mr. Barker testified that raising amounts from individual donors allows candidates to meet increasing costs. Candidates for county races in larger counties are limited to the same amount as that of candidates in much smaller counties. Getting more money to the candidate early in the general elections lets the candidate get his or her own message out.
Mr. Barker indicated Section D of the proposed bill deals with contributions to political parties. Raising the amount allows the parties to work for the candidates. Raising limits make it simpler for people to see where money is coming from.
Representative Esau clarified that a candidate cannot spend state campaign funds on federal campaigns.
Representative Alcala indicated he was concerned the bill would turn incumbents into "behind the desk" candidates. The change may put a new candidate in a disadvantage while locking incumbents in. Mr. Barker said it is possible the change may help new candidates to get a strong start.
Representative Miller asked Mr. Barker about his written testimony and, in particular, the statement that dark groups exploit the August to September period after the primary. Mr. Barker indicated it has not been a problem in Kansas. Representative Miller also expressed concern that allowing contributions for the general election during the primary period would create bookkeeping problems. In regard to raising the amount of contributions, Representative Miller indicated he believed it was easier to raise money now than in the past and, therefore, there may be no need to increase the contribution limits.
Representative Williams asked about the limits on different types of municipalities. Mr. Heim indicated the statute is not applied uniformly and only applies to cities of the first class. Municipalities may set contribution limits for local elections by charter.
Representative Parker asked whether there was concern about how raising limits might affect smaller donors who would then feel they had a lesser voice because their donations might be dwarfed by larger contributions. Mr. Barker indicated that larger donors can now make donations through PACS or other entities that do not have the same reporting requirement.
Carol Williams of the Governmental Ethics Commission indicated that all money will have to be reported when received, including general election money during the primary. She said that violating the campaign limitation statute is not a misdemeanor, but there is a general statute which would allow the Ethics Commission to fine for a violation. The Ethics Commission would not know until it was reported prior to the general election if the money was spent during the eleven days immediately preceding the primary election.
Representative Parker asked if a candidate could treat the money for the general campaign as a loan during the primary. Ms. Williams said it could be treated as a personal loan and that the money to repay it could be raised in the general election even if the candidate lost the primary.
There was no testimony from opponents or neutrals.
Chairperson Esau closed the hearing on HB2011.
