HomeMy WebLinkAbout2007/11/06 Item 13
~(~ CITY OF
ICl (HULA VISTA
OCT8~~ltj~Jv .';"Item~3
ITEM TITLE:
AN ORDINANCE OF THE CITY OF CHULA VISTA
AMENDING CHAPTER 2.52 OF THE CHULA VISTA
MUNICIPAL CODE REGARDING CAMPAIGN
CONTRIBUTIONS
JOAN F. DAWSON, DEPUTY CITY ATTORNEY Qdf)
CITY ATTORNEY CtyY'\. f
SUBMITTED BY:
REVIEWED BY:
4/5THS VOTE: YES D NO 0
BACKGROUND
On September 25, 2007, at the request of the City Council, the City Attorney's Office
presented a report to the Council regarding the City's campaign contributions ordinance,
found at Chula Vista Municipal Code Chapter 2.52. The City Attorney's Report is
attached as Exhibit A. In August, the City Council asked the City Attorney's Office to
provide the report outlining the ambiguities with the existing ordinance and proposing
language to clarify the ambiguities without making any substantive changes to the
existing ordinance or adding any new concepts. The Council's August request was
prompted by questions raised by candidates during the 2006 election cycle.
Originally, on March 20, 2007, the City Council voted to form an Ad Hoc Committee to
review the campaign contribution ordinance. The Council directed the Committee to
review implementation of the ordinance, which was previously amended in 2004. The Ad
Hoc Committee met several times in noticed public meetings during the summer of 2007
to discuss the existing campaign contribution ordinance.
The City Attorney's Office prepared its September report by reviewing the language of
the existing ordinance, on its face, meaning the actual words used, and as it has been
applied to issues raised during the general election in June 2006 and the special election
in November 2006; gathering information from the City Clerk on questions raised during
the 2006 election cycle; considering the discussions of the Ad Hoc Committee; and
responding to the City Council's direction to the City Attorney in August 2007. On
September 25, 2007, the City Council voted to approve several policy changes to the
existing ordinance, and directed the City Attorney's Office to incorporate those changes
into the existing ordinance and return to Council with a revised ordinance for first
reading. (See, Exhibit B.) The Council also requested that the City Attorney respond to
several questions, discussed more fully in the Discussion section below. Finally, the
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Council requested that the City Attorney prepare a draft ordinance for first reading and
present that draft ordinance to a reconstituted Campaign Contribution Ad Hoc
Committee, comprised of Michael German, Humberto Peraza, John Riess, and Peter
Watry. The Ad Hoc Committee met in two noticed public meetings on October II, 2007,
and October 16,2007. The Ad Hoc Committee has provided a report that is attached to
this document for Council's review. (See, Exhibit C.)
ENVIRONMENTAL REVIEW
The proposed ordinance involves an activity that is not a "project" as defined under
section 15378(a) of the State California Environmental Quality Act [CEQA] guidelines
because it will not result in either a direct physical change in the environment or a
reasonably foreseeable indirect physical change in the environment; therefore, pursuant
to section 15060 (c)(3) of the State CEQA guidelines the activity is not subject to CEQA.
RECOMMENDATION
That the City Council hold the first reading of the ordinance.
DISCUSSION
On September 25, 2007, the City Council approved several policy changes to the
campaign contribution ordinance. The Council voted to (I) use "single election contest"
as the benchmark to define limits; (2) remove the ability of candidates to suspend or lift
the $300 contribution limit and the loan limit when an opponent uses personal funds; and
(3) lower the loan limit from $20,000 to $5,000. Those changes have been incorporated
into the ordinance before the Council for first reading. A strikeout ordinance is also
attached that compares the existing ordinance with the proposed ordinance before the
Council. (See, Exhibit B.) Please note that the portions set forth in the strikeout ordinance
attached in all capital letters are additional changes made at the request of the Council
following the September 25, 2007 meeting. The remaining strikeouts are those approved
by the City Council in September.
On September 25, 2007, the Council also requested that the City Attorney return with
information on three provisions on making those provisions consistent with the California
Political Reform Act. The requested information is as follows:
Question 1: The Council asked the City Attorney to research how to make the statute of
limitations in the ordinance consistent with state law, specifically the Political Reform
Act, and also consistent with other provisions of the Municipal Code.
Response: Enforcement provisions of the Political Reform Act are found at Government
Code sections 91000 through 91015. Section 91000(a) provides that "[a]ny person who
knowingly or willfully violates any provision this title is guilty of a misdemeanor."
Generally, prosecution of misdemeanors must be commenced within one year after
commission of the offense. Penal Code S 802(a). A misdemeanor prosecution is
commenced when a prosecutor files a complaint. Penal Code S 805. All misdemeanor
violations of the Chula Vista Municipal Code must be prosecuted within one year. See
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CYMC S 1.01.010 (adopting by reference state codes, except where deleted or modified
by specific provisions of the Municipal Code).
Under state law, there are limited exceptions to a one-year statute of limitations for
misdemeanors. The limited exceptions are found in Penal Code section 802 (b) through
(d); those exceptions do not include violations of the Political Reform Act. However, the
Political Reform Act, at Government Code section 91000(c), sets forth a four-year statute
of limitations for prosecution. If the City Council chooses to be consistent with both the
Chula Vista Municipal Code and Penal Code, a one-year statute of limitations is
recommended for criminal prosecution. However, the Council has the option of adopting
the longer four-year statute of limitations contained in the Political Reform Act. The
options are set forth in the draft ordinance at section 2.52.140(J).
Regarding the statute of limitations for filing of civil and administrative actions, the
Political Reform Act provides a four-year statute of limitations for civil actions and a
five-year statute of limitations for administrative actions. The statute of limitations for
administrative actions may be tolled for a period of concealment. The language set forth
at proposed section 2.52.140(K) is verbatim with the Political Reform Act.
At the request of the Council to be consistent with the Political Reform Act, additional
language is added at section 2.52.150(C) taken from the Political Reform Act that limits
liability under the ordinance to candidates, paid campaign staff, and any others who have
campaign filing or reporting obligations. Section 2.52.140(D)
Question 2: The Council asked the City Attorney to research intent provisions and to
make them consistent with the Political Reform Act.
Response: The proposed language set forth in section 2.52.150 is consistent with the
Political Reform Act. For criminal violations, the Political Reform Act makes it unlawful
for a person to "knowingly or willfully" violate the act, cause another to violate the act,
or aid and abet another person. For civil or administrative actions, the Political Reform
Act requires a finding of intentional or negligent violation. The draft ordinance has been
revised to make all the intent provisions internally consistent. Also, to be consistent with
the Political Reform Act, language was added to section 2.52.150(D), taken verbatim
from the Political Reform Act: "Whether or not a violation is inadvertent, negligent, or
deliberate, and the presence or absence of good faith shall be considered in applying the
remedies and sanctions of this chapter."
Question 3: The Council requested that the period of time in which prohibited
contributions can be returned without violation, set forth in section 2.52.090, be
consistent with the Political Reform Act. Councilmembers thought it was ten days, and
they requested a ten-day window for return.
Response: As a general rule within the Political Reform Act, contributions may be
returned: "A candidate for state elective office may return all or part of any contributions
to the donor who made the contributions at any time, whether or not other contributions
are returned; except a contribution that the candidate made for state elective office to his
or her own controlled committee." Gov't Code S 85319. However, a contribution of$IOO
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OCTOBER 23, 2007, Item~
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or more must be returned within sixty days of receipt if the candidate or committee has
not obtained the contributor's name, address, occupation, and employer. Gov't Code S
85700(a). It is recommended that if the Council desires to have a parallel provision
regarding return of prohibited contributions, the sixty-day benchmark is used. It has been
incorporated into the proposed ordinance before the Council.
Additional Changes:
The City Attorney's Office has made the following additional clarifications to the
ordinance, which are not substantive changes, but are necessary to clarifY Council's
intent stated on September 25, 2007:
I) Section 2.52.020(C): Inserted date of December 6, 2007, as effective date of
ordinance. Also, defined business days as "Monday through Friday and
excluding City holidays."
2) Section 2.52.030(F): The City Clerk requested that a definition be added to
clarifY the meaning of "same City elective office" set forth in the carry-over
provision at section 2.52.040(H). The specific question was whether a
candidate can carry over contributions raised in connection with one election
for City elective office to pay campaign contributions incurred in connection
with a subsequent election for a different City elective office. For example,
can a candidate who runs for one numbered Council seat in one election carry
contributions over to a subsequent election for a different numbered Council
seat? The carry-over provision at section 2.52.040(H) limits the ability to
carry-over to the same elective office, meaning same Council seat, not any
Council seat. At the request of the City Clerk, the further definition was added
to provide greater clarity to the existing provision.
3) Section 2.52.030(M): The Political Reform Act is now included as a defined
term.
4) Section 2.52.050(A): At the Council meeting on September 25, 2007, the
Council requested additional clarification be added to the definition of loan to
make it clear that loans are personal funds contributed by a candidate "with
the intent to receive repayment of those funds."
5) Section 2.52.060(A): A grammatical clarification was added to be clear that
the notice must be provided prior to expenditure or contribution of the
personal funds.
6) Section 2.52.060(A): The notice provision was also clarified, based on
Council direction, that once a candidate contributes $5,000 per single election
contest, all additional contributions by a candidate above that threshold must
be noticed.
Also, please note again that the portions set forth in the strikeout ordinance attached in all
capital letters are additional changes made at the request of the Council following the
September 25, 2007, meeting. The remaining strikeouts are those approved by the City
Council in September.
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DECISION MAKER CONFLICT
The ordinance is not site specific; therefore, no conflict exists pursuant to California
Code of Regulations section l8704.2(a)(1).
FISCAL IMPACT
None.
ATTACHMENTS
Exhibit A: City Attorney Report dated September 25, 2007
Exhibit B: Strikeout Ordinance
Exhibit C: Report from the Ad Hoc Committee
J:\Atlomey\JDA WSON\Agcndll Stalen1C1'1ts\CampaIKn Finam::e\Campaign contributions_lo.23_07.doe
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EXHIBIT A
em OF
CHUIA VISTA
OFFICE OF THE CITY ATTORI'-lEY
REPORT TO THE HONORABLE MAYOR
AND CITY COUNCIL
TO:
Honorable Mayor and City Council
VIA:
City Attorney Ann Moore Q. (1/\ .
Joan F. Dawson, Deputy City Attorney9"'JP
September 25, 2007
FROM:
DATE:
RE:
Campaign Contribution Ordinance
INTRODUCTION
On August 14, 2007, the City Council directed the City Attorney to return to
Council with a Report outlining the ambiguities with the existing campaign contribution
ordinance, found at Chula Vista Municipal Code Chapter 2.52, and proposing language to
clarify these ambiguities without making any substantive changes or adding any new
concepts. As requested by the City Council, the City Attorney's Office has prepared this
Report, which discusses questions raised by the existing campaign contribution ordinance
and analysis of those questions. Attached to this Report, as Exhibit A, are recommended
changes in ordinance form, with explanatory notes included. As directed, the City
Attorney's Office has worked to make language changes to the 2004 ordinance to clarify
its existing intent, and not to add any new concepts. The recommended changes are
highlighted in blue. The portions of the proposed ordinance that are underlined and in red
highlight policy questions that require Council determination. Also, attached at Exhibit B
is a summary of the existing campaign contribution ordinance, approved by the Council
in 2004. Attached at Exhibit C is the actual 2004 ordinance, for reference.
BACKGROUND
In 2004, the City Council amended the Chula Vista Municipal Code to add a
revised Chapter 2.52 regarding campaign contributions. This amendment was the result
of a process started in November 2001, when the City Council asked then-City Attorney
John Kaheny to return to the Council with a revi,sed campaign contribution ordinance. In
2001, the San Diego County Board of Supervisors appointed a nine-member San Diego
Election Campaign Finance and Control Commission to create a model ordinance and use
it as a tool in drafting local ordinances. City Attorney Kaheny recommended a complete
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Honorable Mayor and City Council
September 25,2007
Page 2
review of ChuIa Vista's campaign contribution provisions, in part as a result of the work
of the County Commission.
The City's 2004 ordinance revisions were based on the model ordinance
developed by the County Commission and modified to meet the needs of Chula Vista.
The revised ordinance also included provisions adopted from other jurisdictions. Prior to
its approval by the Council, the 2004 ordinance was prepared and reviewed by an Ad Hoc
Committee, which included a member of the Charter Review Commission, the Ethics
Commission, then-CounciImember Patty Davis, and former CounciImember John Moot.
The 2004 ordinance is summarized in Exhibit B. to this Report. The ordinance itself is
contained in Exhibit C.
In 2007, it was brought to the Council's attention that the revised 2004 campaign
ordinance had areas of ambiguity that needed review and possible revision. The revised
ordinance had been in place for two elections, the general election in June 2006 and the
special election in November 2006.
On March 20,2007, the City Council voted to form a new Ad Hoc Committee to
review the 2004 campaign contribution ordinance. The Council determined that the
Committee should be composed of one member each from the previous Ad Hoc
Committee on campaign finance, the Charter Review Commission, and the Board of
Ethics. The Council directed the Ad Hoc Committee to review implementation of the
2004 ordinance. Councilmember Ramirez stated.he wanted to limit discussions on
increasing campaign contribution limits, allowing others besides individuals to contribute
to candidates, or on anything else that would expand the ordinance.
The new Ad Hoc Committee was formed with former CounciImember John Moot,
who served on the prior campaign finance committee, serving as the Chair. Also on the
Committee were Michael German from the Board of Ethics and Humberto Peraza from
the Charter Review Commission. City staff members assisting the Ad Hoc Committee
were City Clerk Susan Bigelow, Assistant City Clerk Donna Norris, Deputy City
Attorney Joan Dawson, and Legal Assistant Cheryl Ponds. The Committee thoroughly
reviewed the existing ordinance, including inforination on implementation from City
Clerk Susan Bigelow.
In preparing this Report, the City Attomey's Office has done a thorough review of
the language of the ordinance, gathered information from the City Clerk on questions
raised during the 2006 election cycle, considered the discussion of the Ad Hoc
Committee, and responded to the City Council's request of the City Attorney in August
2007. The City Attorney's Office has prepared a draft ordinance, attached as Exhibit A,
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September 25, 2007
Page 3
with reco=ended changes to clarify the existing provisions of the 2004 ordinance, and
not to change existing intent or add new concepts.
DISCUSSION
A. Areas of Ambilruitv
The City Attorney's Office has reviewed the 2004 campaign contribution
ordinance on its face, meaning the actual words used, and as it has been applied to issues
raised during the general election in June2006 and the special election in November
2006. As noted above, a su=ary of the 2004 ordinance is attached to this Report as
. .
Exhibit B. The existing ordinance is attached as Exhibit C.
As reported by the City Clerk, portions of the 2004 ordinance have caused
confusion for candidates and for the City Clerk's Office. The areas of concern are related
to (1) the noticing provisions and (2) suspension of contribution and loan limits. The
City Attorney's review of the ordinance also found inconsistencies related to (3) the
written notice to contributors, (4) the intent required for a violation of the ordinance,
and (5) the terminology used in the ordinance that could be clarified in certain
provisions. These five areas of concern and/or mconsistency are discussed in detail, as
follows.
1. Noticing Provisions
Questions Presented: As reported by the City Clerk, the following questions have
been raised by candidates regarding the noticingprovisions for personal loans (meaning
personal funds a candidate loans himself or herself) and personal funds spent by a
candidate:
· Does a personal loan (a loan by a candidate to himself or herself) require
noticing?
· Is notification for the use of personal funds in excess of $5,000 required more
than once, if a candidate continues to. contribute to him or herself amounts of
more than $5,000? As an example, if a candidate contributes $6,000 to his or
her campaign and provides notice, must the candidate provide new notice ifhe
or she contributes another $1,000 or $5,000?
· During what period of time does the $5,000 threshold for noticing apply,
during a campaign for a single election contest, meaning the generallprimary
election or the speciallrun-off election, or during the entire campaign for a
single elective office, including both the generallprimary election and the
speciallrun-off election?
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· What if a candidate spends or loans himself or herself personal funds that
requires noticing, but the candidate fails to provide notice, can his or her
opponents suspend contribution limits?
Analysis: The answer to the first question, whether a candidate has to give notice
to his or her opponents if the candidate plans to loan him or herself personal funds, is not
clearly provided on the face of the ordinance. However, the ordinance clearly requires a
candidate to give notice to opponents when the candidate intends to spend or contribute
more than $5,000 in personal funds "in connection with an election campaign." CYMC
92.52.l00(A). This ambiguity regarding noticing of personal loans is further caused by
the fact that a candidate may suspend the $300 campaign contribution limit if his or her
opponent lends himself or herself any amount of money. CYMC'9 2.52.090(D). If a
candidate can suspend the $300 contribution limit when an opponent loans himself or
herself money, how is the candidate to know about the opponent's loan without a
noticing requirement?
As a general rule, statutory provisions should be read and construed as a whole in
harmony with other provisions relating to the same general subject. Lubey v. City and
County of San Francisco, 98 Cal. App. 3d 340,347-48 (1979). See also Moyer v.
Worhnen's Compo Appeals Bd., lOCal. 3d 222,230 ("the various parts of a statutory
enactment must be harmonized by considering the particular clause or section in the
context of the statutory framework as a whole").
Existing section 2.52.100 requires a candidate to provide notice to opponents and
the City Clerk when the candidate intends to spend or contribute more than $5,000 in
personal funds. The purpose of this notice is to allow opponents to suspend the $300
contribution limit, as allowed by section 2.52.1 OO(B), up to the amount of personal funds
used. The Council's intent with this provision was to level the playing field, to allow a
candidate who does not have the ability to contribute personal funds to seek more money
from supporters. Section 2.52.090(D) provides a candidate with the same ability to level
the playing field when an opponent has made a loan of personal funds to a campaign,
allowing a candidate to suspend the $300 contribution limit up to the amount of the
opponent's personal loan. When reading the 2004 ordinance as a whole, the noticing
requirement for the use of personal funds should be read to apply to personal loans. A
candidate should be required to provide notice when he or she loans himself or herself
any amount of money because the suspension of the contribution limits is triggered by "a
candidate who has made a loan to his or her campaign," pursuant to section 2.52.090(D).
The reco=ended change to clarifY the noticing provision is contained at proposed
section 2.52.060, attached at Exhibit A.
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September 25, 2007
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Regarding the second question on noticing, it is clear that a candidate must
provide notice when he or she spends or contributes more than $5,000 of personal funds
"in connection with an election campaign." CYMC S 2.52.l00(A). However, it is not
clear whether a candidate must provide new notice with each additional contribution
above the $5,000 threshold. If the intent is to level the playing field, it follows that once a
candidate has reached the $5,000 threshold, each contribution thereafter should require
separate notice. This would allow the candidate's opponents to lift the contribution limits
to keep up with the candidate's use of personal funds. This ambiguity should be
addressed by adding clarifying language. Suggested language is found in section 2.52.060
of the proposed ordinance, at Exhibit A.
The third question relates to whether the $5,000 threshold applies to a campaign
for a single election contest .or a campaign for a single elective office (meaning for both
the general/primary and the special/run-off elections). The language of existing section
2.52.100(A) states, "No candidate or other person shall expend or contribute more than
$5,000 in personal funds in connection with an election campaign unless and until the
following conditions are met. . . ." Election campaign appears to imply the entire
campaign for a single elective office, rather than each individual election (or "single
election contest"). This interpretation would mean that a candidate could not spend more
than $5,000 during the entire election cycle without providing notice. However, the
majority of the rules regarding contributions contained in the ordinance relate to limits
for a single election contest, not the entire campaign. As an example, a candidate may
receive $300 from a contributor in the general/primary election and another $300 in the
special/run-off election. The Council shoUld clarify the meaning of "election campaign,"
contained within existing section 2.52.100(A), in order for the City Attorney's Office to
make the appropriate changes in the ordinance. This policy question is highlighted in red
and underlined in the proposed ordinance, at sections 2.52.040(1) and 2.52.060, in
Exhibit A.
Thefourth question regarding noticing is' whether a candidate may suspend the
contribution limits if his or her opponent has not provided proper notice of the use of
personal funds as required by the ordinance. The answer based on the plain language of
existing section 2.52.l00(B) appears to be "no." However, this interpretation does not
capture the intent of the suspension provisions, which is to level the playing field. It is
recommended that the Council add a provision allowing a candidate to suspend limits if
there has been notice provided by an opponent or if the candidate discovers the use of
personal funds and/or personal loans by an opponent through a campaign disclosure
statement. The recommended language is added in the attached proposed ordinance, at
sections 2.52.040(1) and 2.52.050(C) in Exhibit A.
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2. Suspension of Limits
Questions Presented: The 2004 ordinance allows candidates to suspend the
campaign contribution and loan limits under certain circumstances. As reported by the
City Clerk, the following questions have been raised by candidates regarding the
suspension of limits:
· Can a candidate suspend contribution limits if he or she knows that his or her
opponent has failed to provide the required notice? If so, when can the
candidate suspend the limits? Does he or she have to wait until the next filing
deadline to find out before suspending the limits?
· When there is a suspension of limits, what portion of a contribution counts
toward leveling the playing field, the. entire amount of the contribution, or the
amount in excess of$300?
· Should the suspension of limits be limited to the single election contest
(general or special election) in which an opponent contributes more than
$5,000 in personal funds or any amount in personal loans, or for the entire
election cycle (general and special elections)? In other words, should the
ability to suspend the limits carry over from the general to the special
election?
· Does the personal loan limit of $20,000 apply to both a general/primary
election and a special/run-off election together, or does the loan limit apply to
each single election contest?
Analysis: Regarding the first question of what a candidate can do if there is a
failure by an opponent to properly notice .a use of personal funds, this question was also
raised and discussed in the subsection regarding noticing, above. The intent of the
suspension provisions is to level the playing field. If a candidate were only pennitted to
suspend the limits with proper notice by an opponent, the candidate would be penalized
for failure of an opponent to comply with the noticing requirements. It is reco=ended
that the Council clarify this provision, by allowing a candidate to suspend limits when
there has been actual notice, as required by the ordinance, or when there has been
discovery through a campaign filing state:ment. The recommended language is added in
the proposed ordinance, at sections 2.52.040(1) and 2.52.050(C), at Exhibit A.
The second question that has been raised is what portion of a contribution counts
toward leveling the playing field, under a suspension of limits, the entire amount of the
contribution or only the amount in excess of $300? One provision in existing sections
2.52.090(0) and 2.52.1 QO(B) states that a. candidate can receive contributions "in excess"
of the $300 limit up to the amount of the personal loan or personal funds deposited by an
opponent. The next sentence in each of these sectioils states that the contributions that
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September 25, 2007
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count toward leveling the playing field are those "within or in excess" of the limitation.
This second sentence is conceptually flawed. There is no limit to the number of$300
contributions a candidate may receive. Therefore, conceptually, the use of the
phrase"within or" does not make sense and should be deleted from existing sections
2.52.090(D) and 2.52.100(B). This deletion has been made in the proposed ordinance, at
Exhibit A.
Regarding the third question on the period of time permitted for a suspension of
the loan and/or contribution limits, the existing ordinance states that the suspension shall
continue from the date an opponent makes a loan of any amount or contributes personal
funds of more than $5,000 until the candidate receives contributions equaling the amount
of the personal loan or personal funds deposited into the opponent's campaign
contribution account. Does this mean the'suspension oflimits carries over from a
general/primary election to a special/run~off election for the same elective office? This
question requires analysis of the language in relation to other provisions of the existing
ordinance.
Certain provisions in the ordinanc,e relate limits to a "single election contest." The
ordinance defines "single election contest" as either a general or special election. CYMC
S 2.52.030(M). The campaign contribution limit of $300 applies to a single election
contest, allowing a candidate to accept $300 from a contributor for the general/primary
.election and another $300 from the same contributor in a special/run-off election. CYMC
S 2.52.040(A).
In existing section 2.52.090(C), the $20,000 personal loan limit applies to the
"campaign" of a "candidate for elective city office," which implies it is an aggregate limit
for the entire election cycle. Further, the notice requirement for personal contributions of
more than $5,000 is "in connection with an election campaign," as contained in existing
section 2.52.1 OO(A). However, '~campaign" and "election campaign," as used in existing
sections 2.52.090(C)(loan limit) and 2.52.100(A)(noticing provision), are not defmed.
A candidate running for city office may have to participate in both a
general/primary election and a special/run-off election. Both elections are for a single
elective office, and both will require a CaInpaign~ Therefore, it follows that when the
2004 ordinance refers to a "campaign" for city office or an "election campaign," the
intended meaning is the entire election cycle. Further, the 2004 ordinance allows a
candidate to carry over contributions from the general election to a special election
(CYMC 2.52.040(0)). Taken together, these provisions imply the Council's intent was to
allow a candidate to continue suspension of limits for the entire campaign, including both
the general election and the special election. If it is the Council's intent that a candidate
be permitted to carry over a suspension oflimits.from a general to a special election, this
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provision should be clearly set forth. This policy clarification by the Council is needed, as
highlighted in red and underlined, at sections 2.52.040(1) and 2.52.050(C) of the
proposed ordinance, at Exhibit A.
Regarding the fourth question on the loan limit of $20,000, the existing ordinance
states, "A candidate for elective city office may not personally loan to his or her
campaign an amount in excess of $20,000." Given the plain language of this provision
and the analysis provided above, it appears the Council's intent was to place the $20,000
loan limit on the entire campaign, meaning both the general and special elections. It is
requested that the Council address this policy question by reviewing the proposed
language at section 2.52.050(A) of the proposed ordinance, at Exhibit A.
3. Written Notice to Contributors.
Existing section 2.52.080 requires candidates to provide written notice to
contributors regarding the contribution limits. Pursuant to the 2004 ordinance, the
required notice must provide that Chula Vista's ordinance limits contributions to both
candidates and candidate-controlled committees, and independent expenditure
committees, to $300 per contributor. However, the ordinance does not regulate
independent expenditure committees, such as the Republican or Democratic Parties.
According to the City Clerk, some independent expenditure committees are local
committees, some are state committees, and most are multi-purpose committees. A
candidate has no control over these committees. It is recommended that the notice be
changed by deleting reference to independent expenditure committees to reflect the intent
of the existing 2004 ordinance.
4. Intent
The City Attorney's review of the 2004 ordinance found that the existing
ordinance is inconsistent as to the intent required to prove a violation. At current section
2.52.060(C), it states a candidate must "knowingly" accept a payment or contribution to
be in violation. "Knowingly" as used there is a specific intent, meaning to violate the
chapter a candidate must not only accept and expend a contribution in violation of the
chapter, but must know that accepting and expending the contribution is in violation.
Elsewhere, at section 2.52.180(A), the criminal violation requires a "willful" act, which
means purposeful, without the specific intent of "knowingly." To prove a civil violation,
a candidate must "intentionally or negligently" violate the provisions of the chapter. It is
recommended that the City Council consider changing the intent language so that it is
consistent throughout the ordinance.
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Honorable Mayor and City Council
September 25, 2007
Page 9
5. Terminology
Tbroughout the 2004 ordinance, there are inconsistencies with use of terminology.
There are extra words that could be deleted. Further, there are ways to make the
ordinance more reader-friendly. Analysis of the inconsistencies identified by the City
Attorney's Office, as well as proposed changes, is set forth more fully below. Also,
please refer to the notes attached to the proposed ordinance, at Exhibit A, for specific
details on words that have been deleted or sections that have been moved and/or
renumbered.
B. Recommended Chane:es
Upon review of the 2004 ordinance, the City Attorney's Office has restructured
the existing ordinance to clarify existing provisions and address the areas of concern
discussed above as well as the other issues described below. Most of the reco=ended
restructuring involves moving provisions that relate to the same subject matter under
consolidated section headings. The goal is to have all of the rules regarding contributions,
loans, and noticing requirements grouped together.
A proposed amendment to the 2004 ordinance is attached as Exhibit A with notes
indicating the proposed changes. New language, which is either re-written or added to
.clarify provisions, is highlighted in blue in the proposed ordinance. Language highlighted
in red and underlined in the proposed ordinance requires a policy decision by the
Council. Please refer to the notes attached to Exhibit A for specific and detailed
information on renumbered provisions and on terminology that has been deleted because
it is redundant or inconsistent.
Analysis of the reco=ended changes is as follows:
1. Section 2.52.020/Interpretation of chapter
Subsection C is new language, adding a "grandfather provision" to address how
any new provisions will relate to existing 'councilmembers with campaign accounts,
funds, or debts and existing candidates with campaign accounts, funds, or debts.
2. Tbroughout the ordinance, reference to "candidate for city elective office"
should be replaced with "candidate." The extra words are not necessary because
"candidate" is presently defined at section 2.52.030(C), as "any individual seeking any
city elective office, the candidate's campaign committee, co=ittee(s) controlled by the
candidate, agents of the candidate."
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Honorable Mayor and City Council
September 25, 2007
Page 10
3. Section 2.52.030IDef"mitions
Add definition for "campaign contribution account." This term is used in the 2004
ordinance at section 2.52.140. The term should be added to the defInition section because
that is good legislative drafting practice. The proposed defInition is consistent with
existing section 2.52.140, and Government Code section 85201.
4. Section 2.52.030IDef"mitions
Delete definition for "intermediary" because it is not used elsewhere in the
ordinance.
5. Section 2.52.040/Campaign contributions
Recommend title change to be more reader friendly. Also, all of the provisions
regarding the same subject matter of contributions to candidates have been moved from
elsewhere in the chapter and brought under this section. The purpose is to have all of the
rules regarding campaign contributions in one section for ease of reading and
understanding.
6. Section 2.52.040(I)(proposed subsection)/Campaign contributions
Recommend adding this subsection regarding suspension of the campaign
contribution limits here. The rules regarding suspension are taken from sections
2.52.090(D) and 2.52.100(B) of the 2004 ordinance.
7. Section 2.52.090 (proposed number 'Change )/Return of prohibited
contributions
Existing sections 2.52.070(A) and (B) are inconsistent in that subsection A calls
for return of prohibited contributions within three business days and subsection B calls
for return of prohibited contributions within 24 hours of discovery. The recommended
change incorporates the "three business days" tirneline. Also, it is recommended that
subsections A and B of the existing 2004 ordinance be combined into one subsection for
ease of reading because both subsections deal with the tirneframe for return of
contributions. Existing section C then would become the new subsection B. The entire
existing section is moved to section 2.52.090. .
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Honorable Mayor and City Council
September 25, 2007
Page 11
8. Section 2.52.100 (proposed number change)/Written solicitation by
candidates
The 2004 ordinance requires candidates making written solicitations to include a
notice on all solicitations. The requisite notice states that the City's campaign
contribution ordinance limits contributions to both candidate-controlled committees and
"to regulated independent expenditure committees." However, candidates cannot control
independent expenditure committees. Further, the existing campaign contribution
ordinance does not intend to place limits on independent committees. It is recommended
that the language of the requisite notice be revised to accurately reflect the legal
provisions and intent of the existing ordinance.
9. Section 2.52.090 (existing)/Loans and Section 2.52.100 (existing)!
Notice regarding use of personal funds
Under the 2004 ordinances, certain provisions within these two sections are
inconsistent; therefore, these sections will be addressed together in this Report. It is
recommended that all provisions regarding loans be moved into a new section 2.52.050,
and the noticing provisions for both personal funds and loans be moved into a new
section 2.52.060.
The existing rules regarding loans are as follows:
· A loan or extension of credit from the maker of the loan, other than a
commercial lending institution, is considered a contribution subject to the
$300 limit. (CYMC 9 2.52.090).
· A candidate may not personally loan to his or her campaign more than
$20,000. (CYMC g2.52.090(C)). Presently, it is not clear whether a candidate
who loans himself or herself money is required to notify opponents. Noticing
is required when a candidate expends or contributes more than $5,000 in
personal funds.
· If a candidate loans himself or herself funds, each opponent can solicit and
receive, and contributors to the opponent may make, contributions in excess
of the $300 limit contained in CVMC 2.52.040 up the amount of the
candidate's loan. The limits shall be suspended from the date the candidate
made a loan. (CVMC 9 2.52.090(D)).
· If a candidate gives notice of use of personal funds in an amount of more than
$5,000, as required by CYMC 2.52.100, then each opponent is not bound by
the loan limitation of $20,000, to ~e extent the amount of personal funds
contributed exceeds $20,000. (CVMC 9 2.52.090(E)).
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Honorable Mayor and City Council
September 25,2007
Page 12
Simply put, all loans equal contributions, except when from a commercial lending
institution; a candidate may not make a personal loan of more than $20,000 to his or her
campaign; if a candidate makes a personal loan of any amount, the other candidates may
suspend the $300 contribution limit up to the amount of the loan; and a candidate may
suspend the loan limit of $20,000 if an opponent is using personal funds in an amount of
more than $20,000 and provides notice.
The existing rules regarding personal funds are as follows:
· There is no limitation on personal funds a candidate may contribute; however,
if a candidate contributes more than $5,000 in personal funds in connection
with an election campaign, there is a notice requirement. (CVMC S
2.52.100(A)). Written notice must be provided to all opponents and the City
Clerk within a specified time, and the funds must first be deposited into the
candidate's campaign contribution account.
· If a candidate provides notice of the use of personal funds of more than
$5,000, each opponent may solicit and receive, and contributors may make,
contributions in excess of $300.00 up to the amount of personal funds.
The City may not restrict a candidate's use of personal funds because to do so
would be an infringement of the candidate's First Amendment right to free speech (see
Buckley v. Valeo, 424 U.S. 1,57 (1976); however, reporting and disclosure requirements
placed upon a candidate may be imposed.
The 2004 ordinance places a disclosure requirement on a candidate who intends to
spend more than $5,000 in personal funds in connection with an election campaign. As
explained in sections A (1) and (2) of this Report, an issue was raised in the 2006 election
as to whether the 2004 ordinance places a disclosure requirement on a candidate who
intends to loan himself or herself personal funds with the intent to repay the loan to
himself or herself. The ambiguity is one of the reasons for the City Council's referral to
the Ad Hoc Committee earlier this year for review of the 2004 ordinance. For the reasons
set forth in Sections A (1) and (2) of this Report; it is recommended that this ambiguity
be clarified by clearly stating that the notice requirement now applies to both situations
involving the use of personal funds (outright contributions and personal loans ). The
recommended changes are found in the proposed section 2.52.090(C).
Also, within existing sections 2.52.090/Loans and 2.52.1001N0tice regarding use
of personal funds, there are provisions related to lifting of the $300 campaign
contribution limit. This was the provision addedin 2004 to give candidates the
opportunity to level the playing field when an opponent uses personal funds or a personal
loan. If the Council intends to maintain the ability of candidates to suspend the $300
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-r--
Honorable Mayor and City Council
September 25, 2007
Pagel3
contribution limit under certain circumstances, it is reco=ended that the rules regarding
suspension be incorporated into the section regarding campaign contribution limits so it is
easier for the reader to follow and understand. The reco=ended revision is found at
proposed section 2.52.040(I).
The City Attorney is also reco=ending that the Council review the language
regarding what amount of contributions count toward leveling the playing field when
there has been a suspension of the limits. The current ordinance provides that all
contributions received within or in excess of the $300 contribution limit count. As noted
in section A of this Report, the use of the phrase "within" does not make sense because a
candidate may collect as many $300 contributioIi.s as the candidate is able. It is
recommended that the words "within or" be deleted.
Finally, in proposed section 2.52.040(I), it is reco=ended that the Council
clarify whether the suspension of the $300 contribution limit carries over from a general
to a special election. In proposed sections 2.52.050(A) and 2.52.050(C), it is
recommended that the Council clarify whether the loan limit of $20,000 and the ability to
suspend this limit apply to a campaign fOf a single election contest (one election) or
single elective office (the general/primary and the special/run-off elections together).
10. Section 2.52.100(A)(existing)
This section begins with the provision: "No candidate or other person shall
expend or contribute more than $5,000 in personal funds in connection with an election
campaign unless and until the following conditions are met. . . ." (italics added). It is
recommended that the Council delete the words. "or other person." These words are
inconsistent with other provisions of the 2004 ordinance. Pursuant to the 2004 ordinance,
no person can expend or contribute more than $300 to a candidate for a single election
contest, unless there has been a suspension of the contribution limit. Contributions from
other people to a candidate are reported in campaign statements. CVMC 9 2.52.100. If
the Council's inclusion of "or other person" was intended to require a candidate to notice
opponents of any contributions accepted pursuant to suspended limits, it seems that this
notice requirement can be accomplished through the campaign reporting provisions. If
the Council desires that candidates provide opponents with more i=ediate notice of
contributions accepted in excess of limits, the language "or other person" should be
clarified because the noticing is done by a candidate, not a contributor.
11. Section 2.52.130 (proposed number change )/Duties of City Clerk
Recommend changing word "apparent" to "alleged" in reference in subsection
(D) and adding reference to existing section 2.52.170, that it is the duty of the City Clerk
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Honorable Mayor and City Council
September 25, 2007
Page 14
to report "alleged violations of this chapter filed pursuant to CYMC 2.52.!40(E) and
applicable state law to the enforcement authority." "Alleged" is used elsewhere in the
ordinance and more properly refers to allegations brought pursuant to the complaint
process that have not been proven to be true at that point in the process. Using "apparent"
violations requires the City Clerk to exercise judgment in making referrals to the
enforcement authority. Under the 2004 ordinance only, it is the sole authority of the
"enforcement authority" to make determinations of probable cause and take enforcement
action.
12. Section 2.52.140 (proposed number change)/Enforcement
Recommend replacing words "special counsel" with "enforcement authority," a
defmed term in the 2004 ordinance, where reference is intended to refer to the
"enforcement authority."
13. Section 2.52.150 (proposed number change)/Penalties
Recommend that the City Council consider changing the criminal intent to be
consistent. At current section 2.52.060(C), it states a candidate must "knowingly" accept
a payment. "Knowingly" as used there is a specific intent, meaning to violate the chapter
a candidate must not only accept a contribution ill violation of the chapter, but must also
know accepting the contribution is in violation. Elsewhere, at section 2.52.180(A), the
criminal violation requires a "willful" act, which means purposeful, without the specific
intent of "knowingly." Further, a civil violation may be brought against any person "who
intentionally or negligently" violates any provision. "Intentional" is similar to the
criminal intent of "knowingly." "Negligently" is a lower standard. It is recommended that
the City Council consider amending the intent language to be consistent throughout the
ordinance.
CONCLUSION
As directed by the City Council, the City Attorney's Office will prepare an
ordinance for first reading that incorporates any or all of the proposals set forth in this
Report.
Exhibit A:
Exhibit B:
Exhibit C:
Proposed Revisions to 2004 Ordinance
Summary of2004 Ordinance
Actual 2004 Ordinance (Chula Vista Municipal Code Chapter 2.52)
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(",ITV f"\~""'U-t n ,\ \fll'"'''T"''
EXHIBIT A
13-20
City Attorney's Office
Proposed Revisions to Existing Ordinance
2.52.010
Purpose and intentpDl].
In enacting this chapter, the City Council finds and declares that moderate
monetary contributions to political campaigns are a legitimate form of participation in the
American political process. It is the policy of this City to protect the integrity of the
electoral process, and the best interests of the citizens of this City are served by
regulating campaign fInance.
Inherent in the high cost of election campaigning is the problem of improper
influence, real or potential, exercised by campaign contributors over elected officials. It is
the purpose and intent of the City Council in enacting this chapter:
A. To preserve an orderly political forum in which individuals may express
themselves effectively;
B. To place realistic and enforceable limits on the amounts of money that
may be contributed to political campaigns in City elections;
C. To prohibit contributions by organizations and permit contributions by
individuals only;
D. To provide full and fair enforcement of all the provisions of this chapter;
and
E. To encourage candidate adherence to election regulations by making them
easier to understand.
2.52.020
Interpretation ofthis chapter.
A.
The terms and phrases in this chapter shall be defIned as those terms and
phrases are defmed in the Political Reform Act of 1974, as amended (Government Code,
J:\A1tomeyIJDAWSON\campaignfin.u1ceordinance.revised.9.10.doc
13-21
Ordinance No.
Section 81000 et seq.) and in regulations adopted by the Fair Political Practices
Commission[JD2], unless otherwise specified in this chapter.
B. The [JD3]terms of this chapter are applicable to any contributions made to a
candidate or candidate-controlled committee, whether used by the candidate to finance a
current campaign or to pay debts incurred in prior campaigns.
C.
Revisions (1D4]to this chapter take effect on
and are
applicable to all contributions received by candidates seeking City elective office in the
general election of June 2008 and any election thereafter. Any candidate for City elective
office participating in the general election of June 2008 shall have a grace period of 60
days from the effective date, as stated in this paragraph, to repay any campaign
contributions made or received prior to the effective date of the revisions in conflict with
or in violation of any provisions of this chapter. .A candidate repaying any campaign
contributions or loans during this 60-day grace period shall provide written notice to the
City Clerk of the repayment within three business days of the repayment.
2.52.030 Defmitions.
A. "Agent" means a person who acts on behalf or at the behest of any other
person or accepts a contribution on behalf of a candidate. If an individual acting as an
agent is also acting as an employee or member of a law, architectural, engineering or
consulting firm, or a similar entity or corporation, both the entity or corporation and the
individual are "agents."
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Ordinance No.
B. "At the behest" means made under the control or at the direction of, in
cooperation, consultation, coordination, or concert with, at the request or suggestion of,
or with the express prior consent of.
C. [JD5]"Campaign contribution account" is that account in which all
contributions or loans made to the candidate shall be deposited, as required by
Government Code section 85201.
D. "Candidate" means any individual seeking any City elective office, the
candidate's campaign committee, committee(s) controlled by the candidate, agents of the
candidate.
E. "City campaign statement" means the statement which, to the extent
practicable, shall be similar to or consolidated with that required by state law.
F. "City elective office" means the offices held by the Mayor or members of
the City Council.
G. "Contribution" is defined in a manner identical with the definition found
in Government Code Section 82015 and any related provisions in the California Code of
Regulations.
H. "Enforcement authority," under this chapter, means that special counsel
appointed by the City Attorney pursuant [JD6]to CYMC 2.52.140.
1. "General election" is that election identified by Charter Section 900 that is
combined with the California State primary election.
J. "Independent expenditure committee" is as defmed in Government Code
Sections 82013 and 82031 which supports or opposes in whole or in part a candidate for
13-23
Ordinance No.
city elective office if contributions are made to said committee with the intent that they,
or a comparable amount of funds otherwise owned by, or under the control of, the
committee be used to support or oppose a particular candidate for a city elective office.
This type of committee is not controlled by the candidate[JD7].
K. "Organization" means a proprietorship, labor union, firm, partnership,
joint venture, syndicate, business, trust, company, corporation, association, or committee,
including a political action committee.
L. "Person" means a natural individual.
M. "Single election contest" means either a general or special election.
N. "Special election" defined in Charter Section 901, means a municipal
election other than a general election that may be held by authority of the Charter or of
any law.
2.52.040
A.
Campaign contribution limits/rules and suspension[JD8].
No person, other than a candidate, shall make a contribution in excess of
$300.00 to a candidate for a single election contest. No candidate shall solicit or accept a
contribution in excess of $300.00 from a contributor for a single election contest. A
candidate may receive up to $300.00 from a contributor in each of the general and special
elections. This $300.00 limit on contributions by individuals may be suspended only on
the conditions set forth in CVMC 2.52.040(1).
B[lD9]. No organization shall make a contribution to any candidate or candidate-
controlled campaign committee. This chapter shall not apply to contributions made to a
Ordinance No.
qualification for the ballot or adoption of one or more city measures. All contributions
made by a person whose contribution activity is financed, maintained or controlled by an
organization or any other person shall be deemed to be made by that organization or other
person. If the contribution is deemed made by an organization, it is prohibited.
C. No [JDlo]individual, or combination of individuals acting jointly, shall
make directly or indirectly a contribution in the name of another individual or
combination of individuals.
D. Contributions [JDll]by a husband and wife shall be treated as separate
contributions and shall not be aggregated where the checks are drawn separately and
signed by the spouse making the contribution. Contributions by a husband and wife shall
be treated as separate even if combined into one check but presented with two signatures.
E. No [JD12]perSOn shall make a contribution to any candidate, and no such
candidate shall accept from any person such a contribution earlier than eleven months
preceding a single election contest.
F. A [JD13]contribution for an election may be accepted by a candidate after
the date of the election only to the extent that the contribution does not exceed net debts
outstanding from the election, and the contribution does not otherwise exceed the
applicable contribution limit for that election.
G. A [JD14]candidate may not solicit or accept contributions for a special
election prior to the holding of the general election for that office.
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Ordinance No.
H. A [JD15]candidate may carry over contributions raised in connection with
one election for City elective office to pay campaign expenditures incurred in connection
with a subsequent election for the same City elective office.
I. A [JDI6]candidate who has received notice of an opponent's use of personal
funds of more than $5,000 aggregate and .any amount thereafter, or a personal loan of any
amount, either pursuant to CVMC 2.52.060 or as discovered in any campaign filing
statement, [for a single election contest. or campaign for single elective office 1 shall
[JD17]be permitted to solicit and receive, and contributors to each such opponent may
make, contributions in excess of the $300.00 pet person limit set forth in CVMC
2.52.040(A).[JD18] The $300.00 limit for individual contributions contained in CYMe
2.52.040(A) shall be suspended from the date the candidate's opponent deposits the
personal funds, including a personal loan, into his or her campaign contribution account.
The suspension of the $300.00 limit shall continue until the candidate receives
contributions, in excess of the $300.00 limit, up to the amount of personal funds,
including a personal loan, deposited by the candidate's opponent in his or her campaign
contribution account. Those contributions received in [JD19]eXCeSS of the $300.00 per
person limit shall count toward equaling the amount of personal funds, including a
personal loan, deposited by the candidate's opponent in his or her campaign contribution
account.
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Ordinance No.
2.52.050 Loans/rules and suspension.
A. A [JD2o]candidate shall not loan to his or her campaign personal funds in an
amount in excess of $20,000 [Note: $20,000 per campaign for single election contest or
single elective office??l. except as set forth in CVMC 2.52.050(C).
B. A [JD21]loan or extension of credit shall be considered a contribution from
the maker of the loan or extender of credit and shall be subject to the contribution limit of
$300.00 per person, pursuant to CVMC 2.52.040. The [JD22]$300.00 contribution limit
does not apply to loans made to a candidate for the purpose of a campaign by himself or
herself or by a commercial lending institution in the lender's regular course of business
on terms available to members of the general public for which the candidate is personally
liable.
C. A [JD23]candidate shall not be bound by the loan limit of $20,000 where the
candidate has received notice by an opponent, pursuant to CVMC 2.52,060, or has
discovered in any campaign filing statement that the opponent intends to spend or
contribute personal funds of more than $20,000 [in a campaign for a single election
contest or for a single elective office??l. If a candidate's opponent spends or contributes
personal funds of more than $20,000 in a campaign [for a single election contest or for a
single elective office?l, the candidate may loan himself or herself personal funds in an
amount of more than $20,000 up to the amount of personal funds spent or contributed by
the opponent in excess of $20,000.
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Ordinance No.
2.52.060 Notice regarding personal funds and loans[JD24].
If a candidate spends [JD25]Or contributes personal funds of more than $5,000, or
loans himself or herself personal funds of any amount, in connection with a campaign for
[single election contest or single elective office?l, a candidate shall do all of the
following:
A. Provide written notice of the candidate's intent to spend or contribute
more than $5,000 of personal funds, or to. loan himself or herself any amount of personal
funds, to the City Clerk and all opponent candidates. The notice shall be delivered
personally or sent by registered mail to the last known address of the opponent candidates
as shown in the records of the City Clerk and shall specify the amount of personal funds
intended to be expended, contributed, or loaned.' The notice shall also provide the date
the personal funds shall be deposited into the candidate's campaign contribution account,
as required by CVMC 2.52.070(B). Separate notice is required for anv separate deposit
of personal funds of anv amount that is a loan from a candidate to his or her campaign.
Separate notice is also required for anv separate deposit of personal funds that is a
contribution from a candidate to his or her campaign, once the candidate has spent or
contributed more than $5,000 in personal funds in connection with the campaign for fa
single election contest or for single elective office.l
B. The required notice shall be given no later than 21 days prior the election,
unless the expenditure or contribution occurs during the 21 days preceding the election,
in which case the required notice shall be provided 24 hours prior to deposit into the
candidate's campaign contribution account.
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Ordinance No.
2.52.070
A.
Campaign contribution account[JD26].
The campaign contribution account required by Government Code section
85201 (a) shall be established at a financial institution located in San Diego County.
B. All [JD27]personal funds to be expended, contributed, or loaned by a
candidate shall fust be deposited in the candidate's campaign contribution account.
2.52.080 Surplus campaign funds[JD28].
A. Upon leaving any elected office, or at the end of the post-election
reporting period following the defeat of a candidate for elective office, whichever occurs
last, campaign funds under the control of a candidate shall be considered surplus
campaign funds.
B. Surplus campaign funds shall be used only for the following purposes:
I. To repay contributions.
2. To make a donation to any bona fide charitable, educational, civic,
religious, or nonprofit organization, where no substantial pact of the proceeds will have a
material fmancial effect on the candidate, any member of his or her immediate family, or
his or her campaign treasurer.
3. To pay for professional services reasonably required by the
candidate or candidate-controlled committee to assist in the performance of its
administrative functions, including payment for attorney's fees for litigation that arises
directly out of a candidate's activities or his or her status as a candidate, including, but
not limited to, an action to enjoin defamation, defense of an action brought of a violation
13-29
Ordinance No.
of state or local campaign, disclosure, or election laws, and an action from an election
contest or recount.
2.52.090 Return of prohibited contributions[JD29].
A. If a contribution is tendered and would be in violation of this chapter, it
shall be returned by a candidate to the contributor within three business days of discovery
of receipt ofthe contribution by the candidate, or his or her representative. The candidate
shall also report in writing to the City Clerk within three business days of discovery the
facts surrounding the contribution.
B. A contribution shall not be considered to be received if it has not been
negotiated, deposited, or utilized, and is returned by the candidate to the contributor
within three business days of discovery of receipt.
2.52.100 Written solicitations by candidates[JD3o].
Any candidate making a written solicitation for a contribution for his or her
campaign for City elective office shall include the following written notice in no less than
six point type on each such solicitation:
NOTICE
The City ofChula Vista Municipal Code limits contributions to campaigns for City
elective office to three hundred dollars per person.
2.52.110
Campaign statementS[JD31]
Each candidate shall file campaign statements with the City Clerk in the time and
manner as required by the Political Reform Act of 1974 as amended (Government Code
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Ordinance No.
Section 84100 et seq.). Compliance with the requiremen~ of that Act shall be deemed to
be compliance with this chapter.
2.52.120 Contributions for legal defense[ID32].
Notwithstanding anything contained herein to the contrary, a payment to or for
the benefit of a Councilmember and Mayor, or candidate made and used for the express
purpose of offsetting costs already incurred by that Councilmember, Mayor, or candidate
in the defense of a criminal or administrative prosecutorial action against said
Councilmember, Mayor, or candidate and not made or used for the purpose of aiding in
the election of said Councilmember, Mayor, or candidate, and not made within (before or
after) 100 days of an election in which the Councilmember, Mayor, or candidate is
competing for a seat or office, shall not be deemed to be a contribution for the purposes
of this chapter.
2.52.130 Duties of City Clerk[JD33].
In addition to other duties required of the City Clerk under the terms of this
chapter and City Charter, the Clerk shall:
A. Supply appropriate forms and manuals prescribed by the California Fair
Political Practices Commission. These forms and manuals shall be furnished to all
candidates and committees, and to all other persons required to report.
B. Determine whether required documents have been filed and, if so, whether
they conform on their face with the requirements of state law.
Ordinance No.
D. Report alleged [JD34] violations of this chapter filed pursuant to CVMC
2.52.l40(E) and applicable state law to the enforcement authority.
E. Compile and maintain a current list of all statements or parts of statements
filed with the City Clerk's office pertaining to each candidate and each measure.
F. Cooperate with the enforcement authority in the performance of the duties
of the enforcement authority as prescribed in this chapter and applicable state laws.
2.52.140 Enforcement[JD35].
A. The City Attorney shall not investigate or prosecute alleged violations of
this chapter, but shall defend the constitutionality and legality of this chapter in any civil
proceeding in which the City or the City Council is a party.
B. The enforcement authority, as defined by this chapter, shall investigate or
prosecute alleged violations of this chapter.
C. The City Attorney shall solicit proposals from attorneys in accordance
with Section 503 of the City Charter and Chapter 2.56 CYMC to act as the enforcement
authority eleven months [JD36] prior to a general election. As part of the annual budget
process, the City Council shall appropriate no less than $100,000 to fund the retention of
special counsel to serve as the enforcement authority. These funds shall be separate from
the City Attorney's budget and used solely for the investigation and prosecution of
alleged violations of this chapter.
D. The City Attorney shall appoint a panel of no less than three attorneys to
act as the enforcement authority. These attorneys shall be compensated by the City.
Should the appointment of additional special counsel become necessary or appropriate,
13-32
Ordinance No.
the City Attorney shall appoint additional special cOWlSel as may be required. A single
member of the special counsel panel shall be assigned to each case. Assignments shall be
made on a rotating basis.
E. Complaints [JD37]of violations of this chapter shall be submitted in writing,
under penalty of peIjury, by a resident of the City to the City Clerk. The complaint shall
state a full recitation of all facts that are alleged to constitute a violation of this chapter.
The complaint must be filed within 90 days of discovery of the alleged violation, but no
later than 180 days from the date of the election.
F. The City Clerk shall forward the complaint to the enforcement authority
within five working days of receipt for a probable cause determination. If no probable
cause is determined to exist, the complaint shall be dismissed summarily and interested
parties shall be notified of the dismissal in writing.
G. If probable cause is determined to exist, the enforcement authority shall
take further investigatory and procedural steps necessary to resolve the matter.
H. Violations of this chapter may be pursued either through a civil or criminal
action at the discretion of the enforcement authority. The enforcement authority may also
commence and prosecute any necessary administrative proceedings or civil litigation to
compel compliance with this chapter. No enforcement or prosecution or action by the
enforcement authority shall be subject to the review or control of the City Attorney or
City Council.
1. The special counsel, serving as the enforcement authority, may investigate
and may institute legal action to prevent further violations. The special counsel may
13-33
Ordinance No.
decline to investigate if the allegation is also a violation Qf state law, and is the subject of
a complaint filed with the Fair Political Practices Commission.
J. Special counsel, serving as the enforcement authority, shall be immune to
liability for enforcement of chapter.
2.52.150 Penalties[JD38].
A. No [JD39]candidate shall knowingly accept a payment or contribution made in
violation of this chapter.
B. No offiCer[JD40], employee, agent or attorney or other representative of a person
covered by this chapter shall aid, abet, advise or participate in a violation of this chapter.
C. Any person who willfully [JD41]violates any provision of this chapter is guilty of a
misdemeanor. Any person who willfully causes or solicits any other person to violate
any provisions of this chapter, or who aids and abets any other person in the violation of
this chapter shall be guilty of a misdemeanor.
D. Any person who intentionally or negligently violates any provision of this
chapter shall be liable in a ciyil action brought by special counsel for an amount not more
than three times the amount the person failed to report properly or unlawfully
contributed, expended, gaye or received, or $5,000 per violation, whicheyer is greater.
In determining the amount of liability, the court may take into account the
seriousness of the violation and the degree of culpability of the defendant. If a judgment
is entered, the funds recovered shall be deposited into the City's general fund.
13-34
Ordinance No.
2.52.160
Severability[JD42] .
If any provision of this chapter, or the application of any such provision to any
person or circumstances, shall be held invalid, the remainder of this chapter to the extent
it can be given effect, or the application of those provisions to persons or circumstances
other than those as to which it is held invalid, shall not be affected thereby, and to this
end the provisions of this chapter are severable.
13-35
Page: 1
[JD1]No change to this section.
Page: 2
[JD2]Added reference to the Fair Political Practices COIIlJl1ission to be consistent with
state law.
Page: 2
[JD3]This subsection is moved from existing section 2.52.040(B) and renumbered here.
Page: 2
[JD4]This subsection is a necessary "grandfather" provision.
Page: 3
[JD5]Added this defInition, which is conSistent With state law and other references in this
chapter.
Page: 3
[JD6] The reference here to City Council in the existing ordinance is inconsistent with
existing section 2.52. 170(D), which states that the City Attorney shall appoint the
attorneys to act as the enforcement authority. The City Council authorizes an
appropriation of no less than $100,000 for payment of the attorneys.
Page: 4
[JD7]Deleted defInition of "intermediary" because it is not used elsewhere in the chapter.
Page: 4
[JD8]Renamed chapter to make it easier for the reader to understand.
Page: 4
[JD9]This is existing sections 2.52.060(A) and (B) moved and renumbered here.
Page: 5
[JDI0]This is existing section 2.52.120 moved and renumbered here. The language has
been edited to make it easier to read. The existing language states, "It is unlawful for any
individual, or combination of individuals acting jointly, to make directly or indirectly a
contribution in the name of another individual or combination of individuals."
Page: 5
[JDll]This is existing section 2.52.110 moved and renumbered here.
Page: 5
[JDI2]This is existing section 2.52.040(C) moved and renumbered here, with the word
"earlier" replacing "sooner."
Page: 5
[JD13]This is existing section 2.52.040(D) moved and renumbered here.
Page: 5
[JDI4]This is existing section 2.52.040(E) moved and renumbered here. The second
sentence of the existing section has been broken up into the next subsection for ease in
reading.
Page: 6
[JDI5]This is the second sentence of existing section 2.52.040(E) moved and renumbered
here.
Page: 6
[JDI6]This is existing sections 2.52.090(D) and 2.52.100(B) consolidated, moved and
renumbered here. The existing sections have been re-written to simplify them, but the
intent has not changed.
13-36
Page: 6
[IDI7] Existing section 2.52.100 provides that no candidate shall expend or contribute
more than $5,000 in personal funds in connection with an election campaign unless
notice is provided. "Election campaign" appears to mellIl a single election contest, the
language used throughout the ordinance. It is recommended that "election campaign" be
clarified. Also, it appears that notice is required 'even where the use of personal funds
totals $5,000, but is contributed by a candidate in lesser increments.
Page: 6
[IDI8]There is no "cut-off time" for the suspension of the $300.00 limits contained in the
existing ordinance, but it is recommended that one be established to be consistent with
existing section 2.52.040(E), which states that a candidate may not solicit or accept
contributions for a special election prior to the holding of the general election. Also, the
$300.00 loan limit applies to a single election contest, so to limit the suspension period to
the end of the current election is consistent with other provisions of the chapter.
Page: 6
[JDI9]Existing section 2.52.100(B) has an inconsistency written into the section. It
states the opponent may receive contributions "in excess" oflimits up the amount of
personal funds deposited by the candidate. It then states contributions received "within
or in excess" of the limits count toward equaling the amount of personal funds. This
ambiguity and inconsistency has created substantial confusion by candidates and the City
Clerk's Office, and should be clarified.
Page: 7
[ID20]This is existing section 2.52.090(C) moved and renumbered here.
Page: 7
[ID21]This is existing section 2.52.090(A) moved and renumbered here.
Page: 7
[ID22]This is existing section 2.52.090(B) moved and renumbered here.
Page: 7
[ID23]This is existing section 2.52.090(E) moved and renumbered here, with additional
language added to clarify the existing provision.
Page: 8
[ID24]This is existing section 2.52.100 moved and renumbered here, with new language
that adds a notice requirement for the use of loans of any amount.
Page: 8
[1025] The existing ordinance states, "No candidate or other person shall expend or
contribute more than $5,000 in personal funds in connection with an election campaign. .
. ." Use of the word "other person" is inconsistent with the other existing provisions, in
that it is in conflict with the campaign contribution limit of $300 per contributor that
forms the basis of the existing ordinance. The reference to "other person" has been
deleted in the recommended changes here.
Page: 9
[ID26]Existing section 2.52.140 moved and renumbered here, with subsections Band C
added to be consistent with state law.
Page: 9
[ID27]Existing provision from section 2.52.1 00(A)(2) moved and renumbered here.
Page: 9
[JD28]Existing section 2.52.050 moved and renumbered here.
13-37
Page: 10
[JD29]Existing section 2.52.070 moved and renumbered here. Also, existing sections
2.52.070(A) and (B) are inconsistent in that section A calls for return of prohibited
contributions within three business days and section B calls for return of prohibited
contributions within 24 hours of discovery. This inconsistency is corrected here by
making it "within three business days." Existing sections A and B have been combined
into one section.
Page: 10
[JD30]Existing section 2.52.080 moved and renumbered here. Also, reference to a limit
to contributions for independent expenditure committees is removed because this
ordinance did not intend to regulate those contributions.
Page: 10
[JD31] Existing section 2.52.150 moved and renumbered here.
Page: 11
[JD32]Existing section 2.52.150 moved and renumbered here.
Page: 11
[JD33]Existing section 2.52.160 moved and renumbered here.
Page: 12
[JD34]Changed word in existing section 2.52.160(D) from "apparent" to "alleged" to be
consistent with existing section 2.52.170(E).
Page: 12
[JD35]Existing section 2.52.170 moved and renumbered here. Recommend changing use
of phrase "special counsel" to "enforcement authority" where intent is to refer to the three
attorneys acting as the "enforcement authority" to be consistent with definitions at the
beginning of the chapter.
Page: 12
[JD36]Recommend changing from 180 days in existing section 2.52. 170(C) to eleven
months to coincide with the period in which candidates may collect contributions (see
existing section 2.52.040(C)).
Page: 13
[JD37]This subsection is rewritten from existing section 2.52.170(E).
Page: 14
[JD38]Existing section 2.52.180 moved and renumbered here.
Page: 14
[JD39]Existing sections 2.52.060(B) and (C) moved and renumbered here.
Page: 14
[JD40] Portion of existing section 2.52.060(B) regarding criminal violations moved and
renumbered here.
Page: 14
[JD41 ]Intent is inconsistent in existing chapter. Knowledge requirement from section
2.52.060(C) is added here.
Page: 15
[JD42]Existing section 2.52.190 moved and renumbered here.
13-38
EXHIBIT B
. 13-39
Summary ofthe Campaign Contribution Ordinance
Approved by the City Council in 2004
. $300 campaign contribution limit per single election (single election is defined as
general/primary or special/run-off) (CVMC 92.52.040(A))
. Contributions of a husband and wife are treated separately (CYMC 92.52.110)
. Contributions may not be made earlier than II months before an election (CVMC
92.52.040(C))
. Candidates may collect contributions after an election only to repay debts (CVMC
92.52.040(D))
. Candidates may carry over contributions from one election to pay campaign
expenses in subsequent election for same office (CYMC 92.52.040(E))
. Surplus funds can be used to repay contributions/debt, make donations to a
charitable organization, or pay for professional services related to a campaign
(CYMC 92.52.050)
. Contributions to a legal defense fund are not considered contributions under the
ordinance, as long as certain factors are met (CYMC 92.52.130)
. Candidates must open a campaign contribution account in San Diego and deposit
contributions into the account before expending them (CYMC 992.52.100,
2.52.140)
. Organizations may not contribute to candidates (CYMC 92.52.060)
. Contributions collected in violation of the ordinance must be returned (CVMC
92.52.070)
. Candidates must provide written notice of $300 contribution limit on written
solicitations (CVMC 92.52.080)
. Loans are considered contributions subject to the $300 limit, except for loans
from a commercial lending institution (CVMC 992.52.090(A), (B))
. Candidates may not loan themselves mOre than $20,000 (CVMC 92.52.090(C));
however, this loan limit does not apply t6 the extent a candidate's opponent
contributes more than $20,000 to himself or herself, in which a candidate may
increase the loan limit up to the amount of personal funds contributed by an
opponent (CYMC 92.52.090(E))
. A candidate must give written notice to his or her opponents if the candidate
intends to contribute or expend more than $5,000 in personal funds (CYMC 9
2.52.1 00); if a candidate gives this notice, an opponent may suspend the $300
contribution limit and receive contributions in excess of the $300 limit up to the
amount of personal funds contributed by the candidate (CVMC 92.52.100(B)); a
candidate may also suspend the $300 limit if his or her opponent loans himself or
herself money, up to the amount of the loan (CVMC 92.52.090(D)).
. Candidates must file campaign statements as required by state law (CYMC
92.52.160)
. Alleged violations of the ordinance are to be reported to the City Clerk, to be
investigated and/or prosecuted by special counsel designated as the "enforcement
authority" (CYMC 992.52.160,2.52.170)
13-40
· Violations may be prosecuted criminally as misdemeanors and/or through a civil
action, with specified fines; monetary judgments from a civil action are to be
deposited into the general fund (CYMe g2.52.180)
13-41
13-42
EXHIBIT C
Chula Vista Municipal Code
2.52.030
Sections:
2.52.010
2.52.020
2.52.030
2.52.040
2.52.050
2.52.060
2.52.070
2.52.080
2.52.090
2.52.100
2.52.110
2.52.120
2.52.130
2.52.140
2.52.150
2.52.160
2.52.170
2.52.180
2.52.190
Chapter 2.52
CAMPAIGN CONTRIBUTIONS*
Purpose and intent.
Interpretation of this chapter.
Definitions.
Campaign contributions.
Surplus campaign funds.
Organizational contributions.
Contribution in violation of this
chapter.
Written solicitations by candidates.
Loans.
Notice regarding personal funds.
Family contributions.
Prohibition of contribution in the
name of another individual.
Contributions for legal defense.
Campaign contribution checking
account.
Campaign statements.
Duties of city clerk.
Enforcement.
Penalties.
Severability.
. Prior legislation: Ords. 2298, 2334, 2391, 2434, 2581,
2654,2661,2769 and 2849.
2.52.010 Purpose and intent.
In enacting this chapter, the city council finds
and declares that moderate monetary contributions
to political campaigns are a legitimate form of.par-
ticipation in the American political process. It is
the policy of this city to protect the integrity of the
electoral process, and the best interests of the citi-
zens of this city are served by regulating campaign
finance.
Inherent in the high cost of election campaign-
ing is the problem of improper influence, real or
potential, exercised by campaign contributors over
elected officials. It is the purpose and intent of the
city council in enacting this chapter:
A. To preserve an orderly political forum in
which individuals may express themselves effec-
tively;
B. To place realistic and enforceable limits on
the amounts of money that may be contributed to
political campaigns in city elections;
C. To prohibit contributions by organizations
and permit individual contributions only;
D. To provide full and fair enforcement of all
the provisions of this chapter; and
E.- To encourage candidate adherence to elec-
tion regulations by making them easier to under-
stand. (Ord. 2955 ~ 1,2004).
2.52.020 Interpretation of this chapter.
The terms and phrases in this chapter shall be
defined as those terms and phrases are defined in
the Political Reform Act of 1974, as amended
(Government Code, Section 81000 et seq.), unless
otherwise specified in this chapter. (Ord. 2955 ~ 1,
2004).
2.52.030 Definitions.
A. "Agent" means a person who acts on behalf
or at behest of any other person or accepts a contri-
bution on behalf of a candidate. If an individual
acting as an agent is also acting as an employee or
member of a law, architectural, engineering or con-
sulting firm, or a similar entity or corporation, both
the entity or corporation and the individual are
"agents. "
B. "At the behest" means made under the con-
trol or at the direction of, in cooperation, consulta-
tion, coordination, or concert with, at the request or
suggestion of, or with the express prior consent of.
C. "Candidate" means any individual seeking
any city elective office, the candidate's campaign
committee, committee(s) controlled by the candi-
date, agents of the candidate.
D. ''City campaign statement" means the state-
ment which, to the extent practicable, shall be sim-
ilar to or consolidated with that required by state
law.
E. "City electi ve office" means the offices held
by members of the city council and mayor.
F. "Contributions" are defined in a manner
identical with the definition found in Government
Code Section 82015 and any related provisions in
the California Code of Regulations.
G. "Enforcement authority" means that special
counsel appointed by the city council pursuant to
CYMC 2.52.170.
H. "General election" is that election identified
by Charter Section 900 which is combined with the
state primary election.
1. "Independent expenditure committee" is as
defined in Government Code Sections 82013 and
82031 which supports or opposes in whole or in
part a candidate for city elective office if contribu-
tions are made to said committee with the intent
that they, or a comparable amount of funds other-
wise owned by, or under the control of, the com-
13-43
(Revised 7/0S)
2.52.040
mittee be used to support or oppose a particular
candidate for a city elective office. This type of
committee is not controlled by the candidate.
J. "Intermediary" means a person who delivers
to a candidate or committee or committee treasurer
a contribution from another person unless such
contribution is from the person's employer, imme-
diate family or an association to which the person
belongs. Neither candidate or treasurer is consid-
ered an intermediary.
K. "Organization" means a proprietorship,
labor union, firm, partnership, joint venture, syndi-
cate, business, trust, company, corporation, associ-
ation, or committee, including a political action
committee.
L. "Person" means a natural individual.
M. "Single election contest" means either a
general or special election.
N. "Special election" defined in Charter Sec-
tion 901, as all other municipal elections that may
be held by authority of the Charter or of any law.
COrd. 2955 ~ 1,2004).
2.52.040 Campaign contributions.
A. No person, other than a candidate, shall
make a contribution in excess of $300.00 to a can-
didate for a single election contest. No candidate
shall solicit or accept a contribution in excess of
$300.00 from a contributor for a single election
contest. A candidate may receive up to $300.00
from a contributor in each of the general and spe-
cial elections.
B. The terms of this chapter are applicable to
any contributions made to a candidate or commit-
tee hereunder, whether used by such candidate or
committee to finance a current campaign or to pay
debts incurred in prior campaigns.
C. No person shall make a contribution to any
candidate for city elective offices and no such can-
didate shall accept from any person such a contri-
bution sooner than 11 months preceding a single
election contest.
D. A contribution for an election may be
accepted by a candidate for elective city office
after the date of the election only to the extent that
the contribution does not exceed net debts out-
standing from the election, and the contribution
does not otherwise exceed the applicable contribu-
tion limit for that election.
E. A candidate for city elective office may not
solicit or accept contributions for a special election
prior to the holding of the general election for that
office. A candidate for city elective office may
carry over contributions raised in connection with
one election for elective city office to pay cam-
paign expenditures incurred in connection with a
subsequent election for the same elective city
office. COrd. 2955 ~ 1,2004).
2.52.050 Surplus campaign funds.
A. Upon leaving any elected office, or at the
end of the post-election reporting period following
the defeat of a candidate for elective office, which-
ever occurs last, campaign funds under the control
of a candidate shall be considered surplus cam-
paign funds.
(Revised 7/05)
l;j 44
Chula Vista Municipal Code
2.52.090
B. Surplus campaign funds shall be used only
for the following purposes;
1. To repay contributions.
2. To make a donation to any bona fide char-
itable, educational, civic, religious, or nonprofit
organization, where no substantial part of the pro-
ceeds will have a material financial effect on the
candidate, any member of his or her immediate
family, or his or her campaign treasurer.
3. To pay for professional services reason-
ably required by the candidate or committee to
assist in the performance of its administrative func-
tions, including payment for attorney's fees for lit-
igation that arises directly out of a candidate's
activities or his or her status as a candidate, includ-
ing, but not limited to, an action to enjoin defama-
tion, defense of an action brought of a violation of
state or local campaign, disclosure, or election
laws, and an action from an election contest or
recount. COrd. 2955 ~ 1,2004).
2.52.060 Organizational contributions.
A. No organization shall make a contribution to
any candidate or candidate campaign co=ittee.
This chapter shall not apply to contributions made
to a committee which is organized solely for the
purpose of supporting or opposing the qualification
for the ballot or adoption of one or more city mea-
sures.
B. No officer, employee, agent or attorney or
other representative of a person covered by this
chapter shall aid, abet, advise or participate in a
violation of this chapter. All contributions made by
a person whose contribution activity is financed,
maintained or controlled by an organization or any
other person shall be deemed to be made by that
organization or other person. If the contribution is
deemed made by an organization, it is prohibited.
C. No candidate shall knowingly accept a pay-
ment or contribution made in violation of this
chapter. COrd. 2955 ~ 1,2004).
2.52.070 Contribution in violation of this
chapter.
A. If a contribution is tendered and would be in
violation of this chapter, it shall be returned within
three business days of discovery.
B. Ifa contribution which is in violation of this
chapter is received by a candidate, the candidate
shall report in writing within three business days of
discovery of the receipt of the contribution to the
city clerk the facts surrounding such contribution
and shall return such contribution to the contributor
within 24 hours of discovery.
C. A contribution shall not be considered to be
received if it has not been negotiated, deposited, or
utilized, and is returned to the donor within three
business days of discovery of receipt. COrd. 2955 ~
1,2004).
2.52.080 Written solicitations by candidates.
Any candidate making a written solicitation for
a contribution for his or her campaign for city elec-
tive office shall include the following written
notice in no less than six point type on each such
solicitation:
NOTICE
Ordinance No. 2955 of the City of Chula
Vista limits contributions to campaigns for
City eiective office, either to candidate
controlled committees or to regulated inde-
pendent expenditure committees, to three
hundred dollars per contributor.
COrd. 2955 ~ 1,2004).
2.52.090 Loans.
A. A loan or extension of credit shall be consid-
ered a contribution from the maker of the loan or
extender of credit and shall be subject to lbe contri-
bution limitations of this chapter.
B. The provisions of this chapter apply to per-
sonalloans or extensions of credit, but do not apply
to loans made to a candidate by a co=erciallend-
ing institution in lbe lender's regular course of
business on terms available to members oflbe gen-
eral public for which the candidate is personally
liable.
C. A candidate for elective city office may not
personally loan to his or her campaign an amount
in excess of $20,000.
D. Each opponent ofa candidate who has made
a loan to his or her campaign pursuant to this sec-
tion shall be permitted to solicit and receive, and
contributors to such opponent may make, contribu-
tions in excess of the limits contained in CVMC
2.52.040. The limitation contained in CYMC
2.52.040 shall be suspended from the date candi-
date made said loan so that the opponent may
receive contributions in excess of lbe limitation up
to the amount loaned by lbe candidate. Those con-
tributions received within or in excess of lbe limi-
tation shall count toward equaling the amount
loaned.
E. Each opponent of a candidate or other person
who has given notice pursuant to CYMC 2.52.100
shall not be bound by the loan limitation within this
1;1-40
(Revised 8/04)
2.52.100
section to the extent the amount of personal funds
expended or contributed exceeds $20,000. (Ord.
2955 ~ 1,2004).
2.52.100 Notice regarding personal funds.
A. No candidate or other person shall expend or
contribute more than $5,000 in personal funds in
connection with an election campaign unless and
until the following conditions are met:
1. Written notice of the candidate's or other
person's intent to so expend or contribute in excess
of $5,000 shall be provided to the city clerk and all
opponent candidates. The notice shall be delivered
personally or sent by registered mail to the last
known address of the opponent candidates as
shown in the records of the city clerk and shall
specify the amount intended to be expended or
contributed; and
2. All personal funds to be expended or con-
tributed by the candidste shall fIrst be deposited in
the candidate's campaign contribution checking
account. The required notice shall be given no later
than 21 days prior to the election. If the expendi-
ture or contribution occurs during the 21 days pre-
ceding the election, the required notice shall be
provided within 24 hours.
B. Each opponent of any candidate who has
complied with the above conditions shall be per-
mitted to solicit and receive, and contributors to
each such opponent may make, contributions in
excess of the limits established in CVMC
2.52.040(A). The limitation contained in CVMC
2.52.040 shall be suspended from the date candi-
date deposited said funds so that the opponent may
receive contributions in excess of the limitation up
to the amount of personal funds deposited by the
candidate in his or her campaign contribution
checking account. Those contributions received
within or in excess of the limitation shall count
toward equaling the amount of personal funds
deposited by the candidate in his or her campaign
contribution checking account. (Ord. 2955 ~ I,
2004).
2.52.110 Family contributions.
Contributions by a husband and wife shall be
treated as separate contributions and shall not be
aggregated where the checks are drawn separately
and signed by the spouse making the contribution.
Contributions by a husband and wife shall be
treated as separate even if combined into one check
but presented with two signatures. (Ord. 2955 ~ I,
2004).
(Revised 8/04)
2.52.120 ProhIbition of contribution in the
na)lle of another individual.
It is unlawful for any individual, or combination
of individuals acting jointly, to make directly or
indirectly a contribution in the name of another
individual or combination of individuals. (Ord.
2955 ~ 1,2004).
2.52,130 Contributions for legal defense.
Notwithstanding anything contained herein to
the contrary, a payment to or for the benefIt of a
councilmember and mayor or candidate made and
used for the express purpose of offsetting costs
already incurred by that counci1member and mayor
or candidate in the defense of a criminal or admin-
istrative prosecutorial action against said coun-
ci1member and mayor, and not made or used for the
purp.ose of aiding in the election of said C.oUll-
cilmember and mayor or candidate, and not made
within (before or after) 100 days of an election in
which the councilmember and mayor or candidate
is competing for a seat or office, shall not be
deemed to be a c.ontribution for the purposes of this
chapter. (Ord. 2955 ~ I, 2004).
2.52.140 Campaign contribution checking
account.
The campaign account required by Government
Code Section 8520I(a) shall be established at a
fInancial institution located in San Diego County.
(Ord. 2955 ~ 1,2004).
2.52.150 Campaign statements.
Each candidate and committee shall ille cam-
paign statements in the time and manner required
by the Political Reform Act of 1974 as amended
(Government Code Section 84100 et seq.). Com-
pliance with the requirements of that Act shall be
deemed to be compliance with this chapter. (Ord.
2955 ~ 1,2004).
2.52.160 Duties of city clerk.
In addition to other duties required of the city
clerk under the terms of this chapter and city Char-
ter, the clerk shall:
A. Supply appropriate forms and manuals pre-
scribed by the California Fair Political Practices
Commission. These forms and manuals shall be
furnished to all candidates and committees, and to
all other persons required to report.
B. Determine whether required documents
have been fIled and, if so, whether they conform on
their face with the requirements of state law.
1;:1 4b
Chula Vista Municipal Code
2.52.190
C. Notify promptly all person and known com-
mittees who have failed to file a document in the
form and at the time required by state law.
D. Report apparent violations of this chapter
and applicable state law to the enforcement author-
ity.
E. Compile and maintain a current list of all
statements or parts of statements filed with' the
clerk's office pertaining to each candidate and each
measure.
F. Cooperate with the enforcement authority in
the performance of the duties of the enforcement
authority as prescribed in this chapter and applica-
ble state laws. (Ord. 2955 ~ I, 2004).
2.52.170 Enforcement.
A. The city attomey shall not investigate or
prosecute alleged violations of this chapter, but
shall defend the constitutionality and legality of
this chapter in any civil proceeding in which the
city or the city council is a party.
B. Special counsel shall investigate or prose-
cute alleged violations of this chapter.
C. The city attorney shall solicit proposals from
attorneys in accordance with Section 503 of the
city Charter and Chapter 2.56 CVMC to act as spe-
cial counsel 180 days prior to a city election. As
part of the annual budget process, city council shall
appropriate no less than $ I 00,000 to fund the reten-
tion of special counsel. Said funds shall be separate
from the city attomey's budget and used solely for
the investigation and prosecution of alleged viola-
tions of this chapter.
D. The city attorney shall appoint a panel of no
less than three attorneys to act as special coulisel.
Said attorneys shall be compensated by the city and
shaIl serve as the enforcement authority for this
chapter. Should the appointtnent of additional spe-
cial counsel become necessary or appropriate, the
city attorney shall appoint such additional special
counsel as may be required. A single member of
the special counsel panel will be assigned to each
case. Assignments will be made on a rotating basis.
E. Complaints of violation of this chapter shall
be submitted in writing, under penalty of perjury,
by a resident of the city to the city clerk. Said com-
plaint shall state the full allegation of facts that
would constitute a violation of the code. The com-
plaint must be fIled within 90 days of discovery of
the alleged violation, but no later than 180 days
from the date of the election.
F. The city clerk shaIl forward the complaint to
the randomly assigned special counsel from the
panel of attomeys appointed by the city attorney
1;j-41
within five working days of receipt for a probable
cause d~termination. If no probable cause is deter-
mined'to exist the complaint shall be dismissed
summarily and interested parties shall be notified
in writing.
G. If probable cause is determined to exist, spe-
cial counsel shall take further investigatory and
procedural steps necessary to resolve the matter.
H. Violations of this chapter may be pursued
either through a civil or criminal action at the dis-
cretion of the special counsel. Special counsel may
also commence and prosecute any necessary
administrative proceedings or civil litigation to
compel compliance with this chapter. No enforce-
ment or prosecution or action of special counsel
shall be subject to the review or control of the city
attorney or city council.
I. Special counsel may investigate and may
institute legal action to prevent further violations.
The special counsel may decline to investigate if
the allegation is also a violation of state law and is
the subject of a complaint filed with the fair politi-
cal practices commission.
J. Special counsel shall be immune to liability
for enforcement of chapter. (Ord. 2955 ~ 1,2004).
2.52.180 Penalties.
A. Any person who willfully violates any pro-
vision of this chapter is guilty of a misdemeanor.
Any person who willfully causes or solicits any
other person to violate any provisions of this chap-
ter, or who aids and abets any other person in the
violation of this chapter shall be guilty of a misde-
meanor.
B. Any person who intentionally or negligently
violates any provision of this chapter shall be liable
in a civil action brought by special counsel for an
amount not more than three times the amount the
person failed to report properly or unlawfully con-
tributed, expended, gave or received, or $5,000 per
violation, whichever is greater.
In determining the amount ofliabiIity, the court
may take into account the seriousness of the viola-
tion and the degree of culpability of the defendant.
If a judgment is entered, the funds recovered shall
be deposited into the city's general fund. (Ord.
2955 ~ I, 2004).
2.52.190 Severability.
If any provision of this chapter, or the applica-
tion of any such provision to any person or circum-
stances, shall be held invalid, the remainder of this
chapter to the extent it can be given effect, or the
application of those provisions to persons or cir-
(Revised 8/04)
2.52.190
cumstances other than those as to which it is held
invalid, shall not be affected thereby, and to this
end the provisions of this chapter are severable.
(Ord. 2955 g 1,2004).
(Revised 8/04)
13-48
EXHIBIT B
STRIKE-OUT
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF CHULA VISTA
AMENDING CHAPTER 2.52 OF THE CHULA VISTA
MUNICIPAL CODE REGARDING CAMPAIGN
CONTRIBUTIONS
2.52.010- _Purpose and intent.
In enacting this chapter, the "City "Council finds and declares that moderate
monetary contributions to political campaigns are a legitimate form of participation in the
American political process. It is the policy of this "City to protect the integrity of the
electoral process, and the best interests of the citizens of this "City are served by
regulating campaign finance.
Inherent in the high cost of election campaigning is the problem of improper
influence, real or potential, exercised by campaign contributors over elected officials. It is
the purpose and intent of the "City "Council in enacting this chapter:
A. To preserve an orderly political forum in which individuals may express
themselves effectively;
B. To place realistic and enforceable limits on the amounts of money that
may be contributed to political campaigns in "City elections;
C. To prohibit contributions by organizations and permit individual
contributions only;
D. To provide full and fair enforcement of all the provisions of this chapter;
and
I
1'3-49
Ordinance No.
E. To encourage candidate adherence to election regulations by making them
easier to understand.
2.52.020- _Interpretation of this chapter.
A. The terms and phrases in this chapter shall be defined as those terms and
phrases are defmed in the Political Reform Act of 1974, as amended (Government Code;
g~ection 81000 et seq.), and in regulations adopted bv the Fair Political Practices
Commission. unless otherwise specified in this chapter.
B. The terms of this chapter are applicable to any contributions made to a
candidate or candidate-controlled committee hereunder. whether used bv the candidate to
finance a current campaign or to pay debts incurred in prior campaigns.
C. Revisions to this chapter take effect on DECEMBER 6. 2007. and are
applicable to all contributions received bv candidates seeking City elective office in the
general election of June 2008 and any election thereafter. Anv candidate for City elective
office participating in the general election of June 2008 shall have a grace period of 60
days from the effective date. as stated in this paragraph. to repay any campaign
contributions made or received prior to the effective date of the revisions in conflict with
or in violation of any provisions of this chapter. A candidate repaving anv campaign
contributions or loans during this 60-dav grace period shall provide written notice to the
City Clerk of the repayment within three business days. DEFINED AS MONDAY
I
THROUGH FRIDAY AND EXCLUDING CITY HOLIDAYS. of the repayment.
2.52.030- _Definitions.
13-50
Ordinance No.
A. "Agent" means a person who acts on beh~f or at behest of any other
person or accepts a contribution on behalf of a candidate. If an individual acting as an
agent is also acting as an employee or member of a law, architectural, engineering or
consulting firm, or a similar entity or corporation, both the entity or corporation and the
individual are "agents."
B. "At the behest" means made under the control or at the direction of, in
cooperation, consultation, coordination, or concert with, at the request or suggestion of,
or with the express prior consent of.
C. Campaign contribution account" is that account in which all contributions
or loans made to the candidate shall be deposited. as required bv the Political Reform
Act.
IL."Candidate" means any individual seeking any lilCity elective office, the
candidate's campaign committee, committee(s) controlled by the candidate, agents of the
candidate
J;).E. "City campaign statement" means the statement which, to the extent
practicable, shall be similar to or consolidated with that required by state law.
EcF. "City elective office" means the offices held by the Mavor or members of
the Clility Clilouncit and mayor. THE "SAME CITY ELECTIVE OFFICE." AS USED
HEREIN. MEANS THE SPECIFIC COUNCIL SEAT NUMBERED ONE (l ), TWO (2),
I
THREE (3), OR FOUR (4) OR THE SPECIFIC SEAT HELD BY THE MA YOK AS
DEFINED BY CHARTER SECTION 300(C).
13-51
Ordinance No.
I",G. "Contributions" areis defmed in a manner)dentical with the defInition
found in Government Code section 82015, contained within THE POLITICAL REFORM
ACT, and any related provisions in the California Code of Regulations.
G.B. "Enforcement authority," under this chapter. means that special counsel
appointed by the Ceity council Attornev pursuant to CVMC 2.52.1 +10.
If.-l. "General election" is that election identifIed by Charter Section 900 which
is combined with the state primary election
hI. "Independent expenditure committee" is as defmed in GovemmeHt Code
Sections &2013 and 82031 in the Political Reform Act, which supports or opposes in
whole or in part a candidate for city elective offIce if contributions are made to said
committee with the intent that they, or a comparable amount of funds otherwise owned
by, or under the control of, the committee be used to support or oppose a particular
candidate for a city elective offIce. This type of committee is not controlled by the
candidate.
1. "Intermediary" means a peIson \';ho delivers to a candidate or eommittee
or committee treasarer a coHtributioll from another perSOll lIDless such centribatisR is
from the person's employer, immediate family or an associatisR to '.vltich the perssR
belsRgs. Neitll.er candidate or treasurer is cORsidereEl. an iHtermediary.
K. "Organization" means a proprietorship, labor union, fIrm, partnership,
joint venture, syndicate, business, trust, company, corporation, association, or committee,
including a political action committee.
L. "Person" means a natural individual.
1"3-52
Ordinance No.
M. "POLITICAL REFORM ACT" MEANS THE CALIFORNIA
POLITICAL REFORM ACT OF 1974. AS AMENDED. FOUND AT GOVERNMENT
CODE SECTION 81000 ET SEO. AND INCLUDES REGULATIONS ADOPTED BY
THE FAIR POLITICAL PRACTICES COMMISSION.
N. "Single election contest" means either a general or special election.
NO. "Special election" defmed in Charter Section 901, as all other municipal
elections that may be held by authority of the Charter or of any law.
2.52.040_-Campaign contributions.
A. No person, other than a candidate, shall make a contribution in excess of
$300.00 to a candidate for a single election contest. No candidate shall solicit or accept a
contribution in excess of $300.00 from a contributor for a single election contest. A
candidate may receive up to $300.00 from a contributor in each of the general and special
elections.
B. The terms of this cbaflter are applicaele te aHY ceHtflelltieFls Iflaae to a
candidate or eCJll'lffiittee hereunder, w-flether lowed by sach candidate or cOffiffiittee to
fiaance a ClIfreRt campaign or to pay debts iRcurred ill prior campaigns. No organization
shall make a contribution to any candidate or candidate-controlled campaign committee.
This chapter shall not apply to contributions made to a committee. which is organized
solelv for the purpose of supporting or opposing the qualification for the ballot or
adoption of one or more city measures. All contributions made by a person whose
contribution actiyity is financed. maintained or controlled by an organization or any other
13-53
Ordinance No.
person shall be deemed to be made by that organization or other person. If the
contribution is deemed made by an organization. it is prohibited.
C. No individual. or combination of individuals acting iointly. shall make
directly or indirectly a contribution in the name of another individual or combination of
individuals.
D. Contributions by a husband and wife shall be treated as separate
contributions and shall not be aggregated where the checks are drawn separately and
signed by the spouse making the contribution. Contributions by a husband and wife shall
be treated as separate even if combined into one check but presented with two signatures.
~E. No person shall make a contribution to any candidate for city electi'/e
offices, and no such candidate shall accept from any person such a contribution SOaRer
earlier than H eleven months preceding a single election contest.
I*F. A contribution for an election may be accepted by a candidate for elective
city office after the date of the election only to the extent that the contribution does not
exceed net debts outstanding from the election, and the contribution does not otherwise
exceed the applicable contribution limit for that election.
E.-G. A candidate for city elective effice may not solicit or accept contributions
for a special election prior to the holding of the general election for that office.
.!:LA candidate for city elective effice may carry over contributions raised in
connection with one election for City elective eity-office to pay campaign expenditures
incurred in connection with a subsequent election for the same Qtt. elective eity-office.
2.52.050 Surplus eampaigB fURlIs. Loans.
13-54
----r
Ordinance No.
A. A candidate shall not personally loan to his or her campaign funds. WITH
THE INTENT TO RECEIVE REPAYMENT OF THOSE FUNDS. in an aggregate
amount in excess of $5.000 FOR A SINGLE ELECTION CONTEST.
B. A loan or extension of credit shall be considered a contribution from the
maker of the loan or extender of credit and shall be subiect to the contribution limit of
$300.00 per person. pursuant to CVMC 2.52.040. The $300.00 contribution limit does
not apply to loans made to a candidate for the purpose of a campaign by himself or
herself or by a commercial lending institution in the lender's regular course of business
on terms ayailable to members of the general public for which the candidate is personally
liable.
2.52.060-
Notice rel!:ardinl!: personal funds.
If a candidate spends or contributes personal funds of more than $5.000
AGGREGATE. in connection with a campaign for A SINGLE ELECTION CONTEST. a
candidate shall do all of the following:
A. PRIOR TO SPENDING OR CONTRIBUTING THE PERSONAL
FUNDS. THE CANDIDATE SHALL proyide written notice of the candidate's intent to
spend or contribute more than $5.000 AGGREGATE of personal funds to the City Clerk
and all opponent candidates. The notice shall be deliyered personally or sent by registered
mail to the last known address of the o\lPonent candidates as shown in the records of the
City Clerk and shall specify the amount of personal funds intended to be expended or
contributed. The notice shall also proyide the date the personal funds shall be deposited
into the candidate's campaign contribution account as required by CVMC 2.52.070(B).
13-55
Ordinance No.
Separate notice is required for EVERY separate deposit of personal funds OF ANY
AMOUNT that is a contribution from a candidate to his or her campaign. once the
candidate has spent or contributed more than $5.000 in personal funds in connection with
the campaign for a SINGLE ELECTION CONTEST.
B. The required notice shall be given no later than 21 davs prior the election.
unless the expenditure or contribution occurs during the 2 I davs preceding the election.
in which case the required notice shall be provided 24 hours Prior to deposit into the
candidate's campaign contribution account.
2.52.70
A.
Campaign contribution account.
The campaign contribution account required bv Government Code section
8520J(a) shall be established at a financial institution located in San Diego Countv.
B. All personal funds to be expended or contributed bv a candidate,
INCLUDING ALL LOANS OF PERSONAL FUNDS, shall first be deposited in the
candidate's campaign contribution account.
2.52.080 Surplus campaign funds.
A. Upon leaving any elected office, or at the end of the post-election
reporting period following the defeat of a candidate for elective office, whichever occurs
last, campaign funds under the control of a candidate shall be considered surplus
campaign funds.
B. Surplus campaign funds shall be used only for the following purposes:
1. To repay contributions.
13-56
Ordinance No.
2. To make a donation to any bona fide charitable, educational, civic,
religious, or nonprofit organization, where no substantial part of the proceeds will have a
material financial effect on the candidate, any member of his or her immediate family, or
his or her campaign treasurer.
3. To pay for professional services reasonably required by the
candidate or committee to assist in the performance of its administrative functions,
including payment for attorney's fees for litigation that arises directly out of a candidate's
activities or his or her status as a candidate, including, but not limited to, an action to
enjoin defamation, defense of an action brought of a violation of state or local campaign,
disclosure, or election laws, and an action from an election contest or recount.
2.S2Jl611 OFganizatisnal 6sntFilmtisns.
!.. No organizatieR shall make a eoatribatieR te any eandidate or eandidate
eampaign eommittee. This ellapter sha'!l Ret apply to eoRtriblliions made to a eemmittee
',vllleh is organized solely fer The ]JlIfjlose of S<lflPOrtiRg er opposing the qaalifieatioR for
the ballot or adoptisR sf ORe or more eit)' measures.
B. N s offieer, emJlloyee, ageRt or atterney sr sther represeRtatiye of a Jlers0R
eoyered by this ehapter shall aiEl, abet, adyise or partieipate iR a violatioR of this ehapter.
.\11 eoRtri-SatisRs made by a ]JerGeR whose eORtribllii0R aetivit)' is finaneed, maintained sr
6sRtFGlled 6Y all. organizatieR sr any ether perSOR shall be deemed ts ae made by that
organizatioR or sther perssll.. If the 6sRtriblliioR is deemed made by an erganization, it is
prohibited.
)
13-57
Ordinance No.
C. No eandidato saalllrnov:ingl)' aeeopt a payment or eOffifibutioR ffiaae in
':iolation oftms ehapter.
2.52.0~20 Contribution in yiolatioB of this ehallter
contributions.
A. If a eontribution is tenderee aRa wOHld be in violation of this eRupter, it
Return of prohibited
saalllle retllffied within tlrree blolsiness days of aiseovery. A CONTRIBUTION NEED
NOT BE REPORTED NOR SHALL IT BE DEEMED ACCEPTED IF IT IS NOT
CASHED, NEGOTIATED, OR DEPOSITED AND IS RETURNED TO THE
CONTRIBUTOR BEFORE THE CLOSING DATE OF THE CAMPAIGN
STATEMENT ON WHICH THE CONTRIBUTION WOULD OTHERWISE BE
REPORTED, AS PROVIDED BY THE POLITICAL REFORM ACT.
B. If a contribution ''v-hieR is in violatioFl of this eRapter is received 1l)' a
eafleidate, the eaRdidate shadl report iH writing 'sitmFl tlrree bHsiness daj's of diseeyery of
the reeei}lt of the eontribution to the eity elerk the facts slffioundiFlg such eontributioFl and
shadl retllffi SUCR eontrilmtion to tae eontributor 'sithiFl 2~ hours of aise8very. IF A
CONTRIBUTION IS TENDERED AND WOULD BE IN VIOLATION OF THIS
CHAPTER. IT SHALL BE RETURNED BY THE CANDIDATE TO THE
CONTRIBUTOR WITHIN SIXTY DAYS OF RECEIPT BY THE CANDIDATE.
C. t. eOFltribation shall not be eORsideree to be reeeived if it has not been
negotiated, eeposited, or utilized, and is retlfffled te the donor .,yithin three busiRess days
of diseover)' of reeeipt.
2.52.G8(} 100-_ Written solicitations by candidates.
13-58
Ordinance No.
Any candidate making a written solicitation for a,contribution for his or her
campaign for "City elective office shall include the following written notice in no less
than six point type on each such solicitation:
NOTICE
Ordinance No. 2955 0fthe City efChula Vista The City ofChula Vista Municipal Code
limits contributions to campaigns for City elective officc, either to candidate c0ffir0lled
e01il.Hlittees or to regulated iadepell.deat eJ<jlellditure cOImnittees, to three hundred dollars
per eOlltribator person.
2.S2.1l91l Laalls.
.\. i\. 10an 0r eJltellsi01l. of credit shall be c0llsidered a e0ffiributi0ll !'rem the
maker 0fthe 10aR er eJltellder 0f eredit aB.d shall 8e s10lbject to the C01l.tribation limitatiens
0fthis chapter.
B. The proYisiolls of this chajlter apply te persollalloalls 0f elltellsiolls of
credit, 8at do net apply to 10alls mase to a calldidate 8:" a cemmerciallending iHstitation
in the lender's reg1011ar COillse of business ell terms availaBle to members 0fthe gell.eral
p101s1ie fer which the c!l1uiidate is personally liaMe.
C. f. candidate for elective city office m&y not personally IOaR to his or her
carlljlaign an aID0Ullt in excess ef $20,000.
D. Each opponeHt of a caRdidate 'l;ftG has made a lean to his 0r her c!l1Rpaign
plH'GUaRt to this secti0n shall se permitted to selicit aHa receive, and coHtribut0fS to s101ch
0pp0neHt maj' malee, c0ntribations in meccss 0fthe limits c0lltained in CVMC 2.52.0~0.
The limitation coffiained in CVMC 2.52.0~Q shallse slIspell.ded from the date caB.didate
T'
13-59
Ordinance No.
made said loan so that the oppoReat may reeeive eoatribl;ltiofis iR eKeess of the liIDitatioll
Hp to the amolffit I08.lled by the eandidate. Those eORmHtioRs reeeived withiR or iR
eKoess ofthe limitatioR shall eouRt toward equalillg the amount 10afled.
E. Eaeh oppoRent of a e8.lldidate or other persoll who has giveR Rotioe
pursuant te CVMC 2.52.100 sliall Rot be bOURd by the 10aR limitatioR '.vithiR iliis seetioR
to the e)(tent the amouat of flersoRal funds el[peRded or eeRtributed eJ[eeeds $2G,GOO.
2.62.199 N otiee regsrdiRg perGoRsl fURds.
,t\. No eandidate or other perooR shall e][fleRd er eoatribute more thaR $5,GOO
iR persoRal fURds iR eonneetioR with an eleetioll earllflaigR lffiless and uatil the followillg
eeRditioRs are met:
1. WritteR llotiee of the eandidate's or other pOrsOR'S iRteat to so
eJ[peRd or eontribute iR eJ[eess oU5,000 sball be provided to the eity e1erk and all
oppoRent eandidatos. The Rotioe sball be deliye[ea porseRally or sent by regiotored mail
to the laet knO'lffl address eftbe OppOllont oandidates as showfl iR the [eOOraS oHbo oity
elerk 8.IlEl shall speeify the arIlOunt intefiaed te ae el(fleRded or eOlltributea; and
2. /\11 persoRal funds to be eKJlelldeEl or eontrilmted by the eaadiElate
sball Erst be deposited in the eaadidate's oaFllflaigR eontrialoltioR eheekiRg aeeouat. The
requireElllotiee shadl be giveR RO later than 21 aays prier to the eleetioR. If the
eJ[flellditure or eoRtributioR oeours Eluring the 21 da:,'s preeeEliRg the eleetioll, the required
llotiee shall be provided ':.'ithiR 2 ~ he\ll's.
B. Eaeh oppsRent of any o8.lldidate '.'.'He has eOlRplied with the above
eORditioRS SHall be permitted te selieit and reeeiye, afld eOfltribHtsrs to eaeh sueh
13-60
Ordinance No.
opponent may make, eofttri8litions in elleess of tl3e limits established in CVMC
2.52.919(.'\). The limitation eontaiRea in CYMC 2.52.010 shall 8e sliGflended from the
aate eamliElate E1ejlosited said fliRE!s so that fE.e opponent IRay reeeive eontriblitionG in
e)wess of the limitation Ujl to the a1HOlIDt of personal funds deposited by the eandiE!ate in
his or her eanlflaign eeHtrilmtion .heeking aeeoURt. Those eoatriilHtions reeeived within
or in elwess of the limitation shall eount to',varE! eCjua-ling the amount of personal funds
deposited 8Y the ea-ndidate in his or her eanlflaign eontriblition eheekiag aeeolffit.
2.S2.110 FlImilJ 6oBtributioHs.
Contributiens by a hlowbana and wife shall 8e treated as separate eontributions and
shall not be aggregated where the eheellS are drawn sepafately ana signeE! 8)' the spouse
making the eo!ltriblition. Contributions 8)' a husband ana '::ife shall be treateE! as separate
eyen if sombiaed iato one sheek bHt presentea wifE. two signatrnes.
2.52.110 Campail!n statements.
Each candidate and eomffiittee shall file campaign statements with the City Clerk
in the time and manner required by the Political Reform Act sf 1971 as ameaElea
(Goyemmeat CoEle Seetion 81100 et sea.). Compliance with the requirements of that Act
shall be deemed to be compliance with this chapter.
2.S2.120 Prohihition of 6oHtrihutioH in the Hame of aHother iniliyiilual.
It is unlawful fsr any indiviElual, sr eombination of individuals aetingjsintl)', to
mal,e directly or inaireetly a eontribHtioa in the name of anotl3er iaaiyidlial or
eombiaation of imliviEluals.
2.52.1J~0- _Contributions for legal defense.
- .13-61
Ordinance No.
Notwithstanding anything contained herein to the: contrary, a payment to or for
the benefit of a eCouncilmember, 6fl€l mMayor, or candidate made and used for the
express purpose of offsetting costs already incurred by that eCouncilmember, 6fl€l
mMayor, or candidate in the defense of a criminal or administrative prosecutorial action
against said eCouncilmember, 6fl€l-mMayor, or candidate. and not made or used for the
purpose of aiding in the election of said eCouncilmember, 6fl€l-mMayor, or candidate, and
not made within (before or after) 100 days of an election in which the eCouncilmember,
6fl€l mMayor, or candidate is competing for a seat or office, shall not be deemed to be a
contribution for the purposes of this chapter.
2.S2.110 Camflaign eontrihution eheeliing aeeount.
The eampaigR aeeoant requireS. by GevemmeHt Code SectioH 85201(a) shall be
establisheS. at a financial institutionloeated in San Diego Ceunty.
2.S2.16JO- _Duties of eCity eClerk.
In addition to other duties required of the eCity eClerk under the terms of this
chapter and eCity Charter, the eClerk shall:
A. Supply appropriate forms and manuals prescribed by the California Fair
Political Practices Commission. These forms and manuals shall be furnished to all
candidates and committees, and to all other persons required to report.
B. Determine whether required documents have been f1!ed and, if so, whether
they conform on their face with the requirements of state law.
C. Notify promptly all person and known committees who have failed to file
a document in the form and at the time required by state law.
13-62
Ordinance No.
D. Report apparellt alleged violations of this .chapter filed pursuant to CYMC
2.52.140(E) and applicable state law to the enforcement authority.
E. Compile and maintain a current list of all statements or parts of statements
filed with the Citv eClerk's office pertaining to each candidate and each measure.
F. Cooperate with the enforcement authority in the performance of the duties
of the enforcement authority as prescribed in this chapter and applicable state laws.
2.52.1~0- _Enforcement.
A. The eCity aAttorney shall not investigate or prosecute alleged violations
of this chapter, but shall defend the constitutionality and legality of this chapter in any
civil proceeding in which the eCity or the eCity eCouncil is a party.
B. Speeial eOlffisel The enforcement authority. as defined bv this chapter.
shall investigate or prosecute alleged violations of this chapter.
C. The e~ity aAttorney shall solicit proposals from attorneys in accordance
with Section 503 of the city Charter and Chapter 2.56 CYMC to act as speeial e8\ffisel the
enforcement authoritv I gg aays eleven months prior to a eity general election. As part of
the annual budget process, the eCity eCouncil shall appropriate no less than $100,000 to
fund the retention of special counsel to serve as the enforcement authoritv. .gaffi These
funds shall be separate from the eCity aAttorney's budget and used solely for the
investigation and prosecution of alleged violations of this chapter.
D. The eCity aAttorney shall appoint a panel of no less than three attorneys to
act as speeial e8aRsel the enforcement authoritv. .gaffi These attorneys shall be
compensated by the eCity aRa saall serle as tae eaforeemellt authority fer iliis 8aapter.
^'^
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Ordinance No.
Should the appointment of additional special counsel bec.ome necessary or appropriate,
the eCity aAttomey shall appoint weft-additional special counsel as may be required. A
single member of the special counsel panel will be assigned to each case. Assigmnents
will shall be made on a rotating basis.
E. Complaints of violation!! of this chapter shall be submitted in writing,
under penalty ofpeljury, by a resident of the eCity to the eCity e~lerk. Said The
complaint shall state the full allegation recitation of all facts that are alleged to WffiIhI
constitute a violation of the code this chapter. Tfie complaint HUlst be filed wifhffi 90 Ela-ys
of discovery of tfie alleged ';iola-tion, but FlS later than 180 days from tfle date of tfie
election.
F. The eCity eClerk shall forward the complaint to the randomly assigned
special cOURsel enforcement authority from tfle panel of attorneys !Ijlpoimed b:,' the cit:,'
attorney _within five working days of receipt for a probable cause determination. If no
probable cause is determined to exist, the complaint shall be dismissed summarily and
interested parties shall be notified in writing.
G. Ifprobable cause is determined to exist, special cOURsel the enforcement
authority shall take further investigatory and procedural steps necessary to resolve the
matter.
H. Violations of this chapter may be pursued either through a civil or criminal
action at the discretion of the enforcement authority. Special cOilllsel The enforcement
authority may also commence and prosecute any necessary administrative proceedings or
civil litigation to compel compliance with this chapter. No enforcement,-er-prosecution,
L ~lr3::6-4
Ordinance No.
or action of sjleeial eounsel the enforcement authoritv shall be subject to the review or
control of the "City aAttomey or "City "Council.
1. The sgpecial counsel. serving as the enforcement authoritv. may
investigate and may institute legal action to prevent further violations. The special
counsel may decline to investigate if the allegation is also a violation of state law, and is
the subject of a complaint filed with the tEair Il'p'olitical Il'p'ractices "Commission.
J. CRIMINAL PROSECUTION FOR VIOLATIONS OF THIS CHAPTER MUST
BE COMMENCED WITHIN ONE YEARlFOUR YEARS AFTER THE DATE ON
WHICH THE VIOLATION OCCURRED.
K. CIVIL PROSECUTION FOR VIOLATION OF THIS CHAPTER MUST BE
COMMENCED WITHIN FOUR YEARS AFTER THE DATE ON WHICH THE
VIOLATION OCCURRED. NO ADMINISTRATIVE ACTION ALLEGING A
VIOLATION OF ANY OF THE PROVISIONS OF THIS CHAPTER SHALL BE
COMMENCED MORE THAN FIVE YEARS AFTER THE DATE ON WHICH THE
VIOLATION OCCURRED. IF THE PERSON ALLEGED TO HAVE VIOLATED A
PROVISION OF THIS CHAPTER ENGAGES IN THE FRAUDULENT
CONCEALMENT OF HIS OR HER ACTS OR IDENTITY. THE FIVE-YEAR
PERIOD FOR ADMINISTRATIVE ACTIONS SHALL BE TOLLED FOR THE
PERIOD OF CONCEALMENT. FOR PURPOSES OF THIS SUBSECTION.
"FRAUDULENT CONCEALMENT" MEANS THE PERSON KNOWS OF
MATERIAL F ACTS RELATED TO HIS OR HER DUTIES UNDER THIS CHAPTER
AND KNOWINGLY CONCEALS THEM IN PERFORMING OR OMITTING TO
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Ordinance No.
PERFORM THOSE DUTIES. FOR THE PURPOSE OF DEFRAUDING THE PUBLIC
OF INFORMATION TO WHICH IT IS ENTITLED UNDER THIS CHAPTER.
L. Special counsel. serving as the enforcement authoritv. shall be immune to
liability for enforcement of chapter.
2.52.18~O- _Penalties.
A. Any person who KNOWINGLY OR WILLFULLY VIOLATES ANY
PROVISION OF THIS CHAPTER. WHO KNOWINGLY OR WILLFULLY CAUSES
SOLICITS. ADVISES. OR PARTICIPATES WITH ANY OTHER PERSON TO
VIOLATE ANY PROVISION OF THIS CHAPTER. OR WHO KNOWINGLY OR
WILLFULLY AIDS AND ABETS ANY OTHER PERSON IN VIOLATION OF ANY
PROVISION OF THIS CHAPTER SHALL BE GUILTY OF A MISDEMEANOR. is
guilty sf a misdemeanor. /..rry person '.vhe willflllly causes or solicits any ether person to
violate any previsions of this chaflter, or '",ho aids and abets any ether person in the
yiolation ohhis ehapter shall be gailty of a misdemeanor.
B. Any person who intentionally or negligently violates any provision of this
chapter or causes anv other person to violate anv provision of this chapter shall be liable
in a CIVIL OR ADMINISTRATIVE action brought by special c01ilRselthe enforcement
authoritv for an amount not more than three times the amount the person failed to report
properly or unlawfully contributed, expended, gave or received, or $5,000 per violation,
whichever is greater.
C. THIS SECTION SHALL APPLY ONLY TO PERSONS WHO HAVE
FILING OR REPORTING OBLIGATIONS UNDER THIS CHAPTER OR THE
o ,..-
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Ordinance No.
POLITICAL REFORM ACT, OR WHO ARE COMPENSATED FOR SERVICES
INVOLVING THE PLANNING, ORGANIZATION, OR DIRECTING ANY
ACTIVITY REGULATED OR REOUIRED BY THIS CHAPTER OR THE
POLITICAL REFORM ACT.
D. WHETHER OR NOT A VIOLATION IS INADVERTENT,
NEGLIGENT. OR DELIBERATE, AND THE PRESENCE OR ABSENCE OF GOOD
FAITH SHALL BE CONSIDERED IN APPLYING THE REMEDIES AND
SANCTIONS OF THIS CHAPTER. FURTHER. !in determining the amount of CIVIL
liability, the court may take into account the seriousness of the violation and the degree of
culpability of the defendant. If a judgment is entered, the funds recovered shall be
deposited into the "City's general fund.
2.52.12l)().. _Severability.
If any provision of this chapter, or the application of any such provision to any
person or circumstances, shall be held invalid, the remainder of this chapter to the extent
it can be given effect, or the application of those provisions to persons or circumstances
other than those as to which it is held invalid, shall not be affected thereby, and to this
end the provisions of this chapter are severable.
J:\AttQmey\JDAWSON\Ordinances\Campllign Finance\Campaign Finance ard (REDLINELIQ-18-07.doc
'. j
13-67
EXHIBIT C
G. MICHAEL GERMAN
Proctor In Admiralty and Attorney At Law
1361 Ridgeview Way
Bonita, CA 91902-2554
619-482-4324
gmginsfo@yahoo.com
MEMORANDUM
TO: The Honorable Cheryl Cox, Mayor of the City ofChula Vista, & Members of the City Council
FM: G. Michael German, Chairman Ad Hoc Committee on Campaign Contribution Ordinance
RE: Report and Recommendations of the Ad Hoc Committee
DT: October 18, 2007
This Memorandum reports the findings and recommendations of the reconstituted Ad Hoc
Committee on the Campaign Contribution Ordinance, as developed by its members, City staff and
those members of the public who attended our October 10 and 16,2007 meetings. Statutory
references are to the Ordinance of the City ofChula Vista amending Chapter 2.52 of the CV
Municipal Code regarding campaign contributions, as prepared by Deputy City Attorney Joan
Dawson, and additions recommended by the Committee, and the reasons therefor, are italicized.
1. Specific statutory recommendations.
2.52.030 F. "City elective office" means the offices held by the Mayor or members of the City
Council. The "same City elective office," as used herein, means the specific Council seat numbered
one (I), two (2), three (3), or four (4) or the specific seat held by the Mayor, as defined by Charter
Section 300(C), and any other elective office within the City ofChula Vista.
The Committee recommends this addition to allow for inclusion of any other offices
subsequently determined to be elective one, e.g., City Attorney, in order to avoid the need for later
amendment.
G. The Committee recommends including the reference to the definitionfound in
Gov't Code section 82015.
1.. "General election" is that election defined by Charter Section 900, as that election
held in the City on the same date in each election year as the California State primary election.
The Committee recognizes the limitations imposed by language contained in the City
Charter. but recommends this change in order to prevent confUsion among the voters, who
commonly associate the General Election with the November election, not the Spring primary one.
See also, sec. 2.52.0300, which reinforces this distinction as to "Special Election."
2.52.060 The Committee recommends that this section, and its subparts, be stricken in its
entirety, since it was viewed as a trap for the unwary, and irrelevant and unnecessary in light of the
elimination of the suspension of campaign contribution limits and candidates' duties to reporting
obligations under state law.
Admitted to the U.S. Supreme Court, U.S. Courts of Appeals for the District of Columbia and Ninth Circuits,
U.S. District Court for the Northern District ofIndiana and all California State and Federal Courts.
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lQ..18-07 Memorandum - 2
7
2.52.150 B. Any person who intentionally Or negligently violates any provision of this chapter
or causes any other person to violate any provisioll of this chapter shall be liable in a civil or
administrative action brought by the enforcement authority for an amount not more than three times
the amount the person failed to report properly Qr"unlawfully contributed, expended, gave Or
received, or $5,000 per violation, whichever is greater, not to exceed a total of $2 5,000 in cases of
multiple violations in a single election contest.
The Committee recommends that a $25,000 cap be placed on fines, and that attorneys
fees not be recoverable, in order to prevent undue harshness of penalties and to avoid inflating time
spent and billed by the enforcement authorities.
II. Apart from and in addition to its review of the proposed ordinance, the Committee strongly
recommends the following:
1. Institution of a separate Campaign Advice Section within the City Clerk's office, and
publication of an enhanced Candidates' Information Handbook including a question and lIllBWer
format for campaign finance questions typically encowtered by candidates.
2. Establishment of an overall campaign finance review committee, unlimited in scope,
authorized to review all aspects ofChula Vista's campaign finance laws, in order to harmonize and
clarify the City's campaign finance laws with the Charter and MWlicipal Code.
As Chairman of the Ad Hoc Committee, I would like to express my thanks to my fellow
committee members, John Moot, Humberto peraza, John Riess, and Peter Watry for their hard work,
patience, and cooperation in working on this matter.
Respectfully Submitted,
A /, '/ (j
G.Mi~~
Chairman, Ad Hoc Committee on Campaign Contribution Ordinance
cc: IMoot
HPeraza
JRiess .
PWatry
13-69
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF CHULA VISTA
AMENDING CHAPTER 2.52 OF THE .CHULA VISTA
MUNICIPAL CODE REGARDING CAMPAIGN
CONTRIBUTIONS
WHEREAS, the City ofChula Vista, pursuant to the police powers delegated to it
by the California Constitution and as a charter city, has the authority to enact laws that
promote the public health, safety, and general welfare of its residents; and
WHEREAS, the City Council of the City of Chula Vista has the authority to
regulate aspects of campaign finance and control related to the election of City officials,
which is a matter of the general welfare ofChula Vista residents; and
WHEREAS, Charter Section 904 provides that it is the policy of the City to avoid
the potential for undue or improper influence over elected officials resulting from
excessive campaign contributions. In furtherance of that purpose, the City Council shall
adopt reasonable regulations related to campaign contributions which shall be contained
in the City Code; and
WHEREAS, in 2004, the City Council amended the Chula Vista Municipal Code
to add a revised Chapter 2.52 regarding campaign contributions; and
WHEREAS, the 2004 amendment was the result of a process started in November
2001 at the request of the City Council to review a model ordinance prepared by the San
Diego Election Campaign Finance and Control Commission and use it as a tool to draft a
new campaign contribution ordinance to meet the needs ofChula Vista; and
WHEREAS, the 2004 ordinance was prepared and reviewed by an Ad Hoc
Committee, which included a member of the Charter Review Commission, the Ethics
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Ordinance No.
Commission, an existing Councilmember, and a former Councilmember, prior to the
ordinance's approval by the City Council; and
WHEREAS, in 2007, it was brought to the City Council's attention that the
revised 2004 campaign ordinance had areas of ambiguity that needed review and possible
revision; and
WHEREAS, the 2004 ordinance had been in place for two elections, the general
election of June 2006 and the special election in November 2006; and
WHEREAS, on March 20,2007, the City Council voted to form an Ad Hoc
Committee on the Campaign Contribution Ordinance to review the existing law and
ensure it is meeting the needs of the people of Chula Vista and to bring forward
suggestions regarding proposed changes as needed; and
WHEREAS, the City Council requested that the Ad Hoc Committee be composed
ofa member of the City's Charter Review Commission and Board of Ethics, and a
member who sat on the City's previous committee on campaign finance, which was
formed in June 2003; and
WHEREAS, the Ad Hoc Committee met several time in noticed public meetings
during the Summer of2007 to discuss the existing campaign contribution ordinance; and
WHEREAS, on August 14,2007, the City Council directed the City Attorney to
return to Council with a report outlining the ambiguities with the existing campaign
contribution ordinance and proposing language to clarify these ambiguities without
making any substantive changes to the existing ordinance or adding any new concepts;
and
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Ordinance No.
WHEREAS, the City Attorney's Office prepared its report by reviewing the
language of the existing ordinance, on its face, meaning the actual words used, and as it
has been applied to issues raised during the general election in June 2006 and the special
election in November 2006; gathering information from the City Clerk on questions
raised during the 2006 election cycle; considering the discussions of the Ad Hoc
Committee; and responding to the City Council's direction to the City Attorney in August
2007; and
WHEREAS, on September 25,2007, the City Attorney's Office presented its
report to the City Council, and the City Council voted to approve several policy changes
to the existing ordinance; and
WHEREAS, on September 25,2007, the City Council directed the City
Attorney's Office to incorporate its requested changes to the existing ordinance and to
prepare an ordinance with the changes for Council's review; and
WHEREAS, on September 25,2007, the City Council further directed the City
Attorney's Office to present the revised draft ordinance to the Ad Hoc Committee, which
met on October 10,2007 and October 16, 2007; and
WHEREAS, the City Attorney's Office comes now to the City Council with the
revised draft ordinance.
NOW, THEREFORE, the City Council of the City ofChula Vista does hereby
ordain:
SECTION I: The Chula Vista Municipal Code is amended to add a revised
Chapter 2.52, entitled "Campaign Contributions," to read as follows:
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Ordinance No.
2.52.010 Purpose and intent.
In enacting this chapter, the City Council finds and declares that moderate
monetary contributions to political campaigns are a legitimate form of participation in the
American political process. It is the policy of this City to protect the integrity of the
electoral process, and the best interests of the citizens of this City are served by
regulating campaign finance.
Inherent in the high cost of election campaigning is the problem of improper
influence, real or potential, exercised by campaign contributors over elected officials. It is
the purpose and intent of the City Council in enacting this chapter:
A. To preserve an orderly political forum in which individuals may express
themselves effectively;
B. To place realistic and enforceable limits on the amounts of money that
may be contributed to political campaigns in City elections;
C. To prohibit contributions by organizations and permit contributions by
individuals only;
D. To provide full and fair enforcement of all the provisions of this chapter;
and
E. To encourage candidate adherence to election regulations by making them
easier to understand.
2.52.020 Interpretation of this chapter.
A. The terms and phrases in this chapter shall be defined as those terms and
phrases are defined in the Political Reform Act of 1974, as amended (Government Code
13"":73
Ordinance No.
section 81000 et seq.) and in regulations adopted by the F;air Political Practices
Commission. unless otherwise specified in this chapter.
B. The terms of this chapter are applicable to any contributions made to a
candidate or candidate-controlled committee, whether used by the candidate to finance a
current campaign or to pay debts incurred in prior campaigns.
C. Revisions to this chapter take effect on December 6,2007, and are
applicable to all contributions received by candidates seeking City elective office in the
general election of June 2008 and any election thereafter. Any candidate for City elective
office participating in the general election of June 2008 shall have a grace period of 60
days from the effective date, as stated in this paragraph, to repay any campaign
contributions made or received prior to the effective date of the revisions in conflict with
or in violation of any provisions of this chapter. A candidate repaying any campaign
contributions or loans during this 60-day grace period shall provide written notice to the
City Clerk of the repayment within three business days, defined as Monday through
Friday and excluding City holidays, of the repayment.
2.52.030 Definitions.
A. "Agent" means a person who acts on behalf or at the behest of any other
person or accepts a contribution on behalf of a candidate. If an individual acting as an
agent is also acting as an employee or member of a law, architectural, engineering or
consulting firm, or a similar entity or corporation, both the entity or corporation and the
individual are "agents."
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Ordinance No.
B. "At the behest" means made under the control or at the direction of, in
cooperation, consultation, coordination, or concert with, at the request or suggestion of,
or with the express prior consent of.
C. "Campaign contribution account" is that account in which all
contributions or loans made to the candidate shall be deposited, as required by
Government Code section 85201.
D. "Candidate" means any individual seeking any City elective office, the
candidate's campaign committee, comrnittee(s) controlled by the candidate, agents of the
candidate.
E. "City campaign statement" means the statement which, to the extent
practicable, shall be similar to or consolidated with that required by state law.
F. "City elective office" means the offices held by the Mayor or members of
the City Council. The "same City elective office," as used herein, means the specific
Council seat numbered one (1), two (2), three (3), or four (4) or the specific seat held by
the Mayor, as defined by Charter Section 300(C).
G. "Contribution" is defined in a manner identical with the definition found
in Government Code section 82015, contained within the Political Reform Act, and any
related provisions in the California Code of Regulations.
H. "Enforcement authority," under this chapter, means that special counsel
appointed by the City Attorney pursuant to CYMC 2.52.140.
1. "General election" is that election identified by Charter Section 900,
which is combined with the state primary election.
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J. "Independent expenditure committee" is ~ defined in the Political Reform
Act, which supports or opposes in whole or in part a candidate for city elective office if
contributions are made to said committee with the intent that they, or a comparable
amount of funds otherwise owned by, or under the control of, the committee be used to
support or oppose a particular candidate for a city elective office. This type of committee
is not controlled by the candidate.
K. "Organization" means a proprietorship, labor union, firm, partnership,
joint venture, syndicate, business, trust, company, corporation, association, or committee,
including a political action committee.
1. "Person" means a natural individual.
M. "Political Reform Act" means the California Political Reform Act of 1974,
as amended, found at Government Code section 81000 et seq., and includes regulations
adopted by the Fair Political Practices Commission.
N. "Single election contest" means either a general or special election.
O. "Special election" defined in Charter Section 901, as all other municipal
elections that may be held by authority of the Charter or of any law.
2.52.040 Campaign contribution limits.
A. No person, other than a candidate, shall make a contribution in excess of
$300.00 to a candidate for a single election contest. No candidate shall solicit or accept a
contribution in excess of $300.00 from a contributor for a single election contest. A
candidate may receive up to $300.00 from a contributor in each of the general and special
elections.
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Ordinance No.
B. No organization shall make a contribution to any candidate or candidate-
controlled campaign committee. This chapter shall not apply to contributions made to a
committee, which is organized solely for the purpose of supporting or opposing the
qualification for the ballot or adoption of one or more city measures. All contributions
made by a person whose contribution activity is financed, maintained or controlled by an
organization or any other person shall be deemed to be made by that organization or other
person. If the contribution is deemed made by an organization, it is prohibited.
C. No individual, or combination of individuals acting jointly, shall make
directly or indirectly a contribution in the name of another individual or combination of
individuals.
D. Contributions by a husband and wife shall be treated as separate
contributions and shall not be aggregated where the checks are drawn separately and
signed by the spouse making the contribution. Contributions by a husband and wife shall
be treated as separate even if combined into one check but presented with two signatures.
E. No person shall make a contribution to any candidate, and no such
candidate shall accept from any person such a contribution earlier than eleven months
preceding a single election contest.
F. A contribution for an election may be accepted by a candidate after the
date of the election only to the extent that the contribution does not exceed net debts
outstanding from the election, and the contribution does not otherwise exceed the
applicable contribution limit for that election.
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Ordinance No.
G. A candidate may not solicit or accept contributions for a special election
prior to the holding of the general election for that office.
H. A candidate may carry over contributions raised in connection with one
election for City elective office to pay campaign expenditures incurred in connection with
a subsequent election for the same City elective office.
2.52.050
A.
Loans
A candidate shall not personally loan to his or her campaign funds, with
the intent to receive repayment of those funds, in an aggregate amount in excess of
$5,000 for a single election contest.
B. A loan or extension of credit shall be considered a contribution from the
maker of the loan or extender of credit and shall be subject to the contribution limit of
$300.00 per person, pursuant to CYMC 2.52.040. The $300.00 contribution limit does
not apply to loans made to a candidate for the purpose of a campaign by himself or
herself or by a commercial lending institution in the lender's regular course of business
on terms available to members of the general public for which the candidate is personally
liable.
2.52.060 Notice regarding personal funds.
If a candidate spends or contributes personal funds of more than $5,000
aggregate, in connection with a campaign for a single election contest, a candidate shall
do all of the following:
A. Prior to spending or contributing the personal funds, the candidate shall
provide written notice ofthe candidate's intent to spend or contribute more than $5,000
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Ordinance No.
of personal funds to the City Clerk and all opponent candi.dates. The notice shall be
delivered personally or sent by registered mail to the last known address of the opponent
candidates as shown in the records of the City Clerk and shall specify the amount of
personal funds intended to be expended or contributed. The notice shall also provide the
date the personal funds shall be deposited into the candidate's campaign contribution
account, as required by CYMC 2.52.070(B). Separate notice is also required for every
separate deposit of personal funds of any amount that is a contribution from a candidate
to his or her campaign, once the candidate has spent or contributed more than $5,000 in
personal funds in connection with the campaign for a single election contest.
B. The required notice shall be given no later than 21 days prior the election,
unless the expenditure or contribution occurs during the 21 days preceding the election,
in which case the required notice shall be provided 24 hours prior to deposit into the
candidate's campaign contribution account.
2.52.070 Campaign contribution account.
A. The campaign contribution account required by Government Code section
85201(a) shall be established at a financial institution located in San Diego County.
B. All personal funds to be expended or contributed by a candidate, including
all loans of personal funds, shall first be deposited in the candidate's campaign
contribution account.
2.52.080 Surplus campaign funds.
A. Upon leaving any elected office, or at the end of the post-election
reporting period following the defeat of a candidate for elective office, whichever occurs
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Ordinance No.
last, campaign funds under the control of a candidate shall be considered surplus
campaign funds.
B. Surplus campaign funds shalI be used only for the folIowing purposes:
I. To repay contributions.
2. To make a donation to any bona fide charitable, educational, civic,
religious, or nonprofit organization, where no substantial part of the proceeds will have a
material financial effect on the candidate, any member of his or her immediate family, or
his or her campaign treasurer.
3. To pay for professional services reasonably required by the
candidate or candidate-controlIed committee to assist in the performance of its
administrative functions, including payment for attorney's fees for litigation that arises
directly out of a candidate's activities or his or her status as a candidate, including, but
not limited to, an action to enjoin defamation, defense of an action brought of a violation
of state or local campaign, disclosure, or election laws, and an action from an election
contest or recount.
2.52.090 Return of prohibited contributions.
A. A contribution need not be reported nor shalI it be deemed accepted if it is
not cashed, negotiated, or deposited and is returned to the contributor before the closing
date of the campaign statement on which the contribution would otherwise be reported, as
provided by the California Political Reform Act.
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Ordinance No.
B. If a contribution is tendered and would be in violation of this chapter, it
shall be returned by the candidate to the contributor within sixty days of receipt by the
candidate.
2.52.100 Written solicitations by candidates.
Any candidate making a written solicitation for a contribution for his or her
campaign for City elective office shall include the following written notice in no less than
six point type on each such solicitation:
NOTICE
The City of Chula Vista Municipal Code limits contributions to campaigns for City
elective office to three hundred dollars per person.
2.52.110 Campaign statements.
Each candidate shall file campaign statements with the City Clerk in the time and
manner as required by the Political Reform Act of 1974 as amended (Government Code
section 84100 et seq.). Compliance with the requirements of that Act shall be deemed to
be compliance with this chapter.
2.52.120 Contributions for legal defense.
Notwithstanding anything contained herein to the contrary, a paymentto or for
the benefit of a Councilmember and Mayor, or candidate made and used for the express
purpose of offsetting costs already incurred by that Councilmember, Mayor, or candidate
in the defense of a criminal or administrative prosecutorial action against said
Councilmember, Mayor, or candidate and not made or used for the purpose of aiding in
the election of said Councilmember, Mayor, or candidate, and not made within (before or
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Ordinance No.
after) 100 days of an election in which the Councilmembex, Mayor, or candidate is
competing for a seat or office, shall not be deemed to be a contribution for the purposes
of this chapter.
2.52.130 Duties of City Clerk.
In addition to other duties required of the City Clerk under the terms of this
chapter and City Charter, the Clerk shall:
A. Supply appropriate forms and manuals prescribed by the California Fair
Political Practices Commission. These forms and manuals shall be furnished to all
candidates and committees, and to all other persons required to report.
S. Determine whether required documents have been filed and, if so, whether
they conform on their face with the requirements of state law.
C. Notify promptly all persons and known committees who have failed to file
a document in the form and at the time required by state law.
D. Report alleged violations of this chapter filed pursuant to CVMC
2.52.l40(E) and applicable state law to the enforcement authority.
E. Compile and maintain a current list of all statements or parts of statements
filed with the City Clerk's office pertaining to each candidate and each measure.
F. Cooperate with the enforcement authority in the performance of the duties
ofthe enforcement authority as prescribed in this chapter and applicable state laws.
2.52.140 Enforcement.
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Ordinance No.
A. The City Attorney shall not investigate or prosecute alleged violations of
this chapter, but shall defend the constitutionality and legality of this chapter in any civil
proceeding in which the City or the City Council is a party.
B. The enforcement authority, as defined by this chapter, shall investigate or
prosecute alleged violations of this chapter.
C. The City Attorney shall solicit proposals from attorneys in accordance
with Section 503 of the City Charter and Chapter 2.56 CYMC to act as the enforcement
authority eleven months prior to a general election. As part of the annual budget process,
the City Council shall appropriate no less than $100,000 to fund the retention of special
counsel to serve as the enforcement authority. These funds shall be separate from the City
Attorney's budget and used solely for the investigation and prosecution of alleged
violations of this chapter.
D. The City Attorney shall appoint a panel of no less than three attorneys to
act as the enforcement authority. These attorneys shall be compensated by the City.
Should the appointment of additional special counsel become necessary or appropriate,
the City Attorney shall appoint additional special counsel as may be required. A single
member of the special counsel panel shall be assigned to each case. Assignments shall be
made on a rotating basis.
E. Complaints of violations of this chapter shall be submitted in writing,
under penalty of perjury, by a resident of the City to the City Clerk. The complaint shall
state a full recitation of all facts that are alleged to constitute a violation of this chapter.
F. The City Clerk shall forward the complaint to the enforcement authority
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Ordinance No.
within five working days of receipt for a probable cause determination. If no probable
cause is determined to exist, the complaint shall be dismissed summarily and interested
parties shall be notified of the dismissal in writing.
G. Ifprobable cause is determined to exist, the enforcement authority shall
take further investigatory and procedural steps necessary to resolve the matter.
H. Violations of this chapter may be pursued either through a civil or criminal
action at the discretion of the enforcement authority. The enforcement authority may also
commence and prosecute any necessary administrative proceedings or civil litigation to
compel compliance with this chapter. No enforcement or prosecution or action by the
enforcement authority shall be subject to the review or control of the City Attorney or
City Council.
I. The special counsel, serving as the enforcement authority, may investigate
and may institute legal action to prevent further violations. The special counsel may
decline to investigate if the allegation is also a violation of state law, and is the subject of
a complaint filed with the Fair Political Practices Commission.
J. Criminal prosecution for violations of this chapter must be commenced
within one year/four years after the date on which the violation occurred.
K. Civil prosecution for violation of this chapter must be commenced within
four years after the date on which the violation occurred. No administrative action
alleging a violation of any of the provisions of this chapter shall be commenced more
than five years after the date on which the violation occurred. If the person alleged to
have violated a provision of this chapter engages in the fraudulent concealment of his or
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her acts or identity, the five-year period for administrativ~ actions shall be tolled for the
period of concealment. For purposes of this subdivision, "fraudulent concealment" means
the person knows of material facts related to his or her duties under this chapter and
knowingly conceals them in performing or omitting to perform those duties, for the
purpose of defrauding the public of information to which it is entitled under this title.
L. Special counsel, serving as the enforcement authority, shall be immune to
liability for enforcement of chapter.
2.52.150
Penalties.
A.
Any person who knowingly or willfully violates any provision of this
chapter; who knowingly or willfully causes, solicits, advises, or participates with any
other person to violate any provision of this chapter; or who knowingly or willfully aids
and abets any other person in violation of any provision ofthis chapter shall be guilty of a
misdemeanor.
B. Any person who intentionally or negligently violates any provision of this
chapter or causes any other person to violate any provision of this chapter shall be liable
in a civil or administrative action brought by the enforcement authority for an amount not
more than three times the amount the person failed to report properly or unlawfully
contributed, expended, gave or received, or $5,000 per violation, whichever is greater.
C. This section shall apply only to persons who have filing or reporting
obligations under this chapter or the Political Reform Act, or who are compensated for
services involving the planning, organization, or directing any activity regulated or
required by this chapter or the Political Reform Act.
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Ordinance No.
D. Whether or not a violation is inadvertent, negligent, or deliberate, and the
presence or absence of good faith shall be considered in applying the remedies and
sanctions ofthis chapter. Further, in determining the amount of civil liability, the court
may take into account the seriousness of the violation and the degree of culpability of the
defendant. If a judgment is entered, the funds recovered shall be deposited into the City's
general fund.
2.52.160
Severability.
If any provision of this chapter, or the application of any such provision to any
person or circumstances, shall be held invalid, the remainder ofthis chapter to the extent
it can be given effect, or the application of those provisions to persons or circumstances
other than those as to which it is held invalid, shall not be affected thereby, and to this
end the provisions ofthis chapter are severable.
Presented by:
Approved as to form by:
Ann Moore
City Attorney
,j.~~
Ann Moore
City Attorney
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