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In 1988, California banned candidates in statewide and most local races from using public funds to run for office.

Voters are deciding whether to reverse it with Proposition 4, which would authorize state and local governments to set up public campaign finance systems.

Proponents include good government groups and Democratic leaders, who say that would make it easier for candidates without wealthy backers to run. They argue it would boost competition and counter the influence of major donors, especially as statewide elections in recent years have grown more and more expensive. 

“We need to change the way we finance election campaigns so candidates can run and win without having to raise big money, and they can spend their time listening to voters rather than their donors,” said Trent Lange, president of California Clean Money Campaign and co-chair of the Yes on Prop. 4 campaign.

Some critics of Prop. 4 say the public should not subsidize political campaigns, period. Others argue that fraudulent candidates could scam the system, and taxpayers could end up subsidizing candidates they don’t support. Some are also skeptical that public campaign financing could curb private spending in politics, saying there’s little evidence it works.

“The voters have been quite clear they don’t want taxpayer money being used for politics,” said Assemblymember Carl DeMaio, a San Diego Republican. “Unfortunately, politicians simply can’t take no for an answer.”

Seven charter cities in California, including San Francisco, Berkeley and Oakland, were spared from the 1988 ban and already have public campaign financing. Prop. 4 would give state and other local governments the option to set up similar systems if they choose to. 

The funds wouldn’t be available to just anybody: To qualify, candidates must meet criteria such as proving they have a certain number of small donors or agreeing to cap how much they raise and spend on their campaign. Eligible candidates could receive the funding as a grant, a matching fund indexed to their total donations, or a voucher voters can give to campaigns, depending on the design of the system.

Prop. 4 offers some instructions to state and local governments that want to establish such a system. 

Candidates would need to prove they have enough public support and to agree to certain spending limits to receive funding, but the measure doesn’t spell out how much. Candidates could not use the money to pay for legal defenses, fines or personal loans to their campaigns and public funds meant for education, public safety and transportation could not be used. 

Opponents say the rules aren’t specific enough to have teeth.

CalMatters is a Sacramento-based nonpartisan, nonprofit journalism venture committed to explaining how California's state Capitol works and why it matters. It works with more than 130 media partners throughout the state that have long, deep relationships with their local audiences, including Embarcadero Media.

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