1	Brief History of CFR in Oregon In 1994, Oregon voters enacted CFR by vote of 72% Banned corporate and union contributions Limits on individuals were $500 for statewide race and $100 for legislative race In 1997, Oregon Supreme Court decided that Oregon Constitution (Article 1, Section 8) does not allow any limits on contributions
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3	Campaign Spending Skyrockets in Oregon In 1996, total spending on Oregon campaigns was $4.2 million In 1997, all limits were removed by Oregon Supreme Court, leaving Oregon one of 5 states with no limits at all In 2002, total spending was $27 million plus $15 million for Governor race = $42 million In 2004, total spending was $29 million (no race for Governor)
4	Business Outspends Everyone Corporations outspend labor unions by 5-1 and everyone else by 100’s to one In 1996 (CFR temporarily in place), business outspent labor by $1.9 million in Oregon In 2002 (with no CFR), business outspent labor by $11.4 million
5	Loot for Legislative Races State Senate Races: Candidates spending more than $500,000 each: In 2004: 7 In 2002: 6 State House Races: Candidates spending more than $250,000 each: In 2004: 11 In 2002: 10
6	Governor Race Gushes Cash Candidates for Governor of Oregon spent $15 million in 2002 Each major party candidate spent over $4 million in general election Ron Saxton’s campaign manager says he plans to spend over $6 million in 2006
7	Wealthy Business-People Make Big Contributions - 2002 To the 2002 Mannix campaign for Governor: Lauren Parks contributed over $540,000 Rod & Rich Wendt (timber) gave $250,000 Joan Austin (medical equipment) gave $200,000 James Monaghan (rock products) gave $115,000 Ron Coffman (ranching) gave $71,000 + $60,000 more from his corporation
8	Wealthy Execs Fork Over the Bucks – 2006 Primary for Gov In the 2006 primary for Governor: Loren Parks gave $713,000 to Mannix Rod Wendt (timber) gave $100,000 to Saxton Bill Swindells (timber) gave $100,000 to Saxton
9	Corporate Interests Do “Independent Expenditures” “Independent Expenditure” campaigns help favored candidates in a deniable way by attacking their opponents. The 2006 Oregon primary included: Loren Parks - $170,000 against Ron Saxton Grand Rhonde Tribe - $820,000 against Kevin Mannix (R) and Ted Kulongoski (D)
10	Corporate Interests Pile on the Cash – 2006 Primary for Justice 2006 primary for Supreme Court Justice, Jack Roberts spent over $400,000: $150,000 from National Ass’n of Manufacturers $50,000 from Loren Parks $10,000 from Seneca Jones Timber $ 5,000 from Lone Rock Timber $ 5,000 from Freres Lumber
11	Average Person is Left Out In 2002 election for Oregon Legislature: 98.5% of Oregon voters contributed nothing 69% of money came from just 1,183 donors--averaging $6,700 each Only 2% of the money came from those contributing $50 or less
12	Money Buys Election Results Oregon Legislature: biggest spender won 91% of races in 2002 and 2004 Only exceptions in Oregon Senate were 3 former legislators who spent average of $195,000 each Only exceptions in Oregon House still spent average of $167,000 each
13	Political Results: Enron, PGE Enron buys PGE in 1997 and raises rates by $400 million per year Enron/PGE charges us over $900 million to date for “state and federal income taxes” never paid by PGE or Enron Enron/PGE destroys over $100 million in PGE employee pensions Why is this allowed to happen?
14	"Why" Why? Because PGE/Enron has handed out over $500,000 to candidates for the Oregon Legislature and both major parties
15	Oregon Corporate Taxes Go Down, Down, Down
16	Money Buys Political Results: Corporate Taxation Council on State Taxation (2005): Oregon ranks 47^th among states in business taxes per $ of economic activity In 1975, corps paid 18.5% of income taxes in Oregon; now they pay 4% “Kicker” just cut 2005 Oregon corporate income taxes by 36% ($101 million) and will cut next year’s by 61% ($238 million)
17	Oregon Taxes the Working Poor Oregon ranks 2nd highest in U.S. in share of state and local taxes paid by individuals, not business Oregon has the 5th highest income taxes in U.S. for a family of 3 earning minimum wage Oregon has 2nd highest income taxes in U.S. for family of 4 at 125% of poverty line
18	Political Results: Restaurants, Bars, Gambling Video poker parlors receive $160 million per year in commissions Audits show could cut in half (as in Canada) and produce $80 million per year for schools In 2004, Oregon Lottery Commission decided to reduce commissions by only 3% Why is this allowed to happen?
19	"Why" Why? Because the Lottery Commission is appointed by politicians, and Oregon Restaurant Association contributed over $1.2 million in last 3 elections.
20	Political Results: Tobacco SB 738 would require sale of only fire-safe cigarettes in Oregon, as in other states SB 544 would require smoke-free bars and bowling alleys Tobacco, restaurants forked over $626,000 in 2002-04 contributions to sitting legislators The Oregonian says this is a disgrace
21	Need Constitutional Amendment Measure 46 is one-sentence amendment to Oregon Constitution: Notwithstanding any other provision of this Constitution, the people through the initiative process, or the Legislative Assembly by a three-fourths vote of both Houses, may enact and amend laws to prohibit or limit contributions and expenditures, of any type or description, to influence the outcome of any election.
22	Protect from Legislative Repeal Measure 46 allows initiatives to set or amend limits on contributions and expenditures Measure 46 allows Legislature to change limits, only with 3/4 vote of both houses Legislative repeals and harmful amendments in Colorado (2000), Massachusetts (2003), Ohio (2004), and Missouri (2006) were by simple majority votes
23	Colo Legislature Destroys Limits In 1996 Colorado voters enacted statutory contribution limits by 2-1 vote In 2000 the Colorado Legislature raised the contribution limits: from $500 to $5,000 for governor from $100 to $1,500 for State Senate from $100 to $1,000 for the State House Legislature repealed bans on corporate and union contributions
24	Other Legislatures Destroy Limits Massachusetts in 2003 (by voice vote) repealed “clean money” public funding system enacted by initiative Ohio in 2004 had “emergency session” to increase limits by factor of 4 and open corporate loopholes Missouri in 2006 repealed all limits, which had been enacted by voter initiative
25	Measure 47: Contribution Limits Bans all contributions for or against candidates by corporations and unions Limits individual contributions to: $500 in each statewide race (primary & general are considered 2 separate races) $100 in non-statewide race (legislative seat, city council, county commission, etc.) $2,500 per year in total to all campaigns, committees, and political parties
26	States with Overall Limits on Individual Contributions
27	Small Donor Committees Under Measure 47, Small Donor Committees (SDCs) can accept only contributions from individuals of up to $50 per year Membership groups, including unions, can allocate dues to the SDC, up to $50 per member per year Each union local with authority to support or oppose candidates can form an SDC
28	Independent Spending Measure 47 bans all independent expenditures for or against candidates by corporations and unions Such bans upheld by U.S. Supreme Court in 1990; reiterated by the Court in 2003 Measure 47 limits independent expenditures by an individual to $10,000 per year, with detailed disclosures in the sponsored ads
29	Measure 47: Disclosures in Ads by Independent Expenditures Every ad must prominently disclose top 5 contributors (of $500 or more) to the campaign, their lines of business, and the amounts each has contributed Anyone making independent expenditures must report outlay of $1,000 or more within 5 days (or 1 day if close to the election)
30	Detailed Disclosures in Ads Must state name of contributor, primary businesses engaged in, and total expenditures during election cycle Information must be current within 5 days of the TV or radio ad Video disclosure must remain on regular screen long enough to be fully read Audio disclosure must be spoken no faster than 5 words per second
31	Limits Use of Candidate Wealth Candidate cannot contribute more than $50,000 to her own statewide race or $10,000 to her non-statewide race Non-incumbent candidate can spend 50% more than these limits from her personal funds Every ad must disclose amount candidate is contributing to own campaign, if over $5,000 All other contribution limits automatically adjust, if candidate exceeds limits on using personal wealth
32	Limits are Constitutional Measure 46 will be part of the Oregon Constitution and overturn the Oregon Supreme Court’s 1997 decision striking down contribution limits enacted by voters in 1994 The U.S. Supreme Court has upheld similar state limits on contributions (Missouri 2000) 10 States and D.C. already limit aggregate individual contributions
33	Limits are Constitutional 2 U.S. Supreme Court has upheld complete bans on corporate contributions and corporate independent expenditures U.S. Supreme Court has upheld complete bans on labor union contributions and (implicitly) independent expenditures 11 states have limits on use of candidate personal wealth in campaigns
34	Oregon Near Worst in Campaign Contribution Disclosure Pew Trust, UCLA Law School studies in 2003 and 2004 gave Oregon “F” in disclosure content accessibility and online usability; Oregon among worst 5-10 states Pew’s 2005 study gave Oregon “F” in disclosure content accessibility and “D” in online usability Oregon has no searchable online list of candidates and contributors
35	Oregon Near Worst in Contribution Disclosure (#2) Oregon has no printed list of candidates’ contributors until months after the election 2005 Legislature enacted bill requiring Secretary of State to implement web-based electronic reporting with searchable database (after one politician pocketed $60,000 of contributions; was not illegal) No deadline for SoS to implement this system; not yet in place
36	Endorsements 1 Sierra Club of Oregon OSPIRG (Or State Public Interest Research Group) Alliance for Democracy Pacific Green Party Clackamas County Democratic Party Oregon Gray Panthers Physicians for Social Responsibility Northwest Progressive Community First Unitarian Church Action Groups Health Care for All Oregon Universal Health Care for Oregon Native Forest Council Jackson County Citizens for the Public Good Women's Int’l League for Peace and Freedom Rural Organizing Project (Measure 47) (continued)
37	Endorsements 2 State Senator Charlie Ringo State Senator Ryan Deckert State Senator Bill Morrisette (Measure 46) State Rep. Dave Hunt (Measure 46) Dave Mazza, publisher of The Portland Alliance Ken Lewis, former President, Port of Portland Ron Buel, founder of Willamette Week Drew Kaza, 2004 congressional candidate Harry Lonsdale Dan Meek Lloyd Marbet Tim Hermach Delores Hurtado Barbara Kemper Andrew Harris, MD too many others to list
38	Oregon Voter Poll, Aug 2005 Riley Research Question: Oregon currently has no limits on campaign contributions for any state or local office. Would you favor or oppose the establishment of some kind of campaign contribution limits?
39	Get Involved! FairElections Oregon www.FairElections.net 1-800-939-8011 503-246-2906 info@FairElections.net
40	Oregon Voter Poll, Aug 2005 Support for Contribution Limits