Q: When do you become a candidate under Article XXVIII?
A: You become a candidate when you publicly announce AND THEREAFTER receive a contribution or make an expenditure in support of your candidacy.
Q: May governor and lieutenant governor candidates maintain separate candidate committees?
A: No. Article XXVIII combines these two candidate committees into one and the contribution and spending limits for governor apply to the committee.
Q: May state or local candidates accept corporate and labor money under Article XXVIII?
A: No. Contributions from corporations and labor organizations to candidates are prohibited. Except for local public offices in certain home rule counties or home rule municipalities, Section 3(4)(a) of Article XXVIII and Rule 7.2 of the Secretary of State’s “Rules Concerning Campaign and Political Finance” prohibit contributions and expenditures by corporations and labor organizations for candidates for office in local elections, including school board elections.
Q: Is a political committee required to segregate the contributions it receives from corporations and labor organizations from the contributions it receives from natural persons?
A: No.
Q: How long do we keep our committee records?
A: Committees must keep their records for 180 days following any general election in which the committee or party received contributions, unless a complaint is filed, then the records must remain available until the matter is resolved.
Q: What is “electioneering communication”?
A: This term refers to print, radio, TV and any other communications that unambiguously refer to any candidate and are distributed within 30 days of the primary and 60 days of the general election.
Q: Do I have to report what I spend on “electioneering communications”?
A: Yes. Anyone spending $1,000 or more per calendar year on “electioneering communications” must report to the secretary of state, using the manual or electronic Report of Electioneering Communications form. Reports must detail spending on Electioneering Communications as well as the name and address of each person contributing more than $250 per year. If the contributor is a natural person you must also provide the contributor’s occupation and employer information.
Q: May a corporation or labor organization contribute or provide funding for electioneering communications?
A: No. Article XXVIII prohibits corporations or labor organization from funding this type of activity; however, a political committee or small donor committee established by a corporation or labor organization may provide funding for electioneering communication.
Q: Are conduit contributions prohibited?
A: Yes. Contributions delivered to a candidate committee by a third party are prohibited.
Q: Are organizations, such as the Colorado Federation of Republican Women, which are social in nature, considered part of the Colorado Republican Party for reporting purposes? If not, under what circumstances are affiliates considered part of the Colorado Republican party for purposes of Article XXVIII?
A: If the organizations are solely social in nature and not part of the party’s formal nominating process they are not considered part of the party for reporting purposes. Social organizations associated with a particular political party are not considered “affiliates” of the party for reporting purposes under Article XXVIII, Sec. 2(13) of the Colorado Constitution. There may be other provisions, however, of Article XXVIII of the Colorado Constitution that may apply depending on the activities of the organizations.
Q: May lobbyists or principals of lobbyists contribute to a member of the General Assembly who is a candidate for office in a home rule city or county when the General Assembly is in session?
A: Section 1-45-105.5, C.R.S. precludes lobbyists or principals of lobbyists from contributing to a member of the General Assembly who is a candidate for office in a home rule city or county when the General Assembly is in session.
Q: May a political committee make a contribution to a member of the General Assembly while in session? And what if the political committee has a lobbyist?
A: Political Committees may contribute to a legislator during the session, unless the political committee “employs, retains, engages, or uses, with or without compensation, a professional or volunteer lobbyist”.
Q: Does the prohibition on the receipt of campaign contributions from lobbyists while the Colorado General Assembly is in session apply to federal lobbyist or individuals who lobby in other states who are not registered as lobbyists with the Colorado Secretary of State?
A: The prohibition on lobbyist contributions applies only to persons who are professional or volunteer lobbyists and who are subject to C.R.S. 24-6-301, etc. A note of caution: these individuals covered by the law could also be “federal” lobbyists or lobbyists subject to the laws of other states. In other words, “lobbyists” that do not lobby in Colorado are not covered. They do not try to influence members of the General Assembly, so the purpose behind the law does not apply to out-of-state lobbyists who do not lobby in Colorado.
Q: May corporations and labor organizations make direct contributions to “Small Donor” committees?
A: No, only their employees or members may make contributions to Small Donor Committees.
Q: How do “Small Donor” committees work?
A: Small Donor Committees are a form of political committee. The contribution limit from their supporters is lower than political committees at only $50 per natural person per year, but they may make larger contributions to candidates: $5,300* to Governor/Lt. Governor combined, Secretary of State, Attorney General, State Treasurer and $2,125* to State Senate, State House of Representatives, State Board of Education, CU Regent, District Attorney for the primary and general elections.
Q: May a Small Donor Committee transfer a portion of the Balance of Funds on Hand back to the Local Union for regular union expenditure use?
A: No
Q: May the transfer of membership dues from a membership organization to a small donor committee be excluded from the $50 limitation set forth in Section 2(14)(a) based upon the exclusive language contained in Section 2(5)(b), which states, that”…Contribution does not include…a transfer by a membership organization of a portion of a member’s dues to a small donor committee sponsored by such membership organization”?
A: The transfer, itself, of membership dues from a membership organization to a small donor committee is excluded from the $50 limitation set forth in Article XXVIII, Sec. 2(14)(a) of the Colorado Constitution based upon the exclusive language contained in Article XXVIII, Sec. 2(5)(b) of the Colorado Constitution. However, that portion of a member’s dues transferred from a small donor committee is considered a pro-rata contribution from the individual members to a small donor committee.
Q: Is a membership organization required to segregate the dues it receives from corporations from the dues it receives from natural persons?
A: Not if the dues received from corporations are for the membership dues of natural persons. If the dues are received from corporations for their own corporate memberships, then such dues must be segregated and cannot be transferred to a small donor committee.
Q: May a membership organization transfer dues to a small donor committee paid to it by a member’s corporation on behalf of one or more individual members?
A: Yes. The dues transferred by such membership organization to the small donor committee sponsored by such organization will be treated as pro-rata contributions from the individual members whose portion of membership dues was transferred. It is not considered to be a contribution from the corporation paying the member’s dues, but rather a contribution from the member.
Q: How does a small donor committee list a membership transfer from a membership organization since they are not contributions?
A: If a small donor committee (SDC) receives $20 or more in dues and other contributions from any individual during a reporting period; the small donor committee should list each such individual. The total amount received from each individual that totals less the $20 during a reporting period should be reported as a non-itemized contributions. The membership organization must provide to the small donor committee a list of the members and the amount of dues transferred for each member and the small donor committee must keep that list for audit purposes to be sure that individuals do not exceed the $50 per year contribution limit.
Q: May a candidate make a contribution to a (Federal) 527 organization from the candidate’s candidate committee?
A: No. Candidate committees are formed to support the nomination or election of a candidate to a state or local office: 527 organizations are allowed to support issues as well as candidates. They are not limited to solely supporting the candidate from whom they received the contribution. Therefore, this type of contribution is not allowed. Any such contributions made by a candidate committee to a 527 organization must be returned to the candidate committee.
Q: Unexpended campaign contributions for candidate committees are allowed to be used for Political Issue Education under C.R.S. 1-45-106(II). May a candidate committee contribute unexpended campaign contributions to (Federal) 527 organizations for political issue education?
A: No. 527 organizations may support or oppose a wide variety of issues. Political Issue Education [as referred to in C.R.S. 1-45-106(II)] is issue education that is personal to the candidate. In other words, political issue education is to be limited to specifically educating the elected official on legislative issues directly affecting their constituents or the elected official educating his/her constituents about the elected official or legislative issues directly affecting those constituents.