Government Military and Veterans Affairs

Repeal of campaign finance law proposed

The Government, Military and Veterans Affairs Committee heard testimony March 16 on a bill that would repeal Nebraska’s Campaign Finance Limitation Act (CFLA) and amend the Accountability and Disclosure Act.

Omaha Sen. Scott Lautenbaugh said he introduced LB142 because the CFLA has not limited the influence of money on politics in Nebraska as intended.

“It has been a failure of historic magnitude and should be done away with,” he said.

Instead, Lautenbaugh said, the state’s current campaign finance system has fostered the growth of independent expenditure groups that influence campaigns anonymously.

The CFLA limits contribution amounts that candidates can accept from nonindividual donors, Lautenbaugh said, but independent expenditure groups face virtually no limits. He said such groups often sponsor negative mailings about candidates who do not have the campaign resources to defend themselves.

“The public has a right to know who is saying what,” Lautenbaugh said. “We should stop limiting our ability to respond.”

He added that eliminating the CFLA likely would result in more money being donated to campaigns rather than anonymous independent expenditure groups, resulting in greater transparency.

Jack Gould of Common Cause Nebraska testified against the bill, saying it would “open the flood gates” to the influence of independent committee money on campaigns. Gould said his organization would like to see greater disclosure requirements regarding who finances independent expenditure groups, but said eliminating the CFLA is not the answer.

LB142 also would require disclosure of campaign expenditures and contributions over $50. The current requirement is $250.

Testifying in a neutral capacity, Secretary of State John Gale said lowering the minimum dollar amount likely would not add value to the state’s disclosure requirements. The disclosure requirement is meant to provide transparency regarding substantial donations, he said.

“Fifty dollars isn’t a significant influence on a candidate,” Gale said.

The bill also would require daily electronic filing of contributions and expenditures starting voluntarily in 2012 and becoming mandatory by 2014.

Frank Daley, executive director of the Accountability and Disclosure Commission, testified in a neutral capacity on the portion of the bill affecting filing requirements.

While in favor of increased online filing, Daley said complying with the bill’s provisions would require a one-time cost of approximately $315,000 and $10,000 per year to maintain a new system.

The committee took no immediate action on the bill.

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