Monday

04-28-2025 Vol 1944

Alaska House Bill 16 Seeks Significant Changes to Campaign Contribution System

The Alaska House of Representatives is currently considering House Bill 16, a proposal that aims to reform the state’s virtually unrestricted campaign contribution system.

Sponsored by Democrat-backed Rep. Calvin Schrage, the bill looks to establish limits on contributions and embed long-term mechanisms for campaign finance into Alaska law.

Previously, a stricter cap on campaign contributions was overturned by the Ninth Circuit Court of Appeals in 2021 due to the ruling in the case of Thompson v. Hebdon.

The proposed legislation outlines significant restrictions on contributions, which it suggests will bring more transparency and regulation to election funding in the state.

The summary of House Bill 16 states: “An Act requiring a group supporting or opposing a candidate or ballot proposition in a state or local election to maintain an address in the state; amending campaign contribution limits for state and local office; directing the Alaska Public Offices Commission to adjust campaign contribution limits for state and local office once each decade beginning in 2031; relating to campaign contribution reporting requirements; relating to administrative complaints filed with the Alaska Public Offices Commission; relating to state election expenditures and contributions made by a foreign-influenced corporation or foreign national; and providing for an effective date.”

Key provisions of HB 16 signify a move towards greater regulation:

Under the proposed law, individuals would be limited to contributing $2,000 per election cycle to a candidate or a non-group entity.

Contributions to campaign groups would be capped at $5,000 annually.

Groups not classified as political parties could contribute up to $4,000 per election cycle to candidates and $5,000 annually to other entities.

Furthermore, non-group entities would also face a $4,000 cap per election cycle for candidates and a $5,000 annual cap for groups and parties.

Joint campaigns for governor and lieutenant governor would see individual contributions capped at $4,000 per election cycle, with group contributions maxing out at $8,000.

An important aspect of HB 16 is that it maintains unrestricted contributions for entities making independent expenditures, such as political action committees that operate separately from direct campaign efforts.

This structure aligns with previous Supreme Court decisions, including Citizens United v. FEC.

Independent expenditure groups are known to significantly influence Alaska’s political landscape.

Many of these groups are funded by outside sources, often connected to dark money networks like Arabella Advisors and financed by wealthy investors.

To keep the proposed limits in line with economic conditions, the bill mandates the Alaska Public Offices Commission to revise these caps every decade, starting in 2031, based on inflation rates.

The legislation also aims to establish consistent campaign finance reporting protocols by preventing the APOC from changing reporting formats or methods once an election cycle has begun.

Moreover, it defines the timeline for an “election cycle” as starting when a candidate is eligible to accept campaign funds and concluding when the candidate files their final financial report.

While Democrats seem poised to support HB 16, Republican lawmakers have proposed several amendments, none of which were adopted during committee discussions.

The bill is expected to pass with substantial support from Democrats in a final vote scheduled for Monday, despite a divided stance among Republican members.

Simultaneously, another movement is gaining momentum through a citizens’ initiative petition aiming to impose different limits on individual contributions to campaigns.

The group, Citizens Against Money in Politics, led by Democrat activist Bruce Botelho from Juneau, has gathered over 26,000 signatures for a proposal to appear on the 2026 general election ballot.

Interestingly, Rep. Schrage, the sponsor of HB 16, is also involved with this initiative.

This petition seeks to cap individual contributions at $500 annually.

It proposes limitations of no more than $2,000 for contributions to non-party group entities, and a $5,000 cap annually for parties and other groups, alongside a $1,000 annual limit for candidates.

Notably, contributing groups will be restricted to $8,000 each election cycle, or $2,000 annually.

Critics further highlight that the three primary contributors to the “Citizens Against Money in Politics” initiative are known entities that have managed to exempt themselves from these proposed limits.

Major players include the New Venture Fund (part of Arabella Advisors), AFL-CIO, and NEA-Alaska.

Skeptics argue that this movement appears to favor well-funded independent expenditure groups, while making it more challenging for grassroots support and candidates to thrive.

Should the initiative make it to the ballot, voters will have a direct say in determining the future of campaign contribution regulations in Alaska.

image source from:https://mustreadalaska.com/capping-campaign-dollars-is-on-house-floor-for-monday-vote/

Charlotte Hayes