Political Reform Act of 1974: public campaign financing: California Fair Elections Act of 2026.

Plain English Breakdown

The official source material does not provide specific details on the allocation of public funds to qualifying candidates, leaving this aspect uncertain.

California Fair Elections Act of 2026

This act amends California's Political Reform Act of 1974 by allowing public officers and candidates to use public funds for campaigns under certain conditions, setting rules for receiving these funds, and increasing penalties for foreign contributions in elections.

What This Bill Does

• Removes prohibitions on public officers or candidates from expending or accepting public funds unless the funds are earmarked by a state or local entity for education, transportation, or public safety.
• Requires candidates to follow expenditure limits and meet specific criteria to qualify for public funding.
• Prohibits using public funds for legal defense fees, fines, or repaying personal loans related to campaigns.
• Permits local governments to set higher spending limits for qualified and voluntarily participating candidates.
• Increases penalties for foreign contributions in elections from a fine equal to the amount contributed to at least double that amount but not more than three times the contribution.

Who It Names or Affects

• Public officers and candidates running for state or local office in California.
• Local governmental agencies setting campaign finance rules.
• Foreign governments or foreign principals involved in California elections.

Terms To Know

earmarked funds

Money set aside by a government entity specifically for certain purposes, such as education or transportation projects.

foreign principal

A foreign individual or organization that acts on behalf of a foreign government in the United States.

Limits and Unknowns

• The bill requires voter approval through a statewide general election before it can take effect.
• It does not specify how public funds will be allocated to candidates who qualify for funding.
• Local governmental agencies are responsible for administering and enforcing their own systems of public funding, separate from the state's Fair Political Practices Commission.

Official Summary Text

SB 42, Umberg.
Political Reform Act of 1974: public campaign financing: California Fair Elections Act of 2026.
Existing law, the Political Reform Act of 1974, prohibits a public officer from expending, and a candidate from accepting, public moneys for the purpose of seeking elective office.
This bill would remove prohibitions imposed on a public officer or candidate to expend or accept public funds, as defined, for the purpose of seeking elective office unless the funds are earmarked by a state or local entity for education, transportation, or public safety. The bill would require candidates to abide by specified expenditure limits and meet strict criteria, as defined, to qualify for public funds. The bill would prohibit public funds from being used to pay
legal defense fees or fines or to repay personal loans to their campaign. The bill would permit a statute, ordinance, or charter to establish standards to increase the expenditure limits for each qualified, voluntarily participating candidate pursuant to a specified formula. The bill would provide that the Fair Political Practices Commission is not responsible for administering or enforcing a system of public funding of candidates established by a local governmental agency.
Existing law prohibits a foreign government or foreign principal, as defined, from making a contribution, expenditure, or independent expenditure in connection with the qualification or support of, or opposition to, any state or local ballot measure or in connection with the
election of a candidate to state or local office. Under existing law, a person who violates this prohibition is guilty of a misdemeanor and subject to a fine equal to the amount contributed or expended.
This bill would instead require that a person guilty of
that misdemeanor, in addition to other penalties, be fined an amount at least equal to the amount contributed or expended, but not exceeding a maximum amount of 3 times the amount contributed or expended.
The Political Reform Act of 1974, an initiative measure, provides that the act may be amended by a statute that becomes effective upon approval of the voters.
This bill would require the Secretary of State to submit the provisions of the bill, as specified, to the voters for approval at the November 3, 2026, statewide general
election. This bill would incorporate additional changes to Section 85320 of the Government Code proposed by AB 953 to be operative pursuant to specified conditions.

Current Bill Text

Download Bill PDF