D.C. Mun. Regs. r. 3-4209

Current through Register Vol. 71, No. 23, June 7, 2024

Rule 3-4209 - LIMITATIONS ON THE USE OF FAIR ELECTION PROGRAM FUNDS AND EXPENDITURES

4209.1

Except as provided in § 4209.5(b), a candidate seeking certification and a participating candidate shall not receive or expend any contribution in that election cycle other than:

(a) Qualified small-dollar contributions from individual District residents;

(b) Contributions from non-District resident individuals that comply with the limitations in § 4205.1;

(c) Contributions from Fair Elections Committees that do not exceed $1,500 per Fair Election Committee, per election cycle;

(d) Base amount payments distributed by the Fair Elections Program;

(e) Matching payments distributed by the Fair Elections Program; and

(f) Personal funds of a candidate or the candidate's immediate family in the form of a contribution or loan that does not exceed, in the aggregate:

(1) For a candidate for Mayor, $5,000; or

(2) For a candidate for Attorney General, Council Chairman, member of the Council, or member of the State Board of Education, $2,500.

4209.2

The amounts described in § 4209.1(f) shall be adjusted by the Director of Campaign Finance each election cycle by the percentage increase in the Consumer Price Index for the Washington-Baltimore Metropolitan Area for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor, or any successor index for the prior calendar year.

4209.3

A candidate seeking certification who accepts a contribution from sources other than those described in § 4209.1 before the date the candidate is certified may not participate in the Fair Elections Program, unless within ten (10) days after certification, the participating candidate:

(a) Returns the unexpended contribution to the contributor and provides evidence that the funds were actually received by the contributor and negotiated through the candidate's checking account as defined in § 3000.29 of this title;

(b) Remits the unexpended contribution to the Fair Election Fund; or

(c) If the contribution has been expended, and:

(1) The election is a contested election, the Office of Campaign Finance shall subtract the total amount of the expended contributions from the base amount to which the candidate would be eligible under § 4207; or

(2) The election is an uncontested election, the Office of Campaign Finance shall subtract the total amount of the expended contributions from the matching payments to which the candidate would be eligible under § 4208.

4209.4

A candidate seeking certification who expends contributions from sources other than those described in § 4209.1 in excess of the base amount to which a candidate for the seat for that covered office would be eligible under § 4207.3 may not participate in the Fair Elections Program.

4209.5

A participating candidate shall not make expenditures for the following:

(a) Legal expenses not directly related to acts taken under this act or the Elections Code;

(b) Payment of any penalty or fine imposed pursuant to Federal or District law;

(c) Compensation to the participating candidate or a member of the participating candidate's immediate family, except for reimbursement of out-of-pocket expenses incurred for campaign purposes;

(d) Clothing and other items or services related to the participating candidate's personal appearance;

(e) Contributions, loans, or transfers to another candidate's political committee or a political action committee;

(f) Gifts, which, for the purposes of this paragraph, shall not include printed campaign materials such as signs, brochures, buttons, or clothing; and

(g) Any other purpose that does not support the nomination of election to office of the participating candidateas delineated in §3013 of this title.

4209.6

Fair Elections Program funds may not be used for:

(a) An expenditure for any purpose other than the furtherance of the participating candidate's nomination or election; or

(b) An expenditure in violation of any law.

4209.7

An expenditure for the purpose of promoting or facilitating the nomination or election of a candidate, which is determined not to be an independent expenditure, is a contribution to, and an expenditure by, the candidate.

4209.8

In determining whether an expenditure is independent, the Director may consider, but not limited to, the following factors:

(a) Whether the person or entity making the expenditure is also a current or former agent of a candidate;

(b) Whether any person authorized to accept receipts or make expenditures for the person or entity making the expenditure is also a current or former agent of a candidate;

(c) Whether a candidate has authorized, requested, suggested, fostered, or otherwise cooperated in any way in the formation or operation of the person or entity making the expenditure;

(d) Whether the person or entity making the expenditure has been established, financed, maintained, or controlled a political committee authorized by the candidate;

(e) Whether the candidate shares or rents space for a campaign-related purpose with or from the person or entity making the expenditure;

(f) Whether the candidate has solicited or collected funds on behalf of the person or entity making the expenditure, during the same election cycle in which the expenditure is made;

(g) Whether the candidate, or any public or private office held or entity controlled by the candidate, including any governmental agency, division, or office, has retained the professional services of the person making the expenditure, or a principal member or managerial employee of the entity making the expenditure, during the same election cycle in which the expenditure is made; and

(h) Whether the candidate and the person or entity making the expenditure have each consulted or otherwise been in communication with the same third party or parties, if the candidate knew or should have known that the candidate's communication or relationship to the third party or parties would inform or result in expenditures to benefit the candidate.

4209.9

There shall be a rebuttable presumption that a contribution or expenditure is coordinated with a candidate, an agent of a candidate, or principal campaign committee of the candidate, if:

(a) The contribution or expenditure is made based on information that the candidate, agent, or principal campaign committee of the candidate, provided to the particular person making the contribution or expenditure about its needs or plans, including information about campaign messaging or planned expenditures;

(b) The person making the contribution or expenditure retains the professional services of a person who also provides the candidate, agent, or principal campaign committee of the candidate, with professional services related to campaign or fundraising strategy;

(c) The person making the contribution or expenditure is a political committee, political action committee, or independent expenditure committee that was established or is or was staffed in a leadership role by an individual who works or previously worked in a senior position or in an advisory capacity or;

(d) Who is a member of the candidate's immediate family or;

(e) The contribution or expenditure is made for the purpose of financing, directly or indirectly, the election of a candidate or a political committee affiliated with that candidate, and that candidate has fundraised for the person making the expenditure.

4209.10

In-kind contributions are donations of goods, services or time instead of cash. Each in-kind contribution shall be assessed at the current local fair market value at the time of the contribution and shall be itemized and reported.

D.C. Mun. Regs. r. 3-4209

Final Rulemaking published at 66 DCR 6632 (5/31/2019)