Table of Contents
Review of Application
Once Commission staff have determined that a candidate meets all other requirements for the Public Financing Program, Commission staff will review the candidate’s Qualifying Request, contribution list, and supporting documentation to determine whether the candidate meets the minimum fundraising requirement. Commission staff may audit committee records and take whatever steps they deem necessary to determine eligibility.
What happens when a candidate is certified as eligible to receive public financing?
If Commission staff determine that a candidate has satisfied all program requirements (see Public Financing Eligibility Requirements and Submitting a Public Financing Application), they will notify the candidate and certify to the Controller’s Office that the candidate is eligible to receive public funds. Commission staff will make their determination within 30 days from the date the Qualifying Request is filed, provided that all determinations are made by the 55th day before the election.
The Commission may conditionally certify a candidate if they satisfy all the requirements of Section 1.140 but are not yet opposed by a qualified candidate who is eligible to receive public financing or who has received contributions or made expenditures that equal or exceed $10,000 for Supervisor candidates or $100,000 for Mayoral candidates.
What happens if candidates are not certified?
If Commission staff determine that the Qualifying Request is incomplete or otherwise inadequate to establish eligibility, candidates will receive written notification that the submission was rejected and candidates will not be certified. If the Qualifying Request is not approved, candidates may be able to refile or resubmit the Qualifying Request, as described below.
Refiling
Up to the 70th day before the election, a candidate may “refile” their Qualifying Request. This refiling may include qualifying contributions and supporting documentation not included in previously submitted requests. Candidates may continue to withdraw and refile new Qualifying Requests provided that no refiling is submitted after the 70th day before the election.
Resubmission
After the 70th day before the election, if a candidate is notified that their Qualifying Request has been rejected, a candidate may only “resubmit” their Qualifying Request. This resubmission must be filed within five business days from the date of notification, provided that all resubmissions are filed by the 60th day before the election. The resubmission may not include new qualifying contributions not previously submitted, but may include additional supporting documentation. Additional resubmissions may be permitted at the Executive Director’s discretion, provided that no resubmission is filed later than the 60th day before the election. If candidates do not resubmit by the deadline, or if no resubmissions are permitted, the Executive Director’s decision is final.
Appeal to the Ethics Commission
If the Executive Director makes a final determination that a candidate’s timely filed Qualifying Request fails to establish eligibility for public financing, the candidate may appeal the determination to the Ethics Commission. The candidate must deliver the written appeal to the Ethics Commission within five calendar days of notification of the Executive Director’s final determination. A candidate who has failed to timely file a Statement of Participation or Qualifying Request may not appeal his or her failure to meet a deadline to the Commission.
Disbursement of Public Funds
The Ethics Commission will notify the Controller’s Office in writing of all payments owed to candidates under the City’s Public Financing Program. The Controller will disburse payments to candidates in accordance with the Commission’s determinations.
Reminder: All payments of public funds must be deposited into the campaign contribution trust account of the candidate’s election committee.
How much public funding will candidates receive initially?
Once the Qualifying Request is approved, and candidates are certified as eligible to receive public funds, the Commission will direct the Controller’s Office to disburse an initial grant to the candidate’s committee in the amount of $60,000 for Supervisor candidates or $300,000 for Mayoral candidates. Additional funds may be disbursed based on the submission of a Matching Request.
When will candidates receive public funds?
The earliest date public funds can be disbursed to candidates is the 142nd day before the date of the election. If a candidate is certified as eligible for public financing before this date, the Controller’s Office will disburse funds on this date. Candidates certified as eligible to receive public financing will have access to funds from the Election Campaign Fund on a first-come, first-served basis.
How will candidates receive public funds?
The Controller’s Office is responsible for issuing public financing payments to all eligible candidates. Payments are initiated by the Controller’s Office once per week and typically received by committees one week after payment.
Payments Issued by Check
Check payments are processed and disbursed by the City Controller’s Office. Checks will be sent by standard mail to the address listed in the IRS Form W-9 submitted by the committee to obtain a Supplier ID. It is important that committees list an address that can receive mail and is regularly checked.
Payments Issued by Electronic Transfer (ACH)
Committees may also be eligible to receive payments by electronic transfer (ACH). Please visit the Electronic Payments to Vendor page on the Controller’s website to register the committee as a vendor using the assigned Supplier ID number. Please note that establishing eligibility for electronic payments can take time, and processing payments may take an additional one to two business days. Any candidate interested in electronic payments is strongly encouraged to obtain a Supplier ID and apply for electronic payments as early as possible. Because electronic payments are managed by a third-party vendor, Ethics Commission and Controller’s Office staff are unable to provide any assistance with the enrollment process or provide updates on the status of payments issued.
Termination or Forfeiture of Public Funds
What if a candidate withdraws or fails to qualify to appear on the ballot?
If a candidate withdraws or fails to qualify to appear on the ballot in the election for which the public funds were provided, they will immediately be deemed ineligible to receive public funds and any submission pending or under review will be automatically rejected. If the candidate was previously approved to receive public funds, they must repay to the Election Campaign Fund the full sum of public funds received. In addition, individuals who cease to be a qualified candidate must do any of the following with the balance of funds remaining in their account: 1) return contributions to donors on a last-in, first-out basis; 2) donate contributions to the City or a charitable organization; or 3) pay outstanding campaign debts or expenses associated with terminating a committee.
Payment is not final determination
A payment of public funds to the candidate does not constitute a final determination of the amount that the candidate is entitled to receive or keep, and candidates must continue to meet all eligibility requirements of the public financing program. The Commission may conduct internal reviews to help ensure accountability in the administration of the program. If it is determined that payments to the candidate were in excess, or that a candidate is no longer eligible to receive public funds, the Ethics Commission will notify the Controller and the candidate. In addition to any other penalties, the candidate may be required to repay to the City a portion of, or all, public funds received.
What if a contribution in the Qualifying Request is returned or forfeited?
If the committee returns to contributors or forfeits to the City any amount of a contribution approved in the Qualifying Request, candidates should immediately notify the Ethics Commission of the contribution(s) in question. Candidates may be required to submit a Matching Request with “replacement” contributions that meet the requirements of qualifying contributions and equal the amount of contributions that were returned or forfeited. Additional matching funds will not be disbursed until a candidate resolves all matched contributions that were returned or forfeited. If a candidate cannot submit a sufficient amount of qualifying contributions to be used as replacements, the candidate may be required to forfeit funds equal to the amount of public funds matched to the returned or forfeited contributions.
Forfeited contributions or public funds may be submitted to the Ethics Commission either by mail with a memo indicating the reason for forfeiture (including an itemized list of forfeited contributions) or electronically using the Online Late Fee Payment System (Select fee type: Remittance).