Business Retention and Development Committee Agenda and Packet 2010 08 02

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Heather A. Balser, Deputy City Manager June 28, 2010 Page 3 of 4 Issue committees are required to be registered with the Colorado Secretary of State and follow other rules, a discussion of which is beyond the scope of this memo. Appointed officials such as board and commission members may: . Expend personal funds and use personal time for electioneering, subject to applicable campaign laws. . Express a personal opinion on ballot issues, so long as not expending public money from any source to do so. Individual employees may: . Respond to unsolicited questions about ballot issues. . Expend personal funds and use personal time for electioneering, subject to applicable campaign laws. Such activities should not be conducted during the employee's working time or in the offices of the City. Employees cannot give the impression, however, that the issue is endorsed by the City. II. ENFORCEMENTIPENALTIES The Secretary of State has jurisdiction over a complaint of an FCP A violation. A complaint may be filed by any person who believes that a violation has occurred, and a hearing before an administrative law judge (ALl) is held. Any violation of C.R.S. 9 1-45-117 is "subject to the provisions of sections 9(2) and 1 O( 1)6 of article XXVIII of the state constitution or any appropriate order or relief, including an order directing the person making a contribution or expenditure in violation of this section to reimburse the fund of the state or political subdivision, as applicable, from which such moneys were diverted for the amount of the contribution or expenditure, injunctive relief, or a restraining order to enjoin the continuance of the violation." CRS 9 1-45- 117(1 )(b )(III)( 4). III. ADDITIONAL LIMITATIONS TO CONSIDER Beyond the scope of the FCP A, courts have long recognized that there are constitutional restrictions on the use of public funds for campaign purposes. One judge observed, in connection with a Colorado public entity's campaign expenditures on a proposed constitutional amendment, that: [E]very court which has addressed the issue to date has found the use of public funds for partisan campaign purposes improper, either on the ground that such use was not explicitly authorized. . . or on the broader ground that such expenditures are never appropriate. . . . A fundamental precept of this nation's democratic electoral process is that the government may not "take sides" in election contests or bestow an unfair advantage on one of several competing factions. 6 Pursuanl to Article XXV III * 10(1), "any person who violates any provision of this article relating to contribution or voluntary spending limits shall be subject to a civil penalty of at least double and up to five times the amount contributed, received, or spent...."