California politicians owe $2 million in campaign fines, don’t get punished

If you don’t pay your traffic ticket, you can lose your license, not get your license renewed and could lose your auto insurance.  If you are a California politician and break the elections laws, you can be fined—and then you can forget about it.  In fact, you are allowed to run for another office without any penalty.  Note below we have one State Senator, a former Assembly member, who has not paid her fines since 2012—and was AGAIN fined in 2014 and 2016—yet she was allowed to run for re-election the  Assembly and then move up to the State Senate.  As a real person you would have government hounding you by mail, phone and in person—you could lose your CPA license, you could lose your job.

“California’s secretary of state’s office has failed to collect $2 million in fines owed by politicians, lobbyists and campaign donors who the office says filed disclosure reports late, a CalMatters analysis shows. It’s allowed some of the largest fines to languish for many years with no consequences to those who are supposed to pay up. 

The debts are owed by a range of political players, according to a list published on the secretary of state’s website that details outstanding fines as of April 1. It shows fines owed by 26 state lawmakers and 21 superior court judges, as well as former legislators, losing candidates, ballot measure campaigns, Democratic and Republican clubs and corporate and labor-backed political action committees.

I would urge a change in the law.  If you have been fined by the FPPC and refused to pay the fine—that is what this is, a refusal—then you are not allowed to file to run for any office, from dog catcher, to Governor.  Give the politicians a penalty that matches the penalties of real people.

California politicians owe $2 million in campaign fines, don’t get punished

by Laurel Rosenhall, CalMatters,  4/14/21  

In summary

A CalMatters analysis shows the state has a broken system to collect unpaid penalties for late campaign reports.

California’s secretary of state’s office has failed to collect $2 million in fines owed by politicians, lobbyists and campaign donors who the office says filed disclosure reports late, a CalMatters analysis shows. It’s allowed some of the largest fines to languish for many years with no consequences to those who are supposed to pay up. 

The debts are owed by a range of political players, according to a list published on the secretary of state’s website that details outstanding fines as of April 1. It shows fines owed by 26 state lawmakers and 21 superior court judges, as well as former legislators, losing candidates, ballot measure campaigns, Democratic and Republican clubs and corporate and labor-backed political action committees.

Some of the fines are very small. About 300 of them are less than $100, reflecting paperwork filed a few days late — a routine violation of campaign finance law that’s the political equivalent of a parking ticket. 

But 45 of the fines are more than $10,000, and some are for violations more than a decade ago — raising questions about whether California is effectively enforcing its campaign finance law that is meant to promote transparency and prevent corruption.

“Enforcement in California is horribly lax up and down the scale, whether it’s regulatory compliance or criminal compliance,” said Jon Coupal, president of the Howard Jarvis Taxpayers Association. “The rules ought to be clear, they ought to be fair, they ought to be enforceable and they ought to be enforced.”

The secretary of state’s office sends three letters to people who owe the fines, but doesn’t take steps beyond that to collect the money, spokesperson Joe Kocurek said. In the past, he said, staff members called people who were behind on paying their fines, but that became too time consuming. 

“It’s a large amount of money, and so the question is: What can we legitimately do?”

shirley weber, california SECRETARY OF STATE

The problem has persisted long before Shirley Weber, the current secretary of state, took office in January. Still, she said she’ll look into the issue to see if any changes should be made. Though $2 million is a tiny portion of California’s more than $200 billion annual budget, it’s roughly as much as the state spends to educate about 190 students for a year.

“It’s a large amount of money, and so the question is: What can we legitimately do?” Weber said in an interview this week. “They’ve done things in the past, (but) what good is a fining system, if you can’t enforce it?” 

Sam Mahood, a spokesperson for U.S. Sen. Alex Padilla — who was secretary of state for six years before Weber — said the office “has limited resources and enforcement mechanisms to collect late fines.” Even so, it collected more than $3.6 million in fines during Padilla’s tenure, he said. 

The lax enforcement is a far cry from the experience ordinary Californians face if they, for example, neglect to pay a traffic ticket. Those fines increase when people don’t pay. Eventually, people can be charged with a misdemeanor for not paying, or have their tax refunds seized through a debt collection process. 

“Once you get a fine in the criminal justice system, it compounds and increases and it easily takes over your life if you are low-income,” said Natasha Minsker, a lobbyist who has pushed for more leniency in traffic fines.

“The fact that these fines (on politicians and judges) can go unpaid without any consequence, it’s definitely an illustration of privilege.”

A bureaucratic maze

Legislators write laws and judges enforce laws, so they have an especially high duty to obey them. CalMatters analyzed the list posted on the secretary of state’s website and contacted lawmakers and judges who, according to the list, owed more than $1,000 as of April 1. CalMatters also contacted campaigns that owe more than $30,000 and politicians who owe relatively small amounts but hold prominent positions.

The process revealed a byzantine system of accountability. Until CalMatters contacted them, many officials on the list said they had never been notified about an outstanding fine. Others said they were aware of it, but were negotiating to have it reduced or waived. Some were confused that the secretary of state was lodging campaign finance violations because they had already resolved an issue with the Fair Political Practices Commission. While the FPPC is responsible for enforcing broader provisions of the campaign finance law, both agencies can levy fines for late disclosure reports. The Commission on Judicial Performance also can discipline judges for violating campaign finance law.

“The fact that these fines (on politicians and judges) can go unpaid without any consequence, it’s definitely an illustration of privilege.”

NATASHA MINSKER, LOBBYIST

The largest outstanding fine for a public official is nearly $38,000 owed by Alameda County Superior Court Judge Jennifer Madden stemming from her 2016 campaign. She did not return multiple messages seeking comment. In 2019, she paid a $4,000 fine to the FPPC for failing to file required campaign disclosures in 2016. 

CalMatters found several instances where officials said they are working to resolve the fines, either by paying them off or asking to have them waived:

  • Assemblymember Eloise Reyes, a San Bernardino Democrat, owes nearly $15,000 from her 2016 campaign. She said in a statement that her attorneys are working to resolve the issue “and once that occurs any outstanding fines will be paid as soon as possible.”
  • State Sen. Shannon Grove, a Bakersfield Republican, owes a total of $3,940 from campaigns in 2012, 2014 and 2018. The fines “should have been paid in full when we were first notified,” Grove said in an email. “I regret the payment was not made on time, as promised to me. I have been assured by my Treasurer that the fines will be paid in full by (mid-April).”
  • Stanislaus County Superior Court Judge Annette Rees owes $2,410 from her 2020 campaign. She said the secretary of state notified her of the fine last month — a year after she had resolved the same issue with the FPPC, which resulted in a warning letter. “I filed an appeal of the (Secretary of State) fines,” Rees wrote in an email. “I am currently awaiting a decision in my appeal.”
  • Sen. Steven Bradford owes $1,490 and Assemblymember Chris Holden owes $1,160, both from their 2020 campaigns. The Los Angeles Democrats have asked to have the fees waived, according to their lawyer Stephen Kaufman. “Once they receive a determination from the Secretary of State, the committees will pay any remaining fees that have not been waived or reduced,” Kaufman said by email.
  • Marin County Superior Court Judge Sheila Shah Lichtblau owes $1,090 from her 2016 campaign. Her treasurer, David Lichtblau, said he filed required disclosures on time with the county elections office, but that the secretary of state didn’t accept the forms through the county’s electronic filing system. He said that he resubmitted them directly to the state, and that he and the county registrar requested that the state waive any penalties. The secretary of state “recently admitted the waiver was never processed,” David Lichtblau wrote in an email, adding that he has re-submitted the request and expects the fine to be waived in the next two weeks. 
  • Assembly Speaker Anthony Rendon owes $90, from his 2016 and 2020 campaigns. He believes the fines should be waived, said his campaign spokesperson Bill Wong: “Sometimes there is a mistake in billing. While it’s in dispute, we are not going to pay it.”

In other cases, officials said they were unaware that the secretary of state’s list shows they owe outstanding fines until CalMatters raised questions:

  • Assemblymember Carlos Villapudua, a Stockton Democrat, owes more than $10,000 from his 2018 run. A campaign spokesman said Villapudua was not notified of the fine. Last year, Villapudua paid a $483 fine to the FPPC for filing 2018 campaign disclosures late. He “never got anything from the secretary of state saying, ‘You owe $10,000,’” said Lee Neves.