Alaskans will face a ballot initiative when they vote in the primary election this August. The initiative, known as Ballot Measure 1, aims to limit the influence of big-money donors on Alaska’s state and local elections.
That’s in addition to races for governor, the U.S. House and Senate and the state Legislature.
Alaska has allowed individuals to make unlimited contributions to candidates since a federal appeals court struck down the state’s campaign finance limits in 2021 as unconstitutionally low. The decision invalidated a $500-per-year limit on individual donations to candidates. Voters approved the old limit in a 2006 ballot measure that passed by a roughly 3-to-1 margin.
Advocates made the case for and against imposing a new limit at a hearing on the ballot question Monday in Anchorage.
Rep. Calvin Schrage, an Anchorage independent, said at the hearing that the court decision — and the Dunleavy administration’s decision not to appeal it — has allowed wealthy donors to drown out the voices of everyday Alaskans by donating large sums directly to candidates.
Schrage championed the cause in the Legislature and sponsored the ballot measure.
“When a single donor can spend hundreds of thousands or even millions of dollars on a single candidate, it creates a dangerous environment,” Schrage said. “It not only grants undue influence to the ultra-wealthy, but it also exposes our elected officials to the risk and perception of quid pro quo corruption.”
Since the court decision striking down Alaska’s individual donation limits, candidates across the political spectrum have taken in five- and six-figure donations from donors both within and outside Alaska. The top two Democrats in the governor’s race, both of whom have said they support the ballot measure, reported six-figure donations in July, including some from out of state.
The new initiative would limit individuals’ donations at $2,000 to a candidate each election cycle. That amount would be adjusted for inflation once a decade.
“Without these guardrails, wealthy individuals and special interests can have an outsized impact and shift a candidate's focus away from the constituents they're supposed to serve,” Schrage said.
Former Anchorage Assembly member and municipal manager Amy Demboski spoke against the measure at Monday’s hearing, calling political donations a “form of political speech.”
Relatively low limits on individuals’ contributions would make it harder for upstart candidates without an established grassroots base to make inroads with voters, Demboski said.
“(Ballot Measure) 1 wants you to think that it's for fairness, but it actually limits your right as an individual Alaskan to support the causes you believe in,” Demboski said. “While the goal is to change how much money people can give in campaigns, the actual result would hurt freedom of speech and ignore how the real world works.”
Another portion of the ballot measure would allow political groups to donate up to $4,000 per cycle, an increase from $1,000 per year, a limit that was not invalidated by the 2021 ruling.
That would allow unions and political action committees to exercise greater influence than they should, Demboski said.
“If they want to talk about an equitable playing field, this is absolutely not true,” she said.
Others opposing Ballot Measure 1 said they were concerned the new limits could lead donors to funnel money to independent groups. Though they’re barred from directly coordinating with candidates, independent groups can take unlimited donations in line with a pair of 2010 federal court decisions: the Supreme Court case known as Citizens United and a subsequent appeals court decision in SpeechNow v. FEC.
Monday’s hearing was quiet, with only a handful of Alaskans calling in or showing up to voice their thoughts on the issue. A second public hearing is scheduled for 9 a.m. Wednesday, Aug. 5. More information on how to participate is available at the Division of Elections’ website.
The primary election is Aug. 18. Early voting starts Aug. 3.
