Help Pass the California DISCLOSE Act

Change the Big Money Game with True Transparency

The California DISCLOSE Act will be introduced in the legislature in 2013 to fight back against unlimited hidden spending on campaigns by letting voters know who REALLY is paying for political ads on the ads themselves. It will build on the momentum of the historic Assembly victory of AB 1648, authored by Assemblymember Julia Brownley and sponsored by the California Clean Money Campaign.

Why California Needs the California DISCLOSE Act

The Supreme Courts 5-4 Citizens United decision unleashed the floodgates of anonymous spending on campaigns by ruling there could be no limits on outside spending by corporations, unions, or individuals. Super PACS and other groups have pledged to spend over $1 billion nationally, by groups like Americans for Prosperity, Crossroads GPS, Restore Our Future, and Priorities USA Action all hiding funders on the ads. Over $235 million was spent on CA ballot measures in 2010 alone, almost all of it by veiled actors hiding behind innocuous-sounding names like "Stop Hidden Taxes" or the "California Jobs Initiative". Government-changing measures are passed by hidden special interests spending millions on deceptive ads.

What the California DISCLOSE Act Will Do

Require the three largest funders of political ads to be clearly identified with their names and logos on the ads themselves, so voters know who is actually paying for them. Apply to all television ads, radio ads, print ads, mass mailers, and websites for or against state and local ballot measures, and to independent expenditures for and against candidates. It applies whether ads are paid for by corporations, unions, or millionaires. Will pierce through hidden funders by requiring political ads to report their three largest actual contributors, no matter how many committees or groups their contributions pass through. Require candidates to appear and say they "approve this message", just like federal candidates.

Disclosure of Big Spenders Works

Despite tens of millions spent in 2010 on Props 16 and 17 by PG&E and Mercury Insurance, both lost because enough people knew they were the largest spenders and took that into account when viewing their ads. Unfortunately, the largest funders of political ads arent usually as clear as in Props 16 and 17. The California DISCLOSE Act would make sure theyre clear no matter how much the press pays attention to the issue.

Before Current law fine print disclosure

After Disclosure with the California DISCLOSE Act

For more information: Printed in-house (Updated 08/30/12)

California Clean Money Campaign 8124 W. 3rd St., Suite 105 Los Angeles, CA 90048 Phone (800) 566-3780 www.YesFairElections.org info@CAclean.org

Examples of Initiatives Distorted by Anonymous Spending

An oil severance tax to pay for alternative energy was supported by a nearly three to one margin in early polls for Prop 87 in 2006. It lost after $94 million in anonymous ads by Californians against Higher Taxes. Most voters never knew its largest funders were Chevron, Aera Energy, and Occidental Oil and Gas. George Soros spent $1 million on Proposition 19 in 2010, the initiative to legalize marijuana in California. All voters saw was fine print: Paid for by the Drug Policy Action Committee to Tax and Regulate Marijuana Increased cigarette taxes were supported by two to one margins in early polls for Prop 29 in 2012 and Prop 86 in 2006. Both were defeated by $66 million and $47 million in anonymous ads, respectively, with largest funders Philip Morris and RJ Reynolds Tobacco. In ads against Prop 29, voters saw the fine print Paid for by Californians Against Out of Control Taxes and Spending.

Prescription drug discounts supported by consumer advocacy and senior groups were favored by 15% in
early polls for Prop 79 in 2005. It lost after the airwaves were flooded with $123 million in anonymous spending from Californians Against the Wrong Prescription. Largest funders: GlaxoSmithKline, Merck, and Pfizer.

The California DISCLOSE Act is Constitutional and Reasonable

8 out of 9 justices in the Supreme Court's Citizens United decision noted the problems when groups run ads "while hiding behind dubious and misleading names" and said we need transparent disclosure for voters "to make informed decisions and give proper weight to different speakers and messages." Required radio ad disclosures are shorter than those in current law in most cases but more effective. Print ad and mass mailer disclosure areas are similar in size to current required slate mailer disclosure areas. "Requiring people to stand up in public for their political acts fosters civic courage, without which democracy is doomed. Justice Antonin Scalia, writing in Doe v. Reed, 2010

Californians are ready for the California DISCLOSE Act

84% of California voters said they favored legislation to increase the public disclosure requirements of initiative sponsors to more clearly identify who are its major funders in the October 13, 2011 Field Poll, including 88% of Independents, 86% of Democrats, 78% of Republicans, and 83% of Tea Party Supporters. The last version of the California DISCLOSE Act, AB 1648, was endorsed by the League of Women Voters of California, California Alliance for Retired Americans, California Clean Money Campaign, California Common Cause, California Church IMPACT, the California League of Conservation Voters, CALPIRG, Consumer Federation of California, CREDO ACTION, Greenlining Institute, the Green Chamber of Commerce, Progressives United, Public Citizen, Redwood Empire Business Association, Sierra Club California and over 350 other organizations and leaders.

What are Californians saying about the California DISCLOSE Act

As voters have become increasingly frustrated with the electoral process, it is time to bring greater transparency to the people rather than carry on with politics as usual. Jennifer A. Waggoner, President, League of Women Voters of California "The overwhelming power of money to mislead voters is a profound moral issue. Reverend Dr. Rick Schlosser, California Church IMPACT, representing 1.5 million people of faith in California.

Ask your legislators to support the California DISCLOSE Act What do those who oppose it have to hide?
For more information: Printed in-house (Updated 08/30/12) California Clean Money Campaign 8124 W. 3rd St., Suite 105 Los Angeles, CA 90048 Phone (800) 566-3780 www.YesFairElections.org info@CAclean.org