Top ranking members of the People’s Progressive Movement government have pledged to reform Cayman’s rules for political campaign financing, hopefully before the May 2009 general elections.
“We have every intention, once we get through the process of constitutional modernisation, to do the necessary amendments to the Elections Law so that there’s a straightforward and reasonable method by which contributions can be declared,” Leader of Government Business Kurt Tibbetts said. “Not only contributions being declared, but also to set limits (on political contributions).”
Although they are not a direct part of changes being discussed in the constitutional reform process, campaign financing rules have been questioned at constitution review meetings by both members of the public and media representatives within the past week.
Mr. Tibbetts said the PPM’s main concern is the public perception of large campaign donations unduly influencing decisions made by elected Legislative Assembly members. Currently, Cayman has no upper limit on political contributions made to either individual candidates or political parties.
Elections Supervisor Kearney Gomez said the Elections Law (2004 Revision) does provide an expenditure limit which candidates must stay within.
Mr. Gomez said the limit applies to candidates from the time they receive official nomination to the day of the general election, usually about six weeks. Candidates belonging to political parties can legally spend only $30,000 within that time; independent candidates may spend up to $35,000 between their nomination and Election Day.
All candidates are required to report the total amount of their expenditures within that time period to the elections supervisor’s office, where those records are kept on file for a year after the votes are counted.
Any candidate accepting a donation greater than $5,000 must identify the source of that donation to the supervisor. The name and address of any person who contributes more than $10,000 to a candidate or party must also be given to the supervisor’s office.
Mr. Gomez said a summary of candidates’ campaign reports are kept in the elections office and may be reviewed by the public. However, he said the initial report submitted by each individual candidate is not released.
Also, candidates and parties are not required to document any donations or expenditures which occur outside of the nomination period. In other words, if someone receives or spends $200,000 on a campaign prior to their official nomination as a candidate, that would not violate spending limits.
“Whatever they spent before (their nomination) no one knows,” Mr. Gomez said.
“If there’s a donation to either an individual candidate or to a party — let’s say $5,000 — in most instances, one would not think that had any underlying motive behind it,” Mr. Tibbetts said. “But if you have a contribution of $50,000, or $100,000, or $500,000, then that’s going to raise everybody’s eyebrows.”
Mr. Tibbetts said the PPM party executives currently police donations to candidates so that a $10,000 limit is set on the contributions. Executives must also approve the source of the funds.
“In domestic legislation, we believe that should also be the case,” Mr. Tibbetts said.
Although the particulars of campaign finance reporting and regulation are not being reviewed as part of the country’s constitutional modernisation discussion, the government does wish to make it more difficult to change the Elections Law in the future.
The PPM’s list of constitutional proposals states that it intends to amend the Elections Law prior to constitutional changes taking effect in part to “put back and reform the campaign finance rules which were largely undermined in 2004.”
The government advocates significant changes, after the constitution is revised, should not be made to the law without either; the recommendation of the elections supervisor, a declaration by the leader of government and the leader of the opposition that the changes are minor and non-controversial, or a referendum.
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