Corporate America is pumping billions of dollars into ballot initiatives in a year when the pandemic has upended political campaigning conventions.
There are fewer statewide ballot measures this year than in any previous even-numbered year in the 21st Century, according to the Initiative and Referendum Institute of the University of Southern California. Even so, the fundraising to pass or defeat those questions could end up outpacing 2018’s $1.19 billion; at least $1.13 billion had been raised, according to data compiled as of Oct. 28 by the election-tracking site Ballotpedia.
“Everyone’s competing with each other for voters’ eyeballs,” said Kim Alexander, president the California Voter Foundation, in a state where campaigns have raised more than $700 million to target 12 ballot propositions.
The pandemic helped drive up costs as campaigns replaced in-person outreach with digital advertising, text messaging, and mailings, said Chris Melody Fields Figueredo, executive director of the Washington, D.C.-based Ballot Initiative Strategy Center, which partners with left-leaning ballot measure campaigns nationwide.
They also had to pay for personal protective equipment for workers and volunteers; and hire attorneys to ask courts for new rules to qualify measures that fell short on signatures as a result of the stay-at-home orders. Courts in eight states denied campaigns the flexibility to qualify measures despite a shortfall in signatures, according to the Initiative and Referendum Institute.
“Because of Covid-19, there were just unforeseen costs,” Figueredo said.
Widespread early voting and voting by mail meant voters turned in ballots earlier and over a longer period of time, extending the campaign advertising window, said Alexander.
Among the biggest spenders: Industries trying to beat back laws or proposals that may set a nationwide standard.
App-based driving services like Uber,
When companies pour millions into a ballot measure, “there’s some sort of fear that it’s a national issue,” said Josh Altic, a project director for Ballotpedia.
Real estate investment companies around the country have pitched in a collective $94 million to fight off an initiative that would give local governments in California more power to cap rents in one of the most expensive states for housing (Proposition 21).
Former presidential candidate Sen.
In a rare defection from his party, California Gov. Gavin Newsom came out against the initiative, saying it would discourage the construction of affordable housing in the state.
Apartment building developer
have given close to $20 million combined to tank it, according to California’s Fair Political Practices Commission.
Two Colorado companies also donated:
While some initiatives benefit from company cash, others are relying on billionaire benefactors to sway voters.
Illinois Gov. J.B. Pritzer (D) has put $58 million behind a proposal to replace the state’s flat tax with a graduated system. Citadel LLC CEO Kenneth Griffin, the richest man in the state, has given close to $54 million to defeat it. The measure would increase the income tax rate for those making more than $250,000 per year.
California’s Proposition 15, which would remove a decades-old cap on commercial property taxes, has the support of labor unions and Facebook CEO Mark Zuckerberg. They have contributed $67 million to pass it, according to the Secretary of State’s office. The California Business Roundtable, real estate companies, and the agriculture industry have raised over $74 million in opposition.
Car Repair, Dialysis, Bail
The measure would expand a 2013 state law that required manufacturers to use diagnostic platforms in cars that any repair shop could access.
Dealers and manufacturers argue that consumers’ personal data would be at risk if more shops can access that information. They’ve given more than $26 million to the Coalition for Safe and Secure Data, a group opposed to the initiative that counts auto manufacturers as its top donors.
Californians also will see a rematch between kidney dialysis providers and the state’s largest health-care worker union. DaVita,
Big Spenders Betting Money Talks on Health Ballot Issues
The bail bond industry collected more than $8 million to try to defeat a California measure (Proposition 25) to replace the state’s cash bail system with one that weighs a detainee’s risk to society as he or she awaits trial, according to state filings. Insurance underwriters Bankers Insurance Co. and AIA Holdings Inc. are battling billionaire donors including former Microsoft CEO Steve Ballmer and former hedge fund manager John Arnold, who have given millions in support of the measure, according to the California Fair Political Practices Commission.
Privacy, Cannabis, Voting
- California voters will decide whether to expand a 2018 data privacy law with a measure to increase consumers’ say in how their data is collected and broaden protections specifically for minors (Proposition 24).
- Five states have ballot propositions to legalize marijuana. Voters in Arizona (Proposition 207), New Jersey (Public Question 1), and Montana (CI-118 and I-190) will decide whether to make recreational use of cannabis legal. Mississippi voters will weigh in on medical marijuana use (Initiative 65). And South Dakotans will choose on both a medical measure (Initiated Measure 26) and a complete legalization proposal (Constitutional Amendment A).
- Two states—Alaska (Ballot Measure 2) and Massachusetts (Question 2)—will ask voters to decide whether political candidates should be ranked by preference on future ballots. Floridians will decide whether tto legalize marijuanao let all voters cast a ballot in the primaries regardless of party registration (Amendment 3).
What to Watch
Get up to speed on more ballot issues:
- Voters to Decide What Employers Must Do
- George Floyd’s Death Reverberates in Ballot Questions on Police
- Voters Weigh Taxes on the Rich
- Vestiges of Jim Crow Could Be Erased
- Oil Companies Try to Defeat Alaska Tax Proposal
- Californians to Decide Whether to Bring Back Affirmative Action
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