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SR 04-12-2022 7C City Council Report City Council Meeting: April 12, 2022 Agenda Item: 7.C 1 of 2 To: Mayor and City Council From: Denise Anderson Warren, City Clerk, Records and Election Services Department Subject: Introduction and First Reading of an Ordinance Amending Santa Monica Municipal Code (SMMC) 11.04.050 Adjusting the City's Campaign Contribution Limit Recommended Action Staff recommends that the City Council introduce for first reading the attached ordinance adjusting the City’s Election Code section on limitations on contributions from persons. Summary SMMC 11.04.050 requires an adjustment of the City’s contribution limit from individuals every five years to reflect inflation. This amendment would increase the limit from $340 to $410 to any candidate for the Santa Monica City Council and the Santa Monica Rent Control Board and for each election in which they are on the ballot. Discussion The contribution limit was first established in 1992. Over the years, its application was adjusted to reflect changes in case laws. The new limit would apply to the November 8, 2022 Municipal Election, but would not apply to candidates for the Santa Monica Community College and Santa Monica-Malibu Unified School Districts. The adjustment is based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for the Los Angeles-Long Beach-Anaheim area and rounded to the nearest five dollars. The previous limit of $340 commenced on July 1, 2016, and this adjustment 7.C Packet Pg. 1215 2 of 2 should have occurred 2021 but was not presented until now. The next increase will occur on July 1, 2026. Financial Impacts and Budget Actions There is no immediate financial impact or budget action necessary as a result of recommended action. Prepared By: Maria Dacanay, Administrative Analyst Approved Forwarded to Council Attachments: A. Proposed Ordinance 7.C Packet Pg. 1216 1 City Council Meeting: April 12, 2022 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING SECTION 11.04.050 OF THE CITY ELECTIONS CODE TO ADJUST LIMITS ON CAMPAIGN CONTRIBUTIONS TO CITY CANDIDATES WHEREAS, the City desires to adjust the limits on campaign contributions to City candidates to keep pace with the consumer price index (CPI). NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: Section 1. Chapter 11.04.050 is hereby amended to read as follows: 11.4.50 Limitations on contributions from persons. (a) No person shall make to any candidate for office or to the controlled committee of such a candidate, a contribution or contributions totaling more than three hundred twenty five four hundred ten dollars for each election in which the candidate was on, is on, or is likely to be on the ballot or in which the candidate sought or seeks write-in votes. (b) No candidate for office or the controlled committee of such a candidate shall accept from any person a contribution or contributions totaling more than three hundred twenty five four hundred ten dollars for each election. (c) The limitations imposed by this section shall be adjusted every five years, commencing on July 1, 2016 2026, by an amount equal to the percentage change in the CPI-W Index for the Los Angeles/Riverside/Orange County Los 7.C.a Packet Pg. 1217 Attachment: Proposed Ordinance [Revision 3] (5067 : Adjustment on Limits on Election Contributions (5 mins)) 2 Angeles-Long Beach-Anaheim area, as published by the United States Department of Labor, Bureau of Labor Statistics rounded to the nearest five dollars. (d) This section shall not be interpreted or applied to violate the right of association or the right to express views through expenditures. Rather, it is intended to be and shall be applied solely as a limit on campaign contributions to individuals and committees. Section 2. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. Section 3. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional. Section 4. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become effective 30 days from its adoption. APPROVED AS TO FORM: _________________ SUSAN COLA Interim City Attorney 7.C.a Packet Pg. 1218 Attachment: Proposed Ordinance [Revision 3] (5067 : Adjustment on Limits on Election Contributions (5 mins))