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LWV CA Ed Fund LEAGUE OF WOMEN VOTERS OF CALIFORNIA EDUCATION FUND
Nonpartisan Pros & Cons of

Proposition 226

POLITICAL CONTRIBUTIONS BY
EMPLOYEES, UNION MEMBERS, FOREIGN ENTITIES.

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Initiative Statute

THE QUESTION

Should the permission of employees or union members be required to withhold wages or union dues for political contributions? Should foreign contributions to state and local candidates be prohibited?

THE SITUATION

Both union members and non-members pay dues for representation, usually through payroll deductions. Unions do not need permission to use fees for political purposes. Members can request that their dues or fees not be used for political contributions, but unions are not required to comply. Unions must comply with non-union member requests. Employers do not have to identify how the money is used.

Existing federal law bans contributions to federal, state or local candidates from a foreign government, business, organization, or person who is not a legal permanent resident or citizen of the United States. State law bans contributions for ballot campaigns.

THE PROPOSAL

Proposition 226 will:
  • require employers and labor organizations to get annual written permission from employees and members before withholding pay or using dues for political contributions

  • make it illegal for a person or campaign to ask for or receive foreign contributions for candidates.

FISCAL EFFECT

The State Controllers Office, which would administer Proposition 226, estimates the cost would be about $2 million, with start-up costs ranging from $2 to $5 million. These costs could be offset by fees.

SUPPORTERS SAY

  • It is unfair to force employees to pay dues for political contributions.

  • Employees should be able to choose whether or not they participate in politics.

  • This measure would prevent foreign money from buying political influence.

OPPONENTS SAY

  • Proposition 226 restricts unions but does not affect corporations and special interests.

  • Proposition 226 is unnecessary because union members already have the right to request that their dues not be used for political purposes.
(Analysis prepared by the League of Women Voters of California Education Fund.)

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Last updated: April 22, 1998
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