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HomeMy WebLinkAboutOrdinance #3579 NOACTION ' ORDINANCE NO. J� _ TAKAENONINANCE ADDING SECTION 2.07.270 TO THE CODIFIED ORDINANCES OF THE CITY OF HUNTINGTON BEACH PERTAINING TO LIMITATIONS ON CAMPAIGN CONTRIBUTIONS The City Council of the City of Huntington Beach, California does ordain as follows: SECTION 1: Section 2.07.270 is hereby added to the Huntington Beach Municipal Code, to read as follows: 2.07.270 Slate Mailers. (a) The provisions of Government Code Section 82048.4 are not incorporated in, and shall not be used in the interpretation of, the City of Huntington Beach Campaign Reform Law. (b) If a slate mailer is produced and/or distributed other than at the behest of a Huntington Beach City Candidate, then it is an independent expenditure, and is not subject to the contribution limitations of this Chapter. "Slate mailer" means a mass mailing which supports or opposes a total of four or more candidates or ballot measures. (c) The following provisions shall apply only to slate mailers in which more than twenty-five percent (25%) of the surface area of the slate mailer (exclusive of the area used for address.and postage) expressly advocates or opposes the election of an individual Huntington Beach City Candidate. (1) If a third party has provided funds to the slate mailer organizations that are used for the production and/or distribution of a slate mailer at the behest of a Huntington Beach City Candidate then: (A)the attributable cost of production and/or distribution of the slate mailer is a contribution from the third party to the Huntington Beach City Candidate to the extent the attributable cost of production and/or distribution exceeds the amount, if any,paid by the Huntington Beach City Candidate or the controlled committee of such a candidate, up to the total of the funds provided by the third party, and this contribution is subject to the contribution limitations of this Chapter, and (B) the attributable cost of production and/or distribution of the slate mailer that exceeds the total of the funds provided by the third party and any funds paid by the Huntington Beach City Candidate or the controlled committee of such a candidate is a contribution from the slate mailer organization to the Huntington Beach City Candidate, and this contribution is subject to the contribution limitations of this Chapter. (2) If a slate mailer is produced or distributed at the behest of a Huntington Beach City Candidate, without any contribution from a third party, then the attributable 02ord/campaign/8/29/02 1 NO ACTION cost of production and/or distribution is a contribution from the slate mailer organization TAM the�Huntington Beach City Candidate to the extent the attributable cost of production 4�1 r'7 ar'�o`rt,dstri�bution exceeds the amount, if any, paid by the Huntington Beach City Candidate or the controlled committee of such a candidate to the slate mailer organization, and this contribution is subject to the contribution limitations of this Chapter. (3) If a slate mailer expressly opposes the election of a Huntington Beach City Candidate, and the slate mailer is produced and/or distributed at the behest of an opposing Huntington Beach City Candidate ("the opponent"); then: (A) If a third party has paid the slate mailer organization to oppose the Huntington Beach City Candidate, then: (i) the attributable cost of production and/or distribution of the slate mailer is a contribution from the third party to the opponent to the extent it exceeds any payment to the slate mailer organization from the opponent or the controlled committee of-such opponent up to the total amount paid to the siale mailer organization by the third party to oppose the Huntington Beach City Candidate, and this contribution is subject to the contribution limitations of this Chapter, and (ii) the attributable cost of production and/or distribution of the slate mailer that exceeds the total of the payment made to the slate mailer organization by the third party to oppose the Huntington Beach City Candidate and any payment.made to the slate mailer organization by the opponent or the controlled committee of such opponent is a contribution from the slate mailer organization to the opponent, and this contribution is subject to the contribution limitations of this Chapter. (B) If no third party has paid the slate mailer organization to oppose the Huntington Beach.City Candidate, then the attributable cost of production and/or distribution is a contribution from the slate mailer organization to the opponent to the extent the attributable cost of production and/or distribution exceeds the amount, if any, paid by the opponent or he controlled committee of such opponent to the slate mailer organization, and this contribution is subject to the contribution limitations of this Chapter. (d) "Attributable cost of production and/or distribution" is computed by multiplying the total cost of production and/or distribution of the slate mailer by a fraction, the numerator of which is the number of square inches of the mailer that expressly advocates or opposes the election of a Huntington Beach City Candidate, and the denominator of which his the number of square inches of the mailer devoted to all candidates. (e) A slate mailer is produced and/or distributed at the behest of a Huntington Beach City Candidate: 02ord/campaign/8/29/02 2 NO ACT10k- TA . K E)t the Huntington Beach City Candidate, or his/her controlled committee, or the candidate's or committee's agent or consultant pays any of the costs for the slate mailer, or provides any information or photographs used in the mailer, or consults or confers with the slate mailer organization in any manner regarding the content, timing, or distribution of the slate mailer, or, (2) under any of the circumstances described in Section 18225.7(a) and Section 18225.7(b) of Title 2 of the California Code of Regulations, as those section exist as of June 1, 2001. (3) a non refundable deposit made to a slate mailer organization shall not be considered a payment within the meaning of subsections (e)(1) or (e)(2) above, if(A) the deposit is made by, or on behalf of, a Huntington Beach City Candidate who is not opposed in the City election, or(B) if the deposit is made as consideration for a written agreement whereby the slate mailer organization obligates itself to not produce a slate mailer in which more than twenty-five percent (25%) of the surface area of the slate mailer(exclusive of the area used for address and postage) expressly advocates or opposes the election of the Huntington Beach City Candidate by, or ior whom, the deposit is made. SECTION 2. This ordinance shall become effective 30 days after its adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the day of , 2002. Mayor ATTEST: APPROVED AS TO FORM: City Clerk 1&,Id City Attorney g/lrl/na— 8'-30-G 2- REVIEWED AND PPR V APPROVED AS TO CONTENT: el" City Administrator --- City Attorney 02ord/campaign/8/29/02 3 4 ORDINANCE NO.. 3 LEGISLATIVE DRAFT CHAPTER 2.07 CAMPAIGN REFORM (2507-11/81,2721-10/84,2818-3/86,3220-1/94,3452-3/00) Sections: M 2.07.010 Name A Aft mew a C6 2.07.020 Purpose 's 2.07.030 Relation to Political Reform Act of 1974 2.07.040 Definitions TA KEIv 2.07.050 Campaign ai n contribution limitations 2.07.060 Aggregation of contributions 2.07.070 Election cycle 2.07.080 Prohibition on multiple campaign committees 2.07.090 Prohibition on transfers 2.07.100 Loans to city candidates and elective city officers and their controlled committee 2.07.110 Money received by officials treated as contributions 2.07.120 Solicitation of contributions from persons who have city business dealings 2.07.130 Transmittal of campaign contributions in city office buildings 2.07.140 Disclosure of occupation and employer 2.07.150 Reporting of cumulative contributions 2.07.160 Reporting of late contributions 2.07.170 Criminal misdemeanor actions 2.07.180 Civil actions 2.07.190 Injunctive relief 2.07.200 Cost of litigation 2.07.210 Statute of limitations 2.07.220 Applicability of other laws 2.07.230 Severability 2.07.240 Interpretation of chapter 2.07.250 Amendments and additional requirements 2.07.260 Effective date 2.07.270 Slate Mailers. 2.07.010 Name. This Chapter shall be known and may be cited as the "City of Huntington Beach Campaign Reform Law."(3220-1/94) 2.07.020 Purpose. The purpose of this Chapter is to ensure that the financial strength of certain individuals or organizations does not permit them to exercise a disproportionate or controlling influence on the election of City candidates. To achieve such purpose, this Chapter is designed to reduce the influence of large contributions, to ensure that multiple contributions in excess of the contribution limits do not originate from the same source of funds, to ensure that individuals and interest groups continue to have a fair and equal opportunity to participate in electing City candidates, and to maintain public trust in governmental institutions and the electoral process.(3220-1/94) 1egisdrft/mc0207/8/26/02 1 2.07.030 Relation to Political Reform Act of 1974. This Chapter is intended to supplement the Political Reform Act of 1974. Unless the term is specifically defined in this Chapter, or the contrary is stated or clearly appears from the context, words and phrases shall have the same meaning as when they are used in Title 9-..of the California Government Code in which the Political Reform Act of 1974 i o � s codified as the same . r may be from time to time amended. (3220-1/94) 2.07.040 Definitions.(3220-1/94) TA (a) "City Candidate" means any person who is a candidate for the city Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach. (3220-1/94) (b) "Elective City Officer" means any person who is Mayor, a member of the City Council, City Clerk, City Treasurer, or City Attorney of the City of Huntington Beach, whether appointed or elected. (3220-1/94) (c) "Non-elected City Official" means any person who is a member of a City of Huntington Beach board, committee, or commission, and who is not elected to that position.(3220-1/94) (d) "Person" means an individual, proprietorship, firm, partnership,joint venture, syndicate, business trust, company, corporation, association, committee, and any other organization or group of persons acting in concert.(3220-1/94) 2.07.050 Campaign contribution limitations.(3220-1/94) (a) No person shall make to any City candidate or the controlled committee of any such City candidate, and no such candidate or committee shall accept from any such person, a contribution or contributions totaling more than: (3220-1/94) (1) Three hundred dollars ($300.00) in a City Council, City Clerk, City Treasurer, or City Attorney election cycle; or(3220-1/94) (2) Two hundred dollars ($200.00) in a recall election cycle. (3220-1/94) (b) Any person or committee, during the twelve (12) months preceding a City election, that makes independent expenditures or incurs obligations supporting or opposing city candidate(s) shall not accept any contribution(s) from any person in excess of the amounts set forth in Section 2.07.050(a) during the applicable time periods as set forth in Section 2.07.070 of this Chapter. This subsection does not prohibit individuals from making joint independent expenditures for purchasing advertisements and engaging in similar expressive activity, provided they pay the vendor directly and separately. (3220-1/94,3452-3/00) (c) The provision of this section shall not apply to a candidate's contribution of his or her personal funds to his or her own campaign committee. (3220-1/94) 2.07.060 Aggregation of contributions. For purposes of the limitations in this Chapter, the following shall apply: (3220-1/94) Iegisdrft/mc0207/8/26/02 2 (a) All contributions made by a sponsored committee to a City candidate or to an elective City officer (or to a committee controlled by such candidate or officer) shall be combined with those contributions made by the sponsor(s) of the committee and the combined amount shall not exceed the contribution limits specified in Section 2.07.050 within the applicable time perrods�sget forth in Section 2.07.070 of this Chapter. (3220-1/94) W, F f b Two 2 or more entities shall be treated as one person when any aof the following f; ( ) ( ) p Y g circumstances apply: (3220-1/94) Ai (1) The entities share the majority of members of their boards of directors. (3220-1/94) (2) The entities share two (2) or more officers.(3220-1/94) (3) The entities are owned or controlled by the same majority shareholder or shareholders. (3220-1/94) (4) The entities are in a parent-subsidiary relationship.(3220-1/94) (c) An individual and any general or limited partnership in which the individual has a ten (10%)percent or more share, or an individual and any corporation in which the individual owns a controlling interest (fifty (50%)percent or more,) shall be treated as one person.(3220-1/94) (d) No committee which supports or opposes a City candidate shall have as a majority of its officers individuals who serve as the majority of officers on any other committee which supports or opposes the same City candidate. No such committee shall act in concert with or solicit or make contributions on behalf of any other committee. This subdivision shall not apply to treasurers of committees if these treasurers do not participate in or control in any way a decision on whether the candidate or candidates receive contributions.(3220-1/94) (e) Contributions by children under eighteen (18) years of age shall be treated as contributions by their parents. (3220-1/94) 2.07.070 Election cycle.(3220-1/94) (a) City Council, City Clerk, City Treasurer, and City Attorney Elections. For purposes of the limits of this Chapter, as applied to elections for City Council, City Clerk, City Treasurer, and City Attorney, the final date for contributions shall be December 31 of the year in which the election for the open position was held. Contributions made after the final date shall be deemed contributions for the next election cycle. (3220-1/94) (b) Examples of the Election Cycle. January 1, 1987, to December 31, 1990, was the "Election Cycle" for the 1990 election. Pursuant to Section 2.07.070 Election Cycle, the four(4) year period for purposes of applying the interpretation of the Campaign Ordinance Election Cycle 2.07.070(a) shall be as follows: (3220-1/94) Example 1. (3220-1/94) Iegisdrft/mc0207/8/26/02 3 . � 1992 Election Cycle - Three Council Seats and City Clerk and jy Treasurer: =f; 4 January 1, 1989 - December 31, 1992. (1) The "last election" was November 1988. 7*A rly ri !, (2) December 31, 1988, was the last or final date for receipt of campaign contributions for the 1988 election. (3) January 1, 1989, began the election cycle for the 1992 election. (4) December 31, 1992, ended the election cycle for the 1992 election. Example 2. (3220-1/94) 1994 Election Cycle - Four (4) Council Seats and City Attorney: January 1, 1991 - December 31, 1994. (1) The "last election" was November 1990. (2) December 31, 1990, was the last or final date for receipt of campaign contributions for the 1990 election. (3) January 1, 1991, began the election cycle for the 1994 election. (4) December 31, 1994, ends the election cycle for the 1994 election. Example 3.(3220-1/94) 1996 Election Cycle - Three (3) Council Seats and City Clerk and City Treasurer: January 1, 1993 - December 31, 1996. (1) The "last election" was November 1992. (2) December 31, 1992, was the last or final date for receipt of campaign contributions for the 1992 election. (3) January 1, 1993, began the election cycle for the 1996 election. (4) December 31, 1996, ends the election cycle for the 1996 election. (c) Recalls. For purposes of the limits of this Chapter, campaign contributions made at any time after a committee has been formed, pursuant to the provisions of the Political Reform Act, in support of a recall election or after the City Clerk has approved a recall petition for circulation and gathering of signatures, whichever occurs first, shall be considered contributions during a recall election cycle. A recall election cycle shall end whenever any of the following occur: (3220-1/94) (1) The recall proponents fail to return signed petitions to the City Clerk within the time limits set forth in the California Elections Code. (3220-1/94) Iegisdrft/mc0207/8/26/02 4 (2) All committees formed in support of the recall have been terminated pursuant to the provisions of the Political Reform Act. (3220-1/94) (3) Ten (10) days after a recall election has been held. (3220-1/94) This section shall be interpreted to allow the maximum, amounAuhICH can y s b I Lir.; . be contributed by any person to any candidate or anyone who?he a candidate, during a four (4) year period, to be the maximumlamount ly specified in Section 2.07.050.(3220-1/94) A Lle nE 2.07.080 Prohibition on multiple campaign committees. A City candidate or an elective City officer shall have no more than one campaign committee which shall have only one bank account out of which all qualified campaign and office holder expenses related to that City office shall be made. This section does not prevent a City candidate or an elective City officer from establishing another campaign committee solely for the purpose of running for a state, federal, local, or other City office. This section also does not prevent an elective City officer from establishing another campaign committee solely for the purpose of opposing his or her own recall. (3220-1/94) 2.07.090 Prohibition on transfers. (3220-1/94) (a) No funds may be transferred into any city candidate or elective city officer's campaign committee from any other campaign committee controlled by a candidate (including said City candidate) or by an elective City officer(including said elective City officer.) (3220-1/94) (b) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office, nor to any committee supporting or opposing a recall of an elective City officer. This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office. (3220-1/94) The provision of this section shall not apply to the candidate or elected officer who forms a new committee for purposes of reelection to the same office and, to close out the prior committee, transfers the money or debt from the prior committee to the new committee and, in so doing, complies with all regulations of the political Reform Act of 1974, and as amended.(3220-1/94) 2.07.100 Loans to city candidates and elective city officers and their controlled committee.(3220-1/94) (a) A loan shall be considered a contribution from the maker and the guarantor of the loan and shall be subject to the contribution limitations of this Chapter.(3220-1/94) (b) Every loan to a City candidate or elective City officer or their controlled committees shall be by written agreement which shall be filed with the candidate's or committee's Campaign Statement on which the loan is first reported. (3220-1/94) Iegisdrft/mc0207/8/26/02 5 (c) The proceeds of a loan made to a City candidate or elective City officer by a commercial lending institution in the regular course of business on the same terms available to members of the public shall not be subject to the contribution limitations of this Chapter if the loan is made directly to tleCity Cand'Adatekor elective City officer or his or her controlled committee. The guarantors of such a loan shall remain subject to the contribution limits of this Chapter. (3220-1/94) " (d) Extensions of credit (other than loans pursuant to Section 2.07.1�00(c) fKrap erio jodil of more than thirty (30) days are subject to the contribution limitations of this Chapter. (3220-1/94) (e) This section shall apply only to loans and extensions of credit used or intended for use for campaign purposes or which are otherwise connected with the holding of public office.(3220-1/94) (f) The monetary limitations or provisions of this section shall not apply to a candidate's loan of his or her personal funds to his or her own campaign committee.(3220-1/94) (g) No City candidate and no committee controlled by a City candidate or elective City officer shall make any contribution to any other City candidate running for office or to any committee supporting or opposing a City candidate for elective City office, nor to any committee supporting or opposing a recall of an elective City officer. This section shall not prohibit a City candidate from making a contribution from his or her own personal funds to his or her own candidacy or to the candidacy of any other candidate for elective City office. (3220-1/94) 2.07.110 Money received by officials treated as contributions. Any funds, property, goods or services, other than government funds, received by elective City officers which are used, or intended by the donor or by the recipient to be used, for expenses (including legal expenses) related to holding public office, shall be considered campaign contributions and shall be subject to the limitations of this Chapter. Reimbursement for reasonable travel expenses related to holding public office shall be excluded from the provisions of this section.(3220-1/94) 2.07.120 Solicitation of contributions from persons who have city business dealings. No non-elected City official or City employee shall solicit, direct or receive a campaign contribution from any person, or his or her agent, who has a proceeding involving legislative or administrative action pending before the City official or employee or has had such a matter pending during the preceding twelve (12) months. This section does not apply to a non-elected City official or City employee who is a City candidate acting in furtherance of his or her own controlled committee. (3220-1/94) 2.07.130 Transmittal of campaign contributions in city office buildings.(3220-1/94) (a) No person shall receive or personally deliver or attempt to deliver a contribution in any office which the City owns or for which the City pays the majority of the rent. (3220-1/94) Iegisdrft/mc0207/8/26/02 6 (b) For purposes of this section: (3220-1/94) (1) "Personally deliver" means delivery of a contribution in person or causing a contribution to be delivered in person by an age ntko-rinterarned ary, offer R£ than the United States mail. (3220-1/94) ac e u*s (2) "Receive" includes the precept of a campaign contrib on dell vVere°°a in person. (3220-1/94) 2.07.140 Disclosure of occupation and employer. No campaign contribution shall be deposited into a campaign bank account of a City candidate or elective City officer unless the disclosure information required by the Political Reform Act, including the name, address, occupation and employer of the contributor, or, if self employed, name of business, is on file in the records of the recipient of the contribution. This information is to be reported on each Campaign Statement required to be filed by the Political Reform Act. (3220-1/94) 2.07.150 Reporting of cumulative contributions. A cumulative contribution for each contributor shall be based on an election cycle and shall be reported on each Campaign Statement required to be filed by the Political Reform Act. (3220-1/94) 2.07.160 Reporting of late contributions.Notwithstanding the limit contained in California Government Code Section 320, late expenditures or contributions in excess of two-hundred dollars ($200.00) shall be reported to the City Clerk within twenty-four (24) hours of the contribution or expenditure.(3220-1/94) 2.07.170 Criminal misdemeanor actions. (3220-1/94) (a) Any person who willfully violates any provision of this Chapter is guilty of a misdemeanor. Any person who willfully causes or solicits any other person to violate any provision of this Chapter, or who aids and abets any other person in the violation of any provision of this Chapter, shall be liable under the provisions of this section. (3220-1/94) (b) No person convicted of a misdemeanor under this Chapter shall be a candidate for an elective City office or act as a City contractor for a period of four(4) years following the date of the conviction unless the court at the time of sentencing specifically determines that this provision shall not be applicable. A plea of nolo contendere shall be deemed a conviction for purposes of this section.(3220-1/94) 2.07.180 Civil actions.(3220-1/94) (a) Any person who intentionally or negligently violates any provision of this Chapter shall be liable in a civil action brought by the City Attorney or by a person residing within the jurisdiction for an amount not more than three (3) times the amount the person failed to report properly or unlawfully contributed, expended, gave or received, or $5,000 per violation, whichever is greater. (3220-1/94) legisdrft/mc0207/8/26/02 7 � Cio.:,infly b If two 2 or more ersons are res onsible for an violation h shall beO O p p y Y - �. �` and severally liable.(3220-1/94) TA A ' , '-j P (c) Any person, other than the City Attorney, before filing a civil action pursuantttto this subdivision, shall first file with the City Attorney a written request for the City Attorney to commence the action. The request shall contain a statement of the grounds for believing a cause of action exists. The City Attorney, within thirty (30) days of receipt of the request, shall conduct an initial inquiry into the merits of the complaint. If the City Attorney determines in good faith that additional time is needed to examine the matter further, the complaining party shall be notified and the City Attorney shall automatically receive an additional sixty (60) days in order to determine the merits of the complaint. At the end of sixty (60) days,the City Attorney shall inform the complaining party whether the City Attorney intends to file a civil action or is conducting a criminal investigation. If the City Attorney indicates in the affirmative and files a civil action or criminal charges within thirty (30) days thereafter, no other action may be brought unless the action brought by the City Attorney is dismissed without prejudice.(3220-1/94) (d) In determining the amount of liability, the court may take into account the seriousness of the violation and the degree of culpability of the defendant. If a judgment is entered against the defendant or defendants in an action, the plaintiff shall receive fifty percent (50%) of the amount recovered. The remaining fifty percent (50%) shall be deposited into the City's General Fund. In an action brought by the City Attorney, the entire amount shall be paid to the General Fund. (3220-1/94) (e) The term "City Attorney" as used in this section and Section 2.07.190 shall mean and refer to the City Attorney of the City of Huntington Beach or such other legal counsel as appointed by the City Attorney or City Council.(3220-1/94) 2.07.190 Injunctive relief. Any person residing in the jurisdiction, including the City Attorney, or such other legal counsel for the City as appointed by the City Attorney or City Council, may sue for injunctive relief to enjoin violations or to compel compliance with the provisions of this Chapter.(3220-1/94) 2.07.200 Cost of litigation. The court may award to plaintiff, other than a public agency, who prevails in any action authorized by this Chapter, his or her costs of litigation. (3220- 1/94) 2.07.210 Statute of limitations. Civil actions and/or criminal prosecutions for violations of any provision of this Chapter shall be commenced within four(4) years after the date on which the violation occurred. (3220-1/94) 2.07.220 Applicability of other laws.Nothing in this Chapter shall exempt any person from applicable provisions of any other laws of this state or jurisdiction.(3220-1/94) 2.07.230 Severability. If any provisions of this Chapter, or the application of any such provision to any person or circumstances, shall be held invalid,the remainder of this IegisdrYVmc02O7/8/26/02 8 Chapter, to the extent it can be given effect, or the application of such provision to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby, and to this extent the provisions of this Chapter,,are-severable. (3220-1/94) 2.07.240 Interpretation of chapter. This Chapter should be liberally construed to 'UI accomplish its purposes.(3220-1/94) K 2.07.250 Amendments and additional requirements. The City Council shall review Nthe contribution limitations contained in this Chapter in January of every fourth (4th) year commencing in 1998 and determine whether such limitations shall be increased, decreased, or remain the same. In the event the City Council determines that such limitations should be amended, it shall do so by holding a public hearing and adopting an ordinance reflecting such amendments.(3220-1/94) 2.07.260 Effective date. The provision of this Chapter shall become effective upon adoption, pursuant to Huntington Beach City Charter Section 500(e)(1). (3220-1/94) 2.07.270 Slate Mailers. (a) The provisions of Government Code Section 82048.4 are not incorporated in, and shall not be used in the interpretation of, the City of Huntington Beach Campaign Reform Law. (b) If a slate mailer is produced and/or distributed other than at the behest of a Huntington Beach City Candidate, then it is an independent expenditure, and is not subject to the contribution limitations of this Chapter. "Slate mailer" means a mass mailing which supports or opposes a total of four or more candidates or ballot measures. (c) The following provisions shall apply only to slate mailers in which more than twenty-five percent (25%) of the surface area of the slate mailer (exclusive of the area used for address and postage) expressly advocates or opposes the election of an individual Huntington Beach City Candidate. (1) If a third party has provided funds to the slate mailer organizations that are used for the production and/or distribution of a slate mailer at the behest of a Huntington Beach City Candidate then: (A) the attributable cost of production and/or distribution of the slate mailer is a contribution from the third party to the Huntington Beach City Candidate to the extent the 1egisdrft/mc02O7/8/26/02 9 attributable cost of production and/or distribution exceeds the amount, if any, paid by the Huntington Beach City Candidate or the controlled committee of such a candidate,�.up ,to-lhe�totaal%of the funds provided by the third party, and this contribution is stu r@ecrt to the contribution limitations of this Chapter, and.,� (B) the attributable cost of production and/oKEN distribution of the slate mailer that exceeds the total of the funds provided by the third party and any funds paid by the Huntington Beach City Candidate or the controlled committee of such a candidate is a contribution from the slate mailer organization to the Huntington Beach City Candidate, and this contribution is subject to the contribution limitations of this Chapter. (2) If a slate mailer is produced or distributed at the behest of a Huntington Beach City Candidate, without any contribution from a third party, then the attributable cost of production and/or distribution is a contribution from the slate mailer organization to the Huntington Beach City Candidate to the extent the attributable cost of production and/or distribution exceeds the amount, if any, paid by the Huntington Beach City Candidate or the controlled committee of such a candidate to the slate mailer organization, and this contribution is subject to the contribution limitations of this Chapter. (3) If a slate mailer expressly opposes the election of a Huntington Beach City Candidate, and the slate mailer is produced and/or distributed at.the behest of an opposing Huntington Beach City Candidate ("the opponent"); then: (A) If a third party has paid the slate mailer organization to oppose the Huntington Beach City Candidate, then: (i) the attributable cost of production and/or distribution of the slate mailer is a contribution from the third party to the opponent to the extent it exceeds any payment to the slate mailer organization from the opponent or the controlled committee of such opponent up to the total amount paid to the slate mailer organization by the third party to oppose the 1egisdrft/mc02O7/8/26/02 10 e Huntington Beach City Candidate, and this confribut nfs'h ; subject to the contribution limitations of this Chapter, andp ii the attributable cost of rod�uctonano�r ( ) p %� distribution of the slate mailer that exceeds the total of theme payment made to the slate mailer organization by the third party to oppose the Huntington Beach City Candidate and any payment made to the slate mailer organization by the opponent or the controlled committee of such opponent is a contribution from the slate mailer organization to the opponent, and this contribution is subject to the contribution limitations of this Chapter. (B) If no third party has paid the slate mailer organization to oppose the Huntington Beach City Candidate, then the attributable cost of production and/or distribution is a contribution from the slate mailer organization to the opponent to the extent the attributable cost of production and/or distribution exceeds the amount, if any, paid by the opponent or he controlled committee of such opponent to the slate mailer organization, and this contribution is subject to the contribution limitations of this Chapter. (d) "Attributable cost of production and/or distribution" is computed by multiplying the total cost of production and/or distribution of the slate mailer by a fraction, the numerator of which is the number of square inches of the mailer that expressly advocates or opposes the election of a Huntington Beach City Candidate, and the denominator of which his the number of square inches of the mailer devoted to all candidates or issues. (e) A slate mailer is produced and/or distributed at the behest of a Huntington Beach City Candidate: (1) if the Huntington Beach City Candidate, or his/her controlled committee, or the candidate's or committee's agent or consultant pays any of the costs for the slate mailer, or provides any information or photographs used in the mailer, or consults or confers with the slate mailer organization in any manner regarding the content, timing, or distribution of the slate mailer, or 1egisdrft/mc02O7/8/26/02 11 (2) under any of the circumstances described in Section 18225.7(a) and Section 18225.7(b) of Title 2 of the California Code of Regulations, as those section exist as of June 1, 2001. (3) a non refundable deposit made to a slate mailer organization shall not be considered a payment within the meaning of subsections (e)(1) or (e)(2) above, if(A) the deposit is made by, or on behalf of, a Huntington Beach City Candidate who is not opposed in the City election, or (B) if the deposit is made as consideration for a written agreement whereby the slate mailer organization obligates itself to not produce a slate mailer in which more than twenty-five percent (25%) of the surface area of the slate mailer (exclusive of the area used for address and postage) expressly advocates or opposes the election of the Huntington Beach City Candidate by, or for whom, the deposit is made. r b ". Iegisdrft/mc0207/8/26/02 12