Province overhauls financing rules

The provincial government has overhauled rules governing fundraising and election expenses for municipal candidates on P.E.I. but has exempted candidates in the 2018 municipal election from a provision that sets campaign spending limits.

The regulations would require municipal candidates in this fall’s election to disclose the names of large donors and make their campaign expenses public. The regulations, added to the Municipal Government Act, came into effect on Friday. Previously, municipalities were tasked with policing their own election campaign financing.

After the 2018 municipal election, candidates for mayor in P.E.I. municipalities will be limited to $50,000 in campaign expenses, while candidates for council will be limited to $10,000. Donations will be limited to contributions of $1,575 per mayor and the same amount per councillor. The regulations exempted candidates in the fall’s elections from these spending limits.

Win or lose, all candidates will be required to publicly disclose campaign expenses after the election, as well as a list of donors who contributed over $250. The campaign contributions will be listed in a “conspicuous place” or on the website of the municipality for a period of six months.

Individuals who do not comply with the regulations could face fines of up to $2,000. Elected officials could face disqualification from office if they contravene the regulations.

Summerside Mayor Bill Martin, who will not be running in the fall’s municipal elections, supported the changes.

“Absolutely would be fully supportive of, in general, disclosing campaign contributions. Politicians and citizens should not be able to buy, in my opinion, favour from people in political office,” Martin said.

Martin estimated his mayoral campaign in 2014 spent around $5,000. He could not recall any one individual having donated more than $200 to his campaign.

Charlottetown Mayor Clifford Lee, who is also not re-offering in the fall, did not anticipate the new rules would cause significant problems for new candidates.

“As far as the limit of $10,000, it is certainly plenty of room for any councillors. The $50,000 limit for a Mayor’s candidate? Quite honestly, it’ll be tight,” Lee said.

Lee said his previous mayoral run had expenses close to $50,000.

He said the new regulations were positive but said he would like to see a tax credit given to those who donated to municipal candidates. Donations to provincial or federal candidates can be claimed on personal income taxes.

Kensington Mayor Rowan Caseley said smaller municipalities face few issues involving large donors.

“I doubt anybody spent more than $250,” Caseley said, referring to expenses during his run for mayor in 2014.

“We’re a little more grassroots.”