Financing of Political Parties: Methods of Funding

Transcription

1 a) Public Austria Parties, parliamentary groups (federal and state levels). (approx. 50%). (undisclosed, only contributions above 7,730 must be declared). "Kickbacks" (1998: 9%). Donations from corporations accounts for a party average between 10-12%. Started in 1975, most recently reformed in Public grant 18,4 mill (approx. 25%). Base amount determined by seats in parliament (must have at least five). The rest is determined by number of votes won in the most recent national election. Parties not represented in parliament, only receive if they won more than 1% of the vote. Majority of public provided by the individual states. France Parties, presidential and parliamentary. Donations (estimated 4-6%) and membership fees (estimated 8-22%). Rallies and meetings earnings (estimated at 21%). Ban of all private and public sector donations (1995). Funds to candidates and parties. Accounts for more than half of the income (amount according to number of votes won in first round. Total of 80,2 mill In 1995, policy created to fund newer parties (grant matches private funds raised). Germany Parties and parliamentary groups (federal and state levels). (approx. 30%). (less than 20%). "Kickbacks" account for approx mill Less significant (donations over 3,250 contribute minor share to income). Started in Public grant of 62.9 mill (approx. 30%). Must gain 0.5 % of vote to qualify at fed level and 1.0% at state level. Must raise money from transparent sources that matches the subsidy; subsidy cannot exceed mill in Italy Parties (through parliamentary groups). Membership fees (small portion). Voluntary contributions from party members. Donations from nonmembers. Though reporting donations required of donors and parties, estimations well exceed the inaccurately reported data. activities of parliamentary Reimbursed 2.1 for each vote. Totaling approx. 60 mill annually. Page 1 of 5

2 Netherlands a) Parliamentary Mainly membership fees (1995: 35-61% and around 80% for the major parties). from party members. Portugal Parties irrelevant source. Spain Parties irrelevant source. Legal, but few corporate donations (businesses and entrepreneurs have political access through the government s neo- corporist decision making system: poldermodel). Public Until 1999 parties received little subvention. Grants formerly channeled through party foundations. Law on State Subvention to Political Parties adopted in All parties represented in the First or Second Chamber of Parliament qualify for state subvention. Parties receive fixed amount as base and an additional amount based on seats. Total 4.5 mill in Up to 90% of total income. activities of parliamentary Parties receive grants to cover costs of all levels of elections. Base amount and additional amount based on electoral result. Totaling 475,000 in State subventions for organizational purposes total 4.6 mill, 0.53 per voter. To receive funds for routine operations, must have parliamentary seat or 50,000 votes to qualify (approx. 0.6% of the electorate). To receive for elections, must contest the elections in at least 51% of the constituencies and obtain at least 2% of the votes (5% in the case of contesting presidential elections). Up to 90% of total income. activities of parliamentary State reimburses for national election expenses. Parties receive money for all levels of elections. Funds allocated according to number of votes received and the number of deputies in the upper and lower chambers. Page 2 of 5

3 a) Public Spain cont. In 2000, parties received a fixed amount of 11,807 for every seat in either of the two chambers and 0.44 for each vote in the election to the Chamber of Deputies and 0.18 for each vote in the election to Senate. Amount of state subventions for routine operations decided annually in the national budget; totals 44.5 mill; per voter 1.39 in One-third of total allocated according to number of seats. Two-thirds of total allocated according to the total number of votes for the Chamber of Deputies. Sweden Parties and parliamentary Only 6% of voting population are party members. Lottery proceeds. Few corporate donations. Only Social Democrats allow donations from unions. Mainly public subsidies (introduced in 1965), accounts for up to 84% of party income. General subsidy to the party based on average number of party seats in the last two elections; 33,430 (SEK ) per seat in 1999; parties without seats but who won 2.5% of the vote in the last election also receive a subsidy (receiving the amount per seat for each whole tenth of a percent of votes). Office assistance subsidy (Kanslistöd) fixed base (grundstöd) of 462,700 and an additional amount (tilläggsstöd) 1,640 per seat for governing parties and 2,440 for opposition parties (1999) to parties that have won at least 4% of the vote in national elections. Partigruppsstöd financing secretariats (fixed amount at 274,550 for opposition parties and 110,060 for parties in government and additional amount per seat of 3,310, totaling 2.92 mill in 1999), personal assistants 2,960 per month, totaling 6.25 mill in 1999), travel funds ( 592) for each of the first 20 seats and 256 for each of the remaining seats, totaling 142,000 in 1999), 'nordic' activities fund (allocated according to seats, totaling 130,000 in 1999). All three, Kanslistöd, tilläggsstöd, Partigruppsstöd, totaled 26.2 mill in Also sub-national subsidies (kommunala partistödet KPS) provide base amount and additional amount based on seats, totaling 52.7mill in Public subsidies totaled 78.8 mill in Page 3 of 5

4 a) Public United Kingdom Parliamentary opposition. Party membership dues (varies in importance depending on the party). Opposition parties receive annual flat grant a.k.a. "short money" ( 6,307 (GBP 3,841) per seat and 12,6 (GBP 7.67) per 200 votes totaling 2.8 mill (GBP 1.7 mill) for all opposition parties in ). May 1999 agreed to increase grant by 270% 8.0 mill (GBP 4.9 mill) in ). Travel fund (1993) to opposition frontbenchers. First and second parties in House of Lords received 479,300 in 1999 a.k.a. "Cranborne money" (est. in 1996). New Policy Development Fund to promote policy research (allotted 3.28 mill (GBP 2 mill) a year: dispersion to be decided). Switzerland Parliamentary (85%). Individual and corporate donations (undisclosed, some parties get the bulk of their income from donations, i.e. FDP). "Kickbacks" (21-37%). Larger donations are important, but remain undisclosed. No public subsidies available for party organizations or campaign expenses (except in the states of Geneva and Fribourg). Australia Parties Income based on memberships dues not disclosed but estimated to be low. Canada Federal and provincial parties, candidates. Most do not pay membership dues. Individual contributions. Voluntary donations (around 40% for election years). Not regulated, reported collectively as "gifts". Less than 3% of corporations make contributions (percentage varies among parties). Based on preference (compulsory) voting: party receives 1.07 (AUD 1.7) per vote. Totals around mill (AUD 34.4 mill). Introduced in Parties entitled to a reimbursement of 22.5% of all declared expenses (must attain 2% of popular vote to qualify). Page 4 of 5

5 a) Japan No direct subsidies. play minor role. Fund raised through sale of party publications. United States Candidates for president and statewide offices (not parties). No party membership. "Hard money" contributions by individuals to candidate s campaign committee (limited by FECA). "Soft money". "Kickbacks" are illegal. Private voluntary donations by individuals or political action committees (PACs) (82%). Largest sector until public was introduced in 1994; still significant at ca. 50% of party income. Organized by established fundraising firms. Limited by FECA. PACs donated a total of mill (USD mill in Public Government subsidies (starting 1994). To qualify must win at least five seats in the diet or 2% of the vote at the last national elections. To raise funds, the government provides 2.5 (JPY 250) per citizen from tax income, totaling mill (JPY 30.9 bill). Provides most parties with approx % of the total budget. Government subsidies accounted for mill (JPY bill) and 34% average share of party income) in In recent years, about half of the government subsidy has been collected by the Liberal Democratic Party (LDP) while the other half has been shared by three to five other parties. Only in presidential elections. Revenue Act of 1971 established the Presidential Election Campaign Fund (PECF), which is divided three ways: Primary Matching Payments, General Election Grants, and Party Convention Grants. Candidates who wish to receive public must agree to abide by spending limits, keep records, and submit those records for audit. Candidate eligible to receive if they win 5% of the popular vote. Once nominated, candidates can no longer collect private contributions. Public to candidates through diverted tax money: Federal Election Campaign Fund (FECF) (for further info see: (a) Parties Public Subsidies to Parties and Candidates in Democratic Countries, 1979/1991 from Arthur B. Gunlinks. Campaign and Party Finance in North American and Western Europe. Westview Press: Oxford, 1993, pp Main Source: Foundations for Democracy, Karl-Heinz, Nassmacher, ed., Nomos Verlagsgesellschaft: Baden-Baden, The information relates mainly to Compilation: Cesifo. Page 5 of 5