The Ogden Ethics Project is pleased that our recent efforts are resulting in a vigorous discussion of government ethics in general, and of ethically questionable campaign contributions in particular. This discussion is long overdue, and the discussion itself will encourage public officials to think twice before crossing the line into unethical behavior.
We are still a new organization, and our platform continues to evolve. We are open to suggestions of different approaches to promoting more ethical government, and we encourage the community to submit ideas through our web site, http://ogdenethics.org.
Among our many proposals, the one that has attracted the most attention so far is our request that current candidates not accept campaign contributions from corporations, other business entities, or unions.
This request is not intended to imply that every such contribution is unethical. However, some serious ethical pitfalls can often occur.
During Ogden's 2007 campaign, about half of all campaign funds came from businesses and other organizational entities. Notably, the large majority of these "entity" contributions came from businesses that had either entered into contracts with, or received financial assistance from, Ogden city.
Even if this correlation is purely coincidental, it creates the appearance that Ogden has a pay-to-play system in which businesses seeking contracts or assistance are expected to make campaign contributions in return. If even one business has ever felt coerced into making a campaign contribution in Ogden, something is seriously wrong and we need new ethics policies. If even one business has ever left Ogden or declined to do business here because of this perception, then the practice of accepting campaign contributions from businesses is actually bad for business.
Furthermore, coercion (or perceived coercion) can arise even for businesses that don't bid on city contracts or seek financial assistance. Every business in the city requires a license, and many require construction permits, special-use permits, or re-zoning of property. Elected officials have tremendous control over local businesses, so the danger of pay-to-play is ever-present. And this danger is not merely speculative; there are documented incidents of businesses expressing the belief that they will receive better treatment from the city in return for their contributions.
Prohibiting political contributions from businesses would not completely solve this problem. The owner of a business can still make a personal contribution, or a business can contribute through an affiliated political action committee. A business that owns property in Ogden can help a candidate by displaying a campaign sign on the property. And an unscrupulous candidate might try to coerce a business into contributing in any of these otherwise good and legal ways. Still, we shouldn't reject a partial solution just because it's only partial.
Allowing business entities to make political contributions can lead to other problems. A business owner could legally circumvent Ogden's campaign contribution limits by contributing once as an individual and again through a business entity. The owners' names of most Utah business entities are not a matter of public record, so a business entity could be used to make an effectively anonymous contribution. More than $20,000 in effectively anonymous contributions were made in this way during the 2007 campaign season.
At the federal level, and in about half of the states, political contributions from corporations and unions are completely banned. Contributions from other businesses -- sole proprietorships and partnerships -- are generally allowed but must carry the names of the owners and be counted toward their individual contribution limits. Separate rules prohibit government contractors from making political contributions.
The Ogden Ethics Project believes that Ogden City should consider similar restrictions. Meanwhile, we urge all candidates to consider carefully the ethics of accepting contributions from various "persons" who are not actual human beings. Most of all, we urge candidates to publicly express their views on this issue, in order to continue this important discussion.
Dan Schroeder is director of the Ogden Ethics Project.
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