Attorney General Austin Knudsen has rejected a ballot initiative to eliminate corporate donations in Montana political campaigns, citing legal insufficiency. Former State Commissioner of Political Practices Jeff Mangan, a leading advocate for the initiative, plans to contest this decision in court. The proposed constitutional amendment seeks to bar businesses, nonprofits, and incorporated entities from contributing to political campaigns and committees aiming to influence elections.
The initiative also targets an existing loophole that permits anonymous political donations through corporations, which then contribute to political committees. Knudsen, a Republican, argued the proposal affects multiple areas of the Montana Constitution. He also noted it could potentially cost the state up to $500,000 if challenged for incompatibility with the U.S. Constitution and would prevent businesses and organizations from engaging in lobbying activities.
Mangan’s group, the Transparent Election Initiative, plans to formally challenge Knudsen’s ruling within the required 10-day period. In his memorandum, Knudsen stated the initiative violated the “separate-vote” requirement, which prohibits unrelated amendments from being combined on a single ballot. Mangan acknowledged the amendment’s complexity but argues it addresses a singular issue.
Knudsen also expressed concerns about the amendment’s compliance with federal precedents granting corporations First Amendment rights, including the ability to make political donations. His memorandum concluded that a “colorable case against the ballot measure exists.” Mangan criticized this analysis, stating it exceeded the agency’s scope. “A legal-sufficiency review is a technical gatekeeping function,” Mangan wrote, arguing that the memo delves into policy issues beyond its role.
Mangan disputed claims that the measure would limit business lobbying. The initiative, announced in mid-July, gained support from former Montana governors Mark Racicot and Steve Bullock, as well as former U.S. Sen. Jon Tester and state legislative candidate Rina Fontana-Moore.
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