§ 3-704 Qualified campaign expenditures.

   1.   Public funds provided under the provisions of this chapter may be used only for expenditures by a principal committee to further the participating candidate's nomination for election or election, either in a special election to fill a vacancy, or beginning December 15 of the calendar year preceding a covered primary or general election in which the candidate is seeking nomination for election or election and continuing through the date of such covered election.

   2.   Such public funds may not be used for:

      (a)   an expenditure in violation of any law;

      (b)   payments made to the candidate or a spouse, domestic partner, child, grandchild, parent, grandparent, brother or sister of the candidate or spouse or domestic partner of such child, grandchild, parent, grandparent, brother or sister, or to a business entity in which the candidate or any such person has a ten percent or greater ownership interest;

      (c)   payments in excess of the fair market value of services, materials, facilities or other things of value received in exchange;

      (d)   (i)   any expenditure made after the candidate has been finally disqualified or had his or her petitions finally declared invalid by the New York city board of elections or a court of competent jurisdiction, except that such expenditures may be made:

            (A)   as otherwise permitted pursuant to subdivision seven of section 3-709 of this chapter, or

            (B)   for a different covered election, other than a special election to fill a vacancy, held later in the same calendar year in which the candidate seeks election for the same office; provided, however, that public funds originally received for a special election to fill a vacancy may not be retained for expenditure in any other election;

         (ii)   any expenditure made after the only remaining opponent of the candidate has been finally disqualified or had his or her petitions finally declared invalid by the New York city board of elections or a court of competent jurisdiction, except that such expenditures may be made for a different covered election, other than a special election to fill a vacancy, held later in the same calendar year in which the candidate seeks election for the same office; provided, however, that public funds originally received for a special election to fill a vacancy may not be retained for expenditure in any other election;

      (e)   payments in cash;

      (f)   any contribution, transfer, or loan made to another candidate or political committee;

      (g)   gifts, except brochures, buttons, signs and other printed campaign material;

      (h)   any expenditure to challenge the validity of petitions of designation or nomination, or of certificates of nomination, acceptance, authorization, declination, or substitution, and expenses related to the canvassing of election results, made pursuant to subdivision four of section 3-706;

      (i)   an expenditure made primarily for the purpose of expressly advocating a vote for or against a ballot proposal, other than expenditures made also to further the participating candidate's nomination for election or election;

      (j)   payment of any penalty or fine imposed pursuant to federal, state or local law;

      (k)   payments made through advances, except in the case of individual purchases in excess of two hundred fifty dollars;

      (l)   expenditures to facilitate, support, or otherwise assist in the execution or performance of the duties of public office; or

      (m)   childcare services.

(Am. L.L. 2016/190, 12/22/2016, eff. 4/21/2017; Am. L.L. 2018/196, 12/1/2018, eff. 3/31/2019; Am. L.L. 2019/128, 7/14/2019, eff. 7/14/2019)

Editor's note: For related unconsolidated provisions, see Appendix A at L.L. 1988/008, L.L. 1989/004, L.L. 1990/069, L.L. 1998/027, L.L. 1998/048, L.L. 2003/012, L.L. 2007/034 and L.L. 2007/067.

§ 3-705 Optional public financing.

Each participating candidate for nomination for election or election in a covered election may obtain payment to his or her principal committee from public funds for qualified campaign expenditures, in accordance with the provisions of this chapter, and subject to appropriation.

   1.   No such public funds shall be paid to a principal committee unless the board determines that the participating candidate has met the eligibility requirements of this chapter. Payment shall not exceed the amounts specified in this chapter, and shall be made only in accordance with the provisions of this chapter. Such payment may be made only to the participating candidate's principal committee. No public funds shall be used except as reimbursement or payment for qualified campaign expenditures actually and lawfully incurred or to repay loans used to pay qualified campaign expenditures.

   2.   (a)   If the threshold for eligibility is met, the participating candidate's principal committee shall receive payment for qualified campaign expenditures of: (i) eight dollars for each one dollar of matchable contributions, up to two thousand dollars in public funds per contributor, obtained and reported to the campaign finance board in accordance with the provisions of this chapter, with respect to any participating candidate for nomination for election or election to the office of mayor, public advocate or comptroller; or (ii) eight dollars for each one dollar of matchable contributions, up to one thousand four hundred dollars in public funds per contributor, obtained and reported to the campaign finance board in accordance with the provisions of this chapter, with respect to any participating candidate for nomination for election or election to the office of borough president or member of the city council.

      (b)   In no case shall the principal committee of a participating candidate receive public funds pursuant to paragraph (a) above in excess of an amount equal to the expenditure limitation provided in subdivision one of section 3-706 for the office for which such candidate seeks nomination for election or election, less such expenditure limit divided by the addition of the number one and the dollar amount for each one dollar of matchable contributions for such office pursuant to paragraph a of this subdivision.

      (c)   No funds shall be provided pursuant to this subdivision with respect to any covered election specified in subdivision five of this section.

   3.   A participating candidate seeking or obtaining nomination for election by more than one party shall be deemed one candidate, and shall not receive additional public funds or be authorized to accept contributions in excess of the maximum contribution applicable pursuant to paragraph (f) of subdivision one of section 3-703 or make additional expenditures by reason of such candidate seeking or obtaining nomination for election by more than one party. Subdivision five of section 3-703 shall not be applicable to such a candidate who is opposed for the nomination of at least one party in a primary election. The elimination of the expenditure limitations provided in subdivision three of section 3-706 shall not be applicable to such a candidate who is opposed for the nomination of at least one party solely by participating candidates.

   4.   For contributions reported less than ninety days before a covered general election, less than forty-five days before a covered primary election, or less than thirty days before any other covered election, the campaign finance board shall make possible payment within four business days after receipt of reports of matchable contributions, or as soon thereafter as is practicable; provided, however, that the board shall withhold five percent of all public funds payments to participating candidates until the final pre-election payment for any given election; and further provided that, in addition to any other reason for withholding or non-payment pursuant to applicable law or board rules, such withheld funds shall not be payable to any candidate who is on the ballot in a contested primary or general election for the office of mayor, public advocate, borough president, comptroller or city council and fails to provide, to the satisfaction of the board, such submissions as may be requested by the board for the purpose of publishing a video statement in the online voter guide. The board shall schedule payment dates on December 15 of the year preceding the year of election, as well as January 15, February 15, March 15, April 15 and a minimum of three payment dates within the forty-five days prior to a covered primary election, a payment date of July 15 and a minimum of four payment dates within the ninety days prior to a covered general election, and a minimum of three payment dates within the thirty days prior to any other covered election. A written certification pursuant to paragraph (c) of subdivision 1 of section 3-703 shall be required to have been filed no less than fifteen business days prior to the December 15, January 15, February 15, March 15, April 15, or July 15 payment dates scheduled pursuant to this subdivision, for a participating candidate to receive public funds on such payment date. For purposes of such payment dates, the board shall provide each candidate with a written determination specifying the basis for any non-payment. The board shall provide candidates with a process by which they may immediately upon receipt of such determination petition the board for reconsideration of any such non-payment and such reconsideration shall occur within five business days of the filing of such petition. In the event that the board denies such petition then it shall immediately notify the candidate of such candidate's right to bring a special proceeding pursuant to article 78 of the civil practice law and rules.

   5.   (a)   Notwithstanding any other provision of this chapter, a participating candidate in a run-off primary election held pursuant to section 6-162 of the New York state election law or a run-off special election to fill a vacancy shall obtain prompt payment for qualified campaign expenditures in an amount equal to twenty-five cents for each one dollar of public funds paid pursuant to this chapter to the candidate's principal committee for the preceding election.

      (b)   The board shall promulgate rules to provide for the prompt issuance of additional public funds to eligible participating candidates for qualified campaign expenditures in the case of an additional day for voting held pursuant to section 3-108 of the New York state election law, an election held pursuant to court order, or a delayed or otherwise postponed election.

      (c)   Except as provided for by this subdivision and any rules promulgated hereby, no public funds shall be provided to any candidate for any run-off primary election, run-off special election to fill a vacancy, additional day for voting, election held pursuant to court order, or delayed or otherwise postponed election.

   6.   Notwithstanding any other provision of this chapter to the contrary, to protect the public fund from disproportionately large payments when the number of voters eligible to vote in a primary election is small, the board shall adopt rules setting a reduced maximum primary election public funds payment for participating candidates on the ballot in one or more primary elections in which the number of persons eligible to vote for party nominees total fewer than such number as shall be specified by the board in such rules, if any. Any such rules shall not apply to participating candidates opposed in a primary election by one or more participating candidates who are not subject to such reduced maximum primary election public funds payment or by a non-participating candidate who makes expenditures in excess of a specified amount for such primary election, as determined by the board.

   7.   (a)   Notwithstanding any provision of this section to the contrary, the amount of public funds payable to a participating candidate on the ballot in any covered election shall not exceed one quarter of the maximum public funds payment otherwise applicable under subdivision two of this section, and no participating candidate shall be eligible to receive a disbursement of public funds prior to two weeks after the last day to file designating petitions for a primary election, unless:

         (1)   the participating candidate has submitted a certified signed statement attesting to the need and stating the reason for additional public funds in such election, in which case the board shall publish such statement and supporting documentation at the time such additional public funds are paid, including on the board's internet website. The board shall be authorized to verify the truthfulness of any certified statement submitted pursuant to this paragraph and of any supporting documentation. Such statement must certify that (i) one or more of the following conditions apply and (ii) such condition or conditions reasonably demonstrate the need for such public funds, and the participating candidate must provide documentation demonstrating the existence of such condition or conditions:

            (A)   the participating candidate is opposed by (i) a non-participating candidate or (ii) a limited participating candidate, and provides a factual basis with supporting documentation of such candidate's ability to self finance;

            (B)   the participating candidate is opposed by a candidate who has received (i) the endorsement of a citywide or statewide elected official or a federal elected official representing all or a portion of the area covered by the election; (ii) two or more endorsements from other city elected officials who represent all or a part of the area covered by the election; or (iii) endorsements of one or more membership organizations with a membership of over 250 members;

            (C)   the participating candidate is opposed by a candidate who has had significant media exposure in the twelve months preceding the election. For purposes of this paragraph, significant media exposure shall mean appearance of the opponent or his or her name on television or radio in the area of the covered election or in print media in general circulation in the area of the covered election at least twelve times in the year preceding the covered election; provided, however, that the listing of names of candidates or potential candidates for a covered election without additional information concerning the opponent shall not constitute an appearance for purposes of this paragraph;

            (D)   the participating candidate is opposed by a candidate who has received twenty-five percent or more of the vote in an election for public office in an area encompassing all or part of the area that is the subject of the current election in the last eight years preceding the election;

            (E)   the participating candidate is opposed by a candidate whose name is substantially similar to the candidate's so as to result in confusion among voters, as determined by the board;

            (F)   the participating candidate in a city council or borough-wide race is opposed by a candidate who is a chairman or president of a community board or district manager of a community board; or

            (G)   the participating candidate is opposed by a candidate whose spouse, domestic partner, sibling, parent or child holds or has held elective office in an area encompassing all or part of the area of the covered election in the past ten years;

         (2)   the participating candidate is opposed in a primary or special election for an office for which no incumbent is seeking re-election; or

         (3)   the participating candidate is opposed by any candidate who has received public funds payments for the covered election.

      (b)   If any of the conditions described in subparagraphs (1), (2), or (3) of paragraph (a) occur in such election, the board shall pay any and all additional public funds due to the participating candidate up to the maximum total payment applicable in such election under subdivisions two or six of this section or subdivision three of section 3-706 of this chapter.

   8.   Contributions by a principal committee of a participating candidate to other political committees shall not be a basis for reducing public funds payments, provided that:

      (a)   such principal committee has received contributions (other than matchable contributions) that, in the aggregate, exceed the total of such contributions to other political committees and

      (b)   such contributions in the aggregate do not exceed:

         (i)   three thousand dollars, if such principal committee is the principal committee of a participating candidate seeking nomination for election or election to the office of member of the city council;

         (ii)   five thousand dollars, if such principal committee is the principal committee of a participating candidate seeking nomination for election or election to the office of borough president; and

         (iii)   ten thousand dollars, if such principal committee is the principal committee of a participating candidate seeking nomination for election or election to a city-wide office.

   9.   If a participating candidate endorses or publicly supports his or her opponent for election, such candidate shall not be eligible for public funds.

   10.   A participating candidate who loses in the primary election but remains on the ballot for the general election must certify to the board before receiving public funds that he or she will actively campaign for election to a covered office; such campaign activity shall include, but not be limited to, raising and spending funds for election to a covered office, seeking endorsements, and broadly soliciting votes.

(Am. L.L. 2016/168, 12/22/2016, eff. 1/1/2018; Am. L.L. 2016/192, 12/22/2016, eff. 12/22/2016; Am. L.L. 2019/128, 7/14/2019, eff. 7/14/2019; Am. L.L. 2022/048, 1/15/2022, eff. 1/1/2023)

Editor's note: For related unconsolidated provisions, see Appendix A at L.L. 1988/008, L.L. 1990/069, L.L. 1998/048, L.L. 2001/021, L.L. 2003/012, L.L. 2004/058, L.L. 2007/034 and L.L. 2007/067.

§ 3-706 Expenditures limitations.

   1.   The following limitations apply to all expenditures made by a candidate and his or her principal committee on or after the first day of January preceding the election for which such candidate chooses to participate in the public funding provisions of this chapter and to expenditures made at any time prior to such date for services, materials, facilities, advertising or other things of value received, rendered, published, distributed or broadcast on or after such date:

      (a)   Except as provided in paragraph (b) of this subdivision, in each primary election, in each special election to fill a vacancy, and in each general election, expenditures by a participating candidate or a limited participating candidate and his or her principal committee for one of the following offices shall not exceed the following amounts:

 

mayor:	$6,158,000
public advocate or comptroller:	$3,850,000
borough president:	$1,386,000
member of the city council:	$161,000

 

      (b)   (i)   The expenditure limitation in a run-off primary election held pursuant to section 6-162 of the New York state election law or a run-off special election held to fill a vacancy shall be one half the amount of the applicable limitation provided for an election for such office pursuant to the provisions of paragraph (a) of this subdivision.

         (ii)   The board shall promulgate rules to provide for a separate expenditure limit applicable to campaign expenditures for an additional day for voting held pursuant to section 3-108 of the New York state election law, an election held pursuant to court order, or a delayed or otherwise postponed election.

      (c)   Expenditures by participating or limited participating candidates in a primary election made prior to or on the date of such primary election shall be deemed to have been made for such primary election.

      (d)   Reserved.

      (e)   Not later than the first day of March in any year following a general election described in subdivision a of section 25 of the charter, the campaign finance board shall: (i) determine the percentage difference between (A) the average over a calendar year of the consumer price index for the metropolitan New York-New Jersey region published by the United States bureau of labor statistics for the twelve months preceding the beginning of such calendar year, and (B) the average that the board most recently used to adjust expenditure limitations pursuant to this subdivision for the candidates for the applicable office; (ii) adjust each expenditure limitation applicable either pursuant to this subdivision or subdivision 2 of this section by the amount of such percentage difference to the nearest thousand dollars; and (iii) publish such adjusted expenditure limitation in the City Record. Such adjusted expenditure limitation shall be in effect for any election held before the next such adjustment; provided, however, that for such an adjustment occurring after an election for members of the city council at the general election in two thousand twenty-three and every twenty years thereafter, pursuant to subdivision a of section 25 of the charter, the board shall only adjust such expenditure limitations applicable to candidates for member of the city council.

   2.   The following limitations apply to all expenditures made by a participating or limited participating candidate and his or her principal committee in the three calendar years preceding the year of the election for which such candidate chooses to file a certification as a participating or limited participating candidate pursuant to this chapter and to expenditures made at any time prior to such date for services, materials, facilities, advertising or other things of value received, rendered, published, distributed or broadcast in such calendar years. Such expenditures by a participating or limited participating candidate for one of the following offices and his or her principal committee shall not exceed the following amounts:

 

mayor, public advocate or comptroller:	$290,000
borough president:	$129,000
member of the city council:	$43,000

 

   2-a.   (a)   If the expenditures made by a candidate and his or her principal committee subject to the expenditure limitation of subdivision two of this section exceed the amount of the expenditure limitation applicable under such subdivision, such candidate or his or her principal committee shall not be ineligible to receive public funding for qualified campaign expenditures or be in violation of this chapter by reason of exceeding such limitation unless the amount by which such expenditures exceed such limitation is in excess of the expenditure limitation which next applies to such candidate or his or her principal committee pursuant to subdivision one of this section; and further provided that the amount of the expenditure limitation which next applies to such candidate or his or her principal committee, pursuant to subdivision one of this section, shall be reduced by the amount by which the expenditure limitation applicable under subdivision two of this section is exceeded.

      (b)   Nothing contained in paragraph (a) of this subdivision shall:

         (i)   operate to increase or decrease the amount of public funds that may be received pursuant to section 3-705 by the principal committee;

         (ii)   affect the expenditure limitation set forth in paragraph (b) of subdivision one of this section; or

         (iii)   affect the expenditure limitation set forth in paragraph (a) of subdivision one of this section for purposes of the application of subdivision three of this section.

   3.   (a)   If any candidate in any covered election chooses not to file a certification as a participating or limited participating candidate pursuant to this chapter, and where the campaign finance board has determined that such candidate and his or her authorized committees have spent or contracted or have obligated to spend, or received in loans or contributions, or both, an amount which, in the aggregate, exceeds half the applicable expenditure limit for such office fixed by subdivision one of this section, then such expenditure limit applicable to participating candidates and limited participating candidates in such election for such office shall be increased to one hundred fifty percent of such limit.

      (b)   If any candidate in any covered election chooses not to file a certification as a participating or limited participating candidate pursuant to this chapter, and where the campaign finance board has determined that such candidate and his or her authorized committees have spent or contracted or have obligated to spend, or received in loans or contributions, or both, an amount which, in the aggregate, exceeds three times the applicable expenditure limit for such office fixed by subdivision one of this section, then such expenditure limit shall no longer apply to participating candidates and limited participating candidates in such election for such office.

   4.   (a)   Expenditures made for the purpose of: (i) bringing or responding to any action, proceeding, claim or suit before any court or arbitrator or administrative agency to determine a candidate's or political committee's compliance with the requirements of this chapter, including eligibility for public funds payments, or pursuant to or with respect to election law or other law or regulation governing candidate or political committee activity or ballot status, (ii) expenses to challenge or defend the validity of petitions of designation or nomination or certificates of nomination, acceptance, authorization, declination or substitution, and expenses related to the canvassing or re-canvassing of election results, and (iii) expenses related to the post-election audit shall not be limited by the expenditure limitations of this section.

      (b)   A participating candidate shall be required to provide detailed documentation substantiating all exempt expenditure claims made pursuant to this subdivision.

   5.   (a)   Expenditures for childcare services made pursuant to subparagraph 13 of paragraph a of subdivision 21 of section 3-702 for an aggregate amount of $20,000 or less shall not be limited by the expenditure limitation of paragraph a of subdivision 1 of this section, provided that any aggregate amount in excess of $20,000 shall be limited by such paragraph.

      (b)   Not later than the first day of March in the year two thousand twenty-two and every fourth year thereafter the campaign finance board shall (i) determine the percentage difference between the average over a calendar year of the consumer price index for the metropolitan New York-New Jersey region published by the United States bureau of labor statistics for the twelve months preceding the beginning of such calendar year and the average over the calendar year two thousand eighteen of such consumer price index; (ii) adjust each expenditure limitation applicable pursuant to this subdivision by the amount of such percentage difference to the nearest thousand dollars; and (iii) publish such adjusted expenditure limitation in the City Record. Such adjusted expenditure limitation shall be in effect for any election held before the next such adjustment.

   6.   Expenditures for bank fees and for credit card processing fees for contributions received by the candidate and their principal committee shall not be limited by the expenditure limitation of paragraph a of subdivision 1 of this section.

(Am. L.L. 2018/196, 12/1/2018, eff. 3/31/2019; Am. L.L. 2019/128, 7/14/2019, eff. 7/14/2019; Am. L.L. 2023/069, 5/29/2023, eff. 6/28/2023; Am. L.L. 2023/168, 12/16/2023, eff. 12/16/2023; Am. L.L. 2025/009, 1/18/2025, retro. eff. 3/1/2024)

Editor's note: For related unconsolidated provisions, see Appendix A at L.L. 1988/008, L.L. 1989/004, L.L. 1990/069, L.L. 1998/048, L.L. 2001/021, L.L. 2003/012, L.L. 2004/058, L.L. 2007/034, L.L. 2007/067, L.L. 2023/168 and L.L. 2025/009.

§ 3-707 Voluntary registration by political committees.

   1.   Candidates may accept contributions from political committees that choose to register with the board, as provided in this section. The board shall issue rules providing for such registration. Such contributions may not exceed the amount applicable under paragraph (f) of subdivision one of section 3-703. The board shall regularly publish a cumulative list of political committees that have registered, including on the internet and in periodic mailings to candidates.

   2.   It is the responsibility of the candidate to determine whether he or she may accept a contribution pursuant to this section. A candidate who receives a contribution from a political committee that has not registered with the board prior to making the contribution shall either return the contribution to the contributor or pay to the fund an amount equal to the amount of the contribution, unless the political committee registers with the board within ten days after the publication of the next subsequent list of registered political committees by the board following the date the contribution is received.

(Am. L.L. 2016/171, 12/22/2016, eff. 12/22/2016)

Editor's note: For related unconsolidated provisions, see Appendix A at L.L. 1988/008 and L.L. 1998/048.