Advocacy Groups Decry Legislative ‘Loopholes’ in Campaign Finance Reform
Oregon’s campaign finance reform is facing a major setback, according to prominent good governance groups. Organizations that successfully negotiated a historic campaign finance law with the Oregon Legislature two years ago now accuse lawmakers of betraying the agreement. The controversy centers on House Bill 4018, a measure intended to provide technical fixes to the 2024 law. Advocates say it instead introduces significant loopholes that would seriously weaken the original intent of campaign spending limits.
Outcry From Reform Advocates
Honest Elections Oregon, the League of Women Voters, Common Cause of Oregon, the Consolidated Oregon Indivisible Network, and the state’s Independent and Progressive parties are united in their opposition. These groups have called on legislators to reject the bill and urged Governor Tina Kotek to veto it should it pass both chambers. Jason Kafoury, a Portland attorney and leader with Honest Elections Oregon, emphasized the group’s commitment: “I am 100% committed to going back to a ballot referral in 2028 if we have to.”
The House Rules Committee is scheduled to consider amendments to HB 4018, with a full House and Senate vote expected soon after. If passed and signed into law, the Independent Party has promised to introduce new campaign finance measures in the next legislative session. Honest Elections Oregon is prepared to take the fight directly to voters in 2028, potentially seeking a constitutional amendment for more robust campaign finance and disclosure laws.
Key Provisions and Points of Contention
The bill, backed by Democratic House Speaker Julie Fahey and negotiated by her chief of staff Scott Moore at the request of Secretary of State Tobias Read, aims to help Read’s office meet a 2027 deadline for implementing spending limits. Read told lawmakers, “If we don’t get this law right, the public will see it as another broken promise, and that would do more harm than good.”
However, critics argue the bill would:
- Double legal spending limits by shifting from two-year election cycles to calendar years.
- Increase allowances for in-kind contributions by applying limits per candidate, not in aggregate.
- Eliminate clear language about coordinated expenditures as campaign contributions—a move that could open the door to unlimited spending, according to experts.
- Permit donors to use multiple LLCs for contributions, as long as those LLCs weren’t created solely to circumvent the law.
- Delay until 2031 the requirement to identify original sources of campaign funds.
“It punches huge loopholes in the contribution limits,” said Dan Meek, an attorney representing Honest Elections Oregon. He accused legislative leaders of excluding reform advocates from negotiations, engaging instead with business and labor lobbyists to draft the bill’s provisions. Moore confirmed trade groups like Oregon Business and Industry and Our Oregon were consulted, while reform groups were left out, citing their unwillingness to compromise.
Dispute Over Transparency and Deadlines
Preston Mann, vice president of external affairs at Oregon Business and Industry, defended the bill, saying that extending implementation deadlines is necessary to avoid rolling out a flawed regulatory program. “Failure to extend implementation for these sections risks requiring an underfunded Secretary of State’s Office to launch a regulatory program that is not ready and will erode public trust in our elections at a time when we can least afford it,” he argued.
The original 2024 law, set to take effect in 2027, was designed to give the state time to update technology and implement new reporting and enforcement processes. But as of the 2025 session, necessary fixes were not ready. Reform advocates were blindsided by a last-minute proposal from Read and Fahey to delay contribution limits until 2031. While that proposal failed, HB 4018 now seeks to extend deadlines and delay key disclosure requirements, while providing only minimal funding for necessary system upgrades.
Accelerated Legislative Process Draws Criticism
The legislative process behind HB 4018 has also raised concerns. The bill’s main amendment—a dense, 96-page document—was introduced the night before the first committee discussion. Oregonians had just hours to provide public comment and only a few days to submit written testimony. Despite widespread criticism, the bill continues to advance.
Senate President Rob Wagner acknowledged imperfections in the proposal, expressing hope for further improvements. Rep. Nancy Nathanson called the decision to move the bill forward “very painful,” stressing the importance of properly resourcing the Secretary of State’s office but also keeping the door open for future legislative fixes. Meanwhile, Senator Jeff Golden, a veteran advocate for campaign finance reform, tried unsuccessfully to introduce amendments that would have enforced the 2024 law while extending only specific reporting deadlines. “Experience makes me skeptical of the ‘There’s a lot more work that we’re committed to doing’ line of reasoning,” Golden remarked, promising to push for an interim workgroup to investigate implementation delays.
Ballot Measures Loom If Loopholes Remain
As the legislative session continues, Oregon’s good governance groups are preparing to take the matter directly to voters if lawmakers fail to address their concerns. With the possibility of competing ballot measures, the debate over the state’s campaign finance future appears far from over. Advocates warn that failure to enact meaningful reform could undermine public trust and leave Oregon’s elections vulnerable to unchecked financial influence.
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