In September, federal prosecutors indicted Mayor Adams on several charges that included defrauding the city’s generous campaign finance system, from which his 2021 campaign received $10 million. Adams has denied the allegations and will likely stand trial in April, but in the meantime he’s seeking more public financing for his reelection bid.
Given his extensive pattern of withholding information and the seriousness of the allegations against him, the Campaign Finance Board should refuse any new public funds to his campaign until Adams is cleared of wrongdoing.
Like everyone facing criminal charges, Adams is entitled to the presumption of innocence until proven guilty. His trial will allow jurors to decide that question while voters get to decide his political future.
But public matching funds are a different issue. Thanks to a program introduced in 1988, NYC candidates can receive an 8-to-1 match for any small-dollar contribution up to $250. The program sets a maximum amount that participating campaigns can spend on their race, and limits on how they can spend that money.
The goal is simple: public matching funds allow candidates to rely less on big money donors and instead focus their attention on appealing to all New Yorkers. Matching funds help level the playing field, boosting candidate competition and increasing voter participation.
If you’re concerned about the influence of money in politics, the New York City system is a tried and true solution with proven results: during the 2021 election season, a total of 308 candidates received more than $127 million in public matching funds, delivering what the Brennan Center called, “the most diverse and representative legislature in the city’s history.”
But candidates don’t just automatically become entitled to public funds. The program is voluntary, and by taking public money, candidates enter into an agreement with the public about how they can obtain and use matching funds.
However, this summer news reports revealed the CFB has been trying for three years to obtain accurate campaign records and information from Adams about his 2021 campaign for mayor. The audit covered information as basic as payroll records and bank statements, to specifics of fundraising events, a host of improper contributions taken in by the campaign, and inappropriate expenditures paid out.
The U.S. attorney’s indictment against Adams alleges a similar series of schemes to knowingly defraud the program. Evidence from prosecutors including text messages, emails, and other documents fleshes out a coordinated effort to solicit donations from foreign individuals — which is illegal — and pass them off as small donations eligible for taxpayer-funded matching funds (also illegal).
Based on the theory that the illegal matching funds would have disqualified the campaign from receiving any matching funds, prosecutors allege Adams’ 2021 campaign cheated New York’s campaign finance system out of the whole $10 million it received.
Since 2017, the Board has issued fines to 41 candidates who went on to hold public office — including successful campaigns for borough president, City Council, and mayor. These fines range from minor (including a $100 fine to then-Public Advocate Letitia James for failing to report expenditures from two fundraising events) to more substantive ones (like a $2,567 penalty assessed to incumbent Council Member Oswald Feliz for “impermissible post-election expenditures”).
Forty of the 41 candidates who were penalized by the CFB received no additional violations after paying their fine — and the vast majority won their campaigns without issue.
The fact is that the Adams campaign is far beyond the range of normal issues. Campaigns make mistakes and the Board does not require perfection, which is why there are ample opportunities to resolve issues and continue receiving public funds. But it is completely unacceptable to take three years to resolve concerns from your last campaign and expect more money for the next one.
Some city lawmakers are proposing new legislation to tighten requirements and the CFB itself has changed its rules to make it easier for the CFB to cut funding access to campaigns that do not cooperate. That’s a good start — but this requires more urgency since the next batch of funds will soon be distributed.
If the mayor does not want to follow the rules, fine. Just because he doesn’t receive public funds doesn’t mean he can’t raise money and run for office. And even under the current rules, the CFB has the discretion to deny additional public funds.
New York City’s public matching program is a contract of mutual respect between taxpayers and candidates, one that the mayor seems unwilling and unable to accept. The CFB should not give the Adams campaign another dime of taxpayer money — or else we’ll be the ones holding the bag.
Lerner is the Common Cause/NY executive director.
