Campaign finances a struggle for some, Alwood received, refunded donations above $500 limit

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Candidates for public office are kicking off their 2010 campaigns whether they are on the books yet or not.

And more than just about winning the hearts and minds of voters, the process of rallying public support is just as much about adhering to the rules in order to stay in the game.

Michigan has extensive campaign finance laws, dating back to the 1970s. Candidates with even the best intentions can step over the line on accident.

Christine Alwood, a candidate for local state representative of Mount Pleasant, is one of those people. She had to return a portion of her campaign funds recently after three contributors donated too much money in in-kind contributions.

“As we were compiling the documentation (in January 2010), we realized as we were getting the information on the gift in-kind amounts,” Alwood said, “that they were over, so we realized that those needed to be immediately refunded.”

Alwood, Central Michigan University’s director of stewardship and donor relations, is running in Michigan’s 99th District. According to Michigan’s campaign finance laws, a candidate for state representative cannot accept more than $500 in contributions from an individual.

On two separate fundraising occasions in 2009, one contributor gave $1,320 and $820, another gave $1,320, and a third contributor gave $6,753 in in-kind contributions to the Committee to Elect Christine Alwood, according to campaign finance reports from the Secretary of State.

An employee at the SOS, who wished to remain anonymous, verified Alwood rectified the issue and that the state does not have to take any action.

The SOS employee said once a candidate realizes they received excess donations, they can return the money “without penalties within 30 business days.”

Common sense?

Mount Pleasant attorney Kevin Cotter, running against Alwood in the Republican primary, said understanding the campaign finance laws is not complicated.

“For someone who wants to write laws for our state,” he said, “following simple campaign finance rules should be a matter of common sense.”

However, Alwood said her campaign had not received the funds in any physical way. She returned $7,893.47 to the individuals, which resolved the issue before the state took notice.

The contributors paid for catering and valet services at the fundraising events, according to the SOS documents.

Alwood said the paperwork documenting the refunds will also be reflected on the July filing reports.

In Cotter’s opinion, Alwood violated the law when she failed to realize the in-kind donations most recently were excessive.

“My understanding is that a candidate is in violation of the rule when they accept a donation over $500 from a single donor,” he said.

Caul: Simply oversights

State Rep. Bill Caul, R-Mount Pleasant, said it is possible for candidates to take too much money but not realize it.

“Sometimes, the candidate may not see the individual check or something that comes in from the donor,” he said.

Caul said the candidate’s campaign treasurer keeps track of who is donating what and how much they are giving and is supposed to notify a candidate before reports are filed.

Candidates must notify the state when there’s a discrepancy to have confirmation the correction was made, he said.

“No one wants to be identified as someone who’s willfully trying to break the law,” he said. “I would think in most instances, those are oversights.”