Iowa candidates still can't take corporate contributions, officials say

A state agency overseeing campaign finance in Iowa is advising that a U.S. Supreme Court decision allowing corporations and unions to spend directly on political campaigns does not allow Iowa candidates to accept direct corporate contributions.

The Supreme Court Thursday overturned a longtime ban on corporations spending their money to advocate for or against candidates. However, in a memo to Iowa candidates the Iowa Ethics and Campaign Disclosure Board advised the ruling does not change Iowa's ban on direct corporate contributions to campaigns.

“Until I'm told differently, I believe we can make the argument that rest of the Iowa statute that restricts direct contributions must be enforced,” said Charles Smithson's, the board's legal counsel. The board sent the e-mail message to candidates Friday after discussing the ruling with the state Attorney General's Office, Smithson said.

The e-mail read: “We are reviewing the court decision impacting the ability of corporations to be involved in candidate elections. At this point, corporations may engage in independent expenditures. However, direct corporate contributions should NOT be made or accepted at this time. We will be providing further guidance after a thorough review of the case has been completed.”

It will take some time to sort through the full impact of the court's ruling, Smithson said and much of the impact might appear to be minutia.

For example, a corporation could not put a campaign sign on its property because that would be a corporate contribution. Now it appears a corporation can erect a campaign sing if it buys the sign, which would be an independent expenditure, Smithson said.

He's not sure how the board will be able to enforce that.

“Whether good or bad is not my call, but it changes everything,” he said.