Big Donors, Slow Release Brings 'Wild West' Back to Calgary Election Campaigns

More than two years after Calgary's last municipal election, the province's efforts to modernize local campaign finance remain controversial.

More paperwork for participants. And there is great transparency for voters. But it took another piece of legislation — Alberta's Freedom of Information Act — to get it.

Last week, CBC News reported that Alberta's Information and Privacy Commissioner has directed the City of Calgary to release a full list of donors to third-party advertisers (TPAs) active in the 2021 municipal election. And that decision only came about because the CBC had to file a Freedom of Information request to disclose that information, and overturned the city's initial objection.

The list of donors shows who is behind the 176 financial contributions to the eight registered TPAs, how much they gave and when. The disclosures reveal documents that municipalities disclose about donations to candidates after elections.

But the candidates' financial data was released five months after the 2021 election. The city redacted the identities of donors listed on TPA statements until the privacy commissioner ordered officials to remove the redactions, citing privacy concerns and other exemptions under freedom of information laws.

According to provincial rules, only individuals can contribute to political candidates, with donations limited to $5,000. Campaigns are prohibited from accepting corporate and union donations.

However, individuals, companies or unions can donate up to $30,000 to TPA, a group that is allowed to advertise for and against candidates or issues, but cannot coordinate directly with candidates' campaigns.

This is what the full list of donors will be available for all to see shortly after the 2021 election.

You can read the list of donors for all eight TPAs ​​here:

For one political operative, this was almost the case in recent years, before provincial rules on local election funding were passed.

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At the time, municipal votes were considered the “wild west of politics” when it came to fundraising. There are local financial disclosure laws, but they are among Canada's weakest.

Stephen Carter, president of Decide Campaigns, was Jyoti Gondek's manager in the last mayoral election.

“We're (back) in the days of the Wild West, with just a small group of people who understand the paperwork and the rules,” Carter said.

Carter noted that TPAs ​​are required to disclose who is funding political candidates' efforts to lobby for or against them, but voters won't be able to see that information until months after the election.

In the run-up to the 2021 election, voters had to wait even longer when the city refused to release donor information, even though provincial rules require it to be disclosed.

Carter points out that developers and unions can donate to TPAs, which they cannot do directly to candidates.

The experience of the 2021 election proved that well-funded TPAs, backed by corporate and union donations, can play a role in supporting a candidate's campaign.

For Carter, it's a lesson for future candidates.

“I think you should have a TPA working near you, fundraising rules being what they are.”

Stephen Carter, president of Decide Campaigns, was Mayor Jyoti Gondek's manager in the 2021 Calgary municipal election. (Sam Martin/CBC)

The 2025 elections are still ahead. But the city's website already lists eight registered TPAs.

One of them, Future of Calgary, has amassed its biggest war chest ahead of the latest municipal vote.

From the run-up to polling day, the TPA spent most of the $1.7 million it received from civil unions such as the Canadian Union of Public Employees and the Amalgamated Transit Union.

The group has endorsed the campaigns of Mayor Jyoti Gondek and eight elected council members: Sonya Sharp, Jennifer Wyness, Jasmine Mian, Raj Dhaliwal, Courtney Walcott, Gian-Carlo Carra, Courtney Penner and Evan Spencer.

TPA's legally permitted advocacy continues today, although prospective councilors cannot register to run for the next election until January 2025.

Alexandre Chevalier, Director of Calgary's Future, said the TPA is directly focused on the issue of housing affordability.

“Calgary's future is a legal entity. We're still here,” Chevalier said.

“We encouraged people to let the city council know what they thought about affordable housing. We invited people on the list to email, write letters, make phone calls and make presentations to the council about affordable housing.”

Future of Calgary ended the last election cycle with more than $95,000 in its account.

As for how much money Future of Calgary has raised for the 2025 election, Chevalier said TPA directors can't decide yet when or how they will secure the renewal.

Unlike many TPAs ​​in recent elections, Future of Calgary voluntarily released donor information long before Election Day 2021, Chevalier noted.

Should other TPAs ​​follow suit so that Calgarians know this information before they vote in the next election?

“I can't speak for the decisions of other third-party advertisers. I want to say that we have been transparent. Nothing was surprising because we released it,” Chevalier said.

“We were transparent then, and we will be transparent now.”

Documents released by the city show another TPA, Calgary Tomorrow, raised three-quarters of all donors who contributed $422,000.

Many of these donors were linked to the development industry, the energy sector and local golf courses.

This TPA endorsed mayoral candidate Jeff Davison. He was third in that race.

The Department of Municipal Affairs referred CBC News to Dale Nally, the minister responsible for Alberta and Red Tape, when asked if the provincial government is considering changing the rules on how TPAs ​​operate and making their financial information more transparent. Cut back.

In a statement, her spokeswoman Nikki Goquan said the Department of Municipal Affairs is considering changes to the Local Government Elections Act ahead of next year's Alberta municipal elections.

“We are reviewing the rules on third-party advertising to ensure that these rules support and oppose all forms of third-party advertising, including polling questions.”