Restricts union political fundraising by prohibiting use of payroll-deducted funds for political purposes. Same use restriction would apply to payroll deductions, if any, by corporations or government contractors. Permits voluntary employee contributions to employer or union committees if authorized yearly, in writing. Prohibits unions and corporations from contributing directly or indirectly to candidates and candidate-controlled committees. Other political expenditures remain unrestricted, including corporate expenditures from available resources not limited by payroll deduction prohibition. Limits government contractor contributions to elected officers or officer-controlled committees. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government:

Increased state implementation and enforcement costs of up to hundreds of thousands of dollars annually, potentially offset in part by revenues from fines. (11-0010.)

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http://ag.ca.gov/cms_attachments/initiatives/pdfs/i941_initiative_11-0010.pdf

This is ground zero of a political war on this November ballot, and here’s why: the passage of Prop 32 would effectively gut the political money raised and spent by organized labor.

Prop 32 changes state campaign finance rules, and its biggest change is a ban on political cash from unions and corporations via deductions from employee paychecks.

But in reality, corporations rarely use paycheck deductions for their political spending; unions, though, have no other source of money.

Similar measures, but ones specifically targeting unions, were defeated by California voters in 1998 and 2005. As such, unions have spent huge money to kill Prop 32.

Supporters argue it’s not just an anti-union measure, but the practical impact of its passage would be much bigger on that single side of the political battleground.