SB 42: Political Reform Act of 1974: public campaign financing: California Fair Elections Act of 2026.

The bill aims to amend the Political Reform Act of 1974 to allow public officers and candidates to expend and accept public funds for specific purposes, such as education, transportation, and public safety. However, funds must be earmarked by a state or local entity and candidates must abide by specified expenditure limits and meet strict criteria to qualify for public funds. Public funds cannot be used to pay legal defense fees or fines, or to repay personal loans to the campaign. A local governmental agency can establish standards to increase expenditure limits for participating candidates, but the Fair Political Practices Commission will not be responsible for administering or enforcing the system. The bill also increases penalties for violating foreign government contribution restrictions, making the fine at least equal to the amount contributed or expended, but not exceeding three…