# Amicus Curiae Brief — Arizona Free Enterprise Club's Freedom Club PAC v. Bennett

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URL: https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385015_0642%3A16

## Record

- **Collection:** Supreme Court brief
- **Document type:** Amicus Curiae Brief
- **Published:** January 1, 2010
- **Citation:** 562 U.S. 1060

## Text

Nos. 10-238 and 10-239

—_ ——— a << I ee

ea: CL ERs

Un the Supreme Court of the Umted States

ARIVONA FREER ENTE RERISE CloURS
PREE DOM CLUBPAC LEE AL. PRE TETIONE RS

REN BENNE THOIN HIS OPELCLIAL CAPACEEY AS
ARTZONA SPCRE TARY OF STATE ETP AL.

TON MCCOMIEST r Al... O10 PIONER

KEN BENNETTOIN HLS OPPTOCEAL CAPACTTY AS
ARIZONA SPCRETARY OF SCAPTELE PAI

BRIER POR THE UNITE DSTATES AS AMICUS CURIAR
SUPPORTING KESPONDENTDS

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QUESTION PRESENTED
Whether the “matching funds” provisions ot the An
cona Citizens Clean Eleetions Act vielate the Furst
Amendment

TABLE OF CONTENTS

Interest of the United States
Statement
Summary of argument
Anzument
lL. Because the Arizona Act does not substantial
bunton petitioners’ ability te spend money en
elections, the Aet ts reviewed under the “exacting
serutiny” standard 7
A. The Arizona Act does not restrict the rusht te
make CaMpoaurn expenditures |
Bo Pounvoke stinet serutiny, petitioners must
show that the Arivona Act severely burdens
their First Amendment rights
1. Only a “severe” burden on the exercise of
a comstitutional rught can tryyrer strict
Seritiny
~. Astate law does not impose a “severe”
burden on constitutionally protected
rights simply because if creates a reason
hot te exercise them |
Co Phe Anzona Act does not impose any severe
bunden on petitioners :

1. The Act does not burden petitioners by
givin a “fundraising advantage te their
Opponents

Matching funds do not impose any dis
erminatery burden on petitioners

3 Arvena’s use of a matching funds ap
proach to calculate the payments made
to publicly financed candidates does not
bunien petitioners

(dtl)

Paagre

11

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Table of Contents—Continued: Pare

IL. Vhe Arivena Act is valid under exacting scrutiny .
A” Arivona’s pubhe-fnaneiys scheme furthers
important government interests hg
8B. The matehing funds provision is an integral
and constitutionally permussible component
of the Arweona Act
Conclusion

TABLE OF ALU THORIETIES
Causes

Boant of Regents v. Southworth, S29 US. TT (00)

Bnoen vo Hartlage, 46 US. Ao Use)

ne

Buckley v. Valeo, 4224S. DOO)... | PRESS
Buntickyv. Takushs, WAS. 428 clr)

California Demoonitic Partan dorwes, 00S. aoe
LODO)

Citizens United vo FEC, BOS. Ct. S76

] y

+ ‘weg te cars rare .. 2B
Clrngman vy Beaoer, S44 US AST OQ) = we ee
Dagyrtt v Commission on Governmental Bthies &

Biection Prictices, 205 FNd 5 cist Cor VOOO) ri
Davisv FECL O54 US. 724 (2008) | | MISTI
Doe v. Reed, ROS. Ct. PST COTO) oe eee Is, 19
Kuv. San Francisco County Demoemtic Cent

Common , SM ULS. 214 SD) . 1”

FEC v. Massachusetts Ciltzens for Lite, ine.
479 ULS VSS (LGSe)
FEC vo National Conservative PAC, ATO US. 480
LLYN) ia woas

Cuses—Continued: Pare
First Natl Bank v. Bellott:, 485 US. 765 CA9TS) 2... 12
by Liguormart, Inc. v. Rhode lsiand, VT US. 484
PEEPS PEE EEE EE CPT ETS RTULT Cre eee Te ery oY
Johanns Vv. Livestock’ Mktg Ass'n, 544 US. ADO
DN Cos cb eu keh aia luahe sek eae abacus bate en een 2s
Linmark Assoes., Inc. v. Township of Walrngbono,
431 US. 85 CI877) 2a

$68 6.85608 20.8 829.4498 6.68 OOS 6B 6 6 66 6 oe Bee

Lordlant Tobacco Cov. Retlly, S638 US. 625 (O01)... 82

Maher v. Roe, 482 U.S. 464 (1977) 2. oo eee. 19
MeConneliv, FEC, AOS. 93 (2008) 2. . a=
Meese Vv. Reene, 481 US. ABA TOST) Oe ee 29
Moana Herald Publ’y Co vo Tornillo, AUS ULS. 241

PCr ae iu yon NERAU RENO KE NO CE yes keke e re tees oo
NFA vy. Frnleu, S24 US. MID I9YS) ee 16
Pacific Gas & Flee Coo v. Public Utis. Comon'n,

ES OE cnc cy cen ebasueicaks-comkeiaeedes Zs
Randall v. Sorrell, D48 U.S. 230 (2006) 2. 12, 14.31
Regan v. Taxation with Representation, ABLULS. 540

rere er ere Perey errr re re ia.
Republican Party v. White, S80 US. 765 (2002) 00... ot
Rosenberger v. Rector, AVS US. SID C99) oe, th
Rumsfeld v. FAIR, 5A7 US. AT (2006) oe, 28
Rust v. Sullivan, WOULS. 178 (991) ooo ee. 16, 19
Srmion & Schuster, lnev. Members of the N.Y. State

Crome Vretoms Bal, HZ US. LOS CI9IT) 24
Tommons v. Trin Cities Arva New Party, 520 U.S.

vg { MEE eo ET eee eae 15

Turner Broad. Sus. Ineo v. FOC, AL2 US. 622 (994) 2 18

Vi

Cases—Continued:

Page
United States v. United Foods, Inc., 888 US. 405
bar ENS aptalia D s5 TR Sean Rpt Hemet Nes har AL 27
Wand v. Rock Against Racism, 491 ULS. 781 (1989) 2. 32
Washington State Grange v. Washington State Re-
publican Party, 552 U.S. 442 (2008) 2. eee. 1d
Whitneu v. Calyornia, 274 US. 357 927) 0 eee 29
Constitution and statutes:
Se I oi os own ncdcbnsaeasuneh bas passim
Presidential Election Campaign Fund Act, 26 U.S.C.
ONES 50.40 6605-65604 5Re bee baeeCacadnse beeen 2
Presidential Primary Matching Payment Account
Gs ee is HE OE OD, onc cccdccecececepecsenes 2
RE Se ic ccec apex Riveees auveseevcrsvoes 2
EE ccc ewes ge ees tWeuNdeedscagheawhes 6
i PE re re tbin eC scp eee keaeet yen eeekouead 27
Ariz. Rev. Stat. Ann. (West Supp. 2010):
Recon c ld ne daghe eens chabeekocsecenees 5
PE Catv ebcecdcnwasaeeWed.badacsuun kis 2h
Citizens Clean Elections Act, Ariz. Rev. Stat. Ann.
§ 16-940 ef seg. (West 2006 & Supp. 2010) 200006... 2
$ 16-941(A) (West Supp. 2010) 2... ....2.00..... 3,25
§ 16-941(B)C1) (West Supp. 2010) 0. 25
§ 16-941(¢B\2) (West Supp. 2010) 20 ee. 12
$ 16-941(D) (West Supp. 2010) 2.0. 12
fo SP rer reer rere ere Tr 25
© PR CP occ ccc cece cece ccccescsces 3
DP IIE occ ccns tdeccdkdunencceeinds 12

Vil

Statutes—Continued:

§ 16-950 (West Supp. 2010)

N

§ 16-951(A)(2) (West 2006)
§ 16-951(A)(3) (West 2006)
§ 16-951(C) (West 2006)
$ 16-951(D) (West 2006)
$ 16-952 (West Supp. 2010)
§ 16-952(A) (West Supp. 2010)
$ 16-952(B) (West Supp. 2010)
$ 16-952(C) (West Supp. 2010)
$ 16-952(E) (West Supp. 2010)
§ 16-954 (West 2006)

Miscellaneous:

147 Cong. Rec. 4668 (2001)

tron Report (Dec. 5, 2002), http:/Avww.azsos.gov/
cfs/Public Re ports/2002/94398C F F-C A9F-4B F0-
B9C0-746A1 E3D6D95. pdf

Norman L. Ornstein et al., Vital Statistics on Con-
gress 2001-2002 (11th ed. 2002)

S. 3, 103d Cong., Ist Sess. (1993)
S. Amend. 148, 107th Cong,. 1st Sess. (2001)

16-951(A)(1) (West 2006) 2.000 00000000000.0.

See eee eceeeeee@eseee oe 68 86 6

H.R. 3, 103d Cong., Ist Sess. (1993)... ........25..
Matt Salmon for Governor, 2002 Post-General Elec-

PeCePes ens Cee eeoe@e8 € 628 6 6 6 6

Eee ak ge eee es ey Se ee fe |
eee Eee oe oe 6 68 6 8 6 6

rere

In the Supreme Court of the Cited States

No. 10-2388
ARIZONA FREE ENTERPRISE CLUB'S
FREEDOM CLUB PAC, ET AL... PETITIONERS
-*.

KEN BENNETT, IN HIS OFFICIAL CAPACELY AS
ARIZONA SECRETARY OF STATE, ETAL.

No. 10-239

HMOHUN MCCOMISH, FT AL... PETITIONERS

*
‘

KEN BENNER? IN HIS OFFICIAL CAPACITY AS
ARIZONA SECRETARY OF STATE. ETAL.

ON WATTS OF CERTIORARI!
POTHE UNITED STATES COURT OF APPEALS
Fm | WwW HK \ i N TH ( ‘J Ri % / r

BRIEF FOR THE UNITED STATES AS AMICUS CURIAR
SUPPORTING RESPONDENTS

INTEREST OF THE UNITED STATES
This case presents the question whether Arizona's
system of publie finaneing tor state elections violates the
First Amendment. More speetfically, petitioners con-
tend that their own campaiyn-related speech is unconsti

(1)

~

tutionally burdened beeause the ameunt of money the
State provides toa publicly financed eandidate depends
in parton the amounts raised and spent by that eandi
date’s privately financed opponent

Congress has adopted systems of public fnancing for
presidential primary and yeneral elections. See Prese
dential Fleetion Campaizn Fund Aet (Presidential Fund
Act), 26 ULS.C. 8001 ef seg.) Presidential Primary
Matching Payment Aceount Aet (Presidential Primary
Aet), 26 US. .C. 9081 ef seg. Lake Arizona, Congress has
adopted an optional public financing system while sepa
rately limiting monetary contributions to candidates for
federal office, see 2 USC. dala)

Although neither federal statute uses the sort of trip-
gered “matehing tunds” that are the speeitie subject
of this litigation, Congress has previously considered,
and both Houses have previously passed, legislation to
adopt such a mechanism. See 147 Cong. Ree. 4008
(LOOL) CS. Amend. 148, 107th Cong... Ist Sess. (LOOT) (Ss
OSE), S042), SAH): S. 8. LOBd Cong, Ist Sess. §
L01¢a), see. SOS CD)-(d) (1998) (passed Senate), HORS
108d Congy., Ist Sess. § 121. sees. OOTY, COACH) (L999)
(passed House). In addition, other provisions of federal
law have been the subject of claims like the plauntifts’
contention here that an allewed burden on First
Amendent rights warrants strict serutinyv. The United
States therefore has a siznifieant interest in the resolu.
tion of the questions presented

STATEMENT

Through the initiative process, Arizona's citizens
have enacted the Citizens Clean Eleetions Aet (Arizona
Act or Act), Ariv. Rev. Stat. Ann. $ 16 940 ef seg (West
2006 & Supp. 210), a voluntary system ot public finane-

oe

ingan which candidates for state office may eleet to par
ticipate. Petitioners argue that the Arivona Act's for-
mula for allocating “matehing funds” to publiely
nanced candidates, Which considers the fundraising or
spending of those candidates’ opponents, violates the
First Amendment. The district court permanently en-
joined the matching funds provision. Pet. App. 44-770
The court of appeals reversed and held the matehing-
funds provision valid on its face. J at bea

lL. a. Any eligible eandidate for Arizona state office
may deeide to participate in the Arizona Act's puble
financing system, To be elymible, a eandidate must raise
aspecified number of $5 contributions from elygible vot
ers, see Ariz. Rev. Stat. Ann S$ 16-946, 1o-950 (West
208 & Supp. 2010), and must agree to abide by certain
limits that apply only to pubhiely financed candidates. A
participating: candidate must agree not to aecept ans
canuen contributions (except for certain small eentr
butions that may be raised during the qualifying period),
not to spend more than S00 of his own money; and not
to exceed the Arizona Aet’s spending limit for the rele
vant eleetion. Jd. 8 LO O4TCAY West Supp. 2070)

In return, the Act provides partierpating: candidates
with public funds to spend on their ecampanurns. The
State disburses those funds in two steps. First. at the
bemnning of the election pertod, each candidate receives
a lump sum that is the default spending limit for that
election. Ariz, Rev. Stat. Ann. § Le-951C AXE) and (©)
West 2006)" Second, during the election period, the

ee ee

References to “Pet App” are Co the appends to the petition fora
writotoertiornar in Neo Lao as
© Candidates who are unopposed, or who rup as independents and
therefore do not compete im any primary election. receive lower
amounts Are. Rev. Stat. Ann. § 1-85 AX) 8) and CD) (West 2008)

spending tinut may be adjusted if candidates receive
“matehime: funds.” See id § 16-92 West Supp. 2010)
Matehing funds are triggered when a privately f
naneed candidate raises or spends more money on Che
election than the default sum allotted to publely
naneed candidates.” Spending by independent groups
may alse (rigger mateling funds iit unamburueusis
supports or opposes a eandidate. Onee a privately t-
naneed candidate reaches the threshold, then for each
additional $t that he raises or spends cor that independ
ent groups spend te suppert him or attach his oppe
nents), the spending limit tor publiely financed eandi
dates is increased by §1 (minus a siv-pereent deduction
correspondinar to fundraising: expenses) and each pub
lickly financed candidate in Che race reeeives an add
tional $l in matehing funds (minus six pereent), Ariz
Rev Stat. Ann. § 16-8520 A) (C0) (West Supp. 2010),
Matehing funds are also subject to an absolute cap
No matter how much money a privately finaneed cand
date or independent group spends, matching funds ean
not exceed two times the matial default spending limut
for the relevant cleetion. Ariz. Rev. Stat. Ann. § lo
Hhlcky (West Supp. 201M. Thus, the upper spending
hont for any publicly finaneed candidate is three times
the amount of the State's oruanal lump sum payment
cee, the ormmnal wrant itself plus Gwe times that amount
in matching: funds).
bo A candidate who does not wish to partierpate i
the pubhe financing system is not required to do so. A
candidate who forgees pubhe financime may raise funds
Is the primary e ection. matehing fonds ane tragterod Dy a peivate
ly financed candidate's expenditures. on the weneracelection, by contry
butions Pe receives. Arie Rev Stat Amp § 16 85204) OB) West Supp
SOTO)

from individuals and political committees (sulveect to
statutory hmits on contributions trom any single source,
Arti Rev. Stat. Ann. § 16-905 (West Supp. 2010): he
may spend unlimited amounts of bis own money on his
campaien, and hos total campayrn expenditures are not
limited by law

2 Petitioners are past, present, and future candi
dates for state office and politica! committees that make
Independent expenditures in state elections, Petitioners
in No. LO 2389 brouwht this action. arwuinar that the
matching funds provision violates the First Amendment.
Petitioners in Noo 10-288 intervened as plaintiffs. See
Pet App Ds-l4. All petitioners contended that the
matching funds provision prevented or discouraged
them from spending as much as they otherwise would
against pubhely financed opponents. See rd at }4-15

3. The district court granted summary judyment for
petitioners and enomned the operation of the matehinar
tunds provision, Pet) App. 45 7s

The distriet court stated that petitioners had pre
sented only “vague” evidence that the Arivona Act bur
dened their Furst Amendment rurhts. Pet. App. o20
Che court understood petitioners to argue that their
rights were burdened because, if they “spend as much as
they wish,” Arizona will anve a corresponding amount ot
money to ther publrely financed opponents fd at 63.
The court stated that, piven the First Amendment's pur:
pose “to ‘seeure the widest possible dissemination of

Petitioner Martin, then the state treasurer, made admissions ot obs
depasition that lad the distriet caart Co cenclude that matching: funds
had not been a “serious concern” a bis eampanrrs Pet) App oe Nor
didi the political-ocommittee petitioners persuade toe district court that
they had ever been dissuaded by matching funds from spending money

;

the gourt wentified a Cictual dispute on that pent Jd at As.

t)

iIntormation from diverse and antagonistic sources, it
seems illogical to conclude that the Act creating more
speech is a constitutionally prohibited ‘burden’ on [peti
hhoners|" Jd at Of (quoting Backleay Valeo ABE U Ss
1, 49 19768) Cper curiam)

The district court nevertheless held the matching
funds provision uneonstitutional under Danis vo PEC,
Hdd US. TU (ZOOS), The Courtin Dares invalidated the
“Milhonaire’s Amendment.” 2 USC) 44ta-laad, under
Which a candidate's decision te self finanee his compan
allowed his opponents (but not the self-financing eand:
date himself) tornveke a different, more permissive set
of rules, ineluding: trebled contribution limits and unlim
ited party coordinated spending Sot US) at 780 744
The district court concluded that petitioners “lace a
chotee very similar to that faced in Doris” because thes
must either “abide bv a lint on personal expenditures”
or face “neyative consequences” in the form of “having
[their }opponent{s}| receive additional funds.” Pet. App.
65. The court apphed strict serutiny, see nd at ec, and
coneluded that the matehing- funds proviston is not nar
rowly tailored to advance a compelling: interest, id at
OF 70. Phe court further held that the matehing funds
provision Was not severable, odo at TL 74. and it emomed
the implementation of the Arizona Actin its entirety

4. The courteoftappeals reversed Pet. App 1-44.

The court of appeals held that Daecs was “easily and
properly distinguished” and that petitioners had shown
onivoan “indireet or minimal’ burden on their speech
Pet App. 24. 200 The court observed that none of the
petitioners had “pointed te any specific mmstanee in which
she or he has declined a contmbation or tailed to make
an expenditure for fear of trargering matehing funds’
fd. at 29. Phe court concluded that the Arizona Act im

posed no significant burden on petitioners’ exereise ot
constitutional rurhts because “the Furst Amendment
includes ‘no rught to speak free from response’ ” Jd. at
30 (quoting: Daggett vo Comomirsston on Govern mental
Brhies & Rleetion Practices, 205 BoSd 445, 464 (ist Cir
LODO)

Vhe court of appeals accordingly apphed a torm ot
intermediate serutiny, and it rejected petitioners’ constr
tutional challenge. Pet. App. 38-37. The court exphuned
that “it}he State has a sufflerently important interest in
preventing corruption and the appearance of corrup
tion,” and that “Arizona has a long history of gard pro
guo corruption" /d at 338. The court eencluded that the
matehing-funds provision bears a substantial rekidion to
the State’s anticorruption interest because “[i]n order to
promote participation in the program, * * * the State
must be able to ensure that participating candidates will
be able to mount competitive campaigns, mo matter that
fhe source of ti CUM OP prrnee nts fu nating “ Jd at 86. The
court further explained that “rf the Aet were to raise the
amount of its lump sum grants and do away with mateh
ingr funds altogether, it would make the Act prohibitiy ely
expensive and spell its doom.” dd. at dv.

Judge Kleinfeld concurred Pet App 38440 He em
phasized that providing pubhe funds to partreipating
candidates “imposes ne contribution er spending limits”
and therefore “does not restrict speech at all” Jd at ao
He explained that, although privately financed cand
dates may sometimes “make strategic decisions in re
sponse to the public funding: scheme.” Chat etfeet “is not
a restriction on speech” 7bid.y see rd at 40-41 (The
hinds of strategie chotces generated by the Artona rules
do not ditfer in kind from the choices presented to cand:
dates by other election laws”)

SUMMARY OF ARGUMENT

1. The Aricona Act's matehing tunds provision is not
subject Co strict scrutiny because that proviston neither
directly restricts, nor severely burdens, petitioners’ own
election related expenditures. The government's discre
tion is at its heught when it allocates its own funds. Pet
tioners contend that the matching funds provision ere
ates a disincentive to speak because privately financed
ceundidates and their supporters may sometimes forge
particular expenditures in order to limit the resourees
available to their publicly finaneed opponents. This
Court's decisions make clear, however, Chat any such
disincentive is not the sort of severe burden that can
trigger stricl serutiny

Petitioners alse argue that the matching funds provi
sion burdens or penalizes their own speech by Creating
that speech as a trigger for additronal outhiys te petition
ers’ publicly financed opponents. Petitioners acknowl:
edge, however, that the Arizena Act would be constitu.
tional if the State simply provided each parthoipating
candidate the maximum amount (o¢., three times the
amount of the initial wrants avanable under current law)
at the outset, without regard to the sums raised or spent
by participants’ privately financed opponents. Using the
matehing- funds mechanism instead of that more proeth-
gate approach both conserves state resourees and re
duces the incidence of financial disparities between pub
licly and privately financed candidates, without in any
way increasing the burdens en privately financed cand!
dates or their supporters,

Petitioners’ relianee on Daves is misphiced. Under
the statute (Known as the “Milhonure’s Amendment) at
issue in Daves, a self-financing candidate's expenditure
of specified amounts of personal funds Criggered a regu

4

latory framework under which the selt-finanemyg cand
date was subject to much more stringent contmbution
limits than his opponent. Charactertaing that disparate
treatment of competing candidates as “unprecedented”
(654 U.S. at 789 and “discriminatory” Cad. at 740), the
Court held that the Milhonaire’s Amendment unconst!
tutionally burdened the self-financing candidate's exer-
cise of First Amendment rurhts. Under the Arona Act,
by contrast, peliioners’ campanen spending simply trig
vers Increased monetary outhiys that, under petihioners:
own theory, the State could have provided from the out.
set. And far from being the beneticnuiries of a “diserim
natory” regulatory framework, publicly financed Ari
zona candidates are subject to much more severe spend,
ing and fundraising restrictions than their privately t-
nanced opponents

The Arizona Aet’s matehing- funds mechanism ts not
analogous to compelled speech laws that this Court has
invalidated. Petitioners are not required to pay for, to
disseminate, or to identity themselves with their oppo
nents’ Messaves.

IL. The Arizona Act’s matching funds provision sat
isfies exacting serutiny. This Court has recognized that
voluntary public- financing programs are a constitution,
ally permissible means of preventing actual and appar
ent corruption of office holders. That Arizona also lim-
its contributions does not negate the possibility of such
corruption. And by obviating the need for candidates to
solicit donations to amass adequate resources under
applicable contribution limits, public financing serves a
further important interest by freeing office holders Co
focus on issues of public concern,

Phe matehing- funds mechanism provides a constitu
tionally permussible formula for determining how much

10

money each pubhely financed eandidate will receive.
Phe State’s public-financing scheme can attract cand
dates to participate, and thereby serve its important
purposes, only if candidates have reasonable contidence
that it will provide suffiaent sums to run competitive
campayrns. Although Arizena could invite widespread
participation by providing very large grants to all qual:
{ving applicants, that approach would waste public funds
in races Where such largesse Is unnecessary to run an
effective campayrn. And while the State cannot restrict
petitioners’ expression in order to provide equality of
opportunity to their competitors, the Arizona Aet does
not restrict petitioners’ speech. In determining in ad
vanee how to calculate the amounts to be paid to cand.
dates who choose to participate, Arizona can seek to ap
proximate the sums ratsed and spent by participants’
privately financed opponents.
ARGUMENT

The matehing-funds provision of the Arizona Act ts
consistent with the First Amendment because it does
not “abridgie] the freedom of speech.” This Court's pre
cedents make elear that Arivena’s provision of pubhe
funds to participating candidates does not, in and of it
self, violate the First Amendment rights of candidates
who cheose to finance their own campaigns A necessary
component of any public-finaneing scheme is a termula
to determine the amount of funds that each participating
eandidate will receive. The matching- funds provision ts
designed to create adequate incentives for candidates to
choose public financing, thereby allowing the Act to
achieve its important purposes, without wasting scarce
public resources.

1]

I BECAUSE THE ARIZONA ACT DOES NOT SUBSTAN.
TIALLY BURDEN PETITIONERS’ ABILITY TO SPEND
MONEY ON ELECTIONS, THE ACT IS REVIEWED UN-
DER THE “ENACTING SCRUTINY” STANDARD
Petitioners and their amici contend that strict seru-

tiny should apply because the Arizona Act “penalizes,”
“restrictis}."° or “limit{s}" the speech of candidates and
independent groups. Phat premise is incorrect. The
challenged provision does not limit the contributions
that privately finaneed candidates can reeeive or the
total amounts that such candidates or their supporters
can spend on campaign-related speech. Petitioners nev-
ertheless contend that the Act should be reviewed under
the same stringent standard as an outright prohibition
on spending. Petitioners’ theory is that the Act “bur-
dens” their speech by creating Incentives for petitioners
to forme campaign-related activity in order to prevent
additional matching funds from flowing to their oppo-
nents. The existence of that sort of strategic choice,
however, does not constitute the kind of severe burden
on constitutional rights that would trigyer striet seru-
tiny.

A. The Arizona Act Does Not Restrict The Right To Make
Campaign Expenditures

Linder the Arizona Act, privately financed candidates
and their independent supporters face no restrictions on
how much money they can spend, when they ean spend
it, orn the case of independent groups) how they must

AFEC Br. 28, 36: see MeConrell Amicus Bro LO: MeComish Bro p7
samilar to the threat of a fine”).
* AFEC Br. 26, 27, 35, 42

AFEC Br. &8, MeComush Br. 87.57: see MeConnell Amicus Br. 4-5

l2

organize their operations in order to spend money on
advocacy. All they must do to comply with the Act is
provide disclosure, Ariz. Rev. Stat. Ann. $$ 16-941(B)(2)
and (D), 16-948 (West 2006 & Supp. 2010), a require-
ment petitioners do not challenge.

The absence of any direct restriction on petitioners’
own campaign-related spending is enough, by itself, to
distinguish nearly all of the strict-scrutiny cases on
which petitioners and their amici rely. Almost every one
of this Court’s cases applying strict serutiny in the elee-
toral context has involved an outright restriction. See,
e.g., Citizens United v. FEC, 1308. Ct. 876, 897 (2010)
(describing the statute as “an outright ban, backed by
criminal sanctions”); id. at 917 (Roberts, C.J., eoneur-
ring); Randadi v. Sorredl, 548 U.S. 230, 245 (2006) (plu-
rality opinion) (“dollar cap imposed upen a candidate's
expenditures”); ?d. at 264 (Kennedy, J., concurring tn
the judgment); cd. at 267 (Thomas, J., concurring in the
judgment); Hue v. San Francisco County Democratic
Cent. Comm... 489 U.S. 214, 228-225 (1989); PEC v. Mas-
sachusetts Citizens for Lite. lne., ATO U.S. 238 (1986);
FEC v. National Conservative PAC, A470 U.S. 480, 496
(1985) (NCPAC); Brown v. Hartlage, A456 U.S. 45, 53-54
(1982); First Natl Bank v. Bellotti, 485 U.S. 765, 786
(1978); Buckley v. Valeo, A24 US. 1, 39-59 (1976) (per
curiam).

In each of those cases, the challenged restriction was
subject to strict scrutiny because the direct result of the
restriction was less speech. The Arizona Act, by con-
trast, leaves speech unrestricted and instead provides
funding for mere speech in response. See Buckley, 424
US. at 93 n.127 (pubhe finaneing is one way of “provid-
ing financial assistance to the exercise of free speech”),
et. Citizens United, 1308. Ct. at 911 CUE] t is our law and

13

our tradition that more speech, not less, is the governing
rule.”). The contrast between this case and NCPAC, on
which several amici rely, is instructive. The statute
struck down in NCPAC, a provision of the Presidential
Fund Act, tightly restricted independent expenditures
supporting a publicly financed candidate for President.
The Court applied strict scrutiny to the expenditure
limit “to assure [the] unfettered exchange of ideas” in
the electoral arena. 470 U.S. at 493 (brackets in origi-
nal) (quoting Buckley, 424 U.S. at 14). The Arizona Act
does not restrict the exchange of ideas but rather facili-
tates it. The Act does not limit the right of either pri-
vately funded candidates or independent groups to at-
tack publicly funded candidates, but merely makes it
possible for those publicly funded candidates to respond.

B. To Invoke Strict Scrutiny, Petitioners Must Show That
The Arizona Act Severely Burdens Their First Amend-
ment Rights

This Court has also applied strict scrutiny to a hand-
ful of electoral regulations that do not formally restrict
the exercise of any right protected by the First Amend-
ment, but that impose such a significant practical bur-
den on the exercise of such rights as to be tantamount to
an outright restriction. In each of those cases, however,
the Court has cautioned that it will apply strict scrutiny
only to regulations that directly, tangibly, and signifi-
cantly burden the exercise of First Amendment free-
doms. A mere “disincentive” to speech does not consti-
tute such a burden. Statutes that create such disincen-
tives are subject to less demanding scrutiny because
they pose “a less substantial risk of excising certain
ideas or viewpoints from the publie dialogue.” Turner
Broad. Sys., Ine. v. FOC, 512 U.S. 622, 642 (1994).

14

Petitioners’ evidence in this case shows, at most, that
petitioners have sometimes refrained from raising or
spending money in order to avoid triggering payments
of matching funds to opposing candidates. Petitioners
have made that tactical choice because they prefer the
situation in which both they and their opponents spend
less to a situation in whieh both they and their oppo-
nents spend more.* Petitioners would of course prefer
a regime under which they could spend additional sums
while their publicly financed opponents received only
the initial lump-sum state payments. Nothing in the
First Amendment, however, entitles them to the benc-
tits of that disparity.

1. Only a “severe” burden on the exercise of a constitu-
tional right can trigger strict scrutiny

As this Court has long emphasized, not every regula-
tion of the political process creates the sort of burden on
constitutional rights that warrants strict scrutiny.
Rather, that standard applies only to the most swbstav-
tial burdens, whether on the right to free speech, the
right to free association, or the right to vote. See, e.g.,

Jlingman v. Beaver, 544 U.S. 581, 592 (2005) (“[S]trict
scrutiny is appropriate only if the burden is severe.”).

This Court has applied that principle in numerous
First Amendment contexts. See, e.g., Clingman, 544

* Several petitioners are current state officeholders or held state of-
fice at the time suit was filed. As this Court has noted, incumbents have
natural advantages (such as name recognition) over challengers, and
challengers generally need more money to prevail than incumbents do.
See Randall, 548 U.S. at 256 (plurality opinion) (citing Norman J.
Ornstein et al., Vetal Statistics on Congress 2001-2002, at 87-96 (11th
ed. 2002)). An incumbent may well prefer that both sides spend small
amounts rather than large amounts for reasons that have nothing to do
with any First Amendment burden that the Arizona Act may pose.

lS

U.S. at S92; Washington State Grange \ * Washington
State Republican Party, 552 US. 442, 452 (ZOOS) Con:

plaining that “[i]f a statute imposes only modest bur

dens” on associational rights, strict serutiny does not
apply); Timomons ve Pein Cities Area Neve Party, o20
US. 851, 858, 864 (1997) The few eases in whieh this
Court has applied strict scrutiny based sane ona bur-
denon First grep rights are those like Davis v.
FEC, 554 U.S. 724 (2008), in which the burden was “un

precedented,” ae cial and “substantial” (see pp. 22-26,
fray, or California Democratic Party vo Jones, a30
US. S67, SS1-58Z (2000), in whieh the Court “elould)
think of no heavier burden” on associational rights than
the law at issue.

Strict scrutiny ts a demanding test, and this Court
has reeognized that it cannot be applied toad laws that
affect the choiees of voters, eandidates, and parties.
Clingman, 544 US. at 592. In particular, strict serutiny
is inappropriate ifa burden, though direct and tangible.
is merely an “ordinary” and “widespread” feature of the
electoral system. Jd. at 593. Thus, although a plaintitt
may be concretely affected by rules that prevent him
from voting in one party's primary while remaining rey
istered with another party: giving his party's ballot line
to another party’s nominee; or casting his ballot for a
write-in candidate, those regulations do not affect First
Amendment rights to the severe degree that would war-
rant strict scrutiny. Jd. at S92-H93; Tormomons, S20 US
at 398-359; Burdick ve Takashi, 504 US. ARS, 482- 434
(1992).

In xe previous case, moreover, has this Court
deemed the expenditure of public funds to be a constitu,
tionally significant burden on someone who did not want
government money for himself but opposed the provi-

16

sion of such tunds to others. To the contrary, the gov
ernment generally enjoys the greatest discretion when
it oxeretses the power to spend its own funds as it sees
ft. See. eg, NEA ve Foiley, '24 US. S89, SS7T-ASS
CI99S); 2d. at ANY (Sealia, 1, concurring in the yudazment)
(characterizing “the distinction between ‘abridging’
speech and funding it as a fundamental divide’): Rust v.
Sullivan, 5OO US. 178, 194 (IM9D) Regan vo Taxation
with Representation, ABL US. 540, b45-546 CL9S3): ef.,
e.g, NOPAC, ATO TLS. at 496 (noting, ina ease involving
Independent expenditures concerning a publicly ti-
naneed candidate, that “[tlhe restriction invelved here
is not merely an effort by the Government to regulate
the use of its own property”). The Court's reluctance vo
subject commonplace and important government elec
toral regulation to the “compelling interest” and “nar
row taloring” requirements of striet scrutiny, see
Clingrian, 544 US. at 493, applies with all the more
force Ina case like this one, for two reasons: First, the
allegedly burdensome state law does not regulate pri
vate conduct at all, but simply establishes a spending
program in which participation is wholly voluntary. See
ond, petitioners do not challenge the denial (or potential
denial) of public funds to themselves, see, eg., Fevley,
O24 US. at S77; Rosenberver ve Rector, SV ULS. S19,
S25-S8US (1995), but instead claim injury from the yzevern
ment’s prevision of funds to others.

2. Astate law does not impose a “severe” burden on con-
stitutionally protected rights simply because it cre-
ales a reason not to exercise them

A plaintiff cannot show that a law imposes a “severe”
burden merely by averring that he would prefer to re-
train from exereising his rights altogether than to exer-

ly

cise them subject to the law) This Court has long made
that point clear, including twice just last Term.

a. In upholding the public-finanemng scheme that
apphes to presidential elections, the Courtin Nacdley
stated that “Congress may engage in public financing of
election campaigns and may condition acceptance of
pubhe funds onan agreement by the eandidate to abide
by specified expenditure lumitations.” 424 US. at o7
n.6o. The Court reached that conclusion even though it
held that voveerd/reg candidates may not constitutionally
be subjected te limits on total campanrn spending. See
rd at 54-58. The Court explained that “[a}ust as a eands-
date may voluntarily imut the size ot the contributions
he chooses to accept, he may decide to forgo private
fundraising and aceept public funding” Jd. at O7 nih
Vhat analysis makes clear Chat a statutory disincentive
to the exeretse of First Amendment rights eannot prop-
erly be equated with a direct ban or restriction on such
freedoms.

b. More recently, in Crfisens (neted, the phantitt
and numereus amict—ineluding several entities that
advocate the application of strict serutiny in this ease
argued Chat disclosure requirements should be subject
to street scrutiny. They contended that requiring a per-
son or proup to disclose its identity when it funds an
clectloneering communication is a severe burden on the
right to free speech. Appellant's Reply Br. at 28-30,
Ciftzens United, sapra (Ne. OS-205); Inst. for Justice
Amicus Br. at 4-6, 8-12, IS-25, Citizens United. supra
(No. 08-205); Cato Inst. Amicus Br. at 16-26, Coftesens
(orited, supra (Ne. 08-209).

This Court squarely rejected those arguments. It
reiterated Chat tifa challenged requirement “doles] not
prevent anyone from speaking.” itis not ordinarily sub-

IS
jeet to the same level of scrutiny as an outright regula

tion of speech. IOS. Cc at Olt qquoting WeCorned y

FEC. 540 US. 98, 201 (008). The Court alse did not
agree that the potential deterrent effeet of the chal

lenged disclosure requirement —ce.. the possibility that
some persons would forge campaizn-related speeeh alto

vether rather than divulge their identities to the pub

lie—warranted the appheation of strict serutiny. Rath

er, the Court upheld the disclosure requirements under
a less demanding standard of review, rd at ld, O16. and
in so doing reaffirmed a line of cases extending back to
Rucklen. supra. In Buckley the Court reeormzed that
“Lifts undoubtedly true that publhie disclosure of contri

butions te eampaigns and political parties will deter
some Individuals who otherwise murht contribute.” 42d
US. at 68, or who otherwise might make expenditures,
see id at To. The Court nonetheless applied the lower
standard of “exacting scrutiny, whieh requires a ‘sub

stantial relation’ between the disclosure requirement
and a ‘sufficiently important’ vovernmental interest.”
Crtisens United, OS. Ct. at O14 (quoting Buckle uw, ALA
US. at 64, 60).

Similar amuments un favor of strict serutiny were
made in Doe v. Reed, AS. Ct. 28ST (2010), again by,
mvfer-adia, the same entities that urge stmet serutinys
here. Those btyrants centended that surming a petition
to hold a popular referendum on a legislative enactment
Was protected First Amendment activity, and that a
statute mandating disclosure of petition summers: names
imposed a severe burden warranting strict serutiny. See
Pet. Bro at 28-31, 40-48, Doe, supra (Ne. 8-550), Inst
for Justice Amicus Br. at 10-17, Doe, supra CNo. OM 54M),
Cato Inst. Amicus Br. at 2. 6-10, Doe. ssarra (No. 09
S60). In rejecting that contention, the Court reiterated

1%)

that disclosure requirements “may burden the abiaty to
speak, but they . 0 . de not prevent anyone from speak
Ing” 180 S.Ct at 2S1TS (quoting: Cuficers Cnited, 130
S.Ct at M1). Because “only modest burdens attend the
diselosure of a typreal petition” the Court appled exact
ing serutiny rather than strict scrutiny, and at apheld
the disclosure statute ayvainst the plamntitts: taeral chal-
lenwe. Jd. at ZSTS, 2821"

¢ In other First Amendment contents as well, the
Court has reeeyrnized that a mere disincentive is not
suffterent to create a constitutionally cognizable burden
that warrants striet scrutiny. “There is a basic differ
ence between direct state interference with a protected
activity and state encouragement ofan alternative acu
WV [that is} eonmsonant with legislative polrew” Aess, a00
US. at 198 (quoting Maher ve Roe, A82 US 464, ATH
(L977). By making pubhe funds available, Arona
seeks to eneourage candidates Co abtde by the tundrais-
Ingand spending limits that apply te partreipating ean-
didates, But neither the Arizona Act as a whole, nor its
matching-funds prevision in particular, restricts the
speech of candidates who decline te participate

CC The Arizona Act Does Not Impose Any Severe Burden

On Petitioners

Under the foregoing principles, the Arivona Act does
not umpose any severe burden on petitioners’ exereise of
their First Amendment rights. Rather, petitioners re-
main free to exercise those rishts to their fullest extent

In both ocand Crfisens d neted. the Court left open the poss rtnhity
that successful as-apphed challemres mught be breuarht by individuals
or groups who would be susceptitle to ungsually severe harm c'threats,
harassipent, er reprisals”) from disclosure. Joe, 808. Ct at Zo]

y*

(citation omittedh: Cutrscus Gerted. ses Ct at 414.81

"0
Under the Arivona Aet, Che only consequence of petition
ers’ expenditures is Chat a somew hat greater amount of
state funds may be provided to petitioners’ publicly 0
naneced opponents Petitioners’ own speech, however, ts
neither negated nor penalized by counter-speech from
their opponents. Indeed, petitioners concede (MeCom
ish Br. S4-85) that the Arivona Act would be constitu
tional ifadd publicly financed candidates for state office
were given three times the amount of the current detault
spending lnuts

Petitioners’ constitutional objection Co the Artvona
Aet’s matehing-funds provision ts that the amount of
state money provided to any particular publiely financed
candidate depends in part on the amounts raised and
spent by the candidate's opponents Petitioners contend
that the matehing-funds approach has a “punitive and
deterrent effect” because therr own exereise of Furst
Amendment rights “helpts} disseminate hostile speech”
MeComish Br. S84. But Arizona does not take meney or
other resourees from petiioners to fund or facilitate
their opponents’ speech; it does not require petitioners
to inelude their oppenents’ Messages alongside their
own. and it does not give their opponents’ messages aly
superior treatment Rather. the State merely adjusts
the amounts paid to publicly financed candidates Co tn
crease the Likelihood that Chose sums i] be sutficrent to
run a competitive campanrn and, thus, to attract candi
dates to choose the public-finaneing systent at the out
set. And unlike the Millionaire's Amendment that was
struck down in Davis, the Arizona Act does not subject
privately financed eandidates toa diseriminatory regula
tory regime. Beeause the result— more speech and
more competition is) wholly econsenant with First
Amendment values, see Aucdlen, 424 US. at 92-98, the

A

matching funds provision is not subject to striet seru
tiny

l The Act does not burden petitioners by giving a
fundraising advantage to their epponents

‘he dollar amownt of matehing funds that a publicly
financed eandidate receives does not burden that candi
date’s opponents. Petitioners concede (MeComush Br.
S485) that the State could constitutionally provide ev
ery publicly tinaneed candidate the maximum amount of
funding Coe. three times the amount of the initial lamp
sum payment) that is available under current law. Ae
cord Pet. App. 64 (district court recognizes that, “ijt the
Act provided for a single lump sam award, instead of
Incremental awards, the law would fall squarely within
the regime blessed in Buckley and reaffirmed in Do
ms) For example, the imtial lump-sum payment to a
pubhely financed candidate mn the Arizona gubernatorial
eleetion Is approximately $1.06 millien, and the mani
mum amount available is approximately $3.18 million.
State Resps. Broo ns. The Arzena Act would not be
subject to any colorable constitutional objection uf every
quahftving pubhely financed gubernatormal candidate
reeewed $3.18 million for the general election, even if
that amount were larger Chana privately financed oppo
nent was able te raise through contributions or self-
funding.

Petitioners’ repeated assertions that the Act gives
“fundraising advantapyes” to their political opponents
(ARF EC Br. 27-32) MeComush Br. 48-49, SS) are therefore
doubly miseoneeived. This Court in Buckley upheld
pubhe finaneming even while recognizing that some pub
hely financed candidates would receive larger sums than
some privately financed candidates could hope to raise.

»

-_—

424 US. at 84-85 & nes, 98-99, 1LOL-102. And the par-
ticular feature of the Artzona Act that petitioners chal-
lenge oce, the matching funds formula fer calculating
the payiments that partieipatings candidates will re
ceerve ts desurned to reduce the incidence of disparities
between privately and publicly finaneed candidates.

2. Matching fends do not impese cny discriminatory
burden on petitioners

In Deere, this Court held that the Millionaire's
Amendment “substantially burdenjed]” the rights of a
candidate who wished to spend a large sum of personal
funds on his campanuro because Davis's self financing
would trigger “disermminatory” contribution and party
coordination limits favering: his opponent. 554 US. at
740. The Arizona Act creates no such invidious discrimi
nation between similarly situated candidates. Petition-
ers’ reliance on Daris theretore is misplaced.

The Milhonatre’s Amendment did not involve public
financing. Rather, it provided that if a candidate con-
tributed a large amount of personal funds to his cam
paurn, any competing candidate whe had contributed no
personal funds (or a much smatier amount) could benefit
from a speeial set of campaign-ftinanee rules." The com
peting candidate could accept contributions of up to
$0900 per individual donor: the self-finanetng candi
date’s limit was SZ300 per individual donor. The com

The Millonatre’s Amendment was triagered when the “oppesitien
personal funds amount” COPPA) exceeded St90,0000 “The OPERA, in
simple terms, [Was] a sttistie that compare. d) the expenditure of pet
semk funds by competing candidates and also (Look} mmto aewount to
sume deyree certain other fundraismur” Dares S54 Sat TY see a
at 729 nb, Once the competing cand.diate bad raised enough money un
der the Milbonaire’s Amendment to equal he OV EA, the special rules
ceased to apply. Jd. at 729

“-

petings candidate could accept contributions trom mundi

viduals Who had already made the maximum ageregrate
campaign contributions that federal law permits, the
self-financing candidate could not. And the competing
candidate could benefit from an unlimited amount of
coordinated spending by his political party: the self

financing candidate could avcept no more than $40,900
iInsuch spending. See Dares, 554 US. at TZ8-729,

The plaintitfin Daers was a self-financing candidate
Whose campaign spending had triggered the Million
aire’s Amendment. Although his opponent had chosen
not to take advantage of the special contribution and
coordinated-spending limits, this Court held that Davis
had suffered a cognizable injury; Chat bis injury consti
tuted a “substantial burden” on his First Amendment
rights; and that strict scrutiny therefore apphed. 554
US. at 734, 740.

The injury the Court identified was not the mere faet
that Davis's own self-finanetng triggered new contribu-
tion himuts that allowed his opponent to raise more
money. “If [the Millionaire’s Amendment | simply raised
the contribution limits for all eandidates,” the Court
stated, “Davis’ argument would plainly fail” because
there is no constitutional right “to restrict an opponent's
fundraising.” S54 U.S. at 7387. The Court thus reeog
nized that Congress could permissibly have made Da
Vis's electoral spending the trigger for modifications to
the generally-appheable campaign-tinanee regime, even
if Davis preferred to self-finance his campaign while
leaving the lower contribution limits in place.

The defeet in the Millionaire’s Amendment, the
Court explained, was that a candidate who “engagels] in
unfettered political speech” must face the “unpreee-
dented penalty” of a “discriminatory” set of fundraising

24

limitations. 544 US. at 738. The Court emphasized that
it had “never upheld the constitutionality of a law that
imposes different contribution limits for candidates whe
are competing against each other.” Jd. at 738.) The
Court coneluded that the Millionaire’s Amendment
impermissibly burdened Davis's exercise of the constitu-
tional right to selt-finance because Davis was required
either to “abide by a limit on personal expenditures or”
‘to suffer the “activation of a scheme of diseriminatery
contribution limits.” Jd. at 740."

Thus, the thrust of the Davis Court's reasoning: Was
that, given the constitutionally distavered nature of any
campaign -finanee regime in which opposing candidates
in the same election are subject to different contribution
limits, Congress could not require candidates who other:
wise would self-finance to forge their exercise of constr
tutional rights in order to avoid that “discriminatory”
regulatory framework. Under the Arizona Act, by con-
trast, petitioners’ electoral spending simply triggers
increased monetary outlays that, on petitioners’ own
theory, the State could have provided from the outset.
The feature of the Milhionaire’s Amendment that the
Daves Court found decisive—ce., its treatment of pro-
tected speech as the trigger for regulation that would

Similarly, in Sinzow & Schuster, lnc vo Members of the NY State
Crone Vretanes Bd. 502 US. 108 i! Dd), the Court apphed strict seru-
tiny te New York's “Son of Sam” law because the law imposed “diserim-
inatory,” “eantent-based burdens.” Jd) at 116; see id) at T1h-118
Petitioners rely (AF EC Br. 28) on Sanon & Schuster for the proposi
tion that a disincentive is a severe burden, but the Court in Chat case
considered only a “content based financial disincentive [7 to engage in
speech ona particular subject. 502 US at 117 (emphasis added). By
contrast, the Arizona Act is content-neutral because participation is
based entirely on neutral criteria and even emlics of public financing
(such as petiuioner Murphy, JA. 674) may participate,

otherwise be constitutionally infirm--is thus absent
here. And the State’s decision to conserve searce public
resources, by mandating the higher outlays only in those
races Where they are most needed, does not render the
Act unconstitutional, See po 21. spray po 33a, aefra.

Far from being the beneficiaries of a “diserimina
tory” regulatory framework, publicly financed Arizona
candidates are subject to much more severe spending
and fundraising restrictions than their privately ti-
nanced opponents. Ct. Buckley, 424 US. at 95 (presi-
dential candidates whe voluntarily accept the benefits
of public financing must also “suffer a countervailing
denial”). Privately finaneed Arizona candidates may
spend as much as they can raise; publicly financed eandi-
dates may not spend more than the amount of the state
grant. Privately finaneed candidates may spend freely
from their personal funds; publicly financed candidates
may spend only a very limited sum ($1000 for a state-
wide office). Privately financed candidates may accept
private contributions throughout the campaign, in larger
increments; pubhely financed eandidates may raise
money only during a short window of time, only from
individuals, and only in increments of S100 or less
per person. Arm. Rev. Stat. Ann. $8 16-905CA)-(D),
16-S4 1A) and (B\CD), 16-945 (West 2006 & Supp. 2010).

In return for agreeing to this framework, publiely
financed candidates receive a grant of government funds
that spares them the need to raise money. But Buckley
makes clear that neither the grant of government funds
to a candidate, nor the prescribing of conditions (such as
voluntary adherence to an expenditure ceiling) to be
eligible for such funding, violates the First Amendment.
424 US. at 90, 92-05, 94-95; see cd. at AT n.65. And the
Court in Dares, while distinguishing the Millionaire’s

26

Amendment from the provisions that govern publie f1-
nancing of presidential campaigns, did not eall that as-
pect of Buckley into question. See 554 U.S. at 739-740.

Thus, under the Arizona Act, publiely and privately
financed candidates are simply subject to different sets
of rules. Unlike Davis's opponent, who received “fund-
raising advantages” (554 U.S. at 739) in the form of dis-
criminatory contribution and coordinated-expenditure
limits «rthout being subject to any countervailing disad-
vantage under the federal regulatory scheme, petition-
ers’ publicly financed opponents must take the bitter
with the sweet. As the Court emphasized in Buckley,
“since any * * * candidate accepting publie financing
of a campaign voluntarily assents to a spending ceiling,
[privately financed] candidates will be able to spend
more in relation to the [publicly financed] candidates.”
424 U.S. at 99. And although privately financed eandi-
dates must raise money in order to outstrip their oppo-
nents’ spending, neither the Arizona Act as a whole nor
the matching-funds provision in particular imposes any
obstacle to that fundraising. See td. at 94-95 & n.128.
Because other features of the Arizona Act work to peti-
tioners’ advantage, the formula used by the State to cal-
culate its payments to petitioners’ publicly financed
opponents-—e.g., allowing a legislative candidate to
spend $42,957 on a primary instead of $14,319, see State
Resps. Br. 6 n.3—-does not give those opponents the sort
of discriminatory “fundraising advantage” that Davis's
opponent could have received,

3. Arizona's use ofa matching-funds approach to caicu-
late the payments made to publicly financed candi-
dates does not burden petitioners

Petitioners contend (AFEC Br. 32-35; MeComish Br.
50-58) that the Arizona Act’s matching-funds provision
burdens their exercise of First Amendment rights be-
cause their own campaign spending (if it exceeds the
amount of the State’s initial grant) triggers additional
state outlays to their opponents. That argument lacks
merit. Providing additional funds to petitioners’ oppo-
nents does not make petitioners’ own speech any less
effective; does not require petitioners themselves to
fund or publicize their opponents’ speech; and does not
associate petitioners with their opponents’ messages.
The Act simply ensures that, when privately financed
‘andidates raise the stakes, publicly financed candidates
will be able to stay in the hand for at least a few more
rounds.

a. Petitioners contend (e.g., MeComish Br. 55)
that the Act “force|s] [them] to help disseminate [their
opponents’| hostile views.” Petitioners’ analogy to
compelled-speech cases is flawed beeause petitioners
provide neither the money nor the medium for their op-
ponents’ message.

Some compelled-speech claims object to funding
speech with which the plaintiff disagrees. See, e.g.,
United States v. United Foods, Inc., 5383 U.S. 405 (2001)
(cited in MeComish Br. 52). Petitioners are not taxed to
pay for matching funds, however, unless they voluntarily
check a box on their tax returns. Ariz. Rev. Stat. Ann.
§ 16-954 (West 2006); ef. 26 U.S.C. 6096 (similar). And
government appropriations, even from the general! fund,
would not constitute compelled speech in any event.

28

Johanns v. Livestock Mktg. Ass'n, 544 U.S. 550, 559,
562-563 (2005).

In other such cases, the plaintiff is made to convey
the speech with which he disagrees. See, e.g., Pacific
Gas & Elec. Co. v. Public Utils. Comm’n, 475 U.S. 1, 11
n.7, 12-13 (1986) (plurality opinion) (utility forced to
“carry” messages in its billing envelope, exclusively
from “those who disagree with [utility’s] views and who
are hostile to [utility’s] interests”); Miam: Herald
Publ'g Co. v. Tornillo, 418 U.S. 241, 257-258 (1974)
(newspaper forced to print critical rejoinder contrary to
its editorial judgment). This Court’s decisions condemn-
ing such requirements are likewise inapposite here.
“The compelled-speech violation in each of [the Court’s]
prior cases,” including Pacific Gas and Tornillo, “re-
sulted from the fact that the complaining speaker’s own
message was affected by the speech it was forced to ac-
commodate.” Rumsfeld v. FAIR, 547 U.S. 47, 63 (2006).
Petitioners are not required to disseminate any oppos-
ing speech. Nor does the matching-funds procedure
identify petitioners with their opponents’ speech or oth-
erwise obscure petitioners’ message. Cf. id. at 65;
Johanns, 544 U.S. at 564-566.

b. Petitioners also suggest (AFEC Br. 30) that the
matching-funds provision cognizably injures them sim-
ply because the matching funds enable their opponents
to engage in additional speech. That argument lacks
merit.

Although petitioners’ speech may be the but-for
cause of their opponents’ receipt of matching funds, that
is always true when one speaker’s words or actions
prompt another to respond in kind. To treat additional
speech as a First Amendment injury would contravene
this Court’s repeated admonitions that, where existing

2a

speech is insufficient or potentially counter-productive,
“the remedy [that should] be applied is more speech.”
E.g., Linmark Assoes., lnc. v. Township of Willingdoro,
431 U.S. 85, 97 (A977) (quoting Whitey v. Caivfornia,
274 U.S. 8457, 877 (1927) (Brandeis, J.. coneurring));
Meese v. Keene, 481 US. 465, 481 (1987); see also Re
publican Party v. White, 386 U.S. 765, 795 (2002) (Ren-
nedy, J.. concurring) (‘democracy and free speech are
their own correctives”). Indeed, this Court has sug-
gested that it is preferable for the government itself to
engage in its own counter-speech rather than restrict
the speech it finds objectionable. Loaonark Assocs, 431
U.S. at 97; 44 Liquormart, Inc. v. Rhode Island, AV
U.S. 484, 507-508 (1996) (opinion of Stevens, J.) And
here, Arizona does not speak itself, but simply makes
funding available. on a content- and viewpoint-neutral
basis. for candidates to engage in their own speech. See
note Ll, sapraret. Board of Regents v. Southworth, a29
U.S. 217, 233-234 (2000) Wiewpoint-neutral program to
“stimulate * * * expression” was consistent with the
First Amendment even though funded with mandatory
exactions),

Although electoral polities may be a “zero-sum” en-
deavor (AFEC Br. 30), one candidate's advertisement
does not become less effective simply because a compet-
ing candidate also engages in effective electoral advo-
cacy. Two advertisements by opposing candidates may
be directed to, reach, and persuade entirely different
audiences. And from the standpoint of First Amend-
ment values, two advertisements certainly are prefera-
ble to none. Electoral competition is not a cogmzable
burden under the First Amendment.

30)

I. THE ARTZONA ACT IS VALID UNDER ENACTING SCRU

TINY

Because petitioners have not established any “se-
vere” burden on their speech, the Act is subject net to
striet serutiny, but to the more flextble standard that
this Court has termed “exacting serutinv.” Under that
standard, the Act is valid because it bears a “'substan-
tial relation’” toa “sufficiently important’ gevernmen-
talinterest.” Crfrzens United, BOS. Ct. at 914 (quoting
Buckley, 424 ULS. at 64, 66).

AW Anzona’s Public- Financing Scheme Furthers Important

.
?
{

Government Interests

In Buckley, this Court recognized that public finane
ing of candidate campaigns, by obviating the need for
candidates to raise funds from private sources, combats
both corruption and the appearance of corruption by
“eliminating the improper influence of large private con-
tributions.” 424 U.S. at 96. This Court has repeatedly
held that the government's interest in preventing actual
and apparent corruption ts not simply important, but
compelling. See, eg.. NOPAC, 470 US. at 496-497. Pe-
titioners contend (AFEC Br. 55-56; MeComish Br. 68
v1), however, that the Arizona Act’s mateching-funds pro-
Visions are not substantially related to an important yov-

“In Buckley. the Court suggested that a claim that s publie-financing
system invidiiously discruminates myrht be reviewed under a more per:
missive standard because public financing “is not restricuve of voters’
rights and {is] cess restrictive of candidates” rughts than are ballot-ae
cess regulations that have been reviewed under enacting scrutiny. 424
US. at M4. The Court did not resolve that question, but upheld tre
Presidential Prowary Act and Presidential Fund Act as furthering “sut-
ficiently important governmental interests.” J/g at Ss. Tre Court can
do the same here.

Oornment interest because Arizona’s contribution limits
separately eliminate any meaningful danger of eorrup-
tion. That argument lacks merit.

1. States are not free to set contribution limits as
low as they may think necessary to combat corruption.
A contribution limit may be struck dewn as unduly low
ifit “prevent[s| candidates from ‘amassing the resourees
rocessary for effective [campaign] advocacy” Randall,
O48 US. at 248 (opinion of Brever, J.) (second brackets
in original); see dd. at 248-249) That Arizona has linnited
contributions to a partieular dollar amount does not
mean that no eontinuing risk of corruption exists,

As petitioners note (MeComish Br. 75-76), moreover,
a single individual can “bundle” many contributions to
gether. And an effective Arizona campaign may raise
and spend sizmificant sums. Petitioners presented in
support of their stay appheation the declaration of a
2010 gubernatorial candidate that he planned to raise
and spend mere than $1 million, see J.AL 9895: the
amount of the initial grant te publicly funded gubernato
rial candidates for the 2010) primary election was
S707 447. State Resps. Bro 6 n.8. In the 2002 gubernato-
rial election, one candidate raised and spent more than
$2 million. See Matt Salmon for Governor, 2602 Pos!
General Bleetion Report (Dee. 5, 2002), http: www.
azsos.govets PublicReports 2002 8489SCRER-CAQF
ABEO-BICO-TAGALESDOEDYS pdr Petitioners cannot
plausibly claim that the raising of such significant sums
entails vo possibility of a eandidate’s exehanging contr
butions for favors.

2. The Court in Buedley upheld doth the limits on
contributions to federal candidates, see 424 U.S. at 25
37, and the provisions that authorize public finaneing of
presidential campaigns, see ra. at 80-108. The Court

wy
as

observed that, even under campaign-finance liws that
limit the amount of money a candidate ean receive from
any single source, candidates still face “the burden of
fundraising.” /d at 6. Indeed, centribution limits in-
crease “the rigors of soliciting private contributions” by
requiring candidates Co raise funds from a greater num

ber of donors. Jord. In addition to reducing the danger
of actual or apparent corruption, pubhe financing re-
heves candidates of “the burden of fundraising.” thereby
freeing them to foeus on issues of public concern. See
dat 9-96. Buckley makes clear that Arizona’s adep-
tion of contribution limits does not prevent it from also
offering Voluntary public tinaneing. both to further re

duce the danger of corruption and to obviate the need
for participating eandidates to spend time seheiting: pri

vate donations.

Bo The Matching. Funds Prevision Is An integral And Con
stitutionally Permissthle Component Of The Arizona
Act

Under exacting serutiny, the State need not show
that the matching-funds provision is the ond wav to
offectuate its interest in preventing corruption, or that
itis the narrowest wav. Cf. eg. Lorillard Tobacce Co.
Vv. Rely. A838 US. 525, 556 (ZOOL) (no least-restrictive-
means test under see pong ery serutiny): Ward v. Rock

Against Racism, AML ULS. TS1, TOS (1989) (same). Rath-
er, it need only show ton Misa calrd way. As the court
of appeals correctly held, the State has satisfied that
requirement,

i. A necessary component of any pubhie-finaneing
scheme ts a formula for determining the amount of mon-
ey that each participating candidate will reeeive. In or.
der for Arizona's voluntary public-finanemmyg regime to

“-
“<-

attract participants. and thereby achieve the State's
Important purposes, those amounts must be hugh enough
to give candidates reasonable confidence that they wall
be able to run competitive campaigns. See Pet. App. 36
(°A public financing system with no participants does
nothing to reduce the existence or appearance of quid
pro quo corruption.) Matehing funds provide that as
surance. See, eg, State Resps. Br. 54-55, Clean Elee-
tions Inst. Resp. Bro 47-48. Although the State could
also provide the requisite assurance simply by paying
out very large sums to all candidates who satisfy the
statutory requirements, that approach would waste pub
he funds in the many clections where such large grants
are unnecessary either to enable candidates to run effee-
tive campaigns or to persuade them to elect public t-
naneing. See Pet. App. 37 Cll} the Act were to raise
the amount of tts lump-sum grants and do away with
matching funds altogether, it would make the Act pro-
ibitively expensive and spell its doom.”).

The matehing-funds provision is thus an appropri.
ately tulored way of making the public financing
scheme attractive to candidates, thereby enabling the
system to achieve its Important purposes, without un-
necessarily burdening the pubhe tise. Petitioners ac
knowledge (MeComuish Br. 84-85) that the State could
constitutionally give participating candidates the mani.
mum amount of tunding in a single lump-sum payment
at the outset, instead of one-third at the outset and the
remaining two thirds in matching funds, when trig.
gered. Butaifthe State can make the program just as ef:
fective and attractive, and encourage Just as much par-
ticipation, while spending less money on hopeless cand.
dacies or uncompetitive races, that is deffer tailoring,
not worse

at)

2. There is hkewise no merit to petitioners’ conten,
tion (APEC Br. 35-48; MeComish Br. 64) that the Art
zona Act's matching-funds previston runs afoul of a per
ceived constitutional ban on state efforts to “equalize”
political expression. To be sure. this Court has rejected
the proposition “that a candidate’s speech may be re
stricted in order to level electoral opportunities.” Darers,
oo4 US. at 742 Unternal quotation marks omitted); see
Buckley, A2A US. at AS-49, 56-57) Arizona therefore
could not hmuta privately financed candidate’s campaign
expenditures inorder to produce parity of resources as
between that candidate and his publicly financed oppo
nent. But neither the Act as a whele nor its matehing
funds provision imposes any restriction on petitioners’
own spending.

So long as the State does not restrict private speech,
iis not foreclosed from all efforts to ensure that eand)
dates Who eleet pabhe financing can have approximately
the same electoral opportunities as those who deo not. In
Buckley, for example, the Court upheld Congress's deci
sion to provide equal funding to the prestdential candi
dates of both major parties, regardless of the relative
performances of the two parties in the most recent elee
tion. See 424 ULS. at 98 1.188. In particular, nothing: in
this Court’s decisions supperts the counter intuitive
proposition that a State. in caleulating the amounts to be
paid to candidates Who have chosen to participate in the
State's public-fnancing system, cannot use as a bench
mark the sums raised and spent by participants’ pri
vately financed opponents.

In devising a payment formula, Arivona ean reason
ably seek to provide funding: that is sufficient, but not
greater than necessary, to allow participating candi
dates to run competitive campaurns. And the most obvi-

ous Measure of the amount necessary to be competitive
is the amount being spent by competitors. Tf Arizona
had chosen to provide the same level of funding to all
participating Senate candidates, i could surely have
caleulated the appropriate amount by reference to the
average cost of prior privately financed Senate cam.
paigns. The First Amendment does not prevent the
State from using the more nuaneed matehing-fund
mechanism, which recognices that the cost of an effee-
tive campaign depends in parton the circumstances of
a particular election
CONCLUSION

The judement of the court of appeals should be
alfirmed,

Respectfully submitted.

NEAL RUMAR RATYAL

Acting Solicitor General
Pony West

Assistant Afllorney (se aft ral
MatcoumM LOSTEWAKI

Ih putu Solicitor General
WintiamM M. TAY

Assistant fo flit Nolieitoer

‘ re nema

FEBRUARY ZOT]

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385015_0642%3A16. Public record. Not legal advice.
