Arizona Court of Appeals rules on voter-approved dark money law

The Arizona Court of Appeals declined to restrict the Arizona Clean Elections Commission’s ability to make rules to enforce a voter-approved dark money law.

The Voters Right to Know Act, which was approved by 72% of voters in 2022, requires people or organizations that spend more than $50,000 on statewide races to disclose donors who have given them at least $5,000. The same disclosure requirement is in place for groups that spend more than $25,000 in other races.

Top Republican state lawmakers filed a lawsuit arguing parts of the law violate the legislature’s constitutional authority by, among other things, delegating legislative rulemaking authority to the Clean Elections Commission, the body charged with enforcing the Voters Right to Know Act.

But an Arizona Court of Appeals panel upheld the parts of the law allowing the Clean Elections Commission to enforce it, finding Arizona voters have the power to delegate legislative authority to the commission.

“Like the Legislature, the people can enact laws that include broad—but again not unbounded—delegations to the executive branch. And, like the Legislature, the people have occasionally done so,” according to the opinion authored by Acting Presiding Judge Michael Catlett.

The three-judge panel also denied the legislative leaders’ attempt to throw out the rules the commission has so far adopted following the passage of the Voters Right to Know Act.

Toma and Petersen did succeed in their attempts to, for now, block one part of the law, though.

The Appeals Court panel reversed a lower court decision and issued an injunction blocking a separate part of the law that said the legislature cannot pass any law that limits the commission’s authority.

The court found that section unconstitutionally limits the legislature’s authority to make laws.

“If the Legislature is correct that [the law] stops it from legislating when doing so prohibits or limits a Commission rule or enforcement action, then it is sustaining a direct injury to its constitutional authority,” according to the opinion.

Arizona’s Voter Protection Act already prohibits the legislature from passing legislation that infringes on laws approved by voters at the ballot.

But attorneys for Republican lawmakers argued the restrictions in the Voters Right to Know Act go further, and could prevent the legislature from passing laws regulating the Clean Elections Commission, even if those laws don’t violate the Voter Protection Act.