AGENDA ITEM EXECUTIVE SUMMARY
ITEM TITLE*
title
Town Code Chapter 2, Article IV Amendment: Campaign Contribution Limitations
presenter
RESPONSIBLE STAFF, TITLE, DEPARTMENT*
Brittney Hunt, Town Clerk, Town Clerk's Office
STAFF RECOMMENDATION*
Staff recommends that Council enact the attached ordinance to update the municipal campaign contribution limitation and disclosure exemption thresholds for the 2027 municipal election cycle. The updated ordinance applies a CPI-only adjustment method, as directed by Council, and sets the maximum individual contribution at $390.00 and the contribution disclosure exemption at $40.00.
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ACTION/DECISION POINTS*
Council must approve or reject the updated campaign contribution limitations that have been recalculated using the Town's adjusted formula. Beginning with the 2026 update cycle, the calculation methodology now uses only the biennial Consumer Price Index (CPI) change, per Council direction, to ensure that the Town's campaign finance thresholds remain inflation-responsive and never decrease between adjustment cycles.
LEGISLATIVE CONTEXT*
Chapter 2, Article IV of the Town Code establishes Chapel Hill's municipal campaign disclosure and contribution limits. These limits are adjusted every even-numbered year.
Historically, as documented in the Town's prior ordinance 2024-04-24_O-1_Town Code of Ordinances Regarding Campaign Contribution Limitations, the formula required adjustments based on:
* The change in CPI since January 1 of the prior even-numbered year; and
* The number of active registered Chapel Hill voters relative to a statutory base of 40,000 voters.
Council has now directed staff to remove the voter registration component and adjust the thresholds solely based on CPI regarding the desire for a simpler formula and predictable inflation-based growth.
BACKGROUND AND CONTEXT*
Since 1999, Chapel Hill has maintained its own contribution limits under special legislation, setting lower caps than state law. Council las...
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