CFO Training

1. CFO Training Keepin’ It [Real] Legal

2. Election Finances and Contributions Disclosure Act

3. Three Political Entities • Registered Political Parties • Registered Candidates • Registered Constituency Associations (CA)

4. Nomination • With the rest of your nomination package you will have to name your official agent and pay a $500 deposit • The Official Agent is not necessarily the same person as the CFO, but can be

5. Pre-registration • Elections Alberta will be sending instructions over the next couple weeks for candidates to pre-register • Some Banks require registration papers to open an account, others do not • Check with your bank • CA pre-registration information has already been mailed out • All Pre-registration forms must be signed by me • I expect candidates to ensure their CA is ready

6. Contributions and Expenses • Contributions may be received and expenditures may be incurred: • By a Party, or a Constituency Association, when registered with Elections Alberta • By a candidate when: • Registered with Elections Alberta, AND • A Writ of Election is issued.

7. Campaign Period Contributions and Expenses • A Campaign Period starts on the day of the Writ and ends 2 months after Polling Day • Only the registered Candidate and the registered Party are allowed to receive contributions during the Campaign Period • Constituency Associations cannot accept donations during the Campaign Period

8. Contribution “Contribution” means any money, real property or goods or the use of real property or goods that is provided (i) to a political party, constituency association or candidate, or (ii) for the benefit of a political party, constituency association or candidate with its or the candidate’s consent, without compensation from that political party, constituency association or candidate;

9. Eligible Contributions • Individuals ordinarily resident in Alberta • Corporations that carry on business in Alberta • Trade unions or employee associations that hold bargaining rights for employees in Alberta

10. Prohibited Contributions • Individuals who are not ordinarily resident in Alberta • Corporations that do not carry on business in Alberta • Trade Unions or employee organizations that do not hold bargaining rights for employees in Alberta • Municipalities (cities, towns, villages) • Government-related or government-funded agencies (Crown Corporations, School Boards, Health Authorities, Housing Authorities, Public Post-Secondary institutions, Hospitals, Metis-settlements) • Anonymous contributors • Unincorporated groups • Contributions not belonging to a contributor

11. Contribution Limits Aggregate maximum of cash, goods and real property from a single source to: • Constituency Association: • Annually: $1,000 per contributor to one C.A. to a maximum of $5,000 within the same party • Political party • Annually: $15,000 per contributor • Campaign period: $30,000 less any annual amounts given in the year • Candidate: • Campaign period: $2,000 per contributor to one candidate to a maximum of $10,000 within the same party

12. Expenditure Limits • No limits on amount of expenditures • No limits on types of expenditures

13. Contribution Disclosure • All contributions must be accounted for and reported • Aggregate amounts over $375 are publicly disclosed (public files and website) showing: • Name • Address • Amount

14. Who Receives Official Receipts? • Any individual, corporation, trade union or employee organization that, during the year, in aggregate, contributes over $50 in money and/or valued contributions MUST receive an Official Receipt (Note: If the contribution is $50 or under and the contributor requests a receipt, you are legally required to provide one)

15. Why Are Official Receipts Issued? • Legally required by the EFCD Act (disclosure requirements) • Contributor receives a tax credit which may reduce Alberta Tax Payable

16. Tax Reciept

17. What About Leftovers? • Leftover money can be handled in several ways: • Kept in trust for the next election • Transferred to the party • Transferred back to the CA • Transferred to other party candidate(s) • Given to the government

18. Who Issues Receipts? • The Chief Financial Officer must record the following information for each donation: • contributor’s name • contributor’s home address • amount contributed • date the contribution was made and date the receipt was issued • type of contribution (i.e. money or valued)

19. CFO Responsibilities • Maintain accurate accounting of all receipts and expenses • Ensure contributions from a single source are aggregated • Notify CEO of contributions in excess of the limits, or from prohibited contributors (expectation that these amounts are rejected/returned) • File prescribed financial statements within 4 months of the election date • Retain records for minimum of 3 years

20. More CFO Responsibilities • General understanding of the EFCD Act

21. Financial Statements • Fairly basic reporting: • Balance financial accountability with ease to complete. • No limitations on expenditures BUT • Should not exceed revenue raised (i.e. losses) • Copy of “Official Contribution Receipts” are submitted to CEO • Documentation for revenue / expenses need not be submitted but must be retained • F/S are reviewed by CEO for compliance and disclosed publicly • The campaign financial statement is separate from the CA financial statement

22. Contact Elections Alberta • On the Web: ‘www.elections.ab.ca’ • Email Finance Department: finance@elections.ab.ca • Phone: (780) 427-7191 (General) (780) 427-6698 (Matthew Dennis) (780) 427-1036 (CJ Rhamey)