Mackinac Center files federal lawsuit to block requirements of Michigan Proposal 2
A federal lawsuit challenging the basis of Michigan's Proposal 2 was filed almost immediately after the polls closed on Election Day.
Dubbed "Money Out of Politics," the proposal appeared on the Nov. 3 ballot and sought to ban utility companies, contractors with over $250,000 in annual government contracts, and people and organizations with a significant connection to those companies or contractors from making campaign donations to politicians or political party committees.
The Michiganders for Money Out of Politics led the effort to get the issue on the ballot. The Protect MI Free Speech committee opposed the measure.
When it went to voters, Michigan residents were overwhelmingly in favor of Proposal 26-2, with 3,471,071 in favor to 809,414 against, according to an Associated Press vote count with 95% of precincts reporting. That's 81.1% in favor and 18.9% against.
The Mackinac Center for Public Policy filed its federal lawsuit on Nov. 3 in the U.S. District Court for the Western District of Michigan against Michigan Secretary of State Jocelyn Benson and Michigan Attorney General Dana Nessel in their official capacities.
The lawsuit attempts to block some of the requirements of the voter proposal. There is a short time frame to make that effort. The Michigan State Board of Canvassers is required by law to certify the results no later than Nov. 23. Proposal 26-2 is to take effect 10 days after that certification, which sets an effective date no later than Dec. 3.
"Under the guise of regulating campaign finance, Proposal 2 targets everyone who spends money speaking about public policy if they talk about an elected official at the wrong time or with the wrong words," the complaint said.
"Those who do so must report who they are speaking about, how much they spend on their speech, and sometimes who their donors are. It is an alarming and far-reaching law. It also violates the First Amendment," the Mackinac Center said.
The lawsuit claims that no exception appears to apply under the proposal's language to news organizations.
The Mackinac Center also says its own speaking, advocacy, and media activity could fall under the proposal's definition of "electioneering communications" because its content could be construed as supporting or opposing a candidate or ballot issue; when, historically, it has been "free to discuss candidates within the context of its issue-focused advocacy."
The Mackinac Center, based in Midland County, is a nonprofit, nonpartisan corporation that advocates for free markets and limited government. They are represented in the lawsuit by The Institute for Free Speech.
