A draft bill in California aims to impose penalties on influencers who fail to disclose if they were paid to produce political content. The bill, drafted by California State Assembly member Marc Berman, would allow the Fair Political Practices Commission to fine content creators up to $5,000 for each breach.
The proposed bill follows recent incidents where content creators released content aimed at influencing voters without disclosing they were compensated. This has led to discussions on whether disclosure rules around political advertisements should extend to content creators.
Current Disclosure Law
Under California’s existing disclosure law, passed in 2023, the state’s campaign watchdog can seek court orders requiring content creators to disclose whether they were compensated for content promoting political campaigns. However, this process is time-consuming.
California senator Adam Schiff introduced federal legislation last month that has yet to receive a vote. According to reports, groups are calling for the Federal Election Commission to pass a rule of its own.
Need for Transparency
Marc Berman said in a statement that voters “should have a right to know whether or not campaigns are paying for the messaging that they’re seeing.” This sentiment is echoed by the recent investigation into influencers who promoted Democrat Tom Steyer’s campaign for California governor, as a number who supposedly did not disclose are currently being investigated.
In similar cases, an influencer marketing agency paid content creators to defend Texas attorney general Ken Paxton following his impeachment for supposed bribery and misconduct. However, the creators did not clearly indicate they were compensated to do so.
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Comparing this situation to similar events in the past, it is clear that the lack of transparency in political advertising can have significant consequences. The use of influencers to promote political campaigns is a relatively new phenomenon, and regulators are still grappling with how to ensure that voters are aware of the potential biases and motivations behind the content they consume.
State-Level Disclosure Policies
California and Texas are the only two US states to pass policies mandating content creators to disclose information about paid political content. In 2024, Texas’s campaign watchdog passed a requirement for content creators to add disclaimers to content intended as political advertisements.
According to reports, the New York legislature is pondering a similar rule. However, Utah and Georgia failed to get disclosure bills passed, highlighting the challenges of implementing such policies at the state level.
The Fair Political Practices Commission’s ability to penalize creators and committees without going through the court process could streamline the enforcement of disclosure rules. As the use of influencers in political campaigns continues to grow, it is likely that more states will consider similar legislation.
They will likely face challenges in implementing these policies.
Regulators must ensure that voters are aware of the potential biases and motivations behind the content they consume.
