We found twenty-four states with programs that provide public funds for use in political campaigns. The programs can be divided into two broad categories: (1) those that provide funds to political parties and (2) those that provide funds directly to candidates. Some states operate both types of programs and several provide a tax refund, credit, or deduction to citizens as an incentive to make political contributions.

Of the 24 states with some form of public financing, 13 have programs that provide funds to candidates. But only Arizona and Maine fully finance the campaigns of statewide and legislative participating candidates (those who agree to forgo private fundraising in exchange for public funds). Vermont offers full public financing for gubernatorial candidates only.

The remaining ten states operate partial public financing programs with varying degrees of success. In most of these states, grants cover a portion of the candidate's campaign costs, and he must raise private funds to cover the remainder. According to the National Conference of State Legislatures (NCSL), these programs typically rely on income tax check-offs or add-ons and legislative appropriations for their funding.

Table 1 provides an overview of states’ public financing programs.

TABLE 1: OVERVIEW OF STATES’ PROGRAMS

Sources: (1) NCSL and (2) phone conversations with states’ elections divisions

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