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New York City - USA Matching funds system

An alternative way to distribute public funding is the matching funds system in which the government matches all or part of the funds raised privately by electoral contestants. New York City has adopted such a system called “New York City’s multiple match public financing system”. New York City provides public money to candidates (capped at 55% of the maximum amount that a participating candidate is allowed to spend) in exchange for the candidate’s acceptance of expenditure limits and enhanced disclosure. This system supercharges small contributions by matching up only the first $175 of each eligible contribution - even if candidates can receive contributions larger than $175 - at a six-to-one ratio.[1] Before becoming eligible to receive matching funds, participating candidates must first meet a “qualifying threshold” by gathering contributions from a certain number of constituents depending on the type of election (mayor, comptroller or city council). This system creates an incentive for candidates to rely on small donors.



[1] Thus, for a contribution amounting to $50, the match amount will be $300 and the overall value of the contribution will be $350.