Overview
Democracy Credits are a public funding mechanism designed to empower voters and elevate reform candidates who refuse Big Money. They give every eligible voter the ability to direct public campaign funds to candidates of their choice — without needing to open their wallet. Candidates who opt in agree to reject large private donations, operate with full transparency, and remain firewall-compliant.
This strategy builds on successful models in Seattle and New York, offering a scalable, enforceable alternative to the pay-to-play system dominating state and national elections.
How It Works
- Every registered voter receives a small-dollar Democracy Credit (e.g., $25) to allocate to the candidate of their choice in eligible local or state elections.
- Only firewall-compliant candidates — those who meet transparency and clean-funding requirements — are eligible to receive Credits.
- Credits can be redeemed as part of the candidate’s campaign budget, funded by a publicly managed pool.
This allows voters to support viable candidates who align with their values — even if they can’t donate money themselves.
Proven Models
Seattle, WA — Democracy Vouchers
- Voters receive four $25 vouchers to assign to city candidates
- Participation in campaign funding doubled between 2015 and 2021, with roughly 48,000 voucher users in 2021 compared to around 20,700 in 2017 (Seattle.gov report, 2023)
- Significant increase in participation from low-income and first-time donors
- In the 2017 election, 17 candidates qualified for the voucher program, and 9 were elected to office
New York State — Matching Funds System
- State legislative candidates are eligible for tiered matching funds: $12-to-$1 for the first $50, $9-to-$1 for the next $100, and $8-to-$1 for the final $100 — up to $250 per donor (New York PCFB)
- First statewide implementation of a scaled small-donor model
- Funded from general revenue without new taxes
- As of early 2024, 329 candidates have registered for the program. Full data on donor diversity and participation patterns is pending more detailed analysis (City Limits, May 2024)
Both systems proved that public financing can work at scale, improve representation, and strengthen voter trust. But both also revealed limitations when dark money and outside spending remain unchecked.
That’s why Citizens Rise pairs Democracy Credits with firewall enforcement — to make sure the public funding model isn’t undermined from the outside.
Implementation Strategy
- Phase 1: Launch Democracy Credits at the local or state level through ballot initiative or legislation
- Phase 2: Tie eligibility to firewall compliance and real-time transparency rules
- Phase 3: Build public support through education and high-visibility candidate participation
Phase 4: Monitor outcomes and adjust thresholds, funding caps, or eligibility as needed
Cost and Scalability
- Local implementation (e.g., city council): ~$2–5M/year
- Statewide implementation (e.g., legislature + executive): ~$20–50M/year
- Federal-scale vision (future): Could be expanded through a refundable federal tax credit, giving every U.S. voter a small annual matchable contribution to donate to qualifying candidates. This would shift federal incentives without requiring a new federal bureaucracy or tax increase
This scaling path allows Democracy Credits to grow as firewall reforms gain traction, rather than trying to fund the entire transformation up front.
Why It Matters
The vast majority of Americans never donate to campaigns — not because they don’t care, but because they know it won’t matter next to billionaire donors and Super PACs. Democracy Credits flip that equation. They make every voter a potential campaign funder, and every election a contest of public trust — not private wealth.
By tying these Credits to firewall compliance, Citizens Rise ensures they’re used to support candidates who meet the highest standards of transparency and accountability.
This is how we make small-dollar democracy real — one race, one state, one reform at a time.