Daria Ilgen Proposes Washington Campaign Donor “TRUST Act” to Close Campaign Finance Loopholes

Transparency and Responsible Use of Surplus Transfers Act would require greater scrutiny of large charitable transfers, disclose potential conflicts, and strengthen accountability after elections.

POULSBO, Wash. — Daria Ilgen, Democratic candidate for State Representative in Washington’s 23rd Legislative District, today announced the TRUST Act (Transparency and Responsible Use of Surplus Transfers) a proposal to strengthen transparency and accountability for campaign contributions that remain after an election.

“When someone gives $25, $50 or $100 to a campaign, they’re putting their trust in a candidate and what that campaign stands for,” Ilgen said. “That responsibility doesn’t end on Election Day. Campaign contributions aren’t personal money, and the public should know that every dollar is handled responsibly from the moment it comes in until the moment it leaves.”

Washington law already limits how surplus campaign funds may be used, including allowing donations to charitable organizations registered with the Washington Secretary of State. But existing law does not require a documented due-diligence review before a campaign makes a significant charitable transfer.

The TRUST Act would add reasonable safeguards and accountability.

For any charitable transfer exceeding $5,000 - including multiple transfers totaling more than $5,000 to the same organization within a 12-month period - a campaign would have to complete and retain documented due diligence before the money is released.

That review would require the treasurer to confirm the organization’s legal eligibility, charitable and tax status, financial disclosures, operating history, and basic legitimacy, including a verifiable address, public contact information, functioning website, and evidence of ongoing programs or services.

The recipient would also certify the intended charitable use of the funds.

“These are basic checks that should happen before thousands of dollars leave a campaign account, not after the fact,” Ilgen said. “If the law says an organization must meet certain requirements to receive campaign money, we should make sure those requirements have actually been verified before the check is written.”

The TRUST Act would also strengthen protections against conflicts of interest. Candidates and campaign treasurers would have to disclose significant financial, employment, governance, family, or other material relationships with an organization receiving a large charitable transfer. A transfer that directly financially benefits the candidate, treasurer, or their immediate family would be prohibited.

The legislation would further prohibit charitable surplus transfers from being coordinated or structured to pay expenses that would otherwise constitute campaign or political expenses benefiting the candidate.

For significant transfers to organizations headquartered outside Washington, the TRUST Act would require a clear Washington nexus. Funds would have to be specifically directed toward programs, services, or activities that substantially benefit Washington residents.

That distinction matters because Washington law requires a charitable recipient of surplus campaign funds to be registered under the state’s charitable solicitation laws, but organizations headquartered outside Washington can also register with the Secretary of State. Registration alone therefore does not necessarily mean campaign contributions ultimately benefit Washington communities.

“If Washington residents contributed the money to a Washington campaign, there should be a clear connection back to the people and communities of our state when significant amounts are later redirected to charity,” Ilgen said.

The TRUST Act would also establish clearer rules for substantial campaign balances retained after an election.

Current law allows candidates to retain surplus funds for a possible future campaign for the same office and requires lawful disposition if that subsequent campaign is not pursued, but it does not establish a specific statutory closeout deadline.

Rather than duplicating existing PDC expenditure-reporting requirements, Ilgen’s proposal would establish a reasonable carry-forward limit and require candidates holding substantial surplus balances to provide an annual certification showing the amount remaining and a clear accounting of expenditures made from those funds. If a candidate does not file for the same office during the next regular election cycle, any remaining surplus would have to be lawfully disposed of within 90-days after candidate filing closes, subject to existing campaign-finance requirements.

Ilgen said the purpose is not more paperwork for its own sake, but stronger safeguards to close this campaign finance loophole before additional violations that further erode public trust occur.

“The TRUST Act applies lessons from recent ethics and campaign-finance violations to close gaps in the law and strengthen safeguards against self-dealing and personal benefit,” Ilgen said. “Campaign contributions are given in trust, and surplus funds should be handled transparently, responsibly, and for legitimate purposes. Accountability and trust are two of the most consistent themes I hear from voters, and I intend to bring both to Olympia.”

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