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California Fines Influencers for Undisclosed Political Ads

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Gov. Gavin Newsom signed legislation Saturday empowering California campaign finance regulators to fine social media influencers up to $5,000 per violation for failing to disclose paid political content. The state has required such disclosures for state and local campaigns since 2023, but previously lacked enforcement mechanisms against content creators.

Assemblyman Marc Berman introduced the bill after reports that politicians quietly paid influencers during California's heated gubernatorial primary. Billionaire Tom Steyer paid dozens of creators to post favorably about his campaign on TikTok, YouTube, Instagram, and Reddit, but many initially omitted written disclosures. This triggered complaints to the Fair Political Practices Commission against the Steyer campaign and at least one against his rival, Xavier Becerra, who won the primary and will face Republican Steve Hilton in November.

The Commission investigated Steyer's campaign in May, closing the inquiry after finding he properly notified influencers of disclosure requirements and reminded them when violations were discovered. Another investigation remains pending. Texas also mandates online political ad disclosures, while Congress and states including New York consider similar rules.

The law was among 13 social media and election bills Newsom signed as a package.