IEE Depletes Budget for PES Funds

IEE faces budget crisis as PES demands increased funds, leading to financial difficulties and disruptions in political party allocations in Baja California.

## IEE Exhausts Funds from Allocations to PES

In an uncommon event, the State Electoral Institute (IEE) of Baja California has sought an additional budget from the State Congress to cover the expenditures for political party prerogatives. This unusual situation arose because the funds originally allocated for the payments to political parties ran out halfway through the year.

The deficit faced by the IEE was not due to mismanagement or negligence by the General Council but stemmed from significant errors in legislative reforms made by the State Congress, as well as legal maneuvers by representatives of the Solidarity Encounter Party (PES). These issues led to a disproportionate allocation of resources to PES, a party associated with the children of former Hongo inmate Jorge Hank Rhon. In 2024, PES received over 100 million pesos — three times more than Morena, the party that won the last two elections in 2021 and 2024.

Despite receiving such vast amounts of money, PES dramatically fell in political rankings. Once considered the second political force in Baja California with representatives in multiple municipalities and three deputies, PES barely secured 3% of the votes required to maintain its registration.

Political parties in Baja California are entitled to receive public funds as long as they secure at least 3% of the votes in the deputy elections. The distribution of budgeted resources is divided equitably by 30%, with the remaining amount proportionally allocated based on the number of votes each party obtained.

Following a six-month legal process, which ended in favor of PES against the deputies and Morena in the Guadalajara Chamber of the Federal Electoral Court, it was concluded that the funds allocated to PES were justified. Consequently, the IEE had to remit over 114 million pesos to PES in campaign and operational expenses. This unexpected increase was not originally accounted for in the IEE’s budget, resulting in the current financial shortfall.

As part of its ongoing efforts to meet financial obligations, the IEE has redirected funds from other areas to fulfill the payments to political parties. The initial projection for PES in 2024 was 16 million 153 thousand 728.86 pesos, plus 4 million 846 thousand 118 pesos in campaign expenses. After legal adjustments, their prerogatives soared to 88 million 026 thousand 168.04 pesos, with seven million pesos allocated monthly and an additional 26 million 407 thousand 850.41 pesos for campaigns.

### IEE Requests Bi-monthly Budget Extensions for PES Payments

Despite PES and Morena claiming to be independent entities, the administration of Marina del Pilar Ávila Olmeda has facilitated connections with affiliates of Jorge Hank Rhon. Although they registered as a coalition initially, national mandates triggered the dissolution of this political alliance. This created a conflict, leading to significant expenses covered by Baja California taxpayers.

In November 2023, the IEE calculated the budget for political parties for the approaching election year. Based on the rules set by the State Congress and the General Law of Political Parties, Morena topped the financial distribution list with 28 million 778 thousand 942.90 pesos, followed by PES and the National Action Party (PAN). Morena received an additional 8 million 633 thousand 682.87 pesos for campaign expenses.

PES objected, arguing that the State Congress lacked the authority to legislate on local political parties and should adhere exclusively to the Federal Law. A reform by the local Congress in May 2023 halved political party budgets, but PES, being a local party governed by federal rules, was not subject to this legislation.

President of the General Council, Luis Alberto Hernández Morales, acknowledged on August 5 that the IEE requested another budget extension from the deputies due to the lack of funds for political financing.

Out of the 498 million pesos available to the IEE, 106 million 538 thousand 554.58 pesos were meant for covering party expenses. However, a Supreme Court of Justice review found that the legislative reforms proposed by Morena unfairly impacted local parties, allowing PES’s budget to balloon to more than 100 million pesos. Hernández Morales stated that the latest budget extension aimed to cover political party payments, and there were no funds available for July and August distributions or for the rest of the year.

### Secondary Article: Electoral Budget Crisis Amplified by Court Ruling

The ongoing financial crisis faced by the IEE underscores the challenges arising from legislative and judicial decisions impacting local political finances. A ruling from the Guadalajara Chamber of the Federal Electoral Court affirmed the PES’s claim, disregarding proposed budget cuts. This resulted in the IEE needing to parse out funds from other essential areas to comply with the financial mandates benefiting PES. More than 74 million pesos are required for the remainder of the year, primarily allocated to PES due to the increased budget prerogatives.

The legal battle between Morena and PES highlighted systemic issues in the allocation of public funds to political parties, with calls for reforms to establish a more equitable system that reflects true electoral support rather than legal prowess.

Sources: Additional information and updates related to the topic can be found on various local news platforms.

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