Some state lawmakers are trying to repeal a new provision of the campaign-finance law that severely restricts corporate money in elections.

Corporate officers since 1997 had been able to use unlimited amounts of money from their treasuries for political action committees that could donate to candidates. But changes in the law that took effect in January limit corporations to using $1,000 in corporate money for PACs during the primary and $1,000 for the general election.

The state Campaign Spending Commission has defended the restriction as necessary to limit the influence of corporate money on politics. Some lawmakers, however, said the change was inadvertent and want it repealed before it has an effect on upcoming elections.

"No one, including the attorney general, thought that was the intent," said Senate Majority Leader Colleen Hanabusa, D-21st (Nanakuli, Makaha), who has supported a bill clarifying the law.

The bill has been approved by the Senate and is now pending in the House.

The campaign-finance law approved last session limits Mainland political contributions and prohibits donations from contractors who do business with the state or counties. The restriction on corporate money has been mostly overlooked as people have focused on the Mainland contribution limits, which Democrats hoped would reduce Gov. Linda Lingle's national fundraising ability.

The restriction puts corporations on the same level as individual political donors, who can only give $1,000 to PACs during a primary and $1,000 for a general election. Individuals at corporations are still able to donate $1,000 of their own money during each election to corporate PACs.

Barbara Uphouse Wong, the executive director of the Campaign Spending Commission, told the Senate in testimony that the restriction "amended the campaign finance laws to level the playing field and to stem the flow and influence of campaign contributions from corporations and other entities."

Jean Aoki, of the League of Women Voters of Hawai'i, told the Senate that the bill would weaken the law and allow corporations to funnel money to candidates through PACs. "We realize that fundraising is hard work and no fun. We realize that campaign finance reform laws make fundraising increasingly more difficult," Aoki wrote in testimony. "We also realize as we limit the donation limits, candidates need to work even harder to raise the same amount of money.

"But then, we need to weigh that against the perception and the reality that in too many instances, money not just influences but determines public policies."

The Hawai'i Transportation Association, which represents the trucking industry, and GEICO, an auto-insurance company, favor the bill so corporations can continue to have a voice in the legislative process. The transportation association argued that "there is no question of the source of funding when a corporation uses funds from its own treasury to fund its noncandidate committee."

Fundraising for the upcoming elections is approaching full throttle, and some believe the changes to the law already have had some impact.

Sam Aiona, chairman of the state Republican Party, said some potential donors are concerned. "There are various interpretations of the new law," he said. "It is setting us back."

Reach Derrick DePledge at ddepledge@honoluluadvertiser.com.