San Jose Mayor Matt Mahan has been assessed a $27,500 fine by the Fair Political Practices Commission (FPPC) for violating government transparency laws due to late disclosures of political donations. The state ethics body found that Mahan failed to timely report over $2.3 million in “behested” payments donations made at his request to two nonprofit organizations. The majority of these funds were directed to Back to Basics California, a political advocacy nonprofit closely tied to Mahan that was established to advance his policy agenda.
The FPPC settlement details 38 undisclosed payments made between 2024 and 2026, which included $1.9 million from roughly three dozen donors to Back to Basics California (such as a $1 million contribution from crypto executive Chris Larsen) and a $400,000 payment to the San Jose film festival nonprofit Cinequest. Under California’s Political Reform Act, elected officials are required to disclose behested payments exceeding $5,000 from a single source within 30 days.
Investigation Findings and Staff Responsibility:
Commission officials noted that the regulatory lapses resulted from staff negligence and a misunderstanding of filing requirements rather than intentional misconduct. Crucially, the violations came to light because Mayor Mahan voluntarily self-reported the errors to election authorities without prompting from media or enforcement inquiries, while also fully cooperating with the investigation.
jim Reed, Mahan’s former chief of staff who left City Hall in December to lead Back to Basics California, accepted full blame for the oversight. Reed stated that while they attempted to file disclosures through the city’s public process, he failed to submit the required reports to state authorities. Although the violations carried a maximum penalty of $80,000 under state law, the FPPC reduced the fine due to Mahan’s proactive self-reporting and cooperation.
