Opponent accused of campaign finance violation by SLO County District 4 Supervisor

Dave Alley

ARROYO GRANDE, Calif. (KEYT) – San Luis Obispo County District 4 Supervisor Jimmy Paulding has accused opponent Adam Verdin of violating campaign finance rules.

Paulding announced this week he has submitted a formal complaint to the California Fair Political Practices Commission (FPPC), with a copy provided to the San Luis Obispo County District Attorney’s Office, requesting an investigation into the alleged violation of local campaign finance law.

“The complaint, essentially, says that there is a local contribution limit how much somebody can donate to a local political campaign, and that is $5,900, and in this particular case, my opponent, Adam Verdin, has taken twice that limit from a local developer,” Paulding said in an interview with News Channel 3-12 on Wednesday. “I think that that’s problematic and I think the voters of District 4 deserve transparency.”

In question by Paulding is a pair of $5,900 donations to the Verdin campaign from Covelop, Inc., a San Luis Obispo-based real estate development company.

“When I joined the Board of Supervisors, I voted to reduce the limit from $25,000 per individual business or political action committee down to $5,900,” said Paulding. In this particular case, my opponent has taken, $11,800 from (Covelop, Inc.). 

Paulding, who is seeking a second term as District 4 Supervisor after first winning the seat in 2022 state in a statement this week, he is asking for “a thorough and impartial investigation into whether Verdin’s campaign knowingly violated contribution limits and whether any additional enforcement action is warranted.”

“What is important is that we see any local candidate play by the rules, play by our local rules,” said Paulding. “The complaint to the Fair Political Practices Commission simply asks is this legal? Is this ethical? Can you look into this? The Fair Political Practices Commission will undertake an investigation. It could result if there is a violation in either civil penalties or criminal penalties. The matter has been referred to the District Attorney as well. It’s his job to determine what authority he has over the matter and I did get a response from him saying that he would have his Public Integrity Unit look into this.”

In response, Verdin has denied wrongdoing and also spoke to News Channel 3-12 on Wednesday regarding the allegations.

“We followed the law,” said Verdin. “We’ve properly allocated $5,900 towards the Primary Election and towards the General Election. “Right now, from now until March 6th, somebody else can join the race, in which case it would likely get pushed to a General Election. We can’t touch that money allocated for a General Election if there’s if there’s no General Election, then we return that money to the donor. It’s pretty black and white, and frankly, there’s no controversy here.” 

The South County businessman and pilot is participating in his first political race. He expressed disappointment he is needing to defend him even though he states he followed the election law that Paulding supported earlier in his term. 

“Supervisor Paulding has run for office, this would be his fourth campaign,” said Verdin. “He has a very strong campaign team that are very experienced. I would say that they are very knowledgeable about these set of rules. As a matter of fact, Supervisor Paulding voted on this, so I just think it’s an opportunity for him to make a headline and I think these kind of allegations distract us from the important issues of our county.”

Verdin added he is optimistic that any forthcoming investigation would clear him of any unfair or illegal financial

“The allegations simply are incorrect in the interpretation of the law and it’s well-established law,” said Verdin. “I really look at it like it’s behind me. We have significant issues in this county, that myself as a candidate, and my opponent as the incumbent, should be focused on and I don’t think this is one of them.”

District 4 in San Luis Obispo County represents Nipomo, Arroyo Grande, Oceano, Huasna, Edna Valley, California Valley and other unincorporated portions of the South County.

Voting for the seat will be held during the Primary Election on Tuesday, June 2, 2026.

A candidate will need to capture a majority of votes in June to win the election. If not, a runoff will take place during the General Election on Tuesday, Nov. 3, 2026.

Whoever wins the race will be sworn in early January 2027.

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