Campaign donors must be a legally registered voters in the district the ballot is cast.
All campaign donations must be local, both for politicians and for ballot initiatives. This eliminates “corporate” and other entity donors. It eliminates out of district and out of state donors to local elections.
If it is not legal for you to vote in any given district, you cannot donate to any campaign in that district.
This puts the power back in the hands of the people, the voters. Politicians will have to answer to their constituents. Ballot initiatives will only be influenced by the people they effect.
And, to be effective, any entity that intends to campaign on a specific politician or ballot initiative can only raise funds from registered voters in the district the ballot is cast.
This will have a monumental effect on legislation and our legislators. Issues like voter ID, term limits, and insider trading by individuals in the legislator will be resolved very quickly with the pressure that will be applied by the limited number voters who would available to donate to their campaigns.
To those who will say, that will not provide enough funds in some areas to even run a campaign, those areas do not need big campaigns. All competitors in an election will be limited to the same pool of donors/voters.