The for the People Act: How Key H.R. 1 Provisions Would Fix Democracy Problems
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HARD, SOFT and DARK MONEY Introduction Early Political Scandals
HARD, SOFT AND DARK MONEY Introduction Early political scandals involved money used for bribery or buying votes. Modern day scandals involve the appearances of corruption depending where gifts and campaign money came from. The U.S. Supreme Court has made a number of controversial decisions expanding the amounts of money in politics by characterizing political donations and expenditures to be exercises of freedom of speech. Among other results, those decisions have created a large and growing category of election related donations and contributions called “dark money.” Important Terms Defined Terms relating to money in politics that are used in this paper have definitions more exactly set out by law. These terms are fully addressed in the MIP paper Definitions for Money in Politics, Disclosure Requirements for PACs The relationships of PACs to their disclosure requirements are shown in the chart below. May Funding Disclosure Donations coordinate Corporations Sources required limited with can donate candidate Political parties PAC’s Super Pac’s 527’s 501(c)’s Dark Money Twenty-nine types of corporations are listed in §501(c) of the Internal Revenue Code (IRC) as qualified for nonprofit status. Social Welfare Organizations under §501(c) (4), Labor Unions under §501(c)(5), and Trade Associations under §501(c)(6) of the Internal Revenue Code are not required to report from whom they get their donations. Hence these donations are referred to as dark money. Since social welfare or business interests often intersect with political issues, these groups are allowed to use funds to influence elections, but there is otherwise no dollar limit on how much that can be, and they only need to report the majority of their expenditures in general terms. -
Mystery Money
MYSTERY MONEY How a loophole could allow foreign money to flow into super PACs through secretive shell companies ACKNOWLEDGMENTS This report was written by Research Director Michael Beckel and Research Associate Amisa Ratliff. Design by Communications Associate Sydney Richards. Cover image credit: bioraven/Shutterstock.com ABOUT ISSUE ONE Issue One is the leading crosspartisan political reform group in Washington. We unite Republicans, Democrats, and independents in the movement to increase transparency, strengthen ethics and accountability, and reduce the influence of big money in politics. Issue One’s ReFormers Caucus of more than 200 former members of Congress, governors, and Cabinet officials is the largest bipartisan coalition of its kind ever assembled to advocate for solutions to fix our broken political system. Issue One 1401 K Street NW, Ste. 350 Washington, D.C. 20005 © 2020 Issue One MEDIA CONTACT Michael Beckel [email protected] | 202-888-6770 issueone.org | facebook.com/issueonereform | @issueonereform [ 2 — Mystery Money ] Issue One MYSTERY MONEY BY MICHAEL BECKEL & AMISA RATLIFF INTRODUCTION oney laundering schemes to illegally funnel foreign money into super PACs M through shell companies threaten the integrity of our political system. Since the Supreme Court’s Citizens United decision in 2010 paved the way for the super PAC era, there has been a proliferation of corporate super PAC donors — including scores of opaque and obscure companies that allow the people behind them to remain hidden. Such secretive entities provide especially ideal cover for foreigners wishing to evade the existing prohibition on their involvement in U.S. elections. A new Issue One analysis shows why this loophole needs to be closed. -
Parting the Dark Money Sea: Exposing Politically Active Tax- Exempt Groups Through FEC-IRS Hybrid Enforcement
William & Mary Law Review Volume 57 (2015-2016) Issue 1 Article 7 10-2015 Parting the Dark Money Sea: Exposing Politically Active Tax- Exempt Groups Through FEC-IRS Hybrid Enforcement Carrie E. Miller Follow this and additional works at: https://scholarship.law.wm.edu/wmlr Part of the Election Law Commons, and the Tax Law Commons Repository Citation Carrie E. Miller, Parting the Dark Money Sea: Exposing Politically Active Tax-Exempt Groups Through FEC-IRS Hybrid Enforcement, 57 Wm. & Mary L. Rev. 341 (2015), https://scholarship.law.wm.edu/wmlr/vol57/iss1/7 Copyright c 2015 by the authors. This article is brought to you by the William & Mary Law School Scholarship Repository. https://scholarship.law.wm.edu/wmlr PARTING THE DARK MONEY SEA: EXPOSING POLITICALLY ACTIVE TAX-EXEMPT GROUPS THROUGH FEC-IRS HYBRID ENFORCEMENT TABLE OF CONTENTS INTRODUCTION ....................................... 343 I. TAX LAW AND ELECTION LAW FOUNDATIONS ............. 346 A. Internal Revenue Code Provisions ................... 347 1. Section 501(c)(4) Social Welfare Organizations ...... 347 2. Section 527 Political Organizations ............... 349 B. Campaign Finance Doctrinal Framework ............ 350 1. Statutory Basis and Underlying Values ............ 350 2. Evolving Case Law ............................. 351 II. ESCALATING POLITICAL ACTIVITY OF TAX -E XEMPT SOCIAL WELFARE ORGANIZATIONS : WHERE TAX LAW AND ELECTION LAW INTERSECT ........................... 354 A. IRS Treatment of Political Activity .................. 355 1. Conflicting Threshold Standards ................. 355 2. Vague Definitional Problem ...................... 357 B. Section 501(c)(4) Organizations Have Emerged as the Preferred Campaign Finance Vehicle ................ 359 1. Increased Independent Expenditures .............. 360 2. Relaxed Reporting Provisions .................... 363 3. The Coordination Problem ....................... 367 C. Deregulation’s Impact on Values that Support Campaign Finance Restrictions ................... -
The Impact of Organizational Characteristics on Super PAC
The Impact of Organizational Characteristics on Super PAC Financing and Independent Expenditures Paul S. Herrnson University of Connecticut [email protected] Presented at the Meeting of the Campaign Finance Task Force, Bipartisan Policy Center, Washington, DC, April 21, 2017 (revised June 2017). 1 Exe cutive Summa ry Super PACs have grown in number, wealth, and influence since the Supreme Court laid the foundation for their formation in Citizens United v. Federal Election Commission, and the decisions reached by other courts and the FEC clarified the boundaries of their political participation. Their objectives and activities also have evolved. Super PACs are not nearly as monolithic as they have been portrayed by the media. While it is inaccurate to characterize them as representative of American society, it is important to recognize that they vary in wealth, mission, structure, affiliation, political perspective, financial transparency, and how and where they participate in political campaigns. Organizational characteristics influence super PAC financing, including the sums they raise. Organizational characteristics also affect super PAC independent expenditures, including the amounts spent, the elections in which they are made, the candidates targeted, and the tone of the messages delivered. The super PAC community is not static. It is likely to continue to evolve in response to legal challenges; regulatory decisions; the objectives of those who create, administer, and finance them; and changes in the broader political environment. 2 Contents I. Introduction 3 II. Data and Methods 4 III. Emergence and Development 7 IV. Organizational Characteristics 11 A. Finances 11 B. Mission 14 C. Affiliation 17 D. Financial Transparency 19 E. -
If It's Broke, Fix It: Restoring Federal Government Ethics and Rule Of
If it’s Broke, Fix it Restoring Federal Government Ethics and Rule of Law Edited by Norman Eisen The editor and authors of this report are deeply grateful to several indi- viduals who were indispensable in its research and production. Colby Galliher is a Project and Research Assistant in the Governance Studies program of the Brookings Institution. Maya Gros and Kate Tandberg both worked as Interns in the Governance Studies program at Brookings. All three of them conducted essential fact-checking and proofreading of the text, standardized the citations, and managed the report’s production by coordinating with the authors and editor. IF IT’S BROKE, FIX IT 1 Table of Contents Editor’s Note: A New Day Dawns ................................................................................. 3 By Norman Eisen Introduction ........................................................................................................ 7 President Trump’s Profiteering .................................................................................. 10 By Virginia Canter Conflicts of Interest ............................................................................................... 12 By Walter Shaub Mandatory Divestitures ...................................................................................... 12 Blind-Managed Accounts .................................................................................... 12 Notification of Divestitures .................................................................................. 13 Discretionary Trusts -
Fighting Dark Money
Your Citizen Tool Kit: Fighting Dark Money Help Bring Transparency to Campaign Giving and Spending Table of Contents: Issue Brief 3 A Model of Success 8 Progress Report 12 Additional Readings 25 Other Helpful Organizations 27 !2 Brought to you by: ReclaimTheAmericanDream.org Issue Brief: Fighting Dark Money How Dark Money Haunts U.S. Elections In modern American politics, the first omen that “dark money” was corrupting American democracy were revelations that bundles of cash and checks were being delivered in brown paper bags and suitcases to President Richard Nixon’s re-election campaign in 1972. In a few short weeks, CREEP, as the Committee for the Re-Election of the President was called, hauled in roughly $20 million – $100 million in today’s dollars – half of it from a handful of super donors. That river of money all moved in secret, rushed to campaign operatives to beat the imminent deadline for disclosure of campaign contributions set by the new Federal Election Campaign Act of 1971. After the secret Nixon slush fund was exposed, Congress tightened campaign laws again in 1974, setting spending limits and providing public funding for presidential campaigns. Disclosure as the Disinfectant for Tainted Money But the foundation stone of campaign reform, then as now, was disclosure – transparent openness about the sources of political money. Full disclosure was the disinfectant prescribed in the Nixon era to kill the epidemic of tainted money and to cleanse the nation’s political system. In the decades since then, disclosure has been the one campaign reform that has won general endorsement from conservatives as well as liberals and moderates. -
ECU HR1 Analysis Deck F02.25
For the People Act Support and Messaging Research Findings Prepared for End Citizens United Lay of the Land Battleground voters are deadlocked on a generic vote for Congress, but independents are largely up for grabs Generic Vote for Congress Democratic candidate Undecided Republican candidate Overall 44% 12% 44% White 39% 12% 49% Black 83% 12% 5% Hispanic 60% 5% 35% Asian American 68% 5% 27% Democrats 94% 4% 2% Independents 22% 57% 21% Republicans 4% 5% 91% 3 Biden remains more popular than Trump, and Congressional Democrats have a small edge over Republicans; McConnell remains extremely unpopular Favorability of Public Figures and Groups Favorable Don’t know Unfavorable Black Hispanic Asian Am. Joe Biden 48% 4% 48% 88 | 10 64 | 35 72 | 24 Donald Trump 45% 2% 53% 09 | 86 36 | 62 21 | 75 Democrats in Congress 41% 6% 53% 75 | 14 52 | 43 67 | 32 Republicans in Congress 38% 6% 56% 12 | 77 32 | 62 21 | 76 Mitch McConnell 21% 16% 63% 11 | 66 20 | 67 15 | 65 4 Democrats have advantages on health care and the economy, but start off with double digit deficits on corruption and money in politics How much do you trust Democrats to handle that issue? Trust Do not trust QualBoard – Concerns on corruption Health care 58% 42% Corruption exists everywhere. There has to be a way to stop political corruption, but that is one thing Jobs and the economy 52% 48% we have to figure out together. It’s not something that will magically change overnight. This will take time. – Base Voter Immigration 49% 51% Most of this political corruption is inherent and engrained. -
Money in Politics
CARR CENTER FOR HUMAN RIGHTS POLICY 1 FALL 2020 ISSUE 2020 - 003 CARR CENTER FOR HUMAN RIGHTS POLICY HARVARD KENNEDY SCHOOL Money in Politics Reimagining Rights & Responsibilities in the U.S. 2 CARR CENTER FOR HUMAN RIGHTS POLICY Reimagining Rights & Responsibilities in the United States: Voting Rights Carr Center for Human Rights Policy Harvard Kennedy School, Harvard University November 18, 2020 John Shattuck Carr Center Senior Fellow; Former US Assistant Secretary of State for Democracy, Human Rights, and Labor; Professor of Practice, Fletcher School, Tufts University Mathias Risse Lucius N. Littauer Professor of Philosophy and Public Administration; Director for the Carr Center for Human Rights Policy The authors’ institutional affiliations are provided for purposes of author identification, not as indications of institutional endorsement of the report. This report is part of a Carr Center project on Reimagining Rights and Responsibilities in the United States, directed by John Shattuck. The project has been overseen by a faculty committee chaired by Mathias Risse, with the collaboration of Executive Director Sushma Raman, and the support of the Carr Center staff. This research paper was drafted by Kate Williams (RA). The authors are grateful to Michael Blanding and Mayumi Cornejo for editing, and Alexandra Geller for editorial and design. CARR CENTER FOR HUMAN RIGHTS POLICY 1 Table of Contents 2. Introduction 3. Early Efforts to Regulate Campaign Finance 5. Campaign Finance, Freedom of Speech, and the Rise of Soft Money 6. Enhanced Disclosure and Transparency 7. Challenges to the Bipartisan Campaign Reform Act 9. Citizens United and Subsequent Rulings 10. Money in Politics Today: Undermining the Democratic Process 12. -
Senator Whitehouse Re-Introduces DISCLOSE Act With
Senator Whitehouse Re-introduces DISCLOSE Act with 49 Cosponsors, Reform Groups Urge Senate to Enact Bill to Close Gaping Disclosure Loopholes Used to Hide Donors from Voters Our organizations strongly support the DISCLOSE Act of 2014 introduced today by Senator Whitehouse (D-RI) with 49 cosponsors. Our organizations include Americans for Campaign Reform, the Brennan Center for Justice, the Campaign Legal Center, Citizens for Responsibility and Ethics in Washington, Common Cause, Democracy 21, Demos, the League of Women Voters, People For the American Way, Public Citizen and Sunlight Foundation. The legislation would ensure that voters know the identity of donors who have been secretly financing campaign expenditures in federal elections. Voters have a fundamental right to know this information. Donors funneled more than $300 million in secret contributions into the 2012 national elections through outside spending groups. National polls have shown that citizens overwhelmingly favor disclosure by outside groups of the donors financing their campaign expenditures. The basic right of citizens to know whose money is being spent to influence their votes has long been recognized by Congress in enacting campaign finance disclosure laws and by the Supreme Court in upholding these laws. The Supreme Court in the Citizens United case, by an overwhelming 8 to 1 vote, upheld the constitutionality of and need for disclosure requirements for outside groups making expenditures to influence federal elections. The Court stated: The First Amendment protects political speech; and disclosure permits citizens and shareholders to react to the speech of corporate entities in a proper way. This transparency enables the electorate to make informed decisions and give proper weight to different speakers and messages. -
Congressional Record United States Th of America PROCEEDINGS and DEBATES of the 112 CONGRESS, SECOND SESSION
E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 112 CONGRESS, SECOND SESSION Vol. 158 WASHINGTON, TUESDAY, JULY 17, 2012 No. 107 Senate The Senate met at 10 a.m., and was U.S. SENATE, THE DISCLOSE ACT called to order by the Honorable CHRIS- PRESIDENT PRO TEMPORE, Mr. President, the corrosive effect of TOPHER A. COONS, a Senator from the Washington, DC, July 17, 2012. money on American politics isn’t a State of Delaware. To the Senate: product of the 21st century. More than Under the provisions of rule I, paragraph 3, 100 years ago, moneyed special inter- of the Standing Rules of the Senate, I hereby PRAYER appoint the Honorable CHRISTOPHER A. ests had already tested the integrity of The Chaplain, Dr. Barry C. Black, of- COONS, a Senator from the State of Dela- this country’s political system. fered the following prayer: ware, to perform the duties of the Chair. In 1899, copper billionaire William Let us pray. DANIEL K. INOUYE, Clark was elected to the U.S. Senate by God of grace and glory, You have al- President pro tempore. the Montana State legislature. The ready blessed us this day. We pause Mr. COONS thereupon assumed the contest was considered so blatantly now to acknowledge that we borrow chair as Acting President pro tempore. swayed by bribery the Senate refused to seat him. Here is how Clark fa- our heartbeats from You and that be- f cause of You we live and breathe and mously responded: RECOGNITION OF THE MAJORITY move and have our being. -
Letter to Senate Leadership on Voting Rights
Officers Chair Judith L. Lichtman National Partnership for Women & Families Vice Chairs Derrick Johnson NAACP June 8, 2021 Farhana Khera Muslim Advocates Thomas A. Saenz Mexican American Legal The Honorable Charles Schumer Defense and Educational Fund Secretary Majority Leader Fatima Goss Graves National Women's Law Center United States Senate Treasurer Lee A. Saunders American Federation of State, Washington, DC 20510 County & Municipal Employees Board of Directors Kimberly Churches The Honorable Mitch McConnell AAUW Alphonso B. David Minority Leader Human Rights Campaign Rory Gamble United States Senate International Union, UAW Jonathan Greenblatt Washington, DC 20510 Anti-Defamation League Mary Kay Henry Service Employees International Union Damon Hewitt Dear Majority Leader Schumer and Minority Leader McConnell: Lawyers' Committee for Civil Rights Under Law Sherrilyn Ifill NAACP Legal Defense and Our organizations write to you in support of two critical pieces of legislation Educational Fund, Inc. David H. Inoue needed to protect the freedom to vote: For the People Act (FTPA) and the John Japanese American Citizens League Benjamin Jealous Lewis Voting Rights Advancement Act (VRAA). Passage of both bills is essential to People for the American Way Derrick Johnson counter the unprecedented wave of voter suppression laws advancing in the states NAACP Virginia Kase and to protect Americans from further encroachments on their rights. Passing one League of Women Voters of the United States Samer E. Khalaf without the other simply will not be sufficient to ensure that all Americans—and American-Arab Anti-Discrimination Committee particularly Americans of color—have meaningful and equal access to the ballot. Marc Morial National Urban League Janet Murguía UnidosUS A. -
Testimony of Sherrilyn Ifill President and Director-Counsel NAACP Legal Defense and Educational Fund, Inc
Testimony of Sherrilyn Ifill President and Director-Counsel NAACP Legal Defense and Educational Fund, Inc. Before the United States House of Representatives Committee on the Judiciary Hearing on H.R. 1, the “For the People Act of 2019” Rayburn House Office Building Room 2141 January 29, 2019 I. INTRODUCTION Good morning, Chairman Nadler, Ranking Member Collins and members of the Committee. My name is Sherrilyn Ifill, and I am the President and Director-Counsel of the NAACP Legal Defense and Educational Fund, Inc. (LDF). Thank you for the opportunity to testify this morning concerning HR 1, For the People Act. Since its founding in 1940 by Thurgood Marshall, LDF has been a leader in the struggle to secure, protect, and advance voting rights for Black voters and other communities of color. Beginning with Smith v. Allwright,1 our successful Supreme Court case challenging the use of whites-only primary elections in 1944, LDF has been fighting to overcome myriad obstacles to ensure the full, equal, and active participation of Black voters. HR 1 is the first major bill of the 116th Congress that contains critical reforms that promise to strengthen our democracy, including restoring voting rights in federal elections to individuals with a criminal background, impacting upwards of five million Americans (notably, LDF has been instrumental in challenging such laws across the country), and prohibiting the use of deceptive practices and preventing voter intimidation which I will be discussing today. The introduction of HR 1 also begins a larger legislative effort to restore the Voting Rights Act of 1965 (VRA) to its full strength following a disastrous 2013 Supreme Court decision, Shelby County, Alabama v.