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Back Story: Lessons from the Colbert Super LESSONS FROM THE COLBERT SUPERPAC BY ERIN BARNETT, ESQ. Federal campaign fi nance laws sure are tricky, and the 2010 Obama, Priorities USA Action, is headed by former Obama press United States Supreme Court decision, Citizens United v. Federal secretary, Bill Burton. Election Commission, has only muddied the waters. So it’s a In addition to having the freedom to accept unlimited good thing sharp legal minds, such as Stephen Colbert, host of amounts of contributions, Super PACs also have the advantage Comedy Central’s “The Colbert Report”, are around to show us of creating the impression of distance between a candidate and how it is all supposed to work. his or her donors. An entertaining Under Citizens United, certain example of this occurred when entities known as political action the famed legal brothel Moonlite committees (PACs) may now raise Bunny Ranch was requested by unlimited amounts of contributions the Ron Paul campaign to donate, received from individuals, not to the campaign directly, corporations and unions for the but to a Ron Paul-supporting purpose of supporting a candidate Super PAC. Donors looking (such as the purchase of TV ad for complete anonymity may space), but are prohibited from consider donating to a 501(c)(4) donating directly to particular organization associated with the campaigns. Such PACs, dubbed Super PAC the donor hopes to “Super PACs,” differ from benefi t; a 501(c)(4) is not required traditional PACs that can donate to meet the donor-disclosure directly to a particular campaign, requirements of Super PACs, but but cannot accept corporate or can nonetheless donate to Super union donations. Further, Super PACs in unlimited amounts. PACs are required to disclose the To highlight this potential legal identities of their donors to the loophole, Colbert also formed a Federal Election Commission 501(c)(4) called Colbert Super (FEC), whereas traditional PACs PAC S.H.H., to which donors are not. can lawfully give unlimited Stephen Colbert attended the funds anonymously. Examples June 2011, meeting of the FEC, of similar 501(c)(4)s include requesting permission to form a Crossroads GPS, a 501(c)(4), Super PAC. When asked what the formed by leading Republican purpose of this Super PAC was to strategist Karl Rove, to support his be, the comedian replied, “I say Super PAC American Crossroads, give [the money] to me and we’ll and Priorities USA, which has fi nd out!” With that, the Colbert Super PAC, formally known as donated more than $215,000 to Obama’s Super PAC. Americans for a Better Tomorrow, Tomorrow, was born. For better or worse, Super PACs will no doubt make Super PACs are required to be independent from their marks on the 2012 presidential election. According to the candidates they support. However, the extent of such opensecrets.org, as of July 11, 2012, Restore Our Future independence has been the subject of much cynicism, as had raised $61,472,660; Priorities USA Action had raised candidates often have informal ties to their supporting Super $14,580,589 by the same date. For its part, the Colbert PACs. To illustrate this point, on January 12, 2012, Colbert Super PAC had raised $1.02M as of its January, 2012 FEC announced his intention to run for president of “the United States fi ling, some of which has been spent on Colbert’s ill-fated of South Carolina,” thus making it illegal for Colbert to continue Presidential bid, and various mock political ads. More on to be active in his Super PAC. Colbert signed control of his Colbert’s Super PAC can be found online at http://www. Super PAC over to fellow Comedy Central host, Jon Stewart; colbertsuperpac.com. he renamed the PAC “The Defi nitely Not Coordinating with Stephen Colbert Super PAC.” Though Colbert’s actions were ERIN R. BARNETT is an attorney at Marquis taken in jest, it was a clear parody of the close ties existing in Aurbach Coffing in Las Vegas, practicing primarily in real campaigns: the main Super PAC supporting Mitt Romney, the areas of real estate transactional and corporate Restore Our Future, was organized by several of Romney’s law. She can be reached at [email protected]. former aides, while the main Super PAC supporting President 46 Nevada Lawyer September 2012.
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