Money in Politics Flashcards
Is money essential in electoral races today?
Yes
What must a group do under federal law when they want to contribute to a candidate’s political campaign?
They must register as a political action committee (PAC).
What is hard money?
Regulated and disclosed donations political elections, such as with PACs and how they’re constrained with how much they can donate.
Citizens United v. Federal Election Commission (2010)
“Hard money” regulations are being circumventing through the increasing use of a new class of super PACS.
Corporations and labor unions are entitled to the same free speech rights that individuals enjoy, and thus their expenditures to influence the outcome of elections cannot be limited.
What kind of money do Super PACs deal with and what is it?
Soft Money, which is disclosed but unregulated.
What else did the FECA (Federal Election Campaign Act) do in 1974?
It placed more limitations on individual contributions and to limit expenditures by PACs and restricted spending and providing public financing for qualified candidates who abide by the limits.
Also required public disclosure of contributions and expenditures by all candidates for federal office.
Also created the Federal Election Commission.
What happened as a result of Buckley v. Valeo in 1976?
The number of PACs shot up dramatically.
Is it likely to predict that PACs will continue to increase in numbers and influence in the future because of Citizens United (2010)?
Yes
Do 501(c)(4)s have to report for their fundraising and spending and what type of money is it called?
No and DARK MONEY
The Bipartisan Campaign Finance Reform Act of 2002
Also called Mc-cain-Feingold.
Banned nearly all soft money contributions, set new adjustable contribution limits for hard money, and placed limits on when independent expenditures could be made in federal elections.
McConnell v. the Federal Election Commission (2003)
Upheld the Mc-Cain-Feingold Act of 2002.
Federal Election Commission v. Wisconsin Right to Life, Inc (2007)
Limits on independent expenditures struck down.
What else did 527s and 501(c)4s do?
Created loopholes in the campaign finance law with the emergence of political groups
.
What is a 527?
A tax-exempt group that raises money for political activities, much like those under the soft money loophole.
Named after the section of the IRS tax code that regulated political groups.
What happened in the 2012 presidential campaign as a result of Citizens United?
Candidates courted to wealthy donors who might fund a Super PAC to advocate for their candidacy or funnel “dark money” through 501(c)4s.
