First Empirical Research of Facebook Political Ads Demonstrates the Need for Legislative Solution that would Deter Foreign Interference in Elections

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Research recommends solutions like Honest Ads Act, which would extend disclosure requirements to all major ad platforms, helping root out foreign interference

WASHINGTON – Today, CLC and Issue One, in conjunction with University of Wisconsin-Madison Professor Young Mie Kim and her team, Project DATA (Digital Ad Tracking & Analysis), published the results of a first-of-its-kind, peer-reviewed research of Facebook political ads in the 2016 elections. The study by Professor Kim and her team provides compelling support for the Honest Ads Act, bipartisan legislation that has been endorsed by tech companies including Facebook and Twitter that would help root out foreign interference in U.S. elections and make digital advertisers more accountable.

Professor Kim and her team captured and analyzed five million paid ads on Facebook in the weeks ahead of the 2016 elections, and their peer-reviewed study is forthcoming in the journal Political Communication. This research is the first, large-scale, systematic empirical analysis that investigates Facebook political advertising.

Of the 228 groups that purchased political ads about hot-button political issues in the weeks before the 2016 elections, 121 were identified by Professor Kim and her team as “suspicious” — which means that there was no publicly available information about nearly half of the sponsors of Facebook ads featuring hot-button political issues in the weeks before the 2016 elections. In this research, suspicious groups are unidentifiable, untrackable groups that have no public footprints. Professor Kim and her team identified a group as suspicious if no information about the group was found elsewhere, even after her team reviewed the Federal Election Commission, IRS-based databases, and other research databases.

A quarter of the ads the research examined mentioned candidates, and would be subject to disclosure requirements if aired on TV, but escaped those transparency measures because they were run online.

This secrecy would not be possible on broadcast. While social media companies have proposed new transparency measures, the Honest Ads Act would solidify disclosure requirements by moving the law into the 21st century. The bipartisan legislation aims to ensure that digital political ads are subject to the same transparency requirements that apply to similar ads run on any other medium. The bill would shine a spotlight on some of the digital advertising practices outlined in the Project DATA study by creating a public footprint. 

“As this peer-reviewed study demonstrates, secretive groups were able to run tens of thousands of digital political ads without detection because of massive loopholes in our campaign finance laws,” said Brendan Fischer, director, federal reform program at CLC. “This study demonstrates the importance of Congress addressing campaign finance law’s internet blind spot. The protection of American elections from foreign interference cannot be left to voluntary measures by tech companies.”

One-sixth of the “suspicious” advertisers turned out to be Kremlin-linked Russian groups, according to Project DATA’s analysis of information released by the House Intelligence Committee. Additionally, the peer-reviewed study found that voters in swing states like Wisconsin and Pennsylvania were disproportionately targeted with ads featuring divisive issues like guns, immigration, and race relations. These included ads that raised anger or fear, or emphasized the divides between subgroups of the population. Some of these ads were sponsored by nonprofits that did not file a disclosure report to the Federal Election Commission (FEC) about the source of their funding.

"We have seen clear evidence that when left unchecked, foreign actors seeking to affect U.S. politics will use — and abuse — any tool at their disposal. It is time for digital platforms to be held to the same common-sense, simple rules that govern disclosure of television and radio ads," said Issue One Executive Director Meredith McGehee. "The 21st century realities of online political advertising have overwhelmed our country's capacity to hold rule-breakers accountable. The Honest Ads Act would begin to fix this problem." 

The Honest Ads Act was endorsed last week by Facebook and Twitter, but has yet to receive a hearing.

Read a press-friendly repackaged report of the research.

* The underlying study initially identified 122 “suspicious” groups. One group was erroneously placed in this category. The correct number is 121.   ​

CLC Files Suit to Compel ICE to Disclose Private Prison Operating Agreements

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Today, Campaign Legal Center (CLC) filed a lawsuit in D.C. District Court against the U.S. Immigration and Customs Enforcement Agency (ICE) for failing to disclose their operating agreements with a private prison in Washington State. GEO Corrections Holdings Inc., one of the largest private prisons in the country, has a role in operating the facility, but the extent of that role is unclear. CLC submitted its Freedom of Information Act (FOIA) request to ICE on December 8, 2017, but it has produced no documents. ICE was legally required to respond within 20 days.

GEO was a major donor to the presidential campaign of Donald Trump, contributing a total of $225,000 in 2016 to the super PAC Rebuilding America Now. The first contribution came one day after the Obama Administration announced its decision to phase out the use of private prisons, a decision that was immediately reversed after Jeff Sessions became Attorney General in February 2017. CLC has a campaign finance complaint pending before the Federal Election Commission (FEC) alleging that GEO’s contributions to Rebuilding America Now violated the ban on federal contractors making political contributions.

“Public officials are supposed to make contracting decisions based on what is best for the public, not based on who spent the most money getting them elected,” said Mark Gaber, senior legal counsel at CLC. “The public has a right to know where their tax dollars are being spent on federal contracts, so ICE should not try to hide their operating agreements from public view. If GEO has a role in operating the facility in Washington, this is further evidence that their contributions in 2016 were illegal. We expect the District Court to compel ICE to be transparent – and produce documents that shed light on this relationship.”

Compelling ICE to Disclose Private Prison Operating Agreements — CLC v. ICE

At a Glance

This case seeks to compel ICE to disclose operating agreements that may show a private prison company has a direct relationship with a federal contract. 

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About This Case/Action

CLC filed a lawsuit on April 10, 2018, seeking to compel U.S. Immigration and Customs Enforcement (ICE) to disclose operating agreements related to its Northwest Detention Facility in Tacoma, Washington, which may show that the subsidiary of a private prison company has a direct relationship with a federal contract — contradicting public denials from its leadership and raising further questions about the legality of its political contributions. Publicly available documents reveal that GEO Corrections Holdings, Inc., a wholly-owned subsidiary of private prison contractor GEO Group, Inc., has a role operating the facility, yet has also contributed hundreds of thousands of dollars to super PACs, despite federal law prohibiting federal contractors from making direct or indirect contributions to political committees. GEO has defended its contributions by claiming that the parent company holds the contracts, not the subsidiary.

In particular, GEO Corrections Holdings, Inc. contributed a total of $225,000 in 2016 to Rebuilding America Now, a super PAC that supported the election of then-candidate Donald Trump. The first contribution came one day after the Obama Administration announced its decision to phase out the use of private prisons, a decision that was immediately reversed after Jeff Sessions became Attorney General in February 2017.

CLC has a pending complaint with the FEC regarding the legality of GEO Corrections Holdings, Inc.’s contributions to Rebuilding America Now, and has also filed a lawsuit seeking to compel the FEC to take action on that complaint, which has been sitting on the agency’s docket for over a year. For 75 years, government contractors have been banned from making political contributions.

CLC submitted its Freedom of Information Act (FOIA) request to ICE on December 8, 2017, and the law requires a response within twenty days. Not only did ICE fail to send an official acknowledgement for ten weeks, but it also has failed to produce a single document in response to CLC’s narrow request for more information. CLC’s lawsuit seeks to compel disclosure of the requested documents, which may be important to the pending case, Campaign Legal Center v. Federal Election Commission (GEO).

Plaintiffs

Campaign Legal Center

Defendant

Immigration and Customs Enforcement

CLC President Trevor Potter Reaction to Mark Zuckerberg’s Support for Honest Ads Act

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Today, Facebook CEO Mark Zuckerberg said in a Facebook post that his company supports the Honest Ads Act, bipartisan legislation that would help to combat foreign interference in U.S. elections.

CLC President Trevor Potter, a former Republican Chairman of the Federal Election Commission, released the following statement in reaction:

“Mr. Zuckerberg’s support for the bipartisan Honest Ads Act is a big step in the right direction, and we hope he uses his testimony next week to encourage Congress to pass that important bill. The protection of American elections from foreign interference cannot be left to voluntary measures by tech companies. To effectively safeguard our democracy, Congress must act. We are looking forward to Mr. Zuckerberg’s active support for this legislation that would give voters and law enforcement agencies the tools they need to detect and deter foreign interference. We hope Facebook will not only continue to advocate for the Honest Ads Act, but also fully comply with existing state and local disclosure requirements.”

Montanans for Community Development v. Mangan

At a Glance

Montanans for Community Development (“MCD”) v. Mangan is a challenge to Montana’s disclosure laws, which serve to protect voters’ ability to know who is behind the election advertising they see, read, or hear. The laws at issue require political groups that spend money to influence Montana voters to disclose basic information about their finances so that voters are able to evaluate the electoral messages they receive.

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About This Case/Action

About the case

Montanans for Community Development (“MCD”) v. Mangan is a challenge to Montana’s disclosure laws, which serve to protect voters’ ability to know who is behind the election advertising they see, read, or hear. The laws at issue require political groups that spend money to influence Montana voters to disclose basic information about their finances so that voters are able to evaluate the electoral messages they receive.

MCD, the self-described “social welfare organization” challenging these laws, wanted to send out political mailers shortly before an election “educating” Montana voters by attacking or supporting certain candidates for office. Because MCD did not want to disclose who funded these mailings, it sued. MCD is challenging the laws as unconstitutionally vague and overbroad in defining which groups must disclose their funding, and unconstitutional as applied to MCD’s proposed mailers. MCD calls its mailers “issue advocacy,” even though they support or attack particular candidates. MCD is also challenging the investigatory powers of Montana’s Commissioner of Political Practices on the theory that it has been discriminated against based on its viewpoint.

A federal district court in Montana dismissed each of MCD’s contentions as meritless and MCD is appealing that decision to the Ninth Circuit Court of Appeals.

In July 2017, CLC filed a friend-of-the-court brief with the Ninth Circuit in support of Montana. CLC’s brief argues that Montana’s disclosure law is neither vague nor overbroad, but instead an appropriately tailored means of ensuring that voters know who is spending money in their elections. And although MCD challenges the law as burdening their First Amendment rights, as CLC’s brief explains, Montana’s law also advances core First Amendment interests, because it provides voters with the information they need to make meaningful electoral choices and hold elected officials accountable—activities that are essential to self-government.

What’s at stake

Many states and municipalities have laws that parallel Montana’s. Disclosure laws like Montana’s are critical because voters deserve to know who is spending money to influence their votes.

Transparency is the foundation of an open democracy. Courts across the country have upheld a broad range of disclosure requirements against constitutional attack – including the Supreme Court, which has consistently approved campaign finance disclosure laws as a means of preventing corruption, ensuring that other campaign finance rules are followed, and aiding voters’ ability to make informed choices on Election Day.

At a time where more dark money is flooding into state and local elections, these types of laws are more important than ever to protect voters and our system of self-government

Plaintiffs

Montanans for Community Development

Defendant

Jeff Mangan (formerly Jonathan Motl)

Walter Shaub Reaction to Ethics Memo from EPA on Scott Pruitt Condo Rental

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Campaign Legal Center (CLC) obtained a new ethics memo from the Environmental Protection Agency with additional insight on how Administrator Scott Pruitt identified what he considered to be comparable rentals.

“Putting aside the gift regulations, it is hard to understand why Pruitt thought it was a good idea to rent a condo owned by a campaign contributor who is a lobbyist,” said Walter Shaub, senior director, ethics, at CLC. “The ethics opinion was based on the assumption that Pruitt was leasing only one room. If it turns out Pruitt's daughter was allowed to stay in the other room, he had both rooms in the residence. There’s a big difference in what you’d pay to stay in a house with strangers and what you’d pay to have a place to yourself. The ethics official told me he did not speak with Pruitt before writing his opinion, so the ethics official could not have known for certain whether Pruitt actually used only one of the bedrooms or both. In the new memorandum, the ethics official also provides additional information about how he assessed market rate, which people can now review for themselves and decide whether they agree with that assessment.”

Issues

Abbott v. Perez

At a Glance

Texas engaged in unlawful redistricting, so the state should be liable when it reaffirms that unlawful decision by reenacting the same unlawful districts without change.  

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About This Case/Action

After the 2011 census, the Texas legislature redrew its congressional and state legislative districts. Because Texas was subject to preclearance under Section 5 of the Voting Rights Act due to its history of discriminatory voting practices, the state sought preclearance of its 2011 plans in the District Court for the District of Columbia.

At the same time, various groups of plaintiffs challenged Texas’s 2011 proposed redistricting for the Texas House and for Congress. The plaintiffs alleged the Texas House and Congressional maps were intentionally racially discriminatory in violation of the Constitution and the Voting Rights Act, were unconstitutional racial gerrymanders, and were in violation of the Voting Rights Act prohibition on diluting minority voting strength.

Because the D.C. Court had not precleared the 2011 plan, and based upon guidance from the Supreme Court, the Texas district court was required to draw an interim plan to be used for the 2012 elections, which were rapidly approaching. A subset of the plaintiffs and the state agreed on a compromise plan, which other plaintiffs opposed. The district court adopted the compromise plan, while expressly reserving the right to alter its analysis upon a full review of the evidence at trial.

In June 2013, shortly before the Supreme Court invalided the coverage formula for Section 5 with its decision in Shelby County v. Holder, the legislature passed a bill repealing the 2011 plans, and enacting in their place the interim plan used for the 2012 elections, with minor changes to the state house plan.  The day after Shelby County was announced, the Governor signed the legislation.

The plaintiffs amended their complaints to raise claims against the 2013 plans, and to assert a claim for relief under Section 3(c) of the Voting Rights Act, to require Texas to be “bailed in” to the preclearance regime as a consequence of its intentionally discriminatory redistricting plans.

(Read more about preclearance.)

The district court held trials on the 2011 and 2013 plans. The court concluded that the 2011 plan was intentionally discriminatory with respect to a number of districts because it cracked and packed minority voters, was an unconstitutional gerrymander with respect to several districts, and contained violations of Section 2 of the Voting Rights Act, both in intent and effects, with respect to several districts.

Following a trial on the 2013 plan, the district court concluded that the districts that were unlawful in the 2011 plan that were retained in the 2013 plan remained unlawful.

Texas now contends that because the district court did not alter those districts when it approved the interim plan, despite announcing its approval was tepid and temporary and without the benefit of a full evidentiary record, the district court was wrong to conclude the districts were unlawful.

In CLC's amicus brief filed with the Lawyer's Committee for Civil Rights Under Law and the NAACP Legal Defense Fund on April 4, 2018, we state our belief that states should not be able to insulate themselves from judicial review for unlawful redistricting simply by cloaking themselves under the cover of a temporary court ruling that was expressly confined and declared subject to change. Rather, when a state engages in unlawful redistricting, the state should be liable when it reaffirms that unlawful decision by reenacting the same unlawful districts without change.

Plaintiffs

Shannon Perez

Defendant

Greg Abbott, Governor of Texas