The DISCLOSE Act Vote and the For Profit “Tea Party Nation”: Statement of Meredith McGehee, Policy Director

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It is unfortunate that the DISCLOSE Act has fallen victim to election season political posturing. Once the dust settles after Election Day, the Senate would be wise to revisit the DISCLOSE Act.  Polls have repeatedly shown that Americans, by overwhelming margins, are strongly opposed to corporations and unions spending unlimited amounts anonymously to elect or defeat candidates and that citizens expect their elected representatives in Washington to act. 

  Public disgust and calls for a congressional response will only increase as Americans nationwide will be forced this election season to sit through endless attack ads paid for by groups with patriotic names and completely anonymous backers.

While today’s Senate vote is disappointing, we remain optimistic that Congress will soon follow the will of the voters and enact meaningful disclosure legislation.  We also hope that efforts to rally opposition to DISCLOSE by the “Tea Party Nation” – a group which is best known for trying to turn a profit on the Tea Party movement -- will not gain traction, especially because they are so misinformed about what the DISCLOSE Act will do.  Anyone seeking to change the status-quo in Washington should be making sure that all Americans are aware of who is trying to buy and sell their elected representatives.  After the Supreme Court decision last January, new laws are critically needed to ensure that Americans are not left in the dark about the large sums of money being spent to influence the outcome of our elections.

 

Ohio Right to Life Society v. Ohio Elections Commission

At a Glance

Ohio Right to Life (ORTL) filed suit to challenge multiple provisions of Ohio’s campaign finance law, including its “electioneering communications” corporate funding prohibition and related disclosure requirements. In September 2008, the district court rejected ORTL’s request to enjoin Ohio’s electioneering communications disclosure requirements...
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About This Case/Action

Ohio Right to Life (ORTL) filed suit to challenge multiple provisions of Ohio’s campaign finance law, including its “electioneering communications” corporate funding prohibition and related disclosure requirements.  In September 2008, the district court rejected ORTL’s request to enjoin Ohio’s electioneering communications disclosure requirements. Following the Supreme Court decision in Citizens United, ORTL filed to block enforcement of the state restrictions on corporate expenditures.  The court entered a consent judgment on September 15, 2010, wherein the parties agreed that the state electioneering communications corporate funding restrictions were unconstitutional.  

Plaintiffs

Ohio Right to Life Society

Defendant

Ohio Elections Commission

U.S. House: Reformers Call on Speaker & Minority Leader to Back Beleaguered but Effective Office of Congressional Ethics

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Reform groups today urged Speaker of the House Nancy Pelosi (D-CA) and Minority Leader John Boehner (R-OH) to publicly commit to stand behind the Office of Congressional Ethics (OCE) in the face of numerous threats to dismantle or disempower the Office.  In the letters, the groups expressed their continued support of the OCE which has helped to revitalize an ethics process that had become the object of public scorn after years of dormancy.

The reform groups include the Campaign Legal Center, Common Cause, CREW, Democracy 21, the League of Women Voters, Public Citizen and U.S.PIRG.

 
The full text of both letters follows below.
 
 
September 15, 2010
 
House Republican Leader John Boehner
H-204
The Capitol
Washington, D.C. 20515
 
Dear Republican Leader Boehner,
 
Our organizations urge you to make a public commitment now to support the continued existence of the OCE in the next Congress.  We also urge you to make a public commitment to oppose any changes in the OCE which would prevent the Office from effectively carrying out its mission and basic responsibilities.
 
As organizations dedicated to promoting government ethics, accountability and transparency, we strongly support the OCE and the effective role it has played in this Congress.
 
Our organizations include the Campaign Legal Center, Common Cause, CREW, Democracy 21, the League of Women Voters, Public Citizen and U.S. PIRG.
 
The OCE represents an unprecedented ethics breakthrough in that, for the first time, non-members of Congress are playing a key role in the House ethics enforcement process. The OCE is the most important step taken to strengthen the House ethics enforcement process since the House Ethics Committee was created in 1966.
 
The OCE was established to serve as an action-forcing mechanism to ensure that the House Ethics Committee considered and addressed serious ethics matters and that the public received appropriate information about how these matters were resolved by the Ethics Committee.
The OCE has done in this Congress precisely what it was created to do. As an action forcing mechanism, it has provided for House Ethics Committee consideration of significant potential ethics violations. The OCE also has injected essential transparency and accountability into the House ethics enforcement process.
 
In response to these efforts, the Office has come under attack from House members of both parties and from the Ethics Committee itself. We believe these attacks are unjustified and, in particular, we have seen no evidence to support the claim made by some that race has been a factor in actions taken by the OCE or the House Ethics Committee.
 
We are well aware that efforts are likely to take place at the outset of the next Congress to eliminate or cripple the OCE. This would be a fundamental mistake on the part of House members and would signal to the American people that House members are not serious about ethics and have little interest in enforcing the ethics rules that govern their actions.
 
We recognize that any new entity like the OCE requires review at the end of its initial stage of operations. However, if and when any changes are proposed or considered it is imperative that they must not undermine or hamper the OCE’s ability to ensure that significant potential ethics violations are investigated by the House Ethics Committee. Similarly it is imperative that they must not weaken OCE’s essential role in providing the American people with transparency and accountability in the House ethics enforcement process. We urge you to publicly commit to oppose any such changes.
 
As you know, the OCE was created following the failure of the House Ethics Committee, to conduct any investigations or take any actions regarding the worst congressional ethics and lobbying scandals in decades, the Jack Abramoff scandals that occurred during the 109th Congress.  This failure demonstrated a fundamental problem with the House ethics enforcement process, namely that the House Ethics Committee had become a burial grounds for potential ethics violations which often simply disappeared in the Committee.
The OCE was created to address this problem and has worked well to protect the interests of the American people and the House as an institution. It would be a grave mistake and a disservice to the American people to abandon or cripple the OCE and return to the dysfunctional House ethics enforcement process that existed before its creation. As a New York Times editorial stated (August 5, 2010):
 
Grumblers on both sides want to gut the ethics office. That is because it has been fulfilling its mission to put life into the lawmakers' own stultified ethics process, to penetrate the murk of misbehavior and keep the public better informed.
 
In summary, our organizations call on you to make a public commitment to the American people to support the continuation of the OCE and to oppose any efforts to prevent the OCE from effectively carrying out its mission and basic responsibilities. The OCE must continue to ensure that significant potential ethic violations are investigated by the House Ethics Committee and that effective accountability and transparency exists in the ethics enforcement process
 
We would appreciate receiving a response to the matters we have raised in our letter.
 
Campaign Legal Center       League of Women Voters
Common Cause                    Public Citizen
CREW                                      U.S. PIRG
Democracy 21
 
 
 
September 15, 2010
 
House Speaker Nancy Pelosi
H-232
The Capitol
Washington, D.C. 20515
 
Dear Speaker Pelosi,
 
As organizations dedicated to promoting government ethics, accountability and transparency, we very much appreciate the outstanding leadership you provided in establishing the Office of Congressional Ethics in 2008 (“OCE”).
 
Our organizations include the Campaign Legal Center, Common Cause, CREW, Democracy 21, the League of Women Voters, Public Citizen and U.S. PIRG.
 
The OCE represents an unprecedented ethics breakthrough in that, for the first time, non-members of Congress are playing a key role in the House ethics enforcement process. The OCE is the most important step taken to strengthen the House ethics enforcement process since the House Ethics Committee was created in 1966.
The OCE was established to serve as an action-forcing mechanism to ensure that the House Ethics Committee considered and addressed serious ethics matters and that the public received appropriate information about how these matters are resolved by the Ethics Committee.
The OCE has done in this Congress precisely what it was created to do. As an action forcing mechanism, it has provided for House Ethics Committee consideration of significant potential ethics violations. The OCE also has injected essential transparency and accountability into the House ethics enforcement process.
 
In response to these efforts, the Office has come under attack from House members of both parties and from the Ethics Committee itself. We believe these attacks are unjustified and, in particular, we have seen no evidence to support the claim made by some that race has been a factor in actions taken by the OCE or the House Ethics Committee.
 
We are well aware that efforts are likely to take place at the outset of the next Congress to eliminate or cripple the OCE. This would be a fundamental mistake on the part of House members and would signal to the American people that House members are not serious about ethics and have little interest in enforcing the ethics rules that govern their actions.
 
Our organizations urge you to make a public commitment to support the continued existence of the OCE in the next Congress.  We also urge you to make a public commitment to oppose any changes in the OCE which would prevent the Office from effectively carrying out its mission and basic responsibilities.
 
We recognize that any new entity like the OCE requires review at the end of its initial stage of operations. However, if and when any changes are proposed or considered it is imperative that they must not undermine or hamper the OCE’s ability to ensure that significant potential ethics violations are investigated by the House Ethics Committee. Similarly it is imperative that they must not weaken OCE’s essential role in providing the American people with transparency and accountability in the House ethics enforcement process. We urge you to publicly commit to oppose any such changes.
 
As you know, the OCE was created following the failure of the House Ethics Committee, to conduct any investigations or take any actions regarding the worst congressional ethics and lobbying scandals in decades, the Jack Abramoff scandals which occurred in the 109th Congress.
 
This failure demonstrated a fundamental problem with the House ethics enforcement process, namely that the House Ethics Committee had become a burial grounds for potential ethics violations which often simply disappeared in the Committee.
The OCE was created to address this problem and has worked well to protect the interests of the American people and the House as an institution. It would be a grave mistake and a disservice to the American people to abandon or cripple the OCE and return to the dysfunctional House ethics enforcement process that existed before its creation. As a New York Times editorial stated (August 5, 2010):
 
Grumblers on both sides want to gut the ethics office. That is because it has been fulfilling its mission to put life into the lawmakers' own stultified ethics process, to penetrate the murk of misbehavior and keep the public better informed.
 
In summary, our organizations call on you to make a public commitment to the American people to support the continuation of the OCE and to oppose any efforts to prevent the OCE from effectively carrying out its mission and basic responsibilities. The OCE must continue to ensure that significant potential ethic violations are investigated by the House Ethics Committee and that effective accountability and transparency exists in the ethics enforcement process
 
We would appreciate receiving a response to the matters we have raised in our letter.
 
Campaign Legal Center       League of Women Voters
Common Cause                    Public Citizen
CREW                                  U.S. PIRG
Democracy 21

Issues

U.S. Senate: Returning Maine & Massachusetts Senators Urged to Follow Constituent Lead in Supporting the DISCLOSE Act

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Reform groups today urged Senators Olympia Snowe (R-ME), Susan Collins (R-ME) and Scott Brown (R-MA) to support the disclosure provisions in the DISCLOSE Act (S. 3628) to ensure voters are aware of the huge amounts of money that individuals, corporations and unions are spending to run ads attempting to sway the elections.  The groups emphasized the tens of millions of dollars already being spent anonymously to support or attack candidates this election season and cited overwhelming public support for disclosure and a legislative response in the wake of the Supreme Court’s controversial ruling inCitizens United v. FEC unleashing massive corporate and union treasury funds into federal elections. 

The DISCLOSE Act would require timely and effective disclosure of these campaign-related expenditures, among other provisions.  Prior to the August recess, the legislation fell one vote short of the 60 votes necessary in the Senate to overcome a Republican filibuster.  A companion bill (H.R. 5175) to the original Senate bill passed in the House in June.  

The groups signing the letter included the Campaign Legal Center, Common Cause, Democracy 21, the League of Women Voters, People for the American Way, Public Citizen, and U.S. PIRG.

The full text of the letter to Senator Snowe follows below.

September 14, 2010 

Senator Olympia Snowe

154 Senate Russell Office Building

Washington, D.C. 20515

 

Dear Senator Snowe,

As a result of the Citizens United decision earlier this year, tens of millions of dollars are being spent in the 2010 congressional races without voters having any idea about who is funding these expenditures. This is wrong and unfair to the American people.

Our organizations believe it is essential to enact the disclosure provisions of the DISCLOSE Act in order to provide the American people with campaign finance information for future presidential and congressional elections that they have a right to know.

The organizations include the Campaign Legal Center, Common Cause, Democracy 21, the League of Women Voters, People For the American Way, Public Citizen and U.S. PIRG.

The absence of essential campaign finance information for the 2010 elections violates a basic rule of American politics for the past 40 years – that voters have a right to know who is behind the money being spent to influence their votes.  This right to know was firmly established by the Supreme Court in Buckley v. Valeo(1976) which upheld the constitutionality of campaign finance disclosure laws.

The absence of this campaign finance information, furthermore, contradicts the longstanding consensus in this country that campaign contributions and expenditures should be disclosed to the American people so that voters can “make informed choices in the political marketplace,” in the words of the Supreme Court. 

The consensus for campaign finance disclosure is fully reflected in the views of Maine voters as shown in a poll taken for Maine Citizens for Clean Elections earlier this year. The poll by Critical Insights, a Maine polling firm, taken in April 2010 found:

  • “85% of voters feel it is important to know who paid for the political campaign communications they see or hear,” and
  • “[m]ore than 80% of Maine voters believe that having the names of donors to political organizations available to the public is important because it keeps the process open and transparent.” 

As you know, the DISCLOSE Act passed the House in June 2010 and was one vote short of reaching the Senate floor for consideration in July. Senate sponsors have said that the legislation will be brought up again for consideration this fall.

If this disclosure legislation does not pass in this Congress, it may not be possible to establish new disclosure requirements for the next election. Absent such disclosure requirements, hundreds of millions of dollars in secret contributions will be spent in the 2012 presidential and congressional races without voters having a clue about who is providing these funds.

Your vote can make the difference in whether the disclosure provisions of the DISCLOSE Act are enacted for future elections or whether the legislation is killed.

According to a Survey USA poll last month, 77 percent of voters, including 70 percent of Republicans and 73 percent of independents, view corporate campaign spending as an attempt to bribe politicians rather than as an expression of free speech that should not be limited.

Given the Citizens United decision, nothing can be done at this time to prevent these influence-buying expenditures from being made. But we can at least ensure that the American people know what is going on in their elections and who is behind the money being spent to influence their votes. 

If you have concerns regarding the DISCLOSE Act legislation, or have ideas to improve the provisions in the bill, we ask that you work with the bill’s sponsors and with us to resolve any concerns you may have about the legislation. 

We appreciate your leadership and commitment on past campaign finance reform efforts and look forward to negotiating changes in the DISCLOSE Act that will ensure its passage. Voters across Maine and America are very clear; they want to know who is paying to play in our political system, and they have a basic right to know this information.

 

Campaign Legal Center            League of Women Voters

Common Cause                        People For the American Way

Democracy 21                          Public Citizen

                                                U.S. PIRG

FEC: Legal Center Questions FEC on Statements Implying Non-Enforcement of Election Law

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On September 13, 2010, the Campaign Legal Center, along with Democracy 21, wrote to the Federal Election Commission (FEC) seeking clarification and an explanation regarding statements made by FEC staff to reporters implying that the agency was no longer enforcing its own regulations regarding “express advocacy” in advertising.  If the statement and explanation offered by a FEC spokesperson are correct and in fact the policy of Commission, it would seriously undermine the public’s ability to identify those making independent expenditures in federal elections.  

 

The full letter to the Commission follows below.
September 13, 2010
By Electronic Mail
Federal Election Commission
999 E Street NW
Washington, DC 20463
 
Re: Comments of Julia Queen to OpenSecrets Blog
 
Dear Commissioners:
 
On August 20, 2010, Michael Beckel of the Center for Responsive Politics published an article on the organization’s OpenSecrets Blog entitled “Chamber of Commerce, Other Groups Skirt Letter of Law in Reporting Political Ads.”[1]  The article described $250,000 in television advertisements paid for by the U.S. Chamber of Commerce, praising the conservative credentials of U.S. Senate candidate Jane Norton, which aired in the final days before Norton’s primary election last month in Colorado.
 
The article accurately describes the FEC’s two-part definition of “expressly advocating” at 11 C.F.R. § 100.22 as applicable to (a) ads “using ‘magic words’ such as ‘vote for’ or ‘vote against’” and (b) ads that “could only be interpreted by a reasonable person as containing advocacy of the election or defeat of one or more clearly identified candidate(s)” (a.k.a. “Subpart (b)”).
 
However, the article then quotes FEC spokeswoman Julia Queen as stating: “The Chamber’s Norton ad in Colorado ‘wouldn’t qualify as express advocacy because it doesn’t actually state to vote for or vote against a candidate.  It says ‘help her’ but it doesn’t say ‘vote for Jane Norton[.]’”
 
If Ms. Queen was accurately quoted, her statement raises serious concern.  We interpret Ms. Queen’s comment as suggesting that the Commission will only deem an ad to be expressly advocating a candidate’s election or defeat if the ad contains the so-called magic words of 11 C.F.R. § 100.22(a).  And this in turn implies that the Commission is not enforcing the “reasonable interpretation” standard of “expressly advocating” found at 11 C.F.R. § 100.22(b).
 
We are writing for two reasons.
 
First, we would appreciate clarification as to whether Ms. Queen was accurately stating the Commission’s position regarding what constitutes “express advocacy” under federal law.
 
Second, if Ms. Queen was accurately stating the Commission’s position, we strongly disagree and request an explanation as to the legal basis for the Commission’s refusal to enforce its own regulation.  To be certain, the Subpart (b) standard has had a controversial past,[2] but numerous court decisions in recent years, including the Supreme Court’s decision in FEC v. Wisconsin Right to Life, 551 U.S. 449, 469-70 (2007), have made clear that the Subpart (b) standard is constitutional.  See also Real Truth About Obama v. FEC, 2008 WL 4416282 (E.D. Va. 2008) (“Because section 100.22(b) is virtually the same test stated by Chief Justice Roberts in the majority opinion of WRTL . . . , the test enumerated in section 100.22(b) to determine express advocacy is constitutional.”)[3]  Under these circumstances, we see no basis for a decision by the Commission, sub silentio, to cease its enforcement of Subpart (b).
 
The enforcement of Subpart (b) facilitates the public’s right of access to information regarding the identity of those making independent expenditures, particularly outside the 120- and 90-day electioneering communication disclosure timeframes.[4]  See 2 U.S.C. § 434(c); see also 11 C.F.R. §§ 100.16 and 109.10.  The Supreme Court in Citizens United v. FEC, 130 S. Ct. 876 (2010), while freeing corporations to make unlimited independent expenditures from their treasuries, reaffirmed the importance of disclosure to a well-informed electorate.  The Court reasoned:
 
A campaign finance system that pairs corporate independent expenditures with effective disclosure has not existed before today.  It must be noted, furthermore, that many of Congress’ findings in passing BCRA were premised on a system without adequate disclosure.  See McConnell, 540 U.S., at 128 (“[T]he public may not have been fully informed about the sponsorship of so-called issue ads”).  With the advent of the Internet, prompt disclosure of expenditures can provide shareholders and citizens with the information needed to hold corporations and elected officials accountable for their positions and supporters.  Shareholders can determine whether their corporation’s political speech advances the corporation’s interest in making profits, and citizens can see whether elected officials are “‘in the pocket’ of so-called moneyed interests.”  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.
 
Citizens United, 130 S. Ct. at 916 (internal citations omitted).
 
Enforcement of Subpart (b) is an essential element of an adequate disclosure regime, because it ensures disclosure will apply to ads that can “only be interpreted” as advocacy of a candidate’s election, but that either are not broadcast ads, or are broadcast outside the electioneering communication periods.  Absent enforcement of Subpart (b) such ads can avoid disclosure by the simple expediency of eschewing “magic words.”  This would not only be contrary to the Commission’s existing regulations, but it would also undermine the Supreme Court’s strong views on the merits and importance of disclosure.
 
Any refusal by this Commission to enforce the definitions of “independent expenditure” and “expressly advocating” in effect at the time the Court decidedCitizens United—including Subpart (b)—flies in the face of the Court’s recognition that effective disclosure “permits citizens and shareholders to react to the speech of corporate entities in a proper way.”  Id.
 
Sincerely,
 
/s/ Fred Wertheimer                /s/ Trevor Potter
Fred Wertheimer                      Trevor Potter
Democracy 21                          J. Gerald Hebert
Paul S. Ryan
Campaign Legal Center
 
Donald J. Simon
Sonosky, Chambers, Sachse
Endreson & Perry LLP
1425 K Street NW – Suite 600
Washington, DC  20005
 
Counsel to Democracy 21
 
 
Paul S. Ryan
The Campaign Legal Center
215 E Street NE
Washington, DC 20002
 
Counsel to the Campaign Legal Center
 
Copy to:           Commission Secretary
                        Commission General Counsel
 
 

 


 

[1]           Available at http://www.opensecrets.org/news/2010/08/chamber-of-commerce-other-groups-sk.html.

[2]           See, e.g., Paul S. Ryan, Wisconsin Right to Life and the Resurrection of Furgatch, Stanford Law & Policy Review Vol. 19:1, 130-163 (2008).

[3]           AffirmedReal Truth About Obama v. FEC, 575 F.3d 342 (4th Cir. 2009) (The “language [of Subpart (b)] corresponds to the definition of the functional equivalent of express advocacy given in Wisconsin Right to Life.  . . .  By limiting its application to communications that yield no other interpretation but express advocacy as described by Wisconsin Right to Life, § 100.22(b) is likely constitutional.”) (vacated for consideration of mootness by 130 S.Ct. 2371 (2010)).

[4]           We recognize that the Chamber of Commerce ads discussed above were subject to disclosure as electioneering communication.  This fact does not, however, change our view of the importance that the Commission enforce Subpart (b) outside the electioneering communication timeframes.

Circuit Court Rejects RNC Challenge to Party Coordinated Spending Limits

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Today, the U.S. Court of Appeals for the Fifth Circuit sitting en banc roundly rejected the Republican National Committee’s (RNC) challenge to the party coordinated spending limits in Cao v. FEC.  The case was filed by the RNC in 2008, challenging the party coordinated spending limits and the $5,000 political committee contribution limit as applied to party coordinated spending.  In an 11-5 decision, the Court of Appeals today upheld the party spending limits and rejected all of the plaintiffs’ claims, noting that the Supreme Court had already affirmed the constitutionality of the challenged limits in its 2001 decision in FEC v. Colorado Republican Fed. Campaign Committee.

Campaign Legal Center counsel Tara Malloy praised the decision: 

“We are pleased that the court turned away this overreaching attack on established campaign finance law and Supreme Court precedent.  Plaintiffs’ broad-side challenge would have gutted the coordinated spending limits and would have enabled large-scale circumvention of the individual contribution limits.  Anti-reformers have in essence barnstormed the country filing lawsuit after lawsuit challenging long-standing campaign finance laws in the wake of the Supreme Court’s decision in Citizens United v. FEC earlier this year.  Those attacking campaign finance reform smelled blood in the water and have assumed that no campaign finance law was safe.  Today’s decision shows that there is plenty of life left in federal campaign finance law.”  

The Legal Center, along with Democracy 21, filed an amici brief with the en banc Fifth Circuit Court of Appeals on April 19, 2010 to defend the constitutionality of the party coordinated spending limits. 

To read the court’s decision, click here.

To read the brief filed in the case by the Legal Center and Democracy 21, click here.

Court Rejects Reps. Diaz-Balmart & Brown's Attempt to Scuttle Redistricting Reform ballot Initiative In Florida: Statement of Executive Director J. Gerald Hebert

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Today’s decision of the Florida Supreme Court rejecting last minute ballot challenges to Florida’s redistricting reform initiatives (Amendments 5 and 6) clears the way for Florida voters to decide for themselves this November whether they want to stop politicians from gerrymandering themselves into safe seats.   The suit filed by Representatives Corrine Brown (D-FL) and Mario Diaz-Balart (R-FL) tried to stop voters from having their say on the amendments, which would bring about needed reform of the redistricting process.

Under Amendments 5 and 6, politicians would not be allowed to favor one political party or incumbent when drawing district lines.  The decision is a real blow to those who hold public office and use the redistricting process to keep their seats safe from potential challengers.  And the decision is a real boost to the integrity of the citizen initiative process.  For African American and Latino voters in the State of Florida, the initiative will expand the protections of minority voting rights and should bring about a fair process and less gerrymandered map in the post-2010 election cycle.

The Court also rejected a final attempt by the state legislature to reinstate it own “poison pill” Amendment 7 which a lower court ruled was nothing more than an attempt by incumbent officeholders to confuse voters and undermine the redistricting reform amendments on the ballot.  Today’s rulings were a victory for citizens over politicians seeking to retain what they see as their right to handpick constituents more likely to reelect them.  Amendments 5 and 6 now present Floridians the opportunity to send a clear message to Tallahassee and to Washington that voters should be choosing politicians, not the other way around.

To read the decision, click here.

Legal Center FEC Comments Continue Post-Citizens United Fight Against Flood of Special Interest Corporate Money Into Federal Elections

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The Campaign Legal Center, together with Democracy 21, filed comments today with the Federal Election Commission (FEC) urging the FEC to reject a request by the National Defense PAC (NDPAC) that would permit the federal PAC to raise unlimited contributions.

“NDPAC is asking the FEC to ignore a federal law that’s been on the books for nearly 40 years, as well as a Supreme Court decision from 1981 upholding that law,” said Legal Center attorney Paul S. Ryan.  “The FEC has no authority to overturn federal laws or to overrule the Supreme Court.”

 Unlike other PACs that have recently sought and received advisory opinions from the FEC allowing them to raise unlimited contributions to fund independent expenditures (e.g., Club for Growth, Commonsense Ten), NDPAC has been around for years and makes campaign contributions directly to candidates.  In fact, NDPAC is registered with the FEC as a “multicandidate political committee,” which must, by definition, make contributions to 5 or more federal candidates.

 NDPAC asks the FEC to extend the recent court decisions in Citizens United andSpeechNow—decisions that dealt with groups that exclusively made independent expenditures not contributions directly to candidates—as justification for the campaign finance deregulation of PACs that do make contributions directly to candidates.

 But federal law has for more than 35 years limited contributions to groups like NDPAC that make contributions directly to federal candidates.  In 1981, the Supreme Court upheld the limit in its CalMed decision, because PACs that make direct contributions to candidate can corrupt those candidates and could be used by donors to circumvent the limits on what donors can give directly to candidates.

 Recent court decisions in Citizens United and SpeechNow, dealing with independent expenditures, have no relevance to the constitutionality of limiting contributions to PACs that contribute to candidates—and the FEC has no authority to declare that they do.  The FEC is bound by the 1981 Supreme Court decision inCalMed upholding the contribution limit that applies to NDPAC.