Cynthia Bauerly will be FEC Chair in 2011 -- We'll miss Chairman Petersen

Image via WikipediaFEC Press Release:

"WASHINGTON – At an open meeting today, the Federal Election Commission (FEC) elected Cynthia L. Bauerly as Chair and Caroline C. Hunter as Vice Chair for 2011. Both were nominated to the Commission by President George W. Bush and confirmed unanimously by the United States Senate on June 24, 2008.

Prior to her appointment to the Commission, Bauerly served as Legislative Director for United States Senator Charles E. Schumer of New York, where she managed policy staff, implemented the legislative agenda and advised the Senate on floor strategy, campaign finance and ethics policy. She previously served as Counsel on the Senate Judiciary and Rules Committee, focusing on election reform, campaign finance, technology, telecommunications, intellectual property, antitrust law, legal process reform, immigration and ethics."

Disclosing a Dem Double Standard- Allison Hayward

National Review Online: "“Some had to know, then, who created this ad,” Bauer wrote on his now-defunct blog. He explained that self-styled campaign-finance reformers supported disclosure of the identity of political communications because they claimed that “this knowledge is useful in evaluating its truthfulness or judging merit.” As for Bauer, he had no time for such nonsense. “An argument is fully open to evaluation without attention to the person making it,” he blogged in March 2007. “In fact, this is evaluation on the merits; it is precisely to keep the argument focused on the merits, not judged by the appeal or reputation of the author, that some authors choose not to reveal themselves. It has always been remarkable that proponents of ‘deliberative democracy,’ with their emphasis on reasoned debate, will favor a style of argument that forces reason into the background while propelling personal authorship to the foreground.”"

Election 2010 Outside Political Spending Officially Eclipses Such Expenditures From 2004 Cycle

OpenSecrets: "During the 2004 election cycle, all outside groups spent $448 million on independent expenditures, electioneering communications and other communication costs to influence the election and aid their preferred candidates, according to an analysis by the Center for Responsive Politics. As of this morning, the Center’s research indicates, all outside groups have spent $455 million on such expenses -- a number that will continue to rise as Election Day nears."

Time to End the Campaign Finance ‘Reform’ Ruse

Cato: Funny, we didn't hear the primal scream about campaign finance from liberal Democrats during the 2008 campaigns, when money was pouring into their coffers from everywhere. Do we need any better evidence of the hypocrisy surrounding their screams this year? If so, turn to the lead editorial in this morning's Wall Street Journal. It'll tell you all you need to know about the campaign finance "reform" ruse that has been going on for years.

Related articles

• Campaign finance reform: R.I.P? (politico.com)

Fear and Stasis

Cato: Obama promised hope and change. He and his party now want to maintain so far as possible the political status quo (that is, their control of Congress).  To do that they are trying to prompt fear and hatred among their most loyal voters. The new motto of the administration appears to be: fear and stasis.
Of course, the administration had no evidence the charges were true and argued that the Chamber should be seen as guilty until proven innocent. All in all, the whole affair suggests desperation and a complete loss of constraint in pursuing a political end. It suggests, I think, conduct that used to be covered by the word, Nixonian.

Campaign finance reform: R.I.P.?

Politico: ""It's no secret that the reformers are on the run — they've gotten pounded in the courts and also have not been very successful legislatively," said Brad Smith, chairman of the Center for Competitive Politics, a nonprofit that opposes many campaign regulations and that has had a hand in several recent important court cases striking down such rules.

Only a decade ago, the campaign finance movement achieved one of its greatest victories: the 2002 Bipartisan Campaign Reform Act, which reformers saw as a foundation they would build upon in the years ahead."

The Primary Purpose of McCain-Feingold Revealed

Cato: In other words, if Feingold's campaign finance law had not proven to be contrary to the U.S. Constitution, he might well not be facing "an uphill battle" to serve a fourth term in Washington. The political speech that is causing Feingold problems would have been prohibited in that situation. But the First Amendment favors speech and not the re-election needs of senators.

Who Is This Voter Who Will Be Swayed By the "Campaign Ad Disclosure" Argument?

Weigel : Slate: "That's basically the argument that Democrats were making in the rust belt before the 'foreign Chamber' story, though. It's an argument they always make in the rust belt. But who is swayed by the process argument that there's something wrong with these ads appearing on the air. During that brief period when campaign finance reform was a national cause (remember Doris 'Granny D' Haddock walking across the country for McCain-Feingold?), unemployment was hovering around 4 percent. Go and look at a poll ranking voter concerns and show me where campaign finance ranks these days."

Topic of Foreign Money in U.S. Races Hits Hustings

NYTimes.com: "“Just this week, we learned that one of the largest groups paying for these ads regularly takes in money from foreign corporations,” Mr. Obama said. “So groups that receive foreign money are spending huge sums to influence American elections.”
But a closer examination shows that there is little evidence that what the chamber does in collecting overseas dues is improper or even unusual, according to both liberal and conservative election-law lawyers and campaign finance documents."

Related articles

• You: Liberal groups say foreign funds aid Republicans (latimes.com)
• Questions on source of chamber's ads surface (seattletimes.nwsource.com)

New Citizens United sequel?

SCOTUSblog: "A Washington State conservative advocacy group, seeking to play a role in ballot measure campaigns in its state, on Friday asked the Supreme Court to clear the way for it to raise unlimited funds to pay for its efforts. Its attack on a Washington state law that puts a $5,000 limit on contributions to ballot measure committees in the final three weeks before an election could become a significant sequel to the Court’s controversial ruling last January in Citizens United v. Federal Election Commission."

Related articles

• "Confronting the Impact of Citizens United" (electionlawblog.org)
• Campaign Finance Reformers Facing Major Political, Legal Obstacles (opensecrets.org)
• How much has the Citizens United case changed campaign finance in 2010? (slate.com)

Baucus sics IRS on political nonprofits, cites influence of conservative groups

Washington Examiner: "Considering this evidence, the Baucus allegations seem rather rash at best and a naked attempt at political intimidation at worst. Despite cherry-picked media accounts by Baucus, there’s no evidence any of these groups are violating the law.
In response, Republican Sens. Orrin Hatch and Jon Kyl sent their own letter to the IRS: “We are worried that the sole purpose of any such effort is to chill the legitimate exercise of First Amendment rights and intimidate Americans who wish to be part of petitioning the government for redress of their grievances,” the letter read."

Related articles

• Republicans See a Political Motive in I.R.S. Audits (nytimes.com)
• Karl Rove group, other tax-exempt orgs under fire for alleged political activities (dontmesswithtaxes.typepad.com)
• Baucus seeks probe of GOP groups (politico.com)
• Baucus to IRS: Start probing political groups (hotair.com)
• Calls to Investigate Crossroads GPS, Today's Top Independent Expenditure and More in Capital Eye Opener: October 6 (opensecrets.org)

Tea Party-Loving Republican Senate Candidates Propelled by Cash from Ideological Groups, Small Donors

OpenSecrets: "An analysis by the Center for Responsive Politics shows that some of the highest-profile Tea Party-supported candidates have collected significant sums of money from individuals contributing $200 or less, the Federal Election Commission’s threshold for itemized disclosure in campaign finance reports. These donors rarely account for more than 20 percent of a Senate candidate’s total fund-raising sums.
Sharron Angle, who emerged after a contentious primary as the Republican nominee against Senate Majority Leader Harry Reid (D-Nev.), has raised more than $2.05 million through June 30 from individuals giving $200 or less. At that time -- the date of most recent campaign finance reports -- these funds accounted for 58 percent of her war chest."

Tiny Tracts Put Political ZIP in 2010 Elections

OpenSecrets: "And they're playing notable roles during the 2010 midterm elections, together funneling tens of millions of dollars the way of congressional candidates and political committees, a Center for Responsive Politics analysis of campaign finance data indicates.

Most of the nation's roughly 44,000 five-digit ZIP codes account for a few hundred dollars in federally reportable political contributions, if any at all.

There's ZIP code 06831 in Greenwich, Conn., where more than $3 million has this election cycle found its way into federal-level political coffers -- a majority of it benefiting Democrats. (The state has a whole has contributed less than $23 million.)"

Withdrawn FEC Nominee Laments “Broken” Confirmation Process

The Center for Public Integrity: "Why hasn’t Obama done so? Traditionally, nominees to the FEC are presented as a pair, replacing one Democratic and one Republican commissioner whose terms have expired. The White House almost always defers to the other party’s Senate leader to select his party’s nominee. But, as Sullivan explains, there was little movement by Republican Minority Leader Mitch McConnell toward giving President Obama a name to replace Commissioner Donald McGahn. Rather than breaking with that tradition and risking a major fight with the Senate GOP, Obama has refrained from nominating replacements for either."

Related articles

• Reid deal with McConnell kills recess appointments (salon.com)
• Bipartisanship: No recess appointments for Obama (hotair.com)

Democrats mounting attack on outside political spending

Radio Business Report/Television Business Report - Voice of the Broadcasting Industry: "The Supreme Court’s Citizens United ruling has opened the money spigots, and allowed unaffiliated political organizations to attack candidates without revealing who is funding the advertising. Democrats are charging that illegal foreign cash is finding its way into the process, and are attempting to enlist the IRS and FEC to investigate.
Max Baucus (D-MT) is trying to bring the IRS into the issue. He says that entities operating as 501(c) organizations are supposed to have a reason for being other than the elect and/or defeat political candidates. He thinks that many such organizations operating this year were formed specifically for political purposes and warrant investigation. One prominent target, among many, is Karl Rove’s American Crossroads."

Related articles

• Jim: Senator Pushes IRS to Investigate Karl Rove and Co. | PINKtank (codepink.org)
• Republicans See a Political Motive in I.R.S. Audits (nytimes.com)
• Karl Rove group, other tax-exempt orgs under fire for alleged political activities (dontmesswithtaxes.typepad.com)

Independent Expenditures Report

Sunlight Foundation Blog: "National Republican Congressional Committee ($13,979,025) and the Democratic Senatorial Campaign Committee ($10,370,412) disclosed spending the most money on directly attempting to elect or defeat federal candidates (called independent expenditures) as of this morning. Labor union SEIU and the Democratic Congressional Campaign Committee are next, with American Crossroads, a section 527 organization that top Republican political strategist Karl Rove advises, placing fifth. National Republican Senatorial Committee places tenth ($2,749,953) — significantly less than AFSCME, American Future Fund, the 60 Plus Association and Americans for Job Security. U.S. Chamber of Commerce has spent the most on issue ads that mention federal candidates (called electioneering communications) with $8,838,680, followed by American Future Fund ($1,548,778)."

Citizens United and Its Critics

The Yale Law Journal Online: "I wasn’t surprised by what seems to have been the general disapproval of the ruling. Campaign finance “reform” is generally viewed as an unmitigated good and is normally uncritically praised in publications and in the public statements of politicians. So a decision of the Supreme Court holding unconstitutional major elements of legislation ostensibly drafted to help take money out of politics was never going to be popular."

Federal Election Commission Activity

FEC Weekly Digest:

Some interesting Advisory Opinion drafts this week.

Drafts

AO 2010-21 (ReCellular, Inc.). On October 1, the Commission made public a draft of Advisory Opinion 2010-21.ReCellular purchases used cell phones from individual consumers, and currently allows consumers to donate their sale proceeds to charity through the ReCellular website.ReCellular asks whether it may also allow consumers to contribute their sale proceeds to political committees.

Supplement Received

AOR 2010-25 (RG Entertainment). On September 28, the Commission made public a Supplement to Advisory Opinion Request 2010-25. In the request, RG Entertainment, Ltd., Star Parker, Star Parker for Congress, Motive Entertainment, Inc., engage4 LLC, and InService America, Inc. ask whether (1) disbursements in connection with the production, marketing, and distribution of a documentary film and its trailer would be covered by the press exemption or would constitute bona fide commercial activity; (2) payments for the production and distribution of the film would constitute a coordinated communication with Parker, a candidate who appears in the film; (3) public theatrical exhibitions of the film would require disclaimers; and (4) Parker's appearances and licensing activities in conjunction with screenings of the film would be subject to the Federal Election Campaign Act of 1971, as amended (the Act) and Commission regulations.

Comment Received

AOR 2010-23 (CTIA - The Wireless Association). On September 24, the Commission received a comment on Advisory Opinion Request 2010-23. In the request, CTIA - The Wireless Association asks whether it may administer Common Short Codes (five- or six-digit numbers) to allow the use of cellular phone text messaging for anonymous contributions to candidates and political committees.

Advisory Opinions and Requests are available here.

Baucus seeks probe of GOP groups

POLITICO.com: "Political spending by 501(c)4 groups appears to be on the rise across the board, but thus far, neither the IRS nor the Federal Election Commission, which is charged with enforcing election laws, have signaled they intend to look into the groups’ spending.
Baucus leads the Senate Finance Committee, which has oversight authority over non-profits and the IRS, and in his letter he asked the IRS to identify “possible violation of tax law” and suggested those could result in non-profits losing their tax-exempt status. He also indicated that based on the IRS’s findings he might open his own committee investigation and may “take appropriate legislative action.”

Related articles

• Baucus to IRS: Start probing political groups (hotair.com)
• Baucus Urges Probe Of Advocacy Groups (huffingtonpost.com)
• Senate Democrats Press I.R.S. to Review Political Spending by Nonprofits (thecaucus.blogs.nytimes.com)

Washington Post vs. Americans for Prosperity

Washington Post on Americans for Prosperity: Think it's a coincidence that the "issue advertising" is running, and naming names, in districts of vulnerable Democratic incumbents? Consider this attack on Washington Democrat Denny Heck -- who isn't even in office -- for "putting Nancy Pelosi's agenda ahead of our needs" and being "a 30-year political insider." The $180,000 ad campaign started running the day after Mr. Heck won the Democratic primary. In a district with an open House seat in Michigan, the group is estimated to have spent almost $350,000 attacking Democratic nominee Gary McDowell.


Americans for Prosperity Letter: All of AFP's citizen-education efforts -- including our television advertising -- have been bona fide issue advocacy designed to advance our mission of promoting limited government fiscal and economic policies, lower taxes, less spending and less onerous regulation. Because we engage in no electioneering, we have done nothing after the Supreme Court's Citizens United decision that we were not already doing before.