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by Causes | 3.6.19

What’s the story?

\nDonors contributing over $10,000 in elections would have to be disclosed under the For the People Act (H.R.1), which the House is expected to vote on later this week.\n
Super PACs, 501(c)4 groups, and other organizations spending money in elections would have to disclose donors contributing over $10,000. Organizations would banned from using transfers between themselves to mask source contributors’ identities.
The 571-page bill includes a number of other campaign finance reforms, including a ban on foreign money, a shareholder right-to-know stipulation, and a mandate for digital platforms to maintain a database of political ad purchase requests over $500.

What does the bill say about campaign finance transparency?

Foreign Money Ban

Contributions and expenditures from corporations with significant foreign ownership or control would be banned, and the application of the foreign money ban regarding separate segregated funds would be clarified.

Dark Money Disclosure

Besides the above, this section would also set forth and clarify rules governing court challenges to campaign finance law.

Honest Ads

Large digital platforms would be required to maintain a public database of political ad purchase requests over $500. Direct digital platforms would be directed to implement measures to prevent foreign nationals from directly or indirectly purchasing political ads.

Stand by Every Ad

“Stand by your ad” disclosure requirements would be expanded to include leaders of corporations, unions, and other organizations purchasing political ads.

Secret Money Transparency

Would repeal the existing prohibition on the IRS promulgating rules to bring clarity to the rules governing 501(c) political activity.

Shareholder Right-to-Know

Would repeal the existing prohibition on the Securities and Exchange Commission (SEC) finalizing rules to give shareholders the opportunity to know about publicly traded companies’ political spending.

Disclosure of Political Spending by Government Contractors

Would repeal the prohibition on the executive branch promulgating rules to require government contractors to disclose all their political spending.

Disclosure Requirements for Presidential Inaugural Committee

Presidential Inauguration Committees would be required to disclose their expenditures. Aggregate contributions would be limited, and funds couldn’t be used for non-inauguration purposes.

What are both sides saying?

GOP

H.R. 1 is opposed by the Conservative Action Project, FreedomWorks, and the National Association of Business Political Action Committees (NABPAC), an organization that represents and lobbies for business PACs.
Peter Vicenzi, press secretary for FreedomWorks, said in a statement to the Center for Responsive Politics, “The main issues we have with HR 1 are that it would have a chilling effect on political speech, take power from individual states in how they conduct elections and fund political campaigns with taxpayer dollars.”
Senate Majority Leader Mitch McConnell (R-KY) wrote an op-ed that he considers the legislation the “Democrat Politician Protection Act.”

DEMS

End Citizens United President Tiffany Muller called H.R. 1 a “once-in-a-generation government reform bill that will restore the promise of our democracy.” In a letter sent to House Speaker Nancy Pelosi (D-CA), Muller wrote that the organization and its four million members “enthusiastically support” the legislation.
Marge Baker, executive vice president of People for the American Way, also supports the legislation, saying it “takes dead aim at some of the most pressing issues threatening our democracy.”
In a statement to The Center for Responsive Politics, Baker said, “Our members have been working on these issues for years, and now they’re focused on pushing hard on Congress to pass H.R. 1, with calls, emails, digital and on the ground organizing.”

What do you think?

Do you support the campaign-finance reforms included in H.R.1? Take action above and tell your reps, then share your thoughts below.

—Josh Herman

(Photo Credit: iStockphoto.com / D-Keine)

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