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Context of 'June 27, 2011: Supreme Court Limits Public Financing of Elections'

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The Supreme Court case Buckley v. Valeo, filed by Senator James L. Buckley (R-NY) and former Senator Eugene McCarthy (D-WI) against the Secretary of the Senate, Francis R. Valeo, challenges the constitutionality of the Federal Election Campaign Act (FECA—see February 7, 1972 and 1974) on free-speech grounds. The suit also named the Federal Election Commission (FEC) as a defendant. A federal appeals court validated almost all of FECA, and the plaintiffs sent the case to the Supreme Court. The Court upholds the contribution limits set by FECA because those limits help to safeguard the integrity of elections. However, the court overrules the limits set on campaign expenditures, ruling: “It is clear that a primary effect of these expenditure limitations is to restrict the quantity of campaign speech by individuals, groups, and candidates. The restrictions… limit political expression at the core of our electoral process and of First Amendment freedoms.” One of the most important aspects of the Supreme Court’s ruling is that financial contributions to political campaigns can be considered expressions of free speech, thereby allowing individuals to essentially make unrestricted donations. The Court implies that expenditure limits on publicly funded candidates are allowable under the Constitution, because presidential candidates may disregard the limits by rejecting public financing (the Court will affirm this stance in a challenge brought by the Republican National Committee in 1980).
Provisions of 'Buckley' - The Court finds the following provisions constitutional:
bullet Limitations on contributions to candidates for federal office;
bullet Disclosure and record-keeping provisions; and
bullet The public financing of presidential elections.
However, the Court finds these provisions unconstitutional:
bullet Limitations on expenditures by candidates and their committees, except for presidential candidates who accept public funding;
bullet The $1,000 limitation on independent expenditures;
bullet The limitations on expenditures by candidates from their personal funds; and
bullet The method of appointing members of the FEC, holding that as the method stands, it violates the principle of separation of powers.
In May 1976, following the Court’s ruling, the FEC will reconstitute its board with six presidential appointees after Senate confirmation. [Federal Elections Commission, 3/1997; Federal Elections Commission, 1998; Campaign Finance Timeline, 1999; Center for Responsive Politics, 2002 pdf file; Casebriefs, 2012]
No Clear Authors - The opinion is labeled per curiam, a term usually reserved for brief and minor Court decisions when authorship of an opinion is less relevant. It is unclear exactly which Justices write the opinion. Most Court observers believe Justice William Brennan writes the bulk of the opinion, but Brennan’s biographers will later note that sections of the opinion are authored by Chief Justice Warren Burger and Justices Potter Stewart, Lewis Powell, and William Rehnquist. The opinion is an amalgamation of multiple authors, reflecting the several compromises made in the resolution of the decision. [New Yorker, 5/21/2012]
Criticism of 'Buckley' - Critics claim that the ruling enshrines the principle of “money equals speech.” The ruling also says that television and radio advertisements that do not expressly attack an individual candidate can be paid for with “unregulated” funds. This leads organizations to begin airing “attack ads” that masquerade as “issue ads,” ostensibly promoting or opposing a particular social or political issue and avoiding such words as “elect” or “defeat.” [National Public Radio, 2012] In 1999, law professor Burt Neuborne will write: “Buckley is like a rotten tree. Give it a good, hard push and, like a rotten tree, Buckley will keel over. The only question is in which direction.” Neuborne will write that his preference goes towards reasonable federal regulations of spending and contributions, but “any change would be welcome” in lieu of this decision, and even a completely deregulated system would be preferable to Buckley’s legal and intellectual incoherence. [New York Times, 5/3/2010] In 2011, law professor Richard Hasen will note that while the Buckley decision codifies the idea that contributions are a form of free speech, it also sets strict limitations on those contributions. Calling the decision “Solomonic,” Hasen will write that the Court “split the baby, upholding the contribution limits but striking down the independent spending limit as a violation of the First Amendment protections of free speech and association.” Hasen will reflect: “Buckley set the main parameters for judging the constitutionality of campaign finance restrictions for a generation. Contribution limits imposed only a marginal restriction on speech, because the most important thing about a contribution is the symbolic act of contributing, not the amount. Further, contribution limits could advance the government’s interest in preventing corruption or the appearance of corruption. The Court upheld Congress’ new contribution limits. It was a different story with spending limits, which the Court said were a direct restriction on speech going to the core of the First Amendment. Finding no evidence in the record then that independent spending could corrupt candidates, the Court applied a tough ‘strict scrutiny’ standard of review and struck down the limits.” [Slate, 10/25/2011] In 2012, reporter and author Jeffrey Toobin will call it “one of the Supreme Court’s most complicated, contradictory, incomprehensible (and longest) opinions.” [New Yorker, 5/21/2012]

Entity Tags: Federal Election Campaign Act of 1972, Federal Election Commission, James Buckley, Jeffrey Toobin, US Supreme Court, Eugene McCarthy, Lewis Powell, Potter Stewart, Burt Neuborne, William Rehnquist, Warren Burger, Richard L. Hasen, William Brennan

Timeline Tags: Civil Liberties

Cato Institute logo.Cato Institute logo. [Source: Cato Institute]The billionaire Koch brothers, Charles and David, launch the libertarian Cato Institute, one of the first of many think tanks and advocacy organizations they will fund (see August 30, 2010). While records of the Koch funding of the institute are not fully available, the Center for Public Integrity learns that between 1986 and 1993 the Koch family gives $11 million to the institute. By 2010, Cato has over 100 full-time employees, and often succeeds in getting its experts and policy papers quoted by mainstream media figures. While the institute describes itself as nonpartisan, and is at times critical of both Republicans and Democrats, it consistently advocates for corporate tax cuts, reductions in social services, and laissez-faire environmental policies. One of its most successful advocacy projects is to oppose government initiatives to curb global warming. When asked why Cato opposes such federal and state initiatives, founder and president Ed Crane explains that “global warming theories give the government more control of the economy.” [New Yorker, 8/30/2010]

Entity Tags: Center for Public Integrity, Cato Institute, Ed Crane, Charles Koch, David Koch

Timeline Tags: Domestic Propaganda

Oil billionaire David Koch runs for vice president on the Libertarian Party ticket. David and his brother Charles are the primary backers of hard-right libertarian politics in the US (see August 30, 2010); Charles, the dominant brother, is determined to tear government “out at the root,” as he will later be characterized by libertarian Brian Doherty. The brothers have thrown their support behind Libertarian presidential candidate Ed Clark, who is running against Republican Ronald Reagan from the right of the political spectrum. The brothers are frustrated by the legal limits on campaign financing, and they persuade the party to place David on the ticket as vice president, thereby enabling him to spend as much of his personal fortune as he likes. The Libertarian’s presidential campaign slogan is, “The Libertarian Party has only one source of funds: You.” In reality, the Koch brothers’ expenditures of over $2 million is the campaign’s primary source of funding. Clark tells a reporter that the Libertarians are preparing to stage “a very big tea party” because people are “sick to death” of taxes. The Libertarian Party platform calls for the abolition of the FBI and the CIA, as well as of federal regulatory agencies, such as the Securities and Exchange Commission and the Department of Energy. The platform proposes the abolition of Social Security, minimum-wage laws, gun control, and all personal and corporate income taxes; in return, it proposes the legalization of prostitution, recreational drugs, and suicide. Government should be reduced to only one function, the party proclaims: the protection of individual rights. Conservative eminence William F. Buckley Jr. calls the movement “Anarcho-Totalitarianism.” The Clark-Koch ticket receives only one percent of the vote in the November 1980 elections, forcing the Koch brothers to realize that their brand of politics isn’t popular. In response, Charles Koch becomes openly scornful of conventional politics. “It tends to be a nasty, corrupting business,” he says. “I’m interested in advancing libertarian ideas.” Doherty will later write that both Kochs come to view elected politicians as merely “actors playing out a script.” Doherty will quote a longtime confidant of the Kochs as saying that after the 1980 elections, the brothers decide they will “supply the themes and words for the scripts.” In order to alter the direction of America, they had to “influence the areas where policy ideas percolate from: academia and think tanks.” [New Yorker, 8/30/2010]

Entity Tags: Libertarian Party, Brian Doherty, Charles Koch, Ronald Reagan, David Koch, William F. Buckley, Ed Clark

Timeline Tags: Domestic Propaganda

KochPAC logo.KochPAC logo. [Source: KochPAC (.com)]After their stinging loss during the November 1980 presidential campaign, the billionaire Koch brothers, Charles and David, decide that they need to work to inculcate their brand of hard-right libertarianism into the electorate through indirect means (see 1979-1980). Therefore, they begin spending vast amounts of their personal fortunes on what purport to be independent think tanks and other political or ideological organizations. At the same time, the brothers become political recluses, rarely speaking in public and rarely acknowledging the breadth or the direction of their donations. It is hard to know exactly how much the Kochs spend and where they spend it, though public records give some of the picture. Between 1998 and 2008, Charles Koch’s foundation spends over $48 million on political funding. The Claude R. Lambe Charitable Foundation, controlled by Charles and his wife, spends over $28 million. David Koch’s foundation spends over $120 million. Koch Industries, controlled primarily by Charles, spends over $50 million on lobbying efforts. Their political action committee, KochPAC, donates around $8 million, almost all of it going to Republicans. In 2010, as in other years, Koch Industries leads all other energy companies in political donations. The brothers spend over $2 million of their personal fortunes on political donations, almost all of it going to Republicans. Ari Rabin-Havt of the progressive media watchdog organization Media Matters will say that the Kochs’ effort is unusual in its marshalling of corporate and personal funds: “Their role, in terms of financial commitments, is staggering.” Lee Fang, writing for the liberal blog ThinkProgress (an arm of the Center for American Progress), calls the Kochs “the billionaires behind the hate.” Some believe that the Kochs have either skirted, or outright broken, laws controlling tax-exempt giving. Charitable foundations must conduct exclusively nonpartisan activities that promote the public welfare. But in 2004, a report by the National Committee for Responsive Philanthropy, a watchdog group, describes the Kochs’ foundations as being self-serving, and concludes, “These foundations give money to nonprofit organizations that do research and advocacy on issues that impact the profit margin of Koch Industries.” The Kochs also use their charitable foundations to fund hard-right political organizations that, according to reporter Jane Mayer, “aim to push the country in a libertarian direction,” including: the Institute for Justice, which files lawsuits opposing state and federal regulations; the Institute for Humane Studies, which underwrites libertarian academics; and the Bill of Rights Institute, which promotes a conservative interpretation of the Constitution. David Koch acknowledges that the family exerts tight ideological control. “If we’re going to give a lot of money, we’ll make darn sure they spend it in a way that goes along with our intent,” he tells a reporter. “And if they make a wrong turn and start doing things we don’t agree with, we withdraw funding.” [New Yorker, 8/30/2010]

Entity Tags: Institute for Justice, Charles Koch, Bill of Rights Institute, Ari Rabin-Havt, Claude R. Lambe Charitable Foundation, Institute for Humane Studies, Koch Industries, National Committee for Responsive Philanthropy, Jane Mayer, David Koch, Lee Fang, KochPAC

Timeline Tags: Domestic Propaganda

Citizens for a Sound Economy logo.Citizens for a Sound Economy logo. [Source: Greater Houston Pachyderm Club]The billionaire Koch brothers, Charles and David, launch the first of a number of “citizen advocacy” groups they either found or fund, Citizens for a Sound Economy. The Kochs are staunch right-wing libertarians determined to successfully combat government regulation and oversight of businesses, government taxation, and government funding of social programs (see August 30, 2010). Between 1986 and 1993, the brothers will provide $7.9 million to the group, even as it promotes itself as a “grassroots,” “citizen-driven” organization. (Such organizations that call themselves “citizen-based” while actually being founded, operated, and funded by corporate interests are called “astroturf” organizations.) Matt Kibbe, who will go on to head a Koch-funded lobbying organization, FreedomWorks, will later say of Citizens for a Sound Economy that its driving force was to take the Kochs’ “heavy ideas and translate them for mass America.… We read the same literature Obama did about nonviolent revolutions—Saul Alinsky, Gandhi, Martin Luther King. We studied the idea of the Boston Tea Party as an example of nonviolent social change. We learned we needed boots on the ground to sell ideas, not candidates.” One organization participant will say that the brothers are “very controlling, very top down. You can’t build an organization with them. They run it.” By 1993, the organization will become powerful enough to successfully thwart the Clinton administration’s efforts to place a “BTU tax” on energy, and mounts successful “citizen protests” against Democrats, sometimes funnelling millions of Koch monies into the political campaigns of their Republican opponents. [New Yorker, 8/30/2010]

Entity Tags: Clinton administration, Charles Koch, David Koch, Citizens for a Sound Economy, Matt Kibbe, FreedomWorks

Timeline Tags: Domestic Propaganda

The Wall Street Journal’s Stephen Moore interviews reclusive billionaire Charles Koch, the head of the Koch Brothers oil empire. Among the items of interest in the interview is Koch’s admission that he, along with his brother David (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, and Late 2004), coordinates the funding of the conservative infrastructure of some of the most influential front groups, political campaigns, think tanks, media outlets, and other such efforts through a semiannual meeting with wealthy conservative donors. (Moore himself receives Koch funding for his work, according to a Think Progress report published four years later. In return, Moore is quite laudatory in the interview, writing that Koch is a “creative forward-thinking… professorial CEO” who “is immersed in the ideas of liberty and free markets.”) Koch tells Moore that his basic goal is to strengthen what he calls the “culture of prosperity” by eliminating “90 percent” of all laws and government regulations. Moore writes of the twice-yearly conference: “Mr. Koch’s latest crusade to spread the ideas of liberty has been his sponsorship of a twice-yearly conference that gathers together many of the most successful American entrepreneurs, from T. Boone Pickens to former Circuit City CEO Rick Sharp. The objective is to encourage these captains of industry to help fund free-market groups devoted to protecting the fragile infrastructure of liberty. That task seems especially critical given that so many of the global superrich, like George Soros and Warren Buffett, finance institutions that undermine the very system of capitalism that made their success possible (see January - November 2004). Isn’t this just the usual rich liberal guilt, I ask. ‘No,’ he says, ‘I think they simply haven’t been sufficiently exposed to the ideas of liberty.’” [Wall Street Journal, 5/6/2006; Think Progress, 10/20/2010]

Entity Tags: Think Progress (.org), Charles Koch, Wall Street Journal, David Koch, Stephen Moore

Timeline Tags: Civil Liberties

The Center for American Progress (CAP), a progressive think tank and lobbying organization, releases a report that says the “tea party” movement protesting the various policies of the Obama administration (see April 8, 2009) is not, as purported, entirely a grassroots movement of ordinary citizens, but an “astroturf” movement created, organized, and funded by powerful conservative and industry firms and organizations. (CAP notes that the anti-tax “tea parties,” with “tea” standing for “Taxed Enough Already,” fail to note that President Obama’s recent legislation actually has cut taxes for 95 percent of Americans.) Two of the most prominent organizations behind the “tea parties” are FreedomWorks and Americans for Progress (AFP). FreedomWorks (see April 14, 2009) is a corporate lobbying firm run by former House Majority Leader Dick Armey (R-TX), and organized the first “tea party,” held in Tampa, Florida, on February 27. It then began planning and organizing “tea parties” on a national scale; officials coordinated logistics, called conservative activists, and provided activists with sign ideas and slogans and talking points to use during protests. AFP has coordinated with FreedomWorks. AFP is a corporate lobbying firm run by Tim Phillips, a former lobbying partner of conservative activist Ralph Reed, and funded in part by Koch Industries, the largest private oil corporation in America (see May 29, 2009). Former House Speaker Newt Gingrich (R-GA) is also involved, through his lobbying form American Solutions for Winning the Future, which is supported by oil companies.
Support, Promotion from Fox News - On cable news channels, Fox News and Fox Business have run promotions for the “tea parties” in conjunction with enthusiastic reports promoting the affairs (see April 13-15, 2009, April 15, 2009, April 15, 2009, and April 6-13, 2009); in return, the organizers use the Fox broadcasts to promote the events. Fox hosts Glenn Beck, Neil Cavuto, and Sean Hannity all plan to broadcast live reports from the events. Fox also warns its viewers that the Obama administration may send “spies” to the events. (Fox justifies its depth of coverage by saying that it provided similar coverage for the 1995 Million Man March. However, Fox did not begin broadcasting until 1996—see October 7, 1996.)
Republican Support - Congressional Republicans have embraced the “tea parties” as ways to oppose the Obama administration. Many leading Republicans, such as Minority Leader John Boehner (R-OH), Paul Ryan (R-WI), and some 35 others, will speak at AFP-funded “tea parties.” Republican National Committee Chairman Michael Steele has moved the RNC to officially support the protests. And Senator David Vitter (R-LA) has introduced legislation formally honoring April 15 as “National Tea Party Day.” “It’s going to be more directed at Obama,” says reporter and commentator Ana Marie Cox. “This is very much, I think, part of the midterm strategy” to win elections in 2010.
Fringe Elements - According to CAP, many “fringe” elements of the conservative movement—including “gun rights militias, secessionists, radical anti-immigrant organizations, and neo-Nazi groups”—are involved in the “tea parties.” [Think Progress, 4/15/2009; Think Progress, 5/29/2009]

Entity Tags: Ralph Reed, Republican National Committee, Paul Ryan, Tim Phillips, Obama administration, Sean Hannity, Newt Gingrich, John Boehner, Michael Steele, Barack Obama, Neil Cavuto, Center for American Progress, Ana Marie Cox, Americans for Progress, Fox Business Channel, Fox News, Koch Industries, David Vitter, American Solutions for Winning the Future, FreedomWorks, Glenn Beck, Dick Armey

Timeline Tags: Domestic Propaganda, 2010 Elections

Oil billionaire David Koch (see August 30, 2010), the founder of “astroturf” advocacy organization Americans for Prosperity (AFP—see Late 2004, October 2008, and August 6, 2009), makes a rare public appearance at an AFP gathering designed to celebrate the organization’s victories against Obama administration policies (see January 2009 and After). President Obama’s poll numbers are declining, and to a man, Republican senators are refusing to cooperate with the White House or with Congressional Democrats on any issues. Political pundits are labeling Obama “inept,” and “tea party” groups are accusing him of initiating “a government takeover.” Koch praises the AFP members at the event, saying: “Days like today bring to reality the vision of our board of directors when we started this organization, five years ago.… We envisioned a mass movement, a state-based one, but national in scope, of hundreds of thousands of American citizens from all walks of life standing up and fighting for the economic freedoms that made our nation the most prosperous society in history.… Thankfully, the stirrings from California to Virginia, and from Texas to Michigan, show that more and more of our fellow-citizens are beginning to see the same truths as we do.” [New Yorker, 8/30/2010]

Entity Tags: Americans for Prosperity, Obama administration, David Koch, Barack Obama

Timeline Tags: Domestic Propaganda

Reporter Lee Fang of the liberal Center for American Progress writes an op-ed for the Boston Globe comparing the current political attacks against Democratic efforts to reform health care being coordinated by the Koch brothers (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, May 6, 2006, April 15, 2009, May 29, 2009, and November 2009) with the efforts of their father, Fred Koch (see 1940 and After), to label former President John F. Kennedy a traitor and a Communist tool. David Koch recently helped coordinate, from behind the scenes, a protest that compared health care reform to the Holocaust, and other protests that have turned violent. More systematically, he and his reclusive brother Charles have funded such conservative organizations as Americans for Prosperity (AFP—see Late 2004) and other front groups, none of which bear the Koch name. Fang writes: “Americans for Prosperity’s tactics are not new. Just as Koch inherited his oil business from his father, Americans for Prosperity borrows from the ultra-right group also founded in part by his dad, the John Birch Society” (see 1945 and After, March 10, 1961, 1963, August 4, 2008, and April 26, 2010). Fred Koch helped conceive the far-right, anti-Communist John Birch Society (JBS), which, Fang writes, “cloaked its pro-business, anti-civil rights agenda in the rhetoric of the Cold War.” The JBS labeled Kennedy a Communist-inspired traitor and advocated his impeachment (see November 1963), stood against taxation as another aspect of “creeping Communism” inside the federal government, and claimed that the civil rights movement was being directed by the Soviet Union (see April 13, 2009 and December 11, 2009). The JBS helped promote the 1964 presidential candidacy of Senator Barry Goldwater (R-AZ) and helped Republicans win key Congressional seats in 1966. AFP and the JBS are alike, Fang notes, in that they rarely acknowledge their funding from wealthy corporate magnates. Both portray themselves as grassroots organizations that are dedicated to promoting freedom. For a time, the JBS succeeded in aligning the interests of the very rich with the idea of anti-Communist patriotism. Similarly, AFP promotes the interests of the extremely wealthy, including the Koch brothers, as synonymous with patriotic opposition to health care reform, financial regulation, net neutrality, and the estate tax. All are labeled as “socialist,” a favorite JBS epithet. Fang concludes that “[w]ith his millions,” David Koch will have “contributed greatly to the obstruction of universal health care, the denial of climate change, and the derailment of much of President Obama’s domestic agenda. His dad would be pleased.” [Boston Globe, 12/6/2009]

Entity Tags: Barry Goldwater, Americans for Prosperity, Barack Obama, Charles Koch, David Koch, John Birch Society, John F. Kennedy, Lee Fang, Fred Koch

Timeline Tags: Domestic Propaganda

Many Republican lawmakers and their supporters celebrate the controversial Citizens United decision by the US Supreme Court (see January 21, 2010), which allows corporations and labor unions to spend unrestricted amounts of money in support of, or opposition to, federal candidates. Most observers believe that Republicans will benefit from the ruling, as large corporations who can now spend large amounts on influencing elections tend to support more conservative candidates and causes (see January 21-22, 2010). Most Republicans who praise the decision do not mention the presumed financial advantage they may now enjoy, but instead focus on the issue as one of freedom of speech. Senator John Cornyn (R-TX) says of the decision: “It is about a nonprofit group’s ability to speak about the public issue. I can’t think of a more fundamental First Amendment issue. [The ruling could] open up resources that have not previously been available [for Republicans].” Representative Steve King (R-IA) says: “The Constitution protects the rights of citizens and employers to express their viewpoints on political issues. Today’s Supreme Court decision affirms the Bill of Rights and is a victory for liberty and free speech.” Fellow Republican House member Mike Pence (R-IN) agrees: “If the freedom of speech means anything, it means protecting the right of private citizens to voice opposition or support for their elected representatives. The fact that the Court overturned a 20-year precedent speaks volumes about the importance of this issue.” Senate Minority Leader Mitch McConnell (R-KY) says the ruling is a big step towards “restoring the First Amendment rights [of corporations and unions].… By previously denying this right, the government was picking winners and losers.” Republican National Committee (RNC) chairman Michael Steele says: “Today’s decision by the Supreme Court in Citizens United v. FEC serves as an affirmation of the constitutional rights provided to Americans under the first amendment. Free speech strengthens our democracy.” And US Senate candidate Marco Rubio (R-FL) says, “Today’s SCOTUS decision on McCain-Feingold is a victory for free speech.” One of the few Republicans to speak against the decision is Senator Olympia Snowe (R-ME), who calls it “regrettable” and “disappointing.” Snowe is joined in her criticism by fellow Senator John McCain (R-AZ), the co-author of the legislation partially overturned by the ruling (see March 27, 2002), who also says he is “disappointed” by the decision. [Associated Press, 1/21/2010; Think Progress, 1/22/2010]

Entity Tags: Mike Pence, John Cornyn, John McCain, Marco Rubio, Michael Steele, Olympia Snowe, Steve King, Mitch McConnell

Timeline Tags: Civil Liberties

The advocacy wing of the Americans for Prosperity (AFP) Foundation, founded by right-wing billionaire David Koch in 2004 (see Late 2004 and August 30, 2010), holds a weekend summit called “Texas Defending the American Dream” in Austin, Texas.
Koch-Funded, Koch Brand Not in Evidence - Neither David Koch nor his brother, Charles, attend the affair, and the name Koch is not in evidence. An advertisement for the event portrays it as a populist uprising against vested corporate power, stating: “Today, the voices of average Americans are being drowned out by lobbyists and special interests. But you can do something about it.” The ad makes no mention that the event is funded by Koch Industries, the second-largest private corporation in the US. Of Americans for Prosperity, Obama adviser David Axelrod says, “What they don’t say is that, in part, this is a grassroots citizens’ movement brought to you by a bunch of oil billionaires.”
Funding and Training the Tea Parties - Koch Industries has long denied that it has any connection to tea party organizations, and has denied that either the firm or the Koch brothers have funded any tea party groups (see February 27, 2009 and April 15, 2009). David Koch has denied ever being approached by tea party representatives. But at the Austin event, event organizer Peggy Venable—an AFP employee who has worked for Koch-funded political groups since 1994—tells the crowd, “We love what the tea parties are doing, because that’s how we’re going to take back America!” She calls herself one of the earliest members of the tea party movement, telling a reporter, “I was part of the tea party before it was cool!” AFP, she says, is in business to help “educate” tea party activists on policy details and to train them for further activism so that their political energy can be channelled “more effectively.” AFP has provided tea party organizers with lists of elected Democrats to target. Of the Kochs, she says: “They’re certainly our people. David’s the chairman of our board. I’ve certainly met with them, and I’m very appreciative of what they do.”
'Victory or Death!' - Some 500 people attend the event, which features training seminars for “tea party” activists around the state and a series of speakers launching blunt attacks against President Obama and his administration. Venable warns the attendees that the Obama administration has “a socialist vision for this country.” She gives the Texas AFP “Blogger of the Year” award to a woman named Sibyl West, who recently called Obama the nation’s “cokehead in chief.” Featured speaker Janine Turner, an actress best known for her role in the TV series Northern Exposure, tells the audience: “They [Obama and the Democratic Party] don’t want our children to know about their rights. They don’t want our children to know about a God!” Former Texas Solicitor General Ted Cruz tells the crowd that Obama is “the most radical president ever to occupy the Oval Office,” and has a hidden agenda: “the government taking over our economy and our lives.” Defeating Obama and his “secret agenda” is, Cruz says, “the epic fight of our generation!” As the crowd gives him a standing ovation, Cruz shouts the words said by a Texan at the Alamo: “Victory or death!” [New Yorker, 8/30/2010]

Entity Tags: Janine Turner, Barack Obama, Americans for Prosperity, Charles Koch, David Koch, Obama administration, Sibyl West, David Axelrod, Koch Industries, Ted Cruz, Peggy Venable

Timeline Tags: Domestic Propaganda

Liberal New York Times columnist Frank Rich writes an op-ed focusing on the billionaire Koch brothers (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, 1997, Late 2004, August 5, 2009, November 2009, July 3-4, 2010, August 30, 2010, and October 4, 2011), the oil magnates who are the driving force behind the tea party movement. Rich writes that “even those carrying the Kochs’ banner may not know who these brothers are.” Rich, using information from historian Kim Phillips-Fein’s book Invisible Hands, notes that the Kochs are the latest in a long line of behind-the-scenes corporate manipulators “who have financed the far right (see September 2010 and August 17, 2011) ever since the du Pont brothers spawned the American Liberty League in 1934 to bring down” the Roosevelt administration (see August 23, 1934 and After). “You can draw a straight line from the Liberty League’s crusade against the New Deal ‘socialism’ of Social Security, the Securities and Exchange Commission, and child labor laws to the John Birch Society-Barry Goldwater assault on [the Kennedy administration] and Medicare (see 1962 and November 1963) to the Koch-Murdoch-backed juggernaut against our ‘socialist’ president,” Rich writes. “Only the fat cats change—not their methods and not their pet bugaboos (taxes, corporate regulation, organized labor, and government ‘handouts’ to the poor, unemployed, ill, and elderly). Even the sources of their fortunes remain fairly constant. Koch Industries began with oil in the 1930s and now also spews an array of industrial products, from Dixie cups to Lycra, not unlike DuPont’s portfolio of paint and plastics. Sometimes the biological DNA persists as well. The Koch brothers’ father, Fred (see 1940 and After), was among the select group chosen to serve on the Birch Society’s top governing body. In a recorded 1963 speech that survives in a University of Michigan archive, he can be heard warning of ‘a takeover’ of America in which Communists would ‘infiltrate the highest offices of government in the US until the president is a Communist, unknown to the rest of us.’ That rant could be delivered as is at any tea party rally today.” Rich also focuses on FreedomWorks (see 1984 and After, May 16, 2008, February 16-17, 2009, February 19, 2009 and After, February 27, 2009, March 13, 2009 and After, April 2009 and After, April 14, 2009, April 15, 2009, June 26, 2009, Late July, 2009, August 5, 2009, August 6, 2009, August 6-7, 2009, August 10, 2009, August 14, 2009, August 19, 2009, August 24, 2010, September 2010, September 12, 2010 and August 17, 2011), one of the two “major sponsor[s]” of the tea party movement, along with Americans for Prosperity (AFP—see Late 2004, October 2008, January 2009 and After, February 16, 2009, February 16-17, 2009, February 17, 2009, February 19, 2009 and After, April 2009 and After, April 8, 2009, May 29, 2009, July 23, 2009, July 27, 2009, August 5, 2009, August 6, 2009, August 6, 2009, August 10, 2009, August 14, 2009, October 2, 2009, November 2009, February 15, 2010, April 15, 2010, July 3-4, 2010, August 24, 2010, August 30, 2010, September 20, 2010 and August 17, 2011). Both FreedomWorks and AFP are heavily funded by the Koch brothers. Rich writes: “Tea partiers may share the Kochs’ detestation of taxes, big government, and [President] Obama. But there’s a difference between mainstream conservatism and a fringe agenda that tilts completely toward big business, whether on Wall Street or in the Gulf of Mexico, while dismantling fundamental government safety nets designed to protect the unemployed, public health, workplace safety, and the subsistence of the elderly.” Rich writes that the Koch brothers’ agenda is “inexorably… morphing into the GOP agenda,” and points to Republican luminaries such as incoming House Speaker John Boehner (R-MO) and tea party candidates such as Rand Paul (see March 27, 2010, May 17, 2010, October 25, 2010 and After, October 26, 2010 and November 10, 2010), Sharron Angle (see January 2010, Mid-May, 2010, Mid-June 2010, June 16, 2010 and September 18, 2010), and Joe Miller (see July 19, 2010, July 23, 2010, October 17, 2010, October 17, 2010 and October 18, 2010). “The Koch brothers must be laughing all the way to the bank knowing that working Americans are aiding and abetting their selfish interests,” Rich concludes. [New York Times, 8/28/2010]

Entity Tags: Rand Paul, Koch Industries, Sharron Angle, Joseph Wayne (“Joe”) Miller, Kim Phillips-Fein, John Birch Society, Barack Obama, Americans for Prosperity, American Liberty League, Charles Koch, John Boehner, David Koch, Fred Koch, FreedomWorks, Frank Rich

Timeline Tags: Domestic Propaganda

Charles and David Koch.Charles and David Koch. [Source: PRWatch (.org)]The New Yorker publishes a lengthy analysis of the Koch (pronounced “coke”) financial empire, and its long-time financial support for right-wing causes (see 1981-2010). The article, written by investigative reporter Jane Mayer, shows that Koch Industries, led by brothers David and Charles Koch, has donated over $250 million to Republican and conservative politicians and organizations since the mid-1990s. The Koch brothers are also well-known philanthropists, having given millions to New York City’s Metropolitan Opera, $100 million to the Lincoln Center’s New York State Theatre building, $40 million to the Sloan-Kettering Cancer Center, $20 million to the American Museum of Natural History, and $10 million to the Metropolitan Museum of Art.
Second-Largest Private Industry in US - Koch Industries, a $100 billion conglomerate, garners most of its profits from oil refineries and associated interests; it owns the firms that manufacture Brawny paper towels, Dixie cups, Georgia-Pacific lumber and paper products, Stainmaster carpet, and Lycra fabric. Koch Industries is the second largest private company in the US after Cargill, and taken together, the Koch brothers’ fortune of some $35 billion places them just behind Microsoft’s Bill Gates and Wall Street financier Warren Buffett as the nation’s richest people.
Longtime Libertarians - Personally, the Koch brothers espouse a libertarian philosophy—drastic reductions in corporate and personal taxes, huge cuts in government expenditures on social services, and widespread deregulation of industry, particularly environmental. Koch Industries was recently listed in the top 10 of US air polluters, and has for years funded organizations that oppose climate change, giving even more than ExxonMobil to organizations, foundations, and think tanks that work to derail or overturn climate change legislation. Koch funds so many different organizations that oppose various initiatives of the Obama administration that Washington insiders call the Koch ideological network the “Kochtopus.” While the Koch brothers have protested being characterized as major supporters of the right-wing agenda—David Koch has complained that the “radical press” is intent on making him and his brother into “whipping boys”—Charles Lewis, the founder of the Center for Public Integrity, says: “The Kochs are on a whole different level. There’s no one else who has spent this much money. The sheer dimension of it is what sets them apart. They have a pattern of lawbreaking, political manipulation, and obfuscation. I’ve been in Washington since Watergate, and I’ve never seen anything like it. They are the Standard Oil of our times.” The Kochs have embraced the pure free-market ideology of economist Friedrich von Hayek, who argued that any form of centralized government would lead to totalitarianism and that only complete, unregulated capitalism could ensure freedom. Many “tea party” supporters, such as Fox News host Glenn Beck, have openly embraced von Hayek’s ideals.
Inculcated Ideals of Anti-Communist Father - Both brothers are steeped in the anti-Communist, anti-government, minority-disparaging views of their father, Koch Industries co-founder Fred Koch (see 1940 and After).
Using the 'Tea Parties' - Conservative economist Bruce Bartlett, who has worked at a Koch-funded think tank, says that the Kochs are playing on the anti-government fervor of the “tea parties” to further their pro-business, libertarian agenda. “The problem with the whole libertarian movement is that it’s been all chiefs and no Indians,” Bartlett says. “There haven’t been any actual people, like voters, who give a crap about it. So the problem for the Kochs has been trying to create a movement.” With the emergence of the “tea parties,” Bartlett says, “everyone suddenly sees that for the first time there are Indians out there—people who can provide real ideological power. [The Kochs are] trying to shape and control and channel the populist uprising into their own policies.” A Republican campaign consultant who has worked for the Kochs says of the tea party movement: “The Koch brothers gave the money that founded it. It’s like they put the seeds in the ground. Then the rainstorm comes, and the frogs come out of the mud—and they’re our candidates!” The consultant says that the Kochs keep an extremely low profile, in part to avoid accusations that they are funding an “astroturf” movement (see April 15, 2009). A former Koch adviser says: “They’re smart. This right-wing, redneck stuff works for them. They see this as a way to get things done without getting dirty themselves.” Democratic political strategist Rob Stein, who has studied the conservative movement’s finances, says the Kochs are “at the epicenter of the anti-Obama movement. But it’s not just about Obama. They would have done the same to Hillary Clinton. They did the same with Bill Clinton. They are out to destroy progressivism.” Since a 2009 rally attended by David Koch (see November 2009), the brothers have all but explicitly endorsed the tea party movement, with David Koch praising it for demonstrating the “powerful visceral hostility in the body politic against the massive increase in government power, the massive efforts to socialize this country.” Echoing the sentiments of many tea party leaders, Charles Koch said in a newsletter sent out to Koch Industry employees that President Obama is comparable to Venezuelan strongman Hugo Chavez.
Strategy - Charles Koch told a reporter that “[t]o bring about social change” requires “a strategy” that is “vertically and horizontally integrated,” spanning “from idea creation to policy development to education to grassroots organizations to lobbying to litigation to political action.… We have a radical philosophy.” The Kochs launched their first “think tank,” the libertarian Cato Institute, in 1977 (see 1977-Present), which has been effective in promoting corporate tax cuts, deregulation, cuts in social spending, and in opposing governmental initiatives to combat climate change. Other Koch-funded institutes such as the Heritage Foundation and the Independent Women’s Forum have also publicly opposed efforts to combat climate change. History professor Naomi Oreskes, the author of a book, Merchants of Doubt, that chronicles attempts by American industries to manipulate public opinion on science, says that the Kochs have a vested interest in keeping the government from addressing climate change. “If the answer is to phase out fossil fuels,” she says, “a different group of people are going to be making money, so we shouldn’t be surprised that they’re fighting tooth and nail.” David Koch has said that though he doesn’t believe that any global warming effects have been caused by human activities, if indeed the globe is warming, it will benefit society by lengthening growing seasons in the Northern Hemisphere. Several years after founding Cato, the Kochs provided millions in funding to the Mercatus Center at George Mason University in Arlington, Virginia, which Stein describes as “ground zero for deregulation policy in Washington.” Mercatus is headed by Richard Fink, a Koch Industries lobbyist and president of several Koch-funded foundations. Mayer describes Fink as the chief political lieutenant of the Koch brothers. Mercatus was quite successful at having the Bush administration adopt a number of its deregulatory strategies, particularly environmental deregulation. Like Cato, critics of Mercatus accuse it of serving the brothers’ corporate needs while hiding behind the facade of a nonpartisan academic organization. “Ideas don’t happen on their own,” says Matt Kibbe, the president of FreedomWorks, a tea party advocacy group heavily funded by the Kochs (see April 14, 2009). “Throughout history, ideas need patrons.” FreedomWorks is one of many citizen activism groups founded and/or funded by the Kochs, usually masquerading as “grassroots” organizations started by “ordinary citizens” (see 1984 and After, 1997, and Late 2004).
Disrupting the Obama Administration - Since well before the 2008 presidential election, the Koch brothers have been involved in full-throated efforts to derail any policies or initiatives that would be launched by a Democratic president. In January 2008, Charles Koch wrote in the industry newsletter that America was on the verge of “the greatest loss of liberty and prosperity since the 1930s.” The Kochs have used their “astroturf” advocacy group, Americans for Prosperity (AFP), to great effect against the Obama administration, launching its efforts even before the November 2008 election (see October 2008 and January 2009 and After). Conservative activist Grover Norquist says that AFP’s August 2009 anti-health care rallies were instrumental in undermining Obama’s policy initiatives. Norquist says the rallies “discouraged deal-makers,” Republicans who otherwise might have considered cooperating with Obama and Congressional Democrats, and affected corporate donors to Washington lobbyists, steering millions into the hands of Republican lobbyists. [New Yorker, 8/30/2010]

Entity Tags: Matt Kibbe, Koch Industries, Naomi Oreskes, Richard Fink, Obama administration, New Yorker, Rob Stein, Jane Mayer, Independent Women’s Forum, Mercatus Center, Heritage Foundation, Cato Institute, Center for Public Integrity, Bruce Bartlett, Americans for Prosperity, Barack Obama, Charles Koch, Hillary Clinton, David Koch, FreedomWorks, Friedrich von Hayek, Charles Lewis, Glenn Beck, Grover Norquist, Fred Koch

Timeline Tags: Domestic Propaganda

The reclusive but highly influential Charles Koch, of the Koch brothers oil empire (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, Late 2004, May 6, 2006, April 15, 2009, May 29, 2009, December 6, 2009, November 2009, July 3-4, 2010, August 28, 2010, and August 30, 2010), pens an 18-page memo inviting some 210 wealthy American corporate and political leaders to a meeting with him and his brother David at the exclusive Rancho Las Palmas resort in Rancho Mirage, California, in January 2011. The theme is how to “combat… the multitude of public policies that threaten to destroy America as we know it… it is up to us to combat what is now the greatest assault on American freedom and prosperity in our lifetimes.… We must stop—and reverse—this internal assault on our founding principles.” The meeting will help plan how to use the prospective Republican gains in the November 2010 elections to “foster a renewal of American free enterprise and prosperity.” The memo references a June 2010 meeting in Aspen, Colorado, where strategies to manipulate and influence the 2010 elections were codified (see June 26-28, 2010). “In response, participants committed to an unprecedented level of support,” Koch writes. He includes the program from the June 2010 meeting. [Think Progress, 8/23/2010; Koch, 9/24/2010 pdf file]

Entity Tags: Rancho Las Palmas, David Koch, Charles Koch

Timeline Tags: Civil Liberties

Law professor Richard Hasen writes that an Arizona case before the Supreme Court may add to the abilities of wealthy individual and corporate donors to influence elections. In the case of McComish v. Bennett, Arizona’s public campaign financing laws are being challenged. Public financing of campaigns (i.e. using tax dollars for campaigns) is entirely voluntary, but candidates who do opt into the system may not accept outside donations. Privately funded candidates face no such restrictions, but receive no public campaign funding. If a privately funded candidate spends significantly more on the campaign than his/her publicly funded opponent, Arizona’s law has a so-called “trigger” provision that provides matching funds, to a point, to make the spending somewhat more equitable. The case before the Court was brought on behalf of wealthy private donors, and is based on the complaint that the matching funds provision is a violation of their clients’ freedom of speech. Hasen predicts that the Court, with its conservative majority and its ruling in the Citizens United case (see January 21, 2010), will rule in favor of the wealthy plaintiffs and strike down some or all of the Arizona law. Arizona imposes no limits on the spending of outside groups, Hasen argues, and if the matching funds provision is triggered, he asks, “What’s the worst thing that can happen if a wealthy candidate spends gobs of cash running against a candidate who has opted into the public financing system?” He answers, “The publicly financed candidate gets more government dollars to campaign, and the voters hear more speech.” Hasen notes that several conservative legal experts have found that the “free speech” argument is specious. Conservative Ninth Circuit Judge Andrew Kleinfeld wrote against the argument in a previous ruling in the case, observing that in his view “there is no First Amendment right to make one’s opponent speak less, nor is there a First Amendment right to prohibit the government from subsidizing one’s opponent, especially when the same subsidy is available to the challenger if the challenger accepts the same terms as his opponent.” And Charles Fried, the solicitor general during the Reagan administration, filed an amicus brief in the case arguing that it is the wealthy candidates and interest groups who “in reality are seeking to restrict speech.” Hasen believes that the conservative majority will rule in favor of restricting the “speech” of publicly funded candidates in Arizona (and by extension in other states) because, as it ruled in a 2008 case, such financing laws were “an impermissible attempt to level the playing field between wealthy and non-wealthy candidates.” Hasen is blunt in his conclusion, stating, “Five conservative […] justices on the Supreme Court appear to have no problem with the wealthy using their resources to win elections—even if doing so raises the danger of increased corruption of the political system.” [Slate, 3/25/2011] Hasen is correct: the Court will rule 5-4 in the case, which will be renamed Arizona Free Enterprise Club’s Freedom PAC v. Bennett, that the matching funds provision is unconstitutional (see June 27, 2011).

Entity Tags: Charles Fried, Richard L. Hasen, US Supreme Court, Andrew Kleinfeld

Timeline Tags: Civil Liberties

The US Supreme Court strikes down part of an Arizona law providing public funding for political campaigns. In the case of Arizona Free Enterprise Club’s Freedom PAC v. Bennett, the Court rules 5-4 that a provision in Arizona law providing additional funds to publicly funded candidates whose opponents use private donations to outspend them is illegal. Some opponents of unfettered outside spending feared that the Court would use the case to put an end to most, if not all, programs that provide public money to candidates; Think Progress’s Ian Millhiser explains: “Candidates will only agree to accept public financing if it won’t prevent them from running a competitive race. If a state offers only a few thousand dollars in public funds to a candidate whose opponent is backed by tens of millions of corporate dollars, then the non-corporate candidate will have no choice but to raise money on their own. To defend against this problem, Arizona developed a two-tiered public financing system. Candidates receive additional funds if their opponent or corporate interest groups overwhelm them with attack ads, and thus candidates who are determined not to be tainted by the corrupting influence of major donors are not left defenseless.” The ruling will not have an impact on the presidential race, since the federal public financing system lacks such a provision, and since it seems unlikely that either President Obama or his Republican challenger Mitt Romney (R-MA) will use public financing in 2012. The case was brought by two organizations, the Institute for Justice and the Goldwater Institute, on behalf of Arizona state candidates who rejected public funds. The groups argued that the provision infringed on those candidates’ freedom of speech by compelling them to spend less money to avoid triggering the additional funds.
Majority, Minority Opinions - Writing for the majority, Chief Justice John Roberts agreed: “We hold that Arizona’s matching funds scheme substantially burdens protected political speech without serving a compelling state interest and, therefore, violates the First Amendment.” The matching funds provision “imposes an unprecedented penalty on any candidate who robustly exercises [his] First Amendment right[s],” Roberts adds. If the provision is allowed to stand, “the vigorous exercise of the right to use personal funds to finance campaign speech” leads to “advantages for opponents in the competitive context of electoral politics.” The privately funded candidate, Roberts writes, must “shoulder a special and potentially significant burden” when choosing to exercise his First Amendment right to spend funds on behalf of his candidacy. Justice Elena Kagan dissents, writing that the plaintiffs “are making a novel argument: that Arizona violated their First Amendment rights by disbursing funds to other speakers even though they could have received—but chose to spurn—the same financial assistance. Some people might call that chutzpah.”
Reactions - Attorney Bill Maurer, who represented the Institute for Justice, says the ruling “makes clear that the First Amendment is not an exception to campaign finance laws; it is the rule” (see January 30, 1976 and January 21, 2010). He adds that he hopes the ruling will serve as “a clear reminder to government officials that they may not coerce speakers to limit their own speech.” Millhiser writes: “So public financing laws can technically remain, but Arizona’s attempt to protect publicly financed candidates from a wave of corporate attack ads is absolutely forbidden. Moreover, because few candidates can know in advance whether the will face an onslaught of hostile corporate ads, most candidates will hedge their bets and avoid the risk of public financing.… Without unlimited corporate money in elections, most candidates could afford to take public funds unless their opponent had unusual access to wealth or wealthy donors.” Referring to the 5-4 Citizens United decision (see January 21, 2010), Millhiser continues, “In the post-Citizens United America, however, no one is safe from corporate America’s nearly bottomless pool of potential campaign expenditures.” Nick Nyhart of Public Campaign, an organization opposed to the unrestricted influence of outside donors, says, “The five-vote Big Money majority on the court has spoken again in favor of wealthy special interests.” Fred Wertheimer of the campaign finance group Democracy 21 calls the ruling “another seriously misguided campaign finance decision,” but adds “it does not cast any doubt on the continued viability or constitutionality of a number of other existing public financing systems that do not include ‘trigger funds’ or similar provisions.” Common Cause President Bob Edgar says, “This is not the death knell of public financing.” [Politico, 6/27/2011; Think Progress, 6/27/2011]
Plaintiffs Financed by Wealthy Conservative Interests - The next day, Think Progress’s Lee Fang will reveal that the two groups who filed the lawsuit, the Institute for Justice and the Goldwater Institute, are financed by wealthy conservative interests. The Institute for Justice, a group dedicated to bringing cases to court in order to deregulate private corporations and to increase the participation of wealthy corporate interests in elections, was created with “seed money” from oil billionaire Charles Koch (see 1977-Present, 1979-1980, 1981-2010, 1984 and After, May 6, 2006, April 15, 2009, December 6, 2009, November 2009, July 3-4, 2010, August 28, 2010, August 30, 2010, and September 24, 2010). The Walton Family Foundation, a foundation run by the billionaire family of Arkansas retailer Sam Walton (the founder of Wal-Mart), has donated $1.64 million to the group. The Foundation has written that the Citizens United decision and the Arizona case are two top priorities for the Institute. The Goldwater Institute, one of Arizona’s most prominent conservative think tanks, is focused on rolling back health care reform. The Institute is funded by several foundations, including the Walton and the Charles Koch Foundations. Fang notes that much of the funding for both groups remains undisclosed. [Think Progress, 6/28/2011]

Entity Tags: Fred Wertheimer, Elena Kagan, Bob Edgar, Bill Maurer, Barack Obama, Willard Mitt Romney, Walton Family Foundation, US Supreme Court, Nick Nyhart, Institute for Justice, John G. Roberts, Jr, Ian Millhiser, Goldwater Institute, Lee Fang, Charles Koch

Timeline Tags: Civil Liberties

The House of Representatives votes 235-190 to eliminate the Presidential Election Campaign Fund (PECF), which provides for voluntary public funding of presidential candidates. The legislation would also shut down the Election Assistance Commission (EAC), a national clearinghouse on the mechanics of voting. Public financing of campaigns has been a target of Republicans since the Citizens United decision allowed corporations and labor unions to give unlimited amounts to campaigns (see January 21, 2010 and June 27, 2011). House Republicans failed in a previous attempt to eliminate the PECF (see January 26, 2011 and After). Representative Zoe Lofgren (D-CA) gives an impassioned defense of the PECF, saying that it is one of the few obstacles that remains to impede what she calls the takeover of the US political system by well-financed special interests. She asks her colleagues whether they believe the “99 percent of Americans that don’t have lobbyists” would benefit in any way by abolishing PECF. She then notes that the Republican National Committee (RNC) got 18 million dollars from this fund and suggests it give the money back, saying: “The level of spending by corporations and special interests since the Supreme Court’s decision in Citizens United should give every American reason for concern. So do my Republican colleagues really believe that more corporate and special interest money in politics is going to benefit in any way the 99 percent of Americans who don’t have lobbyists? The current public financial [sic] system for the presidential elections has problems. Most notably, it has not kept pace with the cost of modern campaigns. So we should fix it instead of eliminating it. I would note that the Republican National Committee recently received 18 million dollars from this fund. If the Republicans think it’s such a bad idea, perhaps they should ask the RNC to return the money.” Senate Majority Leader Harry Reid (D-NV) says the bill has no chance in the Senate, and is critical of House Republicans for advancing it, stating: “Instead of making it so it’s easier for people to vote, they want to do everything they can to make it harder for people to vote. I don’t understand this. They want to have as few people to vote as possible.” Representative Gregg Harper (R-MS), the sponsor of the bill, says the elimination of the PECF would help reduce the deficit. “If we do not eliminate some programs, then a $15 trillion debt will be our decline into a European-style financial crisis,” he says. [Roll Call, 12/1/2011; Think Progress, 12/1/2011] The bill will not pass the Senate.

Entity Tags: US House of Representatives, Gregg Harper, Election Assistance Commission, Harry Reid, Republican National Committee, Zoe Lofgren, Presidential Election Campaign Fund, US Supreme Court

Timeline Tags: Civil Liberties

Representatives John Yarmuth (D-NY) and Walter Jones (R-NC) file a bill, the Yarmuth-Jones Disclose Act, that would amend the US Constitution to overturn the Citizens United ruling (see January 21, 2010) and take special-interest money out of American politics. The proposed amendment establishes that financial expenditures and in-kind contributions do not qualify as protected free speech under the First Amendment (see January 30, 1976, April 26, 1978, June 25, 2007, June 26, 2008, January 21, 2010, January 21, 2010, January 22, 2010, March 26, 2010, and December 12, 2011). It also makes Election Day—the first Tuesday in November—a legal holiday, and enables Congress to establish a public financing system that would serve as the sole source of funding for federal elections (see 1974, January 26, 2011 and After, June 27, 2011, and December 1, 2011). Yarmuth explains his proposal in the context of the Citizens United case, saying: “Corporate money equals influence, not free speech. The last thing Congress needs is more corporate candidates who don’t answer to the American people. Until we get big money out of politics, we will never be able to responsibly address the major issues facing American families—and that starts by ensuring our elections and elected officials cannot be bought by the well-off and well-connected.” Jones says in a statement: “If we want to change Washington and return power to the citizens of this nation, we have to change the way campaigns are financed. The status quo is dominated by deep-pocketed special interests, and that’s simply unacceptable to the American people.” Jones is one of the very few Republicans in Congress who is willing to advocate for campaign finance reform. It is unlikely the bill will pass the Republican-controlled House, and Senate Republicans would likely block it if it made it to that chamber. Amendments to the Constitution require a two-thirds vote in both chambers of Congress before being approved by three-fourths of state legislatures. [US House of Representatives, 12/20/2011; WFPL, 12/20/2011; Think Progress, 12/20/2011] This is not the first attempt to amend the Constitution to overturn Citizens United and regulate campaign financing (see September 20, 2011, November 23, 2010, November 1, 2011, and November 18, 2011).

Entity Tags: Walter Jones, 2012 Yarmuth-Jones Disclose Act, John Yarmuth

Timeline Tags: Civil Liberties

Jeffrey Toobin in 2007.Jeffrey Toobin in 2007. [Source: Wikimedia]Author and political pundit, Jeffrey Toobin, publishes an in-depth article for the New Yorker showing that Chief Justice John Roberts engineered the 2010 Citizens United Supreme Court decision (see January 21, 2010), moving it from a case that could well have been considered and decided on a relatively narrow basis to a sweeping decision that reformed the nation’s campaign finance structure. Toobin writes that the underlying issue was quite narrow: the conservative advocacy organization Citizens United (CU) wanted to run a documentary attacking presidential candidate Hillary Clinton (D-NY) on “video on demand” cable broadcast (see January 10-16, 2008). Under the McCain-Feingold campaign finance legislation (see March 27, 2002 and December 10, 2003), the Federal Election Commission (FEC) disallowed the broadcast because it would come 30 days or less before primary elections. CU challenged the decision in court (see January 10-16, 2008, March 24, 2008, March 15, 2009, June 29, 2009, and September 9, 2009). [New Yorker, 5/21/2012] Toobin’s article is an excerpt from his forthcoming book The Oath: The Obama White House vs. The Supreme Court. It is dated May 21, but appears on the New Yorker’s Web site on May 14. [Tom Goldstein, 5/14/2012]
Oral Arguments - During the initial arguments (see March 15, 2009), attorney Theodore Olson, the former solicitor general for the Bush administration, argued a narrow case: that McCain-Feingold’s prohibitions only applied to television commercials, not to full-length documentary films. Olson argued, “This sort of communication was not something that Congress intended to prohibit.” Toobin writes: “Olson’s argument indicated that there was no need for the Court to declare any part of the law unconstitutional, or even to address the First Amendment implications of the case. Olson simply sought a judgment that McCain-Feingold did not apply to documentaries shown through video on demand.… If the justices had resolved the case as Olson had suggested, today Citizens United might well be forgotten—a narrow ruling on a remote aspect of campaign-finance law.” However, Justice Antonin Scalia, one of the most vocal opponents of campaign finance restrictions on the Court (see September 26, 1986, December 15, 1986, March 27, 1990, June 26, 1996, June 16, 2003, December 10, 2003, and June 25, 2007), seemed disappointed in the limited nature of Olson’s argument, Toobin writes. The oral arguments expand the case far beyond Olson’s initial position. Olson’s initial intention was to narrow the case so that the Court would not have to expand its scope to find in favor of CU.
Change of Scope - Ironically, the government’s lead lawyer, Deputy Solicitor General Malcolm Stewart, may well have changed the scope of the case in favor of a broader interpretation. Traditionally, lawyers with the solicitor general (SG)‘s office are far more straightforward with the Court than is usual in advocacy-driven cases. Toobin writes: “The solicitor general’s lawyers press their arguments in a way that hews strictly to existing precedent. They don’t hide unfavorable facts from the justices. They are straight shooters.” Stewart, who had clerked for former Justice Harry Blackmun and a veteran of the SG office since 1993, is well aware of the requirements of Court arguments. But, Toobin writes, Stewart fell into a trap, prompted by Justice Samuel Alito’s pointed questioning about the government’s ability to ban or censor printed materials—i.e. books—under McCain-Feingold—and follow-up questions by Roberts and Justice Anthony Kennedy, that led him to claim incorrectly that the government could indeed censor books under the law. Stewart’s incorrect assertion gave Roberts and his colleagues the chance to overturn McCain-Feingold on the grounds of the First Amendment right to freedom of speech.
Second Arguments - The second arguments were held on September 9, 2009 (see September 9, 2009). The concept of “money equals speech” goes back at least as far as the 1976 Buckley decision (see January 30, 1976), and the five conservative justices were poised to stretch that definition much farther than has previously been done.
Majority Opinion - Toobin writes that Roberts’s decision was then to decide “how much he wanted to help the Republican Party. Roberts’s choice was: a lot.” Roberts assigned the opinion to Kennedy, the “swing” justice who had already written an expansive opinion gutting almost a century’s worth of campaign finance legislation. Kennedy tends to “swing wildly in one direction or another,” Toobin writes, “an extremist—of varied enthusiasms.” In the area of campaign finance, he has consistently “swung” to the conservative side of the argument. He is, Toobin writes, “extremely receptive to arguments that the government had unduly restricted freedom of speech—especially in the area of campaign finance.” Moreover, Kennedy enjoys writing controversial and “high-profile” opinions. Toobin says that Roberts’s choice of Kennedy to write the opinion was clever: Roberts came onto the Court promising to conduct himself with judicial modesty and a respect for precedent. Kennedy, with his draft opinion at the ready, was a better choice to write an opinion that lacked either modesty or a respect for Court precedence. Roberts, Toobin writes, “obtained a far-reaching result without leaving his own fingerprints.” Kennedy, in an often-eloquent opinion that did not deal with the gritty reality of the Citizens United case, stated that any restraint of money in a campaign risked infringing on free speech. “Speech is an essential mechanism of democracy, for it is the means to hold officials accountable to the people. The right of citizens to inquire, to hear, to speak, and to use information to reach consensus is a precondition to enlightened self-government and a necessary means to protect it.… By taking the right to speak from some and giving it to others, the government deprives the disadvantaged person or class of the right to use speech to strive to establish worth, standing, and respect for the speaker’s voice. The government may not by these means deprive the public of the right and privilege to determine for itself what speech and speakers are worthy of consideration. The First Amendment protects speech and speaker, and the ideas that flow from each.” Kennedy also reaffirmed the Court’s perception that corporations deserve the same First Amendment protections enjoyed by individuals. Kennedy’s opinion found, in Toobin’s words, that “[t]he Constitution required that all corporations, for-profit and nonprofit alike, be allowed to spend as much as they wanted, anytime they wanted, in support of the candidates of their choosing.” One of the only provisions remaining in McCain-Feingold after Kennedy’s opinion was the ban on direct corporate contributions to candidates.
Fiery Dissent from 'Liberal' Stevens - Toobin reminds readers that the elder statesman of the “liberal” wing of the Court at the time, John Paul Stevens, is a “moderate Midwestern Republican,” one of the last of a “vanishing political tradition.” Though Stevens’s views have migrated left on some issues, such as the death penalty, Toobin writes that the perception of Stevens as a Court liberal is mostly because of the Court’s steady progression to the right. Toobin writes that the 90-year-old Stevens has grown dispirited in recent years, as the conservative wing of the Court, led by Scalia, Alito, and Roberts with Clarence Thomas and often Kennedy in tow, overturned one Court precedent after another. “The course of Citizens United represented everything that offended Stevens most about the Roberts Court,” Toobin writes. Much of Stevens’s objections to the Roberts Court are rooted in procedure; he is deeply troubled by the Citizens United case being transformed by Roberts and his conservative colleagues from a narrowly focused case about a single McCain-Feingold provision to what Toobin calls “an assault on a century of federal laws and precedents. To Stevens, it was the purest kind of judicial activism.” Stevens wrote in his angry dissent, “Five justices were unhappy with the limited nature of the case before us, so they changed the case to give themselves an opportunity to change the law.” A simple change in the McCain-Feingold law to disallow its application to full-length documentaries the CU case was sparked by, or even to nonprofit organizations such as CU, would have been appropriate, Stevens wrote. He penned a 90-page dissent, the longest of his career, blasting almost every aspect of Kennedy’s decision, starting with Kennedy’s ignoring of precedent and continuing with a refutation of Kennedy’s perception of the Constitutional definitions of “censorship” and “free speech.” Stevens was angered by Kennedy’s equivocation of corporations with people. “The Framers thus took it as a given that corporations could be comprehensively regulated in the service of the public welfare,” he wrote. “Unlike our colleagues, they had little trouble distinguishing corporations from human beings, and when they constitutionalized the right to free speech in the First Amendment, it was the free speech of individual Americans that they had in mind.” Congress has drawn significant distinctions between corporations and people for over a century, he wrote: “at the federal level, the express distinction between corporate and individual political spending on elections stretches back to 1907, when Congress passed the Tillman Act” (see 1907). He even challenged Kennedy’s stated fear that the government might persecute individuals’ speech based on “the speaker’s identity,” sarcastically noting that Kennedy’s opinion “would have accorded the propaganda broadcasts to our troops by ‘Tokyo Rose’ [a famed Japanese propagandist] during World War II the same protection as speech by Allied commanders.” According to Toobin, Stevens’s law clerks disliked the dated reference, but Stevens, a Navy veteran, insisted on keeping it. Toobin writes that “Stevens’s conclusion was despairing.” Stevens concluded: “At bottom, the Court’s opinion is thus a rejection of the common sense of the American people, who have recognized a need to prevent corporations from undermining self-government since the founding, and who have fought against the distinctive corrupting potential of corporate electioneering since the days of Theodore Roosevelt.… It is a strange time to repudiate that common sense. While American democracy is imperfect, few outside the majority of this Court would have thought its flaws included a dearth of corporate money in politics.” Toobin notes that as “impressive” as Stevens’s dissent may have been, it was Kennedy’s opinion that “was reshaping American politics.”
Reaction - In his State of the Union address six days after the verdict, President Obama referenced Justice Ruth Bader Ginsburg’s concerns about foreign influence in American politics by saying, “With all due deference to separation of powers, last week the Supreme Court reversed a century of law that I believe will open the floodgates for special interests—including foreign corporations—to spend without limit in our elections” (see January 27-29, 2010). Democrats cheered as Obama said, “I don’t think American elections should be bankrolled by America’s most powerful interests or, worse, by foreign entities.” Alito’s mouthing of the words “not true” stirred some controversy; Toobin notes that Alito was technically correct, as “Kennedy’s opinion expressly reserved the question of whether the ruling applied to foreign corporations.” However, Toobin notes, “as Olson had argued before the justices, the logic of the Court’s prior decisions suggested that foreign corporations had equal rights to spend in American elections.” With the Citizens United decision and a March 2010 decision that allowed for the formation of “super PACs” (see March 26, 2010), the way was clear for what Toobin calls “presidential campaigns in 2012 that were essentially underwritten by single individuals.” He notes the billionaires that almost single-handedly supported Republican presidential candidates (see February 21, 2012, February 16-17, 2012, February 21, 2012, March 26, 2012, and April 22, 2012), and the efforts of organizations like Crossroads GPS that have to date raised tens of millions of dollars for Republican candidates (see May 2, 2012). Toobin believes that the Court will continue to deregulate campaign finance, noting the 2011 decision that invalidated Arizona’s system of public financing that state enacted after a series of campaign finance scandals (see June 27, 2011). He concludes, “The Roberts Court, it appears, will guarantee moneyed interests the freedom to raise and spend any amount, from any source, at any time, in order to win elections.” [New Yorker, 5/21/2012]
Criticisms of the Article - Toobin’s article will engender significant criticism, from nuanced questioning of particular elements of Toobin’s story (see May 14, 2012) to accusations of outright “fictionalizing” (see May 17, 2012) and “libelous” claims (see May 15-17, 2012).

Entity Tags: Clarence Thomas, US Supreme Court, Citizens United, Barack Obama, Antonin Scalia, Anthony Kennedy, American Crossroads GPS, Tillman Act, Bipartisan Campaign Reform Act of 2002, Theodore (“Ted”) Olson, Ruth Bader Ginsberg, John Paul Stevens, John G. Roberts, Jr, Malcolm Stewart, Jeffrey Toobin, Republican Party, Hillary Clinton, Samuel Alito, Federal Election Commission

Timeline Tags: Civil Liberties

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