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Three of the Supreme Court justices in the majority decision: Antonin Scalia, John Roberts, and Anthony Kennedy.Three of the Supreme Court justices in the majority decision: Antonin Scalia, John Roberts, and Anthony Kennedy. [Source: Associated Press / Politico]The Supreme Court rules 5-4 that corporate spending in political elections may not be banned by the federal government. The case is Citizens United v. Federal Election Commission, No. 08-205. The Court is divided among ideological lines, with the five conservatives voting against the four moderates and liberals on the bench. The decision overrules two precedents about the First Amendment rights of corporations, and rules that corporate financial support for a party or candidate qualifies as “freedom of speech” (see March 11, 1957, January 30, 1976, May 11, 1976, April 26, 1978, January 8, 1980, November 28, 1984, December 15, 1986, June 26, 1996, June 25, 2007, and June 26, 2008). The majority rules that the government may not regulate “political speech,” while the dissenters hold that allowing corporate money to, in the New York Times’s words, “flood the political marketplace,” would corrupt the democratic process. The ramifications of the decision will be vast, say election specialists. [Legal Information Institute, 2010; CITIZENS UNITED v. FEDERAL ELECTION COMMISSION, 1/21/2010 pdf file; New York Times, 1/21/2010] In essence, the ruling overturns much of the Bipartisan Campaign Reform Act of 2002, commonly known as the McCain-Feingold law (BCRA—see March 27, 2002). The ruling leaves the 1907 ban on direct corporate contributions to federal candidates and national party committees intact (see 1907). The ban on corporate and union donors coordinating their efforts directly with political parties or candidates’ campaigns remains in place; they must maintain “independence.” Any corporation spending more than $10,000 a year on electioneering efforts must publicly disclose the names of individual contributors. And the ruling retains some disclosure and disclaimer requirements, particularly for ads airing within 30 days of a primary or 60 days of a general election. The Los Angeles Times writes: “The decision is probably the most sweeping and consequential handed down under Chief Justice John G. Roberts Jr. And the outcome may well have an immediate impact on this year’s mid-term elections to Congress.” [Los Angeles Times, 1/21/2010; OMB Watch, 1/27/2010; Christian Science Monitor, 2/2/2010; National Public Radio, 2012]
Unregulated Money Impacts Midterm Elections - The decision’s effects will be felt first on a national level in the 2010 midterm elections, when unregulated corporate spending will funnel millions of dollars from corporate donors into Congressional and other races. President Obama calls the decision “a major victory for big oil, Wall Street banks, health insurance companies, and the other powerful interests that marshal their power every day in Washington to drown out the voices of everyday Americans.” Evan Tracey of the Campaign Media Analysis Group, which tracks political advertising, says the Court “took what had been a revolving door and took the door away altogether. There was something there that slowed the money down. Now it’s gone.” [Legal Information Institute, 2010; CITIZENS UNITED v. FEDERAL ELECTION COMMISSION, 1/21/2010 pdf file; New York Times, 1/21/2010; Los Angeles Times, 1/21/2010; Think Progress, 1/21/2010]
Broadening in Scope - According to reporter and author Jeffrey Toobin, CU lawyer Theodore Olson had originally wanted to present the case as narrowly as possible, to ensure a relatively painless victory that would not ask the Court to drastically revise campaign finance law. But according to Toobin, the conservative justices, and particularly Chief Justice Roberts, want to use the case as a means of overturning much if not all of McCain-Feingold (see May 14, 2012). In the original argument of the case in March 2009 (see March 15, 2009), Deputy Solicitor General Malcolm Stewart unwittingly changed the scope of the case in favor of a broader interpretation, and gave Roberts and the other conservative justices the opportunity they may have been seeking. [New Yorker, 5/21/2012]
Majority Opinion Grants Corporations Rights of Citizens - The majority opinion, written by Justice Anthony Kennedy, reads in part: “If the First Amendment has any force, it prohibits Congress from fining or jailing citizens, or associations of citizens, for simply engaging in political speech.… The First Amendment does not permit Congress to make these categorical distinctions based on the corporate identity of the speaker and the content of the political speech.” In essence, Kennedy’s ruling finds, corporations are citizens. The ruling overturns two precedents: 1990’s Austin v. Michigan Chamber of Commerce, which upheld restrictions on corporate spending to support or oppose political candidates (see March 27, 1990) in its entirety, and large portions of 2003’s McConnell v. Federal Election Commission (see December 10, 2003), which upheld a portion of the BCRA that restricted campaign spending by corporations and unions. Before today’s ruling, the BCRA banned the broadcast, cable, or satellite transmission of “electioneering communications” paid for by corporations or labor unions from their general funds in the 30 days before a presidential primary and in the 60 days before the general elections. The law was restricted in 2007 by a Court decision to apply only to communications “susceptible to no reasonable interpretation other than as an appeal to vote for or against a specific candidate” (see June 25, 2007).
Encroachment on Protected Free Speech - Eight of the nine justices agree that Congress can require corporations to disclose their spending and to run disclaimers with their advertisements; Justice Clarence Thomas is the only dissenter on this point. Kennedy writes, “Disclosure permits citizens and shareholders to react to the speech of corporate entities in a proper way.” Kennedy’s opinion states that if the restrictions remain in place, Congress could construe them to suppress political speech in newspapers, on television news programs, in books, and on the Internet. Kennedy writes: “When government seeks to use its full power, including the criminal law, to command where a person may get his or her information or what distrusted source he or she may not hear, it uses censorship to control thought. This is unlawful. The First Amendment confirms the freedom to think for ourselves.”
Fiery Dissent - Justice John Paul Stevens, the oldest member of the court, submits a fiery 90-page dissent that is joined by Justices Stephen Breyer, Ruth Bader Ginsburg, and Sonia Sotomayor. Kennedy is joined by Roberts and fellow Associate Justices Samuel Alito, Antonin Scalia, and Thomas, though Roberts and Alito submit a concurring opinion instead of signing on with Kennedy, Scalia, and Thomas. “The difference between selling a vote and selling access is a matter of degree, not kind,” Stevens writes in his dissent. “And selling access is not qualitatively different from giving special preference to those who spent money on one’s behalf.” Stevens writes that the Court has long recognized the First Amendment rights of corporations, but the restrictions struck down by the decision are moderate and fair. “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.” Speaking from the bench, Stevens calls the ruling “a radical change in the law… that dramatically enhances the role of corporations and unions—and the narrow interests they represent—in determining who will hold public office.… Corporations are not human beings. They can’t vote and can’t run for office,” and should be restricted under election law. “Essentially, 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.”
Case Originated with 2008 Political Documentary - The case originated in a 2008 documentary by the right-wing advocacy group Citizens United (CU), called Hillary: The Movie (see January 10-16, 2008). The film, a caustic attack on then-Democratic presidential candidate Hillary Clinton (D-NY) and Democrats in general, was released for public viewing during the 2008 Democratic presidential primaries. When the Federal Election Commission (FEC) won a lawsuit against CU, based on the FEC’s contention that broadcasting the film violated McCain-Feingold, the group abandoned plans to release the film on a cable video-on-demand service and to broadcast television advertisements for it. CU appealed the ruling to the Supreme Court, and most observers believed the Court would decide the case on narrow grounds, not use the case to rewrite election law and First Amendment coverage. [Legal Information Institute, 2010; CITIZENS UNITED v. FEDERAL ELECTION COMMISSION, 1/21/2010 pdf file; New York Times, 1/21/2010; Los Angeles Times, 1/21/2010; Think Progress, 1/21/2010; Associated Press, 1/21/2010; Christian Science Monitor, 2/2/2010]
Case Brought in Order to Attack Campaign Finance Law - Critics have said that CU created the movie in order for it to fall afoul of the McCain-Feingold campaign finance law, and give the conservatives on the Court the opportunity to reverse or narrow the law. Nick Nyhart of Public Campaign, an opponent of the decision, says: “The movie was created with the idea of establishing a vehicle to chip away at the decision. It was part of a very clear strategy to undo McCain-Feingold.” CU head David Bossie confirms this contention, saying after the decision: “We have been trying to defend our First Amendment rights for many, many years. We brought the case hoping that this would happen… to defeat McCain-Feingold.” [Washington Post, 1/22/2010]

Entity Tags: US Supreme Court, Theodore (“Ted”) Olson, Sonia Sotomayor, Clarence Thomas, Anthony Kennedy, Antonin Scalia, Citizens United, Bipartisan Campaign Reform Act of 2002, Barack Obama, Samuel Alito, Ruth Bader Ginsburg, Stephen Breyer, New York Times, Nick Nyhart, Evan Tracey, David Bossie, Hillary Clinton, Jeffrey Toobin, Federal Election Commission, John Paul Stevens, Malcolm Stewart, John G. Roberts, Jr, Los Angeles Times

Timeline Tags: Civil Liberties

The Washington, DC, Circuit Court of Appeals unanimously holds that provisions of the Federal Election Campaign Act (FECA—see February 7, 1972, 1974, and May 11, 1976) violate the First Amendment in the case of a nonprofit, unincorporated organization called SpeechNow.org. SpeechNow collects contributions from individuals, but not corporations, and attempted to collect contributions in excess of what FECA allows. In late 2007, SpeechNow asked the Federal Election Commission (FEC) if its fundraising plans would require it to register as a political committee, and the FEC responded that the law would require such registration, thus placing SpeechNow under federal guidelines for operation and fundraising. In February 2008, SpeechNow challenged that ruling in court, claiming that the restrictions under FECA were unconstitutional. FECA should not restrict the amount of money individuals can donate to the organization, it argued, and thusly should not face spending requirements. It also argued that the reporting limits under FECA are unduly burdensome. The district court ruled against SpeechNow, using two Supreme Court decisions as its precedents (see January 30, 1976 and December 10, 2003), and ruled that “nominally independent” organizations such as SpeechNow are “uniquely positioned to serve as conduits for corruption both in terms of the sale of access and the circumvention of the soft money ban.” SpeechNow appealed that decision. The appeals court reverses the decision, stating that the contribution limits under FECA are unconstitutional as applied to individuals. The reporting and organizational requirements under FECA are constitutionally valid, the court rules. The appeals court uses the recent Citizens United ruling as justification for its findings on contribution limits (see January 21, 2010). [New York Times, 3/28/2010; Federal Elections Commission, 2012; Moneyocracy, 2/2012] The FEC argued that large contributions to groups that made independent expenditures could “lead to preferential access for donors and undue influence over officeholders,” but Chief Judge David Sentelle, writing for the court, retorts that such arguments “plainly have no merit after Citizens United.” Stephen M. Hoersting, who represents SpeechNow, says the ruling is a logical and welcome extension of the Citizens United ruling, stating, “The court affirmed that groups of passionate individuals, like billionaires—and corporations and unions after Citizens United—have the right to spend without limit to independently advocate for or against federal candidates.” [New York Times, 3/28/2010] Taken along with another court ruling, the SpeechNow case opens the way for the formation of so-called “super PACs,” “independent expenditure” entities that can be run by corporations or labor unions with monies directly from their treasuries, actions that have been banned for over 60 years (see 1925 and June 25, 1943). The New York Times will later define a super PAC as “a political committee whose primary purpose is to influence elections, and which can take unlimited amounts of money, outside of federal contribution limits, from rich people, unions, and corporations, pool it all together, and spend it to advocate for a candidate—as long as they are independent and not coordinated with the candidate.” Super PACs are not required by law to disclose who their donors are, how much money they have raised, and how much they spend. CNN will later write, “The high court’s decision allowed super PACs to raise unlimited sums of money from corporations, unions, associations, and individuals, then spend unlimited sums to overtly advocate for or against political candidates.” OpenSecrets, a nonpartisan organization that monitors campaign finance practices, later writes that the laws underwriting Super PACs “prevent… voters from understanding who is truly behind many political messages.” [New York Times, 3/28/2010; Federal Elections Commission, 2012; OpenSecrets (.org), 2012; CNN, 3/26/2012; New York Times, 5/22/2012]

Entity Tags: Stephen M. Hoersting, New York Times, Federal Election Commission, Federal Election Campaign Act of 1972, OpenSecrets (.org), David Sentelle, CNN, SpeechNow (.org)

Timeline Tags: Civil Liberties, 2012 Elections

Democrats are aghast at the amount of corporate spending they expect to be used against them in the 2010 elections, according to media reports. The US Chamber of Commerce (see September 20, 2010, September 30, 2010, and October 2010) projects that it will spend $75 million this year, over double its spending of $35 million in 2008, to oppose Democrats running for federal and state office. USCoC officials say that spending could go even higher. Other organizations, such as American Crossroads, a right-wing political group headed by former Bush political advisor Karl Rove (see September 20, 2010 and February 21, 2012), are on track to raise and spend tens of millions, again to fund political activities designed to prevent Democrats from being elected. A report circulating among Democratic Congressional leaders says that some $300 million has been raised for the 2010 campaign, all coming from 15 conservative tax-exempt organizations. Sheila Krumholz of the Center for Responsive Politics says: “A commitment of $300 million from just 15 organizations is a huge amount, putting them in record territory for groups on the right or left. With control of Congress hanging in the balance, this kind of spending could have a major impact.” Chris Van Hollen (D-MD), chairman of the Democratic Congressional Campaign Committee (DCCC), says the amount of corporate funding for Republican political activities is “raising the alarm bell.” The DCCC spent $177 million in all of 2008’s Congressional races. Labor unions and other groups allied with Democrats plan heavy spending of their own, but nothing to compare to conservative corporate funding. The Service Employees International Union (SEIU), for example, plans to spend $44 million on election-related spending this year. Political scientist Anthony J. Corrado Jr. says: “What we are seeing is that major businesses and industries are taking advantage of the recent court ruling and favorable political environment. They are already committing substantially more money than they have in any previous election cycles.” Corrado is referring to the controversial Citizens United Supreme Court decision (see January 21, 2010) that has overturned almost a century’s worth of campaign spending limitations. USCoC officials also point to a 2007 Supreme Court ruling that overturned the ban on political issue advertising by corporations and labor unions close to an election (see June 25, 2007). The Los Angeles Times reports that the heavy corporate fundraising for Republican political interests is driven largely by corporate opposition to the Democrats’ focus on health care reform, and a bill passed in July that established stricter government monitoring and regulation of the financial system. Roger Nicholson of the International Coal Group, a mining company, recently wrote to fellow executives urging them to contribute money to defeat the “fiercely anti-coal Democrats” in Washington, specifically targeting a number of Democrats in Kentucky and West Virginia. Five of the largest health insurers, including Aetna, Cigna, and United HealthCare, are banding together to create and fund a new nonprofit group to help influence elections. The group has not yet been formed, but reports say that it will spend some $20 million to defeat Democrats. [Los Angeles Times, 8/2/2010]

Entity Tags: Karl C. Rove, Anthony J. Corrado Jr., American Crossroads, Aetna, Chris Van Hollen, International Coal Group, Service Employees International Union, US Supreme Court, Los Angeles Times, Roger Nicholson, UnitedHealth Group, Cigna, US Chamber of Commerce, Sheila Krumholz

Timeline Tags: Civil Liberties, 2010 Elections

Research from the media analysis firm Borrell Associates and other sources shows that spending for the 2010 midterm elections will outstrip the record-breaking spending of the 2008 elections, which centered around a presidential contest. The controversial Citizens United Supreme Court decision (see January 21, 2010) has “opened the floodgates” for corporate money to be used in electioneering and advertising, much of that money going anonymously to political parties and operations. It is unprecedented for midterm elections to involve more spending than presidential-year elections. Kip Cassino, vice president of research at Borrell Associates, says the Citizens United decision is directly responsible for the massive upswing in spending. “Unlike a lot of industries in the United States right now, which are seeing some downturns, political spending is absolutely a growth industry,” Cassino says. Corporate money is behind the surge, accounting for what he says is at least a 10 percent jump in advertising. Evan Tracey, president of the Campaign Media Analysis Group, says: “The unwritten charter of these [anonymously funded political] groups is to really be disruptive and try to go in there and turn a race on its head—or put a candidate on the defense. And by that nature, most of those ads that they’re gonna run this fall are gonna be negative ads.” Labor unions account for some of the surge in spending, but most of it comes from corporate donors, from conservative organizations such as the US Chamber of Commerce (see September 20, 2010, September 30, 2010, and October 2010), Americans for Prosperity (AFP—see Late 2004, May 29, 2009, November 2009, and July 3-4, 2010), and American Crossroads, a nonprofit political group headed by former Bush political advisor Karl Rove (see September 20, 2010, February 21, 2012, Late March 2012, and Late May 2012). Senator Robert Menendez (D-NJ) says, “While each of our campaigns has the resources they need to be competitive, we now face shadow groups putting their thumbs on the scale with undisclosed, unlimited, and unregulated donations.” However, national groups are not all of the important players in the spending surge. Tracey says: “We have a lot of little individual state-type groups that are starting to show up in some of the bigger races. And I think they’re going to play a much larger role in the fall.” One group cited in the research is a Nevada-based group called Americans for New Leadership, which has targeted Senate Majority Leader Harry Reid (D-NV) for defeat in a barrage of advertisements aired recently throughout the state. The group says it has spent $300,000 in ads attacking Reid and is prepared to spend more, but has not disclosed from whom that money comes. Senate and House races are seeing more involvement by heavily-funded groups placing ads in local markets for Republican candidates, or attacking Democrats, particularly from AFP, which has already spent some $1.5 million on House races. Craig Holman of the watchdog group Public Citizen says: “In 2004 and 2006, literally 100 percent of the groups were fully complying with the disclosure laws. Today, most groups do not disclose where they’re getting their money from.” The New York Times reports, “The situation raises the possibility that a relatively small cadre of deep-pocketed donors, unknown to the general public, is shaping the battle for Congress in the early going.” Sheila Krumholz of the Center for Responsive Politics observes: “Corporate interests are buying the elections? Oh no, it’s much worse than that. We don’t know who’s buying the election.” [New York Times, 9/13/2010; National Public Radio, 9/16/2010; Think Progress, 9/17/2010]

Entity Tags: Evan Tracey, Americans for New Leadership, American Crossroads, Americans for Prosperity, Craig Holman, Robert Menendez, Borrell Associates, US Chamber of Commerce, Kip Cassino, Karl C. Rove, Sheila Krumholz, Harry Reid

Timeline Tags: Civil Liberties, 2010 Elections

American Crossroads logo.American Crossroads logo. [Source: American Crossroads]American Crossroads, a political advocacy group backed by former Bush administration political adviser Karl Rove, is spending millions on attack advertisements targeting Democrats for the 2010 midterm elections. Ninety-one percent of the funding for American Crossroads comes from three right-wing billionaires. In August, American Crossroads raised $2,639,052. $2.4 million of that, or 91 percent of that total, comes from Trevor Rees-Jones, Robert Rowling, and Carl Linder. Rees-Jones is president of Chief Oil and Gas, a Dallas-based firm; he contributed $1 million in August to go with the $1 million he contributed earlier in the year. Rowling is CEO of TRT Holdings; like Rees-Jones, he gave $1 million in August to go with a previous $1 million contribution. Linder owns American Financial Group (AFG), a Cincinnati-based firm. Linder used to own Chiquita, the fruit corporation, and owns a partial stake in the Cincinnati Reds. AFG donated $400,000 in August. In July, billionaire Jerry Perenchio, who in 2008 chaired presidential candidate Senator John McCain (R-AZ)‘s national finance committee, gave $1 million to American Crossroads. American Crossroads has a partner group, American Crossroads GPS (for Grassroots Political Strategies), that is organized under a section of the tax code that does not require disclosure of donors. The group is raising millions of dollars, but refuses to identify the donors. The two groups were organized earlier in the year by Rove and former Republican National Committee chairman Ed Gillespie. Another political advocacy group, American Action Network, shares a downtown Washington office with the Crossroads group; both are working alongside other right-wing advocacy groups such as Americans for Prosperity and the US Chamber of Commerce. [Salon, 9/20/2010; Politico, 9/20/2010]

Entity Tags: Ed Gillespie, American Crossroads, American Action Network, American Crossroads GPS, Carl Linder, Robert Rowling, US Chamber of Commerce, A. Jerrold Perenchio, Karl C. Rove, Americans for Prosperity, Trevor Rees-Jones

Timeline Tags: Civil Liberties, 2010 Elections

US-Bahrain Business Council logo.US-Bahrain Business Council logo. [Source: US-Bahrain Business Council]The US Chamber of Commerce (USCC), in a methodology made legal by the Citizens United Supreme Court decision (see January 21, 2010), uses foreign-generated funds to disseminate “attack ads” against Democrats running for office in the November midterm elections. The USCC has targeted, among others, Jack Conway (D-KY), Senator Barbara Boxer (D-CA), Governor Jerry Brown (G-CA), and Representatives Joe Sestak (D-PA) and Tom Perriello (D-VA). The USCC, a private trade association organized as a 501(c)(6) that can raise and spend unlimited funds without disclosing any of its donors, has promised to spend $75 million to prevent Democrats from winning in the upcoming elections. The USCC has, as of September 15, aired over 8,000 television ads supporting Republican candidates and attacking Democrats, according to information from the Wesleyan Media Project. The USCC has far outspent any other public or private group, including political parties. The funds for the USCC’s efforts come from its general account, which solicits foreign funding. Legal experts say that the USCC is likely skirting campaign finance law that prohibits monies from foreign corporations being spent in American elections. The USCC has been very active in recent years in raising funds from overseas sources, with such funds either going directly to the USCC or being funneled to the USCC through its foreign chapters, known as Business Councils or “AmChams.” Some of the largest donations come from the oil-rich country of Bahrain, generated by the USCC’s internal fundraising department in that nation called the “US-Bahrain Business Council” (USBBC). The USBBC is an office of the USCC and not a separate entity. The USBBC raises well over $100,000 a year from foreign businesses, funds shuttled directly to the USCC. A similar operation exists in India through the auspices of the USCC’s US-India Business Council (USIBC). The USIBC raises well over $200,000 a year for the USCC. Other such organizations exist in Egypt, Russia, China, Saudi Arabia, Brazil, and other countries, with those nations’ laws making it difficult or impossible for the public to learn how much money is being raised and by which foreign entities. Multinational firms such as BP, Shell Oil, and Siemens are also active members of the USCC, and contribute heavily to the organization. If those firms’ monies are going to fund political activities, the Citizens United decision makes it legal to keep that fact, and the amount of money being used to fund those political activities, entirely secret. It is known that the health insurer Aetna secretly donated $20 million to the USCC to try to defeat the Affordable Care Act (ACA) last year, and News Corporation, the parent of Fox News, donated $1 million to the USCC to use in political activities (see September 30, 2010). The USCC is a strong opponent of Democrats’ efforts to persuade American businesses to hire locally rather than outsourcing jobs to countries such as China and India, and has fought Democrats who oppose free trade deals that would significantly benefit foreign entities. The USCC claims that it “has a system in place” to prevent foreign funding for its “political activities,” but refuses to give any details. [Think Progress, 10/5/2010]

Entity Tags: Joe Sestak, British Petroleum, Barbara Boxer, Aetna, Jack Conway, US-India Business Council, Wesleyan Media Project, US Chamber of Commerce, News Corporation, Royal Dutch/Shell, US-Bahrain Business Council, Siemens, Thomas Perriello, Edmund Gerald (“Jerry”) Brown, Jr

Timeline Tags: Civil Liberties

Impelled by polls showing that Democrats may not do as badly as predicted in the upcoming November midterm elections, Republican political organizations pour vast amounts of money into tight Senate and House races in the final days, according to a Reuters analysis of data provided by the Wesleyan Media Project and from Democratic organizers. The controversial Citizens United Supreme Court decision (see January 21, 2010) has “opened the floodgates” for corporate money to be used in electioneering and advertising, much of that money going anonymously to political parties and operations (see September 13-16, 2010 and October 2010). Much of the money is targeting three Senate races in Colorado, Kentucky, and California. Republicans are confident that they will gain control of the House of Representatives, but must gain 10 seats to control the Senate, a prospect that is not as likely. Last-minute spending surges are common in elections, but experts say they have never seen so much spending in the last days of a race. Pollster Andrew Kohut of the Pew Research Center is not sure the last-minute surge of spending, almost all of which is going to advertising, will have a major effect. Most voters’ minds are made up by now, Kohut says. Data shows that organizations affiliated with Republicans have outspent their Democratic rivals by more than a 3-1 ratio. In Nevada, “independent” organizations are pouring money into attack ads against Senator Harry Reid (D-NV) and in support of challenger Sharron Angle (R-NV). Late campaign spending is fairly equal, according to the data, and the polls for that race are very tight. In Colorado, “tea party” favorite Ken Buck (R-CO) is losing ground to incumbent Michael Bennet (D-CO), and in response, Republican groups have funneled money into ads supporting Buck and attacking Bennet to create a 2-1 spending ratio in favor of Buck. A similar instance exists in Kentucky, where another tea party favorite, Rand Paul (R-KY), is losing ground to Jack Conway (D-KY), and Republican spending on Paul’s behalf has made for a 2-1 spending ratio in favor of Paul. In California, where popular Democrat Barbara Boxer (D-CA) once had a 2-1 spending advantage over her opponent Carly Fiorina (R-CA), pro-Fiorina groups have recently outspent pro-Boxer groups 5-1. In Pennsylvania, pro-Republican groups are heavily outspending Democrats, largely to support Republican favorite Pat Toomey (R-PA) over Joe Sestak (D-PA). In Delaware, Senate candidate Christine O’Donnell (R-DE), whose campaign has raised large amounts of money from out-of-state financiers, has not received the lavish funding that her Republican colleagues have gotten to defeat her opponent Chris Coons (D-DE). O’Donnell has received some $300,000 from right-wing and tea party groups. But Coons is receiving virtually no support from independent pro-Democratic groups, possibly because polls indicate he will win the election and does not need the last-minute funding support. The elections will be held on November 2. [Reuters, 10/27/2010] The results of the massive spending are mixed. The Republican winners include Paul and Toomey. The Republican losers include Angle, Buck, Fiorina and O’Donnell. [National Public Radio, 11/3/2010]

Entity Tags: Christine O’Donnell, Chris Coons, Wesleyan Media Project, Barbara Boxer, Andrew Kohut, Sharron Angle, Reuters, US House of Representatives, Carly Fiorina, Joe Sestak, Jack Conway, Harry Reid, Rand Paul, Pat Toomey, Ken Buck, Michael Bennet

Timeline Tags: Civil Liberties

The Center for Responsive Politics (CRP), a nonpartisan campaign finance watchdog organization, finds that independent organizations supporting Republicans and Democrats are spending unprecedented amounts of money on supporting, or more often attacking, candidates for office. The huge rise in spending comes as a direct result of the Citizens United decision that allowed corporations and labor unions to spend unlimited amounts of money on campaign donations (see January 21, 2010). While organizations are spending huge amounts of money on both sides of the political divide, spending for conservative candidates outweighs spending on liberal candidates by an 8-1 margin. CRP’s analysis finds that the increased spending helped Republicans retake the US House of Representatives in 2010, and is having a long-term effect on the nation’s campaign and election systems. [Center for Responsive Politics, 5/5/2011; Think Progress, 5/6/2011]
Most Democratic Spending Comes from Unions - Labor unions gave over $17.3 million in independent expenditures opposing Republican candidates. The union contributing the most: the American Federation of State County and Municipal Employees (AFSCME), with over $7 million. The National Education Association (NEA) formed a “super PAC” (see March 26, 2010) that spent $3.3 million on election activities. Super PACs must disclose their donors and the amounts donated (see 2000 - 2005), but an array of groups under the 501(c) tax laws do not have to disclose that information (see September 28, 2010).
Corporations Spend Lavishly for Republicans - While corporations donated some money to Democratic causes, most of their money went to Republicans. Corporations gave over $15 million to super PACs such as American Crossroads, which supports an array of conservative candidates. CRP notes that conservative groups that do not have to disclose their donors spent $121 million, and corporations and wealthy individuals were the likely sources of almost all of that money.
Secret Donations on the Rise - In the 2006 elections, the percentage of spending from groups that do not disclose their donors was 1 percent. In 2010, it was 47 percent. “Nonprofit” organizations that can legally hide their donors and donations increased their spending from zero percent in 2006 to 42 percent in 2010. For the first time in over 20 years, outside interest groups outspent party committees, by $105 million. The amount of independent expenditure and electioneering communication spending by outside groups has gone up 400 percent since 2006. And 72 percent of political advertising spending by outside groups in 2010 came from sources that were prohibited from spending money in 2006. [Center for Responsive Politics, 5/5/2011]

Entity Tags: American Crossroads, American Federation of State County and Municipal Employees, US House of Representatives, National Education Association, Center for Responsive Politics

Timeline Tags: Civil Liberties

A new “super PAC” aligned with presidential candidate Mitt Romney (R-MA) is being formed by a group of Romney backers and former Romney campaign aides, according to a report by the Washington Post. Super PACs are political organizations that exist to influence elections, which take unlimited amounts of outside money from donors, including individuals, unions, and corporations, and pool that money to advocate for or against a candidate (see March 26, 2010). By law, super PACs are supposed to operate independently of a candidate’s official campaign organization.
Restore Our Future - The Romney super PAC, “Restore Our Future” (ROF), is one of a number of such organizations created in the aftermath of the US Supreme Court’s Citizens United ruling (see January 21, 2010). Restore Our Future is apparently the first super PAC to form specifically in support of one of the 2012 presidential contenders, with the sole exception of Priorities USA Action, a super PAC in support of President Obama. ROF treasurer Charles R. Spies, who served as Romney’s general counsel in his 2008 presidential effort, refuses to disclose how much the organization has raised, or who is donating. Spies merely says: “This is an independent effort focused on getting Romney elected president. We will do that by focusing on jobs and his ability to fix the economy.” A Romney campaign aide says that a Federal Election Commission (FEC) filing coming up in July will show the organization having raised some $20 million. A major Romney donor who refuses to allow his identity to be revealed says, “We just want to show that we’ve got more dough than anyone.” The Romney campaign’s communication director, Gail Gitcho, says the campaign welcomes any outside support, and points to the Obama campaign as the largest fundraiser in the race, saying, “We are pleased that independent groups will be active in fighting this entrenched power [the Obama campaign] so the country can get back to work.”
Leaders of ROF - Members of the ROF board of directors include Spies; Carl Forti, political director for Romney’s 2008 campaign; and Larry McCarthy, a member of the Romney media team in 2008. Forti is the co-founder of the Black Rock Group consulting firm and the political director of American Crossroads, a conservative super PAC expected to raise over $120 million for candidates in 2012. Neither Forti nor American Crossroads will discuss the role played by Forti in both organizations. ROF actually registered itself with the FEC in October 2010, but has remained unaffiliated and essentially dormant until recent weeks. Now ROF officials are briefing top donors about the organization’s plans and fundraising goals. Former Obama spokesman Bill Burton, the head of Priorities USA Action, says: “I’m not surprised that there’s even more money coming into this race to help Mitt Romney. He’s a pretty deeply flawed candidate; he’s going to need all the help he can get.” Dave Levinthal of the Center for Responsive Politics says of the super PACs: “The outside groups are akin to the biggest booster club you can imagine for a college football team. The club can’t give cars or gifts to the players, but they can do everything else possible to support them.… It’s a brand-new way to play politics.” [Washington Post, 6/23/2011] The Post fails to note many of the details about ROF’s senior officials. According to the Public Campaign Action Fund, Spies is not only a lawyer and a consultant, but a registered lobbyist for Clark Hill PLC, representing a chain of luxury casinos. ROF’s address as listed on its FEC filings is the same as Clark Hill’s Washington, DC, office. The Action Fund observes, referring to the Republican primary and the number of wealthy donors lined up behind each major candidate, “While [ROF] officially can’t coordinate with the Romney campaign, having lobbyists on your side is definitely a good way to boost one’s standing in the so-called ‘wealth primary.’” [Public Campaign Action Fund, 6/23/2011] The liberal news Web site Think Progress will soon note that McCarthy is a veteran advertising creator for Republican candidates, and was one of the strongest creative forces behind the infamous 1988 “Willie Horton” ad, which many considered to be extraordinarily racist (see September 21 - October 4, 1988). In 2010, McCarthy served as a media strategist for the American Future Fund, which launched attack ads attempting to link Democrats to the Park 51 community center in Manhattan, deemed by conservatives as the “Ground Zero Victory Mosque” and mischaracterized as a monument celebrating the 9/11 attacks. Those ads were decried by many as being bigoted against Muslims. McCarthy has brushed off criticism of his ads, and said the fact-checking organizations that found his ads to be flawed suffered from a pro-Democratic bias. Think Progress reporter Lee Fang will write that when he tried to find the American Future Fund office in Iowa, the address listed for the group turned out to be a UPS mailbox in a strip mall near an airport. Fang will write, “With a record of such secrecy and racist, anything-goes campaign tactics, one can expect Romney’s new outside group to be just as ugly in the presidential race.” [Politico, 10/29/2010; Think Progress, 6/27/2011]

Entity Tags: Charles R. Spies, Washington Post, Willard Mitt Romney, Carl Forti, American Future Fund, American Crossroads, 2012 Obama presidential election campaign, US Supreme Court, Bill Burton, Think Progress (.org), Public Campaign Action Fund, Larry McCarthy, Gail Gitcho, Federal Election Commission, Dave Levinthal, Lee Fang, Restore Our Future, Priorities USA Action, Mitt Romney presidential campaign (2012)

Timeline Tags: Civil Liberties, 2012 Elections

A dozen wealthy donors have contributed over half of the money collected by so-called “super PACs” in the first half of 2011, according to an analysis by USA Today. Super PACs are political organizations that exist to influence elections, which take unlimited amounts of outside money from donors, including individuals, unions, and corporations, and pool that money to advocate for or against a candidate (see March 26, 2010). By law, super PACs are supposed to operate independently of a candidate’s official campaign organization.
Majority of Donors Republican Contributors - The majority of those donors are contributing to Republican/conservative organizations, and overall, Republican organizations are outraising Democratic organizations by a 2-1 margin. American Crossroads, the organization formed by former Bush political advisor Karl Rove, has collected $2 million from billionaire Jerry Perenchio, another million from billionaire Robert B. Rowling, and $500,000 from Texas real estate billionaire Bob Perry. The super PAC supporting the Obama reelection campaign, Priorities USA Action, founded by former Obama spokesperson Bill Burton, has collected $2 million from Hollywood mogul Jeffrey Katzenberg, and $500,000 each from media owner Fred Eychaner and from the Service Employees International Union (SEIU). The super PAC supporting the presidential campaign of Mitt Romney (R-MA), Restore Our Future (see June 23, 2011), has received million-dollar donations from hedge fund manager John Paulson, Utah firms Eli Publishing and F8 LLC, and the shadowy W Spann LLC (see July 12, 2011). It has also received half a million each from Perry, financiers Louis Moore Bacon and Paul Edgerly, Edgerly’s wife Sandra Edgerly, New Balance Athletic Shoes executive James S. Davis, J.W. Marriott of the hotel chain Marriott International, and Richard Marriott of Host Hotels and Resorts. Meredith McGehee of the Campaign Legal Center says: “The super PACs are for the wealthy, by the wealthy, and of the wealthy. You’re setting up a dynamic where the candidates could become bit players in their own campaigns,” particularly in less-expensive races for the House of Representatives. Katzenberg says his donation to the Obama-supporting super PAC was because of the increasing dominance of “Republican extremists” in national elections: “The stakes are too high for us to simply allow the extremism of a small but well-funded right wing minority to go unchallenged.” Charles Spies, the treasurer of Restore Our Future and Romney’s former general counsel, refuses to discuss donors, but says, “Donors recognize Mitt Romney is the most experienced and qualified candidate to challenge President Obama’s record of out-of-control, big government spending.” One donation drawing scrutiny is a $193,000 donation to the presidential campaign of Governor Rick Perry (R-TX) from a group called Americans for Rick Perry. The primary funder of that group is Texas billionaire Harold Simmons, who gave $100,000 to the group 10 days after Perry signed legislation allowing Simmons’s company to accept low-level radioactive waste from other states at its West Texas facility. A Perry spokesman denies any coordination between Simmons and his campaign, and says Perry has not even decided whether to run for president. Simmons helped fund the 2004 group Swift Boat Veterans for Truth, which launched a powerful campaign that smeared then-presidential candidate John Kerry (D-MA) and his Vietnam War record. American Crossroads has reported raising $3.9 million during the first six months of 2011. Its affiliate, Crossroads GPS, has spent $19 million on anti-Democrat advertising so far. That group does not have to report its donors or the amounts it receives. [USA Today, 8/4/2011]
'Recipe for Corruption - Legal expert Ian Millhiser of the liberal news Web site Think Progress comments: “It’s tough to imagine a surer recipe for corruption. Although super PAC’s are prohibited from giving money directly to candidates—one of the few remaining campaign finance laws that wasn’t eviscerated by Citizens United and similar cases (see January 21, 2010)—it’s not like a presidential candidate isn’t perfectly capable of finding out which billionaires funded the shadowy groups that supported their campaign. Moreover, if just a handful of people are responsible for the bulk of these donations, a newly elected president will have no problem figuring out who to lavish favors on once they enter the White House.” [Think Progress, 8/4/2011]

Entity Tags: Charles R. Spies, Robert B. Rowling, Richard Marriott, Bobby Jack Perry, Sandra Edgerly, Service Employees International Union, USA Today, W Spann LLC, A. Jerrold Perenchio, American Crossroads, American Crossroads GPS, Priorities USA Action, Paul Edgerly, Restore Our Future, Bill Burton, Harold Simmons, Meredith McGehee, Fred Eychaner, Eli Publishing, F8 LLC, Ian Millhiser, Louis Moore Bacon, James S. Davis, John Paulson, Karl C. Rove, James Richard (“Rick”) Perry, Jeffrey Katzenberg, J. W. (“Bill”) Marriott

Timeline Tags: Civil Liberties

The Federal Election Commission (FEC) unanimously rejects a petition by Senator Mike Lee (R-UT) for him to be allowed to head his own “super PAC” (see March 26, 2010). Lee’s “leadership PAC,” the Constitutional Conservatives Fund PAC (CCFPAC), had requested permission from the FEC to turn itself into a PAC capable of accepting donations directly from corporations and unions (see October 17, 2011). Previously, the FEC had released a draft opinion opposing the request, but Lee’s lawyer Dan Backer had said he felt the FEC would approve the request. Lee spokesperson Brian Phillips calls the decision “a head-scratcher.” Backer and Lee had counted on the controversial Citizens United Supreme Court decision (see January 21, 2010) that allowed corporations and labor unions to spend unlimited amounts in independent expenditures on behalf of candidates, and essentially say that if corporations and unions can run super PACs, politicians should be able to do so as well. They argued that because the law bars Lee from spending the money on his own reelection efforts, and because he is willing to pledge that he would not personally solicit large donations, the FEC should grant the request. The draft opinion said that Lee’s request violates campaign finance law that expressly prohibits elected officials from being associated with a political entity that collects money beyond the legal limits (see March 27, 2002), and the unanimous decision echoes that finding. A PAC such as the CCFPAC is limited to collecting $5,000 per person per year and is banned entirely from accepting corporate donations. Lee, a “tea party” favorite, would have been the first politician in the country to have his own super PAC. Commissioner Donald McGahn, the most conservative commissioner and an opponent of most campaign finance laws, told Lee and his legal team: “Your argument essentially does away with contribution limits. It’s well beyond what we do here and well beyond what I do here, which is saying something.” McGahn says he agrees that the government should not discriminate when applying regulations on independent expenditures, but that the statute and regulations clearly limit contributions to members of Congress to protect against corruption or the appearance of corruption. Lee’s office says that letting Lee run a super PAC of his own would actually increase transparency and accountability. Lee may yet appeal the decision to the Supreme Court. [Salt Lake Tribune, 11/24/2011; Think Progress, 11/28/2011; Deseret News, 12/1/2011]

Entity Tags: Federal Election Commission, Brian Phillips, Constitutional Conservatives Fund PAC, Donald McGahn, Michael Shumway (“Mike”) Lee

Timeline Tags: Civil Liberties

According to a Washington Post analysis, 10 percent of US billionaires have given to the presidential campaign of Mitt Romney (R-MA), who seems to be securing enough primary wins to be named the Republican Party’s presidential nominee. Romney himself is a former venture capitalist worth at least $250 million. Forty-two of the US’s 412 billionaires have donated to Romney’s campaign and third-party “super PACs” (see March 26, 2010, June 23, 2011, and November 23, 2011). President Obama has 30 billionaires on his donor list, or something over 7 percent. Romney opponents Rick Perry (R-TX) and Jon Huntsman (R-UT) have 20 and 12, respectively. The Washington Post reports: “Very wealthy donors are likely to play a greater role in this election cycle in the wake of recent court decisions that have loosened rules for campaign contributions (see January 21, 2010). That will only heighten one of the dominant narratives of the 2012 campaign: the nation’s rising income inequality and the outsize political influence of the super-wealthy.” Donors can only give $5,000 directly to candidates’ campaigns, but under the Citizens United ruling, they can give unlimited amounts to super PACs that run independent ads on behalf of, or in opposition to, candidates. “The only limit on the resources is the willingness of the donors to give,” says government professor Anthony Corrado, a former Democratic official. “It doesn’t take long to transfer $500,000 from one account to another.” Obama had a head start in raising campaign funds going into October 2010, largely because the Republican candidates were spending money against one another in primary battles. But now that Romney seems more and more assured as the Republican nominee, Republican donors are expected to focus on donating to his campaign and super PACs, and are expected to catch up to and surpass Obama and the Democrats in short order (see August 2, 2010, September 20, 2010, September 13-16, 2010, October 2010, Around October 27, 2010, May 5, 2011, and August 4, 2011). In 2008, Obama distanced his campaign from third-party donors, and donations from those individuals and interests were relatively down. But, perhaps recognizing the advantage Republicans have in raising money from the wealthy, Obama no longer objects to those donations. Romney’s largest donor so far is hedge-fund billionaire John Paulson, who has given $1 million to Romney’s super PAC Restore Our Future (see June 23, 2011). Think Progress’s Travis Waldron notes that Paulson made millions by shorting the housing market before the mortgage collapse that sparked the global financial crisis and drove the US economy into a recession. Other billionaires supporting Romney include Washington Redskins owner Dan Snyder, California real estate developer Donald Bren, and developer and publisher Sam Zell. Several billionaires who used to support Romney’s primary opponent Newt Gingrich (R-GA), including casino mogul Sheldon Adelson and Amway founder Richard DeVos, are expected to begin giving generously to the Romney campaign or to his super PAC. Obama’s richest donor is Len Blavatnik, a Russian-American industrialist who has also donated to Romney. Other billionaires supporting Obama include insurance magnate Peter Lewis, former Google executive Eric Schmidt, and venture capitalist John Doerr. Obama campaign spokesman Ben LaBolt downplays the billionaire contributions, saying, “Our campaign is fueled by donations from more than 1 million Americans, 98 percent of which were in amounts of $250 or less.” Corrado says that as the November elections approach, spending will only increase. “One of the things about large investors in campaigns is that they’re very interested in getting results,” he says. “And it is much easier to get a large effect in a race if you can give to directly advocate for and against a candidate.” [Washington Post, 12/1/2011; Think Progress, 12/6/2011]

Entity Tags: Dan Snyder, Sam Zell, Sheldon Adelson, Washington Post, Willard Mitt Romney, Anthony J. Corrado Jr., 2012 Obama presidential election campaign, Ben LaBolt, Restore Our Future, Richard DeVos, Newt Gingrich, James Richard (“Rick”) Perry, Eric Schmidt, Donald Bren, Peter Lewis, Mitt Romney presidential campaign (2012), John Paulson, Barack Obama, Len Blavatnik, Jon Huntsman, John Doerr

Timeline Tags: Civil Liberties, 2012 Elections

Bradley A. Smith, the chairman of the Center for Competitive Politics (CCP) and a former commissioner and chairman of the Federal Election Commission (FEC) during the second Bush administration, writes that the Citizens United decision (see January 21, 2010) and the subsequent flood of corporate money into the political campaign continuum (see January 21, 2010, January 21, 2010, January 21-22, 2010, January 21, 2010, January 21, 2010, January 21, 2010, March 26, 2010, April 5, 2010, September 13-16, 2010, September 21 - November 1, 2010, October 2010, Mid-October 2010, October 18, 2010, Around October 27, 2010, June 23, 2011, July 12, 2011, August 4, 2011, October 27, 2011, November 23, 2011, December 1, 2011, January 3, 2012, January 6, 2012, and January 10, 2012) are good for American politics. [US News and World Report, 1/13/2012] According to a 2008 press report, Smith co-founded the CCP in 2006 in order to roll back campaign finance regulations, claiming that virtually any regulation is bad for politics. Smith has refused to reveal the financial sponsors that gave him the “seed money” to start the organization. Smith helped win the landmark SpeechNow case (see March 26, 2010) that allowed for the creation of “super PACs,” the organizations that are primarily responsible for flooding the campaign with corporate money. According to law professor Richard Hasen, Smith and the CCP have worked diligently to bring cases like the SpeechNow case to the Supreme Court so that the conservative-dominated Court can “knock them out of the park.” [Politico, 8/12/2008] Smith now writes: “Super PACs are not an evil tolerated under the First Amendment—they are what the First Amendment is all about. A super PAC, after all, is simply a group of citizens pooling resources to speak out about politics.” He claims that super PACs merely “leveled the playing field” after Democrats and Democratic-supporting organizations consistently outfunded Republican campaigns during elections. Super PACs have kept the presidential campaigns of candidates such as Rick Santorum (R-GA—see February 16-17, 2012) and Newt Gingrich (see December 19, 2011 and January 6, 2012) alive. Smith predicts that Democrats will easily outspend Republicans again once the presidential primary campaign concludes (see Around October 27, 2010), November 1, 2010 and May 5, 2011), but says, “Super PACs, however, will help level the field.” Smith claims that super PACs “disclose all of their expenditures and all of their donors,” and claims that any information to the contrary is wrong, as it is “confusing super PACs with traditional nonprofits such as the NAACP or the Sierra Club.” He concludes: “Super PACs are helping to shatter the old, established order, create more competition, and break the hold of special interests lobbyists—big business actually joined the ‘reform’ community in opposing super PACs in court. Are super PACs harming politics? Of course not. How odd that anyone would think that more political speech was bad for democracy.” [US News and World Report, 1/13/2012] The Citizens United decision specifically allows for donors to super PACs to remain anonymous, despite Smith’s claims to the contrary (see January 27-29, 2010, July 26, 2010, July 26-27, 2010, September 13-16, 2010, September 21 - November 1, 2010, Mid-October 2010, Around October 27, 2010, April 20, 2011, April 21, 2011 and After, July 12, 2011, and November 18, 2011). Republicans have fought to preserve that anonymity (see July 26-27, 2010, May 26, 2011, July 15, 2011, and July 20, 2011). Smith is correct in saying that traditional nonprofit groups must disclose their donors, though many are apparently failing to do so (see October 12, 2010).

Entity Tags: Rick Santorum, Center for Competitive Politics, Bradley A. (“Brad”) Smith, Newt Gingrich, Richard L. Hasen

Timeline Tags: Civil Liberties, 2012 Elections

Former Republican presidential candidate Tim Pawlenty (R-MN), now a supporter of Republican frontrunner Mitt Romney (R-MA), tells a reporter from the liberal news Web site Think Progress that the 2010 Citizens United decision allowing donors to contribute unlimited amounts of money to independent groups supporting individual candidates (see January 21, 2010) is “leveling the playing field” in politics. Reporters Scott Keyes and Travis Waldron call Pawlenty’s comment “a turn of phrase that would give George Orwell satisfaction.” Since the decision, a relatively small number of wealthy corporations and individuals have transformed US politics with their multi-million dollar donations (see January 21-22, 2010, March 26, 2010, August 2, 2010, September 13-16, 2010, September 21 - November 1, 2010, September 28, 2010, October 2010, Around October 27, 2010, November 1, 2010, (May 4, 2011), May 5, 2011, July 12, 2011, August 4, 2011, October 27, 2011, October 30, 2011, December 1, 2011, December 19, 2011, January 3, 2012, and January 6, 2012). But Pawlenty seemingly believes that campaign finance laws are still too restrictive, and says he believes that donors should be able to make unlimited donations directly to candidates (see December 21, 2011 and January 10, 2012) instead of making those donations to third-party groups. Pawlenty refuses to say the Citizens United decision will help Romney defeat President Obama in the November general election, and instead says that the decision helps “free speech” (see January 21, 2010 and January 22, 2010). Pawlenty continues: “Every time they try to contain speech, it pops up somewhere else. This is just me talking personally, I’m not speaking for Mitt’s position on this. The better position is to allow full and free speech in whatever form, but have instant disclosure.” Keyes asks, “You’re talking completely unlimited donations?” and Pawlenty responds: “We have that now, it’s just a question of where the money gets pushed to the third party groups. This leveling the playing field to some extent because in the past, unions in particular (see June 25, 1943 and June 23, 1947) and other interest groups had an advantage in the old system. Now the playing field’s being leveled a little bit.” He clarifies: “Right now, with super PACs and third party groups, there’s essentially unlimited giving to various aligned super PACs and groups. The point is, the United States Supreme Court has spoken. They have said we’re going to have free speech as it relates to political contributions. The First Amendment should be respected and protected, but I think we should also have full disclosure.” Keyes and Waldron write that billionaire corporate owners such as the Koch brothers (see 1977-Present, 1979-1980, 1997, 1981-2010, 1984 and After, Late 2004, May 6, 2006, April 15, 2009, May 29, 2009, November 2009, December 6, 2009, April 2010 and After, July 3-4, 2010, June 26-28, 2010, August 28, 2010, August 30, 2010, September 24, 2010, January 5, 2011, October 4, 2011, and February 14, 2011) have pledged staggering amounts of money to defeat Obama in the November elections, and conclude, “This massive influx of unregulated campaign spending will almost certainly be the new normal as wealthy individuals and corporations find new ways to influence elections, helped in large part by the now-two year old Citizens United decision.” [Think Progress, 1/21/2012]

Entity Tags: Travis Waldron, Barack Obama, US Supreme Court, Scott Keyes, Willard Mitt Romney, Tim Pawlenty

Timeline Tags: Civil Liberties, 2012 Elections

The Obama campaign reverses its previous policy and begins asking major contributors to donate to a super PAC, Priorities USA, that supports President Obama’s re-election. Previously, the Obama campaign, and Obama himself, had been reluctant to ask for donations for the PAC. Since 2010, Democrats have been worried about the effect of the Republican super PACs on the presidential campaign as well as Congressional and even state and local races, but have been divided on how to respond to the flood of money in support of their Republican opponents (see August 2, 2010, September 13-16, 2010, September 24, 2010, October 18, 2010, Around October 27, 2010, Mid-November 2010, August 4, 2011, October 27, 2011, December 1, 2011, January 3, 2012, and January 6, 2012). Obama campaign spokesman Jim Messina says that Republican-supporting super PACs are collectively expected to spend “half a billion dollars, above and beyond what the Republican nominee and party are expected to commit to try to defeat the president. With so much at stake, we can’t allow for two sets of rules in this election whereby the Republican nominee is the beneficiary of unlimited spending and Democrats unilaterally disarm.… We’re not going to fight this fight with one hand tied behind our back.” Messina also says that Obama is strongly against such campaign finance practices, and supports strong action “by constitutional amendment, if necessary” to once again restrict campaign donations from the wealthy. (In January 2012, Politico reported that Obama was completely opposed to the idea of super PACs, including his own—see January 18, 2012.) Joe Pounder of the Republican National Committee issues a statement harshly critical of the decision, which reads in part, “Yet again, Barack Obama has proven he will literally do anything to win an election, including changing positions on the type of campaign spending he called nothing short of ‘a threat to our democracy.’” So far, super PACs supporting Republican candidates have raised over $50 million, putting the Obama campaign at a distinct disadvantage. New York Democratic fundraiser Robert Zimmerman observes: “It’s hard to pass the plate for super PAC money while Democratic leaders have been preaching about the sins of it. But the reality is, it is essential in 2012.” Campaign and White House officials will appear at fundraisers for Priorities USA, though neither the president nor the first lady will make such appearances. Super PACs, created by the Citizens United decision (see January 21, 2010) and a lower court decision in the wake of that ruling (see March 26, 2010), have come to dominate US election activities, particularly in the area of television, radio, and print advertising. Shortly after the Citizens United decision, Obama criticized it during his State of the Union address, saying: “I don’t think American elections should be bankrolled by America’s most powerful interests or, worse, by foreign entities. They should be decided by the American people, and I’d urge Democrats and Republicans to pass a bill that helps correct some of these problems” (see January 27-29, 2010). However, Congress has been unable to rein in the super PACs, with the most visible effort, Congressional Democrats’ DISCLOSE Act, being successfully filibustered by Senate Republicans (see July 26-27, 2010). CBS News political expert John Dickerson says the Obama campaign has no choice but to emulate the Republicans: “What the Obama camp saw is these fundraising numbers from last year. The Republicans were able to raise so much money. They also saw what Romney was able to do to Newt Gingrich in Florida, just absolutely bury him under ads, and they started to worry about what this was going to mean for the president in the general election.” Dickerson says that with the public perception of Republican frontrunner Mitt Romney (R-MA) being so negative, the ads in support of Romney will undoubtedly be quite negative against Obama. Dickerson expects the Obama campaign to retaliate in kind, saying: “Some of the things that Romney had to do to combat those [primary] attacks, he had to get a little bit more negative, seem a little bit more unpleasant as a candidate.… That’s another reason why [Obama] had to make this decision on super PACs: that this is going to be ugly, it’s going to be on the airwaves, and they need to be able to compete.” [New York Times, 2/6/2012; CBS News, 2/7/2012] The Obama campaign’s announcement comes on the same day as news that the Romney campaign has benefited from $1.22 million in funding from oil, gas, and coal corporations (see February 6, 2012).

Entity Tags: Priorities USA Action, Barack Obama, 2012 Obama presidential election campaign, Jim Messina, John Dickerson, Willard Mitt Romney, Joe Pounder, Robert Zimmerman

Timeline Tags: Civil Liberties, 2012 Elections

Saul Anuzis, the chair of Michigan’s Republican Party between 2005 and 2009, and a prime contender to chair the Republican National Committee in 2010 (see November 12, 2010), tells a reporter that he is confident the rise of super PACs and the Citizens United Supreme Court decision (see January 21, 2010) will help the Republicans defeat President Obama in November. “Absolutely, there’s no doubt about it,” he says. “Without those financial resources to compete against an incumbent president who has all the resources to raise money, you could never win.” Data shows that Republican super PAC spending has topped Democratic super PAC spending by a ratio of 7.5 to 1. Many of those Republican super PACs are bankrolled by a very small number of billionaires, such as casino magnate Sheldon Adelson (see December 1, 2011, December 19, 2011, January 3, 2012, January 6, 2012, and January 23, 2012), who contributed $11 million in January 2012 to the campaign of Republican presidential candidate Newt Gingrich (R-GA). A relatively small number of wealthy energy interests have also contributed heavily to Republican candidate Mitt Romney (R-MA—see February 6, 2012). [Think Progress, 2/10/2012]

Entity Tags: Saulius (“Saul”) Anuzis, Newt Gingrich, Republican Party, Willard Mitt Romney, Sheldon Adelson

Timeline Tags: Civil Liberties, 2012 Elections

Bradley A. Smith, the chairman of the Center for Competitive Politics (CCP) and a former commissioner and chairman of the Federal Election Commission (FEC) during the George W. Bush administration, writes a second editorial for US News and World Report defending “super PACs,” the “independent” political entities responsible for infusing millions of dollars into the political campaign system. Smith wrote an editorial in January 2012 defending super PACs, claiming they are the direct outgrowth of First Amendment free-speech rights and are actually good for the campaign system (see January 13, 2012). However, as in his first editorial, Smith makes a number of false claims to bolster his arguments. Such organizations were created in the aftermath of the Supreme Court’s 2010 Citizens United decision (see January 21, 2010) and the following SpeechNow.org decision (see March 26, 2010). He notes, correctly, that until 1974 there were no federal restrictions on super PACs, apparently referring to that year’s amendments to the Federal Election Campaign Act (see 1974), though he fails to note that such organizations did not exist until after the SpeechNow decision. He claims that “[t]here is no evidence that super PACs have led to a greater percentage of negative ads” than in earlier presidential campaigns, though he cites no evidence to that effect. He also claims, as he did in the first editorial, that it is false to claim super PACs “spend ‘secret’ money. This is just not true. By law, super PACs are required to disclose their donors. There are groups that have never had to disclose their donors, non-profits such as the Sierra Club, Planned Parenthood, the NAACP, and the NRA. If you want more disclosure, super PACs are a step forward.” Unfortunately, the Citizens United decision specifically allows donors to super PACs to remain anonymous, despite Smith’s claims to the contrary (see January 27-29, 2010, July 26, 2010, July 26-27, 2010, September 13-16, 2010, September 21 - November 1, 2010, Mid-October 2010, Around October 27, 2010, April 20, 2011, April 21, 2011 and After, July 12, 2011, and November 18, 2011). Republicans have fought to preserve that anonymity (see July 26-27, 2010, May 26, 2011, July 15, 2011, and July 20, 2011). As in the first editorial, Smith is correct in saying that traditional nonprofit groups must disclose their donors, though many are apparently failing to do so (see October 12, 2010). He also claims that super PACs increase competition—“level the playing field,” as he wrote in the first editorial—by allowing Republican candidates to equal the spending of their Democratic opponents. In reality, Republicans have outstripped Democrats in outside, super PAC spending since the Citizens United decision (see Around October 27, 2010, November 1, 2010, and May 5, 2011). Smith bolsters his claim by citing direct campaign spending as offsetting “independent” super PAC spending, such as in the 2010 US House race involving incumbent Peter DeFazio (D-OR), who won re-election even after a $500,000 super PAC-driven effort on behalf of his challenger. DeFazio, Smith claims, “outspent his opponent by a sizable margin and won. Still, for the first time in years he had to campaign hard for his constituents’ support. That’s a good thing.” He cites the presidential campaigns of Republican contenders Newt Gingrich (R-GA—see December 19, 2011 and January 6, 2012) and Rick Santorum (R-PA—see February 16-17, 2012), which have relied on the contributions of a very few extraordinarily wealthy contributors to keep their candidacies alive against the frontrunner Mitt Romney (R-MA), whose own super PAC funding is extraordinary (see June 23, 2011). And, he writes, super PAC spending “improves voter knowledge of candidates and issues. Indeed, political ads are frequently a better source of information for voters than news coverage.” The most important benefit of the two Court decisions and the subsequent influx of corporate money into the US election continuum (see January 21, 2010, January 21, 2010, January 21-22, 2010, January 21, 2010, January 21, 2010, January 21, 2010, March 26, 2010, April 5, 2010, September 13-16, 2010, September 21 - November 1, 2010, October 2010, Mid-October 2010, October 18, 2010, Around October 27, 2010, June 23, 2011, July 12, 2011, August 4, 2011, October 27, 2011, November 23, 2011, December 1, 2011, January 3, 2012, January 6, 2012, January 10, 2012, and January 23, 2012), he writes, “is that they get government out of the business of regulating political speech. Who would say that you can’t spend your own time and money to state your own political beliefs? Vindicating that fundamental First Amendment right is good for democracy.” [US News and World Report, 2/17/2012]

Entity Tags: Newt Gingrich, Bradley A. (“Brad”) Smith, Center for Competitive Politics, Peter DeFazio, Federal Election Campaign Act of 1972, Willard Mitt Romney, Federal Election Commission, US Supreme Court

Timeline Tags: Civil Liberties

Senate Minority Leader Mitch McConnell (R-KY) and the US Chamber of Commerce file amicus curiae briefs with the US Supreme Court urging it to reverse the Montana Supreme Court’s support for Montana’s ban on corporate financing of political campaigns (see December 30, 2011 and After). The conservative lobbying and advocacy group Citizens United (CU) has already filed such a brief. Former officials of the ACLU, along with advocacy groups such as Free Speech for People, have filed an amicus brief asking the Court to review the decision. Many observers have predicted the Court will overturn the Montana high court’s ruling (see January 4, 2012) because it seems to conflict with the 2010 Citizens United Supreme Court decision (see January 21, 2010), but a summary reversal—in essence, a decision without allowing the two sides to present arguments—would be somewhat unusual. Four justices are required to accept the case for review, while five must vote for summary judgment. The Court issued a stay on the Montana court’s decision soon after its issuance (see February 10-17, 2012). The case is American Tradition Partnership, et al., v. Bullock. CU lawyers have asked the Court to protect the ruling it issued in the case bearing its name, accusing the Montana court of “constitutional mischief” and advising the Court to “reaffirm its position as the final arbiter of the Constitution’s meaning” by summarily reversing the Montana court’s decision. On the other side, the ACLU officials and other briefs have urged the Court to review its Citizens United decision, saying the ruling is “in serious doubt” because of “massive” spending in the 2012 federal campaigns “by corporations and wealthy elites.” The Free Speech for People brief focuses on the issue of spending by “independent” outside groups and individuals since the Citizens United decision (see January 21-22, 2010, March 26, 2010, August 2, 2010, September 13-16, 2010, September 21 - November 1, 2010, September 28, 2010, October 2010, Around October 27, 2010, November 1, 2010, (May 4, 2011), May 5, 2011, July 12, 2011, August 4, 2011, October 27, 2011, October 30, 2011, December 1, 2011, December 19, 2011, January 3, 2012, January 6, 2012, January 10, 2012, February 21, 2012, February 21, 2012, and March 26, 2012), and says the massive spending undercuts the rationale for the decision: “In view of the increasingly dominant role of corporate and private independent expenditures in our electoral politics, this Court should grant certiorari and reexamine whether its long-standing precedent permitting regulations designed to prevent the use of wealth from drowning out other voices provides an additional basis for upholding restrictions on independent expenditures.” The Free Speech for People brief also argues that the Court should use the American Tradition Partnership case to rule that corporations are not entitled to the protections of the First Amendment free speech clause or other provisions in the Bill of Rights. CU lawyers have argued that the Citizens United decision is not the issue, but the Montana high court’s decision to uphold its state ban on unlimited corporate spending because of what the CU brief calls “Montana’s supposedly unique history, geography, politics, and economy.” The CU brief continued, “The Montana Supreme Court’s state-specific analysis makes this case an exceedingly poor vehicle to reexamine the broader constitutional questions settled in Citizens United.” The US Supreme Court’s ruling in Citizens United should bind Montana as well as the other 49 states, the CU brief argued, saying that “state courts—like federal courts—have an unwavering obligation to uphold the Constitution of the United States and follow this Court’s decisions until they are withdrawn or modified.… They are not freed from that constitutional obligation where the decision of this Court is controversial or unpopular, where it was rendered by a divided Court, or where state officials disagree with the decisions as a matter of policy.” Instead, the brief claimed, Montana’s high court has promulgated “a transparent attempt to circumvent the application of this Court’s precedent to a state statute that is materially indistinguishable from the federal prohibition on corporate independent expenditures struck down by this Court in Citizens United. Such constitutional mischief should proceed no further.” The liberal news Web site Think Progress notes that Senator McConnell, who files a brief urging summary reversal today, has argued against campaign finance reform for a decade, and was one of the plaintiffs in an unsuccessful 2002 lawsuit attempting to reverse a legislative ban on corporate donations (see December 10, 2003). And, it notes, the US Chamber of Commerce is one of the biggest donors in the 2012 elections. [Lyle Denniston, 5/1/2012; Think Progress, 5/2/2012] The Supreme Court will indeed overrule the Montana high court’s decision (see June 25, 2012).

Entity Tags: US Chamber of Commerce, Citizens United, Free Speech for People, Mitch McConnell, US Supreme Court, Montana Supreme Court, Think Progress (.org)

Timeline Tags: Civil Liberties

Republican presidential candidate Newt Gingrich (R-GA) officially suspends his presidential campaign, tacitly acknowledging his defeat at the hands of frontrunner Mitt Romney (R-MA). Among the few people he thanks by name are Sheldon and Miriam Adelson. The Adelsons, who own a number of casinos in Las Vegas and Southeast Asia, by donating some $25 million to Gingrich’s super PAC, were primarily responsible for keeping Gingrich’s campaign afloat in recent months (see December 1, 2011, December 19, 2011, January 3, 2012, January 6, 2012, January 23, 2012, February 21, 2012, February 21, 2012, March 26, 2012, and April 22, 2012). Gingrich tells the assemblage, “And of course, while they weren’t directly associated with the campaign, it would be impossible for me to be here and thank everybody without mentioning Sheldon and Miriam Adelson, who single-handedly came pretty close to matching Romney’s super PAC.” Alex Seitz-Wald of the liberal news Web site Think Progress writes, “Gingrich’s praise of the Adelsons, and admission of their importance in his campaign, underscores how super PACs have fundamentally changed the political landscape, allowing a single household to spend unlimited amounts of money to nearly ‘single-handedly’ fund candidates.” While Gingrich is careful to note that the Adelsons were not “directly associated with the campaign,” his citation of them raises questions about how “independently” they functioned, as super PACs are legally not allowed to coordinate with campaigns and are required to operate entirely outside of the campaign. Seitz-Wald writes that Gingrich’s “public gratitude underscores the porous rules governing campaign finance in the post-Citizens United era.” Despite the lavish donations from the Adelsons, Gingrich bears a significant campaign debt; he is expected to endorse Romney in return for Romney’s agreement to help him pay off that debt. [Think Progress, 5/2/2012]

Entity Tags: Newt Gingrich, Alex Seitz-Wald, Miriam Adelson, Willard Mitt Romney, Sheldon Adelson

Timeline Tags: 2012 Elections

Ed Whelan of the conservative National Review is highly critical of a recent article by the New Yorker’s Jeffrey Toobin about the internal decision-making process behind the 2010 Citizens United decision (see January 21, 2010 and May 14, 2012). Elements of Toobin’s narrative have already been questioned by law professors Thomas Goldstein and Jonathan Adler (see May 14, 2012), though both professors are generally supportive of the article and recommend it for reading. In his first article, Whelan writes that the evidence “doesn’t support his thesis,” and promises a followup article that addresses “some of Toobin’s wild distortions about” the decision, including what he calls Toobin’s “baseless libel” against Chief Justice John Roberts, referencing Toobin’s implication that Roberts engineered the sweeping campaign finance reform of the decision in order to aid Republican candidates. Whelan interprets Toobin’s evidence to say that it shows Justice Anthony Kennedy, not Roberts, enlarged the scope of the Citizens United decision; however, Whelan believes neither interpretation. Some of Toobin’s interpretation of events hinges on a draft dissent penned by Justice David Souter that was withdrawn after Roberts agreed to let the case be re-argued (see June 29, 2009 and September 9, 2009). Whelan implies that he doubts the existence of such a dissent, an implication that cannot be disproven, as Souter sealed his Court records after his retirement (see May 14-16, 2012). If the dissent does exist, Whelan doubts that Toobin has read it. He concludes by casting aspersions on Toobin’s assertion that Roberts engineered the results of the decision “without leaving his own fingerprints.” Roberts cast the deciding vote in the 5-4 split, Whelan notes, and adds that Roberts did not entirely escape criticism for the ruling after it was issued. [National Review, 5/15/2012]
Part Two - The next day, Whelan publishes the second part of the article, and condemns Toobin for asserting that Roberts crafted the decision with the intention of helping Republican candidates in upcoming elections. He calls the assertion “scurrilous,” and says Toobin presents “not an iota of evidence” for the claim. Whelan then writes that no evidence exists to show that the decision has helped Republican candidates more than Democrats (see November 1, 2010 and January 21, 2012), apparently ignoring two years’ worth of evidence showing that in the wake of decisions, outside funding of Republican candidates has swamped Democrats’ efforts to retain parity (see August 2, 2010, April 5, 2010, September 13-16, 2010, September 21 - November 1, 2010, October 2010, Mid-October 2010, October 18, 2010, Around October 27, 2010, October 30, 2010, Mid-November 2010, January 26, 2011 and After, March 2011, (May 4, 2011), May 5, 2011, July 12, 2011, August 4, 2011, October 27, 2011, November 8, 2011, December 1, 2011, January 6, 2012, January 23, 2012, February 6, 2012, February 9, 2012, February 21, 2012, February 21, 2012, February 21, 2012, March 9, 2012, March 26, 2012, Late March 2012, April 13-20, 2012, April 22, 2012, and May 2, 2012). He cites an article by Weekly Standard contributor Andrew Ferguson that denies the “rich and powerful” donate more to Republicans than Democrats, where the only “evidence” Ferguson cited was his assertion that “Democrats are the party of what Democrats used to call the superrich. Only Democrats seem not to realize this.” [National Review, 5/16/2012]
Final Thoughts - Whelan’s final article on the subject approvingly cites an equally negative critique of the Toobin article from Weekly Standard writer Adam White (see May 17, 2012), and insults law professor Richard Hasen’s perspective on the matter (see May 14-16, 2012); after noting that Hasen is a “[l]aw professor and election-law expert,” Whelan advises Hasen to read White’s column more closely. He also derides the idea that the Souter dissent is “secret,” noting that it would have been circulated among the other eight justices, and Justice John Paul Stevens would have had it available to him for his own published dissent. He then quotes Hasen’s critique of Stevens’s “somewhat meandering and ineffective” dissent, turns the phrasing around to insult Souter’s writing style, and says that Souter’s dissent may “reflect… too much of Souter’s draft dissent.” In attacking Hasen’s request for Souter to release the dissent, he contradicts himself by noting that the dissent is “confidential case information” that should remain out of public view. [National Review, 5/17/2012]

Entity Tags: John G. Roberts, Jr, Anthony Kennedy, Andrew Ferguson, Adam White, David Souter, Jeffrey Toobin, Richard L. Hasen, Thomas Goldstein, John Paul Stevens, Jonathan Adler, Ed Whelan

Timeline Tags: Civil Liberties

Senate races are seeing the impact of huge “independent” expenditures that resulted from the 2010 Citizens United decision (see January 21, 2010), and as in so many other instances, Republicans are reaping most of the benefits of these expenditures (see August 2, 2010, April 5, 2010, September 13-16, 2010, September 21 - November 1, 2010, October 2010, Mid-October 2010, October 18, 2010, Around October 27, 2010, October 30, 2010, Mid-November 2010, January 26, 2011 and After, March 2011, (May 4, 2011), May 5, 2011, July 12, 2011, August 4, 2011, October 27, 2011, November 8, 2011, December 1, 2011, January 6, 2012, January 23, 2012, February 6, 2012, February 9, 2012, February 21, 2012, February 21, 2012, February 21, 2012, March 9, 2012, March 26, 2012, Late March 2012, April 13-20, 2012, April 22, 2012, and May 2, 2012). Senator Sherrod Brown (D-OH) and former Governor Tim Kaine (D-VA) are being outspent by more than a 3-1 ratio by their Republican opponents and the third-party groups that support those opponents. Brown and his allies have spent some $2.5 million on television advertising, but are being challenged by an $8 million expenditure by such groups as American Crossroads and Crossroads GPS. Brown says: “These individuals, these billionaires, realize that small numbers of people can have a huge impact. It’s very one-sided. This outside money is bad for the system.” Kaine and his supporters have spent $385,000, but face a $1.9 million expenditure by such groups as the US Chamber of Commerce. Crossroads GPS is airing a series of ads accusing Kaine of having a “reckless” spending record as governor, including turning a $1 billion surplus into an almost-$4 billion shortfall, an assertion fact-checking organizations have declared to be false. In turn, Crossroads GPS spokesperson Jonathan Collegio upped the claim, telling a reporter that Kaine had left office with a $3 trillion shortfall. The Virginia Constitution requires the state to maintain a balanced budget, and factcheckers have said that Kaine balanced budgets during his term. Missouri Republicans are enjoying a $7 million-$2 million disparity in their challenge to Senator Claire McCaskill (D-MO). In Florida, US Representative Connie Mack (R-FL) and his supporters have run almost 6,500 television ads against Senate incumbent Bill Nelson (D-FL) with no response from Nelson’s campaign. One Mack ad accused Nelson of supporting a tax-funded program to research the effects of cocaine on monkeys, a claim factcheckers have found to be false. Another Mack ad attempts to link Nelson to the Obama administration’s health care reform legislation, which Republicans have dubbed “Obamacare,” and says 20 million people will lose medical coverage because of the reform, a claim factcheckers have found to be false. The re-election campaign of President Obama is hoarding resources, expecting to have to combat an onslaught of spending by Republican contender Mitt Romney (R-MA) and his supporters (see Late May 2012), and is thusly contributing little to Congressional races. Advertising executive Ken Goldstein says: “There’s so much oxygen being sucked up by the Obama campaign. Democrats are also not going to have the same kind of money that Republican outside groups are going to have.” Obama campaign manager Jim Messina confirms that the Obama campaign is not prepared to contribute large sums to Congressional contenders, saying: “Our top priority and focus is to secure the electoral votes necessary to re-elect the president. There’s no doubt that Democratic campaigns face a challenging new political landscape with special interests giving unlimited amounts to super PACs.” Scott Reed, a US Chamber of Commerce official who worked on the 1996 Bob Dole presidential campaign, says the sharp disparity in spending will not matter at the end of the campaigns: “It comes out in the wash at the end of the day in the sense that Obama is a ferocious fundraiser-in-chief. There’s no question the pro-business and pro-growth groups are spending early and more aggressively than ever because they recognize the stakes of the election are so high.” [Bloomberg News, 5/29/2012]

Entity Tags: Clarence W. (“Bill”) Nelson, US Chamber of Commerce, American Crossroads, 2012 Obama presidential election campaign, Claire McCaskill, Sherrod Brown, Tim Kaine, Obama administration, Connie Mack, Jim Messina, Scott Reed, Ken Goldstein, American Crossroads GPS, Mitt Romney presidential campaign (2012)

Timeline Tags: Civil Liberties

Politico reports that Republican super PACs and other outside groups are coordinating under the leadership of what it calls “a loose network of prominent conservatives, including former Bush political advisor Karl Rove, the oil billionaire Koch brothers, and Tom Donohue of the US Chamber of Commerce,” to spend an unprecedented $1 billion between now and November to help Republicans win control of the White House and Congress. The plans include what Politico calls “previously undisclosed plans for newly aggressive spending by the Koch brothers” (see 1977-Present, 1979-1980, 1997, 1981-2010, 1984 and After, Late 2004, May 6, 2006, April 15, 2009, May 29, 2009, November 2009, December 6, 2009, April 2010 and After, July 3-4, 2010, June 26-28, 2010, August 28, 2010, August 30, 2010, September 24, 2010, January 5, 2011, October 4, 2011, February 14, 2011, February 29, 2012, and Late March 2012) to organize funding for county-by-county operations in key states, using tools such as the voter database Themis (see April 2010 and After) to build “sophisticated, county-by-county operations in key states.” The Kochs’ organizations have upped their spending plans to $400 million. Just the Kochs’ spending will outstrip the $370 million spent by the 2008 John McCain presidential campaign, and the $1 billion will exceed the $750 million spent by the 2008 Barack Obama campaign. The “independent” super PAC supporting the presidential campaign of Mitt Romney, Restore Our Future (ROF—see June 23, 2011 and January 31, 2012), plans on spending $100 million on the campaign to unseat Obama. American Crossroads and Crossroads GPS, the two Rove-led groups coordinating much of the Republican spending efforts, plan to spend $300 million on efforts to elect Romney and other Republicans (see February 21, 2012). The raised millions will go to, among other things, television, radio, and Web advertising; voter turnout efforts; mail and telephone appeals; and absentee- and early-balloting drives. The $1 billion is entirely “outside” spending. Romney and the Republican National Committee (RNC) intend to raise some $800 million on their own. According to Politico: “The Republican financial plans are unlike anything seen before in American politics. If the GOP groups hit their targets, they likely could outspend their liberal adversaries by at least two-to-one, according to officials involved in the budgeting for outside groups on the right and left.… The consequences of the conservative resurgence in fundraising are profound. If it holds, Romney and his allies will likely outraise and outspend Obama this fall, a once-unthinkable proposition. The surge has increased the urgency of the Democrats’ thus-far futile efforts to blunt the effects of a pair of 2010 federal court rulings—including the Supreme Court’s seminal Citizens United decision (see January 21, 2010)—that opened the floodgates for limitless spending, and prompted Obama to flip-flop on his resistance to super PACs on the left.” The super PAC supporting Obama’s re-election, Priorities USA Action, has not raised anywhere near the amount of money being garnered by Rove and the Koch brothers, partly because of Obama’s initial reluctance to have such groups operating on his behalf (see January 18, 2012). US labor unions may be able to raise some $200 to $400 million on behalf of Obama and other Democrats. The AFL-CIO’s Michael Podhorzer says his organization does not intend to try to match the Republican donor groups, but instead will spend most of its money reaching out to union members and other workers: “Progressives can’t match all the money going into the system right now because of Citizens United, so we have to have a program that empowers the worker movement.” Politico notes that billionaire Sheldon Adelson single-handedly kept the Newt Gingrich (R-GA) primary challenge afloat (see December 1, 2011, December 19, 2011, January 3, 2012, January 6, 2012, January 23, 2012, February 21, 2012, February 21, 2012, March 26, 2012, April 22, 2012, and May 2, 2012), and billionaire Foster Friess (see February 16-17, 2012) was the key funder for Republican primary challenger Rick Santorum (R-PA). Outside money helped “tea party” challengers defeat incumbents like Senator Richard Lugar (R-IN) in the 2012 primaries (see February 21, 2012). “Republicans have taken one big lesson away from campaigns conducted to date in 2011 and 2012,” Politico states: “outside money can be the difference-maker in elections.” [Politico, 5/30/2012]

Entity Tags: Foster Friess, Sheldon Adelson, Tom Donohue, American Crossroads GPS, American Crossroads, David Koch, Richard Lugar, Rick Santorum, Republican National Committee, Karl C. Rove, Michael Podhorzer, Newt Gingrich, Priorities USA Action, Charles Koch, Politico, Restore Our Future

Timeline Tags: Civil Liberties, 2012 Elections

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