election-law_gl-digest Saturday, February 23 2002 Volume 01 : Number 147
----------------------------------------------------------------------
Date: Fri, 22 Feb 2002 12:52:42 -0500
From: Frank Askin <FAskin@kinoy.rutgers.edu>
Subject: Re: Shays-Meehan -Reply
The problem is that While Sec, 203 says they CAN, Sec, 204 says they CANNOT.
As I read Shays/Meehan, Section 204 is the Wellstone Amendment. So what 203
giveth, 204 taketh away. FRANK ASKIN
Rick Hasen <rick.hasen@lls.edu> 02/21/02 06:24pm >>>
Michael Malbin's post confirms that Shays-Meehan is a "full
employment for election lawyers" bill.
On a more serious note, isn't it true--as Trevor Potter said
in his post last week-- that under section 203 of the bill,
501(c)(4)'s and 527s that don't take labor or union money
can continue to spend unlimited amounts on independent
expenditures (whether constituting express advocacy or not)?
The empirical question seems to be how many of these
organizations don't take such money. Anybody know?
- --
Rick Hasen
Professor of Law and William M. Rains Fellow
Loyola Law School
919 South Albany Street
Los Angeles, CA 90015-1211
(213)736-1466 - voice
(213)380-3769 - fax
rick.hasen@lls.edu
http://www.lls.edu/academics/faculty/hasen.html
------------------------------
Date: Sat, 23 Feb 2002 08:26:06 -0800
From: Rick Hasen <rick.hasen@lls.edu>
Subject: Tribes Benefit in Campaign Bill
This is a multi-part message in MIME format.
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Here's another story on a potential unintended consequence
of Shays-Meehan.
Rick
http://www.latimes.com/news/printedition/la-000013924feb23.story
- --
Rick Hasen
Professor of Law and William M. Rains Fellow
Loyola Law School
919 South Albany Street
Los Angeles, CA 90015-1211
(213)736-1466 - voice
(213)380-3769 - fax
rick.hasen@lls.edu
http://www.lls.edu/academics/faculty/hasen.html
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<span CLASS=3D"deckhead">THE NATION</span><br>
<SPAN CLASS=3D"cHeadline1">Tribes Benefit in Campaign Bill</SPAN><BR>
<SPAN class=3D"keydeck14"><img src=3D"/images/standard/blackpix.g=
if" hspace=3D"3" vspace=3D"2" height=3D"6" width=3D"6" alt=3D"*"> Politic=
s: Indians would be able to take advantage of the reform measure's hard m=
oney loophole.<BR><BR></SPAN>
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<span class=3D"cauthor">
By NICK ANDERSON and JANET HOOK, TIMES STAFF WRITERS<BR><BR>
</SPAN>
<div class=3D"content">
=
WASHINGTON --
=
The Mashantucket Pequot Nation, a small Indian tribe that owns a =
mega-casino in Connecticut, knows how to make itself heard in Washington.=
<BR><BR>The tribe gave about $500,000 in national political donations dur=
ing the 2000 campaign, more than any other Native American group in the c=
ountry.<BR><BR>And, in theory, it could approach that total again in 2004=
, even if Congress passes legislation to crack down on big political dona=
tions from special interests and wealthy individuals. That's because Indi=
an tribes, including many politically active ones in California, are amon=
g the unheralded beneficiaries of potential loopholes in the reform bill,=
which faces a crucial test soon in the Senate before it can be sent to P=
resident Bush.<BR><BR>The bill would ban soft money--unlimited, loosely r=
egulated contributions to national political parties--from all donors, in=
cluding Indians. But it eases some restrictions on hard money donations--=
sums that may be given directly to congressional and presidential candida=
tes, as well as parties.<BR><BR>Indian tribes, though, are part of a smal=
l category of donors that would not have to abide by an overall cap on th=
ese hard money contributions.<BR><BR>As a result, while the typical indiv=
idual could give the new maximum donation of $2,000 to a relatively small=
number of federal candidates, tribes could funnel contributions of this =
size to as many candidates as they want--potentially hundreds.<BR><BR>Few=
expect that any tribe would go that far. But in a new fund-raising world=
, with most soft money off limits, the two major parties would redouble t=
heir chase for hard money. And groups such as Indian tribes that can give=
large chunks of that precious funding source would likely gain influence=
=2E<BR><BR>This potential loophole is one of several in the legislation, =
which advocates acknowledge is more likely to rearrange rather than reduc=
e the flow of money in politics.<BR><BR>Another would let incorporated gr=
oups, such as the National Rifle Assn. or the Sierra Club, pour unlimited=
funds into preelection political attacks through media other than televi=
sion. The bill also would encourage state and local parties, acting as pr=
oxies for their national counterparts, to solicit from deep-pocket donors=
=2E<BR><BR>These provisions underscore the limits of a bill that seeks to=
overhaul federal campaign law for the first time in nearly 30 years. Pol=
itical pros are already combing through the fine print to find what could=
be exploited if the measure becomes law.<BR><BR>"We'll do anything that'=
s legal," said Rep. Thomas M. Davis of Virginia, chairman of the National=
Republican Congressional Committee. "We'll raise hard money. We'll raise=
soft money [where possible]. We'll raise Indian gaming money."<B=
R><BR>Votes Nearly There to End Any Filibuster<BR><BR>Next week, advocate=
s of a House-passed campaign finance measure will press the Senate to sen=
d it to the president. The pro-reform coalition of Democrats and a small =
bloc of Republicans appears close to having the 60 votes needed to overco=
me a possible Senate filibuster.<BR><BR>Most congressional Republicans op=
pose the legislation, criticizing it as an unconstitutional infringement =
on free speech. But a major reason why Bush may embrace the bill is that =
it actually expands certain forms of fund-raising in which his party exce=
ls.<BR><BR>Under the bill, donors would no longer be able to give unlimit=
ed sums of soft money to the national parties for such activities as vote=
r turnout drives and "issue" advertisements, which typically tout or atta=
ck candidates without directly soliciting votes. Such money totaled nearl=
y $500 million in the last election cycle, split about equally between Re=
publicans and Democrats.<BR><BR>In a compromise to win backing for a soft=
money ban, the legislation would allow individuals to give up to $95,000=
every two years to parties and candidates. These hard money donations, w=
hich Republicans historically have raised in far larger quantities than D=
emocrats, may be spent on direct election expenses. Currently, the limit =
is $50,000.<BR><BR>But the legislation leaves untouched a federal rule th=
at would exempt Indian tribes and certain other donors from the proposed =
$95,000 limit.<BR><BR>In May 2000, the Federal Election Commission found =
that tribal entities, like unincorporated partnerships and homeowner asso=
ciations, were subject to some contribution limits but not others.<BR><BR=
The bottom line: Under the pending legislation, tribes could no longer g=
ive soft money to the national parties and would have to abide by a $2,00=
0 limit in hard money donations per election to any federal candidate. Bu=
t the tribes would be able to give to as many candidates as they choose, =
while others would have to stop after they hit the $95,000 limit.<BR><BR>=
In theory, that means a tribe could give the maximum amount to every cand=
idate for the House, Senate and White House--$2,000 for primary elections=
and $2,000 for the general elections--totaling hundreds of thousands of =
dollars in each election cycle.<BR><BR>The exception is potentially impor=
tant because tribes have gained in wealth and political clout in recent y=
ears as the Indian casino industry has grown, and questions about gamblin=
g regulations and tribal rights have confronted state legislatures and Co=
ngress.<BR><BR>Federal election data show that Indian gaming interests ga=
ve $2.9 million in hard and soft money during the 2000 campaign, up from =
about $128,000 in the 1992 cycle. Five of the top 10 tribal donors from t=
he last cycle were from California. They gave more than $600,000, mostly =
in soft money.<BR><BR>It is unclear how tribes would react to a new feder=
al finance system.<BR><BR>"It's critical that tribes maintain their abili=
ty to participate in America's political process," said Mark A. Macarro, =
tribal chairman of the Pechanga Band of Luiseno Indians in Temecula, whic=
h gave $132,000 to federal candidates and party groups--all Democratic--d=
uring the 2000 campaign.<BR><BR>More than half of the funds the Mashantuc=
ket Pequots gave in 1999 and 2000 were soft money donations to parties, p=
redominantly to Democratic organizations.<BR><BR>The tribe also gave to l=
awmakers across the country, including $1,000 each to Reps. Maxine Waters=
(D-Los Angeles), J. D. Hayworth (R-Ariz.), Jim Ramstad (R-Minn.) and Dav=
e Camp (R-Mich.).<BR><BR>"We support legislators that support tribal inte=
rests," said Daniel Little, legislative manager in Washington for the tri=
be. "We are bipartisan. We give to both parties, including incumbents and=
challengers."<BR><BR>Little, defending the donation exception for Indian=
s, noted that tribes give far less than corporations or unions have given=
=2E He said the Mashantucket Pequots would probably give less if soft mon=
ey is banned from federal elections.<BR><BR>The $95,000 limit on hard mon=
ey donations would rise with inflation. Campaign finance data indicate it=
is a generous standard.<BR><BR>If soft money had been banned and if a $9=
5,000 limit had been in effect during the 2000 cycle, most individual don=
ors would have been unaffected.<BR><BR>Data from the Center for Responsiv=
e Politics in Washington, which tracks political fund-raising, show that =
only 755 individuals gave more than $95,000 in hard and soft money during=
the campaign.<BR><BR>Effect of Exception Called 'Minimal'<BR><BR>Rep. Ch=
ristopher Shays (R-Conn.), a House sponsor of the campaign finance legisl=
ation, predicted the exception to the proposed $95,000 limit for Indian t=
ribes and other groups would have "minimal" effect. He said he doubts tri=
bes would seek to give to a huge number of federal candidates.<BR><BR>Non=
etheless, critics fear that tribes flush with gaming income would continu=
e to pour vast sums into the political system.<BR><BR>Rep. Rob Simmons (R=
- -Conn.), who backs the reform bill, last July proposed an amendment to ca=
p tribal donations.<BR><BR>But the bill's chief advocates, including Sen.=
John McCain (R-Ariz.), himself a leading congressional recipient of Indi=
an gaming money, were skeptical. Some feared it would split the pro-refor=
m coalition; others argued that tribal sovereignty issues could hinder ef=
forts to craft new regulations.<BR><BR>"It is disappointing that at a tim=
e when we are trying to enact meaningful campaign finance reform we refus=
e to close an obvious loophole that could be easily sealed," Simmons said=
at the time.<BR><BR>*<BR><BR>Times staff writer Dan Morain in Sacramento=
contributed to this report.
</div><BR>
<span class=3D"copyright">If you want other stories on this topic, search=
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<TR>
<TD> </TD>
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- --------------F6A622F14FC251ED0FC43441--
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End of election-law_gl-digest V1 #147
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