Subject: RE: Fundraising by 527s
From: "Derek Willis" <dwillis@publicintegrity.org>
Date: 2/11/2004, 9:40 AM
To: "Kelner, Robert" <rkelner@cov.com>, "Trevor Potter" <TP@capdale.com>, "Thomas Mann" <TMANN@brookings.edu>, election-law@majordomo.lls.edu

I sent the following to Craig Holman, but I meant to send it to the list
as well (with an added final sentence):

As a person involved in producing the Center's report on 527 activity in
2003, I'd say this about Craig's comments: while the amounts aren't
wildly different for 2003 and 2001, a portion of the 2001 527 money came
into committees that are no longer permitted by BCRA - 527s set up by
national party committees and federal candidates - a point we made in
the release on our site
(http://www.publicintegrity.org/527/updates.aspx). In that light, the
2003 figures are significant because the total is greater than 2001
despite the fact that an important segment of the 2001 527 community
were put out of business. Of course, the 2004 activity will be a much
greater determinant of their impact, but I think it's too early to
dismiss these groups.

Derek Willis
Center for Public Integrity
dwillis@publicintegrity.org


-----Original Message-----
From: Kelner, Robert [mailto:rkelner@cov.com] 
Sent: Tuesday, February 10, 2004 7:03 PM
To: Trevor Potter; Thomas Mann; Holman@aol.com;
election-law@majordomo.lls.edu
Subject: RE: Fundraising by 527s


Of course, as we all know, the real action is not among the 527s, but
among groups organized under Section 501(c) of the Internal Revenue
Code.  Their activities are not a matter of public record at the moment.
To focus on 527s, and ignore the vast under-the-radar world of the
501(c)s, and then to draw conclusions about where all the soft money has
gone, seems a bit premature.

For that matter, as for the 527s, the data really is not yet ripe for
careful scrutiny.  527s were hardly likely to raise very much new money
so early in the cycle, especially with the McConnell case still pending
in the S.Ct.  The 2004 data should be more telling.  But until we have
data on 501(c)s, we have no good way to quantify BCRA's impact.

-----Original Message-----
From: owner-election-law_gl@majordomo.lls.edu
[mailto:owner-election-law_gl@majordomo.lls.edu] On Behalf Of Trevor
Potter
Sent: Tuesday, February 10, 2004 3:45 PM
To: Thomas Mann; Holman@aol.com; election-law@majordomo.lls.edu
Subject: RE: Fundraising by 527s



Especially when the LARGEST 527 included in the report is the Republican
Governors Association, which CPI says spent the funds on off-year
Governors races, rather than federal activity!

	-----Original Message----- 
	From: owner-election-law_gl@majordomo.lls.edu on behalf of
Thomas Mann 
	Sent: Tue 2/10/2004 3:21 PM 
	To: Holman@aol.com; election-law@majordomo.lls.edu 
	Cc: 
	Subject: Re: Fundraising by 527s
	
	

	And that fundraising by 527s pales in comparison with what the
parties 
	have been able to raise in hard-money only.  Talk about hype! 

	>>> <Holman@aol.com> 02/10/04 02:33PM >>> 
	Since the role of soft money fundraising by Section 527s has
been such 
	a 
	controversial topic, I thought it significant to point out the
actual 
	fundraising 
	figures for these groups in 2003. Despite the Center for Public 
	Integrity's 
	sensational headline on their press release -- "Political
Nonprofits 
	Rake in 
	Donations at a Record Pace, from Left to Right" -- the actual
numbers 
	the study 
	reports is that 527s raised $86 million in 2003, as opposed to
raising 
	$83 
	million in 2001. In other words, 527s have not been able to
raise more 
	soft money 
	under BCRA, even with the grand proclamations of George Soros,
at least 
	not to 
	date. 


	Craig Holman, Ph.D. 
	Public Citizen 
	215 Pennsylvania Ave., SE 
	Washington, D.C. 20003 
	TEL: 202-454-5182 
	FAX: 202-547-7392 
	Holman@aol.com 




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