R. Sam Garrett
Specialist in
American National Government
Super PACs emerged
after the U.S. Supreme Court permitted unlimited corporate and union spending
on elections in January 2010 (Citizens United v. Federal Election Commission). Although
not directly addressed in that case, related, subsequent litigation (SpeechNow
v. Federal Election Commission) and Federal Election Commission (FEC)
activity gave rise to a new form of political committee. These entities,
known as super PACs or independent-expenditure-only committees (IEOCs),
have been permitted to accept unlimited contributions and make unlimited expenditures
aimed at electing or defeating federal candidates. Super PACs may not
contribute funds directly to federal candidates or parties.
Much about super PACs’ activities remains unknown. This report explores what
super PACs are, how they developed, what they raised and spent in the 2010
election cycle, and preliminary analysis of 2012 activity. As of this
writing, Congress has not amended the Federal Election Campaign Act (FECA)
to formally recognize the role of super PACs. No legislation introduced in the
112th Congress focuses specifically on super PACs, but two bills contain
relevant provisions. H.R. 3585 (Price, N.C.) proposes new disclaimer
requirements that would apply to ads funded by super PACs and other
entities. The same is true for a revised version of the DISCLOSE Act, H.R. 4010
(Van Hollen), introduced in the House in February 2012. The latter bill would also
require additional funding disclosure that could affect super PACs. The
FEC has issued advisory opinions, but has not yet approved regulations on
the subject.
Despite limited policy action on super PACs, these new entities are quickly
occupying a major place in federal elections. In just 10 months of
operation in 2010, almost 80 super PACs emerged, spending a total of
approximately $90 million—more than $60 million of which went to elect or defeat
federal candidates through independent expenditures. Super PAC financial
activities appear likely to be even more ambitious in 2012. Already,
approximately 250 super PACs have registered with the FEC and reported at
least some financial activity. Some of the most prominent such groups are
reportedly staffed by operatives with close ties to 2012 presidential
campaigns. In 2011, super PACs spent more than $38.5 million and raised
almost $100 million—much of which remains unspent and could influence the
2012 elections. Various issues related to super PACs may be relevant as
Congress considers how or whether to pursue legislation or oversight on the
topic. These include relationships with other political committees and
organizations, transparency, and independence from campaigns.
For those advocating their use, super PACs represent freedom for individuals,
corporations, and unions to contribute as much as they wish for
independent expenditures that advocate election or defeat of federal
candidates. Opponents of super PACs contend that they represent a threat to the spirit
of modern limits on campaign contributions designed to minimize potential
corruption.
Date of Report: February 13, 2012
Number of Pages: 36
Order Number: R42042
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