1. The Electoral Process
Chapter 7

2. Section 3
Money and Elections

3. Campaign Spending
Campaign spending continues to increase in recent years.
2008 presidential races totaled $2.5 billion
Average House seat $1 million; Senate $1.8 million
Spent on staff, office space, advertising, travel expenses.

5. Sources of Funding Private contributors Public Sources
Small contributors - $5 to $10
Wealthy individuals contribute thousands of dollars during elections to candidates or PACs
Candidates often contribute their own money.
“non-party” groups; especially Political Action Committees (PACs) raise and spend millions of dollars during campaigns.
Temporary organizations – often times holding $100, $500, $1,000 per plate social events.
Public Sources
Government provides grants to candidates at the national level and some state entities do as well.

7. Regulating Finance
Federal Election Campaign Act of 1971, FECA Amendments of 1974 and 1976 and the Bipartisan Campaign Reform Act of 2002 all sought to prevent Corporations, banks, and other groups with seemingly endless resources from bankrolling a campaign.
Citizens United v. Federal Election Commission (2010)
Limiting campaign financing of individuals to Political Action Committees is a violation of 1st amendment rights.
Campaign Finance and the rise of Super PACs

8. Federal Election Commission
FEC is an independent government agency
The laws that the FEC is supposed to enforce cover four broad areas.
Require the timely disclosure of campaign finance data
Place limits on campaign contributions
Place limits on campaign expenditures
Provide public funding for several parts of the presidential election process.
Laws often aren’t enforced because FEC is underfunded and understaffed

9. Hard Money, Soft Money
Hard money are those contributions that are given directly to candidates for their campaigns for Congress or the White house, are limited in amount, and must be reported.
Soft money are funds given to parties or to other political organizations, unlimited amounts, to be used for such “party-building activities” as voter registration or get-out-the-vote drives or for campaigns over particular public policy issues.