Money and Elections Chapter 7 Section 3. Campaign Spending.

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Presentation transcript:

Money and Elections Chapter 7 Section 3

Campaign Spending

Sources of Funding Small contributors Wealthy supporters Nonparty groups such as PACs Temporary fund-raising organizations Candidates Government subsidies Private and Public Sources of Campaign Money

Regulating Campaign Financing Early campaign regulations were created in 1907, but feebly enforced. The Federal Election Campaign Act (FECA) of 1971 was passed to replaced the former, ineffective legislation. The FECA Amendments of 1974 were passed in response to the Watergate scandal. Buckley v. Valeo invalidated some of the measures in the FECA Amendments of Most significantly, it also stipulated that several of the limits that the 1974 amendments placed on spending only apply to candidates who accept campaign money from the government, not those who raise money independently. The FECA Amendments of 1976 were passed in response to Buckley v. Valeo.

The Federal Election Commission The Federal Election Commission (FEC) enforces: the timely disclosure of campaign finance information limits on campaign contributions limits on campaign expenditures provisions for public funding of presidential campaigns

“More loophole than law…” — Lyndon Johnson

Loopholes in the Law Soft money—money given to State and local party organizations for “party-building activities” that is filtered to presidential or congressional campaigns. $500 million was given to campaigns in this way in Independent campaign spending—a person unrelated and unconnected to a candidate or party can spend as much money as they want to benefit or work against candidates. Issue ads—take a stand on certain issues in order to criticize or support a certain candidate without actually mentioning that person’s name.