In the News
More Soft Money Hard Law: The IRS and (c)(4) Political Activity: Choices and Explanations
By Bob Bauer
The IRS is now receiving comments on its Notice of Proposed Rulemaking on (c)(4) activity, and certain of the views so far underscore the choice that the agency faces and does not make in its first set of proposed rules. It is the choice of line, and the “brightness” of that line, distinguishing “candidate-related” from social welfare activity.
The Center for Competitive Politics is troubled that the proposed rules in their current form do not pass the test of clarifying the rules and extricating the IRS from politically tinged decision-making. The Center urges that the IRS stay close to Buckley v. Valeo and generally treat as political activity only contributions to political organizations, communications that expressly advocate the election or defeat of candidates, or other expenditures now subject to the Federal Election Campaign Act as it is “well understood.” Center for Competitive Politics Comments on IRS NPRM at 13.
Newsmax: WSJ: IRS Should Stick to Revenue Collection, Avoid Politics
By Elliot Jager
As the Senate Finance Committee prepares to hold confirmation hearings Tuesday for John Koskinen as President Barack Obama’s next Internal Revenue Service commissioner, Bradley Smith writing in the Wall Street Journal is urging the IRS to stick to revenue collection and stay out of politics.
The IRS recently unveiled plans to limit the political activities of nonprofits. Smith, a former chairman of the Federal Election Commission, sees this as a continuation of the agency’s targeting of conservative organizations and its drift toward political regulation.
Independent Groups
TRNS: IRS Nominee Supports Investigation Into Tea Party Scandal
By Marissa Higdon
(TRNS) — President Obama’s nominee to become the next Internal Revenue Service Commissioner said today that he would “cooperate fully” with lawmakers who are investigating into the agency’s political targeting scandal.
“I look forward, if confirmed, to working with the committee,” said John Koskinen during a confirmation hearing held by the Senate Finance Committee.
Corporate Governance
Roll Call: Aetna Inc. Sued Over Proxy Statements on Political Activity
By Kent Cooper
CREW claims the company failed to make its political contributions report easily available and understandable to shareholders. CREW also claims the Aetna political contributions report is inaccurate and sites IRS Section 527 disclosure reports of the Republican Governors Association and the Democratic Governors Association for 2011 which show Aetna contributing more than $250,000 to each group beyond what was listed in Aetna’s report.
Lobbying and Ethics
NPR: Ethics Panel Hands Down Holiday Gift Rules — In Rhyme
By Peter Overby
This pink sheet has seven pages of rules (“Generally, Members and supervisors may not accept gifts from their subordinates”) and exceptions (“a common-sense exception” for voluntary gifts during the holidays).
Seven pages of rules — and one page with a poem. About congressional ethics rules.
State and Local
District of Columbia –– Washington City Paper: How Vince Gray Reported $0 In Campaign Expenses
By Will Sommer
Vince Gray is the first mayoral candidate to file his campaign finance report today, but his initial numbers won’t exactly leave his opponents quaking. With his campaign only eight days old and campaign manager Chuck Thies trying to set up its accounting system, the mayor has raised a grand total of $0. Curiously, though, Gray’s campaign also reported $0 in expenses.
How can a campaign with a website and an account with organizing website Nationbuilder manage not to cost anything? As it turns out, Gray’s campaign owes its low initial overhead to the help of sympathetic web designers and campaign finance rules that allow campaigns to compile their expense report five days before the Dec. 10 deadline.
Michigan –– Detroit Free Press: House panel votes to double campaign donor limits, keep ‘issue ad’ sponsors secret
By Paul Egan
LANSING — A House committee gave approval Tuesday to a bill that doubles campaign finance limits while protecting the anonymity of donors who pay for controversial “issue ads” that have become increasingly influential in Michigan political campaigns.
Senate Bill 661 now moves to the full House, where it could be taken up as early as today. It’s already passed the Senate.
