1. CHAPTER 18, SECTION II The Rise of Political Action Committees

2. Political Action Committees are designed to provide much of the enormous amount of funding it takes to get elected

3. How PAC’s Began 1974 – Campaign finance laws reformed how much a person could donate to a campaign Law prevented corporations and unions from making direct contributions to federal candidates Law permitted political action committees to do so

4. Laws Governing PAC’s Government set rules governing PAC’s  FECA of 1971, and amendments in 1974, ‘76, & ‘79  Revenue Act of 1971 PAC’s must register with the government 6 months before an election PAC’s must raise money from at least 50 contributors PAC’s can contribute $5000 per election to a candidate, but are not limited in what they can spend in supporting the candidate without “working directly” with the candidate

5. PAC’s and the Groups They Serve Affiliated PAC’s  PAC’s tied to corporations, labor unions, trade groups, or health organizations  Make up about 70% of all PAC’s  Raise funds through voluntary contributions Non-connected PAC’s  Groups interested in a particular cause  Organized to participate in elections  Very successful and outraise affiliated PAC’s

6. Strategies for Influence Trading Support for Access  IG’s promise campaign support for legislators who favor their policies  Making donations to campaigns can guarantee access to politicians Influencing Elections  PAC’s support incumbents – some that have no opponent.  WHY? How Much Influence  “We are the only human beings in the world who are expected to take thousands of dollars from perfect strangers and not be affected by it.” – Barney Frank, US Rep.

7. Colbert Super PAC Super PAC’s are different than traditional PAC’s in that they have NO spending limits placed on spending and have weak disclosure requirements  Colbert Super PAC Ad #1 Colbert Super PAC Ad #1  Colbert Super PAC Ad #2 Colbert Super PAC Ad #2  Colbert Super PAC Website Colbert Super PAC Website  At the time that ABTT stopped accepting donations the PAC held $1,023,121.24 in the bank.