Supreme Court upholds PAC disclosure requirements

In what many are calling a follow-up to the Citizens United ruling, and a blow to campaign finance reform, the Supreme Court declined to hear arguments in the Speechnow.org vs. FEC case last week.  Many are suggesting this broadens the reach of Citizens United and allows for increases freedom of speech in the electoral process.

The decision allows for unlimited donations to “independent expenditure groups” such as Speechnow.org, and challenges FEC regulation of campaign donations.  While unlimited donations allows for greater spending on campaigns, it also maintained disclosure requirements, noting that continued registration and disclosure will be required.

Under the ruling, Speechnow and similar groups must register as a PAC and disclose contributions.  As a result, over 50 such groups popped up around the country ahead of the mid-term elections, and this election cycle saw record spending. Watchdog group opensecrets.org noted that “significant investments from outside groups helped elect more than 200 federal candidates.”

Though both Democrats and Republicans received outside donations, it was Republicans who saw the greatest benefits of organizations’ ability to receive unlimited donations, and in turn, spend in unlimited proportions.  

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