Campaign Financing

When the Citizens United case was decided by the Supreme Court, a howl went up from Democratic politicians. “Take the money out of politics,” they said. “This will open the floodgates for corporations to buy elections.”

I have posted charts from opensecrets.org before. These charts show that the top spenders (before and after Citizens United) are still the unions. No one is talking about taking away the right of unions to donate to campaigns. Also, keep in mind that the people who pay union dues and provide the money for the donations don’t have a say in where the money is donated. At least the leaders of a corporation that donates to a PAC are accountable to their stockholders. The fact that government employee unions give political donations is also a bit questionable–they donate to the people they are going to negotiate contracts with. Is it possible to do that without a conflict of interest?

Any, here is one of the charts from opensecrets.org:

campaigndonationsSo why am I mentioning this? First of all, I firmly believe that what is good for the goose is good for the gander. If unions are allowed to make campaign donations, corporations should also be allowed to make campaign donations. If you want to eliminate one, take them both away. Otherwise, you are creating an unbalanced situation where the government is suppressing free speech.

The National Review is reporting today that according to the Hillary Clinton emails, Mrs. Clinton was planning to reverse the Supreme Court ruling on Citizens United as soon as possible.

The article reports:

Although President Obama came out swinging against the decision during his State of the Union address a few day later — prompting some Justices to boycott future speeches — Clinton remained largely silent on the issue for years. She didn’t openly declare her opposition to Citizens United until April 2015, after she’d already announced her candidacy. In May, she said she’d use opposition to Citizens United as a litmus test for any Supreme Court nominee.

The Ready for Hillary Super PAC — founded under the new Citizens United rules — raised $15 million for the Clinton campaign before it was disbanded early this summer following her presidential announcement.

Mrs. Clinton’s emails to Sidney Blumenthal show a desire to overturn the Citizens United decision, yet she was willing to take advantage of the law up until the time she ran for President. She disbanded the PAC before any low-information voters would learn about it. Also, there is the question of the money flowing through the Clinton Foundation that might have made the PAC unnecessary. Remember that most of the Clintons travel expenses are paid through the Foundation, and a large part of campaigning is travel. That may or may not be illegal, but it is questionable at best. The hypocrisy is amazing.

 

It Really Is Time For Harry Reid (And Most Of The Rest Of The Senate) To Go

Yesterday the Washington Examiner reported that the Senate has made plans to accomplish something when it returns from recess. They are not planning to take up the immigration bill the House of Representatives just passed, they are not planning to deal with America‘s deficit spending in any way, and they are not planning to deal with any of the bills the House of Representatives has sent them to encourage job growth. So, what are they planning on dealing with first thing when they get back from vacation? They want to make sure that the Republicans can’t raise campaign contributions from corporations the way Democrats raise campaign contributions from unions.

The article reports on S.J. Res. 19, which seeks to undo the Supreme Court‘s 2010 Citizens United decision:

The Supreme Court said in its decision that political contributions are protected under the First Amendment.

However, the proposed amendment, which was authored by Sen. Tom Udall, D-N.M., not only gives Congress the power to limit spending on federal candidates, but it also bars the judicial branch from overturning any future campaign finance laws authored by legislative branch.

Other than the obvious problem with priorities, the Senate is planning on limiting the actions of the Supreme Court. I believe that would be unconstitutional. We have three separate but equal branches of government. The Senate does not control the actions of the Supreme Court.

Meanwhile, we are being overrun by illegal immigrants on our southern border. The young children are bringing diseases, and the older children are joining violent Latin American gangs already here. Americans (particularly those on our southern border) have been negatively impacted by the invasion. Wouldn’t you think the Senate might consider that more important than protecting Democrat fund raising?

 

Somehow The New York Times Missed This

Yesterday The Committee on Oversight and Government Reform released its report on Lois Lerner’s role in IRS targeting.

These are the highlights of the report (The link above provides a link to the entire report. The highlights include page numbers):

Key Document Based Highlights (documents and testimony in appendix):

  • Tea Party “itching for a Constitutional challenge:” Lerner and her colleagues, after being under public pressure from President Obama and other Democrats, engaged in an e-mail exchange about how they could showcase their scrutiny of a Tea Party applicant for public disclosure, despite rules protecting the secrecy of unapproved applications.  The conversation turned to the possibility of a court case – if a Tea Party applicant would challenge the IRS ruling.  On this, Ms. Lerner opined, Tea Party groups would litigate because they are “itching for a Constitutional challenge.” – p. 41
  • Lerner discusses political scrutiny that isn’t “per se political:” In one e-mail exchange that began with a discussion of an article noting, “organizations woven by the fabulously rich and hugely influential Koch brothers,” Lerner told colleagues, “we do need a c4 project next year.”  While she initially says, “my object is not to look for political activity,” later in the exchange she acknowledges that it will examine political activity. “We need to be cautious so it isn’t a per se political project.  More a c4 project that will look at levels of lobbying and pol. Activity along with exempt activity.” – p. 17
  • Lerner broke IRS rules by mishandling taxpayer information:  While Lerner told Congress under oath, “I have not violated any IRS rules or regulations,” e-mails show Lerner handled protected 6103 taxpayer information in her nonofficial e-mail account. In a November 2013 letter from Daniel Werfel, Werfel notes, “We do not permit IRS officials to send taxpayer information to their personal email addresses. An IRS employee should not send taxpayer information to his or her personal email address in any form, including redacted.” – p. 33
  • Lerner planned to retire in October all along: While House Democrats have pushed that Lerner was forced out by the IRS as a result of the TIGTA report; new e-mails indicate that Lerner had planned an October retirement long before TIGTA released its report.  Her paid leave amounted to a paid vacation preceding her retirement – it does not appear that the IRS penalized her in any way for her conduct. – p.  40-41
  • Despite knowing about improper scrutiny, Lerner had IRS blame victims: An IRS document bearing Lerner’s signature shows that in March 2012, despite knowing about improper scrutiny at that time, Lerner reviewed and signed off on a response to Congress that blamed applicants for heightened scrutiny.  “[T]he IRS contacts the organization and solicits additional information when the organization does not provide sufficient information in response to the questions on the Form 1024 or if issues are raised by the application …. The revenue agent uses sound reasoning based on tax law training and his or her experience to review the application and identify the additional information needed to make a proper determination of the organization’s exempt status.” – p. 36
  • Concern Citizens United hurting Democrats:  Lerner believed the Executive Branch needed to take steps to undermine the Supreme Court’s Citizens United decision.  A senior advisor to Lerner e-mailed her an article about allegations that unknown conservative donors were influencing U.S. Senate races.  The article explained how outside money was making it increasingly difficult for Democrats to remain in the majority in the Senate.  Lerner replied:  “Perhaps the FEC will save the day.” – p. 21
  • Citizens United created pressure for IRS to “fix the problem”:  According to Lerner: “The Supreme Court dealt a huge blow, overturning a 100-year old precedent that basically corporations couldn’t give directly to political campaigns.  And everyone is up in arms because they don’t like it.  The Federal Election Commission can’t do anything about it. They want the IRS to fix the problem.” – p. 20
  • “Multi-Tier Review”:  Lerner personally directed that Tea Party cases go through a “multi-tier review.” An IRS employee testified that Lerner “sent [him an] e-mail saying that when these cases need to go through multi-tier review and they will eventually have to go to [Judy Kindell, Lerner’s senior technical advisor] and the Chief Counsel’s office.”  A D.C. IRS employee said this level of scrutiny had no precedent. – p. 24-25
  • Head of the IRS Cincinnati office’s testimony refutes Lois Lerner and President Obama’s O’Reilly interview assertion that this was all about a “local office”: “[Y]es, there were mistakes made by folks in Cincinnati as well [as] D.C. but the D.C. office is the one who delayed the processing of the cases.” – p. 44

Unless we are willing to live in a country where the laws are made and changed at will by whichever political party is in charge, Ms. Lerner has to be held accountable for her behavior. There is enough evidence against her to move forward with legal action. It is time to do that. Unfortunately, her behavior is typical of the Obama Administration’s disregard for the U.S. Constitution and the law.

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Sometimes New Rules Won’t Solve The Problem

The National Review Online posted an article yesterday about the recent problems in the Internal Revenue Service (IRS).

The article reports:

There are two competing models for reforming the Internal Revenue Service’s oversight of the political activities of certain nonprofit organizations: one put forward by the IRS itself, in the form of a regulatory rule change, a second put forward by Representative David Camp (R., Mich.) on behalf of the House Ways and Means Committee. Neither program is sufficient, because neither reflects the reality behind the recent IRS scandal, which was not the result of murky rules or bureaucratic incompetence but rather of what gives every indication of being deliberate misuse of federal investigatory resources for partisan political ends. That there have not been criminal charges in this matter is probably at least as much a reflection of the highly politicized Department of Justice under Eric Holder as it is of the facts of the case. The problem, then, is that both the IRS plan and the Camp plan assume that the IRS ought to be regulating rather than being regulated.

The article points out the in America, the government is prohibited from regulating free speech–yet that is exactly what the IRS has tried to do since the Supreme Court’s Citizens United Decision.

The article at National Review Online reminds us:

No rule change from the IRS — nor Representative Camp’s well-intentioned but wholly inadequate reforms, which amount to a list of minor no-nos such as inquiring about an audit target’s political or religious beliefs — is going to change the fact that the agency is full of highly partisan bureaucrats with a political agenda of their own and an inclination to abuse such police powers as are entrusted to them.

The article concludes with comments about Representative David Camp’s proposal to fix the IRS:

But his proposal falls short in that it assumes that the IRS is a proper and desirable regulator of political speech. It is not. It is not even particularly admirable in its execution of its legitimate mission, the collection of revenue: Its employees have committed felonies in releasing the confidential tax information of such political enemies as the National Organization for Marriage and Mitt Romney, and the agency itself has perversely interpreted federal privacy rules as protecting the criminal leakers at the IRS rather than the victims of their crimes. The Camp bill, thankfully, would address at least that much, but it would still leave the IRS in charge of determining whether its employees were playing politics with audits and decisions. The IRS does not inspire confidence as a practitioner of self-regulation, much less as a regulator of political speech.

We need honest people in Washington. Until we have that, I am not convinced that any amount of laws will make a difference.

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The Timeline Of The IRS Scandal

This article has two sources, an article posted in the Wall Street Journal yesterday and an article posted by Scott Johnson at Power Line today. Both articles printed the timeline of events surrounding the IRS’s attempt to curtail the free speech of groups that opposed the Obama Administration.

One of the most telling events on the timeline is from the Wall Street Journal article:

• Feb. 11, 2010: Sen. Chuck Schumer (D., N.Y.) says he will introduce legislation known as the Disclose Act to place new restrictions on some political activity by corporations and force more public disclosure of contributions to 501(c)(4) organizations. Mr. Schumer says the bill is intended to “embarrass companies” out of exercising the rights recognized in Citizens United. “The deterrent effect should not be underestimated,” he said.

All of this was in response to the Supreme Court decision in the Citizens United case, which allowed corporations to make political donations. This ruling finally leveled the playing field–the unions had been contributing massive amounts of money to political campaigns for years. (See rightwinggranny.com). The actions of the IRS were an attempt to undo the leveling of the playing field that occurred with the Citizens United decision.

Please follow one of the links above to see the timeline. It paints a picture of a genuine attempt to limit free speech in America.

The President may or may not have given any direct orders regarding the use of the IRS to limit free speech, but the ending paragraph of the Wall Street Journal article truly sums up what happened:

In 1170, King Henry II is said to have cried out, on hearing of the latest actions of the Archbishop of Canterbury, “Will no one rid me of this turbulent priest?” Four knights then murdered the archbishop. Many in the U.S. media still willfully refuse to see anything connecting the murder of the archbishop to any actions or abuse of power by the king.

Unfortunately we are dealing with a President who chooses to act more like a king than a president.

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I Guess Practicing What You Preach Is Just Not In Style Anymore

We have heard a lot of Democrats protesting the Citizens United ruling by the Supreme Court and also demanding that all groups making political donations be required to name their donors.

Breitbart.com reported yesterday:

Open Secrets describes “dark money organizations” as “501(c)(4) and 501(c)(6) nonprofits that don’t have to disclose their donors.” Democrats have tried unsuccessfully to pass the DISCLOSE Act, which would “require unions, nonprofits and corporate interest groups that spend $10,000 or more during an election cycle to disclose donors who give $10,000 or more.”

Open Secrets posted two interesting graphs yesterday: saveddarkmoney2

darkmoneyConsidering that the IRS targeted conservative groups and asked them to reveal their donors (which is against the law), I find this graph very interesting. Maybe they were targeting the wrong people.

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