What is the role of Political Action Committees (PACs)?
- Intro. Definition of PACs – a separate campaign fund of a p.g. or a fund of a group formed primarily for the purpose of giving money to candidates. They are non – party organisations, although some do give to parties as well as individual candidates.
- Early History. First PAC established by unions in the 1940’s. 1963 Business Industry PAC, followed later by AMPAC (AMA) to fight “socialised medicine”.
- 1971 FECA and Amendments of 1974. Big spur to PACs. After Watergate era (Fat Cats giving money to Nixon) individual donations limited, but PACs were not limited in the total level of giving (just $5000 to any single campaign). This gets round the legal limits on direct contributions to candidates. PACs can receive such finance provided no single donation is above $5000.
- 1975 Sun Oil Case. Federal Elections Commission ruled that corporate PACs were legal.
- 1976 Buckley v. Valeo. Supreme Court ruled that PACs could provide “independent expenditures” made on behalf of a candidate.
- PAC Growth. 1975 – 608 PACs. Now nearly 5000. In 1972 $19.1 m given to congressional candidates, by 1996 $243m.
- Types. 1) Labour (union), corporate, professional associations. Connected to their parent body e.g. AFL – CIO