logo logo
Donate
    • Membership
    • Donate
  • Social Justice
    • Racial Justice
    • Climate Justice
    • Disability Justice
    • Economic Justice
    • Health Justice
    • Immigration
    • LGBTQ+
  • Civic News
  • Nonprofit Leadership
    • Board Governance
    • Equity-Centered Management
    • Finances
    • Fundraising
    • Human Resources
    • Organizational Culture
    • Philanthropy
    • Power Dynamics
    • Strategic Planning
    • Technology
  • CONTENT TYPES
  • Leading Edge Membership
  • Newsletters
  • Webinars

Our Unwell Campaign Finance System

Rick Cohen
November 5, 2010

November 2, 2010; Source: Lincoln Times |This op-ed by a John Locke Foundation analyst outlines several problems as seen by conservatives regarding the Democrats’ proposal for enhanced disclosure of donations to 501(c)(4) social welfare organizations engaged in electioneering communications.

Citing the arguments of a professor from George Mason University, the writer suggests that the disclosure requirements would lead to harassment of donors, overwhelm the IRS with “a sea of junk,” lead to rules that would require all disclosure of donors to tax exempt organizations, lead to a divergence between IRS and FEC rules and standards, mandate disclosure of 501(c)(4) donors who only contributed to the (c)(4)s’ “social welfare” activities, lead to the IRS regulating political speech, and lead to some (c)(4)s transforming into 527 organizations. Phew! That’s quite a long laundry list of problems that would ensue if Congress passed the DISCLOSE Act.

Sign up for our free newsletters

Subscribe to NPQ's newsletters to have our top stories delivered directly to your inbox.

By signing up, you agree to our privacy policy and terms of use, and to receive messages from NPQ and our partners.

In one way, it is useful to see an underlying point, that when public policy affects systems, systems react with intended and sometimes unintended consequences (see the op-ed writer’s point about regulated (c)(4)s becoming 527s, etc.). But it also suggests that the system of campaign fundraising is seriously off-kilter, that the legislated fixes in recent years such as the McCain-Feingold law haven’t worked (ask Feingold who saw tons of anonymous money flood into Wisconsin aiming for his defeat), and nothing but a comprehensive overhaul is going to really have a chance of working.

The op-ed writer would probably choose to leave well enough alone and not regulate further. Others might say that well enough isn’t particularly well at all for our country’s political system. Leaving elections to the influence of anonymous, unregulated money flooding 501(c)(4)s takes the nonprofit sector and the nation down a path that won’t make politics “well” at all.—Rick Cohen

About the author
Rick Cohen

Rick joined NPQ in 2006, after almost eight years as the executive director of the National Committee for Responsive Philanthropy (NCRP). Before that he played various roles as a community worker and advisor to others doing community work. He also worked in government. Cohen pursued investigative and analytical articles, advocated for increased philanthropic giving and access for disenfranchised constituencies, and promoted increased philanthropic and nonprofit accountability.

More about: Nonprofit News

Our Voices Are Our Power.

Journalism, nonprofits, and multiracial democracy are under attack. At NPQ, we fight back by sharing stories and essential insights from nonprofit leaders and workers—and we pay every contributor.

Can you help us protect nonprofit voices?

Your support keeps truth alive when it matters most.
Every single dollar makes a difference.

Donate now
logo logo logo logo logo
See comments

You might also like
Summer Camp in a Climate-Changed World
Alison Stine
Resisting Authoritarianism: How to Activate Civil Society’s Pillars of Support
Adam Fefer
Trust in Nonprofits Holds Strong Despite Political Attacks
Ted Siefer
IRS Weakens Johnson Amendment—Nonprofits Push Back
Isaiah Thompson
Get Funds Flowing: Lessons from the Boston Foundation
Candace Burton
Amid Heatwaves, a Growing Concern Rises About Data Centers
Rebekah Barber

Upcoming Webinars

Group Created with Sketch.
July 24th, 2:00 pm ET

Organizing in Divided Times

The Relational Infrastructure We Need to Protect Democracy

Register
Group Created with Sketch.
September 24th-25th, 2:00 pm ET

Advanced QuickBooks for Nonprofits

Expert Guidance for Experienced QuickBooks Users

Register

    
You might also like
US Capitol Building
Trump Budget Bill Spells Trouble for Nonprofits
Isaiah Thompson
A group of about two dozen students, many wearing blue shirts, walk in the rain in front of the US House of Representatives.
How Nonprofits and Activists Can Oppose Trump’s “Big...
Matthew Rozsa
Conservatives Attack Nonprofits on Capitol Hill
Isaiah Thompson

Like what you see?

Subscribe to the NPQ newsletter to have our top stories delivered directly to your inbox.

See our newsletters

By signing up, you agree to our privacy policy and terms of use, and to receive messages from NPQ and our partners.

  • About
  • Advertise
  • Careers
  • Contact
  • Copyright
  • Donate
  • Editorial Policy
  • Funders
  • Submissions

We are using cookies to give you the best experience on our website.

 

Non Profit News | Nonprofit Quarterly
Powered by  GDPR Cookie Compliance
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

Strictly Necessary Cookies

Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.

If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.