I am writing today to announce the closure of the New Mexico Independent. After three and a half years of operation in New Mexico, the board of the American Independent News Network, has decided to shift publication of its news…
New hybrid PACs allow for unlimited corporate donations
Under a new ruling, the Federal Election Commission (FEC) will allow traditional political action committees to merge with super PACs, effectively allowing unlimited corporate contributions directly to candidates.
The ruling stipulates that PACs can open two banks accounts, one for the traditional, limited PAC, and another for the unlimited super PAC. As long as the money they receive under the two committees is not mixed, the hybrid PAC will be allowed to accept unlimited donations for their own ads and mailers while also donating and raising money for Congressional candidates.
The new rules were announced last week after the FEC lost a challenge from the National Defense PAC in Carey v. FEC. The PAC sought to use one bank account for making independent expenditures in federal elections and a separate account subject to donation limitations.
The FEC also gave guidance on disclosure rules for hybrid PACs. A new form letter will be appended to PAC registrations announcing the intention to form a hybrid PAC.
Efficient America PAC, which is in favor of energy efficiency legislation, is the first hybrid PAC formed after the Carey v. FEC ruling.