FEC Proposes New Definition of "Coordination" With Candidates

Last week the FEC proposed new rules to define when communications with a federal candidate, a campaign, party or their agent, may turn an otherwise independent expenditure into an in-kind campaign contribution. Since corporations, including nonprofits, are prohibited from making contributions to federal candidates, the regulatory definition of “coordination” could impact any group that interacts with public officials or community leaders that are also federal candidates and communicates with the public about issues that involve them.

The proposed rule implements the Bipartisan Campaign Reform Act of 2002, which requires the FEC to write tougher rules in this area. A three-part test would consider an expense to be coordinated if it is paid for by someone other than a candidate or campaign and meets standards relating to content and the interactions between the candidate and group or person paying for it. The Commission asks for comment on alternative content and interaction standards.

The 130-page proposed rule also addresses disclosure requirements for political committees and groups that qualify to make independent campaign expenditures, so that coordinated communications are reported to the FEC. Transactions between candidates and parties are also covered.

Comments are due October 11, 2002. The FEC is encouraging electronic submission of comments at BCRAcoord@fec.gov. Email commentors must include their full name, email address and post office address. A public hearing on the proposed rules will be held on October 23-24.





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