New Bill to Regulate Independent PACs Introduced

On Feb. 2, seeking to act before the 2006 congressional campaigns get underway, sponsors of the Bipartisan Campaign Reform Act of 2002 (BCRA) announced the introduction of a new bill aimed at regulating independent political committees. The 527 Reform Act of 2005, S. 271, specifically targets groups exempt under Section 527 of the tax code, so that charities and other groups exempt under Section 501(c) that focus on issues, not candidates, would not be impacted.

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IRS Clarifies Rules for Foundation Funding for Lobbying

A recent letter from the Internal Revenue Service to the Washington, DC-based nonprofit, Charity Lobbying in the Public Interest, sheds light on the rules that govern private foundation lobbying. CLPI had requested that the IRS answer a series of questions aimed at clarifying the law on foundation support of nonprofits that engage in lobbying. The response from the IRS dispels the misperception that foundation funding of nonprofits that lobby is inappropriate and illegal.

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NAACP Says IRS Summons Illegal, Politically Motivated

On Jan. 27, the National Association for the Advancement of Colored People declined to respond to a summons from the Internal Revenue Service in an audit based on charges of illegal partisan activity. The NAACP said the IRS did not follow proper procedures and the agency’s actions are politically motivated. The IRS denied its motives are political and referred the allegation to the Treasury Department’s Inspector General for Tax Administration. The audit is unusual because it is based on NAACP Chairman Julian Bond’s July 2004 convention speech that criticized Bush administration policies.

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New Website Promotes Sunshine Week March 13

The Sunshine Week project debuted a new website this week, sunshineweek.org, that offers a number of resources and tools to journalists and others looking to cover or participate in this year’s activities. The intent of Sunshine Week is to highlight the importance of open government through news stories and other media during the week of March 13. Reporters and editors can find at the website an array of op-eds, story ideas, reports, links to participating groups nationwide, and other resources.

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Freedom of Information Far From Free

The Justice Department has informed the People for the American Way (PFAW) that responding to the group’s Freedom of Information Act (FOIA) request for all records related to the decision to seal the records of immigrants detained in the wake of the 9/11 terrorist attacks will cost nearly $400,000. The unusually large price tag appears to be the agency’s latest move in an ongoing struggle to withhold the information.

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D.C. Council Passes Bill to Reroute Hazardous Materials

Last week, the City Council of Washington, DC, voted 10–1, with one abstention, to enact emergency legislation requiring rail companies to reroute hazardous cargo around the city. This legislation, “Terrorism Prevention in Hazardous Materials Transportation Emergency Act of 2005,” will make Washington the first city in the nation requiring companies to route hazardous cargo shipments away from population centers. The bill now only needs D.C. Mayor Anthony Williams’ signature.

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Republican Policy Committee Attempts to Bolster Data Quality Act

The Senate Republican Policy Committee (RPC) appears to be preparing for a battle over the Data Quality Act (DQA), as it recently released a very slanted background document that praises the law’s benefits and attempts to bolster its legitimacy.

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Center for American Progress Progressive Tax Plan

On Jan. 31, the Center for American Progress unveiled its progressive tax plan, titled “A Fair and Simple Tax System for Our Future: A Progressive Approach to Tax Reform.” This comprehensive plan provides an alternate vision for tax reform based on the themes of fairness, simplicity, and opportunity through tax policy. The release of this plan is part of a broader Progressive Policy Series the Center is publishing aimed at outlining responsible policy proposals and proposing steps lawmakers can take to enact them.

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Bush Makes Social Security Centerpiece of State of the Union

When President Bush addressed Congress and the nation on the evening of Feb. 2, he devoted much of his address to his proposed changes to Social Security, yet declined to provide the American people with details regarding exactly which reforms he plans to pursue. Many believe this strategy is to avoid what President Clinton faced when he tried to reform health care a decade ago. Clinton had submitted a heavily detailed proposal to members of Congress, who were then able to pick it apart and subsequently defeat it.

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CBO’s Reduced Deficit Projections Mislead

Last week, the Congressional Budget Office (CBO) released an updated Budget and Economic Outlook with new 10-year deficit projections for 2006–2015. The report estimated 10-year deficits to have dropped from $2.3 trillion to $1.4 trillion since last September, a 39 percent decrease. These conclusions, however, are very misleading.

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