Details of the IRS scheme to
target tea party and patriot groups are emerging, and the scandal is
manifesting itself in the Texas Legislature.
An influential conservative
activist claims that a bill passed this week is further persecution. But if the
transparency legislation were adopted nationally, it might stem the rise of political non-profits the IRS is screening – both liberal and
conservative.
The Texas House this week
sent Senate Bill 346 to Gov. Rick Perry for his signature, prompting howls from
activist Michael Quinn Sullivan that it was further persecution of movement
conservatives.
“With the national media finally
catching on to the harassment of tea party organizations and conservative
groups by the Obama administration's IRS, state reporters are busily looking the other way at
an attempt by State Sen. Kel Seliger (R-Amarillo) and State Rep. Charlie Geren (R-Fort Worth) to do the same thing
under the auspices of the Texas Ethics Commission,” Sullivan wrote Monday on
the website of the organization he runs, Empower Texans.
Proponents of SB 346, however, say the
bill is not intended to persecute anybody. In floor debate on Monday, Geren
said the bill is intended to provide transparency – an oft-overlooked
priority of the U.S. Supreme Court’s 2010 decision, Citizens United vs. Federal
Election Commission.
In its ruling, the high court said that
caps on independent political expenditures are unconstitutional. But it also
said that it’s essential for the public to know who’s paying for political
speech so it can evaluate the validity of that speech.
SB 346 would require non-profit groups
that contribute more than $25,000 to political campaigns in a six-month period
to disclose the names of donors who gave $1,000 or more during the same period.
It exempts labor unions – a provision Geren said he doesn’t like, but added
that everybody knows where that money comes from, membership dues.
In the wake of the Citizen’s United
ruling, money has flooded into 501(c)4’s, non-profit “social-welfare”
organizations that are allowed to participate in politics on a limited basis.
The limits are vague, and workers in the
IRS’s Cincinnati office were evaluating whether groups applying for 501(c)4 status were within them. They singled out groups with conservative-sounding names for
special scrutiny in the form of follow-up questionnaires and other hurdles.
Who came up with that horrific idea,
and how high its approval goes in the Obama administration will define the size
of the coming political scandal.
But getting to the bottom of it might
leave unaddressed a big reason for the onrush of 501(c)4 applications in the
first place: they give people with lots of money a way to contribute and keep
their identities secret.
Geren said that in Texas, $600,000 in
such money was contributed in the last two years – a little more from liberal
groups than conservative ones. There was broad agreement Monday that without SB
346, that amount will grow rapidly.
Sullivan calls the Texas Ethics Commission
the “Unethical Commission” and says Geren, Seliger and their allies use it to
“harass political opponents.” But Sullivan offers nothing to support the claim.
The commission website does allow the
public to quickly determine which officials received money from political
groups, including Sullivan’s Empower Texans.
Since Sullivan and his group have formed a political-action committee,
they're required to disclose where their money comes from. SB 346 will make 501(c)4s that haven't formed PACs also disclose contributors' identities –
if Perry signs it.
Texas has a relatively strong
record in terms of government transparency. It might take the lead in this arena
as well.
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