Burnt Orange Report

"Makeover" Proposed For Corporate Campaign Giving Laws

By Vince Leibowitz

A bi-partisan bill to prevent union and corporate money from being used in attack ads launched within 60 days of a general election--and require the disclosure of contributors to last-minute attacks--has recieved a warm welcome from watchdog groups but a lukewarm reception from some state officials, the Houston Chronicle reports.

The measure is sponsored by Rep. Craig Eiland (D-Galveston) and Rep. Todd Smith (R-Bedford), who say the bill will bring Texas law more in harmony with federal election laws.

The Chronicle notes Campaigns for People, Public Citizen, the AARP of Texas and other groups are already on record praising the proposal, including a lobbyist for the Baptist General Convention of Texas. [I had no idea the Baptist General Convention of Texas had lobbyists.]

The Chron notes:

The legislation would not eliminate issue ads that corporations buy, such as those by telephone companies seeking passage of a certain telecommunications bill in the Legislature. It also would not limit individual campaign donations to state campaigns, as some public interest organizations have sought. Limitation of Texas campaign contributions is a separate policy debate, Eiland said.

"We can't solve all the problems. We'll have a hard enough time trying to get this bill passed as it is," Eiland said.

Among the obstacles, he said, could be opposition from corporations who want to keep donating company money to politics instead of personal or political action committee money.

The ban on last-minute attack ads using the prohibited money would apply to electioneering that refers clearly to a candidate within 60 days of a general election or 30 days of a primary and that targets the candidate's electorate. It would cover broadcast ads, mass mailings and telephone banks.

Now, ads are permitted if they don't use so-called magic words asking citizens to vote expressly "for" or "against" a candidate.

On a particularly interesting note, Smith says the legislation will cover the various types of ads aired in the Senate District 1 Special Election last spring, in which Rep. Tommy Merritt (R-Longview) was targeted as he ran against former Tyler Mayor and now State Senator Kevin Eltife (R-Tyler).

Merritt was attacked with "radio ads before the election from undisclosed corporate funds, Smith said. The ads asked listeners to call Merritt's office, not to vote against him."

Twenty-six other states have a ban on corporate and union campaign spending, Eiland said. Though Texas has one, the lawmakers evidently believe it needs clarification, though they aren't trying to impact or comment on a Travis County grand jury investigation into campaign spending in 2002 state legislative races and that their proposed law would only affect future elections.

Prosecutors are examining whether $2.5 million in corporate money was illegally funneled to Republican state House candidates.

Under the proposed legislation, non-administrative employees of companies could not be asked more than twice a year about donating to a corporation's political action committee.

Also, corporate money for PACs could be used only for specific administrative expenses, such as office space, computers and telephones. Disallowed expenses would include political consulting fees, telephone banks and political fundraising--some of the areas Texans for a Republican Majority tried to claim were "administrative" during the 2002 election.

The bill got mixed reception from the leadership in both chambers and from Perry.

House Speaker Tom Craddick (R-Midland, said he wasn't supporting or opposing the campaign finance bill. However, he said he believes there are problems with interpretations of the existing law.

Sen. Juan "Chuy" Hinojosa (D-McAllen) and Sen. Robert Duncan (R-Lubbock) are backing the proposal in the Senate, ahtough Lt. Gov. David Dewhurst said he doesn't think a tightened ban on corporate and labor spending is needed.

And, even if the bill passes, Governor Perry could veto it. Perry spokesman Robert Black said the governor will take a "wait-and-see approach," but that he has always favored increased campaign disclosure.