Union Bailout Explained
House Administration Releases Chart Explaining How the DISCLOSE Act Exempts Unions from Major Campaign Finance Restrictions
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Everyone Else |
Unions
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Under Section 101(a): Government Contracts |
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Banned from engaging in political speech if in a contractual relationship with the federal government to deliver goods or services |
Free to spend unlimited amounts of money to support Congressional candidates despite contractual relationships with the federal government concerning collective bargaining terms
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Under Section 101(b): TARP Recipients |
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Banned from engaging in political speech if recipient of TARP funds |
Free to spend unlimited amounts of money to support Congressional candidates despite representing and receiving dues from employees whose employer is a TARP recipient
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Under Section 102: Foreign Nationals |
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Forced to determine the nationality of every shareholder (direct or indirect) to determine whether at least 80% are U.S. citizens, or banned from political speech |
May spend unlimited amounts of money on political speech without regard to whether any dues are derived from non-citizens (including those not legally in the U.S.)
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Forced to go through a lengthy certification process to certify, under penalty of perjury, the company’s eligibility to spend money on political speech
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Free to spend unlimited amounts of money on political speech without any prior certification |
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Under Section 211: Reporting Requirements |
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Required to report sources of income over $600 to the FEC if engaging in political speech |
Exempt from income reporting requirements because average annual dues are approximately $400 per member; even exempt from reporting transfers from affiliated unions up to $50,000
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Under Section 214: Stand by Your Ad |
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Required to include additional disclaimers in political advertisements identifying any source of income greater than $100,000 |
Exempt from additional disclaimer requirements since members’ individual dues will not exceed $100,000
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For more information, please contact the Committee press office at (202) 225-8281.
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