The FEC made public today two advisory opinions, AO 2012-26 (m-Qube II) and 2012-28 (CTIA), that clarify the permissibility of political contributions via text message.  Though the FEC gave general approval to text message contributing in AO 2012-17 (m-Qube I), campaigns and service providers sought additional guidance from the FEC to ensure compliance with the Act.  After these two advisory opinions, it is likely that we will see text message political contribution programs start to appear soon.

The two new advisory opinions clarify the following points:

  • Political committees, rather than service providers or the Wireless Association (CTIA), are responsible for determining the eligibility of contributors, as well as monitoring compliance with the recordkeeping and reporting safeguards and requirements described in the proposed process.  This conclusion is due, in part, to the requestors’ decision to limit text message contributions to $50.  Contributions above that amount would place additional responsibilities on vendors that forward contributions to political committees, an issue that will be addressed in a separate advisory opinion request that we blogged about here.
  • Discounts on text message contribution services offered to political committees in the ordinary course of business will not result in prohibited in-kind corporate contributions.
  • Vendors may apply “objective and commercially reasonable” eligibility requirements when offering services to political committees.  This is the case even if it results in the service being provided to some political committees and not others.
Tags: advisory opinion, campaign finance, FEC, text message contributions
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Photo of Derek Lawlor Derek Lawlor

Derek Lawlor is of counsel in the firm’s Election and Political Law Practice Group. Derek advises corporations, nonprofit organizations, and trade associations on compliance with federal and state lobbying, campaign finance, and government ethics laws.

Clients regularly rely on Derek to assist with…

Derek Lawlor is of counsel in the firm’s Election and Political Law Practice Group. Derek advises corporations, nonprofit organizations, and trade associations on compliance with federal and state lobbying, campaign finance, and government ethics laws.

Clients regularly rely on Derek to assist with their complex questions related to activities and projects that implicate all of these laws. Derek advises federal and state candidates and super PACs on campaign finance and disclosure issues. Derek also represents clients in government investigations and inquiries conducted by the Federal Election Commission, Office of Congressional Ethics, and Congressional Committees and Commissions.

Derek’s representation of clients covers the full range of important political law issues that they face, including:

  • Advising clients on their registration and reporting obligations under the federal Lobbying Disclosure Act, as well as state and local lobbying laws, including helping client organizations evaluate the core questions that arise in this space:
    • Has the organization or any of its employees triggered lobbying registration requirements?
    • What lobbying income, expenditures, issues, or contacts need to be disclosed on lobbying reports?
    • Does procurement or sales activity directed at governmental entities trigger lobbying registration in a particular jurisdiction?
    • What are the best practices for designing a lobbying compliance program?
  • Assisting corporations and trade associations with the establishment and operation of connected PACs, which frequently entails evaluating the following questions:
    • What steps does the organization need to take to start up and register a connected PAC?
    • What are the ongoing reporting requirements under the Federal Election Campaign Act (“FECA”) or state campaign finance laws?
    • Which employees can the organization solicit and what are the rules on conducting a solicitation campaign?
    • What are the limits on making contributions to federal, state, or local candidates, party committees, or other political committees?
    • What are the best practices for designing a PAC compliance program?
  • Evaluating whether a client’s proposed activities might trigger registration under the Foreign Agents Registration Act (“FARA”), and if so, advising on registration and ongoing reporting obligations;
  • Advising federal and state candidates, super PACs, and other political committees on compliance with FECA, FEC regulations and reporting requirements, state campaign finance laws, rules on disclaimers placed on communications, and other political law compliance topics;
  • Counseling individuals who are entering government service, including Senate-confirmed positions, on the various financial disclosure requirements, conflicts of interest considerations, and other ethics law issues they may face;
  • Helping clients establish politically active or policy-focused nonprofit organizations, and proving ongoing support related to tax and political law issues that might arise from their activities; and
  • Advising corporations, nonprofits, and individuals on their proposed donations to candidates, political committees, and other politically active outside groups.

Derek is a Professorial Lecturer in Law at the George Washington University Law School.

Prior to receiving his law degree, Derek worked in the Office of General Counsel at the U.S. House of Representatives.

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