Political Giving: Federal Limits for the 2007-2008 Cycle

Political giving is limited for federal races. Andrew Tobias, the Treasurer of the Democratic National Committee (DNC), explains the current limits and how to use them strategically.

   

By Andrew Tobias | Contact Andy Tobias is a generous donor to the LGBT movement and Treasurer of the Democratic National Committee and the founder of the Gay and Lesbian Leadership Council. While at Harvard College, he published Let's Go: The Student Guide To Europe. And then was vice president at the National Student Marketing Association. After Harvard Business School, he become Contributing Editor of New York Magazine, and later Esquire. He is the author of three New York Times best-sellers. His Managing Your Money software for a time dominated the personal finance category. His books include his coming out story: The Best Little Boy in the World and The Best Little Boy in the World Grows Up. He is a maverick thinker: His anti-smoking commercials have run throughout the former Soviet Union. His work on auto insurance reform led to the placement of three initiatives on the March 1996 California ballot. He has received numerous awards for his work.

There are two buckets:

Bucket #1 is for checks you write to specific federal CANDIDATES.

Bucket #2 is for checks you write to federal PARTY COMMITTEES and to POLITICAL ACTION COMMITTEES (PACs).

All this concerns FEDERAL giving only: House, Senate, White House.

None of what you contribute to state or local races (governor, mayor, state legislature, condo association) cuts into the limits of what you may give federally.

Here are the limits:

 

BUCKET #1 - FEDERAL CANDIDATES - $42,700 AGGREGATE LIMIT

For the 24-month 2007-2008 election cycle, the most any citizen (or Green Card holder) can give all candidates for federal office (House, Senate, White House) combined is $42,700.

Each partner can do that much.

> Within the $42,700, there are these limits: not more than $2,300 a year to any given primary or general election campaign. (A special "millionaire's" exemption allows larger contributions to a candidate who faces a hugely rich self-financing opponent.)

 

BUCKET #2 - FEDERAL COMMITTEES & PACS - $65,500 AGGREGATE LIMIT

For the 24-month 2007-2008 election cycle, the most any citizen (or Green Card holder) can give totals $65,500.

Again, each partner can do that much.

> Within the $65,500, there are these limits: not more than $5,000 a year to any given PAC. Not more than $28,500 a year to any given national committee. Not more than $10,000 a year to the "federal account" of a state party committee.

That's basically it. You can stop reading here. But if you have another minute, a few more thoughts:

> Bucket #1 - We urge people to direct their precious $42,700 to key races, and to support the DSCC and DCCC by funding their candidates to the max.

> Bucket #2 - The DNC deserves your consideration for these dollars because our mission is to strengthen the party generally - to help all candidates, very much including House and Senate - and to accumulate the financial strength to give our Presidential nominee the best possible chance of winning in 2008. If the White House is your top priority, you should know that it is ours, too.

> We believe in supporting our state parties! But be certain, when you do, to designate very clearly on your check or in a transmittal letter whether your gift is to their federal or their non-federal account, so you (and they) know whether it counts against the above limits.

> 527's and c4's - These groups can take unlimited amounts of your money with no effect on your federal limits. We believe they do vital work, but that they are a - slightly - lower priority for two reasons. First, because there are some special restrictions on how this so-called "soft money" can be spent, it is not as powerful as hard money. Second, 527s and c4s have at least the theoretical legal ability to accept giant sums overnight from concerned billionaires to meet emergencies. The DNC has no such safety valve. It needs, instead, a great many donors at all levels to have the resources to compete and win.

 

Check also: Advance Equality - 7 Reasons to support the DNC

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