Congresswoman Thelma Drake (R-VA) today voted to approve H.R. 513, the 527 Reform Act, which will restore fairness to campaign finance regulations by subjecting 527 organizations to the same standards adhered to by other entities that attempt to influence federal elections. Rep. Drake issued the following statement after final passage of the bill:

“When the American people are bombarded with political information during a campaign, they have a right to know who is behind that message and to hold that group accountable,” said Rep. Drake. “This legislation will increase transparency, accountability and fairness in our electoral system by closing the loophole that allows 527’s to operate under different rules than everyone else. It is important for our electoral system and for our democracy that our elections consist of fair and open debate based on ideas and not be tarnished by the guerrilla tactics of shadow organizations funded by million dollar contributors from unknown sources.”

H.R. 513 will:

• Bring 527’s – political advocacy groups so named because of their tax code designation – under the regulatory authority of the Federal Elections Commission (FEC).

• Place contribution limits on 527 donations, and allow for the same transparency of donor information that is required of candidate committees.

The Bipartisan Campaign Finance Reform Act (BCRA) of 2004 was enacted to remove soft money from federal elections. However, the law failed to place the same restrictions on 527 groups that it placed on candidates, political parties and political action committees. During the first elections under the BCRA in 2004, ninety-seven 527 groups raised $323.4 million; of that, $142 million came from twenty five individual donors.