Litigation

New Disclosure Rule Adopted in WI

By Peter Hardin

Corporations and labor unions in Wisconsin will be required to disclose their political expenditures this fall under an emergency rule adopted by the Government Accountability Board.

The rule does not require complete disclosure of the original funding for political advertising, however, according to a Bloomberg article.

The groups will be required to disclose “contributions,” defined under state law as donations given for a political purpose. A loophole will permit corporations and unions to give money to trade associations and nonprofit groups to influence elections while their roles are not disclosed, said Mike McCabe of the Wisconsin Democracy Campaign, a watchdog group.

“This rule would be a significant step forward, but it’s not the quantum leap forward that needs to be achieved,” McCabe said. Wisconsin Democracy Campaign is a partner of Justice at Stake.

The rule is a response to a U.S. Supreme Court ruling that permits unlimited spending by corporations and labor unions to support or oppose political candidates, an Associated Press report said. That ruling came in Citizens United v. Federal Election Commission, which has led many states to consider revising disclosure rules for corporate political spending.

You can learn about other states weighing new disclosure rules from Gavel Grab.

Full post as published by The Gavel on May 12, 2010 (boomark / email).