Note, Sharing Political Data: A Multi-Million Dollar Campaign Finance Loophole
51 Pages Posted: 15 Dec 2018
Date Written: 2018
Personal data is a commodity, frequently bought, sold, and traded on the open market by for-profit corporations. It is now commonplace for political campaigns to synthesize large amounts of personal data to tailor messaging to particular individuals for persuasion, turnout, and fundraising. As campaigns and other political organizations use data in increasingly sophisticated ways, they have also dramatically increased their data collection and transfer efforts. However, this Note explores how federal election laws and regulations have not evolved to keep pace with these developments, creating a loophole through which unlimited money can flow to campaigns.
This Note argues that campaign data should be regulated like any other campaign asset. Federal political campaigns are subject to strict contribution limits as well as a comprehensive disclosure regime. Current Federal Election Commission (FEC) advisory opinions and agency inaction have allowed campaigns to receive valuable personal data for practically no cost, even from organizations like Super PACs that are otherwise prohibited from making contributions to campaigns. Perhaps even more troubling is that these contributions are also not subject to the disclosure requirements that form the back-bone of the federal campaign finance system. The transfer of this class of assets is subject to neither meaningful restrictions nor public scrutiny. This paper proposes several simple regulatory changes to close existing campaign finance loopholes, all of which could be adopted by an affirmative vote of four FEC Commissioners.
Keywords: campaign finance, political data, voter information, list swap, coordination, super PAC
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