Political Action Committee

A political action committee is a political committee that is set up specifically for raising and spending money to advocate the election of candidates, and the defeat of others. Political Action Committees or PACs will normally represent the political interests of businesses, labour unions or simply ideological beliefs. As with individuals they are governed by strict rules on the amount of money that can be donated to them, and how much they can donate to campaigns and candidates.

FEC Rules for Political Action Committees

Political Action Committees must register with the Federal Election Commission shortly after being set up and disclose details such as the Treasurer of the PAC, and its registered address. PACs are subject to strict finance rules which are as follows:

• $5000 donation from individuals

PACs however are still subject to spending restrictions

• $5000 per election to a Candidate Committee
• $5000 to another PAC
• $5000 to State Party Committees
• $15000 to a National Party

Political Action Committees were first introduced in 1944 with the formation of a PAC to raise money to ensure the re-election of Franklin D Roosevelt. Congressmen and women will use PACs to establish a support base which they can then ‘tap’ if they choose to seek higher office. These PACs tend to be referred to as Leadership PACs.

For 2015-16 the Top PACs are:

• Honeywell International PAC $1,265,747
• Lockheed Martin PAC $1,068,000
• AT&T Inc PAC $878,750