AO 2005-12: Fundraising and spending by a federal candidate/officeholder for his nonfederal exploratory committee

U.S. Representative Fattah may raise and spend funds for his potential mayoral campaign that exceed the Act's contribution limits. The funds must only be raised and spent for activities that refer to his candidacy for mayor of Philadelphia and/or others seeking that office and the amounts and sources of the funds must be consistent with state law.

Background

Generally, under the Act, federal candidates and officeholders, their agents and any entities directly or indirectly established, financed, maintained or controlled by a federal candidate/officeholder can only solicit, receive, direct, transfer, spend or disburse funds in connection with a nonfederal election if those funds are consistent with the limits and prohibitions of the Act and also comply with state law. However, the Act provides a limited exception from this requirement for federal candidates and officeholders who are also state or local candidates and are raising and spending funds solely in connection with their own nonfederal campaigns. 2 U.S.C. §§441i(e)(1)(B) and 441i(e)(2); 11 CFR 300.62 and 300.63.

Analysis

Representative Fattah is both a federal officeholder and a federal candidate seeking reelection to the House from the Second Congressional District of Pennsylvania in 2006. Although Representative Fattah does not plan to formally announce his candidacy for mayor until after the November 2006 Congressional election, he does intend to establish an exploratory committee for the mayoral election prior to that time. As part of that exploratory effort, he intends to raise and spend funds that are in excess of the amount limits contained in the Act. The funds would be raised and spent "exclusively in connection with his potential candidacy for mayor and would not, in any way, be used in connection with any candidacy for federal office" nor used "in any way to influence any election other than that of Representative Fattah's potential candidacy for mayor of Philadelphia."

Representative Fattah and his exploratory committee's fundraising are covered by the exception contained in 2 U.S.C. §441i(e)(2). Accordingly, once his mayoral exploratory committee is established, Representative Fattah and his exploratory committee may raise and spend funds in excess of the amount limits contained in the Act exclusively in connection with his candidacy for mayor of Philadelphia, so long as their activities refer only to Representative Fattah as a candidate for mayor of Philadelphia, to other candidates for that same office, or both, and so long as the amounts and sources of the funds are consistent with state law. See AO 2003-32, 2005-2 and 2005-05.

AO 2005-12; Date issued: September 22, 2005; Length: 5 pages