Party financial activity (2006)

Between January 1, 2005, and December 31, 2006, federal committees of the two major political parties raised and spent nearly $1.1 billion. Republican national, state and local party committees raised $602.3 million in federally permissible “hard money” during 2005- 2006. Democratic party receipts totaled $483.1 million for the same period. Compared to 2002, the last election cycle without a Presidential election, Democratic receipts more than doubled and Republican receipts increased by 42 percent.

The national committees’ fundraising totals nearly equaled the 2002 election cycle totals, which was the last year that national party committees could raise “soft money.” National party committees are now restricted to only federal “hard money” contributions. For the 2005-2006 cycle, individuals could contribute up to $26,700 to a national party committee and multicandidate PACs could contribute up to $15,000. Contributions from corporations and labor organizations are prohibited.

Party spending also increased substantially in 2006. Democratic party committees reported making $108.1 million in independent expenditures, with the Democratic Congressional Campaign Committee making $64.1 million of those expenditures on House candidates. Republican party committees reported $115.6 million in independent expenditures with the National Republican Campaign Committee making $82.1 million of the total expenditures. Independent expenditures advocate the election or defeat of a federal candidate but are not coordinated with the candidate’s campaign. According to the committees’ reports, approximately 85 percent of the independent expenditures made by both national parties advocated the defeat of opposing candidates.

Democratic committees spent $20.7 million on coordinated expenditures while Republican committees spent $14.2 million. Coordinated expenditures, unlike independent expenditures, are subject to limitations.

Additional information on party committee activity is available in a press release dated March 7, 2007. The release includes detailed tables showing the sources of receipts for national party committees and financial overviews for national and state/local committees of the two major parties for the 2005-2006. Transfers from national to state parties are listed by state, as well as transfers from campaigns to parties. The press release is available on the FEC web site.