In 1976, the Supreme Court made a big decision in the case of Buckley v. Valeo.
This decision changed how money is used in politics and gave more power to wealthy donors. Since then, new laws and rulings have made it easier for money to influence elections, often leaving regular people with less of a say.
What Happened in Buckley v. Valeo?
The court made two important rules:
- People could only give a certain amount of money directly to candidates to prevent corruption.
- However, spending money independently to support or oppose a candidate is considered free speech and can’t be limited.
This ruling opened the door for wealthy individuals and organizations to spend huge amounts of money on elections, as long as they didn’t coordinate directly with candidates.
Key Changes Over the Years
Here’s how campaign finance laws have changed since Buckley v. Valeo:
- 1979: Soft Money Introduced
Political parties were allowed to raise unlimited “soft money” for general activities, creating a loophole for corporations and unions to indirectly influence elections.
- 2002: Bipartisan Campaign Reform Act (BCRA)
Also known as the McCain-Feingold Act, this law banned soft money and set rules for ads funded by corporations and unions near elections.
- 2010: Citizens United v. FEC
The Supreme Court ruled that corporations and unions can spend unlimited money on independent political ads. This led to the rise of Super PACs, which can spend millions on campaigns.
- 2014: McCutcheon v. FEC
Limits on how much a person could donate overall to candidates and parties were removed, allowing wealthy donors to support more campaigns.
- 2020: Record Election Spending
Over $14 billion was spent in the 2020 elections, with much of the money coming from Super PACs and anonymous sources.
- 2022: Candidate Loan Repayments
The Supreme Court struck down a rule limiting how much candidates could repay themselves with post-election donations. Now, candidates can use more campaign funds to pay off personal loans.
- 2023: Regulating AI in Campaign Ads
The Federal Election Commission (FEC) started discussing rules for AI-generated political ads but hasn’t decided if it can regulate them yet.
- 2025: Continued Use of Dark Money
Political spending by nonprofit organizations that don’t disclose their donors, known as dark money, remains a growing issue. Efforts to increase transparency are ongoing, but no major federal changes have been made so far.
Recent Federal and State Changes
Federal Changes
- Candidate Loan Repayments (2022)
The Supreme Court struck down a rule limiting how much money candidates could repay themselves with post-election donations. Now, candidates can use more post-election contributions to repay personal loans.
- Regulating AI in Campaign Ads (2023)
The Federal Election Commission (FEC) started discussing rules for AI-generated political ads but hasn’t decided if it can regulate them yet.
- Higher Contribution Limits
- Individuals can now give up to $2,900 per election to federal candidates.
- Party contribution limits were raised to $109,500 for special accounts.
State Changes
- California’s AB 571 (2021)
This law set default limits for campaign contributions in cities and counties without existing rules. The limit is $5,500 per election.
- Mandatory Electronic Filing
States like New Jersey, Virginia, and Indiana now require campaigns to file finance reports online.
- Expanded Campaign Fund Use
- Maryland allows campaign funds for newsletters.
- New Jersey permits child care expenses for candidates.
- Louisiana lets officeholders use campaign funds to pay off loans after leaving office.
- Adjusting for Inflation
States like Arizona and Illinois now automatically adjust contribution limits based on inflation.
Why This Matters
These changes have made it harder for regular people to compete with wealthy donors in politics:
- More Power for the Wealthy: Rich individuals and corporations have more influence, while average voters feel left out.
- Less Transparency: Some donations come from anonymous sources, so voters don’t know who is funding campaigns.
- Challenges for Grassroots Candidates: Candidates without wealthy backers struggle to compete in expensive elections.
A Path to Fair Elections
Fixing campaign finance laws is key to making elections fair. Groups like The 75 are working to pass a constitutional amendment to limit the influence of money in politics. They support ideas like:
- Public funding for campaigns.
- Clear rules to reveal who donates money.
- Stronger enforcement of existing laws.
As we approach the 50th anniversary of Buckley v. Valeo, it’s time to reflect on how money has changed politics and work toward a system that gives everyone an equal voice.
