State Donors Pitch “527” Groups Record Cash
Democratic groups getting most of the Wisconsin contributions
May 29, 2008
Madison - Wisconsin business, unions and individuals have contributed a record $1.5 million in the first 15 months of the 2007-08 election cycle to unregulated groups most of which raise and spend unlimited amounts on negative advertising, mailings and other outside activities in state and national elections, a Wisconsin Democracy Campaign analysis shows.
Total Wisconsin contributions to so-called “527 groups between January 1, 2007 and March 31, 2008 shattered the previous high for a comparable period – $1.03 million between January 2005 and March 2006, and more than doubled the $729,555 contributors gave between January 2003 and March 2004 and the $718,397 contributed between January 2001 and March 2002 (see Bar Chart).
/pr052908/pr052908.gif "Chart: Total WI Contributions to 527s in 1st Five Quarters of Each Election Cycle")
The contributions from unions and businesses to 527 groups would be illegal to give directly to state and federal Wisconsin candidates because most of the contributions violate rules governing how much contributors can give and how much candidates can accept and the money comes from business and union treasuries that cannot be used for political donations to candidates.
527 groups are so named for the section of the U.S. Internal Revenue Service code that governs them, but the IRS does not regulate where they can get their contributions and how much they can accept and spend. These groups include the more popularly known GOPAC, Club for Growth, Democratic Governors Association and Progressive Majority.
Aside from the record total in Wisconsin contributions to 527s from January 2007 through March 2008, WDC also found:
- Seven 527 groups received $100,000 or more led by the Democratic Governors Association at $241,885, the Greater Wisconsin Political Fund at $230,620 and the Progressive Majority at $203,025 (see Table 1). Greater Wisconsin and the Progressive Majority are liberal groups that support Democrats;
- Wisconsin contributions to Democratic 527s significantly outpace contributions to Republicans 527s. Democratic 527s received $1.06 million or 71 percent of Wisconsin’s contributions while Republican groups received $426,466 or 28 percent. Three 527 groups that supported both parties or were neutral accepted $15,409 from Wisconsin contributors. Seven of the 10 527 groups that received the most money from Wisconsin were Democratic 527s;
- Top contributors (see Table 2) include Milwaukee philanthropist Lynde Uihlein, a longtime supporter of women’s and Democratic candidates and causes, who has given $458,000 including $170,000 to the Progressive Majority, $138,000 to the Greater Wisconsin Political Fund, $100,000 to America Votes 2006 and $50,000 to the League of Conservation Voters.
Uihlein was followed by the Wisconsin Laborers District Council which sent $157,039 to a Washington D.C.-based 527 tied to labor, and the Democratic Legislative Campaign Committee.
Terry and Mary Kohler of Sheboygan and their Windway Capital Corporation who contributed a total of $135,200, including $55,200 to American Solutions for Winning the Future, $50,000 to GOPAC, $25,000 to the Club for Growth and $5,000 to America’s PAC. The Kohlers are longtime supporters of conservative and Republican causes and political candidates.
Allergan, a pharmaceutical company in Oshkosh that develops skin care, eye care and specialty products contributed $100,000 to the Democratic Governors Association on January 25, 2008.
Table 1
Top* 527 Recipients of Wisconsin Contributions
January 1, 2007 – March 31, 2008
| Committee Name | Amount |
|---|---|
| Democratic Governors Association | $241,885 |
| Greater Wisconsin Political Fund | $230,620 |
| Progressive Majority | $203,025 |
| Laborers Political League Education Fund | $147,039 |
| Republican Governors Association | $135,600 |
| GOPAC Inc | $111,796 |
| America Votes 2006 | $100,000 |
| American Solutions for Winning the Future | $70,150 |
| League of Conservation Voters | $50,000 |
| Democratic Legislative Campaign Committee | $27,700 |
| Club for Growth.net | $27,000 |
| National Association of Mutual Insurance Cos. Administrative Fund | $26,995 |
| Ironworkers Political Education Fund | $18,151 |
| PCI (Property Casualty Insurers) Political Accounts | $14,044 |
| Emily’s List Non-federal | $12,750 |
| Presidential Coalition LLC | $12,675 |
| College Republican National Committee | $11,835 |
| Republican State Leadership Committee | $11,050 |
| Democratic Attorneys General Association | $10,000 |
| America ’s PAC | $10,000 |
| International Brotherhood of Boilermakers Legislative Education Fund | $8,567 |
| National Federation of Republican Women | $6,865 |
*Table shows 572s that received $5,000 or more from Wisconsin contributors during the 15-month period.
Table 2
Top* Wisconsin Contributors to 527 Groups
January 1, 2007 – March 31, 2008
| Contributor | City | Employer | Amount |
|---|---|---|---|
| Lynde Uihlein | Milwaukee | Brico Fund | $458,000 |
| Wisconsin Laborers District Council | Madison | Not Applicable | $157,039 |
| Terry and Mary Kohler | Sheboygan | Windway Capital Corp | $125,200 |
| Allergan | Oshkosh | Not Applicable | $100,000 |
| Johnson Controls Inc | Milwaukee | Not Applicable | $51,600 |
| Daniel Bader | Milwaukee | Granite Micro Systems | $50,000 |
| HNTB Corp | Madison | Not Applicable | $50,000 |
| One Wisconsin Now Action | Milwaukee | Not Applicable | $45,000 |
| Results LLC | Oak Creek | Not Applicable | $25,000 |
| Verax Identity Fusion Center Inc | Madison | Not Applicable | $25,000 |
| Wisconsin People Conference | Madison | Not Applicable | $25,000 |
| Extendicare Health Services | Milwaukee | Not Applicable | $21,000 |
| Kohls Corp | Milwaukee | Not Applicable | $20,000 |
| Grant Abert | Hillpoint | None Listed | $20,000 |
| Tom Talbot | Montello | Glen Oak Lumber and Milling | $20,000 |
| Miller Brewing Co | Milwaukee | Not Applicable | $20,000 |
| Ironworkers Local 383 | Madison | Not Applicable | $18,151 |
| Donald Lynch | Milwaukee | Old Navy | $11,000 |
| Donald Katz | Madison | Retired | $10,000 |
| CUNA Mutual Insurance Co | Madison | Not Applicable | $10,000 |
| Gordon and Judith Faulkner | Madison | Retired/Epic systems | $10,000 |
| Marilyn Domer | Washington Island | Retired | $10,000 |
| Capitol Navigators Inc | Madison | Not Applicable | $10,000 |
| Windway Capital Corp | Sheboygan | Not Applicable | $10,000 |
| Credit Union National Association | Madison | Not Applicable | $10,000 |
| International Brotherhood of Boilermakers (Locals combined) | Various state locations | Not Applicable | $8,567 |
| Secura Mutual Insurance Co | Appleton | Not Applicable | $8,181 |
| West Bend Mutual Insurance Co | West Bend | Not Applicable | $8,071 |
| American Family Mutual Insurance Co | Madison | Not Applicable | $7,091 |
| James Callan | Fox Point | James Callan Inc | $6,000 |
| Wisconsin Public Service Corp | Green Bay | Not Applicable | $5,000 |
| Wisconsin Insurance Alliance | Madison | Not Applicable | $5,000 |
| Maurice J Reese | Madison | Retired | $5,000 |
| Jackie Boynton | Milwaukee | Law Office of Jackie Boynton | $5,000 |
| Direct Supply Inc | Milwaukee | Not Applicable | $5,000 |
*Table shows those who contributed $5,000 or more to 527s during the 15-month period.
