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Luddite PACs & Candidates: Texas Political Funds that Dodge the Internet
 

II. Unexempted PACs & Candidates

The vast majority of these Luddite PACs and candidates studied in this report claimed one (or even both) of the exemptions to electronic filing created by the Texas legislature (claiming that they do not use computers or do not plan to raise or spend more than $20,000). Yet, in an apparent violation of state law, 21 of these entities appear to have failed to submit legally required electronic disclosures without bothering to obtain an exemption. Researchers could not find any paper or electronic record of nine PACs and 12 candidates filing any exemption affidavit during the 2002 election cycle.
 
Luddite Political Money By Exemption Claimed
Exemption Claimed No. of Filers Non-E-Disclosed
Money Raised 
Jan '01 - July '02
Average
Amount Raised
Less than $20,000
39
$448,452
$11,499
No computer used
119
$4,668,133
$39,228
Both of above exemptions
55
$1,119,195
$20,349
No exemption claimed
21
$1,575,894
$75,043
TOTALS:
234
$7,811,672
$33,383

Four Republican Party PACs rank among the top unexempted entities that failed to file electronic disclosures. The plain language of the Texas Election Code appears to require all Party PACs to meet the same electronic-filing requirements as other PACs. But Texas Ethics Commission (TEC) lawyers say that TEC staff have internally and informally decided to exempt party corporations and party county executive committees from electronic-filing requirements (agency commissioners have not taken official action on this issue). This creates an enormous electronic-filing loophole, with the four party PACs listed here withholding more than $1.2 million from electronic disclosure.

This loophole also is significant because some party PACs can accept direct corporate and union contributions that Texas generally prohibits. The latest paper filings for the Texas Republican Party’s huge party corporation fund, for example, reveal large direct out-of-state contributions from insurer American International Group ($50,000), pharmacy benefits firm AdvancePCS ($25,000) and Dow Chemical ($25,000). Its big in-state donors include Silver Eagle [beer] Distributors ($50,000) and poultry recaller Pilgrim’s Pride ($25,000). Ironically, this PAC appears to have used a computer to prepare these data before printing them out on paper. Yet none of these data are available on the Internet.
 

PACs Failing To File Electronically
Without Obtaining An Exemption
PAC Name Interest Non-E-Disclosed
Money Raised
Jan '01 - July '02
*TX Republican Party (CF) Republican
$968,993
*Harris Co. Republican Party (CF) Republican
$114,065
*Travis Co. Republican Party (CEC) Republican
$86,583
TX Legislative Black Caucus Minority
$50,250
*Travis Co. Republican Party (CF) Republican
$46,944
Judicial Roundup PAC (Sn. Antonio) Lawyers to local judges
$38,020
TX Amusement Assn. Carnivals
$26,500
TX Legislative Sportman's Caucus Undeveloped land owners
$22,890
Dynegy TX Electricity
$20,011
 
TOTAL:
$1,374,256
* Political party PAC, which the Texas Ethics Commission independently exempted from electronic-filing requirements.
Note: CF = Party Corporation Fund; CEC = County Executive Committee.

A dozen candidates who failed to obtain exemptions also failed to file electronically, led by House candidate Steve Munisteri, who lost the Republican primary to Martha Wong. Democrat George Robinson of House District 8 is the top primary winner on the list. Reps. Pete Gallego and Elvira Reyna are the only incumbents on the list.
 
 

Candidates Failing To File Electronically
Without Obtaining An Exemption
Candidate Office Party Dist. Primary
Outcome
Non-E-Disclosed
Money Raised
Jan '01 - July '02
Steve Munisteri
H
R
134
Lost
$83,802
Gregory R.Travis
H
R
28
Lost
$48,296
George Robinson
H
D
8
Won
$18,351
Roger A. Perez
H
D
123
Lost
$15,600
Kris J. Gillespie
H
R
50
Lost
$12,881
Rose A. Cannaday
H
R
105
Lost
$9,919
David H. Martin
H
D
8
Lost
$4,665
Stephen Johnston
H
D
143
Lost
$3,500
Aaron Pena
H
D
40
Won
$1,600
I Pete P. Gallego
H
D
74
Won
$1,545
Richard Carrera
H
D
35
Lost
$1,050
I Elvira Reyna
H
R
101
Won
$425
       
TOTAL:
$201,634
I Incumbent


Copyright © 2002 Texans for Public Justice