Monday, March 21, 2022

From Open Secrets: What is Dark Money?

As we try to make sense of money in campaigns

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“Dark money” refers to spending meant to influence political outcomes where the source of the money is not disclosed. Here’s how dark money makes its way into elections:

Politically active nonprofits such as 501(c)(4)s are generally under no legal obligation to disclose their donors even if they spend to influence elections. When they choose not to reveal their sources of funding, they are considered dark money groups.

Opaque nonprofits and shell companies may give unlimited amounts of money to super PACs. While super PACs are legally required to disclose their donors, some of these groups are effectively dark money outlets when the bulk of their funding cannot be traced back to the original donor.

Dark money groups have spent roughly $1 billion — mainly on television and online ads and mailers — to influence elections in the decade since the 2010 Citizens United v. FEC Supreme Court ruling that gave rise to politically active nonprofits.

Citizens who are barraged with political messages paid for with money from undisclosed sources may not be able to consider the credibility and possible motives of the wealthy corporate or individual funders behind those messages.