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Use of resources and facilities
below regarding candidate fundraisers apply to fundraising activities for parties and other political
committees as well.
Exception: event sponsored by corporate/labor SSF
A corporation or labor organization may, however, make its facilities and resources available to its SSF
for the SSF to sponsor fundraising events, subject to the advance payment rules discussed in this chapter
and in chapter 11, section 11. Because the organization’s SSF may make communications to the general
public using the funds it has raised, it may sponsor fundraising events for candidates and invite outside
individuals and political committees. 114.5(i). All related costs paid for by the SSF, including staff time,
mailing, room rental and catering charges, count as an-kind contribution to the candidate. 100.52(d). As
with other uses of corporate/labor facilities and resources, the SSF must pay in advance for any use of
corporate/labor staff, rooms, equipment, food service or mailing lists. See below. If the SSF collects and
forwards the contributions, it must treat and report those contributions as earmarked contributions. See
110.6, 114.2(f)(3)(ii) and appendix E.
Use of corporate/labor staff, mailing lists and food services for events beyond
the restricted class
A corporation or labor organization may allow its food services and mailing lists to be used for candidate
fundraisers only if it receives payment in advance at the fair market value for the goods or services.
114.2(f)(1) and (2)(i)(C) and (E). Likewise, a corporation or labor organization may direct its personnel
to work on these fundraisers only if the corporation or labor organization receives advance payment
for the fair market value of these services, and only so long as employees are not coerced into providing
on-the-job fundraising services. 114.2(f)(2)(i)(A) and (iv). In all cases, however, advance payment (by
a source that may legally make a contribution or expenditure, such as the benefiting political committee
or the organization’s SSF) is required in order to avoid a prohibited contribution by the organization. FEC
regulations specifically require advance payments for:
• The services of corporate or labor personnel directed to carry out candidate fundraising activities as
part of their job (114.2(f)(2)(i)(A));
• The use of the organization’s list of clients, customers, vendors or other persons outside the restricted
class for purposes of soliciting contributions or distributing invitations (114.2(f)(2)(i)(C)); and
• The use of catering or other food services arranged for or provided by the corporation or labor
organization (114.2(f)(2)(i)(E)).
If a corporation is providing the services (such as catering or personnel) in its ordinary course of business
as a commercial vendor, payment does not have to be made in advance as long as: (1) the payment is at the
usual and normal charge, and (2) the payment schedule conforms to normal business practice. Otherwise,
a prohibited contribution results. 100.52(d)(1) and (2) and 114.2(f)(1); see also 116.3 and AOs 1994-33
(VITEL) and 1991-18 (New York Democrats).
Collection of funds
As with restricted class only events, corporate or labor organization staff may not collect contributions
at the event, unless the funds collected are treated not only as contributions to the candidate, but also as
contributions both to and from the SSF of the corporation/labor organization. 114.2(f)(2)(iii) and (4)
(iii). Alternatively, the campaign may collect the funds.