[Congressional Record Volume 164, Number 130 (Wednesday, August 1, 2018)]
[Senate]
[Pages S5573-S5574]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
DISCLOSURE OF CORPORATE POLITICAL SPENDING
Mr. MENENDEZ. Mr. President, I rise today because Senate Republicans
have blocked a vote on my amendment, No. 3532. My amendment is really
quite simple. It would have struck language in the underlying bill that
prohibits
[[Page S5574]]
the Securities and Exchange Commission from requiring corporations to
tell their investors and the public how they spend money in politics.
It has been 8 years since the Supreme Court's Citizens United
decision, a decision which gave corporations the right to spend
unlimited, unchecked, and--more often than not--undisclosed money on
our elections.
For 8 long years, more and more money has flowed from corporate
coffers into campaign ads and political expenditures, and Republicans
have defended the dark money poisoning our politics every step of the
way.
In the 2016 elections alone, outside groups spent more than $1.4
billion, much of it funneled through trade associations and nonprofits,
and much of it undisclosed to the public.
This is elementary; shareholders don't invest in political agendas or
candidates. They invest in companies, and they deserve to know whether
the corporate executives of those companies are using their money to
grow their businesses or to advance political outcomes that are
contrary to investors' values.
With no requirement to disclose how this money is being spent,
shareholders and the public are left in the dark with no way to know if
corporations are spending their money to defund Social Security and
Medicare, keep the cost of prescription drugs high, dismantle
environmental protections, undermine education programs, or eviscerate
rules on Wall Street.
This information is material to how shareholders decide to invest
their money and vote in corporate elections. Even setting aside the
case for this disclosure as a matter of corporate governance and
investor protection, this issue gets to the very core of our democracy.
Corporations can secretly funnel money to organizations that have no
requirement to report on their contributions, and then the American
public is left with no way of knowing who is advancing what causes.
All of this secret cash and dark money undermines the ability of the
American people to hold their government accountable.
Disclosing corporate spending in our elections is the least we can do
to help ensure that voters and not dollars set the agenda in
Washington.
That is what Americans want. The Securities and Exchange Commission
has received a record 1.2 million comments from investors and members
of the public in support of requiring corporations to disclose how they
spend money in politics.
Moreover, a May 2018 University of Maryland study found that
Americans, both liberal and conservative, overwhelmingly support a
constitutional amendment that would overturn Citizens United. Seventy-
five percent of those surveyed support such an amendment. Even more, 88
percent of those surveyed want to reduce the outsized influence of
corporations in our politics.
But Republicans in the Senate wouldn't even let us have a vote on
this amendment. What was behind their refusal? After passing trillion-
dollar tax cuts for big corporations, Republicans are hoping some of
that money trickles down into their reelection efforts. The Republican
Congress and this President depend upon this influence being kept in
the shadows. It makes you wonder, what are they hiding? What would
happen if the American people knew who was really funding their agenda?
That is why they slipped this language into a must-pass spending bill
a few years ago, and why they are holding on to it with all of their
might today. As long as the American people are kept in the dark,
Republicans are better able to hold onto power.
That is why just 2 weeks ago, President Trump's Treasury Department
announced that it would no longer certain nonprofit organizations that
engage in political activity to disclose their donors to the IRS.
They want to make it easier for big corporations, billionaires,
special interests--and even illegal foreign money--to influence our
elections.
They don't want the American people to know that behind every bill,
amendment, and Executive order is a corporate benefactor. A corporate
benefactor that knows so long as the money keeps flowing, there is
someone in Congress to do their bidding.
They are so afraid of what these disclosures will reveal that they
would not even allow the Senate to vote on my amendment, which does not
nothing more than restore the status quo allowing the SEC to move
forward with a rule-making requiring corporations to disclose how they
spend money in politics.
The fight is not over. We must remain steadfast in our commitment to
shining a light on dark money in our politics. I will continue pushing
to end Republicans' toxic prohibition on the SEC, which only serves to
silence the voices of hard-working American families in favor of
amplifying the speech and magnifying the influence of corporations.
In our democracy, the size of your wallet should not determine the
power of your voice. I urge my colleagues to listen to the American
people who have been loud and clear: They want disclosure, they want to
reduce corporate influence in our politics, and they want this
government to work for them.
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