PAC compliance professionals know running a PAC is hard work, but growing one is even harder. It requires time intensive tasks like developing relationships, finding new donors, digital engagement strategies and email campaigns. Add on compliance requirements and the to-do list can become overwhelming.
With limited staff resources, many PACs find growth difficult to achieve. Using compliance professionals can free up time for growing the PAC instead of running it. Here are a few basics to keep in mind when approaching political compliance:
Filing Requirements
Depending on the committee’s activities, it may have to file with more than one agency. While many committees only file with the FEC, others may have to report to one or more state agencies. And the regulations for those agencies – well, each state finds a way to regulate differently than the rest.
Also don’t forget about potential IRS filings and lobbying disclosures. Knowing a committee’s filing requirements is an important first step.
Deadlines
Deadlines can vary wildly from annual, quarterly, monthly, periodic and even daily reporting deadlines. Identify all compliance reporting deadlines for the year and create a workflow. A little preparation can go a long way, especially in election season.
Data Integrity
Was that contribution to Jane Smith for her primary or general election? What is the annual contribution total from a particular donor? What district is that candidate running in again?
Compliance has so many data points, and they all need to be correct. Tools like 720’s PACMaster make capturing and reporting this data much easier to manage.
Accounting
Knowing where to place a contribution or disbursement on a report doesn’t help if the amount listed is incorrect. Political compliance is only successful when paired with accurate accounting practices. Reconciling compliance reports with bank statements is a fundamental and critical step to making sure the report is accurate.
Documentation
Looking for a random receipt that is being questioned or trying to figure out how to submit that annual state registration? Keeping complete and organized financial records and documenting processes and best practices will only make the job easier.
720 Strategies has extensive experience providing professional federal and state compliance services to PACs. If you find yourself in need of these services, please reach out to us.
