Institute’s PAC Funds Experience Shortfall in 2001-2002 Cycle

By Jay Dismukes

As the November Congressional elections quickly approach, the coffers of the American Institute of CPAs political action committee are down significantly from their 2000 levels.

According to reports filed by the AICPA with the Federal Election Commission, receipts and contributions of the Institute’s PAC, known as the Effective Legislation Committee (ELC), have experienced substantial declines in the 2001-2002 cycle as compared to the 1999-2000 cycle. As of Aug. 31, 2002, the ELC had raised $799,701 in 2001-2002 as compared to $1,382,450 in 1999-2000.

And as of Aug. 31, 2002, the ELC’s individual contributions to political candidates stood at $784,150 in 2001-2002, contrasting with the $1,356,695 donated in 1999-2000.

AICPA spokeswoman Lisa Dinackus said she does not know the exact reasons for the decline in donations to the ELC— traditionally 10 percent of the membership gives— but she said the ailing economy, decline in AICPA membership and professional issues of the past year could be playing a part. While the Institute is not overly concerned by the shortfall in PAC funds, the Institute will be probably be conducting some fundraising and looking “a little bit harder at how to get members to contribute.”

Dinackus added that the ELC is especially interested in supporting political candidates who have a small business background and could provide help to smaller CPA firms as states and regulators craft legislation that could have a big impact on firms of that size.

Funds for the ELC, which “enables the Institute to have a voice in issues affecting the profession and to be part of national debates,” come from voluntary contributions from CPAs nationwide, according to a statement posted on the Institute’s website at www.aicpa.org. The ELC contributes to the election campaigns of pro-business candidates who are familiar with CPA and business-related issues, whether Republican or Democrat, the statement said.