They're intended to be about promoting issues (wink). There is supposed to be no coordination whatsoever with any campaign (wink). That's what they do anyway. Candidates pack 527s with members of their own staff, um, "former" staff. (Edwards had a 527 set up for 2008 headed by his 2004 campaign manager, for another example, you may recall.) Of course, it's illegal. But they won't worry about it. Years down the road they will pay a fine just as several 527s from 2004 paid fines. Another thing 527s do is behave illegally as federal PACs in terms of contributions. 527s are not limited by law to $5,000 individual donations, as are federal PACs, but they will collect unlimited contributions (illegal for a federal PAC) and use that money to influence a federal election (illegal for a 527). Again, some day AFTER the election is over, they will be investigated and fined for it. The money for FEC fines is factored into the cost of doing business.
It's a shonda.
This is from December 2007:
The Commission found, for example, that several of the largest 527 groups in the 2004 election, including The Media Fund, Swift Boat Veterans for Truth and Progress for America Voter Fund, all violated the law by running ads to influence the 2004 presidential election that were funded with unlimited donations from wealthy individuals, as well as corporate and union treasury funds. The groups were fined for their violations.
"Despite the FEC findings of widespread illegal conduct by 527 groups in the 2004 presidential election, it appears that 527 groups are blatantly and arrogantly at it again in the current presidential race," Democracy 21 President Fred Wertheimer stated.
"These 527 groups are spending large sums of unlimited contributions on what they claim are 'issue ads' but what instead are unquestionably 'campaign ads' being run to influence the 2008 presidential election." Wertheimer said.
"Given the past FEC determinations that illegal expenditures were made by numerous 527 groups in the 2004 presidential election, no one should be making the assumption that the 527 groups currently spending millions of dollars in Iowa and New Hampshire are doing so legally," Wertheimer stated. "In reality, these 527 groups may be making illegal expenditures in 2008, just as 527 groups did in 2004."
http://www.democracy21.org/index.asp?Type=B_PR&SEC={7248831A-87CA-4C2D-B873-60C64918C920}&DE={299C9FA8-66C4-4FB8-B95E-5AEF5AC578FC}