What is meant by “soft money”?

Soft money is a term used to describe funds raised by political parties and candidates that are not regulated by government election laws. Soft money is not subject to the same limits and disclosure requirements as hard money, which is regulated by the Federal Election Commission (FEC). In California, soft money is money that goes to a party or organization from political action committees (PACs), corporations, labor unions, and other organizations, but does not go directly to a candidate. Soft money is used for party building expenses, such as television and radio advertisements, direct mail, voter registration drives, and other campaign activities. Soft money can be used to influence voters in a general election, such as through issue ads. Issue ads are advertisements that promote an issue, such as support for a particular candidate, but do not explicitly endorse a candidate. Issue ads are not subject to the same contribution limits as other forms of campaign activity. This allows PACs and other organizations to influence elections without having to adhere to the strict regulations imposed by the FEC. In California, soft money is regulated by the Fair Political Practices Commission (FPPC), which sets limits on the amount of money a party or organization can receive and how it can be used. The FPPC requires political parties and organizations to disclose how they are spending their funds and where they are receiving their money. This helps to ensure that soft money is used responsibly and in accordance with California election law.

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