527 Fairness Act of 2005

The 527 Fairness Act of 2005 proposed significant changes to federal campaign finance laws by easing restrictions on how individuals, political parties, and interest groups could spend money on elections. The bill sought to repeal the overall limit on the total amount an individual could contribute to all federal candidates and committees in a single cycle, while also increasing the contribution limits for Political Action Committees (PACs). Additionally, it aimed to bring "527 organizations"—tax-exempt groups that influence elections but are not run by candidates—under stricter Federal Election Commission reporting requirements and prohibited them from accepting donations from foreign nationals.

For the average citizen, this legislation would have likely increased the total volume of political spending and advertising during election cycles. By removing certain caps on coordinated spending between political parties and their candidates, and by exempting internet communications from federal campaign finance regulations, the bill would have made it easier for various groups to fund and distribute political messages. While the bill passed out of the House Committee on House Administration in 2005, it did not become law.