Oneidas seek ruling on campaign donations
Apr. 28, 2000

By SERGIO BUSTOS
O-D Washington bureau

WASHINGTON — The Oneida Indian Nation has asked the Federal Election Commission to clarify a federal law that prohibits the tribe from making political contributions totaling more than $25,000 a year.

The six-member FEC took up the issue Thursday but postponed a decision until May 11 because two members were not present. FEC attorneys have recommended the board approve the tribe’s request.

Nation officials have argued that the Federal Election Campaign Act of 1971 is being misinterpreted by FEC authorities. They said Oneida is not an “individual” but a “person.”

The legal language is confusing, but what constitutes an individual or a person in the eyes of the FEC is crucial.

Under election laws, “individuals” are not allowed to make federal campaign contributions in excess of $25,000 per year. There are no such limits for “persons,” a word that is defined to include corporations, labor organizations or associations.

A favorable ruling to the Nation could mean that hundreds of tribes across the country could make political campaign contributions of unlimited amounts.

The Indian Gaming Commission reports there are 310 Indian gaming businesses operating in 28 states, generating an estimated $7.4 billion a year in revenues. The Oneidas operate the Turning Stone Casino Resort in Verona.

Nation officials say the FEC’s interpretation of federal law restricts the tribe’s ability to reach a majority of congressional lawmakers.

For example, they argue the tribe cannot make $1,000 donations to each of the 33 congressional members representing New York because that would violate the $25,000-per-year ceiling the FEC imposes on individuals.

“We want to be able to give to a wider range of candidates,” said Mark Emery, a Nation spokesman. “We want to participate in the process, and contributions are one way for Indian governments to get their voice heard in Washington.”

In a letter to the FEC, Markham C. Erickson, a Washington, D.C.-based attorney representing the Nation, wrote that the tribe was considering making political contributions that exceed FEC limits this year and wanted federal officials to “clarify” the issue.

At Thursday’s meeting, two FEC members raised questions on the merits of the tribe’s case.

Chairman Darryl R. Wold said he had “substantial reservations” because the Nation generated much of its revenues from gaming operations.

“If, in fact, they cannot use casino profits, then where are they getting the money to make contributions?” asked Wold, who said the tribe could wield “undue influence” if allowed to exceed its donation limits.

“Maybe we need to rethink what a tribe is,” he said.

FEC Commissioner David M. Mason also expressed some concerns because he believed the tribe would contribute “hundreds of thousands of dollars” to federal elections.

Added Wold: “This is an area we need to be careful about.”