Your feedback ensures we stay focused on the facts that matter to you most—take our survey.

Fact check: Are you allowed to set up a super PAC if you are the president?

From Ballotpedia
Jump to: navigation, search
Fact Check by Ballotpedia-Bold.png
Trump-speech Verbatim.jpg

July 27, 2016
By David Borman

In a July 22, 2016, press conference in Cleveland, Ohio, the day after accepting the Republican nomination for president, Donald Trump (R) addressed former rival Ted Cruz's (R) refusal to endorse him. Saying he would, in turn, oppose Cruz’s re-election in 2018, Trump told the crowd, "[M]aybe I'll set up a Super PAC if he decides to run. Are you allowed to set up a super PAC if you are the president to fight somebody?"[1]

The answer is yes, but it would be subject to limitations that would not apply to a super PAC established by a non-officeholder.

Defining features of a super PAC

Super PACs, which are also known as "independent expenditure committees," are established to raise and spend funds to advocate for or against political candidates. Super PACs have three defining features:

  • They are allowed to raise and spend unlimited funds.
  • They are permitted to take donations from unions, corporations, and individuals.
  • Their expenditures cannot be made in coordination with a campaign or party.

By contrast, a traditional PAC (a political action committee) is set up to donate to campaigns or political parties. A PAC also has strict limits on how much any individual can contribute and how much the PAC may contribute to a candidate or party.

Can a president set up a super PAC?

Technically, yes. But there are some stipulations. A federal officeholder could only start a super PAC if he or she was not at the time a candidate with a campaign account of his or her own.

The U.S. Supreme Court ruling in Citizens United v. FEC allowed corporations and unions to make independent expenditures but did not allow for these entities to coordinate with candidates or campaigns. So long as the expenditures are independent, the court said, these expenditures “do not give rise to corruption or the appearance of corruption.”[2] The FEC’s definition of “independent expenditure” says that these cannot be made “in cooperation, consultation, or concert with, or at the request or suggestion of, a candidate, a candidate’s authorized committee, or their agents, or a political party or its agents.”[3]

The second issue with a president creating a super PAC is that any funds connected to a federal officeholder are regulated under the Bipartisan Campaign Reform Act of 2002 (also known as McCain-Feingold). According to the FEC, federal candidates and officeholders “may not solicit, receive, direct, transfer, spend or disburse funds in connection with an election for federal office unless they are federal funds which are subject to the limitations, prohibitions and reporting requirements of the FECA [Federal Election Campaign Act].”[4]

This means that any funds associated with a “super PAC” set up by the president would be subject to the same contribution limits and restrictions as the president (or any other federal officeholder): no donations in excess of $5,000 and no donations from unions or corporations.

The U.S. Supreme Court’s decisions in Citizens United v. FEC and SpeechNow v. FEC declared that these kinds of limits were unconstitutional as they pertain to certain private organizations, but contribution limits and prohibitions for federal officeholders were not affected by those decisions.[5]

Conclusion

Reacting to Sen. Ted Cruz’s refusal to endorse him, Republican presidential nominee Donald Trump suggested that he might establish a super PAC to oppose him. He then asked, “Are you allowed to set up a super PAC if you are the president to fight somebody?"

We found that a president could establish a super PAC if he or she were not a candidate for re-election at the time with an active campaign account. Moreover, under federal law, a super PAC established by a president could not accept donations in excess of $5,000 or donations from corporations or unions.

Fact Check- 1000 x 218 px.png

Launched in October 2015 and active through October 2018, Fact Check by Ballotpedia examined claims made by elected officials, political appointees, and political candidates at the federal, state, and local levels. We evaluated claims made by politicians of all backgrounds and affiliations, subjecting them to the same objective and neutral examination process. As of 2025, Ballotpedia staff periodically review these articles to revaluate and reaffirm our conclusions. Please email us with questions, comments, or concerns about these articles. To learn more about fact-checking, click here.

Sources and Notes

Contact

We welcome comments from our readers. If you have a question, comment, or suggestion for a claim that you think we should look into, send an email to editor@ballotpedia.org. You can also contact us on Facebook and Twitter.

More from Fact Check by Ballotpedia

Follow us on Facebook and Twitter

Facebook.png
Twitter.png


BP logo.png
Fact Check- 1000 x 218 px.png
About fact-checkingContact us • Staff • Ballotpedia