One Donor Ponied Up 35 Percent of Crossroads GPS’s 2011 Haul

Karl Rove.<a href="http://www.flickr.com/photos/sachyn/5119194210/">Sachyn</a>/Flickr

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Talk about a mega-donor. Of the $28.4 million in donations banked in 2011 by Republican outside money group Crossroads GPS, a whopping $10 million of it came from just one donor. That’s 35 percent. From one person, or one corporation.

Crossroads GPS, which does not disclose its donors, is the brainchild of GOP political mastermind Karl Rove. Founded in 2010, the group is technically a tax-exempt non-profit, known as a 501(c)(4), that can spend money on political advocacy so long as politicking isn’t the majority of what it does. To comply with federal tax law, Crossroads must focus most of its work on issues, not candidates; otherwise, the group would have to file as a political action committee and reveal its funders. Crossroads’ critics say the group does far too much political advocacy, and that the IRS should not grant the group permanent (c)(4) status. “The continued refusal by the IRS to reign in scofflaws abusing a privileged tax status has only encouraged even more blatant disregard for the law by these groups and their anonymous funders,” Gerald Hebert, executive director of the Campaign Legal Center, said in a statement Tuesday.

Crossroads has repeatedly insisted its activities are perfectly legal, and the IRS has not given any clear indication that it is investigating the group.

Here’s more on Crossroads’ money from Bloomberg:

Crossroads said it took in $77 million from June 1, 2010, through Dec. 31, 2011. It also received a single contribution of $10.1 million before June 1, 2011, as well as donations of $5 million, $4.5 million and $4 million.

The group shared its largesse with other Republican-leaning nonprofits. Crossroads contributed $500,000 to the American Action Network, headed by former Minnesota Senator Norm Coleman, which spent more than $19 million on ads to elect Republicans in 2010; and $50,000 to the 60 Plus Association, which supports privatizing Social Security and spent more than $7 million on ads on behalf of Republican congressional candidates in 2010.

In addition, Crossroads gave $3.7 million to the National Federation of Independent Business, which is suing to overturn President Barack Obama’s health-care law that expands coverage to millions of uninsured Americans. NFIB reported spending more than $1 million on ads to help elect Republicans in 2010, as well as another $1.5 million that it kept hidden and said was exempt from requirements that it disclose campaign spending.

 

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You just sent an incredible message: that quality journalism doesn't have to answer to advertisers, billionaires, or hedge funds; that newsrooms can eke out an existence thanks primarily to the generosity of its readers. That's so powerful. Especially during what's been called a "media extinction event" when those looking to make a profit from the news pull back, the Mother Jones community steps in.

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