PRC Disclosures
Organizational Structure
PRC PAC is an Independent Expenditures Political Action Committee (Super PAC) registered with the Federal Elections Commission (FEC).
Organizational Foundation
Although a Super PAC, PRC PAC is somewhat unique in that we do not accept large donations. Donations are restricted to five-figures or less and the PAC is primarily funded via monthly or annual membership dues (non-tax-deductible donations).
In 2010 the Supreme Court of the United States issued a landmark ruling concerning Citizens United vs. the FEC. In essence, the ruling codified the rights of citizens to band together in organizations and pool their money to effect political change – recognizing that such actions are protected as Free Speech. This ruling is the basis for allowing the formation of Super PACs.
In practice, and almost without exception, Super PACs have been used to collect huge donations from a relatively small number of citizens. PRC PAC reverses this strategy by collecting relatively small donations from a large number of citizens and is, arguably, more what the Supreme Court Justices had in mind with the Citizens United ruling.
Donation Category/Charitable Status
PRC PAC is a not-for-profit organization; it is not a nonprofit organization. The difference is significant. The Internal Revenue Service (IRS) considers donations to PRC PAC as non-tax-deductible political donations and, therefore, does not require IRS filings disclosing donors and donation amounts.
‘Membership’ is an honorary designation and ‘dues’ are a non-legal description of monthly or annual donations. All purchases from PrimaryTheRulingClass.com are considered by the IRS as non-tax-deductible donations, and merchandise or ‘memberships’ are considered gifts. ‘Members’ (donors) are not legally responsible for the debts, actions, or proclamations of the PAC anymore so than any donor would be to any charitable or political organization.
Organizational Philosophy
Because the operational model for PRC PAC is somewhat unique, the ‘business model’ will be more reminiscent of a charity than a traditional Super PAC. Good Practice Standards for charitable organizations are generally accepted as 80/20 (80% of revenues going towards the cause with 20% used for fundraising and overhead).
The membership goals of the organization span into the hundreds of thousands and, ultimately, millions. For a grassroots organization to reach these membership numbers, the movement must acquire momentum and it is critical the infrastructure be scalable and allow for massive growth without interruption. This requires investment into enterprise level software, systems, security, and services during the initial phases of growth. Even with these capital-intensive challenges, PRC PAC is dedicated to maintaining the lowest possible overhead and, because of this, forecasts achieving the Good Practice Standards with as few as 1,500 to 2,000 members.
Financial Transparency
PRC PAC is required to file monthly financial reports, year-end financial reports, and election financial reports with the Federal Elections Commission. These filings become a matter of public record and are made available through the FEC website. These reports are extensive and comprise a current and complete financial statement.
