National Interest Action Inc. failed to register as a political committee with the Federal Election Commission (FEC) despite spending over $3 million on independent expenditures in 2024, which amounted to over 70% of its total spending that year. CREW filed a complaint with the FEC seeking an immediate investigation and enforcement action against the group for violating the Federal Election Campaign Act (FECA).

Although National Interest Action Inc. is classified as a section 501(c)(4) social welfare organization, the corporation is likely a political committee in disguise. Its tax-exempt status allows it to function as a dark money group because it can spend money influencing elections without having to disclose the sources of its funding.

In 2024, National Interest Action Inc. spent $3,529,920 on federal independent expenditures, which amounted to 73.56% of its total spending that year. Despite its heavy political spending, National Interest Action Inc. never registered as a political committee with the FEC and failed to file reports disclosing its contributions and expenditures, which violates the FECA. 

National Interest Action Inc.’s expenditures in 2024 satisfy the statutory threshold for being defined as a political committee, given its level of expenditures in 2024. Additionally, the corporation satisfies the “major purpose” test, which is a fact-intensive analysis that determines if an organization’s major purpose is the nomination or election of federal candidates. As a general rule, groups that devote over 50% of their spending to campaign activity in a calendar year, which National Interest Action Inc. has done, are considered political committees.

For these reasons, the FEC should conduct an investigation into CREW’s allegations against National Interest Action Inc. and initiate enforcement action if they are found to have violated the FECA.

Read the complaint here.

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