With less than a week to go before Election Day, a conservative nonprofit group is weighing in heavily with advertising aimed at two area legislators in hotly contested races.

The American Future Fund, based in Des Moines, purchased more than $100,000 worth of television ads to praise Iowa Rep. Jamie Van Fossen, R-Davenport, and criticize Rep.

Elesha Gayman, D-Davenport.

The ads began airing on Wednesday.

Van Fossen is locked in a tight race with Democrat Phyllis Thede in District 81, while Gayman is being challenged by Republican Ross Paustian in District 84.

Special interest involvement in legislative races is not unusual. Labor unions and business-based groups have

targeted both races.

What’s unusual about American Future Fund is that as a 501(c)(4) nonprofit, it is allowed by law to shield its donors from the public.

Federal law prohibits such “social welfare organizations” from getting involved in political campaigns, but it does allow some political activities as long as they aren’t the group’s

primary activity.

The American Future Fund’s Web site says it “was formed to provide Americans with a conservative and free market viewpoint to have a mechanism to communicate and advocate on the issues that most interest and concern them.”

“We are only focused on legislation,” Tim Albrecht, communications director for the American Future Fund, said Wednesday.

Albrecht, a former spokes-man for House Republicans and also for Mitt Romney’s presidential campaign in Iowa, said the group is airing ads in other parts of the state, too.

Groups on both sides of the spectrum have formed 501(c)(4) groups this election season, but none on the left appear to be involved in local campaigns thus far.

The ad running in District 81 says that Van Fossen has worked in the Legislature to bring investment to Davenport and fought against “job-killing tax increases” on small business. It urges people to call him and encourage him to continue his work.

The other ad targets Gayman for supporting expansion of the state’s collective bargaining law. That ad also encourages people to call her.

Neither ad advocates a vote for or against either candidate.

The group is spending more than $100,000 on KWQC-TV on the two ads, according to the station.

Thede said Wednesday she hadn’t heard about the ad. Gayman said it is a “blatant” attempt to influence the election. She noted the telephone number listed on the ad is to the Legislature.

“We’re not even in session right now,” she said.

American Future Fund was formed last year, and it’s been active in a dozen states. In Colorado, it has criticized Mark Udall, a Democratic candidate for the U.S. Senate.

In September, Colorado Ethics Watch, a private group, filed a complaint with the Internal Revenue Service alleging the fund is violating its tax-exempt status by spending most of its resources influencing elections.

“This having your cake and eating it too is not allowed under IRS or campaign finance law,” said Chantell Taylor, the director.

Albrecht dismissed the complaint. He said it’s “some liberal wack job who doesn’t approve of conservative free-market ideals, so they wrote a letter.”

Conservatives say their 501(c)(4) groups are merely a response to unions and other liberal organizations that are active in politics and often pushing up against the line of legality.

They point to the 2004 election when America Coming Together, dubbed a 527 for the part of the federal code under which it was organized, operated in Iowa and several other states to defeat President Bush. It eventually agreed to pay a fine of $775,000 in a settlement with the Federal Election Commission last year.

“Historically, we’re miles behind,” said Dave Kochel, a longtime Republican activist who is president of the Iowa Progress Project.

Iowa Progress Project has also weighed in on the District 84 race, although not spending nearly as much as the American Future Fund. It has aired a radio ad criticizing Gayman.

“The rules are a bit biased in favor of the unions,” Kochel said.

Iowa Progress Project also is a 501(c)(4). It has not disclosed its donors, either. Like Albrecht, Kochel said the group isn’t trying to influence the election.

“We’re watching races where we can have an issues impact,” he said.  “We’re doing issue advocacy, and that’s the best way to do issue advocacy, with legislators and their vote.”

If 501(c)(4) groups are in the vanguard of campaign finance law, there still are active 527s operating. One, in fact, is targeting Van Fossen.

Iowans Against Unsafe Public Projects, which is based in Des Moines, has aired radio spots critical of him. That group filed a report last year that listed more than $200,000 in donations from several unions related to the construction trades.

The Central Iowa Building and Construction Trades Council, Des Moines, donated $30,000 between Feb. 26 and June 30, 2007, according to IRS documents.

A 527 has to disclose its donors, although not as often as a regular political action committee. A spokesman for the group could not be reached Wednesday. For the full story, please visit http://www.qctimes.com/articles/2008/10/30/news/local/doc49091aa7a0dd774998...