527s may face campaign finance rules

WASHINGTON, March 31 (UPI) -- U.S. congressional Republicans want to close what they consider a campaign-finance loophole regarding so-called 527 groups that have become political forces.

The 527s, which are named after the section of the federal tax code that regulates their funding and actions, showed a strong ability to reach voters in 2004. While 527 groups worked from both sides of the political aisle, Republicans note some very deep-pocketed Democrats were especially active. They are acting to have the 527s covered by campaign finance rules, The New York Times reports.

A federal judge has told the Federal Election commission to explain why 527s shouldn't come under restrictions and bills in both houses of Congress are expected to be debated in the coming weeks, the Times said.

Sen. John McCain, R-Ariz., has introduced legislation that would limit an individual's donations to a 527 group and place them under rules that political committees face when involved in federal campaigns, the newspaper said.