The Federal Election Commission announced that it has unanimously resolved two complaints alleging that Internet blog activity is subject to Commission regulation, finding that the activity is exempt from regulation under the media or volunteer exemption.

In Matter Under Review (MUR) 5928, the Commission determined that Kos Media, L.L.C., which operates the website DailyKos, did not violate the Federal Election Campaign Act. The Commission rejected allegations that the site should be regulated as a political committee because it charges a fee to place advertising on its website and it provides “a gift of free advertising and candidate media services” by posting blog entries that support candidates. The Commission determined that the website falls squarely within the media exemption and is therefore not subject to federal regulation under the Act.

In MUR 5853, the Commission rejected allegations that Michael L. Grace made unreported expenditures when he leased space on a computer server to create a “blog” which advocated the defeat of Representative Mary Bono in the November 2006 election. The Commission also rejected allegations that Grace coordinated these expenditures with Bono’s opponent in the race, David Roth, and found that no in-kind contributions to Roth’s campaign resulted from Grace’s blogging activity.

The Act exempts from regulation volunteer activity by individuals. In the FEC’s Internet regulations, the Commission clarified that an individual’s use, without compensation, of equipment and personal services for blogging, creating, or hosting a website for the purpose of influencing a Federal election are not expenditures subject to the restrictions of campaign finance law. Even if there were some costs or value associated with Mr. Grace’s blog, these costs are exempt from Commission regulations. The FEC therefore found no reason to believe Mr. Grace or the Roth campaign violated federal campaign finance law.