Leslie Garthwaite (J.D. 2007, Georgetown) has published Comment, An End to Politically Motivated Audits of Churches? How Amendment to Section 7217 Can Preserve Integrity of the Tax Investigation of Churches Under Section 7611, 60 Tax Law. 503 (2007).  Here is the Conclusion:

Amending section 7217’s scope and penalty are only two Code improvements to solve the problems raised by section 7611’s ambiguity. To properly deal with all of the questions raised by section 7611, the Service will have to grapple with other questions about the proper involvement of government in church affairs. It will be forced to question whether its internal mechanisms, like PACI, are necessary and appropriate, and whether there is sufficient justification to target investigations of tax exempt entities for fast-tracked scrutiny. Even with these and other questions unanswered, section 7217 presents an interesting starting point for legislators seeking to curtail the appearance of improper political influence in the administration of government. Legislators have the power to amend section 7217 and to call on Treasury to issue clearer regulations. Ultimately, the secrecy of the system is its Achilles’ heel. The public rarely benefits from secrecy in government. The only parties with any benefit from such secrecy are those who seek improperly to influence the Service’s investigations. Congress should use the publicity raised by ASE’s investigation as a call for closing of all loopholes that allow improper political motivations to influence tax investigations of churches.