Obama doesn't want public campaign cash
WASHINGTON (AP) - June 19, 2008 Obama has shattered fundraising records during the primary
season, and he promptly showed off his financial muscle Thursday
with his first commercial of the general election campaign. The ad,
a 60-second biographical spot, will begin airing Friday in 18
states, including historically Republican strongholds.
Though it opens him to charges of hypocrisy, Obama's fundraising
decision was hardly a surprise, given his record in raising money
from private sources. Some $85 million in public money is available
to each major party nominee during the fall campaign if they agree
to forgo other contributions.
McCain told reporters in Minnesota on Thursday, "We will take
public financing."
As for his opponent, he said Obama "said he would stick to his
word. He didn't."
Obama has proven himself to be a prodigious fundraiser who could
easily raise more than the public fund supplies. And while he and
his advisers know McCain and other Republicans will criticize his
decision, they understand that issues of campaign finance do not
rank high in most voters' minds.
By releasing his first ad of the general election, Obama also
diluted the impact of the money story with a strong visual that was
likely to dominate television coverage of the campaign. Obama will
draw attention to his finances again on Friday, when his campaign
files its May fundraising report with the Federal Election
Commission.
Obama's decision represents a significant milestone in the
financing of presidential campaigns. President Bush was the first
candidate to reject public financing of primaries when he ran in
2000. But no candidate has ignored the general election funds since
the law setting up the presidential finance system was approved in
1976.
"It's not an easy decision, and especially because I support a
robust system of public financing of elections," Obama told
supporters in a video message Thursday. "But the public financing
of presidential elections as it exists today is broken, and we face
opponents who've become masters at gaming this broken system."
McCain sharply rebuked the Illinois senator on Thursday.
"This election is about a lot of things. It's also about
trust," McCain said. "It's about keeping your word."
Last year, Obama filled out a questionnaire where he vowed to
"aggressively pursue an agreement with the Republican nominee to
preserve a publicly financed general election." But since
clinching the Democratic nomination earlier this month, Obama has
not broached the subject with McCain. The only discussion occurred
about two weeks ago between Obama's and McCain's lawyers,
Obama lawyer Robert Bauer said he discussed the public financing
issue for 45 minutes on June 6 with McCain counsel Trevor Potter.
In interviews and e-mails, both Bauer and Potter agree that Bauer
raised concerns about McCain having a head start because he had
secured the nomination in early March and Obama did not until June
3. Potter said he told Bauer that given Obama's fundraising "I was
sure there would be no McCain advantage by the end of the summer."
That meeting, Potter said, "was not part of any negotiation"
on public financing.
At a breakfast with reporters Thursday, Bauer said that after
his meeting with Potter, "It became clear to me, and I reported to
the campaign, that there really wasn't a basis for further
discussion."
Obama has shattered presidential campaign fundraising records,
raking in more than $265 million as of the end of April. Of that,
nearly $10 million was for the general election, reserved for
spending after the party's national convention in August. McCain
had raised nearly $115 million by the end of May, eligible for
spending before the convention.
On the other hand, Obama's clear financial advantage over McCain
is offset in part by the resources of the Republican National
Committee, which has far more money in the bank than the Democratic
National Committee. Both national parties can spend money on behalf
of the presidential candidates.
Obama said McCain and the Republican National Committee are
fueled by contributions from Washington lobbyists and political
action committees.
"And we've already seen that he's not going to stop the smears
and attacks from his allies running so-called 527 groups, who will
spend millions and millions of dollars in unlimited donations,"
Obama said.
Despite that claim, few Republican-leaning groups have weighed
into the presidential contest so far. In fact, Obama allies such as
MoveOn.org are the ones have been spending money on advertising
against McCain.
McCain and Obama both declined public financing in the primary
contests, thus avoiding the spending limits that come attached to
the money. McCain had initially applied for the money, however, and
has been in a dispute with the Federal Election Commission over
whether he needed commission approval to decline the primary
election funds. The FEC insists that he does, but has not had a
quorum to act because four of its six seats have been vacant
pending Senate confirmation of presidential nominees. McCain
lawyers have disputed the need for FEC approval.