Public Financing Reform Languishes

Sen. Barack Obama's (D-Ill.) announcement today that he would forgo public financing for his general election campaign looks unlikely to spur congressional reform of the funding system, despite widespread concern that the current setup simply doesn't work.

A bill to overhaul the system, dubbed the Presidential Funding Act of 2007, has been languishing in both the House and Senate since last year, with little prospect of movement. That's despite the fact that the list of the bill's sponsors in the Senate reads like a who's who of past and current presidential candidates -- including Obama. In addition to the Illinois Senator, who signed onto the measure when it was introduced in December, Democratic Sens. Joe Biden (Del.), Hillary Rodham Clinton (N.Y.), Christopher Dodd (Conn.), and John Kerry (Mass.) are also sponsors.

The measure was authored by Sen. Russ Feingold (D-Wis.).

"This is not a good decision," Feingold said in a statement today. "While the current public financing system for the presidential primaries is broken, the system for the general election is not. The entire system must be updated."

The bill would boost the matching rates for public funding of primary campaigns, require those who want public money for the general election to also take it in the primary and boost the spending limits for candidates who take public money if their opponents don't (so if the bill were law, Sen. John McCain (R-Ariz.) would be allowed to spend more money because Obama is opting-out). It would increase to $100 million the amount available to each general election candidate, and would then index that number to inflation. It would also boost the amount candidates could spend during the primaries and lift the limits on primary spending in individual states, but would cap the total that political parties could spend on the presidential race.

Over on the House side, the companion measure has attracted 10 sponsors, and like the Senate bill, hasn't gone anywhere. The bill's backers see Obama's move as more evidence that the system isn't working.

Rep. David Price (D-N.C.), the measure's lead sponsor, said, "Given the overall situation [Obama] finds himself in, this is an understandable decision and certainly a legitimate decision. If a more viable public financing system were in place the decision would be different."

Price said he wasn't sure what the future holds for his measure, but Obama's move "adds to the evidence that candidates are simply not finding the present system viable."

"I am just increasingly concerned about the funding of, and cost of, presidential races," said Rep. Mike Castle (R-Del.), a sponsor of the bill. "We ought to have a system that will work and be attractive enough to candidates that they won't opt out."

Rep. Elijah Cummings (D-Md.), another sponsor, said he was also concerned about the system but that Obama's decision wasn't necessarily at odds with the spirit of public financing.

"I think what he has done is to still allow the public to finance" his campaign, Cummings said, pointing out that Obama has raised enormous amounts of money from small donors. "In a sense you have more people participating."

Regardless of what each side thinks of Obama's move, there's little reason to believe a reform bill can get moving this year, since Democrats wouldn't be interested in holding hearings that might make their presidential candidate -- who is running on a reformist platform -- look bad. But that doesn't mean Democrats are necessarily happy with the long-term implications of Obama's move.

"If I didn't have concerns for the system I wouldn't have filed a bill to change it," said Rep. Barney Frank (D-Mass.), another sponsor. But does Frank think Obama's decision will provide fresh momentum behind reform efforts? "Unfortunately, no."

By Ben Pershing |  June 19, 2008; 5:28 PM ET 2008 Campaign , Fundraising Circuit
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Comments

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Obama opts out of the public financing system because he can. The huge grassroots support for this candidate allows him to raise more money from ordinary Americans. He doesn't need to take public welfare to run his campaign.

Posted by: fletc3her | June 19, 2008 6:37 PM

I think it was a step towards trusting in the Public to fund his campaign and not rely on Washington to fund it.

Posted by: Judy - San Leandro Ca | June 19, 2008 7:05 PM

Old man McSame is angrily complaining about Senator Obama's decision to forego public funding, because now Grandpa will only be able to rely on his rich "friend's" donations to the ugly 527 ads that lied about John Kerry's patriotism, and will try again to spin their hate and deception on the uninformed.

It will not work this time.

Viet-Nam veteran U.S. Air Force 1963-1968

Barack Obama2008

www.barackobama.com

Posted by: Luke Gilmore | June 19, 2008 7:07 PM

Barack Obama is taking public finance in form of small donation from your and me - (i sent my $ 20.00 today and i will be sending some in the weeks to come) - while McCain is going for public finance by taking my taxes.

Either way u look at it we are still financing both there campaigns. They aare both getting public financing McCain is doing oldfashioned way while Obama is doing it the way it should, with inovation and new ideas, new grassroot organizations and change...

Everything aboutBarack Obama spells change, new direction and hope for the future while everything about McCain is about the past, old, really old, rust way not fit for this new era.

We want change. Obama 08.

Posted by: Jenny | June 19, 2008 7:23 PM

The People have been underestimated for a long time. Yes We Can! Yes We Will support you through Obama. Nevermind McCorporateMcCain. You will have millions worth of support too. Don't you worry about McCain. Keep fighting for us, unlike McCain. Through you, we will send a clear message to the rest. It is time those specific Republicans LISTEN.

We want a different course, and they KNOW they are in hot water this time around. Respectfully, so be it.

Posted by: Obama2008 | June 19, 2008 7:36 PM

Just reason or proof #151 that Obama is a fraud.

Posted by: DEM now IND | June 19, 2008 8:51 PM

The public is putting fantastc amounts of money into this stooge.

You like Bush? You will love this fossilized spoor.

The beauty of the republican scheme is that all government is bad, so you should elect us into government and we will make it worse. Then, you will be smart.

Posted by: shrink2 | June 19, 2008 9:15 PM

This hypocritical about face is typical politics from a candidate who professes not to be a typical politician. It is really amazing that so many are taken in by Obama's empty rhetoric. He obviously does not mean any of what he says, except of course, that he wants to be elected (and, contrary to his "change" mantra, just like all the rest, will do anything to get there).

Posted by: Jeff | June 19, 2008 9:52 PM

Obama disappoints again. Where's the beef on reform politics? Anything goes if it gives me the advantage? Obama said he would engage in vigorous negotiation with McCain to do public financing fairly. That was a bald-faced lie.

Posted by: fjwas | June 19, 2008 11:15 PM

Another Example, Obama says one thing and does another!

Posted by: Steve Sanchez | June 19, 2008 11:54 PM

Feingold and Obama are my heros.

Posted by: Joe | June 20, 2008 12:27 AM

Ahhh... Change we can believe in. Refreshing, isn't it? Hot air is hot air regardless of the spin. Old politics is old politics regardless of the age of the politician. This Democrat is voting for the guy who has gone out on a limb against his party time and time again because of his principles. THAT is refreshing. THAT is change I can believe in.

Posted by: htc | June 20, 2008 1:56 AM

Seems to me like Obama is correct in refusing to take public financing to run his campaign -- he does NOT, nor will he, represent the public - so he certainly should not take public money!

To those previous commentators who seem to think that the public money available to candidates is a depletion of "public welfare" (fletc3her, 6:37 pm) or a "taking of your taxes" (Jenny, 7:23 pm)- I think they might do well to review some basics on campaign financing, trying to understand some of the purposes behind the provision for public financing are to put certain limits on campaign spending; and to make running for office available to all who qualify - not just those with special interest backing or those who can convince multitudes to make personal contributions. It is a matter of public accountability and election accessibility - not a matter of public welfare, nor a taking of taxes.

Obama would impress more if he choose to accept his funding from a general public fund, together with the limitations that accompany the same -- thereby obligating himself to the American public as a whole, not simply to the nameless many who have so generously donated to his campaign thus far.

As far as I know, the President of this country is still elected in the voting booth, not by popularity/donation contests online.

Furthermore, I believe all candidates running for any office, especially high federal office, and most specifically that of President - should have very strict limitations on campaign spending. When will our elected officials discontinue "buying" their elections? When will the Presidents of this country STOP being "sold" to the masses?

Posted by: CJ Learner | June 20, 2008 1:57 AM

You need not choose between 2 undesirable candidates: John McCain and Barack Obama. No one is forcing you to vote for one or the other.

Exercise your right to express your political views to Washington. Write "Hillary Clinton" on the voting ballot in November.

Even if she does not run as an independent candidate, you should still write her name on the voting ballot. By law, the state goverment must report the percentage (of votes) given to each person -- including an unofficial write-in candidate. The aim is for Fox News and CNN to report the following percentages of the popular vote.

1. 50% Hillary Clinton
2. 30% John McCain
3. 20% Barack Obama

Such strong support will essentially make Clinton the de-facto president of the United States. Before President John McCain initiates any policy, he will unofficially seek the approval of Senator Clinton.

Read "Hillary Clinton as an Independent Candidate" @ http://theclearsky.blogspot.com/#8706393981159671199 .

Posted by: reporter, USA, http://theclearsky.blogspot.com/ | June 20, 2008 1:58 AM

Oh those poor Republicans !!! Now that Obama has opted out of public financing... whatever will they do ? According to Tom Delay and others, now they have no choice but to finance groups Swift Boat style. According to sources more money will be diverted to these 527 groups to create smear campaigns against Obama. GIVE ME A BREAK.....Like these play dirty Republicans didn't plan all along to run smear campaigns against him...... Guess what ? John McCain may be the war hero,but if he thought he could outsmart Obama and ambush him.... he was so wrong. Every Democrat I know says Obama did the right thing. There is no way that he can run the type of campaign he needs, to win against McCain. Johnny likes to look clean, but he has dirt on his hands.

Posted by: Ron | June 20, 2008 2:09 AM

Yo, Ron - meet a life-long Democrat (50+ yrs) who thinks Obama did NOT do the right thing.

The current public financing system for the presidential elections may be in need of updating/reforming, but Obama certainly did not give that any strong effort while a senator, despite the fact that his name appears as one who agreed in the need for such reform.

It certainly behooves him to not submit to the limits of the public financing provision, from a selfish egotistical campaigning standpoint.

When a candidate does not participate in the public financing program - where is his accountability to the "public" as a whole?

Through sleek marketing, Obama has created his own quasi-version of a special interest group -- those making private donations who have "bought" the "package" as advertised, without any proof or showing of true worth.

Posted by: CJ Learner | June 20, 2008 3:48 AM

Obama has lied to a lot of folks in Iowa. He said that he felt our pains and would renegotiate NAFTA. But this week he went back on his word during an interview for Fortune magazine. He lied to us. We'll remember this in November.

Posted by: Disappointed | June 20, 2008 5:27 AM

Reform, come on, you can't BUY anything that way!

Posted by: ZarDotZ | June 20, 2008 6:40 AM

WOW! One more glaring example of what a
total liar Flip! Flop! "Change We Can Believe In" Fraud Barack Hussein Obama is
looking the kool aid drinking Obamafools
right in the face and yet the braindead
Obamabot Cult rushs to their False Messiah
Obama defense again. Pathetic! And like
the saying goes,as to phony Michelle Obama,
"you can put all the lipstick you want on
a pig,but its still a pig"so no way did you,Michelle Obama fool all of us,with your
phony,fraudlent pathetic performance on
"The View" as well! The Obama's Are Frauds!

Posted by: Sherry Kay | June 20, 2008 7:47 AM

And so once again Barack Hussein Obama lies
and flips and flops on Financial Reform and
picks his poor little Obamafools pockets
while greedily pocketing hundreds of thosands of corporate donations as well.

Obama = Phony Lying Crooked Chicago Thug.

Posted by: Ralphinphnx | June 20, 2008 10:16 AM

Here is the survey question Obama answered.

It may sound like, "It depends on the definition of 'is'" but Obama does narrowly uphold to this alleged pledge.

Question I-B:
If you are nominated for President in 2008 and your major opponents agree to forgo private funding in the general election campaign, will you participate in the presidential public financing system?

OBAMA: Yes. I have been a long-time advocate for public financing of campaigns combined with free television and radio time as a way to reduce the influence of moneyed special interests. I introduced public financing legislation in the Illinois State Senate, and am the only 2008 candidate to have sponsored Senator Russ Feingold's (D-WI) bill to reform the presidential public financing system. In February 2007, I proposed a novel way to preserve the strength of the public financing system in the 2008 election. My plan requires both major party candidates to agree on a fundraising truce, return excess money from donors, and stay within the public financing system for the general election. My proposal followed announcements by some presidential candidates that they would forgo public financing so they could raise unlimited funds in the general election. The Federal Election Commission ruled the proposal legal, and Senator John McCain (r-AZ) has already pledged to accept this fundraising pledge. If I am the Democratic nominee, I will aggressively pursue an agreement with the Republican nominee to preserve a publicly financed general election.


Again: the question stated:
If you are nominated for President in 2008 and your major opponents agree to forgo private funding in the general election campaign, will you participate in the presidential public financing system?

John McCain did not officially agree to public financing, until after Obama made his announcement.
That means Obama got it in under the wire.

Also who's to say that his campaign did not "aggressively pursue an agreement with the Republican nominee to preserve a publicly financed general election"?


Meanwhile, Obama has 1.5 MIL donars. I'm one.
47% of his donars have donated less than $200.
55% of his donars have donated less than $500.
Only 4.8% of his donars have MAXed OUT their allowed donations of $2,200

The public is indeed financing his election.

Posted by: Anonymous | June 20, 2008 11:59 AM

Also McCain had effectively been running a General Election campaign from March - June solely on private donations.

And yes, only after Obama made his announcment did McCain officially except public financing.

So McCain has run a GE campaign for 3 months with private funds. Obama made his announcement, and McCain tried his best to not seems dilusional while he misrepresented the facts, further doing the American public a great diservice.

Posted by: Anonymous | June 20, 2008 12:10 PM

So why isn't Messiah Barack Hussein Obama
out in the midwest trying to help the flood
victums,instead of busy picking his own
pathetic kool aid drinker young Obamafools
pockets and stealing their purses instead?
Could it be Preacher Obama Fraud knows he
cannot give a fancy teleprompter speech and
stop the flooding and repair the damage?
Or is Money Bags Crooked Chicago Democrat
Barack Hussein Obama too busy giving more
speechs to explain why he will not accept
public campaign finance help now then?

Obama lied & Campaign Finance Reform Died!

Just say NO to Phony Barack Hussein Obama!
NOBAMA!

Posted by: Sandy5274 | June 21, 2008 12:21 AM

Some of you bloggers here definitely are not smarter than a fifth grader. As you spout off about Barack Obama in negative terms I detect a bit of jealousy about the man. He's highly intelligent, very analylitic, and and very committed to the average people in America. I am not surprised that he turned down campaign finanancing be cause his grassroots movement raises money for him and will continue to throuhout this campaign. He did not take the money because he has a source of funding. Ordinary people. There fore he is unbought and unbossed by the powers that be and free to do the people's will. GOD BLESS HIM!!!

Posted by: mammoins | June 21, 2008 12:05 PM

McCain is not taking your tax money through public financing -- at least he kept his word -- did you even check the box to DONATE $3 to public financing?

Posted by: JakeD | June 22, 2008 9:06 AM


Obama Lies & Campaign Finance Reform Dies!

Posted by: Ralphinphnx | June 22, 2008 10:07 AM

Let's get real here,and "Yes We Can" SEND
Liar Barack Hussein Obama and Michelle Obama Back To Chicago! Obama is Phony Liar!

Posted by: Claudine 1000 | June 23, 2008 8:28 AM

Hey "mammoins" - correct, Obama is "unbought" and "unbossed" by any "powers" that could be regulated by the system in place - I find that very suspicious. Again, where is Obama's accountability to the general public?

Can any of you posters touting the virtues of donations made by "ordinary people" tell me for a fact that all Obama's money came from every day people - not veiled special interests? Have you personally inspected his donations logs? Have you done backgrounds checks on all his donors?

Just because the system needs reformation doesn't mean it should be disregarded by a candidate just so he can claim to be better because he doesn't need the funding which is provided by law.

The system of public funding is in need of reforming. However, I again point out that the scope of the provision deals with more than just providing funding - it also provides for limitations on donations, a thorough inspection of possible "obligations" (shall we use that nice word?) to donors, and a candidate's accountability to the donor group or to the general public as a whole through PUBLIC FUNDING AS PROVIDED BY LAW.

Can any of you Obama supporters tell me for certain where Obama's accountability lies?

Posted by: CJ Learner | June 23, 2008 1:20 PM

Moreover, mammoins - Obama many very well be "highly intelligent, very analytic (sp), and very committed to the average people in America". However you, sir or madam, though you may be educated, lack class.

Anyone who discusses disagreements by suggesting their opposition is "not smarter than a fifth grader" and that they must be jealous of Obama - for that is the only reason to disagree with you and for not supporting Obama - obviously is standing on questionable grounds concerning their own viewpoints.

If you have a valid and well supported viewpoint, argue that - I am certainly not impressed by someone who simply questions the intelligence of their opposition, and suggests jealousy.

I now have another reason to question the candidacy of Obama - more and more of his supporters seem to rely on negativity toward their opposition, and their own belief in the obvious (holier-than-thou) superiority of themselves and their candidate.

Posted by: CJ Learner | June 23, 2008 1:48 PM

Forget for a moment whether you are for Obama, or for McCain, and just consider the following objective facts:

1. Obama's decision to forego the public system will result in his campaign being able to outspend McCain by something like a 3:1 margin.

2. Obama's decision wasn't based on the system being broken, as he's claimed, he just chose the larger number over the smaller one.

3. In terms of 527s: 15 of the top 20 represent Democratic causes, and Democratic 527s have raised significantly more money than their Republican counterparts. Look, I didn't like the Swift Boat guys any more than anyone else who voted for Kerry. But, the left has learned from them and are poised to strike back. It's worth remembering that Senator McCain was opposed to the Swift Boat smear campaign too.

4. Obama's message to donors that by sending him $2 they will be an important part of our political process, although a lovely sentiment, is just clever marketing jargon. I hate to say it, but you are no more an important part of our political process after giving Obama $2 today than you were yesterday.

Forget the issues. Forget what you like or don't like about either candidate. If Obama wins on a level field, fine. But to allow him to simply buy his seat in the Oval Office is wrong on so many levels.

The Founding Fathers never intended that the one with the best fundraising skills win the presidency. Until a few days ago, I was unsure for whom I would vote in November. I did, however, visit johnmccain.com yesterday and make a donation to his campaign.

During the primaries, Obama outspent Hillary by a significant margin. I'm not saying that's why he won, and it's certainly an "all's fair in love and primaries" situation. But in the national election, no candidate should be allowed to outspend another by a 3:1 margin... period.

Posted by: M. Andelman | June 23, 2008 2:53 PM

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