Clinton's $20M Debt Could Cause Headaches

Campaign Unsure How The N.Y. Senator Will Handle $20 Million In Loans, But Obama May Help

(AP)  Should she lose or abandon her quest for the Democratic presidential nomination, Hillary Rodham Clinton will have to deal with her campaign's more than $20 million debt - a step that could test her relationship with Barack Obama and raise new issues in campaign finance law.

Clinton owed $10 million at the end of March, has made loans to her campaign totaling of $11.4 million thus far and will more than likely end the primary season significantly in the red.

Among her options is transferring that debt to her Senate campaign committee and paying it off with contributions to her 2012 re-election effort.

But, for the short term, many Democrats believe the answer lies with Obama and his vast network of contributors.

“That is a normal thing when a candidate finishes a race and loses, the winning candidate would try to help if there's some debt that's been incurred,” said Tad Devine, a Democratic consultant who has worked in several presidential campaigns but is unaligned this year.

By law, Obama cannot write a massive check from his flush campaign account to hers. But Obama donors, large and small, might be willing to donate to Clinton in the name of party unity.

Clinton campaign officials say they have not contemplated what she will do with the debt. Asked whether she would welcome financial help from Obama, her spokesman, Howard Wolfson, told “Fox News Sunday” that “any talk of that is premature.”

Obama's chief strategist, David Axelrod, offered a similar response.

“She hasn't asked, and we haven't offered. And I think that discussion is way premature,” he said on the same program.

Clinton's loans to the campaign comes from her share of the wealth she and her husband, former President Bill Clinton, have amassed since they left the White House in 2001. Their tax returns show they made $109 million in the past seven years.

But if Clinton wants to pay herself back for the millions she has poured into her historic campaign, donors willing to help her would have to act quickly.

Under a 2002 campaign finance law that Republican presidential candidate John McCain helped write, Clinton would have only until the Democratic convention in late August to raise money to cover her loan. After the convention, she could only raise up to $250,000 toward paying it off.

“The biggest time crunch for her are the personal loans, that she has to move on between now and the Democratic convention if she wants to be paid,” said Michael Toner, a former chairman of the Federal Election Commission.

But if Obama were to ask his donors to help Clinton, it would be at the same time that he likely will be asking those donors to contribute to the Democratic National Committee so the party will have money to help him in the general election campaign.

“We're behind in fundraising for the general election at the DNC,” said Steve Murphy, a Democratic consultant who helped run New Mexico Gov. Bill Richardson's presidential campaign. “You want to run a lot of money through the Democratic National Committee.”

Clinton might have another avenue at her disposal. The law permits her to transfer the presidential campaign debt to her Senate re-election committee, which would allow her to use contributions to the Senate account to pay off presidential campaign vendors. Clinton is up for re-election in 2012.

Campaign finance lawyers say she also is entitled to transfer money she raised for the presidential general election to her Senate account, provided those donors agree to reassign the money. Clinton has raised more than $22 million for the general election. If donors approve transferring any of that money to the Senate committee, some lawyers said it appeared she could use it to pay off the debt.

Others raised doubts, saying such use of money from general election contributors to retire primary debt would amount to double giving by those donors.

“This is pretty uncharted,” observed Robert Biersack, a spokesman for the Federal Election Commission.

The question could end up before the six-member FEC, which currently has no quorum as it awaits Senate action on five nominees recommended by President Bush.

Sen. Christopher Dodd, D-Conn., who abandoned his presidential bid on Jan. 3, has asked the FEC if he can transfer his general election contributions to his Senate re-election committee. Dodd's request is complicated by the fact that he accepted public financing for the primaries; Clinton did not.

Still, the FEC's response - if and when it provides one - could help inform the question of how Clinton handles her debt.

[omaar-101]

Let Hill & Bill, have Ugh..W.Virginia & Kentucky.

Oregon is going to be Clinton`s ...

North Carolina Nightmare...All Over ...Again !!

She`s Dropping out in (2 Weeks)


Total Delegate Count

Democrats | 2,025 Needed to Clinch

OBAMA 1,871

CLINTON 1,690

EDWARDS 18
Republicans | 1,191 Needed to Clinch

MCCAIN 1,328

HUCKABEE 231

ROMNEY 149

CBS News estimates. Includes super delegates.


Hillary`s A!! is Grazing Grass

Obama does not need Florida-Michigan, nor does he need W.Virg. or Kentucky.

Hillary`s A!! needs them All an when she gets them, it still won''''t be...ENOUGH !!

Oregon is going to be Hillary''''s North Carolina Nightmare...All Over Again.

Obama has the popular Vote, Delegates and Super Delegates

[davidlar2]

Eating $20 million herself is not in Hillary''s interests and the world must revolve around what is in Hillary''s interests. Otherwise she might cry again.

[questionnews]

What do the Clintons need that $20 million for? $89 million is not enough to live on?

Am I missing something here?

Posted by SHURCH4TRUTH at 12:48 PM : May 13, 2008

$89 million is just above poverty level for folks like "The Clintons" I''m sure they will be applying for foods stamps & section 8 housing very soon.

[briannorwood]

If I were Barak, I wouldn''t even consider helping Hillary until AFTER the November elections, just to keep her on his leash.

If she tries to torpedo his campaign (any further than she already has), I wouldn''t give her a nickel!

[sjc_1]

No problem, 1 million people will chip in $20 each on the internet and poof, no more debt.

[thisandthat1]

If her debt is such a problem ... why is she still out there throwing good money away every day on a failed bid for the nomination? If she''s so concerned for poor people and blacks in the south and inner city folks as she''s been saying .... that money she''s still spending on the campaign trail would go a long way. Guess she doesn''t really believe it that much!

[a-ji]

$20M in debt! Take a deep breath Hillary take a real good deep breath...

[charisma9949]

I''m not sure she should expect Obama to help out if she continues to increase her debt by continuing this farce of a campaign. It might have been conceivable when the debt was "only" around 10 million $ but it''s double that now and she''s indicated she will pour even more of her own money into what''s left of her campaign. If I were Obama I wouldn''t rush to help pay her ever-increasing debt which is being incurred for really no good purpose.

[shawnp1968]

%u201CThat is a normal thing when a candidate finishes a race and loses, the winning candidate would try to help if there''s some debt that''s been incurred,%u201D said Tad Devine, a Democratic consultant who has worked in several presidential campaigns


Yeah.... SOME debt being the key words here. I''m sure he wouldn''t mind helping with SOME debt... but we''re talking about $20+ million dollars here... and she just keeps racking up the total!!! I think it''s time for Hllary to learn a hard lesson... let her drown in her own debt!!!

[craigh9]

HILLARY ONCE AGAIN PROVES WHAT A GREAT POLITICAN SHE IS. SHE HAS NO SHOT AND NO MONEY - BUT DOESN''T LET A LITTLE THING LIKE THAT STOP HER - KEEP SPENDING MONEY YOU DON''T HAVE - IT''S THE AMERICAN WAY!!!!!!!!!!!!!!!

[craigh9]

Let her pay the whole thing off herself - she''ll make five times that amount when her book about her run for president comes out anyway.

[labrat9999]

Gee if she can''t run a campaign without running it into debt how was she expecting to run a country that is in Financial crisis? Anyone who would support a candidate like this is just not interested in what is best for the country. If she hadn''t been such an ego maniac and quit while she could still pay her debts she wouldn''t be in the trouble she is in. And I don''t think anyone should have to bail her out. She made the mistake, she and her backers ought to pay the bill.

[mike71067]

WASHINGTON: Senator Barack Obama is acting as if he already has won the Democratic presidential nomination, but Senator Hillary Rodham Clinton is poised, ironically, to score two of her most lopsided primary victories and possibly enhance her political clout.

[shawnp1968]

I don''t understand how Obama should have any responsibility for paying off any of Hillary Clinton''s irresponsibility. She can''t raise money, and what little she has been able to raise, she can''t spend wisely, not to mention the fact that she has shown poor taste in the way she has handled no-payment of her debts owed!!!

[craigh9]

WASHINGTON: Senator Barack Obama is acting as if he already has won the Democratic presidential nomination, but Senator Hillary Rodham Clinton is poised, ironically, to score two of her most lopsided primary victories and possibly enhance her political clout.


--------------------------------------------------------------------------------

Posted by mike71067 at 01:43 PM : May 13, 2008

This has been known for months - and don''t forget the opposite will occur with Oregon, Montana, and South Dakota. IT OVER FOLKS!!!!!!!!!!!!!!

[shawnp1968]

WASHINGTON: Senator Barack Obama is acting as if he already has won the Democratic presidential nomination, but Senator Hillary Rodham Clinton is poised, ironically, to score two of her most lopsided primary victories and possibly enhance her political clout.


--------------------------------------------------------------------------------

Posted by mike71067 at 01:43 PM : May 13, 2008

mike... good for you... keep holding onto your pipedream!!!

[obamaslady]

" . . . Clinton is up for re-election in 2012."

I pray that the people of NY stop and ''THINK HARD'' before they ''automatically'' vote for HRC in light of the ''mean and nasty campaign'' she conducted during this presidential bid which, in effect, has shown the clintons LACK OF TOTAL CONCERN FOR SPLITTING THE DEM PARTY AND HURTING SEGMENTS OF THE PUBLIC, THEIR ABILITY TO LIE OVER INCONSEQUENTIAL EVENTS, AND THEIR GREEDY EGOMANICAL LUST FOR WEALTH AND POWER. The people of NY have seen first-hand "WHO" the clintons truly are, and based on this information [rather than thoughts of the clintons of the 1990s] have a more complete picture in which to form an opinion before giving their votes. Let''s hope they make the right decision before pulling that lever. Character [or lack thereof] should absolutely be a very important factor for putting trust in any official and it becomes impossible to "trust" anyone who lacks character!

[kenhamlett]

Hopefully Mr. Obama or his staff plans for the future. He will need every cent he can raise for the election. Ms. Clinton is causing needless expense and may be expecting someone else to bail her out. (That is just outsider speculation at this point.)It should not be expected this time. If there are extra funds available after the election it might be another matter but for now Mr. Obama should be making preparations for the main battle.

[shawnp1968]

It''s not snipers that she is running from... it''s bill collectors!!!

[mike71067]

And, perhaps more important, a massive margin of victory could bolster Clinton%u2019s central argument to the superdelegates who will ultimately decide the nomination. Her campaign contends that Obama has serious problems with the blue-collar and elderly whites who dominate West Virginia%u2019s voter rolls %u2014 and who Team Clinton asserts will be key in a number of states if Democrats are to defeat presumptive Republican nominee John McCain.

[mike71067]

"mike... good for you... keep holding onto your pipedream!!!"
-Posted by SHAWNP1968 at 01:45 PM : May 13, 2008

It''s not me, it''s the political observers at The Hill.

[mike71067]

I pray that the people of NY stop and ''THINK HARD'' before they ''automatically'' vote for HRC in light of the ''mean and nasty campaign'' she conducted during this presidential bid which, in effect, has shown the clintons LACK OF TOTAL CONCERN FOR SPLITTING THE DEM PARTY AND HURTING SEGMENTS OF THE PUBLIC, THEIR ABILITY TO LIE OVER INCONSEQUENTIAL EVENTS..."
-Posted by ObamasLady at 01:46 PM : May 13, 2008

If it weren''t for the "mean and nasty campaign", as you put it, we Americans would never have discovered Rev. Wright, the racist bigot, Bill Ayers, etc., until it was too late.

Thank God for Hillary. The Republicans are too afraid to expopse Obama''s weaknesses, so somebody''s got to do it.

[craigh9]

I''m from NY and the democratic machine runs everything political in that state.
Hillary wasn''t born there, rasied there, educated there, or ever lived there but she is the Senator because thats what the machine wanted - they could get Goofy elected if they wanted to - OOPS! they already did!!!!!!!

[justspiffy]

Maybe not Warren Buffet is for Hillary.
She probably won''t have money worries. :)

[dchu76]

WASHINGTON: Senator Barack Obama is acting as if he already has won the Democratic presidential nomination, but Senator Hillary Rodham Clinton is poised, ironically, to score two of her most lopsided primary victories and possibly enhance her political clout.
--------------------------------------------------------------------------------
Posted by mike71067 at 01:43 PM : May 13, 2008

When Clinton wins tonight by even 40% she will only gain 10 delagates more than obama. Then consider Obama ganied 15 delagates in NC with his win.

[no_billary]

The Clintons can just sell racist curious george tshirts to raise the money like there buddies @ Mulligan''s in GA:

http://www.ajc.com/metro/content/metro/cobb/stories/2008/05/13/mulligans_0514.html


as featured on drudge report

[samthetvcat]

The Clintons are rich, really really rich.
After taxes and donations haven''t they''ve netted around $60mil the last 10 years? And Bubba''s rent and office expenses are paid for as part of his pension plan, their chauffeurs/car/gas expenses are also covered, apparently secret service pays them something like $10k a month to rent out their NY guest house, and they''re both workaholics who probably don''t have a lot of time to spare spending $. Add to that the fact that their only child is grown and works for a hedge fund, and they maybe have $40mil to $50mil in the bank with the capacity to earn more money very fast through books and speeches.

Chelsea''s not materialistic, and how much would you really want to leave your kid anyway? Probably not more than $10mil after taxes (?) I would guess that they haven''t spent any money they weren''t willing to see gone forever.

That being said, I wouldn''t put it past the Clintons to use the debt issue as a thorn in Barack''s side that''s going to drain his time, energy and resources as he wants to focus on the general. Just because . . .

[craigh9]

The media can''t let go any easier than Hillary can - tonight means absolutely nothing for 2 reasons, the number of delegates is very small and it was well known that after Indiana the best Hillary could hope for was to break even over the remaining 6 contests.
If she wins tonight with 100% of the vote - NOTHING CHANGES _ IT"S OVER FOLKS!!!!!!!!!!!!!!

[frankky18]

I will not donate a single dime for her She''s a rich, lying,story telling, stubborn, conning loser.

[shoebox119]

As Kenny Rogers used to croon, "Know when to hold ''em... know when to fold ''em..."

In other words, Hillary, the fat lady''s been singing since the Texas primary but you haven''t been listening. It''s time to get out... now. Remember, the Clintons don''t always have to win and in this case, it''s no longer a matter of "if" but "when."

[dchu76]

As an Obama supporter, i would be open to paying off her campaign debt minus the personal loan and mark penn. That mean i wont mind if Obama offers to raise 6-8 million for her. Clinton supports can payoff Mark penn and her 11$ mil personal loan.

[docpeter-2009]

From the story, "But if Clinton wants to pay herself back for the millions she has poured into her historic campaign, donors willing to help her would have to act quickly."

Geez! Sounds more to me like she shouldn''t have invested so much in herself. Especially knowing/seeing that she was losing (almost said a loser:-))

[ramos937]

Hill, whether she wins or loses, and Bill are more than able to handle this $20M debt and more. If she loses, she can promise to write a book about campaigning or something like that and use the book advance to pay off the debt. If she wins, Bill can do the book. No worries.

[notopennshut]

I wonder why anyone would want to help her "retire" her campaign debts! Why would we, the small everyday person, who works hard and trying to live, would have to donate money for the Billaries who have earned hundreds of millions over the last years. Have we heard anything more foolish than this?? I hope that they would be respectable and responsible people and NOT ASK anyone to help them out of this self-inflicted debt. They went into it with open eyes and wanting to win at any cost - this is a price you need and must pay and not lay the burden on any of us hard working folks, black, white, yellow or green. Whatever color or creed, we, who earn 100k or less per year should not be burdened any further. This is what is wrong with politicians. All they want is to take and take again, even when they are a thousand times better than us everyday people.

[repdemapart]

These pundits and commentators forgot the Billary is worth $110M. $20M in debt is a cake walk. WAKE UP PUNDITS!

[dotindixie]

Lord, Can''t any of you imagine she might be willing to spend her own money (she has plenty) for HER COUNTRY, not herself?

If I thought I could pay Obama enough to go away, I''d give him everything I have.

I really despise his name-calling groupies.

D### Wright

[dotindixie]

Oh, and another thing. I don''t think for a minute she would consider the VP slot.

[boatdocster]

HRC stays in luxary hotels, spent her money foolishly and could not get donations because of how poorly she ran her campaing and how much of a 2 face liar she is.

Her and Bill have made a 110 million, probably 60 million after taxes.

She wanted to play in the big rink and had her buttt handed to her.

If she really wants to a true supporter of the blue collar crowd (as she claims), she should pay off her debt out of her own money. To do a good deed for the blue collar worker.

I can see NO reason why Obama or his supporters should pay HRC one dime. Her attitutde about the whole process is also an excellent reason about why she is NOT VP or cabinet material - she needs to pay her bill, pack her bag and go home.

[moneymcbush]

Im sure John McCain''s billionaire wife can pay Hillary''s debt off to return the favor, since Hillary has been campaigning for crazy McCain and his right wing lunatic friends for months.

[themagic07]

DEAN, PELOSI, KENNEDYS, and REID are ELITIST for DNC Leadership. People are still voting, and these ELITIST democrats want to proclaim the car salesman as the winner. Is this democracy all about? The car salesman (Obama) said that the Michigan and Florida votes are for beauty contest. Give me a break. Sen Hillary has been unfairly treated by these Democrat ELITISTs, including media/pundits.

Remember a vote for this rookie car salesman is a vote for WRIGHT, REZKO, AYERS, AND FARAHKHAN%u2026..OBAMA is dishonest and disgrace. He does not deserve my vote!

[dchu76]

Lord, Can''''t any of you imagine she might be willing to spend her own money (she has plenty) for HER COUNTRY, not herself?

If I thought I could pay Obama enough to go away, I''''d give him everything I have.

I really despise his name-calling groupies.
D### Wright
--------------------------------------------------------------------------------
Posted by dotindixie at 03:32 PM : May 13, 2008

No one is stopping her from spending HER money, why solicit money from people then.
Also wonder where all that money came from, and where the money for the Clinton library came from. Yep the arabs. The dubai port deals, 10$ per year to "advise" the UAE investment fund. The king/princes of saudia arabia donating to the library. She is the arab worlds Mancurian Candidate.

[dchu76]

DEAN, PELOSI, KENNEDYS, and REID are ELITIST for DNC Leadership. People are still voting, and these ELITIST democrats want to proclaim the car salesman as the winner. Is this democracy all about? The car salesman (Obama) said that the Michigan and Florida votes are for beauty contest. Give me a break. Sen Hillary has been unfairly treated by these Democrat ELITISTs, including media/pundits.

Remember a vote for this rookie car salesman is a vote for WRIGHT, REZKO, AYERS, AND FARAHKHAN%u2026..OBAMA is dishonest and disgrace. He does not deserve my vote!



--------------------------------------------------------------------------------

Posted by themagic07 at 03:43 PM : May 13, 2008

Haha you delusional person, clinton agreed that florida and michigan wont count in Aug 07. Here is her statement youtube.com/watch?v=KmUVr_Qt2Wg

She is just pandering for votes now.

[remco82]

Give it up, Hillary!

[redbds]

The sad part that is left out of this article is that there are a lot of mom and pop businesses out there that she owes money to that will not get paid. I know that she will pay back her loan before she pays those bills. She is just greedy like that.

[moneymcbush]

Its really disgusting how an elitist like mega millionaire John Sydney McCain III can be so dead set against helping our American troops by opposing the new GI Bill.
Why doesnt McCain care about veterans?
No one who is against taking care of our veterans is fit to be commander in chief.
McCain is nothing more than a corrupt Washington insider who feels entitled to inherit the failed Bush regime.

[redbds]

Any of you that think that Hillary is going to pay for her campaign out of her own pocket or rather Bill''s pocket is crazy. She wants to be president but she will not pay with her personal finances. That is why she loaned her campaign money instead of giving it outright.

[blackmilitan]

ITS OBAMA WHITE MOMMA AND WHITE GRANDPARENTS FAULT

1. SHE DATED AND LOVED A BLACK MAN AT A TIME WHEN MOST WHITE FOLKS HATED BLACK MEN
2. SHE WAS A PROPHET AND SHE COULD SEE INTO THE FUTURE, SEE SAW ONE DAY THAT A MAN NAMED HUSSIEN WOULD RUN IRAQ, SO BEFORE THE WORLD HEARD OF HUSSIEN, SHE NAMED HER SON THAT TO PREPARE HIM TO BE A MUSLIM EXTREMIST. SHE ALSO AS A PROPHET NEW THAT AL QUADA WOULD ONE DAY BLOW UP THE TWIN TOWERS.
3. HIS GRANDPARENTS LOVED HIM TOO MUCH, TOLD HIM NOT TO WORRY ABOUT HIS COLOR THAT ALL THE PEOPLE OF THE WORLD CAME FROM ONE GOD..WHY THEY LIE TO HIM LIKE THAT.
4. HIS PARENTS RAISED HIM SO THAT HE CAN MEET WITH AND RESPECT REPUBLICANS, DEMOCRATES AND MUSLIMS AND ALL PEOPLE - THEY MESSED HIS LIFE UP, MAKING HIM THINK WHITE FOLKS WOULD ACCEPT HIM.
5. HIS MOTHER GAVE HIM GOOD HARD WORKING VALUES, HE WENT TO HARVARD AND GOT HIS DEGREE - NOW HE TOO SMART FOR BLUE COLLAR WHITE MEN - HIS MOTHER FAULT - SHE SHOULD HAVE MADE HIM A THUG INSTEAD OF A HARD WORKING MAN.

DAYUM WHITE WOMEN FOR LOVING A BLACK MEN AND HAVING HIS SON AND RAISING HIM RIGHT SO ONE DAY HE COULD TURN OUT TO RUN FOR PRESIDENT

DAYUM THEM ALL I SAY!

[mydogdylan6]

Big Deal. Bill will do just do another "speech" and pocket some more Columbian free trade money. Hillary will just do another illegal real estate deal and profit from her insider trading buddies again.

Then they''ll simply cover up and hamper another federal investigation. It''s easy money for the Clintons, they''ve been doing it for years. I''m sure they''ve got it down to a science by now.

[acolton1]

Clinton owed $10 million at the end of March, has made loans to her campaign totaling of $11.4 million. She knows she can''t win mathmatically to Obama and since she knows that the Democratic Party and the Americna People should not have to pay her back since she can''t win. I am a Democrat and like both Clinton and Obama but it''s just stupid for her to keep dumping money into something she can''t win. Just like the war in IRAQ.

[one231]

themagic07, ****, your REPUBLICAN FEAR TACTICS + GUILT BY ASSOCIATION IS FUTILE ONLY PEOPLE WITH THE SMALLEST OF BRAINS WILL FOR FOR THIS