Obama Opts Out Of Public Financing System

Democrat Is First Candidate To Reject Funds For General Election; Will Rely Instead On Private Fundraising

(CBS/AP)  Barack Obama's 1.5 million donors were a financial spigot that was just too rich to shut down.

The Democratic presidential candidate on Thursday became the first presidential candidate from a major party to bypass public funds for the general election since the Watergate era. In so doing, he abandoned his once-stated desire to compete within a system designed to reduce the influence of money in politics.

"This decision could give Obama a huge financial advantage in the general election," said CBSNews.com senior political editor Vaughn Ververs. "By opting out of public financing, he can tap his vast network of small donors who have already given his campaign nearly $300 million. He may be criticized for bypassing a system he has previously voiced support for, but with the amount of money he can potentially raise, it’s a price worth paying for his campaign."

His Republican rival, John McCain, said he would accept the public money for the fall campaign — $85 million available from early September until Election Day — and declared that Obama had broken his word. Obama, who has shattered fundraising records during the primary, is likely to raise far more than the taxpayer-financed presidential fund can supply.

McCain campaign communications director Jill Hazelbaker called Obama a "typical politician who will do and say whatever is most expedient."

"The true test of a candidate for president is whether he will stand on principle and keep his word to the American people," Hazelbaker said in a statement. "Barack Obama has failed that test today, and his reversal of his promise to participate in the public finance system undermines his call for a new type of politics."

Obama 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.

The Illinois senator has called for public financing of campaigns in the past, but while his new decision opens him to charges of hypocrisy, his campaign advisers understand that issues of campaign finance do not rank high in most voters' minds.

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 the day's 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.

His 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."

Obama, said McCain, "said he would stick to his word. He didn't."

"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.

[toolmangler-2009]

Somebody needs to point out that McPhony opted out of public financing in the primaries - hardly a gesture of principle . . .
Posted by SamTheTVCat at 11:22 AM : Jun 20, 2008



But its ok if he does it, hes a ''white American Veteran'', his opponent isn''t

[cozzicon]

"HUSSEIN LOVES RADICALS THAT HATE AMERICA,,, LIKE HE DOES""-- Posted by terrorislami

Yes... so let''s talk about Ayers and his history.

William Ayers was a member of the Weather Underground in the 1960''s and 1970''s. The primary beef the organization had was with the Vietnam War. Although they were also strong supporters of civil rights in general.

What did they do?

They bombed buildings, government buildings. They bombed a lot of them.

How did they do it?

They built their own bombs, and made phone calls in advance of the bombings to ensure that people were not injured.

How many causalities did they inflict: ONE- just one. While a bomb was being manufactured is went off, killing one of the Weather Underground members.

Were they prosecuted?

Yes... and universally the charges were thrown out because of the government''s abuse of power in pursuing them.

So is William Ayers bad?

I suppose people will have to figure this out for themselves. There is source material out there about what the organization did, there are interviews with the former membership, and even FBI agents who pursued them.

What''s the body count in relationship to REAL terrorists:

al-Qa''ida: Thousands

The Weather Underground: One (Their own member)

Bill Ayers:

Not a terrorist in my book. And perhaps even a patriot depending on how you view the Vietnam War.

I know this will be an unpopular view. But it is also the truth.

[rowdywicca]

Posted by SamTheTVCat at 11:22 AM : Jun 20, 2008

Free speech!!??? Now that''s hilarious! When that money is being posted from SPECIAL INTERESET INDIVIDIAUSL and their children and babies, and grandma and grandpa and their employees whom they''ve given money to post! I guess you could call it the free speech of SPECIAL INTEREST GROUPS, though since they bought it, I guess it isn''t quite so FREE!

Obama''s individual donations were audited!!!

But you people don''t get that do you? You will just continue to lie and make excues for this bastward!

He absolutely cannot tell the truth about anything!

He even lies about McCain''s lobby money! McCain''s taken in less than 1.7% from lobbyists, UNLIKE OBAMA!!

And guess what, McCain raised almost dang near as much money as Obama did last month FROM GRASSROOTS donations!

[zerato-2009]

No, actually is the lying shill who''''s total mired in special interest money, TONS of it!

Obama LOVES special interest money as long as it''''s coming to HIM and working for HIM!
----
Posted by RowdyWicca

You say he has special interest money, also know as lobbyist money. Please show me. I belive you can find his contributions at FEC.gov

[aj4321-2009]

McCain changes his positions by the hour.

He might yet change his position and forgo public funding.

McCain == Super Flip-flopper

[aldon61]

this is a test

[renonv5]

Can you say flip-flop?? He said he wouldn''t then he said he would. What a liar.

[rowdywicca]

Posted by SamTheTVCat at 11:22 AM : Jun 20, 2008

No, actually is the lying shill who''s total mired in special interest money, TONS of it!

Obama LOVES special interest money as long as it''s coming to HIM and working for HIM!

[samthetvcat]

pt 1

I hate to once again bash the press, but gosh it''s sure frustrating to hear pundits complain for or against public finance based on ''principle'' without actually articulating just what specifically those principles are. It just seems to me that ''principles'' are an ''argument'' people in this instance make to try and coerce the person who can rake in more cash to give up a competitive advantage, when if the shoe were on the other foot they''d act exactly the same way.

One argument I''ve heard made in FAVOR of campaign financing is that it would eliminate any temptation a candidate might have to take funding from special interests. Yet in this instance, isn''t the candidate with the lesser cash pot actually the one who''s relying on special interests?

The other argument I''ve heard is some nebulous reference to ''fairness'', like if candidates have equal cash then the competition will be based on ideas rather than $. But isn''t $ also a reflection of the popularity of a person''s ideas? Why isn''t anybody asking why it is Johnny McLame can''t bring in the $? And is Barack really required to compensate for McLame''s lack of computer savvy by forgoing his rightly earned $?

[samthetvcat]

pt 2

Finally, isn''t there the argument that the amount of $ spent on campaigns is obscene. But aren''t campaign donations an exercise in free speech? It''s a way for millions of us to send in $5 to say GWB sucks! That collectively those small donations add up to big bucks is besides the point.

Somebody needs to point out that McPhony opted out of public financing in the primaries - hardly a gesture of principle . . .

[l00ker]

Posted by l00ker at 09:12 AM : Jun 20, 2008

You poor, brainwashed, deluded, lemming. Still only reading the "Liberal" press, I see.

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

Posted by DemWatcher at 10:27 AM : Jun 20, 2008
+ report abuse


Eh Watch, you''ve been watching way too much O''Reilly, Rivera, and LushLameLimpButt...snap out of it...

[rowdywicca]

It is totally embarrassing to this country when so many people are strapped that Obama keeps callling for money, when he''s raised over $100,000,000 for his campaigns! Just so he can buy an election!

Again, Obama thinks big money is contemptible unless he''s the one getting the checks or writing them to buy support!

He is a total embarrassment to this country in his greed! Not only that he''s LYING to you about his policies on cutting back lobbyists and PAC''s. FRAUD!

[demwatcher]

Posted by l00ker at 09:12 AM : Jun 20, 2008

You poor, brainwashed, deluded, lemming. Still only reading the "Liberal" press, I see.

[von_marko]

Obama Free Trade Policy:

1. Trade all your hard earned income in to the Government.
2. Trade in your freedom and security for whatever other countries think is best for us.
3. Trade your car in for a bus ticket.
4. Trade your future in for a repeat of the Carter years.
5. Trade security for "hope"
6. Trade paychecks for welfare checks
7. Trade "God Bless America" for "God D*** America"
8. Trade Victory for Surrender
9. Trade %u201CI have a dream%u201D for %u201CNightmare on Obama Street%u201D

[bfjones666]

I am glad to see a candidate that is using a truly public system to finance his campaign. With individual limits at $2300.00, he will not feel he owes anything to any special group since all of his contributers are sending him an average of $100.00 right now and that will probably continue through to November. I read the questionnaire he checked the box in that the media claims he is now reversing but the facts are clear. He checked the box that said would you use public financing if the Republican nominee did the same? John McCain waited until AFTER Obama said he would NOT accept public financing to say that he now does and then ry to make political hay out of it. The fact is that the Republican nominee HAD NOT accepted public financing at the time that Obama opted out. This is not a reversal. This is another attempt by McCain to say anything he can to compete and he is not going to get away with it this time. Sure, people can read the headlines and say John McCain says Obama is flipping on this but that just isn''t true.

[von_marko]

I''m voting Democrat because I believe that the best strategy in war is defeat. It broadens the mind to learn Japanese, German and Arabic. Talk about multiculturalism!

[l00ker]

McPain and the Pubs can cry and sniff and welp, but it doesn''t matter. They are so behind the eight ball in fund raising against the Obama ATM, that they will try to make that a campaign issue as well. Talk about the bunch that can''t shoot straight, and making an issue out of campaign contributions by every day walk of life American citizens. No campaign finance manipulation and special favors here; heck, the Obama donors, those of us who have shelled out at least a whopping 200 simolians, are considered fat cats, but you won''t see us in on any secret energy or trade deals if our guy gets in. So, just another grasp at yet another straw by the poor old GOP ( George Obliterated the Party ) trying put up a showing against their **** poor state of things, thanks to their good old boy incurious George. Now that''s rich.

[bec67]

Obama is just another lying, two faced, flip flopping, forked tongue politician, "CHANGE" RIGHT!!!

[banders6]

SamTheTVCat - Yes it is embarrassing not to have specical interest groups with deeep pockets that you have to rely on the fed for help.

[sofasofa]

JOHN McCAIN: Has voted AGAINST every fuel bill. McCain supports outsourcing our military tanker contracts to a foreign country at the expense of American jobs & security. McCain is AGAINST Equal Pay/Equal Rights for women -- He says "women just need to get more education". McCain''s campaign advisor, Phil Gramm, lobbied U.S on mortgage crisis. Economist blame Gramm for mortgage crisis.Swiss banks paid Gramm to oppose re-writing loans for foreclosed American homes. McCain opposes federal assistance for American homeowners facing foreclosure. McCain voted against raising the minimum wage.Cecile Richards, president of Planned Parenthood, says McCain has voted AGAINST EVERY FEMALE HEALTH ISSUE. He voted AGAINST funding for family planning.He opposes regulations requireing insurance companies to cover prescription birth control pills! BUT, he''s AGAINST a woman''s right to choose! What''s a woman to do?? McCain voted AGAINST CHIP''S -- Children''s Health Insurance Program. McCain opposes tax breaks for the middle class, for seniors, opposes financial help for college students, AND opposes universal health care. McCain missed the Senate vote on the G.I Scholarship bill! He opposes the bill. McCain''s military file contains 636 pgs. Only 17 pgs. were released in response to the A.P''s Freedom of Info Act request. Vietnam Veterans Against John McCain dispute McCain'' recollection of his actions in Vietnam. JOHN MCCAIN ADMITTED HE IS "ILLITERATE" WHEN IT COMES TO OPERATING A COMPUTER!! WHOA!!