Sunday, November 9, 2003
Demo contender Dean rejects public campaign money
The Associated Press
Howard Dean signs "a declaration of independence by the People of Dean for America." He has already raised more than $25 million.
By John Whitesides
REUTERS
WASHINGTON - Democratic presidential contender Howard Dean said Saturday that he would opt out of public financing in the primaries, abandoning "a broken system" so he can spend unlimited amounts of money in his race for the White House.
The former Vermont governor will be the first Democrat in history to forgo the Watergate-era, taxpayer-financed system that encourages small donations by matching them with federal funds, freeing him to exceed the $45 million spending cap that comes with the money.
Dean announced the move in his hometown of Burlington, Vt., after more than 100,000 supporters overwhelmingly endorsed the idea in a two-day nationwide vote.
The decision drew strong criticism from Dean's Democratic rivals for the presidential nomination and is expected to convince at least one of them, Massachusetts Sen. John Kerry, to join Dean in forgoing public funds.
Dean said he was forced to opt out in order to compete with Republican President Bush, who already has announced he will forgo matching funds in the primaries and is on pace to raise more than $170 million in the primary season.
"The unabashed actions of this president to undercut our democratic process with floods of special-interest money have forced us to abandon a broken system," said Dean, who had pledged to accept public funds before he began his own fund-raising surge earlier this year.
Dean, who has smashed Democratic fund-raising records with his Internet-driven, insurgent campaign, raised another $5 million in donations and pledges during the two days of voting on public financing.
By abandoning the system, Dean will be able to spend unlimited amounts of money during the time between the selection of a Democratic nominee, which could come as early as March, and the party conventions in August - a period when a nominee who accepted the limits would likely be broke and unable to challenge Bush.
The decision will cost Dean nearly $19 million in federal matching funds, but he already has raised more than $25 million and bumped up against the limits - which also cap the amounts that can be spent in individual states like the early battlegrounds of New Hampshire and Iowa.
The taxpayer-financed system was set up primarily by Democrats in 1976 in the aftermath of the Watergate scandal, and some public-interest groups said the moves by Dean, Bush and possibly Kerry would force Congress to make changes.
The two-day canvas of 600,000 Dean supporters, conducted largely over the Internet, concluded at midnight EST Friday. About 85 percent of those who participated backed the move, Dean said.
Democratic rivals blasted the decision and said Dean used his supporters to provide political cover for changing his position and rejecting public funds.
"Just like President Bush, Howard Dean has effectively undermined campaign finance laws for his own personal, opportunistic political advantage," said Steve Murphy, campaign manager for Missouri Rep. Richard Gephardt.
Bush was the first candidate to opt out of the system during the primary season in 2000. Public-interest groups called on Dean to abide by the spirit of the law by pledging to limit his spending to $45 million until a nominee was chosen.
Most of the Democrats vying for the right to challenge Bush have said they will accept matching funds, with only Kerry and retired Gen. Wesley Clark reserving a decision.
Kerry is likely to opt out of the system in the next few weeks, allowing him to tap into the sizable personal assets he shares with his wife, ketchup heiress Teresa Heinz.
