FEC OKs narrow test for soft-money ban
By The Associated Press
06.20.02
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WASHINGTON — As President Bush raised a record amount for GOP congressional candidates last night, federal regulators opened the door for members of Congress to continue raising large corporate and union donations without violating a ban on such "soft money" that takes effect after the fall election.
With one Democratic member joining three Republicans, the Federal Election Commission voted 4-1 that the only way a federal candidate or officeholder could violate the ban on soft money would be if the candidate explicitly asked for it. The FEC's chief attorney, Larry Norton, warned the commission that adopting such a narrow test would create "the potential for great mischief."
"It doesn't seem to me to take a great deal of cleverness to solicit contributions without asking," Norton said.
Democratic commissioner Karl Sandstrom acknowledged that his proposal "indeed runs that risk" but said he proposed such a strict litmus test to protect free-speech rights.
"I am not into policing private conversations," Sandstrom said. "Everybody's out there soliciting support from everybody," and support could mean different things to different people, he said.
Soft money refers to unlimited contributions from corporations, unions and others for party-building purposes not directed at any specific campaign. Campaign-finance legislation passed by Congress this year bars national party committees and federal candidates from soliciting soft money after this fall's election.
Yesterday, the commission also rejected efforts to define the law's restrictions on issue ads. The panel voted 4-2 against a proposal that would have allowed ads urging people to contact lawmakers about bills or other issues, as long as the ads didn't promote a candidate's election or defeat, The New York Times reported.
The Times also reported that commission deadlocked on how to define the law's ban on using soft money to buy ads that "promote," "support," "attack" or "oppose" federal candidates. Because the commission couldn't settle on a definition, the new rules will include the exact language from the law, the newspaper said.
Meanwhile, Don Simon, chief counsel for Common Cause, a proponent of the soft-money ban, said the FEC opened a major loophole by endorsing a narrow test for the ban.
"If they recommend or suggest a contribution be made, it won't be covered," Simon said. "You just have to use the word 'ask,' but there are all kinds of ways to get around it."
The law's proponents have pledged to seek congressional action or sue if they feel the rules the commission creates to enforce the law are too weak. Simon said his group was waiting to see what the FEC does on other key aspects of the law before deciding how to proceed.
Voting with Sandstrom for the strict test were the FEC's three Republican members, chairman David Mason and commissioners Bradley Smith and Michael Toner. Democratic commissioner Danny McDonald voted against the proposal, and Democrat Scott Thomas abstained in protest.
"The magnificent foursome strikes again," Thomas said, referring to several votes by Sandstrom and the three Republicans throughout the day to narrowly interpret the law.
In a series of 4-2 votes, the commission also:
Let state and local parties use soft money to finance activities on the Internet — an increasingly important avenue for campaign contributions, grass roots organizing and promotion. The commission made it clear that state and local parties can pay for mass e-mail distributions or telephone calls placed through the Internet entirely with soft money as long as they contact fewer than 500 people.
Let state and local parties potentially raise more soft money for general get-out-the-vote activities to help candidates facing primary challenges.
The commission did so by concluding that election activities regulated by federal law begin only after a candidate makes it onto a primary or special election ballot.
In even-numbered election years, candidates facing no primary challenge would be covered by the law's restrictions beginning Jan. 1. Others could wait until as late as August, when their primary ballot is settled.
Defined several types of election activities that will be considered get-out-the-vote and voter identification efforts, for which state and local parties can spend at least some soft money.
The Democratic Party's chief lawyer declared himself pleased after the early votes. "There's a long way to go on this, but so far the discussion, the amendments have been constructive," said Joseph Sandler. The commission was returning Thursday to decide other key issues on the soft money ban.
Republican National Committee general counsel Tom Josefiak declined to comment on Wednesday's action, saying he was waiting to see the final product.
The decisions were made the same day Bush helped raise a record take as headliner for a gala for GOP congressional candidates.
Last night's gala for the National Republican Congressional Committee and its Senate counterpart lifted this year's fund-raising total for Bush and Vice President Dick Cheney to at least $97.9 million. Bush is certain to take it over $100 million at a Florida GOP dinner Friday with his brother, Gov. Jeb Bush.
Update
Campaign-finance law sponsors to challenge FEC rules
Strategy targeting regulators' plan to enforce soft-money ban comes as Republican Party seeks details on its rivals' fund raising, ads as part of its bid to overturn new law.
06.26.02
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Supporters, foes of campaign-finance law seek to sway regulators
Issue discussed at hearing is how and to whom FEC should apply law's ban on raising, spending of soft money.
06.05.02
