Federal election officials are calling Hillary Clinton's decision to forgo all Federal funds in both the primaries and the general election, should she win the nomination, a likely fatal blow to the public financing system. Clinton may not be the only one to reject the funding. The article mentions John McCain and Barack Obama as two other potential no-public-funds candidates. The problem then becomes that without Federal money involved, there are no spending limits imposed. This is going to be a long, expensive campaign season.
By opting out of the system, Clinton will be able to spend as much money as she can raise, both for the primaries and for the general election, rather than being forced to abide by strict spending limits imposed by the Federal Election Commission on candidates who accept public financing.
Others have opted out of public financing for the nomination campaigns, but Clinton is the first since the current structure was created in 1974 to declare she will forgo public financing in the general election as well.
Clinton's decision will put pressure on other candidates in both parties to follow suit, and if they do, the 2008 campaign will complete what has been the rapid disintegration of a system designed to rein in unlimited spending in presidential campaigns.
One effect is to put lesser-known candidates at a further disadvantage in competing with rivals who have the capacity to raise huge amounts of money.
"It's going to be a tremendous test of whether this system survives," Robert Lenhard, chairman of the Federal Election Commission, said of the pressure building on the existing system. Michael Toner, his predecessor, was less restrained. This election, he predicted, will be "basically the death" of public financing.
The real downside: Bigger costs for campaigns means more money needed. More money needed means bigger contributers. Those big contributers expect some return for their investments, of course.
Campaigns are learning to tap into smaller contributors using the Internet, but Meredith McGehee, policy director at the Campaign Legal Center, said the breakdown of the system ultimately will put more distance between politicians and the people they are seeking to represent. "The pool of people that you're going to to finance the presidential election, the very nature of that pool of people is changing, and it's changing for the worse," she said.
The article points out that George Bush opted out of the Federal funding program for the primaries (they imply he was the first to do so, I am not sure that is correct, if anyone has any information on that, I'd appreciate hearing from you). But Bush did not opt out of public financing for the general election. Clinton has done so right off the mark. That will be one more strike against her from the netroots. Not that they really needed another one.
The problem comes as all the politicians shift more and more to focusing on the big money donors as the only way they can get elected. The Democrats no different form the Republicans in that regard. Not one bit.