Originally posted by Nazgul35 (
here is the full outline of the facts:
http://www.fec.gov/info/pfund.htm The Presidential nominee of each major party may become eligible for a public grant of $20 million (plus a cost-of-living adjustment (COLA)) for the general election campaign. In 1992, each major party nominee received $55.24 million. To be eligible, candidates must agree to limit their spending to the amount of the grant and must pledge not to accept private contributions for the campaign.1 Private contributions may, however, be accepted for a special account maintained exclusively to pay for legal and accounting expenses related to complying with campaign finance law. These legal and accounting expenses are not subject to the expenditure limit.2 In addition, candidates may spend up to $50,000 of their own money on the campaign.3 Such spending does not count against the expenditure limit.
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Supplemental Spending
Major party nominees who accept a public grant for the general election campaign may not supplement that grant with private funds. Instead, they must limit their campaign spending to the amount of the entitlement.20 That does not mean, however, that private funds have been totally excluded from the general election campaign process. In fact, the statute specifically permits some types of private spending, which may supplement the general election grants.
Political parties, for example, may spend money to support a Presidential candidate. National party committees may make "coordinated expenditures" to support their nominee. These expenditures may be made in consultation with the candidate's campaign.21 The funds used must have been raised under the limits and prohibitions of federal law.
Another statutory provision permits corporations and labor unions (both of which are prohibited from making contributions or expenditures in connection with federal elections) to encourage their executives, administrative personnel and/or members to support particular candidates.22 These so-called "partisan communications" may be financed with corporate or labor treasury funds.
The statute also permits unlimited "independent expenditures" to support or oppose particular candidates. In order to qualify as an "independent expenditure," the funds must be spent "without cooperation or consultation with. . .or at the request or suggestion of any candidate. . .or agent of such candidate."23 The funds expended must not be from prohibited sources, such as corporations or labor unions.24
Some observers have criticized this supplemental spending. Although it is legal, these critics contend that it compromises the statute's expenditure limits. The Commission, itself, held a similar view regarding independent expenditures that political committees made to support publicly funded Presidential candidates. It believed that 26 U.S.C. Sec.9012(f) limited these expenditures to $1,000. The Commission defended this limit against a number of legal challenges, arguing that without it, independent groups could effectively render the expenditure limits meaningless by spending large amounts to support publicly funded candidates. In 1985, however, the Supreme Court declared the limit unconstitutional.25
Despite the criticism leveled against supplemental private spending, it is clear that Congress intended to offer some limited means by which citizens could become involved in Presidential campaigns. As a result, independent expenditures, partisan communications, coordinated party expenditures and other types of private spending26 are specifically sanctioned by the statute, and are subject to its reporting requirements and other restrictions.
Your were right! While the campaign may not accept funds directly, however, there are alternative funding choices....
make sure you let people know that...don't just say they can't give moeny, let them know where they should give it...
Also, if Kerry was smart, he wouldn't accept the grant....