May 1990, Page 17
Congress
The Dance of Dollars: Congress Considers Campaign
Finance Reform
By Dennis J. Wamsted
"It is evident that if we do not reform the manner in which
election campaigns are financed, we will forfeit the trust of the
American people."
—Sen. George Mitchell (D-ME), in his agenda-setting address to
the Senate in January, 1990.
Many members of Congress share the concern expressed by Senate
Majority Leader George Mitchell, quoted above. Unease with the current
system is so high that Congress is seriously considering campaign
finance reforms that would dramatically reduce the influence of
political action committees (PACs) in US electoral politics. Although
unintended, this congressional initiative could significantly reduce
the influence of pro-Israel PACs, potentially freeing congressmen
from the monetary shackles that have distorted US Middle East policy.
For the past several years, a number of congressmen, notably Sens.
David Boren (D-OK) and Mitch McConnell (R-KY), have been pushing
for reforms in the campaign finance system. However, their efforts,
riven by partisan bickering, have been spectacularly unsuccessful.
Consequently, the system has remained largely unchanged for the
past 10 years, a period when the influence of PACs, particularly
single-interest ones such as the pro-Israel groups, has soared.
Initially, little progress was expected this year either, largely
because the debate was still split along party lines. But the outlook
changed dramatically in March. A bipartisan panel appointed by Majority
Leader Mitchell and Minority Leader Robert Dole (R-KS) released
a series of innovative suggestions on campaign finance reform that
may break the logjam that has bottled up reform legislation in recent
years.
The Recommendations
The key decision by the six-member panel, which included political
operatives, lawyers and academics, was to embrace what it termed,
"flexible spending limits," for election campaigns. These
limits would be set "reasonably high" and would only apply
to out-of-state contributions and money from special interest groups,
while leaving candidates free to raise as much money as possible
from in-state contributors. Money spent by the two parties for voter
registration efforts and so forth would also be exempt from the
spending limits.
This compromise proposal is a stroke of genius, since it allows
the Democrats to claim they have succeeded in their effort to establish
limits on campaign spending. Similarly, the proposal enables the
Republicans to focus on their well-documented ability to raise money
within the party and from individual contributors.
The effect of this proposal could be dramatic, since it would essentially
prohibit the influx of out-of-state, pro-Israel dollars that played
such a crucial role in Sen. Paul Simon's (D-IL) successful campaign
against former Senate Foreign Relations Committee chairman Charles
Percy (R-IL) in 1984. In that race, which was decided by less than
90,000 votes out of the more than 4.7 million votes cast, Simon
received more than $300,000 from pro-Israel groups, many of them
located outside Illinois.
In addition, the panel suggested halving the permissible maximum
PAC contribution from $5,000 per election to $2,500, once a candidate's
total PAC contributions hit a preestablished ceiling. The proposal
would also prohibit PACs from contributing after an election to
help retire the campaign debts of first-time candidates.
These two proposals also would have a significant impact on the
ability of pro-Israel PACs to influence congressional elections.
Slicing allowable PAC contributions in half is particularly important,
since it will temper the pernicious effect of the pro-Israel community's
quiet effort to funnel contributions to favored candidates.
The panel also recommended. that ideological or lobbying PACs,
such as those supporting Israel, should be banned from the practice
of "bundling" contributions. Under current law, these
PACs are able to accept contributions from individuals and then
bunch these funds together for presentation to a particular candidate.
In addition, these PACs would be prohibited from making independent
expenditures on a candidate's behalf.
Other key recommendations include:
- increasing the limit, now set at $1,000 per election, for individual
contributors;
- providing free broadcast time for political advertising by
the major parties;
- extending reduced rate postal and broadcast rates to those candidates
who comply with the flexible spending limits; and
- making all in-state political contributions eligible for full
tax credits.
Congressional Reaction
The proposals were hailed by Sens. Mitchell and Dole, who said
the panel's work demonstrated "the issue is capable of being
resolved," despite the strong differences between Republicans
and Democrats. More importantly, the panel's findings were supported
by Sens. Boren and McConnell, who have championed their respective
parties' reform efforts in the past several years.
Indicative of this new climate, the Senate Rules and Administration
Committee, which has jurisdiction over campaign finance issues,
approved a measure (S. 137) in March that would limit PAC contributions
and establish incentives for candidates for the Senate to adhere
to spending limits. Under the terms of a 1976 Supreme Court ruling,
which held that campaign spending is a form of free speech and thus
protected by the First Amendment, all campaign spending limits must
be voluntary. The bill, which was introduced by Boren, is generally
viewed as the "Democratic" bill. But, in keeping with
the new cooperative approach, Senate leaders expect to substitute
a bipartisan bill for theBoren measure when the legislation is brought
up for consideration on the floor.
Action in the House
Although moving more slowly than the Senate, the House is also
considering campaign finance reform measures. The House leadership
has appointed a bipartisan task force, chaired by Rep. Al Swift
(D-WA), to craft a compromise bill.
The House proposal has not yet been publicly released, but it is
likely to include some form of cap on campaign spending, as well
as limits on PAC contributions. As in the Senate, spending caps
have traditionally been anathema to House Republicans. But that
categorical Republican opposition has been eroding gradually in
recent months, spurred in part by House Minority Leader Robert Michel's
(R-IL) announcement at the end of 1989 that he would consider supporting
a cap.
While the timing remains uncertain, Speaker of the House Tom Foley
(D-WA) is, likeSen. Mitchell, committed to enacting reform legislation
this year, and he has vowed to bring the legislation to the floor
for debate no later than the summer.
Dennis J. Wamsted is a free-lance writer specializing in Middle
East affairs and the US Congress.
SIDEBAR
FACTS FOR YOUR FILES:
President Bush's statement earlier this year that Israel should
stop building "settlements" in East Jerusalem, as well
as the West Bank, sparked an outcry in Congress. Israel's supporters
in the House and Senate scrambled to register their opposition to
Bush's statement, while urging the administration to reconsider
its position. In the House, Reps. Ed Feighan (D-OH) and Dan Burton
(R-IN) organized a so-called special order to allow representatives
to register their opposition publicly. All told, some 34 members
either spoke out on the subject or submitted statements for the
record.
Meanwhile, in the Senate, Daniel Moynihan (D-NY), Frank Lautenberg
(D-NJ) and Rudy Boschwitz (R-MN)crafted a non-binding resolution
that emphasized Congress's support for Israel. The carefully drafted
statement, which was adopted by the Senate by voice vote and without
debate, included a section stating "That the Congress acknowledges
that Jerusalem is and should remain the capital of the state of
Israel.'' Congressional admonishments aside, this is not US policy.
Each successive administration since the 1967 war has refused to
recognize Jerusalem as Israel's capital, and has maintained the
US Embassy to Israel in Tel Aviv, which is generally recognized
as the official Israeli capital.
The Senate resolution was sponsored by at least 47 senators, who
are listed below in alphabetical order by party, along with the
total of contributions they have received from pro-Israel political
action committees from 1978 through 1989.
DEMOCRATS—Amount Accepted
Max Baucus (MT) $89,250
Jeff Bingaman (NM) $188,675
David Boren (OK) none
Bill Bradley (NJ) $74,700
John Breaux (LA) $59,142
Richard Bryan (NV) $92,850
Tom Daschle (SD) $287,130
Wendell Ford (KY) $17,000
Wyche Fowler (GA) $121,350
Howell Heflin (AL) $134,350
Ernest Hollings (SC) $17,250
Daniel Inouye (HI) $57,325
Frank Lautenberg (NJ) $284,750
Carl Levin (MI) $295,038
Joseph Leiberman (CT) $28,800
Spark Matsunaga (HI) $19,000
Barbara Mikulski (MD) $35,440
Daniel Moynihan (NY) $53,000
David Pryor (AR) $50,100
Harry Reid (NV) $208,540
Charles Robb (VA) $36,000
Jay Rockefeller (WV) $77,500
Jim Sasser (TN) $145,250
REPUBLICANS—Amount Accepted
Rudy Boschwitz (MN) $207,755
Thad Cochran (MS) $15,500
Alfonse D'Amato (NY) $26,705
John Danforth (MO) $60,786
Robert Dole (KS) $21,000
Pete Domenici (NM) $40,350
Jake Garn (UT) none
Phil Gramm (TX) $11,500
John Heinz (PA) $45,000
Jesse Helms (NC) $1,500
Gordon Humphrey (NH) $5,000
Nancy Kassebaum (KS) $4,000
Connie Mack (FL) $39,422
John McCain (AZ) $54,000
Frank Murkowski (AK) $24,000
Don Nickles (OK) none
Larry Pressler (SD) $53,300
William Roth (DE) $25,000
Warren Rudman (NH) none
Alan Simpson (WY) $12,500
Ted Stevens (AK) $30,500
Strom Thurmond (SC) none
John Warner (VA) $6,500
Pete Wilson (CA) $88,550 |