The reform debate

Matt (here and here) and Kos have written posts recently about the ethics and lobbying reforms in Congress, and the need to reassess the whole regulatory scheme of campaign reform. They've been joined by lots of other commentary, like former Secretary of Labor Bob Reich on Marketplace this morning and David Sirota (here and just about everywhere), arguing that Congress has left the major part of the money in politics problem untouched - the private financing of public elections.

Matt's argument, in a nutshell is this: process reforms that rely on regulation and policing bad behavior always fail to live up to their billing, and what we need to do instead is shift the paradigm to public financing:

Let's be honest - quasi-corrupt practices such as secret earmarks are not the result just of bad people in politics, they are the result of structural factors that encourage the legalized bribery of our governing class.  If you restrict secret earmarks without changing any other incentives, you'll simply push the quasi-corruption into another legal vehicle designed to bilk the public and hide the costs.

Kos extends the criticism of the ethics and lobbying reforms to other types of campaign reforms, like the proposed and rejected FEC regulations on bloggers political activities.

Here's the problem, and I saw this up front and personal during the FEC fight with the "reformer" groups -- they've lost sight of the purpose of [campaign finance reform].

In their minds, money is inherently evil. Their efforts are predicated on the impossible -- getting money out of politics. But as Stoller notes, that just ain't gonna happen, Buckley or not. All speech costs money of some sort these days. Even getting yourself to a street protest costs money (gas or transit).

So is the problem really money?

I would argue that the problem is when money is used to drown out competing voices. It was a key argument we bloggers used in defending ourselves against the "reformers" -- that while money could drown out other voices in radio or television, the inherent nature of the web meant there was no scarcity.

Still, he withholds judgment on public financing, despite its impact in dealing with the very problem he identifies.

These are not an academic question for me, or for progressives. I work on this issue day in, day out for  Public Campaign and Public Campaign Action Fund, the leading national group on public financing. I have worked on Clean Elections for a dozen years, dating back to when I ran the Maine ballot question campaign to pass the first full public financing law in the country. Six additional states (including Arizona and Connecticut for all state offices) and two cities have followed suit. We are working in coalition with many of the organizations identified in the posts by Matt and Markos, and count them as strong allies in the public financing fight.

And while I cannot speak for the other groups, I don't think any - though I may be wrong - would ever argue that the ethics and lobbying reforms on the table now in Washington will drain the money swamp on their own. They all, to a varying degree, put resources or are on record calling for comprehensive public financing. Credit where credit is due.

The truth is that the ethics and lobbying rules were porous and were made more so under the GOP control. They deserved some tightening. The reforms in the House last week and the Senate now, by and large, are a good step forward. For example, it's a good idea to put more time and distance between public service and private gain by kicking the revolving door to two years from one (though, it probably should be three years or longer). But do I think these policies tackle the central problems? Not at all. Do I think they'll actually hurt traction toward public financing? No, but that's because progressives, reformers, bloggers, and others aren't letting the Democrats get off easy by allowing them to claim reform is now finished. This is a common ground that neither Matt nor Kos acknowledge.

I think the play for bloggers and progressives is to build out from this common ground and to push for further systemic and structural changes.

Dozens of new freshmen members of Congress are still barely learning their way around Capitol Hill. They all have been told they have to have a million dollars in the bank by the end of the year. It costs money to raise money, so they'll need to raise $1.25 million. If they have debt, they have to repay it in the first two quarters. Given this, it's probably not much of an exaggeration to think that these new members found their way to the fundraising rooms at the DCCC before they found the bathrooms. Break it down: they'll have to raise $25,000 a week, or more, starting January 1, each and every week, to meet the million dollar in the bank level.

When you think about that, when do they have time to do the jobs they were elected to do? How much of that $25,000 will they be turning to the netroots to fund? Multiply the million dollars times the 40 to 50 competitive races, and we can probably predict that precious little will come from small donations. Throw in the presidential and senate races for good measure. The fact is that even though the number of small donations have grown, big money fundraising has also exploded. Small donations don't occupy a much bigger slice of the pie relative to large donations. With campaign costs skyrocketing, politicians are even more dependent on the big money machine in Washington, fueled by lobbyists who raise money from their clients, then ever before.

I think that the way small donations can make the most difference is not through PACs or through funding candidates directly, but rather through leveraging public money in a Clean Elections system.

Matt and Markos are right about the future. We have to shift the paradigm. The next reform must be about more participation, more speech, more public service from elected officials, more opportunity, more voters, more candidates. Public financing is the only way to get there. For seven years, McCain-Feingold was the reform policy that occupied center stage in Washington. Now it's time Clean Elections-style public financing filled that void.

Tweaking around the edges won't do it. We need an alternative, new system. Let the old rules whither away because we've created a new system with better incentives. It's happening in Maine - more than five of every six lawmakers were elected in 2006 after having participated in the Clean Elections law. It's happening in Arizona, where Governor Janet Napolitano and AG Terry Goddard of Arizona have also used their state's law - and won - twice. And now Congress boasts it's first member with first hand experience with Clean Elections, Harry Mitchell of Arizona, who beat J.D. Hayworth and was a participant in the public financing system as a state Senator.

Under a new system, candidates would agree to limit spending, take no or little private money, and would qualify for a set amount of public money for their campaigns. They'd receive limited matching funds to keep pace with privately financed or wealthy candidates or outside spending. That's more speech in order to respond, not less speech for others. Candidates - and elected officials - would be freed from the money chase and could campaign or govern without regard to the time and influence pressures of fundraising. It's not a panacea. But today's system breeds citizen discontent, arrogance, inequality, and corruption.

This is moving ahead in a serious way in the coming weeks, but we'll need help. Assistant Majority Leader Dick Durbin (and possibly others) will introduce a Senate Clean Elections bill. Reps. Tierney and Grijalva (and possibly others) will do the same in the House. A broad coalition - including the reform groups that raised some ire - will be behind these bills.

This reform does shift the paradigm. It has made campaigns in several states more about voters and volunteers than about donors and their dollars. Color me biased, but it's a natural fit for those who care deeply about engaging people in democracy, like many of those who post and visit blogs like this one.

We're not on the sidelines waiting for someone else to shape where this goes, and I'm glad MyDD and DailyKos are in the game. There's a clear opportunity to shift this debate.



Display:


Re: The reform debate (none / 0)

In the Lamont-Lieberman primary, how would clean money have been distributed?


by m g on Wed Jan 17, 2007 at 02:48:38 PM EST

Re: The reform debate (none / 0)

Candidates who qualified by raising a large number of small contributions from people in Connecticut would have received a set amount of money to run in the primary. If both candidates opted in, they'd both have teh same amount and the fundraising would be over. If Lieberman opted out, and outspent Lamont's public allotment, Lamont would receiving public funds to keep pace up to three to five times the initial allotment (details are still being drafted). For example, in 2002, AZ Gov. Napolitano participated and her opponent Matt Salmon didn't. Salmon had Bush and Cheney do fundraisers for him. Napolitano offered to sell tickets for his events because she would receive matching funds dollar for dollar. You can't match to the sky, but then again, in most cases you don't need to.


by David Donnelly on Wed Jan 17, 2007 at 02:59:59 PM EST
[ Parent ]

Re: The reform debate (none / 0)

So would Lamont have been able to recieve out of state contributions?


by m g on Wed Jan 17, 2007 at 03:08:57 PM EST

Re: The reform debate (none / 0)

After a candidate qualifies, he or she would receive public funding and no other contributions. If they get outspent, they get additional public matching funds.

Out of state contributions are allowed for paying for the gathering the necessary qualifying contributions, but after a candidate meets that threshold, they don't need any private contributions.


by David Donnelly on Wed Jan 17, 2007 at 03:21:51 PM EST
[ Parent ]

Re: The reform debate (none / 0)

So, Janet would not have been allowed to recieve contributions from me right?

That's fine with me as long as GE doesn't get to drown out my $50 with their $50,000,000.

What happens to the influence of PACs?  Will MoveOn amount to anything more than petition circulators?  What of netroots efforts
like the one that made Webb a congressman?

I am all for public financing.  I just wonder how we organize to effect government without pooling our regular Joe sized contributions together once the system is corrected.

Perhaps I am looking at this backwards.  If GE can't buy it's way into a larger bullhorn than ours, we may have an advantage.  If reporting, and volunteering become the most effective ways to help a candidate to get elected because the money is pretty much even, then our several voices actually do drown out the corporate fewer (but previously louder due to money) voices.


Government derives its power from those that it governs.
by lockewasright on Wed Jan 17, 2007 at 03:21:07 PM EST

Re: The reform debate (none / 0)

You've got it right.

PACs and 527s, under these systems, can still pay for independent expenditures. But if they spend more than what a participating candidate has to spend, the candidate receives money to respond, up to a limit.

What MoveOn or GE for that matter do is up to them. MoveOn would likely engage its members in the collection of qualifying contributions to help a candidate meet the threshold to receive public funds. I don't know what GE would do, but they would be able to drown out candidates, or volunteers.


by David Donnelly on Wed Jan 17, 2007 at 03:25:32 PM EST
[ Parent ]

Re: The reform debate (none / 0)

We get this to happen and then turn our sights on media consolidation and we might be on our way to returning to a government of, for, and by the people.

I think that deciding that corporations are people and that it was ok for ownership of media to be in the hands of so few were 2 of the most damaging decisions to our nation in a century.


Government derives its power from those that it governs.
by lockewasright on Wed Jan 17, 2007 at 03:36:54 PM EST
[ Parent ]

Coporate Person Hood (none / 0)

The real problem with corporate person hood is that they get all the benefits but very few of the restrictions.

If you don't treat corporations AS persons, HOW do you litigate them?


by MNPundit on Wed Jan 17, 2007 at 04:52:20 PM EST
[ Parent ]

Re: The reform debate (none / 0)

David,

Thanks for answering all my questions.  I'm really pretty clueless on the mechanics of how your systmem of public financing works, but I have to admit that I'm really skeptical of it.

Here are my main worries in no particular order:

1. How do you protect people who want to donate to unpopular canidates (maybe a NAMBLA backed canidated or, back in the day, an MLK backed canidate)?  I mean Lyndon Johnson used to due some pretty abusive stuff when he was president to make sure he wasnt flanked on the left.

2. How do you keep pols from meddling?  Once the source of funding is the government, how do you keep the politicians that run the government from messing with whatever formula exists?

3. Will this serve to further concentrate power in the hands of "wise old men"?  If funding came from DC, wouldn't this enhance their power?  And wouldn't they do everything in their power to direct the funds to "centrists"?

Thanks again


by m g on Wed Jan 17, 2007 at 03:35:19 PM EST

Re: The reform debate (none / 0)

Just to clarify on number one, I'm thinking about if canidates have to turn in some sort of list to the gov't to prove their small dollar donations, whats to prevent the gov't from using that list to harass people?  Like don't you worry that the DEA might like to get a look at the list of people funding a NORML backed canidate?


by m g on Wed Jan 17, 2007 at 03:38:01 PM EST
[ Parent ]

Re: The reform debate (none / 0)

Even with your clarification, I'm not sure how to respond to 1). That's a problem today, too, right?

On 2), I've had first hand experience. In 1998, Massachusetts voters passed a ballot measure on Clean Elections by a 2 to 1 margin. Then the Legislature refused to fund it. One advantage at the  federal level is that we have to get Congress to vote on it and both parties would want to protect themselves from funny business. But it's something to watch.

On 3) this hasn't been the case in Maine or Arizona after three election cycles. Some people have been quick to adapt, others haven't. But what it really privileges are grassroots campaigns and those who know lots of people in their communities. That's good for democracy.


by David Donnelly on Wed Jan 17, 2007 at 04:10:37 PM EST
[ Parent ]

Re: The reform debate (none / 0)

On number 1, I'm talking about in comparison to a completely unregulated state where people are allowed to give to any canidate without having to report to any authority.

On number 2, you think pols meddling is something to watch but you think that it will be prevented if both parties agree to "protect themselves from monkey-business."  Frankly the two parties agreeing to "protect themselves from monkey-business" is what I am most worried about.  There are 300 million viewpoints in this country, but the two parties work to make sure only two are expressed.  I have a feeling their view of "monkey business" is people like bloggers exploiting "loopholes."  Once they lock in themselves as the only source of legal campaign funding, how do we ever get them out?


by m g on Wed Jan 17, 2007 at 04:23:28 PM EST
[ Parent ]

Re: The reform debate (none / 0)

On 1), I think there will always be a tension between the public good disclosure provides, and the possibility of abuse it raises. I believe that the minimum amount of information should be collected in order to serve the function of oversight that is required when tax payer dollars are in play. There is a need to know that a candidate has collected the requisite number of contributions in order to qualify for the public money.

On 2), I understand your point. Like the redistricting commissions in some states, an independent entity with neither party maintaining a majority of members oversees these state laws.


by David Donnelly on Wed Jan 17, 2007 at 04:40:22 PM EST
[ Parent ]

Wait (none / 0)

So the candidate gets money to respond to all PAC, 527, and opposing candidate expenditures? There's no way any public financing system can keep up with the flood of money that will come in from outside groups.

Not to mention, what of third-party ads that don't attack the candidate, but work to indirectly support candidates. For example, instead of running ads against or for candidates, I run them in support of a party ticket. "Vote Democratic!" Or what if I support another candidate on the party's ballot line in order to boost all-around Democratic turnout, which I know will help other Democrats on the ballot?

And what about third parties? They get the cash too? How expensive is this going to get? And how much of my tax dollars will go to fringe and racist parties?

And here's my biggest problem -- how this become becomes welfare for corrupt political consultants.

I don't want my tax dollars going into Bob Shrum's pockets and into nasty attack ads or robo calling. And what incentive do candidates have to reform those corrupt political consultants if they don't have to work for that money?


by kos on Wed Jan 17, 2007 at 03:36:32 PM EST

Re: Wait (none / 0)

Yeah those would be some of my concerns too.

It seems like without outside influence it would become a cesspool of funds that kept flowing between the same canidates and consultants.  

It seems like this is another barrier to people with non-political backgrounds being able to break in.  Pols and consultants would become skilled at maneuvering the requirements and regulations while outsiders would look at the maze and just be confused.


by m g on Wed Jan 17, 2007 at 03:42:23 PM EST
[ Parent ]

Re: Wait (none / 0)

There's a single mom who was a waitress at a diner in Maine. For years her customers told her that she should run for office. But until Maine passed the Clean Elections, she never thought she could. She is now serving in the state legislature, and chaired the committee that reauthorized welfare reform (think about the different life experiences she brought to that issue). These systems absolutely attract new people.


by David Donnelly on Wed Jan 17, 2007 at 04:14:09 PM EST
[ Parent ]

Re: Wait (none / 0)

I understand your desire to not have your tax dollars fund methods and messages with which you disagree or even find abhorrant.  I don't disagree.  That would make me a little uncomfortable too, but wouldn't you agree that equalizing the size of the "bullhorns" and then counting on the people to make the right choice under a system that acually allows that to happen represents progress?

I don't have an answer for you regarding how expensive this gets.


Government derives its power from those that it governs.
by lockewasright on Wed Jan 17, 2007 at 03:46:30 PM EST
[ Parent ]

Re: Wait (none / 0)

To a limit. All the electoral studies say is that you have to have the ability to respond, not absolute parity. You need to be on the playing field, not dominate it.

In Maine and Arizona, for example, candidates get up to three times the initial allotment. If the first grant is $1 million, you get $3 million more.

Even after all these costs are factored in, these systems still cost less than one half of 1/10th of one percent -- that's 0.05% for those of you keeping score at home -- of the state budget.


by David Donnelly on Wed Jan 17, 2007 at 03:55:39 PM EST
[ Parent ]

Responding to the rest (none / 0)

Okay. Only candidates who can meet high qualifying standards -- large numbers of small donations -- can access public money. So far, there have simply not been vast numbers of fringe candidates participating. Are there more candidates? Yes, but we have not seen the racists you cite.

As for money being funneled to consultants, candidates have to agree to spending limits, which means there is less of the free-spending campaigns. They have to live in a budget. If I were advising a candidate in this system, I'd tell them to squeeze every last dollar into communications with voters -- reduce the retainer, slash the 15% commission on most ads, etc. Candidates will have to learn how to economize, which is a good skill to have heading into public service when they're spending our tax money.

In a federal bill, there will be provisions dealing with TV and radio air time. But these are campaigns that are run very differently. Gov. Napolitano speaks of campaigning in South Phoenix looking for votes rather than calling wealthy donors asking for money.  


by David Donnelly on Wed Jan 17, 2007 at 04:05:03 PM EST
[ Parent ]

Re: The reform debate (none / 0)

I've always wondered why debates on public financing of campaigns assume that any reforms would have to keep the present system of candidates or parties paying large sums of money for TV time.  In the 19th century, the federal government subsidized political speech through the post office by subsidizing the circulation of partisan newspapers.  And, as Herbert Hoover once noted, the public owns the airwaves after all.  Can't we take at least some the money out at this end instead of (or in addition to) paying the broadcast outlets in public currency?


by historian on Wed Jan 17, 2007 at 03:41:37 PM EST

Re: The reform debate (none / 0)

Absolutely. Any public financing law at the federal level has to deal, in some way, with the costs of TV and radio time, though this is a quickly changing environment.


by David Donnelly on Wed Jan 17, 2007 at 03:56:57 PM EST
[ Parent ]

Critics of current reform are off base... (none / 0)

Criticizing the current reforms for not being the universal cure for US politics is more than a bit naive.  Wasn't there another thread talking about netroots lacking...um...common sense.

The stated goal was clean up the current lobbying mess and the reforms were quite specific.

Those reforms passed.

Starting a campaing for publicly financed campaigns is fine goal...do get started but don't claim current reforms fall short.

On the topic of publicly financed elections, not likely to happen but one way to reduce the power of money vs. votes/ideas would be to require free radio and TV time for all candidates...that is where a huge chunk of money goes.

US space program started with suborbital...a good model to follow.


by BrionLutz on Wed Jan 17, 2007 at 04:18:14 PM EST

Re: Critics of current reform are off base... (none / 0)

There have been consistent broad claims regarding what these reforms will accomplish. Leaders have said that they'll sever the connection between lobbyists and lawmaking. They won't. BUT, these policies are a good first step. But they're only a first step.


by David Donnelly on Wed Jan 17, 2007 at 04:54:06 PM EST
[ Parent ]

Yes, and... (none / 0)

Rather than criticizing the reforms currently on the table, we should support them but also point out that they don't go far enough and push for greater reforms like Clean Money Elections.

I disagree that requiring free radio and TV time would be easier to secure than Clean Money Elections -- both will be difficult to secure since both challenge powerful interests. But I think Clean Money Elections focus more of the attention on the real problem -- fat cats deciding who gets elected. And I don't want to have to defend why the public should be bombarded with more horrible advertisements that politicians don't even have to pay for. That is a really tough sell. But, hey, if someone can push this  reform through, I would certainly support it.

While we are bringing up other reforms, I've been shouting (squeaking) in the wilderness asking the election reform groups to consider adding to their agenda this simple reform: requiring election boards to send out sample ballots to every registered voter. This reform should be relatively easy to secure, would help inform voters, would help elevate the level of discourse in political campaigns, and would be relatively cheap. See my previous diary for a more detailed argument.


by RandomNonviolence on Wed Jan 17, 2007 at 05:38:21 PM EST
[ Parent ]

Re: Yes, and... (none / 0)

"I disagree that requiring free radio and TV time would be easier to secure than Clean Money Elections -- both will be difficult to secure since both challenge powerful interests."

Na...giving away MSM's air time costs the public nothing. Asking public to dish out $2B for elections is waaay different.

We could easily get the free TV/radio passed.  Public financing is not likely to happen.


by BrionLutz on Wed Jan 17, 2007 at 07:28:25 PM EST
[ Parent ]

Re: Yes, and... (none / 0)

"giving away MSM's air time costs the public nothing"

But it costs the media companies a lot of money. Political advertising has been tremendously lucrative for them -- they aren't going to give this up easily.

And if you think challenging the media companies is easy, just try to pass a tax on advertising.


by RandomNonviolence on Wed Jan 17, 2007 at 09:47:20 PM EST
[ Parent ]

Re: Yes, and... (none / 0)

"But it costs the media companies a lot of money. Political advertising has been tremendously lucrative for them -- they aren't going to give this up easily."

Not up to them. It's up to Congress and Congress much prefers giving away other people's money vs. taxpayer's money.

It solves a huge piece of the public financing of elections.


by BrionLutz on Wed Jan 17, 2007 at 11:32:37 PM EST
[ Parent ]

Re: The reform debate (none / 0)

Whats the next step?


by m g on Wed Jan 17, 2007 at 05:18:58 PM EST

Re: The reform debate (none / 0)

Stay tuned. Durbin will introduce a bill in the near future. I'll have some action steps then, or before.


by David Donnelly on Thu Jan 18, 2007 at 08:02:30 AM EST
[ Parent ]


You are not logged in.

In order to post a comment, you must be logged in. If you have a member account, please log in to comment.

If not, you can make an account right here. It's quick and free.