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FUNDRAISING FOR RECOUNT
Bush and Kerry stock up for the post-election battle
BY DAVID S. BERNSTEIN

"Hope for the Best, Prepare for the Recount" is the subject header on a mass e-mail sent out by the Bush-Cheney ’04 campaign on October 16 — and that makes a pretty good slogan for Kerry-Edwards too. Both campaigns, mindful of Florida 2000, are moving full-speed ahead to raise money for potential post-election ballot battles. Still, the Republicans are moving a little faster.

The fundraising free-for-all kicked into high gear after a September 30 decision by the Federal Election Commission (FEC), which said, in response to a Kerry-campaign inquiry, that it’s legal for the campaign’s General Election Legal and Accounting Compliance Fund (GELAC) to pay for post-election recount expenses. Every presidential campaign maintains a GELAC to handle the ghastly business of complying with the gazillion state and federal laws regulating elections and campaign finance. As of the FEC’s decision, the Kerry-Edwards GELAC had $3.4 million cash on hand. The Bush-Cheney fund had $6 million.

That difference isn’t nearly as lopsided as the parties’ total spending for the 2000 recount. Bush raised and spent $13.8 million on the Florida-recount effort, compared to Gore’s $3.2 million. Bush’s costs included, according to a Washington Post analysis, $1.9 million for travel-related expenses, $1.2 million for salaries, and $1.5 million for legal fees. Both sides raised the money through special 527 organizations set up after the election. (Yes, that’s right, Bush gained the presidency thanks to the kind of "shadowy" group he now claims to abhor. See "The $50 Million Dems," News and Features, July 23.)

For all anyone knows, this year’s election may end up with challenges in multiple states. Since the FEC ruling, the Kerry-Edwards campaign has been "trying to raise as much money as we can to do what we have to do," says senior adviser Michael Meehan. The campaign reported more than $200,000 in new GELAC donations just last week.

Hence the October 16 Bush e-mail directing loyalists to www.GeorgeWBush.com/GELAC. "We must start now to make sure we have the resources to defend the outcome of this election if it comes under attack," the plea says.

But wait — this call for cash could get bigger and better any day now. The Washington State Republican Party has asked the FEC for a ruling on whether state parties can raise money to finance recount activities. In fact, according to its FEC filing, "The State Party intends to host federal candidates, officeholders and their agents as featured guests at state party events that raise permissible monies for the recount fund."

A ruling is expected any day. If the FEC says okay, it’s off to the races — under Washington State law, individuals and PACs may give unlimited contributions to the state parties, whereas GELAC contributions have a $2000 individual limit. Expect massive fundraising in all the battleground states, under the various limits that apply in each.

"Hopefully, we will win by a huge margin, and this will all be a moot exercise," says Meehan. Sure, hope for the best — but prepare for the recount.


Issue Date: October 22 - 28, 2004
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