A selection of press releases from the DNC and the RNC on the McCain campaign's withdrawal from the federal matching fund program:

PRESS RELEASE from the Democratic National Committee (Corrected Version)

For Immediate Release
February 24, 2008

Contact: Stacie Paxton, 202-863-8148
DNC to File Complaint Against McCain Campaign for
Ignoring FEC Law
McCain Campaign Intentionally Distorts Truth by Misrepresenting the Facts from 2004 Campaign


Washington, DC - The DNC announced today that it will file a complaint with the FEC against John McCain's campaign Monday, calling on the FEC to investigate whether the McCain campaign violated or is about to violate the law by ignoring the spending limit agreement and other conditions Senator McCain agreed to when he became eligible to receive federal matching funds. According to McCain's latest campaign filing, he has already spent $49.6 million and given that a month has passed, he has exceeded or is about to exceed the approximately $56.8 million spending limit.

"The crucial issue here is John McCain's integrity. John McCain poses as a reformer but seems to think reforms apply to everyone but him," said Democratic National Committee Chairman Howard Dean. "He used taxpayer money to guarantee a loan so he could raise money from lobbyists and special interests - it's the height of hypocrisy. This is just the latest example of his do as I say, not as I do double standard, and it's unlikely to be the last. McCain financially benefited from this legally binding contract - he got free ballot access, saving him millions of dollars, and he secured a $4 million line of credit to keep his campaign afloat by using public financing as collateral. He should follow the law."

The McCain campaign has incorrectly stated that McCain is doing what Dean did when he withdrew from public financing in his presidential bid, but they have the facts wrong. Dean did not use the promise of matching funds as collateral for a loan. As required, Dean obtained permission from the Commission to withdraw from matching funds before any funds were disbursed. Also, Dean spent resources to get his name on the ballot after withdrawing, unlike McCain who had free ballot access in some states because he pledged to accept matching funds.

In order to receive matching funds, John McCain signed a binding agreement with the FEC to accept spending limits and to abide by the conditions of receiving those funds. The FEC makes clear that any request to withdraw from the agreement must be granted by the FEC. In other words, McCain can't just unilaterally withdraw. FEC Chairman David Mason made this clear in a letter to McCain advising him that the law requires the FEC to approve his request to withdraw from his contract.

According to past Commission rulings, the McCain campaign would not be allowed to withdraw from matching funds because it has already violated a key condition for being let out of the program - pledging matching funds as collateral for a private loan. McCain obtained a $4 million line of credit -- drew $2,971,697 from it - and documents make clear that the promise of public financing was used to secure his loan.

In the complaint, the DNC says "the Commission should (1) find reason to believe, pursuant to 2 U.S.C. §437g(a)(2), that Senator John McCain and the McCain Campaign have committed, or are about to commit, a violation of Chapter 96 of Title 26 and of the Commission's rules, and should conduct an investigation; and (2) pursuant to 26 U.S.C. §9040(c), petition the appropriate U.S. District Court for injunctive relief to implement and enforce the provisions of Chapter 96 against Senator McCain and the McCain Campaign."

A copy of the DNC's complaint will be available Monday once it's filed.

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PRESS RELEASE from the Democratic National Committee

For Immediate Release
February 26, 2008

Contact: Karen Finney/ Damien LaVera - 202-863-8148

Ballot Applications Show More
FEC Deception from McCain Campaign

Washington, DC - The Democratic National Committee today released new documents showing that John McCain continues to play fast and loose with the facts to justify its decision to break the law by unilaterally withdrawing from the FEC's matching funds program.   Yesterday, the DNC filed an FEC complaint against McCain because his campaign used his certification for public funds to help secure a private loan and gain free access to the ballot in some states.  The new documents prove that McCain used his qualification for matching funds to get on the ballot in Ohio and Delaware.

Under Ohio state law, there are three ways a candidate can get on the primary. Under two options, he or she is required to collect signatures either state-wide or in each of Ohio's 18 congressional districts -- a time-consuming and potentially costly process.  The other option permits them to bypass the signature collection process and demonstrate to the Secretary of State that he or she has qualified for public financing under the FEC's matching funds program.  As McCain's application for the ballot shows, he chose to forego the signature collection option in favor of the matching funds option.  Not only did he submit his certification letter from the FEC as evidence that he had qualified for matching funds, but all of McCain's application forms make clear that they are "only to be used by candidates for president who are eligible to receive federal matching payments under 88 Stat. 1297 (1974)."

Similarly, in Delaware, state law requires a candidate to gain access to the ballot by either 1) collecting 500 signatures from registered Republicans or 2) demonstrating that he or she has qualified for matching funds.  McCain chose the second option and submitted to Delaware election officials the FEC press release announcing that he had qualified for public financing as evidence.

This comes as the DNC released an FEC letter proving that unlike McCain, the Dean campaign followed the law and received written permission from the FEC to withdraw from the public financing system.  Additionally, the FEC approved the Dean campaign's request to withdraw because Dean had not yet received any public funds and had not used matching funds as collateral to secure a private loan, a condition the McCain campaign has already violated.  
 
"John McCain's willingness to use matching funds when it helps his campaign and to break the law when it hurts him is exactly the sort of cynical politics and sheer hypocrisy the American people are already sick of," said DNC Communications Director Karen Finney.  "John McCain should either obey the law by getting the FEC's approval to withdraw from the public financing system they signed on to, or stop distorting the truth and admit that they're wrong."

The McCain campaign's application for the Ohio ballot, which relies on his qualification for matching funds to get on the Ohio ballot, is available on the DNC website at: 
• http://www.democrats.org/page/-/pdf/20071002_mccain_ltr.pdf
• http://www.democrats.org/page/-/pdf/20080104_mccainfiling.pdf
• http://www.democrats.org/page/-/pdf/mccaindistdelatlargeexample.pdf

To view McCain's application for the Delaware ballot, click here: http://www.democrats.org/page/-/pdf/20071116_McCainCF.pdf

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PRESS RELEASE from the Republican National Committee



FOR IMMEDIATE RELEASE                                                               CONTACT: Press Office
May 14, 2008                                                                                                         202-863-8614                       
 
RNC STATEMENT IN RESPONSE TO COURT’S RULING AGAINST FRIVOLOUS DNC LAWSUIT
 
WASHINGTON – RNC Chief Counsel Sean Cairncross released the following statement today:
 
“Today, the United States District Court for the District of Columbia threw out the Democratic National Committee’s (DNC) frivolous lawsuit against the Federal Election Commission (FEC).  This suit involved a DNC complaint about the McCain campaign’s withdrawal from the primary matching funds system.  The Court’s order confirmed what the McCain campaign said at the time the suit was filed; the DNC lawsuit was nothing but a frivolous publicity stunt.  The Court found that the law was crystal clear and the DNC had no right under the statute to file suit at this time.  The Court held that the sole jurisdiction over the matter belongs to the FEC.
 
“Despite having wasted the resources of the federal court system for weeks now, we predict the DNC will again file suit in late June, when the Court said the statute first allows them to object to FEC non-action on their complaint.  This, too, will again be only a publicity stunt and waste of resources because the controlling FEC regulation states unequivocally that the primary spending limits ‘shall not apply to a candidate who does not receive matching funds at any time during the matching funds period.’ (11 CFR 9035.1(d))  No one claims the Campaign ever received a payment of funds from the U.S. Treasury.  It is typical of the DNC’s attempts to mislead the press and public that their court filings in this case never even mention this controlling FEC Regulation.
 
“It is also beyond comprehension how the DNC can continue to litigate this argument when Chairman Howard Dean did the exact same thing four years ago, by qualifying for primary matching funds, and then voluntarily withdrawing from the primary matching funds program before payment from the U.S. Treasury.”
 
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PRESS RELEASE from the Democratic National Committee

For Immediate Release
June 17, 2008

Contact: Karen Finney/Stacie Paxton - 202-863-8148

DNC TO FILE COMPLAINT AGAINST MCCAIN CAMPAIGN FOR FEC VIOLATIONS, HOLDING MCCAIN RESPONSIBLE FOR HIS DO AS I SAY, NOT AS I DO CAMPAIGN
 
Washington, DC - The Democratic National Committee today announced that it will file a suit with the U.S. District Court in D.C. next week to compel the Federal Election Commission (FEC) to investigate John McCain's decision to unilaterally withdraw from the FEC's matching funds program despite using the program to financially benefit his campaign, which is clearly against the law. While John McCain talks about transparency and running a different kind of campaign, his actions and rhetoric clearly don't square as he continues to skirt FEC law.

"John McCain poses as a reformer but when it comes to his own campaign, he thinks the rules apply to everyone but him," said Democratic National Committee Chairman Howard Dean. "Taxpayer dollars helped him secure a private loan to keep his campaign afloat, he got free ballot access which saved his campaign money and yet it's clear he doesn't think he needs to stick by the legally binding contract he signed. John McCain is breaking the law and doesn't seem to care. You can't say one thing on the campaign trail and then act as though the rules don't apply when they are inconvenient. That's not the kind of transparency the American people are looking for in their next president."

In February, the DNC filed a complaint with the FEC calling on the Commission to investigate whether the McCain campaign is breaking the law by ignoring spending limits in the primary. Despite the fact that his campaign materially benefited from the matching funds program, McCain's campaign has taken the unprecedented step of unilaterally withdrawing from the program without FEC approval. FEC Chair David Mason raised questions about whether loans McCain received last year were secured as a result of McCain qualifying for matching funds. McCain also used his qualification for matching funds to qualify for the ballot in several states. FEC filings show McCain has already exceeded the spending limits for the primaries.

Since the FEC lacks a quorum, it has not begun an investigation into the complaint the DNC filed against McCain on February 25, 2008.Now that it appears that the Senate is on track to approve the needed FEC nominations, the DNC is making clear that this should be on the top of the FEC's agenda. If the FEC fails to act within 120 days, the law permits a complaining party to file a suit asking the Court to compel the Commission to act on the complaint. The DNC originally filed suit in April 2008, but the Court ruled that the DNC needed to wait for the 120 day time period to expire before it could pursue its case. Accordingly, if the FEC does not act by June 24, 2008, the DNC will file suit in U.S. District Court, asking the court to require the Commission to act on the original administrative complaint within 30 days.

In order to receive matching funds, John McCain signed a binding agreement with the FEC to accept spending limits and to abide by the conditions of receiving those funds. The FEC makes clear that any request to withdraw from the agreement must be granted by the FEC. In other words, McCain can't just unilaterally withdraw. FEC Chairman David Mason made this clear in a letter to McCain advising him that the law requires the FEC to approve his request to withdraw from his contract. After Chairman Mason raised these questions, President Bush suddenly withdrew his longstanding nomination of Chairman Mason for another term on the Commission--thereby firing Mason for doing his duty by insisting that Senator McCain follow the law.

According to past Commission rulings, the McCain campaign would not be allowed to withdraw from matching funds because it already violated a key condition for being let out of the program - pledging matching funds as collateral for a private loan. McCain obtained a $4 million line of credit -- drew $2,971,697 from it - and documents make clear that the promise of public financing was used to secure his loan.

In the original complaint, the DNC said "the Commission should (1) find reason to believe, pursuant to 2 U.S.C. §437g(a)(2), that Senator John McCain and the McCain Campaign have committed, or are about to commit, a violation of Chapter 96 of Title 26 and of the Commission's rules, and should conduct an investigation; and (2) pursuant to 26 U.S.C. §9040(c), petition the appropriate U.S. District Court for injunctive relief to implement and enforce the provisions of Chapter 96 against Senator McCain and the McCain Campaign."
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PRESS RELEASE from the Republican National Committee

FOR IMMEDIATE RELEASE                                                               CONTACT: Press Office
June 17, 2008                                                                                                        202-863-8614                       
 
RNC STATEMENT IN RESPONSE TO FRIVOLOUS DNC LAWSUIT
 
WASHINGTON — Republican National Committee (RNC) Chief Counsel Sean Cairncross released the following statement today:
 
“Having been thrown out of court just one month ago, the DNC now announces that it will once more file the same meritless lawsuit, again wasting judicial resources for its own political agenda.  Once again, the DNC has neither the law nor the facts on their side.  The controlling FEC regulation unequivocally states that the primary spending limits ‘shall not apply to a candidate who does not receive matching funds at any time during the matching funds period.’ (11 CFR § 9035.1(d))  No one claims the Campaign ever received a matching funds payment. To the contrary, it is a matter of public record that the U.S. Treasury never made any payments to the McCain campaign at any time during the primary.  Notably, the controlling law is not mentioned in the DNC’s filings, or the fact that Sen. McCain’s voluntary withdrawal from the primary system followed the precedent set by previous Presidential candidates, including now-DNC Chair Howard Dean in the 2004 election.”
 
“Unfortunately, the DNC’s attempt to mislead the press and public with meritless court filings is not unusual.  We are confident that the district court will again throw out this frivolous court filing, and that the FEC will dismiss the DNC’s complaint.”
 
To read Cairncross’ earlier statement on the court’s ruling against the DNC’s frivolous lawsuit, click here.
 
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PRESS RELEASE from Democratic National Committee

For Immediate Release
August 20, 2008

Contact: Karen Finney/ Damien LaVera - 202-863-8148

DNC Demands Investigation Into McCain Campaign Finance Violations

Letter Contends FEC Consideration of McCAin Withdrawal From Primary Funds Program Without an Investigation into DNC Complaint is Illegal 

Washington, DC - With the Federal Election Commission scheduled to address John McCain's decision to unilaterally withdraw from the federal matching funds program on Thursday, the Democratic National Committee today called on the Commission to remove that item from its agenda and instead proceed with a full investigation of the charges made against McCain in the administrative complaint filed by the DNC in February.  In a conference call with reporters this morning, DNC General Counsel Joe Sandler discussed a letter he sent to the FEC last night that argued that the Commission should not consider McCain's decision to withdraw from the matching funds program because there is no request for permission pending and the Commission hasn't yet conducted an investigation as required by the law. 

To listen to this morning's conference call, click here: http://www.democrats.org/page/-/audio/calls/FECLetterConfCall082008.mp3

For a copy of the letter, click here:  http://www.democrats.org/page/-/pdf/FEC_McCain_August19.pdf

On February 25, 2008 the DNC filed an administrative complaint alleging that Senator McCain was violating the law by taking the unprecedented step of announcing he was unilaterally withdrawing from the program instead of requesting and receiving permission from the FEC to be released from the obligations of the federal matching funds program.  McCain is in fact already violating the law by exceeding the spending caps associated with the primaries by tens of millions of dollars.  In his letter, Sandler noted that the FEC cannot issue a finding on the complaint until it authorizes a full investigation--something the Commission was unable to due as a result of the lack of a quorum at the FEC--and that the Commission cannot legally consider the matter in an open hearing without first conducting an investigation.

"Since John McCain has refused to acknowledge that he needs the FEC's permission to withdraw from the matching funds program, the Commission has a legal responsibility to remove this matter from its agenda and instead authorize a full investigation into our complaint," said DNC General Counsel Joe Sandler.  "The American people have a right to know whether the John McCain who once championed himself as a reformer, saved his campaign by breaking the laws he helped craft.  We are calling on the FEC to promptly conduct and conclude an investigation into the complaint we filed four months ago so that this issue can be resolved in the appropriate manner."

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