10 June 2008

Record HRC Debt Highlighted ... the Battle of #2

Record DEBT ($40Million?) after Clinton Campaign
Record Fundraising Predicted, $100Million in June for Obama? (below)

per NYTimes...
With her campaign now officially suspended, Senator Hillary Rodham Clinton is confronting still another challenge: whittling down what is believed to be the largest presidential campaign debt in history.

Besides the $11.4 million of her own money that Mrs. Clinton lent her campaign, she had about $9.5 million in unpaid bills to vendors at the end of April, according to her most recent filing with the Federal Election Commission.

What makes Mrs. Clinton’s situation unusual is the combination of unpaid bills and her own personal loan. Records show that other unsuccessful candidates owed less than half to their vendors than what she owes to businesses.

Even as Mrs. Clinton must raise money to pay her bills, her campaign must liquidate more than $23 million in contributions set aside for the general election. They can do it by either returning it to donors or designating it for her Senate re-election campaign in 2012, provided she obtains permission from her donors to do so.
Mrs. Clinton could simply shutter her presidential campaign committee and transfer her remaining debt to her Senate campaign fund and continue to raise money to pay it down.

But several campaign finance experts were divided about whether she could take the money from the general election designated to her Senate coffers and use it toward her debt.

Kenneth Gross, a campaign finance lawyer with Skadden, Arps, Slate, Meagher & Flom, said that he believed such a maneuver was possible but that he would advise her to obtain an advisory opinion from the commission to guide her. “I think there’s a good argument that she can,” Mr. Gross said. “It’s not 100 percent clear.”

Michael Luo/NYTimes puts the $23Million Dollar Question in the 15th paragraph. ???

... i imagine legal squabbles, transfers, "letter" writings for permission from donors and FEC, perhaps even a million dollar fine afterwards, but it will get done and Hillary will get her money back, because there is no way in hell she would part with $11+million dollars without a concrete plan to get it back. and the $9Million to vendors? gonna be a long time before they see any of that money.

the PR "dance" over HRC as #2 continues...
per The Hill.com (ironic, ain't it?)... Obama, $100 Million in June ?
Leading Democratic fundraisers predict that Sen. Barack Obama (D-Ill.) will raise hundreds of millions of dollars over the next few months if he opts out of public financing and begins raising money for the general election.
Specifically, they say Obama could raise $100 million in June and could attract 2.5 million to 3 million new donors to his campaign.

These fundraisers say Obama could increase his fundraising dramatically because of three factors: a boost of enthusiasm among Obama donors following his clinching of the nomination; the migration of Sen. Hillary Rodham Clinton’s (D-N.Y.) donors to his camp; and the mobilization of big Democratic donors who have given little so far this year.

inflating "expectations" on purpose ??? time will tell