logo Standing Up To Powerful Interests

Money & Politics News

SearchRSS Feed

For Immediate Release:
12/10/2003
Contact:
Adam Lioz, (202) 546-9707
Gary Kalman, 202-546-9707 x311
U.S. PIRG

Supreme Court Upholds Doubling Of Hard Money Limits

While Applauding Court For Upholding Restrictions On Soft Money And Political Advertising, Reform Groups Say Hard Money Decision Hurts Poor And Non-wealthy Voters

WASHINGTON, D.C.—While upholding restrictions on soft money and political advertising, the Supreme Court's failure today to strike down McCain-Feingold's radical increases in hard money contribution limits ensures that wealthy donors will continue to strongly influence who runs for office and who wins elections in the United States, according to the organizational plaintiffs in the Adams v. FEC case that challenged these increases.

Represented by the National Voting Rights Institute, CALPIRG, MASSPIRG, NJPIRG, U.S. PIRG, ACORN, and The Fannie Lou Hamer Project were joined by non-wealthy voters and candidates in challenging the increases in hard money contribution limits of the Bipartisan Campaign Reform Act (BCRA). The suit charged that these increases deny non-wealthy Americans equal participation in the political process, and therefore violate the Equal Protection Clause of the U.S. Constitution.

"The Court has turned a blind eye to the interests of non-wealthy voters," said the state PIRGs' Democracy Advocate Dana Mason. "The concerns of ordinary Americans, whose voices are drowned out by those who can write $2,000 checks, fell on deaf ears when the Court upheld the increase in hard money limits."

The increased contribution limits are already having a significant impact on the current presidential campaign. Candidates in the 2004 presidential elections have raised nearly 30 percent of their funds from contributions that would have been illegal before BCRA doubled individual contribution limits, according to a U.S. PIRG analysis.

Yet very few Americans are able to afford these sizeable donations. Only 0.11 percent of the voting age population contributed sums of at least $1,000 to a 2002 congressional candidate, but these large contributions accounted for 55.5 percent of the candidates' individual fundraising. In light of these observations, the reform groups strongly protested the Court's decision.

"The Supreme Court has overlooked the will of common Americans, and ruled in the interest of the wealthiest few in this country," said ACORN National President Maude Hurd. "The Court has missed another opportunity to speak for all of us."

Not only do the reform groups assert that McCain-Feingold excludes non-wealthy Americans from the electoral process, but they also point to the doubling of contribution limits from $1,000 to $2,000 under the new law as a major factor in the current breakdown of the presidential public financing system. As candidates are able to raise more money from fewer donors, it is much easier to surpass the voluntary spending limits. When, as occurred in the 2002 congressional elections, 94 percent of the candidates who raise the most money win the general elections, candidates can ill afford to fall behind in the fundraising race.

The reform groups applauded the Court for upholding the restrictions on soft money and political advertising. On behalf of the organizational plaintiffs in the Adams case, the National Voting Rights Institute filed a separate friend-of-the-court brief in support of the soft money restrictions. The reform groups point out, however, that the decision to uphold those provisions of the law is completely undermined by the Court's failure to strike down the increase in the hard money limits.

In upholding the restrictions on soft money and political advertising, the Court cited "the ill effects of aggregated wealth on our political system." Yet, the reform groups say, those "ill effects of aggregated wealth" will be exacerbated by the hard money increases, particularly given the dominant practice of elite donors bundling hard money contributions to their favored political candidates.

"While McCain-Feingold makes a step toward returning the election system to ordinary Americans with one hand," noted the state PIRGs' Senior Democracy Advocate Adam Lioz, "the doubling of hard money limits effectively removes it from our reach again with the other."

Given that the Court has declined to uphold standards of fairness and equal participation in the electoral system, the groups renewed their call to Americans to demand an overhaul of the current campaign finance system.

"Instead of dramatically increasing contribution limits, our lawmakers should enact real reform that includes both lowering the limits to levels that average Americans can afford and increasing the public financing of elections," said Mason. "Such reforms would put us on the path to making elections into contests of ideas rather than financial arms races fueled by the wealthy."

"History will prove us right," said John C. Bonifaz, NVRI's executive director and lead counsel for the plaintiffs. "In 1937 and in 1951, the United States Supreme Court upheld the poll tax as constitutional, allowing an electoral barrier to poor voters to exist in this country for decades. But those rulings did not stand the test of time. The constitutional promise of political equality eventually prevailed and the poll tax barrier was eliminated. The Court's ruling today upholding the hard money increases violates that same constitutional promise and will eventually be proven wrong."

SEARCH THIS SITE