December 7, 2004

Lawmakers eye campaign finance reforms

The Legislature should consider a pilot project to test the public financing of elections, and also a cap on how much people can contribute to so-called 527 groups, lawmakers said during an interim session meeting.

The joint select committee has studied campaign finance measures for much of the year. A chief topic has been a voluntary system where candidates would swear off private contributions and instead accept only money from a public source.

But committee member and House Finance Vice Chairman John Doyle said Monday that the Legislature should study whether to pursue such a system solely as a pilot project.

"I don't think we're going to be able to find money in the budget for a full-bore campaign finance reform program," said Doyle, D-Jefferson.

Doyle said he believes the House would be more likely to approve a pilot project limited to a specific race or district. Sen. Jon Blair Hunter said his chamber might prove receptive as well.

"If we get something moving in that direction, that will give them something to focus on," said Hunter, D-Monongalia.

The interim committee agreed to develop several different pilot project proposals before the regular legislative session begins in February.

Committee members have also asked staff to determine whether the Legislature can limit contributions to 527 groups.

Delegate Mike Caputo cited the $2.4 million that Massey Energy Co. President and CEO Don Blankenship gave to a 527, And For The Sake Of The Kids, to help defeat Supreme Court Justice Warren McGraw.

"We've created such an uneven playing field," said Caputo, D-Marion and an official with the United Mine Workers union. "When we have an individual like Don Blankenship that can throw $2.4 million at a particular candidate, it's just not a level playing field."

Denoting the section of Internal Revenue Service rules that regulate them, 527s are not overseen by the Federal Elections Commission and can receive unlimited donations from contributors.

They surged in prominence after a 2002 federal law banned corporate, union and unlimited donations to national party committees.

Donors gave $460 million to 527s in the 2003-04 election cycle, compared with about $221 million in 2001-2002, an analysis by the nonpartisan Political Money Line found.