March 30, 2007
Romney Internal Memo: Beware Of Early Fundraising Reports
In an internal memo sent this morning to ex-MA Gov. Mitt Romney’s top fundraisers, campaign chief counsel Ben Ginsberg delivers a stern warning: look extra carefully at those breathless reports about what Romney’s opponents might have raised.
Why? Because some campaigns, trying to work the refs, will release a single number to the media early next week. But most major campaigns – all of the top six except for Romney – are simultaneously raising money for the primary contests and for the general elections. Low hanging fruits are being squeezed twice. But that general election money shouldn’t matter at all right now – it has no bearing on the primary and if it’s reported as part of the overall total, it’s downright misleading.
As Ginsberg writes, "This money will artificially inflate totals, but it is meaningless in gauging current strength since not one penny of a campaign's general election funds can be used in the primary."
The Hotline obtained the memo from a Romney source, and the campaign verified its accuracy. An e-mail to Ginsberg has not been answered.
Ginsberg's point is a good one: the campaigns on 4/15 will report two separate numbers, one for the primary and one for the general. We'd advise our readers to ignore the general election money and focus solely on the amount raised for the primary. Do not let campaigns fool you into thinking they raised more than they did!
The full Ginsberg memo is after the jump. [MARC AMBINDER]
To: National Finance Director Spencer Zwick, National Finance Co-Chairs and the National Finance Committee
From: Benjamin L. Ginsberg, Romney for President National Counsel
Katie Biber Chen, Romney for President General Counsel
Date: March 30, 2007
Subject: A Guide to First Quarter FEC Reports
With Saturday's close of the first quarter FEC reporting period, Romney for President and the other campaigns will be releasing the totals of the amounts they've raised. There are sure to be a lot of articles appearing, and it's important to know whether reporters are measuring apples to apples. Here's a guide of what to look for.
First, Governor Romney's totals will be indicative of our extraordinary success in building an organization and stirring excitement among grassroots activists. The number will be quite a tribute to Governor Romney and all of you since the other leading candidates enjoy universal name identification, existing networks of contributors and clear advantages in the national polls.
Second, be aware that some campaigns' totals will include monies raised for the general election. This money will artificially inflate totals, but it is meaningless in gauging current strength since not one penny of a campaign's general election funds can be used in the primary. Reports that don't separate primary and general election contributions will be misleading. As you know, Romney for President has raised only primary funds, but the McCain, Giuliani, Clinton and Obama campaigns have raised both. (While there may be some advantages in raising both kinds of money now, know there are also disadvantages – for example, 100 percent of general election monies raised must be returned if the candidate is not the nominee. This means that all the costs of general election fundraising, including fundraisers' commissions and event costs must be paid for with primary funds.)
Third, reporters should be telling readers if candidates are planning on taking federal matching funds for the primary. Governor Romney has decided against using the primary matching funds, as have the McCain, Giuliani, Clinton, Obama and Edwards campaigns. Candidates who take matching funds will receive up to a $20 million check from the U.S. Treasury next January – but in return will be limited to spending about $40 - $50 million through the Conventions in late August. By contrast, President Bush and Senator Kerry each raised and spent more than $250 million through their parties' conventions in 2004. Thus, it's difficult to see how any GOP candidate taking the primary matching funds can remain competitive against the Democratic candidate from the time the nominee is decided through late August. (Those who remember Bob Dole's 1996 campaign struggling against the Clinton machine have a taste for what this is like.) In other words, look for the GOP field to start to split between a top tier that can be competitive against the Democratic nominee and a second tier that will be tethered to the federal match and its spending limit.
In summary, we hope this Memorandum gives you a better understanding of what you're reading in the news reporting this weekend and early next week about the first quarter FEC reports.
Posted at 09:40 AM
Comments
Why is Romney so consumed and obsessed by fund raising? Is all this money going to be enough to change his flip flopper image? It did not help Kerry who only had couple points on which he had flip flopped, with Romney he has flip flopped on hudreds of things. Romney is a classic RINO.
Doug | 03.30.07 09:55 AM
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How does this analysis from the Romney campaign mesh with the previous Hotline post on fundraising totals? Are all of those totals "inflated" by general election figures?
JS | 03.30.07 11:11 AM
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Go Romney
Steven Rinehart | 03.30.07 11:40 AM
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he's right to a point. They can't use the money right away --- that is until romney puts in a bunch of personal money and triggers the millionaire amendment. Then all they have to do is get permission to use the money in the primary, and it's game on!
The Romney people should be very wary of the candidates personal wealth, because it might be more of a detriment than a help.
Skeptic | 03.30.07 11:44 AM
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Romney should forget about fundraising since GOP's flavor of month has changed to Thomson and GOP is now telling Mitt that his flip flopping and sucking up to right was not good enough.
Matthew | 03.30.07 12:05 PM
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you can see that this team of Romney's is very serious and innovative in most everything they do ... and what is most impressive .. the people who know the most .. and know Romney the best .. they are supporting him ... the LA insiders poll for instance ... Jim DeMint ... Hugh Hewitt .. James Bopp ... and today the news that the Lindner family prominent in Ohio is supporting him ..
carlloeber | 03.30.07 12:35 PM
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General election money DOES MATTER.
First, money is fungible. If a campaign needs it, it will find a way to use it, and at worst get slapped on the wrist later.
Second, a big pot of money waiting for a campaign for the general is an extra incentive to nominate the candidate, because he/she won't start at zero when the general election season starts.
Romney is WRONG WRONG WRONG.
Dork | 03.30.07 01:58 PM
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romney's not a flip-flopper, his ideology is just shades of gray, not black or white. Isn't that what america needs? a moderate, not a partisan extremist?
regardless of stances on abortion or gay rights, isn't his mass. track record and years as a very successful capitol investor more important? He's proven an ability to cut waste and and provide benefits to everyone. He's not a career politician like the other candidates, He's a proven businessman and proven executive.
pete6982 | 03.30.07 02:04 PM
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Romney has a ton of support here in Georgia. Most of the Bush finance and campaign team has already signed onto his campaign and lots more are waiting until after the state convention.
GO ROMNEY
tedatlanta | 03.30.07 08:44 PM
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Romney totally has my vote, and my financial support. I hope the rest of the GOP is sane enough to nominate his brilliant arse.
Jay | 03.30.07 10:03 PM
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Romney will outraise one candidate, either Giuliani or McCain in the primary money.
SAM2006 | 03.31.07 01:45 AM
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The fact of the matter, with regards to these flip flop issues, is that Romney kept his campaign promises! E.G. He said that he would NOT change the current abortion laws in a highly Democratic state and he didn't. Now, how many politicians keep their campaign promises?
DJack | 03.31.07 11:45 AM
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Go ROMNEY!!...based on merits, intellignece, character, experience (executive), management skills, etc., etc., - not even one candidate - Republican or Democrat comes close!!!!.. THE ULTIMATE TRUTH!
ken | 03.31.07 04:08 PM
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Romney has flip-flopped hundreds of times? How many... two hundred, five hundred, maybe even seven hundred times?
Please give us a list of the HUNDREDS OF TIMES
that you claim Romney has flip-flopped.
Well, lets see...1. He changed his mind on abortion
2. He...wait, let me think about this for a minute.......
JTC1767 | 04.02.07 12:01 AM
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I don't care if he's changed his position on abortion. So did Ronald Reagan and the first Bush. I want impeccable character and proven leadership and Romney has both in spades.
Kenny | 04.02.07 09:32 AM
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