RICK HUBBARD  FOR U.S. SENATE
Speech/Press Announcement, August 21, 2000...

Jeffords’ Proposals Fall Short
True Campaign Finance Reform Requires Public Funding


August 21, 2000
Contact: Rick Hubbard (802) 253-8544

[STOWE, VT]  - Candidate for U.S. Senate Rick Hubbard today stated, “Vermonters shouldn't be misled. Even if fully adopted, national campaign finance reform proposals advocated by Sen. James Jeffords do not go far enough to stop Congress from its shameless sale of legislation to benefit special interests.”

Hubbard asks Vermonters to consider the following example: From 1991 through June 1997 the pharmaceutical industry gave big money to lawmakers of both political parties. Congress passed legislation giving the pharmaceutical industry extra years of patent protection. Thus, we pay higher prices for brand-name drugs rather than cheaper generic substitutes, costing us as much as $550 million a year.

These big pharmaceutical contributions came from three sources: $8.4 million in soft money from corporate checkbooks (eliminating these donations is at the heart of the McCain/Feingold legislation supported by Jeffords); $10.2 million in Political Action Committee donations, which remain legal under McCain/Feingold; and individual contributions from checkbooks of pharmaceutical executives.

Industry executives have tremendous incentive to give the $1,000 maximum to candidates to get access and attention in Congress. Individual giving extends deep into the executive ranks within each company, and is multiplied by the number of companies within the industry. Now we have very serious money. Individual contributions remain legal under McCain/Feingold.

Incumbent candidates want this money to gain advantage over their challengers. For this reason, Congress has tremendous incentive to please these special interests, and this is where our political system goes wrong.

According to Hubbard, the test for whether the McCain/Feingold legislation, or any proposed solution, will fully solve the problem should be this: “Will these measures alone, if our political system remains the same in other ways, change the incentive Congress now has to please these big special interest contributors at the expense of our common interests as citizens?”

If $8.4 million in soft money is prohibited but the $10.2 million plus the large individual contributions remain, have we really eliminated the incentive Congress has to please the pharmaceutical industry?

Hubbard says “We can and must provide our representatives with incentives to pass legislation on behalf of all citizens. We must remove the influence of special-interest money and replace it with public financing. This requires an average annual investment from our public treasury of about $10 per American family, or about $1 billion. Passing legislation on behalf of all citizens can annually keep as much as $500 to $1,000 in the pockets of each family, rather than transferring it to special interests. This is a return on investment of 50 to 100 times.”

Consider one other example of how public financing would keep money with citizens. Congress took contributions from the broadcasting industry and, four years ago, gave away a new digital part of the public airways for free to existing broadcast companies.

The Federal Communications Commission estimates that auctioning off the right for broadcasting companies to make money using public airways for digital transmission would have brought about $70 billion into our federal treasury.

According to Hubbard, “that's an average cost of $700 per American family that could have been prevented by an investment of $10 per family. And this is just the tip of the iceberg of savings.”

Other benefits for American citizens go well beyond the money saved. Repairing our democracy and restoring faith and trust in our elected representatives and institutions of government provide priceless benefits to us and our children today and to future generations of American citizens.

Hubbbard says, “the McCain/Feingold legislation advocated by Jeffords is a part, but without public financing for all House and Senate candidates, it will fail to achieve its reform goals.”

A more detailed discussion of these issues is available on his website at www.rickhubbard.org.

Return to Press Announcements & Speeches Main Page

Return to Home Page 

Paid for and authorized by:
Rick Hubbard for U.S. Senate
P.O. Box 1444
57 Depot Street
Stowe, VT 05672
802-253-8544
This is the only official web site of the Rick Hubbard for U.S. Senate Committee. While other web sites might advocate Rick Hubbard's election or the defeat of other candidates, and while they might contain links to this site or republish information or materials that I have made available to the general public, they are not authorized by the Rick Hubbard for U.S. Senate Committee, nor have they been coordinated in any way with the Rick Hubbard for U.S. Senate campaign.