THE DOLE AD CAMPAIGN RUN THROUGH THE RNC

BACKGROUND

By mid-May 1996, according to K. Seelye in "A Financial Squeeze So Tight That Dole Campaign Is Forced to Sell Assets," published in The New York Times (May 18, 1996), the Dole Committee was within $200,000 of the overall primary election spending ceiling that would limit the campaign's spending until the Republican convention in August. Further, "No Presidential campaign has reported coming this close to the spending limit this long before its convention. ...

With the Dole campaign unable to spend any money on a TV advertising campaign and months to go before the August convention when it would receive its general election public funds, the Dole Committee and its agents undertook a multimillion-dollar TV advertising campaign using the RNC as a conduit.

On May 16, 1996, RNC chairman Haley Barbour announced that the RNC would conduct a $20 million TV "issue advocacy" campaign. (1) Barbour called the timing of the RNC advertising campaign "more than serendipitous." (2) Another published report noted that this ad campaign is "designed to ride to the rescue of the Dole campaign. Short of money until the convention, when it will receive federal matching funds, the Dole campaign barely has travel funds, let alone advertising money. (3)

According to an article in The New York Times, "Without a meaningful advertising budget, for example, the [Dole] campaign must rely almost entirely on the national Republican Party to pay for advertisements. (4) Indeed, the Dole Committee did not pay for a TV commercial from March 18 until it received general election public funds after the Republican convention in August. (5)

According to J. Birnbaum in "The Bucks Start Here," published in Time (June 24, 1996), "R.N.C. ads attacking Clinton on everything from welfare reform to his Paula Jones problems have aired across the country, with only the fact that they don't say 'Vote for Bob' as evidence that they don't emanate from Dole headquarters".

In fact, however, the ad campaign run through the RNC was plainly an ad campaign of the Dole Committee and its agents and the expenditures for the ad campaign of at least $14 million, through June 30, 1996 were required to be counted against the Dole Committee's spending limit.

A. The Dole Committee And Its Agents Prepared, Directed And Controlled The Ad Campaign.

The Dole Committee and its agents designed and produced the ads, determined the placement of the ads and made the media buys, and raised money to pay for the ad campaign. This included the campaign's chief media strategist, Don Sipple, the campaign's chief pollster, Anthony Fabrizio, and Dole's chief funraiser for some thirty years, Joanne Coe.

In March 1996, Don Sipple became the Dole campaign's chief media strategist, and "the campaign's chief message-meister." (6) Sipple produced and directed the ad campaign run through the RNC at the same time he was serving as the chief media strategist for Dole. (7)

According to one published report, Sipple in June 1996 "set up a new company, New Century Media Group, Inc., to handle the RNC's advertising assignments as well as the Dole campaign's commercials during the general election. Its offices are on the tenth floor of the Dole campaign headquarters buinding in Washington." (8)

In March 1996, at the same time that Don Sipple became Dole's chief media strategist, Anthony Fabrizio became Dole's chief pollster, serving as head of polling and survey research for the Dole Committee. (9) Fabrizio is head of Multi-Media Services. (10)

Multi-Media Services, made the media buys for the Dole ad campaign run through the RNC at the same time Fabrizio was serving as the chief pollster for Dole.

Money to pay for the Dole ad campaign was raised by agents of the Dole Committee, led by Joanne Coe, "the trusted Dole adviser with the longest tenure -- almost three decades." (11) Coe has been Dole's chief fundraiser for some thrity years, raising money for his congressional campaigns, his presidential campaigns and his political action committee, Campaign America, since 1967. (12)

According to J. Barnes, "Along the Campaign Trail," published in National Journal (April 6, 1996), Coe served as the chief fundraiser for the Dole presidential primary campaign. In early April 1996, after Coe had raised the maximum amount the Dole Committee could legally spend on the presidential primary campaign, she moved to the RNC to take responsibility for raising "soft money".

Under Coe's direction, some $38 million in "soft money" was raised from April 1, 1996 to August 31, 1996. (13) Significant amounts of this money were used to pay for the Dole ad campaign which aired during this period.

Much of this $38 million raised under Coe's leadership came in large contributions from Dole supporters:

When [Coe and other Dole fundraisers] moved [to the RNC], do did the money of some of Dole's biggest backers. Philip Anschutz, a billionaire Denver oilman who serves on Dole's campaign finance committe, hadn't given heavily to the RNC in recent years. But in April, after Anschutz and his wife reached their individual contribution limits for Dole's presidential campaign, his company, Anschutz Corp., gave the RNC $250,000.

In April and May, nine other Dole finance committee members or the companies they run each gave $100,000 or more to the RNC. (14)

Listed below are the top twelve states and the total amount spent in each state on the ad campaign:

RANKSTATE PARTYAMOUNT SPENT ON DOLE ADS
1California$ 4,018,821
2Pennsylvania $ 1,735,443
3 Illinois$ 1,553,663
4 Ohio $ 1,295,910
5 Tennessee $ 946,688
6 Georgia $ 839,699
7 Washington $ 684,000
8 Missouri $ 661,980
9 Colorado $ 496,485
10 Iowa $ 420,720
11 Michigan $ 346,260
12 New Mexico $ 332,393
Eight of these states -- California, Colorade, Illinois, Michigan, Missouri, Ohio, Pennsylvania and Washinton -- were also among the top twelve states where expenditures were made for the ad campaign run by agents of the Clinton campaign, confirming that these presidential battleground states were chosen by both the Clinton and Dole campaigns for their importance to winning the presidential election.

Three of the four othr states -- Georgia, Tennessee and Iowa -- were also considered key states in Senator Dole's election efforts.

The amounts listed above for the top twelve states represent funds paid by the state parties to the two media firms, Multi-Media Services and Target Enterprises, to pay for the Dole ad campaign. Based on disclosure reports filed at the FEC, Common Cause has traced virtually all of these "soft money" and "hard money" funds as moving from the RNC to the Republican state parties involved, and then being paid by the state parties to the two media firms. (15)

This information does not reflect the full Dole ad campaign run through the RNC, since state party reports are not yet available for expenditures by state parties to media firms for Dole campaign ads that were made during July and August, 1996. RNC reports, which are available for this period, show that an additional $7 million in "soft money" was transferred by the RNC to state parties in July and August, 1996. The top five recipients of these funds are key states in Dole's election effort: Ohio ($ 839,670), North Carolina ($ 609,781), Florida ($ 599,979), Michigan ($ 424,961) and Washington ($ 408,797). Disclosure reports showing how much of these funds may have been used by state parties to pay for the Dole ad campaign are due to be filed on October 15, 1996.

These amounts represent funds that Common Cause has traced through FEC disclosure reports as moving from the RNC to the Republican state parties involved, and then from the state parties to the Dole media firm to pay for the ad campaign.

It is expected that furthr expenditures for the Dole ad campaign will be revealed when the Republican state parties file their disclosure reports for the period that covers July 1996 and August 1996. Those reports are due to be filed on October 15, 1996.

In sum, the Dole Committee and its agents, acting through the RNC, targeted a $13 million Dole ad campaign to run in twelve states, including eleven presidential battleground states.

C. The ads name Senator Dole and promote his candidacy or name President Clinton and criticize him

The ads run by the Dole Committee and its agents through the RNC during the period from April 1996 through August 1996 were the same kind of ads that any candidate would run to promote his candidacy or criticize his opponent.

The ads produced by Don Sipple, the Dole Committee's chief media strategist, at times used the same video footage first seen in ads made by Sipple for the Dole Committee. (16) According to a published report, "The Sipple/RNC ad even uses lots of video first seen in ads made by Sipple for the Dole campaign. The ads, obviously coordinated, look identical in spots." (17)

The following are examples of some of the ads run by the Dole Committee and its agents through the RNC:

According to D. Morris, in "Let the Ad Wars Begin," published in PoliticsNow (July 1, 1996), "[T]he ad concluded with the innocuous entreaty, 'call your elected officials.' What one was supposed to tell them was never made clear." This attempt to cast the ad as an "issues" ad rather than as a Dole candidate ad belies reality. This ad is the same kind of bio ad that any candidate would run to promote his candidacy.

Senator Dole himself made perfectly clear that this ad was intended to support his candidacy. Discussing this ad, Dole said, 'It's called 'generic'. It's not 'Bob Dole for President.' It never says that I am running for President, though I hope that is fairly obvious, since I am the only one in the picture." (19)

As noted above, FEC rules make clear that this Dole bio ad is not a "generic" party ad, which is required to urge voters to support candidates of the party "without mentioning a specific candidate." 11 C.F.R. 106.5(a)(2)(iv). The Dole bio ad run through the RNC not only "mentions" a specific candidate -- Senator Dole -- but focuses exclusively on him in the same way that any candidate bio ad would.

All of these ads were produced by Don Sipple, the Dole Committee's chief media adviser.

Conclusion on Dole Ad Campaign

The record shows that the Dole campaign and its agents prepared, directed and controlled the ad campaign, targeted the ads to run in presidential battleground states and prepared ads that named Senator Dole and promoted his candidacy or named President Clinton and critized him.

The record shows that the Dole campaign used the RNC as a conduit to run an ad campaign during the period from April 1, 1996 to June 30, 1996 -- costing at least $14 million and using at least $9 million in "soft money" -- to directly support Senator Dole's election effort.

Under these circumstances, it is plainly correct that the ads involved here are ads of the Dole Committee and its agents within the meaning of the federal campaign finance laws. The expenditures for those ads therefore must be counted against the expenditure limits applicable to Senator Dole's election campaign and the money used to finance the ads must comply with the contribution limitations and prohibitions of the FECA.

CLINTON AD CAMPAIGN RUN THROUGH THE D.N.C.

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