Gephardt to use public financing in presidential nomination bid

HANNIBAL, Mo. -- Democrat Dick Gephardt said Saturday night he will accept public financing, and its limits, for his presidential campaign.

Gephardt's decision means six of the nine candidates for the 2004 Democratic presidential nomination have decided to take public money, which is financed by taxpayers through a $3 checkoff on their tax returns.

"That's the way I did it before," in his unsuccessful 1988 race for the Democratic nomination, "and that's the way we're going to do it now," Gephardt said before a banquet speech to Democrats in his home state.

To qualify for public financing, candidates must raise $5,000 from each of 20 states in contributions of $250 or less.

The donors' first $250 is matched by the government. In exchange for the expected millions in public funding, the candidates agree to abide by spending limits.

Even with the limits, "you can raise $50 million or $60 million. It's not really a constraint," the St. Louis congressman said.

Democratic Party chairman Terry McAuliffe has encouraged presidential hopefuls to consider skipping public financing in the primaries. That's what President Bush did in 2000, and he raised more than $100 million en route to winning the Republican nomination.

Under the new federal campaign finance law, contribution limits have been boosted, and some of Bush's fund raisers think he can raise $200 million or more for the primaries.

"The way his economy is going and the way he's been leading this country, he's going to need more than $500 million to get re-elected," Gephardt quipped.