Soft money banned after election

Shattered political spending records are of concern to many, President Bush included.

Effective the day after the elections, the Bipartisan Campaign Reform Act of 2002, which Bush signed into law March 27, is designed to squelch soft money contributions to federal candidates' campaigns.

Political parties, candidates and special interest groups spent $1 billion in ads this year, but with the new law, dollars from corporations and unions can no longer be used in that fashion. The reform was effective Nov. 6.

"Often, these groups take political action without the consent of their members or shareholders, so that the influence of these groups on elections does not necessarily comport with the actual views of the individuals who comprise these organizations," Bush said in a statement released by the Office of the Press Secretary.

Soft money contributions have historically been used for broadcast advertising, candidate recruitment and administrative expenses. There previously was no limit to the amount parties could accumulate.

The new law also raises the decades-old limits on individual, or hard money, contributions and creates new financial disclosure requirements.

"These provisions ... will result in an election finance system that encourages greater individual participation and provides the public with more accurate and timely information, than does the present system," Bush added.