Romney's Finances

According to the Boston Globe, Mitt Romney's campaign funding includes about $220,000 from out-of-state contributors. That accounts for roughly 14% of his total cash on hand. Most of this money was raised during his out of state travels hawking his book Turnaround, but Mitt also solicited funds in a direct mail campaign that, among other things, emphasized his opposition to Senator Ted Kennedy. If that doesn't squeeze money out of out-of-state wingnuts, nothing will.

These out-of-state donations were earmarked for Romney's gubernatorial campaign fund. An earlier Globe article lists the Romney fundraising network as composing the following five accounts:

• Commonwealth PAC
• Republican Governors Association campaign account
• MA Republican State Congressional Committee
• MA Republican State Committee
• Romney for Governor

The Globe reports that these five sources raised about $6.6 million in 2004. Of these, Romney can't use the Romney for Governor or the RSC money in Federal Elections, so building up his other sources of funds shows that he wants to boost his federal profile. Of course, Mitt has played fast and loose with campaign finance regulations before -- having used the Federal funds from RSCC to finance state GOP infrastructure. If Romney runs in '08, the Republican State Committee will likely work as his base of operations in the Northeast. If Romney does not run for re-election in '06, however, the RSC will be forced to spend these funds on someone else, probably Lieutenant Governor Kerry Healey. I'm sure he'd rather build the state party on his behalf so that he could send members of the organization up to New Hampshire to campaign for him -- much like the Democrats did for John Kerry in 2004. The RSCC money is technically to be used in support of Republican House and Senate candidates, but Romney may be able to donate a portion of those funds to the RNC after 2006 if he decides to run for President.

Romney is scheduled to become chair of the Republican Governor's Association in 2006. At that point, it is likely that he will use the RGA campaign account along with the Commonwealth PAC to curry favor with out-of-state Republicans. Before the election in 2006, these two accounts will likely be Romney's primary link to out-of-state Republicans. Romney will not be able to form a presidential exploratory committee and run for re-election at the same time without suffering political consequences here in Massachusetts. A sure sign of Romney's presidential ambitions will be increased Commonwealth PAC activity in '05 and '06 and RGA strategic donations targeted in early primary states.