Va. Democrats' Union Cash Raises Questions of Timing

The Virginia Democratic Party is collecting record amounts of money from organized labor during the final weeks leading up to Election Day, even though federal law prohibits most of those donations from being used to influence this year's races.

Since Sept. 1, the party has collected more than a half-million dollars from four labor unions, including $205,000 last week from the National Air Traffic Controllers Association, campaign finance records show.

The party also collected $50,000 from the Communications Workers of America on Oct. 21. Last month, the Laborers Political League Education Fund gave the party $200,000. The United Food and Commercial Workers also donated $100,000 last month.

It is rare for an organization to write six-figure checks to Virginia's Republican or Democratic parties, according to a review of campaign finance reports, except for transfers from national party committees or individual candidates.

The Democratic Party deposited the labor money into its state account, which is governed by Virginia law. Virginia does not restrict how much money an individual or organization may donate to a state political committee.

Under federal law, Virginia Democratic Party officials have to pay for expenses related to this year's presidential and congressional races from its federal account.

That account is subject to $10,000 contribution limits established under the McCain-Feingold Act, enacted in 2002 to limit the influence of "soft money" in federal elections.

But as part of that law, state parties may transfer limited amounts of money from state to federal accounts to cover administrative expenses, such as office supplies and rent. The transfers may not be used for advertising or other get-out-the vote activities to support federal candidates, causing some to question the timing of the union donations.

Jared Leopold, a spokesman for the Virginia Democratic Party, said the party is collecting the union money "to keep the lights on" and stockpile resources for 2009 state races.

"What we are seeing is you have a lot of folks who appreciate the way the Virginia Democratic Party is running things," Leopold said.

But some Virginia Republicans, who note that the state has emerged as a battleground in the presidential contest, are skeptical of the sudden surge in donations.

In recent years, labor unions have greatly expanded the amount of money they give the Virginia Democratic Party. During the 2004 presidential race, the party collected about $50,000 from labor unions for its state account.