CAMPAIGN ’88 : South Adds $750,000 to Dukakis’ Treasury

Mark another milestone for the Michael S. Dukakis money machine.

As a result of larger-than-expected turnouts at fund-raising events during the three-day Southern swing that ended Saturday, the Dukakis campaign has filled up its so-called “compliance fund” ahead of schedule.

The compliance fund is a $2.2-million pot of money that federal election law allows a campaign to spend to cover the costs of complying with federal election law. It is the next layer of fund raising after a campaign hits the limit on money for the primary campaigns.

Dukakis raised roughly $750,000 at three $1,000-a-head events during the trip--in Ft. Lauderdale, Fla., Dallas and Houston--with the bulk of that money going to the compliance fund, according to Gary Barron, the campaign’s Southern finance director.

Now, the fund-raising effort will turn exclusively to meeting campaign treasurer Robert Farmer’s unprecedented goal of raising $50 million for the national and state Democratic parties to spend in the general election.

Under federal election law, the candidate himself spends only the public funds that he receives from the federal government, this year about $46 million. The money that the candidate raises for the national and state parties, however, can effectively be used to supplement that $46 million. This money, unlike money raised for the primaries, is largely unregulated.

Dukakis and his aides, however, have pledged not to solicit any contributions greater than $100,000 and to “fully disclose” the sources of their money. Although the campaign has left some questions about what “full disclosure” means, Vice President George Bush’s aides have said they plan no particular disclosure or limits on contributions.