McCaskill allowed to exceed campaign finance limits

WASHINGTON (AP) -- Federal regulators on Thursday ruled that Missouri Sen. Claire McCaskill can raise unlimited funds to recover the $1.6 million she lent to her failed 2004 campaign for governor.

Under federal law, candidates can usually collect a maximum of $2,300 from individuals and $5,000 from political action committees. But a new Missouri Law that took effect this year removed campaign finance limits for state races.

The Democratic senator had asked the federal elections commission whether she would be exempt from federal limits if she collected money solely to retire debt from her state campaign.

Commissioners ruled 5-0 that McCaskill can follow Missouri law regarding the campaign debt. The commission also agreed that when McCaskill solicits contributions to pay off the debt, letters can refer to her as Senator McCaskill.

In response to the ruling, McCaskill said she would voluntarily limit herself to contributions of $4,600 from individuals and $10,000 from PACs. Those are the same federal limits that would apply during a single election cycle, including the primary and general elections.

Republicans have criticized McCaskill, claiming she appears to be trying to bypass federal election law. But McCaskill says she's only following the state law that was put into effect under Republican leadership.

McCaskill is co-sponsoring a federal bill that would reform the current campaign finance system, and provide for a system of public funding for federal campaigns.