Donations made to convention host committees are not covered by federal donation limits. As a result, corporations and wealthy individuals can donate unlimited sums under the premise that the committee is promoting civic pride and economic growth, not a political cause.
However, the leadership ranks of these local fundraising committees are dominated by political partisans and elected officials.
In Minnesota, similar appeals are being made by Republicans to fund their September convention in Minneapolis-St. Paul.
"Both conventions are bringing in new fundraisers connected with the presidential candidate to go the last mile," said Steve Weissman, a reform advocate with the Campaign Finance Institute. Weissman said that the campaigns' involvement in raising these large-dollar contributions contradicts the reform rhetoric both candidates employ to win votes.
Big-dollar donations from corporations and wealthy individuals hark back to the days before the Watergate scandal when big checks from such sources were a staple of campaign fundraising.
Rules now limit the amount individuals or groups can donate, but there remains a loophole for conventions.
The Service Employees International Union has already committed $500,000 to the Democratic convention and an undisclosed sum to the Republicans.
In addition, a new labor consortium it belongs to, Change to Win, has been asked to donate. Other unions that are members of Change to Win, including New York-based Unite Here, have made unspecified donations to the Democrats' host committee. The American Federation of Teachers donated $750,000 last month.
For the GOP convention, the Twin Cities Host Committee recently turned for help to a strong supporter of Sen. John McCain's candidacy, Robert Wood "Woody" Johnson IV, owner of the New York Jets. Committee Chief Executive Jeff Larson said it now is close to meeting its fundraising goals.
After Obama became the clear nominee, a member of the Denver Host Committee's executive panel, Rep. Diana DeGette (D-Colo.), approached the Illinois senator, telling him that the committee would need the campaign's assistance in raising funds. Obama did not respond in any detail, she said.
Since that conversation, Farber has been in touch with Obama's chief campaign finance advisor, Julianna Smoot, and others from the finance team.
The campaign team provided the host committee with the names, addresses and telephone numbers of likely donors and dispatched a fundraising expert, Jon Rotenberg, to help.
