Tony Cook

tony.cook@indystar.com

Federal law might prevent Lt. Gov. Eric Holcomb, the newly minted Republican nominee for governor, from accessing much of Gov. Mike Pence's massive campaign war chest.

The bulk of the $7.4 million in campaign cash that Pence had in the bank at the end of last month would not be available to Holcomb in his run for governor, said Larry Noble, a former general counsel to the Federal Election Commission.

"Someone running for federal office cannot use contributions from their state account that would exceed the federal contribution limit," he explained.

Noble, who now works for the nonpartisan Campaign Legal Center, said Pence could give the restricted campaign money to charity or return it to donors.

Holcomb had only $20,000 in his own campaign account at the end of June, and he raised significantly less than his two primary opponents during an abandoned run for Senate earlier this year.

His top two competitors for the nomination for governor, U.S. Reps. Susan Brooks and Todd Rokita, boasted more money and better fundraising track records.

With about 100 days left before the Nov. 8 election, Democratic gubernatorial candidate John Gregg has $5.8 million in his campaign coffers, according to the most recent campaign finance filings.

Holcomb banked heavily on Pence's endorsement — and the campaign cash that could come with it — in his pitch to the state Republican central committee, which voted to nominate him Tuesday.

"That unambiguous demonstration of confidence by our Governor is significant," Holcomb wrote to the 22-member committee last week. "I know from speaking directly with him that his support is not symbolic, but rather it is a commitment to the financial backing, staffing, and resources available through the Mike Pence for Indiana Campaign Committee. That is something no other candidate in this race can boast, and Gov. Pence has made it crystal clear that he will assist me in maintaining control of the Governor’s office."

A spokesman for Holcomb's campaign declined to comment, referring questions to Pence's campaign.

Marc Lotter, a spokesman for Pence's vice presidential campaign, did not dispute Noble's analysis, which is based to two FEC advisory opinions from 2003 and 2007.

"Our legal team is looking into all the relevant statutes that may apply in this situation, and the governor has always said he will adhere to the letter of the law," Lotter said.

"One thing I can guarantee you is that Eric Holcomb will have all the resources he needs to become the next governor of Indiana," Lotter added. "There are a number of avenues and ways we can be supportive."

He declined to elaborate.

Jim Bopp, a Republican attorney from Indiana who has litigated campaign finance issues before the U.S. Supreme Court, said he was looking into the issue. "It is a complicated question," he said.

Democrats immediately pounced on the news, calling Pence's failure to transfer his funds prior to becoming a federal candidate an "unforced error."

“In Mike Pence’s rush to escape Indiana, he failed to take action to comply with FEC rules,” said Jared Leopold, a spokesman for the Democratic Governors Association.

Lotter denied that any mistakes had been made.

"That would be entirely inaccurate," he said. "Obviously, as this process has been unfolding, preparing to support Eric has been one of the top goals of our team."

Call IndyStar reporter Tony Cook at (317) 444-6081. Follow him on Twitter: @indystartony.

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