Two top Texans leaving McCain's presidential campaign

WASHINGTON – Two top Texans are leaving – one sooner and one later – Republican John McCain's presidential campaign.

Former Rep. Tom Loeffler is out as general co-chairman and national finance chairman as a result of McCain's new conflict-of-interest policy that also has forced several other lobbyists from his campaign.

And strategist Mark McKinnon of Austin, a former top adviser to President Bush, will leave in coming weeks as a result of the probable outcome of the Democratic primaries. McKinnon told McCain last year he would not work for him in the general election if Barack Obama became the Democratic nominee.

However, McKinnon said Sunday he would remain involved with McCain in a limited way in the general election campaign through "things that don't involve direct engagement with Obama."

Tuesday's contests in Kentucky and Oregon are expected to provide Obama more than enough delegates to give him a majority of those pledged, a milestone his campaign believes should move undecided superdelegates into his column and make him the de facto nominee.

McCain spokesman Tucker Bounds said Sunday that Loeffler's resignation was submitted and accepted. The campaign had no further comment on the development, which came shortly after Newsweek reported that Loeffler's lobbying firm got nearly $15 million from Saudi Arabia since 2002, as well as high-dollar fees from additional foreign and corporate interests.

In April, Loeffler said "at no time have I discussed my clients with John McCain." Newsweek reported that lobbying records show Loeffler meeting with McCain and the Saudi ambassador on May 17, 2006 to "discuss U.S.-Kingdom of Saudi Arabia relations."

Loeffler, who could not be reached Sunday for comment, submitted his resignation despite the fact that the contact came prior to his service in the McCain campaign..

McCain has fielded criticism in recent weeks for having top aides who have lobbied for a wide variety of interests.

In a memo last week, Rick Davis, McCain's campaign manager, delineated a new policy concerning conflicts. Included are provisions banning campaign paid staffers from working as a "registered lobbyist or foreign agent," or getting paid for such activity.

Part-time volunteers – the category Loeffler falls in – are "prohibited from lobbying Senator McCain or his Senate personal office or committee staffs during the period they are volunteering for the campaign."

Newsweek also reported that Susan Nelson, McCain's finance director, drew $15,000 a month from Loeffler's lobbying operation after she left the firm to join the campaign. Federal law bars outside payments to campaign staffers.

"Time and again, McCain demonstrates that his calls for higher ethical standards seem not to apply to him as his campaign," the Democratic National Committee said in a Sunday statement.

Loeffler was brought in to head the fund-raising operation last year after McCain's early efforts floundered. Loeffler is credited with helping get the campaign on track as it moved toward the New Hampshire primary win that was a key moment in the McCain presidential bid.

The resignation came days after four other McCain aides resigned as a result of lobby activity or links to so-called 527 political organizations that can collect unlimited contributions but are not affiliated with a specific candidate. McCain's new conflicts policy bars aides from working with 527s,

Loeffler, a former University of Texas football player, is the founder and chairman of The Loeffler Group, a lobby firm with offices in Austin, San Antonio and Washington. From 1979-87, he represented a San Antonio-area district in the U.S. House. Loeffler has been a high-level adviser to a long line of prominent GOP candidates, including Presidents George H.W. Bush and George W. Bush.

He also served on the University of Texas System regents and ran an unsuccessful campaign for the Texas GOP gubernatorial nomination in 1986.

McKinnon said Sunday he probably would leave the McCain campaign around June 3, the date of the final Democratic primaries.

"But leave is such an equivocal word," he said in describing his transition. "I will still show up from time to time (and) talk to the candidate still, but not about Obama."

McKinnon said he would "wear my lucky hat to the debates but not participate in debate prep." He plans to be involved in "things that don't involve direct engagement with Obama."

"I'll be going from middle linebacker to head cheerleader," he said. "I won't be making ads, but will be strongly supporting McCain as fan and friend and hope to help facilitate positive dialogue between the campaigns."

McKinnon, who ran the ad-making operation for Bush's two presidential races, last week suggested that McCain and Obama appear together at town hall meetings during the general election campaign. Obama said Saturday "that's a great idea," subject to logistics.

McKinnon disclosed his plans last summer – when Obama and McCain each looked like long shots for nomination, saying "I just don't want to work against an Obama candidacy."

Ken Herman may be e-mailed at kherman(at)coxnews.com.