Portland, OR–

Senator Barack Obama responded to comments Oregon Congressman, Peter DeFazio made at a town hall yesterday while introducing the Democratic frontrunner. DeFazio mentioned Senator John McCain’s association with the Keating Five savings and loan scandal, “He says we need less regulation? Hello! Wall Street mortgage meltdown, Bear Stearns taxpayer bail out, Enron, but you know, I guess maybe for a guy who was up to his neck in the Keating Five and saving and loan scandal less regulation is better.”

When the superdelegate introduced Obama at a rally in Eugene, OR later that night he did not repeat the hit questioning McCain’s ethics.

Today, in Bend, OR, Obama was asked if the dig was fair game. He began by trying to separate DeFazio’s attack from himself, but said the information is out in the open and therefore appropriate to bring up, “I don’t have any doubt that John McCain’s public record about issues that he’s apologized for and written about is not germane to the presidency,” Obama continued referencing an earlier question, “You know, I was just asked previously about a whole host of issues and associations that were a lot more flimsy than John McCain’s relationship to Keating Five. What I’ve said is, you know, I can’t quarrel with the American people wanting to know more about that and me having to answer questions about that.”

Obama was asked about Republican attacks on his patriotism, something he brought up at the rally last night.

The McCain campaign’s Tucker Bounds responded to the Keating Five mention, “Apparently Obama’s lively calls for ‘new politics’ ended today and politics-as-usual emerged, because his campaign spokesman said just yesterday that this is an issue they didn’t intend to discuss. If Barack Obama doesn’t have the strength to stand up to his own standards, how is he going to stand up for hardworking Americans who need a strengthened economy? ”

The Democratic frontrunner may have an opportunity to have it out with McCain in person soon. Some of McCain’s advisers have suggested holding town hall style debates with Obama and today he agreed, “I think that’s a great idea–that’s a great idea. Obviously we would have to think through the logistics on that,” Obama told reporters, “But to the extent that I, should I be the nominee, if I have the opportunity to debate substantive issues before the voters with John McCain that’s something that I am going to welcome.