I've seen sites like squarespace but was hoping for a template specific to political campaigns.
There is unlikely to be one specifically for political campaigns, but http://www.wix.com has some respectable templates. I'm naturally inclined to suggest you find a professional web designer if you're serious about any venture.
I suggest you to go with Indian website development company.
Any blogging software will do ... Wordpress, BlogEnbgine are all good, and have a lot of predefined templates.
... and if your doing this for a US or Canadian polition, I'd stay away from anything overseas. Looks bad sending jobs that can be done locally to some other country. JMO ;-)
Thanks for all your suggestions. While preparing the content we also need a map to show the various campaigns. Anyone know there are easy to create maps showing previous voting results and campaigns?