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Last-minute law hobbles Ballantine
News and Observer ^ | Aug 8, 2004 | AMY GARDNER AND DAVID RAYNOR

Posted on 08/08/2004 8:06:07 PM PDT by mykdsmom

A new campaign spending rule seems to put the GOP candidate at a disadvantage to Gov. Mike Easley
Easley has millions for his run.

If money matters in the contest for governor, Republican candidate Patrick Ballantine is perilously behind Gov. Mike Easley -- and could stay that way because of a new campaign finance law that Democrats pushed through the state legislature.

The law prohibits advocacy groups from spending corporate or union money to help any candidate within 60 days of a general election. That could thwart Ballantine, whose campaign is hoping for a million-dollar infusion from a national Republican group.

State lawmakers approved the bill, which one national Republican dubbed the "Mike Easley Protectionist Act," at 3 a.m. July 18 in the waning moments of the 2004 General Assembly session. It had bipartisan support, in part because its restrictions apply equally to Republicans and Democrats.

But when they voted, many lawmakers thought the bill was directed at legislative candidates, some of whom had set up advocacy groups to accept corporate donations that their own campaigns can't legally receive. What these lawmakers didn't know is that the candidate most likely to suffer this year under the new law is Ballantine.

Some Democrats say they pushed the bill to conform with federal campaign reforms of 2002. They say taking corporate money out of politics is critical to keeping special interests at bay.

"Corporate money is not allowed in North Carolina," said state Sen. Tony Rand, a close friend of Easley who introduced the bill. "Since it's not allowed directly, it ought not to be allowed indirectly."

Others don't deny, however, that the bill was conceived specifically to thwart Ballantine.

"We were not disappointed with the outcome," said Jay Reiff, Easley's campaign manager.

Easley's financial advantage is undeniable. He had raised $5.4 million by June 30, according to the most recent campaign finance reports, and has spent next to none of it. Ballantine had raised less than $2 million, and he emerged from the Republican primary July 20 with almost nothing left.

Lawyers, teachers, farmers, bankers, developers, law enforcement officers and state employees all gave far more to Easley than to Ballantine through the first half of 2004.

The same is true for regions. Donors from Raleigh, Charlotte, Greensboro and Winston-Salem, to name just the largest cities, gave at least twice as much -- and in some cases five times as much -- to Easley than Ballantine.

One exception is Ballantine's hometown, Wilmington, where he had raised $520,000 by June 30 -- three times Easley's total. Another exception -- doctors, who have given equally to the two.

"My war chest is now a child's piggy bank," Ballantine said jokingly in a recent interview. "We're trying to build it back up."

Many Republicans expected the field to level out in part as money was spent by national GOP groups -- which gave $2.4 million to Easley's opponent in 2000, former Charlotte Mayor Richard Vinroot.

Under federal campaign finance reform passed in 2002, these groups, which get most of their money from corporations, may no longer give directly to candidates. But they may spend as much as they want -- and from any source, including corporations -- on "issues ads" intended to help their candidates.

Under the new state law, however, that will be prohibited after Sept. 3.

The law could be particularly harmful to Republicans, who have a history of turning to national GOP groups to fill their coffers. Ballantine is no different: The Republican Governors Association has promised to make a significant investment on his behalf.

GOP takes it in stride

A spokesman for the association as well as North Carolina Republican officials say the law won't affect their plans. They say the group has received plenty of individual contributions -- enough to get around the prohibition on corporate money.

But an analysis of contribution disclosure forms shows that the association got only $325,000 of the $7.8 million it had raised in the first half of this year from individual donors.

That means two things:

First, if the group plans to spend millions in North Carolina, it needs to start soon -- and finish by Sept. 3, 60 days before the general election.

Second, the group could have only a few hundred thousand dollars -- small potatoes in gubernatorial politics -- to spend during the crucial final two months of the campaign.

Harvey Valentine, a spokesman for the Republican Governors Association, said the bill, which he called the "Mike Easley Protectionist Act," was aimed at the Ballantine campaign. But he said his organization will continue to raise money from individuals. And the group has individual contributions from previous years that it can carry forward now, he said. He would not say how much.

Bob Rosser, Ballantine's campaign chief, had little to say about the new law, in part because it prohibits "coordination" between campaigns and advocacy groups that want to spend unregulated money on them. Rosser said he welcomes any expenditures by the GOP governors group this year but said he expects Ballantine to fill his own war chest.

"We think we're going to raise enough money to accomplish our goals and get Patrick's message out with what we can raise," Rosser said. "Yes, it would be great if the RGA came in and did any number of things to help further Patrick's cause. But we're not sitting here waiting for that to happen."

Still, if the most recent finance reports are any indication, Ballantine has a long way to go.

"People are perceiving that Mike Easley is invincible," said Republican state Sen. Robert Rucho of Mecklenburg County, a close friend and supporter of Ballantine. "That's going to change."


TOPICS: Politics/Elections; US: North Carolina
KEYWORDS: campaignfinance; election; gubanatorialelection; nc
OK NC, we need to get busy and send Patrick some $$. This makes me SO mad. It's time for regime change in NC. Sleazley, is up to his dirty tricks again.

MKM

1 posted on 08/08/2004 8:06:09 PM PDT by mykdsmom
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To: TaxRelief; Constitution Day

NC Ping please.


2 posted on 08/08/2004 8:07:20 PM PDT by mykdsmom (Kerry/Edwards: When you're as full of sh!t as these guys, you need 2 Johns!)
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To: mykdsmom

Will this state law affect the NC Senate race between Burr vs. Bowles?


3 posted on 08/08/2004 8:24:05 PM PDT by Kuksool (Get Your Souls To The Polls In November)
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To: mtngrl@vrwc

Ballentine. LOL!


4 posted on 08/08/2004 8:26:01 PM PDT by lawgirl (is RNC bound! W here I come!)
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To: Kuksool; Constitution Day
My best guess would be yes but I'm not sure.

CD is involved with the Burr campaign, maybe he knows.

MKM

5 posted on 08/09/2004 4:32:22 AM PDT by mykdsmom (Kerry/Edwards: When you're as full of sh!t as these guys, you need 2 Johns!)
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To: TaxRelief; mykdsmom; 100%FEDUP; 2ndMostConservativeBrdMember; ~Vor~; A2J; a4drvr; Adder; ...

NC *Ping*

Please FRmail Constitution Day or TaxRelief if you want to be added to or removed from this North Carolina ping list.
6 posted on 08/09/2004 5:05:49 AM PDT by Constitution Day
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To: mykdsmom; Kuksool

I'm not sure, but I don't see why it wouldn't apply to all candidates.


7 posted on 08/09/2004 5:16:08 AM PDT by Constitution Day
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To: mykdsmom
This is what happens when you have a combination of old fogies and naive young'ns representing conservatives in the state house.

Maybe if we had more reps who actually paid attention to what is going on, during the end of session frenzy, this could have been avoided!

8 posted on 08/09/2004 5:54:32 AM PDT by 100%FEDUP
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To: Constitution Day; mykdsmom
I'm not sure, but I don't see why it wouldn't apply to all candidates.

State races vs. federal races. But federal candidates already have a bunch of restrictions.

I'd like to know what Republicans -- who, lest we forget, have a MAJORITY in the NC House -- voted for this. I mean, the Democrats railroad something through at the last minute and you don't stop and see what it is? I don't think so .....

9 posted on 08/09/2004 7:01:29 AM PDT by JohnnyZ
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To: JohnnyZ

One of them was Richard Morgan, I bet all of the Morgan 5, did but I am not sure. The GOP majority in the house is in name only. There is also a rumor that Morgan will formaly endorse Easley someime around labor day.


10 posted on 08/09/2004 10:51:41 AM PDT by THE MODERATE
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