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War chest money trail
New York legislators, in and out of office, have wide discretion over unused campaign funds  
  
By RICK KARLIN, Capitol bureau
First published: Sunday, August 19, 2007

ALBANY -- Veteran North Country Sen. Ron Stafford has $74,023 in his campaign fund, according to the latest filing with the state Board of Elections. Ralph Marino has $127,868. Former Queens Assemblyman Brian McLaughlin has a whopping $801,065.
  
The trouble is, both Stafford and Marino are dead and McLaughlin left office in the wake of a criminal indictment alleging he embezzled and took bribes worth more than $2 million in connection with his job as head of the Central New York City Labor Council. He's also accused of taking more than $330,000 from his own campaign fund.

These aren't isolated cases. In New York, campaign funds can sit idle for years after politicians die, are disgraced or imprisoned, get voted out of office, or retire.

An examination of more than two dozen campaign funds for legislators who no longer legislate reveals more than $2 million in various accounts. Add in other politicians who have, for now at least, given up politics, and the pot grows even bigger.

Some politicians, or their campaign treasurers if the lawmakers are dead, still draw on the accounts to support friends and political allies.

Others, such as former Yonkers Sen. Nick Spano, stockpile the cash for possible comeback attempts.

"It all depends on the level of support," said Spano, who was ousted by Democrat Andrea Stewart-Cousins in a closely contested race last November. Spano's campaign committee lists a $122,053 deficit, but he also put $300,000 from his fund into an interest-bearing certificate of deposit. He said it makes more sense than leaving the money fallow.

Keeping cash in reserve for another run is just one of the options former lawmakers have. The only thing that campaign funds can't be spent on is "personal use," according to Board of Elections spokesman Lee Daghlian.

"They can't put it in their pocket," he said.

Over the years, there have been reports of former lawmakers using the funds to purchase items only tangentially linked to political campaigns. Former Hudson Valley Assemblyman Howard Mills, appointed state insurance commissioner under Gov. George Pataki, used his campaign fund to purchase a Chrysler 300 car, which he said he drove to political events.

Politicians who remain in office also have wide latitude over how to spend campaign dollars. Senate Majority Leader Joseph L. Bruno, R-Brunswick, purchased a $1,296 swimming pool cover at his home several years ago, saying he used the pool for political meetings. And lawmakers have used campaign funds for everything from XM Satellite Radio fees to clothing they say is required for their jobs.

The money can also be used for pet causes. Former Republican Assembly Minority Leader Charlie Nesbitt, for example, gave $29,000 to the First Presbyterian Church of Albion.

And former New York City Sen. Roy Goodman, who left office to head the U.N. Development Corp., which helps the United Nations with its real estate needs in New York City, spent $6,000 for a luncheon at Manhattan's 21 Club for U.N. Secretary General Ban Ki Moon in February, according to finance records.

Goodman also has given to the state Republican Committee and other Republicans, including California Gov. Arnold Schwarzenegger ($5,000), presidential hopeful Sen. John McCain ($1,100) and Jeanine Pirro ($2,000), who ran unsuccessfully for state attorney general in 2006.
Pirro also gave $1,000 to McCain.

Stafford's campaign fund donated $1,000 to another North Country senator, Betty Little, according to records.

Paul Tokasz, a Buffalo-area assemblyman who retired last year to become a lobbyist for Patricia Lynch Associates, gave $10,000 to the Erie County Democratic Committee. John Faso, the Republican gubernatorial candidate who lost to Gov. Eliot Spitzer, gave $1,000 to GOP presidential hopeful Rudy Giuliani and $5,000 to the Columbia County Republicans.

William Weld, who lost the Republican gubernatorial nomination to Faso, gave $7,750 to Maureen O'Connell, who lost a hotly contested Senate race to Democrat Craig Johnson last winter. Weld also gave $1,000 to Sandy Treadwell, the former Republican state chairman who plans to challenge 20th District Democrat Rep. Kirsten Gillibrand.

The race between O'Connell and Democrat Craig Johnson, who won the 7th District Senate seat on Long Island, opened up when Spitzer appointed the district's longtime Republican senator, Michael Balboni, as his homeland security czar.

Balboni's election war chest remains intact, with $373,948 as of July, the most recent state filing.

Another Spitzer appointee, Assistant Secretary for Criminal Justice Denise O'Donnell, who ran unsuccessfully for the Democratic nomination for attorney general last year, still has $418,207 in her war chest.

"I haven't made any decision about how they will be disbursed," O'Donnell said of the funds, stressing that she is focused on carrying out the governor's criminal justice agenda rather than worrying about her next move.

Another Spitzer appointee and unsuccessful attorney general candidate, Sean Maloney, has $37,073. He gave $1,000 to Johnson in the Senate race.

If you think you need a score card or spreadsheet to keep track of where the money goes, you're not alone.

"It can get kind of murky," said Rachel Weiss, communications director at the National Institute on Money in State Politics, which tracks campaign funds.

That murkiness is one of the problems, said Russ Haven, legislative counsel for the New York Public Interest Research Group, or NYPIRG.

"Contributors may have given this money long ago to support a candidacy and now that money is being used for purposes different from the original intent of the donation," said Haven, who believes the accounts should eventually be closed after a lawmaker or public official leaves office.

But that's not what the law says, noted Daghlian. Rules about spending campaign money, he said, are "the same as to whether they are in office or not."

Rick Karlin can be reached at 454-5758 or by e-mail at rkarlin@timesunion.com.

IN THE BANK

Dropping out of politics (or being forced out) doesn't mean ex-politicians give up their campaign funds. Here are some of the top ones:

Brian McLaughlin, former assemblyman, indicted $805,065
Roy Goodman, former senator, left for U.N. job $461,777
Denise O'Donnell, attorney general candidate, hired by Spitzer $418,207

Michael Balboni, former senator, hired by Gov. Spitzer $373,948

Paul Tokasz, former assemblyman, retired $237,150

Sources: state Board of Elections July 2007 filings, New York Public Interest Research Group

IDLE MONEY

Politicians may be voted out of office, get put in jail, or die, but their campaign accounts live on. Here's a look at some and how much they're sitting on:

LOST

John Faso, R, unsuccessful 2006 Republican candidate against Eliot Spitzer for governor: $54,958. William Weld, R, defeated by Faso last year for the Republican nomination for governor: $49,960. Jeanine Pirro, R, lost 2006 attorney general race to Andrew Cuomo: $237 .

Nick Spano (Senate), R-Yonkers, defeated last year: $122,053 deficit but also has a $300,000 CD.

Ray Meier (Senate), R-Rome, left for unsuccessful run for Congress last year: $37,745.

Nancy Larraine Hoffman (Senate), R-Syracuse, 2005 defeated, has $5,672

ON SPITZER'S TEAM

Pete Grannis (Assembly), D-Manhattan, now Environmental Conservation commissioner: $45,140.

Michael Balboni (Senate), R-Mineola, deputy secretary for Homeland Security: $373,948.

Sean Patrick Maloney, unsuccessful Democratic primary candidate for attorney general, first deputy secretary to the governor: $37,073.

Denise O'Donnell, unsuccessful Democratic primary bid for attorney general, criminal justice commissioner: $418,207.

David Swarts, former Erie County clerk, now Department of Motor Vehicles commissioner: $59,969.

Paul Tonko (Assembly), D-Amsterdam, now heads the Energy and Research Development Authority: $109,762.

RETIRED

John Marchi (Senate) R-Staten Island, retired 2006: $25,601

Paul Tokasz (Assembly), D-Cheektowaga, retired 2006: $237,150

Roy Goodman (Senate), R-Manhattan, left 2002 to head the U.N. Development Corp.:$461,777.

Charles Nesbitt (Assembly) , R-Rochester, left 2005 for appointment to the state Tax Appeals Tribunal: $107,271.

Pat Acampora (Assembly), R-Riverhead, stepped down 2005 for appointment to Public Service Commission: $94,496.

CONVICTED/INDICTED

Alan Hevesi, D, former state comptroller who had to step down after pleading guilty to felony fraud charges in connection with having state workers act as chauffeurs for his wife, has $103,047.

Brian McLaughlin (Assembly), D-Queens, indicted for racketeering and money laundering: $801,065

DIED

John Lavelle (Assembly) , D-Staten Island, died following a stroke in January: $7,290

Ron Stafford (Senate), R-Plattsburgh, died of cancer in 2005: $74,023.

Sandra Lee Wirth (Assembly), R-Elma, died of cancer in 2006: $45,907.

Ralph Marino (Senate), R-Muttontown, ousted as Senate majority leader in 1994 by Joseph L. Bruno, died in 2002: $127,868.

Kenneth P. Zebrowski (Assembly), D-New City, died in March: $15,059

Sources: state Board of Elections July 2007 filings, New York Public Interest Research Group

Maybe they can 'bail out' the unscrupulous hedgefunders......they can bail out anything if they wanted too......please dont talk to me about another damn tax....take your money and put it where your mouth is.....oh, wait, that's how we got into this stinkin' mess.....how about action yourselves.....

certainly not one shiny nickle from me for any of ya's.....

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The money can also be used for pet causes. Former Republican Assembly Minority Leader Charlie Nesbitt, for example, gave $29,000 to the First Presbyterian Church of Albion.

Hey, I know this is campaign 'contributed' funds, but is this legal? And here is my thought. No matter what party you are affilitated with, when you are out of office, for whatever reason...that money should go back into the party's coffers. Be it dem, rep, or whatever. Give it back to the party.

Quoted from bumblethru

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The money can also be used for pet causes. Former Republican Assembly Minority Leader Charlie Nesbitt, for example, gave $29,000 to the First Presbyterian Church of Albion.

Hey, I know this is campaign 'contributed' funds, but is this legal? And here is my thought. No matter what party you are affilitated with, when you are out of office, for whatever reason...that money should go back into the party's coffers. Be it dem, rep, or whatever. Give it back to the party.

Well, first of all, he's a Republican, so tere must besomeone already looking into this.  You know someone's going to raise a stink about "the separation of church and state."

And as far as the people who are dead?  I have a great idea.  They didn't get around to giving the money to someone before they passed on, so take that money and apply it to the outrageous national debt.  Knowing how some of these politicians raise money, we should be able to get this paid off eventually.