The $6 million man

Yesterday this gem came to my attention via my inbox. It’s from Ken Timmerman, who’s the running mate of gubernatorial candidate Charles Lollar.

You may have heard Charles say it: if elections in Maryland were only about the money, Michael Steele would be our U.S. Senator.

He outraised Ben Cardin by a good margin in 2006 – and lost.

Political commentators were making the same mistake today in the news reports about this candidate qualifying for public financing, and that candidate not.

Here’s the dirty secret about public financing in Maryland: it actually handicaps a campaign in the general election.

That’s right. Any Republican campaign for governor that accepts public financing will be limited in how much they can raise and spend.

Don’t believe what some candidates are telling you about their ability to get millions of dollars from these public funds – which they absurdly claim are not taxpayer dollars.

Here is the truth: any campaign that accepts public funds is limited to total spending of $2,586,124.21 – and that amount includes so-called matching funds they get from the taxpayer.

Don’t take my word for it: click here to read the rules on public financing from the State Board of Elections.

Bob Ehrlich raised over $10 million in 2006 – and still lost.

We expect will raise $6 million for the general election, and probably more.

Because we have run a lean campaign, leveraging the sweat equity of our volunteer army over the past 18 months, we expect to do much more than other campaigns with less money.

We already have pledges from the Republican Governors’ Association and other outside groups to throw millions more into the race – money that will not be available to a candidate limited to the $2.6 million spending cap imposed by the state as a condition to receive public financing.

I hope I’ve been clear enough in explaining this. A candidate who accepts publc (sic) financing will lose in November because of that hard spending cap, which includes money spent by associated groups.

Charles and I need your help now to win the June 24 primary, because we know we can win in November.

We can win in November because we have been laying the groundwork these past 18 months in Democrat strongholds – something none of our Republican competitors have not done.

You can’t start reaching out to Democrats after the primary and expect them to listen. We have already built those relationships, and have Democrats for Lollar in Baltimore City, the Eastern shore, and in Prince Georges and Montgomery counties. Some of these groups are campaigning for us openly, and some of them waiting until after the primary to support us.

So, don’t believe the hype. Join us for the real deal.

I probably didn’t need to add the final half-dozen paragraphs, particularly with the misspelling and glaring double negative (proofreading is your friend!) but my reading of the law confirms what Ken says – regardless of what others may say, this is the expenditure limit. The seed money certification also reads:

Furthermore, we certify that we will not expend in either the primary or the general election an amount in excess of the maximum spending limitation set forth by Election Law Article §15-105.

The prescribed amount was originally 30 cents for every resident in the state, but adjusted for inflation works out to the $2.6 million or so. However, the hook that could save Hogan is this line:

A gubernatorial ticket that accepts a public contribution from the Fund for an election…

Let’s say Hogan accepts the $275,000 he’s eligible for in the primary and wins. As I read it, the cycle begins anew with the general election because they’re considered separate entities. If he doesn’t take a dollar once the general election cycle begins one reading of the law would suggest that he has no spending limit. It’s an issue which would probably be dragged into court, sapping resources from Hogan at a time when he’s trying to challenge a well-funded Democrat (unless fellow public finance participant Heather Mizeur somehow secures that nomination.)

In any case, it would only make a further mockery of the public financing system which is enriching a heretofore primarily self-funded campaign. But I also want to turn my attention to the fundraising prowess Timmerman claims – if only Charles can get through the primary.

This may seem like a stupid question, but if there are outside groups willing to fork over that much money wouldn’t you think they could spare a half-million to get Charles through the primary? After all, I get e-mail every day touting a challenger here, a TEA Party favorite there…granted, these are generally for seats in Congress but would it not be a feather in someone’s camp to upset the establishment and elect a black conservative governor in Maryland? Yet I haven’t seen those appeals or that funding – perhaps it’s lost with Ben Carson’s endorsement. (On that note, if Carson endorsed Lollar’s health care plan, as Charles has claimed, wouldn’t you think it would be a prominent issue on his campaign site?)

Having said all that, if Charles loses on June 24 I hope he’s front and center at the June 26 unity dinner promising to continue spreading the message in those minority areas about the benefits of conservatism. It’s the one asset he’s brought to the campaign, and the trick is to make it a transferable one. Timmerman pointed this out about Michael Steele who, despite the racial component, still lost badly in minority-dominated areas to a white Democrat. (Steele only received about 7,000 more votes in Prince George’s County – his home territory – than Bob Ehrlich did. Both were swamped there by lopsided margins.)

All of us know we need to do better in those areas to have a chance to elect Republicans, but I’m also sure the Democrats will do what they do best and play the race card. Lollar’s outreach has to be the beginning of a process spanning several election cycles, and not the end.

A pre-primary crop failure for two GOP candidates

I know those involved in one of the two campaigns involved were optimistic about making the deadline, but the Washington Post is reporting that neither Ron George nor David Craig collected enough “seed money” to qualify for public financing before the June 3 primary deadline. Because of that, Larry Hogan will pick up an additional $275,000 monetary advantage over his fellow contenders, and that’s big when the three others combined don’t have $275,000 in the bank between them right now:

  • Charles Lollar – $17,999.87
  • Ron George – $28,943.61 (includes $18,000 in loans)
  • David Craig – $144,058.54

Conversely, Hogan has $389,206.92 in the bank, an account which includes $500,000 in loans to himself and over $100,000 in additional in-kind contributions, donations from related LLC entities, and so forth from his personal coffers. But he spent enough on fundraising to secure the $258,642 in seed money to qualify for public financing.

There’s no question that this will help Hogan, who had burned through $342,007.24 in the preceding six weeks before financial reports were due last month. The Hogan campaign announced a fortnight-long bus tour yesterday, and the extra money can make this a two-pronged final push for him between television ads and the bus tour. Even with all that, Larry should comfortably remain short of the $2.6 million primary limit imposed by public financing.

Of course, each campaign is going to spin this different ways – for example, Lollar’s running mate Ken Timmerman touts the campaign’s “grass roots army”:

You see, other candidates plan expensive advertising campaigns, with air-dropped TV and radio spots that tell you nothing about their character or their plans.

Charles and I are proud to fight at the grassroots, where we are already preparing the way for victory in November by working with Democrats who share our concerns over the future of this state and who share our conservative values and non-partisan solutions.

It’s a nice sentiment, but time after time I’ve watched the candidate who raises the most walk away with the nomination or election over the others who pretend grassroots can carry them. In a local election grassroots goes a long way, but it’s hard to gather that many volunteers to effectively spread a message like media can for a statewide bid. Of the four, Charles was the only one eschewing public financing but his fundraising totals have always trailed the pack regardless.

For their part, George and Craig have (and rightfully so) questioned the extent of collaboration and coordination between Change Maryland and Hogan’s campaign. I’m concerned about the timeline between the January 21 official announcement (remember, the one which was snowed out) and the February 3 beginning of Hogan campaign records. What did Change Maryland spend money on in the interim?

Of the remaining candidates, Craig probably has enough money to adequately compete in the primary but would have to get cracking on seed money collections for the general election, for which he has until September 15 to qualify. But losing out on an extra $15,000 or so a day until the primary could be a damaging blow for those who were hoping to take advantage of the former checkoff.

The great debate

Last night (because by the time I finish this it will be Sunday) the four Republican gubernatorial candidates got together at Salisbury University to discuss their vision for the state, an event which was televised locally and will be made available statewide at a future time.

With only one hour to discuss issues, a 2-minute time limit on answers, and questions written by the local Chamber of Commerce – the event was moderated by their executive director, Ernie Colburn – the questions were somewhat predictable given the bread and butter of these campaigns deals with their perception of the state’s sluggish economy. The time constraints only allowed for five questions after a two-minute opening statement and prior to a 70-second close. The five questions had to do with the tax increases and structural deficit, creating a business-friendly tax code, addressing the challenges in attracting jobs, a seat at the table for the Eastern Shore, and restoring highway user funds. I would have liked one more directly addressing agriculture, but we didn’t get the opportunity to write the questions.

One other weakness with the format of the debate is that the candidates were placed in alphabetical order, which is fine, but initial responses were not properly rotated. Charles Lollar either answered questions first or last, as did David Craig, while Ron George and Larry Hogan had the benefit of hearing at least one answer. In this narrative, I will discuss the candidates in order of their opening statement, which happens to be alphabetical order beginning with the Harford County Executive.

First of all, David Craig perhaps had the best-organized presence there, which included running mate Jeannie Haddaway. Some of Craig’s blue-clad staff were there, but many others had Craig lapel stickers advocating his support of concealed carry. They all sat in one section of the audience, a section which I sat immediately behind. They also had an event close by the University beforehand, so David made a day of it.

In his opening statement, Craig made sure to mention his running mate and her ties to SU, from which she graduated. “Jeannie and I are very much alike,” said Craig, referring to their respective families’ long history in Maryland. “I want the twelfth generation (of Craigs) to still live in Maryland,” said David.

He stressed his experience in balancing nine budgets when addressing the structural deficit, pointing out that he had reduced taxes and cut spending during his tenure. Craig would not kick pension or health care benefits down the road as he implied the current administration has done, instead proposing more “paygo” projects funded from existing revenues rather than bonding, specifically noting casino proceeds as one source. (It bears noting that it would take a legislative act to do so, as casino proceed percentages are set by the General Assembly and the plurality of nearly 50 percent is supposed to go to education. So this could be construed by others as “cutting education.”)

In adopting a more business-friendly tax code, David pointed out we shouldn’t be taking the dollars in the first place. He proposed slashing the business tax rate from 8.25% to 4% in stages, but also explained that many businesses such as S-corps use a personal tax form to report their business income. He also wanted to address the sales tax, gasoline tax, and tolls.

Craig also remarked that Harford County had gained 8,000 jobs at a time the state was losing them, but his focus wouldn’t be so much on bringing jobs in as it would be keeping them here. “Just 25 percent of businesses are hiring” right now, said Dave, and he would address this by getting a more proactive Department of Economic Development and expanding broadband capabilities. We would not be Silicon Valley, said Craig, but we could be “Silicon Bay.”

In terms of giving the Eastern Shore a seat at the table, Craig played up his decision to secure Jeannie Haddaway as his running mate. “The Craig-Haddaway ticket is going to have someone (from the Shore) who will always be on the second floor, not just at the table.” He continued by saying Haddaway gave up a safe seat in the House of Delegates to try and benefit her region.

Craig also vowed no money to the Red Line or Purple Line and promised that counties will get their highway user funds back in the first year of a Craig administration.

He closed by taking a subtle jab at opponent Larry Hogan, saying that we didn’t need to change Maryland, “just change what’s on the second floor.” Between him and Jeannie Haddaway, they were 14-0 in beating Democrats, he concluded.

Overall, I thought Craig gave a solid, steady performance. He rightfully played up the presence of Haddaway on the ticket, although I suppose if you were watching from other parts of the state it could be seen as pandering to some extent. Yet of all the running mates, she’s probably the most qualified to succeed David if the unthinkable should happen.

Ron George was blunt in his opening statement: “This is about the economy…the other side has not solved one problem.” The facts were ominous, as he told us about 73,000 unemployed Marylanders and a manufacturing sector “still stuck in the recession.” He was a working man, with a career and business he interrupted to serve his fellow citizens.

Ron would address the structural deficit by combating waste through independent audits and putting together a Spending Affordability Commission that doesn’t paint such a rosy outlook – they predicted 4.5% GDP growth in FY14 and 6% next year. “These rosy forecasts have got to stop,” said Ron. He would also address the state’s bond situation, where debt service costs the state over $1 billion a year.

But he was realistic enough to realize “I can’t go in there as a king,” meaning he can’t just change government overnight. But what we could change, he would – “I’m guaranteeing you the things I’m saying,” said George. Yet he made an excellent point about the challenges to attracting jobs by asking why we look down on the tradesman, instead emphasizing the four-year degree? There’s no focus on that sort of education, Ron added. Being a guy who has an interest in “made in America,” this was one of the two highlights of Ron’s night insofar as I was concerned, with the other coming in the next question.

After Ron talked about the Eastern Shore being “in my blood,” he addressed such items as more state money for tourism (with a proposed slogan – “the Maryland Eastern Shore: life as it should be” – bringing back the canning business, protecting farms, expanding broadband, and reducing sales tax on this side of the Bay. But the best idea went back over 50 years, to a time when each Eastern Shore county had its own State Senator. “I think we need to have a Constitutional Congress in this state and go back to something that makes it fair for the Eastern Shore and the rural areas,” said Ron. And while I said 48 Senators (two from each county) I still think it’s an outstanding idea.

Ron used the highway user fund question a little differently, making the case that he would be “a governor for all of Maryland” and that helping Baltimore City would assist the rest of the state. But he would repeal the automatic increases in the gasoline tax and instead of a “reactive” transportation plan his would be proactive.

He concluded by promising to be a “hard worker” as governor and to treat all fairly, while also mentioning a little about running mate Shelley Aloi, who was also at the event.

Something I’ve observed about Ron, though, is that he comes across as ill at ease in a public speaking situation. He also rattled off a lot of numbers in his presentation, and perhaps sealed his image as a policy wonk because he’s also the only candidate who wears glasses. I noticed him looking down reading a lot, instead of looking at the camera. He also had very little presence at the event, which led to his only getting a smattering of applause after questions rather than a rousing ovation. I have no doubt he would be a hard-working governor – and as a policy wonk type myself I loved a few of his ideas and goals – but he’s going to have to overcome a lot to get there.

I was surprised that Larry Hogan didn’t have a larger presence there as well. In his opening he alluded to three recent visits to Salisbury University before settling into the familiar bromides of not desiring to be something, but to do something and being fed up with politics as usual. He also brought back the oft-repeated refrain of the state being on the wrong track and the emphasis on jobs, the middle class, and restoring the economy.

Of course, in the first question Larry brought up the $9.5 billion in new taxes, but pointed out that he worked for an administration which finished with a cash surplus that’s now once again a structural deficit eight years later. He would cut spending first, then roll back taxes where he could. Recently, Hogan added, he put out a plan to address $1.75 billion just by enacting existing recommendations.

Another familiar Hogan theme was that of our state being 41st of 50 in business-friendliness. Our corporate tax rate was “not competitive,” personal taxes were too high, and regulations too stringent. He would eliminate the hostile attitude and vowed “Maryland will be open for business again.”

After another regular reprisal of those things we’ve lost in terms of businesses, Larry made the case that there’s been “no discernible response” from Annapolis. He asked how an administration could be pro-jobs yet anti-business?

As far as the Eastern Shore goes, Hogan called the current administration “openly hostile” to the Shore, adding that he spoke to Jim Perdue, who told Larry he “feels like they are attacking our business.”

“There’s been a war on rural Maryland,” Hogan added.

Larry then made a statement some have already jumped on, saying “I agree with David; I think Jeannie (Haddaway) is terrific. I actually appointed Jeannie to the legislature and if I’m lucky enough to be governor then I’d think she’d make a terrific ombudsman and maybe liaison for the Eastern Shore.” He then added that the Shore is “not the only place neglected.”

In that respect, Larry is probably correct because each area of the state has needs not being addressed, But as a whole our part of the state is the poorest and tends to have higher unemployment. It could easily be argued we’re already in a recession.

He then promised to restore the highway user fund cuts that were “devastating” to local governments, perhaps by chopping away at the 53% of transport dollars spent on mass transit.

Hogan warned in his close that this was the “last chance to turn this state around,” this being “a fight for Maryland’s future.”

As a whole, Hogan’s performance came across to me as “meh.” The problem is that I’ve heard it all before, and this particular debate format and questioning lent itself to Hogan’s perceived strengths. Yet he never hit anything out of the park.

Although he appeared a little tired and troubled, Charles Lollar spoke with the most passion, generally motioning with his arms as he spoke. (Since I couldn’t watch the feed, I don’t know if this was seen at home.) Once he made the case that the state is going in the wrong direction, he mentioned that even the Democratic strongholds of Montgomery and Prince George’s counties and Baltimore City believe “the course is wrong.” He claimed his economic plan had the approval of Dr. Arthur Laffer and his health care plan won favor from Dr. Ben Carson, but vowed to “aggressively look for non-partisan solutions.”

So when Lollar stated that spending had jumped 36% over the last eight years (including $2.3 billion this year), he announced his intention for a taxpayers’ bill of rights (or TABOR) law to hold spending in check and to phase out the income tax in five years. “How would you love to wake up in five years, in 2019 in Maryland, and not have a personal income tax that you have to pay?” he asked.

He repeated the Laffer endorsement in his next answer, as well as the TABOR reference, but added that our legislature and governor doesn’t understand business. “We have a governor who hasn’t had a job in 28 years,” Lollar quipped. But he also dropped a bombshell on the group by proposing term limits. “It’s time for us to get rid of the career politicians,” he opined. Me? I love the idea, but it also has to come with the discipline of keeping the non-elected regulatory state in check.

Lollar pledged his running mate, Ken Timmerman, would address the challenge of attracting jobs by using his investigative skills to focus on waste and the 84 new taxes and fees. He also made the case that the biggest challenge to business is simply staying in business.

Charles wanted to “make the Eastern Shore a priority,” noting that we don’t get a good return on our tax dollars and would rather just be left alone by regulators. They’re “tired of being picked on,” said Lollar. He also brought up the Hudson lawsuit.

As for the highway user funds, Charles promised to stop the Red and Purple Lines, which were enacted under “reckless leadership.” He also wanted an “enforceable lockbox” over the funding.

Lollar got the last word in the debate, saying the job calls for real leadership. So he urged voters to “think this thing through” and that he had “found nonpartisan solutions…and already has ‘Democrats for Lollar’ organizations in Montgomery, Prince George’s, and Baltimore City.”

I’m sure Charles may have gained himself some converts around the state with his performance, which was surprisingly strong. Unlike Ron George or even Larry Hogan, Charles seems to thrive in a debate format such as this because he is a passionate speaker. He did fall into the Hogan trap of repeating some points several times, but overall it was a strong, compelling performance.

However, there were a few issues with Lollar’s day today. I happened to be sitting amid a few Lollar backers and they were disappointed by the lack of local support at his earlier gathering. Others I spoke to earlier today bemoaned his campaign’s lack of direction. But he’s the only one who has brought concepts like a TABOR and term limits into the conversation – these are broad-based conservative points of view, as is lowering the income tax to extinction.

So as for who “won” the debate, I would say it’s Lollar and Craig who did best, with George and Hogan lagging behind. But now I’m a little closer to determining who I will endorse and it will probably be made public in one week.

The problem with Lollar

There are a lot of people who are sticking a fork into Charles Lollar’s gubernatorial campaign. Some have been doing it for several months, while others are more recent converts. Assuming the latter piece by Jackie Wellfonder is true – and there’s no real reason to believe that it’s not – it’ll be interesting to know who will pay for Lollar’s pre-debate event tomorrow.

But there is something I want to bring up regarding how Charles has conducted his campaign; not in a financial sense but the target audience. There have been several occasions where I’ve heard Lollar talk about the locations he’s campaigned, and they’re not Republican strongholds. Places like Baltimore City or Prince George’s County, where the minority populations rarely hear a GOP viewpoint because they’re areas written off by the strategists. Yet we often hear that on certain issues, particularly school choice, the minority audience is very receptive to the GOP viewpoint – unfortunately for Republicans they tend to reflexively vote Democrat.

There are many who feel that Lollar has wasted his time in such areas, but I think he’s provided a good service to the party as a whole. Certainly he’s probably not in a position to secure the GOP nomination because he’s not going to reach many voters with a positive message when all the news about him seems to be bad, but it behooves us to act in such a manner to keep him on the team if he loses. I have no idea how well David Craig, Larry Hogan, or Ron George get along with Charles, but hopefully it’s well enough to both to allow him to remain unified with the eventual primary winner and keep the Lollar supporters on the Republican team in an election where all hands are needed on deck. Unfortunately, I keep hearing that if one particular candidate wins, a fair number will stay home or leave the gubernatorial ballot blank in November. Remember, it’s very likely that our nominee will be elected by plurality based on polling results.

When the smoke clears on June 24, there will be three losers and just one winner when it comes to the nomination. Everyone believes they have a path to victory, but in reality it’s probably a two-man race at this point. As always, the trick with contested primaries is to make sure the losers stay unified with the winners. If the supporters of the losing Democrats want to take their ball and go home, that’s up to them, but I want to win as many elections as possible in Maryland for the conservative team.

So Charles should be commended for his work taking the message to places where it’s not normally heard. Win or lose, I hope he keeps on doing so.

Halfway there

I was talking the other day about how some candidates were doing better financially than others, but Ron George is halfway to joining the air wars – here’s his TV debut:

They crammed a lot into thirty seconds; in fact, to me they almost talk too fast to understand it all. And while there’s a lot of time (and some expense) to get a thirty-second spot in, the harder part will be getting the money together to spread it out. Given that there will be a Democratic primary sucking up a great share of the airtime, the better bet may be hitting the cable networks in certain markets. At least that’s how I interpret this:

With every contribution of $250 or more, we can get this video in front of tens of thousands of voters across Maryland. Please also forward this email to all your family, friends and colleagues to let them know that Ron is the strong conservative candidate who can win in Maryland in 2014. Thanks again for your incredible support, and please join me in Building a New Maryland.

That may be 5-10 spots depending on location and particular venue. Granted, those spots may only reach a few hundred to couple thousand people, but hitting Fox News or Fox Business isn’t a bad play to get in front of a conservative audience.

I would expect Ron to at least get a limited run of spots, leaving Charles Lollar as the only GOP gubernatorial hopeful without major media thus far. Time is a-wastin’ for these guys.

Slings and arrows: criticizing a “timid” approach

I wasn’t sure just what I was going to write on tonight, but thanks to Charles Lollar I have some blog fodder. It’s the kind of thing that happens when the race establishes a front-runner and those who aren’t king of the mountain try and climb up the hill.

Here’s what Charles Lollar had to say regarding Larry Hogan’s comments, quoted in the Washington Post, about his plan for “prudent” tax cuts:

All the Democrat candidates agree with Larry on this, that we should be “timid” in cutting taxes and putting government on a diet. Lt. Governor Anthony Brown has said the state “can’t afford” even a modest reduction in the corporate tax.

Ken and I believe on the contrary that the time is over for Republicans to advocate tinkering around the edges of our bloated state budget, our confiscatory tax policies, and our corrupt and inefficient state government.

It is time for bold reforms that go to the core of our problems here in Maryland. That is why Ken and I turned to Dr. Art Laffer, who helped turn around our national economy in the 1980s, to vet our plan to eliminate the state income tax.

We have looked at the numbers, and we know we can achieve this step by step over the next five years, without putting at risk the services Maryland citizens expect their state government to provide.

Government is overhead on the economy. When you tax income, you reduce economic activity. Our objective is to restore economic vitality to Maryland, so families and small businesses will want to come here, invest, and grow.

Lollar and Timmerman are also vowing to eliminate the “rain tax,” the death tax, and the latest increases in the gasoline tax. So let’s look at what is at stake.

It’s difficult to quantify what chucking the “rain tax” would actually save because it does not affect all Maryland citizens equally. Sitting in Wicomico County, I pay no “rain tax” because our county hasn’t been forced to adopt one. Annual rates for counties which were mandated to adopt the fee range from one penny to $170.84, depending on location. Of course, we could go into why we are forced to come up with this when other states in the Chesapeake Bay watershed successfully fought the mandate, but that’s for another time.

As far as eliminating the “death tax” goes, according to the fiscal note for this year’s House Bill 739, which set in motion a four-year process to recouple Maryland’s estate and inheritance taxes with federal law, these two taxes combine to create approximately $200 million a year in revenue for the state – a significant amount, but barely 1/2% of the state’s FY2015 budget. In short, we could easily eliminate this as a rounding error.

The gasoline tax, however, is another matter. By the end of Lollar’s first term, the increased tax is expected to bring $685 million in annual revenue, not counting the roughly $700-800 million the existing tax has taken in annually over the last decade. The intent of increasing the tax was to build light rail in Baltimore and metro Washington – note that by FY2019, O’Malley’s budget projected the Maryland Transit Authority would be allocated nearly as much as the State Highway Administration receives (page 33 here). Currently the MTA gets about 56 cents for every dollar that goes to SHA; by FY2019 it would be 92 cents. Just keeping the MTA at its current 56 cent rate to SHA for FY2019 would save about $405.5 million; reducing them to the 25 cents per dollar MTA/SHA rate exhibited in the FY2007 budget (Bob Ehrlich’s last, see page 19) would save $752.7 million. Guess what? There’s your gas tax increase.

In looking at the two example budgets, which happen to be the final ones presented by the respective governors, it’s remarkable that income tax has remained a fairly constant portion of the revenue. Its share was 23% of Bob Ehrlich’s $29.6 billion FY2007 budget and 22% of Martin O’Malley’s $39.3 billion FY2015 proposal. (In terms of real money, though, the income tax increase is $1.999 billion, from $6.552 billion to $8.551 billion.) Over time, we have to figure out what to cut and how to grow the economy to backfill $8.551 billion in revenues if the state income tax goes away.

But let’s assume we can hold the budget where it is, rather than grow it at a 5% annual rate as Martin O’Malley has been doing for the last few years – a trend we could easily assume Anthony Brown would continue. Rather than looking at a $47.8 billion FY2019 budget, $8.5 billion higher than today’s, we would be in a position where other revenue sources could indeed grow to obviate the need for an income tax. Even as people prosper and have more income, the state would get a cut from increased sales tax revenue and perhaps even additional property taxes as housing becomes more valuable in a growing, thriving state.

Yet all of this is academic to a degree. Even if Republicans split 50-50 on all the contested races this year in the Maryland General Assembly, they would remain the minority by 91-50 in the House of Delegates and 29-18 in the Senate. Most of the Republicans who won would be replacing the centrists of the Democratic delegation, so those remaining Democrats would be farther left than ever. We would need Reaganesque leadership to shepherd tax cuts through that body, particularly after those aggrieved Democratic constituencies begin taking a haircut on the budget. (If you thought the grumbling about the “doomsday budget” from the Left was bad, the caterwauling on this would be deafening.) If Charles Lollar (or, for that matter, David Craig, who is also suggesting the elimination of the income tax) can get it done, the prospects are there for voters to further reward both them and the Republicans in general in 2018 – an important election because the winners will draw the next set of redistricting lines.

So I would prepare to be a little disappointed if you’re expecting our income taxes to magically disappear the moment Charles Lollar is sworn into office. However, he makes a good point in that we should be making bold initiatives, because being cautious isn’t really getting us anywhere. If you’re going down, go out with your guns blazing and don’t spare any bullets.

A few convention leftovers

Hey, if Roch Kubatko can do it, I figure I can too. There were a few things I wanted to discuss in the post-convention aftermath.

One storyline was the low number of hospitality suites and rooms there were. Generally there are six to eight separate parties going on during a typical Friday night at the convention, but in this case I think two closed up shop relatively early so the other three became the centers of action. So it seemed to me that there was a crush of people for about an hour or so, but things cleared out pretty quickly after most of the food was consumed.

But I heard a grumble that the reason there were so few suites was the high price the MDGOP was charging. But since they don’t get a cut of any of the room-sized suites, their only recourse is to charge a premium price for the lobby spaces. Gubernatorial candidates seem to be willing to pay, though: last spring it was Blaine Young taking the spacious lobby of Timonium, in November they had Larry Hogan use the main space of the Annapolis Doubletree, and this time Charles Lollar took the Bethesda Doubletree restaurant.

In November I would imagine at least one Chair candidate using a large space, but that event will likely return to the higher number of rooms common to previous conventions as various party office hopefuls try to gain advantage.

Similarly, I don’t recall there being so few vendors. Maybe it was the way they were set up, but it seemed to me that previous conventions had more tables out. Yet as I noted in my main story, there were a number of counties well under-represented – nowhere close to preventing a quorum, but Diana Waterman pointed out in her remarks that a large number had registered on Saturday morning; more than expected. She had a right to be upset, but I think with so many proxies this couldn’t be helped.

Speaking of proxies, they were blamed for Charles Lollar winning the MDGOP Straw Poll. Here’s a press release Lollar put out:

The Lollar-Timmerman team for Governor and Lieutenant Governor of Maryland won a key straw poll today at the conclusion of the Maryland State Republican Party convention in Bethesda.

Today’s straw poll at the Party’s spring convention marks the last gathering of the State GOP leadership before the June 24 gubernatorial primary. Elected representatives from all 23 counties and Baltimore City cast their votes in today’s poll in favor of the Lollar-Timmerman team.

“We are grateful for this tremendous show of support from the elected leadership of the Maryland GOP,” said gubernatorial candidate Charles Lollar, a Charles County businessman and reserve officer in the U.S. Marine Corps.

“Today’s poll results mirror the sentiment we have been hearing from grass roots supporters across the state,” Lollar added.

Conservative Carroll County Commissioner Richard Rothschild enthusiastically endorsed the Lollar-Timmerman ticket on Friday night. “Everywhere I go, people have told me they are supporting Lollar-Timmerman,” Commissioner Rothschild said. “Those are the only names I hear.”

Both Lollar and Timmerman were attending other events on Saturday, but delegates at the state party convention erupted in cheers, jumping to their feet when they heard the results.

This latest straw poll victory from central committee members from across the state follows on the heels of a victory at the annual convention of the Maryland Federation of Republican Women in Calvert County.

The Lollar-Timmerman team has also won three successive Montgomery County GOP straw polls, including one on March 26 following the only debate where all four GOP gubernatorial candidates showed up.

“Ken and I thank you for your support and we will not let you down as we march to victory in November,” Lollar said.

I don’t recall the “jumping to their feet” part, but it was somewhat of a surprise to hear Lollar won. However, he didn’t mention that it was far from an overwhelming victory – if all the undecideds came down for third-place finisher David Craig, he would have won. The only one who finished poorly was Ron George; coincidentally or not, he was barely visible at this convention. Shelley Aloi was well-meaning and worked hard, but Ron’s table was unstaffed and volunteer sheet almost blank when I saw it Saturday.

We do know, though, that the party faithful who care enough to come to the convention have much more decisiveness about the race than a group of relatively random respondents selected for the St. Mary’s College Maryland Poll. The big winner in that poll was Mr. Undecided – nearly seven of ten hadn’t made up their minds yet. In that poll Larry Hogan leads by a somewhat comfortable margin, but at just 16 percent of the vote – a total of 43 votes out of 270, which wasn’t much larger than the room full of party activists.

Put another way, even Charles Lollar or Ron George has to convince just 34 more voters out of that remaining sample than Larry Hogan does to prevail. If either can start raising money, it’s doable.

On another subject, perhaps Don Murphy was right when he remarked that local candidates should have been out knocking on doors rather than at the convention. There were a handful of such candidates there who were pressed into service as Central Committee members or proxies, but I saw few General Assembly members about Bethesda over the weekend. Maybe they showed for the dinner, but they weren’t even there Friday night for schmoozing so they were likely following Murphy’s advice.

We also found out the next convention will be December 5-6 at Turf Valley, the site of our Fall 2012 convention/wake. Let’s hope for Maryland’s sake history doesn’t repeat itself.

2014 Maryland GOP Spring Convention in pictures and text (part 1)

As has often been the case, I am splitting this into two parts. One will come out today and one tomorrow, since the news is of the sort that it will keep. Always leave them wanting more.

Anyway, my traveling companion Dave Parker and I arrived in Bethesda in the pouring rain, and after checking in I retreated to my room with a view…well, sort of I guess.

It was almost a three-hour trip, so when I got myself unpacked it was just about time to get registered for the convention and go to the Executive Committee meeting.

After MDGOP Chair Diana Waterman informed us she was “excited” about filling out the statewide ballot, she began on the subjects she would stress over and over during the event: turnout and unity. We would have had a Republican governor over the last four years if we had turned out our base, said Diana.

We also learned who would be the speaker at the annual Red, White, and Blue Dinner June 19 at Turf Valley. I Tweeted the news:

Diana then introduced party executive director Joe Cluster, who remarked “this state is tired of Martin O’Malley and Barack Obama,” based on their approval numbers sagging below 50 percent. He also predicted that, “incumbent Republicans will do very well in this election.” It was the “chance of a lifetime to really put a dent in the Democrats,” Cluster added. While the Treasurer’s Report was its usual depressing self, we were doing slightly better than expected on fundraising. It’s no secret the party is still carrying some debt, though. Waterman added that members could help by participating in the Old Line Club, where people could pledge as little as $8.25 a month to assist the party.

Diana also announced that there would be no open primary committee business on this convention agenda – we would address it after the 2014 election. She also announced the state Board of Elections denied a bid for online absentee ballots and same-day registration.

Cluster returned to the microphone later to talk about Andy Harris being “very supportive of the party” and began to speak about him not having a credible opponent. But Waterman cautioned that she would have a “very frank discussion” if Central Committees acted in a manner backing one contender over others. “We do not take favorites” in the primary, Diana warned. It was fine for individual members to do so, depending on local bylaws, but this cannot be done as a committee unless there’s only one contender. “I’d much rather have one candidate in every race,” she added, but conceded this wasn’t always possible.

We also discussed the proposed bylaw amendment for regional chairs and conventions. It was not recommended for approval by the Bylaws Committee, who held a conference call on it, but sponsor Kevin Waterman planned to bring it up from the floor. And while Diana Waterman believed it was “vitally important” to have regional chairs, the Bylaws Committee considered it a “distraction.” One county chair remarked, “if there was a call for (regional conventions), we would already do it.” Most of us already knew it was Diana’s birthday, but a surprise awaited as I Tweeted:

That pretty much marked the end of the open part of the meeting, as a brief closed session was held – it took place while I wandered one floor down to check this out.

They even had a two-piece band for entertainment, mostly classic rock from what I could hear.

I actually meant to take this photo of Charles Lollar hanging in the back meeting with campaign staffers, but it evolved into a conversation about engaging voters on the other side of the aisle after I noted he looked a little tired. You be the judge.

Charles told me he considered the event a success, and it was a lively affair while it lasted.

But before I went upstairs to see what else was up, I ran into another statewide candidate.

Not literally, of course – since Shelley Aloi is a karate expert that may be a sure way to get hurt. I just figured it was one way to document who was there among statewide candidates. (If you look closely at the second Lollar photo you’ll see his running mate Ken Timmerman and Comptroller candidate Bill Campbell also enjoying themselves, so they are covered.)

There were a number of interesting vendors in the lobby.

As you might be able to see, there were the usual campaign-related sellers there, but there was also a table of supporters for a draft Dr. Ben Carson for president movement as well as a table for First District Congressional candidate Jonathan Goff, who is running against the aforementioned Andy Harris for the nomination.

I also realized that the Maryland Liberty Caucus was holding their own party down the hall, although it appeared to be winding down as I arrived.

Yet there still seems to be a strong pro-liberty streak in our party.

So I finally went upstairs and decided to work my way up, which led me to find this in the elevator.

On Saturday, we all found a handout at our chairs detailing what Millennial Maryland really stood for:

We represent all Republicans, the old-white-straight-Christian males, and, well, all the others. We’re here to show that Republicans are listening to gays, to immigrants, to black and Latino Americans, to those concerned about the environment, education, and the poor. We represent the GOP in all its diversity, and while we may be more moderate at times than some, we would never advocate excluding someone for disagreeing with us. We’re here to make the tent bigger, more diverse, and more electable.

Judge for yourself whether that would be the case. Onetime MDGOP Chair candidate Mike Esteve is the head of this group.

My first stop after getting off the elevator was the MoCo suite. Very crowded.

So I went up two floors to find an equally lively David Craig suite.

But in the back corner I found Lieutenant Governor candidate Jeannie Haddaway and a man seeking to replace her, Dr. Rene Desmarais, having an enlightening discussion.

They were gracious enough to add to my collection of candidates, as did David Craig.

The mini-bank Craig was holding came with a few pennies inside so it would rattle. He was giving them away as trinkets.

After those good photos, I wandered upstairs to the last suite, that of Eugene Craig III and the Young Conservatives. Things were starting to wind down.

I think David Craig’s was the best suite, simply because it had the best food – had I made it to the Young Conservatives suite earlier, though, I may have been persuaded otherwise. With so few party suites, food was a little harder to come by as the night wore on.

So I made it to bed about midnight or a little after, which is about the time I’m wrapping up this post. For the evening I will complete part 2 detailing many of Saturday’s events.

Campaign 2014: a (second) look at finance

If this post looks fairly familiar to you, I’ll explain why.

Back on January 22, I did the original post which bears the “look at finance” title above. Because I wanted to keep the same format while adding the newest information from Larry Hogan as a compare and contrast, I’m essentially reprising the earlier post with the additional information. If Larry Hogan can do apples-to-oranges comparisons of campaign finance, I can too. Everyone will be even with the pre-primary report due at the end of next month, but for now this will have to suffice.

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For each category, I’m going to do a rank order among the seven gubernatorial contenders who have filed a campaign finance report. Six of these were filed in January covering 2013, with the seventh being Larry Hogan – he announced his campaign in late January so his first report was due last week and covered the period through April 8. For the purpose of this exercise, I’m ignoring the minor candidates who did not file a campaign finance report as they are generally perennial candidates who raise little money.

To begin this comparison, it helps to know how much was raised during the 2013 period, which is about a week off the actual calendar since it ended January 8, 2014. For Hogan this runs from February 3 to April 8 – it’s a much shorter timeframe but has the advantage of being much closer to the primary.

  1. Anthony Brown (D) – $4,019,803.13
  2. Doug Gansler (D) – $1,487,704.79
  3. Heather Mizeur (D) – $493,173.55
  4. Larry Hogan (R) – $487.073.56
  5. David Craig (R) – $249,808.75
  6. Ron George (R) – $130,159.00
  7. Charles Lollar (R) – $65,329.67

Another piece of this puzzle which interests me is trying to figure out an average contribution. But rather than count the actual number of line items, I decided it was easier and far faster to assume there would be a certain number of contributions per page. This is the number of pages of contributors each report had.

  1. Anthony Brown (D) – 358
  2. Heather Mizeur (D) – 202
  3. Larry Hogan (R) – 197
  4. Doug Gansler (D) – 125
  5. David Craig (R) – 58
  6. Ron George (R) – 46
  7. Charles Lollar (R) – 36

So if you assumed 17 contributors per page, the average donation per contribution would comes out like this for the 2013 reports. In Hogan’s case, there are two provisos: his report is formatted a little bit differently so there are only about 12 per page; in addition, he loaned his campaign $100,000. So his average will be based on those revised numbers.

  1. Doug Gansler (D) – $700.10
  2. Anthony Brown (D) – $660.50
  3. David Craig (R) – $253.36
  4. Larry Hogan (R) – $206.04
  5. Ron George (R) – $166.44
  6. Heather Mizeur (D) – $143.91
  7. Charles Lollar (R) – $106.75

Something I found intriguing, particularly in Lollar’s case, was the fact that several contributors were serial repeaters. Some campaigns seem to have a feature where a donor can use an automatic monthly withdrawal, but in Lollar’s case it appears to be through PayPal and a large share of his backers tended to use that feature. That made for dozens of pages of expenditures on individual PayPal fees, which doesn’t seem to be a very efficient use of what turns out to be hundreds of campaign dollars a few pennies at a time, particularly on a $10 monthly donation.

Now let’s look at where the overall take came from. In all cases, the overwhelming majority of funds came from individual donations. But Charles Lollar took the cake there.

  1. Charles Lollar (R) – 100%
  2. Heather Mizeur (D) – 99.53%
  3. Ron George (R) – 98.12%
  4. Doug Gansler (D) – 97.5%
  5. David Craig (R) – 93.19%
  6. Anthony Brown (D) – 91.65%
  7. Larry Hogan (R) – 78.51%

I think there is a glaring mistake in Lollar’s totals, though, as I think the $6,000 transferred in from Blaine Young’s shuttered gubernatorial campaign probably should count as being from what the Board of Elections calls “Maryland candidates or slates” and not as an individual contribution. Based on overall 2013 totals, that would actually put Lollar near the bottom of the list. But he’s not the only one who made mistakes, as I found PAC money interspersed with individual contributions on a number of reports, along with missing addresses and the like.

In Hogan’s case, the $100,000 loan figures into the sum. While it doesn’t reflect in these totals, for interest of disclosure it should be noted that Hogan made another $5,000 in direct donations, $25,000 more came from LLCs affiliated with Hogan’s business interests (more on that later), and another $18,838.64 was made in in-kind donations. In all, 30.6% of Hogan’s money came from his own pocket.

Without changing the Lollar numbers, here’s the percentage of contribution some of these six received from other candidates or slates.

  1. Anthony Brown (D) – 3.27%
  2. David Craig (R) – 0.64%
  3. Doug Gansler (D) – 0.52%
  4. Larry Hogan (R) – 0.08%

The others received none.

But how about state PACs? I would have thought they comprised a much larger share of the pie, but none of the candidates received more than a tiny percentage of PAC money.

  1. Anthony Brown (D) – 3.13%
  2. David Craig (R) – 2.8%
  3. Larry Hogan (R) – 0.88%
  4. Heather Mizeur (D) – 0.44%
  5. Doug Gansler (D) – 0.42%

Neither Ron George nor Charles Lollar were beneficiaries of PAC money. Obviously in terms of actual dollars there’s a huge difference between Brown and Craig, but percentage-wise they are fairly even.

Oddly enough, though, Ron George leads in the percentage coming from political clubs. I think it’s based on one contribution.

  1. Ron George (R) – 1.88%
  2. Anthony Brown (D) – 0.21%
  3. Heather Mizeur (D) – 0.04%

Again, it’s a matter of scale – Brown’s largess from political clubs is nearly fourfold more in actual dollars. The lieutenant governor is also the sole beneficiary of federal committee money, to the tune of $69,000.

Since individual contributions are such a large part of the game, though, I wanted to take a closer look at where they came from. To that end, I decided to categorize appropriate donations into one of five categories, if they fit – most did not, while some fit more than one.

  • percentage from LLCs, LLPs, trusts, and other similar financial arrangements
  • percentage from law firms, as I could reasonably ascertain same (inexact, to be sure)
  • percentage from unions, although most give as PACs and I didn’t track those this time
  • percentage from businesses
  • percentage from out-of-state – in contrast to a federal race where out-of-state money is to be expected, it struck me that some campaigns leaned heavily on donors outside Maryland

I’ll start with the LLC category, which is being addressed for the next election cycle. Some believe it’s too easy to skirt contribution limits by maxing out a donation as an individual then shelling out more under the guise of an LLC. Each candidate got some LLC money, but some more than others.

  1. David Craig (R) – 25.16% of individual contribution money
  2. Larry Hogan (R) – 24.5%
  3. Anthony Brown (D) – 17.58%
  4. Doug Gansler (D) – 14.2%
  5. Ron George (R) – 4.69%
  6. Heather Mizeur (D) – 3.56%
  7. Charles Lollar (R) – 0.58%

Heather Mizeur is low on some of these categories because individual contributions from certain entities, like LLCs and businesses, could not be counted toward her matching funds for public campaign financing. Larry Hogan received a lot of individual contributions, but many of them exceeded the $250 allowed to be counted toward the match.

I sort of expected this result from law firms, although percentages were lower than I figured on.

  1. Doug Gansler (D) – 3.6%
  2. Anthony Brown (D) – 0.73%
  3.  David Craig (R) – 0.6%
  4. Larry Hogan (R) – 0.27%

They were the only four receiving contributions from what I reckoned were law firms. Even if I were wrong on a few, Gansler took that category with ease.

The same was true of unions, where Democrats Anthony Brown (0.59%) and Doug Gansler (0.07%) were unsurprisingly the leaders.

And if you thought pay-to-play was the rule in Maryland, well, you may be correct. The individual share from businesses went like this.

  1. Anthony Brown (D) – 17.38%
  2. David Craig (R) – 15.33%
  3. Doug Gansler (D) – 12.6%
  4. Larry Hogan (R) – 7.43%
  5. Ron George (R) – 5.09%
  6. Charles Lollar (R) – 2.85%
  7. Heather Mizeur (D) – 0.17%

Maryland may have one of the worst business climates in the country, but the big, established players must like the way competition is curtailed in the state. Some of the largest businesses in the country gave big checks to Brown and Gansler, with health care businesses propping up Brown and some large technology firms backing Gansler.

Finally, I thought it was telling who got support from out-of-state. This may be controversial because I counted Washington, D.C. addresses as out of state and surely some business people who are Maryland residents wrote checks based on their place of business. But I had to draw a line somewhere and the results are telling to me. These figures represent the percentage of individual contribution money drawn from out of state.

  1. Heather Mizeur (D) – 36.63%
  2. Doug Gansler (D) – 32.67%
  3. Anthony Brown (D) – 25.55%
  4. Charles Lollar (R) – 7.09%
  5. Larry Hogan (R) – 5.65%
  6. Ron George (R) – 4.11%
  7. David Craig (R) – 3.87%

In the cases of Brown and Gansler, it seemed like much of their out-of-state take came from the District of Columbia, while Mizeur’s came from all over the country. Yet if you considered Takoma Park and Silver Spring as part of another state (sometimes we here on the Shore consider them another country) I believe Mizeur would have been over 50 percent. Does everyone in Takoma Park have an extra Benjamin to spend on her race? Seems like it.

This final category shows that Maryland Republicans can’t seem to nationalize this statewide race as they could recent federal races with Dan Bongino and Andy Harris, for example. This is a pity because what better encouraging message to conservatives than a Republican winning in Maryland?

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Now to the present day.

In going through the Hogan report, I noticed a few interesting items regarding the LLCs which contributed to his campaign: a number of them shared the same address. The worst offender: a group of LLCs which list as their address the domicile of St. John Properties. Combined, these LLCs gave $30,000 to the Hogan campaign as well as $5,500 to David Craig. And they’re bipartisan, since Anthony Brown and Doug Gansler also have contributions from that same address – it may be the nerve center of political donations in the state. In Hogan’s case, he even rents his office space from St. John.

While he has a dog in this fight as one of those who’s running for the state’s highest office, I’ve found Ron George is a good go-to expert on campaign finance laws since he helped write many of the reforms taking effect next year. So I asked him about this situation as it relates to those in the race. Replied George:

The LLC loophole allowed Brown to get around $68,000 from one guy that created many LLC’s. That will stop after January 2015, but even though we increased the aggregate total limit, there will not be one because of the recent Supreme Court ruling. The limits to each candidate will still be law but we increased the $4,000 amount.

I also wanted some clarification on how the $250 matching funds worked, and Ron had that answer as well:

All “individual” donations (in Maryland law that means those from private individuals) can only be matched “up to” the first $250. So, yes, an aggregate amount of $500 can only have the first $250 matched.

The reporting periods became law this year, thus a couple more were added. The BOE software is keeping track of the matching fund qualifying money in a separate spread sheet.

Based on the numbers I found, and even deducting for the overage on many contributions – which ranged up to the maximum $4,000 allowed and then some in one case – it appears Hogan has, or shortly will have, enough seed money to fully qualify for matching funds in the primary.

But a glaring figure stuck out at me. As of the close of the reporting period, Larry Hogan had $167,748.15 on hand. I’ll grant Larry’s spent a lot on media already, but just as a reminder this is what the others had back in January:

  1. David Craig – $154,577.02
  2. Ron George – $15,449.89
  3. Charles Lollar – $5,731.35

If David Craig simply held serve and raised enough to cover his expenses for the first three months of the year, the two are basically even going forward. Obviously Ron George and Charles Lollar lag well behind, but since he had the chance to respond to my question George added this assessment of the situation:

Hogan is still playing the perception game. Many started to think he had a lot of money so they began to back him, but even his numbers are not so good. If he did not donate to his own campaign, he would be at my levels. That puts it in perspective. My three months of not fundraising did hold me back. But people should not count me out. It is still wide open and Hogan sent many fundraising letters out when I could not. I had a responsibility to serve my oath of office to which I was elected. Many felt I should have resigned like Palin did so I could raise money, but I felt I owed my constituents that voted me in.

As a gentle correction to Ron, Sarah Palin didn’t resign as governor until after she and John McCain lost in 2008. I think he was thinking of Bob Dole in 1996.

But Ron’s assessment of Hogan’s situation isn’t all that far off if you back out the nearly $150,000 Hogan has provided directly or indirectly to his campaign. Unfortunately for George, money is fungible and right now that cash is sitting in Larry’s campaign account ready to use, along with the possible volunteers that spending nearly $6,500 on Facebook advertising can whip up. It’s also why Hogan has a fairly significant lead in the polls despite the fact he’s not been queried much (if at all) on key issues like education, the environment, the Second Amendment, and agriculture.

The campaign playing field should be leveled May 27 when all of them have to file the first pre-primary report. For all contenders save Hogan, it will cover the time period since the 2014 Annual Report was due; in Hogan’s case we can combine this recent report with the next one to show an apples-to-apples compare and contrast with all the candidates on both sides. It’s about time.

Missing in action again

It’s almost becoming a running joke now.

Larry Hogan can crow as he wishes about raising $450,000 in the initial months of his campaign (although a significant portion was his own money, as I’ll document later this week) and make hay about being on both TV and radio in most parts of the state, but the reputation he’s building as a guy who avoids debates and tough questions is getting harder to shake.

Let’s begin with the television ads. As I speculated when I first wrote about it, it was indeed a cable buy, but now it’s spread across most of the state:

Two days after his campaign reported raising more than $450,000 in its first filing period, gubernatorial candidate Larry Hogan significantly expanded his TV and radio advertising campaign.  His first 30-second ad entitled “Dedicated” which began running in 11 Maryland counties on April 3 is now airing on cable networks in a total of 19 counties.

The presser mentions radio, and I can vouch that the Hogan campaign is on our local talk station since I heard the ad Thursday. It’s a fairly good spot, but using the live audience feed on what Larry had to say in his stump speech was a little distracting because of the applause lines used. He also mentioned last Saturday when I spoke to him before our Lincoln Day Dinner that he had done another interview that day with WGMD-FM out of Georgetown, Delaware – a station popular in the Ocean City/Ocean Pines area. This is one area Hogan has used to advantage – one-on-one interviews where he can take his time to answer questions and steer the conversation back to his main campaign topics. When the questions depart from those areas, in at least one well-known instance Hogan’s called them “crazy.

In the release, Hogan is quoted as saying:

Through our one-on-one meetings with voters in their homes, places of work and communities and now with statewide advertising, Boyd and I are bringing our message of fiscal restraint and common sense reform to Marylanders who simply can’t afford another four years of single party rule and  incompetence by Annapolis elites.

Yet that message can’t seem to stand the scrutiny of direct questioning with other candidates present. On May 9 the Maryland Public Policy Institute is hosting a GOP gubernatorial debate and just three of the four candidates are participating. I’ll give you three guesses as to who declined, first two don’t count. You would think Larry can change pre-scheduled events with a month’s advance notice when he had a late change to his official announcement due to a predicted snowstorm (which indeed occurred.) So the excuse that “we have a lot of scheduling conflicts” won’t wash if he misses the May 31 debate scheduled for here in Salisbury.

Another candidate who developed the reputation of missing events early in the campaign has cleaned up his act to a large extent, and the party he’s promoting at the upcoming state convention in Bethesda promises to be a tightly-packed gathering if the guest list is accurate. Emceed by WMAL radio’s Larry O’Connor, the sponsor list includes “Ben Carson, Jr, Jimmy Kemp, Henry Marraffa, Richard Rothschild, Armstrong Williams and many others.” Most readers know who Ben Carson, Sr. is but this event features his son. Similarly, Jimmy Kemp is the son of onetime GOP Vice-Presidential nominee Jack Kemp (1996) and, like his dad, a former pro football quarterback. Marraffa and Rothschild are local elected officials, but Armstrong Williams is best known as a syndicated columnist. So it’s an eclectic group of conservatives who will be featured at Lollar’s soiree, and perhaps Lollar will get a Carson endorsement after all.

2014 Wicomico County Lincoln Day Dinner in pictures and text

It wouldn’t be a Wicomico County Lincoln Day Dinner without the guest of honor, now would it?

But it was that and much more as about 100 people enjoyed the festivities last night in Salisbury. I was a little disappointed in the attendance, but those who missed the affair missed some stirring words from both our four featured speakers – the GOP gubernatorial candidates – save Jeannie Haddaway pinch-hitting for David Craig, who was in Frederick tonight – and Delegate Mike McDermott.

Our event is set up so guests have an opportunity to talk to candidates before and after the proceedings. So before dinner was underway, acquaintances were made and renewed, such as Delegate Ron George speaking with the newly-goateed Delegate Charles Otto.

I like that look on Charles. Meanwhile, Larry Hogan and wife Yumi spoke to Wicomico County Council member Joe Holloway. I believe fellow Council member Bob Culver is back to camera.

As I noted earlier, Jeannie Haddaway was taking the place of David Craig and visiting her alma mater. In the background is Larry Hogan’s LG pick, Boyd Rutherford.

Candidates were also taking advantage of the space provided for literature and signs.

Things began to get going when the Union troops and band arrived in the room.

This heralded the arrival of our sixteenth president, who is a popular subject. In this case, it was with Senator Rich Colburn (left) and John and Gail Bartkovich. Gail is the outgoing Council member from District 3, while the good doctor John was our county chair for several years.

One new wrinkle we added this year was a Union band, described by Lincoln as “the Eastern Shore detachment of the 3rd Maryland Irregular Regimental Band,” which played traditional music during the prelude to the ceremonies.

The troops sat behind Lincoln as he made his remarks, with a little banjo accompaniment toward the end.

As he always does, Lincoln made remarks which tried to use the words of yesterday to relate to today’s world, leading off with a tale about General George McClellan, one which he concluded by stating the case “the lunatics are running the asylum.”

“Our greatest enemy is voter apathy,” he continued. “It cheats honest citizens.”

And just as the British Empire sparked a revolution by resorting to tyranny, Lincoln called the modern situation “mental torture.” Now, “A lying tyrant is in control,” Lincoln added, “We need to be a stumbling block to tyrants.” But he ended on a hopeful note, believing “America shall not pass away.”

Our county Chair Dave Parker then secured the floor for a number of announcements as well as praise for one outgoing member of our Central Committee.

First of all, we learned that there will be a gubernatorial debate among the GOP candidates here on May 31, at Salisbury University. Once the June 24 primary is history, we will convene for the Wicomico County Republican Club Crab Feast on September 6.

But the huge event was the one slated for September 27. After twice being unsuccessful at getting a Lincoln Day date, we got the next best thing: Lt. Col. Allen West will be appearing in Salisbury for a series of events September 27. Those who attend Central Committee or Wicomico County Republican Club functions already know this, but we put out the formal word tonight at Lincoln Day.

Before we heard from the gubernatorial candidates, we also took a few moments to honor one of the few Republicans in Maryland whose Presidential vote has truly counted – this man served on the Electoral College from Maryland in 1972 for Nixon and 1984 for Reagan. For the better part of five decades Blan Harcum has been a fixture in Wicomico County GOP politics, but after this election he will take a well-deserved retirement from the Central Committee. “I’ve enjoyed every minute of it,” said Blan about his tenure.

And as it turns out, Larry Hogan has known Blan “for a long, long time.” He drew the opening slot among our four, and in doing so decided to play up his experience in both the private sector and executive branch under former governor Bob Ehrlich. “I’ve spent a lifetime challenging the status quo,” Hogan said, accusing our current leaders of “actually causing the problems.” Rather than “be something,” he wanted to do something about them and that was why he decided to run.

Naturally, Hogan spoke about Change Maryland, noting that it “successfully changed the dialogue in this state.” He could sense the frustration with the “huge disconnect” between the people and their government as well as the belief the state was heading in the wrong direction. Regarding the “arrogant, out of touch monopoly” in Annapolis, he believed it was “about time the politicians in Annapolis listened to the rest of us.”

As he has often done in his stump speeches, Hogan returned to three main points: creating jobs, helping out the middle class, and getting government off our backs. He related his day in Salisbury, with stops in several area businesses as well as a Little League opening day and the downtown Easter Egg hunt.

Charles Lollar also told us about his day, one spent taking the fight to Democratic strongholds and crossing paths with Democrat Anthony Brown on three occasions, debating him once. He was inducted into the 100 Black Men of Prince George’s County, heard Brown say at a Howard County forum that “Maryland is doing fine” – while 1 out of 3 in portions of Baltimore are jobless – and went to a Veterans for Democracy meeting back in Charles County where he was “disinvited” to speak because of “political pressure” his name has brought. On top of that, his second daughter is going to her first prom tonight. “I’m not doing this for me…we’re doing this for you,” said Charles.

But his message to the Republicans was that whoever the nominee for governor may be, he has to have the “intestinal fortitude and integrity” to speak our convictions. His basic agenda would be one of economic solvency, installing a Taxpayer’s Bill of Rights to slow budget growth, and eventually eliminating the personal income tax – a proposal which got him the support of economist Arthur Laffer.

He knew it would be difficult, but concluded that “I don’t play politics very well, but I do enjoy a good fight every once in awhile.” Whoever wins the primary has to care about the ideals of the minority community to earn their votes, Charles stated in closing.

Representing David Craig, who couldn’t be here tonight but was instead over in Frederick County, was his lieutenant governor candidate Jeannie Haddaway. We’re out “covering the state as much as we could,” she explained. Reflecting on the recent General Assembly session, Haddaway remarked that “there are people in Annapolis fighting for you.” Some of the more controversial bills only passed by slim majorities, added Jeannie, because Democrats are reluctant to vote for them but have to contend with their “top-down agenda.” Thanks to what’s gone on the last few years, “our state is in really bad shape,” said Jeannie.

She corrected Larry Hogan’s remark about private sector experience, noting David Craig worked in a factory when not teaching and her own work as a small business owner. Their priority would be to straighten out the budget then “put money back in your pocket” through elimination of the income tax.

Haddaway pointed out 40 percent of Democrats were undecided, perhaps because they didn’t like the options and may consider a Republican who would “try something different.” And even in heavily Democratic districts, Craig had won. “We have won collectively 14 general elections,” she said. “Whoever turns out is going to win this election.” She promised that if Craig won and she became the state’s first Eastern Shore lieutenant governor, “the Eastern Shore will be forgotten no more.”

While he was holding up the flyer for an upcoming event in Ocean City in the photo above, Ron George opened up by discussing running mate Shelley Aloi – like many of us, I met her for the first time tonight. (She and Ron happened to sit at our table, along with our next speaker and his wife and the Parkers.)

Ron spent much of his time talking about the General Assembly: “I felt like I needed Rolaids constantly,” remarked George – but considered it an “honor” to serve with our Republican “warriors.” His pitch was combining his business experience with time served at the “front line” of issues as a member of the General Assembly – one who formed the Doctor’s Caucus “to build consensus” and a related group called the Physician’s Advisory. That group had uncovered waste within the exchange and the failures of health care contractor Maximus early on.

Ron also spoke about his work on the electoral process, closing a loophole for the next cycle so a donor couldn’t form multiple LLCs just to circumvent campaign finance limits. Audits, too, were another major part of his platform since he’d found where Prince George’s County “totally misused” $400 million. “That kind of waste has got to stop.”

George went over a couple parts of his ten-point promise, one which “will fix the drain that Baltimore is” and strive to rebuild the state’s manufacturing base in small communities like ours. “I cannot cut welfare payments unless I have those entry-level, mid-level jobs,” said Ron.

He also made an announcement about a Monday event to be held in conjunction with Dan Bongino and David Craig, endorsing Anthony Brown for governor…of Connecticut. “How’s that (health care) working out for us?” added Jeannie Haddaway.

But the rhetorical storm was brewing.

You knew Delegate Mike McDermott was working on a stemwinder when he noted, “the problem with Democrat math is that they follow Common Core logic.” This after he noted losing the two GOP Senators in 2010, including the seat he seeks, “opened up the floodgates of hell on the social side.” This didn’t count the pilfering of various trust funds or the “blank check” to uncovered patients for the budget.

But once he got going on the “outrage” on the bathroom bill, it was on. “It should be unacceptable to all Marylanders,” he said. We gave each gubernatorial candidate ten minutes – Mike was still going strong after fifteen.

“The tragedy of Maryland politics can be turned around,” he said. “Don’t send a governor to the governor’s mansion without sending them reinforcements” of five Senators. His voice rising, McDermott made the case that North Carolina “worked on making government work for the people” after the GOP took over and raised its business friendliness rating from 46th to 17th in two years. “They’ve brought that state back! It can happen here.”

“If we can’t make the case for change this year,” Mike thundered, “the Republican Party can never make it.”

“We can take Wicomico County by storm! If there was ever a county which needed good leadership and change, it’s this one. I’m tired of being up there, and being in a welfare county…I challenge you to take it back,” an emotional McDermott concluded. He had to dial it back some for the benediction that he delivered.

Our friends in Worcester County have the chance to have a great team in Annapolis: Mike McDermott in the Senate, and Mary Beth Carozza and Charles Otto in the House.

So ended another Lincoln Day Dinner. It wasn’t quite what we bargained for when we started planning it last year, but those who were there were treated to a good event nonetheless.

A qualified success

He may not be much for participating in debates, but by the standard I set a few days ago Larry Hogan is a more-than-successful fundraiser. Today his campaign released a press statement claiming that the Hogan juggernaut raised $422,000 from over 1,800 individuals in just 68 days. (The official numbers are due next week, so this is a preliminary tally.)

Speaking on this, Hogan was thankful for the generosity:

Thanks to our supporters, volunteers and staff we’ve surpassed our outreach and fundraising goals.  The incredible outpouring of support from middle class voters across our state shows that Marylanders want a governor who’ll put working families and small businesses ahead of Annapolis elites.

Yet a quick look behind the numbers reveals a few interesting things.

First of all, it appears that many of the donations are maxing out the $250 allowed for matching contributions, as the average works out to about $234 per. So you’re getting your share of smaller numbers, but it’s likely the report will show a high number who pitched in the most allowed. Moreover, it bears pointing out that Hogan only promised to use matching funds in the primary, so there’s a lot of room for these donors to come back and upgrade to the maximum $4,000 allowed should Hogan win in June. This may be a shrewd strategy to compete in the general election.

But I found the comparisons to other campaigns at the 68-day stage a little disingenuous, because they’re apples and oranges. Eighteen months out from an election is generally not prime fundraising time, and no contender makes a whole lot in the summer before a campaign year – for example, David Craig raised about $250,000 in each of the last two years but it was clear he wouldn’t rest on those laurels and fundraising wasn’t a big push at the time. As long as candidates have enough to keep the lights on a year out, they’re happy, so saying that his campaign is more popular than the others based on that fact alone is a little misleading.

We also don’t know how much cash on hand any of the campaigns have, and going forward at this stage that’s a far more important number. With Hogan making a television ad buy, some part of that $422,000 is already spent.

Yet as time goes on, it’s becoming more clear we may be looking at a two-person race, unless the campaign finance reports of Ron George or Charles Lollar show they’ve cut into the significant fundraising advantages David Craig already enjoyed and Larry Hogan has appeared to establish. Grassroots support is great, and taking the message to underserved areas helps build the Maryland GOP for the future. Reaching nearly a million Maryland GOP voters, however, isn’t free, and there’s a reason it’s called broadcasting – media reaches a huge number of people other methods do not.

These warm and fuzzy commercials Democratic contenders are putting out are simply to build a brand association, because very few of those voters are going to look at the issues until the end, if at all. The more discerning group on the GOP side is fine with questioning the record of the incumbents, but they’ll want a little more depth when all is said and done.

As a closing aside, David Craig is going to try and raise a little money on Sunday as he hosts a fundraiser of his own:

Please join the Eastern Shore’s own Jeannie Haddaway and me on Sunday, April 13th at Sailwinds Park in Cambridge.

Our friends from all over the Eastern Shore and across Maryland will be gathering for fresh seafood, cold drinks, and good times. The event will be held from 12pm-4pm. Tickets are $60 in advance and $70 at the door. Tickets can be purchased by clicking here.

I will say that based on the forecast he is going to luck out in that respect. Next thing you know we’ll be sweating in Crisfield, but only one GOP gubernatorial candidate will be there as a nominee.