NRCC Memo: Gillibrand and Arcuri Are Targets, Hall Is Not

by: phillip anderson

Thu Mar 06, 2008 at 14:09:25 PM EST

NRCC Memo Reveals 24 Democratic Targets (Sub req'd)

The National Republican Congressional Committee is targeting 23 Democratic incumbents, including several freshmen, and one open seat, according a memo obtained by Roll Call that was prepared by the NRCC for a March 5 briefing to political action committee officials.

The memo, titled "Two Dozen Reasons the NRCC will Pick Up Seats in 2008," shed some light as to where the NRCC might direct its limited resources in the fall, although the seats included on the committee's target list come as no surprise. The NRCC used the memo to highlight pickup opportunities in the November elections and urge PACs to donate to the committee and help Republicans take back the House.

The full list, which is heavy with freshmen in districts won by Bush in 2004, is in the extended entry...

Questions About Reynolds' Role In NRCC Scandal

by: robert.harding

Thu Feb 28, 2008 at 16:12:06 PM EST

The first question is why did Reynolds remove Donna Anderson, who was the top accounting officer with the NRCC, and allow Christopher Ward to assume those duties when Reynolds took over the committee in 2003? Ward is the central figure in this case and it would appear that under Reynolds was when he was put in the position where he allegedly committed these fraudulent activites.

Next, people should be asking why Reynolds says he didn't know that this was going on. Reynolds said in a statement to Roll Call:

"It was my understanding that throughout my tenure as NRCC Chairman audits were performed on a regular basis. At no point in time were any red flags raised about those audits. It now appears over an extended period of time a long-serving, professional staff member may have put together an elaborate scheme resulting in financial irregularities that are currently under review. I fully support this investigation in an attempt to uncover the truth."

No red flags, but it was Reynolds who allowed Ward to be in this position by removing Anderson in 2003. So if Reynolds knew enough then to put Ward in that position, why didn't he know anything about the financial issues going on within the committee he was entrusted to oversee?

Reynolds should be forced to answer other questions as well. Why did Tom Cole, the current head of the NRCC, discover the financial irregularities within months of taking over the NRCC post when Reynolds served in that position for four or five years and didn't know anything (supposedly)?

All important questions. So far, Reynolds is silent.  

Reynolds affected by probe of NRCC

by: robert.harding

Wed Feb 27, 2008 at 18:23:31 PM EST

Reynolds has not been accused of any wrongdoing in connection with the investigation, which is reportedly centered on Christopher Ward, former longtime treasurer of the NRCC. However, Powers' campaign pointed to an article in this week's Roll Call newspaper saying the NRCC apparently has not had an independent audit of its financial records since summer of 2003, the first year that Reynolds was chairman.

Audits are not required by federal law, but they are routinely conducted by the major campaign committees, according to Federal Election Commission records.

"Western New Yorkers deserve better than this," said John Gerken, Powers' campaign manager. "They deserve real leadership and accountability in Washington, D.C., not a congressman embroiled in scandal."

But Reynolds said Tuesday that if irregularities did occur, he was an unknowing victim. He said he believed audits had been done.

This reminds me of the incompetent leadership that Reynolds showed during the Mark Foley scandal. Only this time, he is saying he knows nothing about this and that it's all a big surprise.

The problem with that thinking should be pretty obvious. If you're the CEO of a company, you know what's going on. You know where your money is going and where it's coming from. So how can Reynolds say he knew nothing about these financial improprieties? He was in charge and he didn't know where this money was going?

That's hard to believe. Now, Reynolds is involved in his second scandal involving the Republican Party in two years.  

NY-26: Powers calls out Reynolds for his lack of leadership

by: robert.harding

Tue Feb 26, 2008 at 10:27:57 AM EST

From an e-mailed press release:

The facts are not on Mr. Reynolds' side.  A cursory look at the NRCC filings show that from 2001-2003 the NRCC under Rep. Tom Davis spent $64,000 on various accounting expenses, including audits by Deloitte & Touche.  During Tom Reynolds' tenure the NRCC's only expense to Deloitte & Touche was for $2,000 and not one payment was logged as audit expenses during the entire time period.  Roll Call reports that Republican sources say that the committee has not had an audit since 2003.

           Fiscal irresponsibility aside, this lack of oversight raises several questions with regard to criminal conduct.  Generally, lenders will request an audit before granting loans.  The NRCC received $11,000,000 in loans during Tom Reynolds' tenure and there is currently an FBI investigation as to whether audits were conducted and if the NRCC, under Reynolds' leadership, presented fraudulent material in order to obtain loans.

           This is not the first time Reynolds has attempted to abscond from a scandal by blaming others.  In 2006, Congressman Mark Foley attempted to engage in pedophilia with a 16 year old congressional page.  Instead of taking action when he heard about "odd, but not explicit" emails (as Reynolds, himself, described them in his 2006 TV ad) from a congressman to a 16 year old boy, Reynolds casually passed the information along to "his supervisor," then House Speaker Dennis Hastert.  "With the Foley scandal Tom blamed his supervisor and with the NRCC scandal, Tom is blaming his subordinate?  Does Tom Reynolds ever accept responsibility for his poor leadership or does he just pass the buck?" stated Powers for Congress Campaign Manager, John Gerken.  "Western New Yorkers deserve better than this.  They deserve real leadership and accountability in Washington, DC, not a Congressman embroiled in scandal."

One of the key things in the 26th congressional district race will be leadership. Jon Powers has proven time and time again that he is a natural born leader. Reynolds, however, has shown on numerous instances that he is not a leader. He has provided excuses for himself when people didn't want excuses - they wanted answers. First with the Mark Foley scandal and now with this NRCC scandal, Reynolds has proven that he cannot be in a position of power. And he has also proven that he is not deserving of the current position of power he holds - the representative in the House for the 26th congressional district.  

More on NRCC audits... or lack thereof

by: robert.harding

Mon Feb 25, 2008 at 16:15:44 PM EST

Reynolds issued this response to Roll Call (subscription required):

Reynolds wrote in a statement e-mailed to Roll Call, "It was my understanding that throughout my tenure as NRCC Chairman audits were performed on a regular basis. At no point in time were any red flags raised about those audits. It now appears over an extended period of time a long-serving, professional staff member may have put together an elaborate scheme resulting in financial irregularities that are currently under review. I fully support this investigation in an attempt to uncover the truth."

It was your understanding that there were audits done? What kind of leader were you? Obviously, the Republicans don't have their house in order, but this includes Reynolds. How can he be clueless about all of this? He pins this on the scheming of a staff member (former treasurer Christopher Ward) but he was THE man in charge.

Also, something interesting to note from the Roll Call piece:

FEC records show that the NRCC paid $24,000 to Deloitte & Touche in 2001 and 2002 for "audit and tax preparation." In the first half of 2003, the committee paid the firm $45,450, including a single payment in June for $42,000, which sources say was payment for the audit requested by Davis for the 2002 cycle.

The committee's FEC records show one payment to Deloitte & Touche in 2004, for $2,000, and no payments to the firm after that, and no payments logged as audit expenses. Republican sources say they believe the committee has not had an audit since 2003.

Ah yes... the infamous Deloitte & Touche. I documented how Deloitte Touche & Tohmatsu (DTT) is one of the top contributors to Tom Reynolds 2008 campaign. They also are the same accounting firm involved in the downfall of Adelphia. And now, it appears DTT did audit the NRCC in 2001, 2002 and 2003, but did not from 2004-2006.

Needless to say, if I was a House Republican, I would ask Reynolds how he didn't know about any of this.  

Tom Reynolds endorses McCain; More news on the NRCC scandal

by: robert.harding

Fri Feb 08, 2008 at 18:40:53 PM EST

Anyway, Reynolds' endorsement of McCain says a couple of things. First, Reynolds will not change his position on the Iraq War. He wants to stay in the fight. Good for him and his status in the Republican Party. Bad for him in November.

Also, the NRCC scandal could become a more serious problem for the Republicans. A few people have asked me why I think Reynolds was a part of this. Well, it's rather simple. The allegations against Christopher Ward date back to 2006 and an audit conducted that same year. If you're the head of the NRCC, which Reynolds was from 2002-2006, how do you not know there are financial irregularities? If you did know, then you have a serious problem on your hands. If you didn't know, that tells me you're a poor leader and someone who can't keep his house in order. I don't think that's the kind of guy we want in Congress and to go one more, that's not the kind of guy we want representing the people in the 26th district.  

Christopher Ward: A Republican Crook

by: robert.harding

Wed Feb 06, 2008 at 21:01:10 PM EST

Earlier today, I wrote about the NRCC's auditing troubles involving former NRCC treasurer Christopher Ward. I speculated about the possible link between this scandal and Tom Reynolds. After all, Reynolds was the head of the NRCC from 2002 to 2006 and during that time Ward was the treasurer.

I've mentioned Ward's connection to the Swift Boat Vets organization, which smeared Sen. John Kerry during his 2004 presidential run. But there's more to Ward than just partisan hackery.

(More over the fold.)

NRCC scandal could fall into Tom Reynolds' lap

by: robert.harding

Wed Feb 06, 2008 at 13:23:03 PM EST

A link to Tom Reynolds.

The Politico has the scoop:

Ward has been with the committee in some capacity since 1993, according to FEC records. He was listed as the committee's treasurer between 1993 and 2003, according to the same campaign finance data.

He was on the committee's official payroll the entire time, earning roughly $6,500 per month during his last year at the NRCC. In August, his last month as an official member of the staff, the committee paid him $8,758.

That same month, the NRCC began recording regular monthly payments of $7,500 to C.J. Ward & Company LLC, signaling his transition as an outside contractor for the committee. That venture is listed under the same address as Ward's Bethesda home, according to FEC records.

His last month was in August 2007. But he was treasurer from 1993-2003 and he was listed as treasurer in the 2006 FEC filings. Guess who was chairman of the NRCC then?

If you guessed Tom Reynolds, you are correct.

You know Tom, I would think that someone who has received $10,000 in campaign contributions from the American Institute of CPAs would be a little more accountable let's say.

My question to Reynolds would be this: How could you serve in that capacity (from 2002-2006, Reynolds chaired the NRCC) and not know what's going on with the money? Reynolds has a lot of questions to answer. And I think the NRCC's new regime wants them first.

UPDATE: There could be a bigger story here. Reynolds' mentor Bill Paxon, who represented the district Reynolds represents now, was NRCC chair from 1992-1998. Ward worked for the NRCC beginning in 1993. How far could this reach? Possibly VERY far.

UPDATE II: Ward has been linked to Swift Boat Vets. Imagine that...  

Note To the NRCC: Greg Ball is a Creative Self Financer

by: phillip anderson

Tue Dec 18, 2007 at 09:58:44 AM EST

Ken Spain from the National Republican Congressional Committee, in an e-mail today, said the committee "doesn't promise money to anyone." Spain was getting back to me on the issue of state Assemblyman Greg Ball, R-Carmel, contemplating a run for Congress. Ball, if you recall, is thinking of challenging Rep. John Hall, D-Dover Plains.

One factor that would figure in his decision, Ball had said, was a financial commitment from the NRCC. Spain said the committee has spoken with both Ball and Republican Kieran Michael Lalor of Peekskill about the race.

"The NRCC doesn't promise money to anyone," Spain wrote. "We make that decision as we draw closer to the election. We've talked with Ball as you know and think he would make a good candidate. We have talked with Lalor as well, but we do not pre-primary endorse."

I'd just like to remind the NRCC that Greg Ball is very creative when it comes to financing his campaigns and doing so in a way that most Congressional Republicans will love.

You may wonder how the neophyte freshman Assemblyman bankrolled his Assembly campaign and why he had so much support from out of state. Ball set up a charity to teach poor kids to play polo (No, really.) and a separate PAC focusing on issues in the district he was running in. He then sold tickets to a charity event attended by those who think teaching poor kids to play polo is an awesome idea. And that's where he displays the type of creativity that the NRCC should take note of.

Courage Cup: Ponying Up For Whose Charity?

But why did Ball, 29, now a busy freshman state assemblyman, even want to keep running a youthful charity party several hours from his home district? Perhaps because it helped him win his seat.

The Reliable Source found that a New York political action committee started by Ball -- which later transferred its entire treasury to his campaign -- netted as much as $10,000 by selling tickets to the 2005 Courage Cup. That's four times the amount the polo match raised that year for its prominently advertised beneficiary, Work to Ride, a Philadelphia charity that teaches poor kids to play polo.

It's unclear whether anything about the arrangement was improper. But it shocked several D.C. area Courage Cup ticket buyers, who said they had never heard of the group and were stunned to find their names in Ball's campaign finance records.

"I thought the money was going to kids," said Andrew McKenna."I'd be pretty [infuriated] if I found out this was for a political race."

...

We randomly contacted a dozen of these D.C. donors to ask why they gave to a New York state PAC. None could remember ever hearing of the group, let alone giving it money. But all, as it turned out, had bought tickets to the 2005 Courage Cup, held that year on June 18 in Poolesville, Md.

"I think it was billed as a fundraiser to get kids involved with polo," recalled Britt Jung, who was surprised to find herself listed as a $55 donor to CUEG -- an amount she thinks she spent on her Courage Cup ticket.

"I don't recall supporting him," said Eden Ellis, an acquaintance of Ball's who remembered hearing about his political aspirations but didn't know how $50 in her name ended up in CUEG's filings. "I think I would have remembered that."

...

According to New York state newspaper accounts at the time, Citizens United for Ethical Growth was founded in fall 2004 with Ball as its president. Its goals were to promote "smart growth" and regional planning in the small-town and suburban communities north of New York City, with special concern for traffic congestion on state Route 22. The following April, Ball announced he would run as a Republican for state assembly against a longtime incumbent. In December 2005, CUEG -- then described in its press releases as being led by a Dutchess County, N.Y., landscaper, Frank Chiera -- announced it was transferring its $18,000 in assets to Ball's campaign.

I guess what I'm trying to say, dear friends at the NRCC, is that Greg Ball is a go-getter and certainly worth another look...

Kirsten Gillibrand Has More Cash On Hand Than the NRCC

by: phillip anderson

Mon Oct 22, 2007 at 09:21:57 AM EDT

The NRCC reports $1,598,505.61 in the bank.

Kirsten Gillibrand reports $1,631,852.36.

That's astounding. It becomes even more ridiculous when one considers that the NRCC is also carrying $2,251,494.39 in debt. Kirsten has none.

RoboCall Redux in Westchester

by: phillip anderson

Fri Jun 01, 2007 at 12:09:35 PM EDT

It looks like they are starting awfully early this cycle.

And speaking of robo calls...

20th District Representative Kirsten Gillibrand is getting it from the left and the right this week. MoveOn.org is dogging the first term Democratic lawmaker for her vote last week to continue funding for the Iraq war. Gillibrand was the only New York Democrat in Congress to vote that way and MoveOn has been bombarding her with emails and calls to discuss their displeasure with the vote.

For her part, Gillibrand, who is on the Armed Services committee, is said to want to hold off a possible funding cut until the fall, after the military has had some more time to change course in Iraq and wait until a funding vote would carry some more accountability with it.

That’s the assault from the left.

On her right flank, Gillibrand this week has  been pelted with a series of radio ads and robocalls – both of which are ending tomorrow – blasting her for what the NRCC terms a voting record that has followed House Speaker Nancy Pelosi 100 percent. (It’s not actually 100 percent, though, as the NRCC just conceded to me, since Pelosi and most other Dems voted against the war funding).

Message on my answering machine today:

"Hi, my name is Louisa calling from the NRCC with an important message about John Hall's voting record. Congressman John Hall voted with Speaker Nancy Pelosi to pave the way for an unbelievable 200 billion dollar tax increase -- one of the largest in history. Make your voice heard. Call Congressman Hall at 845-291-4100 and let him know that higher taxes are not what you had in mind. Paid for by the National Republican Congressional Committee. It is not authorized by any candidate or candidate's committee..."

Weak.

Meet The Man Who Just Might Beat Tom Reynolds (NY-26)

by: phillip anderson

Sat Mar 31, 2007 at 20:02:38 PM EDT

Iraq War veteran eyes race against Reynolds

A 28- year-old Iraq War veteran who later started a charity to help that nation's children is considering a campaign against Rep. Thomas M. Reynolds, R-Clarence, next year.

Jonathan Powers, a Clarence native, said this week that he has begun speaking with Democratic leaders in Western New York and Washington about a possible race.

Stressing that he is not close to making a decision about running, Powers said, "While Rep. Reynolds has been in there awhile, I think the best thing for Western New York would be a change."

While Reynolds has focused on Republican Party politics, the 26th District - which sprawls from suburban Buffalo to suburban Rochester - deserves a member of Congress "who addresses the issues important to the people back home," Powers added.

...

But Powers stressed that if he decides to run against Reynolds, the war won't be his only issue. Most notably, he said, he would focus on economic issues.

"When I came home from the military, I realized that job opportunities for someone my age just weren't there anymore," he said.

After a few months back home in 2005, Powers moved to Washington to form War Kids Relief, which recently opened a youth center in Baghdad and has plans for several more.

Powers said he has already met with Erie County Democratic Chairman Leonard R. Lenihan and Jack Davis, the Akron millionaire who ran against Reynolds in 2004 and 2006 and may run again.

Reynolds, a five-term House veteran, was considered among the most powerful members of the House until Republicans lost their majority in last November's election.

Democrats consider him vulnerable.

Yeah, we consider him vulnerable. We also consider him utterly unfit to represent anyone.

So, just who is Jonathan Powers? Find out on the flip...

(X-posted at DailyKos)