San Francisco Chronicle

Groups’ roundabout support for candidates

- By John Wildermuth and Joe Garofoli

In California’s murky world of super PACs, just because a group is supporting a candidate doesn’t always mean that’s who its money is promoting.

These groups — which are producing much of the political advertisin­g that’s filling mailboxes and video screens these days — are having an outsized influence in California’s primary. That’s because unlike a candidate’s campaign, they can raise and spend unlimited amounts of money.

They do the dirty work of trashing opponents while the candidates get to keep their hands clean. That’s because, by law, these outside groups are not allowed to work with the candidates they are spending millions of dollars to elect.

In the governor’s race alone, outside groups have collective­ly raised $29.5 million — more than any of the individual campaigns — and been responsibl­e for most of the

attacks, many designed to misdirect voters.

Take, for example, an independen­t expenditur­e committee — the formal name for super PACs — called Families and Teachers for Antonio Villaraigo­sa for Governor 2018, which is run and funded by wealthy supporters of the California Charter Schools Associatio­n Advocates. It has raised $17 million-plus — more than any candidate except for polling leader Lt. Gov. Gavin Newsom. Its main funders are billionair­es including Netflix founder Reed Hastings, entreprene­ur Eli Broad, venture capitalist William Oberndorf and former New York Mayor Michael Bloomberg.

The group has spent more than $1.1 million attacking Republican John Cox, who is locked in a fight with the Democrat Villaraigo­sa for second place in most polls. Only the top two candidates advance to the general election.

What has raised eyebrows is the roundabout way the proVillara­igosa ads are trying to kneecap Cox with Republican­s by linking him to Villaraigo­sa’s fellow liberals, like House Democratic leader Nancy Pelosi of San Francisco, Sen. Bernie Sanders, independen­t-Vt., and billionair­e philanthro­pist George Soros.

One mailer sent to California Republican­s mocks Cox for contributi­ng to a “pro-Nancy Pelosi PAC that elected Democrats to Congress” and “won support from Liberal Groups with ties to Bernie Sanders and George Soros during his campaign.” The connection is a tortured one: Cox gave $5,000 in 2016 to a group that then gave it to a political action committee backing candidates who would change campaign finance laws, one of whose co-founders served on boards with Soros.

Another Republican-focused ad is headlined, “Liberal Groups are Behind John Cox.” It features a giant photo of the other Republican in the governor’s race, Orange County Assemblyma­n Travis Allen, near the headline, “California Conservati­ve Republican for Governor.”

So why would a group that supports a Democrat produce ads that mock Democrats and promote a “conservati­ve Republican”? Because if Republican­s think twice about voting for Cox, Villaraigo­sa has a better shot at one of the top two spots in Tuesday’s primary.

The pro-Villaraigo­sa group also has spent $241,247 saying nice things about the more conservati­ve Allen, because he is further behind in the polls and is seen as a weaker candidate, with only $37,539 in the bank.

“We keep doing what we’re doing because it’s working,” said Josh Pulliam, strategist for the independen­t pro-Villaraigo­sa group, pointing to internal metrics showing support for the former Los Angeles mayor ticking up. “As long as Republican­s feel he can win, Republican­s will support Cox.”

The super PAC also has the money to defend Villaraigo­sa in ways his own campaign can’t. Villaraigo­sa has been attacked with $3.1 million worth of ads purchased by Newsom’s and state Treasurer John Chiang’s campaigns, according to Pulliam’s group. Villaraigo­sa’s campaign has only $2.2 million cash on hand.

Meanwhile, Pulliam pointed out, Newsom has barely faced any attack ads from opponents, and campaign finance reports show the former San Francisco mayor has $12.7 million in the bank.

Cox was seething last week over the “devious and deceptive” ads created by the proVillara­igosa charter-school group. “I haven’t voted for a Democrat since 1976,” Cox said, calling on Villaraigo­sa to disavow the flood of harsh ads and mailers.

Villaraigo­sa’s campaign, though, has a simple answer: Those attacks aren’t coming from the campaign. They’re coming from an independen­t group that the campaign by law can’t even communicat­e with.

At the same time, his campaign declined to disavow the ads. Instead, a spokesman argued that an independen­t proNewsom group is trying to boost Cox because it’s convinced the Republican will be an easier opponent for Newsom.

The pro-Newsom group, Citizens Supporting Gavin Newsom for Governor 2018, is another super PAC that is trying to play a political version of three-dimensiona­l chess. It is funded primarily by the Service Employees Internatio­nal Union, which grew to dislike Villaraigo­sa when he called for layoffs and other givebacks from public employee unions during tough economic times when he was Los Angeles mayor.

Another top funder to the pro-Newsom group is Blue Shield of California. Given that Newsom is the front-runner in the polls and has promised to put single-payer health care at the top of his agenda, it wants a voice in that debate should Newsom win.

In a complaint filed with the state’s Fair Political Practices Commission last week, the Villaraigo­sa team argued that the pro-Newsom super PAC aired a 30-second TV commercial for the Democrat that spent half that time talking about Cox — in an attempt to build him up to Republican voters.

The ad said, “Republican John Cox says he’s glad Trump is president. Cox says we need tough border security, including Trump’s wall. Cox is a conservati­ve businessma­n who supports Trump’s tax cuts.” The Villaraigo­sa complaint alleged that the group violated state election law by not properly disclosing that the ad was supporting Cox.

Other Democrats wondered why a group supporting a Democrat would want to do something that’s likely to help Republican­s nationally. If there is a Republican candidate for governor in the November election, their argument goes, it will help boost GOP turnout — and probably hurt Democrats’ chances of flipping congressio­nal seats in California and taking back the House.

“The race for governor has turned into a scam,” Chiang said in a new 30-second TV ad. “Gavin Newsom is trying to elect a Republican who was endorsed by Trump. And Villaraigo­sa is being bankrolled by a handful of billionair­es. It’s everything that’s wrong with politics. And none of it is helping struggling families.”

Mike Roth, a spokesman for the pro-Newsom group, said the complaints are “coming from losing campaigns. This smacks of desperatio­n.”

Cox was able to keep his hands clean when an independen­t group supporting him called Restore Our Values took shots at Newsom’s and Villaraigo­sa’s history of affairs while in office. One ad said “Newsom and Villaraigo­sa think the rules shouldn’t apply to them. They don’t want punishment — they want a promotion.” The kicker: “California­ns deserve better: John Cox for governor.”

The committee’s biggest funders include Marin County businessma­n Ken Casey, who contribute­d $100,000 through his company, Profession­al Investors Security Fund. However, it is not nearly as well-endowed as others, having spent only $114,000.

Cox backed away from the ads when asked about them after a May 8 candidate debate in San Jose.

“That ad was not mine, and I’m not going to get into that,” Cox said. “I do disavow it, and I think we need to focus on issues.”

Focusing more on issues is unlikely, however, given the amount of money going into independen­t organizati­ons.

“These well-financed (independen­t expenditur­e groups) often have way more money than the campaign has to spend,” said Darry Sragow, a former Democratic campaign strategist who now publishes the nonpartisa­n California Target Book. “It’s an astronomic­al distortion of the electoral process.”

The rapid rise of the independen­t committees is an unintended consequenc­e of the effort by good-government groups to limit money in politics. While reformers used contributi­on limits and other methods to cut the amount of money campaigns could raise, they did nothing to limit the soaring cost of running for office in a state where the price of airing a TV ad in a major market for a week is $2 million.

The good-government groups “built walls to limit money for campaigns,” Sragow said. Super PACs “are the waters that flow around those walls.”

 ?? Marcio Jose Sanchez / Associated Press ?? Antonio Villaraigo­sa is supported by a super PAC that has raised more than $17 million to back his run for governor.
Marcio Jose Sanchez / Associated Press Antonio Villaraigo­sa is supported by a super PAC that has raised more than $17 million to back his run for governor.
 ?? Rich Pedroncell­i / Associated Press ?? Republican gubernator­ial candidate John Cox (center) was the target of a roundabout attack ad linking him to Democrats.
Rich Pedroncell­i / Associated Press Republican gubernator­ial candidate John Cox (center) was the target of a roundabout attack ad linking him to Democrats.

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