A Minnesota Public Radio look into the state Republican Party's debt-riddled finances found many payments to people and firms with close party ties.
The party is about $2 million in debt, and Tony Sutton resigned as chairman last month after two years in charge. Party leaders met last night to review the spending that led to the debt.
The MPR story found:
- $1 million in payments to Tony Trimble, the party's attorney who handed the 2008 U.S. Senate recount and the 2010 gubernatorial recount. Both recounts were unsuccessful for the party.
- $221,000 to Strother Communications, a public relations firm charged with rebranding the party.
- Payments to officeholders — or those campaigning — of $120,000 in consulting fees and salary; a staffer already earning an $85,000 salary got an additional $14,000 for legal work; and two former party staffers received $56,000 for consulting.
- $5,000 in November 2010 to Cadfael Investigative Group to look into allegations of voter fraud relating to the 2010 governor's race.
- $10,500 to TG Med, a small company that markets medical products, to look into the efficacy of medical marijuana.
The story notes:
Sutton said the party's problems were a result of poor fundraising from donors who gave in small amounts. He said the elimination of the state's Political Contribution Refund was a drain on the party's coffers. That state program, which was eliminated in 2009, allowed donors to claim a tax refund of $50 when they contributed to political parties.
And:
Members of the executive committee say they aren't sure anything fraudulent occurred under Sutton's watch, but the party is nevertheless accused of campaign finance violations, which could result in fines.
Government watchdog groups at the state and federal levels have filed complaints with campaign finance regulators, claiming the party broke campaign finance laws during Sutton's tenure. Chief among them is failing to report $415,000 in debt. Party leaders announced the additional debt less than a month after Sutton resigned. The complaints come just five months after Republican Party leaders admitted to failing to disclose debt in 2006.
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