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The Money Marathon

Big Bucks and the Race for Governor of New York

The First Leg: January through July 2001

The Money Marathon: First Leg is the first in a series of reports on
campaign finance in the 2002 New York State governor’s race to be
issued by the Public Policy and Education Fund of New York

December 2001
We gratefully acknowledge the following foundations for their financial support of
the Public Policy and Education Fund’s Clean Money, Clean Elections Project:

J. Roderick MacArthur Foundation
The Piper Fund
The Orchard Foundation
Public Campaign
The Arca Foundation

This report was written by Laura Braslow and Richard Kirsch of
the Public Policy and Education Fund.

Research for this study was conducted by Laura Braslow with
the assistance of Steven Hunt and Liane Giunta.

The design and layout for this report was provided by Laura Braslow
with the assistance of Nicole Merrill.

The Public Policy and Education Fund of New York is the research and education
affiliate of Citizen Action of New York.

To view this or any previous PPEF reports, please visit
the Citizen Action website: www.citizenactionny.org.

To order copies, contact:

Public Policy and Education Fund
94 Central Avenue
Albany, NY 12206
(518) 465-4600
Fax: (518) 465-2890
Email: ppef@citizenactionny.org

Copyright 2001 Public Policy and Education Fund of New York
Table of Contents

Executive Summary i

Introduction 1

Methodology 2

Findings 3

Overall 4

Pataki 11

Cuomo 15

McCall 19

Conclusions &
Recommendations 22

Endnotes
Executive Summary
The Money Marathon
Out of the Starting Blocks: The three candidates for
The 2002 race for Governor in New York is shaping governor have all gotten off to a strong start in the
up to be another one for the record books. In the firstmoney marathon, but Governor George E. Pataki and
half of 2001, the three leading candidates for gover- the Republican Party have taken a commanding lead.
nor and the two major parties raised a total of $17.5 Pataki and the Republican Party raised twice as much
million dollars. That's almost $100,000 per day, as Andrew Cuomo, who in turn raised twice as much
including weekends and holidays. The candidates as H. Carl McCall.
alone raised over $15.6 million. The vast majority of
this money comes from large donations, made by In the first six months of the Governor's race,
PACs and individuals who have a financial stake in Republican candidate Governor George Pataki raised
the decisions made in Albany. $8,780,837. The New York State Republican Party
raised an additional $1,344,335, for a total of
The Money Marathon: First Leg is the first in a $10,125,172. This constitutes 58% of all money
series of reports on campaign finance in the 2002 contributed. The Governor raised almost $50,000 a
Governor's race to be issued by the Public Policy and day for his campaign, including weekends and holi-
Education Fund. This study is based on days.
contributions made in the first six months of 2001 to
candidates for governor George Pataki, Andrew Democratic Candidate Andrew Cuomo, former
Cuomo and H. Carl McCall, and to the Republican Secretary of Housing and Urban Development under
and Democratic state parties. The study focuses on President Clinton, raised $4,620,133, or 26% of all
the biggest givers - entities that gave $250 or more money contributed. That's a fundraising clip of about
and individuals who gave $1,000 or more. Our $25,000 a day, every day.
researchers sought to identify the interest or
industry affiliation of contributors, and succeeded in New York State Comptroller and Democratic candi-
coding 72% of individuals and 89% of companies, date for Governor, H. Carl McCall, raised
who gave a combined $13.4 million to the $2,231,164, or 13% of all money contributed, a rate
candidates and parties, 76% of the total dollars of about $12,000 a day.
contributed. The study provides crucial details that
fill out the headlines about how much money each Big Bettors: Individuals gave the bulk of the money
candidate raises. We answer the following questions: donated -- $11,515,970, or 66% of the total money
raised. The remaining $6,000,918, or 34%, came
l Which candidate is relying most on big donors? from PACs. This is in sharp contrast to our findings
l Which industries are funding the campaigns of in a previous PPEF study of giving in Legislative
the 3 candidates? races. During the 1999-2000 legislative session, the
l Who are the leading contributors to each proportion was reversed -- 67% of donations to
campaign? legislators came from PACs, and only 33% was
l Who are the contributors who are giving to donated by individuals.
more than one candidate?
l How much money is coming into the cam Most of the money came from a handful of large
paigns from outside of New York? donors. The 390 individuals and PACs that gave
l Are the candidates collecting more from PACs $10,000 or more gave 50% of all of the money
or individuals? Employers or labor? contributed ($8,871,938).

The Money Marathon: First Leg i
Executive Summary
Contributions of $1,000 or more made up 90% of the Out of State Bettors: The 2002 New York State
money raised, $15,635,016. Contributions of less Governor's race is a high-profile election on the
than $100 made up only 1% of the money raised, or national level, and all three candidates are drawing
$214,538. support from large donors around the country. More
than one-out-of-four dollars, 27%, ($4,701,766)
The biggest single donor was New York City mayor- came from out of state. Even excluding the New York
elect Michael Bloomberg, who gave $150,000 City metropolitan area, 20% of the money came from
through his political campaign to the New York State outside of New York, led by the Washington, DC
Republican party. The Cuomo-Kennedy family beltway and California. Florida and Texas donors
followed closely with cumulative donations to also contributed heavily to the New York candidates.
Andrew Cuomo of $133,200. Former Governor
Mario Cuomo and his wife Matilda each gave the Winners From the Starting Gun: No matter who is
maximum allowable contribution for both a primary elected the next Governor a handful of industries are
sure to come out the winner. The same four industry
and general election campaign, $45,400, for a total of
$90,800 from Mom and Dad. Sister Maria Cuomo groups are the leading donors to all three candidates.
and her fashion-mogul husband Kenneth Cole each Finance is the top industry for all the candidates, with
gave the primary maximum of $14,700. identified donations of $2.6 million. Real estate,
communications/electronics and lawyers fill out the
Several large companies and their employees -- top four. Together these four industries account for
Metromedia, Verizon, Entrust Capital, Seagram and 41% of the total donations to all campaigns and par-
MBNA -- each gave $100,000 or more to the ties and 53% of the identified donations.
candidates and parties.
Governor Pataki: George Pataki, the incumbent
Hedging their Bets: Many donors hedged their bets Governor of New York, has pulled out far ahead of
by contributing to more than one candidate. Five his opponents in the first leg of the money marathon.
unions gave to all three candidates. Twenty-one of Drawing on long-established relationships with
the $10,000 donors gave to both incumbents, wealthy and powerful PACs and individuals built
Governor Pataki and Comptroller McCall. And 10 of over his eight years as Governor, Pataki raised almost
the biggest donors gave to both Democrats, Cuomo twice as much as his nearest competitor in the first
and McCall. six months of the race, and shows no signs of
slowing down.

The Money Marathon: First Leg
Candidate Summary Data

Total $ Raised $ and % $10,000 # $40,000 Employer/ $ and % Out
Raised per day Donors Donors Labor Ratio of State
Pataki $8.8 $48,000 $3.4 million 13 18 to 1 $1.8 million
million 39% 21%
Cuomo $4.6 $25,000 $2.6 million 17 33 to 1 $1.6 million
million 57% 35%
McCall $2.2 $12,000 $1.1 million 2 10 to 1 $700,000
million 51% 32%

The Money Marathon: First Leg ii
Executive Summary
Pataki raised $8.8 million dollars, almost $50,000 per By drawing on Clinton connections from his time in
day, including weekends and holidays, all while Washington, using his father's long-established con-
working full-time as Governor of New York. 39% of nections to New York elites and taking advantage of
all of the money contributed ($3,394,820) to Pataki the doors opened by his in-laws, the Kennedy fami-
came from 161 PACs and individuals who gave ly, Cuomo has built a substantial campaign chest. In
$10,000 or more. Individuals gave the bulk of the the first leg of the money marathon, he raised twice
money donated -- $5,578,312, or 64% of the total. as much money as the other Democratic candidate,
The remaining $3,202,525, or 36%, came from H. Carl McCall.
PACs.
Cuomo raised $4.6 million dollars, or about $25,000
The Pataki campaign received $30,000 or more from per day, including weekends and holidays, at his
33 interests, led by Metromedia executives who full-time job, being a candidate for Governor.
chipped in $114,000. Ten of the biggest Pataki con- Cuomo raised a huge amount of money from rela-
tributors made their fortunes in real estate, including tively few PACs and individuals. The proportion of
$51,000 from the Fisher brothers, $50,000 from Cuomo's money coming from large donors is signif-
Lawrence and Susan Kadish; $41,000 from the Durst icantly higher than either of the other candidates,
organization and $40,000 from H.J. Kalikow and Co. and the number of small donations he received is
Employers gave Governor Pataki 18 times more than significantly lower. 57% of all of the money con-
labor; 80% of the Governor's identified money was tributed ($2,639,767) came from 88 PACs and indi-
given compared with 4% from labor. Legal and viduals who gave $10,000 or more.
health professionals gave the Governor 15% of his
identified money. Although Pataki had 7.5 times as many distinct con-
tributions as Cuomo, Cuomo has numerically more
Governor Pataki's frequent fundraising trips around distinct donations of $10,000 or more. And although
the country this year have allowed the Governor to Pataki raised almost twice as much money as
raise $1.8 million from out-of-state donors, 21% of Cuomo, Cuomo raised 84% of the amount that
his funds. Fifteen percent, $1.3 million, has come Pataki raised in donations of $10,000 or more.
from donors who live outside of New York State and
the New York metropolitan area. As detailed above, Mom and Dad and the rest of the
Kennedy-Cuomo family were together the leading
Like the other candidates, finance, real estate, com- donors to Andrew Cuomo, with the Cuomo-
munications and lawyers dominate giving to Pataki. Kennedy family donating a total of $133,200.
But the Governor also received large amounts from Cuomo also received big donations form the Belfer
industries that rely on state policy and contracts. The family, owners of Belco Oil & Gas, who gave a total
construction industry was on par with lawyers, giv- of $116,092 to Cuomo (and $1,000 to McCall).
ing the Governor more than half-a-million dollars Executives of Entrust Capital gave Cuomo
($552,000). Health care interests followed with $106,823. Many of the 32 interests who gave
$423,000. Cuomo $25,000 or more came from communica-
tions and electronics firms, including $95,400 from
Andrew Cuomo: The former secretary of Housing Wireless Cable International and $80,000 from
and Urban Development under President Clinton and HBO founder Michael Fuchs and his wife, Kris.
son of former Governor of New York Mario Cuomo
has many campaign finance resources at his disposal.

The Money Marathon: First Leg iii
Executive Summary
Cuomo received the smallest proportion of contribu- McCall has many fewer large donors than the other
tions from PACs, only 13% of his money compared two candidates. Whereas Cuomo had 17 donors in
with 33% for Pataki and 29% for McCall. Employers the $40,000 plus range, and Pataki 13, McCall had
gave 33 times more to Cuomo than did labor, $2.5 only two donor groups who contributed $40,000 or
million compared with $77,000. Legal and health more. The largest McCall donor group is executives
professionals donated 15% of the identified money to of Renaissance Technology Corp., in the finance
Cuomo. industry. Partners in the law firm of Milberg Weiss
Bershad Hynes & Lerach gave $59,000 and Black
Andrew Cuomo has the greatest proportion of his Entertainment Television executives gave $35,000.
support coming from out of state of any of the three
candidates. Out of state donations totaled While McCall also relies heavily on employers for
$1,587,738, or about 35% of all of the money Cuomo his money - 69% of the coded contributions - he
raised. Cuomo received $1,179,362, 15% of his raised the highest proportion of his money (7%) from
money, from out of New York State or the NY met- labor of any candidate. Legal and health profession-
ropolitan area. als contributed 20% of the identified money to
McCall.
Carl McCall: The New York State Comptroller has a
steep road ahead of him. Without the benefits of While McCall does not have the same national pro-
being the incumbent governor, or the Kennedy- file as his competitors, he still received a large pro-
Cuomo connections, McCall will have a tough time portion of his contributions from out of state donors.
keeping up in the money marathon. As an added dif- Almost one-third (32%) of McCall's money,
ficulty, Security and Exchange Commission regula- $707,025, came from out-of-state and 26% came
tions prohibit him, as Comptroller, from accepting from out of the New York area.
contributions from certain companies, specifically
those in the municipal securities industry. There are Conclusions and Recommendations
no equivalent restrictions on the Governor's ability to
raise money from state contractors. The first election that candidates for public office
must win is the wealth primary, the race for cam-
In the first leg, McCall raised only half as much as paign dollars. That race is off to a fast start in the
his Democratic competitor, Andrew Cuomo, and he campaign for Governor of New York, with $15.6 mil-
trailed incumbent Governor George Pataki by a ratio lion dollars of fundraising by the candidates in the
of almost 4 to 1. McCall has an edge on Cuomo and first six months of 2001, well before the election. The
Pataki in labor support, which may bring him a boost race is certain to be the most expensive race for
later in the campaign. But he will have to get more statewide office in New York history and may rival
big-donor support if he hopes to compete financially the $91 million spent on the US Senate race in 2000.
in the primary, let alone the general election. Raising tens of millions of dollars will be a marathon
that lasts through the Democratic primary in
During the first six months of 2001, McCall raised September and the general election in November.
$2.2 million dollars, or about $12,000 per day,
including weekends and holidays. Half (51%) of all The strongest runner in this marathon will be able to
of the money contributed to McCall ($1,138,009) raise the most money from large donors. Small
came from 93 PACs and individuals who gave donors just don't add up. Donors who gave less than
$10,000 or more. $100 make up less than 1% of the money while the

The Money Marathon: First Leg iv
Executive Summary
457 donors who gave $10,000 and more add up to But even if what all three leaders have proposed
42% of the money collected. became law, they would not break the domination of
big, private money over public elections.
In this race the incumbent Governor has a clear advan- As long as individuals running for public office
tage, raising money from wealthy individuals and must rely on raising private money to get elected to
entities that rely on New York State policy and busi- public office, candidates and our legislature will be
ness contracts. With his Cuomo-Kennedy family con- the captive of well-financed interests. We need
nections, Andrew Cuomo is even more reliant on large instead a system where candidates can compete by
contributors, raising more than half his funds from showing broad support from voters instead of
$10,000 plus donors. State Comptroller Carl McCall's narrow support from campaign funders. Clean
difficulty in building a large donor base is why he lags Money Clean Elections reform, recently enacted in
in fundraising. Why should his relative inability to four states, offers a way of doing so.
raise money from the wealthy handicap his chances of
being elected to Governor? Clean Money, Clean Elections reform begins to
restore the principle of "one person, one vote" that
Is this Any Way to Run a Democracy? lies at the core of our democracy. Clean Money,
The patriots who founded our country had a vision - a Clean Elections offers candidates an alternative to
vision of a government of, by and for the people. soliciting special interest money or spending
Today, we have a government of, by and for the personal funds to run for office. In a Clean Money,
wealthy special interests who fund campaigns. This Clean Elections system, candidates who demon-
situation has arisen not out of any moral or ethical strate broad support in their districts, and who are
lapse among elected officials. It has arisen because of willing to reject private money and limit their spend-
the campaign system in the United States, which ing, receive a fixed and equal amount of campaign
makes elected officials dependent on private donors to funding from a publicly financed fund. They are also
pay their bills. eligible for additional public funds, if they are
outspent by their opponents or targeted by inde-
To sever the tie between special interest money and pendent expenditures.
elected officials requires a fundamental reshaping of
our campaign finance system. There is a growing Clean Money, Clean Elections reforms also include
chorus for reform in New York, as there is around the many of the proposals made by the Governor, leg-
nation. The question before us is what reforms will islative leadership and others in Albany, including:
realize the goals of returning from the rule of "one better disclosure and reporting; lower contribution
dollar-one vote" to "one person-one vote"? limits; an end to soft money; stronger enforcement;
and measures to balance out independent expendi-
The legislative leadership and Governor Pataki are tures.
beginning to agree on some modest reform measures.
The Assembly has approved legislation that would Clean Money, Clean Elections legislation has been
lower campaign contributions, limit spending and pro- introduced in the New York Legislature by Senator
vide partial public financing of campaigns. Governor David Paterson and Assemblyman Felix Ortiz
Pataki supports better disclosure and lower contribu- (S.1638/A.2630). Some 16 members of the Senate
tion limits. Senator Bruno announced his support in and more than 34 Assembly members have signed
2000 for better disclosure and lower contributions to on as sponsors. The approach is supported by a by
party committees. some 80 citizen organizations representing reli-
gious, senior, labor, environmental, tenant, student,
The Money Marathon: First Leg v
Executive Summary
women's, community, good government and neigh-
borhood groups.

PPEF commissioned a poll on Clean Money, Clean
Elections reform in October 2000 that found very
strong support for the reforms in New Yrok. The poll
found that seven out of ten New Yorkers (71%) sup-
port Clean Money, Clean Elections campaign reform.
The poll also found that: 80% support a limited and
equal amount of public funds for candidates; 88%
support campaign spending limits; and 80% support
limits on campaign contributions.

Clean Money, Clean Elections reforms was first
approved by the voters of Maine in a 1996 ballot
initiative, and has since become law in three other
states -- Massachusetts, Vermont and Arizona. The
first elections under this new system were held for the
Maine and Arizona state legislatures in 2000. One
third of Maine's legislators ran without taking any
special interest money. In the Senate, 17 out of 35
members (49%) won their seats without special inter-
est funding. In the House, 45 out of 151 winners
(30%) participated in the program. Incumbents and
challengers, Republicans and Democrats ran under the
new system, with more than half of the Clean Election
candidates (54%) winning.

New York voters deserve more than the best candi-
dates money can buy. It's time that candidates for elec-
tion in New York turned away from one-dollar-one
vote and returned to one-person, one-vote. It's time to
end the Money Marathon in New York and replace the
current system with Clean Money, Clean Elections.

The Money Marathon: First Leg vi
Introduction The Money Marathon: First Leg is the first in a
series of reports on campaign finance in the 2002
The 2002 race for Governor is vitally important for Governor's race to be issued by the Public Policy
the future of New York State. The person elected and Education Fund. This study is based on contri-
will be responsible for leading New York through butions made in the first six months of the guberna-
one of the most tumultous times in the state's histo- torial campaign to candidates for governor George
ry. And money will, as always, play a huge role. In Pataki, Andrew Cuomo and H. Carl McCall, and
the short term, it will effect who wins the election. includes data on contributions to the Republican and
In the long term, the money our future Governor Democratic Parties.
receives from big donors and influential industries
cannot help but effect the decisions he makes in The study focuses on the biggest givers - entities
office. that gave $250 or more and individuals who gave
$1000 or more. Our researchers classified these
In the first half of 2001, the three leading candidates larger givers by their industry or other interest, using
for governor and the two major parties raised a total a methodology developed by the Center for
of $17.5 million dollars. That's almost $100,000 per Responsive Politics, a non-partisan, non-profit
day, including weekends and holidays. The candi- organization based in Washington, DC. The
dates alone raised over $15.6 million. The vast classification system allows us to report on how
majority of this money comes from large donations, much was given by various industries, such as
made by PACs and individuals who have a financial finance, real estate, health care, and insurance.
stake in the decisions made in Albany. Since money
is essential for any political campaign, even when The Money Maraton: First Leg is the latest cam-
there is no strict quid pro quo relationship between paign finance report issued by the Public Policy and
a specific contribution and a specific policy, donors Education Fund. We are continually building and
often have significant influence in the political refining a database of campaign contributions from
process. And the amounts of money -- and, corre- interest groups and individuals to New York's
spondingly, the amounts of influence -- will only elected officials. While we are only including a
increase as we get closer to the 2002 elections. small portion of the information we have collected
Thus, it is essential that we watch closely and in this report, we encourage members of the media
remain vigilant, keeping our elected officals and public to ask us questions about contributions
accountable to the citizens of New York, not only from interest groups, businesses and individuals.
their campaign contributors.
We are committed to compiling data and identifying
Our researchers focused on the following questions: the interests that pay for our elected government,
with the belief that this information will help people
l Who are the major donors - PACs and better understand the forces at work in New York
individuals - behind the three candidates for politics. Issuing reports is a large part of that, but
governor? we will also do our best to answer specific inquiries.
Please feel free to email us at
l What are the key differences in the money followthemoney@citizenactionny.org, or call (518)
funding the three candidates? 465-4600 x107. All of our studies are available
through the Citizen Action of New York website:
l What could these differences mean for the www.citizenactionny.org.
election, and for New York?
The Money Marathon: First Leg 1
Methodology Contributions from individuals were assigned cate-
gories based on the individual’s primary employer
This study is based on campaign finance reports or occupation. For individuals who were not
filed with the New York State Board of Elections, as employed, codes were assigned according the indi-
required by law, encompassing all donations made vidual’s primary income source -- most often, the
between January 12, 2001 and July 11, 2001. The industry/interest of a spouse.
data used is comprised of 17,481 contributions
made to the three candidates for governor (Pataki, Category codes, based upon the Standard Industrial
Cuomo and McCall) and New York’s Democratic Classification (SIC) system, were assigned by using
and Republican Parties. the ProCD database, which identifies SIC codes for
businesses. For individuals, a multi-step research
The New York State Board of Elections requires that process was needed to identify employers and occu-
campaign committees file records of their contribu- pations. Unfortunately, New York State disclosure
tions, and provides this data to the public on its law does not require that individuals be idenfied by
internet site: www.elections.state.ny.us. (While by employer or occupation in campaign finance filings,
law committees are only required to report contri- so researchers looked elsewhere to find the occupa-
butions of $100 or more, all three candidates and the tions and employers of individual contributors.
Democratic and Republican Parties generall report- Some contributors were identified using data from
ed all of their contributions individually, down to $1 the Federal Elections Commission and the New
donations.) Our research team downloaded the data York City Campaign Finance Board, both of which
and attempted to identify the industry/interest of the require reporting of occupation and employer. A
donations of $250 or more for entities and $1,000 or variety of internet seraches and other research
more for individual contributors. The data is com- strategies were used to find the employer and occu-
prised of all contributions to the three candidates’ pation of a significant number of individual donors.
committees, the state Republican and Democratic
Parties, as reported to the State Board of Elections Using this methodology, we were able to code
on five contribution schedules.1 72.4% of individuals who gave over $1,000, and
89% of entities which gave over $250. These coded
Working from the names of donors reported to the entities and individuals account for $13.4 million --
Board of Elections, the researchers used a system about 76% of the $17.5 million contributed overall.
developed by Larry Makinson of the Center for
Responsive Politics in Washington, DC to assign For the purposes of this study, we refer to all busi-
each contribution one of 429 based upon the interst nesses, corporations, non-profit organizations, labor
or industry represented by the donor.2 The contri- unions, law firms, partnerships, or other organized
butions were then separated into 27 categories groups as PACs -- political action committees. For
designed to encompass the major interests repre- some parts of our report, when we were able to iden-
sented by the donors.3 These categories form the tify an employer for an individual contributor, that
basis of many of the analyses of industry/interest contributor is included in the total donated by their
giving in this report. employer. So, for example, if three employees of a
particular company donated to a candidate, their
For contributions from businesses, organizations contributions would be combined under the name of
and political action committees, the entity’s name that company.
was used to identify the industry and interest.

The Money Marathon: First Leg 2
In some parts of our study, we divide contributions
into one of two categories -- individuals and PACs. Definitions of
We did not rely on the information reported to the
Industry/Interest Categories
Campaign Finance Board to distinguish individuals
from entitites, because that information is often not
Agriculture: Farming, ranching, dairy, etc.
reported correctly. Instead, we used a common Business Services: Consulting, advertising, PR
sense rule -- an individual is any contributor with a Communications & Electronics: Telecommunications, media,
electronics
first and last name.
Construction: Building, engineering, architecture
Energy: Oil/gas/power production, power companies
Finance: Banking, investing, credit companies
Food & Beverage: Food & beverage production, restaurants,
Findings supermarkets, wholesalers
Government Employees: Police, administrators, government
workers excluding appointed or elected officials
We have divided our findings into four sections -- Gambling, Hotels & Resorts: Hotels, casinos, racing,
one for the breakdown of contributions overall, entertainment venues, travel agencies
including contributions to the state Republican and Health: Physicians, hospitals, pharmaceuticals
Higher Education: Administrators and university professors
Democratic Parties, and one section for each of the where the university is the primary employer
three candidates for governor. Each section will Ideological*: Advocacy organizations which do not fit into any
address and explore several issues which are essen- industry/interest category
Insurance: Insurance companies
tial to understanding the influence of money in the Labor Unions: Labor not included in more specific categories
Governor’s race: (i.e., AFL-CIO is included, while police unions are in the
Government Employees category.)
Lawyers: Lawyers and law firms
1. How much money was raised? Lobbyists: Individuals and firms registered with the NYS
2. Which industries/interests gave the most? Temporary Commission on Lobbying. This category is not at
3. Which entities/individuals gave the most? all comprehensive -- many registered lobbyists are categorized
by their industry if employed by a company or their firm
4. How much money came from large (usually lawyers or business services.)
contributions vs. small contributions? Manufacturing: Industrial production not included in more spe-
5. How much money came from individuals vs. cific categories (i.e., construction materials would be included
under Construction)
entities? Military: Defense contractors and individuals whose primary
6. How much money came from employers vs. employment is in the military
professionals and labor? Miscellaneous*: Individuals coded by occupation and employer
where occupation/employer does not fit into any interest/indus-
7. What proportion of donations came from out try category
of state, and which other states/regions were Party*: Transfers from campaign committees / party entities
most strongly represented? Personal*: Family members
Political*: Individuals primarily concerned with politics,
including appointed or elected officials and party operatives
In the section on each individual candidate, we will Real Estate: Real estate development & investment
not simply consider the numbers, amounts and pro- Retail: Shops, malls & other retail outlets
Retired*: Individuals identified but no longer employed
portions, but will compare them to the total. This Tobacco: Tobacco farming, tobacco companies
will allow comparison among the candidates, and a Transportation: Airlines, rail, automotive, shipping / freight
discussion of the key differences between their
* Categories not included in industry totals
financial supporters.

The Money Marathon: First Leg 3
The 2002 Governor’s race is shaping up to be another one for the record books. With $17.5 million in
contributions in the first six months alone, this election promises to easily overtake the $40 million plus
raised in 1998. The bulk of this money is coming from a handful of large donors in several industries that
have a significant stake in government. The financial industry is constantly seeking special tax treatment,
real estate developers and construction companies regularly make millions on state contracts and urban
development programs, the communications industry has profited from regulatory decisions made by the

Overall
Governor’s office, and professionals in the legal and business services fields are often hired as consultants
and advisors to political candidates and government officials. The story so far -- the usual suspects are
back, staking their claims for yet another piece of the pie.

Overall Total Donations By
Interest/Industry
Total Money Donated: $17,516,839
Total Number of Donations: 17,353 Finance $2,615,608
Real Estate 1,772,381
Total Money Coded: $13,385,143 Communications & 1,585,407
Total Number of Donations Coded: 4,142 Electronics
Lawyers 1,222,663
Total Industry/Interest Money Donated*: $12,567,226 Construction 775,782
Total Number of Industry/Interest Donations: 3,845 Health 701,266
Business Services 555,325
Insurance 535,150
Manufacturing 508,432
Percentage of Total Money by Industry Government 421,873
Industries Over $500,000 Employees
Energy 375,297
Finance Food & Beverage 363,701
14% Party Transfers 345,715
Transportation 304,800
Gambling, Hotels & 245,914
Real Estate
Resorts
Uncoded & Other 10%
Retail 169,610
43%
Political 149,600
Communications & Retired 122,800
Electronics Personal 115,500
9%
Lobbyists 93,144
Higher Education 74,108
Lawyers
7%
Miscellaneous 69,002
M anufacturing Tobacco 69,000
Construction
3% Agriculture 60,850
Insurance 4%
Health Labor Unions ** 54,695
3% Business Services 4%
Military 17,600
3%
Ideological 10,000
* Excludes party transfers, political donations, personal donations, and ideological donations
** Includes only Labor Unions not coded by industry. For comprehensive numbers on Union donation, see the section on Employers vs. Labor

The Money Marathon: First Leg 4
Top Donors
PACs and individuals donating $40,000 or more to gubernatorial candidates and/or state parties.
Donor Industry/Interest Amount Donor Industry/Interest Amount
1 Bloomberg for Mayor Party $150,000 27 AFSCME Government $ 47,900
2 Cuomo family Personal 133,200 Employees
3 Belco Oil & Gas (Robert, Energy 117,092 28 Dan Klores (Dan Klores Business Services 47,000

Overall
Laurence, Carolyn & Renee Communications, Cuomo
Belfer) campaign manager)
4 Metromedia Communications 116,000 29 Gruss & Co (Martin & Finance 46,000
& Electronics Audrey Gruss)
5 Verizon Communications 107,000 30 Alexander Treadwell, New Political 45,500
& Electronics York State Republican
6 Entrust Capital Finance 106,823 Committee Chairman
7 Seagram (Edgar Bronfman) Food & Beverage 100,000 31 Telephone Marketting Business Services 45,400
8 MBNA Corporation Finance 100,000 Programs Worldwide
9 Wireless Cable International Communications 95,400 (Andrew McKelvey)
& Electronics 32 Miguel Lausell Lawyers 45,400
10 Sutherland Capital Finance 85,000 33 Dreyfus Mutual Fund (Jack J Finance 45,400
Management (Ira & Diana Dreyfus)
Riklis) 34 Simona R Ackerman Unknown 45,400
11 Milberg Weiss Bershad Lawyers 84,000 35 Jack Schneider Unknown 45,000
Hynes & Lerach 36 Dynamic Gunver Manufacturing 45,000
12 HBO (Michael & Kris Fuchs) Communications 80,000 Technologies (Paul Polo)
& Electronics 37 Capital Z Partners (Scott Finance 45,000
13 RFR Realty (Aby & Liz Real Estate 80,000 Delman)
Rosen) 38 Citigroup/Citicorp/Citibank Finance 44,000
14 Renaissance Technologies Finance 70,900 39 North Fork Bank Finance 43,000
Corp 40 Corrections Officers PBA Government 43,000
15 VOTE/COPE (NYS United Government 70,000 Employees
Teachers) Employees 41 Greater NY Hospitals Health 42,500
16 Vornado Realty Trust Real Estate 69,300 Association
17 Four Points Sheraton Gambling, Hotels 67,354 42 Pioneer Development Co Real Estate 42,200
& Resorts (Michael & Noreen Falcone)
18 Alliance Capital Management Finance 67,200
43 Jack Resnick & Sons (Peter, Real Estate 42,200
19 Global Crossing Communications 67,000 Scott & Burton Resnick)
& Electronics
44 Durst Organization (Douglas Real Estate 41,500
20 Bessemer Finance 56,000 D Durst)
21 Mack-Cali (Ruth, David & Real Estate 54,800
45 Beneficial Corp (Finn & Finance 40,000
Sondra Mack)
Barbara Caspersen)
22 Fisher Brothers (Arnold, Real Estate 51,000
Anthony, Richard, Kennety 46 H J Kalikow & CO Real Estate 40,000
& Steven Fisher) 47 BEA Systems (John Belizaire) Communications 40,000
23 Milton I Levin Health 50,000 & Electronics
24 Gabelli Asset Management Finance 50,000 Under New York State’s Campaign Finance Law, an individual
(Mario Gabelli) can donate up to $45,400 to a candidate for statewide office;
25 First Fiscal Fund (Lawrence Real Estate 50,000 $30,700 for the general election, and $14,700 if the candidate
& Susan Kadish) is running in a contested primary. Corporations can donate up
to $5,000. These limits do not apply to donations to party hous-
26 Richard & Lynda Sirota, Political 50,000
keeping funds, commonly known as “soft money.”
Cuomo campaign treasurer
The Money Marathon: First Leg 5
Split Donors Split Donors: PACs and Individuals
Distinct Individuals and Entities Giving $10,000 or More Overall
Many donors, loathe to put their
PACs
eggs in one basket, contribute to
more than one candidate in a given AFL-CIO: McCall ($7,215), Democrats ($5,000), Cuomo ($1,000), Pataki ($500)

Overall
AFSCME: Democrats ($27,900), Pataki ($20,000)
election. They believe that by giving
Allstate Insurance: Republicans ($30,000), Pataki ($1,000), McCall ($1,000)
to multiple candidates for office, AT & T: Republicans ($22,000), McCall ($2,000)
they will be more likely to have Citicorp: Reps ($25,000), Dems ($10,000), McCall ($5,000), Pataki ($2,000)
Civil Service Employees PAC: McCall ($10,000), Dems ($5,400), Pataki ($1,000)
influence with whomever wins. This
Corrections Officers PBA: Pataki ($25,500), McCall ($16,000)
practice is one of the most blatant Court Officers Association: Cuomo ($10,000), Pataki ($1,000), Reps ($1,000)
examples of the mercenary nature of Davidoff & Malito: McCall ($5,000), Republicans ($5,000), Democrats ($400)
Drive Political Fund: Democrats ($25,500), Pataki ($500)
campaign finance contributions from
Ernst & Young: Cuomo ($10,000), Pataki ($2,000)
wealthy entities and individuals. Geico Direct: Republicans ($10,000), McCall ($500)
Greater NY Hospitals Assoc: Republicans ($21,500), Dems ($15,000), Pataki ($500)
Hotel Trades Council: McCall ($8,500), Pataki ($5,500), Cuomo ($5,000) Dems ($4,000)
In the first leg of the governor’s race,
IBEW: Pataki ($6,500), McCall ($3,000), Democrats ($1,000)
21 individuals and 53 PACs which Keyspan Energy: Pataki ($29,300), Democrats ($1,000)
gave $10,000 or more total were Laborers PAC: Pataki ($20,500) Reps ($6,000) Dems ($5,000) McCall ($2500) Cuomo
($2000)
split donors. Of those, 16 individu-
Law PAC: Pataki ($8,700), McCall ($3,000)
als and 33 PACs gave to at least two Local 6 PAC: McCall ($8,500), Cuomo ($5,000), Democrats ($3,000), Pataki ($500)
different candidates, or one candi- Mason Tenders District Council: McCall ($7,000), Democrats ($7,000), Pataki ($2,000)
Medical Society of NYS: Pataki ($27,700), McCall ($1,750)
date and the opposing party. 31 of
Morefar Marketing: Pataki ($5,000), Democrats ($5,000)
the 49 split donors gave to two dif- North American Managers Inc: Pataki ($5,000), Democrats ($5,000)
ferent candidates, and 5 gave to all NY Advantage PAC: Pataki ($9,500), Republicans ($5,000), McCall ($500)
NY Bankers PAC: Pataki ($10,000), McCall ($1,000)
three candidates. 21 donors gave to
NY District Council of Carpenters: Pataki ($27,500), Cuomo ($2,500), Dems ($2,000)
both of the incumbents (Pataki and Police Benevolent Association of NYC: Pataki ($15,550), McCall ($500), Reps ($250)
McCall,) and 10 gave to both Pipe Trades PAC: Pataki ($7,000), Democrats ($5,000), McCall ($1,500)
Sheet Metal Workers: Cuomo ($21,000), Pataki ($1,000), McCall ($250)
Democrats (McCall and Cuomo.)
Soft Drink Brewery Workers: Pataki ($21,000), Cuomo ($10,000)
Transport Workers Union Local 100: Democrats ($11,000), Pataki ($2,500)
Split donations were most Vote/Cope (NY Teachers): Democrats ($65,000), Pataki ($5,000)
common among labor PACs, which
Individuals
comprised 16 of the 33 PAC split
donors. 80% of the 20 labor PACs Robert Belfer (Belco Oil & Gas): Cuomo ($14,700), McCall ($1,000)
Jerome Belson (Jerome Belson Associates): Pataki ($5,000), Cuomo ($5,000)
donating $10,000 or more overall
Henry Buhl (Buhl Studio): Pataki ($10,000), Cuomo ($5,500)
were split donors. John Castle (Castle Harlan): Pataki ($16,250), McCall ($10,000)
Robert Congel (Pyramid): McCall ($10,000), Pataki ($6,000)
Douglas D Durst (Durst Organization): Pataki ($31,000), Dems ($500)
Most split donors gave significantly
Michael & Noreen Falcone: Pataki ($32,200), McCall ($10,000)
more to one candidate or party than Jason Flom (Atlantic/Lava Records): McCall ($12,000), Cuomo ($5,000)
to the other(s). 30 of the 49 split Mario Gabelli (Gabelli Asset Management): Pataki ($25,000), Cuomo ($25,000)
Stephen Garofalo (Metromedia): Pataki ($25,000), Cuomo ($2,000)
donors (61%) gave one candidate or
Elzie Higginbottom (East Lake Mngmt): Cuomo ($25,000), McCall ($2,500)
party a donation $5,000 or more John Picotte (Picotte Companies): McCall ($10,000), Reps ($10,000)
greater than the next largest recipi- Bernard Rapoport: Cuomo ($22,500), McCall ($1,000)
Rocco Trotta (Liro Engineering): Cuomo ($5,500), Pataki ($5,000)
ent. Seven of the 49 split donors
Elana Waksal Posner: McCall ($10,000), Cuomo ($2,000)
gave the same amount to their top Bradley Wechsler (Imax): McCall ($10,000), Pataki ($9,000)
two recipients
The Money Marathon: First Leg 6
Large Donations vs. Small Donations Individual Giving

During the first six months of 2001, the candi- Individuals gave the bulk of the money donated --
dates for governor raised a lot of money from $11,515,970, or 66% of the total money raised. The
relatively few PACs and individuals. remaining $6,000,918, or 34%, came from PACs.

Overall
The candidates raised $17.5 million dollars, or about This is in sharp contrast to our findings in our study of
$100,000 per day (the exact amount is $96,246.) giving in Legislative races. During the 1999-2000
legislative session, the proportion was reversed --
l 51% of all of the money contributed 67% of donations to legislators came from PACs, and
($8,871,938) came from 390 PACs and only 33% was donated by individuals.4
individuals who gave $10,000 or more.
Employers vs. Labor
41% of the money contributed ($7,260,511)
came from 457 distinct donations of $10,000 Employers far outspent labor in campaign contribu-
or more. tions.
Percentage of Coded Contributions
357 of distinct donations of $10,000 or more
came from 299 distinct individuals. Those Legal & Health
Who Gave -- Percentage of C
299 individuals are .002 of 1% of all 18 mil Professionals
Labor $612,365
lion New Yorkers, but they gave $5,616,507, Employers
Employers $9,893,757
15%
or 32% of the total money raised. 73% Professional
Legal & Health $2,062,803
Other
Other $816,218
6%
l Contributions of $1,000 or more made up
Labor
90% of the money raised, $15,680,816.
6%

l Contributions of less than $100 made up only
1% of the money raised, or $214,538. l Labor unions donated $736,765 -- only 6% of
the total coded.

Donations by Size of Contribution l Giving by employers (defined here as coded
contributions from industries which are not
“professional”* -- Lawyers, Lobbyists and
$1,000-$9,999 Health**) totalled $9,730,557, or 73% of the
49% total coded contributions. This is over 13 times
more than labor.
$10,000+ l Legal and Health professionals gave $2,052,403,
42%
or 15% of the total coded contributions.
* Professionals are largely self-employed, and thus neither “employer” nor
$100-$999 “labor” applies
8% ** Health here includes hospitals and other health care employers. Because
$0-$99 the vast majority of donors coded under Health are in fact physicians and
1% other health professionals, this does not skew the results significantly.

The Money Marathon: First Leg 7
Out of State Giving States with over $100,000 in contributions

The 2002 New York State Governor’s race is a high- State Amount
profile election on the national level, and all three New Jersey $759,970
candidates are drawing support from large donors

Overall
California 734,665
around the country.
Washington, DC 603,842
l 2,455 of the 17,353 donations in the Connecticut 381,694
Governor’s race came from out-of-state Florida 366,589
contributors. Out of state donations totaled Texas 310,729
$4,701,766, or about 27% of all of the money Illinois 211,913
donated. Virginia 149,709
Pennsylvania 140,033
l Excluding the New York City metropolitan
area (New Jersey and Connecticut), there were Massachusetts 108,951
1953 out of state contributions totalling Delaware 107,700
$3,560,102, or 20% of the money donated. Maryland 101,277

l 113 of the 457 distinct donations of $10,000 or
more were from out of state donors. These Major Region Totals
donations totalled $1,937,326, or 11% of the
money raised. State / Region Amount
Metro NYC (NJ + CT) 1,141,664
Metro Washington 854,828
(DC + VA + MD)
CA 734,665
FL 366,589
TX 310,729

The Money Marathon: First Leg 8
Candidate Totals Comparison l The Republicans raised 58% of all money
contributed. The Democrats raised 42% of all
The three candidates for governor have all gotten off money contributed.
to a strong start in the money marathon, but
Governor Pataki and the Republican Party have Candidate Industry Comparison

Overall
taken a commanding lead.
The bulk of money donated in the first six months of
l In the first six months of the Governor’s race, the Governor’s race has come from a specific group
Republican candidate Governor George Pataki of wealthy entities and individuals in four main cat-
$8,780,837. The New York State Republican egories -- Finance, Real Estate, Communications &
Party raised an additional $1,344,335, for a Electronics and Law. These four industries have
total of $10,125,172. This constitutes 58% of long held significant power in politics, trading influ-
all money contributed. ence and campaign contributions for preferential
treatment in public affairs. And, if the money
l Democratic Candidate Andrew Cuomo, former marathon continues in the direction it has been
Secretary of Housing and Urban Development going, their influence will continue unchecked.
under President Clinton, raised $4,620,133, or
26% of all money contributed. l The top four industries overall are the top
four industries contributing to each of the
l Democratic Candidate H. Carl McCall, New three candidates.
York State Comptroller, raised $2,231,164, or
13% of all money contributed. l Finance is the top industry overall, and it is
the top industry for each of the three
l The Democratic Party raised $466,570, only candidates.
3% of all money contributed.
l Donations from the top four industries
l Pataki and the Republican Party raised (Finance, Real Estate, Communications &
twice as much as Andrew Cuomo, who in turn Electronics and Law) comprise 41% if all
raised twice as much as H. Carl McCall. money contributed in the governor’s race thus
far. Their donations make up 40% of Pataki’s
Candidate/Party Contributions total, 43% of Cuomo’s total, and 51% of
Republican Party McCall’s total.
8%
Cuomo l Of the top ten industry/interests overall, nine
26%
are among Pataki’s top ten, nine are among
McCall’s top ten and seven are among
Cuomo’s top ten.

McCall However, despite the overwhelming dominance of
Pataki 13% these four industries, there are some key differences
50% which distinguish the candidates’ bases of support.
Democratic Party
3%

The Money Marathon: First Leg 9
Top Ten Industries, Overall and by Candidate
Overall Pataki Cuomo McCall
1. Finance Finance Finance Finance
2. Real Estate Real Estate Communications & Lawyers
Electronics

Overall
3. Communications & Communications & Real Estate Real Estate
Electronics Electronics
4. Lawyers Lawyers Lawyers Communications &
Electronics
5. Construction Construction Business Services Insurance
6. Health Health Health Business Services
7. Business Services Insurance Manufacturing Health
8. Insurance Manufacturing Energy Government
Employees
9. Manufacturing Transportation Personal (Family) Retired
10. Government Employees Business Services Political Manufacturing
l A much larger share of Pataki’s money These three categories combined account for
comes from industries directly connected to 10% of Cuomo’s total. They make up 3% of
infrastructure, which are most likely to Pataki’s total and 4% of McCall’s total.
receive large state contracts. Communications & Electronics, another
industry with many individual donors, is
Construction is Pataki’s #5 industry and Cuomo’s #2, while it is #3 and #4 for Pataki
Transportation is his #9 industry, but neither and McCall, respectively.
are on either of the other candidates’ top ten.
Real estate is Pataki’s #2 industry, while it is l A much larger share of McCall’s contribu-
#3 for the other two candidates. tions comes from professionals and govern-
ment.
These three industries combined account for
$1,957,240, 22% of Pataki’s total. These three Government Employees is McCall’s #6 indus-
industries make up 9% of Cuomo’s total and try. It does not appear on either of the other
10% of McCall’s total. candidates’ top ten.

l A much larger share of Cuomo’s contribu- Lawyers is McCall’s #2 industry, while it is
tions come from Business Services and other both of the other candidates’ #4.
largely individual/personal industry/interest
categories. These industries combined account for
14% of McCall’s total. They make up 9% of
Business Services is Cuomo’s #5 industry, as Pataki’s contributions and 8% of Cuomo’s
compared to #6 for McCall and #10 for Pataki. contributions.

Personal and Political are Cuomo’s #9 and #10 It is also worth noting that Insurance is
industry/interest categories overall, neither of McCall’s #5 industry. It is #7 for Pataki, and
which is among Pataki or McCall’s top ten. is not among Cuomo’s top ten.

The Money Marathon: First Leg 10
George Pataki, the incumbent Governor of
New York, has pulled out far ahead of his
opponents in the first leg of the money Total Pataki Donations by
marathon. Drawing on long-established Interest/Industry
relationships with wealthy and powerful
PACs and individuals built over his eight Finance $1,186,962
years as Governor, Pataki has raised almost Real Estate 1,178,408
twice as much as his nearest competitor in Communications & 627,481
the first six months of the race, and shows Electronics
no signs of slowing down. Lawyers 554,305
Governor George E Pataki
Construction 552,232
Overall: Pataki Health 423,106
Insurance 284,200
Manufacturing 228,838

Pataki
Total Money Donated: $8,780,837
Total Number of Donations: 13,840 Transportation 226,600
Business Services 207,825
Total Money Coded: $6,590,193 Government 199,548
Total Number of Donations Coded: 2,388 Employees
Food & Beverage 192,201
Total Industry/Interest Money Donated*: $6,402,249 Energy 186,955
Total Number of Industry/Interest Donations: 2,249 Party Transfers 120,844
Retail 111,610
Percentage of Total Pataki Money By Industry Gambling, Hotels & 85,610
Industries over $200,000 Resorts
Agriculture 58,850
Manufacturing Transportation Lobbyists 39,500
3% 3% Retired 34,600
Insurance Business Services
2%
Higher Education 31,668
3%
Tobacco 29,000
Health
Political 18,000
5%
Uncoded & Other Military 17,600
Construction 38% Miscellaneous 15,500
6% Labor Unions ** 9,750

Lawyers
6%

Communications
& Electronics
7%

Real Estate Finance
13% 14%

* Excludes party transfers, political donations, personal donations, and ideological donations
** Includes only Labor Unions not coded by industry. For comprehensive numbers on Union donation, see the section on Employers vs. Labor

The Money Marathon: First Leg 11
Pataki Top Donors
PACs and Individuals Donating $30,000 or more
PAC/Individual Industry/Interest Amount PAC/Individual Industry/Interest Amount
1 Metromedia Communications & $114,000 19 Port Authority PBA Government $ 33,200
Electronics Employees
2 Vornado Realty Trust Real Estate 69,300 20 Pioneer Development Real Estate 32,200
3 Alliance Capital Finance 60,700 Company (Michael &
Management Noreen Falcone)
4 Bessemer Finance 56,000 21 AETNA Insurance 32,000
5 Mack-Cali (David, Real Estate 54,800 22 Chris-Craft Industries Communications & 31,700
Ruth & Sondra Mack) (Herbert & Anne Electronics
Siegel)
6 Global Crossing Communications & 52,000 23 Welsh Carson Finance 30,700
Electronics Anderson & Stowe

Pataki
7 Fisher Brothers Real Estate 51,000 24 Mandelbaum & Lawyers 30,700
(Arnold, Richard, Mandelbaum (David
Anthony, Steven & Mendelbaum)
Kenneth Fisher) 25 St. Andrews Realty Real Estate 30,700
(Jerome & Ester
8 Milton and Pamela Health 50,000
Ansel)
Levin
26 Pratt Industries Manufacturing 30,700
9 First Fiscal Fund Real Estate 50,000
(Allison H Pratt)
(Lawrence & Susan
27 Metropolitan Life Insurance 30,700
Kadish)
28 Podiatry PAC Health 30,700
10 Gruss & Co (Martin & Finance 46,000
29 Beneficial Corp Finance 30,000
Audrey Gruss)
(Barbara Caspersen)
11 North Fork Bank Finance 43,000
30 Fred Drasner Communications & 30,000
12 Durst Organization Real Estate 41,000
Electronics
(Douglas D Durst)
31 Michael Chasanoff Real Estate 30,000
13 H J Kalikow & Co Real Estate 40,000
14 Saul Partners Finance 38,400 32 Computer Associates Communications & 30,000
15 Phoenix Marine Construction 37,000 International Electronics
16 J. P. Morgan Chase Finance 35,000
17 Glenwood Real Estate 35,000 33 Duquesne Capital Finance 30,000
Management Management (Stanley
18 Cadwalader Lawyers 35,000 Druckenmiller)
Wickersham & Taft

Pataki and “Soft Money”
Due to the “soft money” loophole in the Campaign Finance law, donors can make unlimited contirbutions
to the party “housekeeping” fund, thus avoiding statutory donation limits. As the only Republican candi-
date and the incumbent Governor, in addition to contributions to his own campaing committee, Pataki will
get a significant portion of the money given to the state Republican Party. Soft money contributions include:

l $150,000 from Bloomberg for Mayor l $77,000 from Verizon, the telephone /
l $100,000 from Edgar Bronfman of Seagram, telecommunications giant
an alcohol company l $67,345 from Four Points Sheraton, a
l $100,000 from MBNA, a credit card company hotel chain
The Money Marathon: First Leg 12
Large Donations vs. Small Donations Individual Giving

During the first six months of 2001, Pataki Individuals gave the bulk of the money donated --
raised a lot of money from relatively few PACs $5,578,312, or 64% of the total money raised. The
and individuals. However, his contributions remaining $3,202,525, or 36%, came from PACs.
were less skewed toward large donations than the
other candidates’, or the total donations overall. This is in sharp contrast to our findings in our study
of giving in Legislative races. During the 1999-
Pataki raised $8.8 million dollars, or about $50,000 2000 legislative session, the proportion was
per day, including weekends and holidays. (The reversed -- 67% of donations to legislators came
exact amount is $48,246.) And he raised that from PACs, and only 33% was donated by individu-
$50,000 per day while working full-time -- as als.4
Governor of New York.

Pataki
Employers vs. Labor
l 39% of all of the money contributed
($3,394,820) came from 161 PACs and Employers far outspent labor in campaign contri-
individuals who gave $10,000 or more. butions to Pataki.

33% of the money contributed ($2,860,450) Percentages based on coded contributions
came from 166 distinct donations of $10,000
or more.
Legal & Health
Professionals
120 of these donations came from 118 distinct 15%
Employers
individuals. Those 118 individuals are .0006 80% Other
of 1% of all 18 million New Yorkers, but they 1%
gave $2,381,300, or 27% of the total money Labor
raised by Pataki. 4%

l Contributions of $1,000 or more made up l Labor unions donated $283,300 -- only 4% of
$7,523,818, 87% of the money raised by the total coded contributions.
Pataki.
l Giving by employers (defined here as coded
l Contributions of less than $100 made up only contributions from industries which are not
2% of the money raised, or $207,461. This “professional”* -- Lawyers, Lobbyists and
total is made up of 7,721 distinct donations. Health**) totalled $5,058,672, or 80% of the
total coded contributions. This is over 18
times more than labor.
$10,000+
33%
l Legal and Health professionals gave $965,892,
or 15% of total coded contributions.
$1,000-$9,999 $0-$99
54% 2% * Professionals are largely self-employed, and thus neither “employer” nor
“labor” applies
$100-$999 ** Health here includes hospitals and other health care employers. Because
Percentage of Pataki Total 11% the vast majority of donors coded under Health are in fact physicians and
By Size of Contribution other health professionals, this does not skew the results significantly.

The Money Marathon: First Leg 13
l The Republican Party received only $12,500 in
donations from labor, compared to $980,392
from employers. Employers outspent labor 78
to 1.
Out of State Giving to Pataki

Governor Pataki is a high-profile politician on the
national level, and is drawing support from large
donors around the country.

l 1,295 of Pataki’s 13,742 donations in the
Governor’s race came from out-of-state

Pataki
contributors. Out of state donations totalled
$1,821,572, or about 21% of all of the money
donated.

l Excluding the New York City metropolitan
area (New Jersey and Connecticut), there were
981 out of state contributions totalling
$1,303,384, or 15% of the money donated.

l 31 of Pataki’s 166 distinct donations of
$10,000 or more were from out of state
donors. These donations totalled $585,700, or
6% of the money raised.

Major Out-of-State Region Totals (Pataki)

State / Region Amount
Metro NYC (NJ + CT) $515,188
CA 285,939
FL 191,814
Metro Washington 178,907
(DC + VA + MD)
TX 130,966

The Money Marathon: First Leg 14
Andrew Cuomo, former secretary of Housing and Urban Development under
President Clinton and son of former Governor of New York Mario Cuomo, has
many campaign finance resources at his disposal. By drawing on Clinton connec-
tions from his time in Washington, using his father’s long-established connections
to New York elites and taking advantage of the doors opened by his inlaws, the
Kennedy family, Cuomo has built a substantial campaign chest. In the first leg of
the money marathon, he raised twice as much money as the other Democratic can-
didate, H. Carl McCall. But he will have to keep pulling in the big money to con-
vince New York State Democratic party heavy hitters to back him in the primary.
And, if he does defeat McCall in the primary, he will have an uphill battle to raise
enough to compete with George Pataki, who will run unchallenged in the primary
and who has already outraised Cuomo by a margin of almost 2 to 1. Andrew Cuomo

Overall: Cuomo Total Cuomo Contributions by
Interest/Industry
Total Money Donated: $4,620,133
Total Number of Donations: 1,812 Finance $670,296
Communications & 635,526
Total Money Coded: $3,296,403 Electronics
Total Number of Donations Coded: 793 Real Estate 346,560
Lawyers 326,658

Cuomo
Total Industry/Interest Money Donated*: $3,012,052 Business Services 249,750
Total Number of Industry/Interest Donations: 790 Health 146,835
Manufacturing 146,750
Energy 136,092
Percentage of Total Cuomo Contributions by Industry/Interest Personal 115,500
Industry/Interest Categories over $100,000 Political 71,100
Finance Construction 63,750
15% Insurance 55,700
Food & Beverage 48,500
Communications & Retired 46,500
Electronics Labor Unions 46,200
14% Miscellaneous 43,752
Uncoded & Other Retail 40,250
39% Lobbyists 38,894
Real Estate Gambling, Hotels & 33,700
8% Resorts
Transportation 26,100
Lawyers
Government Employees 22,500
7%
Higher Education 11,190
Business Services Party 6,500
Personal
Health 5% Tobacco 5,000
3%
Energy 3%
Manufacturing Agriculture 2,000
3% Ideological 1,000
3%

The Money Marathon: First Leg 15
Cuomo Top Donors
Donations Of $25,000 Or More

Donor Industry/Interest Amount Donor Industry/Interest Amount
1 Family members (Mario & Personal $133,200 17 BEA Systems (John Communications & $ 40,000
Matilda Cuomo, Maria Belizaire) Electronics
Cuomo Cole & Kenneth 18 Interscope Records Communications & 39,681
Cole, Howard Maier and (Frederick Field) Electronics
Margaret Cuomo, Edward 19 Conair Manufacturing 35,000
and Vicky Kennedy) 20 Whale Securities Insurance 30,700
2 Belco Oil & Gas (Robert, Energy 116,092 21 The Carlyle Group Finance 30,000
Laurence, Carolyn & (William & Joanne
Renee Belfer) Conway)
3 Entrust Capital Finance 106,823 22 Wellsford Real Properties Real Estate 29,000
4 Wireless Cable Communications & 95,400 Inc. (Jeffrey Lynford)
International Electronics 23 AOL Time Warner Communications & 28,068
5 Sutherland Capital Finance 85,000 Electronics
Management (Ira & Diana 24 Gabelli Asset Finance 25,000
Riklis) Management (Mario
6 RFR Realty (Aby & Liz Real Estate 80,000 Gabelli)
Rosen) 25 King World (Michael Communications & 25,000
7 Michael & Kris Fuchs Communications & 80,000 King) Electronics

Cuomo
Electronics 26 Richard Baker Unknown 25,000
8 Richard & Lynda Sirota Political 50,000 27 Verizon Communications & 25,000
(Cuomo campaign Electronics
treasurer) 28 Eldan Properties LTD Real Estate 25,000
9 Dan Klores (Dan Klores Business Services 47,000 (Marc Cohn)
Communications, Cuomo 29 Thomas Yessman Unknown 25,000
campaign manager) 30 Daniel Stern Unknown 25,000
10 Telephone Marketting Business Services 45,400 31 Meyer Frucher Finance 25,000
Programs Worldwide (Philadelphia Stock
(Andrew McKelvey) Exchange)
11 Miguell Lausell Lawyers 45,400 32 East Lake Management & Real Estate 25,000
12 Simona R. Ackerman Unknown 45,400 Development (Elzie
13 Dreyfus Mutual Fund Finance 45,400 Higginbottom)
(Jack J Dreyfus)
14 Capital Z Partners (Scott Finance 45,000 and Cuomo families wield significant political and
Delman) financial influence which will open many doors and
15 Dynamic Gunver Manufacturing 45,000 wallets.
Technologies (Paul Polo)

Andrew Cuomo is the only candidate to have Cuomo family members contributing:
l Mario & Matilda Cuomo $45,400 each
received campaign contributions from his family,
l Maria Cuomo Cole
and those contributions make up his largest
individual or group contribution. The $133,200 & Kenneth Cole $14,700 each
l Howard S. Maier $10,000
Cuomo received from his family only constitutes
l Ted & Vicki Reggie Kennedy $1,000 each
3% of his total, but it is only a small part of their
l Christopher Kennedy $1,000
assistance in his fundraising efforts. The Kennedy
The Money Marathon: First Leg 16
Large Donations vs. Small Donations Cuomo Donations by Size of Contribution
$0-$99
During the first six months of 2001, Cuomo 0% $100-$999
raised a huge amount of money from relatively 5%
few PACs and individuals. The proportion of
Cuomo’s money coming from large donors is
significantly higher than either of the other
candidates, and the number of small donations
he received is significantly lower. $10,000+ $1,000 - $9,999
52% 43%

Cuomo raised $4.6 million dollars, or about $25,000
per day, including weekends and holidays. (The
exact amount is $25,246.) $4,335,782 of the money
came from PACs and individuals.

l 57% of all of the money contributed l Contributions of less than $100 made up less
(2,639,767) came from 88 PACs and than half of 1% of the money raised, or
individuals who gave $10,000 or more. $1,857. Cuomo received only 44 distinct
donations of less than $100. This is
52% of the money contributed ($2,395,307) particularly striking when contrasted with

Cuomo
came from 170 distinct donations of $10,000 Pataki’s 7,721 donations of less than $100.
or more.
For every small donation received by
These figures are significanly higher than Cuomo, Pataki has received 176. For every
either of the other candidates. Only 33% of $1 Cuomo received from a small donation,
Pataki’s money and 39% of McCall’s money Pataki has received $111.
came from donations of $10,000 or more.

Although Pataki had 7.5 times as many distinct Individual Giving to Cuomo
contributions as Cuomo, Cuomo has numerically
more distinct donations of $10,000 or more. And Virtually all of Cuomo’s total contributions came
although Pataki has raised almost twice as much from individuals -- $4,009,933, or 87% of the total
money as Cuomo, Cuomo has raised 84% of the money raised. The remaining $610,200, or 13%,
amount that Pataki has raised in donations of came from PACs. The proportion of Cuomo’s
$10,000 or more. money coming from individuals is significantly
higher than the other candidates (67% for Pataki and
l Contributions of $1,000 or more made up 71% for McCall.)
$4,392,672, 95% of the money raised by
Cuomo. Again, this figure is higher than This is in sharp contrast to our findings in our study
either Pataki (87%) or McCall (93%). of giving in Legislative races. During the 1999-
2000 legislative session, the proportion was
reversed -- 67% of donations to legislators came
from PACs, and only 33% came from individuals.5

The Money Marathon: First Leg 17
Employers vs. Labor Out of State Giving to Cuomo

Employers dominated labor in campaign contri- Andrew Cuomo has the greatest proportion of
butions to Cuomo. Cuomo raised the least from his support coming from out of state of any of the
labor of any of the three candidates. three candidates.

l 775 of Cuomo’s 1,812 donations in the
Percentages Based on Coded Contributions Governor’s race came from out-of-state
contributors, comprising 43% of all of
Employers Cuomo’s distinct donations.
76%
l Out of state donations totalled $1,587,738, or
about 35% of all of the money Cuomo raised.

l Excluding the New York City metropolitan
area (New Jersey and Connecticut), Cuomo
Legal & Health received 665 out of state contributions
Professionals totalling $1,179,362, or 15% of the money
15% donated.
Labor Other

Cuomo
2% 7% l 46 of Cuomo’s 170 distinct donations of
$10,000 or more were from out of state
donors. These donations totalled $660,272, or
l Labor unions donated $76,700 -- only 2% of 14% of Cuomo’s total.
Cuomo’s total coded contributions.
Major Out-of-State Region Totals (Cuomo)
l Giving by employers (defined here as coded State / Region Amount
contributions from industries which are not Metro NYC (NJ + CT) $408,376
“professional” -- Lawyers, Lobbyists and
Metro Washington 347,440
Health*) totalled $2,476,474, or 76% of total
(DC + VA + MD)
coded contributions. For each $1 donated
by labor, employers donated $33. CA 296,276
FL 109,375
l Legal and Health professionals gave $510,377, TX 100,888
or 15% of the total raised.

l Cuomo raised the least from labor, and
received the fewest small contributions.

The Money Marathon: First Leg 18
The New York State Comptroller has a steep road ahead of him. Without the benefits
of being the incumbent governor or the Kennedy-Cuomo connections, McCall will
have a tough time keeping up in the money marathon. As an added difficulty, Security
and Exchange Commission regulations prohibit him, as Comptroller, from accepting
contributions from certain companies, specifically those in the municipal securities
industry. There are no equivalent restrictions on the Governor’s ability to raise money
from state contractors.

In the first leg, McCall raised only half as much as his Democratic competitor,
Andrew Cuomo, and he trailed incumbent Governor George Pataki by a ratio of Comptroller H. Carl McCall
almost 4 to 1. McCall has an edge on Cuomo and Pataki in labor support, which may
bring him a boost later in the campaign. But he will have to get more big donor support if he hopes to
compete financially in the primary, let alone in the general election.
Overall Donations: McCall
Total McCall Donations by
Total Money Donated: $2,231,144 Interest/Industry
Total Number of Donations: 1,339
Finance $489,850
Total Money Coded: $1,689,659 Lawyers 268,200
Total Number of Donations Coded: 562 Real Estate 193,700
Communications & 186,650
Total Industry/Interest Money Donated*: $1,624,509 Electronics
Total Number of Industry/Interest Donations: 530 Insurance 84,500
Business Services 82,250
Percentage of Total McCall Donations by Industry/Interest Health 66,200
Contributions over $30,000 Government Employees 49,200
Government Retired 42,700
Employees Manufacturing Manufacturing 40,344

McCall
2% Retired 2% Construction 40,100
Health 2% Construction
3% 2% Tobacco 25,000
Higher Education 21,250
Business Services Uncoded & Other
4% Labor Unions 21,165
30%
Insurance Retail 16,750
4% Gambling, Hotels & 13,500
Communications &
Resorts
Electronics Food & Beverage 11,000
8% Lobbyists 9,500
Party Transfers 8,450
Real Estate Miscellaneous 7,000
9% Ideological 5,000
Transportation 3,000
Finance Energy 2,250
Lawyers
12% 22% Political 2,000

The Money Marathon: First Leg 19
Top McCall Donors Large Donations vs. Small Donations
Donations Of $15,000 Or More
Donor Industry/Interest Amount
During the first six months of 2001, McCall
1 Renaissance Technologies Finance $70,900 raised a large amount of money from relatively
Corp few PACs and individuals.
2 Milberg Weiss Bershad Lawyers 59,000
Hynes & Lerach McCall raised $2.2 million dollars, or about $12,000
3 BET Communications 35,000 per day, including weekends and holidays.
& Electronics
$2,166,014 of the money came from PACs and indi-
4 Llewellyn Werner Unknown 30,000
viduals.
5 O'Connor Associates LLP Unknown 30,000
6 Agvar Chemicals Health 29,700
l 51% of all of the money contributed
7 Ormes Capital Markets Finance 25,000
8 Plaza Cleaning Service Co. Business Services 25,000
($1,138,009) came from 93 PACs and
individuals who gave $10,000 or more.
9 Liggett (Bennett Lebow) Tobacco 25,000
10 M Silverman Unknown 25,000 39% of the money contributed ($870,400)
11 IP*NETWORK (Christine Communications 25,000 came from 57 distinct donations of $10,000
Schwarzman) & Electronics or more.
12 Pomerantz Haudek Block Lawyers 25,000
Grossman & Gross l Contributions of $1,000 or more made up
13 Joan G Cooney (Children's Communications 25,000 $2,067,959, 93% of the money raised by
Television Workshop) & Electronics McCall.
14 Hallman & Lorber (Howard Business Services 25,000
Lorber) l Contributions of less than $100 made up less
15 Rudin Management (Jack & Real Estate 24,700 than half of 1% of the money raised, or
Lewis Rudin
$4,980. McCall received only 144 distinct
16 Heitman Financial Real Estate 22,000
donations of less than $100. This is three
17 Lawrence B Buttenweiser Lawyers 20,000
times more than the 44 small contributions

McCall
18 Oppenheimer Capital Finance 20,000
made to Cuomo, but still only a small fraction
19 Shirley Finkelstein Unknown 20,000
20 American General Insurance 20,000
of Pataki’s 7,742 donations.
21 Leonard Green & Partners Finance 20,000
McCall Donations by Size of Contribution
22 Castle Harlan Finance 18,000
$100-$999
23 Corrections Officers PBA Government 16,000
$0-$99 7%
Employees
0%
24 Ark Asset Management Finance 15,000
25 Bernsetin Litowitz Berger Lawyers 15,000
& Grossman
26 CWA DISTRICT ONE Communications 15,000
& Electronics $10,000+
39%
$1,000-$9,999
54%

The Money Marathon: First Leg 20
Individual Giving to McCall Out-of-State Giving to McCall

Over 2/3 of McCall’s total contributions came from Carl McCall does not have the same national
individuals -- $1,593,835, or 71% of the total money profile as his competitors, but he still received a
raised. The remaining $637,390, or 29%, came large proportion of his contributions from out
from PACs. of state donors.

This is in sharp contrast to our findings in our study l 339 of McCall’s 1,339 donations in the
of giving in Legislative races. During the 1999- Governor’s race came from out-of-state
2000 legislative session, the proportion was contributors, comprising 25% of all of
reversed -- 67% of donations to legislators came Cuomo’s distinct donations.
from PACs, and only 33% came from individuals.7
l Out of state donations totalled $707,025, or
Employers vs. Labor about 32% of all of the money McCall
raised.
McCall had the lowest ratio of donations from
employers to donations from labor of all three l Excluding the New York City metropolitan
candidates, but employers still dominated. area (New Jersey and Connecticut), McCall
received 276 out of state contributions
Percentage of Coded Contributions totalling $579,300, or 26% of the total
money donated.
Legal & Health
Professionals
20% l 12 of McCall’s 57 distinct donations of
$10,000 or more were from out of state
Other donors. These donations totalled $177,500,
4% or 8% of his total.
Labor
Employers Major Out-of-State Region Totals (McCall)

McCall
7%
69%
State / Region Amount
Metro Washington $219,100
l Labor unions donated $119,765 -- about 7% of (DC + VA + MD)
McCall’s total coded contributions. CA 137,450
Metro NYC (NJ + CT) 127,725
l Giving by employers (defined here as coded TX 73,750
contributions from industries which are not FL 59,400
“professional” -- Lawyers, Lobbyists and
Health*) totalled $1,169,844, or 69% of the
total coded contributions.

l Legal and Health professionals gave $343,900,
or 20% of the total coded contributions. This
is the highest proportion of any of the three
candidates.
The Money Marathon: First Leg 21
Conclusions & Recommendations $10,000 or more. And although Pataki raised almost
twice as much money as Cuomo, Cuomo raised
Big Money Takes the Lead 84% of the amount that Pataki raised in donations of
The first election that candidates for public office $10,000 or more.
must win is the wealth primary, the race for cam-
paign dollars. That race is off to a fast start in the State Comptroller Carl McCall's difficulty in build-
campaign for Governor of New York, with $15.6 ing a large donor base is why he lags in fundraising.
million dollars raised in the first six months of 2001, McCall has only two contributors of $40,000 plus
well before the election. The race is certain to be the compared to 13 for the Governor and 17 for Cuomo.
most expensive state-wide race in New York history Why should his relative inability to raise money
and may rival the $91 million spent on for New from the wealthy handicap his chances of being
York's US Senate seat in 2000. The race for tens of elected to Governor?
millions of dollars will be a marathon that lasts
through the Democratic primary in September and Regardless of who becomes the next Governor of
the general election in November. New York it is clear that a small number of big
donors will win. The same four industries -- finance,
The strongest runner in this marathon will be able to real estate, communications/electronics and lawyers
raise the most money from large donors. Small -- are the top donors to all three candidates and can
donors just don't add up. Donors who gave less than be sure that their interests will be well represented in
$100 make up less than 1% of the money while the Albany.
457 donors who gave $10,000 and more add up to
42% of the money collected. Is this Any Way to Run a Democracy?
The patriots who founded our country had a vision -
In this race the incumbent Governor has a clear a vision of a government of, by and for the people.
advantage, raising money from wealthy individuals Today, we have a government of, by and for the
and entities that rely on New York State policy and wealthy special interests who fund campaigns. This
business contracts. In the first six months of 2001 situation has arisen not out of any moral or ethical
Governor Pataki raised $2.8 million from donors of lapse among elected officials. It has arisen because
$10,000 and more. Pataki donors who gave $1,000 of the campaign system in the United States, which
or more made up $7.5 million, 91% of the money makes elected officials dependent on private donors
raised by the Governor. Pataki's wide base of large to pay their bills.
donors includes the four major industries that give
to all candidates: finance, real estate, communica- Voters, most of whom do not make any political
tions/electronics and lawyers. It also includes con- contributions, feel left out. The exchange of large
Conclusion

struction firms that benefit from state investments in sums of money between donors and candidates
infrastructure. amplifies the viewpoints of donors and special inter-
ests and undermines voters' faith in elections, gov-
With his Cuomo-Kennedy family connections, ernment, and political participation. Further, the sys-
Andrew Cuomo is even more reliant on large tem reduces electoral competition. Fewer good peo-
donors, raising more than half his funds, $2.6 mil- ple run for office because they don't want to spend
lion, from $10,000 plus donors. Although Pataki had the time that is required to court large donors for
7.5 times as many distinct contributions as Cuomo, their campaigns. Those that do run are handicapped
Cuomo has numerically more distinct donations of by an uneven playing field, where the advantage

The Money Marathon: First Leg 22
goes to the candidate with the best access to cash, the captive of well-financed interests. We need
rather than the candidate with the most experience or instead a system where candidates can compete by
the best ideas. showing broad support from voters instead of nar-
row support from campaign funders. Clean Money
How to Break this Connection? Clean Elections reform, recently enacted in four
To sever the tie between special interest money and states, offers a way of doing so.
elected officials requires a fundamental reshaping of
our campaign finance system. The question before us Clean Money, Clean Elections reform begins to
is what reforms will realize the goals of returning restore the principle of "one person, one vote" that
from the rule of "one dollar-one vote" to "one person- lies at the core of our democracy. Clean Money,
one vote"? Clean Elections reform offers candidates an alter-
native to soliciting special interest money or spend-
There is a growing chorus for reform in New York. ing personal funds to run for office. Under Clean
The Assembly Speaker, Sheldon Silver, emphasized Money, Clean Elections reform, candidates who
his support for reform this winter by making a rare demonstrate broad support in their districts, and
appearance on the Assembly floor to argue for legisla- who are willing to reject private money and limit
tion he sponsored to provide $2 dollars of matching their spending, receive a fixed and equal amount of
public funds for every $1 of private funds, limit campaign funding from a publicly financed fund.
spending, end soft money and enact various other They are also eligible for additional public funds, if
reforms. The legislation passed the Assembly by a they are outspent by their opponents or targeted by
vote of 93-46. independent expenditures.

The Senate Majority Leader, Joseph Bruno, respond- PPEF commissioned a poll on Clean Money, Clean
ed that there was "zero support" for public financing Elections reform in October 2000 that found very
in the Senate. But the most vulnerable member of his strong support for the the reforms in New York. The
Republican majority, Roy Goodman of Manhattan, poll found that seven out of ten New Yorkers (71%)
who won reelection by a few hundred votes in support Clean Money, Clean Elections campaign
November 2000, is sponsoring a 4-1 match bill, mod- reform. The poll also found that: 80% support a lim-
eled after New York City's law. A Republican mem- ited and equal amount of public funds for candi-
ber from Long Island, Jim Lack, has sponsored a 2-1 dates; 88% support campaign spending limits; and
matching plan. 80% support limits on campaign contributions.

Governor Pataki is on record supporting major Clean Money, Clean Elections (CMCE) reforms
reforms including: scaling back New York's very high are designed to accomplish the following goals:
Conclusion
campaign limits; banning soft money; improving dis-
closure and beefing up enforcement, although he l Reduce and limit campaign spending. CMCE
opposes public financing. The Governor's proposal, sets strict spending limits, and prevents the
made 1999, was introduced as legislation in June of extraordinarily high amounts spent on recent
2001. campaigns for Governor and some legislative
races.
Effective reform must end the money marathon. As
long as candidates must rely on raising private money
to get elected to public office, elected officials will be

The Money Marathon: First Leg 23
l Stop the flow of special interest money. The first elections under this new system were held
CMCE limits campaign contributions to par for the Maine and Arizona state legislatures in 2000.
ticipating candidates to no more than $100 One-third of Maine's legislators ran without taking
and to other candidates to $1000. any special interest money. In the Senate, 17 out of
35 members (49%) won their seats without special
l Give regular people a fair shot at winning interest funding. In the House, 45 out of 151 win-
office. CMCE candidates, who collect a set ners (30%) participated in the program.
number of $5 contributions from voters in
their districts, receive a fixed and equal Incumbents and challengers, Republicans and
amount of public funds, enough to run a com Democrats ran under the new system, with more
petitive campaign. Under CMCE, you don't than half of the Clean Election candidates (54%)
need to be rich or raise money from well- winning. In races that pitted Clean Election candi-
funded special interests, to run for office. dates against privately-funded opponents, Clean
Election candidates won 53% of the time. As pro-
l Stop the endless money chase. Under CMCE, vided under the law, many candidates received sup-
candidates qualify for office and can then plemental matching funds, above and beyond their
spend their time raising issues, instead of original state allotment, to keep pace with their
raising money. opponent's spending.

l Restore the principle of "one person, one Arizona also saw a big increase in the number of
vote." Now, the candidate who raises the candidates for office, as the state ushered in its new
most money is considered the front-runner. public financing program. Two hundred and four-
With CMCE, candidates receive a fixed and teen people ran for office this year, compared to 135
equal amount of funding, so they can concen people two years ago. Sixty candidates ran under the
trate on campaigning for votes, not dollars. Clean Election program. (More had planned to par-
ticipate, but chose not to as the program's imple-
CMCE reforms also include many of the proposals mentation was delayed by a court fight over a tech-
made by the Governor, legislative leadership and nical challenge to the law.) Sixteen candidates were
others, in Albany, including: better disclosure and elected without ties to special interests or Big
reporting; lower contribution limits; an end to soft- Money; 12 will serve in the Arizona House of
money; stronger enforcement; and measures to bal- Representatives and 2 will serve in the Senate.
ance out independent expenditures.
New York voters deserve more than the best candi-
Conclusion
Clean Money, Clean Elections legislation has been dates money can buy. It's time that candidates for
introduced in the New York Legislature by Senator election in New York turned away from one-dollar-
David Paterson and Assemblyman Felix Ortiz one vote and returned to one-person, one-vote. It's
(S.1638/A.2630). Some 16 members of the Senate time to end the Money Marathon in New York and
and more than 34 Assembly members have signed replace the current system with Clean Money,
on as sponsors. The approach is supported by a by Clean Elections.
some 80 citizen organizations representing reli-
gious, senior, labor, environmental, tenant, student,
women's, community, good government and neigh-
borhood groups.
The Money Marathon: First Leg 24
Endnotes

1. Individuals and partnerships (schedule A), corporate contributions (schedule B), all other
(schedule C), in-kind contributions (schedule D) and housekeeping receipts (schedule P).

2. The Center for Responsive Politics is a non-partisan research group that investigates giving
to candidates for federal office and makes that information availabel to the media and all
interested members of the public. For a complete description of the category coding process,
see the Center’s “Follow the Money Handbook,” Larry Makinson, Washington, DC, 1994

3. See category list on p. 3

4. Capital Bargains, Capital Gains: Campaign Contributions to the New York State Legislature
from 1999-2000. Public Policy and Education Fund, 2000.
Available online at www.citizenactionny.org

5. ibid

6. Securities and Exchange Commission Rule G-37

7. Capital Bargains, Capital Gains

The Money Marathon: First Leg