In recent years, the Vermont Democratic Party has enjoyed relative prosperity while state Republicans have struggled to keep the lights on.
But now the Democrats are feeling the pinch. The party’s most recent payroll was delayed by four days due to a lack of funds. Worse, it has to raise at least $13,000 this week to meet its next payroll and almost $20,000 to pay all its bills on time.
The bad news was delivered to the Democratic State Committee on Saturday at its monthly meeting in Montpelier, along with an urgent call to right the financial ship. Democratic National Committee member Terje Anderson was named chair of a new fundraising committee, charged with replenishing the coffers as quickly as possible.
“I look at balance sheets every day,” state Treasurer Beth Pearce told the crowd. “This one scares the bejesus out of me.” She promised to spend one day a week fundraising for the party “until we get out of this mess” and called on other Democratic statewide officeholders to do the same.
Party chair Faisal Gill emphasized the need for a new approach.
“People do not accept just calling and saying, ‘Give money to the party,'” Gill said. “The party has to do something. I’ve made phone calls, and people say the same thing: ‘What is the party doing?'”
Gill said Vermont Democrats must become more “issue-focused” rather than simply promote candidates. There’s a lot of competition from groups such as Rights & Democracy, Our Revolution, Democracy for America and Indivisible Vermont, to name a few. “Everybody’s email boxes are full of solicitations,” he said. “Rights & Democracy has done a great job of capturing the energy that exists, and people see them as doing things. They’re holding rallies, they’re holding forums, and people want to contribute to that.”
So how did the Democrats wind up with their pockets turned inside out?
“The party had financial problems when I first became chair,” said Gill, who took over in March. “We missed a payroll by a couple of days back then. After that, everything was fine.”
Well, fine is a relative term. The party’s fortunes got a boost from its annual David W. Curtis Leadership Awards dinner on May 5. Then came a long, dry summer. The Dems carry five full-time paid staffers and a monthly payroll of $27,000. That’s a lot of money to raise consistently during an off year — at a time when, as Gill noted, liberal donors are preoccupied with the national scene.
“People think, ‘We’re OK here,’ so they want to donate to flipping a district in Georgia or somewhere else,” he said. “They want to give their money to defeat the Trump agenda.”
The party’s money picture is nuanced, thanks to the stupefying complexity of campaign finance law. State branches of national parties maintain both state and federal accounts; most revenues and expenditures flow through the federal account, even if they’re generated entirely within Vermont. According to party compliance officer (read: campaign finance whiz) Selene Hofer-Shall, the state coffers actually contain roughly $30,000 — but that money can’t be spent on what the law classifies as “federal” expenses, including payroll.
Still, the financial crunch is real. Is excessive spending to blame? The party’s money experts say no.
“This is a revenue problem,” said Pearce. “Cutting expenditures is not the way to go.”
“We are significantly under budget for the year,” added Hofer-Shall. “That budget was approved by the state committee.” She added that the five-person staff is about the average size for the party “in the past decade or so.”
Party leaders hope to replenish their coffers with ticket sales for a November 9 fundraiser in Burlington featuring U.S. Rep. Keith Ellison (D-Minn.), the first Muslim member of Congress and deputy chair of the Democratic National Committee. Ellison is known as a fiery speaker and, Anderson said, “We’re hoping to raise $145,000 from the event.”
Even so, it’s a stunning state of affairs for a party that’s ruled the roost — and had no money worries to speak of — since at least 2010. And it seems like a bad place to be as the Dems approach the 2018 campaign cycle.
And here’s another question. Vermont’s two Democratic members of Congress are sitting on millions in campaign cash. So far this year, according to federal campaign finance reports, Sen. Patrick Leahy (D-Vt.) has given $5,000 to the state party, and Congressman Peter Welch (D-Vt.) has donated $2,500.
Have they been asked for an emergency transfusion? Will they respond? Inquiries to their offices were not returned by press time.
Rights & Transparency
Gill’s words of praise for Rights & Democracy are underscored by that group’s healthy bottom line. The progressive advocacy group, which operates in Vermont and New Hampshire, is only about two years old. But it’s attracting a lot of financial support. In 2016, says executive director James Haslam, the group received nearly $800,000 in contributions. “It’s roughly the same so far this year,” he adds, “and we’re hoping to increase that.”
Still, Haslam emphasizes, revenue is only part of the story. “The money we raise and spend is one piece of our growth,” he says. “Some of the best parts of our organization are driven by our members.”
For instance, he adds, “We had a whole crew in Washington, D.C., [Monday] protesting against the Graham-Cassidy [health care] bill.” The group has organized D.C. trips every time congressional Republicans have mounted a fresh attack on the Affordable Care Act.
Rights & Democracy has something in common with big-dollar conservative groups such as Crossroads GPS and American Majority. It’s a 501(c)(4) nonprofit, which means it can conceal the identities of donors. Seems a bit at odds with the group’s mission, no? Shouldn’t it, perhaps, go above and beyond the legal minimum — if only for the sake of principle?
“We don’t have a problem with releasing the information,” says Haslam, “but as a young organization bursting at the seams, it’s not something we’ve had a chance to talk about with our donors.”
That seems a little thin. The group is young — but not that young. It’s had enough time to generate nearly $2 million in revenue. Surely a letter could have been sent notifying donors that their names and total gifts are subject to public release.
Besides, it could be argued that when donors seek to affect the political process, they should expect disclosure.
Haslam is willing to share an overview. “Grant funding [from nonprofit organizations] is about 65 percent of total donations,” he says. That includes many nonprofits based in Vermont and New Hampshire, as well as a handful of national organizations, such as the Public Welfare Foundation, the Ford Foundation and the Center for Popular Democracy. Haslam estimates that 95 percent of gifts from individuals come from within the twin states.
Rights & Democracy’s growth has been fueled by its image as an organization that, as Gill would say, does things: organizes rallies, protests, forums and activities aimed at promoting issues rather than party structures.
“The reason we established Rights & Democracy is that we need new kinds of vehicles for people to create change,” Haslam concludes.
That’s all well and good. But the lack of disclosure required of these new organizations is a troubling thing, whether the organizer is James Haslam or Karl Rove.
Media Notes
Sunday’s Burlington Free Press was almost twice as hefty as usual. But that’s not because it delivered a generous quantity of news. Almost half the bulk was provided by a 64-page special section which, as its front page announced, was “Devoted to Celebrating Antonio B. Pomerleau,” the Burlington developer and philanthropist who turned 100 on September 28.
The supplement was printed on higher-quality paper than the Free Press‘ usual fish wrap. Its “articles” consisted of undiluted, uncritical praise for Pomerleau.
The second page was telling. It featured a large photo of Pomerleau and Free Press publisher Jim Fogler, above a lordly caption declaring “Special Birthday Wishes to One of Our Most Loyal Daily Free Press Readers … and a Very Dear Friend to So Many of Us, From Your Family at the Free Press.”
Gag me.
The lead article was an effusive profile piece entitled “Meet Antonio Pomerleau, Vermont’s Phenomenal Centenarian.” Laudatory essays were written by community leaders such as Mary Alice McKenzie, the recently retired head of the Boys & Girls Club of Burlington; former Burlington police chief Kevin Scully; and Saint Michael’s College president John “Jack” Neuhauser.
But most of the section — roughly 41 pages — consisted of paid advertisements from area businesses, nonprofits and individuals sending hearty birthday wishes to Pomerleau.
One full-page ad was bought, for $500, by the Burlington Police Department. Your tax dollars at work.
“Tony’s been extremely generous to the department,” Police Chief Brandon del Pozo explains. “Our building is named after him. He paid for it. I’m comfortable with buying an ad whenever a major benefactor turns 100.”
Sure. The man’s done a lot of good for Burlington. He’s also, it must be said, made enough profit to ensure his family’s comfort for generations to come.
But there’s something off-putting about this enterprise. I mean, besides the icky-sticky shower of encomiums.
This whole thing was a profit-making venture for the revenue-starved Free Press.
The pitch must have been hard to resist. The paper is going to celebrate a very powerful man who reads it every day. If you’ve benefited from his philanthropy, you lease space from his company or you depend on him for construction contracts, do you want your name featured in the brownnosing throng? Of course you do.
“The job of a newspaper,” in the words of the late writer and humorist Finley Peter Dunne, “is to comfort the afflicted and afflict the comfortable.” On Sunday, the Free Press spent 64 pages comforting the comfortable.
Neither Fogler nor FreePressMedia sales manager Tammy Johnson returned calls for comment.
Down in Brattleboro, there’s a new morning radio voice in southeast Vermont. On Monday, Olga Peters became the host of “Green Mountain Mornings” on WKVT-AM and FM. Peters is a familiar presence in the area, having spent seven years as a reporter for the Commons, a weekly newspaper serving Windham County. She also had a brief run as news director at WTSA radio.
“I can’t think of a better person who’s more prepared, more knowledgeable about the community,” says Randy Holhut, deputy editor of the Commons.
Initially, Peters plans to keep the show as is. “I want to get really good at being on the air, and then over time it will evolve,” she says. “The thing I’m most excited about is getting to interview people. My favorite thing is getting to talk to people.”
This article appears in Sep 27 – Oct 2, 2017.
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James Haslam represents the alt-left. I may agree with the same causes but his “ends justify the means” approach to everything makes him just as scary has anyone Brightbart would praise.
“This is a revenue problem,” said Pearce. “Cutting expenditures is not the way to go.” Why does that sound so familiar?
Alt-right = White supremacism
Alt-left = supportring universal rights
Anyone, including @Isay, who draws a false equivalency between the two is political dunce – in every sense of the word.
I wonder what extreme confluence of circumstances could lead someone to be so dumb…but I guess I have a lot to learn.
The far left is the other side of the same coin as the far right. They are both made up of extreme, impractical fanatics that think “compromise” is a dirty word. Many lifelong Democrats such as myself find the Progressive’s takeover of the Vermont Democratic Party to be alarming and are keeping our money in our pockets. Many of us are also, much to our chagrin, declining to vote for “progressive” candidates that run on the Dem ticket. If I wanted to be a Prog and support Prog candidates, I wouldn’t be a Dem. I’ve found Progs to be totally inflexible and impractical. As long as the Vermont Democratic Party is actually the Dem/Prog party, I’ll keep my money in my wallet and vote as an independent, sometimes supporting moderate Republicans over extreme left Progs.
Like with Montpelier’s spending, even within it’s own party the Dems don’t recognize that they’re spending more than a budget can afford. They really don’t get it. Until our Montpelier majority changes, nothing will change in state spending. “Still, the financial crunch is real. Is excessive spending to blame? The party’s money experts say no. “This is a revenue problem,” said Pearce. “Cutting expenditures is not the way to go.”
Adam Salem, despite your unnecessary personal attacks, I appreciate your eagerness to learn.
When you write: “Alt-right = White supremacism Alt-left = supportring universal rights” you are talking about the ends/the goals.
When I wrote I don’t disagree with James Haslam causes, I meant we have the same goals, or, as you put it: I support universal rights and I don’t support white supremacism.
HOWEVER, and this is a big however (hence the caps), when I said his “ends justify the means” approach was what scared me, I was NOT talking about any of the above. In fact, I was saying I agree with the goals but when anything goes to achieve those goals than those goals are not as lofty.
Essentially: what is the cost of those goals. This is where the alt-right and the alt-left converge. NOT in there goals but in their methods. Both believe that the goals should be achieved at all costs.
The goals become a personal mission and often the people who carry them out are egotistical and lack empathy for those immediately impacted by their actions.
Finally, I will add that one of the true horrors to me, particularly in the Progressive movement in VT, is the way white men tend to treat people of color and women in the name of “supporting universal rights.”
At the end of the day, the goals may be different but, if the goals fail and all we are left with are the means, than the alt-left and alt-right are looking pretty similar to me these days.
Vermont Democrats are so far to the left it doesn’t really resemble the Democratic Party of twenty years ago.
The next time you send money to a Jon Ossoff, Rob Quist or James Thompson (which means Doug Jones, I guess) ask yourself, “Where are the individuals donating to VT races?”
More than a few races in the state legislature will be decided by a hundred votes, give or take. If you want to flip seats, what’s the most effective use of your money? Sure, national races attract more attention and often demand our support – but are Vermonters building the Democratic bench in Vermont?
Contributing to the Democratic Party seems like a treasonous act. After what they did to Bernie, and the unfolding Awan Bros. Spy Ring/drug/weapons trade, with Debbie Wasserman Schulz, tied to Weiner, Podesta, to Huma, to Hillary… and did I mention the sex trade… and probably using the whole NPGVAN data system for the Dems to run it all,.. yes, I think treason will eventually be the charge. Not a dime for the Democrats, please.
About Ms. Pearce, “She promised to spend one day a week fundraising for the party ‘until we get out of this mess’ and called on other Democratic statewide officeholders to do the same.” Help me out here more informed Vermonters: Can Ms. Pearce and other Democrats (or any party) fundraise while on the job? If the answer is yes, it’s no wonder so little gets done in government.
Well done, John Walters.
Dems in VT, and nationally, are focused on serving an establishment that is perceived as ruled by the wealthy elite. The immense popularity of Bernie in VT, and nationally, would have guided a party ruled by Democratic principles, serving the interests of the people.
As for the Free Press’ Pomerleau tribute — tacky tacky tacky. We all saw right through it The police chief’s donation of $500 out of the dept budget — we’ll remember that when the chief says we can’t put a speed reader on North Ave, or a camera at the intersection of 127. It’s a blatant example of a City dept using taxpayer dollars frivolously.
If Pomerleau is the civic santa the Free Press presents, then he was not flattered or impressed. Every ad purchased by a City dept or a non-profit took money away from services to city residents. Better to invite him over for lunch and shower him with heartfelt affection and praise.
John Walters, why didn’t you report on the lack of fundraising being done by the Chair of the VDP (Faisal Gill), instead of relying on him for all your information?
Timothy Price: You asked for help, here it is. Do you suppose that any incumbent office-holder cannot fundraise for herself or her party? I was at that meeting and Beth Pearce was talking about weekends and any other days when she was not on the job.