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Politics : Politics for Pros- moderated

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From: DMaA11/5/2004 9:50:56 PM
   of 793900
 
Here's an example of what a wonderful job McCain's bill repealing the first amendment has done in getting money out of politics:

Entenza gave $300,000 to 527 group; Republicans cry foul
Dane Smith, Star Tribune
November 5, 2004


House Minority Leader Matt Entenza donated $300,000 of his own money to a major "527" political group, 21st Century Democrats, which in turn spent hundreds of thousands of dollars turning out young Democratic voters and which has assisted the Minnesota DFL Party.

State Republican Party Chairman Ron Eibensteiner criticized that donation Thursday, suggesting that "it looks extremely suspicious" and could be a violation of campaign laws that prohibit coordination and earmarking of funds from individuals through 527s and back to campaigns.

Entenza, who led his DFL House members to a big comeback and near-takeover of the GOP majority in Tuesday's election, said the contribution is perfectly legal. The 21st Century Democrats group to which he contributed simply worked to turn out young voters and did not coordinate with or contribute to the House DFL caucus or its individual candidates, Entenza said.

A separate entity organized as a political action committee under the name 21st Century Democrats did pay the salaries of about 20 campaign workers who helped DFL candidates, primarily House candidates, Entenza said. But his contributions did not go to that group, he said.

Pointing a finger at both Eibensteiner and Republicans, Entenza said, "Republicans have consistently fought campaign finance reform bills. ... It's sad that Republicans who rake in millions and millions from large donors seem to only get mad about large donors when they help Democrats."

Referring to accusations that have been brought against Eibensteiner involving campaign contributions and recent federal tax liability, Entenza said the GOP chairman should "clean up his own legal problems before he makes ridiculous charges." Eibensteiner was indicted in Mower County last year for allegedly helping a contributor earmark a $15,000 donation, but the judge in the case threw the charge out.

Legal issues aside, Entenza now has the distinction of ranking among the truly large givers to the highly active and politically influential world of 527s, entities that were created in response to recent federal campaign finance laws that restrict giving by political action committees. The 527s are named for the section of the federal law that authorizes them.

Entenza was listed as the third-highest giver to the 21st Century group since 2000, right behind famous Democratic patron and billionaire George Soros, according to a Web site report by the Center for Public Integrity, a campaign finance watchdog group. Entenza gave $300,000 in three installments of $100,000 each, in July, August and October. Soros gave $325,000.

Entenza grew up in a low-income home in southwestern Minnesota and was the son of a single mother. He earns about $40,000 as a member and caucus leader of a part-time Legislature and he also runs a modest legal practice when not in session, hardly the kind of income that could enable a $300,000 donation.

His wife, Lois Quam, is the chief executive of a major division of UnitedHealth Group, one of the state's mega-corporations and a company known for paying high salaries to its executives. Her salary is believed to be substantial but is not among the top five that UnitedHealth is required to disclose to the Securities and Exchange Commission. Quam was named last year by Fortune Magazine as one of the nation's 50 most powerful businesswomen.

"We are fortunate in coming from smalltown Minnesota, from families with modest means, because of our success, to be able to give to the Young Voter Project," Entenza said.

startribune.com
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