Kerry Adviser Walks Over Money Talks
Paul Farhi
John F. Kerry's top media adviser called it quits yesterday, after a dispute with the campaign over how his firm would be compensated.
Jim Margolis, who had worked for the Massachusetts senator's campaign for almost two years, said he and his Washington-based firm, GMMB, will no longer create ads for the presumptive Democratic nominee. Margolis, in a statement, cited "proposed contract changes" that were unacceptable to his firm.
Margolis's departure appears to be an outgrowth of long-simmering tensions with another top Kerry adviser, Bob Shrum, over compensation. Shrum and Margolis have clashed over ad strategy, but more important, the two have locked horns over how their respective political consulting firms would divide the tens of millions of dollars Kerry is expected to spend through the November election.
Kerry listed media expenditures of $10.5 million as of the end of February. GMMB handled the vast majority of that money through a wholly owned subsidiary, Riverfront Media.
Margolis survived a shake-up of Kerry's campaign staff in November during which campaign manager Jim Jordan was replaced by Mary Beth Cahill, who is close to Shrum through their work for Sen. Edward M. Kennedy (D-Mass.).
"Unquestionably, being a part of Senator Kerry's presidential campaign has been one of the most important efforts our firm has ever undertaken," Margolis said in his statement. "The stakes couldn't be higher for our country and we have been honored to help produce the spots and assist in developing the strategy that helped him secure the Democratic nomination."
Margolis's firm will continue to buy media time for the campaign, but Margolis will no longer be involved in creating or producing Kerry's ads.
In a separate move, Kerry turned to a familiar Massachusetts political veteran, naming John Sasso as his chief liaison at the Democratic National Committee. Sasso, whose title at the DNC will be general election manager, was a top aide to Michael S. Dukakis when he was Massachusetts governor and when he ran for president.
Kerry Raises $50 Million
Speaking of money, John F. Kerry raised $50 million in the first three months of 2004, easily breaking several fundraising records and even his campaign's own estimate of how much it would raise. The presumptive Democratic presidential candidate plans to step up television advertising to counter President Bush, campaign manager Mary Beth Cahill said yesterday.
Kerry raised more in 90 days than Al Gore did during his entire 2000 presidential campaign, and much of it came via the Internet. Kerry plans to run ads in newspapers and blogs in coming days to solicit more money over the Internet, and continue making appearances at high-dollar events from coast to coast. The campaign announced it raised more than $38 million in March alone, breaking Bush's record for one month, which the president set last June.
Bush, however, has raised more than $180 million overall and is turning his attention toward raising money for other Republican campaign entities and candidates. Bush has spent $34 million more on TV ads than Kerry in the first month of the head-to-head campaign, which strategists from both parties credit for slowing the Massachusetts senator's early momentum. Kerry's latest ad, which hit Bush for the loss of U.S. jobs overseas, was unveiled hours before the Labor Department reported the strongest jobs growth in four years.
Senate Democrats See Silver Lining
Upbeat Senate Democrats are seeing the glass as half full these days, noting that they are not nearly as far behind their Republican counterparts in fundraising as they have been. They raised $11 million during the first three months of the year; Republicans raised $12.5 million.
Democrats still lag badly in terms of cash on hand for the rest of the campaign, $6 million for the Democrats and $15.6 million for Republicans, GOP campaign officials noted as they, too, released their first-quarter fundraising totals.
In announcing the Democratic figures, Sen. Jon S. Corzine (D-N.J.), chairman of his party's senatorial campaign committee, said Democrats raised $7 million in March alone, which is more than the party previously raised for a whole quarter in this election cycle. Republicans said they raised $5.2 million in March.
Corzine attributed the gains to intensified fundraising efforts, including more involvement by senators, and to what he described as improved chances that the Democrats can regain control of 100-member Senate, where Republicans have a 51-vote majority.
He cited the announced retirement of Sen. Ben Nighthorse Campbell (R-Colo.) and the emergence of state Attorney General Ken Salazar (D) as a strong contender to succeed him, along with the big victory of Barack Obama in a hard-fought Democratic senatorial primary in Illinois as examples of encouraging signs for the party. Democrats also are running ahead for several seats held by the GOP, and Republicans face potentially divisive primaries in at least four states.
Dan Allen, spokesman for the National Republican Senatorial Committee, discounted these arguments: "With our cash on hand advantage, we're in much better position to impact the competitive races this cycle."
washingtonpost.com
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