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Published: May 15, 2007 12:00 AM
Modified: May 15, 2007 05:30 AM
 

Wealth smooths path to office

In governor race, 4 out of 5 are rich

When Salisbury lawyer Bill Graham began thinking about running for governor, he spent $2.2 million of his own money for a television advertising campaign to talk about his opposition to a state gasoline tax increase.

When state Sen. Fred Smith, a Clayton homebuilder, began his campaign for governor, he purchased a Citation jet -- which retails at about $2.5 million.

Welcome to the 2008 governor's race, where private jets and checkbook TV campaigns are now routine.

Four of the five major gubernatorial candidates are millionaires. Millionaire's row includes not only Republicans Graham and Smith, but also Lt. Gov. Beverly Perdue and State Treasurer Richard Moore, both Democrats.

The only gubernatorial hopeful who is not wealthy is former N.C. Supreme Court Justice Bob Orr, a Republican.

So far the Democrats have not used their personal fortunes in the campaigns, although Perdue's husband loaned $200,000 to her lieutenant governor campaign in 2000 that has not been repaid.

North Carolina has had millionaire candidates: Former Democratic Sen. John Edwards, former Republican Sen. Lauch Faircloth and two-time Democratic Senate candidate Erskine Bowles poured their own dollars into their races.

But recent governors have largely been middle-class lawyers: Mike Easley, Jim Hunt, Jim Martin (a former college professor) and Jim Holshouser.

"Being able to write a big check from the get-go to jump-start a campaign is an enormous advantage," said Gary Pearce, a Democratic consultant who has worked for candidates of modest means such as Hunt and rich candidates such as Edwards and Bowles.

Pearce says personal wealth can be used to do quickly what may take other politicians years -- build a network and become widely known.

"You can buy immediately what someone like Jim Hunt, Terry Sanford and Jim Martin had to build over years and years of work to put themselves in a place to run and raise money," Pearce said. "It's not just North Carolina. It's happening everywhere. It's harder for a person who doesn't have a lot of wealth to get into the game."

Nine times out of 10, the candidate who spends the most money wins, said Carter Wrenn, a veteran GOP consultant who has managed campaigns for such millionaires as Faircloth and presidential candidate Steve Forbes.

In the coming governor's race, the GOP needs wealthy candidates, Wrenn argues, because the Democrats have such a head start in fundraising.

"If it weren't for Graham and Smith being able to self-fund," Wrenn said, "the Republicans would be noncompetitive. You have Richard Moore and Bev Perdue having raised a couple of million dollars. No Republican is within hailing distance."

Moore started the year with $2.6 million he had raised from political contributors. Perdue had $2.5 million in money she raised in her committee. Smith had $101,000, and Graham had no political committee.

That doesn't mean the Republicans have not been spending money. Graham, a trial lawyer, became a statewide figure after he created an issues advocacy committee called N.C. Conservatives United to run TV ads opposing a gas tax increase. He later ran some ads decrying illegal immigration.

Besides spending $2.2 million to finance the effort, Graham has loaned his campaign committee at least $75,000. Graham's wealth has enabled him to hire a battery of experienced political operatives, led by former Raleigh Mayor Tom Fetzer.

He also is part owner of a twin-engine plane that he sometimes uses to campaign.

Smith, a Clayton lawyer and businessman, loaned his campaign $378,079 as of Dec. 31, although it is difficult to separate how much was for his state Senate re-election bid and how much was for his gubernatorial effort.

Sense of independence

Smith said that while some may criticize his use of personal wealth, it provides him with a certain independence.

"You don't have to sell yourself to any particular person or any particular group to do something," Smith said. "I think that's a good thing. I feel like I've been blessed. I'm going to use some of my resources for reasons I think are worthwhile."

Smith said it's also important for him to raise money as a way of building support for his candidacy. He has lined up $2 million in commitments since announcing his candidacy, according to Jonathan Hill, his campaign chief of staff. He has eight fundraisers planned for May, Hill said.

Smith said he decided to buy the plane to help him simultaneously serve in the Senate, run his businesses and campaign for governor and still allow time for his family.

A recent Saturday showed the advantages to owning a jet. Smith spoke at a breakfast sponsored by the Civitas Institute in Raleigh, flew to a regional GOP convention in Hendersonville in North Carolina's mountains, and then flew back across the state to coastal Brunswick County to speak at a Republican women's Reagan Day dinner.

The personal wealth has enabled the candidates to begin running commercials more than a year before the May 2008 GOP primary. Smith has been running television ads statewide since he announced his candidacy in March. Graham is widely expected to begin a television advertising campaign when he announces later this month.

Giving unto others

Their large wallets also have allowed Smith and Graham to give to or raise hundreds of thousands of dollars for Republican candidates and causes during the past decade, thereby helping build political networks. Graham has contributed at least $176,000 to mainly Republican candidates and causes during the past decade, according to campaign finance reports. Smith raised $400,000 for GOP candidates during the 2004 election cycle, according to his campaign.

Bob Orr can't afford his own jet, a television advertising campaign or big donations to other Republicans.

"It gives them a huge advantage on the front end of the process," Orr said. "My challenge as a candidate over the next 10 months is to generate enough campaign contributions so that when we hit the crunch time of the primary, I will be able to adequately get my message out to primary voters."

Orr has largely been campaigning alone -- and on the ground.

He has dubbed his pickup truck "Orr Force One."

(News researcher David Raynor contributed to this report.)

Staff writer Rob Christensen can be reached at 829-4532 or rob.christensen@newsobserver.com.

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News researcher David Raynor contributed to this report.

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