3 Councilmen Violated Campaign Fund Rule, Law Advocates Charge

Advocates of the city’s campaign contribution law have told City Atty. James K. Hahn of “apparent violations” of the law by three City Council members and warned Wednesday that they will sue the city if Hahn “does not hurry up and enforce the law.”

Fred Woocher, an attorney for the Center for Law in the Public Interest, said that public campaign contribution statements filed in the city clerk’s office show that Councilmen Gilbert Lindsay, Robert Farrell and John Ferraro have raised funds “in apparent violation” of the city law.

Lindsay, the center says, avoided the law by putting the money in a state political action committee (PAC) fund, and Ferraro and Farrell by accepting “pledges” of money before the law took effect and getting the money afterward.

“I don’t see any alternative but a civil suit, if the city attorney does not hurry up and enforce the law, a law on the books,” Woocher said.

Farrell and a Ferraro spokeswoman disputed the public advocacy group’s charge, saying that both councilmen had been told by a deputy city attorney that pledges made before July were not subject to the $500 limit.

The law, passed by voters as a Charter amendment last year, limits contributions to council members to $500, and, among other things, prohibits the use of outside fund sources such as state PACs, which raise and spend money on behalf of political candidates or causes.

Formation of a state PAC is not specifically forbidden under the law, but money raised by a PAC cannot be spent on a campaign for city office. Woocher contends that the use of PAC money by a politician to “enhance” his ability to stay in city office would be a violation of the city law.

Raised About $300,000

Lindsay has formed a state political action committee, called LIN-PAC, that has raised about $300,000 from numerous contributions, several of which exceeded $500. (Council members Dave Cunningham, Joan Milke Flores and Hal Bernson also have formed state political action committees, but only Lindsay’s has reported large sums raised as of Dec. 31, the last day included in the most recent campaign contribution reporting period).

Guidelines issued in June by the city attorney’s office said that PACs that raise money for purposes “other than campaigning for city office” may accept contributions larger than $500. The original city attorney’s guidelines have been under review since November “for clarification,” according to a spokesman for the office.

Hahn said Wednesday that Lindsay’s committee and others “are appropriate” as long as “the committees are set up for purposes other than election to city office and funds are not used in connection to election for city office.” That could mean that Lindsay could be using the $300,000 to support state campaigns or issues, Hahn said.

Lindsay’s Response

But when asked how he planned to spend the $300,000 in LIN-PAC, the 85-year-old Lindsay said: “To foster my political career. I don’t know what I’m going to do with it. . . . I wouldn’t want a state office, maybe U.S. Senate.

“I’m going to stay here another two or three terms,” Lindsay continued. “I’m definitely running again in 1989. I guess I can spend it for reelection, can’t I? I’m going to spend it on a lot of things. I’m building my power base.”

When asked about Lindsay’s remarks, Hahn, who has known Lindsay since the councilman worked for his father, Supervisor Kenneth Hahn, more than 25 years ago, said: “The power base he wants could be statewide. . . . All I can do is watch how he spends the money.”