shareVirginian-Pilot 10/04/2009
In Cash Race, Businesses Back Va. Governor Candidate McDonnell
http://hamptonroads.com/2009/10/cash-race-businesses-back-mcdonnell
By Carolyn Shapiro and Philip Walzer - The Virginian Pilot
In the race for contributions from local businesses and executives, it's Bob McDonnell by a landslide over Creigh Deeds.
More than two-thirds of the 50 largest donations in the governor's race have gone to McDonnell, the Republican candidate. Of the nine above $25,000, two helped Deeds, the Democrat: John P. Wright, a real estate developer in Portsmouth, gave more than $58,000, and Consumer Litigation Associates, a public interest law firm in Newport News, contributed $52,400.
The top donor from the area has been J. Douglas Perry, the former chairman of Dollar Tree Stores Inc., who gave McDonnell $75,000.
The tilt to McDonnell follows established practice, said Mark Rozell, a public policy professor at George Mason University: "Generally, the business community likes less government, less regulation and lower taxes. Those are generally more Republican-leaning positions."
In addition, Rozell said, Deeds has cost himself business support by "not being clear about his transportation plans " and the role of taxes, until recently. "He has not conveyed a strong position that gives people confidence that he knows what he's doing in that area. And to a lot of businesspeople, that's a big issue."
Richard Poulson, an executive vice president at Smithfield Foods Inc., which has given $25,000 to McDonnell, echoed Rozell. "I've known Bob McDonnell since he first ran for attorney general," Poulson said. "I consider him to be the businessman's candidate. I think he will create jobs, which is what we need."
Poulson added: "I haven't quite been able to understand what Mr. Deeds' position is on tax increases. His position seems to change from meeting to meeting." Deeds acknowledged late last month that he wouldn't rule out tax increases in a transportation package.
Another Smithfield official, executive vice president Joseph Luter IV, was the largest local contributor to McDonnell, behind Perry, at $50,000. That doesn't mean Smithfield automatically backs the Republican, Poulson said.
"I gave a number of fund raisers for Mark Warner and supported him strongly," he said of the Democrat who is now a U.S. senator. "I think he was a pro-business governor."
Jared Leopold, a spokesman for Deeds, said in an e-mail that Warner and Gov. Timothy M. Kaine are examples of bipartisan, pro-business governors Deeds would emulate.
McDonnell, who has ruled out tax increases and championed his support of right-to-work laws, has won the backing of a legion of business groups, including the National Federation of Independent Business, Virginia Realtors and the Hampton Roads Chamber of Commerce's political action committee.
The top donors list in Hampton Roads encompasses a who's who of local power brokers, including CBN founder Pat Robertson and son Timothy; Virginia Beach developer Bruce Thompson; Stihl Inc.; Amerigroup Corp. and Amerigroup's former CEO, and current state Senate candidate, Jeff McWaters. All backed McDonnell.
Among the leading Deeds supporters: Norfolk businessman Joshua Darden Jr.; Tommy Johnson Jr., chairman of the Willcox & Savage law firm; John Malbon, president of Papco Oil Co.; and Louis Haddad, president of the Armada Hoffler real estate company.
Some companies hedged their bets: Northrop Grumman donated $25,500 to McDonnell and $25,000 to Deeds.
"When we support two candidates for the same office," spokesman Bryan Moore said in an e-mail, "we do so because we believe both are running on important issues and have something valuable to offer if elected." Both "have taken time to visit and learn about our operations and meet our shipbuilders," Moore wrote.
Likewise, Wick Moorman, the CEO of Norfolk Southern Corp., gave $8,500 to Deeds and $5,000 to McDonnell. His company, however, gave overwhelmingly to McDonnell - $15,000, versus $1,000 to Deeds.
Bucking the business trend, nine of the 10 biggest legal contributors - either attorneys or firms - gave to Deeds.
Deeds "gets along with people on both sides of the aisle" and would more likely replicate the policies of Warner and his successor, Gov. Timothy M. Kaine, said Norfolk attorney Peter Decker III.
Citing Virginia's top rankings in recent business surveys, Decker said, "Even though the entire country is suffering, this is the best state for business. Why mess with that?"
Decker, who said his $10,000 contribution was personal and didn't necessarily reflect the viewpoints of his law firm, scorned McDonnell's "trickle-down" economic philosophy: "People are tired of giving big tax breaks to big business in hope that working folks are going to benefit eventually down the road. It just doesn't work that way."
The campaign contribution data were gathered by Virginia Public Access Project, a nonpartisan group in Richmond that tracks money in state politics. The statistics include donations made between Jan. 1, 2008, and Aug. 31, 2009.
