10/27/2006

Special interest money at issue in state house race

By PATRICK SULLIVAN

psullivan@record-eagle.com

Polsrok

Scripps

TRAVERSE CITY — Two-term Republican incumbent David Palsrok and Democratic challenger Dan Scripps each question the use of special interest money that benefits the other's state house campaign.

Scripps, a lawyer from Northport, filed a complaint with the Secretary of State this month over alleged campaign finance violations stemming from money Palsrok took from out-of-state executives. The complaint was dismissed the day after it was filed, but Scripps maintains that if what Palsrok did isn't illegal, it should be.

Manistee-based Palsrok countered that Scripps benefited from a soft money campaign from Coalition for Progress, funded largely by a left-leaning billionaire. The group paid tens of thousands of dollars to air television ads that feature opera singing, cartoon elephants carting in trash from Canada, and, in a variation that runs in the 101st state House District — comprised of Benzie, Leelanau, Manistee and Mason counties — Palsrok's face on a cartoon politician.

"From my perspective, you have a (soft money PAC) which is basically being funded by a billionaire out of Kalamazoo," Palsrok said. "There should be disclosure about what people are doing."

Scripps said he didn't know about the Palsrok ads until they aired.

Scripps maintains his allegation is more serious; he contends Palsrok took money that later may have affected his work on legislation for the "payday loan" industry.

Palsrok and Scripps agree on these facts: In 2003, Palsrok worked on legislation to regulate the industry, which offers short-term high interest loans to people short on cash. The bill passed, but was vetoed by Gov. Jennifer Granholm.

In 2004, Palsrok received five contributions of $500 from board members and the president of Community Loans of America.

The following year, Palsrok worked on legislation to regulate the industry that became law after a compromise was reached with Granholm to lower interest rates on the loans.

Palsrok said he was open about the contributions, reporting them to the state as required. In addition, he said, the company never opened a business in Michigan, proof that his work on the bill was not return payment for the contributions.

"I don't let those types of contributions influence what I do as a legislator," Palsrok said.

Scripps said he believes Palsrok tried and failed to deliver the kind of legislation the company wanted.

"Just because they fumble the ball doesn't mean he didn't try to get it to them," Scripps said.

On the campaign, the candidates tout many of the same ideals — concern for the environment, a desire for equity in school funding, conservation of Great Lakes water and campaign finance reform.

Palsrok said his accomplishments include a law that ensures a post-labor day school start to benefit the region's tourism, work on a compromise to benefit local wineries in a battle over wine shipments and legislation that protects Great Lakes water.

Scripps said Palsrok distorts his record.

The legislation that regulates taking water from the Great Lakes basin includes loopholes to allow the taking of water out of the region, Scripps said.

Scripps said Palsrok has failed to stop the flow of Canadian trash to Michigan landfills. He said he supports a increasing the state's tipping fee, which he says would cut recycling costs for residents and reduce out-of-state trash.