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Insurance Commissioner Candidate Mike Villines Favored By Insurers. Independent Spending Criticized As Fueled By Insurance Industry
By Lonce LaMon - October 20, 2010

Mike Villines, the Republican candidate running for California Insurance Commissioner in the upcoming elections in a couple of weeks against Democratic candidate Dave Jones, is under some criticism because the independent, indirect spending of the California Chamber of Commerce JobsPAC is running ads heavily in his favor and against Jones.  Over the past weekend, insurance companies contributed a total of 1.4 million dollars to JobsPAC in support of Villines.

Both candidates are members of the state Assembly who are termed-out.  They are refusing direct contributions from insurance companies as they have said they will not accept direct contributions from the industry they would regulate.  Villines' spokeswoman, Jennifer Gibbons, said the campaign had no knowledge of JobPAC's independent spending.

"It's a way to hide the money," said Bob Stern, president of the Center for Governmental Studies in Los Angeles. "It's the kiss of death for them (insurance commissioner candidates) to be accepting money directly from insurance companies."

There is nothing illegal about the independent expenditure.

"With regards to JobsPAC, we have no knowledge of their activities," Villines' campaign consultant, Steve Presson, said in a statement released by the campaign.  The campaign directed questions to the Chamber of Commerce, which issued a statement saying JobsPAC supports candidates of both parties who favor a pro-jobs agenda.

"We definitely think it's troubling that insurance companies have a role in electing our insurance commissioner, and accepting it through a PAC (political action committee) doesn't make it any better," Fleming said. "The insurance companies wouldn't be spending their money on this race if they didn't think they'd be getting something in return."

Jones' campaign raised nearly $1.2 million since the June primary, compared with Villines' $213,000. Jones had more than $1 million in the bank at the end of September, compared with Villines' $213,000, according to the latest campaign finance reports.

Dave Jones' consultant, Parke Skelton, said Villines is using nearly $55,000 that was contributed by insurance companies to his Assembly campaign committee and later transferred to his insurance commissioner account.

But it is the independent expenditures that may determine the outcome of the race, Skelton said. He said Jones can't compete with the insurance company money.

"We may spend $1.5 million on the race. JobsPAC spent that yesterday," Skelton said.

Readers may write to writer Lonce LaMon at lonce@adjustercom.com

 
 

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