Friday, August 12, 2011

Sacramento Bee: City business group's PAC raises money for Mayor

Business group's PAC may boost Johnson re-election effort, agenda

Published: Friday, Aug. 12, 2011 - 12:00 am | Page 1A
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Sacramento Mayor Kevin Johnson and his pro-business platform have a new friend with deep pockets.
A year-old group casually known in political circles as the Sacramento 60 has created a political action committee stocked with more money than any other special interest currently operating at City Hall.

Born out of frustration with a divided City Council and its battles with the mayor, the group – officially called Better Sacramento – includes some of the city's best-known developers and business owners. More than a dozen individuals and companies have contributed a total of $135,000 since December, according to campaign finance records released this month.

If, as expected, the mayor runs for re-election next year and also resuscitates his campaign to grant his job more authority, the group – and its money – will likely operate on his behalf.

Sacramento 60 members will reveal little about their plans, but their reach will certainly extend beyond the mayor and his signature initiatives: Four City Council seats are in play next year, and all four council members seeking re-election have sparred with Johnson on key issues.

City Hall veterans said the group should be taken seriously, especially given the amount of money it has raised in a non-election year.

"To a large extent, depending on what this group decides to do, it can be very intimidating if someone is going to contemplate running for mayor next year," said Chuck Dalldorf, a public affairs consultant who worked as chief aide to three Sacramento mayors.

"Here's a PAC that is definitely aligned with the mayor indicating that this could be the mayor's money," Dalldorf added. "The message is, 'We've got a lot of money, so if you're coming, we've got money to knock you out.' "

Better Sacramento is modeled after similar groups in San Diego, Phoenix, Memphis and Baltimore, where business-friendly organizations and individuals created what are often called "kitchen cabinets" for mayors to lean on. Many times, the groups seek to counter the influence of organized labor, which has long exerted influence over Sacramento politics.

The Sacramento 60 grabbed attention last year when it struggled with the City Council over the resignation of former City Manager Ray Kerridge, who was popular with the development and business communities but said he could no longer work with a divided council.

Kerridge's departure was a loss for the Sacramento 60. The group also tried unsuccessfully to persuade council members to place Johnson's strong-mayor proposal on the ballot. At the time, then-Councilman Ray Tretheway said some of the group's members offered a quid pro quo – promising the mayor's endorsement in exchange for his support of the strong-mayor proposal.

Members of the group denied acting inappropriately, and Tretheway refused to support a strong mayor. Mayor Johnson endorsed his opponent, Angelique Ashby, who ousted Tretheway from his council seat.
Other than filing its required campaign finance reports, Better Sacramento is keeping quiet about its plans.

Speaking from his office next to the Sacramento Valley Station and overlooking the downtown skyline, Better Sacramento board member Jeffrey Dorso said this week that the group would be politically active in next year's elections but wouldn't say how.

Dorso and others say they are not trying to be clandestine – a quick look at campaign finance forms reveals the power brokers behind the group. They said the organization is still developing and hasn't chosen sides in any political fights.

Asked how many members the group has, Dorso replied, "A lot." Asked where they meet, he said, "Places in the city."

Another founding member, steel company executive Steve Ayers, said their work would involve "civic and community" projects aimed at improving Sacramento. "We are looking to leave a legacy," he said.
Ayers said the group has commitments for more than $750,000 in donations from its supporters.

Dorso is an attorney whose chief client is Inland Real Estate, which owns the downtown railyard. He was also chair of Johnson's mayoral transition team.

Ayers is also politically active, having served on campaign finance committees for former Mayor Heather Fargo and former Councilman Robbie Waters.

Also on Better Sacramento's politically connected roster are developers Mark Friedman, Steve Goodwin, Michael Heller, Frank Ramos and Johan Otto. Others that have donated to the political action committee include the Diepenbrock Harrison law firm, Elk Grove Toyota Scion and affordable housing developer St. Anton Partners. Most of those involved do not live in the city.

Sacramento political strategist Andrew Acosta said any group with a lot of money commands attention, but whether they will win at the ballot box "depends on what they're saying."

"In the mayor's race (of 2008), certain groups put big money against (Johnson) and it didn't work," he said. "Message matters."

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