Florida Democratic Party Broke?

[chrisclub]

http://www.tampabaylive.com/stories/2005/06/050622dems.shtml

Florida Democratic Party Faces IRS Lien; $900,000 Shortage

POSTED: 4:55 pm EDT June 21, 2005

TALLAHASSEE, Fla. -- Broke and without enough money in the bank to pay its bills after the end of the month, the Florida Democratic Party has now been slapped with a lien by the Internal Revenue Service for failing to pay payroll and Social Security taxes in 2003.

The state party's budget and finance committee voted Tuesday to ask for a new audit to account for more than $900,000 it believes somehow disappeared from the books during the 2003-2004 calendar years when the party was led by Scott Maddox, who is now seeking its nomination for governor.

Maddox and successor Karen Thurman, who became the party's new chairwoman just last month, did not immediately return phone messages asking for comment on the findings.

While the party owes roughly $200,000 in delinquent payroll and Social Security taxes, the lien was against the remaining $98,000 in their account on Friday, longtime Leon County committeeman Jon Ausman said.

Ausman said it cost about $250,000 a month to pay salaries and overhead for the party operation in Tallahassee and that it had been spending more so far this year than it has raised.

The Democratic Party in Florida has traditionally gone through financial woes, selling its headquarters building in Florida a few years ago to get out of debt.

State vice-chair Diane Glasser of Fort Lauderdale said Tuesday she was confident the party could be able to meet its commitments.

"We've had these problems before," Glasser said. "I think that everything will resolve itself. Karen has already got commitments for money that is going to be coming into the party."

Ausman, who is also a member of the party's budget and finance committee, said the party's 2003 year-end audit showed $609,032 cash on hand. He said it netted $586,986 in 2004 when it raised about $18 million.


"I don't know how you start out with $609,000 and raise a net of $586,000 and end up with $269,000," he said.

Ausman said he was concerned about the audits in 2003 and 2004 done by Carr, Riggs and Ingram of Tallahassee. He said they should be held accountable, certainly for the failure to pay the IRS, if the audit proved to be flawed.

Mark Carr did not immediately return a phone message to his office about the audit.


Last summer, a report filed in July by the party's executive committee to the Federal Election Commission showed it spent $120,000 more than it has taken the first six months of that year, including a $30,000 deficit for June. That report, however, included 2003 carry-over information that skewed the numbers and gave the appearance of far more red ink, Maddox said.

The latest report comes at the front end of fund-raising efforts by candidates readying for the 2006 election cycle when the Democrats' lone statewide elected official, U.S. Sen. Bill Nelson, faces re-election and there will be no incumbent in the governor's race.

[meganmonkey]

1. Damn....

That looks messy as hell. What site is it from? Do you have a link?

Florida isn't really that red, is it? Why can't they raise any money? Or is it just shady dealings? Damn...

[flyarm]

2. maddox..he was a media hog and nothing more!!

here is an opinion piece i got from friends in fla..sorry i don't have the link!

but maddox is worthless! i housed a kerry field rep for election and maddox never came down to pinellas once.,.not once..and we had a huge office and we were brining in lots of $$ and had so many volunteers..you would think he could have made one trip to see us..nope not once!

i thought he was a media hound at convention, and personally ..i didnt think much of him.

The Maddox mess
Tax delinquency is not the only legacy left by former state Democratic Party chairman Scott Maddox, who is now running for governor.
A Times Editorial
Published June 23, 2005

--------------------------------------------------------------------------------


The IRS has come calling on the Florida Democratic Party, and Scott Maddox is suddenly looking a little less like a miracle manager.

Maddox left his post as chairman last month, just as the IRS was placing a lien of roughly $200,000 on the party for failing to pay Social Security and federal income taxes that were withheld from employees' paychecks. Now he is running for governor, and the financial mess he left at party headquarters is something he is leaving to his campaign pollster. "He did not know about it," Dave Beattie told reporters Tuesday. "Any mistakes that were made he takes responsibility for."

The "mistakes were made" refrain has less than a gubernatorial ring to it, which may explain why Maddox let his pollster speak it. After all, just a few months ago, Maddox was boasting that: "I believe I have helped rebuild the Democratic Party, and I'm ready to help rebuild the state of Florida." Oops.

The IRS embarrassment could be dismissed as just another symptom of the Democrats' organizational disarray if not for the political mileage Maddox has tried to get out of the chairmanship. But as his successor, former congresswoman Karen Thurman, is discovering, tax delinquency is not Maddox's only legacy. She sought the job at a time when people were questioning how Maddox, while party chairman, could pocket $10,000 to sit next to a developer in a Leon County Commission meeting. She was asked to investigate a cozy contract Maddox gave his former spokeswoman, Allie Merzer. Now Thurman has party officials asking about $900,000 that seems to have vanished in a pile of illegible financial records.

In the race for governor, Maddox has used business acumen - at least that's what he calls it - as his calling card. Yet the two examples he consistently cites - Tallahassee mayor and state party chairman - are not building his case. As for mayor, he claims to have "helped run a police department, a fire department, an electric utility and an airport, among other things." Yet Tallahassee's mayor is the ceremonial leader; the day-to-day government is run by a city manager.

As for the party chairmanship, Maddox can't now easily square his rhetoric with the trail of debt he left behind. The state Democratic Party wasn't exactly a finely tuned engine when Maddox took the wheel, but the IRS wasn't putting it up on blocks either.




Opinion

[meganmonkey]

3. Ooooh, bummer

Thanks, fly

I hope there are better Dems than him to beat him in the primary!

[philb]

4. The Dems don't have enough money and organization in Florida

to challenge the Repubs in more than a few Legislative races. Though the voter numbers are more Dems, the Repubs have more money by at least 10 to 1 and the Dems have little organization in most places. They need a new way to deal with the fact that a party with no power apparently can't raise money.

[flyarm]

5. this explains alot..we had a woman running for state legislature and

she had a great chance of winning. the last week before election the repubs pumped a bunch of $$ into her opponants campaign..she asked the dnc for money for a last drive to the finish line..they told her she was too aggressive and they wouldnt give her the money..she was furious..i was furious most of us were furious...i bet now that they didnt have the money to give..she could have and would have won..instead we won nothing..it was a terrible set back..they backed the men who had no chance..and did nothing for this gal...i am disgusted with fla politics..
and maddox is a waste of time and money...he is a media whore..and nothing more!!
i was a delegate and i saw first hand the manipulations over delegates..and the fights that inccured in tallahassee..i have seen people kiss maddox's ass who should not be anywhere near the party get bounced up under maddox..i have seen people in tampa who screwed and were mean to volunteers get promoted in the party..and i wouldnt have them anywhere near my party! or the hard working volunteers who should be treated kindly not like this womans trash..and yet she got promoted in the party ..disgusted here!

thank god i live in 2 states..i transfered to fla because i thought they needed my help and i worked my ass off down there..but our party in fla is screwed up..i will transfer back to my other state because at least there ..no one would put up with this crap! it would never be tolerated!

[LightningFlash]

6. Spineless democrats.....Florida is now corrupt.

[Bill Bored]

7. Maybe Teresa LePore knows where the money is. nt