Nealey fighting off-base claims

By Michelle Dupler, Herald staff writer

Seattle-based special interest groups are twisting the truth in the race to elect the next state representative from the 16th District.

A week after a Republican-funded group attacked Democrat Laura Grant's votes on transportation projects, a Democrat-funded group's mailers imply Republican challenger Terry Nealey is pocketing campaign cash and is against mammograms and cancer screenings.

One of the 16th District's two state House of Representatives seats is up for grabs in Tuesday's general election following the death of Rep. Bill Grant, D-Walla Walla, from cancer in January.

His daughter, Laura Grant, a fifth-grade teacher, was appointed to the seat in February and is fighting to hold it.

Nealey, a Dayton attorney and former Columbia County prosecutor, seized the opportunity to run a second time against a political novice. He lost a bid to unseat 22-year legislative veteran Bill Grant in 2008.

Both candidates say they're disgusted with third-party negative campaigning in the race.

"I am really disappointed," said Grant, who has been fighting erroneous claims that she voted in favor of replacing Seattle's Alaskan Way Viaduct with a deep-bore tunnel. "It's an eye-opener to me. I feel strongly about not lowering myself to this and then those (mailers) came out without my knowledge of it. It's really ugly."

The claims against Grant were paid for by a political action committee called the Transportation Accountability Project, which is fully funded by GOPAC, an organization dedicated to getting Republicans elected.

Nealey said negative campaigning by third parties has amounted to character assassination.

"I don't like it," he said. "I am just opposed to negative campaigning. I have directed my campaign staff not to do it at all. ... Those two mailers question my honesty and integrity."

Nealey is the target of the latest salvo in the 16th District battle.

It came in the form of two mailers from People for Responsible Government, a Seattle-based political action committee that's solely funded by the Harry Truman Fund. The fund is a committee of the House Democratic caucus that collects donations and spends money to get Democrats elected.

One of the mailers reads: "Terry Nealey claims he's a trusted leader, practiced in fiscal responsibility... but is that the real Terry Nealey?"

On the flip side, it says a public disclosure report shows Nealey "used his campaign cash to make over $8,000 in payments to himself without an explanation."

"What's Terry Nealey trying to hide?" it asks.

The mailer shows copies of forms Nealey himself filed as required by the state's Public Disclosure Commission. Schedule A of his C4 forms -- which detail cash receipts and expenditures for a political campaign -- in fact show several payments to Nealey with the only purpose given as "Terry Nealey, payment."

What the mailer doesn't show is the information contained in Schedule B.

On Schedule B -- available for anyone to view as a PDF file at www.pdc.wa.gov -- Nealey lists details of how he spent his own money on campaign expenses, including dates and reasons for the expenses.

PDC spokeswoman Lori Anderson said candidates can reimburse themselves out of campaign funds as long as they're recording legitimate campaign expenses.

"He's detailed things he's paid for and is waiting to be reimbursed for," she said.

No complaints have been filed alleging Nealey violated any campaign finance law, Anderson added.

Debora L. Zalaznik, Nealey's campaign treasurer, said the campaign's financial records have been made open to anyone who wants to look at them, but no one has asked.

"I question any organization that publicly prints and mails to the voters in this district such a serious accusation against Terry Nealey without looking at any of the records that are open to public inspection," she said.

The second mailer hit closer to home by implying Nealey would repeal mandates that require insurance companies to cover mammograms and cancer screenings.

The mailer relies on a Herald article from October 2008 -- when Nealey was running against the late Rep. Bill Grant -- that said Nealey favored repealing coverage requirements for insurance companies so more will enter the individual health insurance market.

The mailer says: "It's hard to believe, but Terry Nealey's (R) health care plan would allow insurance companies to repeal coverage requirements for critical care like mammograms, cancer screenings and other preventative and early detection procedures."

Nealey's wife, Jan, said she finds it hard to believe her husband is against mammograms as she is a breast cancer survivor.

"Because my cancer was found through a mammogram, this accusation is rather absurd," she said. "We have a good relationship through 40 years of marriage and he would not want me dead."

Nealey said he never specifically addressed mandates requiring mammograms or cancer screenings.

"Somebody had to make a real stretch to come out with what they came out with on that mailer," he said.

According to PDC records, the group that paid for the mailer hired political consulting firm Argo Strategies to design and produce the mailer.

Argo Strategies and its founder, Jason Bennett, are at the center of a PDC investigation into King County executive candidate Dow Constantine. A citizen complaint alleges Bennett is the treasurer for both Constantine's campaign and a campaign that sponsored calls against his challenger, Susan Hutchison, in violation of state law.

Bennett also is listed on the Harry Truman Fund's PDC disclosures as its treasurer.

The Harry Truman Fund contributed $1,600 to Grant's campaign, but she said she was never consulted about any negative campaigning against Nealey and has no relationship to People for Responsible Government.

"I really would not condone any of this," she said. "My message would be to take everything you hear from this point on with a grain of salt. I am trusting and have faith in the voters of this district."

-- Michelle Dupler: 509-582-1543; mdupler@tricityherald.com

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Thursday, Oct. 29, 2009

Nealey fighting off-base claims

By Michelle Dupler, Herald staff writer