Undoing of Escondido Campaign Finance Reforms

Undoing of Escondido Campaign Finance Reforms

Introduction

On March 3, 2021, Councilmembers Inscoe (District 2), Garcia (District 3) and Morasco (District 4) voted 3-2 to:

  • Allow candidates to carryover surplus campaign funds to a new campaign account (for example, carryover remaining City Council 2020 campaign funds to a City Council 2024 campaign account);
  • Exclude Political Party Committees from being subjected to the City’s campaign laws

From the SDUT: New Escondido council erases campaign finance reforms enacted by predecessors.

Previously on October 21, 2020, the former City Council voted 3-1 to reform the City’s campaign laws with provisions to disallow this carryover and to include Political Party Committees as subjects of our campaign laws. The reforms were intended to limit the amount of money in our city’s elections. They were initially considered on August 12, 2020, and were final made into law on November 18, 2020 as Ordnance #2020-27R after another hearing. See Escondido lowers campaign contributions for city offices, Escondido City Council votes to reduce campaign contribution limits, and Council moves towards reforming police and campaign finance.

Councilmembers Inscoe and Garcia were elected and sworn in as Councilmembers in December 2020, and Councilmember Inscoe had proposed to undo these two campaign reforms on January 13, 2021 as a Future Agenda item.

This post is a preliminary look at how the undoing of these campaign reforms may affect Councilmembers Inscoe, Garcia and Morasco based on online efillings available on the City’s website (which are mostly from 2020 Election).

Most notably, Councilmember Morasco can carryover $32,828.65 from his current on-hand campaign fund to his next election campaign. He received about $27,765 from businesses and political committees for his 2020 campaign committee. Of which $14,515 were from businesses, $12,500 from PACs (Political Action Committees), and $500 from former Councilmember Gallo’s campaign committees.

His District 4 had 18,238 voters who voted in the 2020 Election, and he will have a significant advantage over any candidates in his next election campaigns.

Councilmember Mike Morasco for District 4

Councilmember Mike Morasco has been a councilmember since he was elected in 2012 for 2 four-years terms (2012, 2016). He was re-elected in 2020. Of his last term, he approved to outsource library operations of Escondido Public Library to an out-of-state company, Library Systems and Services, in 2017.

District 4 had 18,238 voters who voted in the 2020 Election. Councilmember Morasco has $32,828.65 on hand as of his latest campaign disclosure. He potentially can carryover $32,828.65 to his next election campaign, and will have a significant advantage over any candidates.

Here is a breakdown of his cash on hand for his 2020 re-election campaign:

Mike Morasco for City Council 2020 2019-07-01 to 2019-12-31 2020-01-01 to 2020-06-30 2020-07-01 to 2020-09-19 2020-09-20 to 2020-10-17 2020-10-18 to 2020-12-31
Beginning Cash Balance $34,648.08 $47,594.79 $59,585.29 $54,976.84 $46,284.49
Contributions $14,800.00 $13,700.00 $11,889.00 $1,700.00 $1,500.00
Expenses $1,853.29 $1,709.50 $16,497.45 $10,392.35 $14,955.84
Ending Cash Balance $47,594.79 $59,585.29 $54,976.84 $46,284.49 $32,828.65

 
Councilmember Morasco received about $27,765 from businesses and political committees:

Name Committee ID Committee Type Transaction Date Contribution Amount
Aelott Air Conditioning, Inc N/A Business Corporation 10/16/2020 $500.00
Asphalt Construction, Inc N/A Business Corporation 08/02/2019 $1,000.00
Bracor Capital Funding, Inc N/A Business Corporation 06/30/2020 $300.00
CA Real Estate PAC (CREPAC) 890106 Political Action Cmte 07/29/2019 $4,100.00
Escondido Mobilepark West One – Charles Jacobson N/A Business Corporation 08/17/2020 $2,215.00
Escondido Police Assn PAC 962373 Political Action Cmte 09/15/2020 $4,300.00
Gallo for City Council 1225888 Candidate Controlled Cmte 1 2/30/2019 $500.00
Grangetto’s Farm & Garden Supply – Kevin Grangetto N/A Business Corporation 08/17/2020 $250.00
Grangetto’s Farm and Garden Supply N/A Business Corporation 06/23/2020 $250.00
Hallmark Communities N/A Business Corporation 06/30/2020 $250.00
Henry Avocado Corporation N/A Business Corporation 06/29/2020 $1,000.00
Jack Powell Chrysler Dodge Jeep Ram, Inc N/A Business Corporation 07/01/2020 $100.00
New Urban West, Inc N/A Business Corporation 07/09/2019 $4,100.00
Safari Highlands Ranch, LLC N/A Business Corporation 06/30/2020 $4,300.00
Sager Management N/A Business Corporation 06/24/2020 $250.00
Western Manufactured Housing Assn PAC 742422 Political Action Cmte 07/15/2019 $4,100.00
$27,765.00

 
Of which $14,515 were from 12 businesses, $12,500 from three PACs, and $500 from former Councilmember Gallo’s campaign committees:

Committee Type Total Contributions
Business Corporation $14,515.00
Candidate Controlled Cmte $500.00
Political Action Cmte $12,500.00
Total $27,515.00

 
Moreover, contributions from three developers totaling $8,650 posed a pay-to-play conflict of interest where the companies are involved in development projects up for consideration of the City Council:

No Political Party Committees contributed to his 2020 campaign, but Councilmember Morasco did contribute $2,200 to the Republican Party of San Diego County and spent $3,001.60 of campaign expenses with them:

Name Transaction Date Amount YTD Expense Type Expense Description
Republican Party of San Diego County 08/17/2020 $1,000.00 $2,200.00 Contribution No Description
Republican Party of San Diego County 09/15/2020 $1,200.00 $2,200.00 Campaign Literature &. Mailings Slate Card
Republican Party of San Diego County 11/09/2020 $1,801.66 $4,001.66 Campaign Paraphernalia/Misc AutoDial & Text Communications

Councilmember Joe Garcia for District 3

Councilmembers Joe Garcia was elected and sworn in as a councilmember for District 3 in December 2020.

District 3 had 14,341 voters who voted in the 2020 Election. Councilmembers Garcia has $3,407.09 on hand as of his latest campaign disclosure. He potentially can carryover $3,407.09 to his next election campaign, and will have a significant advantage over any candidates.

Here is a breakdown of his cash on hand for his 2020 re-election campaign:

Garcia for City Council 2020 2019-07-01 to 2019-12-31 2020-01-01 to 2020-06-30 2020-07-01 to 2020-09-19 2020-09-20 to 2020-10-17 2020-10-18 to 2020-12-31
Beginning Cash Balance $3,341.90 $11,207.77 $10,902.16 $14,145.58 $6,505.02
Contributions $9,025.00 $6,795.00 $13,390.00 $7,400.00 $2,375.00
Expenses $1,159.13 $7,100.67 $10,146.58 $15,040.56 $5,472.93
Ending Cash Balance $11,207.77 $10,902.16 $14,145.58 $6,505.02 $3,407.09

 
Councilmembers Garcia received about $25,715 from businesses and political committees:

Name Committee ID Committee Type Transaction Date Contribution Amount
Aaron M. Perez, DDS, Inc N/A Business Corporation 12/17/2019 500.00
Alameda Dental N/A Business Corporation 12/22/2019 250.00
CA Real Estate PAC (CREPAC) 890106 Political Action Cmte 09/21/2020 4300.00
Escondido Mobilepark West One – Charles Jacobson N/A Business Corporation 09/08/2020 2215.00
Escondido Police Assn PAC 962373 Political Action Cmte 09/16/2020 4300.00
Gallo for City Council 1225888 Candidate Controlled Cmte 06/29/2020 100.00
Gallo for City Council 1225888 Candidate Controlled Cmte 12/17/2019 500.00
Grangetto’s Farm & Garden Supply – Kevin Grangetto N/A Business Corporation 08/24/2020 250.00
Groupo Poder, LLC N/A Business Corporation 12/30/2019 500.00
Mike Morasco for City Council 2016 1380198 Candidate Controlled Cmte 08/25/2020 500.00
Mike Morasco for City Council 2020 1380198 Candidate Controlled Cmte 10/22/2020 500.00
R&R Marketing Services, Inc N/A Business Corporation 08/20/2019 300.00
Safari Highlands Ranch, LLC N/A Business Corporation 06/29/2020 4300.00
Sager Management Corp. N/A Business Corporation 10/12/2020 250.00
Sam Abed for Mayor 1315596 Candidate Controlled Cmte 12/17/2019 500.00
Samuel Sauza D.D.S., Inc N/A Business Corporation 12/17/2019 350.00
San Marcos Catering N/A Business Corporation 12/17/2019 300.00
Southwest Strategies – Chris Wahl N/A Business Corporation 10/13/2020 1000.00
Western Manufactured Housing Communities Assn PAC 742422 Political Action Cmte 09/08/2020 4300.00
$25,715.00

 
Of which $10,215 were from 11 businesses, $12,900 from three PACs, and $2,100 from Councilmember Morasco’s, former Councilmember Gallo’s and former Mayor Abed’s campaign committees:

Committee Type Total Contributions
Business Corporation $10,215.00
Candidate Controlled Cmte $2,100.00
Political Action Cmte $12,900.00
Total $25,215.00

 
Moreover, contributions from two developers totaling $4,550 posed a pay-to-play conflict of interest where the companies are involved in development projects up for consideration of the City Council:

No Political Party Committees contributed to his 2020 campaign, but Councilmember Garcia did contribute $1,006.16 to the Republican Party of San Diego County and spent $2,102.74 of campaign expenses with them:

Name Transaction Date Donation Amount Donation YTD Expense Type Expense Description
Republican Party of San Diego 09/14/2020 800.00 800.00 Campaign Literature &. Mailings Slate Card
Republican Party of San Diego 10/07/2020 931.16 1731.16 Contribution No Description
Republican Party of San Diego 10/27/2020 25.00 3108.90 Meetings & Appearances 11/3 Election Night Ticket
Republican Party of San Diego 11/02/2020 75.00 3108.90 Contribution No Description
Republican Party of San Diego 11/09/2020 1277.74 3108.90 IT costs (internet, email) Digital Fundraising Services

Councilmember Tina Inscoe for District 2

Councilmember Inscoe was elected and sworn in as a councilmember for District 2 in December 2020 to fill a vacant seat.

District 2 has 20,027 voters who voted in the 2020 Election. Councilmember Inscoe actually $0 on hand as of her latest campaign disclosure. Here is a breakdown of her cash on hand for her 2020 election campaign:

Tina Ostrem Inscoe for City Council District 2 2020 2020-01-01 to 2020-06-30 2020-07-01 to 2020-09-19 2020-09-20 to 2020-10-17 2020-10-18 to 2020-12-31
Beginning Cash Balance $0.00 $18,739.50 $29,861.05 $13,413.92
Contributions $19,650.00 $21,100.00 $7,799.00 $3,250.00
Expenses $910.50 $9,978.45 $24,246.13 $16,663.92
Ending Cash Balance $18,739.50 $29,861.05 $13,413.92 $0.00

 
Councilmember Inscoe received about $17,700 from businesses and political committees:

Name Committee ID Committee Type Transaction Date Contribution Amount
Aeling Family Trust – Dorothy A. Aeling N/A Family Trust 08/20/2020 $500.00
Aelott Air Conditioning Inc N/A Business Corporation 08/20/2020 $500.00
CA Real Estate PAC – CREPAC 890106 Political Action Cmte 12/03/2020 $3,000.00
CA Real Estate PAC – CREPAC 890106 Political Action Cmte 09/19/2020 $1,000.00
Daniels Inc N/A Business Corporation 10/13/2020 $100.00
Escondido Police Association PAC 962373 Political Action Cmte 09/18/2020 $4,300.00
Mike Morasco for City Council 2020 1380198 Candidate Controlled Cmte 08/25/2020 $500.00
Safari Highlands Ranch, LLC N/A Business Corporation 06/30/2020 $4,300.00
Sam Abed for Mayor 1315596 Candidate Controlled Cmte 07/20/2020 $500.00
The Raymond Family Trust N/A Family Trust 10/08/2020 $1,500.00
Unicorn Jewelry & Watch Boutique – Fred Nasseri N/A Business Corporation 08/08/2020 $500.00
Western Manufactured Housing Communities Assn PAC 742422 Political Action Cmte 10/08/2020 $1,000.00
$17,700.00

 
Of which $5,400 were from four businesses, $9,300 from three PACs, $2,000 from two Family Trusts, and $1,000 from Councilmember Morasco’s and former Mayor Abed’s campaign committees:

Committee Type Total Contributions
Business Corporation $5,400.00
Candidate Controlled Cmte $1,000.00
Family Trust $2,000.00
Political Action Cmte $9,300.00
Total $17,700.00

 
Moreover, $4,300 contribution from Safari Highlands Ranch, LLC posed a pay-to-play conflict of interest where the company is involved in development projects up for consideration of the City Council:

No Political Party Committees contributed to her 2020 campaign, but Councilmember Inscoe did contribute $1,300 to the Republican Party of San Diego County.

Name Transaction Date Donation Amount Donation YTD Expense Type
The Republican Party of San Diego County 09/21/2020 $1,300.00 $1,300.00 Contribution

Reference

Timeline

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