Show Me the Money

A renewed effort is being made by SCC members to obtain  clear and credible financial information from the Democratic Party of New Mexico. Recent discussions at local blog New Mexico Matters, as well as previous posts here, describe what has become an ongoing battle to get the Party to follow its own rules regarding financial reporting, and to reclaim the financial oversight powers of the SCC that are stipulated in Party rules.

The following letter was hand-delivered to State Party headquarters today by William J. Kass, Ph.D., and emailed to State Party Chair John Wertheim along with a request for financial information signed by five members of the DPNM State Central Committee. I think the letter speaks for itself:

John Wertheim, Chair
Democratic Party of New Mexico
1301 San Pedro NE
Albuquerque, NM 87110

Dear Mr. Wertheim,

My major reason for becoming involved in Democratic Party politics in New Mexico is to increase the grassroots involvement in the party.  I am trying to accomplish this from the position of a ward chair and SCC member.  We, the ward, precinct and SCC members and officers need help from DPNM. I would like support in the form of a budgeted statewide DPNM plan to educate, train
and promote precinct and ward organizing.

I believe the place to start this effort is to look at the budget of the DPNM.  Based on limited information I have been able to obtain regarding how the DPNM budget is generated and distributed, I believe major changes to this process are necessary if long term changes to the party are to be made. My goal is see the DPNM provide a sufficiently detailed budget to be used as a planning document for all DPNM activities and that includes a specific allocation for precinct and ward organizing.   

I would like to review the history of steps that I have taken to arrive at the conclusion that major changes to the budget process are necessary.

I made a request for budget information at the November SCC meeting.  The response from the Chair was that this was available at DPNM headquarters in the form of treasurer reports and FEC
submissions.

I visited Tara Geise, compliance officer, at DPNM headquarters in November to look at DPNM financial information.  I requested to see the Buckman contract.  The contract could not be found.  I inquired how the DPNM budget was produced.  Tara Geise responded that she reviewed previous years expenditures and estimated expenditures for the next year based on that.  She informed me that this review consisted of going through various sub-accounts within the bookkeeping system (Quick Books) and pulling out the appropriate items.  A review of the filings to the FEC was made and a sample FEC report was shown to me.

I spent several hours reviewing FEC reports on the web at home.  These reports are detailed in the same way a personal checkbook register is detailed.  They do not provide any overview of the budget and are not suitable for planning. 

I had an hour long telephone conversation with you regarding the requests for more budget information, especially an opportunity to examine the Buckman contract.  The result of that conversation was that you recommended I become educated by reviewing DNC and GAIN training manuals I could obtain from Matt Farrauto at DPNM.  Over the course of the next week I picked up these training manuals and reviewed them looking for budget information.  The importance of creating a budget is mentioned but, of course, there is actually not any budget information in
them. 

I also was given and reviewed a document called "Party Building 2005-2006, A nuts and Bolts Guide for Party Leaders and Activists".  This document contains a forward by you emphasizing the need for grassroots and community organizing.  It also contains a section describing a two year budget process that starts with planning activities before developing the budget that funds them. 

At a Ward 25A meeting attended by Democratic Party field organizers I was given a copy of the 2004 NM Coordinated Campaign Plan.  The appendix dealing with budget was missing.  The purpose of this history is to show that the current budget process does not meet minimum standards for transparency and suggests that little long-range planning has been initiated while creating this budget. In other words, we don't have a budget we have a collection of financial records that only serve to obfuscate the goals of the DPNM. 

DPNM rule 5.6 B requires that the DPNM treasurer

'keep full and accurate accounts of all receipts and expenditures subject to the supervision and control of the State Chairperson and make such accounts available for examination by all registered Democrats in the state by request of five (5) members of the State Central committee.'

I am hereby making that request by way of an attached copy of a letter signed by five SCC members.  I construe the meaning of 'all receipts and expenditures' to include contracts that result in expenditures. Therefore, I again renew the request to examine the original Buckman contract.

Although the rules do not require an explanation for requests such as this, I will offer the explanation that seeing the Buckman contract is important for budget transparency.  Budget transparency is important to maintain credibility with party members when fundraising - especially among grassroots Democrats. 

In summary, I request that you instruct the DPNM treasurer to furnish for examination accounts of receipts and expenditures (including the Buckman contract) at DPNM headquarters before the end of February 2006.  I further request that I be notified when these records will be available for
my and other registered Democrats examination. 

Sincerely,
William J. Kass, Ph.D.
Ward Chair 25A
Member, State Central Committee
5114 Royene Ave NE
Albuquerque, NM 87110