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StumbleSpending campaign funds on health insurance raises questions
Friday, April 2, 2010 | 2:01 a.m.
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Kathy McClain
Mo Denis
Kelvin Atkinson
At least three state legislators have used campaign donations to pay health insurance premiums, raising questions about what politicians can legally do with their war chests.
The secretary of state is investigating expenditures Assemblywoman Kathy McClain, D-Las Vegas, made using her campaign fund. From 2005 to 2009, McClain, who is running for state Senate, used thousands of dollars in campaign money to pay for health insurance and contribute to her public employee pension.
The payments, made while she was on an unpaid leave from her Clark County job and serving in the Legislature, were reported on her campaign finance reports.
A Las Vegas Sun review of other lawmakers’ candidate expense reports found that while McClain most broadly interpreted what she was allowed to spend money on, she wasn’t alone.
In 2005 Assemblymen Mo Denis, D-Las Vegas, and Kelvin Atkinson, D-North Las Vegas, used campaign funds to pay health insurance premiums. Both work for government agencies and have to pay out of pocket for the insurance when they take leave to serve in the Legislature, which is in regular session 120 days every two years.
McClain, now retired from her county job, said she thought her expenses were allowable because if she had not been serving in the Legislature she would not have had to take time off. She said she is cooperating with the secretary of state’s office and will abide by any decision that is made.
“I thought it was totally allowable,” McClain said. “I was totally transparent.”
A Las Vegas resident filed a complaint against McClain, which prompted the investigation. Besides questioning the pension and health benefit payments, that complaint raises questions about $4,500 in campaign money McClain used for rent in Carson City during the 2009 session.
State law says that “it is unlawful for a candidate to spend money received as a campaign contribution for the candidate’s personal use.” But the law does not define personal use.
Some lawmakers have used campaign money to pay for housing while in Carson City, and others have justified buying suits and fast food with the funds.
In 2002, an attorney general’s opinion attempted to answer the question, but concluded that each case would have to be examined separately. The opinion offered general guidelines.
According to the record, the opinion said, the Legislature “generally intended to disallow expenditures of campaign moneys for typical personal and household expenses, such as food, clothing, rent, utilities and the like.” Additionally it concluded that state law would prohibit use of campaign funds “if the particular use would fulfill a commitment, obligation or expense that would exist irrespective of the candidate’s campaign or duties as an officeholder.”
Nevada has a part-time citizen Legislature, designed so lawmakers would be closer to the experiences of the average citizen. The 63 senators and assemblymen earn salaries of $8,777, plus $167 per day to cover meals and housing.
Over a 120-day session, the per diem is about $20,040. On top of that, legislators who live more than 50 miles from Carson City get a housing allowance of $721 a month.
Although legislators can buy into the state’s health insurance plan during a session, there is no subsidy or state match for health care.
“For myself and my family, the health insurance costs $860 a month during the session,” Denis said. “This is definitely not a moneymaking venture during the session.”
Atkinson and Denis said that since 2005, they have paid for health care during the legislative session out of their pockets.
In McClain’s case, the secretary of state has asked her to account for a $7,276 payment to the state retirement fund in 2009, a $4,436 payment in 2007 and $5,002 in 2005. Additionally, she paid $1,945 in 2000 and $1,914 in 2007 to the Clark County health insurance plan.
Atkinson’s campaign committee paid $1,140 to Clark County Health in March 2005. Atkinson, who works for the county and faces a Republican challenger in his bid for re-election, confirmed it was to keep his health insurance while he took an unpaid leave of absence.
Denis, who’s running unopposed for the state Senate, made three payments totaling $2,232 to the Nevada Public Employee Benefit Program in 2005. Denis, who works for the state Public Utilities Commission as a computer technician, takes an unpaid leave of absence to serve in the Legislature.
Secretary of State Ross Miller said he could not discuss McClain’s case because it is pending, but he said it appeared that the statute of limitation had passed on Atkinson’s and Denis’ expenditures.
“We could further clarify the statute,” Miller said, noting that efforts to change Nevada election law consistently fail to pass. But, he said, these issues “need more exposure and transparency.”
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Why should this come as a surprise to anyone. We the little people know that once politicians get elected they have won their comp life!! they are ALL crooks and liars!! VOTE OUT ALL INCUMBENTS NEXT ELECTION(S)!!!!
Welcome to the Caste Society of the USA. Politicians put themselves in an elite class that has completely seperate rules and rules as you go along. You want an example???? The elite representatives of the people do not wish to be included in the Obamacare Bill and have put a section in the Bill exempting themselves from it. This should tell you something about the Bill. But you do need a brain located in the right part of your anatomy and functional not programed.
Forget Obamacare just give us all the same medical care that congress gets after all we pay for it.
This behavior is corrupt and its what we have come to expect from our elected officials. I don't accept this excuse from these government workers and no one else should. Looking forward to November.
Remember, not one NO NOT ONE GOPer refused his/her GOVERNMENT-paid health care. NOT ONE. Not in DC nor in Carson City nor in any Nevadan city or town. NOT ONE. And, they give it to their mistresses too [yes, Ensign did, and to her cuckold husband too!]. The word hypocrite isn't adequate for these folks. And, this is on day one. As usual, they play us as suckers for their "talking points" as they rob us blind. If they think the Health care bill is so unconstitutional, let every GOPer run on the plank that they will under no circumstance use government health insurance for them and their families. EVER. They can decline. It is allowed. Do it! NOW, TODAY, on Jon Ralston's show. TONIGHT!!! LIVE!!! All of them!!!! Show us how bad the "evul gobermint" really is.
HOW CORRUPT CAN YOU GET.
WHY DOES IT TAKE A 'COMPLAINT' TO HAVE THESE 'LEGISLATIVE THUGS' CAMPAIGN EXPENDITURE (C&E) REPORTS AUDITED...?
WHY.
HOW ABOUT THIS GEM FROM McCLAIN:
"..."I thought it was totally allowable," McClain said. "I was totally transparent."..."
THAT WHAT CRIMINALS ALWAYS SAY WHEN THEY'RE CAUGHT. THAT, OR 'I DIDN'T DO IT'.
AUDIT DEEPER AND YOU MIGHT FIND MORE TO THIS THAN MEETS THE EYE, LIKE:
"..."For myself and my family, the health insurance costs $860 a month during the session," Denis said. "This is definitely not a moneymaking venture during the session."..."
HEY MAN, YOU'RE NOT ELECTED TO *MAKE DOUGH*.
*EVERYBODY* HAS TO DO THE SAME THING IF THEY'RE EMPLOYED IN PRIVATE INDUSTRY. JUST BECAUSE ATKINSON AND DENIS ARE GOVERNMENT EMPLOYEES DOES *NOT* ENTITLE THEM TO PRIVILEGES OVER AND ABOVE THE REST OF NEVADANS WHO WORK THEIR FINGERS TO THE BONE TO MAKE A LIVING IN PRIVATE INDUSTRY.
THESE PEOPLE ARE ACTING LIKE THEY'RE POOR 'VICTIMS' OF THE SYSTEM AND THAT THEIR CORRUPT BEHAVIORS JUSTIFY THEIR 'VICTIMHOOD-NESS'.
A CLASSIC 'CRIMINAL'S' EXCUSE.
Dig through their official, and legally binding, Campaign and Expense Reports for yourself, here (left side of page under Election Site Menu):
http://www.accessclarkcounty.com/depts/e...
I'm surprised that the state does not cover the insurance premiums to prevent this happenings. These people leave their regular jobs to do state responsibilities and at least they be covered while in that situation.
mycroft6 Your juvenile post proves you are a tiny misinformed little person who needs to find a life.
It is trully unfortunate that most of the folks on here do not "get it"! These folks lost their covrage because they were serving our STATE! They had it before then......moreover, they obviously reported it and had it on their reports...they obvioulsy were NOT trying to hide it! So what makes them thugs etc? They disclosed the expense.....I for one don't have a problem with it...it was NOT tax payers money and this issue is between them and their contributors....they should keep their insurance!!
X-doc. "It's none of you business what they do with their money," The problem is it's not THEIR money. It was YOUR money donated to a campaign to put your candidate into office. Are you saying if they want to take the campaign money and a buy a yacht with it that's OK? Gee! Think we should ALL run for office!
"once politicians get elected they have won their comp life!!"
I think environprotector is quoting from the movie Casino, which ironically was talking about about Harry Reid in that particular scene.
"mycroft6 Your juvenile post proves you are a tiny misinformed little person who needs to find a life."
Way to show your own maturity there homer!
Either vote out the party thieves, revolt like we did v. england or stfu and stop whining sheep!
ghostcommander.....you have a great point about making them a perm legislature...that would take away a lot of these issue. I know some time in 2000 voters rejected the idea, I don't know why because if they were full time they could NOT hold outside jobs (erasing conflicts), they would also have a health insurance plan this way, and special sessions wouldn't cost as much.....make them full time already, this state can't afford a part time legislature anymore.
If Mrs. McClain -- Chair of the Taxation Committee -- thought it was alright for her pay into her own Personal Retirement, her Personal Health Insurance, plus pay for her Personal housing when in Carson City with Campaign Donations. Then WHY didn't she pay for her Personal Mortgage, Personal Car Payment and Car Insurance, Personal Utilities, every Personal debt that she would have accumulated while in the Legislature. ((What is the Difference in between -- the Personal Retirement, Personal Insurance, Personal Rental that she thought were alright to use Campaign Contributions for and the Personal things she did not think she could pay for?
As Jon Ralston stated on his show what's next the lawyers that serve in the legislature that usually bill at $500 an hour are going to be reimbursing themselves for hours lost while serving in the session?
"McClain, now retired from her over $100,000 county job "after being FIRED in 2003 for DOUBLE DIPPING/ cheating the taxpayers" , said she thought her expenses were allowable because if she had not been serving in the Legislature she would not have had to take time off. So as you can see she was way out in front of this issue in 2003 when she WAS paid by the taxpayers in her day job and WAS being paid by the taxpayers while serving in the session! She just will never STOP!
HEY Ms. McClain if you really cannot afford to run when you are making over $100,000 a year from WE THE TAXPAYERS then DO NOT RUN! This proves you are ALL ABOUT THE MONEY. While MOST other legislators serve in the legislature know it is a financial sacrifice you as sure as the day is light makes sure your OWN POCKETS are still filled to the top.
While people are struggling for work or to keep a roof over their heads you pocket almost $30,000 of campaign cash from lobbyist! Does anyone think this is criminal? Did she declare this as income to the IRS and pay taxes on this?
I am so sick of corrupt politicans!