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Hundreds of thousands of dollars unaccounted, questionable in McDaniel’s campaign report

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Hundreds of thousands of dollars unaccounted, questionable in McDaniel's campaign report

Sen. Chris McDaniel's first financial reports for his lieutenant governor campaign and a political action committee he runs leave voters in the dark about where hundreds of thousands of dollars came from and raise questions about whether some donations violated campaign finance .

McDaniel's PAC reported it raised nearly $474,000 before it was officially created, failed to list the source of that money, and accepted $237,500 from what's been described as a “dark money” nonprofit corporation that dumps millions of anonymously sourced funds into campaigns nationwide.

McDaniel's opponent, incumbent Republican Lt. Gov. Delbert Hosemann, on Thursday called for McDaniel, who in the past has called for campaign finance reform and transparency, to “practice transparency as he preaches and release his PAC donor list today.”

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“My opponent's PAC failed to disclose from whom he received more than $473,000,” Hosemann said. “He did disclose that he raised $237,500 from a Washington nonprofit corporation.”

McDaniel this week, the day after announcing his Republican primary against Hosemann, reported having raised $710,000 last year and having $713,000 cash on hand for his 2023 campaign.

McDaniel's largest donor to his campaign was the PAC he created in June 2022 called Hold the Line. It contributed $465,000 to McDaniel's campaign.

McDaniel and Dan Carr, a pastor and political consultant from , filed paperwork with the secretary of 's office in June of 2022 creating the Hold the Line PAC. PACs are required to file organization papers with the secretary of state within 48 hours after they raise or spend more than $200.

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Candidates and PACs were required by Tuesday to file their annual finance reports showing donations and expenditures from calendar year 2022.

But despite having been created only in June of 2022, McDaniel's PAC in the report it filed this week showed a prior year's balance of $473,962.38. There was no accounting of where this money came from nor an explanation of how the PAC raised money before it was created.

Hold the Line reported that it then raised $244,310 for 2022, and that its largest contribution was $237,500 in August from a nonprofit called American Exceptionalism Institute. The PAC report showed no contributions to account for the nearly $474,000 balance for the prior period.

American Exceptionalism Institute, based in Alexandria, Va., is a nonprofit corporation that says its mission is educating people about national security, the protection of life and tax and spending issues. It's been described as a “dark money” nonprofit that dumps millions in anonymously sourced funds into campaigns nationwide, often through other nonprofits or PACs.

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Mississippi limits corporate donations — including those from nonprofit corporations such as AEI — to candidates or PACs that donate to candidates to $1,000 per calendar year. Individuals, limited liability corporations and PACs can give unlimited contributions to Mississippi candidates.

Speaking generally about campaign laws and not McDaniel's reports, Secretary of State Michael Watson said on Thursday his office has frequently fielded questions like, “Can you give corporate money to a PAC, and that PAC turn around and give the money to a candidate?”

Citing a 1990s state 's opinion, Watson said, “I think that would be a violation in my mind,” if a corporation gave more than $1,000 to a PAC, then the PAC gave more than $1,000 to a candidate. He said using a PAC simply to dodge corporation donation limits would possibly be a criminal violation. He said most such enforcement would be up to the attorney general's office or local district attorneys.

McDaniel on Thursday told Mississippi Today he knows scant details about the finances of his PAC or his campaign.

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“I can't even write a check out of my account,” McDaniel said. “That's just for safety reasons and so no one can ever question anything.”

McDaniel deferred any questions about Hold the Line PAC finances to Carr. Reached by phone on Thursday, Carr gave confusing answers.

“We registered (the PAC) in June, then some money came in in August, then we filed a report January 1. Correct, January 31. I'll have to get back with you on that (the prior balance of $474,000). We had a clerical error,” Carr told Mississippi Today.

Carr said the report “clearly states” where the prior balance came from. But when challenged that the report does not list where the $474,000 came from, and asked for details of the clerical error, Carr referred further questions about the PAC to a man named Datwyler. Carr said Datwyler “filled out the report for me,” despite Carr's electronic signature being on the PAC report filed to the secretary of state.

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McDaniel also deferred questions about his campaign account to Datwyler, despite McDaniel's signature being on the report and another person listed as the contact.

No one answered calls or responded to a message left at the number Carr gave for Datwyler.

A Thomas Datwyler, a national Republican operative and campaign finance consultant, has recently been in the . After U.S. Sen. George Santos' campaign treasurer resigned amid the candidate's campaign finance problems, Santos said Datwyler would be taking over as treasurer. Datwyler's attorney countered that he told Santos he would not be taking the post.

Also this week, Carr sent out an email fundraising solicitation for McDaniel titled “I AM ALL IN.” It is a letter from McDaniel asking voters to click links to donate $25, $50 or $100 to help him in his race for lieutenant governor. The solicitation, sent from dan@danqcarr.com, says it is “paid for by Committee to Elect Chris McDaniel.”

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But no such committee has been registered with the Mississippi secretary of state's office.

Besides his PAC, McDaniel is one of the largest donors to his own campaign, having contributed $53,000.

Hosemann this week reported having raised $1.33 million for the period, and having $3.5 million in his campaign account.

This article first on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today

On this day in 1958

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On this day in 1958

MARCH 30, 1958

When Alvin Ailey and other young, modern Black dancers performed at New York City's 92nd Street Y, it was meant to be a one-night event. Instead, the Alvin Ailey American Dance Theater company introduced the world to the discovery of what Black dancing could be, performing for audiences in 71 countries, including kings and queens.

Ailey grew up in , “glued to my mother's hip. Sloshing through the terrain. Branches slashing against a child's body. Going from one place to another. Looking for a place to be. My mother off working in the fields. I used to pick cotton.”

In 1960, Ailey debuted Revelations, regarded as a masterpiece. Through his dances, he sought to show “dark deep things, beautiful things inside me that I'd always been trying to get out.” And when his friend, fellow choreographer Joyce Trisler died, he created a dance to honor her —a dance that illustrated both loneliness and celebration.

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“I couldn't cry,” he later confessed, “until I saw this piece.”

In 1988, he received Kennedy Center Honors, with legendary broadcaster Walter Cronkite introducing him as “a choreographer who helped Blacks from the cage of tap-dancing.”

Dying of AIDS, Ailey passed on his company to Judith Jamison, who said, “Alvin breathed in and never breathed out.” She continued: “We are his breath out.”

A 2021 documentary details his journey, and the Ailey school remains the largest place in New York City dedicated to dancers.

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This article first on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi lawmakers resolve impasse over K-12 spending, hope to end session Thursday

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Mississippi lawmakers resolve impasse over K-12 spending, hope to end session Thursday

The Mississippi , finally reaching a budget accord, worked late Wednesday night to pass that agreement with hopes of ending its 2023 on Thursday.

A key peg in that deal is an agreement between House and Senate leaders to an additional $100 million for local school districts. The agreement will be divvied out to schools based on student enrollment with the understanding the money cannot be used to provide pay raises for administrators.

A key obstacle in the prolonged budget stalemate that began before last weekend was the desire of the Senate to place an additional $181 million in the funding formula in that provides for the basic needs of local school districts.

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The Senate plan was to make minor adjustments in the Mississippi Adequate Education Program formula, and fully fund it for an additional $181 million for the first time since the 2007-08 school year.

READ MORESenate, Hosemann want to spend $181 million more to ‘fully fund' public education in Mississippi

But House Speaker Philip Gunn and other members of his leadership team opposed placing additional money in MAEP. They have been advocates in the past of scrapping or overhauling the program.

Gunn stressed late Wednesday the additional $100 million will not go into the formula. But it will be provided to the schools, like the MAEP is, based on student enrollment. And while school districts will not have as much discretion as with MAEP in how the funds are spent, they still will have significant leeway in expending the funds.

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Overall, Gunn said he is pleased with the agreement.

“We are going to make significant progress tonight and probably finish up on Thursday,” he said. “We are grateful to the Senate for working with us.”

The agreement also will include additional funds to deal with the devastation caused by last week's tornadoes that ripped through the Delta and north Mississippi killing at least 21. Final details of the amount of money that will be set aside for storm relief was still undecided late Wednesday.

Lt. Gov. Delbert Hosemann said the amount of funding “will be a significant amount of money.”

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The agreement will take shape in multiple appropriations bills that must be passed by both chambers. Additionally, a handful of general bills — some controversial — still are pending to be taken up.

House Bill 1020 is perhaps the most controversial. In its original form it created a separate judicial district in the white and more affluent areas of where the judges would be appointed instead of elected by the Black majority population of the city.

A version of that proposal is still alive and expected to be taken up on Thursday.

Another measure, Senate Bill 2343, would give Capitol , under direction of the state Department of Public Safety, jurisdiction to patrol within the entire city of Jackson.

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But efforts to restore the state's initiative process where citizens can gather signatures to place issues on the ballot for voters to decide was not part of any agreement. That proposal is dead for the session unless an additional agreement is reached overnight. The state had an initiative process until May 2021 when the state Supreme Court ruled it invalid because of a technical flaw. At the time, legislative leaders vowed to fix the concerns of the Supreme Court and restore the process. But for the past two sessions, legislative leaders have been unable to agree on a fix to restore the process.

READ MORE: Senate, in 11th hour, tries to revive ballot initiative measure it previously killed

This article first on Mississippi Today and is republished here under a Creative Commons license.

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Senate rejects Robert Taylor’s nomination for state superintendent of education

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Senate rejects Robert Taylor's nomination for state superintendent of education

The Senate rejected the nomination of Robert Taylor for superintendent of education on Wednesday.

Taylor was most recently a deputy state superintendent for the North Carolina Department of Public Instruction before starting his role here on Jan. 17. A native of Laurel, he earned his bachelor's degree from the University of Southern Mississippi and has worked in North Carolina schools since 1992. 

Robert Taylor, a native of Laurel.

The state superintendent oversees Mississippi's 870 and is appointed by the State Board of Education. Once the board makes a selection, that person must be confirmed by a nominations subcommittee and the Senate Education Committee before being approved by the full chamber with a vote. Taylor's nomination passed through the first two steps before failing the Senate vote 21-31. 

Senators expressed concerns during the Senate Education Committee vote on Tuesday that Taylor had worked outside of Mississippi for most of his career, citing that this was the same reason they had just rejected Gov. Tate Reeves' nomination for the State Board of Education. Taylor's predecessor Carey Wright is not a Mississippi native and took the position after working in District of Columbia Public Schools.

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“This is nothing personal with me, but it's absolutely what this Capitol needs (sic) to stay consistent with your votes, and I will be staying consistent with mine,” said Sen. Michael McLendon, R-Hernando. 

Sen. Hob Bryan, D-Amory responded to these concerns both in committee and on the Senate floor, arguing the state doesn't take this stance with many other positions as not to limit the options. 

“I don't understand the notion that we only want people from Mississippi, I thought we wanted people from other states to come here,” Bryan said. 

Sen. Chris Johnson, R-Hattiesburg, chaired the education nominations subcommittee and was one of five Senate who voted in favor of Taylor. 

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“We talk about brain drain – well here was a chance to bring someone back,” Johnson said. “In conversations I had with him, I thought he answered things well. He praised what Mississippi has done with education in the last 10 years and said he wants to continue that trend. I thought he had a great knowledge of education and what's going on here.”

Sen. Brice Wiggins, R-, expressed frustration with lack of transparency in the hiring process, saying on Tuesday he was “disgusted” with the way it was handled. This concern was also discussed at the March 15 hearing to interview Taylor and State Board of Education Chair Rosemary Aultman, where Aultman answered questions about the hiring process from senators.

The Joint Legislative Committee on Performance Evaluation and Expenditure Review (PEER) reviewed the hiring process at the request of legislators, finding the board lacked a standard scoring method for evaluating candidates and the selection process “lacked transparency,” as finalists for the position were not shared publicly despite the consulting firm proposing to do so. 

Aultman responded to these concerns, saying applicants for the position asked to remain anonymous, and the board chose to honor the request. Aultman also explained the board developed a list of attributes an ideal candidate would have and judged applications based on how well they the list. For finalists, while they were not scored by a rubric, Aultman said each board member did rank the four options. 

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Aultman reiterated this for Taylor and the hiring process after Taylor was rejected by the Senate in a statement from the Mississippi Department of Education. 

“The State Board of Education conducted a fair, competitive and rigorous application process to select the most qualified candidate to fulfill the duties of state superintendent of education,” she said. “The search firm we hired was helpful in giving the board direction, and we are confident we selected the best candidate.”

Sen. Daniel Sparks, R-Belmont, also raised concerns on the Senate floor that the school district Taylor led in North Carolina did not significantly improve under his nearly 10-year tenure. Between 2015 and 2019, the years for which data is publicly available from the North Carolina School Report Cards website, the Bladen County School District did see more schools meeting their growth targets, as well as the number of C-rated schools rising from four to seven. D-rated schools had fallen from eight to three between 2015 and 2018, before jumping back up to six in 2019. This data does not represent all of the years that Taylor led the district. 

Taylor has previously said at State Board of Education meetings that assisting low-performing districts was one of his top priorities, and had visited all but one of them in his first two months on the job to learn about their needs. 

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“It is our duty and responsibility to be able to get in and work with those districts before they end up on the list being over by the state,” Taylor said at the March 15 committee hearing. “We don't have the capacity to take over ten or eleven districts, but we do have the ability to be able to get into those districts and help them build capacity.” 

Dennis DeBar, R-Leaksville, chair of the Senate Education Committee, said he voted against Taylor for multiple reasons, but most specifically because he “wanted to see someone with a better resume on low-performing schools.”

Taylor would have also been the second Black state superintendent after Henry L. Johnson, who also came to Mississippi from North Carolina in 2002. Some have raised concerns that race placed a role in this rejection. 

“Any time you put and partisanship and race ahead of serving the state of Mississippi, we do our citizens a great disservice,” said Sen. John Horhn, D-

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The State Board of Education said in a press release that they will schedule a special-called board meeting in the coming days to name an interim and begin a new search process. 

This article first on Mississippi Today and is republished here under a Creative Commons license.

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