CALIFORNIA ELECTIONS INSURANCE COMMISSIONER : Loans Put 2 Democrats at Front of Pack

Bill Press has raised more money in 1990 than any of his rivals for the new elected job of state insurance commissioner but has less cash in reserve than two other candidates who have obtained big loans for their campaigns, according to reports filed with the secretary of state.

Press, a Democrat who was an aide to former Gov. Edmund G. Brown Jr. and was a political commentator on KABC-TV until January, raised $205,147 during the first 11 weeks of 1990. That was more than twice the amount raised by any candidate for the insurance commissioner’s post.

But the $191,291 Press had on hand with less than three months to go before the June 5 primary election placed him only third among six Democrats seeking the nomination.

State Sen. John Garamendi (D-Walnut Grove), the newest entrant into the race, reported having $821,161 in the bank, most of which came from a $500,000 bank loan he secured and funds he transferred from his Senate campaign committee. Garamendi raised $89,057 between Jan. 1 and March 17.

Board of Equalization member Conway Collis obtained a $244,000 second mortgage on his house to give his campaign a boost. He raised $28,320 during the first 11 weeks of the year to give him a reserve of $301,831.

And Walter Zelman, former director of California Common Cause, raised $45,074 during the period but had only $24,164 in the bank as of March 17.

Alhambra City Councilman Michael Blanco raised $14,623 and had $240 on hand. The report of San Francisco lawyer Ray Bourhis was not available Monday.

All the major Democratic candidates have refused to accept campaign contributions from insurance companies, but they do accept money from individual trial lawyers, whose livelihood depends in part on the regulation of the insurance industry. A review of the campaign reports showed money from trial lawyers sprinkled throughout most of the campaign treasuries but not dominant in any of them.

On the Republican side, insurance agent Wesley Bannister of Huntington Beach raised $14,730, including about $2,400 from insurance interests, and had $4,426 on hand. Thomas Skornia, a San Jose lawyer, raised nothing during the period but had $12,058 in the bank. Like the Democrats, Skornia has refused contributions from the insurance industry.

Meanwhile, proponents of two proposed ballot measures that would revise the redistricting of state legislative and congressional districts reported large financial contributions from Republican groups. But the two committees have less on hand than four Democratic-controlled groups that oppose the measures.

The committee urging passage of Proposition 118, sponsored by Marin County businessman Gary Flynn, reported receiving $127,729, including $67,764 from a political action group controlled by the Republican National Committee and $50,000 from the state Republican Party. The committee reported having $7,658 on hand.

Proposition 118 would require a two-thirds vote of the Legislature to pass a redistricting plan and would automatically subject any such plan to a vote of the people. The measure also would ban legislators from receiving gifts and speaking fees from anyone who employs a lobbyist.

The committee backing Proposition 119, sponsored by San Mateo County Supervisor Tom Heuning, reported receiving $188,490, including $50,000 from the state GOP, and had $60,346 in reserve.

Proposition 119 would create an independent, 12-member commission to solicit redistricting plans and select one to implement after the 1990 census.

Both measures are opposed by Democratic lawmakers. As of March 17, committees controlled by Assembly Speaker Willie Brown (D-San Francisco) and Senate Leader David A. Roberti (D-Los Angeles) to oppose Propositions 118 and 119 reported having about $505,000 on hand.