Top Democrat Calls Controversy Party Infighting

Orange County Democratic Party Chairman Jim Toledano, whose resignation was demanded after a 5-4 vote of no-confidence by the party’s executive committee, Wednesday blamed his political enemies for the controversy over his handling of a questionable $10,000 campaign contribution.

Toledano conceded that he should have consulted the party’s executive committee about accepting and spending the money on a last-minute campaign mailer, even though he said he was under no obligation to do so.

He also said he was unaware the contribution was coming from a congressional candidate’s sister whose earlier contributions had already exceeded federal campaign spending limits.

“If I did anything wrong, it was foolishly failing to notify people who were pleased to have this opportunity to turn it into something it wasn’t. And that I regret,” said Toledano, who said he had no intention of resigning.

“But I didn’t violate the law,” he added. “I didn’t conspire with anyone to do anything.”

At an executive committee meeting Tuesday night, members criticized Toledano for acting on his own and--for the first time anyone could recall such an action--demanded his resignation after voting, 5-4, that he no longer enjoyed the confidence of a majority of committee members.

While the committee majority’s action is proving to be an embarrassing indication of chaos within the party, it has no real effect. Only a vote of the Democratic Central Committee, a larger decision-making body that is scheduled to meet April 15, could force Toledano from office.

“Even though the action we took was a vote of no confidence and we asked that he resign, it’s not definitive as to what our next course of action will be, if any is taken at all,” said Ray Cordova, regional director of the state Democratic Party and a member of the local executive board.

Executive committee member Catherine Walton said Toledano’s leadership is certain to be an issue at the April 15 meeting.

“He should have told the executive board. He did what he did without our knowledge and we had to express our disappointment,” said Walton, who voted Tuesday to admonish Toledano, but thinks the ultimate decision should be made by the central committee. “Whether he should leave, I think the full committee should decide that.”

Jeanne Costales, vice chairwoman of the Democrats’ executive board, and several other members on Wednesday refused to talk about the matter, saying party rules bar them from discussing closed-session activity.

The donation in question came from Debra Lee LaPrade of Paradise Valley, Ariz., a sister of Jim Prince, an unsuccessful Democratic candidate for the 46th Congressional District race. Toledano used the contribution for a mailer urging support for Prince and Lou Correa, a Democrat who ran unopposed in the 69th Assembly District.

LaPrade said she called Toledano shortly before the election to say she had “maxed out” her legally allowed contributions to Prince’s campaign, but wanted to give the money to promote voter awareness. LaPrade said Toledano, an attorney, told her she could do that by donating the $10,000 to the party.

Toledano says LaPrade never mentioned her brother or her previous donations.

“To me, that would have been a significant piece of information, and I would have asked, ‘Does it make a difference whether it’s the sister of a candidate?’ ” Toledano said.

The Federal Election Commission, which regulates campaigns for Congress, said that with some exceptions, funds donated to a party committee and used to back candidates are counted against campaign contribution limits for those same candidates--meaning LaPrade might have exceeded contribution limits.

Toledano noted Wednesday that so-called “slate” mailers listing several candidates are exempt from this FEC provision.

But the FEC defines a slate mailer as one that promotes three or more candidates, while Toledano’s mailer included just two.

State law also requires the immediate reporting of an independent expenditure of more than $1,000 on behalf of a state or local candidate shortly before the election. But the Orange County Democratic Party, according to records on file at the county registrar’s office, has still not reported any expenditures related to the mailer.

“Any time a political organization or individual makes an expenditure that may influence the outcome of an election, the people of California are entitled to know about it,” said Gary Huckaby, spokesman for the Fair Political Practices Commission in Sacramento.

“Possibly there is a reporting problem,” Toledano conceded. But he said opponents are trying to make it look like he conspired with LaPrade to assist Prince. “But as far as I know, it’s not a question of legality.”

One of Toledano’s chief critics, party treasurer David Levy, resigned Tuesday in part because of the contribution controversy. Levy did not return phone calls Wednesday. But Toledano said the party has been trying to get Levy to resign in recent months, and accused him of using the current controversy as an excuse to depart gracefully.

“We’ve been asking him to resign for months,” Toledano said. “He hasn’t done the job.”

Toledano said one of the key aims of the mailer was to get voters to the polls and counter a misleading campaign by another candidate claiming to have key Democratic endorsements.

Toledano said he also saw the money as a way to fight perceptions that Democrats in Orange County are barely alive.

“There has been a perception that we weren’t players, we weren’t visible,” Toledano said. “One of the things I’ve done is to make sure we’re visible. And it’s clearly rubbed some of the people the wrong way.”