$100,000 Loan Raises Stakes in Mayoral Race

A $1,000 limit on direct contributions to candidates for mayor of Los Angeles was lifted Tuesday after Walter Moore, a little-known Republican candidate, loaned his campaign $100,000.

Moore, a 45-year-old attorney, said he chose to make a substantial investment of personal funds because reporters would not treat him as a serious candidate in the absence of a campaign war chest.

“I don’t think it’s right,” he said. “It doesn’t matter that you graduated from Princeton ... and Georgetown Law School, have practiced 20 years of business litigation, and taken eight months off to run for mayor.”

The Westchester resident said the $100,000 loan seemed to be the minimum needed to be considered a serious candidate in the race to govern the nation’s second-largest city. “Money is one test of sincerity and seriousness.”

Moore cited two reasons for entering the race: the pay-to-play allegations against the administration of Mayor James K. Hahn being investigated by county and federal prosecutors; and the mayor’s plan for modernizing Los Angeles International Airport.

But Moore’s loan provided an immediate benefit to all other candidates in the race.

With the exception of Moore, other candidates are now free to raise up to $7,000 per contributor, including Hahn and his chief rivals: Councilmen Bernard C. Parks and Antonio Villaraigosa; former Assembly Speaker Bob Hertzberg; and state Sen. Richard Alarcon (D-Sylmar).

The maximum amount of these so-called excess contributions is $100,000.

LeeAnn Pelham, executive director of the city Ethics Commission, said the higher contribution limit is designed to offset the fundraising advantage of wealthy candidates who contribute to their own campaigns.

Former Police Chief Parks loaned $50,000 to his campaign earlier this year, and the other major candidates in the race quickly tapped contributors for more money. When a candidate reached that ceiling, his limit per contributor reverted to $1,000.

The contribution limit has been raised in every mayoral campaign since Los Angeles voters approved a package of campaign reforms in 1990.