Money Matters, Part 1

Aloha Friends, welcome back.

-August 10-17 Freedom Cruise Montreal

-September 7 8:30 AM HD17/18 monthly meeting

-September 7 10 AM HD25 Obamacare briefing

-September 12-15 Eagle Council Arlington

-September 13-15 NFRA National Convention Dallas

-September 20 Smart Business Hawaii Banquet

-September 27-29 Gun Rights Policy Conference Houston

-September 28 CPAC St Louis Regional

-October 5 & 6 Honolulu Gun Show

-November 5 General Election VA, NJ

-November 10 Friends of NRA Oahu dinner

There are many strong and energy-filled conservatives and Republicans in Hawaii. Thank you. The Hawaii Republican Party can be better. Let’s get started.

Positive tone. HRP will have candidates. HRP will have a message and raise money. HRP will have a plan. HRP is going to build coalitions and will have training programs. HRP is going to have district and precinct chairs. That’s the good news. In the meantime, when you read that HRP is in debt and has no candidates, the unwritten suggestion is to ‘raise funds’ and ‘recruit candidates.’ Several readers, however, asked for more obvious pointers so we’ll finish some paragraphs with specific suggestions. Suggest: keep reading.

-For an inaugural HIRA-SBH event, HIRA doubles with runners in scoring position. Over 100 conservatives attended lunch with talk show host Humphries. Several people I haven’t seen in years, also new faces with renewed energy. Humphries presented Why Conservatism Matters and took questions for most of an hour. Humphries mixed national and local politics and personal anecdotes to keep the crowd in serious contemplation and sometimes outright laughter. This was a really good event, and fun. HR says For a starter event, HIRA exceeded expectations. Suggest: Join HIRA

-You knew I would mention: This was an event for freedom and liberty supporters. For this conservative event, not one current House legislator or House staffer attended. One party officer (who is a HIRA member), of all the 20 state and Oahu county officers, attended. Hmmmm, conservative event, no House members. Slom, who was a co-sponsor, introduced Humphries.

Freedom Alliance Cruise. Last call. I’m an NRA panel speaker on the cruise but the headliners and attendees make the trip interesting and valuable. Suggest: Book your cruise (or wait until I write about it).

-Dropped by Capitol Hill on a circuitous route to Montreal. Dinner with Deguire and his boss Salmon (AZ-5). Deguire was our ’07-’10 HRP Executive Director (bet you miss him now) and is the current youngest (or close) Republican House Chief of Staff. Salmon is a true believer, conservative to the core, leading a new breed of committed and serious conservatives to not only fix Washington and liberal Republicans but to fix the US. We’ll try to get him to Hawaii.

Quarterly State Cmte meeting. We want good news. We want to write about efficiency, effectiveness and how we’ll win elections. We want to know our leaders are capable. They make it so difficult. Meeting again was not announced to membership, no agenda until two days prior, then many of the speakers didn’t attend. They met quorum, until they didn’t. Nine months after the election, Chang still has “not enough time” to think what to do about the five Rs who campaigned for Ds against Rs. Half the county chairs were absent but Fontaine reported of the many Maui activities. Chang left in mid-meeting. Hellreich was absent, but provided a written report. Liu phoned it in from home. Neither of the youthful CR or YR showed. Get this: Treasurer Klompus shows up for the first time in a year, minus her report which she says she sent to Secretary Schaedel….and Schadel didn’t show up. You would know this except the ‘improved’ conference call system had ‘technical difficulties.’ The line did not work, a new conference phone # was sent 30 minutes into the meeting but many didn’t receive it and most had given up to go about their lives. Gracious. More people, including vice chair Pechaeur, are begging the party to provide districts with member rolls by district instead of the current zip code listing still not reconciled since the Pres caucus of March 2012. The House update (Fale for Johanson) was spent AGAIN trying to convince that the House caucus endorsement of the Dem $2B State budget is ‘fiscally conservative.’ Suggest: Oh my.

-Chang got caught in a lie about the Rules-required annual audit of HRP finances. Ouch. First he said it wasn’t required (It is according to Section 418. You can view the 2011 Rules on line because HRP hasn’t yet posted the 2013 Rules from two months ago). Then he said the requirement is met by IMS doing the finance compliance (Even if that were so, and it isn’t, no one with real business sense would have the person who does the books also audit the books). Then he said it was too expensive, grossly exaggerating the cost of an audit, as if that changed the requirement (but was pointed back to Section 418). So, then he said the rules had been changed (they haven’t). Then….he snuck out the back door in the middle of the meeting. Guys, you can’t make up this stuff. Suggest: Don’t lie, do last year’s audit.

-Instead of encouraging more & open meetings, HRP proposed a couple motions to make meetings more difficult. District chair “Big Brother taking over!” Reader “The timing of these new proposed policies is pretty suspect. CONTROL and PARANOIA seem to be at the heart of the matter.” District chair “We have a severe problem finding enough district chairs and precinct officers. Motion #1 would create headaches for those people and make it more difficult to fill vacancies.” That is why we know the motions are a red herring to distract from the fact that the overwhelming majority of districts and virtually ALL precincts are NOT having meetings on which to report. District chair “It would create a flood of useless and boring minutes.” Big brother lost quorum so none of the motions were addressed. Suggest: Encourage growth, transparency instead of exclusiveness and secrecy.

Hellreich wrote that Capital Campaign Cmte upped the yard sale take to ‘just under $6000’ raised (Klompus said $5700), ‘no’ overhead is now ‘low overhead,’ with plans to keep the HQ looking like ‘a department store.’ CC needed to raise some 20k to cover a year of mortgage. Certain that CC could raise 10k, I lost the bet to an ‘expert’ who predicted they’d raise only 5k. Driving past HQ last week, it is Goodwill-looking, not to insult the Goodwill organization. Hellreich also wrote HRP raised 84k for LD, which Chang either didn’t know or wouldn’t say. Gross or net, no one is saying. Either way, budget called for 190k gross with 70k expenses = 120k net. HRP was off at least 36k net, probably 50k, and more than $100,000 in revenue. At least Hellreich provided a report. Suggest: Fix the budget, pay off mortgage, have a professional HQ.

Klompus says mortgage balance is 126k which is really good if accurate, that is a big drop with no documentation. HRP CoH is 50k (as of that day) but without a written report, we don’t know the breakdown between HRP and county funds. Capital Campaign (earmarked for mortgage) = $11.3k of the CoH, about eight months worth of martgage. Suggest: Seriously? A whole year without a report from the Party Treasurer. You voted for her.

Honolulu county inaugural meeting. Well run by Rohlfing, though no electioneering on the horizon. Still organizing, nine months into the cycle, fours months after elections. Lost more district chairs including two who moved up to county vice chair (also, one vice resigned), i.e. moving people from grassroots into admin/bureaucracy sounds like DoE. Contrary to Hellreich’s report, no ‘new hires’ so still short a third of district chairs. Suggest: Recruit grassroots leaders and begin electioneering.

HRP FEC. Looking for good news? This isn’t it. In June, HRP had receipts near $2,500 and spent about $15,500. Another month in the red. CoH dropped from 59.6k to 46.5k, which includes the 11k earmarked for mortgage (yard sale $ not yet posted). Debt unchanged at $14,245. No funds transferred from the emptied state account. Sustaining members increased as $ amount dropped,19 members providing $930, not close to C/H/L’s budget of 400 members providing 10k/month. When leaders aren’t buying in, don’t expect members to do so. Expect some new revenue from June mail and phone program. Expenditures in June include Blom salary $3336+Heath 376+payroll tax 1600+insurance 55, Office supplies 1214 (Capital Campaign should pay this back to HRP), mortgage 1500, IMS accounting 1751, copier 786, HQ building fee 2700. Remaining debt is to UnisourceDirect mail vendor. Party of fiscal responsibility has been in debt for 33 consecutive months. HRP is in the red four of six months of 2013, and six of eight months since the November election. For the past 17 FEC reports, HRP is 11 months in the red and only 6 months black. Yard Sale helps bottom line but those $ are earmarked for mortgage, not electioneering. Don’t get mad at me. I am just reporting what HRP submits to the FEC. Raising $2,500 in a month? Suggest: raise money and spend less, do some electioneering.

-Versus budget. Hard to tell, the budget is pretty much a shambles. The April version (January version was not approved) is by month with no correlation between months. We can tell that HRP budgeted to gross $190k for LD and ‘raised’ 84k according to Hellriech. We had estimated (guessed) HRP only did about 50-55% of budget and it appears the low end is closer. Chang expected 7k sustaining donor funds at this point so that is off by some 700%. Convention should break even and it doesn’t appear close. Chang already exceeded the allocation for ‘RNC travel’ with at least one more meeting scheduled this year, so far. Suggest: Present an accurate & truthful budget, and State Cmte start doing their oversight duty.

HRP CSC. Giving credit to the ‘leadership’ team, we estimated the state account to come in about $5k-10k, which includes counties’ funds. However, the report shows only $2,116 CoH. State account is in the red for this election cycle, having deposited $39k and paid out 65k. Contributions are LD ticket/table purchases from corporate sponsors, and several candidates used your campaign contributions to attend including: Aiona $2500, Ward 805, McDermott 1500. Expenditures include $35.4k transferred to federal account during the past six months, couple hundred for facility fees for local events, 12.1k for Convention venue, about 6.9k for LD… just from the state account (other expenditures are from the fed account). Because Klompus did not hand out a report, we don’t know how much $ belong to counties though we estimate the four together have about $1500. The low CoH explain why there was not a current transfer to fed account. Having no sponsors for Convention, HRP needed AT LEAST 262 delegates (we estimated needing 200) to pay their registration. They got 177 delegates. Suggest: Raise $. Break even on next year’s Convention.

Candidate CSC. CSC emphasis (and fines) caused more reports to come in on time than ever before, few reports are not filed. Awana makes news again for continued failure to pay fines. Rs started earlier than their usual ‘wait until the last fours months before election.’ Senate raising at the top were Hee 92k and Green 65k. Ds’ CoH include Baker 102k, Green 367k, Hee 440k, Kidani 83k, Galuteria 9k, Shimabukuro 35k. Rs include Larson 2k, Meyer 9k. Suggest: start raising funds.

In the House, top D raisers were Souki 30k, Yamane 16k, Nishimoto and Ito at 13k. Ds’ CoH include Choy 67k, Har 34k, Kawakami 36k, Oshiro 80k, Tsiuji 81k, Yamane 65k and at the low end Hanohano 1k, Belatti minus1.4k, Coffman 4k. Riviere has 10k CoH. Rs raised Cheape 4k, Fale 7k, Fukumoto 7k, Johanson 7k, McDermott 9k, Thielen 6k, Ward 8k with CoH numbers of Allen 1k, Baron 11k, Bateman 2k, Ching 5k, Fale 29k, Fontaine 4k, Fukumoto 4k, Hapai 13k, Johanson 36k, Kaapu 2k, Low 0, McDermott 4k, Sabey 1k, Thielen 33k, Ward 45k. Suggest: begin recruiting, training, raising.

Others include Abercrombie raised 859k with 2M CoH and primary opponent Ige raised 21k with 86 CoH. Tsutsui raised 219k with 294 CoH and potential primary opponent Say raised 1k with 105k CoH. Ararkawa raised 53k with 322k CoH, Couch has 2k CoH. Pine raised 4k (one check from Carpenters Fund) with 9k CoH. Finnegan has 1k CoH having given 3k of her donors’ funds to Charter Schools. Aiona raised 0 with 17k CoH having used campaign funds in January for a Hawaiian Air flight for the campaign (?), 1k (!) to maintain his internet domain name and $2,500 to HRP for LD. Suggest: Oh my.

-Chang announced that Blom is leaving as HRP Exec Dir. Debate whether she quit before getting fired or got fired before she could quit. Readers “if there were a Party Chairman who didn’t lie to my face (at the last meeting), I would come in one day a week.” When I suggested a qualified friend check in to the opportunity “Frankly, I don’t believe in [Chang’s] plan, such as it is.” Suggest: Hire better.

RNC announces “the completion of its first wave of State Director hires…the RNC will continue to hire staff in all fifty states…RNC has State Directors in California, Florida, Louisiana, Michigan, Montana, New Jersey, Ohio, Pennsylvania, Texas, Virginia, West Virginia and Wisconsin.” HI will be the only state with an RNC rep and no State Executive Director. Suggest: Raise the funds and hire someone.

-Nine months into the election cycle and four months after the April RNC meeting when Hellreich reported “the need to use massive voter registration drives in all states to increase our chances of winning local and national elections.” No voter registration drive, yet. More Hellreich “An outstanding [Exec Cmte] to start the year off with a major focus on candidate recruitment and training, community events and coalition development.” You tell me how HRP is doing with candidates, events and coalitions.

-Smacking him again. Ready identifies the lack of volunteers as “.. the problem is that the past president didn’t make sure to recognized the volunteers and they got tired of doing and giving” referring to the past two years under Chang and the two before when Chang was on the Exec Cmte.

-Intra-party debate isn’t limited to Rs. No respect for Golojuch since the time his family was mucking up the HRP works but he is holding Ds accountable and, according to SA Depledge’s sources, the 11 Ds may change to vote in favor of same sex marriage. Golojuch wants Ds who supported the man-woman marriage definition thrown out of the D party. Gabbard and Har are the main targets.–rebukes-of-lawmakers.html?nav=5031 Need some of that accountability in HRP. HRP has yet to hold Rs who campaigned for Ds against Rs accountable per HRP Rules. Reader “No party is to small to keep traitors except Republicans!” Suggest: HRP needs to have some ‘gumption’ of their own.

Messengers. For candidates and committees which think they are being heard. A late-July MSNBC poll “Despite Snowden being in the news for two months, 31% of respondents don’t know who he is, and another 24% have neutral feelings about him.” Suggest: When you send your mailer or email your invite, you’ll know why no one has heard of you.

-Chuck Norris can cut through a knife with hot butter.

Part II in a couple days.


ARE YOU SATISFIED? HRP needs leadership focused on HRP.



Last five: Finance/ Moving On/ Convention Special/ What a Month/ Spring Party Update/ February-March