Georgia Democratic party exec resigns; chairman denies financial crisis
Updated at 3:07 p.m. with new material below:
Original: The state Democratic party has problems.
On Saturday, the chief of staff of the party, Page Gleason, handed in her resignation. The letter announcing her decision included these lines:
I have dedicated my adult life to fighting for the Democratic Party and its ideals throughout the State of Georgia. The situation at the Democratic Party of Georgia, however, has made it impossible for me to continue serving effectively as your Executive Director.
…I strongly recommend that the Executive Committee and the By-laws Committee review the sections of the Democratic Party of Georgia by-laws…. A thoughtful review and additional wording would more clearly define the role each plays within the Party so that individuals who serve as State Chair, Executive Director, and members of the Executive Committee may effectively lead the Democratic Party of Georgia in the future.
Gleason’s resignation came a day after minutes of a wildcat meeting of the Democratic executive committee were circulated via e-mail. You may read the official minutes here.
Some attended last Wednesday’s meeting in person, at a local law firm. Others checked in by phone:
As calls came in, callers were asked to identify themselves. A number of callers hung up following this request. After several requests for identification, two callers were disconnected.
Attention was drawn to Russell Edwards, treasurer of the party:
Mr Edwards distributed a document showing cash balances for several months, beginning with February 2011, ending with February 22, 2012. A budget was not presented. He explained the dire financial situation of the organization. Upon review and discussion of the document it was generally agreed that the current financial approach was unsustainable.
Considering the current balances and previous revenue trends, funds are available for approximately 30 days of expenses. Discussion continued regarding monthly expenses, an explanation of the Call Center/Canvassing program, the lack of Executive Committee approval for new hires outside of standard budget, and other financial matters. Inquiries were made regarding hiring. Mr Edwards and Mr Hadley asked to limit discussion to specifics.
Ms Johnson and Mr Halpern urged candor considering the nature of the meeting. Further discussion continued concerning monthly expenses. The question was raised as to the employment of Tasso Knight (member of the Executive Committee) and the body agreed to table the discussion until those with direct knowledge of the hiring arrangements were present. It was noted by Mr Reilly, with agreement from the full body, that Mr Knight had served the party well for many years.
So we called Michael Berlon, chairman of the Democratic Party of Georgia. Berlon acknowledged that, “unfortunately,” Gleason did indeed resign. But Berlon said her departure was the result of other opportunities, and had “nothing to do” with any questions about the party’s financial outlook.
Which Berlon said was tolerable. He denied that the party was 30 days away from insolvency. “If our treasurer had picked up the phone and called me, he would have learned we were solvent through the Jefferson-Jackson Day dinner,” Berlon said. That’s in May.
Berlon said he had not talked to the party’s state treasurer in 14 months. Yes, in 14 months. If that sounds questionable, Berlon explains that the state treasurer really isn’t in charge of the party’s books. That duty is privatized, to an outfit called Political CFOs. The responsibility of the state party treasurer is to make sure that financial statements are reported to the proper authorities on time, he said.
Berlon acknowledges that Knight, political director of the state AFL-CIO, has received reimbursements as a lobbyist for Demcrats at the state Capitol – which apparently has emerged as an issue.
Berlon has been pre-occupied. He wasn’t able to attend the Wednesday meeting of the executive committee. And, over the weekend, he fell off of a ladder, probably separating his shoulder. He may have broken his left arm. (He’s right-handed.)
Previous to a conversation with Berlon, Democratic party spokesman Eric Gray couldn’t provide specifics, but acknowledged the financial pressure that his party was under.
“We all knew that it was a challenge when we didn’t have a statewide officer. Fundraising has not been easy,” Gray said.
New material: This afternoon, Russell Edwards, treasurer of the party, sent out a note that included these paragraphs:
First, it is false that Chair Berlon and I have not communicated in 14 months. The Chair and I, in fact, have traded many emails, communicated by phone, and have also communicated at official meetings where many of you all have seen us seated at the same table.
With regards to the current state of the DPG’s finances, it is true that the DPG currently spends more than it raises. This unsustainable situation should raise red flags since the DPG’s current cash on hand is $37,230.15, not counting the Senate and House Caucus accounts.
– The DPG must meet semi-monthly payroll this Friday of approximately $28,000.00.
– The due date of the DPG Visa credit card is tomorrow in the amount of $2,110.00.
– The due date of the DPG United Healthcare expense is Wednesday in the amount of $1,414.22.
–The DPG also has a bill due to Political CFOs [a bookkeeping firm] this Wednesday of roughly $3,750.00.
– Next week, the DPG has a rent payment due for its headquarters of approximately $5,500.00.
The above expenses amount to $40,774.22.
All of this information has been verified by our accounting firm, Political CFOs.
My forthcoming semi-annual treasurer’s report will shed more light. At last week’s Executive Committee meeting, I pointed out the situation with balance sheets produced by the DPG’s accounting software that I thereafter collected from the attendees considering the sensitive nature of the situation. I have daily access to this system and have been accessing it regularly throughout my tenure as treasurer.
That being said, it’s not as if the present situation cannot change. We have an upcoming Jefferson Jackson dinner for which we have received pledges.
- By Jim Galloway, Political Insider
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238 comments Add your comment
East Repeat
February 27th, 2012
6:05 am
How geat to hear the Dummycrats are now financially bankrupt to go with there previouslya chieved moral bankruptcy. Obama will lose BIG TIME come November and then the national Dummycrats can craw under a rock also. It is Makers (conservatives) versus Takers (Liberal Democrats). Be a Maker, you will be much happier if you provide for yourself. Get your hand out of my pocket, Taker!
Jackie
February 27th, 2012
6:05 am
The notion that the dems and reps are ideologically similar is just silly. It shows a mind achored to politics and not to reality.
What is really missing from thie story is the slander and innuendo the would be front and center if this were a rep problem
East Repeat
February 27th, 2012
6:18 am
Sheepdawg- We aren’t irrelevant as the liberals need the conservatives to keep working so they have somone to tax. You think non-working communtiy organizing will pay the bills, but that all collapses this November. by this time in 2013 our US economy will be growing like mad (has been suppressed fro 3 years) and gas prices will be falling like a rock. If Obama is reelected, hold on to your hats for social unrest and a depressed, deflated country
Good Point, Jackie. Jim is a Democrat lover, he buys into the Gov’t workers and the Takers and the worthless among us as the most noble among us. If you choose to self indentify yourself as a Democrat, that is saying, “Look at me, I can’t do it, someone help me, give me money, I am not capable of making my own decisions”!.
Reagan 4ever
February 27th, 2012
6:31 am
Sadly, my party has been in control of this state for most of the past decade. Yet, we are dead last in job creation and there are serious ethical issues involving legislators.
East Repeat
February 27th, 2012
6:43 am
NOT Reagan 4ever- If we could get all dummycrats to go to work (Obama’s entitlement message, you know, don’t work the gov’t will take care of you, really resounds with many Atlanta and GA “residents”) everything would be fine. Get your hand out of my pocket, Taker.
snerdley
February 27th, 2012
6:46 am
The Dems should put Deal’s daughter/son-in-law in charge of their book’s.
barasso
February 27th, 2012
7:04 am
King Barrak Obuma to announce at a press conference this is all George Bushs fault.
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February 27th, 2012
7:05 am
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Billy
February 27th, 2012
7:17 am
Liberalism never has worked, never will. It’s a testament to the stupidity of people that they keep coming back to it, time after time after time after time. Just looking at PBO and the USSR should be enough, but hard headed dullards can’t be reached despite mountains of evidence to the contrary…
Spike
February 27th, 2012
7:19 am
Same old, same old B.S. When will the common folk, citizens, and the voting public (should be one in the same, but not apparently!) wake up to the fact that our governmental system was BUILT on the ‘old boys network’, during a time of complete corruption, and pretty much doomed to struggle with these and other issues from the start. The ‘lofty’ politico mumble jumble and proclamations continually flow from the professional politicians but they are always empty rhetoric.
When will we wake up to the fact that unless we, the voters, change Washington, the States, and local government structure, processes, and outcomes that the only result will continue to be more of the same.
As Newt would say ‘there is a fundamental problem’ causing this situation. He’s right on target! (and by the way, I am not a fan of the former Mr. Speaker)
POTF
February 27th, 2012
7:20 am
Who is John Galt?
snerdley
February 27th, 2012
7:31 am
Galt’s a fictional charecter written by a loon who was sucking on the govt. teet under a alias in her final days on Earth.
GrannyCares
February 27th, 2012
7:44 am
Management of resources — especially money — has never been a democratic strong suit!
Frederick Douglass
February 27th, 2012
7:55 am
ZIN @ 4:38
Go Fish was a no go, but just wait, there’ll soon be a Go Drive to honor NASCAR, or a Go Deal, to simultaneously honor Nathan, and Texas Hold’em Poker players.
Road Scholar
February 27th, 2012
7:55 am
Hey, under the Repubs we have had 75 banks go under. We’re No 1! Talking about sucking from the fededal teet!
Road Scholar
February 27th, 2012
7:56 am
OOPS! Not enough coffee…Federal.
wishing
February 27th, 2012
7:59 am
The Party apparatus needs a complete shake-up. Leaving seats to Republicans without Democratic opponents. Leaving the State for Republicans to run amok for ten years.
They need a small, efficient organization that focuses on a consistent message, and competes for every seat.
Edward Ruffin
February 27th, 2012
7:59 am
Bill Orvis White is mostly right. However, I feel the same about Socialist Party A as he does, but I feel almost the same way about Socialist Party B. There is a sprinkling of conservatives and constitutionalists here and there in Socialist Party B, but they are not in control of anything.
Michael
February 27th, 2012
8:05 am
As the Pubs made moral issues the center of their world Dems of the south shifted to the right. But the TP will ruin them and I see a 3rd Part somewhere down the road that will be competitive. Socialist is just another “Fear WORD” THE REPULICANS USE because fear works better than fact.
MiltonMan
February 27th, 2012
8:13 am
Wishing, please tell us what exactly the Dems message in this state is. From what I can get from the few clowns left in this state:
(1) HOPE should only be given to the “Middle-Class/Poor” of this state. None other than Jimmy Carter’s grandson – the loon complains about the good schools of North Metro Atlanta receiving the bulk of Zell Miller scholarships.
(2) Mayor Reed – same ‘ole same ‘ole in the city of Atlanta. Keep your friends close by & award airport contracts to them.
MiltonMan
February 27th, 2012
8:15 am
Saw a couple of dems downtown last week diguised as panhandlers begging for spare change.
Ian
February 27th, 2012
8:15 am
There is a reason the plans of the left don’t work. If you punish work and saving while rewarding bad choices, you get more people making bad choices.
honested
February 27th, 2012
8:16 am
wishing,
I’m with you on the unopposed seats.
Failure to contest any seat guarantees it will continue to be held by the same corrupt incompetents that make up the image of GA today.
It also allows the ‘Business Union’ to set the continuously failing agenda.
Question Man
February 27th, 2012
8:16 am
Is it possible the Democrats are waiting for Stacey Abrams to get them out of this pickle? If so, won’t they be waiting a real long time?
honested
February 27th, 2012
8:17 am
ian,
You just defined the rethug plan in GA, at least since 2003.
If you do your job (and it happens to step on somebody’s brother-in-law’s toes) you are likely to lose your job.
MiltonMan
February 27th, 2012
8:21 am
GA dems rally cry: Barnes for Governor 2014!
Eli
February 27th, 2012
8:22 am
So the official stupidest comment (person) of the day is Billy, with his statement that liberalism never works.
For one Billy, you are a liberal (nearly all westerners are). Secondly, Socialism and communism are illiberal. Literally, they were a mid 19th century response and critique of liberalism.
This is a growing problem with out country. That too many people are like Billy. I love mentioning these things to my in-laws. It drives them absolutely crazy when they are called out on this right-wing b/s. You do not know what communism is, nor socialism, nor the difference between the two, you really do not understand capitalism or that capitalism is not a political theory, and then you get all choked up when you call Obamacare a job killer but can not retrieve a single iota of evidence that even one job lost was CAUSED by Obamacare and not something else.
MiltonMan
February 27th, 2012
8:22 am
Where is Mark Taylor when the GA dems need him?
bob
February 27th, 2012
8:24 am
Loose ends, can you show us where that 5.7 trillion surplus was ? You are clueless if you think we ever had a surplus like that.
Mike Berlon
February 27th, 2012
8:25 am
The Big Guy left the big bags of money for me to spend as I please.
MiltonMan
February 27th, 2012
8:26 am
Dems have Vernon Jones gathering signatures to put him on the 2014 ballot for governor. He has a total of 3 as of last count.
Inside the ugly
February 27th, 2012
8:27 am
Sounds like in house sabotage. Why would anyone who cares about the Georgia Dems share so much information during an election year? Self serving promotion. Mike Berlon needs to pull in the draw bridge and clean house or leave it to burn and let someone else rebuild it.
GaBlue
February 27th, 2012
8:30 am
wishing and honested,
A big part of the problem is that the DNC and other national organizations mine our people for money — money they do NOT spend here. Constant phone calls from hard-sell professionals explain why our cash is urgently needed for congressional, senate, and presidential races — just not in Georgia. I remind them of that when I explain they’re not getting a nickel from me! It’s worse than leaving us here drowning in bubba juice. They leave us here drowning, but want to take our last floatation devices and pass them out up North! (I wonder if those who snicker at Georgia Democrats would have the guts to keep fighting for their beliefs under such circumstances.)
Tammy
February 27th, 2012
8:41 am
Georgia would be best served by an evangelical republican party. The democrats are not needed, all we wants is Jeezus, our guns and keeping poor people from traveling too much.
St Simons - we're on Island time
February 27th, 2012
8:44 am
good, let a new party begin.
The Republics are a regional party, and this is their region.
51st in everything. Congratulations. You must be proud.
DannyX
February 27th, 2012
8:45 am
Georgia is a one party communist style state, has been for a long, long time. Good ol’ boy politicians just switched party’s, like Deal and Sonny.
One party rule has been a disaster for this state. The state is a mess. Nathan Deal was recently elected governor, a career politician, ex-Democrat, bankrupt, ethically challenged, former big spending US congressman. Deal has a great no-bid government contract that he fiercely protects.
Sonny Perdue was infamous for changing the flag, crooked land deals, crooked tax breaks, Pray for rain, a 4 lane road that benefited his business, and put his relatives in the state Port Authority before he left, I hear that move is already paying off.
Atlanta transportation is a mess, GDOT is a mess, we have water issues, Georgia Power nuke plant giveaway, bank failures, serious ethics issues, high unemployment. Lobbyists bribe our elected officials. Every legislative session is guaranteed at least 5 laughingstock-of-the-nation proposals. We are still near last in education.
Sonny fired off a letter to Obama begging for additional stimulus dollars as head of the Republican Governors Association, signed by every single Republican governor. First thing Deal does is beg Obama for strings attached federal Race To The Top education funds, $500,000,000 he said he would not accept. He also went begging for transportation funds and port pork.
Republicans think they won something?
baby
February 27th, 2012
8:47 am
All of you people criticizing the Dem party are morons. Nothing but a bunch of lying greedy cheaters and hypocrites just like the Dems. Except in your case, God said it was OK.
You somehow think the unmoral majority Republican Party seeks less handouts for their states and their projects. Red states receive more entitlements than then the blue, educate yourself. We know, we know, your personal indiscretions, and pet projects are sanctioned by God Almighty.
Jesus probably pukes every time you hypocrites open your uncharitable, ignorant mouths.
south ga. possum
February 27th, 2012
8:48 am
Sounds like the democratic party is about as scewed up as the republican party. After attending the state republican party convention in may of last year i decided that was about as screwd up of a mess as i’d ever seen. Split right down the middle, changing voting rules as the meeting progressed, and utter choas. I’m not sure what i am anymore..demo, repub, ind., tea party, …i do know none of them will be getting any of my money or time. It’s called politics..all these candidates are worried about is getting re-elected. TOTALLY DISGUSTED.
DPG ED Resigns — Peach Pundit
February 27th, 2012
8:49 am
[...] The AJC‘s Jim Galloway has the details here. [...]
Mike
February 27th, 2012
8:54 am
Democratic Party….the party of intolerance, hate and bigotry in America today. Its supporters are most often either clueless as to the facts or simply bigots who think that calling the other folks names makes them somehow superior.
The facts are theat the Democratic Party is the party of entrenched special interest groups (unions most notably), the party of higher gevernment spending and Federal government control over our day to day lives (any study of spending by Congressional control displays this in black and white…or red ink…for all to see clearly).
While not technically socialist (yet) the Democratic Party is much closer to a socialist approach than most Republican candidates, and in fact MUCH closer ot a totalitarian approach than any Republican candidate that I can think of. Democrats view the reduction of government spedning on programs and try to make this equivalent to the removal of a person’s ability to get certain goods or services (see the recent debate over contraception and Catholic institutions). It isn’t.
We are all entitled to our opinions, but Democrats all too often make up their own facts.
PS- Obama has told MANY more bald faced lies than Bush ever thought about telling. Neither man makes my Top 20 list of presidents, but the hypocrisy of many left wingers with regard to most issues would be laughable if it weren’t so serious.
PPS- Media coverage of the last time gas prices were over $4 a gallon? FOUR times as many stories as today. I wonder why? MSM in the tank for left wing ideals, and it is quite apparent.
baby
February 27th, 2012
8:58 am
Mike- your ignorance about own party and it’s shortcomings (moral, and fiscal) are laughable. See my post above before you continue to embarrass yourself.
MiltonMan
February 27th, 2012
9:00 am
Dems in this state blaming everything on the reps now in control??? You idiots controlled this state for 130+ years. You clowns attaching the Christian label on reps???
Roman Catholics: Dem-leaning
New Birth Missionary Church: Dems through-and-through
MiltonMan
February 27th, 2012
9:01 am
Remember that the education system (i.e. teachers) just love the democratic party. Education in this state (even with the cheating APS) – crappy.
baby
February 27th, 2012
9:02 am
You Republicans are laughable. You are so blind to your financial reality, and just the same as Dems. At least they don’t hide behind God Almighty to spew their nonsense though.
” the regions in which government programs account for the largest share of personal income — are precisely the regions electing those severe conservatives. ”
Moochers Against Welfare
http://www.nytimes.com/2012/02/17/opinion/krugman-moochers-against-welfare.html
Buzz G
February 27th, 2012
9:02 am
This book should be titled : Hope and Change Come to Georgia.
Put Socialist Democrats in charge of running a Merry-go-Round and in three years it will be running backwards and it will be $16 trillion in debt.
MiltonMan
February 27th, 2012
9:04 am
Pockets of democratic power in this state: South Fulton, Atlanta, DeKalb, Clayton. Areas that produce the worst public school graduates in this state.
Coincidence?
TNT65
February 27th, 2012
9:09 am
I am not a member of any organized political party..I’m a Democrat! Courtesy of Will Rogers.
DannyX
February 27th, 2012
9:09 am
“You idiots controlled this state for 130+ years.”
Funny stuff. Georgia then goes and elects ex-Democrats as governors!!!
That will show em’.
MiltonMan
February 27th, 2012
9:10 am
Baby – yet another clueless lib. Rep John Lewis (GA 5th) is a dem serving in the poorest district in this state full of government-laden receipients.
David Scott (GA-13) yet another dump of a district
Hank Johnson (GA-4) about the only use of his district would be for a landfill.
MiltonMan
February 27th, 2012
9:14 am
Danny, choice to vote for an ex-Democrat vs. a proven loser democrat (Deal vs. Barnes) – yes I will vote for the ex. There were a few smart democrats – Zell Miller, Sonny, Deal but they have converted over.
You guys are stuck with clowns Like Hank “Guam will tip over” Johnson, John Lewis, Roy “I had my redistricting maps thrown out” Barnes, Jim martin, etc., etc.