Kemp, Jones reaped big money from companies with an interest in legislation

Not long ago, state elected officials were banned from raising money during the 40-day legislative session. Leadership committees — a relatively new campaign tool — have changed that, allowing a handful of top officials to accept unlimited campaign cash even as bills are debated.

An analysis by The Atlanta Journal-Constitution found that the committees raised more than $2.3 million during this year’s legislative session.

They have raked in $15.5 million during four legislative sessions, the AJC found.

Critics say the committees unfairly favor a handful of Georgia officials, allowing them to raise money when other state politicians cannot.

Such contributions are under scrutiny after Attorney General Chris Carr filed a lawsuit against Jones, saying Jones’ WBJ Leadership Committee gave him an illegal advantage as they compete for the Republican nomination for governor.

A federal judge dismissed the lawsuit Thursday but agreed the unequal treatment had hindered Carr’s First Amendment right to free speech. Carr could appeal the decision or refile the lawsuit. Previous lawsuits yielded court orders blocking Kemp from using his leadership committee early in his 2022 reelection campaign.

The disparities Carr cites are eye-popping. Through his leadership committee, Jones can raise unlimited campaign cash — he’s accepted contributions up to $250,000 — while Carr’s contributions are limited to $8,400 in the primary election and another $4,800 for the runoff. Jones’ committee can raise money during the legislative session, while Carr cannot.

An AJC review of campaign reports also raises questions about the influence of big money on legislation. Advocates for everything from loosening rules for THC-infused drinks to film and television postproduction tax credits contributed tens of thousands of dollars to key elected officials while lawmakers debated those issues.

A handy weapon

Kemp signed the law creating leadership committees in 2021. It allows the governor, lieutenant governor, the Republican and Democratic nominees for those offices and legislative leaders from both parties to create such committees.

Kemp has raised more than $57 million through his Georgians First committee, spending much of it on his 2022 reelection campaign. Though he cannot seek a third term, he has continued to raise millions of dollars through Georgians First.

That money came in handy as he pushed his litigation overhaul this year.

Kemp made it his top priority this year, siding with business leaders who have long complained about rising legal costs.

His plan limited when businesses could be sued for some injuries on their properties, regulated how damages could be calculated in personal injury cases, and made other changes designed to rein in big jury awards.

Trial lawyers and victims’ advocates called the plan a gift to big insurance companies and said limiting damages would hurt consumers and crime victims and allow businesses to avoid accountability.

No one expected Kemp’s legal overhaul to be easy. But when his plan met resistance from even some Republicans, Kemp used his ample campaign cash to pressure lawmakers.

He launched a seven-figure campaign urging Georgians to contact their legislators to support the proposal. And he threatened to finance primary challenges against Republicans who voted against it.

After that, the Senate approved a revised version of Kemp’s plan. After some more changes, it passed both chambers.

Campaign records show institutions that supported Kemp’s plan were among the top contributors to Georgians First during the legislative session. Among them was the American Property Casualty Association, which contributed $183,000 on March 5, as Kemp sought to overcome resistance in the House. The group also gave $25,000 each to Kemp and Jones in the weeks before the session.

“APCIA joined the broader business community in supporting Gov. Kemp’s efforts to restore balance to Georgia’s civil justice system and help improve the state’s insurance market long-term by addressing abusive practices that ultimately increase costs for Georgia businesses and families,” Ron Jackson, vice president of state government relations at APCIA, said in response to AJC questions about the contributions.

Home Depot was another prominent supporter. When Kemp unveiled his plan, employees wearing Home Depot orange aprons were among the workers who surrounded him.

The company contributed $100,000 to Georgians First a week after Kemp threatened to challenge incumbents who opposed him. The company declined to comment.

Kemp also raised more than $1.2 million from hospital executives, business titans and others before the session as he prepared to rewrite litigation rules.

A spokesperson for Kemp declined to comment on contributions to his leadership committee.

Jones reaps big bucks

Jones also reaped big contributions during the session as he presided over the Senate.

Among his top contributors were the American Health and Wellness Association, whose members include companies that distribute products that contain THC, the intoxicating compound in marijuana products. The association gave $100,000 to Jones’ WBJ Leadership Committee while legislators debated a bill that would have banned the sale of THC-infused drinks.

The bill did not pass. The association did not respond to requests for comment.

Jones also got sizable contributions from the construction firm Brent Scarbrough & Company ($100,000) and Georgia Reel Industry Professionals, a film industry group ($40,000). The Georgia Reel contribution came as lawmakers added productions for streaming services to the activities that qualify for Georgia’s film tax credit and reinstated an expired credit for postproduction work.

Scarbrough and the film group did not respond to requests for comment. Jones’ campaign also declined to comment.

Other legislative leaders in both parties collected minimal amounts during the session. Republican leadership committees received about $1,000, while Democratic committees received about $30,000. Former Democratic gubernatorial candidate Stacey Abrams’ leadership committee collected about $104,000 during the session as she seeks to repay 2022 campaign debts.

Anthony Michael Kreis, a law professor at Georgia State University, said the unequal treatment of candidates is hard to justify. He said it also undermines the reason Georgia outlawed campaign contributions to certain state officials during the legislative session in the first place — to prevent corruption or even the appearance of corruption.

If anything, Kreis said, there’s an argument for allowing Carr — rather than Jones — to raise campaign cash during the legislative session.

“The attorney general has no function in the legislative process,” he said. “If the shoe was on the other foot, and the attorney general was allowed to have a leadership committee but the lieutenant governor wasn’t, you might be able to much more easily justify that difference.”