Groups say pro-Dunleavy organization is ‘smoke and mirrors’ after commission delays decision on campaign-finance complaint

Two watchdog organizations have filed another complaint against the Republican Governors Association and an independent expenditure group supporting Republican incumbent Gov. Mike Dunleavy’s re-election.

The complaint was filed on the same day that the Alaska Public Offices Commission decided its staff would continue to investigate a previous complaint from the groups alleging that Dunleavy’s campaign illegally relied on public funds to subsidize the campaign and coordinated with the independent expenditure group, A Stronger Alaska, ahead of the Nov. 8 general election.

In a decision issued Monday, the commission determined that an emergency hearing held Friday “did not further establish ongoing coordination” but that commission staff would continue to investigate the complaint.

The commission ordered the respondents in the original complaint to meet with commission staff no later Thursday. The respondents include Dunleavy’s campaign, the independent expenditure group supporting Dunleavy, the Republican Governors Association, and Brett Huber, a campaign consultant accused of working simultaneously for the Dunleavy campaign, the independent expenditure group, and the governor’s office. All respondents have denied any wrongdoing.

The staff investigation — whether or not it finds any illegal coordination or funding — will likely conclude after the November election, potentially allowing $3 million to be spent by A Stronger Alaska, the independent group supporting Dunleavy’s re-election.

Dunleavy is running for a second term this year against challengers independent former Gov. Bill Walker, Democratic former state lawmaker Les Gara, and Republican former Kenai Borough Mayor Charlie Pierce.

Dunleavy’s campaign spokesperson Andrew Jensen, one of several campaign staffers who are volunteering for the campaign while also working for the governor’s office, said in a statement that the commission’s ruling “was no surprise given the complete lack of evidence produced on Friday.” Jensen went on to call the complaint “a politically motivated attack dressed up in the guise of public interest.”

The complaint was prepared and filed by attorney Scott Kendall, who previously worked as Walker’s chief of staff. Kendall says he has not been in touch with Walker about the complaints.

As the commission continues its investigation into the previous complaint, initially filed by Alaska Public Interest Research Group and the 907 Initiative, the two groups filed on Monday a new complaint.

The new complaint alleges that while the Republican Governors Association claimed to contribute $3 million to A Stronger Alaska in February 2021, that contribution never took place, according to tax filings uncovered by the groups submitting the complaint. The contribution was reported to have taken place days before a new law went into effect in Alaska requiring independent expenditure groups to disclose their donors. That law was passed as part of a citizens initiative authored by Kendall.

The complaint alleges that the money transfer never happened and that the Republican Governors Association has illegally been spending money directly in Alaska without having the adequate state registration to do so. The complaint alleges that the association is also guilty of filing false or deceptive reports to the commission, issuing false “paid for by” disclaimers on election mail sent to Alaska voters, and evading disclosure of contributor information.

“The evidence tends to show that the RGA has ‘created’ ASA as nothing more than smoke and mirrors to prevent timely disclosure, to hide the RGA’s own role in the election, and to avoid the dark money disclosure regime,” the complaint alleges.

The complainants also submitted a request to expedite review of the new claims, meaning the commission could reach a determination on the allegations before the election. The groups submitting the complaint are asking the commission to compel the Republican Governors’ Association and A Stronger Alaska to provide bank statements proving the $3 million was actually transferred as reported.