State holds strong on Block penalty

Secretary of state upholds fine in letter to PRC candidate

Doug Mattson | The New Mexican

11/3/2008 - 11/3/08

On the eve of Election Day, Jerome Block Jr. learned the Secretary of State's Office upheld its decision requiring him to pay $21,700 in fines and reimbursements for misspending public campaign money.

The Public Regulation Commission candidate must pay the money by Nov. 14, although he also has the option of seeking arbitration,Secretary of State Mary Herrera said Monday in a letter to Block.

"All $21,700 must be paid out of his own pocket," Don Francisco Trujillo II, deputy secretary of state, said in an interview. "It cannot come from any of the public monies. Not one cent of it."

The letter — "a notice of final action" — informed Block he was being fined $10,000 for both misreporting $2,500 he gave the San Miguel County clerk's band for a performance that never took place, and for improper use of that money.

"The band never played any event for your campaign in return for your payment, and the information you have provided fails to indicate that (your financial statement) regarding that payment was accurate," Herrera said.

The Democrat was fined an additional $1,000 for giving Hillary Clinton $700 to help with her presidential campaign debt.

Also, Block must reimburse the state $10,700.

Block couldn't be reached for a response about the notice.

Trujillo said it's unclear who might wind up footing the cost of arbitration, if Block chooses that route. "The cost associated with the arbitrator is not clearly defined in statute, and so it is left to the discretion of the arbitrator," he said.

But Block could choose from a list of five arbitrators provided by the secretary to handle his case.

Herrera's decision comes with a day remaining in Block's heated campaign against Green Party candidate Rick Lass, who has seized on Block's missteps on the campaign trail and in ads, including a new radio spot that calls Block a "crooked politician."

Block has received just over $101,000 in public campaign funds for the primary and general elections, while Lass, who didn't have a primary, has received nearly $65,000.

The Secretary of State's Office had previously sent Block a preliminary notice that it intended to have Block pay the $21,700.

Last week, in a letter to the secretary Thursday, Block said he "unintentionally erred" in his report involving the $2,500 he gave the band. Block had long insisted the band played, but eventually admitted he lied after two musicians in the group said there was no show.

Also in that letter, Block called the $10,000 reimbursement "excessive" and blamed the secretary's office of being inconsistent during the PRC Democratic primary in enforcing the Voter Action Act, which outlines public financing.

According to Trujillo, Block was referring to initial "irregularities" in Española Mayor Joe Maestas' financial report. Trujillo said Maestas' treasurer had commingled campaign seed money with other campaign contributions, but eventually the paperwork was straightened out. Maestas didn't have to pay a fine after a hearing officer in Herrera's office reviewed the matter.

"They're totally different situations," Trujillo said of Block and Maestas' reporting issues. "You can't compare the two. They're apples and oranges."

Meanwhile, the secretary of state is still heading an inquiry into other Block expenditures, including $1,500 he gave to the San Miguel County Democratic Party and $350 to Cordy Medina, a constituent liaison for the Attorney General's Office.

A spokesman for Attorney General Gary King has long said the office is awaiting word from the secretary of state on whether to pursue a criminal investigation into Block's misspending. But on Monday, Trujillo said that decision is statutorily up to the attorney general. King in late September called Block's matters a "front-burner" issue.

Contact Doug Mattson at 986-3087 or dmattson@sfnewmexican.com.