National Association of Realtors pushing significant funds into Missoula mayoral race
The expenditure, to support Realtor and Councilor Mike Nugent’s bid for mayor, was listed in the most recent campaign finance report filed by a committee titled “Missoula Mayor.”
The committee is separate from Nugent’s own mayoral campaign. However, it is supporting the Missoula native and first-term councilor in the five-way race, according to deputy treasurer Jim Bachand.
Bachand said the local group — not the national association — is in control of its campaign. And he and Nugent both said the respective campaigns are not coordinating; Nugent said he learned about the contribution to the committee from his treasurer after it was made.
But such involvement in a city race in Montana by a national group appears to be new, said Jessi Bennion, with Montana State University: “I don’t see a ton of examples of national groups playing in local races.”
However, she said if the committee is persuasive, the national group could jump into more local races in Montana. She said the group’s participation on the municipal front also indicates politics is becoming even more “a money game” at the local level than it has been.
Legally and ethically, she said the national group is well within its rights to make a donation in the local race.
“But it does say something about the direction of local politics, and what we’re seeing as a trend is all politics are getting nationalized,” Bennion said.
Other candidates said the amount was surprising.
“Holy crap,” said candidate Shawn Knopp, who previously worked in property management maintenance, upon hearing the amount.
Said incumbent Mayor Jordan Hess: “It completely dwarfs the voices of everyday Missoulians.”
Said Andrea Davis, also a housing professional: “I actually find this to be troubling, to see six figures coming from a national trade organization to a local race.”
Candidate Brandi Atanasoff urged voters to pay attention because the mayor will influence development in Missoula.
“If the right candidate is not watching out for how it affects our own, many people may end up needing to move,” Atanasoff said.
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Housing affordability is a pressing issue in Montana, and the mayor’s race in Missoula was bound to include hard-fought campaigns and housing as a key topic.
Former Mayor John Engen, the city’s longest-serving mayor, died last August of pancreatic cancer at 57 after serving in the job since 2006.
In a tense meeting last September, councilors selected then-Councilor Hess to step into the interim role as mayor. At the time, Nugent acquiesced to back Hess, his opponent, after a series of deadlocked votes.
Now that it’s time for Missoula voters to elect a mayor, the field is crowded with Democrats Davis, Hess and Nugent, and Independents Knopp and Atanasoff. And the amount of money contributed by the Realtors is substantial.
In the last mayoral election in 2017, by comparison, both candidates together had raised $65,000 by September, an amount then characterized as “unprecedented” in the Missoulian. (Popular incumbent Engen had raised the bulk of it, $54,500, according to the Missoulian.)
Bachand, deputy treasurer for the committee receiving the $125,000, said the national association has a defined process for any local requests, and the local committee made its case for the money it needed to support Nugent in an application.
He declined to release the application Friday.
Bachand is chief executive officer for the Missoula Organization of Realtors, which also endorsed Nugent and made a $10,000 donation to the committee.
The National Association of Realtors has been involved in other local campaigns outside Montana, such as in Santa Fe, and also in support of Realtors.
In an interview, Bachand said although the national association provides the money, the local committee determines the amount it will request. And he said the amount is high because the group’s commitment to Nugent is strong.
“We have an amazing opportunity in this community to elect Mike Nugent, who is a lifelong Missoulian and has an amazing ability to talk to all people and understand one of the biggest crises we’re in right now around housing,” Bachand said. “And I think it’s really important that if we believe he’s the right person, that’s the level of support we need to put behind it to ensure that he’s elected.”
Bachand said the committee hasn’t outlined priorities it wants to see from Nugent if he wins; rather, it’s focusing on electing a candidate with the right temperament, leadership experience, and “deep bench” in the housing industry.
At the federal level, a report of candidates the national association has backed shows the organization funds Democrats and Republicans alike, spends big money, and chooses winners. The report from 2021-2022 said the Realtors Political Action Committee spent $7.2 million in direct contributions and counted a 97% success rate.
In Missoula, the $125,000 contribution is “a lot for a local race,” but the committee can only do so much with it, said Bennion, the MSU political analyst. For example, it can send out mailers or maybe do a commercial or two, but she said TV ads get pricey fast.
“They have to be strategic about that money or else that will go away really quickly,” she said.
So far, the committee has used the money to put up two billboards for Nugent, and Bachand said “stay tuned” for how it will spend the rest. He also said the committee may submit a subsequent request for funds to the national association depending on the outcome of the primary.
Some candidates do seek party endorsements, but the race is nonpartisan on the ballot, and the top two vote-getters in the primary will advance to the general ballot, according to the Missoula County Elections Office.
Candidate and Councilor Mike Nugent discusses Realtors’ involvement
In a phone call, candidate and Councilor Mike Nugent said candidates can’t coordinate with outside groups, so he doesn’t know anything beyond what is publicly reported.
However, he also said in his experience, when the national Realtors group gets involved in a local campaign, locals are still in control.
Roughly three years ago, he said the county commissioners solicited help from the Realtors for polling on a gas tax. Although it was a small amount of money, Nugent said the national association also spent money on Missoula City Council elections in 2021 to support both himself and incumbent Mayor Jordan Hess.
“This isn’t the first local election that MOR has been involved in,” Nugent said of the Missoula Organization of Realtors; the local Realtors solicit funds from the national association.
The significant infusion from outside Missoula could turn off some voters, although political analyst Jessi Bennion of Montana State University said the average voter may not pay close enough attention to notice. Regardless, Nugent said he will focus only on what he can control, and on that front, he’s doing well.
“I think it’s important and only fair to note that we’re leading in traditional fundraising, and we’re proud to have the support of all kinds of people across Missoula,” said Nugent, who has pulled in roughly $63,000.
By comparison, Hess estimated he has raised more than $45,000; Andrea Davis has pulled in some $25,000; Shawn Knopp has raised nearly $3,000; and Brandi Atanasoff isn’t raising money.
Nugent said he didn’t have an opinion on the amount of outside money that will influence the local race because it’s not his decision to make, and he said outside money isn’t new in local politics, pointing to Montana Conservation Voters as an example.
(Montana Conservation Voters said it has had a political action committee that has been involved with statewide and local elections, and it plans to make independent expenditures in 2023. However, a spokesperson said it is not supporting any candidates in the primary. The spokesperson did not state the maximum amount of money the group has contributed in a local election.)
Separately from any individual campaign, Nugent said the country needs to change the way money influences politics: “I believe it’s clear that we need to reform campaign finance across the board.”
He noted his support comes from a wide base, from progressives and people who back his LGBTQ+ positions and “fair housing for all” ideas. The involvement by the national group is another indication of interest, he said.
“There’s a mayor’s race, and there’s a lot of people that are really interested in it,” Nugent said.
Mayoral candidates comment
Shawn Knopp said Mike Nugent is already the top candidate for mayor, so even though the amount of money he’s getting is large, he doesn’t believe those dollars can tip the scales much more in favor of his opponent.
“He’s already the frontrunner. He’s going to be the one that I need to beat. But I’m still shocked,” Knopp said.
Andrea Davis, executive director of Homeword, has worked in the housing sector for 22 years, but she said she wasn’t approached by the independent committee about her work. Homeword has a mission to support affordable and sustainable housing in Montana.
Davis said she isn’t surprised the national Realtors group supports one of its own, but she has a question about it, too.
“My question is what is in it for the National Association of Realtors, who want to influence the mayoral race? Because they wouldn’t spend this money on a race if they didn’t want to influence it, right?” Davis said.
She also said money can buy ads: “But this race will be won on the doors, and that’s where I’ll be.”
Brandi Atanasoff said she believes it’s a conflict of interest for the Missoula Organization of Realtors to be involved in the mayor’s race given the city is trying to address affordable housing. (A political analyst said the involvement by the Realtors is an indication of the nationalization of politics but is also above board.)
Incumbent Mayor Jordan Hess said the money has a chilling effect on democracy at the local level, and “it sells out our local politics to national special interests.” However, he said he’ll focus on showing the public he can be a good mayor.
Hess also has worked on housing issues, including as chairperson of the land use and planning committee of the city council, supporting the adoption of the local affordable housing trust fund, and working with the late Mayor John Engen to initiate code reform.
He too has questions: “I think people should be asking what they will expect of someone if they bankroll a candidacy. What do they expect of that person if they’re in office? That’s an important thing to ask with dark money.”
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