‘Dark money’ group spending thousands in CMS school board race. What’s its goal?
A new “dark money” nonprofit focused on education has spent more than $19,000 in this year’s Charlotte-Mecklenburg Schools Board of Education races.
Larry Shaheen, a local attorney and Republican political operative, is listed on documents filed with the Mecklenburg Board of Elections for Success 4 CMS Inc, a group incorporated as a 501(c)(4), which are sometimes called “social welfare” groups. He told The Charlotte Observer this week a group of concerned parents and community leaders retained him because he doesn’t mind taking the “slings and arrows” the group is getting for its involvement in local politics.
Shaheen called it a bipartisan group that wants to fix the school system. CMS was once a “shining example” of a large school district, he said.
“Are people talking about it?” Shaheen said of the effectiveness of the group’s efforts. “Because you are seeing early voting exceed 2018 numbers, you’re going to see a lot of voters who have not voted for school board candidates before this year. This was the most cost-effective way to get the word out.”
Who is Success 4 CMS supporting?
Success 4 CMS, created during the spring, spent $19,143 with Adams Outdoor Advertising in Charlotte. That includes $7,800 to oppose Carol Sawyer, an incumbent seeking reelection in District 4, and more than $5,900 to support Sean Strain, an incumbent seeking reelection in District 6.
The organization also spent $1,820 to support Stephanie Sneed, who faces Sawyer in District 4; $1,820 to support Lisa Cline, a candidate in District 5; and $1,788 to support Hamani Fisher, a candidate in District 1, according to a report filed with the Mecklenburg County Board of Elections on Oct. 27.
Shaheen won’t name CMS 4 Success’ founders, board members or donors. He made it clear, though, he is not on the board.
Some of the money has gone toward billboards. One on Independence Boulevard says: “Carol Sawyer voted for empty classrooms.”
That’s a reference to when the board decided to stay in remote learning during the pandemic as surrounding districts went back to in-person instruction.
Sawyer says she’s not sure how the billboard is affecting voter opinions. But she’s worried about “dark money” in a school board election. She faces Sneed and Clara Kennedy Witherspoon in the Nov. 8 election. Early voting began Oct. 20.
“It’s bad enough when it’s in national and state races. I’m appalled that it’s now reached into the school board race, and we have anonymous donors influencing a race,” Sawyer said.
Dark money refers to nonprofit spending on political candidates because they’re not required to disclose donors. Political action committees and candidates, however, are required to file regular reports with county, state or federal elections officials disclosing contributors and expenses.
Reaction to Success 4 CMS’ spending
Success 4 CMS spending has angered some with an interest in the CMS election, which is nonpartisan. Voters won’t see political affiliation on the ballot with school board candidates.
Justin Perry, a parent and community activist, wrote on Facebook: “The money tells you all you need to know. Success4CMS is attempting to fund a right wing swing of our school board via Sean Strain, Lisa Cline, Hamani Fisher and Stephanie Sneed with the top priority overall of defeating Carol Sawyer.” He’s also posted pictures online holding campaign signs for Sawyer.
Perry did not return a request for comment.
Shaheen says Success 4 CMS is trying to help educate the electorate and hold the board accountable.
“We have kept strict compliance,” he said, “and I am held to the highest ethical standards. We have done all of the necessary homework. My name is getting tarred and feathered in the mud. That’s OK. We need our kids knowing how to read and write. There’s nothing more important.”
Strain, who Shaheen says has “absolutely nothing to do with the group,” isn’t buying the outrage.
“The right-wing conspiracy talk is ludicrous given the bipartisan slate this organization has endorsed,” Strain said in an email. “(Perry) calls this dark, outside money and yet is quite happy to celebrate other outside organizations’ involvement, e.g., Black Political Caucus, NCAE/CMAE, Equality NC, and the list goes on.”
Strain told the Observer he’s OK with groups like Success 4 CMS supporting him if they believe in his “proven, principled leadership on this board” that is “mission-focused and student-centric.”
Rules for nonprofits in campaigns
Patrick Gannon, the State Board of Elections spokesman, said a 501(c)(4) such as Success 4 CMS can make contributions to candidates in limited circumstances.
Gannon said a 501(c)(4) also can make unlimited independent expenditures — where it does not contribute directly to a candidate — in a given election. A 501(c)(4) organization “may engage in political campaigns, provided that such activities are not the organization’s primary activity,” according to the IRS.
A 501(c)(4) can be scrutinized to ensure they are carrying out social welfare activities and not existing primarily as political groups, according to Open Secrets, a nonpartisan research group tracking money in U.S. politics. It’s generally understood the groups may spend up to 49.9% of their resources on political activity.
Another example in Guilford County
The CMS school board race isn’t the only place outside groups are spending money.
The chair and vice chair of the Guilford County School Board filed formal complaints Oct. 21 against a local conservative group Take Back Our Schools they say is participating illegally in election activities, Triad City Beat reported.
According to their complaints, Deena Hayes and Winston McGregor allege that Take Back Our Schools has been “engaging in election activities such as endorsing candidates, raising funds, contributing to campaigns and coordinating campaign strategy,” which is illegal for a 501(c)(3) organization, according to the report.
Justin Parmenter, a CMS teacher who serves on advisory boards of Public Schools First NC and Red 4 Ed NC, says he believes the most effective type of campaign is when candidates interact with potential voters, making their values “crystal clear and engaging in meaningful dialogue with the people whose votes they’re seeking.”
“I do not think it’s healthy for our democracy to have large sums of money from unidentified sources injected into the equation,” Parmenter said. “It makes it harder to know what a candidate stands for when you don’t know who’s paying for their candidacy.”
This story was originally published November 2, 2022 at 10:03 AM.
