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Mo. Dem Governor Under Fire for Expensive Parties

JEFFERSON CITY, Mo. (AP) - Gov. Bob Holden cultivated an image as a careful
money manager during two terms as Missouri treasurer before narrowly winning
the governor's office last year.

But four months after spending nearly $1 million in mostly private money on
an inauguration that treated several thousand visitors to a barbecue buffet,
four dances and a gala emceed by actor Tony Randall, Holden's inaugural
committee is more than $417,000 in debt.

Missouri was outspent only by Puerto Rico on its festivities among the 17
gubernatorial inaugurations held since December, an Associated Press survey
found. Missouri's is the only inauguration carrying major debt, the AP found.

The Missouri inauguration's scale was increased even as the economy slowed.
Since the party, Holden has trimmed his state budget and taken other
cost-cutting steps, including shutting off fountains at the Capitol.

Financial details of the inauguration are murky because Missouri does not
require disclosure of private inaugural fund raising and spending.

``This was extremely extravagant for the times and we can't even find out how
the governor spent the money or where he's getting donations,'' complained
state Rep. Jason Crowell, a Republican from Cape Girardeau.

Holden, a Democrat, said he is too busy with his first legislative session as
governor to focus on repaying at least 20 creditors, but all have received
some money, and ``I'm telling them it is going to be paid, just give me a
little bit of time.''

After the Legislature adjourns on Friday, Holden hopes to raise enough money
to pay off the debts within two months, he said.

That troubles campaign finance watchdogs because Holden will be raising money
at the same time he decides the fate of legislation dear to lobbyists and
special interests. Missouri law places no limits on private inaugural giving.

``This creates a perception problem that Bob Holden is beholden,'' said Jason
Cronin, spokesman for Common Cause in Washington.

A Missouri record of at least $997,900 was spent, including $125,400 in
taxpayer money. The inauguration included souvenir golf balls, heated tents
for dances on the Capitol lawn and a neon inauguration logo suspended in the
Rotunda. The public money went for such basics as printing and mailing
inaugural invitations and programs.

Nearly all of the events were open to the public. The festivities even
included Missouri's first inaugural ball for children.

``We wanted to make this memorable for all the people,'' Holden said.

The $417,000 debt was discovered by the AP and confirmed by Holden's office,
a day after the governor told the AP the debt was just $157,000.

After the AP disclosure, Missouri newspaper editorials criticized Holden, the
Columbia Daily Tribune declaring he ``got carried away.'' ``It makes citizens
cynical,'' commented The Springfield News-Leader.

Missourians were bewildered by the inaugural tab.

``That blows my mind. How did he spend that much money? Did he charge a
cover?'' asked college student Jennifer O'Brien, 19, of Columbia.

Kenny Palmer, 47, of Neosho, shrugged. ``It's politics, and in politics you
get used to using other people's money,'' he said. ``But it's hard to
understand how you can throw a party and go into the hole.''

In contrast, Holden's fellow Democrat Howard Dean of Vermont spent just $500
from campaign funds for punch and cookies after starting his fifth term as
governor.

Puerto Rico spent slightly more than $1 million for its weeklong bash, which
included three public concerts honoring the commonwealth's first woman
governor, Sila M. Calderon.

The two Missouri inaugurations before Holden's were staged with about the
same amount of public money as Holden's committee received. But the 1993 and
1997 inaugurals each used less than $25,000 in private donations, organizers
said.

After hearing the cost estimates, Crowell offered legislation requiring
disclosure of all future inaugural fund raising and spending by governors.
The proposal was approved by the House and awaits Senate debate.

``The people of Missouri should be able to know the who, what, when and why
about who's footing the bill for such a huge party,'' Crowell said.

Holden declined the AP's request to look at his inauguration financial
records. Instead, he released only a list naming contributors and combining
money in hand with amounts expected from likely donors.

But that created confusion. For example, the Missouri AFL-CIO was listed as a
$10,000 donor, but union president Hugh McVey said he ``hasn't donated a
dime'' because of a chill in relations between Holden and unions. McVey said
he will probably contribute, but declined to say how much.

Holden aides said they counted prospective donors because they did not want
to embarrass anyone who indicated they might give but hadn't mailed a check.


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