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Tim Herbst signs a banner for a friend after announcing his run for Governor of Connecticut at Trumbull High School on Thursday, June 8, 2017.

Tim Herbst signs a banner for a friend after announcing his run for Governor of Connecticut at Trumbull High School on Thursday, June 8, 2017.

Danbury Mayor Mark Boughton attended the announcement by New Milford's Pete Bass of his candidacy for mayor on Tuesday evening, July 11, 2017, in New Milford, Conn.

Danbury Mayor Mark Boughton attended the announcement by New Milford's Pete Bass of his candidacy for mayor on Tuesday evening, July 11, 2017, in New Milford, Conn.

Shelton Mayor Mark Lauretti speaks after being announced as grand marshal of the 109th Bridgeport Columbus Day Parade at Port 5 Naval Veterans Hall in Bridgeport, Conn. on Monday, June 19, 2017.

Shelton Mayor Mark Lauretti speaks after being announced as grand marshal of the 109th Bridgeport Columbus Day Parade at Port 5 Naval Veterans Hall in Bridgeport, Conn. on Monday, June 19, 2017.

Prasad Srinivasan, Republican

Prasad Srinivasan, Republican

Peter Lumaj of Fairfield, Republican candidate for Connecticut Secretary of the State.

Peter Lumaj of Fairfield, Republican candidate for Connecticut Secretary of the State.

Republicans torn over publicly-funded state elections

The top Republican contenders for governor find themselves at cross-purposes with lawmakers from their own party over publicly funded elections in 2018, with millions of dollars for their campaigns at stake in upcoming budget negotiations.

They have spent months trying to qualify for public funds under Connecticuts clean-elections program, a slog that requires them to raise $250,000 from individuals in $100 increments or less. Some are more than half-way toward unlocking $1.4 million for the GOP primary and $6.5 million for the general election if they become the nominee.

But GOP budget hawks want to cut the program to help close a $5 billion deficit, saying that the potential $40 million cost of subsidizing candidates up and down the ballot is too much and that there is a shortfall for the first time in the programs history.

The schism has cast a shadow of uncertainty over the wide open race going into a the special budget session, which had been scheduled for Tuesday but has been delayed by majority Democrats to build support for their plans.

Obviously, having raised almost 60 percent of the grant and being on the back nine, I hope going through this process the program will still be in place, said Tim Herbst, Trumbulls first selectman. Now youve had people give you a quarter of a million dollars for nothing.

The cost of publicly-funded elections in Connecticut

2008: $9 million

2010: $27.3 million*

2012: $10.8 million

2014: $33.4 million*

2016: $11.5 million

2018: $40 million

* denotes governors race

denotes forecast by the Office of Fiscal Analysis

Source: Citizens Election Program

Tarnished by a pay-to-play scandal that led to the resignation and imprisonment of Gov. John G. Rowland a decade ago, the state created the program to wean candidates off special-interest money and free them from the time required for fundraising.

The programs popularity has been on the rise, with $33.4 million awarded to 287 candidates for statewide office and the Legislature in 2014. Nearly half of that total $15.8 million was spent on the governors race.

GOP leaders are warning of a $10 million shortfall for 2018, however. Until now, the program has relied on proceeds from the sale of abandoned property and unclaimed bottle deposits to cover its cost.

Were broke and its kind of tough to say, Were going to cut Medicaid and were going to cut social services programs so we can fund pencils, pens and political paraphernalia, said Senate Republican Leader Len Fasano, of North Haven. I dont think anybody has an advantage or disadvantage if the system goes away.

House GOP Leader Themis Klarides, of Derby, said its about priorities.

I dont think anybodys definition is taxpayer-funded elections, Klarides said. Im sure there are people that wouldnt be happy about it.

Longtime GOP Shelton Mayor Mark Lauretti, who is coming off a record-setting quarter in which he raised $145,090, said now isnt the time to abandon the program.

Its a little late in the game to be talking about that unless they have a sunset clause that gets you past the next cycle, Lauretti said. You know 15 to 20 people have started down this path. Think of the thousands of Connecticut residents that have donated. Isnt that a little disingenuous to them?

If lawmakers want to rein in the programs expenses, Lauretti said, they should look at the grant amounts for legislative candidates and the types of expenditures allowed.

I.e. golf balls and golf tees with their name on them and tee-shirts, Lauretti said.

If it wasnt for the program, Lauretti said, he probably could not afford to run for governor.

Im not independently wealthy, number one, he said. Good, bad or indifferent, the program does demonstrate to a certain degree that a candidate has support.

As a state legislator, Republican Danbury Mayor Mark Boughton voted against publicly-funded elections. Now as a potential third-time candidate for governor, he has raised $162,000 to try to qualify for the program.

Ive never believed that the government should be funding campaigns, particularly a government thats $5 billion in the hole, Boughton said. If I were governor, I would seriously look at dismantling the program.

Boughton said he is prepared for whatever outcome, including going back to his 2,000 contributors if the program and its $100 cap are abandoned.

Right now, were operating under the rules that are put in place, Boughton said.

Westport businessman Steve Obsitnik, whose exploratory committee raised $201,567 during the second quarter, said he doesnt need public funds to be viable.

These are tough financial times for Connecticut, Obsitnik said. I defer to the Legislature.

Bridgeport Republican Dave Walker, the former U.S. comptroller general, said the program needs to be reformed, but should be preserved. He would eliminate grants for House and Senate candidates, as well as do away with separate primaries and grants for lieutenant governor.

I could probably have an advantage if it was eliminated, but I think it has intellectual merit at least for the office of governor, Walker said. You want to try to encourage people who may not be wealthy to run and try to provide a level playing field.

State Rep. Prasad Srinivasan, R-Glastonbury, who has raised $205,103, said he could accept the program being suspended, but only if it is part of a comprehensive budget fix.

Obviously, its going to impact me very personally, he said. At the end of the day youve got to do whats right. I think (the program) is an equalizer. There are parts of a budget that you like and there are parts of the budget you dont like.

Fairfield Republican immigration lawyer Peter Lumaj has raised $281,130 for his exploratory committee for governor, but only $76,000 counts toward public financing because of a high percentage of out-of-state donors.

I've never believed that taxpayers should foot this bill, but unfortunately, professional politicians have created a system in which individuals cannot be competitive in Connecticut elections unless they are self-funding millionaires or participants in (the program), Lumaj said. We need to reexamine donation and expenditure limits, within reason, to fix this problem. If we address those concerns we can create an election environment that remains competitive while removing the burden off of the backs of hardworking taxpayers.

Herbst said lawmakers should consider scaling back the grants to the levels before 2010, when Democrats overrode a veto of then-GOP Gov. M. Jodi Rell and doubled the funds available to governor candidates.

Look, they wouldnt be fiscal conservatives if they werent looking at it, and, for that, I respect them, Herbst said of GOP leaders.

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Republicans torn over publicly-funded state elections - CT Post