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Oregon Democrats question campaign fund use

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SALEM (AP) - Oregon Democrats are raising eyebrows over Rep. Karen Minnis' dual roles as a legislator and a campaign consultant and the use of campaign dollars. Minnis, a skilled fundraiser and former speaker of the Oregon House, is not running again and has lots of them left over.

In the past nine months she has been donating surplus campaign funds to other political committees while also billing the same campaigns for fundraising services.

Minnis, a Wood Village Republican, donated $10,000 to the House Republican caucus's political action committee in December. She formed a consulting business that month, and the caucus committee has since paid her $12,800 as a consultant.

Minnis also contributed a total of $10,500 to three House candidates' campaigns in the first four months of this year. She billed those campaigns $1,000 each for consulting but has forgiven two of those billings.

She says the payments are not related, but Democrats criticize the unusual arrangements.

"It's probably legal, but it's right on the edge,'' said Michelle Rossolo, executive director of Future PAC, the House Democrats' caucus PAC.

State law allows unlimited contributions to campaigns but prohibits personal use of campaign money.

"The fact that she's giving to four PACs, then billed those PACs about the same time - it's fishy,'' Rossolo said. "

But House Minority Leader Bruce Hanna, R-Roseburg, called the criticism inappropriate.

"Rep. Minnis has done excellent work for the caucus,'' Hanna said. "We have appreciated the opportunity to leverage her years of experience in Oregon's political process.''

Minnis, House speaker from 2003 through 2006, raised more than $1 million for her re-election campaign in 2006.

She contributed $15,000 from her campaign fund to her church in December.

Minnis leaves office in early January.

After the Gresham Outlook first reported the payments, Minnis told the newspaper: "There's absolutely no correlation at all'' between her campaign donations and consulting payments. "There was no quid pro quo at all.''

State Elections Division director John Lindback said his staff will look at the series of Minnis' contributions and billings to decide whether an investigation is warranted.

The division is part of the office of Secretary of State Bill Bradbury, a Democrat.

Information from: The Oregonian, http://www.oregonlive.com

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