New NRSC Ad Attacking Kay: Something is Missing

Kay Hagan’s record on lowering taxes is clear: she helped make North Carolina “one of the best states to do business in" by voting for over $840 million in tax cuts. Tax cuts targeted to families and local businesses. And Kay has championed fiscal responsibility: balancing five straight budgets that have resulted in record investments in jobs and higher education. Now, a promise to revive our middle class and level the playing field: middle class tax cuts, closing the tax loopholes that reward corporations for sending jobs overseas, and ending tax breaks for big oil companies who continue to reap record profits at a time of record prices.

Meanwhile, Elizabeth Dole has been voting with George Bush and his failed economy 92% of the time. Votes to give tax breaks to Big Oil companies at a time of record profits, votes for unfair trade deals and tax breaks that help corporations ship North Carolina jobs overseas – policies that have cost North Carolina thousands of jobs.

The National Republican Senatorial Campaign (NRSC) Committee today released their first ad on behalf of Elizabeth Dole, coming on the heels of Dole claiming she wanted third party groups to stay out of the North Carolina Senate race.

“Dole claimed she wanted third party groups to stay out of North Carolina when she was ahead, but she’s more than happy to allow them in the state when she’s behind,” said Hagan Campaign Communications Director Colleen Flanagan. “What a typical politician – she doesn’t want to help North Carolinians, she wants to help herself.”

The ad distorts Kay's time as the chairman of the Budget Committee and disregards Kay's record of results while chairing the budget, which has garnered her a top-10 ranking by the non-partisan North Carolina Center for Public Policy Research several times in a row. That contrasts clearly with Elizabeth Dole's embarrassing ranking of 93 out of all her Senate colleagues in terms of effectiveness.

While Kay has chaired the Budget Committee, North Carolina became the best state in which to do business, and the state's bond rating was upgraded to "Aaa". As opposed to Bush-Dole team, Kay actually cut taxes to the tune of $840 million. And as chair, Kay helped create a program that determined whether public services were being delivered in an effective and efficient manner, and Kay has turned down unnecessary expense allowances given to members of the General Assembly.

"It's odd that the Republicans would choose to go after Kay's record of fiscal responsibility and stewardship when Elizabeth Dole's record is pitiful at best," Flanagan said. "Since 2003, the Bush-Dole team has increased our nation's debt by 43% to $9.2 trillion, while our debt owed to foreigners increased to record levels at the same time. Dole also voted against repealing Bush's tax cuts for the wealthiest Americans, against Pay-As-You-Go rules six separate times and against giving Congress more oversight over the Iraq Reconstruction projects."

“Something’s missing in this ad, and those who know anything about Kay’s decade of service in the North Carolina Senate know it’s the truth,” Flanagan said. “The NRSC and Dole herself are finding it hard to publicize anything positive about her time in the U.S. Senate or her record. There is nothing they can do to erase the fact that she's voted 92% of the time with George Bush or that she's 93rd in terms of effectiveness in the entire U.S. Senate. I'd be running scared if I were Elizabeth Dole, and with the NRSC sinking money into her failing race, it's clear she is."

Ad Watch
National Republican Senatorial Committee
0:30 Television Ad
9/2/08

TRANSCRIPT	FACTS
What if they gave gold medals for financial irresponsibility? Visual: Olympic stadium, crowd cheering Text: Event – Fiscal Irresponsibility Record – Doubled State Debt Medal – Gold Announcer: “The gold medal goes to… Kay Hagan” Visual: Kay Hagan holding a gold medal (photo-shopped) Text: State Legislator Kay Hagan Budget-writer Kay Hagan helped double state debt Visual: Kay Hagan holding a gold medal (photo-shopped) Text: Doubled State Debt – North Carolina Comprehensive Annual Financial Report, FY 2007	HAGAN HAS A RECORD OF FISCAL RESPONSIBILITY Hagan Balanced The Budget For Five Consecutive Years. According to the nonpartisan Fiscal Research Division of the North Carolina General Assembly, the budget has been balanced every year Hagan served as co-chair of the Appropriations/Base Budget Committee. [HB 1473, signed into law on 7/31/07; 2006 Fiscal Research Division Budget Overview; 2005 Fiscal Research Division Budget Overview; 2004 Fiscal Research Division Budget Overview; 2003 Fiscal Research Division Budget Overview] North Carolina Repeatedly Ranked As One Of The Best States For Business. Site Selection Magazine named North Carolina as the state with the top business climate in 2007. Additionally, Forbes.com ranked North Carolina third in the country for its positive business climate in both 2006 and 2007. Site Selection said, “Among North Carolina’s strengths cited by numerous corporate executives were its pro-business policies in the areas of tort and taxation, a vibrant existing talent base backed by workforce development capabilities, affordable land, and private- and public-sector leadership.” Forbes.com praised North Carolina’s low labor costs and fast income growth. [Forbes.com, 7/11/07; Conway Data press release, 11/1/07] North Carolina’s Bond Rating Was Upgraded Because Of Healthy Financial Outlook. In 2007, the Greater Triad Business Journal reported North Carolina’s bond rating from Moody’s Investors Service was upgraded from Aa1 to Aaa. According to the article, the upgrade was given because “the state is currently enjoying a healthy financial outlook.” Moody’s released a statement claiming, “As the result of conservative budgeting, tight expenditure controls and an improving economy, the state’s financial performance has made strong gains in recent years.” [The Greater Triad Business Journal, 1/15/07] DOLE AND BUSH HAVE MASSIVELY INCREASED FEDERAL DEBT Dole Voted 5 Times To Increase Debt Limit To Nearly $9 Trillion. Since 2003, Elizabeth Dole has voted to raise the debt limit five times, bringing the limit to $8.9765 trillion, a 50 percent increase. [Vote 54, 3/16/06; Vote 76, 3/17/05; Vote 213, 11/17/04; Vote 57, 3/11/04; Vote 202, 5/23/03; AP, 3/16/06; Chicago Tribune, 3/17/06] Dole And Bush Have Increased The Debt By 43 Percent, To $9.2 Trillion, Since 2003. Bush and Dole have presided over the largest explosion of debt in our nation’s history. Under the Bush-Dole team, the federal debt has increased 43 percent, from approximately $6.4 trillion at the end of 2002 to an estimated $9.2 trillion in February 2008. [U.S. Department of the Treasury, Bureau of Public Debt] Under Dole, Debt Owed To Foreigners Climbs To Record Levels. In order to finance record budget deficits, the United States has had to borrow at unprecedented rates from foreigners. Since 2000, the United States has accumulated more debt to foreigners, approximately $2.182 trillion, than this country had accumulated in its first 224 years. [U.S. Treasury Department, Major Foreign Holders of Treasury Securities, 5/07; Federal Reserve Board] Dole Voted Against Studying Effect of Foreign-Held Debt. While the United States is forced to borrow trillions of dollars from foreign countries as a result of skyrocketing budget defecits under the leadership of Bush, Dole, and their Republican allies in Congress, Dole voted against required the Secretary of the Treasury to study the national security and economic effects of foreign governments, institutions and individuals holding U.S. federal debt. [Vote 53, 3/16/06; MarketWatch, 3/16/06]
The gold for government waste? [Announcer:] Kay Hagan! Visual: Black background with text; gold medal hanging off the words Text: Gold Medal for Government Waste?	HAGAN WORKED TO REDUCE WASTEFUL SPENDING 2007: Hagan Helped Create A Program To Ensure Government Programs Were Cost-Effective. Hagan voted to create a program evaluation division to determine whether public services were being delivered in an effective and efficient manner. [Associated Press, 5/8/07; SB 1132, vote 524, 6/4/07, passed 40-0] *2007: Raleigh News & Observer* Claimed The Budget Gave Taxpayers “Their Money’s Worth.”** A Raleigh News & Observer praised the 2007 budget, calling it “a budget to grow on.” The editorial said “much of the increase flows straight from the stresses imposed by growth – and from the vital need to sustain North Carolina’s reputation for an above-average commitment to education. This growing and increasingly prosperous state didn’t achieve its present good fortune by turning its back on its people.” [Raleigh News & Observer Editorial, 8/3/07] 2004: Hagan Stood Out Among Legislators For Turning Down Unnecessary Expense Allowances. In 2004, the Greensboro News & Record singled out Hagan for her wise use of taxpayer dollars. Most legislators received $104 per diem allowance even when they missed days of the General Assembly session. The editorial said, “Only one, Sen. Kay Hagan, turned down expense payments for some of the time she missed.” Hagan criticized “the excessive length of legislative sessions, which she blames on lawmakers who like it in Raleigh and won’t leave. For years, she’s called for strict session limits, which would curtail expense payments.” Hagan had been calling for session limits as a way to save taxpayer dollars since 1998. [Greensboro News & Record Editorial, 8/31/04, 8/15/98] 2003: Hagan Pushed For Accountability Among Programs Receiving State Funds. Hagan chaired a special Senate committee to review money given to nonprofit organizations, and state oversight of them. Provisions were added to the 2003 budget to further regulate money given to these nonprofits and clarify the guidelines. Hagan said, “Anytime we use statewide money for any program, there must be accountability and the agencies must know how that money is spent.” [Associated Press, 6/2/03; Wilmington Star News, 4/29/03] DOLE RESISTED EFFORTS TO REDUCE GOVERNMENT WASTE While U.S Spent Nearly $100 Billion On Contractors In Iraq, Dole Voted Repeatedly Voted Against Holding Them Accountable. According to a report by the New York Times, “one out of every five dollars spent on the war in Iraq has gone to contractors.” A report by the Congressional Budget Office showed that by the end of 2008, the United States will have spent $100 billion on contractors in Iraq since 2003. . In 2005 and 2006, Dole voted four times against establishing a committee to investigate the awarding and carrying out of federal contracts for Iraq, Afghanistan and the war on terrorism. Dole also voted to continue to allow fraud and abuse in defense contracts in Iraq. [New York Times, 8/12/08; Vote 228, 9/14/05; Vote 259, 10/19/05; Vote 176, 6/20/06; Vote 316, 11/10/05; Vote 169, 6/14/06; CQ Today, 6/14/06] Dole Opposed Giving Congress More Oversight Over Iraq Reconstruction Spending Twice. In October 2003, Dole voted twice to kill a proposal that would have eliminated the flexibility given to President Bush to reallocate all of the $20.3 billion Iraq Relief and Reconstruction Funds without congressional approval. [Vote 398, 10/17/03; Vote 385, 10/16/03; Associated Press, 10/16/03] DOLE HAS FOUGHT AGAINST EFFORTS TO BALANCE THE BUDGET Since 2003, Dole Voted Against Restoring Pay-As-You-Go Rules Six Times. Since 2003, Dole has voted six times against restoring pay-as-you-go rules, which would require a 60-vote majority to enact tax cuts or new spending on entitlements without showing how to pay for them. [Vote 38, 3/14/06; Star Tribune, 3/16/06; New York Times, 3/15/06; Vote 53, 3/16/05; Vote 283, 11/3/05; Vote 340, 11/17/05; Vote 38, 3/10/04; Vote 200, 5/23/03]
Hagan’s budgets pushed North Carolina to the highest taxes in the Southeast Visual: Kay Hagan holding a gold medal (photo-shopped) Text: State Legislator Kay Hagan Highest Taxes in Southeast 2006 – John Locke Foundation, Tax Foundation Event – Government Waste Record – Highest Taxes in Southeast Medal – Gold	HAGAN SUPPORTED TAX CUTS Hagan Has Worked To Enact At Least $840 Million In Tax Cuts. Hagan has supported a variety of tax cuts as a state senator, including economic incentive packages, property tax exemptions for disabled veterans, tax credits for small businesses providing health care for employees, a sales tax holiday for energy efficient appliances, a cap on the gas tax, increased the deduction for married couples and increased the child tax credit. The Charlotte Observer has praised the state budget, saying, “N.C. lawmakers use money wisely, cutting taxes, giving big bucks to education needs and helping counties with rising Medicaid costs.” [Greensboro News & Record, 6/11/08, 9/24/01; Triangle Business Journal, 5/19/08; Charlotte Observer, 11/22/07, 2/8/07, 7/8/06, 12/12/03, 9/21/01; Raleigh News & Observer, 7/4/08, 2/11/07; SB 1741, vote 1357, 7/6/06; Winston-Salem Journal, 11/5/04; SB 2, vote 5, 11/4/04; Durham Herald-Sun, 12/11/03; HB 2, vote 3, 12/10/03; HB 2436, vote 1584, 7/8/08; HB 1414, vote 1386, 7/17/04; SB 1115, vote 1507, 9/20/02; Associated Press, 9/21/01] 2008: Hagan’s Supported Tax Breaks To Help North Carolina Jobs. In 2008 the Charlotte Observer said of Hagan, “She voted in favor of providing incentives to corporations that provide jobs… Hagan also looks after local business interests. Hagan helped shave back a proposed increase in the cigarette tax in 2005” because she felt the 45 cents per pack tax proposed by Gov. Mike Easley would hurt one of North Carolina’s “homegrown industries.” [Charlotte Observer, 3/25/08; Associated Press, 2/23/05, 4/20/05; Winston-Salem Journal, 2/24/05] 2007: Hagan Supported Cutting Income And Sales Taxes, Saying “It’s Time For Them To Go.” According to the Associated Press, budget plans from the House and Governor’s office both retained a temporary quarter-cent sales tax and higher upper-income tax bracket, while the Senate plan let those taxes expire. The Senate wanted to drop the sales tax from 6.75 to 6.5 percent, and reduce the top income tax bracket from 8 to 7.75 percent. Hagan said of the taxes, “We want those to sunset,” and “It’s time for them to go.” [Greensboro News & Record, 6/4/07; Associated Press, 5/30/07] DOLE SUPPORTED IRRESPONSIBLE TAX POLICIES THAT BENEFITED THE WEALTHY Dole Voted Against Rolling Back Bush’s 2003 Tax Cuts For The Wealthiest Americans. Dole voted at least 12 times against rolling back Bush’s 2003 tax cuts. [Vote 58, 3/18/03; Vote 69, 3/21/03; Vote 75, 3/21/03; Vote 76, 3/21/03; Vote 78, 3/21/03; Vote 83, 3/25/03; Vote 95, 3/25/03; Vote 96, 3/25/03; Vote 164, 5/15/03; Vote 167, 5/15/03; Vote 168, 5/15/03; Vote 173, 5/15/03] Dole Voted For Final 2006 Tax Cut Package That Overwhelmingly Benefited Wealthiest Americans. In 2006, Dole voted for a $70 billion tax bill that failed to extend popular tax credits for research and development, college tuition and retirement savings that impacted 19.2 million Americans. The package Dole supported extended the 15% rate on capital gains and dividends through 2010 and protected taxpayers from the AMT in 2006. It was estimated that the bill would only save middle income Americans $20 each while the top tenth of 1 percent (whose average income is $5.3 million) would save $82,415. [Vote 118, 5/11/06; National Journal, CongressDaily, 5/12/06; Democratic Policy Committee, 9/26/06 New York Times, 5/5/06; Center for Budget and Policy Priorities, 5/11/06; The Hill, 9/28/06]
And the gold for twisting the truth? [Announcer:] “Kay Hagan!” Visual: Black background with text; gold medal hanging off the words Text: Gold for Twisting the Truth? The press said Hagan’s T.V. ad was overstated, inaccurate Visual: Kay Hagan holding a gold medal (photo-shopped) Text: Hagan’s TV Ad Claims: “…overstated and inaccurate.” – The News & Observer 8/20/08 Event – Twisting the Truth Record – “Inaccurate” TV Ad Claims Medal – Gold	HAGAN FOUGHT DRIVER’S LICENSES FOR ILLEGAL IMMIGRANTS 2008: Local Papers Affirm Hagan Made It Impossible For Illegal Immigrants To Obtain Driver’s Licenses. According to the Raleigh News & Observer Under the Dome blog, Dole’s accusation that Hagan voted to make it easier for illegal immigrants to obtain driver’s licenses is false, and added, “In 2001, Hagan voted to make it harder for illegal immigrants to get licenses, and in 2006 she voted to make it impossible.” The Winston-Salem Journal also commented on the issue, saying Dole “accused Hagan of making it too easy for illegal immigrants to get driver’s licenses – but Hagan actually supported two bills that toughened the standards to get a driver’s license.” [Raleigh News & Observer, 6/22/08; Winston-Salem Journal, 6/22/08; Raleigh News & Observer Under the Dome blog, 6/21/08] 2006: Hagan Voted For A Bipartisan Measure To Prevent Illegal Immigrants From Obtaining Driver’s Licenses. In July 2006, the Associated Press reported that the North Carolina General Assembly had adopted a provision that would require all applicants for a driver’s license to present proof of legal presence through either a Social Security number or a valid visa issued by the Department of Homeland Security. Hagan voted for the provision, which passed with bipartisan approval, 41-6. [Associated Press, 7/27/06; SB 602, Vote 1585, 7/26/06, passed 41-6] 2001: Hagan Voted For Budget That Increased Restrictions For Illegal Immigrants Attempting To Obtain Driver’s Licenses. In September 2001, the Charlotte Observer reported, “The N.C. General Assembly is poised to approve a provision that would make it harder to get a driver’s license by requiring at least two proofs of residency.” North Carolina previously did not require a Social Security number or proof of residency to get a license or ID, and illegal immigrants from other states were traveling to North Carolina to obtain licenses. The measure was attached to the 2001 state budget bill and did not require people to prove that they were in the country legally, but according to the Raleigh News & Observer, included “strict new guidelines for proving residency to get a license,” including requiring applicants to show proof of residency, and also requiring them to have either a Social Security number or a valid taxpayer identification number issued by the Internal Revenue Service. Hagan voted for the budget. [Charlotte Observer, 9/2/01; Raleigh News & Observer, 9/10/01, 11/1/01; Associated Press, 10/3/01; SB 1005, Vote 1047, 9/21/01] DOLE HAS TWISTED THE TRUTH Dole Made “Tenuous Claim” About Hagan’s Record On Illegal Immigrants. The Greensboro News & Record’s “Off The Record” blog reported that Elizabeth Dole’s claim that Kay Hagan made it easier for illegal immigrants to obtain driver’s licenses in 2001 was a “tenuous claim,” and said, “The Dole camp insists it is true because applicants no longer were required to present a social security card to get a driver's license but were allowed by the 2001 change to give a taxpayer ID number, which illegal immigrants easily could obtain. But the catch is, applicants were never denied a driver's license before then for not having a social security number.” [Greensboro News & Record Off the Record blog, 6/26/08] Dole Ad Contained Incorrect Implications. In an “ad watch” on Dole’s most recent television advertisement, the Charlotte Observer noted that the “ad omits some details.” Furthermore, the article noted that, “The ad implies incorrectly that Hagan's campaign sponsored the ad attacking Dole. It also omits any detail on the “Best of Congress” award, and there is no way to quantify her role in helping the state's military bases.” [Charlotte Observer, 8/31/08]
[Announcer:] “Kay Hagan!” … The National Republican Senatorial Committee is responsible for the content of this ad Visual: Kay Hagan with three gold medals, pictured on a “Kay Hagan’s” cereal box Text: More Debt. Higher Taxes. Twisting the Truth.	NRSC SPENT MILLIONS TO RUN VICIOUS ADS UNDER DOLE’S LEADERSHIP Under Dole, NRSC Spent Over $19 Million On Negative Attacks. During Dole’s tenure as head of the National Republican Senatorial Committee during the 2006 election cycle, the NRSC’s independent expenditure spent $19,233,051.64 on attacking Democratic candidates. [Federal Election Commission, Accessed 8/19/08] NRSC Ads Were Called “Vicious.” During the Republican primary race in Rhode Island, attacks between the two candidates were perceived as intense and overly negative. Victor L. Profughi, a retired political science professor at Rhode Island College and a pollster who has studied the state’s politics for 40 years, commented, “I’m searching for the right word – vicious. I’ve never seen a race that was anything like this in Rhode Island.” [New York Times, 9/10/06] NRSC Funded By Special Interest Money. According to the Center for Responsive Politics, the National Republican Senatorial Committee receive millions from special interest groups in the 2006 cycle, including $1.2 million from the oil and gas industry, $1.2 million from the insurance industry, $800,000 from the pharmaceutical and health products industry and nearly $800,000 from lobbyists. [Center for Responsive Politics, 9/2/08]