Roth Sponsored Roadway, Bridge To Campaign Official's Arcadia Tree Farm; Land Value Soars

Remember the controversy over the roadway that passed by property owned by a maximum donor to the campaign of the Oklahoma County commissioner who sponsored the road project?

Today, there's certain controversy over yet another Oklahoma County road, and a new bridge, that provides access to an Arcadia tree farm owned by a co-chairman, fundraiser and huge personal donor to the campaign of former Oklahoma County Commissioner Jim Roth, now a member of the Corporation Commission seeking election in his first statewide campaign.

That controversy is certain to focus attention as well on what appears to be a close and continuing alliance between Roth and the owner of the tree farm, a man who hired Roth's campaign consultant as a Capitol lobbyist and whose primary business empire Roth helps regulate as a member of the Corporation Commission.

The Alliance Between Regulator And Regulated

Records examined by The McCarville Report Online show the following:

1 - In June 2005, minutes of a Board of County Commissioner's meeting show, County Commissioner Roth, a Democrat, began the process of sponsoring improvements on a portion of Anderson Road just south of Old U. S. (now State) Highway 66 in rural Arcadia, and the construction of a new bridge over Deep Fork Creek. The then-existing bridge was in disrepair and, locals say, had been that way for more than a decade; because the road (which deadends to the south) had no through traffic, a source relates, previous Commissioner Beverly Hodges did not push to have the bridge rebuilt and the roadway had been essentially unused. Oklahoma Department of Transportation records indicate the project cost $705,000; ODOT was sent final paperwork on the project in November 2006, the County Commission's meeting minutes indicate. Oklahoma County authorized $50,502 in engineering and other fees associated with the project, the minutes show. In addition, $36,000 was paid for easements to Stanley Kolar of Arcadia. His trust owns five parcels that partially abut Anderson Road, records show, including a 1940-built home listed at 13000 East Highway 66 with a 2008 fair market value affixed by the county assessor of $157,700, a $12,000 increase over 2007.

2 - Located on the west side of that stretch of Anderson Road today is the Deep Fork Tree Farm, owned by Chesapeake Energy Corp. leader Aubrey McClendon. McClendon also owns the nearby Pop's iconic restaurant. The tree farm is south of the restaurant on the west side of Anderson Road. The tree farm is bordered on the west by Westminster Road near the restaurant. Both entities, Arcadia officials have said, have increased tourism and tax collections for the city. The value of the tree farm land has skyrocketed in the year since the road improvements were made and the bridge was constructed. Oklahoma County Assessor Leonard Sullivan's office placed its fair market value last year at $60,100. By the end of March this year, it was valued at $449,362.

3 - McClendon, known for his generosity to political candidates in both parties and to public issue causes, donated $5,000 to Roth's 2006 campaign for the county commission.

4 - In 2007, Roth was named to the Corporation Commission by Governor Brad Henry to replace Republican Denise Bode, who resigned, following an unsuccessful bid to win the Republican nomination for Congress in the 5th District, to become CEO of McClendon's American Clean Skies Foundation in Washington. The commission regulates the energy industry, of which McClendon's Chesapeake Energy Corp. is a part. Among those who supported Roth for the appointment were McClendon and Capitol lobbyist and campaign strategist Pat Hall, former Democratic Party chairman and a Roth adviser who was hired as a Chesapeake lobbyist after Roth was appointed.

5 - After McClendon became a part of the ownership group headed by Clay Bennett that purchased the Seattle Sonics professional basketball team, he and another owner came under fire from homosexual groups in Seattle for donating to an anti-gay marriage group in 2004. Roth, who is openly gay, engaged in an email exchange with McClendon offering to make a public statement defending McClendon from attacks by Seattle's gay community or by Democrats in the Washington Legislature. The emails were disclosed in court in Seattle during the legal battle over relocation of the team to Oklahoma City. Roth himself hinted at the close alliance he shares with McClendon in a 2007 letter he subsequently wrote to the sports editor of the Seattle Times, in which he said, "From the beginning, Clay and Aubrey initiated a genuine kindness and friendship toward my partner and me. They have publicly and consistently supported me, even pushing back when right-wing attacks have occurred. Their support is unconditional and has helped improve the overall climate for expanding tolerance here at home."

6 - In 2007, McClendon funded a campaign against the proposed Red Rock coal-fired power plant. Two of the state's largest utilities, American Electric Power-Public Service Company of Oklahoma and Oklahoma Gas and Electric Co., wanted to build the plant. Roth sided with McClendon and voted to deny pre-approval of the plant, which killed the project. He was joined in that vote by Republican Commissioner Jeff Cloud. The vote came about the time the finishing touches were being completed on the Anderson Road improvements. Given Roth's alliance with McClendon, should he have abstained from voting on the project McClendon so opposed? The question is certain to be asked.

7 - When Roth formed his campaign committee to seek election to the Corporation Commission seat to which Henry appointed him, he named McClendon, and Bennett, as co-chairmen and the two have since hosted fundraisers and signed fundraising letters for Roth.

8 - McClendon is himself a maximum donor. As has been reported by TMRO, KTOK, the Tulsa World, and The Oklahoman, McClendon's Chesapeake associates joined him in pouring money into Roth's campaign. Many of the donations from Chesapeake employees are in the same amount and given on the same day. The donations have pushed Roth's fundraising total to more than a million dollars and more than one source says about half that sum came through the efforts of McClendon and his business associates.

See Video At http://www.youtube.com/watch?v=Vl9QMupUxrU

Roth's critics are certain to cite the series of events that demonstrate the connection between Roth and McClendon: June 2005: Roth initiates road and bridge projects that benefit McClendon; 2006: McClendon donates $5,000 to Roth's campaign for the county commission; March 2007: Roth defends McClendon in letter to Seattle newspaper, citing "unconditional support" from McClendon; September 2007: Roth votes against Red Rock power plant proposal opposed by McClendon; May 2008: Roth names McClendon as co-chairman of his campaign for the Corporation Commission; 2008: McClendon, his company political action committee and numerous employees donate more than $100,000 to Roth's campaign; McClendon is said to have helped raise more than half a million dollars for the campaign.

The latest numbers tallied by the Tulsa World show that 104 Chesapeake employees have contributed $100,675 to Roth, including 82 who have given Roth $1,000 each, often on the same day, Ethics Commission reports show.

McClendon, chairman and CEO of Chesapeake, gave a maximum contribution of $5,000, as did Energy for Oklahomans, a political action committee for company employees.

Headquartered in a sprawling complex of new buildings in northwest Oklahoma City, Chesapeake is Oklahoma's largest natural gas producer and the third-largest overall producer of natural gas in the United States.

Last year, McClendon funded a massive advertising campaign against the proposed Red Rock coal-fired power plant. Roth and Cloud voted to deny pre-approval of the plant, which killed the project. Roth said the Red Rock debate was not about which fuel should be used to generate electricity. He said it was about whether ratepayers should be asked to pay for the costs of the plant before it was put into operation.

At no time during discussion on the issue, or in interviews about it, did Roth disclose his multiple connections to McClendon.

"When I stood up to the utilities and said no to their $2 billion plan and advocated using Oklahoma fuel for Oklahomans, I'm sure that it did attract support of employees and businesses here in Oklahoma because they know I'm working for Oklahoma," Roth told the World's Tom Lindley in a story co-written by Mick Hinton.

OG&E attorney William Bullard noted Chesapeake's involvement in the case. Chesapeake is a member of the Quality of Service Coalition, which has presented information in the case.

"When a party has an attorney in the proceeding," said Bullard, "does not bother to put one witness on under oath to be cross- examined, but elects to spend several hundred thousand - if not more - dollars throwing out inaccurate and wildly inaccurate information in an effort to influence this commission, we need to think about, are there ways to discourage that."

Were proponents of the Red Rock plant aware of the Roth-McClendon alliance at the time he voted against them and for McClendon? A call to Bullard has not yet been returned.

State and federal law prohibits corporations from contributing to candidates, although individual employees can, as long as they are not coerced into giving and their giving is not carried out by the corporation itself.

Marilyn Hughes, executive director of the Ethics Commission, told the World that when employers start specifying amounts and to whom, it might appear that an employee's job is dependent on making a contribution.

"I do think that giving the exact amount, giving it on the same day to the same candidate would be facts that would have to be considered to determine whether there was coercion," she said.

Tom Price, Chesapeake's vice president of communications, told the World that his corporation is careful to follow the law regarding campaign giving: "I am extraordinarily proud of the fact that our employees get involved in the political process," he said.

Sources: Minutes of numerous meetings of the Oklahoma County Board of Commissioners 2005-2007; Oklahoma County Assessor Leonard Sullivan's office; Oklahoma Secretary of State's Office; The Seattle Times; The Oklahoman; the Tulsa World; Oklahoma Ethics Commission; Oklahoma Department of Transportation; Federal Highway Administration; The Journal-Record; Roth2008.Com.

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