Pete Coors gives big bucks to organization targeting Dems

Trailhead Group catches flak for tactics, contributors

Lynn Bartels, Rocky Mountain News

Friday, May 19, 2006

Republican Pete Coors, who lost his bid for a U.S. Senate seat in 2004, has chipped in another $100,000 to a GOP political group targeting Democrats for defeat in November.

So far, Coors has donated $200,000 to The Trailhead Group, an organization under fire by Democrats for its tactics and its contributor list.

Trailhead collected $552,500 in the first three months of this year, with $290,000 coming from the Republican State Leadership Committee, a national group aimed at getting GOP members elected to legislatures and constitutional offices.

Since it was formed last year, Trailhead has raised more than $900,000, according to federal tax records.

Gov. Bill Owens, oilman Bruce Benson and Coors, the beer baron who was a casualty of Democratic victories in '04, helped form the group.

Democrats, including former state party chairman Tim Knaus, blasted Trailhead's donors, noting the group is funded by a large number of oil-and-gas contributors.

Knaus, who formed his own political group, Clear Peak, to counter Trailhead, was particularly critical of Trailhead's $5,000 contribution from Golden Rule Insurance in Illinois, which promotes health-savings accounts.

He accused the company of being a "major player in an extremist campaign to dismantle the Medicare system."

"No wonder it's called Golden Rule Insurance," Knaus said. "They have the gold and they're trying to make rules that decimate health care for seniors.

"Gov. Owens should be ashamed, and he should instruct Trailhead to return Golden Rule's donation immediately."

Dan Hopkins, Owens' spokesman, pointed out that Trailhead's donor list is public, which can't be said of all Democratic groups.

Republicans continually point to a mystery organization called Research and Democracy that paid for mailings last year for Democratic lawmakers. The donors have been kept secret.

Republicans formed Trailhead to counter the efforts of three wealthy Democrats who helped Colorado Democrats score unprecedented victories.

"In 2004, Republicans got caught flat-footed, and we're not going to let that happen this time," said Alan Philp, director of Trailhead.

The group is a 527, named for the section of the federal tax code it falls under, so it can raise unlimited money from any kind of donor.

Critics say Trailhead has been disruptive and disingenuous, targeting Democrats with radio ads and automated phone calls that distort the facts.

"They seem to be a rogue group," said Pat Waak, chairwoman of the Colorado Democratic Party.

"I haven't seem them do anything positive about Republicans, and you'd think with President Bush's poll ratings, they might want to try to be positive."

Other donations to Trailhead during the last quarter include:

• $100,000 from Joel Farkas, a commercial developer and an Owens appointee to the Colorado Commission on Higher Education.

• $25,000 from Jack Overstreet, an oil and gas executive and an Owens appointee to the Auraria Board of Directors.

• $20,000 from Fred Hamilton, an oil and gas executive.

• $12,500 from Eaton Metal Products, a supplier to oil and gas. Last year, a company called T&C Development, which lists the same address as Eaton, donated $10,000 to Trailhead.

bartelsl@RockyMountainNews.com or 303-892-5327