Thursday, December 1, 2005 Edition
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Guest Commentary : Wheeling, dealing


By Kent Carlson

editor@dmcityview.com

Knapp has been good to politicians, and politics has been good for Knapp

Money is the lifeblood of politics. For Iowa Democrats, Bill Knapp has been administering transfusions for nearly five decades. It started long ago when he was a fledgling real estate mogul. Knapp is a practical guy, and he realized practically everyone holding a political position in Central Iowa that could do him some good was a Democrat. Befriending Gov. Harold Hughes provided Knapp the best access to the political inner circle money could buy.

Hughes was a practical guy, too. He grew up a Republican until he was told he would have better luck in politics as a Democrat. It was a good idea. After his term as governor, Hughes went on to the U.S. Senate and flirted with a presidential run. Hughes staff member Bonnie Campbell also worked for Sen. John Culver, and later Bill Knapp. In fact, Knapp hired her lobbyist husband Ed Campbell, as well. In 1985, Campbell earned a law degree from Drake, and thanks to a great deal of support from Knapp, she became Iowa's first female Attorney General within seven years. If you're Bill Knapp, having a friend in the AG's office is a good thing.

While stories of Knapp land deals are legendary in real estate circles, published accounts of his escapades are rare. For decades Knapp's real estate company was one of The Des Moines Register's largest advertisers. He still celebrates his birthday with the former CEO and publisher. And retired Register columnist Walt Shotwell wrote Knapp's biography.

So when an exposŽ revealing the behind-the-scenes wheeling and dealing of land eventually purchased by the DOT made the front page, it caught a lot of people's attention. News that Knapp and partner Denny Elwell realized 866 percent profit on the deal also pissed off a lot of taxpayers. But keep your eyes open. In the past, when the Register has written something remotely unflattering about Knapp, it is followed up with the obligatory "Knapp the fabulous philanthropist" story.

There is no doubt that a portion of the success people like Bill Knapp enjoy is attributable to the weakness of the politicians they associate with - politicians who know up front what is expected of them from their financial benefactors, politicians like Tom Vilsack, Chet Culver and Mike Blouin.

No individual has given more money to Tom Vilsack than Bill Knapp. According to "Follow the Money" (followthemoney.org), Vilsack has received $107,000 since March 2003 from his benefactor. Any idea why a developer gives a politician $107,000 after announcing he or she isn't going to run, and then follows it up with another $50,000 for Vilsack's Heartland PAC?

Chet Culver's election committee is co-chaired by Bill Knapp and Bonnie Campbell, while Ed Campbell serves on the "Leadership Team." Culver's Finance Committee includes Bill Knapp's brother, Paul, his nephew, Bill II, his lawyer Gerry Neugent, and Steve Wandro, the brother of the embattled former state transportation director Mark Wandro and Vilsack appointee who is at the center of the wreaking Ankeny land deal. "To raise $652,000 this early is unprecedented in Iowa Democratic politics," Knapp said recently. So is it any wonder Culver says Knapp "has done incredible things for the Democratic Party"? Perhaps, but as the recent controversy suggests, Knapp has made incredible profits doing incredible things for Iowa's Democratic Party.

Vilsack appointed democratic gubernatorial candidate Mike Blouin director of the Iowa Department of Economic Development in 2003. Blouin's department had $700 million in Iowa Values Funds to distribute. Coincidentally, Bill Knapp raised $645,000 to subsidize Blouin's salary and others in the department. Vilsack decided $50,000 would be used as a bonus for Blouin. You may remember this information was gleaned from Vilsack only after threat of a lawsuit. When Charlie Smithson, executive director of the Iowa Ethics and Campaign Disclosure Board, got wind of the deal, he couldn't believe anyone was stupid enough to give the idea a second thought.

But if you think there will be a thorough investigation of the Ankeny matter, don't hold your breath. Iowa Democrats have few people more devoted to their cause than Attorney General Tom Miller. And if that isn't enough cause for concern, Miller worked closely with Mark Wandro's brother in the prosecution of tobacco companies. So even if Vilsack grew a set of balls and asked for an investigation of the unseemly affair, it's likely the matter would be snuffed out.

Knapp has never been accused of being a political idealist. He's a pragmatic capitalist. Though his legacy will take a hit, Knapp will bulldoze his way through the latest controversy just as he did a century-old building on the Historic Register off Court Avenue. And while tapping Knapp may seem like a good idea to cash-starved Democratic politicians, they now have some explaining to do when his name pops up on contribution reports. Because, in light of recent events, having Bill Knapp in your corner may say more about a candidate than any political stump speech. In fact, it may be all a potential voter needs to know.

I guess we'll see who spills blood in 2006. CV

After 46 years, historian/activist/political observer Kent Carlson fled big, bloated municipal and county governments that demonstrate little respect for the needs and desires of individual taxpayers, and the apathetic taxpayers that enable them.

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