Nuñéz solicited Verizon money after bill passed

Assembly Speaker Fabian Núñez solicited $120,000 in charitable contributions from Verizon shortly after pushing successful legislation last year that is expected to bring billions to telecommunications firms.

Less than three months after Gov. Arnold Schwarzenegger signed Núñez's hotly contested bill, Verizon spread holiday cheer to seven of the Assembly leader's designated charities in amounts ranging from $5,000 to $30,000.

The contributions were recorded in state disclosure documents on the same day, Dec. 7, weeks before the new legislation would allow Verizon, AT&T and other telephone firms to obtain statewide franchises to offer cable television programming.

"It creates the appearance of a payoff," said Tracy Westen, chief executive officer of the Center for Governmental Studies, a political watchdog group in Los Angeles.

"It's one thing to give it ahead of time. It's another thing to give it afterward," Westen said. "It looks like a quid pro quo. I'm not saying it is, but that's the appearance, unfortunately."

Steven Maviglio, Núñez's spokesman, said there was no connection between the donation and the legislation. Verizon is one of many corporations that give to charities during the holiday season, partly as a tax writeoff, he said.

"Any politician who doesn't work hard to steer those funds to his district ought to be impeached," Maviglio said.

"His (Los Angeles) district is one of the poorest in the state, and if he can put some toys in kids' hands, he'd do it full time."

Verizon donated $30,000 to Southwest Voter Registration and $5,000 to Jovenes Inc., both for youth outreach; $25,000, Central American Resource Center, domestic violence; $10,000, Arte Calidad Cultural Institute, festival; $10,000, Salvadoran American Legal and Education Fund, scholarship program; $10,000, Salesian Boys and Girls Club, literacy program; and $30,000 to Collective Space Inc. for a literacy program.

The Los Angeles Times reported today that in February 2005, the California secretary of state suspended Collective Space for failing to file certain information, including a list of officers. In November 2005, the Franchise Tax Board suspended the charity for failure to file federal tax returns.

The Times reported that Núñez directed the donations to the charity, and his staff told the charity where to spend the money – an arrangement that experts said may have violated federal tax laws.

Núñez told the Times he did not learn that state authorities had suspended the charity until the newspaper asked about it recently.

No favors are given to Verizon or other firms that donate to Núñez's causes, Maviglio said.

Blue Cross, Chevron and a pharmaceutical trade group, which gave to Núñez's charities last year, were opponents of his health care or energy bills this year, he said.

"Providing a gift to a worthwhile charity on behalf of the speaker and suggesting there is special treatment is no different than suggesting a Bee advertiser receives favorable editorial treatment," he said.

The flap over Verizon's donations is not the first involving Núñez recently.

The Los Angeles Democrat's campaign disclosure statements list tens of thousands of dollars in overseas travel and luxury purchases, and recently The Bee reported that his wife, Maria, was being paid a six-figure salary by a nonprofit group funded almost entirely by hospitals with a massive financial stake in Núñez's efforts to expand health care.

Jon Davies, a Verizon spokesman, denied that the $120,000 to Núñez's charities – far more than would be allowed as a campaign contribution – was a thank-you to the lawmaker for presiding over months of controversy, debate and negotiations over Assembly Bill 2987.

Núñez's legislation, a major boon for the telecommunications industry, benefited from a multimillion-dollar advertising campaign and an all-star team of Capitol lobbyists bankrolled by Verizon and AT&T.

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