More transparency demanded by state agency

Tennessee’s election finance registry is requiring the group to fund Nashville’s pro-transit campaign with the state and disclose its donors.

The Tennessee Registry of Election Finance sent a letter to the Nashville Moves Action Fund on Tuesday directing it to register as a referendum committee before Election Day and file financial disclosure reports as soon as possible.

Meanwhile, the group the Nashville Moves Action Fund funnels its money into has filed a new disclosure report showing the fund poured more than $2.1 million into the campaign for Mayor Freddie O’s “Choose How You Move” transportation plan ‘Connell.

The pro-transit campaign’s website calls on donors to donate money to the Nashville Moves Action Fund.

The source of most of the pro-transit money is still unknown, but $190,900 of it came from political action committees, known as PACs, which are required to disclose who they give money to. Those PACs are owned by corporations, law firms, unions and other groups, but most of the money came from two architecture and design firms.

Residents will decide Nov. 5 whether to create a dedicated funding source for public transportation improvements such as expanded bus routes, traffic light updates and new sidewalks through a new half-cent-on-the-dollar sales tax increase, bond proceeds and other funding sources. The plan is estimated to cost $3.1 billion.

The state election finance watchdog is ordering the group to disclose its donors

The pro-transit campaign, which can be found online at hownashvillemoves.comregistered with the state election finance registry under the Green Light for Nashville PAC. That group has made financial disclosures, but the source of the money is hidden.

Green Lights for Nashville has shown that all of its cash donations came from one place: Nashville Moves Action Fund, a 501(c)(4) nonprofit organization. These types of nonprofits are usually not required to identify their donors, allowing groups to avoid campaign finance disclosure laws.

But the Tennessee Registry of Election Finance has determined that the group’s activities — namely raising money from PACs and soliciting money directly through its pro-transit website — meet the definition of a political campaign committee, also known as a referendum committee.

The letter sent Tuesday to Nashville Moves Action Fund treasurer, Nashville attorney Ben Gastel, orders the group to register as a referendum committee and file its overdue financial disclosure reports.

“Nashville Moves Action Fund must submit the required registration form no later than November 5, 2024. … If the organization fails to submit the required registration form, this matter will be referred to the Registry of Election Finance on January 23 (2025) meeting for further action,” the letter said.

Lauren LaRue Topping, general counsel for the Bureau of Ethics and Campaign Finance, said the group had not responded to the letter as of Wednesday afternoon.

The Tennessee Registry of Election Finance first contacted Green Lights for Nashville in a letter on Oct. 15, urging them to address the transparency issue as well as some other issues with their initial financial disclosure.

The group changed its financial disclosure but did not register the Nashville Moves Action Fund as the state urged them to do.

Topping said in an Oct. 29 email to The Tennessean that transit advocates “have thus far taken the position that the Nashville Moves Action Fund should not be required to register. They have not complied with our October 15 letter based on this position.”

Gastel did not respond to multiple requests for comment sent this week. Green Light for Nashville PAC Treasurer Jeff Morris also did not respond to an emailed request for comment on Wednesday.

Political organizations report giving $190,900

So while no one knows where most of the money given to the Nashville Moves Action Fund came from, some of it was donated by other PACs.

As of Wednesday afternoon, PACs reported in financial disclosures that they were donating a total of $190,900 to the Nashville Moves Action Fund. The architecture and engineering sector brought in the most money, which is perhaps not surprising given the prospect of future projects that come with the plan’s approval. Big name PACs Gresham Smith and HDR, Inc. donated $50,000 each.

Law firms were also major donors to the transit campaign, followed by labor unions — the local pipefitters, ironworkers, service workers, carpenters and firefighters who all donated to the fund — and consulting firms.

UPS also appeared to be a supporter of the plan, with its PAC donating $5,000 to the pro-transit effort.

A complete list of all PAC donations found with the Tennessee Registry of Election Finance can be found in the table below.

Transit advocates maintain a big lead in funding, new documents show

Although the exact source of the money is unknown, the backers of the transit plan have much more of it than the other party.

New financial disclosures filed Tuesday by Green Lights for Nashville and the plan’s main opposition organization show that the “for” campaign has so far outpaced the “against” campaign by more than $2 million.

The Committee to Stop an Unfair Tax reported that it received just $6,870 between October 1 and 26, a significant drop from the group. fundraising from late July to September of $64,300that already paled in comparison to the pro-transit funding.

In anti-transit spending, the group has ramped up efforts and expanded beyond yard signs and digital advertising. The Committee to Stop an Unfair Tax spent $38,155.16 and $31,000 on a direct mail campaign through Fox Printing in Hermitage in October.

Green Lights for Nashville reported receiving $1,408,217.76 in October, and an amended campaign filing — made on behalf of the state’s Election Finance Registry — shows the group received $707,122.75 from late July through September received. $1.9 million of that was cash from the Nashville Moves Action Fund, while the rest came in the form of volunteer work or material donations to the group.

Green Lights for Nashville has spent the vast majority of its expenses, more than $1.8 million, on broadcast/video advertising.

Evan Mealins is the justice reporter for The Tennessean. Contact him at [email protected] or follow him on X, formerly known as Twitter, @EvanMe A left.