Lexington Mayor Jim Gray Is A Breath Of FRESH Air. Read More.

Mayor won't seek donations to repay nearly $900,000 he loaned his campaign
By Beverly Fortune

Lexington Mayor Jim Gray said Monday that he will not raise money to repay the nearly $900,000 loan he made to his election campaign last year.

"My campaign loan is a contribution," Gray said. "I will not be raising money to repay the campaign loan."

A campaign account with the Kentucky Registry of Election Finance will be closed after all bills are paid, he said.

"I don't particularly like it," Gray said of writing off the loan. "But I love my job, and I want to remove any perception of conflict that might occur if I were distracted by fund-raising at this important time when the city has lots of problems that we need to address and tough decisions that I'll need to be making."

Including contributions from individuals and political action committees, Gray had close to $1.8 million to spend in the primary and general election campaigns, more than anyone else has spent in a local race.

He defeated the incumbent, Jim Newberry, in the Nov. 2 election.

Financial reports that Newberry filed with the Registry of Election Finance showed he raised about $1.2 million in the primary and general-election campaigns.

Gray is a millionaire construction company executive who formerly was the city's vice mayor. He is on a leave of absence from Gray Construction, his family's business, while he is mayor.

He lent his campaign $100,000 in the primary and $380,000 early in the general election campaign. On Oct. 19, two weeks before voters cast their ballots, Gray lent an additional $200,000. Two days later, he put in $184,000 more. Then, two weeks after the election, came a final loan of $15,000.

When the election was over, the Gray campaign had a debt of $779,000, all in loans owed to the candidate, according to finance reports.

Newberry's report showed $2,000 on hand and no debt.

In his two other bids for office, Gray also lent his campaign money. When he ran for mayor in 2002, he lent $400,000. In the race for a council-at-large seat in 2006, he contributed $100,000.

Newberry, when asked about Gray absorbing the campaign donation and outspending him, said, "I have nothing I wish to say about that."

Read more: http://www.kentucky.com/2011/03/21/1679980/jim-gray-wont-seek-donations-to.html#ixzz1HIWdWASl