Rene Gonzalez is running for Portland City Council against Jo Ann Hardesty. She demands a waiver on a $77K fine

According to the candidate, a highly discounted downtown office space received from a wealthy backer isn’t in violation of city campaign finance rules.

PORTLAND, Ore. — A Portland City Council candidate has formally asked elections officials to waive a $77,000 fine, arguing that a deeply discounted downtown office space he received from a wealthy backer It doesn’t violate the city’s campaign finance rules.

Rene Gonzalez has been renting the space in downtown buildings owned by Jordan Schnitzer since May for $250 per month.

Susan Mottet, Portland’s Small Donor Elections director, has stated that the office and two parking spaces have a fair market value of $6,900 per month. She calls the discount an illegal in kind contribution.

RELATED: Council hopeful Rene Gonzalez fined $77K for violating rules of Portland’s small donor program

Gonzalez is a lawyer who will challenge incumbent Commissioner Jo Ann Hardesty. He is taking part in the Small Donor Elections Program, which is a city initiative to eliminate big money from politics. For his City Council race, he has received more that $370,000 from the small donor program.

According to the program rules candidates get a 9-to-1 match for each $20 that they receive from a donor. This means that a $20 donation can be transformed into $200 by receiving $180 from the City. The candidates also agree not to accept donations from businesses for time, goods, or services.

Gonzalez Campaign sent Tuesday’s letter to the City claiming that downtown rental rates are grossly exaggerated. The Oregonian/OregonLive reported.

“Once upon an time, in happier years, this amount might be accurate in that it would be paid by a tenant willing to pay it,” the letter said.

RELATED: ‘He did us a favor’: Schnitzer says the Rene Gonzalez campaign fine is a product of downtown Portland vacancies

Gonzalez campaign claimed the space it is renting has been vacant since 2020. They also object to claims made by the city that the discount office space is an in-kind contribution, which exceeds $5,000.

Mottet also made a mistake because listing alone is not enough to determine fair market, as the campaign claimed.

Mottet stated that the city will respond to Gonzalez’s challenge in the next few days.

RELATED: Man smashes windows with street sign pole at multiple businesses in downtown Portland

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