GOP Lincoln Club Spreads the Wealth : Politics: Orange County financiers widen scope to support Republican candidates statewide. They hope cash will help party gain control of Legislature, Congress.

This is a club of wealthy people who think big.

Its members include those who once looked at Orange County’s citrus groves and saw an opportunity to create cities. Others once eyed a young spokesman for General Electric named Ronald Reagan and saw the next governor of California.

Now, leaders of the Republican Lincoln Club of Orange County envision a new landscape in American politics.

It is the byproduct of a bad economy, anger at government and newly reapportioned political boundaries. Combined, they believe it will give the GOP its best opportunity in decades to wrest control of the legislative branches in Sacramento and Washington from the Democrats.

It’s a chance they don’t want to miss. So in a break with its past focus on larger races, the Lincoln Club is planning to export at least $250,000 in Orange County contributions to Republican candidates throughout California running for the state Assembly and Congress.

Combined with individual contributions from the club’s 300 members, officials said Orange County is likely to generate up to $2 million, much of it going to two dozen Republican candidates in California, all but one outside Orange County.

“We need a fresh look, a fresh vision,” said Gus A. Owen, the club’s president. “That is why we need a Congress that will work with (President Bush) and a Legislature that will work with (Gov.) Pete Wilson.”

Since it was founded in Orange County 30 years ago by a group that included such famous Orange County names as J. S. Fluor and Walter Knott, the Lincoln Club has been a forum for the business elite to participate in politics.

The club grew out of the ashes of the 1962 election, when Richard M. Nixon lost a bitterly fought battle for California governor to Democrat Edmund G. (Pat) Brown Sr.

The founders concluded that the campaigns for governor and other offices were so acrimonious that they split the GOP, wasted money on intraparty primaries and left Republican candidates vulnerable to Democrats. Their answer was to treat politics more like they ran their businesses--they would act as corporate headhunters, recruit candidates and back their choices with the necessary financial investments.

Today, the Orange County Lincoln Club has inspired eight spinoff clubs throughout the state and it generates more money for Republican campaigns than any other club in California.

But this year’s focus on state legislative and congressional races beyond Orange County’s borders is a departure for the group. Traditionally, it has supported only about three or four legislative candidates in an election year, giving most of its attention to statewide or national issues and candidates.

For the past several weeks, however, the club’s leadership has been involved in strategy meetings with top state and national political managers, analyzing volumes of data from private polls, past election results and candidate profiles.

Last month, the club held a high-level meeting at the Irvine Hyatt for top GOP fund-raisers from around the state to hear a campaign battle plan from Republican leaders in the Legislature and governor’s office.

The participants were given pie charts, bar graphs, district maps and campaign handicaps.

The strategists said a district with more than 40% Republican registration is considered winnable. And according to the charts, 42 Assembly seats now meet that standard--one seat more than the Republicans would need for a majority in the 80-member Assembly.

Before reapportionment, only 27 Assembly districts met the GOP criteria for winning.

Still, the group was told it will be a tall order to secure control of the Legislature or California’s congressional delegation.

In the Assembly, Republicans would have to keep their 33 seats and win eight more to gain control. In Congress, Republicans hold just 17 of the state’s 45 seats.

The good news for Republicans is that seven new House seats will be added to the California delegation with November’s election, and because of the reapportionment that followed the 1990 Census, many are located in predominantly Republican areas.

In Congress, the Lincoln Club’s efforts will be coordinated with a Washington-based Republican organization called GOPAC, which is targeting House races nationwide. GOPAC is headed in Washington by Rep. Newt Gingrich (R-Ga.), and Owen is the group’s California director.

Owen said GOPAC is hoping to generate $1.4 million--about $100,000 for each of up to 14 California Republican congressional candidates. The Orange County Lincoln Club money will be part of that effort and other clubs statewide are expected to participate.

In the Assembly, the Lincoln Club’s contributions will also be coordinated with a statewide effort organized by the Republican caucus in Sacramento called “Opportunity 92.”

“I think we’re going to come in just short of being a majority,” said Assemblyman Gil Ferguson (R-Newport Beach). “But we’re going to be so strong that things will never be the same as they were before.”

Meanwhile, Democrats say they are confident of their grip on the Assembly and Congress, especially since polls show enthusiasm being generated for the top of the ticket by Senate candidates Barbara Boxer and Dianne Feinstein, as well as presidential nominee Bill Clinton.

Assembly Speaker Willie Brown (D-San Francisco) has predicted that Democrats will hold all their seats in the Legislature and possibly gain a few.

With many of the races just beginning to heat up, it is difficult to gauge the impact of Orange County’s contribution. The money, which is still to be released, is certain to help Republican candidates. But it is not likely to be decisive, especially since an infusion of Republican money can often trigger a counter donation from major Democratic organizations.

“There is an impact,” said John Burton, campaign manager for Republican challenger Dick Rutan’s attempt to unseat Rep. George E. Brown Jr. (D-Colton). “Being targeted means that everybody is busy. You know Brown is busy. And you can expect it to be a hot race.”

But even without winning control of the Assembly or the state’s congressional delegation, Lincoln Club leaders are convinced that Republican issues will gain stature if the party wins a few more seats.

“We are going to do the best we can to pound home the ‘Rule of 41’--that is, you have 41 members in the Assembly and you rule it,” said Buck Johns, a developer and member of the Lincoln Club’s board of directors.

While the state legislative and California congressional races are a priority, the Lincoln Club will also provide support to its two Republican U.S. Senate candidates--John Seymour and Bruce Herschensohn. And it is donating about $133,000 in a campaign to encourage Orange County Republicans to vote, which is crucial to the Senate and presidential races.

But the club’s focus on local races is especially significant because--as Johns acknowledged--it will mean less attention on the presidential race just as Bush is struggling in California, a crucial state for Republican hopes of retaining the White House.

The Lincoln Club has endorsed Bush. But strains within the club have been evident. Some supporters have complained about the President’s lack of performance on the economy.

The disunity surfaced recently when two prominent Lincoln Club members--developer Kathryn Thompson and Western Digital Corp. Chairman Roger W. Johnson--announced their support for Democrat Bill Clinton.

The split was particularly sensitive because Thompson is married to Owen, the club’s president, and she was a member of the club’s board of directors. Thompson, who is also a former member of Bush’s elite Team 100 organization of top contributors, resigned her position on the Lincoln Club board when she announced her support for Clinton.

Lincoln Club officials said the focus on local races was not caused by a lack of support for Bush. Instead, in this strange election year, they said political coattails are reversed--this time Bush could benefit from the Republican success in local races and the club’s effort to generate voters there.

“If we get the Assembly, we turn around California,” Johns said. “We are not saying that we are ignoring the presidential race, but every time we turn out a Republican vote, they’re going to start at the top of the ticket.”

While control of the White House is important, Owen said that Republican goals for smaller government are largely dependent on the lower chambers in Washington and Sacramento.

“I am critical of Bush and Quayle,” said Owen, also a prominent developer. “But they are only two people and they cannot get things through alone.”

Lincoln Club’s Target Races

In hopes of increasing GOP representation in the Legislature and Congress, the Lincoln Club of Orange County plans to send contributions to about two dozen races throughout the state.

In the Assembly, Republicans hold 33 seats and Democrats have 47. The races listed here are among those considered priorities by state Republican leaders, although Lincoln Club officials did not identify the specific races to which they will contribute.

In California’s congressional delegation, Republicans hold 17 of the 45 existing seats. Seven new seats will be added in November’s election. The races listed here were identified by a Washington-based Republican political action committee called GOPAC and are expected to receive contributions from Orange County’s Lincoln Club.

PROMINENT MEMBERS OF THE LINCOLN CLUB

* Gus A. Owen: president, Owen Properties

* George Argyros: chairman and CEO, Arnel Development Corp.

* Gary Hunt: executive vice president, Irvine Co.

* John C. Flanigan: California director of President Bush’s campaign

* Donald Koll: developer; chairman and CEO, Koll Co.

* Athalie Clarke: Irvine Co. heiress

* William Lyon: developer; president, William Lyon Corp.

* Peter Muth: chairman and CEO, Orco Block Co.

* Rick Muth: president, Orco Block Co.

* Stephen Knott: general partner, Knott’s Berry Farm

* Anthony Moiso: president, Santa Margarita Co.

* Karl O. Bergheer: president, Bergheer Co.

* Buck Johns: president, Inland Group

CONGRESSIONAL TARGETS

3rd District: Sacramento area

48% Democratic; 39% Republican

Incumbent Democrat Vic Fazio vs. Republican H. L. Richardson, a former state legislator

6th District: Marin County area

53% Democratic; 32% Republican

Open seat; Democrat Lynn Woolsey vs. Republican Assemblyman William J. Filante

11th District: San Joaquin area

51% Democratic; 39% Republican

Open seat; Democrat Patricia Garamendi vs. Republican Richard Pombo

14th District: South San Francisco Bay area

47% Democratic; 37% Republican

Open seat; Democrat Anna Eshoo vs. Republican Tom Huening

19th District: Northern San Joaquin Valley

47% Democratic; 43% Republican

Incumbent Democrat Richard H. Lehman vs. Republican Tal Cloud

24th District: San Fernando Valley

45% Democratic; 43% Republican

Incumbent Democrat Anthony C. Beilenson vs. Republican Assemblyman Tom McClintock

36th District: Santa Monica Bay Area

42% Democratic; 45% Republican

Open seat; Democrat Jane Harman vs. Republican Los Angeles Councilwoman Joan Milke Flores

38th District: Long Beach

48% Democratic; 41% Republican

Open seat; Democrat Evan Anderson Braude vs. Republican Steve Horn, former Cal State Long Beach president

41st District: Orange, Los Angeles, San Bernardino counties

39% Democratic; 50% Republican

Open seat; Democrat Bob Baker vs. Republican Jay Kim

42nd District: San Bernardino County

52% Democratic; 39% Republican

Incumbent Democrat George E. Brown Jr. vs. Republican Dick Rutan, pilot of the round-the-world Voyager; entrepreneur

43rd District: Western Riverside County

43% Democratic; 46% Republican

Open seat; Democrat Mark Takano vs. Republican Ken Calvert

49th District: Coastal San Diego County

39% Democratic; 44% Republican

Open seat; Democrat Lynn Schenk vs. Republican Judy Jarvis

ASSEMBLY TARGETS

District 22: Western San Jose and Sunnyvale area

48% Democratic; 36% Republican

Incumbent Democrat John Vasconcellos vs. Republican Tim Jeffries

District 41: Coastal Santa Monica Bay area

50% Democratic; 39% Republican

Incumbent Democrat Terry B. Friedman vs. Republican Christine Reed, former Santa Monica mayor

District 56: North Long Beach and Lakewood

49% Democratic; 41% Republican

Incumbent Democrat Bob Epple vs. Republican Phil Hawkins

District 64: Cities of Riverside and Norco

45% Democratic; 44% Republican

Open seat; Democrat Jane Carney vs. Republican Ted Weggeland, former congressional aide

District 66: Corona and Lake Elsinore area

53% Republican; 35% Democratic

Open seat; Democrat Patsy Hockersmith vs. Republican attorney Ray Haynes

District 69: Central Orange County

50% Democratic; 40% Republican

Incumbent Democrat Tom Umberg vs. Republican Jo Ellen Allen

District 76: North San Diego County

44% Republican; 40% Democratic

Incumbent Democrat Mike Gotch vs. Republican Dick Daleke, Navy veteran

District 77: San Diego County, El Cajon

46% Republican; 39% Democratic

Open seat; Democrat Tom Connolly vs. Republican businessman Steve Baldwin

District 78: City of San Diego

45% Republican; 37% Democratic

Incumbent Democrat Dede Alpert vs. Republican Jeff Marston, ex-Assemblyman

Sources: Lincoln Club of Orange County, Republican Party’s Opportunity ‘92, Republican GOPAC Researched by DAVE LESHER and JANICE L. JONES / Los Angeles Times