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Clear Choice Awaits Republican Primary Voters in 3rd Congressional District

Gloves come off in battle between arch-conservative who ran for Senate and Congress and insurance executive backed by GOP establishment

Tom MacArthur

The race to succeed U.S. Rep. Jon Runyan when he retires has turned into an all-out slugfest on the GOP side ahead of next month’s party primary.

The contest to represent the 3rd District, a toss-up district that covers large portions of Burlington and Ocean counties, has drawn two contenders — some say carpetbaggers — from North Jersey: conservative spitfire and recent U.S. Senate candidate Steve Lonegan and former insurance executive Tom MacArthur, who has been endorsed by Runyan and local GOP organizations.

The two men have gone after each other with fervor.

Steve Lonegan

Lonegan claims MacArthur is a left-leaning supporter of government-run health insurance and has sought to tie him to lawsuits filed by storm victims against his former company.

“This is a clear, line-in-the-sand choice for primary voters between a liberal and a conservative,” Lonegan said in an interview. “On every one of the major issues down the line he's a liberal, period.”

MacArthur, meanwhile, said Bogota had serious financial problems when Lonegan served as mayor there, accused him of purposely lying about MacArthur’s background, and argued that he would lose a general election fight because of his extreme positions and style. MacArthur’s campaign has filed a defamation suit against Lonegan over the insurance firm allegations.

“He's a lot of hot air, but that doesn't mean he can govern effectively as a conservative,” MacArthur said. “He's not electable. If he were to face a Democrat, the seat would go to the Democrat.”

The race heated up even further in the last week following the release of a Monmouth University poll showing MacArthur leading by 46 percent to 35 percent, with 20 percent undecided.

Lonegan responded with a flurry of attacks, putting out a list of complaints and lawsuits against MacArthur’s former company, York Risk Services Group, and criticizing him for naming Lonegan campaign staffers in the defamation suit.

Both men tout their experience maintaining the fiscal health of towns where they served as mayor, while saying the other raised taxes. MacArthur, 53, was mayor of Randolph in Morris County for a year. Lonegan, 58, led Bogota in Bergen County for 12 years. Congressmen must live in their districts once elected; Lonegan recently moved to Lavallette and MacArthur has purchased a home in Toms River.

Lonegan said his history of supporting conservative causes will appeal to voters. He opposed a proposed state sales-tax increase, fought a toll-hike plan, advocated for New Jersey’s withdrawal from a regional effort to reduce greenhouse gas emissions, and urged Gov. Christie not to create a state health-insurance exchange, he said.

“I have a proven track record of fighting for the voters of New Jersey and winning,” he said.

MacArthur’s campaign has focused on his experience building York Risk Services Group into a large company. He said he would work on spurring job growth, overturning the Affordable Care Act, reforming the tax code, and protecting Social Security and Medicare. He would also support superstorm Sandy recovery efforts and funding for Joint Base McGuire-Dix-Lakehurst in Burlington County, he said.

“First and foremost is growing the economy and fostering federal policies that spur job creation,” he said. “It's what I understand the best after 30 years in the private sector.”

Polls now favors MacArthur

Initially Lonegan had much stronger name recognition than MacArthur, having run once for Senate and twice for governor. An independent poll of Republican voters in March found he had the support of 41 percent while MacArthur had the support of just 2 percent of Republican voters.

“Steve Lonegan is an accomplished campaigner, is well-known, has high name recognition, and has a tremendous network of supporters as the de facto leader of the tea party movement in New Jersey,” said Ben Dworkin, director of the Rebovich Institute of New Jersey Politics at Rider University. “He also has a national network of financial supporters. So even running off the (Republican ballot) line he has a very intriguing chance.”

But MacArthur rolled out TV commercials to introduce himself to voters and was endorsed by a wide swath of Republican officials and organizations. His campaign released an internal poll earlier this month that said 37 percent of primary voters supported him, with Lonegan favored by 28 percent, and the Monmouth poll last week confirmed his lead.

MacArthur’s advantages include endorsements from Runyan, former 3rd District congressman Jim Saxton, the U.S. Chamber of Commerce and GOP organizations in Burlington and Ocean counties, as well as a personal fortune from selling his company. He loaned his campaign $2 million and had just $1,075 in individual contributions through the end of March.

“In that district you need to buy New York and Philadelphia TV, so it's very expensive,” Dworkin said. “Whoever wins the Republican nomination is not only going to face a divided party, but is going to have less money in the bank than they might want in June.”

MacArthur had $1.75 million cash on hand as of March 31 and had spent $252,000, half of it on media.

Two of MacArthur’s recent TV spots attacked Lonegan. One said he supported cuts in military spending that could threaten the Joint Base, while the other criticized Lonegan for making “callous remarks” toward Sandy victims and opposing a Sandy aid package.

Lonegan’s campaign says he criticized the Sandy legislation because it was not balanced by spending cuts elsewhere and contained millions of dollars in earmarks for states not affected by the hurricane. He has lambasted the Department of Defense over wasteful spending, but said he supports funding the Joint Base and other military facilities.

As of March 31, Lonegan had raised just over $400,000, lending himself $100,000 and receiving numerous individual donations, include $2,000 from Todd Christie, the governor’s brother. The campaign had $172,000 cash on hand and about $161,000 in debt.

Lonegan’s spending and debt included more than $138,000 for fundraising expenses and $32,000 for advertising.

A television ad he put out this week showed a California couple whose home burned down in a wildfire criticizing MacArthur’s company for allegedly trying to reduce their insurance payment. Another ad called MacArthur a tax-raising liberal, putting his image next to President Obama’s and saying MacArthur had supported building affordable housing in Randolph.

Digging up dirt

Lonegan has highlighted lawsuits filed against York over the 2008 California fire, Hurricane Ike and other disasters, as well as a settlement York made with the state of California over claims handling, in an effort to cast doubt on his rival’s commitment to helping storm victims.

“In a race where so many people in our district have been impacted by Hurricane Sandy and can't collect and are fighting insurance companies, this is the guy they are fighting every step of the way,” Lonegan said.

MacArthur rejected the criticism, saying York helped process over a million claims during his tenure, some of which were inevitably disputed. He said three lawsuits Lonegan focused on were either settled or dismissed.

York was also separately sued by Phoenix firefighters over denied workers’ compensation claims. MacArthur said the claims involve a company that York acquired after he left, and his campaign filed suit against Lonegan’s campaign for saying MacArthur had been sued for “insurance fraud.”

The Lonegan campaign has promoted an article about the lawsuits in The Daily Mail, an online British tabloid. MacArthur’s campaign charged that Lonegan’s campaign had planted the article, as the author had previously co-written articles with a Lonegan opposition researcher.

For its part, MacArthur’s campaign points to a lawsuit that alleges Lonegan committed a campaign law violation during his 2009 gubernatorial bid. Lonegan received $2.7 million in government campaign funding after having recently worked for the advocacy group Americans for Prosperity, which plaintiff William Brennan alleges constituted a violation.

Brennan and Lonegan have tangled before, with Lonegan unsuccessfully suing him for libel over an unrelated issue. Lonegan said the state Election Law Enforcement Commission looked into the campaign-finance violation claim and rejected it, and said Brennan has filed numerous lawsuits against other politicians.

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