Campaign for council president

Pugh's financial woes stir up Detroit council race

Cockrel, Brown could gain from news of front-runner's foreclosure

Darren A. Nichols and Leonard N. Fleming / The Detroit News

Detroit --The impending foreclosure of City Council front-runner Charles Pugh's condominium is heating up an already contentious race for the Detroit City Council president.

Since winning the Aug. 4 primary, the former Fox 2 WJBK-TV broadcaster has distributed business cards that read, "Ready to Lead Day One" and he repeatedly has said Detroit needs "new leadership."

Council President Kenneth Cockrel Jr., whom polling shows is Pugh's main competitor for the top job, questioned that ability Wednesday, the same day The Detroit News reported Pugh is set to lose his $385,000 downtown condo five days before the Nov. 3 election. Pugh has blamed his money problems on his decision this year to quit as an anchor and WJLB, 97.9-FM host, but records show he faced 11 eviction notices from 2001 to 2005 as a renter at Trolley Plaza downtown.

"He was not laid off from Fox 2 and WJLB-FM, where he made well in excess of $200,000 per year in salary," Cockrel said.

"In less than nine months since leaving his job, he is being evicted. How can Detroiters trust him to oversee balancing his office budget or the city's budget when he can't balance or plan for his own personal budget?"

Cockrel said the foreclosure shows a "destructive pattern that should make Detroiters think twice about his readiness to lead."

Pugh released a statement saying he worked hard to avoid foreclosure, saying "I'm not proud of this development, but, like many families here in Detroit, I will get through this.

"I tried on multiple occasions to have the mortgage modified, but because I wasn't able to guarantee a steady income, I was not allowed to," said Pugh, who has acknowledged the jobs he left paid about $200,000 a year.

Cockrel said Pugh shouldn't compare himself to everyday residents who lose their homes.

"You would think ... he would have banked a portion of his paycheck accordingly," Cockrel said. "It is a bit curious that level of foresight and forward thinking wasn't applied."

Default on condo loan

Records show Pugh defaulted on a $331,000 bank loan. It was one of two mortgages he took out on the condo on Adelaine Street that cost $385,000, according to records. Earlier this year, Wayne County began foreclosure proceedings on the property over unpaid taxes and his condo association sued over unpaid dues and fees. The proceedings stopped when Pugh paid the taxes, and campaign staffers say he has paid some of the money owed to the condo association.

Pugh said he hopes other candidates will allow the issue to "be handled with dignity" and expects the campaign "to remain civil."

"I know the priorities of this city, and am fully capable of handling our budget process," Pugh said.

Some candidates, including Gary Brown, expressed sympathy. But the issue could arise during a debate tonight that features Brown, Pugh, Councilman Kwame Kenyatta, Councilwoman Alberta Tinsley-Talabi, Mohamed Okdie and John Bennett. The 8 p.m. debate will be aired live on WADL-TV, Channel 33.

Political consultant James Canning said the flap may not hurt Pugh, but it will increasingly be an issue.

"There will be some that will use this against him, and if there is any other flaps that happen there will be some who choose to take advantage of them," said Canning, who worked as a spokesman to former Mayor Kwame Kilpatrick.

"At this point, for many it's a dog fight."

Most votes pick president

The exchange comes amid increased jockeying in the quiet, unofficial campaign for council president, the post that goes to the top vote-getter of the election.

The job pays $85,456, about $4,000 more than the eight other council members. But it comes with a host of perks, including a larger office staff, a bigger budget, a police escort and the power to run meetings and make appointments to committees.

Polling by Lansing-based political consultant Mark Grebner has shown that Pugh has consistently led since the primary, with Cockrel in second and former Deputy Police Chief Gary Brown not out of the hunt.

In the past few weeks, other candidates have increasingly questioned the leadership of both Pugh and Cockrel. At a debate last week, Cockrel repeatedly had to defend his leadership over the past four years.

The term was marked by name-calling that made the council the butt of national jokes and the resignation of one member, Monica Conyers, after she pleaded guilty to bribery-related charges.

Pugh drew heat this week from the Michigan Citizen weekly newspaper, which published a front-page editorial comparing him to Councilwoman Martha Reeves, the Motown star who failed to advance in the August primary.

The editorial asked: "Should citizens be concerned with the seating of another council member elected on name recognition? ... Pugh provided the worst interview of all candidates (the Citizen) has questioned."

Bennett, a council candidate and police officer, questions the ability of both Cockrel and Pugh to lead.

"I would much prefer to see a (Councilman) Kwame Kenyetta or a Gary Brown in a leadership role. I know their integrity," Bennett said last week.

"I do believe Cockrel should have been a stronger leader but maybe that's not in his DNA," Bennett said. As for Pugh, he said, "the lack of experience and public service is a cause for concern."

Cockrel responds to critics

In an interview before the foreclosure flap, Cockrel rejected the rub that he could have done more to control the council.

Cockrel, who lost to Mayor Dave Bing in May to finish the term of Kilpatrick, said voters aren't using his presidency against him as "much as they are the entire, recent history of the City Council against me. That's has been an issue for me to overcome.

"You've got to remember that whoever the council president is, they are a heartbeat away from being mayor," Cockrel said.

"Frankly, I think Charles Pugh will make a great addition to City Council. Should he be council president? I would contend, no. Anybody can talk the talk but walking the walk is a different story."

For much of the campaign, Pugh has made leadership a focus. He promises an image-building effort if he's elected president, vows to pursue tough ordinances to censure or dock pay from unruly members and improve relations with Lansing.

"I'm very much aware of the kind of leadership we have now," Pugh said last week, without naming Cockrel. "That's what I want to change. The reality is that was the 10,000-vote difference. It was not name recognition. It was a thirst for new leadership."

Last week, Brown acknowledged polling that puts him in third and said he blames his inability to gain momentum in part on the $8.4 million whistle-blower lawsuit he and other officers won against the city.

The suit, which alleged wrongdoing by former bodyguards to Kilpatrick, helped lead to the mayor's downfall.

Brown said Cockrel's leadership is a "good indicator of the future," while "the jury is still out" on Pugh.

"That's what people should be looking for out of the presidency, is a person that can bring unity and order to the City Council," Brown said.

lfleming@detnews.com (313) 222-2072