Rossi quits job as Forward Washington president

OLYMPIA – Republican Dino Rossi on Tuesday announced his departure as president of the Forward Washington Foundation, which Democrats had called an illegal shadow campaign for governor.

Rossi, the former state Senate budget chairman who came within 133 votes of winning the governor’s mansion in 2004, said in an interview that he’s still weeks away from deciding whether to announce his political plans.

But he vehemently denied that he is an unannounced candidate using the foundation as a cover for campaign work and to avoid reporting contributors or limiting the size of gifts. He said that charge was leveled by “agents of the governor” and is baseless.

The state Public Disclosure Commission is investigating the complaint from state Democrats.

After his narrow loss, Rossi created the nonprofit foundation to work on issues he cares about, such as schools and health care. Rossi has been on a $75,000 annual salary and has toured the state on foundation business, including an Idea Bank for citizens to suggest ways to improve government.

Democrats said that was a ruse to disguise Rossi’s shadow campaign and avoid campaign reporting requirements and gift limits. Rossi said that was dead wrong, and that he has never announced a campaign for ‘08.

But he said Tuesday he quit, effective Sept. 11, as president of the group and will sever his ties with the foundation, hoping to remove a cloud over its work.

“The baseless PDC charge by the governor’s political agents have hurt fundraising, and my goal all along was to have this foundation live on long beyond me,” Rossi said.

“The organization still has important work to do. The whole goal (of quitting) is to make sure the foundation lives on.”

Dan McDonald, a former Senate majority leader, budget chairman and gubernatorial contender, will succeed him as president.

Rossi said despite what Democrats may assume, he has never uttered the words “I’m a candidate” either publicly or in private. The only money he raised after Election Day in 2004 went solely to pay expenses of the election challenge that followed, he said.

“Not one penny went to campaigning for ‘08,” he said.

Rossi said everyone is assuming he’ll run again, but that “just two people will decide that, my wife and I.” He hinted that he’ll make a decision in November, as he did in 2003, but also said a decision might come a little earlier.

Democratic Chairman Dwight Pelz said he wasn’t the least bit surprised by Rossi’s departure from the foundation, particularly with all the flak.

“I believe this foundation has been operating illegally, and I trust the PDC to uncover that,” he said in an interview. “This foundation was always a front for the Rossi for Governor ‘08 campaign. It allowed him to illegally accept donations and then hide their sources for the public.

“Rossi’s plan all along was for him to leave the foundation when he was ready. It is one more indication that he is getting ready to run against Chris Gregoire.”

Rossi later put out a public statement that acknowledged speculation.

“I understand that people are going to read whatever they so choose into this announcement, but the fact remains that I have not decided or declared that I will be a candidate for governor in 2008.”