By Spencer Hunt
Enquirer Columbus Bureau

COLUMBUS - Procter & Gamble led some of the state's biggest and most influential companies that have raised $2.6 million to pass the statewide Issue 1 on the Nov. 4 ballot.

The issue would give the state borrowing authority for funds to foster high-tech industry.

Campaign records released Thursday revealed more than 100 cash donations from a who's who of Ohio manufacturers, banks, insurance companies, utilities and law firms.

A handful of Cincinnati companies are among an even shorter list of 11 big donors, which together contributed more than $1.4 million.

Procter & Gamble tops the list with $300,000. American Financial Corp. donated $150,000. Cinergy Corp. and Western-Southern Life Insurance Co. gave $100,000 each.

Gov. Bob Taft's inaugural committee was the third-largest donor with just over $185,000 in "leftover" funds.

"There are significant contributions from a lot of the major businesses in this state," said Brian Hicks, Issue 1 campaign manager and Taft's former chief of staff. "They are obviously in the business of creating jobs."

Issue 1 asks voters to let the state borrow $500 million for seed money to help create new high-tech businesses and jobs in Ohio. It's the final piece of Taft's $1.6 billion Third Frontier economic stimulus plan.

The other pieces include hundreds of millions already set aside in the state's capital budget, its tobacco settlement fund and a loan program fueled by state liquor profits.

No limits

While Ohio law limits how much individuals and special interests can give to the governor and lawmakers' war chests, there are no limits on public issue campaigns.

That's a problem for Catherine Turcer, a lobbyist for campaign finance reform group Ohio Citizen Action. Turcer questioned whether the money companies give in donations would be returned in future Third Frontier grants.

"I think it's very likely they'll get something out of it," Turcer said.

Hicks said donations won't be a factor if the companies come looking for Third Frontier grants.

"Nobody gets a leg up because they've supported this campaign," Hicks said.

Louise Hughes, Procter & Gamble's director of state government relations, said the $300,000 donation reflects the company's longstanding commitment, and its own efforts, to develop high-tech business and jobs in Cincinnati and in Ohio.

"We believe that technology-based growth is critical to fuel growth in jobs, wages and quality of life," Hughes said. "All of that is linked."

Cinergy spokesman Steve Brash said his company doesn't expect a direct return on its $100,000 investment.

But more high-tech businesses and jobs in Cincinnati would mean more business for his company.

Taxpayer concerns

While Issue 1 is supported by Republicans and Democrats alike, Ohio farm interests, some conservative lawmakers and allied groups oppose the plan.

They argue there's no guarantee it will create the thousands of new jobs Taft and other supporters promise. There is no organized campaign - or war chest - in opposition.

While Issue 1 commercials say it won't raise taxes, they note the $500 million in bonds will cost taxpayers at least $63 million in interest.

"Sooner or later money will have to be spent to cover that," said Robert White, director of the Ohio Farmers Union.

Except for a newsletter sent to its 60,000 members, the Ohio Farm Bureau Federation is planning little else.

"That's not even in the same league," said Scott Williams, a Farm Bureau lobbyist.

Taft's campaign team released the script for its second television ad, which will air in the Cincinnati, Columbus, Cleveland and Dayton media markets.

It features basically the same message as its predecessor - "It will create lots of new jobs ... without raising taxes."

The governor also traveled to Cincinnati to give $2.1 million in Third Frontier grants to two Cincinnati biomedical companies.

"We can't compete by making boots or bicycles in Ohio anymore," Taft said in a news release.

"Ohio must be the place where new knowledge is used to create new products, new businesses and new jobs."

Issue 1 contributors

The biggest single contributors to the state Issue 1 campaign:

Company	Amount
Procter & Gamble	$300,000
FirstEnergy Corp.	$200,000
Taft-Bradley Inaugural Committee	$185,004
American Financial	$150,000
Cinergy Services	$100,000
Western-Southern Life Insurance Co.	$100,000
National City Bank	$100,000
The Timken Co.	$100,000
Keybank National Assoc.	$75,000
Nationwide Insurance	$75,000
American Electric Power	$75,000
Total	$1,460,004

Source: Ohioans for the Third Frontier

E-mail shunt@enquirer.com