March 31, 2006

Alex Castano Offers Tear-Choked Defense
on Personal Fiscal Woes in Runoff Debate

By Mike Hailey
Capitol Inside Editor

Austin Republican Alex Castano's voice trembled as he fought back tears and scolded his Republican primary opponent Thursday for suggesting that he'd acted irresponsibly when he failed to pay back about $35,000 in credit card debt before three banks took him to court last year.

During a debate sponsored by the Austin American-Statesman and broadcast online, Castano was overcome by emotion while explaining how he'd run up his credit cards while trying to provide for his wife and seven children after a commercial real estate deal had fallen through. Castano had admonished primary runoff foe Bill Welch for attacking him on the personal financial woes before the first-round leader in the House District 47 race commented on the issue, which political reporter Gardner Selby brought up as the moderator for the debate.

Castano, who finished second in a five-candidate Republican field in the March 7 election to claim a spot in the runoff, appeared almost too choked up to speak after Welch finally did get in a shot by saying that he was shocked by revelations about the credit card debt and subsequent court judgments and believed that voters expected more from their elected leaders.

"I think it's a shame that Bill, who's a multimillionaire, is attacking me - a working man - just trying to provide for my family," Castano said before the unflattering portrayal that Welch's was about to offer but had yet to begin. After Welch suggested that the Legislature would be better off without "the kind of personality traits" that the credit card debt reflected, Castano chastised the criticism as "pathetic." Castano added, "Shame on you, Bill, for attacking me on that."

More than a half-dozen candidates on both sides of the aisle had been battling for months in the race to replace outgoing Republican State Rep. Terry Keel in HD 47 before the information on Castano's credit card troubles came to light this week. Capitol Inside published a story Wednesday night on the personal financial problems and how they could affect Castano's hopes of an overcoming an 11-point lead that Welch took into the runoff after receiving 39 percent of the first round vote. The Austin newspaper contained a report on Castano's debt in its Thursday morning edition the day of the debate. Welch contended that he'd not been aware of the situation until being asked by a reporter about it the previous day.

Democrats who have their own HD 47 runoff to settle next month have been well aware of Castano's credit card problems and the three separate judgments that Citibank, Bank of America and Great Seneca Financial Corporation obtained against the Austin real estate developer in 2005 after claiming in court that he'd defaulted on the money he owed them. But Democrats, who will choose between Valinda Bolton and Jason Earle in the open race for HD 47 in the April 11 primary runoff, had not been planning to say anything about the case until closer to the November general election in the event that Castano was the Republican nominee. The prevailing through among Democrats is that Castano would be more vulnerable than Welch in the fall - and the credit card history is a key reason behind that line of speculation. Welch, on the other hand, is not only good financial shape as one of Austin's most successful developers but he has a record of recent military heroics to tout as an Air Force reservist who went to Iraq and Afghanistan after the September 11 attacks.

Despite the first round leader's assertion that the story about the debt had been news to him until the past few days, Castano supporters and others suspect that the Welch campaign was behind the publicity the credit card information finally attracted with less than two weeks to go before the April 11 runoff vote.

Castano appeared prepared for questions on his personal fiscal history and attempted to frame the story as a wealthy person picking on someone who works hard to care for a big family and puts them first in his life. "I'm not perfect. I'm not sinless," Castano confessed, contending that he was demonstrating fiscal reasonability by working to pay off the debt.

Castano was clearly shaken by the time he began explaining that he'd been raised in a poor family that learned the value of hard work after his father had died. Welch brought up his past as well, saying that he and his wife had $1,000 in the bank when they moved to the area and built a small house in south Austin while pursuing the American dream. "The way you do that is through hard work, pay your bills and commit yourself to a vision of the future," Welch said.

Despite having to fend off accusations of irresponsibility, Castano still insisted that he was the true social and fiscal conservative in the HD 47 race.

The two Republicans and two Democrats who are still in the running for HD 47 are dueling to see who will meet in the fall in the battle for the seat that Keel decided not to seek again after setting his sights on a statewide campaign for the Court of Criminal Appeals. Keel hopes to come from behind after placing second in the March primary election in his bid to unseat incumbent Judge Charles Holcomb.