House District 78
Republican 56%

Current Incumbent: Pat Haggerty, R-El Paso, since 1989
Location/Counties: Far western tip of Texas - 20 percent of El Paso County.
Elections 2006: U.S. Sen. Kay Bailey Hutchison 62%, Gov. Rick Perry 43%

Reg. Voters 2006: 75,137
Voter Turnout 2006: 37%
Anglo Population: 35.0%
Black Population: 4.6%
Hispanic Population: 57.4%
Other Population: 3.5%

Avg. Income: $21,105 (State $19,617)
College Degree: 33.1% (State 23.2%)
Employment: 94.6% (State 93.9%)
Homeowners: 67.6% (State 63.8%)

Native Texan: 47.1% (State 62.2%)

Non-U.S. Citizen: 12.7% (State 9.5%)

MAJOR CANDIDATES

Dee Margo
El Paso Republican
Businessman
Experience: Ex-Chamber Chairman
Primary: Beat Pat Haggerty with 57%
Consultant: Jeff Norwood
Key Strength: Longtime local business and community leader has campaign experience, name ID and momentum from hot primary race and money advantage.
Web Site: www.deemargo.org

Joe Moody
El Paso Democrat
Attorney
Experience: Assistant District Attorney
Primary: Beat Louis Irwin with 72%
Consultant: Michael Apodaca
Key Strength: Son of local judge had more than twice as many primary votes as GOP foe in House district with more Democrats than any held by Republicans.
Web Site: www.moodyforelpaso.org

ANALYSIS

The House District 78 battle is an unusual tale of two races - the one Democrats didn't think they'd have much chance to win as long as State Rep. Pat Haggerty was defending the seat and the one they've made their number one priority on the House battlefield this fall now since he lost his bid for re-election in the Republican primary election this year. The Democrats think Dee Margo's victory over Haggerty in the GOP primary put them within striking distance of a House seat that the GOP's held for the past 20 years. Now the Democrats are guardedly confident that an assistant prosecutor named Joe Moody has a good chance to win the seat back for them as the Democratic nominee in HD 78 in the general election. But Moody still faces an uphill climb based on a June poll for the El Paso Times and NewsChannel 9 that showed Margo leading the race by more than seven points heading into the summer.

But Moody and Margo both have substantial cause for optimism and concern as they prepare to do battle in the state's westernmost House district this fall. The district that Haggerty has represented since 1989 has a higher percentage of Democratic voters than any of the other House districts that are currently controlled by the GOP. Republican statewide candidates claimed 56 percent of the vote in HD 78 two years ago after winning slightly less than that there in 2004. But those numbers might seem irrelevant come November if primary turnout this year is a sign of what to expect in the general election. With the Democratic presidential nomination still up for grabs, Moody and primary foe Louis Irwin received more than twice as many votes between the two of them in March as Margo and Haggerty had combined on their side of the aisle with the GOP White House race already settled by then for all practical purposes. But while Democrats turned out in record shattering numbers in the March election, the number of votes cast in the Republican primary in the HD 78 race was 50 percent higher than it had been two years before when Haggerty edged out challenger Lorraine O'Donnell with less than 51 percent of the GOP vote. So both sides entered the fall competition with a significant number of new voters to target in the El Paso House district. Libertarian candidate Bill Collins is also in the race.

Margo will be in trouble if primary turnout turns out to be a relatively accurate foreshadowing of the general election vote in HD 78 later this year. But Margo appeared to be a beneficiary of the turnout trends when a sizeable number of moderate Republicans and independent voters who would have backed Haggerty decided to be part of history by casting their votes for Barack Obama or Hillary Clinton in the closest presidential primary race in modern times. Margo, who'd received only 41 percent of the vote in 2006 in a race against Democratic State Senator Eliot Shapleigh, defeated Haggerty with the support of almost 57 percent of the GOP primary voters this year. As a challenger taking on an incumbent who'd been one of the House's most moderate Republicans and one of Speaker Tom Craddick's most outspoken foes, Margo has the GOP power establishment and grassroots conservatives on his side in the primary fight. And Haggerty's base was shaken to the point of being decimated by the crossover voting on the Democrats' side.

While Moody and the Democrats appear to have a realistic shot at the HD 78 seat in the general election, they will have to overcome some inherent advantages that Margo appears to have barring an electoral tsunami that sweeps from the national level into the state and swamps the hopes of Republicans in competitive races. A businessman and former Chamber of Commerce official, Margo expects to have a bigger war chest for the fall campaign, even though he's been warning that his Democratic opponent will have substantial support from trial lawyers. While Moody is making his first political race as a candidate who's still in his twenties, Margo has valuable experience from the losing state Senate race and the victory over Haggerty that he claimed on the rebound 16 months later in one of the most competitive House primary battles in Texas this year. Margo is stressing 30 years of experience as a business executive who's the current chairman and CEO at the John D. Williams Company, which he bills as the largest insurance firm in the southwest. Margo has played up roles that he's had as a local leader in economic development efforts, civilian military support and other community endeavors - and he's suggested that Moody lacks experience while raising questions about his judgment as well.

Margo's supporters have been calling attention to some of the entries that Moody had posted on a blog that he hosted before pulling it down in the wake of a local newspaper article about it earlier this year before the primary vote. Moody had ruminated on the web page about the dilemma he faced when trying to decide whether to stay in his hometown of El Paso or move out of state to pursue a career in the music business. Moody defended the self-probing analyses as a forthright examination of the kind of choices that young people encounter when trying to decide what to do with their lives - and he argued that the blog postings said nothing negative about his qualifications to serve in the Legislature. Moody prompted questions in some political circles about whether he was being overly idealistic or naive or both when he challenged Margo to abide by strict federal contribution limits in the sprit of campaign reform. When Margo declined the invitation to give up one of his biggest advantages in the House race, Moody recalled the pledge that he'd made to cap the contributions he raised when he issued the challenge initially. But Moody scored a substantial amount of free publicity with the proposal - and that probably helped him more than it hurt him as a novice candidate who'd raised about one dollar during the primary for every ten that Margo rounded up for round one.

For a rookie candidate with minimal funding for the primary phase of his House campaign,.Moody entered the fall fight with a measure of built-in name identification as the son of Bill Moody - a state district judge who's run statewide twice in the past six years. The elder Moody fared better than any other Democrat on a relatively weak statewide slate when he lost to Republican incumbent Don Willett in a state Supreme Court race in 2006. While Moody the jurist captured 47 percent of the vote statewide, he received 59 percent in the El Paso House district that his son hopes to represent. While the younger Moody is making his debut as a candidate, he gained valuable experience as his father's campaign manager two years ago. Joe Moody has worked for other Democrats on the campaign trail including Al Gore when he was running for president and New Mexico Governor Bill Richardson.

Margo raised $400,000 before the primary election and will be able to raise as much as he thinks he needs for the fall fight. But Democrats see the HD 78 as a golden opportunity now that Haggerty's out of the race - and they will make sure that Moody is well-armed as well - even if he doesn't match his Republican foe dollar for dollar. Moody's biggest stumbling block could be one that he may not be able to do much about - and that's the fragile support that Obama appears to have among Hispanics in South Texas and other border towns such as El Paso. Clinton garnered almost 70 percent of the primary vote in El Paso County this years - and some Hispanics who voted for her say they will switch their allegiance to Republican John McCain now that she's out of the running for president. In a House district that's tilted Republican in recent years, Moody will need substantial support among Hispanic voters to win the race. More than 57 percent of the House district's residents are Hispanic - and the vast majority of those who vote typically back Democrats. But Governor Rick Perry, who contributed to Margo before the primary vote, fared better in HD 78 in 2006 in his bid for re-election than he did statewide. Perry, who finished first in a four-way field two years ago with 39 percent of the statewide vote, claimed 42 percent in Haggerty's House district. Perry and Lieutenant Governor David Dewhurst both won 55 percent of the vote in HD 78 in races against Democrats Tony Sanchez and John Sharp in 2002. President George W. Bush received 56 percent of the HD 78 vote in his bid for a new term in 2004. The poll that the Reuel Group conducted for the El Paso newspaper and television station in mid-June found Margo with support from 39 percent of 1,842 registered voters surveyed in HD 78 compared to 31.5 percent for Moody. Democrats attribute the size of Margo's lead to the fact that he'd been in the spotlight more as a candidate in hotly-contested primary battle after reaping substantial attention during his race for the state Sente in 2006. But Democrats think there's plenty of time to close the gap between now and November - noting that the poll showed 29 percent of the voters as still undecided.

Democrats will reclaim control of the Texas House if they pick up five or more seats in the general election November 4. HD 78 may be a must-win if they hope to achieve that this year. If Moody does win the seat, the Democrats might think that they owe some debt of gratitude to the Republican powers that be that helped Margo beat Haggerty in the first round. But the Republican conservatives and heavyweights who backed Margo have been frustrated with Haggerty and his steadfast refusal to toe the party line - and they've been willing to gamble and risk losing the seat if that's what it took to defeat him.

HD 78 : The 2000s Vote

2008 Primary Election
Dee Margo (R) 57%
Pat Haggerty (R-Inc) 43%

2006 General Election
Pat Haggerty (R-Inc) 100%
Unopposed (D) 0%

2004 General Election
Pat Haggerty (R-Inc) 100%
Unopposed (D) 0%

2008 Primary Election
Joseph Moody (D) 72%
Louis Irwin (D) 28%

2006 Primary Election
Pat Haggerty (R-Inc) 51%
Lorraine O'Donnell (R) 49%

2004 Primary Election
Pat Haggerty (R-Inc) 71%
Peter Peca (R) 29%

House District 78 - July 3, 2008
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House District 43
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