Under The Influence

Gillespie Raising Funds For New 527

Wed, 17 Mar 2010 23:12:48 GMT

Veteran Republican operative and consultant Ed Gillespie is raising funds for a new political organization called American Crossroads that's already roped in millions of dollars and plans to be active in dozens of House and Senate races this year to help GOP incumbents and candidates.

Sources familiar with the new organization, a 527 that is seeking to raise about $60 million, say the former chairman of the Republican National Committee recently went looking for money in Texas and had some success with wealthy individuals there. Sources say the fundraising for American Crossroads could also be getting a helping hand from GOP strategist Karl Rove.

According to a GOP operative familiar with American Crossroads, the fledgling group may have raised as much as $40 million to date and is preparing to name a well-known Washingtonian to run it. The 527 is one of several political ventures that Gillespie, an ex lobbyist who now runs the strategic consulting firm Ed Gillespie Strategies, is involved with this political season.

Patton Boggs Hires Telecom Counsel

Wed, 17 Mar 2010 18:58:02 GMT

Patton Boggs has snagged communications lawyer Mark C. Ellison as a partner in its Washington office.

Ellison previously worked at the National Rural Telecommunications Cooperative, where he served as senior vice president and general counsel and dealt with satellite TV, broadband, and smart grid technology, among other issues. Before that, he was assistant general counsel for Turner Broadcasting, and he also worked as general counsel at the Satellite Broadcasting & Communications Association.

This is a timely hire for Patton Boggs, considering the Federal Communications Commission's recent release of a strategy to expand broadband Internet access in rural areas.

Tauzin Weighs Options

Wed, 17 Mar 2010 15:53:37 GMT

Even as former Rep. Billy Tauzin, R-La., helps to lead the Pharmaceutical Research and Manufacturers of America in another multi-million ad drive to pass health care reform legislation, he is busy looking ahead to the future when he departs PhRMA this June and is eyeing launching a Washington consulting firm, possibly with one or more of his sons.

In a twenty-minute phone interview, Tauzin said that he will "probably be doing some consulting. A number of the drug companies have indicated an interest in working with me. I'm not leaving town."

Tauzin added that he's intrigued at the possibility of building a consulting business that might include some of his sons--one of whom is now a lobbyist with the Capitol Hill Consulting Group --much as his old friends, former Sens. John Breaux, D-La., and Trent Lott, R-Miss., have done at their firm the Breaux Lott Leadership Group. Further if he opts to launch a new firm, Tauzin said it might also do some lobbying, but stressed that he's still "ruminating" about different options including job feelers he's received from several law firms in town.

"I've got a lot of feelers from most of the big law firms." One thing that Tauzin is certain about though as he looks ahead to life after PhRMA is that he "wants the flexibility to do some very important work" back in Louisiana to protect New Orleans from future hurricanes like Katrina. Tauzin has had a number of conversations in recent weeks with old friends from the Bayou state including Breaux and Democratic strategists James Carville and Donna Brazile about the possibility of making New Orleans "water proof" via a large scale reengineering and architecture project.

Retail's Newest Leader

Wed, 17 Mar 2010 15:13:10 GMT

Matt Shay has just been named president and chief executive officer of the National Retail Federation.

Shay has plenty of experience heading a trade association: he comes over from the International Franchise Association, where he was named president in 2004 and CEO in 2007. Shay, an Ohio native, started off his career with the Ohio Council of Retail Merchants. At NRF, he succeeds the retiring Tracy Mullin.

After meeting with the executive committee and the board, Shay says the goal of the group is to make sure that "the footprint that the NRF and the retail industry have in Washington on an advocacy basis, reflects the economic footprint that the retail industry has in local communities across the country and in our economy."

When asked about potentially bringing in more lobbyists or manpower in D.C., Shay said it was premature to discuss that just yet.

Financial Legislation Roils K Street

Wed, 17 Mar 2010 13:00:00 GMT

From this morning's Earlybird:

• "Lobbyists are scurrying to make major changes to the 1,336-page financial overhaul legislation Sen. Chris Dodd (D-Conn.) released this week," The Hill reports. "Everyone from consumer advocates to executives at big banks want changes to the long-awaited bill, which aims to prevent future financial crises."

• "With the final showdown over health care reform looming, conservative activists Tuesday descended on Capitol Hill to press lawmakers to spike the measure while medical stakeholders worked behind the scenes to protect their interests," Roll Call reports.

• "House phone lines were nearing capacity on Tuesday as conservative talk radio host Rush Limbaugh encouraged fans to call in their objections on healthcare legislation," The Hill reports. "The House e-mail system was also deluged in what the House's technology office called 'a very significant spike' in traffic."

• "A new federal tax requirement is exposing sensitive salary information of trade association lobbyists and other senior employees, setting off alarms downtown over how the information will be used," Roll Call reports.

WH Pushes Agency Transparency

Tue, 16 Mar 2010 15:05:02 GMT

The Obama administration is pushing government agencies to redouble their efforts to be more transparent to the public and, in particular, do more to respond to Freedom of Information Act (FOIA) requests, according to a post on the White House blog by Norm Eisen, the president's special counsel on ethics and government reform.

Eisen highlights a March 16 memo written by White House Chief of Staff Rahm Emanuel and Bob Bauer, counsel to the president, urging agency and department heads to update FOIA guidance and training materials and to assess whether adequate resources are being allocated to responding to FOIA requests.

Melanie Sloan, executive director of Citizens for Responsibility and Ethics in Washington, a group that has filed numerous FOIA requests, praised the administration for its efforts but said it still has "a long way to go" to make agencies, such as the Defense department, more transparent.

Business Lobby Picks At Dodd's Bill

Tue, 16 Mar 2010 14:50:58 GMT

From this morning's Earlybird:

• "Just hours after Senate Banking, Housing and Urban Affairs Chairman Chris Dodd (D-Conn.) unveiled his financial services regulatory reform bill, business groups moved to oppose specific provisions in the legislation," Roll Call reports. (subscription)

• "Liberal groups, drug companies and assorted coalitions are moving to counter the heavy blitz of ads aimed at sinking the health care overhaul legislation that could be considered as soon as this week by the House," Roll Call reports. (subscription)

• "Wide-ranging bans on earmarks are forcing appropriations lobbyists to look for other avenues to find money for their clients," The Hill reports.

• "A lobbying firm with close ties to the late Rep. John Murtha (D-Pa.) -- and a central player in some of the most questionable earmarks sponsored by Murtha -- appears to have closed its doors," Roll Call reports. (subscription)

Oil, Nuclear Giants Top '09 Spenders

Mon, 15 Mar 2010 19:50:57 GMT

Out of the top 25 lobbying spenders of 2009, nine of those are heavily involved in the energy and climate debate -- including four oil companies and Southern Co., the recipient of the Obama administration's first nuclear loan guarantee.

The U.S. Chamber of Commerce ranks at the top, spending more than $120 million last year on lobbying, nearly doubling its total from 2008. ExxonMobil came in a distant second, with a 2009 total of $27.4 million, down 5.4 percent from 2008. The other oil giants that made the list include Chevron (eighth), ConocoPhillips (12th) and BP America (16th).

Southern Co., the Southeastern electricity company that President Obama awarded the first conditional nuclear loan guarantee last month, is the 20th-highest spender. It spent $13.5 million on lobbying in 2009. While environmental groups have charged that the company has dedicated inordinate amounts of money and manpower to influencing the debate, its spending actually dropped 3.8 percent from 2008.

Energy and the environment made up a significant portion of the most common issues lobbyists reported in their 2009 disclosure filings, according to the Center for Responsive Politics, with 1,747 registrations for "Energy/nuclear power" and 1,259 for "Environment/Superfund."

National Journal delved into the state of lobbying in its March 13 issue (subscription). After the jump, see a list of the biggest spenders who have a hand in the climate and energy debate.

Big Changes For Nonprofits

Mon, 15 Mar 2010 15:42:26 GMT

In the wake of the Supreme Court's recent ruling to deregulate corporate political spending, public attention has focused squarely on whether businesses and for-profit companies will now lavish big money on elections.

But Citizens United v. Federal Election Commission may have as much or more impact on another type of incorporated organization -- nonprofits of all stripes. These include 501(c)4 advocacy groups, 501(c)5 labor unions, 501(c)6 trade associations and even 501(c)3 charities, which face both fresh opportunities and dangers in the wake of Citizens United.

Associations and advocacy groups can be expected to ramp up their political activities, election lawyers say. At the same time, the ruling -- by equating corporate and individual First Amendment rights -- could trigger sweeping changes in IRS law as it applies to political activity, some tax experts say. All this could thrust 501(c)3 charities, which are now barred from engaging in partisan political activities, into an uncomfortable spot.

You can read Eliza's full column here.

Health Care Advertising Reaches Fever Pitch

Mon, 15 Mar 2010 12:30:00 GMT

From this morning's Earlybird:

• "The yearlong legislative fight over health care is drawing to a frenzied close as a multimillion-dollar wave of advertising that rivals the ferocity of a presidential campaign takes aim at about 40 House Democrats whose votes will help determine the fate of President Obama's top domestic priority," the New York Times reports.

• "A coalition of business groups is hoping geeks rule the school in the next decade. To help make that happen, the new group launched a lobbying campaign late last week to press lawmakers for more federal dough for math and science education programs," Roll Call (subscription) reports.

• "The senior attorney at the U.S. Chamber of Commerce said the Supreme Court's loosening of campaign finance restrictions will have little effect on the group's politicking," The Hill reports. "Steven Law, chief legal officer and general counsel for the Chamber, said the biggest beneficiary of the Citizens United vs. Federal Election Commission decision would be the labor movement."

• "Spending records indicate the House's two-tier ethics process spent a combined $3.76 million in 2009, with both investigative bodies reporting spending less than their authorized budgets even as the number of inquiries appears to have significantly increased over the previous Congress," Roll Call (subscription) reports.

JCPenney Leaving NRF

Fri, 12 Mar 2010 19:22:02 GMT

Retailer JCPenney will not renew its membership in the National Retail Federation.

In a March 10 letter to NRF Chairman Terry Lundgren, JCPenny CEO Myron Ullman said his company will leave the trade group and focus its resources on the Retail Leaders Association (RILA).

"Given the gravity of the issues currently facing large employers -- and specifically large retail emplyers -- we have made a decision to focus all of our industry advocacy through RILA. Therefore, I am resigning as a director of NRF and JCPenney will not be renewing its NRF membership as of April 1," wrote Ullman.

The two retail associations were poised to merge last summer, but ultimately RILA decided not to consummate the deal.

K Street Paradox

Fri, 12 Mar 2010 14:00:00 GMT

This week's advocacy and lobbying stories in National Journal: (subscription)

"K Street Paradox:" In this week's special report on lobbying: President Obama's fight against special interests boomerangs as lobbying firms just get richer.

"Q & A With Obama's Ethics Gate Keeper:" Norman Eisen, special counsel for ethics and government reform, answers the president's critics.

"Top Lobbying Firms and Spenders:" A list of top lobbying firms and top spending organizations in 2009.

"Lobbyists Go Full Tilt In Health Fight:" The gloves are off as the forces of pro and con clash over the reform bill in Congress.

"On The Move:" Lisa Rickard, president of the U.S. Chamber of Commerce's Institute for Legal Reform, has been promoted to executive vice president of the chamber; The Podesta Group has added three strategists: Gwen Mellor, Jennifer Bowman, and Melissa Merz; Fresh from a stint in Vice President Biden's office, Moe Vela has signed on as a partner with law firm Holland & Knight.

Conservative Group Targets Reid

Fri, 12 Mar 2010 13:30:00 GMT

From this morning's Earlybird:

• "The American Future Fund, a conservative advocacy group, has placed a new $250,000 television ad buy targeting Senate Majority Leader Harry Reid (D-Nev.) over Democrats' procedural maneuvering on the health care bill," Roll Call reports.

• "As lawmakers imposed another restriction Thursday on congressional earmarks, private companies and lobbyists defended their work in securing federal money for what they deemed worthy projects," the Washington Post reports.

Chamber Ads Divide Small Biz

Thu, 11 Mar 2010 21:56:19 GMT

(Credit: Richard A. Bloom)

Updated with U.S. Chamber comment at 12:09 p.m. on March 12.

The U.S. Chamber of Commerce says it's fighting for small businesses, but not all small-business owners appreciate the effort.

After the chamber's launched its $4 million ad campaign against the health care bill Tuesday, the progressive Main Street Alliance pushed back, saying its members were being misrepresented and left without voice in the reform debate.

The Main Street Alliance, which represents about 10,000 small-business owners, is taking an aggressive stance against the chamber's ads and sent a handful of its members to protest an insurance industry convention this week. Illinois small-business owner Dan Sherry, who sits on the group's national board, said he was "at the front lines" of the protest because the alliance "wants Congress to listen to small-business owners, not the chamber." After the protests, Sherry met with a number of Illinois legislative aides to discuss his coalition's outlook.

"The U.S Chamber claims they talk for us when the truth is they're a fully owned subsidiary in the pockets of the insurance companies," Sherry said. "They represent strictly large businesses. To me it's an absolute tragedy that most Americans think that whatever the chamber says is the voice of small business when it's not."

That's not an accurate portrayal of the group's motives, says James Gelfand, the chamber's senior manager of health policy, who claims the reform stance "is 100 percent driven by the effects that it would have on premium payers, not on the people who would collect premiums."

While MSA supports the Senate health care bill because it "provides subsidies, helps small businesses provide for their employees and levels the playing field," Employers for a Healthy Economy, a group that supports the chamber's ad campaign, countered that the bill is "unaffordable" and will end up costing small businesses more in state penalties.

House Mulls Options On Campaign Finance Reform

Thu, 11 Mar 2010 21:48:28 GMT

House Capital Markets Subcommittee Chairman Paul Kanjorski, D-Penn., said at a hearing this morning that we may be on the way to a Constitutional Convention due to repeated Supreme Court decisions scaling back campaign finance law in the name of the First Amendment. Such an event, however, could actually wind up harming the Constitution by paring it down, he said.

In the meantime, "We need a legislative response to Citizens United to restore balance in our Democratic system," Kanjorski said, referring to a January campaign finance decision allowing corporations to make unlimited independent expenditures to support or oppose candidates in elections. He advocated for empowering shareholders to weigh in on political decisions and for boosting disclosure requirements.

The hearing examined the Shareholder Protection Act of 2010, introduced by Rep. Mike Capuano, D-Mass., among other corporate governance measures that would empower shareholders to vote on companies' political spending decisions. Such measures aim to slow the influx of corporate cash and provide a check on the corporate executives' new leeway to dip into company treasuries to make political ad-buys. "Shareholders should not expect that a company will invest in candidates that the shareholders themselves do not support," Kanjorski said.

The proposal came under fire by a witness who said shareholders can take their money elsewhere if they do not like corporations' spending decisions. "Shareholders can sell their shares," said J.W. Verret, an assistant professor at George Mason University School of Law. He added that protections already exist to prevent questionable practices, such as audit committees and anti-corruption laws.

Under The Influence

Gillespie Raising Funds For New 527

Advertisement

Patton Boggs Hires Telecom Counsel

Advertisement

Tauzin Weighs Options

Advertisement

Retail's Newest Leader

Advertisement

Financial Legislation Roils K Street

Advertisement

WH Pushes Agency Transparency

Advertisement

Business Lobby Picks At Dodd's Bill

Advertisement

Oil, Nuclear Giants Top '09 Spenders

Advertisement

Big Changes For Nonprofits

Advertisement

Health Care Advertising Reaches Fever Pitch

Advertisement

JCPenney Leaving NRF

Advertisement

K Street Paradox

Advertisement

Conservative Group Targets Reid

Advertisement

Chamber Ads Divide Small Biz

Advertisement

House Mulls Options On Campaign Finance Reform

Advertisement