Lobbyists out of shadows into the spotlight.docx
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Lobbyists out of shadows into the spotlight.docx
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Lobbyistsoutofshadowsintothespotlight
LobbyistsOutOfShadowsIntoTheSpotlight
Lawyersandpublic-relationsconsultantshavereplacedtheshadyoperatorsofthepast,butthegamehasnotchanged.
TheReganadministration’stax-reformproposalisonlythelatestprimetargetofthefast-expandingarmyoflobbyistswhomakeupWashington’shottestgrowthindustry.
Recentyearshaveseenanexplosioninthenumberofadvocateshiredbycorporations,laborunions,individualsandotherspecialinterestswhowanttoinfluenceactionsoftheWhiteHouse,Congressandregulatoryagencies.Expertsestimatethatmorethan15,000permanentorpart-timelobbyistsarenowoperatinginthecapital,doublethenumberof10yearsago.
Whoarethesepeople?
Howdotheyearntheirpay?
Howeffectivearethey?
Lobbying,apracticeasoldasthenation’sgovernment,gotitsnamefromthecozyrelationshipstuckupinlobbiesoftheCapitolandnearbyhotelsbetweenmembersofCongressandthoseseekingfavor.Intheearlydays,companieswouldoftensealthevoteofapoliticianbysimplyputtinghimonretainer.
Shadyreputation.Lobbyistsquicklydevelopedanunsavoryreputationofbeingbagmenwhoconductedthepeople’sbusinessaroundthepokertable.Despiteperiodicscandalsanddemandsforreform,Congresshasbeenreluctanttotemperwithlawsguaranteeingtherightofcitizenstopetitiontheirgovernment.
Therearestillreportsoflobbyistsengaginginunderhandedpracticesorchargingclientsfatfees─$50foratelephonecallwhetherthesubjectanswersornot,or$4,000forabriefmeetingwithanofficial.
Yetlobbyistsinsistthesinisterimageoftheiroccupationhasfadedovertheyears,andtheyhaveevenformedtheirownassociation─theAmericanLeagueofLobbyists.
Saysoneveteranoperator:
“Boozeandbroadsdon’tworkanymoreandhaven’tforalongtime.Itisaprofessionalundertakingnow.”
Lobbyistscomeinavarietyofguises,butlawyers,trade-associationrepresentativesandpublic-relationshipsconsultantsdominatethefield.Manywomenhaveinvadedaprofessiononcerestrictedlargelytomen.
Anumberoflobbyistspreviouslyservedinkeygovernmentposts.Therostersincludedmorethan300formermembersofCongress,cabinetandWhiteHouseofficialsandcongressionalaids.
Saysanex-congressmanwhorepresentsatradeassociation:
“Knowingyourwayaroundtownandhavingaccesstoimportantpeopleiscriticaltosomeonewhohasaproblemandisbewailedabouttheintricaciesofgovernment.”
Abuyer’smarket.Lobbyfirmsconeinallsizes.Therearethejumbooutfitssuchasthe100-memberGray&Company,headedbyRobertGray,whoiswellconnectedintheRepublicanParty.Gray’sfirm,likemostinthefieldtoday,iscarefullybipartisanandincludesprominentDemocratsinordertoinfluencepubicofficialsfrombothpoliticalparties.
Foreverylargelobbyingfirmdoingbusinessoutofaplushdowntownbuilding,therearescoresoftinyoperationsthatoftendealinspecializedissues.StanlyBrand,alawyerwhoonceseveredascounseltotheHouseoftheRepresentatives,saysofsmalloutfits:
“Wecanbealotmoreefficientthanthelargefirms,andsomeclientsaren’talwaysinterestedinthebighitters”.
Lobbyingisbigmoney.Ahighpoweredorganizationwillchargeanannualretainerof$200,000ormore.Hourlyfeesorangeupto$400forthesuperlobbyists.Toputonwinning,somecontractsinclude“successbonus”clauses.
WithmillionsorevenbillionsofdollarsonthelineinbillsbeforeCongress,thestakesrunhigh.Insomemajorbattles,suchasthe1979proposaltobailoutthefinanciallyailingChryslerCorporation,morethanonefirmishiredtopersuadelawmakers.
GaryHomely,alobbyistwhousedtoworkforHouseSpeakerThomas“Tip”O’Neill,explains“Theothersideisgoingtobeorganizedtofightinwhatisbasicallyanadversarialsystem.Soyourprospectiveclienthadbetterbeorganized,too.”
LobbyistsareoftenhirednotsomuchtoinfluenceofficialsastofindoutwhatisgoingoninWashingtonthatcouldaffectaclient.SaysHowardLiebengood,whoworkedforformerSenateMajorityLeaderHowardBakerbeforeopeninghisownfirmlastyear:
“we’reprimarilyintelligencegathers.Ourcrudityisthemostimportantthingwe’vegot.”
Somefirms,suchasonehead3edbyNancyReynolds,afriendoftheReagans,andAnneWexler,aformerkeyaideintheCarterWhiteHouse,specializeincoalitionbuildingandgrassrootslobbying.MountingadrivetogetvoterstoworkonmembersofCongressThroughletters,telephonecallsandpersonalvisitscanhaveenormousimpact.
CharlsWalker,aleadingtaxlobbyist,notes:
“First,lastandalways─it’sthepeopleathomethatnearestanddearesttotheheartsofcongressmen.”
Example:
In1983,banksandsavingsinstitutionstouchedoffafloorof13millionpostcardsandlettersthat
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