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Counterfeit Lobbyists Flood Washington

Carol Felsenthal 4 February 2009 3 Comments

Among the revelations swirling about former Senate Majority Leader Tom Daschle—besides the headline that he initially failed to pay taxes for a car and driver provided him over three years by a wealthy supporter– prompting him on Tuesday to withdraw his name as President Obama’s nominee to be Health and Human Services Secretary, one stood out: Since losing his Senate seat in 2004 in a harshly contested race, the former Senator from South Dakota leveraged his insider’s knowledge of Washington to earn some $5 million.

Sitting on the board of the private equity firm owned by the man who provided him the car and driver brought Daschle more than two million dollars. (Daschle paid $128,000 in back taxes for the value of three years worth of that fancy perk, which he did not declare, but should have declared, as income.)

Another $2 million-plus came Daschle’s way for working for the government relations department of Alston & Bird , a law and lobbying firm,.

Daschle who is not a lawyer—he holds a B.A. from South Dakota State– but knew from years in the Senate how to turn the levers of government, was not officially registered as a lobbyist, but lobbying is certainly what he spent considerable time doing. According to the New York Times, the former Senator had “an array of clients seeking influence with the government, including concerns involved in Indian gambling, ethanol, health care, telecommunications and federal contracting.” (The mega insurance conglomerate UnitedHealth was a Daschle client.)

Technically, Obama could claim that nominating Daschle to a cabinet position did not break the new President’s no-lobbyists-in-my-administration pledge because Daschle did not officially register as a lobbyist. But he did advise businesses and their lobbyists on the tricks of influencing policy and legislation. So what’s the difference?

This scenario reminded me of Chicago Mayor Richard M. Daley squealing with indignation during the general election campaign last year when, in an ad for John McCain, the Mayor’s brother, Bill, Commerce Secretary in the Clinton administration, was described as a lobbyist.

As I wrote at the time, the Mayor could squeal all he liked—it’s true that Bill Daley never registered as a lobbyist–but a lobbyist is precisely what Bill Daley was—when he was a partner at Mayer, Brown & Platt; when he worked for SBC. In his high-pitched defense of his brother, the Mayor was squeezing through the same loophole that allowed President Obama to nominate Tom Daschle and to stand by that nomination until Daschle withdrew on his own—or perhaps was pushed by Obama’s people.

President Obama had promised to wedge a stopper in the revolving door between government service and lobbying. If he really means it, he should urge the Congress to craft legislation to close this loophole.

If it sits in the back of a limousine like a lobbyist, schmoozes like a lobbyist, dresses like a lobbyist, deals like a lobbyist, whether it’s registered or unregistered, it’s still a lobbyist.

**
Carol Felsenthal is a regular columnist for the Chicago Daily Observer

3 Comments »

  • M J Bernard said:

    Amen!

    Daschle is a scumbag–which is why he is so universally loved on both sides of the aisle and idolized by the small-time lobbyists.

    He even tried to sell his “buddy” that loaned him the limo and driver for years on end as the “perfect pick” for Commerce Secretary. I bet!

    http://www.associatedcontent.com/article/1448924/daschle_out_panetta_in_the_revolving.html?cat=75

    mB

  • Bob \"Hutch\" Hutchinson said:

    I agree COMPLETELY with your analysis. As usual you\’ve cut right to the heart of the matter. I\’m glad someone in the print media is watching out for us.

    My wife and I thought we did all the \"right things\" to make our retirement years secure. We played by the rules all our adult lives. We worked hard, every paycheck we put \"long term savings into a 403B, we purchased a nice home that was WITHIN OUR BUDGET and then we watched over 32 YEARS WORTH OF SAVINGS practically disappear in a few months. Meanwhile, the robber barons on Wall Street plus the tax cheating \"non-lobbyist\" politicians in Washington (both Republican and Democrat)get richer and richer. My wife said the only HOPE she has is that the rest of our savings won\’t disappear altogether and the only CHANGE coming is she\’ll probably have to work a lot longer…….if she can remain employed.

  • R E Stewart said:

    Long way from South Dakota State. How else do you climb up the greased pole of power but my standing on top of hundreds of compromises and deals and favors. Dasch is not a lobbyist and corporate presidents will only get $500,000 a year.
    In 100 years we are accomplishing what it took the Romans a thousand. Impressive.

    Forgive me, I digress: Did you see Blogo on Letterman? Dave was impressed with the guy’s entertainment value. High praise indeed.

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