"ONE NATION, UNDER THE DOLLAR,
WITH LIBERTY AND JUSTICE FOR NONE" II

The New Spoils System
OR
Hillary's "Vast Right Wing Conspiracy" Really Exists

There is much, much more to the dollar's rule over Washington than might have been suggested by yesterday's Real Art post that linked to the AP's simple illustration of how incredibly wealthy campaign donors usually get the legislation that they want. Believe it or not, the situation is even more disturbing: the Republicans, quite literally, are taking control of the corporate lobbyists, thereby squeezing the Democrats out of the law-making process altogether. The forces of darkness are effectively shooting for one-party rule.

From this month's Washington Monthly magazine, via Eschaton:

If today's GOP leaders put as much energy into shaping K Street as their predecessors did into selecting judges and executive-branch nominees, it's because lobbying jobs have become the foundation of a powerful new force in Washington politics: a Republican political machine. Like the urban Democratic machines of yore, this one is built upon patronage, contracts, and one-party rule. But unlike legendary Chicago mayor Richard J. Daley, who rewarded party functionaries with jobs in the municipal bureaucracy, the GOP is building its machine outside government, among Washington's thousands of trade associations and corporate offices, their tens of thousands of employees, and the hundreds of millions of dollars in political money at their disposal.

At first blush, K Street might not seem like the best place to build a well-oiled political operation. For most of its existence, after all, the influence industry has usually been the primary obstacle to aggressive, ambitious policy-making in Washington. But over the last few years, Republicans have brought about a revolutionary change: They've begun to capture and, consequently, discipline K Street. Through efforts like Santorum's--and a House version run by the majority whip, Roy Blunt (R-Mo.)--K Street is becoming solidly Republican. The corporate lobbyists who once ran the show, loyal only to the parochial interests of their employer, are being replaced by party activists who are loyal first and foremost to the GOP. Through them, Republican leaders can now marshal armies of lobbyists, lawyers, and public relations experts--not to mention enormous amounts of money--to meet the party's goals. Ten years ago, according to the Center for Responsive Politics, the political donations of 19 key industry sectors--including accounting, pharmaceuticals, defense, and commercial banks--were split about evenly between the parties. Today, the GOP holds a two-to-one advantage in corporate cash.

That shift in large part explains conservatives' extraordinary legislative record over the last few years. Democrats, along with the press, have watched in mounting disbelief as President Bush, lacking either broad majorities in Congress or a strong mandate from voters, has enacted startlingly bold domestic policies--from two major tax cuts for the rich, to a rollback of workplace safety and environmental standards, to media ownership rules that favor large conglomerates. The secret to Bush's surprising legislative success is the GOP's increasing control of Beltway influence-peddlers. K Street used to be a barrier to sweeping change in Washington. The GOP has turned it into a weapon.

Much of this shift in Republican strategy has been unreported by most of the mainstream news media so far. It is frighteningly reminiscent of Senator Palpatine's behind the scenes political maneuverings and secret invokings of the dark side of the Force in the new crop of Star Wars films--life imitates art.

How are the Republicans pulling this off? According to the article, the GOP is essentially saying to lobbying firms and trade organizations that if they want to get their wish-list of bills passed, they'd better hire only hand-picked Republican operatives, or else--of course, purging Democrats from the lobbyist rolls is also a requirement for inclusion in this new Republican game. Corporations are falling over themselves to accommodate this arm-twisting; in some ways they see it as a win-win situation.

The GOP stands to reap massive rewards from this new arrangement. Again from the Washington Monthly article:

Day-to-day, the most trusted lobbyists--like those who attend Santorum's meetings--serve as commissars, providing the leadership with eyes and ears as well as valuable advice and feedback. And generally, placing party surrogates atop trade associations makes them more responsive to the party's needs. However, the K Street strategy also provides the GOP with a number of specific advantages. From a machine perspective, such jobs are far more useful than appointive positions in the executive branch. Private sector work has none of government's downside. Political machines thrive on closed-door decision-making; on K Street, there's no other kind. Neither are trade associations subject to inspector generals or congressional oversight; there are no rules against whom you can meet with, no reporters armed with FOIAs. These jobs also make for better patronage. Whereas a deputy undersecretary might earn $140,000, a top oil lobbyist can make $400,000. Controlling K Street also helps Republicans accumulate political talent. Many ex-Clintonites who might have wanted top lobbying positions couldn't get them, and so left Washington for posts at universities, corporations, and foundations elsewhere. But the GOP, able to dole out the most desirable jobs, has kept more of its best people in Washington, where they can be hauled out for government or campaign work like clubs in a golf bag.

But jobs and campaign contributions are just the tip of the iceberg. Control a trade association, and you control the considerable resources at its disposal. Beginning in the 1990s, Washington's corporate offices and trade associations began to resemble miniature campaign committees, replete with pollsters and message consultants. To supplement PAC giving, which is limited by federal election laws, corporations vastly increased their advocacy budgets, with trade organizations spending millions of dollars in soft money on issue ad campaigns in congressional districts. And thanks to the growing number of associations whose executives are beholden to DeLay or Santorum, these campaigns are increasingly put in the service of GOP candidates and causes. Efforts like the one PhRMA made on behalf of Bush's Medicare plan have accompanied every major administration initiative. Many of them have been run out of the offices of top Republican lobbyists such as Ed Gillespie, whose recent elevation to chairman of the Republican National Committee epitomizes the new unity between party and K Street. Such is the GOP's influence that it has been able to marshal on behalf of party objectives not just corporate lobbyists, but the corporations themselves. During the Iraq war, for instance, the media conglomerate Clear Channel Communications Inc. had its stations sponsor pro-war rallies nationwide and even banned the Dixie Chicks, who had criticized White House policy, from its national play list. Likewise, last spring Norquist and the White House convinced a number of corporations and financial services firms to lobby customers to support Bush's dividends tax cut. Firms like General Motors and Verizon included flyers touting the plan with dividends checks mailed to stockholders; Morgan Stanley included a letter from its CEO with the annual report it mailed to millions of customers.

The Republicans are going for the ultimate power grab, all the marbles. Most people have absolutely no idea of what is happening. I strongly urge you, dear readers, to read the rest of this article; it's a bit long, which is why I have posted longer quotes here, but it is well worth the read. The stakes involved are extraordinarily high.

"Alarmism in defense of liberty is not a vice."

Click here.

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