Blog Posts in Lobbying and Ethics

How to Strengthen Transparency in the U.S. Open Government Plan

 

Yesterday, OMB Watch submitted its recommendations for the Obama administration's national plan for the Open Government Partnership (OGP). The administration will unveil its plan, with new concrete commitments to increase transparency, at the international OGP meeting on Sept. 20.

Seven other countries will also announce their national open government plans at that summit, organized around the United Nations General Assembly meeting. For the U.S. as well as the other participants, OGP has been an impetus to action for transparency. The national plan to be released in September is an important opportunity for the administration to expand on its progress in strengthening open government in order to empower Americans and build a better democracy.

In blog posts on Aug. 8 and Aug. 22, the administration asked for feedback on six topics to inform the development of its national plan. Reforms in these areas, including improving federal websites and promoting corporate accountability, would constitute a positive agenda for the U.S. Open Government Plan.

Our comments offer recommendations on each of the six topics. Among the ideas offered, OMB Watch encouraged the administration to:

  1. Transform Regulations.gov into a one-stop shop for citizens to learn about rulemaking
  2. Establish federal website standards that encourage proactive disclosure, identification of public priorities, and visualization tools
  3. Improve Data.gov with common data formats, identifiers, and user-friendly interfaces
  4. Strengthen records management with smarter IT investments and email policy
  5. Make regulatory compliance information more user-friendly
  6. Promote corporate accountability with better disclosure

In addition to these comments, OMB Watch has consulted with the administration on other topics that would make excellent contributions to the U.S. Open Government Plan. Meaningful reforms to the six consultation topics would be a significant step forward, but we hope that the administration will consider additional initiatives as well. For instance, the White House could establish an award, similar to the SAVE Award, to recognize the best contributions to open government by federal employees. Such an award could be an important way to foster a culture of openness within government and would be a helpful complement to the policy reforms the administration is considering.

We invite readers to join the discussion by sending their thoughts on the six topics by email to opengov@ostp.gov.

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(Gavin Baker 09/01/11; 3 comments)

Let's Have Contractor Disclosure Already

 

Last week, a group of more than 60 House lawmakers sent a letter to President Obama offering their "full support" for final release of a proposed executive order (EO) that would require disclosure of contractors' political spending. After more than three months of baseless attacks on the prospective EO from a relentless special interest smear machine, it's time for the president to establish this basic measure of accountability within the federal contracting system.

A disclosure document

When last we checked in on the EO, reactionary congressional members were attempting to preempt the order through amendments to defense authorization bills and several appropriations measures. The amendments would prevent federal agencies from using appropriated funds to implement “any rule, regulation or executive order” regarding contractor disclosure of political contributions.

This is amazing for several reasons, foremost among them, as Lisa Rosenberg at the Sunlight Foundation points out, being that members are legislating against a boogeyman. "Opponents of disclosure are responding to a draft EO," showing 1) how fearful big business is of this potential piece of transparency – providing further justification for the order in my book – and 2) how beholden many members of Congress are to the Chamber of Commerce and other corporate special interests.

Sunlight recently released an analysis of a small group of Democratic House lawmakers who voted in favor of one of the anti-disclosure amendments, showing just how beholden some are. Not surprisingly, "On average, the 18 ... members received about 63 percent of their campaign contributions from corporate sources for the 2010 election," with several of them taking in more than 80 percent.

Notwithstanding this minority contingent, the 62 Democratic House members supporting the president have this right. As Rosenberg mentions, the government has always stipulated conditions, including reporting requirements, for receipt of taxpayer dollars through a federal contract, and, "Disclosure of contributions is no more burdensome than any other check imposed on potential contractors." In other words, disclosure of political spending is a reasonable requirement for doing business with the federal government.

Importantly, though Congress has added amendments to both House and Senate defense authorization bills and several House appropriations bills, no final piece of legislation has come across the president's desk with an anti-disclosure amendment attached to it. Before Congress forces him to choose between rejecting an unjust amendment and funding important government programs, President Obama should implement his disclosure EO.

Image by Flickr user Gamma-Ray Productions used under a Creative Commons license.

(Gary Therkildsen 08/02/11; 0 comments)

Big Business Still Fighting Like Mad Against Disclosure EO*

 

On Wednesday, a veritable who's who of business interests wrote to the Senate Armed Services Committee to cheerlead an anticipated amendment from Sens. Susan Collins (R-ME) and Rob Portman (R-OH). Expected during markup of the fiscal year (FY) 2012 Senate defense authorization act, the amendment would prohibit the Department of Defense (DOD) from implementing President Obama's draft executive order (EO) on contractor disclosure, should he sign it.

Filthy rich businessmen simply do not care for disclosure

With dim prospects of passing stand-along legislation, it seems opponents of the president’s draft disclosure EO are throwing everything they have against the wall and hoping something sticks. Republicans have now added anti-disclosure amendments to the FY 2012 House financial services appropriations bill and the House defense authorization bill.

It’s likely that these amendments will be stripped out by the Senate or killed in conference when the two chambers hash out differences between the bills, but opponents hope that by sticking anti-disclosure language in as many bills as possible that one of the amendments might get through.

Of course, any surviving language would have to get past President Obama’s veto pen, but opponents want to force the president to make the tough choice between rejecting an anti-disclosure amendment and implementing an important funding or authorization bill.

In response to Big Business’ note to the Senate Armed Services Committee, OMB Watch sent our own letter voicing strong opposition to the Collins-Portman amendment, observing:

The contractor disclosure draft executive order under consideration by President Obama is a step in the right direction to mitigate the effects of the millions of dollars of political campaign contributions by Big Business that will flood federal elections as a result of the Citizens United decision.

Which, as Ben Freeman explained recently, is why the bevy of trade groups – everyone from the American Frozen Food Institute to the Wyoming Stock Growers Association – signed onto the industry letter: the very same entities that are resisting disclosure have a stake in ensuring that the public is unaware of the undue influence they garner through contributions.

*The Senate Armed Services Committee voted to approve the Collins-Portman amendment and it is now included in the Senate's FY 2012 defense authorization act. However, the committee has yet to release the amendment's final language (we hear changes were made) or the vote tally.

Image by Flickr user rutty used under a Creative Commons license.

(Gary Therkildsen 06/17/11; 0 comments)

WaPo and the GOP Take Aim at Disclosure EO

 

In a thoroughly confused editorial published last weekend, the Washington Post told readers it simply does not care for President Obama’s draft executive order (EO) on contractor disclosure, claiming it’s “uneasy” with the “well-intentioned but flawed” proposal. Coming to the Post’s rescue, though, congressional Republicans have introduced stand-alone legislation similar to the recently passed Cole amendment that would prevent federal agencies from requiring contractors to disclose political spending to the public.

Kaplan Inc. and the Global Oppression Party

Following the flawed assumptions of most major news outlets, the Post believes that the truth in the disclosure EO battle lays somewhere between good government supporters and conservative critics.

Thus, while bemoaning the “gusher of secret money … flowing into the political system” since Citizens United, the WaPo’s purveyors of beltway conventional wisdom borrow the Chamber of Commerce’s talking points to decry the president’s “end run around” both Congress and the Supreme Court through “executive fiat.”

If all of that seems to miss the mark, it’s because it does. As OMB Watch has pointed out several times, it is perfectly within the president’s power to sign an EO requiring contractors to disclose their political spending as a condition of bidding on federal contracts.

As Gary Bass, our executive director, argues in response to the Post’s editorial, “The president should be applauded for not sitting on his hands” while Congress is gridlocked and “powerful special interests, many of which bid on federal contracts, continue to pour huge sums of money into the political system without meaningful accountability or disclosure.”

If Republicans – and some Democrats – in Congress have their way, though, it won’t matter whether President Obama signs the draft EO. Introduced as companion legislation at the end of May by Rep. Darrell Issa (R-CA) and Sen. Susan Collins (R-ME), the nauseatingly titled “Keeping Politics Out of Federal Contracting Act” would negate any policy requiring contractor disclosure.

Talk about beating a dead horse. It seems the only argument opponents of the draft disclosure EO can get the public to respond to is claiming that requiring potential contractors to disclose their political spending to the public will somehow introduce politics into federal contracting.

Ben Freeman over at the Project On Government Oversight (POGO), does a good job of refuting this line of attack, noting that those who are arguing most vehemently against the draft EO stand to benefit from the status quo; that plenty of states and localities require similar disclosure; and that Citizens United supports this very policy.

Despite the witty title, the Keeping Politics Out of Federal Contracting Act doesn’t stand much of a chance as long as President Obama is holding the veto pen. Still, the president should sign the draft EO as soon as possible, setting the stage for comprehensive campaign finance reform in a post-Citizens United world.

Image by Flickr user happy via used under a Creative Commons license.

(Gary Therkildsen 06/10/11; 0 comments)

House Stands Up for Big Business, Spurns Transparency*

 

On Wednesday evening, during House debate of the fiscal year (FY) 2012 defense authorization bill, Rep. Tom Cole (R-OK) introduced and won agreement to an amendment that would prevent the federal government from requiring potential contractors – which would include many large corporations – to disclose their political contributions to the public.

The amendment is a direct challenge to the Obama administration's draft executive order (EO) on contractor disclosure, a common sense transparency initiative supported by many small businesses, the good government community, and advocates for campaign finance reform, and rabidly opposed by big business and their agents in Washington.

GOP: How dare average citizens demand that powerful business interests disclose how they’re influencing the political process.

The amendment passed 261-163, with all but one Republican having voted in the affirmative. Given the conservative makeup of the House, along with the GOP's fidelity to corporate interests and its reflexive responses to most of President Obama's policies, the final vote isn’t surprising.

The amendment's adoption, however, should extinguish any lingering doubts that the House majority’s championing of government transparency is anything but empty rhetoric. It seems House Republicans are for openness only if it has the potential to embarrass or score political points against the Obama administration, and as long as it doesn’t challenge entrenched special interests.

In addition to the entire Republican caucus – sans a very brave Walter Jones Jr. (NC) – 26 Democrats broke ranks to back the Cole anti-transparency amendment – demonstrating that powerful special interests also have their grasp of many within the House minority.

The following members – who have heavy concentrations of federal contractors in their districts, are beholden to business interests in general, or are members of the conservative Blue Dog Coalition – should be ashamed of their votes:

Jason Altmire (PA)Norm Dicks (WA)Collin Peterson (MN)
John Barrow (GA)Marcia Fudge (OH)Mike Ross (AR)
Sanford Bishop (GA)Eddie Bernice Johnson (TX)Dutch Ruppersberger (MD)
Dan Boren (OK)Jim Matheson (UT)Bobby Scott (VA)
Russ Carnahan (MO)Mike McIntyre (NC)Heath Shuler (NC)
Ben Chandler (KY)Gregory Meeks (NY)Jackie Speier (CA)
Gerry Connolly (VA)Jim Moran (VA)Bennie Thompson (MS)
Jim Cooper (TN)Bill Owens (NY)Maxine Waters (CA)
Henry Cuellar (TX)Ed Pastor (AZ)

As if reading from the same Chamber of Commerce talking point, backers of Cole’s amendment and similar stand-alone legislation recently introduced in Congress uniformly contend they’re trying to prevent the White House from injecting politics into the federal contracting process.

As Sean Parnell of the conservative, let's-allow-unlimited-corporate-money-to-dominate-the-political-process Center for Competitive Politics ridiculously claims: the Cole amendment is a “strong rebuke to the executive branch's effort to bring politics into the federal contracting process and enable the creation of a Nixon-style Enemies List.”

This nonsensical line of reasoning is wrong for two reasons. First, the draft EO says nothing about requiring federal agencies to examine a potential contractor’s political spending. The disclosure is for the benefit of the public and the public alone. Moreover, if there’s a concern about potential abuses, opponents could be arguing for the White House to tweak the EO to make it clearer on this point, resolving any potential concern.

Second, opponents have it backwards: the disclosure EO wouldn’t introduce a pay-to-play scheme in contracting – as it already exists – but would actually help to root it out. Large contractors, like Boeing and General Electric (GE), pool millions of dollars together through political action committees (PAC), and in turn contribute to public officials. These companies don’t selflessly contribute this money; they treat it as an investment and expect a reasonable return.

And the situation has only gotten worse since the Supreme Court’s Citizens United decision last year, as even more money is pouring into our campaign system through obscure third party groups.

Of course, plenty of state and local governments have adopted disclosure initiatives similar to the draft EO in an attempt to battle pay-to-play contracting. And those initiatives are paying off. If states are the laboratory of our democracy, then it makes sense to take those policies that states have made work and apply them at the federal level.

*This post has been updated to better reflect the mission of the Center for Competitive Politics (CCP). In response to this post, CCP President Sean Parnell complained that OMB Watch "falsely sez [sic] CCP opposes all disclosure." It was wrong of me to make that claim, because CCP supports the disclosure, as Sean says, of "large contribs [sic] to candidates/parties."

Of course, that's the problem with limited disclosure, especially in a post-Citizens United environment: it does nothing to check the powerful "free speech" (i.e. spending ability) of corporations from running roughshod over the voices of average citizens. Championing limited disclosure, however, does allow an organization like CCP to claim support of "disclosure" all the while attacking any policy that impinges on corporations' ability to determine the outcome of elections.

Image by Flickr user Craig S used under a Creative Commons license.

(Gary Therkildsen 05/27/11; 2 comments)

U.S. Chamber Kicks off Barrage against Disclosure EO*

 

Signaling the first wave of attacks on President Obama's draft executive order (EO) requiring disclosure of political donations by potential federal contractors, the U.S. Chamber of Commerce, utilizing their Astroturf group, Friends of the U.S. Chamber of Commerce, sent out an absurdly deceptive email alert last week calling on supporters to resist the White House's latest transparency effort.

One corporate hack awarding another.

The Chamber and other opponents of the disclosure EO are using the disingenuous one-two punch of accusing the president – as Hans von Spakovsky, the individual who brought the leaked draft to light, claims – of acting through "executive fiat" to introduce a "pay-to-play" scheme in federal contracting.

Big business interests must be hoping the public doesn't delve into this exceptionally flawed argument.

As we explained in our most recent issue of The Watcher, President Obama is perfectly within his constitutional and legal authority to require potential contractors to disclose their campaign contributions.

Moreover, the fantasticalness of the accusation that the president is introducing a pay-to-play scheme into federal contracting, where a contracting officer (CO) judges a potential contractor on political contributions rather than merit, would make Karl Rove blush. The effort is designed to eliminate pay-to-play, and the EO is void of any mention of COs using contribution disclosure information in contracting decisions.

But even if the president isn't making an unprecedented power grab or installing a pay-to-play contracting scheme, doesn't his proposed EO reek of partisanship, as Wall Street Journal columnist Kim Strassel argues, because it fails to require "all the (liberal) entities that get billions in taxpayer dollars via federal grants and funding – unions, environmental groups, Planned Parenthood – to disclose also"?

Well, no, because the overwhelming majority of federal grants go to state and local governments, nonprofit C3s, and higher ed. organizations, which cannot engage in electioneering. In fact, over 98 percent of federal grants went to those three categories in 2007, the last full year data are available from FedSpending.org.

In addition, specifically concerning unions, as we explained in our recent Watcher piece: "like any other potential contractor, a union would have to disclose its political contributions if it bid on a federal contract." And unions do bid on federal contracts.

No one in the business community, or those representing its interests, is willing to admit it, but "lobbying expenditures and campaign contributions," as Scott Amey of the Project on Government Oversight (POGO) describes in his post on the EO, have long had an "insidious effect" on the federal contracting process. Look no further than the recent Boeing tanker scandal for proof.

President Obama's draft EO, if signed, will only marginally improve the process, but it will be an important first step. But because it threatens the ability of business interests to pour untold sums of anonymous money into the political process, be prepared to witness continuous blatant misrepresentations like the Chamber's recent efforts.

* This post has been corrected to better reflect the share of federal grants disbursed to entities not permitted to electioneer.

Image by Flickr user Rep. Virginia Foxx used under a Creative Commons license.

(Gary Therkildsen 05/11/11; 0 comments)

House Budget: More Exemptions and Lower Payments for Big Oil

 

In the latest issue of The Watcher, OMB Watch discusses (here and here) the recently passed House budget and the many non-budget provisions attached to it, including the anti-environmental riders that prevent the Environmental Protection Agency (EPA) and other agencies from doing this or that. For example, House lawmakers thought it best to approve amendments preventing the EPA from implementing greenhouse gas limits on major carbon polluters or finishing a rule curbing particulate matter pollution.

But just as interesting are some of the riders that were voted down. An amendment that would have limited oil and gas companies’ ability to pillage public resources without paying royalties to the government was rejected. In fact, the vote wasn’t even close, 174-251, with 25 Democrats joining 226 Republicans in voting down the measure.

Royalty waivers are granted to companies in an attempt to incentivize deepwater drilling in the Gulf. (Yes, like the kind BP was conducting at the Deepwater Horizon rig.) However, the waivers were supposed to expire when energy prices rose. “But in a now-infamous and expensive goof, the Department of Interior left the price ceilings out of leases issued in 1998 and 1999, thereby allowing royalty-free production at any oil and natural-gas price,” according to The Hill energy and environment blog.

The amendment, introduced by Rep. Edward Markey (D-MA), would have attempted to fix the error by essentially prohibiting Interior from spending money to issue new leases to companies enjoying the waiver unless the flaw was corrected.

With oil prices hovering around $100/barrel and companies like Exxon posting big profits, it is ridiculous that 251 representatives would support allowing them to fleece American taxpayers out of billions of dollars more. Of course, unlike us regular folk, Congress will be getting some of that money back in the form of campaign contributions. I wonder if there’s a connection there…

(Matthew Madia 02/23/11; 0 comments)

A Bill to Save Lives and Cut the Deficit? Mining's Lawmakers Say No.

 

The House of Representatives this week failed to pass legislation aimed at improving working conditions for miners. The bill was crafted partly in response to an April explosion at the Upper Big Branch mine in West Virginia. The blast killed 29 miners – the worst coal mine disaster in the U.S. in 40 years.

The bill, the Robert C. Byrd Mine Safety Protection Act of 2010, doesn’t call for anything radical. It would require mines to take extra steps to prevent explosions. It would raise penalties “for mine operators who knowingly tamper with or disable safety equipment that could kill miners.” It would protect miners who report unsafe working conditions. And it would try to fix the Mine Safety and Health Administration’s broken Pattern of Violations (POV) program. Currently, the agency faces too many obstacles when attempting to place repeat violators on its POV list – a move that triggers greater oversight.

And oh yeah, the bill would reduce the deficit. “The Congressional Budget Office estimated this week that the bill will save taxpayers $115 million over the next decade,” according to The Hill.

$11.5 million a year is small change by the federal government’s standards; but deficit hawkery is en vogue, and if bills that raise the deficit by minute fractions are castigated, why not hail a bill that lowers it? At the very least, the budget office’s score does nothing to detract from the bill.

None of the bill’s virtues matter to the 166 Republicans and 27 Democrats who voted “nay.” (213 Dems and one Republican voted for the bill; however, it needed a two-thirds majority to pass under suspension of House rules.) Many of them are bought and paid for by the National Association of Manufacturers and the National Mining Association, the two lobbying groups leading the charge against increased regulation of the mining industry. According to MapLight.org, members who voted against the bill received, on average, four times as much in campaign contributions as members voting for - $2,362 per member compared to $589.

(Matthew Madia 12/10/10; 0 comments)

Jackson and Rockefeller Explore Different Ways to “Toast” the Clean Air Act

 

Happy belated birthday to the Clean Air Act which turned 40 on Tuesday, Sept. 14. In honor of the occasion, EPA Administrator Lisa Jackson gave a speech touting the many accomplishments of the act. Among them, health and life-saving benefits of gigantic proportions. EPA says that, in the act’s first 20 years alone, clean air programs prevented 205,000 premature deaths and 18 million respiratory illnesses among children.

Jackson also spoke of the Clean Air Act’s impact on the economy. John Broder at the New York Times’ Green blog has a recap:

She said that lobbyists had falsely claimed for years that the measure and the agency’s application of it would shutter factories, kill jobs and cost billions for compliance. But each of these doomsday predictions was proved wrong, she said, asserting that the bill saves tens of thousands of lives each year and returns $40 in health and environmental benefits for every dollar in compliance cost.

“Say what you want about E.P.A.’s business sense,” she told an audience of agency officials, environmental advocates and business lobbyists, “but we certainly know how to get a return on our investment.”

She said the law had not only improved health and cleaned up the nation’s skies, “it has been remarkably effective at proving lobbyists wrong.” 

But as Broder points out, despite the evidence, industry representatives and their allies in Congress continue to pillory the Clean Air Act and assail any attempt to write new clean air regulations. The latest targets have been EPA regulations on climate-altering greenhouse gas emissions.

Among the lawmakers leading the anti-EPA charge is Sen. Jay Rockefeller (D-WV). Yesterday in Washington, under clear sunny skies and with air quality readings showing low levels of ozone and particulate matter, Rockefeller criticized EPA in front of a group of coal miners and advocates organized by coal industry lobbying firms. He saved some of his harshest rhetoric specifically for Jackson, according to Congress Daily:

"She doesn't understand the sensitivities of the economies and what unemployment means," Rockefeller told the crowd. "Her job is relatively simple. She just says 'clean everything and keep it clean. Don't do anything to disturb perfection.' You can't do coal and do that at the same time." 

But the Clean Air Act has been successful for 40 years, and we still rely on coal for the majority of our electricity. How does Rockefeller reconcile that?

Furthermore, Based on Jackson’s comments mentioned above, it’s pretty clear that Rockefeller is wrong: Jackson is attuned to economics. Regulation can be good for the economy when it keeps people healthy and saves lives, if for no other reason than healthy, living people are more likely to work, innovate, earn, and spend than sick people, and much more likely than dead people.

It’s clear the health of the overall economy is not a priority for Rockefeller, his many cronies in Congress, and the cadre of industry and anti-regulatory lobbyists lodging tirade after tirade about EPA air and climate standards. They’re perfectly willing to accept a sick economy, and sick people, so long as Big Coal’s bottom line isn’t affected.

(Matthew Madia 09/16/10; 1 comment)

Bill Would Create a Task Force for Enforcing the LDA

 

The Lobbying Disclosure Enhancement Act passed the House to establish a task force to strengthen enforcement of rules for federally registered lobbyists. Originally, the bill was the Fees on Lobbyists Act. It would have set up registration fees and fines for lobbyists' late filings to fund enforcement. However, the bill was amended to simply create the Lobbying Disclosure Enforcement Task Force.

The bill, H.R.5751 replaces the U.S. Attorney with the Attorney General (AG) as the recipient of referrals of cases under the Lobbying Disclosure Act (LDA). The task force will investigate and prosecute possible LDA violations. The bill also calls on the AG to make recommendations on LDA enforcement.

We have previously reported on the lack of enforcement of the LDA. Usually, lobbyists who do not comply with registration requirements face no repercussions. The bill was sponsored by Rep. Mary Jo Kilroy (D-OH). She issued a press release which stated that the task force, "will go after lobbyists who engage in shoddy reporting practices and hide behind ignorance of the law."

"When Americans on Main Street try to cheat or break the law, there are repercussions; but for years, there was no way to hold lobbyists accountable for games they play with their disclosures."

(Amanda Adams* 07/29/10; 0 comments)