Friday, February 21, 2014

The Shadow Lobbying Complex

It was 4 o’clock in the afternoon, and I found myself hanging around the House-side entrance to the Capitol building, hoping to interview lawmakers during the protracted government shutdown in October. The members had been called by the Republican leadership to open just one slice of the government without authorizing funds for the Affordable Care Act, a partial solution that had rallied Democrats in opposition. As dusk settled in, I lingered to interview the representatives as they walked in and out of what everyone considered at this point to be a scene of political theater.

While I waited, a small crowd gathered, composed of men and women in business attire, creating something of a receiving line where they could exchange pleasantries with members of Congress as the latter made their way from their offices across Independence Avenue to cast a perfunctory vote. The city, with hundreds of thousands of federal workers sent home from the job, was far from dead. On Capitol Hill, the real financial engine of Washington, the selling of access and policy hummed along at full speed, and I was in the midst of it. (...)

On paper, the lobbying industry is quickly disappearing. In January, records indicated that for a third straight year, overall spending on lobbying decreased. Lobbyists themselves continue to deregister. In 2013, the number of registered lobbyists dipped to 12,281, the lowest number on file since 2002.

But experts say that lobbying isn’t dying; instead, it’s simply going underground. The problem, says American University professor James Thurber, who has studied congressional lobbying for more than thirty years, is that “most of what is going on in Washington is not covered” by the lobbyist-registration system. Thurber, who is currently advising the American Bar Association’s lobbying-reform task force, adds that his research suggests the true number of working lobbyists is closer to 100,000.

A loophole-ridden law, poor enforcement, the development of increasingly sophisticated strategies that enlist third-party validators and create faux-grassroots campaigns, along with an Obama administration executive order that gave many in the profession a disincentive to register—all of these forces have combined to produce a near-total collapse of the system that was designed to keep tabs on federal lobbying.

While the official figure puts the annual spending on lobbying at $3.2 billion in 2013, Thurber estimates that the industry brings in more than $9 billion a year. Other experts have made similar estimates, but no one is sure how large the industry has become. Lee Drutman, a lobbying expert at the Sunlight Foundation, says that at least twice as much is spent on lobbying as is officially reported. (...)

Rather than using the L-word to describe what they do, many lobbyists prefer the more banal rubric of “government relations” or “government affairs.” Reflecting this trend, the American League of Lobbyists—a professional association for the industry—changed its name in November to the Association of Government Relations Professionals. And while lobbyists must report their payments from clients, those ducking the system quietly bring in the biggest paydays.

by Lee Fang, The Nation |  Read more:
Image: uncredited