Monday, December 31, 2007

Romney: "MCCAIN'S UNLIKELY TIES TO K STREET"

"'We tried to get him around to a lot of those kinds of things,' said McCain campaign manager Rick Davis. 'We were very much in the friend-making business.'" (Jeffrey H. Birnbaum and John Solomon, "McCain's Unlikely Ties to K Street," The Washington Post, 12/31/07)

The Washington Post"McCain's Unlikely Ties To K Street"
By Jeffrey H. Birnbaum and John Solomon
December 31, 2007

Sen. John McCain (R-Ariz.) took a break from the presidential campaign trail in March to fly to a posh Utah ski resort, where he mingled with hundreds of top corporate executives assembled by J.P. Morgan Chase for its annual leadership conference.

McCain's appearance at the Deer Valley event, arranged by J.P. Morgan Vice Chairman James B. Lee Jr., a top McCain fundraiser, put him in a room with the chief executives of companies such as General Electric, Xerox and Sony. It was, Lee said, "a chance for him to let them see him for who he is and possibly decide to support him." The effort paid off: J.P. Morgan executives have donated $56,250 to McCain's campaign, two-thirds of which came after his Utah appearance. And his visit there was quickly followed up by dozens of smaller private meetings with corporate executives in New York City arranged by leading Wall Street figures.
"We tried to get him around to a lot of those kinds of things," said McCain campaign manager Rick Davis. "We were very much in the friend-making business."

It is common for politicians to court big money during a campaign. But private schmooze sessions such as the gathering in Utah pose a particular dilemma for McCain, who has spent a long career decrying "special interests" and politicians who offer special access to them in order to raise money. As a presidential candidate this year, McCain has found himself assiduously courting both lobbyists and their wealthy clients, offering them private audiences as part of his fundraising. He also counts more than 30 lobbyists among his chief fundraisers, more than any other presidential contender.

[A] recent study by the nonpartisan Campaign Finance Institute and the liberal advocacy group Public Citizen found that McCain has more lobbyists raising funds for his presidential bid than do any of his rivals. He has 32 "bundlers" of donations who are lobbyists. Former New York mayor Rudolph W. Giuliani (R) is the closest to him with 29 lobbyist bundlers, followed by Sen. Hillary Rodham Clinton (D-N.Y.) with 18.

McCain's campaign has also been guided by lobbyists. Davis, the campaign manager, is a former lobbyist who represented major telecommunications companies. The campaign's senior adviser is Charles R. Black Jr., chairman of BKSH & Associates, which represents drug companies, an oil company, an automaker, a telecommunications company, defense contractors and the steel industry, among others.

Former congressman Tom Loeffler (R-Tex.) was brought in to shore up the campaign's finances and operations. Yet he maintains his day job as chairman of the Loeffler Group, whose clients include oil, auto and telecommunications companies, as well as a tobacco firm and an airline.
Other occasional McCain advisers include lobbyists Timothy P. McKone of AT&T, Robert S. Aiken of Phoenix-based Pinnacle West Capital, John W. Timmons of the Cormac Group and John Green of Ogilvy Government Relations. Also at Ogilvy is a major McCain fundraiser, Wayne L. Berman.

Their firms' clients have been a significant source of contributions to McCain's campaign. Executives for the clients of Ogilvy Government Relations gave at least $271,000 for McCain's presidential bid. Loeffler Group client employees donated $118,500, according to a Washington Post analysis. BKSH clients' executives gave $24,000.

Beyond his fundraising, McCain's conduct as chairman of the powerful Senate Commerce Committee between 1997 and 2004 has occasionally raised questions about whether he took actions to benefit major contributors to his political network, which included his Senate and presidential campaign committees, his Straight Talk political action committee and a foundation that he helped start called the Reform Institute.

In 2003 and 2004, for example, McCain took two actions favorable to Cablevision, the cable TV company, while Davis, his chief political strategist at the time, solicited the company for a total of $200,000 for the Reform Institute, a tax-exempt group that advocated an end to outsize political donations.

Davis solicited an initial donation from Cablevision chief Charles Dolan a week after Dolan testified before the Senate Commerce Committee in favor of a position backed by McCain. Davis said there was no connection between the testimony and the solicitation.

Less than a year later, McCain wrote to the Federal Communications Commission recommending Cablevision's position on cable pricing, citing Dolan by name. Cablevision followed soon thereafter with a second $100,000 donation, the Associated Press reported. …

To read the full article, please click here: www.washingtonpost.com/wp-dyn/content/article/2007/12/30/AR2007123002848_pf.html

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