What Is Lobbying?
Last week on Twitter, New York Congressman Alexandria Ocasio-Cortez and Texas Senator Ted Cruz finally agreed on something: The two officials joined forces and stressed the need to limit the ability of former members of Congress to become lobbyists.
“Our employees are working together to try to reach an agreement,” Cruz said. “I essentially agree with the positions she tweeted, and where we agree with politics, we should work together, regardless of party line.”
But will the bill really accomplish anything? Here are some perspectives on lobbying (and anti-lobbying) efforts in the past.
What is lobbying?
Lobbying itself has existed for a very long time, starting in the 17th century, and in the British parliament (and, perhaps much earlier in history, it was simply not recognized as such).
In short, when a person “lobbies,” they usually work on behalf of a company, organization, or interest group to influence a decision-maker (usually a government official) on a particular initiative or group of initiatives.
Often lawyers or former government officials are hired and paid to act as “advocates” for their cause, and these lobbyists will work to justify their case by emailing or calling members of Congress; lobbyists can also draft laws themselves. “Outgoing lawmakers are in high demand with lobbying firms, especially if they have held an influential position during their time in Hill, ” writes Vox’s Ella Nielsen. “They’re so desirable because they know exactly how things work and who to talk to in Congress.”
Many argue that lobbying is an exercise of Americans’ right to petition, the protections afforded by the First Amendment, and many organizations, such as the ACLU, are lobbying for their cause. It is also a regulated industry in the United States, although regulations may differ from state to state with different regulations covering matters such as financial disclosures and gift restrictions (which we will look at later).
Lobbyists must also go through official registration, although some states do not require official registration unless they are paid in excess of a certain amount or work for a certain number of hours. Any lobbyist working on behalf of a foreign country must also register under the Foreign Agents Registration Act.
What is the problem?
The reason lobbying has such a reputation is that lobbyists are overwhelmingly paid by large corporations with big pockets seeking to benefit their business interests rather than the needs of the public . In 2018, for example, US pharmaceutical research companies and manufacturers spent about $ 28 million on lobbying alone; During the first quarter of that year, PRaMA lobbyists went to great lengths to fight the CREATES Act , a bipartisan bill that would create competition between generic and branded drug manufacturers that could potentially benefit consumers.
“Most lobbyists today are involved in a bribery system, but this is a legal form that is widespread in the corridors of Washington,” Jimmy Williams, a former DC lobbyist, wrote for Vox . In other words, lobbying is legal and regulated, but often abused. Here is one example, according to representatives of non-profit organization dedicated to the fight against corruption:
Let’s say you are a big bank. You want to buy influence from a senator on the banking committee to vote for you on the upcoming bill. The easiest way is to simply set aside $ 100,000 for the re-election of a senator. But alas, that would be illegal – federal law prohibits companies from making direct donations to candidates. Instead, you hire a lobbying firm.
This is where things go wrong. This lobbying firm can legally organize a lavish fundraiser that will bring in $ 100,000 for the Senator’s re-election campaign. At a fundraising event, your lobbyist just casually talks to the Senator’s staff about your feelings about banking policy.
See the problem? But let’s be clear: that doesn’t make lobbying a bad thing – the problem is lack of regulation and transparency, and our need for campaign finance reform in the United States.
We are also unaware of lobbying efforts that may take place without the knowledge of the public; a number of officials associated with the Trump administration have lobbied the government illegally without registering as lobbyists.
What did Trump do to stop this?
During his presidential campaign, Trump pledged to ” drain the swamp ” – a euphemism often described as an attempt to suppress government lobbying efforts.
In January 2017, President Trump signed an ethical commitment for all political officials when it comes to lobbying. Although Trump barred any executive from lobbying their agency for five years after they left, they could still lobby other parts of the government. Former lobbyists could also join the Trump administration, provided they were not in the same area they had previously been in for two years.
However, these are pretty fuzzy lines.
According to ProPublica , a number of former officials have circumvented these rules by engaging in “shadow lobbying” or working, for example, in strategic consulting to avoid registering as a lobbyist or to take advantage of loopholes in the promise itself.
What are Ocasio-Cortez and Cruz agreeing on?
Congressman Ocasio-Cortez and Senator Cruz hope to ban members of Congress from lobbying for life . “If we can agree on a bill without any clauses on addiction, poison pills, etc. – just a direct, pure ban on members of Congress becoming paid lobbyists – then I’ll take the bill with you.” – Ocasio – Cortez tweeted addressing the revolving door issue of officials leaving Congress to work for lobbying firms.
It is encouraging that both agree on the need for reform, although it has enormous potential to backfire. Officials can still maneuver into positions that do not require formal registration, which means that more “strategic advisers” may appear in our political landscape in the future.
In other words, the bill is unlikely to achieve anything if transparency and shadow lobbying issues are not addressed; Senate Majority Leader Mitch McConnell is also unlikely to go any further, but we’ll see how that affects the 2020 elections, if at all.