excerpt from the article
Saving Democracy
[public financing of elections]
by Bill Moyers
www.commondreams.org, February
24, 2006
... The cost of running for public office
is skyrocketing. In 1996, $1.6 billion was spent on the Congressional
and Presidential elections. Eight years later, that total had
more than doubled, to $3.9 billion.
Thanks to our system of privately financed
campaigns, millions of regular Americans are being priced out
of any meaningful participation in democracy. Less than one half
of one percent of all Americans made a political contribution
of $200 or more to a federal candidate in 2004. When the average
cost of running and winning a seat in the House of Representatives
has topped one million dollars, we can no longer refer to that
August chamber as "The People's House." If you were
thinking of running for Congress, do you have any idea where you
would get the money to be a viable candidate?
At the same time that the cost of getting
elected is exploding beyond the reach of ordinary people, the
business of gaining access to and influence with our elected Representatives
has become a growth industry. Six years ago, in his first campaign
for President, George W. Bush promised he would "restore
honor and integrity" to the government. Repeatedly, during
his first campaign for President, he would raise his right hand
and, as if taking an oath, tell voters that he would change how
things were done in the nation's capitol. "It's time to clean
up the toxic environment in Washington, DC," he would say.
His administration would ask"not only what is legal but what
is right, not what the lawyers allow but what the public deserves."
Hardly.
Since Bush was elected the number of lobbyists
registered to do business in Washington has more than doubled.
That's 16,342 lobbyists in 2000 to 34,785 last year. Sixty-five
lobbyists for every member of Congress.
The amount that lobbyists charge their
new clients has increased by nearly one hundred percent in that
same period, according to The Washington Post, going up to anything
from $20,000 to $40,000 a month. Starting salaries have risen
to nearly $300,000 a year for the best-connected people, those
leaving Congress or the administration.
The total spent per month by special interests
wining, dining, and seducing federal officials is now nearly $200
million. Per month.
But numbers don't tell the whole story.
There has been a qualitative change as well. With pro-corporate
business officials running both the executive and legislative
branches, lobbying that was once reactive has gone on the offense,
seeking huge windfalls from public policy and public monies.
One example cited by The Washington Post:
Hewlett-Packard, the California computer maker. The company nearly
doubled its budget for contract lobbyists in 2004 and took on
an elite lobbying firm as its Washington arm. Its goal was to
pass Republican-backed legislation that would enable the company
to bring back to the United States, at a dramatically lowered
tax rate, as much as $14.5 billion in profit from foreign subsidiaries.
The extra lobbying paid off. The legislation passed and Hewlett
Packard can now reduce its share of the social contract. The company's
director of government affairs was quite candid: "We're trying
to take advantage of the fact that Republicans control the House,
the Senate, and the White House." Whatever the company paid
for the lobbying, the investment returned enormous dividends.
I want to point out here that I believe
in equal opportunity muckraking. When I left Washington for journalism
I did not leave behind my conviction that government should see
to it that we have a more level playing field with one set of
rules for everyone, but I did leave behind my partisan affections.
Anyone who saw the documentary my team and I produced a few years
ago on the illegal fund raising for Bill Clinton's re-election,
knows I am no fan of the democratic money machine that helped
tear the party away from whatever roots it once had in the daily
lives and struggles of working people, turning it into a junior
partner of the Chamber of Commerce. I mean people like California's
Congressman Tony Coelho, who in the 1980s realized that Congressional
Democrats could milk the business community for money if they
promised to "pay for play." I mean people like Terry
McAuliffe, the former Democratic National Committee Chairman who
gave Bill Clinton the idea of renting the Lincoln bedroom out
to donors, and who did such a good job raising big money for the
Democrats that by the end of his reign, Democrats had fewer small
donors than the Republicans and more fat cats writing them million-dollar
checks.
But let's be realistic here. When the
notorious Willie Sutton was asked why he robbed banks, he answered,
"Because there is where the money is." If I seem to
be singling out the Republicans, it's for one reason: that's where
the power is. They own the government lock, stock, and barrel.
Once they gained control of the House of Representatives in 1994,
their self-proclaimed revolution has gone into overdrive with
their taking of the White House in 2000 and the Senate in 2002.
Their revolution soon became a cash cow and Washington a one party
state ruled by money.
Look back at the bulk of legislation passed
by Congress in the past decade: an energy bill which gave oil
companies huge tax breaks at the same time that Exxon Mobil just
posted $36 in profits in 2005 and our gasoline and home heating
bills are at an all-time high; a bankruptcy "reform"
bill written by credit card companies to make it harder for poor
debtors to escape the burdens of divorce or medical catastrophe;
the deregulation of the banking, securities and insurance sectors
which led to rampant corporate malfeasance and greed and the destruction
of the retirement plans of millions of small investors; the deregulation
of the telecommunications sector which led to cable industry price
gouging and an undermining of news coverage; protection for rampant
overpricing of pharmaceutical drugs; and the blocking of even
the mildest attempt to prevent American corporations from dodging
an estimated $50 billion in annual taxes by opening a PO Box in
an off-shore tax haven like Bermuda or the Cayman islands.
In every case the pursuit of this legislation
was driven by big money. Our public representatives, the holders
of our trust, need huge sums to finance their campaigns, especially
to pay for television advertising, and men and women who have
mastered the money game have taken advantage of that weakness
in our democracy to systematically sell it off to the highest
bidders.
Let's start with the "K Street Project."
K Street is the Wall Street of lobbying, the address of many of
Washington's biggest lobbying firms. The K Street Project was
the brainchild of Tom DeLay and Grover Norquist, the right wing
strategist who famously said that his goal is to shrink government
so that it can be "drowned in a bathtub." This, of course,
would render it impotent to defend ordinary people against the
large economic forces - the so-called free market - that Norquist
and his pals believe should be running America.
Tom DeLay, meanwhile, was a small businessman
from Sugar Land, Texas, who ran a pest extermination business
before he entered politics. He hated the government regulators
who dared to tell him that some of the pesticides he used were
dangerous - as, in fact, they were. He got himself elected to
the Texas legislature at a time the Republicans were becoming
the majority in the once-solid Democratic south, and his reputation
for joining in the wild parties around the state capital in Austin
earned him the nickname "Hot Tub Tom." But early in
his political career, and with exquisite timing and the help of
some videos from the right wing political evangelist, James Dobson,
Tom DeLay found Jesus and became a full-fledged born again Christian.
He would later humbly acknowledge that God had chosen him to restore
America to its biblical worldview. "God," said Tom DeLay,
"has been walking me through an incredible journeyGod is
using me, all the time, everywhereGod is training me. God is working
with me."
Yes, indeed: God does work in mysterious
ways.
In addition to finding Jesus, Tom DeLay
also discovered a secular ally to serve his ambitions. He found
out the power of money to power his career. "Money is not
the root of all evil in politics," DeLay once said. "In
fact, money is the lifeblood of politics." By raising more
than two million dollars from lobbyists and business groups and
distributing the money to dozens of Republican candidates in 1994,
the year of the Republican breakthrough in the House, DeLay bought
the loyalty of many freshmen legislators and got himself elected
Majority Whip, the number three man in Newt Gingrich's "Gang
of Seven" who ran the House.
Here's how they ran it: On the day before
the Republicans formally took control of Congress on January 3,
1995, DeLay met in his office with a coterie of lobbyists from
some of the biggest companies in America. The journalists Michael
Weisskopf and David Maraniss report that "the session inaugurated
an unambiguous collaboration of political and commercial interests,
certainly not uncommon in Washington but remarkable this time
for the ease and eagerness with which these allies combined."
DeLay virtually invited them to write
the Republican agenda. What they wanted first was "Project
Relief" -- a wide-ranging moratorium on regulations that
had originally been put into place for the health and safety of
the public. For starters, they wanted "relief" from
labor standards that protected workers from the physical injuries
of repetitive work. They wanted "relief' from tougher rules
on meat inspection. And they wanted "relief" from effective
monitoring of hazardous air pollutants. Scores of companies were
soon gorging on Tom DeLay's generosity, adding one juicy and expensive
tid-bit after another to the bill. According to Weisskopf and
Maraniss, on the eve of the debate 20 major corporate groups advised
lawmakers that "this was a key vote, one that would be considered
in future campaign contributions." On the day of the vote
lobbyists on Capitol Hill were still writing amendments on their
laptops and forwarding them to House leaders.
The Speaker of the House, Newt Gingrich,
famously told the lobbyists: "If you are going to play in
our revolution, you have to live by our rules." Tom DeLay
became his enforcer.
The rules were simple and blunt. Contribute
to Republicans only. Hire Republicans only. When the electronics
industry ignored the warning and chose a Democratic Member of
Congress to run its trade association, DeLay played so rough -
pulling from the calendar a bill that the industry had worked
on two years, aimed at bringing most of the world in alignment
with U.S. copyright law - that even the House Ethics Committee,
the watchdog that seldom barks and rarely bites, stirred itself
to rebuke him - privately, of course.
DeLay wasn't fazed. Not only did he continue
to make sure the lobbying jobs went to Republicans, he also saw
to it that his own people got a lion's share of the best jobs.
At least 29 of his former employees landed major lobbying positions
- the most of any Congressional office. The journalist John Judis
found that together ex-DeLay people represent around 350 firms,
including thirteen of the biggest trade associations, most of
the energy companies, the giants in finance and technology, the
airlines, auto makers, tobacco companies, and the largest health
care and pharmaceutical companies. When tobacco companies wanted
to block the FDA from regulating cigarettes, they hired DeLay's
man. When the pharmaceutical companies - Big Pharma - wanted to
make sure companies wouldn't be forced to negotiate cheaper prices
for drugs, they hired six of Tom DeLay's team, including his former
chief of staff. The machine became a blitzkrieg, oiled by campaign
contributions that poured in like a gusher.
Watching as DeLay, with the approval of
the House leadership, become the virtual dictator of Capitol Hill,
, I was reminded of the card shark in Texas who said to his prey,
"Now play the cards fair, Reuben, I know what I dealt you."
Tom DeLay and his cronies were stacking the deck.
They centralized in their own hands the
power to write legislation. Drastic revisions to major bills were
often written at night, with lobbyists hovering over them, then
rushed through as "emergency' measures," giving members
as little as half an hour to consider what they may be voting
on.
The Democratic minority was locked out
of conference committees where the House and Senate are supposed
to iron out their differences with both parties in the loop. The
Republican bosses even took upon themselves the power to rewrite
a bill in secrecy and move it directly to a vote without any other
hearings or public review.
Sometimes this meant overruling what the
majority of House members really wanted. Consider what happened
with the bill to provide Medicare prescription drug coverage,
as analyzed by Robert Kuttner in The American Prospect. As the
measure was coming to a vote, a majority of the full House was
sympathetic to allowing cheaper imports from Canada and to giving
the government the power to negotiate wholesale drug prices for
Medicare beneficiaries. But DeLay and his cronies were working
in behalf of the big pharmaceutical companies and would have none
of it. So they made sure there would be no amendments on the floor.
They held off the final roll call a full three hours - well after
midnight - in order to strong-arm members who wanted to vote against
the bill.
It was not a pretty sight out there on
the floor of the House. At one point DeLay marched over to one
reluctant Republican - Representative Nick Smith - who opposed
the Medicare bill - and attempted to change his mind. Smith, who
was serving his final term in office, later alleged that he was
offered a bribe - $100,000 for his son's campaign to succeed him.
When he subsequently retracted his accusation, the House Ethics
Committee looked into the charges and countercharges and wound
up admonishing both Smith and DeLay, who admitted that he had
offered to endorse Smith's son in exchange for Smith's support
but that no money or bribe were involved. Timothy Noah of slate.com
has mused about what DeLay's endorsement would nonetheless have
meant in later campaign contributions if Smith had gone along.
While the report of the ethics committee never did find out the
true story, Noah asks: "Who did whisper '$100,000' in Smith's
ear? The report is full of plausible suspects, including DeLay
himself, but it lacks any evidence on this crucial finding. You
get the feeling the authors would prefer to forget this mystery
ever existed."
There are no victimless crimes in politics.
The price of corruption is passed on to you. What came of all
these shenanigans was a bill that gave industry what it wanted
and gave taxpayers the shaft. The bill covers only a small share
of drug expenses. It has a major gap in coverage - the so-called
'donut hole.' It explicitly forbids beneficiaries from purchasing
private coverage to fill in the gap and explicitly forbids the
federal government from bargaining for lower drug prices. More
than one consumer organization has estimated that most seniors
could end up paying even more for prescription drugs than before
the bill passed.
Furthermore, despite these large flaws
the cost of the bill is horrendous - between five hundred billion
and one trillion dollars in its first ten years. The chief actuary
for Medicare calculated a realistic estimate of what the bill
would cost, but he later testified before Congress that he was
forbidden from releasing the information by his boss, Thomas Scully,
the head of the Center for Medicare and Medicaid Services, who
was then negotiating for a lucrative job with the health care
industry. Sure enough, hardly had the prescription drug bill become
law than Scully went to work for the largest private equity investor
in health care and at a powerful law firm focusing on health care
and regulatory matters.
One is reminded of Senator Boies Penrose.
Back in the first Gilded Age Penrose was a United States senator
from Pennsylvania who had been put and kept in office by the railroad
tycoons and oil barons. He assured the moguls: "I believe
in the division of labor. You send us to Congress; we pass laws
under which you make moneyand out of your profits you further
contribute to our campaign funds to send us back again to pass
more laws to enable you to make more money."
Gilded Ages - then and now - have one
thing in common: Audacious and shameless people for whom the very
idea of the public trust is a cynical joke.
Tom DeLay was elected to Congress by the
ordinary people of Sugar Land, Texas. They had the right to expect
him to represent them. This expectation is the very soul of democracy.
We can't all govern - not even tiny, homogenous Switzerland practices
pure democracy. So we Americans came to believe our best chance
of responsible government lies in obtaining the considered judgments
of those we elect to represent us. Having cast our ballots in
the sanctity of the voting booth with its assurance of political
equality, we go about our daily lives expecting the people we
put in office to weigh the competing interests and decide to the
best of their ability what is right.
Instead, they have given the American
people reason to believe the conservative journalist P.J. O'Rourke
was right when he described Congress as "a parliament of
whores."
A recent CBS news/New York Times poll
found that 70% of Americans believe lobbyists bribing members
of Congress is the way things work. Fifty seven percent thinks
at least half of the members of Congress accept bribes or gifts
that affect their votes. A Fox News poll reported that sixty five
percent believe most elected officials in Washington make policy
decisions or take actions on the basis of campaign contributions.
Findings like these underscore the fact that ordinary people believe
their bonds with democracy are not only stretched but sundered.
You see the breach clearly with Tom DeLay.
As he became the king of campaign fundraising, the Associated
Press writes, "He began to live a lifestyle his constituents
back in Sugar Land would have a hard time ever imagining."
Big corporation such as R.J. Reynolds, Phillip Morris, Reliant,
El Paso and Dynegy provided private jets to take him to places
of luxury most Americans have never seen - places with "dazzling
views, warm golden sunsets, golf, goose-down comforters, marble
bathrooms and balconies overlooking the ocean." The AP reports
that various organizations - campaign committees, political action
committees, even a children's charity established by DeLay - paid
over $1 million on hotels, restaurants, golf resorts and corporate
jets in DeLay's behalf: at least 48 visits to golf clubs and resorts
(the Ritz Carlton in Jamaica, the Prince Hotel in Hawaii, the
Michelangelo in new York, the Phoenician in Scottsdale, the El
Conquistador in Puerto Rico, where villas average $1,300 a night);
100 flights aboard corporate jets arranged by lobbyists; and 500
meals at fancy restaurants, some averaging $200 for a dinner for
two. There was even a $2,896 shopping spree at a boutique on Florida's
Amelia Island offering "gourmet cookware, sabbatier cutlery
and gadgets for your every need."
DeLay was a man on the move and on the
take. But he needed help to sustain the cash flow. He found it
in a fellow right wing ideologue named Jack Abramoff. Abramoff
personifies the Republican money machine of which DeLay with the
blessing of the House leadership was the major domo. It was Abramoff
who helped DeLay raise those millions of dollars from campaign
donors that bought the support of other politicians and became
the base for an empire of corruption. DeLay praised Abramoff as
"one of my closest friends." Abramoff, in turn, told
a convention of college Republicans, "Thank God Tom DeLay
is majority leader of the house. Tom DeLay is who all of us want
to be when we grow up."
Just last month Jack Abramoff pleaded
guilty to fraud, tax evasion, and conspiracy to bribe public officials,
a spectacular fall for a man whose rise to power began 25 years
ago with his election as Chairman of the College Republicans.
Despite its innocuous name, the organization became a political
attack machine for the Far Right and a launching pad for younger
conservatives on the make. "Our job," Abramoff, then
22 years old, wrote after his first visit to the Reagan White
House, "is to remove liberals from power permanently [from]
student newspaper and radio stations, student governments, and
academia." Karl Rove had once held the same job as chairman.
So did Grover Norquist, who ran Abramoff's campaign. A youthful
$200-a-month intern named Ralph Reed was at their side. These
were the rising young stars of the conservative movement who came
to town to lead a revolution and stayed to run a racket.
They reeked piety. Like DeLay, who had
proclaimed himself God's messenger, Ralph Reed found Jesus, was
born again, and wound up running Pat Robertson's Christian Coalition,
landing on the cover of Time as "the Right Hand of God."
Reportedly after seeing "Fiddler on the Roof" Abramoff
became an Orthodox religious Jew who finagled fake awards as "Scholar
of Biblical and American History," "Distinguished Bible
Scholar" (from an apparently non-existent organization),
the "Biblical Mercantile Award" allegedly from the Cascadian
Business Institute through which money was funded for DeLay's
famous visit to a plush Scottish golf club, and the national order
of merit from the USA Foundation, whose chairman wasJack Abramoff.
It is impossible to treat all the schemes
and scams this crowd concocted to subvert democracy in the name
of God and greed. But thanks to some superb reporting from, The
Associated Press, and Knight-Ridder, among others, we can touch
on a few.
Abramoff made his name, so to speak, representing
Indian tribes with gambling interests. As his partner he hired
a DeLay crony named Michael Scanlon. Together they would bilk
half a dozen Indian tribes who hired them to protect their tribal
gambling interests from competition. What they had to offer, of
course, was their well-known connections to the Republican power
structure, including members of Congress, friends at the White
House (Abramoff's personal assistant became Karl Rove's personal
assistant), Christian Right activists like Ralph Reed, and right
wing ideologues like Grover Norquist (according to The Texas Observer,
two lobbying clients of Abramoff paid $25,000 to Norquist's organization
- Americans for Tax Reform - for a lunch date and meeting with
President Bush in May 2001.)
Abramoff and Scanlon came up with one
scheme they called "Gimme Five," Abramoff would refer
tribes to Scanlon for grassroots public relations work, and Scanlon
would then kick back about 50 percent to Abramoff, all without
the tribes' knowledge. Before it was over the tribes had paid
them $82 million dollars, much of it going directly into Abramoff's
and Scanlon's pockets. And that doesn't count the thousands more
that Abramoff directed the tribes to pay out in campaign contributions.
Some of the money found its way into an
outfit called the Council of Republicans for Environment Advocacy
(CREA), founded by Gale Norton before she became Interior Secretary,
the cabinet position most responsible for Indian gaming rights
(as well as oil and gas issues, public lands and parks, and something
else we'll get to in a moment) .
Some of the money went to so-called charities
set up by Abramoff and DeLay that filtered money for lavish trips
for members of Congress and their staff, as well as salaries for
Congressional family members and DeLay's pet projects.
And some of the money found its way to
the righteous folks of the Christian Right. One who had his hand
out was Ralph Reed, the religious right's poster boy against gambling.
"We believe gambling is a cancer on the American body politic,"
Reed had said. "It is stealing food from the mouths of children
(and) turning wives into widows." When he resigned from the
Christian Coalition (just as it was coming under federal investigation
and slipping into financial arrears), Reed sought a cut of the
lucre flowing to Abramoff and Scanlon. He sent Abramoff an email:
"Now that I am leaving electoral politics, I need to start
humping in corporate accounts I'm counting of you to help me with
some contacts."
Abramoff came through. According to Susan
Schmidt and R. Jeffrey Smith, he and Scanlon paid Reed some $4
million to whip up Christian opposition to gambling initiatives
that could cut into the profits of Jack Abramoff's clients. Reed
called in some of the brightest stars in the Christian firmament
- Pat Robertson, Jerry Fawell, James Dobson, Phyllis Schlafly
- to participate in what became a ruse in Abramoff's behalf: They
would oppose gambling on religious and moral grounds in strategic
places (Texas, Louisiana, Alabama) at decisive moments when competitive
challenges threatened Abramoff's . Bogus Christian fronts were
part of the strategy. Baptist preachers in Texas rallied to Reed's
appeals. Unsuspecting folks in Louisiana heard the voice of God
on radio - with Jerry Fawell and Pat Robertson doing the honors
- thundering against a riverboat gambling scheme, which one of
Abramoff's clients feared would undermine its advantage. Reed
even got James Dobson, whose nationwide radio "ministry"
reaches millions of people, to deluge phone lines at the Interior
Department and White House with calls from indignant Christians.
In 1999 Abramoff arranged for the Mississippi
Choctaws, who were trying to stave off competition from other
tribes, to contribute over $1 million to Norquist's Americans
for Tax Reform, which then passed the money along to the Alabama
Christian Coalition and to another anti-gambling group Reed had
duped into aiding the cause. It is unclear how much these Christian
soldiers, "marching as to war," knew about the true
purpose of their crusade, but Ralph Reed knew all along that his
money was coming from Abramoff. The emails between the two men
read like Elmer Gantry.
It gets worse.
Some of Abramoff's money from lobbying
went to start a non-profit organization called the U.S. Family
Network. Nice name, yes? An uplifting all-American name, like
so many others that fly the conservative banner in Washington.
Tom DeLay wrote a fundraising letter in which he described the
U.S. Family Network as "a powerful nationwide organization
dedicated to restoring our government to citizen control."
Fund raising appeals warned that the American family "is
being attacked from all sides: crime, drugs, pornographyand gambling."
So help me, I'm not making this up. You can read R. Jeffrey's
Smith mind-boggling account of it on the Washington Post website,
where he writes that the organization did no discernable grassroots
organizing and its money came from business groups with no demonstrated
interest in the "moral fitness" agenda that was the
network's professed aim.
Let's call it what it was: a scam - one
more cog in the money-laundering machine controlled by DeLay and
Abramoff. A former top assistant founded the organization. It
bought a townhouse just three blocks from DeLay's Congressional
quarters and provided him with fancy free office space where he
would go to raise money. DeLay's wife also got a sizeable salary.
But that's the least of it.
Working with Abramoff through a now defunct
law firm in London and an obscure off-shore company in the Bahamas,
Russian oil and gas executives were using the U.S. Family Network
to funnel money to influence the majority leader of the House
of Representatives - yes, that chamber of American government
once known as "The People's House."
Our witness for this is the Christian
pastor who served as the titular president of the U.S. Family
Network, the Reverend Christopher Geeslin. He told The Washington
Post that the founder of the organization, the former DeLay aide,
told him that a million dollars was passed through from sources
in Russia who wanted DeLay's support for legislation enabling
the International Monetary fund to bail out the faltering Russian
economy without demanding the country raise taxes on its energy
industry. As Molly Ivins pointed out in a recent column, right
on cue DeLay found his way onto Fox News Sunday to argue the Russian
position. That same titular head of the U.S. Family Network, the
Christian pastor, said DeLay's former chief of staff also told
him, "This is the way things work in Washington."
This is the way things work in Washington.
Twenty five years ago Grover Norquist
had said that "What Republicans need is 50 Jack Abramoffs
in Washington. Then this will be a different town."
Well, they got what they needed, and the
arc of the conservative takeover of government has now been completed.
As Abramoff had once said his goal was to banish liberals from
college campuses, and later that "All of my political work
is driven by philosophical interests, not by the desire to gain
wealth," now his intentions, as he admitted to Michael Crowley
of The New York Times, were "to push the Republicans on K
Street to be more helpful to the conservative movement."
Money, politics, and ideology became one and the same in a juggernaut
of power that crushed everything in sight, including core conservative
principles.
Here we come to the heart of darkness.
One of Abramoff's first big lobbying clients
was the Northern Marianas Islands in the Pacific. After World
War II the Marianas became a trusteeship of the United Nations,
administered by the U.S. Government under the stewardship of the
Interior Department. We should all remember that thousands of
Marines died there, fighting for our way of life and our freedoms.
Today, these islands are a haven for tourists - first-class hotels,
beautiful beaches, championship golf course. But there is a dark
side. The islands were exempted from U.S. labor and immigration
laws, and over the years tens of thousands of people, primarily
Chinese, mostly women, were brought there as garment workers.
These so-called "guest workers" found themselves living
in crowded barracks in miserable conditions. The main island,
Saipan, became known as America's biggest sweatshop.
In 1998 a government report found workers
there living in substandard conditions, suffering severe malnutrition
and health problems and subjected to unprovoked acts of violence.
Many had signed "shadow contracts" which required them
to pay up to $7000 just to get the job. They also had to renounce
their claim to basic human rights, including political and religious
activities, socializing and marrying. If they protested, they
could be summarily deported. As Greg Mcdonald wrote in The Houston
Chronicle, the garments produced on Saipan were manufactured for
American companies from tariff-free Asian cloth and shipped duty-
and quota-free - to the United States. Some of the biggest names
in the retail clothing industry - Levi Strauss, The Gap, J. Crew,
Eddie Bauer, Reebok, Polo, Tommy Helfiger, Nordstrom's, Lord and
Taylor, Jones New York, and Liz Claiborne - had been able to slap
a "made in the USA" label on the clothes and import
them to America, while paying the workers practically nothing.
When these scandalous conditions began
to attract attention, the sweatshop moguls fought all efforts
at reform. Knowing that Jack Abramoff was close to Tom DeLay,
they hired him to lobby for the islands. Conservative members
of Congress lined up as Abramoff's team arranged for them to visit
the islands on carefully guided junkets. Conservative intellectuals
and journalists, for hire at rates considerably above what the
women on the islands were making, also signed up for expense-free
trips to the Marianas. They flew first-class, dined at posh restaurants,
slept in comfort at the beachfront hotel, and returned to write
and speak of the islands as "a true free market success story"
and "a laboratory of liberty."
Abramoff took Tom DeLay and his wife there,
too. DeLay practically swooned. He said the Marianas "represented
what is best about America." He called them "my Galapagos"
- "a perfect petri dish of capitalism."
These fellow travelers - conservative
members of Congress, their staffs and their lapdogs in the rightwing
press and think tanks - became a solid phalanx against any and
all attempts to provide the workers on the islands with a living
wage and decent living conditions. For instance, when a liberal
California Democrat, George Miller, and a conservative Alaskan
Senator, Frank Murkowski, indignant at the "appalling conditions,"
wanted to enact a bill to raise minimum wages on the islands and
at least prevent summary deportation of the workers, DeLay and
Abramoff stopped them cold. As Representative Miller told it,
"They killed my reform bill year after year. And even when
an immigration reform bill by Senator Frank Murkowski, a Republican,
was approved by the full Senate, they blocked it repeatedly in
the House."
After the 2000 election, when the spoils
of victory were being divided up, Abramoff got himself named to
the Bush transition team for the Interior Department. He wanted
to make sure the right people wound up overseeing his clients,
the Marianas. He enlisted Reed, who said he would raise the matter
with Rove, to stop at least one appointment to Interior that might
prove troublesome. Small wonder that about this time Reed wrote
an email to Enron's top lobbyist touting his pal Abramoff as "arguably
the most influential and effective gop lobbyist in congress. I
share several clients with him and have yet to see him lose a
battle. He also is very close to DeLay and could help enormously
on that front. raised $ for bushhe [sic] assistant is Susan Ralston
[who would become Rove's assistant.]"
For his services to the Marianas Jack
Abramoff was paid nearly $10 million dollars, including the fees
he charged for booking his guests on the golf courses and providing
them copies of Newt Gingrich's book. One of the sweatshop moguls
with whom Abramoff was particularly close contributed half a million
dollars to - you guessed it - the U. S. Family Network that laundered
money from Russian oligarchs to Tom DeLay.
To this day, workers on the Marianas are
still denied the federal minimum wage while working long hours
for subsistence income in their little "petri dish of capitalism"
- "America at its best."
Both ends of Pennsylvania Avenue were
now in sync. George W. Bush had created his own version of the
K Street Project. Remember how he emerged from the crowded field
of Republican candidates in early 1999 and literally blew several
of them out of the water? He did so by drowning his opponents
with money. In just his first six months of fundraising, Bush
collected some $36 million - nine times more than his nearest
opponent, John McCain. The money came from the titans of America
business and lobbying who understood their contributions would
be rewarded. You've heard of the Pioneers and Rangers - people
who raised at least $100,000 and $200,000 for Bush. Among them
were people like Tom DeLay's brother, also a lobbyist; the CEO
of Enron, Kenneth ("Kenny Boy") Lay; and hundreds of
executives from the country's banks, investment houses, oil and
gas companies, electric utilities, and other companies.
While Tom DeLay kept a ledger on K Street,
ranking lobbyists as friendly and unfriendly, the Bush campaign
gave every one of his Pioneers and Rangers a tracking number,
making sure to know who was bringing in the bucks and where they
were coming from. In May of 1999 the trade association for the
electric utility industry sent a letter to potential contributors
on Bush campaign stationery. He told his colleagues that Bush's
campaign managers "have stressed the importance of having
our industry incorporate the tracking number in your fundraising
effortsit does ensure that our industry is credited and that your
progress is listed"
The bounty was waiting. A score of Pioneers
and Rangers were paid off with ambassadorships. At least 37 were
named to post-election transition teams, where they had a major
say in selecting political appointees at key regulatory positions
across the government. Remember the California energy crisis,
when Enron traders boasted of gouging grandmothers to drive up
the prices for energy? Well, Enron's Kenneth Lay had been Bush's
biggest campaign funder over the years and what he asked now as
a pay-off was appointment to the Energy Department transition
team. This is how Enron's boss got to name two of the five members
of the Federal Energy Regulatory Commission, who looked the other
way while Enron rigged California's energy prices and looted billions
right out from the pockets and pocketbooks of California's citizens.
There are, as I said, no victimless crimes
in politics. The cost of corruption is passed on to you. When
the government of the United States falls under the thumb of the
powerful and privileged, regular folks get squashed.
This week I visited for the first time
the Museum of the Presidio in San Francisco. From there American
troops shipped out to combat in the Pacific. Many never came back.
On the walls of one corridor are photographs of some of those
troops, a long way from home. Looking at them, I wondered: Is
this what those Marines died for on the Marianas - for sweatshops,
the plunder of our public trust, the corruption of democracy?
Government of the Abramoffs, by the DeLays, and for the people
who bribe them?
I don't think so.
But this crowd in charge has a vision
sharply at odds with the American people. They would arrange Washington
and the world for the convenience of themselves and the transnational
corporations that pay for their elections. In the words of Al
Meyeroff, the Los Angeles attorney who led a successful class
action suit for the workers on Saipan, the people who now control
the U.S. Government today want "a society run by the powerful,
oblivious to the weak, free of any oversight, enjoying a cozy
relationship with government, and thriving on crony capitalism."
America as their petri dish - the Marianas,
many times over.
This is an old story and a continuing
struggle. A century ago Theodore Roosevelt said the central fact
of his time was that corporations had become so dominant they
would chew up democracy and spit it out. His cousin Franklin Roosevelt
warned that a government of money was as much to be feared as
a government by mob. One was a progressive Republican, the other
a liberal Democrat. Their sentiments were echoed by an icon of
the conservative movement, Barry Goldwater, in 1987:
The fact that liberty depended on honest
elections was of the utmost importance to the patriots who founded
our nation and wrote the Constitution. They knew that corruption
destroyed the prime requisite of Constitutional liberty, an independent
legislature free from any influence other than that of the peoplerepresentative
government assumes that elections will be controlled by the citizenry
at large, not by those who give the most money. Electors must
believe their vote counts. Elected officials must owe their allegiance
to the people, not to their own wealth or to the wealth of interest
groups who speak only for the selfish fringes of the whole community.
IV
I have painted a bleak picture of democracy
today. I believe it is a true picture. But it is not a hopeless
picture. Something can be done about it. Organized people have
always had to take on organized money. If they had not, blacks
would still be three-fifths of a person, women wouldn't have the
vote, workers couldn't organize, and children would still be working
in the mines. Our democracy today is more real and more inclusive
than existed in the days of the Founders because time and again,
the people have organized themselves to insist that America become
"a more perfect union."
It is time to fight again. These people
in Washington have no right to be doing what they are doing. It's
not their government, it's your government. They work for you.
They're public employees - and if they let us down and sell us
out, they should be fired. That goes for the lowliest bureaucrat
in town to the senior leaders of Congress on up to the President
of the United States.
They would have you believe this is just
"a lobbying scandal." They would have you think that
if they pass a few nominal reforms, put a little more distance
between the politician and the lobbyist, you will think everything
is okay and they can go back to business as usual.
They're trying it now. Just look at Congressman
John Boehner, elected to replace Tom DeLay as House Majority Leader.
Today he speaks the language of reform, but ten years ago Boehner
was handing out checks from the tobacco executives on the floor
of the House. He's been a full player in the K Street Project
and DeLay's money machine, holding weekly meetings with some of
the most powerful lobbyists in the Speaker's suite at the Capitol.
He has thought nothing of hopping on corporate jets or cruising
Caribbean during winter breaks with high-powered lobbyists. Moreover,
the man Boehner beat to succeed DeLay - Congressman Roy Blunt
- has been elected to DeLay's first job as Majority Whip despite
being deeply compromised by millions upon millions of dollars
raised from the same interests that bought off DeLay.
And what now of DeLay? He's under indictment
for money laundering inTexas and had to resign as Majority Leader.
But the other day the party bosses in Congress gave him a seat
on the powerful House Appropriations Committee where big contributors
get their rewards. And - are you ready for this? - they put him
on the subcommittee overseeing the Justice Department which is
investigating the Abramoff scandal, including Abramoff's connections
to DeLay.
Business as usual. The usual rot. The
power of arrogance.
You may say, see? These forces can't be
defeated. They're too rich, they're too powerful, they're too
entrenched.
But look at what has happened in Connecticut,
one of the most corrupt states in the union. Rocked by multiple
scandals that brought down a state treasurer, a state senator,
and the governor himself with convictions of bribery, tax evasion,
and worse, the people finally had enough. Although many of the
parties had to be forced, kicking and screaming to do it, last
December the legislature passed clean money reform and the new
governor signed it into law. The bill bans campaign contributions
from lobbyists and state contractors and makes Connecticut the
very first state in the nation where the legislature and governor
approved full public funding for their own races.
Connecticut isn't the only place where
the link between public officials and private campaign contributions
has been broken. Both Arizona and Maine offer full public financing
of statewide and legislative races. New Jersey, New Mexico, North
Carolina, and Vermont have clean money systems for some races.
The cities of Portland, Oregon and Albuquerque, New Mexico recently
approved full public financing for citywide races.
In these places, candidates for public
office - executive, legislative, and in some cases judicial -
have the option of running on a limited and equal grant of full
public funding, provided they take little or no private contributions.
To qualify they have to pass a threshold by raising a large number
of small contributions from voters in their district. The system
allows candidates to run competitive campaigns for office even
if they do not have ties to well-heeled donors or big money lobbyists,
a near impossibility when public elections are privately funded.
In places where clean elections are law,
we see more competition for legislative seats and a more diverse
group of people running for office. In David Sirota's words, they
"are encouraged to run on their ideas, their convictions
and their integrity instead of on how effectively they can shake
down the big money." And there are policy results as well.
In Arizona, one of the first acts of Governor Janet Napolitano,
elected under the state's public financing program, was to institute
reforms establishing low-cost prescription drug subsidies for
seniors. Compare that to the Medicare debacle going on at the
national level. In Maine, where clean elections has been in place
since 2000, there have also been advances in providing low cost
pharmaceutical drugs for residents, and in making sure that every
state resident has medical coverage.
Why? Because the politicians can do what's
right, not what they're paid to do by big donors. They, not the
lobbyists, write the legislation. As one blogger put it this past
weekend, instead of dialing for dollars, they might have time
even to read bills like 'The Patriot Act' and find the small print
establishing a secret police.
California may soon follow Connecticut.
Calling for the political equivalent of electroshock therapy,
the Los Angeles Times recently urged Californians: "Forget
half-measures. The cure is voluntary public financing of election
campaigns." Already the Clean Money and Fair Elections Bill
has passed the state assembly and is headed for the senate. Check
it out at www.caclean.org.
Think about this: Californians could buy
back their elected representatives at a cost of about $5 or $6
per California resident. Nationally we could buy back our Congress
and the White House with full public financing for about $10 per
taxpayer per year. You can check this out on the website Public
Campaign. [www.publicampaign.org]
Public funding won't solve all the problems.
There's no way to legislate truly immoral people from abusing
our trust. But it would go a long way to breaking the link between
big donors and public officials and to restoring democracy to
the people. Until we offer qualified candidates a different source
of funding for their campaigns - "clean," disinterested,
accountable public money - the selling of America will go on.
From scandal to scandal.
The people out across the country on the
front lines of this fight have brought the message down to earth,
in plain language and clear metaphors. If a player sliding into
home plate reached into his pocket and handed the umpire $1000
before he made the call, what would we call that? A bribe. And
if a lawyer handed a judge $1000 before he issued a ruling, what
do we call that? A bribe. But when a lobbyist or CEO sidles up
to a member of Congress at a fundraiser or in a skybox and hands
him a check for $1000, what do we call that? A campaign contribution.
Representative Barney Frank likes to say
of Congress: "We are the only people in the world required
by law to take large amounts of money from strangers and then
act as if it has no effect on our behavior."
What law is he talking about? The unwritten
law that says your Congressman has to raise $2000 per day from
the day he or she is sworn in to the next election days - weekdays,
Saturdays, Sundays, Christmas Eve and the Fourth of July. As long
as elected officials need that constant stream of cash, someone
will run our country but it won't be you.
Even some business lobbyists are having
second thoughts. One of them, Stanton Anderson, was recently quoted
in Business Week: "As a conservative, I've always opposed
government involvement. But it seems to me the real answer is
federal financing of Congressional elections."
Mr. Anderson understand this isn't about
a "few bad apples." This is about the system. We can
change the system. But we have to believe democracy is worth fighting
for.
Listen to what Theodore Roosevelt said
one hundred years ago when he took on the political bosses and
big money of his time for committing "treason to the people."
We are standing for the great fundamental
rights upon which all successful free government must be based.
We are standing for elementary decency in politics. We are fighting
for honesty against naked robbery. It is not a partisan issue;
it is more than a political issue; it is a great moral issue.
If we condone political theft, if we do not resent the kinds of
wrong and injustice that injuriously affect the whole nation,
not merely our democratic form of government but our civilization
itself cannot endure.
We need that fighting spirit today - the
tough, outraged and resilient spirit that knows we have been delivered
a great and precious legacy, you and I - "government of,
by and for the people" - and, by God we're going to pass
it on.
Bill Moyers is President of the Schumann
Center for Media and Democracy. This is the prepared text of his
remarks on an eight-day speaking trip in California on the issue
of money and politics.
Bill
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