Gordon Smith Protects Lobbyist Loophole Fought For By Abramoff Ally, Right-Wing Social Conservatives. Why?

Kelly Steele

[Editor's note: Today, Kelly Steele joins BlueOregon as one of our regular contributors. In 2005, he was a spokesman for the DPO, and in 2002 was on the Bill Bradbury for US Senate campaign.]

Smith_atrLate last week, the US Senate overwhelmingly passed a key agenda item of the new Democratic leadership: lobbying and ethics reform. And while the legislation represents a solid step forward in curbing the role of lobbyists and special interest money that yielded the Jack Abramoff scandal, Gordon Smith helped make sure the final bill was amended to eliminate restrictions on some of the very organizations at the heart of the Abramoff debacle.

As reported last week on the Seattle Times blog Postman on Politics, right-wing social conservatives like James Dobson’s Focus on the Family and National Right to Life unleashed a major offensive to eliminate disclosure requirements for certain lobbying done by non-profits.

Their efforts to defeat the disclosure requirements were joined by Gordon Smith’s pal Grover Norquist, pictured here with the junior Senator, who runs the non-profit Americans for Tax Reform. Norquist is a longtime Abramoff ally, whose use of non-profits to launder money – free of disclosure requirements – is at the center of the current Republican lobbying scandal.

According to a report released by the Senate Indian Affairs Committee, on which Gordon Smith sits, these unregulated non-profits played a key role:

Among the organizations used by Abramoff was Norquist's Americans for Tax Reform. According to an investigative report on Abramoff's lobbying released last week by the Senate Indian Affairs Committee, Americans for Tax Reform served as a "conduit" for funds that flowed from Abramoff's clients to surreptitiously finance grass-roots lobbying campaigns. As the money passed through, Norquist's organization kept a small cut, e-mails show.

A separate report released later by the Senate Finance Committee, on which Gordon Smith also sits, further demonstrated how Abramoff and Norquist manipulated non-profits in their influence-peddling scheme:

Five conservative nonprofit organizations, including one run by prominent Republican Grover Norquist, "appear to have perpetrated a fraud" on taxpayers by selling their clout to lobbyist Jack Abramoff, Senate investigators said in a report issued yesterday. The report includes previously unreleased e-mails between the now-disgraced lobbyist and officers of the nonprofit groups, showing that Abramoff funneled money from his clients to the groups.

The lobbying effort by right-wingers Dobson and Norquist was so intense that Sen. John McCain, who had supported even more stringent regulation of non-profits and is generally considered a champion on ethics and campaign finance issues, reversed his position while courting these groups for support in his 2008 presidential bid.

To be sure, Smith and his staff have not as yet been implicated in the scandals that spawned the ethics legislation, though Smith and Abramoff are certainly not strangers.

But Smith has definitely been the beneficiary of lax regulation of non-profits used for political purposes.

Smith took a lavish trip to London and Ireland in 2003, paid for by the lobbying firm Kessler & Associates and the non-profit Ripon Educational Fund. (President of Ripon…wait for it…Richard Kessler.) Kessler and Ripon’s use of their non-profit to game the system – and finance Congressional travel without disclosing the source of their monies – has drawn comparisons by watchdog groups to the activities of Jack Abramoff.

Perhaps not surprisingly, Smith also voted against the creation of a Senate Office of Public Integrity – which would investigate and hold members accountable for things like the 2003 European junket.

Thankfully for Oregonians that espouse leadership committed to the highest possible ethical standards, Democratic Senator Ron Wyden supported both the Office of Public Integrity and the disclosure requirements for non-profits like those that finance Gordon Smith’s vacations.

  • j_luthergoober (unverified)
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    Because Grover Norquist is a degenerate; and Gordon Smith is an bald-faced opportunist; I can't think of anything more destructive to the citizenry of Oregon than the spawn of these two head cases. If ever there was a justifiable case for Smith being found guilty by association, surely this is it.

  • BlueNote (unverified)
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    These weekly rants against Gordon Smith would be more meaningful if the Dems had an actual candidate - or at least an identified front runner. There are 652 days until the 2008 general election and I have no idea who the Dem candidate will be or what his/her position will be on anything. Maybe he or she would have voted the same as Gordon Smith?

    On the bill itself, it is interesting to see that voting "YES" in addition to Gordon Smith we have every Republican in the Senate plus Baucus (D-MT), Bayh (D-IN), Conrad (D-ND), Dorgan (D-ND), Landrieu (D-LA), Nelson (D-NE), Salazar (D-CO), not to mention Johnson (D-SD) who did not vote.

    If this bill is so bad, rather than worry about Smith, my question is why so many Democrats abandoned the newly won "majority" in the Senate to vote with the Republicans? I thought that "we" are now in control?

  • Kelly Steele (unverified)
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    While it would certainly be better if there were an announced challenger, in the interim I think it's fair to use how Sen Wyden votes as a barometer to compare what a Democrat representing Oregon would do.

    And while Democrats have the majority, I probably don't need to explain to you that it takes 60 votes to get anything done in the Senate.

    My understanding of the negotiations is that the Republicans were using the Bennett Amendment (topic of this post) and a Line Item Veto amendment in an attempt to torpedo the entire ethics bill, and ultimately the leadership agreed to vote on the Bennett Amendment in exchange for Republicans dropping Line Item Veto.

    As for the 7 Democrats that crossed over, that's for them to explain.

  • TomCat (unverified)
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    I had heard that this provision was poorly written in such a way that even independent bloggers like myself, with no financial stake in the issues about which I blog, whatsoever would have to make quarterly reports to the government. Can someone enlighten me on that aspect of the bill, please?

  • Kelly Steele (unverified)
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    That argument is a smokescreen used by opponents. The real, carefully-worded purpose is to require disclosure of the hundreds of millions of dollars in Astroturf operations done by lobbyists.

    See Sen. Levin's testimony, where he answers that claim specifically after McCain makes that argument: here.

    Also, everyone's favorite Democrat from CT - JoeMentum - addressed that issue in his floor testimony:

    This grassroots lobbying provision would do nothing to stop, deter or interfere with individuals exercising their constitutional rights to petition our Government for redress. We are talking about disclosure, not censorship, not limits in any way on lobbying. We are talking about disclosure of large sums of money spent by professional organizations. We are not talking about barring any organization from conducting a grassroots lobbying campaign. And we are not talking about small grassroots lobbying efforts.
    Here's a pretty high-tech myth vs. fact analysis that addresses the "political blogger" issue at the bottom.

    This loophole is a big enough to drive a truck through. (Which Abramoff and Norquist just so happened to do...)

  • Michael M. (unverified)
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    This has to be a joke, right? Groups across the political spectrum, from the ACLU to Focus on the Family, wrote blisteringly and persuasively about how poorly the bill was written and how dangerous it was, and urged passage of the Bennett amendment that Smith voted for. The ACLU warned of the chilling effect it would have on smaller political parties and organizations. It's a shame more Democrats don't give a damn about the First Amendment.

    As ethically challenged as he is, Smith deserves credit for standing up for what was right here. Harry Reid incorrectly presumed he could corral the Dems behind the toothless, business-as-usual "ethics" legislation designed to allow Congressmen to continue to squander millions of taxpayer dollars on pet-project earmarks without any oversight, but the Dems mentioned above were courageous enough to stand up to him. To his great shame, Wyden was not one of these. I'm very disappointed that he was willing to play along with the corrupt Democratic machine -- one can only wonder what he was promised in return.

    This has to be the most ludicrous spin I've yet seen here on Blue Oregon. The Senate Democrats very nearly blew it, after the House did itself proud in bipartisan fashion, and somehow it comes out on here as yet-another-evil-Republican-plot. I hope this is not an example of what we can expect from Mr. Steele.

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    Michael M,

    Care to provide a little more substance to go along with the rhetoric?

    The only aspect I'm familiar with is the lobbyists-masquerading-as-bloggers provision, and Mr. Steele's analysis is right on the money. And cites sources, too.

    Maybe you could quote these allegedly persuasive bits of rhetoric for the rest of us? If not, it looks to me like we might even have one of these bits of "astroturf" right here, Exhibit A above, for all to consider. Is there really a Michael M, a Dem with the ability to see across the aisle? Or is "he" a rhetorical device used by a right-wing puppeteer?

  • Stanley (unverified)
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    Gordon Smith breaks logjam to save ethics reform.

    Crooks and Liars > Ethics Reform Stalled in Senate http://www.crooksandliars.com/2007/01/18/ethics-reform-stalled-in-senate/

    KTVZ.com - Central Oregon's Local News - Smith backs ethics reform bill http://www.ktvz.com/story.cfm?nav=oregon&storyID=18125

    Please note, by late afternoon Thursday, it looked like ethics reform was hopelessly stalled in the Senate with Gordon Smith the ONLY REP to break with Mitch McConnell's determination to include a line item presidential veto on spending items. Yet somehow, after 10:00 pm that same day, ethics reform passed 96 to 2.

    The next day, the bill UNANIMOUSLY passed the House. All it now needs is Bush's signature.

    Was Smith's agreeing to the amendment an act of valor, a despicable deed or something inbetween? I don't know enough about the trade-offs to pass judgment.

  • Wendy (unverified)
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    I don't get all the Gordon haters on this site. According to the Oregonian he voted less often with his party than any other member of the Oregon delegation. While it was still a very high percentage, he has always struck me as a pretty sincere, thoughtful guy even when I disagree with him. Why all the hate instead of enlightened debate? Geez, give the guy a break. Even when he votes with the ACLU the lemmings on this site trash him. Think for yourself.

  • j_luthergoober (unverified)
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    Write a letter to the esteemed Senator and try to figure out his lame response... Face it Oregon, the guy is a golfer who has been on a on a 12-year junket... Any "statesman" that accepts an award from a Grover that not only boasted of starving and then drowning metaphorical kittens but pensively posed with Taliban weaponry to emphisize his anti-communist tendencies is a fringe sicko. GS, an Independent maverick my @ss.

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    According to the Oregonian he voted less often with his party than any other member of the Oregon delegation.

    You seem to be mistaking this blog for a place that values moderation above all things. Sorry - this is a progressive blog. On that score, he's the most conservative US Senator from Oregon there is. Out of the entire delegation, he's in a footrace with Greg Walden for most conservative altogether.

    As for the notion that he's a moderate... that's laughable. Here's a rundown on all the reasons Gordon Smith is not a moderate.

    Welcome to our blog. Have a look around. Enjoy!

  • TomCat (unverified)
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    Thanks Kelly. That cleared it up for me. Before that I had heard a lot of smoke and even read the bill, but the language in legislation is so convoluted you almost have to be a lawyer to pretend to understand it.:-)

  • O. Porter Rockwell (unverified)
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    I used to be a Mormon, and even attended BYU. I remember when VP Nelson Rockefeller came to speak at an Assembly. With him on the dais was a fellow named J. Willard Marriott. Mormons don't believe in alcohol, but have you ever seen a Marriott Hotel that didn't serve alcohol? Mormons have very deep ties to the Almighty Dollar, and to Republican politics. I have seen (trust me!) the hypocrisy firsthand...'nuff said...

    PS: Orrin Porter Rockwell was Brigham Young's Right-Hand man, and his "Enforcer". His claim to fame? He invented the sawed-off shotgun! Also Google "Mountain Meadows" and "Fawn Brodie" for more LDS History...

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    sigh

    Since "Michael M" has failed to return and defend his existence, I assume he's a troll, a sockpuppet, a rhetorical fabrication. A non-reporting clod of astroturf.

    Which means I'm out another lousy $10 bucks. Ty Pettit seems like the right recipient this time...

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    Posted by: Wendy | Jan 23, 2007 12:48:51 AM

    "I don't get all the Gordon haters on this site. According to the Oregonian he voted less often with his party than any other member of the Oregon delegation"

    Huh?

    You mean he voted less with his party than wingnut Greg Walden-R OR-02, the only other GOP in Congress?

    <h2>Kinda low-bar you are setting there.</h2>

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