Obama's Lobbyist Ban: Why Not Differentiate Between Non-Profit Advocates and Corporate Shills?

by: David Sirota

Fri Mar 06, 2009 at 19:59


Matt Yglesias flags a Huffington Post article which asserts that President Obama's efforts to ban lobbyists from his administration is supposedly impeding his administration's ability to find good staffers. I have two simple things to say about this:
David Sirota :: Obama's Lobbyist Ban: Why Not Differentiate Between Non-Profit Advocates and Corporate Shills?
1. I said this on CNN and I'll say it again here: The idea that lobbyists are the only or the primary source of good talent to fill an administration is ridiculous, although I can see how it can feel that way inside Washington, D.C., a place where it feels like everyone is, wants to be, or has been a lobbyist at some point in their career. However, the notion that lobbyists must be the major talent pool for government service is a symptom of what we might call Beltway Blindness - that is, being unable to see outside the traditions and parameters of How Washington Has Always Worked. One of the most durable features of D.C. has always been the revolving door between government and lobbying work - and now that that revolving door seems to be slowing or ending, there seems to be a tendency of those in D.C. to assume that must have catastrophic consequences.

Last I checked, there's a whole host of people in D.C. who aren't lobbyists but who are highly qualified and - I know this is hard for D.C. folks to accept - there are also thousands of people (gasp!) outside of D.C. who are also qualified. Indeed, I'd like to believe that one of the reasons Obama proposed a lobbyist ban was to create a policy that would effectively force a new administration to hire some new blood with a fresh perspective.

Make no mistake: I'm sure that some of the slowness in staffing agencies has something to do with the lobbyist ban. But that's likely because Obama has hired so many Washington insiders to head the agencies and make hiring decisions - and such insiders have spent careers in D.C. seeing lobbyists as the primary talent pool for personnel. Unable to do that now, there is probably some paralysis - they are facing hiring restrictions they've never had to cope with, and they therefore don't really know what to do. My guess is that it'll be a baptism by fire - they'll get over their paralysis and simply have to figure it out.

2. I absolutely agree with Yglesias that Obama's lobbyist ban probably goes too far in preventing lobbyists who lobby for non-profit institutions, entities and campaigns from serving in government (in fact, while these people technically register as lobbyists, many non-profit lobbyists use the term "advocate" to rightly differentiate themselves from corporate lobbyists). If Obama is to modify the lobbying guidelines, he could easily modify them to apply only to lobbyists who lobby for for-profit entities.* That would have, for instance, been consistent with Obama putting an anti-tobacco lobbyist into his administration, but it still wouldn't have been consistent with his putting a Raytheon lobbyist into the Pentagon.

On the whole, I hope that if it's a choice between Obama keeping the imperfect lobbyist ban and not keeping it, he chooses the former and not the latter (though I also hope he chooses a "third way" and simply modifies his lobbyist ban to not apply to non-profit lobbyists).

Indeed, the idea that this ban, even in a slightly flawed state, is "creating more harm than good," as Yglesias insists, only makes sense if you somehow believe (as many in D.C. do) that the primary talent pool for the best people to serve in government are lobbyists - which may sound rational to Beltway folks who have lived under such assumptions forever, but makes absolutely no empirical sense in a nation of 300 million people (yes - there really are talented people out here in the heartland!).

Even in an imperfect construction, the ban sets an important principle, and (aside from the smarmy waivers that have been issued) Obama has shown commendable courage in enforcing it. Perhaps more importantly, the ban might force this new administration to consider hiring a different set of people than the same old retreads of Permanent Washington.

* Yes, yes - I know that corporate trade associations are often technically not-for-profit institutions, but Obama's lobbying ban is not a statute, it's a White House guideline. So it wouldn't be difficult for the personnel office to discern that a lobbyist for a technically non-profit corporate trade association is, in fact, a lobbyist for for-profit corporations. Likewise, it wouldn't be difficult for the White House personnel office to discern that a lobbyist for a union or 501(c)4 is actually a lobbyist for a non-profit entity.


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I Suggest Dean Baker to Replace Geitner (4.00 / 1)
     While Baker is in the Beltway, he is co-director of a institue; and while he liberal ( it will scare the hell out of The Street), he noticeable has good people's skills and a great way of explaining difficult subjects.
       Also, he does not mind getting in the thick of things.  Unlike like Krugman, he does not seem to resist conflict in person.  I can see him really him blasting the pathetic GOP Congress tropes and studies--coming from The Heritage, Cato, and AEI--with Orwellian speech and fatuous misinformation that Baker would crush.
       Anyone agree?  Time is ticking. . .

Astro turf (4.00 / 1)
Lots of astroturf groups, run as fronts for industry, are indistinguishable from legitimate grass roots organizations. They are designed this way, getting the same types of tax exemptions, etc.

So there is no way to separate them by how they are incorporated. This means making a political judgment and that's the slippery slope.

Keep the ban on and expand the field. There are lots of people working for these groups who aren't lobbyists. There are lots of people in academia and local government who have expertise. And there are even lots of people in the federal government who could be promoted into more senior positions.

Obama, like everyone else, relies on contacts and contacts of contacts. That's how Bernie Madoff was able to be so successful. A recommendation from someone you know carries more weight and substitutes for doing real investigation.

If the admin wants more people all they have to do is advertise, people will apply.  

Policies not Politics


Lobbying... (4.00 / 1)
The problem is drawing a line - any line - doesn't work very well. For example, picking your non-profit line, how many anti-global warming non-profits are bankrolled by energy industry companies and full of shills? The ban doesn't do much good if it doesn't actually keep the wrong people out of the government.

On the flip side, too hard-line a policy risks the problem Yglesias discusses. I don't think it is just a matter of Washington DC insiderness and 'How Washington Has Always Worked'. The problem is that once administrations change, all of the people with experience in government tend to move to lobbying jobs - and that isn't a bad thing. If they are passionate about government they should be lobbying to make changes and if they can get paid to do so, more power to them (I like a lot of lobbies - say unions, gay rights groups). But even where profit is a motive for support (say with trial lawyers) sometimes the goals are still noble and the work still valuable.

Anyway, while I sympathize with this sentiment: "force this new administration to consider hiring a different set of people than the same old retreads of Permanent Washington", I also do value experience and would rather, in a crisis, that our government not be limited entirely to people who, however well intentioned, are learning on the job. (Particularly when the people who are entrenched in career positions, including some of the worst offenders of the Bush administration, do have bureaucratic experience and will be resisting any change).

I don't know that I have a right answer for how to keep out the people I want out, while also keeping in the people I want in and still describe a coherent line - so I am not surprised that the Obama administration has fudged theirs. I'm not sure your formulation would work without fudging either.


Non profit lobbyists (0.00 / 0)
are full of corporate shills. It would be difficult to flush them out.

Why not differentiate between Non-profit advocates and Corporate Shills? (0.00 / 0)
Why not differentiate between Non-profit advocates and Corporate Shills? Because the point of not having lobbyists in government has nothing to do with whether or not the organization someone lobbies for has a profit margin.

The conflict of interest for lobbyists is the fact that a person is getting PAID to advocate a political position. Whether or not you work for a non profit... you're still working and your motives can still be questioned.

All you're really doing is distinguishing lobbying that you like from lobbying that you don't like. But that doesn't change the basic nature of the corrupting influence of money in politics. A person that collects a salary from lobbying or seeks to collect a salary for lobbying still has a monetary interest in their policy positions whether or not they want to work for a non-profit that you like.

In my opinion, the time limits are good enough. If a person hasn't lobbied for a certain amount of time and they promise not to directly go into lobbying right after their time with the government is up, then you diminish the conflict of interest. Also like you say, there is tons of talent out there that exists outside of the beltway. Academia has the policy wonks, and obviously the management side can't be hard to fill.

Maybe another way to do things would be to let lobbyists in but have them sign something forces them to cap their salaries when they get a lobbying job after leaving government. That way it's easier to say someone actually is an advocate and not just another person pushing policy so he can get rich when he leaves.


politically infeasible (0.00 / 0)


Because Obama's rap is a goo-goo rap about rational policy-making, (0.00 / 0)
rather than a class-based critique of power in our society.

Obama's entire campaign was based on this argument:  "politics as usual" and pointless partisanship are preventing our society from rising to the challenges we face.  Once we remove those barriers, everyone can sit at the policy-making table and, guided by our shared love of the USA, we'll be able to rationally come to the best conclusions about how to address our needs, and, at the same time, we'll come together as a single society again, joined by common effort.

I've never found that rap particularly persuasive, nor have I found it to be an accurate account of any social change in our country's history.  But it is, evidently, what Obama believes.  So he's going to follow through on it.


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