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The Jan. 6 fallout on K Street

Presented by Save Our Standards: Delivered daily, Influence gives you a comprehensive rundown and analysis of all lobby hires and news on K Street.
Jan 06, 2022 View in browser
 
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By Caitlin Oprysko

Presented by Save Our Standards

With Daniel Lippman

ONE YEAR LATER: The insurrection at the Capitol one year ago today is still hanging over every facet of Washington, from staff on the Hill to fallout on K Street and in the political giving world. The deadly attack prompted a large swath of corporate America to rethink its political-giving strategy, with a recent survey from the Public Affairs Council, a trade group for public affairs professionals, finding that more than 80 percent of corporate PACs suspended political contributions in the aftermath of the riots.

— Many companies have stuck to their pledges not to donate to the 147 Republicans who voted against certifying President Joe Biden's election win, though that hasn't stopped some of those lawmakers from continuing to rake in corporate cash over the last year, especially as it looks increasingly as though the party will return to power in Congress after the midterms.

— One Republican lobbyist told PI that it's a result of corporations being inherently privy to the political climate . They also pointed to outspoken lawmakers like Rep. Marjorie Taylor Greene (R-Ga.), one of just a handful of election objectors who received relatively miniscule amounts of corporate cash last year, as a convenient out.

— "I think it is navigable and doable for PACs to come up with criteria that exclude members on the edges," the lobbyist said. On the other hand, they added, "it's not tenable to say, 'Okay, we're not going to engage with 147 members'" of Congress, including potential future leadership and committee chairs.

— Kristin Brackemyre , the director of PAC and government relations for the Public Affairs Council, said in an interview that the insurrection accelerated a recent trend of companies beginning to take into account candidates' positions on social issues or controversial statements.

— For the most part, she said, the giving strategy for corporate America is likely set for the rest of the midterm cycle. Companies are likely "feeling pretty confident with the review processes that they've undertaken" to review their giving criteria — the council's survey in December found that 47 percent of respondents initiated a review of their giving criteria that resulted in changes to the criteria.

— "So even though there's still intense focus on it, I think most PACs feel like they've already been moving forward and … made the decisions that feel right to them, and I think are just focused on continuing to look ahead towards the midterms," Brackmyre added, though most corporate and trade association PACs typically review their criteria regularly. "This is unprecedented, obviously, the instruction was, but you know, PACs are continuously, usually on a yearly or at the minimum election-cycle- basis reviewing their criteria."

— Another dynamic that emerged after the insurrection was how a new level of distrust among members scuttled potentially bipartisan legislation, and K Street reported feeling that fallout. One conversation that happened "a lot" after the insurrection, the Republican lobbyist said, was that "we had some clients who were actively working on bipartisan legislation, where it suddenly became very clear that their Republican partner was no longer tenable. And they had to go find new Republicans to be bipartisan."

— "I think there's some deep scars right now, coming after January 6," former Rep. Greg Walden, who formed his own consultancy after leaving office, told PI in the spring when asked about his confidence in lawmakers across the aisle to come together on bills.

Good afternoon and welcome to PI. Send lobbying tips: coprysko@politico.com . And be sure to follow me on Twitter: @caitlinoprysko.

A message from Save Our Standards:

Technical standards like 5G and Wi-Fi have the power to transform industries, fuel the economy, and create high-quality jobs. But that only happens if owners of patents essential to standards honor their commitments to license all innovators to use those patents on fair and reasonable terms. A new draft Administration statement restores the balance vital to standards adoption and job creation. Support the Administration to promote American manufacturing and limit product bans on standard-essential patents.

 

ANOTHER UNREGISTERED FOREIGN AGENT PROSECUTION: "A Capital One Financial Corp. banker was charged with acting as a foreign agent seeking non-public U.S. law enforcement information on critics of Egyptian President Abdel Fattah El-Sisi," Bloomberg's Christian Berthelsen reports. "Pierre Girgis, 39, of Manhattan, was arrested by federal agents on Thursday and charged with two counts related to acting as an agent of a foreign country without notifying the Justice Department, as required by U.S. law."

— "Manhattan federal prosecutors said Girgis, a dual U.S-Egyptian citizen, 'operated at the direction and control of multiple employees of the Egyptian government' to further the country's interests in the United States. The activity allegedly dated back to 2014, when El-Sisi, a former Egyptian general, intelligence official and politician became the country's president."

— Girgis is charged not with violating the Foreign Agents Registration Act but the non-FARA statute known as Section 951 that is sometimes referred to as "espionage lite." As the Justice Department has cracked down on foreign influence operations in the U.S., DOJ has brought several high-profile Section 951 cases in recent years, including against former Trump campaign adviser Tom Barrack and the Russian Maria Butina.

SUPPLY CHAIN COALITION PUSHES FOR TESTING PRIORITY: More than 30 trade groups urged the Biden administration to prioritize their members amid a new surge in Covid-19 infections that's caused a rush on the nation's testing capacity — and which the groups warn could cripple supply chains even more.

— "It is becoming increasingly clear that the spread of Omicron poses the challenge of rapid disruption to America's critical supply infrastructure sectors," members of the Critical Infrastructure Supply Chain Council wrote in a letter to Biden and his Covid-19 czar, Jeffrey Zients, referring to the latest highly transmissible variant of the virus. The council's members include the American Cleaning Institute, the Association of Equipment Manufacturers, the Consumer Brands Association , the National Grocers Association, the National Restaurant Association, the National Pork Producers Council and more.

— "Critical for sustaining this supply chain is the availability of accurate, readily available testing supplies to slow the spread of COVID-19, in accordance with guidelines from the Centers for Disease Control and Prevention," the council wrote. The groups asked the administration to "accelerate efforts to ensure test kit and supply availability and recognize the essential role of the industries represented below, by taking steps that would prioritize testing availability and access to tests for our nation's critical infrastructure," mirroring a push by some of the same groups in advance of Covid vaccine rollouts.

ANTI-MANDATE AIRLINE EMPLOYEES LOBBY UP: "Airline employees fighting COVID-19 vaccine mandates have found receptive ears among prominent conservative media and policy figures as they try to beat back measures to force the jab on flight crews," Axios' Lachlan Markay reports.

— "Dueling concerns about public health and airline staff shortages make debates over those mandates critically important to U.S. health and transportation policy. But as vaccine policy debates splinter into partisan factions, groups looking to sway policymakers on the issue are left to pick one side or the other.

The latest: A group of United Airlines employees going by Airline Employees 4 Health Freedom has hired a pair of Republican lobbyists — former Mike Pence counsel Mark Paoletta and former Trump transition official Ken Klukowski — to press Congress to roll back mandates."

— "They anticipate lobbying for a bill requiring companies that receive federal funds to offer vaccine exemptions for essential workers, and for legislation to block a Biden administration rule mandating vaccines or regular testing for tens of millions of workers."

— "Since bringing on the firm, AE4HF has picked up support from some prominent conservative voices on Capitol Hill. Sen. Ted Cruz (R-Texas) cited a recent meeting with AE4HF representatives during Senate Commerce Committee questioning of United's CEO. [Sen.] Roger Marshall (R-Kan.), a member of the [Senate] Health, Education, Labor and Pensions Committee, also met with representatives of the organization in November. 'It isn't a partisan issue to us,' Paoletta told Axios during an interview. 'When they went up on the Hill, it was to anybody who would listen.'"

 

STEP INSIDE THE WEST WING: What's really happening in West Wing offices? Find out who's up, who's down, and who really has the president's ear in our West Wing Playbook newsletter, the insider's guide to the Biden White House and Cabinet. For buzzy nuggets and details that you won't find anywhere else, subscribe today.

 
 

BUSINESS COALITION GOES AFTER WEIL FOR ROUND 2: More than a dozen trade associations on Wednesday reiterated their opposition to David Weil, President Joe Biden 's pick to lead the Labor Department's Wage and Hour Division, after Biden resubmitted Weil's nomination to the Senate earlier this week. In a letter to Senate HELP leaders Patty Murray (D-Wash.) and Richard Burr (R-N.C.), the groups noted that Weil, who held the same post during the Obama administration, never made it out of the HELP Committee last year after members deadlocked on advancing his nomination to the floor.

— The letter argues that Weil, a vocal critic of so-called gig companies' classification of workers as independent contractors and a proponent of the Obama administration's joint employer rule, "would again implement policies at DOL that are unbalanced and would harm workers and small businesses," and highlights several reasons the trade groups say the committee should reject Weil. "The undersigned organizations believe that Dr. Weil will, if confirmed again, once more use the power of the DOL beyond Congressional intent to enact policies that will harm workers and small businesses during the economic recovery," they wrote.

— It was signed by Associated Builders and Contractors, the Coalition of Franchisee Associations, Franchise Business Services, Job Creators Network, Independent Electrical Contractors, the International Franchise Association, the International Warehouse Logistics Association, the National Association of Home Builders, the National Association of Wholesaler-Distributors, the National Franchisee Association, the National Restaurant Association, the Small Business & Entrepreneurship Council, TechNet and the Truck Renting and Leasing Association.

MARIJUANA LOBBYIST DEPARTS ADVOCACY GROUP: Justin Strekal, the longtime political director and a lobbyist at the marijuana advocacy group NORML, has left the group after half a decade, Marijuana Moment's Kyle Jaeger reports. Strekal told the outlet he plans to launch a PAC "focused on advancing the legalization fight through elections" and will remain involved in cannabis policy debates and advocacy. He'll be replaced by Morgan Fox, who previously served as media relations director for the National Cannabis Industry Association.

 

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Jobs Report

— Leigh Maiden is joining Strategic Marketing Innovations as an associate. She was most recently part of the government affairs team at Anduril Industries and is a Filemón Vela (D-Texas), Jim Langevin (D-R.I.) and Joe Manchin (D-W.Va.) alum.

— The American Cleaning Institute promoted Jessica Ek to senior director of digital communications. She was previously director of digital communications.

— Kelley Blanchard has been named executive vice president at Career Education Colleges and Universities , which represents postsecondary career schools. She was previously the group's senior vice president for professional development and engagement.

— Christine (Chrissy) Harbin is joining Citizens for Responsible Energy Solutions as vice president of external relations. She most recently was Capitol Hill program director at the International Conservation Caucus Foundation , and is a DOE and Export-Import Bank alum.

— Jennifer Shapiro is joining New York Life's office of governmental affairs as corporate vice president. She most recently was chief of staff for Rep. Emanuel Cleaver (D-Mo.).

— Florida Guxholli is joining Jeffrey J. Kimbell & Associates as an associate of government affairs. She previously worked with the Advanced Medical Technology Association and worked as a supply chain management professional with Techtronic Industries.

— The Coalition for Reimagined Mobility has named Catriona Meehan as new head of global government affairs. She was most recently head of policy, communication and sustainability at Wind Mobility and former co-chair of MicroMobility for Europe.

— The Center for Tech Diplomacy at Purdue is adding Dan DeLaurentis, Kevin Cirilli and Bret Swanson as senior fellows.

 

BECOME A GLOBAL INSIDER: The world is more connected than ever. It has never been more essential to identify, unpack and analyze important news, trends and decisions shaping our future — and we've got you covered! Every Monday, Wednesday and Friday, Global Insider author Ryan Heath navigates the global news maze and connects you to power players and events changing our world. Don't miss out on this influential global community. Subscribe now.

 
 
New Joint Fundraisers

Bennet Crow Victory Fund (Sen. Michael Bennet, Rep. Jason Crow)

New PACs

Clean Energy for America Inc. Political Action Committee (CE4A PAC) (PAC)
Daughters Defend Democracy (PAC)
Freedom, Family & Prosperity PAC (Leadership PAC: Mark Robertson)
Protect Our Kids PAC (Super PAC)
Radiology Partners, Inc. PAC (PAC)
STAND FOR NH PAC (PAC)
Sunshine Heroes PAC (PAC)

New Lobbying Registrations

Alpine Group Partners, LLC.: Array Tech, Inc.
Ann Warner LLC: National Industrial Transportation League
College Parent, L.P. Dba "Yahoo": College Parent, L.P. Dba "Yahoo"
Fbb Federal Relations: Next Renewable Fuels, Inc.
Fifestrategies, LLC: Draken International, LLC
Landon Fulmer: Medical Development Management
Mr. Mark Kopec: Hudson Sustainable Group, LLC

New Lobbying Terminations

Alcalde & Fay: City Of San Rafael, California
Alcalde & Fay: Contra Costa County
Alcalde & Fay: Golden Gate Bridge Highway & Transportation District
Alcalde & Fay: Marin County California
Alcalde & Fay: Sonoma County
Alcalde & Fay: Transportation Agency For Monterey County
Capitol Core Group, Inc.: Holloway Environmental Services, LLC
Eop Group, Inc.: Entergy
Jeffrey J. Kimbell And Associates: Tersera Therapeutics
Mr. Hector Alcalde: City Of Dallas
Mr. Paul Schlesinger: City Of Dallas
Mullett Strategies LLC: National Industrial Transportation League

A message from Save Our Standards:

Support US Jobs. Stop SEP Abuse.

A new draft policy statement on standard-essential patents (SEPs) committed for licensing on fair, reasonable, and non-discriminatory terms was released jointly by the U.S. Patent and Trademark Office, the National Institute of Standards and Technology, and the Department of Justice. The draft statement provides guidance on appropriate remedies in cases involving the use of these patents, and presents an approach to SEPs that strives to balance the interests of patent holders with the broad range of U.S. industries that use standards to protect the future of innovation.

Save Our Standards is a broad-based coalition working to end abusive practices in SEP licensing. We welcome the draft statement and support the Biden Administration for their leadership protecting U.S. competitiveness in charting out this balanced approach. Comments are being accepted through February 4. Support the Biden Administration to stop SEP abuse.

 
 

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