Posts Tagged ‘pork barrell spending’

Change? What change? 8,500 earmarks and $8 Billion in Waste

Tuesday, March 10th, 2009

The House on Wednesday passed a $410 billion omnibus spending bill packed with pet projects requested by Democrats and Republicans alike. The 245-to-178 vote came just a week after President Obama signed one of the largest spending bills in the nation’s history, a $787 billion measure meant to rejuvenate a sluggish economy. The new bill, a reflection of Democratic priorities, increases spending on domestic programs by an average of 8 percent in the current fiscal year, which began in October. On Thursday, Mr. Obama is scheduled to send his budget for the next fiscal year to Congress. He did not take a formal position on the bill passed by the House. “It’s a big document,” a White House official said. “We are still reviewing it.” Republicans, however, did not mince words in describing the spending bill as wasteful. And one watchdog group said the bill provided nearly $8 billion for more than 8,500 pet projects favored by lawmakers, including $1.7 million for a honey bee laboratory in Weslaco, Tex.; $346,000 for research on apple fire blight in Michigan and New York; and $1.5 million for work on grapes and grape products, including wine. Representative John Fleming, Republican of Louisiana, said Mr. Obama’s call for fiscal responsibility, in a speech to a joint session of Congress on Tuesday, was “sandwiched between two wasteful spending bills.” Representative Mark Steven Kirk, Republican of Illinois, pointed out that the new bill came just two days after the White House held a forum to promote fiscal restraint.

If I believed Obama at his word, I expect the bill to be sent back to Congress with the reply: “Clean it up”. Will that happen? If it doesn’t, then I will feel that once again, politicians cannot be trusted, deal only in rhetoric and are only interested in their own personal agendas. Those teary eyed faces on election night – they have been duped as I have. The only difference is that perhaps I recognize it, while they will be in denial for 4 or 8 years….whatever will become of the US? I fear deeply for our children and grandchildren, more so than ever in my life.

John Murtha – Maybe, finally, the Corruption Will End?

Thursday, February 19th, 2009
WASHINGTON — Three lawmakers said Tuesday that they were returning campaign contributions from donors listed as employees of the PMA Group, a Washington lobbying firm whose founder is under investigation for purportedly funneling money through bogus donors. The decision by the three lawmakers — Senator Bill Nelson of Florida, and Representatives Zoe Lofgren of California and Peter J. Visclosky of Indiana, all Democrats — puts new pressure on others who received cash from the PMA Group and its founder, Paul Magliocchetti. Other big beneficiaries include Representative John P. Murtha, the Pennsylvania Democrat who is chairman of the House defense appropriations subcommittee; Representative James P. Moran, a Virginia Democrat on the panel; and Representative Alan B. Mollohan, the West Virginia Democrat who is chairman of the appropriations subcommittee that oversees the National Aeronautics and Space Administration, among other things.
Mr. Murtha, who received the most donations from PMA’s employees and clients, was a mentor to Mr. Magliocchetti, who was once on the staff of the defense appropriations subcommittee. Mr. Murtha, Mr. Visclosky, Mr. Moran and Mr. Mollohan have all earmarked millions of dollars in federal money for the PMA Group’s clients. A spokesman for Mr. Nelson said his campaign would give at least $4,000 in suspect donations to charity and was reviewing all contributions associated with the group.
The PMA Group headquarters was raided by the FBI in November, 2008.  Paul Magliocchetti, the founder of PMA Group, who indicated earlier this year he wanted to retire,  was a long-time aide for Rep. John Murtha (D-Pa.) on the House defense appropriations panel. PMA specializes in obtaining earmarks in the defense budget for a long list of clients. Out of its team of 35 lobbyists, at least 30 worked on Capitol Hill, in the Pentagon or both. All the staff bios from PMA’s website were taken off a couple months ago.  Over the years, PMA has benefited from its ties to Murtha and the other defense appropriators who have helped the firm secure millions of dollars in federal earmarks. A large portion of PMA’s business comes from companies headquartered in and around Murtha’s district in Johnstown, Pa. PMA also lobbies for defense giants like Lockheed Martin and General Dynamics, both of which have facilities in Johnstown.  In 2008, PMA earned about $14 million in lobbying revenue. Over time, PMA attracted the attention of government watchdogs, not only because of its ability to secure earmarks, but also for the large campaign donations the firm and its clients have given to lawmakers. The Center for Responsive Politics ranks PMA’s political action committee and PMA employees the leading contributors to at least 40 Democrats, including Murtha, Visclosky, Moran, Rep. Norm Dicks (Wash.), and Sens. Ben Nelson (Neb.) and Bill Nelson (Fla.).  While PMA donated primarily to Democrats, several Republicans also received contributions, including Sen. Judd Gregg (N.H.), nominated for Commerce Secretary in the Obama administration, former Sen. John Sununu (N.H.), and Reps. Ander Crenshaw (Fla.) and John McHugh (N.Y.). When Murtha was struggling with an unexpected challenge in his reelection campaign after remarking that voters in his district were racist, PMA lobbyists donated thousands of dollars to his campaign.  According to the Federal Election Commission data, employees of PMA gave the lawmaker $14,000. The PMA PAC donated $5,000 to him at the end of October. PMA clients made up the rest of the $110,000 the lawmaker raised in his last-minute fundraising efforts.  In the 2008 election cycle, PMA’s PAC donated $237,500 to Democrats and $141,000 to Republicans. “For a long time they have been prolific donors mainly to Democratic members of Congress,” said Keith Ashdown with the non-partisan watchdog group Taxpayers for Common Sense. “When Democrats came into power they became one of the most well-positioned lobby firms.”  Ashdown called the relationship between PMA and lawmakers “the Democrats’ example of pay-to-play.” “It will become the majority’s Waterloo on ethics,” Ashdown warned. “If they do not tackle this example head-on they will look as bad as the Republicans on ethics in government.” 
PMA is the second company with close ties to Murtha to be raided by federal agents recently. In January, agents from the FBI, the IRS and the Defense Criminal Investigative Service searched the office of Kuchera Industries and Kuchera Defense Systems, as well as the homes of the firms’ founders. The companies reportedly have received over $100 million in earmarks, thanks to Murtha’s efforts. While it is unclear whether Murtha is a target of the investigations, the heightened scrutiny of some of his closest donors and allies signals that the Feds may be inching closer to the 35-year-member of Congress, who chairs the powerful Defense Appropriations subcommittee.  “The FBI is showing a lot of interest in” a lot of people around Murtha, said Keith Ashdown of Taxpayers for Common Sense. “If I was in Murtha’s camp, I would not be sleeping at night.”  The watchdog group Citizens for Responsibility and Ethics in Washington has called Murtha one of the most corrupt members of Congress, for taking hundreds of thousands of dollars in contributions from companies and writing them millions of dollars in earmarks. Murtha has declined to comment on the designation.
  Murtha is no stranger to controversy. In the late 1970s, he was targeted in the “Abscam” scandal, a three-year FBI sting in which agents posed as representatives of an Arab sheik and offered suitcases of cash to lawmakers for favors. According to reports at the time, Murtha declined the undercover agents’ cash offer, but suggested the “sheik” find a way to invest the money in his home district.

Earmark beneficiaries – Democrats and Republicans

Friday, January 30th, 2009

Examples of lawmakers who have sponsored earmarks for private companies and received campaign contributions from them and, in some cases, their lobbyists.

Rep. David Hobson, R-Ohio
Hobson, a member of the House defense appropriations subcommittee, obtained a $2.4 million earmark last year for the Greentree Group of Beavercreek, Ohio, for a digital information sharing system. Greentree Group executives, their families and consultants have donated $43,350 to Hobson since 2000, reports The Columbus Dispatch.

Rep. Peter Visclosky, D-Ind.

Visclosky, a member of House defense appropriations subcommittee, sponsored a $2 million earmark to 21st Century Systems last year for a virtual fence demonstration project. 21st Century has opened offices in Visclosky’s district. Its executives have contributed more than $27,000 to Visclosky in 2007-2008. The company’s Washington lobbyist is the PMA Group, a major appropriations lobbying shop whose associates have his campaign more than $45,000 in 2007-2008. The Indianapolis Star reported that Visclosky also helped Applied Global Technologies obtain a $2 million earmark for video teletraining for the military. Three Applied Global Technologies executives, including Executive Vice President Mike Garvey, each gave Visclosky a maximum $2,300 contribution.

Rep. Todd Tiahrt, R-Kan.
Tiahrt co-sponsored an $8.3 million earmark for Marine Corps UC-12 replacement aircraft built by Hawker Beechcraft Corp. in Wichita. Company executives have contributed $11,750 to Tiahrt this election cycle.

Reps. Rob Andrews, D-N.J., and Frank LoBiondo, R-N.J.
Since 2003, Andrews — and in some cases LoBiondo — sponsored $24.4 million in federal contracts to Gestalt LLC for work on speedy analyses of ships spotted at sea and teaching robots to work together. Executives of Gestalt contributed more than $14,000 to Andrews since 2002, and $2,500 to LoBiondo. Employees from Gestalt’s lobbying firm, American Defense International, delivered another $11,000 to Andrews and $5,750 to LoBiondo, reports the Courier-Post of Cherry Hill, N.J.

Rep. Tim Holden, D-Pa.
Holden earmarked $3.2 million to Reading-based Fidelity Technologies for the Call for Fire Trainer, a training simulator to help “forward observers” conduct calls for fire missions. The family of its founder, Jack Gulati, has contributed $10,000-plus to Holden’s re-election campaigns over the past six years. Employees of Fidelity’s lobbying firm, PMA Group, have donated $63,225 to Holden campaigns since 2002, the Allentown Morning Call reports.

Rep. Patrick Murphy, D-Pa.
Murphy provided a $1.6 million defense bill earmark to EDO Corp. for “smart rack” weapons release systems that let fighter pilots fire various weapons or drop bombs at separate times. EDO’s political action committee gave Murphy $10,000, the Bucks County Courier Times reports. EDO also hired the PMA Group as its lobbying firm. PMA lobbyists and their spouses have given generously to Murphy, with contributions in the current election cycle totaling $18,500.

Rep. George Miller, D-Calif.
Miller delivered a $1.6 million for SecuriMetrics Inc., which manufactures biometric identification devices that use iris, fingerprint and facial recognition technology. Employees of SecuriMetrics Inc. have donated $16,090 to Miller and his political action committee since 2004, the Contra Costa Times reports.

Rep. Jack Kingston, R-Ga.
He won a $1.6 million earmark last year for Engineering and Software Systems Solutions Inc. for advanced coating technologies. Kingston has received more than $20,000 in campaign contributions this election cycle from company executives and their wives.

Source: The Associated Press

Unemployment, financial crises and Pork!

Friday, January 30th, 2009

More than 11,000 “earmarks,” worth nearly $15 billion in all, were slipped into legislation telling the government where to spend taxpayers’ money this year, keeping the issue at the center of Washington’s culture of money, influence and politics. Sen. John McCain, R-Ariz., said lawmakers could not possibly know what they were approving in the hastily completed spending bill, packed with “unnecessary, wasteful, run-of-the-mill pork barrel projects” amounting to “a slush fund for the appropriators.” In a lengthy statement submitted for the Congressional Record this week, McCain warned: “It will be a long time before all of the hidden provisions in this legislation are exposed.”

Congress has asked the Justice Department to investigate Alaska GOP Rep. Don Young’s $10 million earmark for a Florida highway interchange sought by a developer who gave him campaign contributions. Former Appropriations Committee Chairman Jerry Lewis, R-Calif., is embroiled in an investigation of earmarks for clients of lobbyist Bill Lowery, a former GOP congressman, who also have been generous campaign donors to Lewis. Once limited to the most senior and powerful lawmakers, or those on the Appropriations and Transportation committees, earmarking pet projects and grants mushroomed after Republicans took over Congress in 1995.

Estimates vary, but earmarks went from more than 1,300 projects worth nearly $8 billion in 1994 to a peak of nearly 14,000 projects worth more than $27 billion in 2005, according Citizens Against Government Waste, a watchdog group that opposes the practice.

Rep. Jim Walsh, R-N.Y., contrasts today’s earmarking culture to what existed before that. Most of the pet projects went to a small clique of spending barons headed by Appropriations chairmen like the late Rep. Jamie Whitten, D-Miss., who used to call up Cabinet officials to order up earmarks.

“We democratized it,” Walsh said. “We basically said, ‘We’re going to make this available to all the members.’”

But demand for earmarks skyrocketed, and more and more lobbying firms sought to buy in.

Democrats say they are cutting earmarks by more than 40 percent below the 2006 budget bills passed when Republicans ran Congress. As important, they say, are House and Senate reforms requiring sponsors of earmarks to disclose them. That’s made it easier for watchdog groups, reporters and the public to track the flow of lobbying influence and money. A Web site run by Taxpayers for Common Sense details earmarks, and one run by the Center for Responsive Politics tracks lobby registrations and campaign contributions.

Things may be changing. This year, freshman Rep. Kirsten Gillibrand, D-N.Y., gave back about $14,000 in contributions from people who had requested earmarks. Rep. Mike Simpson, R-Idaho, told the AP that starting next year he’s going to stop asking for earmarks benefiting private companies. Few, however, expect the pay-to-play system to shut down.

“Hiring a lobbyist to try to get you an earmark is a pretty good investment, because you can get a 10-, 20-, 30-fold return without frankly all that much work,” said Anthony Nownes, a political scientist at the University of Tennessee in Knoxville. “It’s a such a win-win situation for everybody. The legislator gets to tell his or her constituent that he or she quite literally brought home the bacon, the lobbyist gets to tell his or her client that they did the same thing, and the constituents get all the goodies.”