Thursday, January 12, 2012

New rules prompt K St. scramble (Politico)

Access is everything at the Democratic National Convention for K Streeters.

But now a ban on corporate and lobbyist donations ? which used to come with tickets to official convention events, hotel suites and other opportunitites to schmooze with Democrats ? is trying to limit Big Business?s involvement in the biggest party of the year.

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The rules announced last year by the Democratic National Committee forbid the 2012 convention in Charlotte, N.C., from accepting cash from corporations or registered lobbyists, and would cap individual contributions at $100,000. The limits are an outgrowth of the Obama administration?s push to restrict lobbyist and private sector influence on government.

In 2008, the convention raised more than $50 million drawing largely from wealthy donors and corporate contributions.

Already, eight months out, K Street is scrambling to overcome the new restrictions. Hired guns and in-house corporate execs are plotting ways around the new rules to make sure they?ll have a prime opportunity to mingle with party operatives and sherpa senior executives into official convention activities.

?The Democrats have made it inconvenient for corporations to donate to the convention but not impossible,? said Kenneth Gross, a veteran ethics lawyer at Skadden, Arps, Slate, Meagher & Flom.

Several K Streeters said, rest assured, they will make the most of the event ? even if it means a night at the Super 8 Motel instead of the Four Seasons.

That?s a stark contrast from traditional practice at national conventions, where corporations could cut big checks with the expectation that in exchange they?d get perks like hotel rooms, access to key social events and other benefits.

In 2008, the highest level donors ? those contributing at least $1 million ? got VIP access and credentials to the convention center for events, first consideration to reserve premier venue space for corporate hospitality events, entr?e to private events with elected Colorado officials and the members of the executive committee and invitations to all host committee-sponsored events, according to a Denver sponsorship packet. Companies also received recognition in host committee publications, logo placement on the official host committee website and other sponsorship opportunities for delegate gift bags and prominent banner placement in the city or corporate logo on hotel key cards for multiple hotels.

The Republican National Committee has not implemented any limits on lobbyists and corporate donors.

Some lobbyists say they?re looking for ways to get convention access and boost the party despite the new hurdles, although many are grumbling about the challenges.

?I would guess there are going to be companies that figure out, ?Okay, there?s no real way we?re going to be able to get around the limitation on corporate funding conventions, so what we?ll do is we will just get a block of rooms or condos somewhere near downtown and we?ll pay for that,?? one Democratic lobbyist said. ?And then, if there?s a way that our executives or Washington folks can get access to credentials through whatever means, well, we?ll just leave them to figure out what those channels might be.?

Others are threatening to stay home and withhold their help, which makes convention planners worry.

?The rules limit access to what is supposed to be a democratic process. So people who have to be there and want to be a part of the movement are creating work-arounds to make it happen. Hopefully we will reach a critical mass,? said convention consultant LeeAnn Petersen of Conventions 2012. ?Right now, operatives are concerned that nobody is actually going to go. That it?s just too complicated.?

Source: http://us.rd.yahoo.com/dailynews/rss/politics/*http%3A//us.rd.yahoo.com/dailynews/external/politico_rss/rss_politico_mostpop/http___www_politico_com_news_stories0112_71332_html/44145703/SIG=11m8rsfsm/*http%3A//www.politico.com/news/stories/0112/71332.html

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