Big bucks spent honoring lawmakers

Big bucks spent honoring lawmakers
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Corporations, universities, unions and other groups spent almost $20 million last year honoring federal officials and the organizations close to them, according to an analysis by The Hill.

Although rules ban gifts to federal officials and place limits on campaign contributions, there is no limit on the amount of money that can be spent honoring lawmakers and top officials with plaques and events, nor are there limits on donations to charities and institutes that policymakers support.

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The so-called honorary expenses are central to the way Washington works yet are rarely reported in the press.

“It’s a very common way of building a relationship with members of Congress, and that has been true for many, many years,” said Robert Kelner, the chair of Covington and Burlington’s election and political law practice.

“It comes in many different forms. A lot of interest groups look to support charities that are near and dear to a member of Congress, and every year there are many events honoring members,” he said. “It’s a routine part of lobbying in Washington to support those events.”

More than 240 of organizations shelled out $19.75 million on honorary expenses last year, according to Senate disclosure records reviewed by The Hill.

The contributions were made to more than 100 different organizations, some of which have federal officials on their boards.

Dozens of lawmakers also received awards or plaques as part of the more than 1,300 individual expenditures listed in the reports.

Chevron, for example, which reported $687,000 in total honorary expenses last year, gave $50,000 to the State Department in May. It is legal for corporations to give money directly to agencies in many cases.

“We have strict policies and internal approval processes to ensure that decision making and reporting on all charitable and political contributions comply with the letter and spirit of all applicable laws,” said company spokeswoman Melissa Ritchie, while declining to discuss the State Department contribution.

The National Parks Conservation Association spent $272,000 on its annual dinner, where it handed out awards to Rep. Mike Simpson (R-Idaho) and Sen. Patty MurrayPatricia (Patty) Lynn MurraySenate Health Committee advances bipartisan package to lower health costs Overnight Health Care: Trump officials defend changes to family planning program | Senators unveil bipartisan package on health costs | Democrats pass T spending bill with HHS funds Chris Murphy may oppose bipartisan health bill unless it addresses ObamaCare 'sabotage' MORE (D-Wash.). Because lawmakers were honored at the dinner, the total spending on the event had to be reported on disclosure forms.

Universities are even required to report when officials and lawmakers speak at commencement ceremonies.

Johns Hopkins University reported spending $620,063 on its graduation ceremony, in which Rep. Elijah Cummings (D-Md.) and Anthony Fauci, of the National Institutes of Health, received honorary degrees.

The corporations, unions and nonprofits that responded to inquires from The Hill about their honorary expenses all emphasized a long commitment to charitable causes, which appeared to make up a large amount of money spent.

“You can’t always assume that just because a corporation gave to a particular event it has anything to do with a lawmaker being honored,” Kelner said. “They may have a long history of working with that charity.”

Following the Jack Abramoff scandal in the mid 2000s, Congress approved new gift and ethics rul es that require lobbyists and the organizations that hire them to submit reports about various donations twice per year, including ones where they “honor” or recognize an official.

In 2008, the first year the guidelines were put into place, organizations disclosed $35.8 million in honorary contributions, according to a USA Today review at the time.

But the decline to around $20 million last year may not reflect a drop in activity, according to several compliance experts.

“Some confusion does exist in determining whether or not specific expenses need to be reported as honorary in the first place,” said Joshua Ian Rosenstein, a partner at Sandler Reiff Lamb Rosenstein & Birkenstock. “You have a lot of inconsistent reporting.”

Buying a table at a dinner at which members are honored or speak — something that groups and lobbyists in Washington do routinely — does not have to be disclosed under the ethics rules. In order to trigger disclosure, the spending must be for multiple tables that substantially contribute to the cost of the event or include leadership tasks for the event.

Some companies told The Hill they reported some honorary expenses “out of an abundance of caution.”

“There are a lot of judgment calls on what’s reportable, and as a result there’s more activity than you see just by looking at the” disclosure forms, Kelner said.

Compliance lawyers said there is no real enforcement over the expenses to make sure they are being reported properly, or at all.

The Congressional Black Caucus Foundation and the Congressional Hispanic Caucus Institute — which have lawmakers on their boards — received the highest amount of honorary contributions of any organization with connections to members of Congress, taking in $2.8 million and $2.4 million, respectively.

A spokesman for the Congressional Hispanic Caucus Institute said that the organization’s bylaws prohibit members of Congress from directly fundraising for the organization and that lawmakers on the board only participate in advice on “strategic direction and growth.”

Eight corporations reported giving a total of $110,000 to the Utah Families Foundation, a charity that Sen. Orrin HatchOrrin Grant HatchTrump to award racing legend Roger Penske with Presidential Medal of Freedom Trump awards Presidential Medal of Freedom to economist, former Reagan adviser Arthur Laffer Second ex-Senate staffer charged in aiding doxxing of GOP senators MORE (R-Utah) helped start in the 1990s. Meanwhile, 20 companies gave a combined $141,382 to the James E. Clyburn Research & Scholarship Foundation, a charity named after the South Carolina Democrat, last year.

The Asian Pacific American Institute of Congressional Studies, which has lawmakers on its board, received $155,000 from three companies and a trade association.

Three companies gave more than $100,000 to the Faith & Politics Institute, in which Rep. John Lewis (D-Ga.) serves as a co-chair emeritus. Raytheon listed on its forms a $25,000 expense to the McCain Institute for International Leadership at Arizona State University, which takes its name from Sen. John McCainJohn Sidney McCainTrump says he's 'very happy' some GOP senators have 'gone on to greener pastures' The Hill's Morning Report - Democratic debates: Miami nice or spice? Trump pick brings scrutiny to 'revolving door' between Pentagon, industry MORE (R-Ariz.)

“You often find that corporations giving to a foundation [with ties to officials] have direct business pending before the” government, said Craig Holman, a lobbyist at Public Citizen. The data on honorary fees, even if it’s incomplete, is an attempt “to get some disclosure of that kind of influence-peddling.”

Still, it’s clear that the spending by corporations doesn’t always win them friends in high places.

Apple spent almost $1.3 million in November to co-sponsor the Thurgood Marshall College Fund’s annual awards gala, which honored CIA Director John Brennan, among others.

Three months later, the intelligence chief sided with the FBI in its fight with Apple regarding its strict encryption policy as the government sought the company’s help in unlocking an iPhone used by one of the perpetrators of last year’s terrorist attack in  San Bernardino, Calif.

While some forms include information about what the expenditures were intended for, the vast majority of them vague.

“The guidance makes clear that [disclosures] are supposed to contain a level of detail to inform the public about the nature of certain expenses that are being reported,” said Rosenstein, the compliance attorney. “But if the disclosures, in practice, are so opaque so as to make it impossible to know what’s going on, then the purpose of the [forms] is being undermined.”

Haley Britzky and Luke Barr contributed to this report.

 

Non-profits with lawmaker ties

Organization: Congressional Black Caucus Foundation

Officials: Reps. G. K. Butterfield (D-N.C.), ex officio, Gwen MooreGwen Sophia MooreThe Trump administration's plan to change the poverty line would hurt communities who need help the most Ex-White House ethics chief compares Ivanka, Kushner security clearances to college admissions scandal Dem compares college cheating scandal to Ivanka, Jared's security clearance MORE (D-Wis.), Brenda Lawrence (D-Mich.), Hank Johnson (D-Ga.), Sheila Jackson LeeSheila Jackson LeeO'Rourke: Cash reparations policy 'stops the conversation' on the issue EXCLUSIVE: Trump on reparations: 'I don't see it happening' Hicks repeatedly blocked by White House from answering Judiciary questions MORE (D-Texas), Chaka Fattah (D-Penn.), Keith Ellison (D-Minn.), Elijah Cummings (D-Md.), Emanuel Cleaver (D-Mo.), Joyce BeattyJoyce Birdson BeattyA true believer in diversity, inclusion On The Money: US banks see profits rise | Pelosi 'optimistic' on infrastructure deal with Trump | Former Black Caucus staffers flex clout on K Street Former Congressional Black Caucus staffers flex clout on K Street MORE (D-Ohio).

Connection: All serve on the board of directors

Total honorary donations in 2015: $2.77 million

Number of donors: 42

 

Organization: Congressional Black Caucus Institute

Officials: Reps. Bennie Thompson (D-Miss.), G.K. ButterfieldGeorge (G.K.) Kenneth ButterfieldNancy Pelosi fends off impeachment wave — for now House Democrats press leaders to start Trump impeachment WHIP LIST: The 78 House Democrats backing an impeachment inquiry MORE (D-N.C.), James Clyburn (D-S.C.), and former Rep. Earl Hilliard (D-Ala.), Cedric Richmond (D-La.)

Connection: All serve on the board of directors

Total honorary donations in 2015: $794,333

Number of donors: 8

 

Organization: Congressional Hispanic Caucus Institue

Officials: Reps. Linda Sánchez (D-Calif.), Joaquin Castro (D-Texas), Michelle Lujan Grisham (D-N.M.), Lucille Roybal-Allard (D-Calif.), Raul Ruiz (D-Calif), Norma Torres (D-Calif.), Juan Vargas (D-Calif.), Filemon Vela (D-Texas)

Connection: All serve on the board of directors

Total honorary donations in 2015: $2.4 million

Number of donors: 48

 

Organization: Congressional Hispanic Leadership Institue

Officials: Former Rep. Lincoln Diaz-Balart (R-Fla.), Reps. Henry Cuellar (D-Texas), Mario Diaz-Balart (R-Fla.), Carlos Curbelo (R-Fla.), Bill FloresWilliam (Bill) Hose FloresOvernight Energy: GOP lawmaker parodies Green New Deal in new bill | House Republicans accuse Dems of ramming through climate bill | Park Service chief grilled over shutdown House Republicans accuse Dems of ramming through climate bill Seven Republicans vote against naming post office after ex-Rep. Louise Slaughter MORE (R-Texas), Raúl Labrador (R-Ida.), Devin Nunes (R-Calif.), Ileana Ros-Lehtinen (R-Fla.), Albio Sires (D-N.J.), David Valadao (R-Calif.)

Connection: All serve on the board of directors. 

Total honorary donations in 2015: $291,309

Number of donors: 12

 

Organization: Asian Pacific American Institute of Congressional Studies

Officials: Former Rep. Joseph Anh Cao (R-La.), Reps. Mike Honda (D-Calif.), Judy Chu (D-Calif.)

Connection: All serve on the board

Total honorary donations in 2015: $155,000

Number of donors: 4

 

Organization: James E. Clyburn Research & Scholarship Foundation

Officials: Rep. James Clyburn (D-S.C.)

Connection: The foundation is named after the congressman

Total honorary donations in 2015: $141,382

Number of donors: 19

 

Organization: Utah Families Foundation

Officials: Sen. Orrin Hatch (R-Utah)

Connection: The senator helped found the charity

Total honorary donations in 2015: $110,000

Number of donors: 8

 

Organization: Faith & Politics Institute

Officials: Rep. John Lewis (D-Ga.)

Connection: The congressman serves as co-chairman emeritus

Total honorary donations in 2015: $100,714

Number of donors: 3

 

Organization: Alliance for Health Reform

Officials: Sens. Ben CardinBenjamin (Ben) Louis CardinDemocrats leery of Sanders plan to cancel student loan debt Proposed bipartisan kidney legislation takes on kidney disease epidemic in America Lawmakers raise security concerns about China building NYC subway cars MORE (D-Md.) and Roy BluntRoy Dean BluntSenate GOP blocks election security bill Hillicon Valley: Senate bill would force companies to disclose value of user data | Waters to hold hearing on Facebook cryptocurrency | GOP divided on election security bills | US tracking Russian, Iranian social media campaigns This week: Congress set for clash on Trump's border request MORE (R-Mo.)

Connection: The senators serve as honorary co-chairmen

Total honorary donations in 2015: $80,000

Number of donors: 1

 

Organization: McCain Institute on International Leadership at Arizona State University

Officials: Sen. John McCain (R-Ariz.) 

Connection: The foundation is named after the senator

Total honorary donations in 2015: $27,000

Number of donors: 2

 

--- This report was updated at 10:07 a.m.