At $500 an Hour, a G.O.P. Lobbyist's Influence Is Rising
By DAVID E. ROSENBAUM
WASHINGTON, April 2 — In the last six months of 2001, the Coushatta
Indians, a tribe with
800 members and a large casino in southwest Louisiana, paid $1.76 million
to the law firm of
Jack Abramoff, a Republican lobbyist here.
Last month, the Bush administration handed the tribe a big victory by
blocking construction of a casino
by a rival tribe that would have drained off much of the Coushattas'
business.
William Worfel, vice chairman of the Coushattas, views the administration's
decision as a direct benefit
of the eye-popping lobbying fees his tribe paid Mr. Abramoff, more
money than many giant
corporations like AOL Time Warner and American Airlines paid lobbyists
in the same period.
"I call Jack Abramoff, and I get results," Mr. Worfel said. "You get everything you pay for."
In the seven years since Republicans gained control of the House of
Representatives, Mr. Abramoff,
43, has used his close ties to Representative Tom DeLay of Texas, the
Republican whip, and other
conservatives in the House to become one of the most influential —
and, at $500 an hour, best
compensated — lobbyists in Washington.
He is also an important Republican fund-raiser.
Mr. Abramoff's recent success and importance in Republican circles is
a reminder that even as much of
official Washington has been focused on the war in Afghanistan, efforts
to beef up national security
after Sept. 11 and the crisis in the Middle East, the business of lobbying
has been humming along quite
nicely, more out of the spotlight than usual but more profitable than
ever for those with the right
connections.
Unlike many lobbyists who take almost any client who is willing to pay
their fee, Mr. Abramoff says he
represents only those who stand for conservative principles. They include
three Indian tribes with big
casinos and, until recently, the Northern Mariana Islands.
"All of my political work," he said, "is driven by philosophical interests, not by a desire to gain wealth."
Mr. Abramoff argues that Indian reservations and the island territory,
which is exempt from United
States labor laws, are "just what conservatives have always wanted,
which is enterprise zones —
tax-free, regulation-free zones where with the right motivation, great
industry could take place and spill
out into the general communities."
His success in making this case to Republicans in the House has paid off handsomely.
At the beginning of last year, Mr. Abramoff left Preston Gates Ellis
& Rouvelas Meeds, the law firm
where he had worked since he became a lobbyist in 1995, and joined
the Washington office of
Greenberg Traurig, a firm based in Miami.
Mostly as a consequence, Greenberg Traurig, which received only $1.7
million in lobbying fees during
the first half of 2000, had $8.7 million in the first half of 2001,
fifth most of any firm in Washington,
according to rankings by National Journal. Preston Gates, which had
been ranked fifth, saw its
lobbying fees cut in half and fell out of the magazine's top 10.
As is often true of the work of lobbyists, it is hard to tell how much
influence Mr. Abramoff really has
over government decisions, and his recent victory for the Coushattas
is a case in point.
Indian reservations are not covered by state laws regulating gambling.
The Bureau of Indian Affairs in
the Interior Department has the final say on whether casinos can be
built on reservations, and the
decisions have not always been free from political influence.
Mr. Abramoff did not even directly approach the Interior Department
himself, but instead organized a
group of lawmakers and other Indian tribes with gambling interests
to express to the department their
opposition to the new casino.
For lobbyists, perception of influence can often be as valuable as actual influence.
Mr. Worfel, the vice chairman of the Coushattas, said he was delighted
with Mr. Abramoff's
representation and happy to pay his firm's retainer of nearly $300,000
a month.
Mr. Abramoff's fee of $500 an hour is matched by few if any other lobbyists in Washington.
Mr. Abramoff's background and personality hardly fit the mold of the typical Washington lobbyist.
He is an Orthodox Jew who says that even more than politics, his religion
is a central element of his life.
He is a teetotaler with a soft voice and a gentle manner who once held
a high school weight-lifting
record in California. He spent several years in Hollywood producing
movies — "Red Scorpion," an
anticommunist thriller, was the most successful — before becoming a
lobbyist.
Most unusual, he is, by his own description, a committed ideologue.
In the early 1980's, Mr. Abramoff was chairman of the College Republican
National Committee,
where he made important contacts. Among those on his staff were Grover
Norquist, now a leading
conservative strategist here and president of Americans for Tax Reform,
and Ralph Reed, the former
director of the Christian Coalition, who is a prominent Republican
political consultant.
Mr. Abramoff tries hard to persuade his fellow Washington lobbyists
to give more generously to the
Republican Party, its candidates and conservative organizations. He
expects to raise as much as $5
million this year, he said, and plans to donate as much as $250,000
personally.
Mr. Abramoff's rising influence is also illustrative of another trend
in lobbying: success can be built on a
strong relationship between a lobbyist and a single, powerful lawmaker.
His interest in raising money
for Republicans and conservative causes is the foundation of Mr. Abramoff's
relationship with Mr.
DeLay, who is determined to meld the lobbyists on K Street here into
the Republican Party's political,
legislative and fund-raising operations.
Mr. Abramoff described the bond this way: "We are the same politically
and philosophically. Tom's
goal is specific — to keep Republicans in power and advance the conservative
movement. I have
Tom's goal precisely."
Mr. Norquist, who is friendly with both men, said of Mr. Abramoff, "He
walks in to see DeLay and
DeLay knows that he is representing clients whose views are in sync
with DeLay's views."
It is difficult to gauge the importance of this relationship to Mr.
Abramoff's success. Some of his clients
said in interviews that Mr. Abramoff did not mention the relationship
when he was seeking their
business and that it was not the reason they retained him.
"Everybody is important in Congress, not just DeLay," said Philip Martin,
chief of the Mississippi Band
of Choctaw Indians. The tribe, which runs a large casino and resort,
was one of Mr. Abramoff's first
clients and is still one of the most lucrative.
The Mississippi Choctaws paid Greenberg Traurig more than $1 million
in the last half of 2001.
"Definitely we get our money's worth, or we wouldn't be doing it,"
Mr. Martin said.
Mr. DeLay did help put Mr. Abramoff on the lobbying map, assisting his
clients on two sensitive
matters in 1995, the first year Mr. DeLay was whip and Mr. Abramoff's
first year as a lobbyist. But it
is not clear that the whip was any more active on these measures than
he was on other bills before the
House that year.
One of Mr. Abramoff's issues was his opposition to a federal tax on
Indian gambling revenues. The tax
was included in the nonbinding budget resolution the House approved.
But on behalf of the Mississippi Choctaws, Mr. Abramoff said he went
to Mr. DeLay and other
Republican leaders and explained, "Regardless of what you feel about
gaming, what you are creating
here is a tax on these people, and conservatives should never be in
favor of new taxes."
The proposed tax was killed, Mr. Abramoff said, "once they discerned a conservative principle."
The other big issue for Mr. Abramoff in 1995 that promoted his career
was a bill passed by the Senate
that would have stripped the Northern Mariana Islands of their exemption
from the United States
minimum wage and immigration laws.
The main industry in the Marianas is textiles. Inexpensive clothes are
made there, mostly by immigrant
Chinese women who work for low wages in substandard conditions, and
the garments are shipped
duty-free to the United States with a "Made in the U.S.A." label.
With Mr. DeLay's help, Mr. Abramoff managed to get the legislation defeated
in the House, using the
argument that the Marianas represented low taxes and free enterprise
and should be left alone.
Representative George Miller, a California Democrat who sponsored the
legislation in the House, is still
furious about Mr. Abramoff's action. In a recent interview, Mr. Miller
said, "He spent a lot of time,
effort and money to protect a system that was a growth industry for
sex shops, prostitution, abuse of
women, slavery, illegal immigration, worker exploitation and narcotics,
and he did it all in the name of
freedom."
Asked about this, Mr. Abramoff replied: "Congressman Miller has an agenda,
and he wants the facts
to fit his thesis. No lobbyist could have convinced Congress to support
the system he describes."
After the bill was defeated, Mr. Abramoff took 150 lawmakers and staff
members to the Northern
Marianas, 200 miles north of Guam, and Mr. DeLay came back enthralled.
Unfortunately for Mr. Abramoff, turning the islands' economy into an
ideological cause has come back
to haunt him. In last November's election for governor, he supported
the candidate of the garment
industry, Benigno Fitial, against the Republican candidate, Juan Babauta.
Mr. Babauta won and soon
after he took office in January, he canceled the government's $100,000
per month contract with Mr.
Abramoff.
"The U.S. territories have traditionally been handled in Washington
in a bipartisan manner," an
associate of the new governor said. "Abramoff marked an end to that
approach. So in a change of
government, it was only natural that he be dropped."