Tuesday, May 16, 2023

DOJ official who helped oversee FARA revamp lands downtown

Presented by New Venture Fund: Delivered daily, Influence gives you a comprehensive rundown and analysis of all lobby hires and news on K Street.
May 16, 2023 View in browser
 
POLITICO Influence newsletter logo

By Caitlin Oprysko

Presented by New Venture Fund

With Hailey Fuchs and Daniel Lippman 

DOJ FARA OFFICIAL HEADS TO MAYER BROWN: Adam Hickey, a longtime Justice Department official and prosecutor who most recently helped lead the division that houses DOJ’s FARA Unit, has joined law firm Mayer Brown as a partner in the firm’s cybersecurity, national security and white collar defense practices, where he’ll offer clients key insight into DOJ’s crackdown on illicit foreign influence efforts.

— Hickey served as the deputy assistant attorney general in DOJ’s National Security Division from 2016 until he left the department earlier this year, placing him at the center of the department’s more aggressive FARA enforcement, which has resulted in a surge of registrations but also suffered several high-profile losses in court.

— In an interview, Hickey argued that even legal defeats are a more effective way to “make clear what is weak about a statute” and win changes than a culture of under-enforcement could.

— DOJ is readying its first new tweaks to the law in decades, but the statute remains “obviously quite broad,” Hickey told PI, which is where he’ll come in at Mayer Brown. “I think it's helpful to have a practitioner who understands how the department prioritizes its enforcement efforts and how it views certain conduct,” he said.

— Ethics restrictions bar Hickey from appearing before NSD for a year, but his intel on how the department views certain conduct will undoubtedly be valuable to clients nevertheless thanks to how expansive FARA is.

— “Having seen specific examples through the eyes of the attorneys working in the FARA Unit and their supervisors, and also the political leadership, I think that's helpful insight that breathes life into or adds contours to the statute that you wouldn't have on the outside,” he said, especially as the statute expands beyond the more obvious domain of lobbying and PR firms working directly for foreign governments.

— “From the standpoint of a citizen, I think covert foreign influence is a challenge, and it's worth addressing — without infringing on all the freedoms we enjoy as Americans,” he said. But “as a lawyer now advising companies, I think clarity, transparency, the ability to approach the regulator, communicate facts, get advice or guidance, in a timely fashion — these are all things I'm now thinking about, from where I sit today. And I think it's a fascinating practice area.”

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

 

A message from New Venture Fund:

Millions of Americans are being forced to pay extra just to file their taxes online. Why? Because companies like Intuit have spent millions lobbying to block a free tax filing option. Intuit rakes in billions while struggling families get stuck with the bill. American taxpayers could save time, stress, and expense with a free, public tax filing option. It’s time to get it done.

 

FIRST IN PI — AMFREE CHAMBER GOES AFTER CHEVRON DOCTRINE: The newly launched legal arm of the conservative American Free Enterprise Chamber of Commerce is setting its sights on one of the right’s top judicial priorities.

— The AmFree Chamber’s Center for Legal Action has retained Steve Engel, the former assistant attorney general for the Office of Legal Counsel during the Trump administration, to prepare and file an amicus brief on behalf of the group urging the Supreme Court to overturn the so-called Chevron doctrine, a four-decade-old precedent which says courts should lean toward favoring federal agencies' reading of their power to regulate when a law or statute is ambiguous.

— The doctrine has become “a central pillar of administrative law and a key part of the legal defense for any number of environmental and other rules by both Democratic and Republican administrations,” POLITICO’s Josh Gerstein and Alex Guillen wrote earlier this month when the Supreme Court announced it would take up a challenge to Chevron deference, the overturning of which would a major win for conservatives and the business community.

— While “many will be arguing for the Supreme Court to trim back incrementally on the so-called ‘Chevron doctrine,’” the legal group’s leader, former Attorney General Bill Barr, said in a statement, “the AmFree Chamber believes the time has come to jettison this doctrine entirely.”

— Barr argued the principle “lacks a sound basis in law, encourages ambitious regulators to end-run our democratic system, and has given them license to drown the country under a wave of overreaching regulation.” Engel, who is now at the law firm Dechert, will craft an amicus brief to that effect, along with Dechert’s Michael McGinley, a former associate counsel in the Trump White House counsel’s office.

— “The Chevron doctrine in my view has proven to be a mistake by transferring authority from the federal courts and Congress to what is essentially an unaccountable administrative state," Engel told Hailey. "I think that there are a lot of people who have been concerned about how agencies have, about how the Chevron doctrine has given agencies authority that goes well beyond the traditional boundaries.”

BROWNSTEIN ADDS TOP APPROPS AIDE: Brownstein Hyatt Farber Schreck has added a top Hill appropriations staffer and financial services expert to its lobbying team, hiring Bill Duhnke as a shareholder. Duhnke was a longtime aide to former Sen. Richard Shelby (R-Ala.) for roughly two decades, and most recently served as the Republican staff director on the Senate Appropriations Committee prior to Shelby’s retirement this year.

— In between stints on the Hill, Duhnke served as the chair of the Public Company Accounting Oversight Board, the entity charged with inspecting audits of public companies. Duhnke was abruptly fired from that post in 2021 following pressure from liberals who called for a broader shakeup at the audit watchdog, sparking backlash from Republicans on the Hill who vowed to probe Duhnke’s dismissal.

— In addition to appropriations and financial services issues, Duhnke, who also served as a top aide on the Senate Intelligence, Banking and Rules committees, will work with national security clients at Brownstein.

FIRST IN PI — LOWE’S BUILDS OUT D.C. FOOTPRINT: Lowe’s opened an office D.C. today as the home improvement retailer formalizes its built out presence in the nation’s capital. Jana Barresi, who joined Lowe’s in 2021 from Walmart’s government affairs team, will head up the D.C. office, which also includes federal government affairs manager Rob Curis.

— In addition to making key federal lobbying hires over the past few years, Lowe’s vice president of government affairs Reg Henderson has also tapped a new state and local lobbyist, Sean Conner, to join that team’s longtime member Meredith Preloh.

— Lowe’s dropped more than $1.6 million on lobbying last year, just shy of the company’s all-time record, and has brought on three new outside lobbying firms since 2021: Batie & Associates, to lead outreach to Democrats and groups like the Congressional Tri-Caucus; and Boundary Stone Partners and VNF Solutions to lead lobbying efforts on the Inflation Reduction Act. Lowe’s has also tapped Catalyst for state attorneys general work.

 

GET READY FOR GLOBAL TECH DAY: Join POLITICO Live as we launch our first Global Tech Day alongside London Tech Week on Thursday, June 15. Register now for continuing updates and to be a part of this momentous and program-packed day! From the blockchain, to AI, and autonomous vehicles, technology is changing how power is exercised around the world, so who will write the rules? REGISTER HERE.

 
 

FLY-IN SZN: The Portland Cement Association is in town today and tomorrow for members to push for permitting reform, especially with regard to carbon capture technology. The industry will also underscore their support for Buy America exemptions contained in the infrastructure law and the upcoming FAA reauthorization.

— Senior executives from American Honda Motor Company will be on the Hill tomorrow. They’ll hear from Sen. Sherrod Brown (D-Ohio) and Rep. Mike Rogers (R-Ala.) and meet with members who represent their manufacturing facilities in the Alabama, Georgia, Indiana, Ohio, North Carolina and South Carolina delegations to discuss manufacturing issues and the future of work. Executives are also set to meet with staffers on key committees to discuss AV legislation, sustainability and the transition to electric vehicles.

— Meanwhile Sam Altman, the chief executive of ChatGPT owner OpenAI, was slated to meet with congressional leaders today fresh off his first official appearance on the Hill, our Mohar Chatterjee reports. A spokesperson for Anna Eshoo (D-Calif.), the vice chair of the House AI Caucus, told Mohar that House Speaker Kevin McCarthy and House Minority Leader Hakeem Jeffries would host Altman for a private briefing along with the rest of the AI Caucus following his testimony before a Senate Judiciary subcommittee.

FORMER CHAMBER STRATEGIST TO RUN PENCE SUPER PAC: “Former Texas Rep. Jeb Hensarling and veteran Republican strategist Scott Reed will co-chair a super PAC backing an expected Mike Pence presidential bid,” POLITICO’s Adam Wren and Daniel report.

— “The Committed to America PAC will help Pence, the former vice president, focus on early states, according to a person familiar with its operations and granted anonymity to discuss private plans. … Bobby Saparow, Georgia Gov. Brian Kemp’s former campaign manager, will run the PAC.”

— “Hensarling, a former chair of the House Republican Conference, is a longtime friend of Pence and served with him in the House of Representatives. Reed, a former longtime top political strategist for the U.S. Chamber of Commerce, raised tens of millions of dollars for the political activities of the U.S. Chamber of Commerce before leaving the business group in 2020 after almost a decade working there.” Reed more recently chaired the 1820 PAC to support the Sen. Susan Collins’ (R-Maine) reelection in 2020.

WHAT NSO GROUP’S BEEN UP TO: “Israeli spyware firm NSO Group, the company behind the notorious Pegasus ‘zero-click’ surveillance malware, emerged as one of Israel’s top lobbying entities in the United States last year after the U.S. Commerce Department added the firm to a list of trade restricted companies in November 2021,” OpenSecrets Inci Sayki reports.

— “In addition to NSO Group’s campaign to reverse the blacklisting, the company has been lobbying to halt and shape potential new restrictions and a global regulatory framework on the spyware industry, new Foreign Agents Registration Act disclosures filed with the Justice Department reveal. NSO Group paid over $1.1 million to public relations companies and law firms in the U.S. in 2022, more than the government of Israel, including the Tourism and Foreign Affairs Ministries, spent in total on its U.S. lobbying operation through the same period.”

 

A message from New Venture Fund:

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Jobs Report

Craig Roberts has joined Milne, Wiener & Shofe Global Strategies as senior vice president. He was the longtime chief of staff to former Rep. John Shimkus (R-Ill.) and was previously special adviser on the House Administration Committee.

Chris Ullman is joining Narrative Strategies as senior adviser. He was most recently a partner and director of global communications at Carlyle Group.

Caitlin Boon is joining Mars Inc. as public affairs director. She was previously associate commissioner for food policy and response at FDA.

Charlie Anderson is now executive vice president for infrastructure at Arnold Ventures. He most recently was special assistant to the president for economic policy at the White House National Economic Council.

New Joint Fundraisers

None.

New PACs

For the Majority PAC (Super PAC)
San Francisco Latinx Democratic Club Federal PAC (PAC)

 

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New Lobbying REGISTRATIONS

Boundary Stone Partners: Sparkcharge
Brownstein Hyatt Farber Schreck, LLP: Liberty Latin America
Brownstein Hyatt Farber Schreck, LLP: Ys Garments, LLC Dba Next Level Apparel
Capgov, LLC: Maury Service Authority
Capgov, LLC: New Mexico Trade Alliance
Crossroads Strategies, LLC: Sterilis Solutions, LLC
Crossroads Strategies, LLC: Textron Inc.
Crossroads Strategies, LLC: The Score Foundation
Holland & Knight LLP: Nalu Bio, Inc.
Husch Blackwell Strategies: Zurn Elkay Water Solutions
Key Bridge Advisors: Flexa
Lemunyon Group, LLC: Futurewei Technologies, Inc.
Mercury Public Affairs, LLC: Coral Energy
Ogilvy Government Relations: Rgc Resources, Inc.
Tiber Creek Group: Commercial Real Estate Finance Council

New Lobbying Terminations

Domer Consulting, LLC: The Washington Tax & Public Policy Group O/B/O Alliance For Biopharma
Domer Consulting, LLC: The Washington Tax & Public Policy Group On Behalf Of The Tax Reform Coalition
Hbw Resources: Nevada Venadium Company

 

A message from New Venture Fund:

Each year, Americans spend an estimated $31 billion just to file their taxes online. Why? Because tax preparation companies like Intuit have spent millions lobbying to block a free tax filing option that would be available to anyone who wants it. Intuit’s profits have skyrocketed, while families waste time and pay extra just to file their taxes online. Tax preparation companies are taking advantage of American taxpayers. In dozens of other countries, filing your taxes takes less than ten minutes and costs nothing. It’s time to save people time and money with a free, public online tax filing option.

 
 

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