Tuesday, November 5, 2024

How K Street is prepping clients for the election

Delivered daily, Influence gives you a comprehensive rundown and analysis of all lobby hires and news on K Street.
Nov 05, 2024 View in browser
 
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By Caitlin Oprysko

With Joe Gould, Eric Bazail-Eimil, Daniel Lippman 

SITTING, WAITING, WISHING: As the country waits for polls to close tonight and for election returns to trickle in, lobbyists have been briefing their clients on what to expect if former President Donald Trump pulls off his comeback bid for the White House, or if Democrats’ decision to put Vice President Kamala Harris atop their ticket pays off.

— But they’re also preaching patience, given that it’s extremely unlikely that the presidential race and control of at least one chamber of Congress will be called tonight. Tiber Creek Group advised clients in a memo that it could be days before the presidential race is called but noted as well that “the rate of election litigation has tripled since 2000,” and the firm has already tallied more than 180 legal challenges.

— While lobbyists aren’t expecting an especially lengthy period of uncertainty, “a lot of clients have wanted to talk through the worst-case scenario,” like civil unrest or fraud disputes, said Loren Monroe, a principal at BGR Group. The firm has sought to reassure clients that guardrails are in place to ensure “the system always works itself out,” even if there are a few weeks of uncertainty.

Rich Gold, the head of the public policy and regulation group at Holland & Knight, told PI that he’s cautioned the private sector to keep its head down in that event, “but keep in mind every day after tomorrow that you are not talking to the transition is one less day where you can talk to the transition — on either side.”

— Over in the House, “it might be eggnog and not champagne” for the party that wins the majority, Hogan Lovells Democratic lobbyists Ivan Zapien, Tim Bergreen and Ches Garrison said in a memo, referencing California’s excruciatingly slow vote count.

— Beyond the question of who will be in control of Washington next year, “there’s insatiable appetite” for intelligence among clients and potential clients, said Monroe, and there’s plenty of issues, from personnel to policy, to game out. “We’ve put out more briefings for our clients than I think we ever have,” he said.

— Holland & Knight has hosted around a dozen webinars on a number of different topics over the last six weeks, touching on everything from where Harris and Trump stand on specific issues to a closer look at the youth vote. Those cut down on the need for providing background in meetings with individual clients, Gold said, for whom the firm has been crafting tailored strategies based on different election outcomes.

— K Street has also been hustling to connect with transition teams for both candidates, pitching them on issues of importance to industry sectors and individual clients alike.

— Meanwhile, more than 600 business leaders have signed on to a letter from National Association of Manufacturers President Jay Timmons stressing the need for unity, healing and a peaceful transition of power — and pledging that the industry will work with whoever becomes president “to strengthen trust and collaboration.”

Happy Tuesday and welcome to PI. We finally made it to Election Day, y’all. Send any and all tips about how you’re preparing for the transition, invites for briefings or memos you’re preparing for clients, influence-related transition scoops and anything else going on out there: coprysko@politico.com. And be sure to follow me on X: @caitlinoprysko.

CORPORATE AMERICA’S NEXT MINEFIELD: Though some lobbyists are advising their clients to try and stay above the fray of any post-election unrest, the business coalition Partnership for New York City huddled yesterday with top Harris campaign lawyer Dana Remus “to discuss businesses’ role in case there was post-election turmoil,” The New York Times’ Lauren Hirsch reports.

— “‘Before the election, taking a stand would be a partisan political statement,’ Kathryn Wylde , chief executive of the Partnership for New York City, recalled saying on the call. But ‘if there’s violence — or a threat of political instability, or a contested transition’ after the election, she said, ‘major employers and business leaders will engage.’”

WHO’S BANKROLLING THE ELECTION LAWYERS: A new analysis from watchdog group Issue One found that fundraising for legal defense efforts on both sides of the aisle has exploded amid a deluge of election litigation.

— Republicans have the financial advantage by a huge margin, with the RNC’s legal fund hauling in $54 million through Oct. 16, compared to $14 million for the DNC ’s legal fund. The DNC’s numbers are comparable to what it raised in 2020, but GOP fundraising soared by more than $37 million from 2020.

— The RNC’s legal fund has been bankrolled by more than 200 wealthy donors who’ve already given the legal maximum of $123,900 this year, according to Issue One, with 13 of those donors having maxed out in 2023 as well.

— The latter set of donors includes hedge fund executive and possible Trump Treasury Secretary Scott Bessent, private equity founder Saul Fox, Trump transition co-chair Howard Lutnick, Charles Schwab, Uline co-founder and megadonor Elizabeth Uihlein and casino magnate and former RNC Chair Steve Wynn. Max donors for just 2024 include Miriam Adelson, Ballard Partners’ Brian Ballard, the late Home Depot co-founder Bernie Marcus and Trump transition co-chair Linda McMahon.

THE RACES WE WON’T BE OBSESSIVELY REFRESHING: Cogent Strategies has a primer on the anti-battleground congressional races, breaking down what you need to know about the four dozen “shoo-in” candidates who are virtually guaranteed to be on their way to Congress after tonight.

— The list includes a couple of names who are known entities — particularly the five House members and one sitting governor who are projected to sail to election in the Senate, as well as former members who are looking for a return to Congress and a handful of high-profile primary victors. But the guide also dives deeper into lesser-known candidates running for safe seats who nevertheless “will be pivotal in shaping the balance of power” in the next Congress.

FIRST IN PI : A former Pentagon official and ex-lobbyist for Saudi Arabia who is heavily involved in a pro-Trump PAC also served at the same time as a paid analyst for Turkish state news channel TRT World.

— At least since May, Oubai Shahbandar, a former Defense intelligence officer and foreign affairs specialist, has been advocating on behalf of Arab Americans for a Better America, which is trying to push Arab Americans to support Trump in light of the Biden administration’s support of Israel in the Israel-Hamas war. (Trump was a major supporter of Israel during his campaign and administration, which saw him move the U.S. Embassy in Israel to Jerusalem and cut aid to Palestinians.)

— “We have a choice to make: will we stand with the president that made peace possible or will we allow another four years of war and misery by a candidate endorsed by Cheney,” Shahbandar said in an ad for the PAC released last week.

— At the same time as he’s been trying to get Trump elected, Shahbandar — whose website calls himself a “correspondent, analyst, adventurer” — has also worked for TRT World, according to tweets from the channel, as well as a pinned post on his Instagram account. In his time at TRT, for which he’s appeared for at least seven years, he’s done stories or documentaries on issues like the Azerbaijan-Armenia war, the Israel-Hamas war and the Russia-Ukraine conflict.

TRT World, which receives public funding in Turkey, registered under FARA in 2020 after being asked to by the Justice Department, which wrote that “it is clear that the Government of Turkey exercises direction and control of TRT by regulation and oversight, and by controlling its leadership, budget, and content.”

— In DOJ filings, the outlet stressed its autonomy and said it “performs news gathering and reporting activities like those performed by other news and broadcast organizations that are not controlled by foreign governments.”

— In 2016, Shahbandar was a consultant for Qorvis and registered under FARA to help the Saudi Embassy with media strategy and engaging U.S. media outlets, providing “strategic advice and assistance” to the embassy. Shahbandar told PI that he left TRT in early October after producing a number of documentaries in conflict zones and that when he worked for Qorvis, it was “to strengthen and promote U.S.-Saudi strategic partnership.”

BIDEN ISRAEL CRITICS START A PAC: Two former officials who resigned in protest from the Biden administration over U.S. support for Israel are attempting to convert anger about the White House’s handling of the conflict into campaign funding and political impact, per our friends at NatSec Daily.

— Former State Department official Josh Paul and former Education Department official Tariq Habash have founded a PAC and lobbying organization aimed at reshaping U.S. policy toward Israel and Palestine called “A New Policy.”

— Habash was the first Biden appointee to quit over U.S. support for Israel in the conflict. Paul resigned over the Biden administration’s expedited arms transfers to Israel after it launched its offensive in Gaza following the Hamas attacks on Oct. 7, 2023.

— Paul and Habash said their priorities include supporting candidates who back suspending arms transfers to Israel, Palestinian self-determination and ending U.S. backing for Israeli settlements in the West Bank. Paul said the current Congress doesn’t reflect growing public support for some of these policies.

Jobs report

— The International Franchise Association has promoted Mike Layman to chief advocacy officer, Erica Farage to senior vice president of advocacy and political, Jeff Hanscom to senior vice president of state and local government relations, Katherine Patterson to vice president of communications, Haider Murtaza to senior director of federal government relations and Anna Russell to director of political affairs.

Adam Minehardt has joined FS Vector as a principal. He was previously the head of global government relations at the Stellar Development Foundation.

Michael Hillebrand will be chair of the Independent Petroleum Association of America beginning on Jan. 1, Morning Energy reports. He is the president and CEO of Huntley & Huntley, founder and principal of Olympus Energy, and chair of the Pennsylvania Independent Oil and Gas Association. Jonny Heins of Permian Resources and Cye Cooper Wagner of Cooper Oil & Gas, Inc. have also joined the board as at-large directors.

Tricia Duffy has joined Holland & Knight as a partner in the financial services practice. She was most recently at Latham & Watkins.

Bob Joachim is now senior director for U.S. government partnerships at Zscaler. He most recently worked for the House Appropriations Homeland Security Subcommittee.

New Joint Fundraisers

Marie Gluesenkamp Perez Campaign Defense Fund (Rep. Marie Gluesenkamp Perez , DCCC, Washington State Democratic Central Committee)

New PACs

Friends of Mary Jo Daley (PAC)

Intra-Cellular Therapies, Inc. Political Action Committee (Intra-Cellular Therapies PAC) (PAC)

One Community PAC (Hybrid PAC)

New Lobbying REGISTRATIONS

Bt Strategies, LLC: O'Rourke And Associates, LLC On Behalf Of Bath & Body Works, Inc.

Carmen Group Incorporated: American Advanced Management, Inc.

Cgcn Group, LLC: The Williams Companies, Inc.

Digital Sovereignty Alliance: Tron Blockchain And Dao (As Supported By Tron Tech Limited And Rainco Pte Ltd.)

New Century Government Affairs (F/K/A Terrence C. Wolfe): Voices For Children

Rich Feuer Anderson: Wise US Inc.

Sorini, Samet & Associates, LLC: American Sportfishing Association

The Russell Group, Inc.: Csc Sugar, LLC

New Lobbying Terminations

Acg Analytics: Anchor Labs, Inc.

Payne Shea & Associates: City Of Chesapeake, Virginia

Payne Shea & Associates: Figg

Payne Shea & Associates: Pk Contracting

Potomac Strategic Development Company, LLC: Access Health Inc

Potomac Strategic Development Company, LLC: Kids In Need Foundation

 

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