corporate power

As Unions Are Demonized, Corporate Power Continues To Be Left Unchecked

On The Morning Joe, Richard Haass offered his proposal to resolve the conflicts in states like Wisconsin and Ohio, where Republican governors are attempting to dismantle organized labor by stripping workers’ rights to bargain collectively for the purported reason of balancing the budget. Haass, the president of the Council of Foreign Relations, agreed that collective bargaining is a right of workers that shouldn’t be rescinded, and went on to say that elected officials should “make a deal” with unions who represent public employees: “You can’t expect people to collectively bargain fairly with the people they are contributing to, why not make a deal with the public-sector unions,” said Haas, “going forward you can collectively bargain, but in exchange, you can’t contribute to the people you’re bargaining with. Essentially have a no political contribution to state officials, and that’s the deal.” According to Haass, this would prevent unions from “tilt[ing] the political playing field.”

If Haass believes that the unions which represent nurses, teachers, and police officers should be barred from influencing elections, will Haass and his likeminded commentators formulate a similar proposal for corporations?

As a result of Citizens United, corporations can spend unlimited amounts of money from their general treasuries to fund political groups to bolster or attack candidates for office. And in states like Wisconsin, corporations can make direct contributions to the candidates, just as Koch Industries gave the maximum $43,000 to Scott Walker’s campaign.

Corporations helped finance the Republican campaign apparatus, and now their influence in lawmaking is mushrooming. “Citizens United alone did not win the 2010 elections for Republicans,” writes People For president Michael Keegan, “But the money it let loose helped ensure that those swept to power by widespread voter dissatisfaction would be eager to pander to the interests of corporations and the wealthy, and to demonize those who oppose them,” like labor unions.

Haass may claim that it’s unfair for labor unions to negotiate with officials they backed in the election, but the far more significant and serious question is: should corporations be allowed to finance the campaigns of the politicians who write their taxes, implement their regulations, and in many cases subsidize their coffers?

Just today, the “free-market” Republicans voted unanimously to maintain the tens of billions of dollars in taxpayer subsidies that go to big oil companies.

As the Republican majority in the House of Representatives time and again confirms, corporate-backed politicians almost always side with corporate interests in government.

PFAW

Senator Max Baucus Introduces Constitutional Amendment to Reverse Citizens United

While Republicans in Washington are celebrating the anniversary of Citizens United by threatening to scrap the public finance system for elections and allow corporations to donate directly to candidates, Senator Max Baucus of Montana is standing up with the vast majority of Americans who want to see Congress curb the enormous political clout of corporations and overturn Citizens United. Yesterday, Senator Baucus said he will reintroduce a Constitutional Amendment that would give elected officials the right to regulate corporate contributions to political organizations and reverse the Court’s sweeping ruling:

“The foundation of democracy is based on the ability of the people to elect a government that represents them - the people, not big business or foreign corporations. As Montanans, we learned our lesson almost a century ago when the copper kings used their corporate power to drown out the people and buy elections. Today, we have some of the toughest campaign finance laws in the land, and they work. Now we've got to fight to protect the voices on hard-working Montanans and keep elections in the hands of the people, and that's just what I intend to do,” Baucus said.

In the Citizen’s United case, the Supreme Court ruled that corporations, including foreign corporations, had the right to spend unlimited dollars from their general funds to make independent expenditures at any time during an election cycle - including directly calling for the election or defeat of a candidate.

As a result of the Supreme Court's ruling, Montana's century-old campaign finance laws limiting corporate spending are now also in jeopardy.

Baucus’ Constitutional amendment would restore the authority to regulate corporate political expenditure and protect states' right to regulate contributions in the way that works best for them. The amendment does not modify the First Amendment, and the language specifies that this does not affect freedom of the press in any way.
PFAW

One Year After Citizens United, Right-Wing Demands Even More Corporate Money and Less Transparency in Politics

As Americans remember the one year anniversary of the Supreme Court’s ruling in Citizens United with calls for action to limit corporate influence in politics and reverse the Court’s reckless decision, pro-corporate activists and their Republican allies in Congress seek to further erode corporate accountability and transparency. As American University Constitutional law professor, Maryland State Senator, and People For Senior Fellow Jamie Raskin writes, Citizens United not only ushered an avalanche of corporate and secret money in elections but also paved the way for more attacks on restrictions on corporate power. Raskin asks:

Do you want to wipe out the ban on federal corporate contributions that has been in place since 1907? This should be a piece of cake. If a corporation is like any other group of citizens organized to participate in politics for the purpose of expenditures, why not contributions too?

Apparently, the answer is “yes.”  While the majority decision in Citizens United said that corporations can use money from their general treasuries to finance outside groups, the ban on direct donations from corporations to candidates was left intact. But as profiled in People For’s report “Citizens Blindsided,” corporations have a number of mouthpieces, front groups, and political allies who want to create even more ways for Big Business to influence American politics.

NPR’s Peter Overby reports that pro-corporate activists from groups like Citizens United and the Center for Competitive Politics now want Republicans in Congress to further weaken already-diluted laws on transparency and fairness in elections:

Citizens United has helped to upend the debate over political money — so much so that when the American Future Fund ran a radio ad targeting Sen. Kent Conrad earlier this month for the 2012 Senate race, it was treated as just part of the political game. Conrad, a North Dakota Democrat, said this week that he won't seek re-election.



Michael Franz, a political scientist with the Wesleyan Media Project, tracks political ads.

"The effect of Citizens United in 2010 may not have been as huge, because what was going on had been set in motion earlier," he said. "But what the court did in Citizens United could suggest huge effects for other campaign finance laws down the road."

First of all, disclosure is under attack.

"Just because it may be constitutional to impose these disclosure rules, doesn't mean it makes for sound policy," said Michael Boos, counsel to the group Citizens United.

The federal ban on foreign donors faces a court challenge. House Republicans plan to vote next week to kill off public financing in presidential elections.

And the Center for Competitive Politics, an anti-regulation group, wants to undo the century-old ban on corporate contributions to federal candidates.

That was one of the first campaign finance laws on the books. The center says the corporate world now is far different from what it was in 1907, when Congress imposed the ban.
PFAW

New Term for the Supreme Court, New Opportunities for Corporations

As detailed in PFAW Foundation’s report Rise of the Corporate Court, the Roberts Court has been routinely and consistently bending the law and the Constitution to elevate the rights of corporations over the rights of individuals. To borrow a metaphor from Chief Justice Roberts, when corporate power over employees, consumers, and the American population at large is at risk, the umpire is biased. Corporations win, people lose.

In January, this judicial tilting of the scales of justice to favor corporate America reached a new height with Citizens United.

So what’s in store for the Supreme Court term that begins next Monday? While we will not know for sure until the opinions are issued, we are beginning to see some of the cases that may become important. For instance, the Court earlier today added a number of new cases to its docket, including three focusing on the rights of corporations in what the New York Times characterizes as “unusual settings.”

In two of the cases, the justices will consider how the state secrets privilege, which can allow the government to shut down litigation by invoking national security, applies in a contract dispute between the Navy and military contractors hired to create a stealth aircraft.

In the third case, the justices agreed to decide whether corporations have privacy rights for purposes of the Freedom of Information Act. ...

The privacy case [FCC v. AT&T] will consider whether a provision of the Freedom of Information Act concerning "personal privacy" applies to corporations. ...

AT&T seeks to block the release of documents it provided to the FCC, which conducted an investigation into claims of overcharges by the company in a program to provide equipment and services to schools. The documents were sought under the freedom of information law by a trade association representing some of AT&T's competitors.

AT&T relied on an exemption to the law for law enforcement records that could "constitute an unwarranted invasion of personal privacy." ...

The federal government, represented by Solicitor General Kagan, urged the Supreme Court to reject the argument that the exemption "protects the so-called 'privacy' of inanimate corporate entities."

This case will turn on the language and legislative history of the FOIA statute, as well as prior Court rulings. Court watchers will be looking out for any efforts by the Roberts Court to use this case, as it did in Citizens United, to aggrandize corporate power far beyond anything contemplated by the law or even the parties themselves.

PFAW

Corporate Groups take aim at Hodes in New Hampshire

What happens when a principal leader in the fight for greater corporate accountability runs for higher office? He becomes the target of a tremendous and misleading assault by new corporate-backed groups that have gained new prominence in the wake of Citizens United.

As one of the first leaders to introduce a Constitutional Amendment to overturn the Supreme Court’s 5-4 decision Citizens United, New Hampshire Congressman and Senate candidate Paul Hodes understands the risks posed by swelling corporate power. He has also signed the Pledge to Protect America’s Democracy, which asks candidates to give Congress back the right to curtail electoral spending by corporations.

Pro-corporate organizations such as the Chamber of Commerce and the American Action Network have started to pummel Hodes with ads in order to tear down his run for the open Senate seat vacated by Sen. Judd Gregg, one of Wall Street’s champions in Congress. The Chamber of Commerce, which has pledged to spend $75 million altogether in the 2010 elections, has already committed $1 million to criticize Hodes over the airwaves. Political Correction describes the Chamber of Commerce’s anti-Hodes advertisement as “deeply dishonest” and responsible for employing grandiose and embellished allegations regarding health care reform.

The American Action Network has spent $500,000 against the Congressman, which is unsurprising since the organization is led by a mix of Wall Street moguls and their advocates. Their ads in the New Hampshire race have come under such scrutiny that even a former Republican state senator who is supporting GOP frontrunner Kelly Ayotte co-wrote an op-ed which claims that the group’s ad campaign against Hodes is filled with “gross inaccuracies” that “corrode public confidence in the political process, and are completely contrary to the national interest.”

According to Democracy 21, even though these groups are spending large sums attacking progressive champions like Paul Hodes, they have not disclosed their donors to the FEC. Kenneth Doyle of the good-government group writes that the Chamber “provided no information in their FEC reports about where they get the millions of dollars used to pay for their political advertising.” Like the Chamber, the American Action Network “provided no information about any donors supporting the group’s campaign efforts.” Consequently, New Hampshire voters may never know which corporations or individuals are behind the enormous endeavor to vilify Paul Hodes and his effort to rein in corporate clout in government and abuses on Wall Street.

PFAW

New People For Report Tracks the Rise of the Corporate Court

When the Supreme Court decided this year to open the electoral process to floods of money from corporate interests, it provoked a vehement public backlash. But Citizens United v. FEC was just the tip of the iceberg of a decade of rulings—some high-profile and some less noticed— made by a Court that has been disturbingly deferential to corporate interests. A new People For the American Way Foundation report outlines the rise of the corporate court under Chief Justice Rehnquist and the new life it has taken on in the Roberts court.

Americans across the spectrum have been startled and appalled by the Citizens United decision, which will "open the floodgates for special interests—including foreign companies—to spend without limit in our elections," as President Obama said in his 2010 State of the Union Address. According to a Washington Post nationwide poll, more than 80% of the American people reject the Court's conclusion that a business corporation is a member of the political community entitled to the same free speech rights as citizens.

Yet, the Court's watershed ruling is the logical expression of an activist pro-corporatist jurisprudence that has been bubbling up for many decades on the Court but has gained tremendous momentum over the last generation. Since the Rehnquist Court, there have been at least five justices—and sometimes more—who tilt hard to the right when it comes to a direct showdown between corporate power and the public interest. During the Roberts Court, this trend has continued and intensified. Although there is still some fluidity among the players, it is reasonable to think of a reliable "corporate bloc" as having emerged on the Court.

Take a look at the full report here.
 

PFAW