Unemployment down slightly in April

U.S. Added Only 120,000 Jobs in March, Report Shows

Blue Dogs try fresh approach

It’s no secret that D.C. these days is bereft of centrists.

The House Republican Conference has shifted sharply rightward. House Democrats have lost most of their moderates.

And the Blue Dog Coalition — once the bastion of centrist Democrats — is ever-thinning inside the Capitol.

Now the downtown contingency of Blue Dogs is getting a new look, as well.

The Blue Dog Research Forum — the K Street outpost run by former Congressman-turned-lobbyist Bud Cramer (D-Ala.) — is renaming itself Center Forward, and spending nearly $1 million from corporations and individuals on a TV advertisement urging Congress to balance the budget.

The Blue Dog Research Forum isn’t changing much in its mission — they’ll continue to gather centrist lawmakers and aides from both parties on Capitol Hill to work through issues at dinners and meetings. Center Forward says they are giving an “umbrella” to support discussions between Republicans and Democrats.

“We are very mindful that centrists need to be encouraged, need to be supported, we want to encourage more to be involved with us,” Cramer said in an interview with POLITICO. “So, what we’re doing right now is more of an effort to say we’ve got the umbrella, we’re going to support you, we’ve done a good job over the past few years, but we’re going to do an even better job from here forward.”

But running advertisements — this one on national cable — is a new feature. No decision has been made whether they would support individual candidates.

“This is an exciting time for us, a time for us to consolidate,” Cramer said in an interview with POLITICO. “We feel like we’re the only group that’s really concentrating on centrists and Congress itself, and we’ve kind of staked that out as our turf. There’s a void there, and we’re filling that void. We’re going to grow and I’m excited about this.”

Cramer has briefed House Minority Whip Steny Hoyer (D-Md.) — who is often aligned with centrist Democrats — on his plans. Former Republican Rep. Mike Castle of Delaware is also involved. Erskine Bowles is also supportive of the group’s mission.

The shift for the research forum comes at a time when the Blue Dog brand is wearing. There are just 24 Blue Dogs left in Congress, roughly half as many as there were in 2010. And the group is losing leaders like Reps. Dan Boren (Oklahoma), Mike Ross (Arkansas) and Heath Shuler (North Carolina) to retirement. Rep. Joe Donnelly of Indiana is also leaving the House, in his quest for a Senate seat. Several other members have tough races in November.

Cramer said the group isn’t shedding Blue Dog brand, just the name.

“We’re staying at our core,” Cramer said. “Our principles are working together — centrists coming together no matter what party label. We think each side — the far left, the far right — is so isolated in their separate corners, we think its important to project that we are the center. We’re all about centrists. That’s what we’ve done for the last two years. We are where the American people are. It’s just a new approach, a next step in our growth, and it just makes sense for us to launch this way.”

In addition to balancing the budget, the group has focused on national security policy and tax reform — former Fed Chairman Paul Volcker spoke to the group earlier this year.

The group has worked with the Bi-Partisan Policy Center, Business Roundtable, Taxpayers for Commonsense, National Heritage Foundation, Citizens for Tax Justice, Club for Growth, Building America’s Future, Natural Resources Defense Council and the Brookings Institute.

Even in these partisan times, Cramer thinks there are still allies on Capitol Hill for Blue Dogs.

“I think from my perch, what I see is extreme pressure on members to not work together, for one side to stick with its side, for the other side to stick with its side,” Cramer said. “The centrists are there.”

Ryan plan triggers budget wars anew

Senate approves $109 billion transportation bill

Employers created 227,000 jobs last month, unemployment rate unchanged at 8.3 percent

Congress Acts to Extend Aid to Jobless and Payroll Tax Cut

Forest Service releases wish list for new firefighting planes

The U.S. Forest Service released its long-awaited strategy Friday for replacing its wildfire-fighting fleet of aging heavy air tankers with ones that are newer, faster and more cost-effective, though it’s unclear how quickly those multimillion-dollar planes will come on line.

Its current fleet is owned and operated by private contractors, but the agency said it’s possible the government could own some planes in the future.

“That’s an option,” said Jim Hubbard, the U.S. Forest Service’s deputy chief for state and private forestry. “We’re looking for the best value.”

The agency uses a mix of aircraft, including single-engine air tankers and helicopters, to support firefighters on the ground. But its fleet of 11 heavy air tankers that drop slurry over fires is at least 50 years old. More than half face mandatory retirement within 10 years.

The Forest Service said Friday the next generation of heavy tankers should be powered by turbine engines rather than piston engines that are less reliable and less fuel-efficient. They should have a minimum cruise speed of 345 mph and be able to carry at least 1,800 gallons of mixed retardant without having to return to a base, the agency said.

The planes also must be able to meet Forest Service contract structural integrity program requirements.

“We need a core fleet of the next-generation large air tankers to supplement our boots-on-the-ground firefighters for what we know will be longer and more severe wildfire seasons in years to come,” Forest Service chief Tom Tidwell said in a written statement.

In 2004, the Forest Service grounded 33 air tankers following questions about whether several types were safe. That encouraged contractors and others to think about what their replacements should look like.

“We applaud the Forest Service for releasing this strategy,” said Nelson Litterst, a representative for current Forest Service contractor Minden Air Corp. “It gives contractors some direction as they’re developing the next generation of firefighting aircraft.”

Minden Air Corp. and Neptune Aviation Services have been looking at using a BAe-146, designed for mountain flying and available for around $7 million to $8 million.

By contrast, C-130s, which the Forest Service occasionally borrows from the military to fight wildfires, are around $70 million, Hubbard said.

Meanwhile, 10 Tanker Air Carrier LLC is offering its DC-10 jets. Already the company has flown more than 400 missions on more than 70 fires, including 62 days of firefighting for the Forest Service last year under a “call when needed” contract, said company president and chief executive Rick Hatton. The company plans to bid for more contracts.

“We’re offering probably the largest airplane that’s in this hunt. That may be outside the so-called target they’ve established, but we believe there’s merit to that. Size should not be a negative. It can do the work of multiple airplanes that are smaller,” Hatton said.

Hubbard said the look of the nation’s new firefighting fleet will depend on how much money is available for modernization and what the private sector can do.

“We’ll probably have a mixed fleet of different airplanes to meet our needs,” Hubbard said.

January jobs report: Unemployment down; jobs up 243K

U.S. deficit to top $1 trillion, smallest since ’09

Scott Styles

Scott Styles is a Partner with the firm and focuses mainly in the areas of health care, employee benefits, tax, and energy. He has worked on every major piece of health care legislation during the last two decades.

Prior to joining C2 GROUP, Scott was the Senior Vice President for Federal Affairs for America’s Health Insurance Plans (AHIP) for eight years. During his tenure at AHIP, he managed the lobbying and political efforts for the health insurance industry. As a member of AHIP’s senior management, he worked closely with the CEOs and senior management of all of the major health insurers. He also represented the industry on Capitol Hill and before the Executive Branch during the health care legislative battles. He has developed key relationships with the senior health care and Leadership staff through these legislative efforts.

Scott joined AHIP from the lobbying firm Bergner, Bockorny, Castagnetti, Hawkins and Brain, Inc. (BBCH&B), where he advised many Fortune 500 companies on legislative issues. He came to BBCH&B from the American Association of Health Plans (AAHP) where he was the Executive Director for Legislative Affairs working with House Leadership; the House Committees on Way and Means, Energy and Commerce, Education and the Workforce; and the Bush Administration on health care issues.

Prior to joining AAHP, Scott worked in the US House of Representatives where he was Chief of Staff to Congressman Pete Sessions (R-TX). As the Congressman’s chief policy and political advisor.

Previously, Scott was the Washington Representative for Air Products and Chemicals, Inc. He represented over 15,000 worldwide employees before Members of Congress and the Executive Branch on a variety of energy, environment, trade and employee benefit issues.

From 1990 to 1993, Scott served in the first Bush Administration as legislative advisor for Secretary of State James A. Baker III, where he worked on the Administration’s legislative agenda related to international environmental and scientific issues, international organizations and all treaties sent to the US Senate. He was also a member of the US delegation to the 1992 Earth Summit in Rio de Janerio, Brazil.

Before joining the Bush Administration, Scott worked for the Texas Railroad Commission where he focused on oil and gas issues. While in Austin, he received a Bachelor of Arts degree in government from the University of Texas.

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Telephone: 202.567.2924

Obama delays budget for 2013

On the Move

Scott Styles

America’s Health Insurance Plans, the trade group for health insurers, has lost one of its top lobbyists, Scott Styles, who is now at the lobbying firm C2 Group.

The C2 Group often focuses on tax needs for its clients, an important issue for health in- surers as the 2010 health care law continues to be implemented. “I’ve started to see a conver- gence between health policy and tax policy,” says Styles, 48.  “Over the next five to six years there’s going to be a pretty significant shift in how employee-related benefits are treated.”

Styles was chief of staff to Rep. Pete Ses- sions during the Texas Republican’s first term in office.

U.S. Economy Gains Steam as 200,000 Jobs Are Added

Iowa caucus results: Mitt Romney edges Rick Santorum in Iowa

Congressional leaders reach spending deal to avoid government shutdown

Payroll tax fight heads to Senate

Unemployment rate falls to 8.6 percent in November, raising hopes for growth

Supercommittee announces failure in effort to tame debt

Supreme Court to review health reform law

Economy generates 80K jobs in October, unemployment rate falls to 9 pct.

New Hampshire makes primary date official

2012 House Schedule Looks Familiar

U.S. economy grows nearly twice as fast in 3rd quarter

Nevada G.O.P. Relents on Early Primary

John Bryson nomination to be commerce secretary confirmed by Senate

Iowa Caucuses Set for Jan. 3

Senate Sends Trade Bills to President’s Desk

House Passes Trade Pacts in Bipartisan Vote

Crossley Sanford

Crossley Sanford serves as Legislative Assistant and Media Research Analyst for C2 GROUP.  Crossley assists the firm in research, legislative, and media-related issues.  In addition, Crossley manages special projects for the firm.

Prior to joining the firm, Crossley served as a reporter in Atlanta covering various issues including the 2011 University System Budget and the Deepwater Horizon Oil Spill in the Gulf of Mexico.

Crossley is a native of Norfolk, VA and a graduate from the University of Georgia’s Grady School of Journalism with a degree in Broadcast News.

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Telephone:  202.567.2916

Senate blocks Obama’s $447 billion jobs plan

Jan. 3 is tentative date for Iowa caucus

Employers add 103K jobs in September; unemployment unchanged at 9.1%

Nevada caucuses set for Jan. 14

House passes spending stopgap, sends to Obama

South Carolina to hold primary on January 21

Florida officially moves 2012 primary calendar date to Jan. 31

House passes stopgap spending bill by unanimous consent

Government shutdown avoided after Senate deal

Senate rejects House spending bill, leaving open possibility of government shutdown

House Passes CR Unacceptable to Senate Democrats

House shoots down spending bill

Obama proposes new taxes on wealthy for half of debt plan

Obama presents jobs bill

Senate Sends Patent Bill to Obama

Fitch Says AAA Rating For U.S. Will Stand

Super committee members finalized

Harry Reid super committee picks in place

Senate Majority Leader Harry Reid announces deal to end FAA shutdown

Senate Clears Debt Deal

Long Battle on Debt Ending as Senate Set for Final Vote

House passes historic debt deal on eve of deadline

‘We have a deal’

Boehner Close to Enough Votes to Pass House Debt Bill

House, Senate leaders unveil dueling debt-limit plans

House Postpones Vote on Balanced Budget Amendment

Health reform rule unveiled

Debt reduction talks in limbo as clock ticks toward Aug. 2 deadline

House Cancels July 18 Recess

Unemployment rate rises to 9.2 percent in June

Senate to skip vacation to work on deficit reduction

6th Circuit Court of Appeals panel upholds individual mandate

Trade Pacts Clear Key Labor Hurdle

Obama Opts for Faster Afghan Pullout

Congressional Budget Office warns of debt explosion

Joe Biden deficit group down to the ‘tough stuff’

Los Angeles Leads Full-Throttle Dash for U.S. Transit Cash

LOS ANGELES—Tony Lepre looms 6 feet 2 inches and wears a thick goatee and dark clothing. He’s hard to miss amid a crowd waiting for the train at a downtown subway station.

But what really makes Lepre stand out among most Los Angeles County residents is that he doesn’t own a car.

Lepre, 48, takes trains several days a week while many here spend hours daily driving congested roads. The Los Angeles native, who cannot afford a vehicle right now, joins those who are watching with anticipation as the region’s rail network attempts a high-speed upgrade.

“It’s long overdue, any kind of public transportation system that takes us where we want to go,” Lepre said recently as he prepared to board the Blue Line train to suburban Long Beach. “This is one of the largest cities in the world and the public transportation system’s a joke.”

Opened in 1990, Los Angeles County’s modern-day rail system remains small. Five lines reach a sliver of this sprawling metropolis where 9.8 million people live. But a major expansion is under way, with hope that Congress might help accelerate the time table.

The Metropolitan Transportation Authority, the agency known as Metro, wants to build 12 projects over the next decade, compressing work that otherwise would occur over 30 years.

Goals include extending existing rail routes to Los Angeles International Airport and adding a line along part of the San Diego (I-405) Freeway. There is also the long-sought dream of building an underground “Subway to the Sea,” which would start downtown, travel through heavily congested West Los Angeles and ideally end near the Pacific Ocean in Santa Monica.

In seeking the growth, LA Metro typifies efforts by many cities to offer drivers an alternative to their cars.

“It’s happening in a lot of places, and unlikely places from Houston to Dallas to Salt Lake City to Seattle,” said Tom Murphy, senior fellow at Urban Land Institute, a nonprofit working to anticipate land-use trends. A train line in Charlotte, N.C., was “so successful they want to do one or two more,” Murphy said, while “Houston is looking to do several transit lines.”

But the quest for more rail lines could hit a major roadblock.

Cities that want to expedite transit development need federal money. Obtaining funds could be tough as Congress battles over how deeply to cut spending. As well, there could be fights about how to spend the Highway Trust Fund money that comes from the gasoline tax. Some regions want highway repairs over rail.

To buttress their lobbying, those urging rail expansions have amassed a powerful lobbying force.

LA Metro in concert with the city of Los Angeles and the group Move LA solicited other municipalities that want to build train lines in shorter time frames. Together they formed a proposal called America Fast Forward. So far, 120 mayors, the U.S. Chamber of Commerce and labor group AFL-CIO have backed the plan.

Mayor Antonio Villaraigosa (D) in March lobbied lawmakers on America Fast Forward while he was in Washington, D.C., for a meeting of the U.S. Conference of Mayors.

The rail plan calls for a major increase in funding from the federal Transportation Infrastructure Finance and Innovation Act, which provides loans, loan guarantees and lines of credit. LA Metro also is advancing another funding mechanism that would have the government pay as much as 100 percent of the interest on certain bonds issued by cities.

LA Metro compared its chances for success to when—in November 2008—it asked voters to increase their sales tax by a half-cent to pay for rail, a bid that came on top of two earlier half-cent increases. The proposition passed by 67 percent, clearing the two-thirds margin needed for success.

“The odds were long then and we succeeded,” said Raffi Haig Hamparian, government relations director at Los Angeles County Metro. “We expect to face long odds now in a tough fiscal environment in Washington. At the same time we expect to succeed.”

Will people walk in LA?

Of LA Metro’s five rail lines, four connect suburbs to downtown. The fifth draws a roughly east-west link between towns south of Los Angeles International Airport. A new light rail line is under construction and will draw the first link between downtown and West Los Angeles.

Called the Expo Line, the train will have stops at the University of Southern California and major intersections before phase one of the project ends in Culver City, about 10 miles northeast of the airport. When it is completed in 2014, Expo Line will terminate about four blocks from the Pacific Ocean in Santa Monica.

In pushing to expedite its other rail projects, LA Metro is betting that more drivers can be persuaded to take rail. Drivers here are known for loyalty to their cars.

LA Metro sees a good omen in the fact that 67 percent of voters approved the sales tax increase to fund new projects.

“You’ve got a whole sea change, a paradigm shift with Los Angeles being a car culture,” said Roger Moliere, LA Metro’s chief of real property management development. Rail has so far failed to “connect the dots,” he said, between the area’s six or seven downtowns in places like Century City, West Los Angeles and Santa Monica. “It’s just now happening,” he said.

In terms of converting drivers, Moliere said, “congestion is your friend, for the transit developer, for transit in general.” Driving a car in LA, he said, “it takes hours to get where you’re going to go.”

For now rail ridership remains tiny. Weekday passengers on the lines are less than 300,000, LA Metro data shows. The average weekday total for rail and bus combined is about 1,433,000 compared to the population of 9.8 million. (About 10 percent of that total is people younger than 18 years old, according to the 2010 Census.)

Some residents said they would happily give up their cars if they had options.

“I don’t know if it’s so much that people love their cars, but there’s no public transportation,” said Amber Lopez, 21, of Los Angeles as she strolled a pedestrian mall in Santa Monica near where the new light rail eventually will end.

It takes 90 minutes by bus to travel the 16 miles between USC and UCLA, she said, adding “in Los Angeles you can’t be on a schedule and take public transportation.”

Others said they would stop driving for some trips, but only if the expansions bring rail close to their homes.

“If we had better mass transit, yes, but our mass transit is not good and it’s not consistent,” said Betsy Waak, 36, of Glendale, a suburb north of downtown. “There’s not one near me so it’s not convenient and it doesn’t go many places.”

Waak, who talked about Metro as she ate gelato on the Santa Monica pedestrian mall, said she only takes rail when going to basketball games at Staples Center, where the Los Angeles Lakers play. She would consider taking the new light rail when it is finished, she said, if that means avoiding traffic to the beach.

“Again, it’s all about convenience,” Waak said. “They say it’s going to come down here, but that could be 10 years. It took forever to open [a stop at] Hollywood [Boulevard) and Highland [Avenue]. I remember that.”

The new light rail line probably will make only a small impact on vehicle traffic, predicted John Molloy, project manager at Samitaur Constructs, a developer building near new Expo Line rail stops.

About 30,000 people daily will probably use Expo Line, he said, compared with the more than 100,000 that would take Subway to the Sea if it ultimately is built. That underground line would more closely track Wilshire Boulevard, one of the busiest east-west roads.

“I mean this one’s important, and it will help a lot,” Molloy said. “But it’s not like Wilshire.”

Congressional allies

Most of the desired LA projects are funded through its sales tax increase, but that money will come over 30 years. The best option, LA Metro argues, is to use the anticipated funds as collateral toward a loan from the federal government.

“We have a steady source of revenue that brings in $600 to $700 million a year,” and in its later years will generate $1 billion each year, said Hamparian with LA Metro. The rail authority would “use that as the form of repayment for federal loan,” he said.

That structure could also be used by other cities under America Fast Forward.

The plan has won key allies on Capitol Hill. Last month, Senate Environment and Public Works Chairwoman Barbara Boxer (D-Calif.) and ranking member James Inhofe (R-Okla.) and the panel’s Transportation and Infrastructure Subcommittee Chairman Max Baucus (D-Mont.) and ranking member David Vitter (R-La.) released their principles for a new transportation authorization bill.

Their agreement proposed boosting Transportation Infrastructure Finance and Innovation Act (TIFIA) authorized funding to $1 billion from its current level of about $110 million. It also would increase the maximum federal share on projects to 49 percent from 33 percent (Greenwire, April 23, 2009). That comes in a new section of the bill called America Fast Forward.

“This is the way we are going to increase jobs,” Boxer said, “because remember, every billion we spend is roughly 32,000 jobs in construction.”

TIFIA leverages federal monies by spurring investments from cities and counties, as well as private dollars, Boxer aides said. TIFIA projects are not limited to rail. They can include highways, freight and port developments.

The current $110 million funding supports about $1.1 billion in credit help, the Transportation Department said. The lower number represents the cost of making loans, with TIFIA essentially borrowing money from the Treasury Department.

But even with that larger funding ability, there already is far more demand for TIFIA than there is money. For the current fiscal year, there is $14 billion in desired projects.

The total transportation proposal from the EPW Committee is pegged to current levels of funding plus inflation. That exceeds what estimated gas tax revenues would cover by a sizeable margin.

“The Highway Trust Fund would need an additional $75 billion in revenues in order to support a $339 billion six-year bill,” an EPW spokesperson said, requesting not to be identified because of committee policy. “Over two years, the shortfall is about $12 billion.

In cooperation with the Finance Committee, the EPW Committee is exploring a wide range of options to support and sustain the Highway Trust Fund,” the spokesperson added.

The Finance Committee, which Baucus chairs, ultimately will decide on money levels and might not agree with the bump for TIFIA.

Rep. John Mica (R-Fla.), chairman of the House Transportation and Infrastructure Committee, has backed TIFIA expansion but also said he needed more information about how the Senate committee would fund its spending. Mica previously indicated that he might seek a measure limited to current gas tax revenue amounts.

“The TIFIA program has been successful in the past and Chairman Mica and the committee are examining whether the program can be improved upon,” said committee spokesman Justin Harclerode. “The chairman and the committee do not support an increase in the gas tax, and we must ensure that funding levels can be supported by available revenues.”

Spawning development

Ongoing rail expansion and the hope of more to come have spurred interest in building homes and businesses near stops.

Several commercial developers have expressed interest, LA Metro officials said, although financing remains tight and only a few have proceeded.

Samitaur Constructs, has about 50 projects under development within walking distance of the new line, said owner Frederick Smith.

Smith started his development business in Los Angeles in the 1970s and has been waiting for useable rail to come along. Many of his company’s projects were built in anticipation of the new line, he said.

“It’s probably going to impact the area more than anything has so far for the last 40 years,” Smith said. “To have something like this creates a whole new sense of place.”

Samitaur is developing office buildings with the hopes that companies will choose to locate near rail stops. Businesses can attract employees from a wider area, he said, if workers know they won’t have to sit in freeway gridlock. Smith plans to own the new structures and rent them out.

Despite the popular belief that Los Angeles residents are wedded to their cars, Smith believes people will shift and take subways and light rail, especially when it stretches to the Pacific Ocean.

“Many people are here because of the ocean,” Smith said. “To be able to get to the beach in an efficient way is going to make anything along that line all the more valuable.”

It will make other trips more appetizing as well, he said. Right now from his Culver City office it can take an hour to drive about 10 miles northeast to downtown LA, where there are theaters and music halls. The train between the two spots will be about 20 minutes, he said.

“It’s going to revitalize the center of LA as well as the artistic center,” Smith said.

The city of Los Angeles also owns land that it hopes to have developed, as do Culver City and Santa Monica. That beach city in 2006 bought property near where the Expo Line eventually will end. The lot right now sits vacant, surrounded by a chain link fence covered by green tarps.

Santa Monica also owns land adjacent to another planned Expo Line stop in the city, as well as a site close to where the Subway to the Sea would terminate, if eventually it is financed and built.

The Expo Line stops will serve as major places to install transit-oriented development that includes new housing and a variety of businesses, said Francie Stefan, Santa Monica’s strategic and transportation planning division manager.

“The coming of the Expo Line is an incredible opportunity to help with our local sustainability,” Stefan said. “It’s good for our environment. It’s good for our local traffic. ... When you talk to people in the community, when they find out it’s going to the beach, they’re very excited.”

Copyright 2011 E&E Publishing. All Rights Reserved.

As debt limit nears, budget battle gets real

House rejects proposal to raise debt ceiling

Dueling Budget, Debt Votes Set

Highway Money Fight Shifts to States

With a highway bill stalled and a ban on earmarks in Congress, some Washington, D.C., lobbyists are telling their clients to staff up for local battles over federal transportation funds.

The moratorium on lawmaker-directed spending items known as earmarks has dramatically changed what lobbyists can do for their clients on Capitol Hill and, in turn, placed a new responsibility on their counterparts outside the Beltway who are preparing to fight for projects that were once guaranteed in Washington.

“We’ve turned around to our clients and said, ‘Now, it’s time for state-level lobbyists to go to work,’” said Howard Marlowe, a lobbyist at Marlowe & Co., whose clients include San Clemente, Calif., Sarasota, Fla., and counties in six other states. “States are where the money is headed now, so that’s where they’ve got to put their resources.”

Marlowe has had to deliver this message to most of his clients — cities that were hoping the new highway bill would set money aside for their highways and bridges.

Highway bills are historically some of the most pork-packed pieces of legislation, and lobbyists are working furiously to find new strategies to get their clients a piece of what is almost certainly a shrinking budget.

The House last year passed a ban on earmarks, and in February, Senate appropriators agreed to a moratorium, though some Washington lobbyists are not convinced that the chamber will follow suit when it comes to the transportation bill. President Barack Obama has also said he will veto any bill containing earmarks that comes to his desk.

Earmarks have long been presidential pet peeves. In 1987 President Ronald Reagan vetoed the highway bill because it contained 152 earmarks, only to watch them proliferate in the years to come. The last transportation reauthorization bill passed, in 2005, contained 6,400 earmarks worth more than $24 billion, according to an analysis by Taxpayers for Common Sense. The highway bill prior to that, passed in 1999, had just 1,850 earmarks worth $9.4 billion.

Without earmarks, lobbyists are focusing on promoting policy decisions that could lead to the funding of their clients’ projects and inserting language into grant programs that will give them priority. But, in the end, more checks are likely to be written at the state level.

“We’re going to see more money going though formulas and somebody’s got to allocate that money,” said Tim Lovain, a Democrat at Denny Miller Associates, referring to the formulas that determine how much money goes to each state.

The days of fashioning language that could apply to only one project have passed, he added.

“The scrutiny that this bill will be under will make it very difficult to get anything by,” said Lovain, who represents the Washington state Department of Transportation and the Phoenix metro system. “I think most people have sort of resigned themselves to the rules.”

In banning earmarks, House Republicans have handed over authority to the administration when it comes to doling out money for particular projects.

“The president has recommended new start projects and Congress is going to say nothing about these things,” said John Cline, a lobbyist at the C2 Group. “The DOT would have 100 percent control over the money. It gives an incredible amount of power to the administration.”

Two of Cline’s clients, the Los Angeles and Houston public transit systems, have historically relied on earmarks. Now, he and other lobbyists are devoting their time to agency officials instead of lawmakers.

Much of that planning, however, may be premature. House and Senate committees have said they expect to produce a draft of the reauthorization by June, but lobbyists, trade association officials and other sources familiar with committee activity said they don’t expect the bills to pass until after the 2012 elections.

Congress has passed short-term extensions of the highway bill seven times since it expired in 2009. Now, Transportation and Infrastructure Chairman John Mica (R-Fla.) says he wants to pass a complete reauthorization with less money and no earmarks to sweeten the package.

Between the political pressure to make budget cuts wherever possible and Republican intolerance for increased taxes, coming up with a revenue stream for a more robust bill seems next to impossible.

“Every time the process of those bills has been lubricated by two things — growing the program and earmarks,” Lovain said. “Lawmakers used to be able to say, ‘Look, I got funding to straighten out Dead Man’s Curve.’”

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Economy adds 244K jobs; unemployment rises to 9%

Osama bin Laden buried at sea after being killed by U.S. forces in Pakistan

House passes landmark budget bill

Week In Review Single Field

Government shutdown averted: Congress agrees to budget deal, stopgap funding

House Passes Stopgap CR as Shutdown Fears Grow

Reid says budget talks stymied by GOP policy provisions

Senate repeals health law’s 1099 provision, sends bill to president

Paul Ryan’s budget would slash $6 trillion, reform entitlements, cut taxes

GOP 2012: overhauls on entitlements and taxes, $6.2 trillion in cuts over decade

April 1, 2011

April 1, 2011

Budget deal close with $33B in cuts

March 18, 2011

March 18, 2011

March 11, 2011

March 4, 2011

Former Seneca exec is D.C. consultant

Barry Brandon, a former top-ranking official at Seneca Gaming Corp., has landed at a consulting firm in Washington, D.C.

He joined the staff of C2 Group, a bipartisan government affairs consulting firm. He also was named named of counsel to Lippes Mathias Wexler Friedman LLP, Buffalo, and is a gaming industry consultant.

Brandon and Galen Reser, a former Pepsi Co. vice president, joined C2 Group as partners.

“We are excited to combine Barry’s policy expertise and Galen’s Washington know-how with our existing base,” said Tom Crawford, co-founder of the firm.

Brandon said he will remain a Clarence resident and keep his seat as a director of the Erie County Industrial Development Agency.

“No, I’m not moving away from Buffalo and Clarence,” he said. “What this does is give me an opportunity to do business with people I trust and have done business with for a long time.”

He said his relationship with C2 will be similar to the one he has with Lippes Mathias.

“It is very much client-driven,” he said. “I’ll be there (in Washington) as often as they need me. It could be a couple days a month, it might be more than that; it depends.”

For Brandon, the job offered a chance to return to the D.C. market. A former partner with Washington’s Akin Gump Strauss Hauer & Feld, he was recruited in 2004 to serve as Seneca Gaming’s senior vice president and general counsel. He left Seneca nearly three years ago.

At Akin Gump, among other things, he helped with the legal process to create Seneca Gaming. He had formed the firm’s American Indian Law and Policy Practice Group.

Brandon also served as general counsel and chief of staff at the National Indian Gaming Commission and is a former senior trial attorney at the U.S. Department of Justice.

“This gives me a chance to re-connect with some of my Washington contacts,” he said.

He is an enrolled member of the Muscogee Creek Indian Nation and an adopted member of the Seneca Nation of Indians. He has an undergraduate degree in political science from Western Washington University in Bellingham, Wash., and a law degree from the University of Washington in Seattle.

Senate passes stopgap spending bill, averting federal shutdown for now

House passes bill to avoid shutdown

Ex-Seneca Gaming exec adds D.C. work

Barry Brandon, a former top ranking official with Seneca Gaming Corp., has landed a new firm that takes him back to Washington — but for work only.

Brandon has joined the staff of C2 Group, a Washington-based bipartisan government affairs consulting firm. The move comes not long after Brandon was named of counsel to the Buffalo law firm of Lippes Mathias Wexler Friedman LLP and he still remains a private-sector consultant to the gaming industry.

Brandon and Galen Reser, a former Pepsi Co. vice president, joined the C2 staff as partners.

“We are excited to combine Barry’s policy expertise and Galen’s Washington know-how with our existing base,” said Tom Crawford, C2 Group co-founder.

Even with his appointment, Brandon said he is remaining a Clarence resident and keeping his seat as an Erie County Industrial Development Agency director.

“No, I’m not moving away from Buffalo and Clarence,” Brandon said. “What this does is give me an opportunity to do business with people I trust and have done business with for a long time.”

Brandon said his relationship with C2 will be similar to that he has with Lippes Mathias Wexler and Friedman.

“It is very much client-driven,” Brandon said. “I’ll be there (in Washington) as often as they need me. It could be a couple days a month. It might be more than that, it depends.”

For Brandon, the C2 position is a chance to work in the Washington market. A former partner with Washington’s Akin Gump Strauss Hauer & Feld law firm, Brandon was recruited in 2004 to serve as Seneca Gaming’s senior vice president and general counsel. He left Seneca Gaming nearly three years ago.

At Akin Gump, among other things, Brandon helped with the legal process to create Seneca Gaming. Brandon had formed the firm’s American Indian Law and Policy Practice Group.

Brandon also served as general counsel and chief of staff at the National Indian Gaming Commission and was a senior trial attorney at the U.S. Department of Justice and an advisor in the Department of the Interior’s Secretary Office.

“This gives me a chance to re-connect with some of my Washington contacts,” Brandon said.

Brandon is an enrolled member of the Muscogee Creek Indian nation and an adopted member of the Seneca Nation of Indians. He received his undergraduate degree in political science at Western Washington University in Bellingham, Wash. and his law degree from the University of Washington in Seattle.

Barry Brandon and Galen Reser Join the Partners of C2 GROUP

Barry Brandon and Galen Reser Join the Partners of C2 GROUP

Washington, DC - C2 GROUP, a bipartisan government affairs consulting firm, announced today that Barry Brandon, one of the country’s most distinguished experts in federal Indian law and policy, and Galen Reser, former Vice President-Washington for PepsiCo, Inc., have joined as Partners of the firm.  “These additions add to the depth and breadth of C2 GROUP’s experience and capabilities in Washington and broaden the firm’s expertise into exciting new areas,” said C2 GROUP co-founder Tom Crawford.  “We are excited to combine Barry’s policy expertise and Galen’s Washington know-how with our existing base.”

Brandon has a broad background with more than 20 years of experience working with the federal government, both as a senior federal official and providing advice to private sector entities dealing with the federal government.  Brandon is also well known in the area of federal Indian law as a policy strategist, corporate executive, litigator and expert witness.  Prior to joining C2 GROUP, he was founder and president of Hvmken Consulting where his clients included an international resort and casino developer and one of the largest manufacturers of gaming machines and equipment in the country.  He has provided legal, regulatory and policy advice to businesses seeking to partner with Indian tribes and tribal members and has served as an expert on behalf of large commercial lenders.

In 2004, Brandon served as Senior Vice-President and General Counsel at Seneca Gaming Corporation where he oversaw the legal, compliance and risk management of the parent corporation and three operating subsidiaries.  Barry was instrumental in creating the Seneca Gaming Corporation while he served as a partner at the international law firm of Akin Gump Strauss Hauer & Feld.  Barry was a founding member of the American Indian Law and Policy Practice Group at the law firm, which was recently rated by Chambers USA as the top Native American law practice in the country.

During his term as a federal official, he served as General Counsel and Chief of Staff at the National Indian Gaming Commission, the federal regulatory agency responsible for the oversight of the $26 billion American Indian gaming industry.  He was also served as a senior trial attorney at the United States Department of Justice and as an advisor in the Secretary’s Office at the United States Department of the Interior.
An enrolled member of the Muscogee (Creek) Nation and an adopted member of the Seneca Nation of Indians, Brandon received his undergraduate degree in political science at Western Washington University in Bellingham, WA and his law degree at the University of Washington in Seattle.

Galen Reser brings over thirty years of experience working as a senior official in government and directing the federal government affairs for one of the most iconic corporations in America.  Reser served as Vice President of Government Affairs for PepsiCo, Inc. for nearly twenty years, directing the company’s federal government affairs and managing corporate advocacy efforts supporting the company’s positions on legislation relating to food safety, nutrition, environmental, labor, corporate governance and tax issues. 

Prior to his service at PepsiCo, Galen was Assistant Secretary for Governmental Affairs at the US Department of Transportation under President George H. W. Bush.  He was responsible for Congressional, Intergovernmental and Consumer Affairs for the department, with over 105,000 employees and a $24 billion annual budget.  He served as principal advisor to the Secretary of Transportation on issues related to the Congress as well as state and local governments.  C2 GROUP co-founder John Cline said, “Galen’s Washington experience combined with his experience at PepsiCo make his wise counsel indispensible.  C2 has had the pleasure of working with Galen for many years and we are excited to continue our relationship with him and to be a beneficiary of his knowledge.”

From 1985 to 1988, Galen was the Director of the State of Illinois Washington Office under Governor James Thompson.  In this capacity, he served as a member of the Governor’s cabinet and was the Governor’s principal liaison with the National Governor’s Association.  Reser began his career in federal government when he served as the Legislative Director to US Senator Charles H. Percy.  He was the Senator’s principal domestic advisor on all legislative issues and votes.

Reser has served on the Board of Directors for the National Conference of State Legislatures Foundation, and the Congressional Awards Foundation.  He is a graduate of Bradley University in Peoria, Illinois.

C2 GROUP provides an impressive list of clients with seasoned advice and unique attention – the partners set the strategies and perform the work.  C2 GROUP has a proven track record of success, and many clients have been part of the landscape of the firm for over 15 years (Visit http://www.thec2group.com for a complete list of clients).  Barry Brandon and Galen Reser join firm co-founders John Cline and Tom Crawford along with the firms’ other partners Michael Hanson, Nelson Litterst, Jeff Murray, Patrick Robertson, Hunter Bates, Becky Halkias and Raul Tapia.

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House passes $60 billion in spending cuts

Senate passes aviation ‘jobs bill’

February 21, 2011

Transportation groups fear plans for infrastructure might dead-end

Transportation groups have much to like in President Obama’s budget request for infrastructure improvements but fear the spending plan might not get off the ground in Congress.

In his budget proposal, released Monday, the president laid out a six-year, $556 billion surface reauthorization plan that would provide funding for the nation’s roads, ports and bridges.

In order to jumpstart infrastructure improvements, the plan is front-loaded with $50 billion in funding for fiscal 2012.
The plan has won plaudits from transportation advocates who have long been waiting for the White House to act on the president’s words of support for infrastructure improvements.

“We think there needs to be movement on a six-year reauthorization bill,” said Brian Deery, senior director of the highway and transportation division at the Associated General Contractors of America. “We think the president has made a good first start on restarting that debate with this budget proposal. We need to get serious about the reauthorization.”

But while big on funding, the plan does not specify how it will be paid for. That omission has not gone unnoticed among those lobbying for more government funds.

“That is the big banana here: How are you going to pay for it?” Deery said. “Coming up with a big spending program is easy. How [you are] going to pay for it is more difficult.”

During the last Congress, the Obama administration helped stall movement on a similar transportation plan by then-House Transportation and Infrastructure Committee Chairman Jim Oberstar (D-Minn.). The White House nixed talk of raising the gas tax to help pay for new federal transportation spending, citing concerns over the struggling economy.

But since Labor Day, Obama has become more vocal about his support for rebuilding infrastructure, making it a key theme in his State of the Union address. And while a Republican-led House is eyeing every federal program for spending cuts, the administration’s budget proposal shows that it believes infrastructure should remain untouched.

The transportation lobby has long supported many of the other items in Obama’s 2012 budget request. Under the proposal, for example, the government would continue to invest in modernization of the air traffic control system and spend $53 billion over six years on high-speed rail. The government would also make a $30 billion down payment on a new national infrastructure bank.

“The money is right,” said Jack Basso, director of program finance and management for the American Association of State Highway and Transportation Officials.

But lobbyists see trouble for all of the proposals on Capitol Hill. A gas tax increase would likely face opposition from both parties, though it could serve as a short-term fix for the plan’s funding problem.

“The gas tax is probably the quickest and most efficient way you could raise revenue,” Basso said.

Support for more infrastructure spending cuts across traditional rivalries of business and labor in Washington. U.S. Chamber of Commerce President and CEO Tom Donohue and AFL-CIO President Richard Trumka will testify before Congress on Wednesday in support of government funding for roads and highways.

The Chamber has even lent its weight to a gas-tax increase to help fund those improvements.

Unions will also likely mobilize behind the Obama transportation plan.

“We think this is a sign that he does really get it,” said David Miller, a spokesman for the Laborers’ International Union of North America (LIUNA), an AFL-CIO member. “This is the exact kind of investment that is needed to get people working again and make some desperately needed repairs to our crumbling roads and bridges.”

Miller said his union’s members would aggressively lobby for infrastructure spending this year. LIUNA also is not opposed to any financing plan to pay for the plan.

“Our take on this is this is a crisis. We think every option should be on the table, whether that’s tolls, an infrastructure bank, and yes, a gas-tax increase,” said Miller of LIUNA. “We are not wedded to any particular financing plan for this.”

But several lobbyists said the White House should have stated more clearly in its budget proposal how to pay for the infrastructure plan. John Cline, a partner at the c2 Group who lobbies for several major transit systems, like Los Angeles and Houston, said Washington is waiting for someone else to decide how to pay for new transportation spending.

“Somebody needs to lead on this issue. I feel that everyone is looking over their shoulder at everyone else,” Cline said.

February 11, 2011

February 4, 2011

Senate rejects repeal of health-care law as fight shifts to courts