DLC - Corporate Moles Destroying Our Party

[iconoclastNYC]

"One by one, Fortune 500 corporate backers saw the DLC as a good investment. By 1990 major firms like AT&T and Philip Morris were important donors. Indeed, according to Reinventing Democrats, Kenneth S. Baer's history of the DLC, Al From used the organization's fundraising prowess as blandishment to attract an ambitious young Arkansas governor to replace Senator Sam Nunn of Georgia as DLC chairman. Drawing heavily on internal memos written by From, Bruce Reed, and other DLCers, Baer says that the DLC offered Clinton not only a national platform for his presidential aspirations but "entree into the Washington and New York fundraising communities." Early in the 1992 primaries, writes Baer, "financially, Clinton's key Wall Street support was almost exclusively DLC-based," especially at firms like New York's Goldman, Sachs."

"While the DLC will not formally disclose its sources of contributions and dues, the full array of its corporate supporters is contained in the program from its annual fall dinner last October, a gala salute to Lieberman that was held at the National Building Museum in Washington. Five tiers of donors are evident: the Board of Advisers, the Policy Roundtable, the Executive Council, the Board of Trustees, and an ad hoc group called the Event Committee--and companies are placed in each tier depending on the size of their check. For $5,000, 180 companies, lobbying firms, and individuals found themselves on the DLC's board of advisers, including British Petroleum, Boeing, Bristol-Myers Squibb, Coca-Cola, Dell, Eli Lilly, Federal Express, Glaxo Wellcome, Intel, Motorola, U.S. Tobacco, Union Carbide, and Xerox, along with trade associations ranging from the American Association of Health Plans to the Pharmaceutical Research and Manufacturers of America. For $10,000, another 85 corporations signed on as the DLC's policy roundtable, including AOL, Blue Cross Blue Shield, Citigroup, Dow, GE, IBM, Oracle, UBS PacifiCare, PaineWebber, Pfizer, Pharmacia and Upjohn, and TRW."

And for $25,000, 28 giant companies found their way onto the DLC's executive council, including Aetna, AT&T, American Airlines, AIG, BellSouth, Chevron, DuPont, Enron, IBM, Merck and Company, Microsoft, Philip Morris, Texaco, and Verizon Communications. Few, if any, of these corporations would be seen as leaning Democratic, of course, but here and there are some real surprises. One member of the DLC's executive council is none other than Koch Industries, the privately held, Kansas-based oil company whose namesake family members are avatars of the far right, having helped to found archconservative institutions like the Cato Institute and Citizens for a Sound Economy. Not only that, but two Koch executives, Richard Fink and Robert P. Hall III, are listed as members of the board of trustees and the event committee, respectively--meaning that they gave significantly more than $25,000.

In 1996 Lieberman, Breaux, and Simon Rosenberg founded the New Democrat Network political action committee. "Our role is to add political muscle," says Rosenberg. In the 1997–1998 reporting period, its first full cycle, NDN raised $1.4 million directly, and another $1.2 million in so-called "bundled" contributions, gathered at fundraisers for individual candidates and funneled through NDN. In the 1999–2000 period, NDN more than doubled its take, raising $4 million directly and bundling $1.45 million more, plus $450,000 for GoreLieberman. Nearly $2 million of NDN's take in the last cycle came in large, unregulated soft-money chunks from companies such as Aetna, AT&T, and Microsoft and from trade groups such as the Securities Industry Association, who helped sponsor a $1.2-million fundraiser honoring Lieberman on February 13.

NDN's brochures sound like investment prospectuses. "NDN acts as a political venture capital fund to create a new generation of elected officials," says the PAC. "NDN provides the political intelligence you need to make well-informed decisions on how to spend your political capital. Just like an investment advisor, NDN exhaustively vets candidates and endorses only those who meet our narrowly defined criteria."

from "How the DLC Does It" ----- http://www.prospect.org/print/V12/7/dreyfuss-r.html