“Earmarks Johnny” should call Senator Richard Shelby

Posted by AzBlueMeanie:

Senator John McCain regularly rails against earmarks as if the elimination of earmarks alone would balance the federal budget. (Earmarks make up less than 2% of the federal budget). He reminds me of Gollum going on incessantly about "my precious" in Lord of the Rings – it's just as creepy.

If "Earmarks Johnny" wants to demonstrate that he is a man of action and not just empty rhetoric (I know, I know) he should call his friend Senator Richard Shelby (R-AL) and shame him for his recent antics.

Sen. Shelby is placing a hold on the confirmation of Obama administration appointees unless he gets the earmarks he wants for his state of Alabama. McConnell Carries Shelby's Water:

In a little over 30 seconds on the Senate floor [Thursday], Republican leader Mitch McConnell demonstrated everything that's broken in the United States Senate.

A little after noon eastern time, McConnell rose to object to Majority Leader Harry Reid's motion to confirm several Obama Administration officials, including appointees with jurisdiction over issues of national security.

By objecting to Reid's motion, McConnell effectively subjected the nominees to a filibuster, raising the threshold for confirmation to 60 votes (the only way to override his objection on the Senate floor is to invoke cloture on Reid's motion). With the swearing-in of Scott Brown, Republicans now have 41 votes, so as long as they hold together, McConnell's objection cannot be overridden on the Senate floor.

As if that isn't broken enough, McConnell also admitted that he didn't know why he was objecting to Reid's motion other than he was doing it on behalf of Richard Shelby, the Republican Senator from Alabama, who was in some sort of dispute with the Obama administration.

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Of course, we now know what Shelby wants. Later in the day, his office released a statement indicating that the primary motivation for Shelby's hostage takingwas his desire to see the Pentagon's aerial refueling tanker contract go to the European aerospace giant EADS instead of the American firm Boeing. Shelby wants EADS to get the contract because some of manufacturing work would be done in his home state of Alabama.

So who stands to benefit from Shelby's hold if he gets his way? Shelby's hold: Who would benefit?:

You won't be surprised to learn that it turns out Shelby has received a mountain of cash from both EADS and EADS' domestic partner on the aerial tanker bid, Northrop Grumman. According to an analysis by the Center for Public Integrity, Northrop Grumman has contributed more than $100,000 from its political action committee to Shelby during his four terms in the U.S. Senate. Moreover, Shelby has received contributions directly from top officials of both EADS and Northrop Grumman and his former legislative director now lobbies for EADS. Sam Stein:

Airbus Chairman T. Allan McArtor, meanwhile, donated $1,500 to Shelby in May 2009. Samuel Adcock, EADS Senior Vice President of Government Relations, donated $1,000 to Shelby in 2003. A fellow lobbyist and top executive at the company, Ralph Crosby, donated the same amount that same year. One other EADS employee, Bacon Douglas, donated $1,500 in 2003.

The strongest connection between Shelby and EADS, however, may not involve campaign contributions. The senator's former legislative director, Stewart Hall, is a major lobbyist for the defense contractor — he was signed up by EADS North America in 2006 while a member of the firm the Federalist Group. During that time period, the Federalist Group was given $240,000 to help advance the company's legislative interests. When Hall left for another major lobbying firm, Ogilvy, he brought EADS with him — receiving $160,000 in compensation for his work for the company.

On second thought, maybe "Earmarks Johnny" is not the right guy to talk to Sen. Shelby. As we reported here last year, McCain, Lobbyists and the Air Tanker Deal:

McCain’s top advisers, including a co-chairman of his presidential campaign, were lobbyists for EADS. And Mr. McCain had written to the Defense Department, urging it to ignore a trade dispute between the United States and Europe over whether Airbus received improper subsidies. Mr. McCain said that he was asking the Air Force only to maintain a level playing field as it considered the two bids. Audit Says Tanker Deal Is Flawed – NYTimes.com

Michael Isikoff at Newsweek adds additional context Military: McCain’s Boeing Battle Boomerangs | Newsweek Periscope | Newsweek.com:

The auditor's ruling has also cast light on an overlooked aspect of McCain's crusade: five of his campaign's top advisers and fund-raisers—including Tom Loeffler, who resigned last month as his finance co-chairman, and Susan Nelson, his finance director—were registered lobbyists for EADS.

Critics, including some at the Pentagon, cite in particular two tough letters McCain wrote to Deputy Secretary of Defense Gordon England in 2006 and another to Robert Gates, just prior to his confirmation as Defense secretary. In the first letter, dated Sept. 8, 2006, McCain wrote of hearing from "third parties" that the Air Force was about to redo the tanker competition by factoring in European government subsidies to EADS—a condition that could have seriously hurt the EADS bid. McCain urged that the Pentagon drop the subsidy factor and posed a series of technical questions about the Air Force's process. "He was trying to jam us and bully us to make sure there was competition by giving EADS an advantage," said one senior Pentagon official, who asked for anonymity when discussing a politically sensitive matter. The assumption within the Pentagon, the official added, was that McCain's letters were drafted by EADS lobbyists. "There was no one else that would have had that level of detail," the official said. (A Loeffler associate noted that he and Nelson were retained by EADS after the letters were drafted.)

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McCain said last week his "paramount concern" was "that the Air Force buy the most capable aerial refueling tankers at the most reasonable cost." But some defense analysts say the controversy over the Air Force rebid—and the higher costs that will result—have taken some of the shine off McCain's efforts. "This shows how a sort of naive crusade for good government can actually backfire," said Loren Thompson, of the Lexington Institute, a defense think tank.

The GAO auditor report raises legitimate concerns whether Senator McCain used his senate committee position either to steer a contract to EADS, or to financially benefit members of his campaign staff who were working as lobbyists for EADS.  Or could it be the case that McCain was easily manipulated by these slick lobbyists into doing their bidding?

This sordid story demonstrates the corrupting influence of corporate money and the revolving door of Capitol Hill lobbyists slash legislative aids in the military-industrial-congressional complex.