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The Private Side of Public Policy

Lobbying is loosely defined by each state as “an attempt to influence government action,” and in the eyes of many, the industry is highly untrustworthy. In a 2011 Gallup poll, 71 percent of Americans said they believed lobbyists have too much power and influence within our government. But regardless of prevailing sentiments toward lobbyists, their work unfortunately remains completely legal; they are hired by private companies, which are entitled to spend their money at their own discretion.

While private companies’ use of lobbyists is widely accepted, government agencies tread into an ethical and political gray area when they hire private lobbyists and use taxpayer dollars. And yet, it happens all the time: the government, especially boards and agencies at the state and municipal level across the nation, hires private lobbying firms to advocate on their behalf to other parts of the government. This practice of tax-funded entities’ using public funds to hire private lobbying services is neither ethical nor right, as the taxpayers who subsidize these shady efforts command no say for which policies their money is used to lobby. Additionally, this continued usage creates and exacerbates communication struggles within government.

Given the potential pitfalls of this policy, it seems surprising that only ten states have statutes that prohibit the use of public money by government entities for lobbying services. That leaves 40 states and their various boards, districts, and agencies to spend taxpayer money as they see fit. In many of those states, lobbying constitutes no small portion of the budget: Data from the office of the California Secretary of State indicated that local government entities spent $110,153,550 on lobbying services from 2013 to 2015. In Texas, the state’s Ethics Commission found that $29 million dollars were spent by publicly-funded entities on lobbying the state legislature. These are neither isolated incidents nor exceptions to the rule; the Show-Me Institute, a Missouri-based think tank, estimated that about $2.7 million of taxpayer money was used for lobbying by the state of Missouri in 2012. Prior to the executive order that ended publicly funded lobbying in Arizona, an estimated $1 million dollars was being spent toward this practice annually. There exists no discernible pattern as to what policies are most often lobbied for with this money, nor which agencies or departments do so the most; this practice spans governments – from education boards to water districts.

Allowing the continuation of publicly funded lobbying can have adverse effects within the government as well. It can inadvertently lead to an arms race of lobbying between different parts of the government and between different cities and municipalities and can exacerbate inequality of resources and power. If taxpayer-funded lobbying is viewed as a valid tool for success, then public agencies and commissions have incentives to continue spending more and more often in order to lobby for their personal interests instead of for those in the best interest of the people. If one municipality or board competes with another, the resulting spending spree – at the taxpayer’s expense – could be vast, as these organizations hire additional private lobbyists to vie for the resources.

If the practice of using taxpayer-funded lobbying is ever found empirically ineffective, then the case that it is wasting taxpayer money grows even stronger. If ever proven effective, it still poses a set of issues and threats, especially to poorer governments and entities that have fewer resources at their disposal. How are these lesser-funded or smaller municipalities and agencies meant to compete in an arena in which the success of policies and initiatives is tied to the amount of taxpayer money that can be spent on lobbying? Accepting a culture of publicly funded lobbying would certainly hurt and reduce the efficacy of governmental entities that don’t have substantial tax revenue from which to draw.

Finally, whereas private corporations might discontinue unsuccessful lobbying efforts in order to save their own money, public entities are not bound by a similar financial constraint. Tax revenue will accumulate regardless of lobbying outcome, and therefore the funding for inter-governmental lobbying is seemingly infinite. The little to no oversight of the operating procedures of many of the government-independent boards and commissions allows them to pursue this practice with virtual impunity.

When all is said and done, this practice is a gross misuse of public funds that betrays taxpayers and the institutions and ideals on which this country was founded. Lobbying has already invaded government and policy-making through the private sector, as unfortunately is its prerogative, but it has no place interfering with public affairs and public funds. Several states have paved the way for enacting policy that regulates and ends this wasteful policy, but there is still a long way to go. Many states such as Texas have tried passing similar laws in an effort to protect taxpayer dollars and advocate for the proper use of such funds, but they have not succeeded. Unsurprisingly, these efforts are met with strong opposition from lobbyists, who work hard to block legislative reforms that might reduce their own business opportunities within the government. The battle of lobbyists and special interests versus reform will continue next year, as lawmakers in Texas and other states have already proposed new legislation to put an end to this practice.

The misuse and lack of oversight of public funds have no place in the public works of our government. The time has come to put an end to governmental entities using public money and taxpayer dollars in order to advance their own agendas and interests. As long as this lobbying is allowed to continue, it will be done at the expense of the taxpayer and average citizen, whose money is being misused and whose voice is being stifled as private lobbyists line their pockets to advance special interests.

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About the Author

Streator Bates '19 is a US Section Staff Writer for the Brown Political Review.

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