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Ear to the Ground

Citizens Against Government Waste, and for McCain

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Posted on Oct 9, 2008

(The Secret Money blog is a joint project of the Center for Investigative Reporting and National Public Radio.)

During the first presidential debate, John McCain ripped into Barack Obama for requesting millions in “earmark pork-barrel spending.” Then he gave a high-profile shout-out: “I suggest that people go up on the Web site of Citizens Against Government Waste, and they’ll look at those projects.”

Citizens Against Government Waste said its Web site traffic shot up to 10 times its usual after McCain’s comment, and it quickly returned the favor. The group’s political action committee is calling McCain a “taxpayer hero” in TV ads airing over the next two weeks in Virginia, Ohio, Pennsylvania and Florida. The group has never produced TV ads for a presidential candidate before.

The ad says, “In 25 years, McCain never requested a single pork barrel spending project. ... Barack Obama? $740 million in special interest earmarks in just 3 years.” It’s a small buy, but the group says it will reach an estimated 930,000 adults.

Click here to watch the ad.

CAGW gives “taxpayer hero” status to lawmakers who vote with its position at least 80 percent of the time. “Taxpayer superheroes” are those who vote with it 100 percent of the time. For 2007, according to CAGW, McCain got a perfect score, but was “only present for 11 of the 35 Senate votes” at issue, so therefore was “not eligible for the Taxpayer Super Hero Award.” McCain has a lifetime rating of 88 percent. Obama is at 22 percent.

McCain and the nonprofit have other ties as well. A Washington Post investigation details the connections, including a CAGW board member—a Vietnam War POW with McCain—who volunteered for McCain’s campaign. The Post reported that the group recently came to McCain’s aid on a controversial policy issue.

Citizens Against Government Waste has been one of the most cited authorities on earmark abuse. It’s also been the subject of some criticism. The St. Petersburg Times reported that the organization “has traded on its watchdog reputation by taking money from companies and trade associations and then conducted lobbying and public relations campaigns on their behalf.” In its investigation of corrupt lobbyist Jack Abramoff, the Democratic staff of the Senate Finance Committee issued a 2006 report that found “a pattern of CAGW producing public relations materials favorable to Mr. Abramoff’s clients.” CAGW denied it.

McCain, though, has been a steadfast supporter. Over the years, he helped CAGW release its list of earmarks, the Congressional Pig Book. This past April, McCain put out a press release commending the latest Pig Book. “Once again,” he said, “My friends at CAGW have done a great job of compiling a comprehensive list of unnecessary and wasteful pork barrel projects. By shedding light on these egregious projects, they are helping to make Congress more accountable to the American people.”

—By Will Evans, Center for Investigative Reporting.

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By Linda Wood, January 6, 2009 at 9:36 am Link to this comment
(Unregistered commenter)

Is the public aware the government employees are compensated for riding the bus or rail system and those who live outside the servicing areas are not.
In Atlanta, that can cost approximately $3.50 per day per employee.  Multiply that by atleast 1,000 who ride Marta(to just IRS) and that is $3,500….a day.  Figure how much it costs per year and this is only one division of the government.  And the wages are the same for both employees, yet one gets their travel paid for….nice little perk!
There is no compensation if you live where you cannot ride the bus and have to use your car or carpool.
This is totally unfair to those outside the mass transit area.

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By Leefeller, October 10, 2008 at 8:46 am Link to this comment

Sort of like “Grandmothers for Democracy” being sponsored by Chaney, boy; integrity starts at the top?

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By Shenonymous, October 10, 2008 at 5:03 am Link to this comment

Shoo in dreams for shoo in dreamers!  Dream on Cran Berry.

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By Shenonymous, October 10, 2008 at 4:24 am Link to this comment

The Gloves are Off!

Even so-called watchdog advocacy groups lie for their own pocketbooks! For a price, the guard dog will be an advocate - Citizens Against Government Waste made a name for itself by exposing government waste. But it has quietly, secretly, made a lot of its money by lobbying. The St. Petersburg Times reported in April 2006.  This is the group that gives McCain high marks. Citizens Against Government Waste, CAGW, did not reveal what motivated the aggressive campaign to support avocados from Mexico.: It had received about $100,000 from Mexican avocado growers.  Then CAGW took at least $245,000 from tobacco companies while urging the federal government not to regulate tobacco and to drop a lawsuit against the industry.  What kind of hypocrisy are we going to allow?

Then NPR has joined hands with CIR to give a more truthful reporting:  This story is headlined today at the website noted above in Will Evans ETOG article:  New Group Tied To Oil Industry Runs Ads Promoting Drilling, Attacking Democrat.

The deception foisted onto the American public is criminal.  Passing spurious charges as fact is fraudulent.  That kind of trickery is the now the identifying feature of McCain/Palin.

For a better America, vote Obama/Biden.

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By Leefeller, October 10, 2008 at 3:51 am Link to this comment

In California, many times we have ballot issues we get to vote on and have to figure out what they mean;  yes means no or no means yes.

Many organizations promoted as objective, but really with agendas, hidden from view by their names.  Deception is a planned part of the ugly mess.

It would be nice to have a comprehensive list of organizations, listing their real agendas hidden from view, by name or otherwise.

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By Shenonymous, October 9, 2008 at 7:20 pm Link to this comment

Excellent bit more on CAGW wildflower and thanks for the link.  You might repost this on the Palin Goes on the Attack forum.  I posted the long piece on Rick Davis there too.  I think cyrena would be most interested and appreciative.

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By wildflower, October 9, 2008 at 6:43 pm Link to this comment

Why am I not surprised to discover that McCain is tangled up with a group that targets community service organizations like the YMCA?

Citizens Against Government Waste (CAGW) is on your side?

“. . . That’s only true if you’re an executive at Microsoft or Philip Morris, have parents worth tens of millions of dollars, own your own chain of health clubs, or are a Mexican avocado magnate . . .

. . . America’s corporate giants love CAGW. Big business can pay CAGW to lobby for their interests, but because CAGW doesn’t disclose their donors and because of its alleged “non-partisan” status, corporations can push their agenda through a group that doesn’t appear to be attached to them. It’s influence-laundering.

Thus, you get CAGW actively campaigning against things that help individual citizens and their children, such as open-source software, regulations against tobacco companies, and restrictions on hard liquor advertising and sales, all because corporations that oppose them have hired CAGW to do their dirty work.

. . . Then there’s the YMCA. According to CAGW, the “Y” is pork. That might surprise you, given the organization’s long history of civic involvement. But once you find out that the health club industry has hired CAGW to lobby on their behalf, the mystery clears up quite suddenly.”

http://thecounterpoint.blogspot.com/2006/08/with-friends-like-cagw.html

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By Shenonymous, October 9, 2008 at 6:06 pm Link to this comment

Gloves are off: The story of Rick Davis and John McCain in 2 Parts

Primary Reference:
http://en.wikipedia.org/wiki/Rick_Davis_(politics)
Part 1
When McCain started the Reform Institute in 2001 to promote campaign finance reform, he involved Davis.  In 2002, Davis was paid $120,000 as an institute consultant; in 2003, he was paid $110,000 in fees. In 2004 and 2005, when he was president of the non-profit institute, his salary totaled $165,000. Tax forms said he worked five hours a week or “as needed.”
Reference:  Matthew Mosk (June 26, 2008). “Top McCain Adviser Has Found Success Mixing Money, Politics”, The Washington Post. Retrieved on 2008-08-11.

In 2006, Davis helped plan McCain’s next White House run, envisioning a corporate-style campaign modeled after President Bush’s 2004 bid.  He began McCain’s 2008 presidential election campaign as the chief executive. In July 2007, with the ouster of campaign manager Terry Nelson and chief strategist John Weaver, he took the position of campaign manager.  In July 2008, a reorganization placed Steve Schmidt in charge of the campaign, although Davis retained the title of campaign manager.
References:  Jackie Calmes (July 23, 2007). “McCain Manager Roils Campaign: Davis Returns After Ouster Amid Questions on Spending, Ties”, Wall Street Journal.
Dan Balz and Michael D. Shear (2008-07-02). ““McCain Puts New Strategist Atop Campaign”“, The Washington Post. Retrieved on 2008-07-02.
Martin, Jonathan (2008-07-02). “Schmidt takes control of day-to-day operation”, Politico.com. Retrieved on 2008-09-07.

In 2006, Davis and Manafort formed the company 3eDC, an Internet firm, which the McCain campaign selected to oversee the campaign’s Web site and online fund raising. The company was paid $340,000 before the contract’s cancellation in April 2007; in mid-June, the campaign reported that it still owed the company $721,000.  In all, the McCain campaign paid $971,860 to the company.  In June 2008, Campaign Money Watch, a 527 independent political group, filed a federal complaint that the company had improperly reduced the amount the campaign owed it by $107,000.  In April 2008, after McCain became the presumptive Republican nominee, 3eDC was paid $20,000 by the Republican National Committee (RNC). In June 2008, the RNC and 3eDC were negotiating a larger contract that could be worth $2 million or $3 million.
References:  Edward T. Pound (May 20, 2007). “Troublesome Résumés”, U.S. News and World Report.
Matthew Mosk (June 6, 2008). “A Well-Connected Campaign Firm Resurfaces”, Washington Post.
Michael Isikoff and Holly Bailey (October 6, 2008 (newstand date)). “A Freddie Mac Money Trail Catches Up With McCain”, Newsweek. Retrieved on 2008-09-28.
Mary Jacoby (June 10, 2008). “McCain Faces Challenge Over Campaign Links to Lobbyists”, Wall Street Journal.

On September 24, 2008, the New York Times reported that Rick Davis’ firm, Davis Manafort, had been paid $15,000 per month by Freddie Mac, for “consulting”, from the end of 2005, when Davis stopped being head of the Homeownership Alliance, until August 2008. Payments stopped when Freddie Mac was taken over by the federal government. The Times said that “Davis took a leave from Davis Manafort for the presidential campaign, but as an equity holder continues to benefit from its income.”

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By Shenonymous, October 9, 2008 at 6:05 pm Link to this comment

Gloves are off:
The story of Rick Davis and John McCain in 2 Parts
Part 2
The McCain campaign responded on September 24 with a statement that Davis had separated from Davis Manafort in 2006, and that “As has been previously reported, Mr. Davis has seen no income from Davis Manafort since 2006. Zero. Mr. Davis has received no salary or compensation since 2006. Mr. Davis has received no profit or partner distributions from that firm on any basis—weekly, bi-weekly, monthly, bi-monthly, quarterly, semi-annual or annual—since 2006. Again, zero. Neither has Mr. Davis received any equity in the firm based on profits derived since his financial separation from Davis Manafort in 2006. On September 28, Newsweek reported that Davis had joined the campaign in January 2007, not in 2006, and that he specified that his $20,000-a-month salary be paid directly to Davis Manafort.

The Times reported that “No one at Davis Manafort other than Mr. Davis was involved in efforts on Freddie Mac’s behalf, the people familiar with the arrangement said.”  Newsweek reported that during the period of the payments, Freddie Mac had no contact with Davis Manafort other than receiving monthly invoices from the firm and paying them.  The only thing that Freddie Mac officials could recall Davis doing for the company, the Times said, was speaking at an October 2006 forum attended by midlevel and senior executives who contributed to Freddie PAC, the company’s political action committee. 
References: Jackie Calmes and David D. Kirkpatrick (September 23, 2008). “McCain Aide’s Firm Was Paid by Freddie Mac”, New York Times.
Michael Goldfarb (September 24, 2008). “Statement by McCain Campaign: A Partisan Paper of Record”. Retrieved on 2008-09-24.
Michael Isikoff (September 23, 2008). “Freddie’s Friend: Freddie Mac continued checks to McCain campaign chief’s firm”, Newsweek.
Jeffrey H. Birnbaum and John Solomon (January 25, 2008). “Aide Helped Controversial Russian Meet McCain”, The Washington Post. Retrieved on 2008-08-11.

In 2006, Davis helped set up the encounter between McCain and Russian aluminum magnate Oleg Deripaska in Switzerland during an international economic conference. Deripaska’s suspected links to anti-democratic and organized-crime figures are so controversial that the U.S. government revoked his entry visa in 2006.

At the time, Davis was working for a lobbying firm and seeking to do business with the billionaire. Later that month, Deripaska wrote to Davis and his partner, political consultant Paul J. Manafort, to thank them for arranging the meeting. “Thank you so much for setting up everything in Klosters so spectacularly,” he wrote. “It was very interesting to meet Senators Chambliss, Sununu, and McCain in such an intimate setting. 
References:  Jeffrey H. Birnbaum and John Solomon (January 25, 2008). “Aide Helped Controversial Russian Meet McCain”, The Washington Post. Retrieved on 2008-08-11.
Bob Drogin (August 8, 2008). “DHL deal gone sour haunts McCain in Ohio”, Los Angeles Times. Retrieved on 2008-08-11.
200 jam legislative DHL meeting, Associated Press August 20, 2008
Stephen Koff (August 6, 2008). “John McCain had role in original Wilmington DHL deal”, The Plain Dealer. Retrieved on 2008-08-1

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