By giving to charities, lobbyists receive big contracts

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CHICAGO - SEPTEMBER 2: (FILE) Signage for Boeing World Headquarters is seen September 2, 2005 in Chicago, Illinois. According to reports on January 9, 2009, Boeing said they would cut their commercial-airport unit by approximately 4,500. (Photo by Tim Boyle/Getty Images)

Updated: October 29, 2011 12:35AM

As Chicago-based Boeing lobbied against a rival aerospace company to win a $35 billion government contract, its activities included a curious donation: $10,000 to the Johnstown, Pa., Symphony Orchestra.

The orchestra was a favorite cause of Rep. John Murtha, the late Pennsylvania Democrat who, as a gatekeeper for the Defense Department’s budget, held a lot of influence over Pentagon contracting.

Boeing ultimately won the contract to build a new military refueling tanker, after the company and its competitor donated to organizations held in favor by key Pentagon generals and lawmakers like Murtha.

The payments were disclosed under a 2007 law that opened a window into more than $50 million in previously hidden spending by lobbyists and their clients, according to a compilation by the nonprofit Sunlight Foundation. Most money spent in 2009 and 2010 went to nonprofit groups that were connected to government officials or honored them.

For companies seeking influence, “it’s a win-win,” said Wright Andrews, a lobbyist and board member of the American League of Lobbyists. “Give to charities and get a tax deduction.”

“There’s no question it gives you better access. Access is power. It goes to having a direct impact on whether you get support or not,” Andrews said.

Boeing, while vying for the tanker deal that was among the largest government contracts, donated to groups that honored, among others, Senate Armed Services Committee Chairman Carl Levin (D-Mich.); Rep. Norm Dicks (D-Wash.), then chairman of the Defense Appropriations subcommittee; Marine Gen. James Mattis, currently head of the U.S. Central Command; and Gen. David Petraeus, the incoming CIA director.

“The Boeing Co. takes seriously its role as corporate citizen supporting charitable organizations in all locations where we have a considerable presence, including Washington D.C.” said Sean McCormack, a spokesman for the company. “We have a commitment to support charities that attempt to make a difference in areas that Boeing has identified as priorities.”

According to the Sunlight Foundation compilation, $36.3 million of the $50 million went to organizations composed of lawmakers, affiliated with them, or that honored them. Another $11 million went to organizations that honored or were connected with executive branch officials.

“By giving millions to nonprofits and charities that lawmakers have a connection to, lobbyists and special interests have a very discreet way of currying favor with the members of Congress they’re trying to influence, one that the public is rarely aware of,” said Bill Allison, editorial director of the foundation. “How much more money is contributed to these nonprofits by clients of lobbyists or others with an interest in federal policy is unclear, since only lobbyists have to disclose these contributions.”

The top recipients from all donors in 2009 and 2010 were the charity arms of the Congressional Black Caucus, $6.6 million, and the Congressional Hispanic Caucus, $4.1 million, the Sunlight database showed.

Sen. John D. Rockefeller IV (D-W.V.) is honorary chairman of the Blanchette Rockefeller Neurosciences Institute at West Virginia University, founded in the memory of his late mother.

The institute received a total of $90,000 from two airline giants — United and Continental — during their pending merger, which was before the Senate Commerce Committee that Rockefeller chairs. Donations also came from the combined firm, Chicago-based United Continental Holdings.

Megan McCarthy, a spokeswoman for the merged airline company, said, “We have a long history of supporting this foundation and other health related causes, and we make contributions to worthwhile organizations in many of the communities we serve throughout the country.”

Said a Rockefeller spokeswoman: “The senator’s personal commitment to supporting research for Alzheimer’s disease is completely separate from his work in public office, and the senator intends to keep it that way.”

AP