Former Obama officials launch strategic advisory firm

With David Beavers and Garrett Ross

FORMER OBAMA OFFICIALS LAUNCH STRATEGIC ADVISORY FIRM: Obama administration alums Michèle Flournoy and Tony Blinken have launched a new strategic advisory firm, WestExec Advisors. Flournoy was undersecretary of defense for policy between and Blinken was deputy national security adviser. In an interview with PI, Flournoy said that the firm, which will not lobby, aims to provide a “multidisciplinary perspective and approach and offer that to the leadership of major companies.” She added “that kind of approach could really make a difference in helping businesses navigate the geopolitical risks that they face” overseas. “What really makes us different is that all of us have been at the front lines of working at the highest levels of government so what we try to do is bring that experience and some of the methodologies that we’ve used in the situation room to the board room.” Flournoy said that most of her clients are confidential and that the firm will partner with Boston Consulting Group and Jigsaw, a subsidiary of Alphabet.

In addition to Flournoy and Blinken, the firm’s principals include Obama administration alums Robert Work, former deputy secretary of defense; Avril Haines, former deputy national security adviser and deputy director of the Central Intelligence Agency; David Cohen, former deputy director of the CIA and undersecretary of the Treasury; Lisa Monaco, former White House homeland security and counterterrorism adviser; Matt Olsen, former director of the National Counterterrorism Center; and Dan Shapiro, former U.S. ambassador to Israel, according to a press release. Nitin Chadda, former senior adviser to the secretary of defense, and Sergio Aguirre, former chief of staff to the U.S. ambassador to the United Nations, are founding partners. Flournoy told PI she plans to expand.

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KOCHS WARN AGAINST GAS TAX HIKE: As the U.S. Chamber of Commerce and its allies push Congress to raise the gas tax as a way to pay for an infrastructure package, the conglomerate owned by Charles and David Koch is pushing back. “While we support efforts to improve America’s infrastructure, there are multiple avenues to consider before resorting to another tax hike,” Philip Ellender, Koch Companies Public Sector’s president of government and public affairs, wrote in a letter to lawmakers on Friday. “Just as many Americans are starting to see more money in their pockets from tax reform, ask yourself: Does the government want to take back a large portion of this tax relief to pay for more government spending?” The letter comes two days after President Donald Trump endorsed raising the gas tax by 25 cents per gallon in a meeting with lawmakers on Wednesday. Here’s the full letter.

— How much of a lobbying force are the Kochs? Koch Companies Public Sector spent $9.4 million on lobbying last year, according to disclosure records, and retains nearly a dozen outside lobbying firms, including American Continental Group; Capitol Tax Partners; Clark Hill; Crossroads Strategies; Cypress Advocacy; the Daly Consulting Group; Hunton & Williams; Ice Miller; Peter Loughlin; the S-3 Group; and Siff & Associates. Americans for Prosperity and Freedom Partners, two nonprofits that are part of the Kochs’ political network, also do a limited amount of lobbying; Americans for Prosperity reported shelling out $170,000 on lobbying last year. That figure doesn’t include the millions of dollars the group spent running TV ads urging Congress to pass tax reform.

TECH GROUPS BLAST SENATE ON IMMIGRATION: Tech groups blasted the Senate’s failure to reach a consensus on the future of undocumented immigrants protected under the Deferred Action for Childhood Arrivals Program. In an interview with PI, Peter Boogaard, communications director for FWD.us, said that the group was “extremely disappointed at the failure to pass bipartisan legislation” and said that this week offered a “unique opportunity” to provide protection for DREAMers. He added that he was encouraged to see bipartisan support for a proposal from Sens. Angus King (I-Maine) and Mike Rounds (R-S.D.) that allocated $25 billion for border security and a 10-12 year pathway to citizenship for young undocumented immigrants, among other provisions. The amendment fell six votes short of meeting the Senate 60-vote threshold. Boogaard noted that the failure of legislation supported by the White House to cut legal immigration by 40 percent suggests that pairing cuts to legal immigration with legislation to protect DREAMers will not work. “I think that’s indicative that a bipartisan approach is the only way forward here,” he said. He said the group plans to continue pushing lawmakers to move on reform, noting that “every day is getting close to March 5.”

Andy Halataei, senior vice president of government relations at the Information Technology Industry Council, also expressed disappointment in an interview with PI. He said that tech groups will be watching to see whether the Supreme Court will decide to review lower court injunctions on the Trump administration’s decision to end DACA. Halataei said that in addition to DACA, ITIC also needs to focus on reforms at DHS on high-skilled immigration.

It’s not exactly clear where advocacy efforts on DACA go from here. At this point, it seems like the ball is in Congress’ court.

LOBBYISTS EYEING REPEAL OF EMPLOYER MANDATE: Now that Republicans have repealed Obamacare’s individual mandate, “business groups are demanding Congress also take action on the employer mandate — which requires most employers to offer insurance to their workers or face fines — arguing that having one without the other is inequitable,” The Hill’s Jessie Hellman reports. “‘The whole legal basis for the employer mandate in the ACA was to support the individual mandate, and with the repeal of the individual mandate, there’s no legal or logical basis for the employer mandate,’ said James Klein, president of the American Benefits Council, which lobbies for large companies like Apple and Bank of America.” Reps. Devin Nunes (R-Calif.) and Mike Kelly (R-Pa.) are among those pressing to scrap the employer mandate as part of an upcoming budget deal. Full story.

LOS ANGELES GETS READY FOR INFRASTRUCTURE: Los Angeles looks like it’s gearing up for infrastructure, according to two filings today. Los Angeles County hired The Madison Group to lobby on “issues related to infrastructure and the 2020 Census” while the Harbor Department of the City of Los Angeles hired Nossaman LLP to lobby on “issues related to infrastructure.”

BIG TECH LOBBIES WHITE HOUSE: “The world’s biggest technology providers saw an opening and a threat late last summer as the White House prepared a report that could influence billions of dollars in government spending on computing contracts,” Bloomberg’s Ben Brody, Naomi Nix and Bill Allison report. “Amazon.com Inc., Oracle Corp., Alphabet Inc.’s Google and Microsoft Corp. all sought to make their voices heard as a key advisory panel named by President Donald Trump drafted recommendations on modernizing federal use of cloud services and other technology. Their outreach was aimed at the American Technology Council -- headed by a onetime Microsoft finance chief Chris Liddell -- and took the form of letters spelling out how the administration ought to reshape its tech policy. That effort to influence the Trump advisory panel is one small part of the industry’s push to make its presence felt more deeply in Washington before a new, self-proclaimed business-friendly administration. Even as lawmakers and regulators increase scrutiny of the tech sector, the letters show how companies are jousting indirectly with each other for what could be lucrative new work with the government.” Full story.

NEW JOINT FUNDRAISERS:

None

NEW PACs:

Black Americans For The President’S Agenda (super PAC)
Change California Now (super PAC)
Drain Ohio Swamp (PAC)
Drain The Swamp Ohio (PAC)
Elephant Gun (PAC)
Magnolia Lng LLC Political Action Committee (PAC)
Stand With Trump (PAC)
Youth Progressive Action Catalyst (PAC)

NEW LOBBYING REGISTRATIONS:

Barnes & Thornburg, LLP: Aethon United BR LP
Dickinson Wright PLLC: Dairy Farmers of Ontario
HCM Strategists: Braeburn Pharmaceuticals
Lincoln Policy Group: Vision Service Plan
McAllister & Quinn, LLC: National Black Coalition of Federal Aviation Employees
McAllister & Quinn, LLC: National Forum of Black Public Administrators
Nossaman LLP (Formerly Nossaman LLP/O’Connor & Hannan): Harbor Department of the City of Los Angeles
Orrick, Herrington & Sutcliffe LLP: JinkoSolar (U.S.) Inc.
The Keelen Group, LLC: Avanir Pharmaceuticals
The Madison Group: County of Los Angeles
The Roosevelt Group: Beale Military Liaison Council
JINKOSOLAR (U.S.) INC.: JINKOSOLAR (U.S.) INC.
Mehlman Castagnetti Rosen & Thomas, Inc.: Orrick, Herrington & Sutcliffe LLP (on behalf of JinkoSolar U.S.)

NEW LOBBYING TERMINATIONS:

Card & Associates, LLC: J. Ronald Terwilliger
Dentons US LLP: Alaska Bering Sea Crabbers
Dentons US LLP: Groundfish Forum
Dentons US LLP : National Seafood Marketing Coalition
Dentons US LLP: Pacific Seafood
Earth & Water Law Group: National Association of Clean Water Agencies
Fabiani & Company: Avita Medical, Inc.
Fabiani & Company: Rogers Williams University
Dentons US LLP: Native American Telecom LLC