Republican wins mean more activity in Congress, more work for K Street
Last weeks midterm elections put the Senate majority in the hands of the Republicans, and the switch is having ripple effects on K Street, where business revolves around connections to the parties in power.
Lobby shops are anticipating a flurry of movement between now and the first quarter of 2015, with staffers leaving Capitol Hill for jobs at downtown firms, and lawyers and lobbyists leaving private practice to take staff positions for members of Congress. The revolving door is typical following an election.
And the House and Senate being controlled by the Republicans brings fresh opportunities for lobby firms, regardless of the party with which they associate. Many predict that legislation that has been stuck in gridlock, such as tax reform, will be put on the front burner. And that could mark a turnaround in business on KStreet, which has largely been in a slump for the past three years, as one of the least productive congressional sessions in history slowed the passage of major legislation.
Were very excited, said Marc Lampkin, a Republican lobbyist who heads the bipartisan public policy group at Brownstein Hyatt. Theres going to be more activity. [Sen. Mitch] McConnell and [Speaker John A.] Boehner are going to work to prosecute regular order and work through a lot of things that have been slowed down in the legislative process. From the K Street perspective, that means theres opportunity because corporations and trade associations affected by Washington power will be looking to invest in those policy decisions.
Most large lobby shops, including those that have been historically aligned with a party, are now largely bipartisan. Most firms employ lobbyists with ties that run the gamut of key targeted groups: House Republicans, Senate Republicans, House Democrats, Senate Democrats and the executive branch, which in recent years has become a bigger focus of lobbying efforts because many important regulations in areas such as energy and health care have come from federal agencies, not Congress.
We have always sought to build a deep and experienced bipartisan team capable of addressing our clients issues from any angle, regardless of who holds the majority in Congress, said Don Pongrace, a Democratic lobbyist at Akin Gump. While these elections do present an opportunity for considering new initiatives and agendas, our fundamental strategy of recruiting and retaining individuals with a diverse array of backgrounds and perspectives remains unchanged.
Policy expertise such as helping write a tax bill or working on tax policy in the private sector will have a bigger influence on hiring than political affiliation, said Kara Calvert-Campbell, a lobbyist at the boutique tech lobby shop Franklin Square Group. Calvert-Campbell is a former Senate Republican staffer, and the firm was founded by two Democratic lobbyists.
Politics drives us less, she said. What happens as a result of those politics ... hot issues like tax, trade, patent reform, thats what helps us determine whether we need to hire someone new in that area.
Although Republicans will gain control of the Senate, 52 to 45, they did not win it by a wide enough margin to shut out Democrats.
You still have not achieved the elusive 60 or 61 [majority], which means to accomplish things, youre going to have to have some level of bipartisan cooperation, Lampkin said. While Senate Republicans will be setting the agenda, Senate Democrats will be an important part of solving these big policy debates. The winning firms will be the firms that have great strength with Republicans in Senate and Democrats in Senate.
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Republican wins mean more activity in Congress, more work for K Street
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