Trend to Spend Mostly Holds for Key Telecom Seats
Funding came heavily and down to the end for candidates of both parties in races with import for telecom, mirroring a national trend toward more geographically diverse support. High profile candidates with strong telecom ties got expected significant aid from industry and industry PACs for 2006. The list of givers offered few surprises, with the most entrenched Beltway riders generally donating the most.
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Giving and spending were up in close districts, a pattern holding for telecom-relevant seats covered by Communications Daily this election cycle (CD Nov 3 p3). Most last-minute contributions in close races get inconsistent documentation, but available information shows late giving by both parties where Democrats stood to take seats from Republicans.
The money rolled in all cycle for Rep. Wilson (R-N.M.) and opponent N.M. Attorney Gen. Patricia Madrid (D). Wilson raised $4.31 million as of Oct. 18, according to FEC filings, surpassing her 2004 totals by almost $1 million, while Madrid, a popular moderate, raised $2.5 million, about $500,000 more than her 2004 predecessor by the same filing deadline. One filing for last-minute giving -- these aren’t required until Dec. -- had about $450,000 more arriving for Madrid on one day alone.
Rep. Cubin (R-Wyo.) surpassed her 2004 total by Sept., while challenger Gary Trauner, who ran and neck and neck with Cubin after an incident in which she threatened to slap a handicapped 3rd-party candidate, more than doubled the total raised by predecessor Ted Ladd.
Rep.-elect Paul Hodes (D-N.H.) raised over $1.2 million, way up from the $467,164 he raised in a failed 2004 try to unseat Charles Bass (R), whose fundraising was up at least $200,000 as of the campaign’s last month. Bass continued to get money in the form of Republican party ad buys right up until the election, according to FEC filings.
Republican fundraising wasn’t up so uniformly in key telecom Senate races. While defeated Sen. DeWine (R-O.) and still-trailing Sen. Burns (R-Mont.) raised significantly more this year than in 2000, Sen. Allen (R-Va.) saw contributions plummet after gaffes that sapped his lead; Allen trailed challenger Jim Webb by less than 1% and reserved the right to demand a recount if the margin remains so slim. To Allen’s $14.85 million, Webb raised only $4.84 million, much less than Allen’s 2000 Democratic challenger, incumbent Charles Robb, who raised $7.09 million. DeWine’s challenger Rep. Brown (D-O.), raised significantly more than his 2000 predecessor Ted Celeste, while Burns challenger John Tester out-banked even popular Mont. Democratic Gov. Brian Schweitzer by several million.
Industry Contributions
The “Communications/Electronics” industry gave notably less in 2006 than in previous cycles, according to opensecrets.org, the website and research database of the Center for Responsive Politics. Data reflect contributions only through Oct. 10, but the sector’s $52,435,456 total giving marks the skimpiest total since 1994, 2 years before the Telecom Act passed. Since 2000’s record high of $133.3 million-plus, total giving has shrunk annually, perhaps due to the subsequent sluggish telecom economy and a 2003 ban on soft money contributions.
Contrary to national giving trends, Republicans actually got a greater share of sector contributions than in previous years, pulling almost even with Democrats, opensecrets.org said. The “Telecom Services & Equipment” sub-sector trended so far right in its giving as to give Republicans a majority the past 2 cycles: 54% of contributions in 2004 and 55% this year. The same general pro-Republican sentiment shows in the “Telecom Utilities” sub-sector, where Republicans have enjoyed a majority of contributions since 1996. A widely cited part of this trend is Grover Norquist’s “K Street Project,” in which congressional Republicans required lobbying groups and firms to put loyal Republicans atop their organizations, precisely to gain their financial support.
AT&T was by far the cycle’s largest industry contributor, and a major supporter of Republicans. The carrier gave $2.22 million, head and shoulders above its closest rival, with a 66%/33% Republican-Democrat split. Following AT&T were Verizon ($1.54 million, 59% Republican); BellSouth ($1.19 million, 60% Republican); Qwest ($624,644, 67% Republican); and Sprint ($447,025, 62% Republican). Level 3 (68% Democrat) and Qualcomm (63% Democrat) bucked the Republican trend, while IDT (99% Republican) and Motorola (72% Republican) were at the other extreme. Trade groups supplemented members’ donations, again mostly contributing to the party in power: 59% of CTIA’s $227,774 went to Republican candidates, as did 59% of USTA’s $223,550 and 66% of NTCA’s $95,000.
Consistent with the national trend, Communications Workers of America gave less this year than any election year since 1990. The union did give $10,000 -- 1% -- to Republicans this year, for the 2nd consecutive cycle.
One beneficiary of telecom largess has been Sen. Clinton (D-N.Y.), who got more “Telecom Services & Equipment” contributions than any 2006 candidate, and the 4th-most from “Telecom Utilities.” Clinton, a presidential hopeful and Commerce Committee member, received $107,040 through Q2 from “Services” and $81,630 from “Utilities,” ahead of Sen. Nelson (D-Fla.), Sen. Burns (R-Mont.), Sen. Ensign (R-Nev.) and Sen. Allen (R-Va.). The telecom industry gave generously to Clinton in 2004, when she wasn’t even running. In the “Utilities” category Clinton was second only to Sen. Burns ($125,590), Rep. Ferguson ($96,200) and failed N.J. Republican Senatorial candidate Thomas Kean Jr. ($92,600).