BELLS, AOL AND OTHERS ADD LOBBYISTS; SOME ARE TERMINATED

Recent lobbying registrations with Secy. of Senate show deeper arsenals for 3 Bells, as well as Microsoft and AOL Time Warner. Global Crossing, in bankruptcy court, and Compaq, purchased by Hewlett-Packard, not surprisingly have seen termination forms filed by some lobbyists. At least one outside lobbying group for WorldCom has yet to bail, however, reporting $120,000 in lobbying income from bankrupt telecom in first 6 months of 2002.

AOL Time Warner added ML Strategies to its arsenal of outside lobbying shops in July, almost immediately after lobbying group added Mark Buse, former staff dir. for Senate Commerce Committee under then Chmn. McCain (R-Ariz.). Buse had been with McCain for 18 years, but now will have to wait year before he’s free to lobby McCain or that committee. Also enlisted at ML Strategies to lobby for AOL Time Warner were David Leiter, former chief of staff for Sen. Kerry (D- Mass.), and Patrick Mara, who once worked for late Sen. John Chafee (R-R.I.). Disclosure form, filled out in longhand and signed by Buse, said ML Strategies would lobby on “corporate governance issues and issues effecting [sic] the cable and Internet industries.”

Microsoft hired former FCC International Bureau Chief Scott Harris and his firm, Harris Wiltshire & Grannis. Joining him will be Damon Ladson, described by his firm as expert in spectrum management. Ladson and Harris will be lobbying for HR-4641, bill by House Telecom Subcommittee ranking Democrat Markey (Mass.) seeking to carve out spectrum for advanced 3G and other wireless services and establish trust fund to reimburse displaced spectrum owners, most likely military users, and promotes use of unlicensed spectrum. Microsoft has been filing at FCC recently in favor of spectrum reform, including promotion of unlicensed spectrum for Wi-Fi; company recently announced plans to introduce suite of Wi-Fi products.

Three of 4 Bells have added new outside lobbying shops in 2002, according to most recently filed disclosure documents. Additions primarily are to lobby for broadband deregulation. BellSouth in July added The Washington Group, which informed Secy. of Senate of 16 lobbyists who potentially could work for Bell. Among them are David Crane, who recently left his post as senior policy adviser to Senate Minority Leader Lott (R-Miss.). Before that, Crane had worked for years for McCain, including on his 2000 presidential bid. Former Rep. Susan Molinari (R-N.Y.) was listed, along with Richard Sullivan, former finance dir. for Democratic National Committee, and Tripp Funderburk, known for his advocacy for E-Fairness Coalition in opposition to Internet tax moratorium. SBC added former NTIA Dir. Bernard Wunder to lobby in favor of HR-1542, Tauzin-Dingell bill, as well as S-2430, Breaux-Nickles bill.

Quest added Walker, Martin & Hatch in 2002; partner Laird Walker once headed U S West’s Governmental Affairs office in D.C. Walker submitted registration document March 22, 11 days after SEC announced inquiry into Quest, but before disclosure that Qwest also was under investigation by Justice Dept. Disclosure form says firm will handle “general telecommunication issues,” without specifying potential agencies that might be lobbied. Verizon saw Verner, Liipfert, Bernhard, McPhearson & Hand file termination of service for Bell after accruing only $20,000 in lobbying fees for 2002. Among lobbyists working on Tauzin-Dingell’s passage during that time were Sara Morris and Lawrence Sidman, both of whom worked for Rep. Markey when he chaired House Telecom Subcommittee. Markey voted against Tauzin- Dingell.

Global Crossing has lost Preston Gates Ellis & Rouvelas Meeds as outside lobbyist, with group filing for termination Aug. 2. Preston Gates said actual termination occurred Jan. 20, however, and firm earned less than $10,000 from bankrupt carrier during that time. In 2001, Global Crossing paid Preston Gates $120,000 to lobby on telecom right-of-way issues and submarine cable deployment. Compaq Computer filed termination form for its own lobbying efforts, as company has been bought by Hewlett-Packard. Compaq already had spent $94,000 by May 3, date of its termination (filed in June). It also lobbied on Tauzin-Dingell and Breaux-Nickles, as well as cybersecurity legislation, online privacy and NSF IT research. WorldCom still had Fierce & Isakowitz as lobbyist as of latter’s filing on July 15, with firm earning $120,000 so far in 2002 from WorldCom. Fierce & Isakowitz said only that it had lobbied the House and Senate on “Telecommunications and Internet.”