If, several decades from now, anthropologists set out to locate the
spiritual hub of early twenty-first-century Washington, they could
do worse than the Caucus Room, that bunker of a steakhouse across
from the FBI building downtown. Founded seven years ago by a
bipartisan klatch of moneymen and influence-peddlers--among them,
famed lobbyist Tommy Boggs, Bush-family henchman C. Boyden Gray,
and Clinton fund-raiser Terry McAuliffe--the restaurant caters to
the bland appetites and bulging egos of Washington's
expense-account elite. This, of course, becomes apparent the second
you walk in the door. Prices have been set to appeal to a man
desensitized by years of federal earmarks, and the decor is so
heavy on mahogany it feels like you've stepped into a casket. In
all, the premises boast some half-dozen private dining
rooms--enough redundant capability to ensure that the backroom
dealing would survive a nuclear first strike.Even the restaurant's jokes are inside. There is, for example, the
Caucus Room's "Haley's Chopped Salad." This is a bowl of greens
topped with mustard vinaigrette and Maytag blue cheese. It is named
after another one of the restaurant's owners-- former Republican
lobbyist and current Mississippi governor Haley Barbour--who,
judging from his ample jowls and girth, wouldn't know a salad if it
were, well, named after him.
Barbour himself is no joke, however--far from it. Over the decades,
he has led a vanguard of Washington lobbyists to progressively
greater heights of power and influence. After a stint as Ronald
Reagan's political director during the mid-1980s, Barbour opened
one of the most lucrative lobbying firms in town. From there, he
leapt to the chairmanship of the Republican National Committee,
where he helped lay the groundwork for the now-infamous K Street
Project, the decade-long effort to fashion corporate lobbyists into
an arm of the GOP. In 1996, according to The Washington Monthly,
Barbour organized a meeting between the House leadership and a
group of CEOs at which the Republicans were so brazen in their
demands--such as insisting that the companies remove Democrats from
their Washington offices and hire Republicans instead--that many of
the CEOs walked out.
That was the rare setback, however. Far more often, the CEOs ponied
up. And they were apparently pleased with their investment. When
Barbour rejoined his old firm, now called Barbour Griffith & Rogers
(BG&R), at the end of his RNC tour, many of them became his
clients.
All of which is to say that it was a surprise when, in early 2003,
Barbour announced he was returning to his native Mississippi to run
for governor. RNC chairman was the only job Barbour had ever been
elected to, and he had won that post by portraying himself as the
ultimate Washington insider. "His issue was, 'I'm one of you all,'"
says longtime friend and political mentor Clarke Reed, explaining
Barbour's appeal to the people who select the party chair.
Barbour, who would refer to BG&R as "our little lobbyin' firm up in
Washington, D.C.," campaigned for the governor's job exactly the way
you'd expect a lobbyist to: by parading a contingent of suits
through Mississippi to vouch for his bona fides. George W. Bush
showed up, as did Dick Cheney, Elizabeth Dole, and cabinet
secretaries Donald Evans and Rod Paige. Then-RNC chairman Ed
Gillespie, another longtime lobbyist, gushed to The New York Times
Magazine that the national GOP would "do everything that we're
legally allowed to do" to elect Barbour. When it was all over and
Barbour had won, even his celebration betrayed his K Street
provenance. "One of the interesting things about his inaugural was
how sparse the crowd was," notes former Mississippi governor Ray
Mabus. "He just didn't know many Mississippians."
But, because maintaining ties to a powerful K Street firm while
holding high public office would strain even the most liberal
ethics regime, Barbour vowed to put his lobbyist life behind him
once he became governor. "I can't have anything that's a conflict
of interest," he told the state's largest newspaper, The
Clarion-Ledger, two weeks after winning the election. The week he
was sworn in, Barbour said, according to the Associated Press, that
"he has no ownership or stock in the company he helped found in
1991." Barbour even packed his assets into a blind trust to further
defuse suspicion. (Neither step was required by state law.)
Barbour announced these things with such homespun conviction that
many believed him. The Clarion-Ledger, for one, certified Barbour
as having done "all that can be expected of him in setting aside
his business interests" just after he took office. But is it
possible for a longtime lobbyist to truly leave his former life
behind? It's a question worth asking as Barbour runs for reelection
this fall amid much chatter about his vice-presidential prospects.
(While in Mississippi earlier this summer, Rudy Giuliani pronounced
Barbour "on the top of everybody's list.") And the question has
become even more relevant in recent weeks as another former
lobbyist, Fred Thompson, has joined the presidential race. Barbour
is, in many ways, the perfect test case--a lobbyist who had spent
his career nudging back ethical lines in the search for corporate
cash. Could a man like that really go legit?
And that's where things get interesting. Earlier this summer, The
New Republic received a document that appeared to be a copy of
Barbour's blind trust agreement. It was dated February 27,
2004--six weeks after he'd become governor--and signed by Barbour
and his trustee, a man named S. Griffin Norquist of Yazoo City,
Mississippi. What immediately caught our eye were the assets the
document catalogued: among them, nearly 50,000 shares of
Interpublic Group, which had become BG&R's corporate parent when
the partners sold the firm in 1999. This seemed to contradict
Barbour's earlier statement. Either Barbour had delayed cutting
ties to his firm, or he hadn't really cut them at all.
I n August 1997, as Congress was putting the finishing touches on a
balanced- budget agreement with the Clinton White House, two
sharp-eyed freshman senators spotted something odd. Someone had
convinced Newt Gingrich and Trent Lott to slip a
$50 billion tax credit for tobacco companies into the bill at the
last minute. For a month, the mystery raged across Washington: Who
could have engineered such an audacious giveaway? Finally, Time
discovered the culprit: Haley Barbour, the former RNC chair cum
millionaire tobacco lobbyist.
Today, this tale of Republicans larding bills with corporate goodies
at the behest of lobbyists would hardly raise an eyebrow. At the
time, it was extraordinary. And it was Barbour who did as much as
anyone in Washington to make the permissiveness possible.
The Republican Party was deflated after Bill Clinton's victory in
1992, caught in an endless round of recriminations and backbiting.
As RNC chairman, Barbour re-energized the GOP ranks by highlighting
two priorities: He focused on economic issues rather than social
ones, and he promised a harder-edged approach to politics.
(Comparing Bill Clinton to Elmer Gantry, the womanizing preacher of
Sinclair Lewis's imagination, was a favorite Barbour trope.)
Barbour became known for branding the party with simple, trademark
themes--for lower taxes, for small government, against the
president. "Repeat it until you vomit" became one of the
best-heeded "Barbourisms" at RNC headquarters.
Barbour's signal accomplishment was to help engineer the Republican
takeover of Congress in 1994. He did this by lending critical early
support to the Contract with America. "Everyone thought Newt was a
brilliant guy, but people didn't have confidence that every idea of
his was sound," recalls Gingrich's then-press secretary Tony
Blankley. "Haley was seen as a sound political head. . .. He gave
it credibility by way of his reputation." One key turning point
came that March, when Gingrich and Barbour met at an Annapolis,
Maryland, watering hole after a Republican retreat. Gingrich was
adamant about placing a full-page ad for the Contract in a
high-circulation national magazine, but the House Republicans were
broke. Barbour agreed to front him the money. The resulting TV
Guide ad was a p.r. coup.
Not for nothing would Gingrich turn to Barbour for cash. Barbour's
singular forte was fund-raising--cozying up to corporations and
persuading them they had an ally in the Republican Party. During
his RNC tenure, he convinced Big Tobacco to fork over some
$12.1 million to Republicans, among other triumphs.
But Barbour's frenzied devotion to high-stakes fund-raising created
its share of problems. "Ask forgiveness, not permission" was
another famous Barbourism, and its author frequently had to ask
forgiveness. In 1997, Barbour faced allegations that the RNC had
given
$4.6 million to Grover Norquist's Americans for Tax Reform for
campaign purposes in the waning weeks of the '96 election--a
possible campaign-finance violation. (He beat the rap when Senate
Republicans blocked an inquiry.) Barbour also helped broker a $2.1
million loan guarantee from a Hong Kong businessman to a GOP front
group. The sum was so staggering that it won the attention of the
U.S. Justice Department, and a federal grand jury spent two years
investigating whether he had illegally funneled the money into state
and local races. Eventually, a three-judge panel deemed the
arrangement "not criminal," which, come to think of it, is a pithy
summation of Barbour's own credo.
The following year, Barbour returned to BG&R, the firm he had
founded in 1991. In deference to the strictures of the K Street
Project, BG&R hired Republicans exclusively, right down to the
receptionists. By 2000, the company was raking in nearly
$11 million a year from firms such as Microsoft, Phillip Morris, RJR
Nabisco, Lockheed Martin, GlaxoSmithKline, and Bellsouth.
Through it all, Barbour never lost his status among Republicans. He
continued to be a top Republican fund-raiser, helping the RNC sign
up corporate donors for the party's elite "Team 100" program. In
the late '90s, Barbour's firm was holding fund-raisers five times a
month for Republican members of Congress, giving the likes of Trent
Lott and Chuck Hagel access to his extensive Rolodex of clients and
connecting them with other GOP lobbyists. And Barbour remained the
chief conduit between the GOP and Big Tobacco, helping the party
raise
$22 million from cigarette-makers between 1997 and 2002. In 2000,
Bush brought Barbour on as an informal adviser to his campaign,
where, among other things, he took a leading role in painting John
McCain as a bleeding heart-- "Clintonesque," as Barbour told the
press.
Bush's ascendance to the White House in 2000 marked an ascendance
for Barbour as well. Such was his cachet that, in 2001, when the
Environmental Protection Agency threatened to follow through on
Bush's campaign promise to regulate carbon dioxide, Barbour helped
to derail the effort for his clients without breaking a sweat. As a
child, Barbour had always wanted to be a senator. Now he was
arguably more powerful than a veto-proof majority of them.
Late last month, one of us--Noam Scheiber--traveled to Yazoo City,
Mississippi, where Barbour grew up. Not quite an hour north of
Jackson, Yazoo sits at a geographic crossroads--the place where
hilly northern Mississippi gives way to the fertile Delta region.
Yazoo was once home to an affluent professional class, but that
group's only legacy today is a few leafy blocks of imposing homes.
The white flight that followed public-school integration, coupled
with the decline of the city's manufacturing base, dealt Yazoo a
near- mortal blow in the 1970s and '80s. Its formerly quaint
downtown was almost abandoned the day I arrived. A woman at the
Goodwill store--whose presence downtown was itself an ominous
sign--directed me a few blocks north to a Jr. Mart when I inquired
about the nearest coffee shop.
I had come to Yazoo for an unannounced visit with S. Griffin
Norquist, the longtime friend who manages the governor's blind
trust. Assuming the document we'd received was authentic, I wanted
to ask him why Barbour had kept an interest in his old firm after
publicly implying he no longer had one.
The document raised other questions, too. For example, most blind
trusts involve a transfer of assets from their owner to the trust.
But this document explicitly said that several of Barbour's assets,
including his interest in BG&R's parent company, would not be
transferred. Instead, Norquist would simply assume "full control
and dominion over" them. That meant that Barbour, rather than the
trust, would pay taxes on these assets and would therefore know he
owned them and how much they were worth. The trust would be anything
but blind.
There was also this: In May 2004, Interpublic had sold BG&R back to
Barbour's former partners, Lanny Griffith and Ed Rogers (the "G" and
the "R" in BG&R). Whether Barbour had also repurchased a stake in
the firm had been the subject of much speculation. He had never
entirely ruled out this possibility, telling reporters only that he
wouldn't be involved in the buyback negotiations. I was hoping
Norquist could shed light on the situation.
I found Norquist at the Bank of Yazoo City, where he is the
president. Norquist was a balding, pear-shaped man of about 60,
dressed in tan khakis and a white shirt. His eyes narrowed when I
introduced myself and showed him the trust document. "Get out," he
told me. I promptly began to stammer. "You write for The New
Republic? Where's your card?" Luckily, I had anticipated precisely
this scenario. Not quite soon enough to bring an actual business
card from Washington. But soon enough to grab the latest issue from
my car on the way into the bank. I began paging frantically through
the magazine.
Finally, I pointed to my name on the masthead and shoved my driver's
license in front of him. Norquist, who, prior to this point, had
turned an exquisite shade of red, gradually regained his composure.
He invited me to wait in the reception area. "I have a staff
meeting at three-thirty," he said. "It shouldn't take more than a
few minutes. We can talk then."
Norquist returned some 15 minutes later and led me into his office.
He explained that another reporter seemingly in possession of the
same document had been badgering him by phone for days. He had
assumed I was him. As for the real me, not the me he had
temporarily mistaken for his nemesis, "You're okay," Norquist said.
"You and I don't have a problem." He circled back to this theme
several times.
There was no way to know if Norquist had actually been in a staff
meeting, or if the meeting was an excuse he had concocted in order
to place a phone call. Either way, he wasn't inclined to say much
about the trust. He did want me to know, apropos of nothing, that
his "involvement with that has nothing to do with the bank. It has
my home address on it, not the bank address. I don't even know what
you've got there." I began reading from page one: "S. Griffin
Norquist Jr., ... six hundred twenty-seven E. Broadway, Yazoo ..."
"Yeah, that's my home address," he said.
"Would you like to see the document?"
"No. I really can't comment on that."
You begin to appreciate the size of a place like Mississippi when
you can wander through a rickety downtown knowing that several
members of the governor's family are, at that very moment, within a
couple of blocks of where you're standing. You truly grasp the size
of a place like Mississippi when you knock on one of those
relatives' doors--and they open it and invite you in for iced tea.
The door I knocked on was attached to a large, two-story brick
house. Its lawn was lush and green and flowed out from a regal
front porch. A fortress of shrubbery and columns surrounded it. The
member of the Barbour clan who answered was the governor's older
brother Jeppie, a big barrel of a man with bulldog-like features. I
had apparently caught him unwinding from a long day-- he was
dressed in a white undershirt, brown slacks, and dark socks--but he
was gracious and happy to chat. Before long, Jeppie had settled
into an overstuffed couch in his den, while his bubbly wife Frances
and I sat nearby in two armchairs.
The three Barbour brothers (the third, Wiley, keeps a law office in
town) grew up on nearby Jackson Street. Their father was a
Princeton-educated lawyer known for his intelligence and his
photographic memory, which Haley inherited, according to local
lore. But the elder Barbour died when Haley was only two. You
wouldn't exactly have called the Barbour boys "wild." But they did
emit enough rowdy energy to occasionally test the patience of their
strong-willed mother. By way of illustration, Jeppie mentioned a
group called the "Red Tops" that attended dances up and down the
Delta when Haley was a young man. The dances would attract large
crowds, and, from time to time, a fight would break out. "The Yazoo
City group, I think, ended up with a reputation of--they didn't
start them, but at least winning all the fights," he said.
Jeppie is a vision of what Haley might have looked like had he
stayed in Mississippi. His persona is less manufactured than his
brother's, his appearance a little rougher, his accent thicker. He
and Frances seemed genuinely awed by the nation's capital, even
though there were times in the '90s when his brother practically
ran it. "Have you ever eaten at the restaurant Haley owns in
Washington?" Frances asked me. "The Caucus Room?" I said. "I guess
so. I've never eaten there," she replied. "From the outside, it
looks very nice and very expensive," Jeppie added.
Toward the end of the conversation, I asked if I could see the rest
of the house, which Jeppie's grandparents once owned. Frances and
Jeppie briefly conferred about its condition, then ushered me into
a living room. We were greeted by a blast of moist, warm air--we
had apparently left the house's only airconditioned room. The first
thing I noticed was the elegant, antique-looking furniture, which
had long ago begun to fray. My eyes then drifted to the large
paintings of Barbour men decorating the walls. On the far wall was
a gothiclooking portrait of Jeppie at age three or four. On my
right were portraits of his four older boys and, to my left, his
youngest son. All in all, it was what I imagine being trapped in a
Faulkner story would feel like.
But the Yazoo City Barbours are no rubes. Jeppie was elected mayor
before his thirtieth birthday and has run several local political
campaigns. And two of the children in the paintings, Austin and
Henry, are among the most powerful figures in Mississippi--the men
to see in Jackson. Henry managed his uncle's campaign for governor
and worked in his fund-raising operation at the RNC. Austin did a
tour of his own in Washington and, in 2004, became the head of his
uncle's federal political action committee, called Haley's PAC. Now
the two brothers work at Capitol Resources, the state's most
influential lobbying firm.
When I asked Jeppie where his sons had acquired their political
skills, he fixed me with a wary expression. "I guess they're just
smart," he said.
Haley Barbour returned home at a crucial point in Mississippi
history. The state had been slowly trending Republican for decades,
and, in 1992, Kirk Fordice became the first GOP governor since
Reconstruction. But Fordice never cemented GOP gains in the state:
Democrats stymied his legislative aims, and a Democratic governor
succeeded him in 2000.
Barbour, presumably, had greater ambitions than simply passing
through the governor's mansion. He had spent the early part of his
career as a Mississippi political operative helping Richard Nixon
and Ronald Reagan bring conservative white Southerners into the
party's fold. "We were battling," recalls Clarke Reed, the chairman
of the Mississippi Republican Party when Barbour was executive
director. "When we first started this darn thing, ten percent of
people thought they were Republicans. [Everyone else would] say,
'I'm not a Democrat, I'm a Mississippi Democrat.'" The partisan
ethos Barbour had imbibed in those days was a far cry from the
approach practiced by Fordice, who, in 1995, had cheerfully voted
for the Democratic candidate for lieutenant governor.
In Jackson, Barbour set out to do what Fordice either wouldn't or
couldn't: transform the state into a GOP stronghold. Barbour
initiated massive fights in the legislature over education funding
and Medicaid, ending the cozy bipartisanship that had helped
conservative Democrats blur partisan differences and maintain their
legislative majorities. "Prior to the convening of the 2004
session, geography, race, and economic status influenced the votes
legislators cast on public policy issues," write Jere Nash and Andy
Taggart in Mississippi Politics: The Struggle for Power, 1976-2006.
"The rules changed when Barbour took the oath of office. Political
party began to matter." Barbour also called a special session in
2004 to push through curbs on malpractice lawsuits, even though the
legislature had passed a major tort-reform bill just two years
earlier. The effect, intended or not, was to deal another blow to
state Democrats' biggest source of funding: trial lawyers. (In
fairness, Barbour also won bipartisan acclaim for tapping his D.C.
connections and steering federal money to Mississippi in the wake
of Hurricane Katrina.)
Republicans credit Barbour with making the party a far more
effective force than it had ever been. According to several
legislators, GOP lawmakers now receive talking points and use
legislative sessions to shape their party's message. Barbour's
office sends a steady flow of e-mail to instruct Republicans in
both chambers on how to vote, even on procedural issues. There is
little tolerance for dissent. After Jessica Upshaw, a GOP
representative from the Gulf coast, supported an ill-fated bill
mandating legislative oversight of Katrina- recovery funds, she was
reportedly disinvited from the governor's plane en route to a
meeting with Bush. (Of her support for the bill, Upshaw merely
says, "I won't say that I felt like I was warmly embraced for
it.")
In many ways, Barbour has replicated Tom DeLay's K Street Project in
Jackson. After his election in 2003, Henry and Austin Barbour
joined Capitol Resources, a lobbying firm just steps from the
governor's mansion--much like Barbour Griffith & Rogers overlooks
Capitol Hill. The firm shares a number of BG&R's clients, including
Northrop Grumman and Lorillard Tobacco Company. Most lobbying shops
in Jackson are small, single-person firms, which, while business-
friendly, have rarely dominated the legislature the way that Capitol
Resources has, with its 15-strong battalion. "They made a habit of
going after other lobbyists' clients, saying, 'If you want anything
done in the Mississippi legislature, you better hire us,'" says one
Democratic legislator.
One of the advantages Henry and Austin had in this competition was
their unusually close access to the governor. Austin, for example,
has spent a considerable portion of his expense account on his
uncle's employees, according to filings with the Mississippi
secretary of state. One night in 2006, he plunked down over
$800 at a restaurant called Tico's for a meal with twelve members of
the governor's staff. "That is highly unusual," says Mabus, the
former governor. "I don't think my staff ever went out with a
lobbyist." (Neither Barbour nephew responded to interview requests
for this article.)
A recent Bloomberg piece illustrates the problem with the
relationship between Barbour and his nephews. In July 2005, a local
bond advisory firm called Government Consultants Inc. hired Capitol
Resources to represent it in Mississippi. Katrina hit a couple of
months later, and, in the aftermath, Barbour appointed Henry as
executive director of a state commission overseeing the recovery.
One of the commission's mandates was to advise the state on the
sale of bonds to fund the rebuilding. When all was said and done,
Government Consultants walked away with
$2.4 million from the state in fees for 2006, at least $400,000 of
which came from bonds directed toward hurricane recovery. The firm,
in turn, paid Capitol Resources $65,000 for Henry Barbour's
services between mid-2005 and the end of 2006.
As with DeLay's efforts to entrench the GOP in Washington,
Mississippi Republicans are integrating lobbyists into their own
political machine. Shortly after the Barbour nephews joined Capitol
Resources, Henry told the Delta Business Journal, "[W]e're going to
assist ... Republican candidates in raising money both nationally
and at the state level." (When Haley was chairman of the RNC, it
was Henry who had worked to coordinate corporate donations to the
party. ) In January 2007, Democratic state Senator Shannon Walley
switched parties, giving Republicans an official majority in the
Senate for the first time since Reconstruction. Campaign finance
records show that, a few weeks after Walley switched, he received
thousands of dollars in contributions from Republican donors and
lobbyists, including two checks from lobbyists at Capitol
Resources.
At times, the similarities between Barbour's m.o. and DeLay's make
you marvel at the sheer lack of imagination. Disgraced Republican
lobbyist Jack Abramoff spent years charging the Mississippi
Choctaws, a local band of Indians, outrageous seven-figure fees to
watch over their casino interests. Capitol Resources has performed
similar work for the Choctaws. Some of the work predated Barbour's
tenure as governor, but the relationship became suddenly relevant a
few years into his term. That's when the Choctaws' then-chief,
Phillip Martin, proposed building an off-reservation casino near the
Gulf coast. Barbour had promised to oppose any expansion of
gambling in Mississippi while running in 2003. This warmed the
hearts of the existing casinos that had helped bankroll his
campaign, since, under federal law, a governor can unilaterally
veto an off-reservation casino. And yet, despite distancing himself
from the Choctaw project, Barbour never got around to killing it.
There are any number of explanations for this hesitation, to be
sure. The Choctaws are one of the state's largest employers; no
governor would be eager to cross them. Still, the involvement of
his nephews' firm is intriguing. According to one former consultant
for the Choctaws, Capitol Resources was instructed to "make sure
Barbour or any other state politician didn't come out more
definitely" against the casino.
Barbour has always been on the cutting edge of demolishing norms of
propriety in the public sphere. He wasn't ashamed to bring lobbyists
into the world of partisan politics, something he had initiated in
the mid-'90s and which DeLay later perfected. And he wasn't ashamed
to create the perception that he was going further: using partisan
politics to benefit clients of the lobbying firm he might still
have ties to.
Barbour had been among the tobacco industry's top lobbyists prior to
returning to Mississippi. Between 1998 and 2002, such tobacco
companies as Phillip Morris, RJR Nabisco, Brown and Williamson, and
U.S. Tobacco paid his firm
$3.8 million. The firm has collected more than $2 million in tobacco
revenue since Barbour became governor.
If the tobacco companies were hoping all this would pay dividends
for them in Mississippi, they cannot be disappointed. In 2006, the
state legislature passed a so-called "tax swap" bill. Supported by
Amy Tuck, the lieutenant governor and, until then, a faithful
Barbour ally, the measure would have raised the state's tobacco
tax, one of the country's lowest, and lowered its ultra-regressive
grocery tax. Barbour twice vetoed the plan and twisted enough
Republican arms to sustain it--despite the fact that some 70 percent
of Mississippians supported the legislation. "The tobacco
companies, we barely even saw them," says Steve Holland, chairman
of the House public health committee. "They didn't have to show up
because they had the big boy fighting for them." To this day, few
in the GOP have dared cross Barbour on the matter. Recently,
lobbyists from the Mississippi Health Advocacy Program asked
several Republicans to pledge to raise the tobacco tax. They
encountered near-universal resistance. "A lot of Republicans are
saying, 'Do you know what you're doing? If I sign this thing, then
Haley will come and dump more money into my opponent's campaign,'"
says Roy Mitchell, the program's director.
This year, legislators tried again, introducing two more bills that
would have halved the state's grocery tax and raised the cigarette
tax by
$1. Barbour didn't even lift his veto pen this time around--the
bills died at the hands of Senate finance committee chairman Tommy
Robertson. Oddly, Robertson had been a vocal advocate of previous
tax-swap bills. Earlier this year, however, he and two other
Republican legislators--who, in their day jobs, are lawyers--had
received a $1.2 million contract from the Mississippi Development
Authority, which is overseen by the governor, to help homeowners
finalize their Katrina grants. The contract raised more than a few
eyebrows. (In an interview, Robertson said the contract--which was
cleared by the state ethics commission on a party-line vote--had
"absolutely nothing" to do with his stance on the tax swap.)
Barbour's attempts to kill the tax swap weren't his only gift to the
tobacco industry. In 1997, then-attorney general Mike Moore won
$4.1 billion for the state in a landmark lawsuit against Big
Tobacco. As part of the settlement, a state court created the
Partnership for a Healthy Mississippi, a $20-million-a-year
tobacco-prevention program to be run partly by Moore, and ordered
Mississippi to fund it. Teen-smoking rates in the state had
plummeted in the years since the creation of the Partnership. But,
when Barbour came into office, he initiated a lawsuit to dismantle
it, arguing that the program didn't receive enough legislative
scrutiny.
Most onlookers think the battle was personal. In speeches to
Republican supporters, Barbour would insist he wasn't going to let
Moore have
$20 million a year to effectively run a campaign for future office.
Meanwhile, Barbour subsequently vetoed a bill that would have
addressed his concerns. As he rounded up the votes to sustain it,
Barbour claimed the program was diverting money to the Legislative
Black Caucus, which ran a youth- leadership program funded by the
Partnership.
Late last year, Moore met with Barbour and issued a personal appeal.
"I told him, if you'd rather have the legislature do this ...
that's okay," Moore recalls. Barbour merely thanked him and
promised to call. He never did.
In the same November 2003 Clarion-Ledger article in which Barbour
committed to avoiding conflicts of interest, he also made the
following statement: "My partners and I are trying to work out ...
what is the appropriate way for them to buy me out." Barbour seemed
to be referring to his stake in some sort of profit-sharing
arrangement, which is common among partners in a small firm bought
out by a large corporation. There is evidence that the quote was
disingenuous, however. The blind-trust agreement--which an employee
at the Bank of Yazoo City examined before confirming that she had
notarized one of the signatures on it, and which Bloomberg
subsequently reported on--contains the following statement: "The
trustee will direct Interpublic to make any payments of any sort,
specifically including but not limited to dividends, net income
payments, bonuses, etc., arising from Interpublic's ownership of
Barbour, Griffith & Rogers, Inc. due to Haley R. Barbour to this
A.G. Edwards account." It's not clear what purpose such payments
would serve if not to compensate Barbour for his ties to the firm.
That said, there's no way to know if Barbour currently has an
interest in BG&R without probing either the current contents of the
trust or his brain, and the latter may be easier than the former.
"It's a blind trust, which means we don't talk about it," the
governor's office has said, apparently confusing two unrelated
disabilities. When asked to comment for this article, Barbour
spokesperson Ryan Annison told us, "We will not be responding to
your six-page laundry list of questions, which is full of
inaccuracies and biased innuendo. .. . Tell your sources and allies
at the Democrat Party we send our regards." He declined to
elaborate on the alleged inaccuracies.
So has Barbour really severed ties to his old lobbying outfit? There
is one final detail worth contemplating before passing judgment. A
little before 9 a.m. local time on the morning of June 19 of this
year, a Cessna carrying Barbour departed Jackson-Evers airport in
Mississippi for Washington, D.C. The flight touched down at Dulles
airport a few minutes after noon, marking the fifteenth time since
January 1, 2007, that the governor's plane had landed in the
Washington area.
Just under an hour later, tnr observed a hulking black GMC Yukon
deposit Barbour outside a nondescript building at 1275 Pennsylvania
Avenue, the site of the lobbying firm Barbour Griffith & Rogers.
Barbour, wearing a dark suit and a sea-blue tie and identifiable by
his nature-defying helmet of hair, strolled into the building
alone, save for a laptop carrying-case and a cell phone. He stopped
to exchange a few words with a receptionist, then disappeared from
view. Roughly 90 minutes later, he exited the building with a
red-headed man at his side. The two entered the Yukon and rode away
down Pennsylvania Avenue. Just another day at that "little lobbyin'
firm up in Washington, D.C."
Additional reporting by Samuel Jacobs and Sophia Lear.