Special interests fill coffers

Candidates Suozzi, Spitzer portray themselves as being above the influence of lobbyists, but both have accepted money from them

BY ERROL A. COCKFIELD JR | NEWSDAY ALBANY BUREAU CHIEF

March 5, 2006

New York state Attorney General Eliot Spitzer is seen after a fundraiser at the Glen Oaks Country Club in Old Westbury. (Newsday / Karen Wiles Stabile / February 15, 2006)

ALBANY - In the race for governor, Attorney General Eliot Spitzer and his long-shot challenger, Nassau County Executive Thomas Suozzi, have held themselves out as reformers who would confront special interests in the state Capitol.

But a review of campaign contributions for both Democrats shows they are accepting money from the same lobbyists and powerful interests that they point to as part of a pay-to-play culture that has hamstrung the government.

Spitzer and Suozzi, who have not ruled out accepting such money, say contributions would not influence how they govern, but groups calling for the state to revamp campaign finance laws say perception matters. "Lobbyists give because it gets them results," said Rachel Leon of Common Cause/NY, a civic group.

During a speech on economic development Thursday in Rochester, Spitzer said in government, "decisions must be based on merit, not on politics - with the public interest, not the special interests, in mind."

But as the Democratic front-runner, believed by many analysts to be the likely victor because of a divided Republican Party, Spitzer has the support of Albany's most prolific lobbyists.

A review of filings with the state Board of Elections shows that since Spitzer began fundraising in 2003 he has received at least $182,000 from nine out of the state's 10 most highly paid lobbying firms or individuals who work for those firms.

So far, Spitzer has received almost $40,000 from Albany's top lobbying firm, Wilson, Elser, Moskowitz, Edelman & Dicker, LLP, which has numerous clients in the healthcare industry.

$388,000 in one night

In December, during a Manhattan fundraiser, Spitzer received $388,000 in donations from registered lobbyists, one-tenth of the contributions his campaign received that night, according to an aide.

The lobbyists included Patricia Lynch, a former aide to Assembly Speaker Sheldon Silver (D-Manhattan), who has used her government ties to establish a firm that is now Albany's third-highest-paid. Records show Lynch and her firm have given close to $47,000 to Spitzer.

James Featherstonhaugh, an Albany lobbyist who has fought against proposals to ban lobbyists from giving gifts to elected officials, has given Spitzer $6,000, while his firm has given another $23,000.

In an interview, Spitzer said he would not rule out donations from those seeking state contracts. "That's an impossible standard to either create or enforce," he said. "Anybody might want to do business down the road with the state."

Suozzi, who launched his bid on Feb. 25, has sought to paint himself as an outsider candidate, charging that Spitzer will receive the overwhelming backing of the power brokers and influence peddlers in Albany.

"He'll have the support of almost every single Albany legislator, Albany lobbyist and Albany lawyer," Suozzi said during his campaign kickoff.

But while he has not received the level of support Spitzer has enjoyed, Suozzi's political coffers have been filled by lobbyists and unions as well.

The money was donated in 2004 and 2005 as Suozzi was running for re-election as county executive, but even then, he was publicly flirting with the idea of running for governor.

Asked by a reporter if he would accept money from lobbyists, Suozzi, who has raised $5 million in the race, compared with Spitzer's $19 million, laughed and joked that "I have to think about that because none of them are offering any to me."

Not so. Nassau County Board of Elections records show Suozzi has received $39,000 from Cablevision chief executive James Dolan, who is a registered lobbyist in Albany.

His firm, which owns Madison Square Garden, paid $22 million in lobbying fees to defeat a plan by the Jets to build a stadium on Manhattan's West Side. Dolan's relatives, including his father, Charles, have contributed another $100,000 to Suozzi.

Suozzi also received $22,300 from Local 1199 of the Service Employees International Union, the powerful state health care workers union, which has used its political leverage to exact pay increases from state leaders. The union also has given more than $50,000 to Spitzer.