Sen. Lisa Murkowski’s write-in candidacy was inspired by, and is funded by, an insular but bipartisan network of lobbyists, corporation and political operatives who have enriched themselves on taxpayer money through close political relationships that clash with ethics rules.
These Murkowski cronies are concentrated in a new million-dollar, corporate-funded organization called Alaskans Standing Together.
AST is a “Super PAC” formed last month by a handful of Alaska Native Corporations. These are government-created, for-profit businesses that profit from unique privileges in federal contracting, and they pass much of their earnings on to non-native consultants, subcontractors and lobbyists. One of AST’s early backers, according to the group’s Web site, is developer Bob Penney, a former business partner of late Alaska Sen. Ted Stevens (R).
Penney is a longtime donor and family friend who has known Murkowski since she was a small child. But Penney’s biggest gift to Murkowski may have been a deep discount on a waterfront property he sold her in December 2006.
Murkowski did not disclose this asset in her financial disclosure forms, but under media pressure she later said she paid $179,400 for the land, which was exactly the local government’s assessed value of the land — and well below market value according to most accounts. The Anchorage Daily News wrote in an editorial, “Anyone who sells Kenai River real estate at the assessed value is either a fool or doing somebody a favor. Anybody who buys it at assessed value knows — or should know — she is getting a sweet deal.”
Murkowski and Penney denied any wrongdoing, but once the media spotlight got bright enough, she sold the land back to him for the same price she had paid.
When Murkowski announced her write-in campaign this year after losing the GOP primary, she enlisted the services of Democratic state Sen. Albert Kookesh. She did so despite the fact that he had been admonished last May by the state’s Select Committee on Legislative Ethics — in an incident that involved none other than Murkowski.
Murkowski introduced a bill, S 881, that would transfer 85,000 acres of prime timber land on and around Prince of Wales Island to an Alaska Native Corporation called Sealaska, even though this land was outside the Sealaska’s boundaries as established in the Alaska Native Claims Settlement Act. Sealaska retained as its lobbyist the K Street firm Van Ness Feldman, which, as a hub in the “Alaska mafia,” includes a platoon of former aides to Murkowski and the other current and former federal lawmakers from Alaska — former senator and governor Frank Murkowski (Lisa’s father), Rep. Don Young, and Stevens.
While the Sealaska Corp. was still owed some land, the local towns objected to the company getting such prime real estate outside the legal boundaries. One city that raised a fuss was Craig, Alaska, which took up a resolution opposing the land deal.
But Murkowski backer Kookesh went to Craig to straighten out the locals. Kookesh is also chairman of Sealaska, a position that comes with a paycheck of about $75,000 a year.
“I am the state senator that represents Craig. I’m not a vindictive person,” Kookesh told the council, according to the Anchorage Daily News. “I see you’re going to have your 2010 capital projects on the table here tonight. And who’s it going to go to? It’s going to go to me. And to [state Rep.] Bill Thomas, who is also a Sealaska board member. We have to be good neighbors.”
Kookesh went on: “There are times you are going to need my help and Bill Thomas’ help. And this is a time we need yours.”
Translated: That’s a nice town you’ve got there. It would be a shame if anything happened to it.
In May, the ethics committee found he violated ethics rules. In September, he went to bat for Murkowski. Later that month, the Sealasksa corporation cut a $100,000 check to AST, which is, in effect, a shadow campaign for Murkowski.
AST’s very operation raises ethical questions. By law, the organization is unrestricted in its fundraising (as evidenced by its seed money, $840,000 from the corporate treasuries of nine Alaska Native Corporations), but AST is prohibited from coordinating with any campaign or party. The organization has filed two forms swearing there was no coordination, but both forms bore the signature of Lisa Murkowski — an odd way of showing independence.
The liberal stereotype of Republicans is that they use their power to enrich corporate donors and lobbyist friends. Look at who’s backing Lisa Murkowski, and the stereotype rings true.
Timothy P.Carney, The Examiner’s senior political columnist, can be contacted at [email protected]. His column appears Monday and Thursday, and his stories and blog posts appear on ExaminerPolitics.com.
