Corporations

ALEC and the Tobacco Industry

TobaccoThe American Legislative Exchange Council (ALEC) is an influential, under-the-radar organization that facilitates collaboration between many of the most powerful corporations in America and state-level legislative representatives. Elected officials then introduce legislation approved by corporations in state houses across the U.S., without disclosing that the bills were pre-approved by corporations on ALEC task forces.

ALEC has had a long relationship with the tobacco industry. To explore this relationship, we studied publicly-available tobacco industry documents found in the Legacy Tobacco Documents Library (LTDL), an electronic archive created by the University of California San Francisco that contains 70+ million pages of previously-secret, internal tobacco industry documents obtained in the discovery phases of the 46 state attorneys general lawsuits against the tobacco industry. Those lawsuits were resolved in 1998. The documents were made public as a term of the 1998 Master Settlement Agreement between the states and the tobacco industry. Before now, ALEC documents in this database have not been a major focal point.

Insurance Exchanges Tilted Toward Health Insurers, Not Consumers

Colorado Gov. John HickenlooperThe insurance industry made it abundantly clear this week that it is in the driver's seat -- in both Washington and state capitols -- of one of the most important vehicles created by Congress to reform the U.S. health care system.

The Affordable Care Act requires the states to create new marketplaces -- "exchanges" -- where individuals and small businesses can shop for health insurance. In the 15 months since the law took effect, insurers have lobbied the Obama administration relentlessly to give states the broadest possible latitude in setting up their exchanges. And those insurance companies have been equally relentless at the state level in making sure governors and legislators follow their orders in determining how the exchanges will be operated.

ALEC Bills in Wisconsin

ALEC Exposed (A project of CMD)In the 2010 elections, Republicans emerged with seven more governor's mansions. They also won control of 26 state legislatures, up from 14. In many trifecta states, where a new Republican majority won control of both houses and the governorship, an odd thing happened. A steady stream of almost identical bills -- bills to defund unions, require Photo ID's make it harder for democratic constituencies to vote, bills to privatize schools and public assets, bills to enshrine corporate tax loopholes while crippling the government's ability to raise revenue, bills to round up immigrants -- were introduced and passed. An almost identical set of corporations benefited from these measures.

It is almost as if a pipeline in the basement of these state capitols ruptured simultaneously, and a flood of special interest legislation poured out. The blowout preventer -- political power-sharing -- was disabled. The source of the contamination? The American Legislative Exchange Council (ALEC).

This week, the Center for Media and Democracy unveiled its ALEC Exposed website to display an archive of over 800 ALEC "model bills." This archive will allow reporters and citizen journalists to identify the ALEC bills moving in their states. We encourage researchers to search for some of the measures written about below.

Is Rupert Murdoch's Influence Waning?

Just weeks ago, media mogul Rupert Murdoch was set to win his $12 billion bid to take over Britain's biggest satellite broadcaster, BSkyB. The U.K. government was indicating it was likely to allow the proposed takeover to happen. But then the News of the World phone hacking and bribery scandal broke, and turned British public opinion so strongly against Murdoch that he suddenly withdrew his multi billion dollar offer to take over the broadcaster. Murdoch's announcement that he was pulling the bid came just hours before British lawmakers were set to consider a measure to ask Murdoch's company, News Corp. to drop his effort to take over BSkyB. The measure was expected to pass with overwhelming support in Britain's House of Commons, demonstrating how sharply Murdoch's influence has waned since the scandal. Murdoch had previously wielded significant political influence in Britain through his media holdings. The scandal may be affecting Murdoch's influence in the U.S., too. U.S. Senators Jay Rockefeller (D-West Virginia), Barbara Boxer (D-California) and Frank Lautenberg (D-New Jersey) have all called for an inquiry into whether any of the unethical investigative techniques or bribery uncovered at Murdoch's U.K. newspaper have been used at any of his U.S. media holdings. The senators specifically question whether telephones of victims of the September 11, 2011 attacks might have also been hacked. News Corp. holds 27 U.S. broadcast licenses and owns the Fox News Channel.

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About ALEC Exposed

The Center for Media and Democracy has obtained copies of more than 800 model bills approved by corporations through ALEC meetings, after one of the thousands of people with access shared them, and a whistleblower provided a copy to the Center. We have analyzed and marked-up those bills and made them available at ALEC Exposed. This article has been updated. For press inquiries, please contact Nikolina Lazic at 608-260-9713 or lisa@prwatch.org.

A CMD Special Report on ALEC's Funding and Spending

This CMD Special Report cuts through the PR spin and exposes the funding and spending of the American Legislative Exchange Council (ALEC). Almost 98% of ALEC's funding comes from corporations like Exxon Mobil, corporate "foundations" like the Charles G. Koch Charitable Foundation, or trade associations like the pharmaceutical industry's PhRMA and sources other than "legislative dues." Those funds help subsidize legislators' trips to ALEC meetings, where they are wined, dined, and handed "model" legislation to make law in their state. Through ALEC, corporations vote on "model" legislation with politicians behind closed doors. The special report focuses on ALEC's funding. Learn more at ALEC Exposed.

How Intrepid Netroots Activists Toppled Glenn Beck

Glenn Beck, cover of Time Magazine, September 2009On July 28, 2009, Glenn Beck called President Barack Obama a "racist" who has a "deep-seated hatred for white people, or white culture" in an appearance on the Fox News Channel morning show, Fox & Friends. Almost two years later, on June 30, 2011, he wrapped the final episode of Fox's The Glenn Beck Program.

What led to the demise of the firebrand's controversial television show? Everything from a sharp decline in ratings -- according to The New Republic, Beck's ratings fell from an average of 2.9 million in January 2010 to 1.8 million in January 2011, and Forbes' Rick Unger said his numbers represented the "steepest decline in all cable news programs" -- to political differences between Beck and the Fox team has been cited, but one important factor cannot be ignored.

Beck's vitriolic commentary forced Fox to take a hit where it hurts the most: its bottom line. But it would not have happened without a concerted effort by a number of groups and activists.

Rupert Murdoch's Big Newspaper Scandal

Media mogul Rupert Murdoch moved quickly to shut down one of his oldest media holdings -- a 168 year-old, best-selling weekly British tabloid newspaper called News of the World -- amid charges that the paper's journalists hacked into the telephones of Iraq and Afghanistan war veterans, murder victims and their families, and bribed police in exchange for information and tips. News of the World was Britain's best-selling Sunday newspaper. Its last issue will be this Sunday, and will not carry any commercial advertisements.

Murdoch dumped the paper at the same time his media empire, News Corp., is trying to win U.K. government approval to take over British Sky Broadcasting Group. News Corp bid US$12.5 billion for the British Sky Broadcasting, but the government has received more than 135,000 comments protesting the acquisition.

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