Gifts Come In Even if Session Is Out

The Legislature was out of session all of last fall, but in the Capitol, gift giving remained in season.

Even as their lobbyists attempt to influence state government, California’s major companies reported spending tens of thousands of dollars on gifts to lawmakers and their staffs, ranging from a $3 breakfast at Starbucks to a $213-a-person dinner at Tavern on the Green in New York’s Central Park.

The gifts--as detailed in new quarterly statements filed with the secretary of state’s office--rolled in for lawmakers even though they were not meeting in Sacramento: airport parking worth $2,300, provided by the city of Los Angeles; Disneyland tickets; a round of golf; a jar of jelly beans on lawmakers’ birthdays; tickets to sporting events.

Even before he became Assembly Speaker, Cruz Bustamante (D-Fresno) had people lining up to get his ear, whether for breakfast or a day at the horse races or to provide him a memento. As he was poised to assume power, Pacific Gas & Electric Co. gave Bustamante and his chief of staff $10 cigars.

One gift to Bustamante stands out. After Bustamante spoke to Chevron Corp. officials last fall, he was given a gag gift: a $10 variety store voodoo doll poked full of pins.

“It obviously worked well,” joked Bustamante’s chief of staff, Dan Eaton, noting that since then Democrats have taken back control of the Assembly and his boss was elevated to the speakership.

Assembly Republican leader Curt Pringle, who lost the speakership, could have used some magic. Instead, the Garden Grove lawmaker received tickets to the magical kingdom of Disneyland from the Walt Disney Co. He also got a free lunch and a commemorative watch, but not a Mickey Mouse model, worth $111.

A decade ago, it was common for lawmakers to accept big-ticket speaking fees from big companies. But that changed with the eruption of a house-cleaning political corruption scandal and voter passage of a tough ethics measure in 1990 that banned speaking fees and imposed a gift limit.

In contrast to the heyday of gift giving, some lawmakers now post warnings on their Capitol office doors announcing to visitors that they don’t accept presents.

“There are many elected officials now who just want to avoid the appearance of any conflicts that might arise because they have received a gift,” said Ruth Holton, executive director of California Common Cause.

Still, for many lawmakers and aides, gifts are an accepted part of the way business is conducted at the Capitol. The gifts are visible signs of importance, a way to break the ice, say thanks or create goodwill.

“It helps in the lobbying business. It helps to grease the wheels. That’s why gifts are given,” Holton said.

Companies and lobbyists dismiss that assertion, describing gifts merely as small tokens of appreciation presented without strings. They note that gifts are allowed by law--as long as their worth doesn’t exceed the legal limit, currently $290 a year per source.

“Ninety percent of what we do is complimentary Disneyland tickets,” said Jeffrey Schwartz, director of government relations at the Walt Disney Co., which handed out $5,000 worth of gifts in the final quarter of 1996 to elected officials, many from Orange County. “If someone calls, we give them a gift. There’s no science to this.”

Other gifts are part of visits away from the Capitol.

Last fall, for example, a legislative delegation traveled to New York, where drug manufacturer Pfizer Inc. organized a tour of a Brooklyn pharmaceutical facility and efforts to revive a nearby neighborhood.

Later, the company paid for the delegation’s trip to Radio City Music Hall’s Christmas Spectacular and dinner at Tavern on the Green, costing a total of $257 per person.

Some companies say the gifts are not linked to their lobbying agenda.

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“We don’t use these as occasions to lobby. . . . Watching ice skating or a [Sacramento] Kings game is not the place to lobby,” said Albert Greenstein, a spokesman for Arco, the largest marketer of gasoline in the state.

For the final quarter of 1996, Arco reported spending $4,800 on gifts, mostly to legislative aides. Such gifts don’t count toward lawmakers’ limits.

Others say sports events are a way for lawmakers to connect with companies about their legislative concerns in Sacramento.

“It’s not just that I go out and have fun. I have discussions, conversations on important policy issues,” said David Takashima, an aide to Sen. Steve Peace (D-El Cajon) and a former lobbyist for Southern California Edison Co.

“It’s an opportunity to network and have discussions with decision makers,” said Takashima, who with his wife was a guest of San Diego Gas & Electric at a San Diego Chargers football game.

One gift-giving tradition is changing.

Since in 1933, USC has provided complimentary football tickets to state politicians as a courtesy to the Los Angeles Coliseum Commission. Jane Pisano, USC vice president for external relations, said the university is ending the practice and instead will provide some tickets directly to the commission.

“It didn’t make sense for us to be in the middle,” Pisano said. USC provided season tickets worth about $2,000 to nine lawmakers.

Horse racing outings are another popular sports gift.

Assemblyman Bob Margett (R-Arcadia), for example, went to Santa Anita Park as a guest of the Oak Tree Racing Assn. three times last fall, costing the racing group about $160 for admissions, valet parking and lunches.

Sherwood C. Chillingworth, Oak Tree executive vice president, said his group’s goal is to educate lawmakers. “We need to have more people in the Legislature aware of the horse racing business,” he said.

Margett said he has many friends in horse racing.

“Don’t forget that’s my hometown. I’ve been going to Santa Anita for years and years,” Margett said.

“The average citizen in my district has that access to me. . . . I’ve never refused seeing anyone,” Margett said.