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Wednesday, July 28, 2004
Corporate dollars quietly help underwrite festivities
BOSTON -- The big corporate patrons at the Democratic National Convention insist that their money comes with no strings attached.
Microsoft Corp. gave $1 million in software "to help Democrats put on a state-of-the-art convention," spokeswoman Ginny Terzano said. Nothing more. "If you're looking for access, Boston is not the place to get it done."
Critics aren't so sure. "This is not done out of the goodness of their hearts. It's an investment, a business investment, and they expect a return on that investment," Larry Noble, a campaign finance expert for the non-partisan Center for Responsive Politics, said of such corporate contributions.
Whatever the truth, corporate money has flowed to Boston in a heavy torrent, underwriting the nuts and bolts of the convention, such as communications, along with extravagant parties away from the convention hall and even a hospitality suite by BellSouth serving free food and drinks to the reporters covering the convention.
Despite all the money, corporate fingerprints aren't always easy to find.
Inside the FleetCenter arena, where delegates are meeting this week, the only corporate signs and logos displayed are those promoting media outlets.
Standard sports arena signage inside the pavilion -- for things such as banks or fast-food restaurants -- has been removed or is covered by the stage.
The single mention of the array of companies that have donated cars, computer software, cell phones, airplane tickets and other services to Democrats is a simple banner in an escalator well.
But two government watchdog groups contend that the contributions, along with lavish parties thrown by the sponsors and other companies, unduly influence the political process in violation of the spirit of Federal Election Commission regulations.
One of those groups, the Center for Public Integrity, released a series of reports this month chronicling what the organization views as abuses of federal law.
The other, run by Noble, has similar concerns about corporate money and political conventions.
Other major corporations sponsoring the Democrats' party include General Motors, United Airlines, Verizon and Hewlett-Packard.
Campaign finance laws limit how corporations and labor unions may spend money on federal elections, but interpretations of those rules by the Federal Election Commission have allowed for donations by companies to convention host committees.
This convention is costing $95 million, up about $10 million since the last presidential election. Taxpayers fund $15 million of that for each party, and the Department of Homeland Security gave Boston and New York City, where the Republicans will meet, $25 million each for security.
Microsoft is the official software provider for the convention, donating $1 million in software and technical support for the four-day event, Terzano said.
"Our focus is to help the parties put on a first-rate, state-of-the-art convention," Terzano said, noting that Microsoft is giving similar support to the Republicans in New York City.
Any charge of improper influence is unfounded, Terzano said.
Lawrence Winnerman, a delegate and Queen Anne resident, was disappointed that corporate sponsorship has crept in.
"It struck me as odd that something this overtly political has the same flavor of corporate naming rights as everything else has," Winnerman said.
But some delegates said they were struck by the lack of corporate overtones in the hall.
"If it's here, it's not evident," said Patsy Whitefoot, a delegate from White Swan on the Yakama Indian Reservation. "You go to other conventions, and they are heavy on that. They all give acknowledgment to the sponsoring corporations."
That's exactly the intent, Noble said, adding that the "IBM Democratic National Convention" likely would not be well received.
The real places of influence are the myriad parties, by one count more than 200, that are thrown by organizations such as Planned Parenthood, the American Gas Association, Time Warner and the AFL-CIO.
The parties usually offer vast spreads of food and free-flowing, top-shelf liquor.
Microsoft threw such a party for the Washington state delegation, but many delegates left the event hungry and grumbling, according to one attendee. Most had not eaten since early in the afternoon and were offered only cheese and crackers at the party.
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