How to Bring Power Brokers into a Government Ethics Program

The situation of Rose Pak, a power broker for San Francisco's Chinese-American
community who was featured a week ago in <a href="http://www.nytimes.com/2011/11/12/us/rose-pak-a-chinatown-power-broker-…; target="”_blank”">a
New York <i>Times</i> article</a>, raises some interesting
questions. A paid consultant to the Chinese Chamber of Commerce, she
has never held public office. Nor has she ever registered as a
lobbyist or been an official member of a campaign, even that of the
Chinese-American man who was just elected mayor, Edwin Lee.
According to the article, she has mobilized Chinese votes,
volunteers, and contributions for a succession of mayors and city
supervisors in return for city financing of social programs and
building projects in Chinatown. She also helps Chinese-Americans get
appointments in the city government, most notably Lee's appointment
as interim mayor (he had been the city administrator).<br>
<br>

Some say that Pak is an unregistered lobbyist who trades her
influence in the Chinese-American community for donations to groups
she controls. Others say she is an effective broker of interests and
important to the operation of the city. She is helping her community
and receives no benefits herself.<br>
<br>
That's what makes her case so interesting: she's not in it for the
money. For example, a primary role of hers is as an unpaid board
member of the Chinese Hospital, where she is in charge of
fundraising for a new $160 million facility.<br>
<br>
She may not be in it for the money, but the nonprofits are. A
politicial consultant is quoted as saying, “It’s well known that if
you have a controversial development project, you get Rose Pak on
your side,” and make payments to the Chamber of Commerce (for which
Pak works) and other nonprofits. And it is also the Chinese-American
nonprofits, such as Chinatown Community Development Center, which
provides low-income housing, that provide numerous volunteers for
political causes that benefit the community, which often means the
nonprofits themselves.<br>
<br>
And although Pak does not get financial benefit directly from what
she does, elected officials do. According to a former president of
the city's legislative body, she has given presents and invited
politicians and business leaders, including the legislative
president and his wife, on delegations to meet senior leaders in
China. “What I didn’t realize at the time," the legislative
president said, "was that I was being lobbied.” He realized this
when a major San Francisco contractor was flown in to have dinner
with him in Hong Kong.<br>
<br>
Apparently, if you want Pak's support, you have to pay for it (essentially pay to pay from outside government). She
does not benefit monetarily, at least not directly, but she does
benefit personally and sometimes indirectly, through the Chinese
Chamber of Commerce. There are no quid pro quos, no bribes or
kickbacks. The gifts are not clearly from a restricted source. She may not technically be a lobbyist (I
don't know how she explains her position with the Chamber of
Commerce) or a restricted source, so she doesn't have to register or follow the rules.<br>
<br>
She
falls between the cracks, and she is far from alone in doing this.
There are power brokers in cities and counties across the country,
even in towns, who receive no direct financial benefit and do not represent
anyone in particular, but who make all sorts of deals, many of which
give them increased power over decisions and appointments, without
any accountability or transparency, and without participating in any
way in the ethics program.<br>
<br>
Assuming that it cannot be determined that a power broker fits a traditional role, such as lobbyist or restricted source, how can an ethics program deal with an individual such as this?
You have to think outside the box a bit. A power broker
cannot be required to register as a lobbyist and file disclosures,
but she can be asked. She cannot be required to take ethics
training, but she can be asked. She cannot be required to request
ethics advice, but it can be suggested to her that, whenever a
transaction she participates in might create an appearance of
impropriety, she ask for ethics advice and follow it.<br>
<br>
The ethics
commission may not have jurisdiction over her, but it can be made
clear to the officials and restricted sources she deals with that if
there is a problem, they will be the ones who are brought before the
ethics commission. And that especially if she does not cooperate
with the ethics commission's requests, her transactions will be
closely watched. And it can be made clear to her that if there are enforcement proceedings, it will look bad for the community she represents.<br>
<br>
It's important to remember that government ethics is not just about
laws. The fact that an important individual falls between the cracks
of the law does not mean that she has to fall between the cracks of
an ethics program.<br>
<br>
By the way, for those who have been wondering why I've been writing
so few blog posts, it's because I'm spending my days writing a book
on local government ethics. I'm getting close to the end of my first
draft. The book will be available early next year, as a free e-book.<br>
<br>
Robert Wechsler<br>
Director of Research-Retired, City Ethics<br>
<br>
203-859-1959