ALEC’s Corporate Membership Exodus Continues

by bob sloan

The past month has been one of great disappointment to the American Legislative Exchange Council – commonly referred to as “ALEC”. Since late August corporate giants, Microsoft, Google, Facebook and YELP have each announced they have already left or are soon dropping their membership in ALEC.

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These latest desertions of the conservative bill mill are due to the “Council’s” position on renewable energies, model legislation to reduce government oversight of renewable energy standards and denial of climate change. Each of these huge multi-national companies now support renewable energy sources and have dedicated huge sums to that goal. ALEC’s position regarding energy is exactly opposite that of these corporations, presenting corporate administrators with the dilemma of belonging to and helping fund an organization which openly conflicts with their publicly stated goals.

The issue of renewable energy has resulted in these newest withdrawals from ALEC in a similar manner to what happened regarding the pursuit of “Stand Your Ground” laws by ALEC. With the death of Trayvon Martin and the exposure of ALEC pursuing proposals of similar laws nationwide, corporations and legislators alike began to leave ALEC in ever larger groups back in 2012.

This brings the total number of corporate members ALEC has lost over the past 36 months to 80 -/+. It isn’t just the loss of a member that impacts upon ALEC, it is the loss of revenue from such desertions. In addition to the $7,000 to $25,000 annual membership fees these individual companies fork out, there is an additional price paid to “sit” upon one of ALEC’s nine Task Forces. Each seat is expensive and companies can purchase more than one seat, enabling them to have a larger “voice” and more votes upon proposed legislation. A seat upon the International Relations task force runs as much as $10,000 each and again, companies with an eye upon international influence can purchase as many seats as it can afford.

In addition to the foregoing costs to corporations, there are additional expenses incurred…such as hosting events at one or more of ALEC’s annual meetings, seminars or “summits”. Sponsorship for such events sometimes can cost each “sponsor” up to $50,000 – $75,000. There is also a legislative “slush fund” companies are expected to “donate” or “contribute” to annually. This account is known as ALEC’s “Scholarship Fund” with that money going toward paying travel, meals, housing and similar expenses incurred by state lawmakers attending the various ALEC events. At those events the same “sponsors” wine and dine the legislators with additional funds. This “Scholarship” scheme allows corporations to directly contribute without knowing specifically which lawmaker their “contribution” benefited.

VLTP has continuously called on activists and ALEC critics to concentrate their efforts upon ALEC FIRST…eliminate the enabler of Koch and their ilk and prevent any more “model bills” coming forth from ALEC before going after the brothers Koch. This energy issue demonstrates once again that all of this horrible, single ideological designed legislation emanates from ALEC and will continue to be introduced in our state legislatures until they are stopped. First stand your ground, now energy…and many seem to have forgotten that voter suppression, voter ID, SB 1070 and dozens of other single issue “bills”…originated within ALEC and will continue to do so until they are shut down entirely. Once that is done, the Koch cabal can “wish in one hand and”…well you know the rest of that saying.

Now is the time to put the pressure upon your state lawmakers, favorite companies and others to withdraw from ALEC if members, and help encourage others to quit if they aren’t. Write to your congressmen and women and ask them to investigate ALEC for their lobbying and involvement in crafting state laws. Encourage the IRS to continue to investigate ALEC’s non-profit filing status to help us shut them down.

With the continuing loss of corporate memberships (which currently provide ALEC with more than 90% of their annual income), ALEC has had to begin cutting corners. Their usual three day events have begun lasting only two days…four day events three or less, etc. Less money available to pay for lawmaker attendance results in fewer Legislators attending each of ALEC’s functions. At every event protesters and activists now attend and demonstrate against ALEC and their lobbying our lawmakers and ask companies to leave them.

We can only hope the exodus continues and other companies, corporations, foundations and non-profits we have been asking to leave ALEC will finally do just that. Outfits such as: State Farm Insurance, PhRMA, AT&T, Eli Lilly, Chamber of Commerce…and hundreds of others.

Once ALEC ceases to exist as a bill mill proposing legislation for radical conservative ideologies. we can then truly concentrate on going after the giant financials funding those efforts…and the hired gun non-profits doing their work…like the Koch family foundations and their controlled organizations: Americans For Prosperity, the Institute for Humane Studies, Heritage Foundation, Cato Institute, Citizens for a Sound Economy, Institute for Justice, George Mason University (provides free seminars for teaching judges), Foundation for Research on Economics and the Environment (FREE – also provides all expense paid seminars for judges and state officials), Federalist Society, Reason Foundation and dozens of others.

Of all the organizations, foundations, institutes and non-profits owned, directed and/or funded by the Kochs, ALEC provides some of the best returns for brothers Charles and David by giving them a way to make their brand of free-market fundamentalism legally binding. Help us close this important avenue to the Koch’s and their huge cabal.

ALEC’s days of hiding in the shadows are long gone. We all now know who they are, what they are and why they are such a danger to our way of democracy…and that they are owned lock, stock and law by the Koch brothers.