Donors Capital Fund

Koch Brother Fronts Flood into Kansas to Attack Wind Industry

Koch Brother Fronts Flood into Kansas to Attack Wind Industry

A recent flood of Koch-supported think tanks, junk scientists and astroturf groups from inside and outside of Kansas are awaiting the outcome of a bill this week that could stall progress on the growth of clean energy in Kansas.

Climate Crime SceneStates around the country, including Texas, Ohio, Missouri and North Carolina are poised to cut back on government support for clean energy jobs using model legislation from the American Legislative Exchange Council. ALEC, which brings companies together with state lawmakers to forge a wish list of corporate state laws behind closed doors, is coordinating this year’s assault on state laws that require a gradual increase of electricity generated by clean energy sources.

ALEC and a hoard of other Koch-funded interests operating under the umbrella of the State Policy Network have hit Kansas legislators hard with junk economic studies, junk science and a junk vision of more polluting energy in Kansas’ future. Koch Industries lobbyist Jonathan Small has added direct pressure on Kansas lawmakers to rollback support for clean energy.

This fossil fuel-funded attack ignores the good that wind energy has done for Kansas, a state known for its bipartisan support for its growing wind industry (see key report by Polsinelli Shughart). The state now has 19 operating wind farms that have brought millions to farmers leasing their land and millions more to the state, county and local levels (NRDC). The American Wind Energy Association says that Kansas wind industry jobs have grown to 13,000 with the help of incentives like the renewable portfolio standard.

Unfortunately, clean energy is not palatable to the billionaire Koch brothers or the influence peddlers they finance. All of the following State Policy Network affiliates (except the Kansas Policy Institute) are directly funded by the Koch brothers, while most of the groups get secretive grants through the Koch-affiliated “Dark Money ATM,” Donors Trust and Donors Capital Fund, which have distributed over $120,000,000 to 100 groups involved in climate denial since 2002.

Beacon Hill InstituteBeacon Hill Institute

  • $53,500 grant from Donors Trust in 2007
  • Koch-funded (Washington Post)
  • State Policy Network member

Based out of Suffolk University’s economics department, the Beacon Hill Institute wrote the fundamentally flawed analysis that ALEC is using to scare legislators into thinking that renewable portfolio standards will destroy the economy. In reality, electricity prices do not correlate with state RPS laws (see also Kansas Corporation Commission).

An extensive debunk of the Beacon Hill report was done by Synapse Energy Economics, and similar critiques can be read in the Portland Press Herald and the Maine Morning Sentinel, the Union of Concerned Scientists, the Nature Resources Defense Council and the Washington Post.

The definitive Post article confirms that the Beacon Hill Institute is Koch-funded. This may be through $729,826 in recent grants (2008-2011) from the Charles G. Koch Foundation to Suffolk University. The Kochs tend to send grants to economics departments, causing controversy at Florida State University and other schools over professor hiring processes.

Beacon Hill’s Michael Head co-authored the reports that ALEC and the State Policy Network are using in several states. Mr. Head specializes in STAMP modeling, a form of economic analysis that has been criticized for its limitations and poor assumptions in the case of energy analysis.

Michael Head testified before the Kansas legislature on February 14th to promote the flawed findings of his report. Mr. Head testified alongside members of the Heartland Institute, Americans for Prosperity and the Kansas Policy Institute (see more on each, below), all of which are members of ALEC and SPN.

American Legislative Exchange Council (ALEC): alec

ALEC is leading the nationally-coordinated attack on state renewable portfolio standards as part of an ambitious dirty energy agenda for the members of its anti-environmental task force, like Koch Industries, ExxonMobil, Peabody Energy, Duke Energy and other major oil, gas and coal interests.

ALEC’s “Electricity Freedom Act” is a full repeal of state laws requiring increasing electricity generation from clean sources, although in some states the model has morphed into a freeze of those targets rather than a full repeal. Kansas is one of those states.

The bills running through Kansas’ House and Senate are co-sponsored by legislators who are members of ALEC. The Senate Utilities committee sponsoring SB 82 has at least three  ALEC members and the House Energy & Environment committee that introduced HB 2241 has at least three ALEC members:

  • Senators Forrest Knox, Ty Masterson and Mike Petersen.
  • Representatives Phil Hermanson, Scott Schwab, and Larry Powell (member of ALEC’s anti-environmental task force that created the Electricity Freedom Act)

While it’s unclear if the lead House sponsor Rep. Dennis Hedke is directly affiliated with ALEC, he spoke directly with a Koch Industries lobbyist about the bill and has a close relationship with the Heartland Institute, which promoted one of his books.


The Heartland Institute:
heartland institute

Heartland is based in Chicago and perhaps best known for its billboard comparing those who recognize climate change with the Unabomber (for which they lost over $1.4 million in corporate sponsorship along with the “mutiny” of their entire Insurance department, now the R Street Institute).

The Washington Post reports that ALEC’s “Electricity Freedom Act” was created by the Heartland Institute. Heartland has long been a paying member of ALEC’s Energy, Environment and Agriculture task force along with Koch, Exxon and others. Citing the flawed Beacon Hill reports, Heartland has encouraged a repeal of Kansas’ clean energy incentives on its website.

Heartland lawyer James Taylor testified before the Kansas legislature in February, opining that the growth of Kansas’ clean energy sector is “punishing the state’s economy and environment.” James Taylor was flown into Kansas City for an Americans for Prosperity Foundation event intended to undermine the Kansas RPS law. The AFP Foundation is chaired by David Koch.

Americans for Prosperity:David Koch at AFP event

  •  State Policy Network member; ALEC anti-environmental task force member
  • Chaired by David Koch, founded by Koch executivesChairman

David Koch at an
Americans for Prosperity event

Americans for Prosperity was created by the Kochs with help from Koch Industries executive Richard Fink after the demise of their previous organization, Citizens for a Sound Economy (CSE), which split into AFP and FreedomWorks in 2004.

In addition to hosting an event against the Kansas RPS law featuring Heartland’s James Taylor, AFP’s Kansas director Derrick Sontag testified before the Kansas House committee on Energy and Environment. AFP’s Sontag urged for a full repeal rather than a simple RPS target freeze:

“We believe that HB 2241 is a step in the right direction, but that it doesn’t go far enough. Instead, AFP supports a full repeal of the renewable energy mandate in Kansas.”

Derrick Sontag apparently only cited a range of debunked studies (the “Spanish” study and the flawed Beacon Hill report) and information from Koch-funded interests like the Institute for Energy Research and “State Budget Solutions,” a project of several State Policy Network groups including ALEC and the Mercatus Center, a think tank founded and heavily-funded by the Kochs.

Kansas Policy InstituteKansas Policy Institute

The Kansas Policy Institute (KPI) has been the central coordinating think tank within Kansas as outside interests have backed ALEC’s attack clean energy laws. KPI co-published the debunked Beacon Hill Institute report that ALEC has used for its clean energy standard repeal in Kansas (see sources in Beacon Hill section above for debunking).

Kansas Policy Institute Vice President & Policy Director James Franko testified in the Kansas legislature alongside representatives of Heartland Institute, Americans for Prosperity and Beacon Hill Institute on Feb. 14 to weaken Kansas’s renewable portfolio standard.

Reasserting the false premise that clean energy standards substantially increase electricity prices, James Franko told the legislature’s Energy & Environment committee:

We have no objection to the production of renewable energy. […] Our objection is to government intervention that forces utility companies to purchase more expensive renewable energy and pass those costs on to consumers.

James Franko’s free market logic comes with the usual holes–no mention of the “costs” of coal and other polluting forms of energy that taint our air, water and bodies, nor any mention of how the government spends billions each year propping up the coal and oil industries.

After KPI’s Franko testified before Kansas legislators on February 14, KPI hosted a luncheon for legislators at noon on the same day. The luncheon, hosted at the Topeka Capital Plaza Hotel, featured Beacon Hill’s Michael Head. From KPI’s email invitation:

“Given the importance of this issue, we would like to invite you to join us for lunch on Thursday 14 February to hear from the author of a study we published last year exploring the costs and benefits of the Renewable Portfolio Standard (RPS). Not only will we be discussing KPI’s study but offering a review of different studies that have been presented to the Legislature.”

KPI has served as the glue for other State Policy Network affiliates entering Kansas to amplify the opposition to clean energy.

Chris Horner — Competitive Enterprise Institute & American Tradition Institute

Chris Horner is a senior fellow at CEI and the lead lawyer at ATI, a close CEI affiliate known for its litigious harassment of climate scientist Michael Mann alongside Virginia attorney General Ken Cuccinelli, who just worked with coal utility companies to kill Virginia’s renewable energy law. ATI was behind a leaked memo encouraging “subversion” among local groups opposed to wind energy projects.

Horner testified before the Kansas legislature on February 12 to encourage the false notion that the renewable energy portfolio standard is going to make consumer electricity bills skyrocket (again, there is no correlation between state RPS laws and electricity prices). He cited the long-debunked “Spanish” study, which Koch front groups have cited for years in attempts to undermine clean energy.

Horner is affiliated with several other Koch- and Exxon-funded State Policy Network affiliates such as the National Center for Policy Analysis and Tech Central Station (set up by DCI Group).

Grover Norquist and Americans for Tax Reform:Americans for Tax Reform

ATR president Grover Norquist wrote a Feb. 27, 2013 letter supporting the Rep. Dennis Hedke’s House bill shortly before the bill was kicked back into the House Utilities commission. This Kansas letter followed an ATR op-ed in Politico encouraging rollbacks of state clean energy incentives, claiming they are a “tax,” which is Norquist’s consistent tactic against anything the financiers of ATR don’t feel like supporting.

Junk scientists with Koch and Exxon ties:

Disgraced scientists Willie Soon and John Christy were flown in by Americans for Prosperity to assure state legislators that global warming isn’t a problem (it’s already a $1.2 trillion problem annually). Doctor’s Soon and Christy themselves directly funded by Koch or directly affiliated with several Koch-funded interests like the Competitive Enterprise Institute and Heartland.

Willie Soon in particular has a habit of conducting climate “research” on the Willie Soonexclusive dime of coal and oil interests over the last decade:

  • ExxonMobil ($335,106)
  • American Petroleum Institute ($273,611 since 2001)
  • Charles G. Koch Foundation ($230,000)
  • Southern Company ($240,000)

Dr. Soon’s questionable climate research now receives funding through the Donors Trust network–$115,000 in 2011 and 2012.

See Skeptical Science’s profile of John Christy for a through explanation of why he is not a credible voice in the scientific community studying climate change, using peer-reviewed climate research as refutation.

State Policy NetworkSPN

KOCH INDUSTRIES koch industries logo

  • Based in Wichita, Kansas
  • Operations in oil refining, oil and gas pipelines, fossil fuel commodity & derivatives trading, petrochemical manufacturing, fertilizers, textiles, wood and paper products, consumer tissue products, cattle ranching, and other ventures.
  • $115 billion in estimated annual revenue
  • 84% private owned between brothers Charles Koch and David Koch, each worth an estimated $34 billion (Forbes) to $44.7 billion (Bloomberg).
  • Member of ALEC’s anti-environmental task force
  • Associated foundations fund State Policy Network, ALEC, Heartland Institute, Americans for Prosperity, Beacon Hill Institute, Competitive Enterprise Institute, Americans for Tax Reform and Dr. Willie Soon.
  • Koch brothers founded Americans for Prosperity and helped establish the Heartland Institute.

The money trail of the out-of-state groups inundating Kansas with their sudden interest in killing the state’s incentives for wind energy leads back to the Koch brothers. While Koch Industries has deployed its own lobbyists to compliment the effort, the brothers who lead the company have tapped into their broader national network to aid the fight against clean energy in Kansas.

Charles and David Koch, the billionaire brothers who own Koch Industries, have spent over $67,000,000 from their family foundations on groups who have denied the existence or extent of global climate change, promote fossil fuel use and block policies that promote clean energy development.

The Kochs obscure millions more in annual giving through Donors Trust and Donors Capital Fund, which collect money from the Kochs and other wealthy corporate interests and pass it on to State Policy Network groups.

This video provides a visual overview of how the Koch-funded network amplifies unscientific doubt over climate science and blocks clean energy policies.  Please click here to watch.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
This article is written by Connor Gibson and is published at http://greenpeaceblogs.org/2013/03/11/koch-brother-fronts-flood-into-kansas-to-attack-wind-industry-report/

greenpeace

 

Secret funding helped build vast network of climate denial thinktanks

Anonymous billionaires donated $120m to more than 100 anti-climate groups working to discredit climate change science

Funding climate deniersnn :  Americans For Prosperity

Climate sceptic groups are mobilising against Obama’s efforts to act on climate change in his second term. Photograph: Justin Sullivan/Getty Images

(editor’s note:  this article refers to even more about members of the ALEC/Koch Cabal and their efforts to promote climate change denial)

How Donors Trust distributed millions to anti-climate groups

Conservative billionaires used a secretive funding route to channel nearly $120m (£77m) to more than 100 groups casting doubt about the science behind climate change, the Guardian has learned.

The funds, doled out between 2002 and 2010, helped build a vast network of thinktanks and activist groups working to a single purpose: to redefine climate change from neutral scientific fact to a highly polarising “wedge issue” for hardcore conservatives.

The millions were routed through two trusts, Donors Trust and the Donors Capital Fund, operating out of a generic town house in the northern Virginia suburbs of Washington DC. Donors Capital caters to those making donations of $1m or more.

Whitney Ball, chief executive of the Donors Trust told the Guardian that her organisation assured wealthy donors that their funds would never by diverted to liberal causes.
Koch Industries Executive Vice President David H. Koch : Funding climate chang deniersThe funding stream far outstripped the support from more visible opponents of climate action such as the oil industry or the conservative billionaire Koch brothers. Photograph: Chip Somodevilla/Getty Images

“We exist to help donors promote liberty which we understand to be limited government, personal responsibility, and free enterprise,” she said in an interview.

By definition that means none of the money is going to end up with groups like Greenpeace, she said. “It won’t be going to liberals.”

Ball won’t divulge names, but she said the stable of donors represents a wide range of opinion on the American right. Increasingly over the years, those conservative donors have been pushing funds towards organisations working to discredit climate science or block climate action.

Donors exhibit sharp differences of opinion on many issues, Ball said. They run the spectrum of conservative opinion, from social conservatives to libertarians. But in opposing mandatory cuts to greenhouse gas emissions, they found common ground.

“Are there both sides of an environmental issue? Probably not,” she went on. “Here is the thing. If you look at libertarians, you tend to have a lot of differences on things like defence, immigration, drugs, the war, things like that compared to conservatives. When it comes to issues like the environment, if there are differences, they are not nearly as pronounced.”

By 2010, the dark money amounted to $118m distributed to 102 thinktanks or action groups which have a record of denying the existence of a human factor in climate change, or opposing environmental regulations.

The money flowed to Washington thinktanks embedded in Republican party politics, obscure policy forums in Alaska and Tennessee, contrarian scientists at Harvard and lesser institutions, even to buy up DVDs of a film attacking Al Gore.

The ready stream of cash set off a conservative backlash against Barack Obama’s environmental agenda that wrecked any chance of Congress taking action on climate change.
Graphic-climate-denial-secret funding - guardian UKGraphic: climate denial funding

Those same groups are now mobilising against Obama’s efforts to act on climate change in his second term. A top recipient of the secret funds on Wednesday put out a point-by-point critique of the climate content in the president’s state of the union address.

And it was all done with a guarantee of complete anonymity for the donors who wished to remain hidden.

“The funding of the denial machine is becoming increasingly invisible to public scrutiny. It’s also growing. Budgets for all these different groups are growing,” said Kert Davies, research director of Greenpeace, which compiled the data on funding of the anti-climate groups using tax records.

“These groups are increasingly getting money from sources that are anonymous or untraceable. There is no transparency, no accountability for the money. There is no way to tell who is funding them,” Davies said.

The trusts were established for the express purpose of managing donations to a host of conservative causes.

Such vehicles, called donor-advised funds, are not uncommon in America. They offer a number of advantages to wealthy donors. They are convenient, cheaper to run than a private foundation, offer tax breaks and are lawful.

That opposition hardened over the years, especially from the mid-2000s where the Greenpeace record shows a sharp spike in funds to the anti-climate cause.

In effect, the Donors Trust was bankrolling a movement, said Robert Brulle, a Drexel University sociologist who has extensively researched the networks of ultra-conservative donors.

“This is what I call the counter-movement, a large-scale effort that is an organised effort and that is part and parcel of the conservative movement in the United States ” Brulle said. “We don’t know where a lot of the money is coming from, but we do know that Donors Trust is just one example of the dark money flowing into this effort.”

In his view, Brulle said: “Donors Trust is just the tip of a very big iceberg.”

The rise of that movement is evident in the funding stream. In 2002, the two trusts raised less than $900,000 for the anti-climate cause. That was a fraction of what Exxon Mobil or the conservative oil billionaire Koch brothers donated to climate skeptic groups that year.

By 2010, the two Donor Trusts between them were channelling just under $30m to a host of conservative organisations opposing climate action or science. That accounted to 46% of all their grants to conservative causes, according to the Greenpeace analysis.

The funding stream far outstripped the support from more visible opponents of climate action such as the oil industry or the conservative billionaire Koch brothers, the records show. When it came to blocking action on the climate crisis, the obscure charity in the suburbs was outspending the Koch brothers by a factor of six to one.

“There is plenty of money coming from elsewhere,” said John Mashey, a retired computer executive who has researched funding for climate contrarians. “Focusing on the Kochs gets things confused. You can not ignore the Kochs. They have their fingers in too many things, but they are not the only ones.”

It is also possible the Kochs continued to fund their favourite projects using the anonymity offered by Donor Trust.

But the records suggest many other wealthy conservatives opened up their wallets to the anti-climate cause – an impression Ball wishes to stick.

She argued the media had overblown the Kochs support for conservative causes like climate contrarianism over the years. “It’s so funny that on the right we think George Soros funds everything, and on the left you guys think it is the evil Koch brothers who are behind everything. It’s just not true. If the Koch brothers didn’t exist we would still have a very healthy organisation,” Ball said.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

 

This article is written by

Media campaign against windfarms funded by anonymous conservatives

Secretive funding network channeled millions to stop state governments moving towards renewable energy

Anti wind farm lobby :  near Shabbona, Illinois

The trusts, Donors Trust and Donors Capital Fund, served as the bankers of the conservative movement over the past decade, have funded a campaign against windfarms. Photograph: Alex Garcia/Getty Images

(editor’s note:  this article is describing the activities of groups involved in the ALEC/Koch Cabal)

 

Conservatives used a pair of secretive trusts to fund a media campaign against windfarms and solar projects, and to block state agencies from planning for future sea-level rise, the Guardian has learned.

The trusts, Donors Trust and Donors Capital Fund, served as the bankers of the conservative movement over the past decade. Promising anonymity to their conservative billionaire patrons, the trusts between them channelled nearly $120m to contrarian thinktanks and activists, wrecking the chances of getting Congress to act on climate change.

Now the Guardian can reveal the latest project of the secretive funding network: a campaign to stop state governments moving towards renewable energy.

The campaign against wind and solar power was led by a relatively new entity, the Franklin Centre for Government and Public Integrity. The Franklin Centre did not exist before 2009, but it has quickly become a protege of Donors Trust.

The Franklin Centre, headquarters barely one-tenth of a mile away from the nondescript Alexandria, Virginia town home of its funders, received $6.3m from the two funds in 2011. It was the second largest disbursement to any entity by the Donors that year, according to tax records.

The largesse to the Franklin Centre signals a shift in priorities for the conservative billionaires who are funding the anti-climate cause towards local and state-level organising.

The backers of the anti-climate cause have eased off in their support of DC-centric thinktanks, said Whitney Ball, the chief executive and president of Donors Trust. “They are not as prominent any more.”

Instead, it appears the donors are banking on an aggressive anti-climate media strategy, led by the Franklin Centre, to push back against climate action.

In 2011, Donors Trust helped the Franklin Centre expand its media operations to Illinois, Iowa, Missouri, Nebraska, Nevada, Ohio and Virginia, the Centre for Public Integrity reported in an investigation on conservative funding networks.

The Franklin Centre purports to be a hub for a network of “citizen journalists” and “watchdog” groups reporting from state capitals. It claims on its website to provide 10% of all daily reporting from state capitals across the country. It says it is on a mission to uphold a media culture of “transparency, accountability, and fiscal responsibility at the grassroots level”.

But the Pew Research Centre’s Project for Excellence in Journalism has ranked Franklin’s watchdog.org affiliates as “highly ideological”. Many of the media organisations listed on Franklin’s website as affiliates are ultra-conservative groups.

Among them are several that have been active in the past year or two to stop the expansion of solar power and windfarms.

In North Carolina, the two Franklin affiliates, the John Locke Foundation and the John W Pope Civitas Institute, also led effort for a ban on the term “sea-level rise”. The state legislature eventually voted in June last year to bar state agencies from taking into account future sea-level rise in development planning.

The groups have also led opposition to offshore wind development in North Carolina, organising workshops against windfarms.

Another Franklin affiliate, the New Jersey Watchdog, pushed for the state to drop out of a regional emissions cutting programme.

Other Watchdog affiliates have cast doubt on the link between extreme weather and climate change.

CPI found multiple ties between the Franklin Centre and groups such as Americans for Prosperity, which has been funded by Donors Trust as well as the conservative oil billionaire Koch brothers. Some of the Franklin Centre’s blogs have received funds from AFP. There was also cross-over of board members in the two groups.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

The article was written by, US environment correspondent for the guardian.co.uk,