San Francisco Chronicle

Trump’s teams tackling deregulati­on have deep ties to industry

- By Danielle Ivory and Robert Faturechi

WASHINGTON — President Trump entered office pledging to cut red tape, and within weeks, he ordered his administra­tion to assemble teams to aggressive­ly scale back government regulation­s.

But the effort — a signature theme in Trump’s populist campaign for the White House — is being conducted in large part out of public view and often by political appointees with deep industry ties and potential conflicts.

Most government agencies have declined to disclose informatio­n about their deregulati­on teams. But the New York Times and ProPublica identified 71 appointees, including 28 with potential conflicts, through interviews, public records and documents obtained under the Freedom of Informatio­n Act.

Some appointees are reviewing rules their previous employers sought to weaken or kill, and at least two may be positioned to profit if certain regulation­s are undone.

The appointees include lawyers who have represente­d businesses in cases against government regulators, staff members of political dark money groups, employees of industry-funded organizati­ons opposed to environmen­tal rules and at least three people who were registered to lobby the agencies they now work for.

At the Education Department alone, two members of the deregulati­on team were most recently employed by procharter advocacy groups or operators, and one appointee was an executive handling regulatory issues at a for-profit

college operator.

So far, the process has been scattersho­t. Some agencies have been soliciting public feedback, while others refuse even to disclose who is in charge of the review. In many cases, responses to public records requests have been denied, delayed or severely redacted.

The Interior Department has not disclosed the correspond­ence or calendars for its team. But a review of more than 1,300 pages of handwritte­n sign-in sheets for guests visiting the agency’s headquarte­rs in Washington found that appointees had met regularly with industry representa­tives.

Over a four-month period, from February through May, at least 58 representa­tives of the oil and gas industry signed their names on the agency’s visitor logs before meeting with appointees.

The Environmen­tal Protection Agency also rejected requests to release the appointmen­t calendar of the official leading its team — a former top executive for an industry-funded political group — even as she met privately with industry representa­tives.

And the Defense Department and the Department of Homeland Security provided the titles for most appointees to their review teams, but not names.

When asked for comment about the activities of the deregulati­on teams, the White House referred reporters to the Office of Management and Budget.

Meghan Burris, a spokeswoma­n there, said: “As previous administra­tions have recognized, it’s good government to periodical­ly reassess existing regulation­s. Past regulatory review efforts, however, have not taken a consistent enough look at regulation­s on the books.”

Under the law, members of the Trump administra­tion can seek ethics waivers to work on issues that overlap with their past business careers. They can also formally recuse themselves when potential conflicts arise.

In many cases, the administra­tion has refused to say whether people the deregulati­on teams have done either.

Samantha Dravis, chairwoman of the deregulati­on team at the EPA, was a top official at the Republican Attorneys General Associatio­n. She was also president of the Rule of Law Defense Fund, which brought together energy companies and Republican attorneys general to file lawsuits against the federal government over Obama-era environmen­tal regulation­s.

The Republican associatio­n’s work has been criticized as a vehicle for corporate donors to gain the credibilit­y and expertise of state attorneys general in fighting federal regulation­s. Donors include the American Petroleum Institute, energy company Conoco-Phillips and coal giant Alpha Natural Resources.

The Republican associatio­n also received funding from Freedom Partners, backed by conservati­ve billionair­es Charles and David Koch. Dravis worked for that group as well, which recently identified regulation­s it wants eliminated. Among them are EPA rules relating to clean-water protection­s and restrictio­ns on greenhouse gas emissions.

Liz Bowman, an EPA spokeswoma­n, declined to say whether Dravis had recused herself from issues dealing with previous employers or their backers, or had discussed regulation­s with any of them.

“As you will find when you receive Samantha’s calendar, she has met with a range of stakeholde­rs, including nonprofits, industry groups and others, on a wide range of issues,” Bowman said.

Bowman said the calendar could be obtained through a public records request. ProPublica and the New York Times had already filed a request for records including calendars, but the agency’s response did not include those documents. (An appeal was filed, but the calendar has not yet been released.)

“We take our ethics responsibi­lities seriously,” Bowman said. “All political staff have had an ethics briefing and know their obligation­s.”

At the Energy Department, a member of the deregulati­on team is Brian McCormack, who formerly handled political and external affairs for Edison Electric Institute, a trade associatio­n representi­ng investorow­ned electrical utilities.

While there, McCormack worked with the American Legislativ­e Exchange Council, an industry-funded group. Both organizati­ons fought against rooftop solar policies in statehouse­s across the country. Utility companies lose money when customers generate their own power, even more so when they are required to pay consumers who send surplus energy back into the grid.

Though the Energy Department does not directly regulate electrical utilities, it does help oversee internatio­nal electricit­y trade, the promotion of renewable energy and the security of domestic energy production. After joining the department, McCormack helped start a review of the nation’s electrical grid, according to an agency memo.

Clean-energy advocates fear the inquiry will cast solar energy, which can fluctuate, as a threat to grid reliabilit­y. Such a finding could scare off state public utility commission­s considerin­g solar policies and serve as a boon for electrical utilities, said Matt Kasper, research director at the Energy and Policy Institute, an environmen­tal group.

Disclosure records show that while McCormack was at Edison, the trade group lobbied the federal government, including the Energy Department, on issues including grid reliabilit­y.

The department would not answer questions about McCormack’s involvemen­t with those issues.

Across the government, at least two appointees to deregulati­on teams have been granted waivers from ethics rules related to prior jobs, and at least nine others have pledged to recuse themselves from issues related to former employers or clients.

 ?? Jessica Griffin / Philadelph­ia Inquirer 2016 ?? President Trump, with son Donald Trump Jr. and daughter Ivanka Trump at the GOP convention last year, has engaged a number of industry insiders to help roll back regulation­s.
Jessica Griffin / Philadelph­ia Inquirer 2016 President Trump, with son Donald Trump Jr. and daughter Ivanka Trump at the GOP convention last year, has engaged a number of industry insiders to help roll back regulation­s.

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