City fires lobbyist firm
Turner objects to HillCo’s work for telecoms
The city of Houston has ended its relationship with a well-known lobbying firm in Austin after learning that it also represents cable and telecommunications companies pushing the Texas Legislature to eliminate millions of dollars in fees they pay to cities for using their right of way.
The decision to stop using HillCo Partners to lobby on Houston’s behalf comes amid Mayor Sylvester Turner’s increasingly vocal calls for state lawmakers to reject a bill that would limit the fees companies pay cities to lay cable and telephone lines.
HillCo lobbyists represent the Texas Cable Association and Charter Communications, Texas Ethics Commission records show.
Turner has asked Houston residents to lobby lawmakers against the bill, warning the city would lose $17 to $27 million in annual revenue if the bill becomes law. Asked whether the city has stopped using HillCo’s lobbying services over the apparent conflict, a mayoral spokesperson responded, “Yes.”
Bill Miller, a HillCo principal and the firm’s cofounder, declined comment earlier this week.
Texas Ethics Commission filings show HillCo represented the city through April 1.
“HillCo Partners is no longer representing the City of Houston during this session,” Bill Kelly, Houston’s government relations director, said in a statement. “The accomplishments between Houston and HillCo included landmark pension reform that has become a national model. Houston looks forward to continuing to work
on issues at the Texas Legislature during this session.”
Texas cities commonly hire lobbying firms to advance their interests and defend against legislation they view as unfavorable. For the 86th legislative session, which ends May 27, the city hired HillCo on a contract worth aas much as $662,000.
Turner spokeswoman Mary Benton said the city will continue to contract with other lobbyists. City employees from various departments also will continue to help the four-person government relations team as subject matter experts.
The bill — Senate Bill 1152 — has drawn intense criticism from Turner and the leaders of other cities, who say it would cut into general fund revenues used to fund public safety and many other day-to-day operations. They also note that the bill does not compel companies to pass savings on to customers.
The bill’s proponents, including its author, Republican state Sen. Kelly Hancock, say the legislation would eliminate what amounts to a double tax on companies who pay cable franchise fees and right-of-way access line fees, despite cable and phone services being transmitted over the same lines. The bill would eliminate the lesser of the two charges.
San Antonio officials also oppose the bill, though the city has not hired any lobbyists who also represent cable companies, Government and Public Affairs Director Jeff Coyle said.
Meanwhile, Hancock’s home city, North Richland Hills, is among HillCo’s clients who appear to still be using the firm’s lobbying services.
Such conflicts are not uncommon among large lobbying firms that may represent dozens of companies and industries, in addition to local governments.
During the last couple legislative sessions, the debate has escalated over the use of tax dollars for lobbying in Austin, with state Rep. Mayes Middleton, R-Wallisville, introducing a bill this session that would bar local entities from spending public money “to directly or indirectly influence or attempt to influence the outcome of any legislation pending before the Legislature.”
Benton declined to say whether the mayor, who represented Houston for 27 years in the Texas House, planned to become more personally active in Austin now that the city has cut ties with its primary lobbying firm. The mayor recently has shown signs that he is willing to use his connections in the Legislature.
On Wednesday, Turner declined to hold his post-city council news conference to travel to Austin on undisclosed business, and he penned an op-ed Tuesday in the Chronicle laying out his opposition to proposed property tax reform that would require cities, counties and other local entities to gain voter approval before increasing property tax revenues more than 2.5 percent above the prior year.
“Turner has been a salesperson for the city in the Legislature, there’s no question,” said Brandon Rottinghaus, a political science professor at the University of Houston. “The fact that he was part of the body and has relationships with so many members across the aisle, that gives him credibility.”