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Title Report data

2010 annual report


Building a
better Washington
Advancing the public trust
1 2 3 4 5 6 7 8

Collaboration
Transparency

Many Americans have given


up on our political system,
Section 6

Section 7

writing off our elected leaders


as crooks. At CREW, we
Investigations

believe politicians must be held


accountable for their actions.
Ethics
Section 5
Section 4

Day in and day out, we work to


ensure government officials—
regardless of party affiliation—
Campaign

act with honesty and integrity


Legal
Section 3
Section 2

and merit the public trust.


Vision

© Lee Lorenz/The New Yorker Collection/www.cartoonbank.com.


Section 1
Section

1 Summary Statement
Activities for the 12 Months Ended
December 31, 2009

Revenue
Total Revenue & Support $2,240,793

Expenses
CREW accomplishes this by marrying
Education
in-depth research and investigation (Research & Communications) 1,158,697
with hard-charging legal action and an Legal 605,926
aggressive communications strategy. Ethics Watch Colorado 310,258
We augment these efforts by building Total Program 2,074,881
coalitions to push for policies favoring General Administrative 369,114
transparency and accountability. To Development 151,496
garner support for our efforts, we use all Total Expenses 2,595,491
mediums of the modern media—television, Change in Net Assets (354,698)
radio, print, and social networking—to Net Assets, Beginning of Period 3,250,406
maximize coverage of our work.
Net Assets, End of Period 2,895,708
It’s always easier to tear something down
than to build it up, and building a better Development 6%
Washington is no different. CREW firmly General Administrative 14%
believes, however, that a small group of
committed citizens can change the world;
Total Program 80%
it is the only thing that ever has.

The above information should be read in conjunction with CREW’s financial statements for
the 12 months ending December 31, 2009 from which the summarized information is derived.
Demanding action Section

2
Avoiding Judicial Review
The dysfunctional FEC is
failing to fulfill its mission

The dysfunctional Federal Election


Commission often takes years to
act on campaign finance violation
complaints. Even when it does reach
a decision, the agency frequently The Department of Justice has
fails to provide the legally required launched several significant public corruption
60 days’ notice of when and why
it has dismissed a complaint. Frus- investigations over the past few years.
trated by the FEC’s obvious efforts
to avoid enforcing the law, CREW Nevertheless, prosecutions of lawmakers
sued, alleging the commission has
a policy and practice of dismissing have been few and far between. DOJ recently
complaints in order to avoid judicial declined to prosecute former House Majority
review of its decisions. In this post-
Citizens United era, the FEC’s refusal Leader Tom DeLay, despite the luxury travel,
to fulfill its mission presents an
even greater danger that it will meals, and tickets he received from Jack
be considered optional to follow
campaign finance laws. Abramoff in return for legislative favors.
Similarly, following the guilty plea of the
founder of the PMA Group, Paul Magliocchetti,
to making illegal conduit campaign
contributions, DOJ ended its investigation
into a possible pay-to-play scheme between
the lobbying firm and members of the House
Defense Appropriations Committee. CREW
wants to know why Mr. DeLay and the
members of Congress implicated in the PMA
scandal walked away clean so we filed Freedom
of Information Act (FOIA) requests for records
in both cases. The American people deserve
Used with the permission of Adam Zyglis and The Buffalo News .
to learn the truth about these scandals.
Jack Abramoff After Alex 1 2 3 4 5 6 7 8
Gibney, the Oscar®-winning
director of Casino Jack and the
United States of Money, revealed
to CREW that the Bureau of Corporate Secrecy CREW
Prisons blocked Jack Abramoff filed an amicus brief before
from participating in the movie the Supreme Court in AT&T v.
about him, CREW submitted FCC, arguing that the Freedom
a FOIA request for records of Information Act does not
regarding how the Department afford corporations privacy
of Justice handled requests to rights. Finding a corporate right
interview Mr. Abramoff. When to privacy under the statute

6 Number of years of DeLay Investigation


DOJ stonewalled, CREW sued would deny the public access
to discover who wanted to keep to records concerning a wide
him quiet. range of public health, safety,

0 number of Charges against DeLay


and welfare issues just because
Domestic Violence CREW sued corporations might be subject
the Army for failing to produce to public embarrassment.
data of acts of domestic violence
committed by soldiers. We Speech or Debate CREW filed
learned the Depart­ment of an amicus brief on behalf of
Defense (DOD) does not track the government in its prosecu-
acts of domestic violence, tion of former Rep. Rick Renzi
despite promising Congress (R-AZ) before the Ninth Circuit
to do so. CREW is working with Court of Appeals. CREW
Rep. Carolyn Maloney (D-NY) argued Rep. Renzi’s expansive
to push the DOD to take this view of the Speech or Debate
problem seriously. Clause of the Constitution,
which prohibits the government
Honest Services CREW filed an from using legislative material

Crew Fact

Crew Fact
amicus brief before the Supreme against a member of Congress,
Court in U.S. v. Black, arguing would render lawmakers
in favor of the constitutionality immune from prosecution
of the honest services fraud for abusing their positions
statute—a key prosecutorial tool for personal financial gain.
fighting public corruption. Since
the Court held most uses of the
charge unconstitutional, CREW
has worked with congressional
staff and DOJ to craft a revised
statute that would withstand
judicial scrutiny.
Legal
New Year,
New Congress,
New Website!
Section 2

Seen here for the first time,


the new citizensforethics.org
will allow CREW to better
engage supporters and
reporters across all media
platforms and significantly
increase online engagement.

3
The 2010 Election
1 2 3 4 5 6 7 8

Section

3
1,508,725,203 Total Media Impressions

From an unemployed man who lives


with his dad to an unemployed former witch
who stole money from her campaign, 2010
left Americans with some unfortunate choices
<. 1 ¢ Cost per media impression

at the ballot box, at a cost of almost $4 billion.


For the first time ever, CREW expanded
the reach of our anti-corruption campaign,
highlighting the Most Crooked Candidates in
America, in the hope these aspiring politicos
wouldn’t grow up to one day become our
Most Corrupt Members of Congress. Thankfully,
two didn’t make it past their primaries,
Crew fact

Crew fact

and seven ended up losing on Election Day.


Nevertheless, five survived, meaning it will
be up to CREW to keep an eye on them
because, as we’ve seen, members of Congress
refuse to police themselves.
Campaign
Section 3

4
Strength
in Numbers
Lying and Stealing
Using the latest in online CREW breaks story on O’Donnell’s
technology, thousands of illegal use of campaign funds
people came to CREW’s
website to sign a petition
calling for Ms. O’Donnell
to be prosecuted.
The political world was shocked when
Christine O’Donnell beat well-respected
Rep. Mike Castle in the Delaware
Repub­lican primary to become a nomi-
nee for the Senate. Shortly thereafter,
CREW revealed Ms. O’Donnell had
been illegally using campaign funds
to finance her personal life.

CREW located former O’Donnell


campaign staff member David Keegan,
Fix the FEC CREW took to who explained that Ms. O’Donnell had
the Huffington Post to demand used campaign funds to pay her rent
changes at the FEC. In his first and other expenses. Consequently,
two years in office, President CREW filed complaints with both the
Obama nominated only one per- Demanding Oversight Almost Delaware U.S. Attorney’s Office and
son to the commission, and he $4 billion was spent on political the Federal Election Commission,
withdrew from consideration, ads this campaign, much of it by alleging Ms. O’Donnell had stolen her
unable to win Senate confirma- shadowy nonprofit groups that campaign funds and lied on financial
tion. As a result of the inaction, don’t disclose their donors. disclosure reports.
three commissioners with Sen. Max Baucus (D-MT)
expired terms continue to serve, called on the IRS to investigate, CREW’s Melanie Sloan appeared
one of whom, Don McGahn, is but CREW reminded Sen. extensively on national television
Tom DeLay’s former campaign Baucus that he didn’t have to and radio, and wrote an Op-Ed in
finance lawyer. defer: As chairman of the Senate the Wilmington News Journal about
Finance Committee, he has the the case. Additionally, more than
Tax Status Abuse CREW authority to investigate these 3,000 people signed CREW’s petition
called for the Internal Revenue groups himself. to U.S. Attorney David Weiss, calling
Service to investigate the “Pray for a criminal investigation into
in Jesus Name Project,” which Shady Campaign Finances Ms. O’Donnell’s financial activities.
was distributing so-called voter CREW filed a complaint with
guides to churches across the the FEC alleging four candi-
country and encouraging clergy dates in the South Carolina
to politick from the pulpit, in Democratic primary—Senate
violation of tax law. The guide nomination winner Alvin
classified candidates as “anti- Greene, as well as Gregory
Jesus” or “faith friendly.” Brown, Ben Frasier, and Brian
Paradoxically both Sen. John Doyle, plus their campaign
Ensign (R-NV) and Sen. David committees—violated campaign
Vitter (R-LA) were classified finance laws by failing to file
as the latter. disclosure reports prior to
the election. All candidates,
even inexperienced ones,
have to f­ ollow the same rules.

Used with the permission of Dave Granlund.


Exposing political corruption Section

In 2008 , the House of Representatives


created the Office of Congressional Ethics
Misuse of Taxpayer Resources (OCE) in response to the apathetic response
Law-breaking Senate staffer finally
of the House Ethics Committee to scandals
departs after CREW reveals crimes
involving Jack Abramoff’s undue influence over
legislators, Rep. Duke Cunningham’s symbiotic
Keeping an eye on Sen. David Vitter relationship with defense contractors, and
(R-LA), CREW discovered one
of Sen. Vitter’s longtime staffers, Rep. William Jefferson’s freezer full of cash.
Brent Furer, had brutally attacked
his girlfriend with a knife and The OCE has taken a strong stance against
threatened to kill her. Mr. Furer, misconduct by lawmakers of both parties, yet
who handled women’s issues,
resigned only after we exposed it is precisely because the office has been so
the incident, and the senator
admitted to knowing about it. aggressive that members on both sides of the
This wasn’t Mr. Furer’s only run-in aisle are eager to see it shut down. So in lieu
with the law. CREW discovered of a sixth annual report on the Most Corrupt
convictions for DUI and cocaine
possession and learned he had Members of Congress, CREW released its
traveled at taxpayer expense to
meet court obligations stemming Most Corrupt: Unfinished Business. This report
from the DUI. As a result, CREW
filed an ethics complaint against details the failures of the congressional ethics
Sen. Vitter, alleging misuse committees and highlights the contrasting
of Senate resources. This was
CREW’s second complaint against successes of the OCE. Ethics is sure to remain
the senator. In 2007, we alleged
he had violated Senate rules an issue in the 112th Congress. After all, it is not
by soliciting for prostitution.
about red or blue; it is about right and wrong.
Shady Deal CREW filed a
complaint with the OCE against 1 2 3 4 5 6 7 8
Rep. Gregory Meeks (D-NY)
after discovering he received a
$40,000 “loan” from a business-
Scholarship Scandal Rep.
man that he’d failed to include
Eddie Bernice Johnson (D-TX)

426 Number of alleged violations by those members


on his financial disclosure forms.
misappropriated Congressional
The loan had no interest rate
Black Caucus Foundation
or payment schedule, and Rep.
scholarship funds intended

56 Number of Members named to Most Corrupt


Meeks repaid it only after the
for students from her district
FBI questioned it. Rep. Meeks’
or those attending school in
explanation for the money:
her district with at least a
“It’s taking care of things for my
C+ average, funneling money
family needs in the house.” (sic)
instead to her relatives and the
children of her district director.
The Family CREW filed
CREW Executive Director
complaints with the OCE and
Melanie Sloan discussed the
the Senate Ethics Committee
scandal on CNN’s AC 360, and
against members of Congress
met with foundation officials
who live at the C Street House,
to discuss revamping the
a boardinghouse run by the
scholarship program.
shadowy religious organization
referred to as “the Fellowship,”
Bad Deal CREW filed a com-
or “the Family.” CREW alleged
plaint with the OCE against
that by accepting below-market
Rep. Nathan Deal (R-GA), after
rent, as well as housekeeping
discovering he used taxpayer
and meal service, members of
resources in attempting to
Congress violated House and
influence Georgia state officials
Senate gift rules.
to preserve his auto salvage
business. Rep. Deal also failed

Crew Fact

Crew Fact
Family Affair Embattled Sen.
to disclose business income on
John Ensign (R-NV) is blaming
his financial disclosure forms,
CREW for his troubles as a way
leading the Department of
to solicit money for his legal
Justice to investigate. Rep. Deal
defense fund. Sen. Ensign is
resigned from Congress to avoid
being investigated by both the
sanctions, but his legal troubles
Department of Justice and the
will follow him to the Georgia
Senate Ethics Committee for his
governor’s mansion.
reprehensible conduct related to
his efforts to cover up his affair
with his chief of staff’s wife, who
also was his campaign treasurer. Ethics
Used with the permission of Clay Bennett, the Washington Post Writers

Section 4
Group, and the Cartoonist Group. All rights reserved.

7
Uncovering the truth
1 2 3 4 5 6 7 8

Section

5
24  Most Corrupt members serving in the 112th congress

8 who have been subjects of federal investigation

CREW’s ongoing Pork Parade project


spotlights members of Congress who blatantly
use earmarks to benefit campaign donors and
the former staffers who lobby for them. In July,
a CREW investigation reported by Politico
revealed Sen. Richard Shelby (R-AL) has
steered more than $267 million in earmarks to
clients of his former staffers-turned-lobbyists.
In an amazing coincidence, those earmark
recipients have donated almost $1 million to the
senator’s campaign committee and leadership
PAC since 1999. Separately, CREW also found
Crew fact

Crew fact

Rep. Duncan D. Hunter (R-CA) requested tens


of millions of dollars in earmarks for his largest
campaign donors, including one for a company
founded by his uncle. Many of those benefitting
Investigations

from Rep. Hunter’s largesse had hired lobbyists


who previously worked for Rep. Hunter’s father,
former Rep. Duncan L. Hunter, maintaining
the Washington tradition of buying access.
Section 5

8
Casino Jack

Alex Gibney’s documentary,


CASINO JACK and the United
States of Money, is about public
corruption and the influence
of money in our political system.
Whose Money Is It?
CREW’s executive director,
CREW exposes leaders of groups
Melanie Sloan, is featured
pouring funds into our elections
throughout the film, which
explores the nefarious exploits
of former lobbyist Jack Abramoff.

After the disastrous Citizens United


decision that allowed corporations
to pour massive amounts of money
into our elections, CREW began
Worst Governors CREW
extensively investigating who is
released its first-ever Worst
funding these shadowy groups. We
Governors report, profiling 11
exposed the money behind “Revere
governors who have champi-
America,” which more accurately
oned their cronies’ and their
might be called “Revere Pataki,” as the
Influence Peddling CREW own bank accounts over their
former New York governor serves as
published a study showing states’ best interests. The
its chairman and front man. The group
freshmen on the House report features an index of
spent millions of dollars on races in
Financial Services Committee outrageous statistics, including
New York and New Hampshire (also
raised more than their peers, Georgia Gov. Sonny Perdue’s
home to the first presidential primary).
by a staggering 55 percent. $2,400 private plane ride to a
Pulling the financial strings was Parker
Significantly, much of that NASCAR race 30 miles away
Collier, a wealthy Florida real estate
money came from the very and Nevada Gov. Jim Gibbons’
developer with no obvious ties to the
industry the committee should 867 state-billed text messages
northeast, who is the group’s main
be monitoring. Members of to his “alleged” mistress over
backer and whose employees serve as
Congress only have one thing a six-week period.
the group’s directors. CREW’s findings
to sell—influence—and fresh-
were featured in both the Washington
men members on the Financial Secret Holds CREW reviewed
Post and the Huffington Post and
Services Committee have found the Senate Calendar of Business
disseminated across the blogosphere.
buyers willing to pay top dollar. to reveal that several bills and at
least 80 executive branch nomi-
Pay to Play Industries newly nations had been the subject of
facing congressional scrutiny secret holds, despite the alleged
typically ramp up their previ- ban on the practice in 2007 eth-
ously nonexistent Washington ics reform legislation. As a result,
profiles. In 2010, CREW CREW also asked the Senate
discovered the debt settlement Ethics Committee whether law-
industry, Facebook, and makers violated Senate rules by
the high-frequency trading failing to comply with the ban.
industry have joined the ranks
of defense contractors and Exposing Oz CREW exposed
Wall Street banks by hiring those behind American Prin-
lobbyists, making strategic ciples in Action, a nonprofit
campaign contributions, and that ran political ads in the
engaging in expensive PR California Senate race. CREW
campaigns, all designed to revealed the group’s ties to a
better influence lawmakers. network of conservatives with
a history of creating sophis-
ticated grassroots campaigns
behind social initiatives, such
as the controversial “Marriage © The Rocky Mountain News/Distributed by

Protection Act.” United Features Syndicate, Inc.


Open Government
1 2 3 4 5 6 7 8

Section

6
13,153 Sets of documents obtained by the FOIA

How well is the FOIA working at


488,189 Online hits on those documents

federal agencies? CREW decided to find out


by sending a questionnaire to FOIA officials
across the federal government. The responses
shared a common thread: There is neither
enough funding nor staff to deal with all the
requests they receive. Additional problems
include political interference in the processing
of requests and a lack of training. CREW also
found some of the administration’s touted
reforms, such as creating a chief FOIA officer
at every agency, haven’t translated into
Crew fact

Crew fact

effective change. Finally, although a majority of


respondents are aware of the administration’s
pro-disclosure policies, they have not seen
any major shifts in how FOIA requests are
Transparency

handled. CREW will sponsor future roundtable


discussions, including FOIA requestors and
officials charged with responding to them,
in an effort improve the process for everyone.
Section 6

10
Preserving Our History
CREW continues to work Ending Business as Usual
with the National Archives Spearheading a coalition, CREW
and Records Administration pushes for earmark reform
(NARA) and the White House
to push for more effective
electronic record keeping in the
federal government. Congress
must provide NARA with the
enforce­ment tools it needs to
ensure agencies comply with Campaign Finance Reform
existing requirements. CREW CREW lobbied for passage
Chief Counsel Anne Weismann of the DISCLOSE Act, which
has testified before Congress would remedy some of the most
on these issues and the impor- egregious aspects of the disas-
tance of preserving our history trous Supreme Court Citizens
in electronic records. United decision. This important
legislation would require the
Broken Senate CREW has people and corporations behind
urged the Senate to end the the shadowy groups that pro-
use of secret holds and abuse duce venomous political ads
of the filibuster, both of which to identify themselves so voters
routinely are employed to can put the ads into context.
block bills and executive
branch nominations. These Disappearing Emails Contrary
obstruc­tionist tactics have left to DOJ’s Office of Professional Used with the permission of Steve Kelley and Creators Syndicate.
All rights reserved.
Americans frustrated with a Responsibility finding that most
Senate often incapable of action. of former Bush administration While earmarks have become a hot but-
CREW advocates requiring official John Yoo’s emails were ton campaign issue, workable solutions
senators to voice their objections missing, CREW discovered DOJ have been in short supply. In response,
to or support of legislation and has a trove of emails sent to and CREW has spearheaded a coalition
nominees publicly, making them from Mr. Yoo during the period of government reform groups and
more accountable to the voters. he was drafting the torture lobbyists across the political spectrum
memos. Why and how did the to push for real earmark reform.
emails disappear in the first The coalition has been meeting with
place? We’ll keep digging. members of Congress on both sides
of the aisle advocating adoption of
these pragmatic reforms. The coalition
created five reform principles:

1 Limit earmarks directed to


campaign contributors;

The Social 2 Ban legislative staff from


attending fundraisers;
Network

CREW is leading the


3 Create a public, searchable,
online database of all earmarks;

way in social media,


more than doubling its
4 Require the Government Account­
ability Office to conduct random
audits of earmarks; AND
followers on both Twitter
and Facebook in 2010. 5 Obligate members of Congress
to certify that those receiving
the earmarks are capable of
doing the work.
Working together Section

CREW regularly partners with


journalists from national, local, and online
news outlets to expose government corruption,
providing the public with the information
Follow the Money it needs to hold ethically challenged officials
CREW collaborates to ask IRS
to investigate Chamber’s fund usage accountable. In addition, as the go-to authority
on government corruption, on a daily basis
we provide analysis and commentary regarding
Did the Chamber of Commerce
illegally take $18 million donated a wide variety of ethics issues. We also both
to its 501(c)(3) by a foundation use information reported by the media to
tied to AIG and move it to its more
political 501(c)(6) arm? CREW take legal action and provide journalists
joined U.S. Chamber Watch and
two other groups to ask the IRS to with the results of our investigations into the
investigate. The coalition also asked
the IRS to examine whether Chamber nexus of money and politics. In 2010, CREW
President Tom Donohue’s $3 million partnered with the New York Times, Wall
a year salary violates tax rules for
nonprofits. Given that the Chamber Street Journal, Politico, and CNN, among
spent more than $30 million on the
2010 elections and is promising to others, to highlight egregious government
spend even more in 2012, cutting
corners to increase available funds and campaign misconduct. In a world where
must be tempting. It is up to the the modern news cycle never ends, CREW
IRS to ensure the Chamber plays
by the same rules as everyone else. has become an invaluable resource to media
professionals across the country.
© Frank Cotham/The New Yorker Collection/www.cartoonbank.com.
1 2 3 4 5 6 7 8

1.2 Average daily news stories based on CREW’s actions


4.9 Average daily news stories in which Crew appears
Open Government CREW has
worked with a number of govern-
ment reform groups to evaluate
agency open government plans
submitted under the admin-
istration’s Open Government
Teaming Up With Congress Directive and to push agencies
CREW has worked extensively to be more open and accessible.
with Congress to build a better CREW regularly discusses gov-
Washington. We collaborated ernment transparency issues with
with House and Senate Judi- the White House and frequently
ciary Committee staff to provides guidance on legislation,
promote legislation that would regulations, and policies.
allow prosecutors to better
prosecute public corruption Government Reform CREW

Crew Fact

Crew Fact
by closing the honest services worked with and helped build
loophole created by the Skilling a variety of coalitions that share
v. United States decision, and our good governance mission and
CREW Chief Counsel Anne participated in regular meetings
Weismann testified before the promoting the exchange of infor-
House Oversight Committee mation and expertise. Dividends
regarding federal electronic

Collaboration
from these relationships include
records management. a rapid response to loopholes
hidden in financial reform legis­
lation that would have exempted
valuable information from FOIA
disclosure requirements.

Leading the way

CREW led efforts to brief


congressional staff on
Section 7

earmark reform. Melanie


Sloan hosted and participated
in a question-and-answer
session, with lobbyists and
other good government
groups, which was broadcast
several times on C-SPAN.

13
About CREW Section

8
Since its inception in 2003, Citizens for
Responsibility and Ethics in Washington (CREW)
has played a key role in exposing the culture
of corruption in Washington and motivating
the public and policymakers to change it.
CREW is a nonprofit 501(c)(3) organization
dedicated to promoting ethics and accountability
in government and public life by targeting
government officials—regardless of party

ADDRESSEE
affiliation—who sacrifice the common good to
special interests. History shows us that those
who have power often abuse it. CREW serves as
a check on those in power, holding government
officials accountable for their actions.

Visit us at citizensforethics.org and then stay


up to date with all we’re doing by signing up
for our weekly emails. You can also follow
us online via Facebook, Twitter and YouTube. citizensforethics.org
202 408 5565
Used with the permission of Mike Luckovich and Creators Syndicate.

1400 Eye Street NW, Suite 450


Washington, D.C. 20005
Contact
All rights reserved.

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