Partying With The Podestas

Powerful Lobbyist Couple Schmoozes With Lawmakers, Press And, Of Course, Their Clients

by Bara Vaida

Wednesday, Aug. 27, 2008


"Remember when you were in grade school and you read the book 'The Scarlet Letter?'" lobbyist Heather Podesta says to Rep. Joe Courtney of Connecticut. Podesta points to a scarlet "L" patch affixed to her green Alberta Ferretti dress.

Courtney, a guest at Heather and husband Tony Podesta's jam-packed Monday brunch at Denver's Bistro Vendome, nods quizzically.

"The main character, Hester Prynne, had to wear a big letter A," says Podesta, the owner of lobbying firm Heather Podesta + Partners. "So we thought we'd have a little fun with that, given the current environment for lobbyists. This 'L' is a scarlet letter for lobbyists."

Courtney laughs. "Oh, OK," says the lawmaker, one of more than two dozen Democratic members of Congress (including House Oversight and Government Reform Committee Chairman Henry Waxman of California and Senate Armed Services Committee Chairman Carl Levin of Michigan) who stopped by the power couple's event. "Good sense of humor."

Whether it's the Podestas' humor, the dinner parties that the couple host at their home in Northwest Washington, D.C., or the $3 million they have helped to raise for Democrats and party committees during this election cycle, Heather and Tony are among the more popular figures in Denver this week.

Yes, the Obama campaign has been pounding away relentlessly with anti-lobbyist rhetoric. And new congressional ethics rules have turned every lobbyist into a persona non grata at this convention. Still, hundreds of well-known Democratic movers and shakers would not miss the chance to see and be seen at a Podesta soiree.

The events in Denver have included a Sunday evening reception that they co-hosted, and at which a fundraiser for Barack Obama was invited; brunches on Monday and Tuesday at Bistro Vendome; a Wednesday book party for Tony's brother, John, a former Clinton White House chief of staff; and a series of small dinners with Democratic governors.

"I don't think of Tony as a lobbyist," Rep. Anna Eshoo of California says at the Monday brunch. "I think of him as a friend."

Tony Podesta, 64, runs a very successful lobbying firm, the Podesta Group, which posted $7.2 million in fees for the first half of 2008. He is a fixture in Democratic politics and has been volunteering, fundraising, and generally toiling for party candidates for decades. Heather Podesta, 38, has been in the lobbying business for fewer years, but she cut her teeth in Democratic politics while working on Capitol Hill and then at the law and lobbying firm Blank Rome. She opened her own lobbying shop in early 2007; it posted $2.23 million in fees for the first half of the year.

The couple invited National Journal to join them for a day of whirlwind events and a taste of the lobbyists' world at a convention. For Heather and Tony, most of their day involves being chauffeured to numerous events in a Lincoln Town Car, shaking hands, hugging people (including lawmakers, Hill staff, and Democratic officials), and making small talk. When they aren't being driven around, they are hosting events. All in all, the couple estimated they will spend between $25,000 and $50,000 during convention week.

Beyond schmoozing, they act as concierges, making sure their clients attending the convention have opportunities to meet with elected officials and experience a week of fun, including invitations to cool events.

"Money doesn't work here," Heather says. "That isn't the currency. It's passes, credentials, and invitations."

On Monday, the Podestas had plenty of "currency," including tickets to party events and convention hall skyboxes with Sen. Charles Schumer of New York and members of the Colorado Democratic Party.

For both Podestas, who were major supporters of Hillary Rodham Clinton, coming to Denver was a no-brainer. The opportunities to network and help clients are keys to continued business success. Further, both say they are now supporting Obama. Being in Denver is an important way to show their support.

"My mother raised me to be a good Democrat," says Tony, who is known for wearing suspenders and red shoes. (He brought five pairs to Denver.)

The colorful couple is also known for being accessible to the media. Members of the press were invited to several of their parties, unlike other insiders who have barred reporters from their Denver events.

Asked about her press-friendly attitude, Heather Podesta says: "We are leading a very public life. People know who we work for, how much we get paid, and who we give money to."

Is it helpful if news stories report on the lawmakers who come to their parties? Heather Podesta shrugs. "That's up to our clients to decide."

  •  
  •