Veon registers as lobbyist Monday
HARRISBURG – Former House Democratic Whip Mike Veon registered as a lobbyist Monday, saying he would be forming his own company called Mike Veon and Associates, and listing as his first client the world’s largest manufacturer of smokeless tobacco. At a luncheon fund-raiser Monday to retire $94,600 in outstanding campaign debt, Veon, who has remained largely underground since his surprising November defeat at the polls, said would lobby the state Senate and governor’s office on issues concerning snuff for U.S. Smokeless Tobacco Co.
The makers of famous brands like Copenhagen and Skoal may have a stake this spring in Gov. Ed Rendell’s health-care initiative, which calls for the first-ever 36-cent tax on cigars and smokeless tobacco to raise money for universal access to health care.
A cigar smoker himself, the 22-year Beaver County Democrat, said he has fought in the past against legislative efforts to tax smokeless tobacco, as many other states do, although has favored an increase in the state’s $1.35 tax on packs of cigarettes.
“I think it’s fair to assume they’re against putting new taxes on snuff and cigars, and, of course, I’m the lobbyist, they’re the client and I’ll be working hard to achieve whatever goals they lay out for me,” said Veon.
Veon said he still plans to stay active in Democratic politics, while being a lobbyist, including fundraising for candidates and providing guidance to House Democratic Leader H. William DeWeese, D-Waynesburg, and “whoever wants my advice and counsel.”
He is barred by state law from lobbying the House directly or taking on gambling interests as clients for one year.
But Veon was cold to the idea of running for his 14th district seat again or elected office elsewhere.
“I think that’s highly unlikely, highly unlikely,” said Veon.
Veon said he was not offered and had not pursued a job in state government, despite speculation that he would be offered a job with House Democrats, saying “I didn’t ask and I wasn’t offered.”
Veon also offered his first public assessment on why he lost at the polls, attributing the 2005 legislative pay raise as the “No. 1 issue” behind his defeat, but added he did not regret his vote on the controversial measure.
Veon was the third legislative leader to topple last election year, and his loss nearly cost Democrats control of the House.
“I understood the political dynamic. I understood that was a very challenging vote politically but I still cast it and clearly understood what I was doing,” he said. “I had no regrets throughout the campaign season.”
Veon said he stood by the vote because he was one of the sponsors of the 16 to 54 percent legislative pay raise, he believed in it, and “didn’t change my mind through the course of the year.”‘
He said he would be keeping his home in Beaver County and an apartment in Harrisburg.
Veon said his lack of a concession call to opponent Republican Rep. Jim Marshall “wasn’t an intentional slight.”
“I think, really, in the rush of activities in that particular day or couple of days that it just was something that was overlooked,” Veon said. “I think the further you get away from it the less useful it could be or less well meaning it could be.”
Veon added that he wishes Marshall well, but hopes House Democrats are able to take back the seat in 2008. He said it was “way too early to tell” whether he would be part of that effort.
Marshall said the lack of a phone call did not bother him, but Veon remains a force to contend with, both as an “aggressive lobbyist” and as a political threat.
“I’m sure he will be able to generate funds for the Democratic caucus or individually if he chooses to fund a race against me or another Republican,” Marshall said. “But obviously sometimes it’s not how much money you spend.”
Veon spent about $574,000 on his campaign, compared to Marshall’s $163,000.
As to how he would be effective as a lobbyist, Veon said he hoped his “hard work and productive efforts in legislation over the years will at least allow people to return my phone calls and sit down with me.”
On registration forms filed Monday with the Department of State, Veon listed Harrisburg-based Malady & Wooten Public Affairs as the lobbying firm under which he would work. However, he said he planned on forming his own company, Mike Veon and Associates. He listed UST Public Affairs Inc. of Greenwich, Conn., as sole client.
Veon also carefully commented on the controversy surrounding $3.7 million in bonuses handed out to legislative staffers the last two years, of which $250,000 he gave to 31 of his employees last year while some worked directly for his campaign.
“I think it ought to be clear that ever bonus and salary for every time I spent in the caucus, particularly in House Democratic leadership, was done in a very proper and legal way,” he said.
Veon sidestepped further questions on the bonuses, saying it wouldn’t be “fair or appropriate” since he is no longer a lawmaker.
On the larger issue of reform, which has been steadily growing in degree and tenor since the start of the new term, Veon specifically pointed out Senate Republican leaders as “grasp(ing) the reins of leadership in a strong way.”
Senate President Pro Tempore Joe Scarnati and Republican Leader Dominic Pileggi were the first to release bonus lists and last week said they’d push to deliver at least $75 million in legislative spending reserves to lower property taxes.
However, he would offer no specifics on what he thinks should be done to reform state government, though he said he did have ideas.
State Democratic Party Chairman T.J. Rooney said he hopes Veon stays involved in state politics, offering that he spent from his campaign “literally hundreds of thousands of dollars so the Democrats can win the majority.”
“He’s one of the best fundraisers this party has,” said Rooney, who retired this year as a city of Bethlehem lawmaker. “Whether he be in public office or in the private sector he has a lot to contribute, financially and intellectually.”
Alison Hawkes can be reached at 717-705-6330 or begin ahawkes@calkins-media.com ahawkes@calkins-media.com end
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