Wisconsin Tobacco Lobbyists

They sold out smokers every step of the way

and the State of Wisconsin Investment Board

SWIB conspired with the anti-smokers to take over the tobacco companies and make them throw the state tobacco lawsuits to the anti-smokers, so they could loot and plunder smokers.

Michael F. Brozek

Michael Brozek of Phillips was president of Wisconsin Young Democrats in 1975. (Stop Wallace Move Expected to Begin. Manitowoc Herald Times Reporter, Jun. 13, 1975.) He resigned the position to become field agent for 12 counties of the Fox River Valley region of the newly formed Physicians Alliance of the Wisconsin State Medical Society. He is a graduate of UW - Eau Claire, with graduate work in communications at the UW - Madison. (Field agent named for physicians political unit. Appleton Post-Crescent, Feb. 8, 1976.) "Among the society's new employes described as organizers are the commission's director for negotiations services, Ted Clemans, 29, formerly with the United Auto Workers and public employes union in Ohio, Robert Shipka, 39, a former director of labor relations for the state of Ohio, Paul Simms, former executive director of the Wisconsin State Employes Union, and Patrick Nelson, 33, former president of a Springfield Ohio UAW local.... The Milwaukee Sentinel said the medical society raised annual dues for its 4,600 members by $125 to $300 to support the staff and activities of the commission." (Organizers Aid Asked by Doctors. AP. Manitowoc Herald Times Reporter, Dec. 3, 1975.)

"Early in his career, he served as Assistant to newly elected Wisconsin Attorney General, Bronson LaFollette [c. 1976], with responsibility for assisting the transition after the election. After completing this transition, Mr. Brozek left the Attorney General's office to organize the State Medical Society of Wisconsin in the creation of a new legislative and public affairs division...serving as the legislative lobbyist for the 6,000 member physicians' trade association. This reorganization propelled Wisconsin physician trade association back into political prominence, after years of legislative decline. He was ultimately honored by the American Medical Association with its highest award for an industry-media production outlining legislative organization and process." He is now a partner of political public relations firm Brozek & Linton, with Barbara J. Linton and former Madison Mayor Joel Skornicka, also former chancellor of UW-Madison. "On the federal level Brozek & Linton also specializes in transportation, gaming and health issues. Federal health and human service issues will be a special emphasis for the firm with the appointment of Wisconsin Governor Tommy Thompson to the post of U.S. Secretary of Health and Human Services." (Brozek & Linton. The Advocacy Group.) "More recently and in addition to state based public sector activities, Michael has concentrated on federal health policy in Washington DC, most notably at the United Stated Department of Health and Human Services with HHS Secretary Tommy Thompson. Michael represents many national health interests as well as European health related companies. These companies include provider health services, diagnostic and pharmacological products, Medicare/Medicaid fraud detection, Food and Drug Administration corporate product approval, as well as numerous innovative health services." (Brozek bio, International Explorations.)

Brozek was Regional Vice President of the Tobacco Institute from 1983 until resigning March 13, 1989, over his outside lobbying activities. It was under his regime that the Clean Indoor Air Act of 1983 (SB 80) was passed. "Wisconsin Senate Bill 80, the proposed Clean Indoor Air Act, was introduced on February 8, 1983. Senator Risser, as usual, was the main author, and pushed for an early hearing. The bill was referred to the Senate Human Services Committee, with Senator Carl Thompson as its chairman. AB80, the counterpart of SB80, was introduced on February 3, 1983, with the main sponsor being Rep. Neubauer. The bill was referred to the Assembly Health Committee for the first time, with Rep. Kunicki as its chairman. This bill has been introduced for three consecutive sessions. CURRENT STATUS: SB80 was scheduled for a hearing on February 23, 1983, at 11:00 a.m., by an aid to Sen. Thompson at the request of Sen. Risser, President of the Senate. Immediately upon learning of this development, TI representatives met with Sen. Thompson to voice "displeasure" with the sudden, hearing date. Sen. Thompson expressed surprise and apologized for not giving more advance notice. He agreed to recess the hearing after one hour to March 30, 1983. Rep. Kunicki has indicated to TI representatives that a hearing on AB80 will probably not occur until after the budget passage in the summer of 1983." (Action Request To: Robert Hanrahan From: Michael Brozek, Mar. 1, 1983 RE: Wisconsin Senate-Assembly Bill 80 Pertaining to Restricting Smoking in Public Places.)

"Donaldson, Lufkin and Jenrette. Attn: Gayle M. Franzen, 115 S. La Salle Street, Chicago, Illinois 60603, (312) 621-4357 Subjects: registration is specific to legislative monitoring, reporting and consultation to client/principal. Brozek, Michael F.... License terminated. 7/31/89." (Period ending May 5, 1990. Alphabetical Index by Name to Lobbyists' Principals. Dec. 29, 1989, p. 11.)

After leaving TI, he was employed as a contract lobbyist by Philip Morris for approximately two years. He was a close crony of James W. Wimmer Jr.

M. William Gerrard

"For the last ten years, a group of La Crosse's leading citizens, most of them Republicans, have met just before primaries and elections to predict the outcomes as part of a betting pool. They call themselves the 'Select Council on Election Predictions,' and they take their predictions and side bets seriously. It is a group that does not have any romantic feelings about populism." Picture caption: "Walter F. Baltz, right, exchanging political-bet money with Joe Helm, a fellow member of the 'Select Council on Election Predictions' in Lacrosse, Wis. Other members are Paul Lowery, left, Peter Hurtgen and, second from right, M. William Gerrard." (In the Other Wisconsin, Too, Jackson Has Appeal. By E.J. Dionne Jr. New York Times, Apr. 3, 1988.) Mr. and Mrs. John Murphy, Mr. and Mrs. Leo Murphy, Mr. and Mrs. Michael Murphy, and Mrs. Eugene Murphy gave a dinner dance for Gerrard, prior to his marriage. (Nancy Hyde St. Mary's Bride of Michael William Gerrard. La Crosse Tribune, Jul. 30, 1950.) W. Leo Murphy was one of the founding directors of the Wisconsin Division of the American Cancer Society after its reorganization in 1947, and his brother, Eugene W. Murphy, was the father-in-law of P. Nicholas Hurtgen. Gerrard was a second cousin and political mentor of P. Nicholas Hurtgen, who is a close crony of both Govs. Thompson and Doyle, whose brother-in-law, Phil Prange, is a Philip Morris lobbyist for FDA regulation and the husband of the American Cancer Society's chief lobbyist, Alison Prange.

"WILLIAM GERRARD, 63. Dean of the lobbying corps. Colorful, gregarious, shrewd. Knows everybody, has few worlds to conquer. 'I'm not out knocking on doors trying to drum up new business.' La Crosse native and real estate broker. Former chairman of state Democratic Party and compatriot of ex-Gov. Patrick Lucey. Member of UW Board of Regents. Clients include Heileman Brewing, Wisconsin Chiropractic Association, Wisconsin Realtors Association, Soo Line Railroad and First Bank System, Minneapolis. 'Lobbying's not the good-old-boy network. If a guy doesn't like you, you're out.' Most welcome victory: after years of committee setbacks, floor defeats and gubernatorial vetoes, legislation was signed by Gov. Thompson in the budget bill requiring employers to offer insurance coverage for chiropractic care. Gerrard also represented ITT Consumer Financial Corp. of Minneapolis on a bill allowing finance companies to raise their interest rates on small consumer loans." (Madison's Shadow Government. By Paul A. Rix. Corporate Report Wisconsin, Feb. 1988.) "Gerrard is a member of the family that founded, developed, and continues in control of the largest Wisconsin-based motor carrier, Gateway Transportation company of La Crosse." (Lucey's Little Weapon Keeps Potential Party Problems Quiet. By John Wyngaard. Appleton Post-Crescent, Jun. 27, 1971.)

Legislative Action Report on SB 213, to restrict the use of secrecy orders in civil cases. "The original strategy of trying to down play the importance of this to the business community, particularly tobacco, still stands... For obvious reasons, the tobacco industry is assuming a low profile. TI lobbyist, Jim Wimmer and PM lobbyist, Bill Gerrard have indicated the main bill sponsor, Sen. Chuck Chvala has not approached the Senate Majority Leader to request any action during the October floor period.... Separate from this, RJR lobbyist, Mike Vaughan who is a key player in the strategy on this bill has indicated that any presence by tobacco companies could be extremely harmful to the bill." (Action-Trac, Feb. 3, 1992.) "SB 213 would force virtually all information produced in civil lawsuits to be made public, regardless of the wishes of the parties or the court." (David H. Remes, attorney with Covington & Burling, Memorandum opposing Senate Bill 213, with substitute amendment from Kirkland & Ellis, to Mary Cramer, M. William Gerrard, Alice O'Connor, and Margaret Rita, Nov. 4, 1991.) "I believe that the sponsors of SB 213 will attempt to redraft the legislation with a clearer, narrower focus for next time. Their stated purpose is related to eliminating protective orders where an unsafe product remains on the market after its problems are known to the manufacturer. Obviously, SB 213 was so much broader in scope that it alienated other interests for other reasons. I have appreciated working with you on this legislation, and I am happy to hear from you anytime." (Memo from M. William Gerrard to David Remes, Apr. 13, 1992, Re: Senate Bill 213 - Protective Orders.)

M. William Gerrard, dba Gerrard Ventures, was a lobbyist for Philip Morris. (Wisconsin Plan re OSHA, Apr. 20, 1994; Memorandum from Patrick B. Donoho, Tobacco Institute, to Members of the State Activities Coordinating Committee, Sep. 6, 1996; updated Jan. 1997.) David Horazdovsky of the Tobacco Institute has supper with Wl Industry Members DJ Klauser, Wl TI; Jack Lenzi, PM; Joe Czerwinski, Wl PM; Bill Gerrard, Wl R JR; Hurst Marshall, R JR; Scott Stenger, Wl Smokeless; Pat Essie, WI UST. Re: WI Proposed Cigarette Tax Increase. (David Horazdovsky Expense Report, May 1, 1997 through May 15, 1997.) Horazdovsky has meals with DJ Klauser, Wl TI; Jack Lenzi, PM; Bill Gerrard, WI PM; Alice O'Connor, Wl Tobacco Growers; Mike Vaughan, WI R JR; Jeff Wiswell, Wl PM; Bob Fackler, R JR; Brain Fotjik, UST; Pat Essie, WI UST; Scott Stenger, Wl Smokeless; and others. (David Horazdovsky Expense Report, June 1, 1997 through June 15, 1997.)

In 1994, D.J. Klauser was a contract lobbyist with Broydrick & Associates, which also lobbied for Aurora Health Care and Northwest Mutual Life. (State Contract Lobbyist Directory, 1994 Edition. State & Federal Communications.) Broydrick Associates lobbied for the American Cancer Society in 2007. "D.J. Klauser: Former executive director of the state Cost Containment Commission. Left government in 1993 to become a lobbyist, and went to work in 1995 for DeWitt Ross & Stevens, the firm for which his father, James Klauser, now works."(Many spinning administration's revolving door. By Cary Spivak & Dan Bice. Milwaukee Journal Sentinel, Nov. 4, 1997.)

Alice O'Connor

M. Alice O'Connor joined the Tobacco Institute in 1989. (Samuel D. Chilcote letter to O'Connor, Nov. 1, 1989.) In 1991, M. Alice O'Connor was a Regional Vice President of the Tobacco Institute. (Letter to Ron Parys, Aug. 12, 1991.) Philip Morris, R.J. Reynolds, and the Tobacco Institute gave $1000, $750 and $1000, respectively, to the Wisconsin Restaurant Association's Education Foundation. (Old WI Office Files, 1992).

"Wisconsin has never been hesitant to introduce a cigarette tax as a means of funding pork-barrel amendments which cater to a particular legislator during the budget bill process. The temptation is just too great for those legislators who like to use any kind of 'sin tax' as an easy funding mechanism for their pet project..."

"Individual Philip Morris Companies such as Miller Brewing in Milwaukee and Oscar Meyer in Madison carry considerable weight in their respective communities. Philip Morris, in and of itself, does not carry much clout with local elected officials who simply view it as a large tobacco manufacturer. The exceptions are Milwaukee County Executive Tom Ament and Madison Mayor Paul Soglin. They have historically been supportive of Philip Morris, as distinct from Miller or Oscar Meyer. Conversely, Milwaukee Mayor John Norquist and Dane County Executive Rick Phelps have been somewhat hostile to the tobacco conglomerate.

"In Madison, Mayor Soglin is very sensitive to the needs and desires of Oscar Meyer. Unfortunately, individual members of the Madison City Council are not as appreciative of Oscar Meyer's needs as they could be. Between Kraft and Oscar Meyer, this is something that could be improved. In some ways, because Oscar Meyer has enjoyed such a positive working relationship with the Mayor, they may not have needed to cultivate certain factions of the Madison City Council. Because the current leadership in the Madison City Council is largely anti-tobacco however, they can no longer be ignored." (A Public Relations and Public Affairs Strategy for Philip Morris U.S.A. by the O'Connor Company. By Alice O'Connor, President, The O'Connor Company, Sep. 1992.) She demanded a fee of $4,500 a month plus expenses for toadying on behalf of Philip Morris.

The Tobacco Institute approved O'Connor's "Wisconsin Leaf Growers and Tobacco Dealers" proposal of Oct. 17, 1994, to develop a list of Wisconsin tobacco growers, for which she was to be paid $24,000 in 1995. (Daniel J. Wahby of the Tobacco Institute to Alice O'Connor of the O'Connor Co., Feb. 9, 1995.)

Alice O'Connor of the O'Connor Company, whose phone numbers were 255-7211 and 255-2203, was a lobbyist for the Fireworks Association, Wisconsin as of 2/12/97; the Lake States Lumber Association as of 4/14/97; was executive director of and a lobbyist for the Leaf Tobacco Dealers & Growers Association, Wisconsin as of 2/25/97; a lobbyist for Physicians Plus Insurance Corporation as of 2/10/97; the Railway Progress Institute as of 2/4/97; RAM Center Inc. as of 2/4/97; Timber Producers Association of Michigan & Wisconsin, Inc. as of 5/9/97; and Wyeth-Ayerst Laboratories as of 2/14/97. (Directory of Registered Lobbying Organizations. Prepared by the Wisconsin Ethics Board, 1997-98 Legislative Session.)

Alice O'Connor of O'Connor Communications, whose phone number was 255-7211, was a lobbyist for the Lake States Lumber Association until 7/25/2000, the Railway Progress Institute until 7/27/2000, RAM Center Inc. as of 4/8/1999, the State Medical Society of Wisconsin as of 4/28/1999, the Timber Producers Association of Michigan & Wisconsin Inc. as of 1/12/1999, Wisconsin Fireworks Association until 7/26/2000, and Wyeth-Ayerst Laboratories c/o American Home Products as of 1/12/1999. (O'Connor, Alice. Wisconsin Ethics Board, 1999-2000.)

Alice O'Connor was Vice President - Public Affairs & Strategic Projects of the State Medical Society of Wisconsin. (Organizations Employing Lobbyists in 1999-2000, State Medical Society of Wisconsin.)

Alice O'Connor of Murphy Desmond S.C. was a lobbyist for the American Association of Neuromuscular & Electrodiagnostic Medicine Medicine as of 4/21/2005; Anheuser-Busch Companies Inc. as of 7/22/2005; Northern Natural Gas Company as of 7/22/2005; Wisconsin Counties Utility Tax Association as of 7/22/2005; Wisconsin Institute of Certified Public Accountants as of 7/27/2005; and the Wisconsin Medical Society until 2/8/2005. (O'Connor, Alice. Lobbyists Licensed in 2005-2006. Wisconsin Ethics Board.)

Murphy Desmond is a social activist law firm which boasts of its support of the American Cancer Society and American Heart Association. (Community Involvement. Murphy Desmond.)

Quarles & Brady

Milwaukee law firm Quarles & Brady prepared Phillip Morris Capital Company's Principal's Statement of Lobbying Activities and Expenditures for the period from July to December, 1995. (Shiela M. Reynolds, Quarles & Brady, to Bill Gerrard, Dec. 21, 1995.)

Demonstrating their true nature as insidious agents of health fascism, Quarles & Brady turned their former smoking lounge into a treadmill room, and mewls for the nazi vermins' totalitarian schemes. "Well City Milwaukee, backed by the City of Milwaukee, the Greater Milwaukee Committee and the Metropolitan Milwaukee Association of Commerce, seeks to get Milwaukee designated as a 'Well City' in 2010 by the Wellness Council of America." (Milwaukee employers strive for 'Well City' designation. By Joel Dresang. Milwaukee Journal Sentinel, Jul. 2, 2009.)

Tobacco Institute

TI standard letter agreement for retaining lobbyists, etc., for 1994. (SAD Briefing Book, Robert S. McAdam [Vice President of Special Projects], Dec. 10, 1993.)

James W. Wimmer Jr.

Jim Wimmer was elected Administrative Representative at the first official convention of the Young Democrats in 1952. (The Young Democrats of Wisconsin, Sep. 1984.) He was state Democratic chairman until January 1971, when he resigned and was replaced by William Gerrard. (Legislators Want Say on New GOP Chief. Appleton Post-Crescent, Jan. 25, 1971.)

In 1983, Wimmer was Executive Vice President, Wisconsin Association Tobacco and Candy Distributors. (Legislative Alert, RE: SB80. Tobacco Institute, Mar. 30, 1983.)

"We selected Assistant Majority Leader Richard Shoemaker (D), Menonomie, and Minority Leader Tommy Thompson (R), Elroy, to lead the charge for the industry during floor debate. Both Thompson and Shoemaker, as well as Jim Wimmer and myself, were aware of the fact that the votes did not exist for total defeat of this legislation. They concurred with our decisions to press for an amendment that would exempt private offices and the workplace." He boasted of a strategy to "amend, amend, amend, and beat the clock." (Memorandum from Michael F. Brozek to Michael J. Kerrigan, Feb. 16, 1984, RE: SB80 Assembly Floor Vote.) This is what passes for strategy among those who refuse to challenge anti-smoker lies.

"JAMES WIMMER, 52. Prime minister of the circuit. Diligent, gregarious but may be resting on laurels. Likes to concentrate on legislative leaders, but he lost his best contact, Senate Majority Leader Tim Cullen, when Cullen joined Thompson administration. Wisconsin Dells native and a boy wonder at 22 who ran Gaylord Nelson's successful gubernatorial campaign in 1958. Ten years later, chaired state Democratic Party. Major clients: American Stock Exchange, Associated General Contractors of America, Blue Cross and Blue Shield United of Wisconsin, Control Data, Exxon and the Tobacco Institute. Big breakthrough came in 1980, when he successfully lobbied for an increase in the state's gasoline tax, the first increase in 15 years. The result provided money for much-needed road and bridge repairs m and lots of business for another Wimmer client: the Wisconsin Road Builders Association." (Madison's Shadow Government. By Paul A. Rix. Corporate Report Wisconsin, Feb. 1988.)

Bear, Stearns and Company Attn: Peter B. Fox, 3 First National Plaza, Chicago, Illinois 60602, (312) 580-4000 Subjects: any function or activity of any branch, department or phase of federal, state or local government; agriculture, outdoors or environment; taxation; regulation of business, finance or insurance, or other topics pertaining to the general public health or welfare. Lobbyist: Wimmer, James W., Jr. (p. 4)

Delaware North Companies Attn: Stephen B. Manion, 700 Delaware Avenue, Buffalo, New York 14209. (716-881-6500 Subjects: any function or activity of any branch, department or phase of federal, state or local government; agriculture, outdoors or environment; taxation; regulation of business, finance or insurance, or other topics pertaining to the general public health or welfare. Lobbyists, Mark Golf, Peter A. Peshek, Anthony R. Varda, James W. Wimmer, Jr. (p. 4)

Flambeau Mining Company Attn: Earl C. Tingey, P.O. Box 11248, Salt Lake City, Utah 84147, (801) 322-8254 ..Subjects: any function or activity of any branch, department or phase of federal, state or local government; agriculture, outdoors or environment, taxation; regulation of business, finance or insurance, or other topics pertaining to the general public health or welfare." Lobbyists: Henry J. Handzel, Jr, Paul G. Kent, James W. Wimmer, Jr. (p. 14)

FMC Corporation Attn: Judy Smeltzer, 2000 Market Street, Philadelphia, Pennsylvania 19103, (215) 299-6871 Subjects: any function or activity of any branch, department or phase of federal, state or local government; agriculture, outdoors or environment; taxation; regulation of business, finance or insurance, or other topics pertaining to the general public health or welfare. Activity ceased, 7/31/89. Lobbyists were Peter A. Peshek and James W. Wimmer, Jr. (p. 14)

Tobacco and Candy Distributors, Wisconsin Association of, Inc. Attn: Ed Wojnicz, 22 N. Carroll, Suite 200, Madison 53703, (608) 256-5223 Subjects: any function or activity of any branch, department or phase of federal, state or local government; agriculture, outdoors or environment; taxation; regulation of business, finance or insurance, or other topics pertaining to the general public health or welfare. Lobbyists: Peter A. Peshek, James W. Wimmer, Jr. (p. 34)

Tobacco Institule, Inc. Attn: Paul Emrick, 1875 I Street, N.W., Washington. D.C. 20006, (800) 424-9876 Subjects: any function or activity of any branch, department or phase of fedcral, state or local government; agriculture, outdoors or environment; taxation; regulation of business, finance or insurance, or other topics pertaining to the general public health or welfare. Lobbyists: Michael Brozek, M. Alice O'Connor, Paul E. Sicula, James W. Wimmer, Jr. (Period ending May 5, 1990. Alphabetical Index by Name to Lobbyists' Principals. Dec. 29, 1989, p. 34)

"Historically, Mr. Jim Wimmer has served the Tobacco Institute extremely well. This past year, however, Mr. Wimmer has developed a noticeable shift in attitude that borders on irresponsible and extremely arrogant. Much of this makes no sense because we are a very lucrative client for Mr. Wimmer. One possible explanation for Mr. Wimmer's behavior has to do with his close personal friendship with Michael Brozek, a former TI employee, and the strange PM personnel politics that have taken place during this past year.

"Mr. Brozek was employed as a contract lobbyist by PM subsequent to his termination with TI for approximately two years. When Mr. Brozek was terminated from PM in June of this year, Mr. Wimmer stated the tobacco industry had fired one of it's best people and that there may be repercussions. Mr. Wimmer was never specific as to what those repercussions might be. Mr. Wimmer did state that both the Governor and DOA Secretary, James Klauser, were extremely upset with PM for terminating Mr. Brozek.

"It was independently verified that the Governor is not upset with Mr. Brozek's termination and has in fact distanced himself from Mr. Brozek. Mr. Klauser is another matter. His friendship with Mr. Wimmer is extremely close and dates back 30 years or more. Since Mr. Wimmer and Mr. Brozek are inseparable, Mr. Wimmer has provided the entre for Mr. Brozek to also now become very close to Mr. Klauser. Mr. Klauser may, in fact, be upset Mr. Brozek was terminated.

"Mr. Wimmer had no credibility with other tobacco industry lobbyists because he routinely failed to follow up on his assignments. His only assignment during the budget was to 'deliver' Sen. Gary George. Mr. Wimmer repeatedly told me that he was with Gary once a day and would surely know if a tax was coming. Other than telling me 'I told you months ago we'd get a cigarette tax', he'd make repeated comments blaming the PM decision to fire Mr. Brozek as to the reason for the tax. He also said the tax was a result of the Governor's anger over the remaining representation of PM lobbyists. Ironically, despite his close personal friendship with Sen. George, it was Sen. George that made the motion to increase the tax 10 cents.

"Mr. Wimmer has also been the source of very vicious personal stories about the two other PM lobbyists which I know to be untrue. His personal opinions about Brozek's termination have been odd. Wimmer has displayed some of the most unprofessional behavior I have ever witnessed in my 15 years in the business.

"By the end of the budget, a high level of disgust surfaced from other lobbyists who felt they were carrying Mr. Wimmer's work load while he sat back collecting a fat retainer doing absolutely nothing. He often times missed tobacco industry meetings which never lasted more than 45 minutes to an hour.

"He repeatedly failed to return phone calls in a timely manner and often times wasn't able to provide the details I needed.

"Other issues facing the tobacco industry during this floor period were handled by other tobacco industry lobbyists including TI lobbyist, Paul Sicula. Mr. Wimmer made himself unavailable for meetings due to more pressing needs of other clients and had a general lack of follow through and uninformed opinions about issues he clearly should have been on top of.

"At this writing, we await a veto by the Governor on the 10 cent cigarette tax. At this point in time this is Mr. Wimmer's only assignment. His close personal friendship of many years with the second Governor, Secretary of Administration, James Klauser, and Governor Tommy Thompson should be able to deliver us the veto. Without the veto, Mr. Wimmer's contribution to the overall lobbying effort since January is virtually zip." "Even though James Wimmer served as State Democratic Party Chairman during the sixties, Wimmer enjoys an extra ordinary relationship with Republican Governor Tommy Thompson. Both Wimmer and Thompson enjoy a twenty year friendship which has been extremely beneficial to our interests."

Wimmer's clients in 1991 included Bear, Stearns and Company, Blue Cross/Blue Shield United of WI, Carmichael Development Group, Inc., Delaware North Companies, Exxon Corporation, Flambeau Mining Company, General Contractors of America, Northwestern Mutual Life Insurance Co., Pharmaceutical Manufacturers Association, Security Bank S.S.B, Stein and Company, Tobacco Institute, Traffic Safety Now, Inc., WI Association of Tobacco & Candy Distributors, Wisconsin Hospital Association, and Wisconsin Wine and Spirit Institute. Supposedly, none of them presented a conflict of interest. (Region IV State and Local Lobbyist Evaluation. Tobacco Institute, Aug. 6, 1991.)

The Smokers' Rights Act of 1992: Wimmer believed that "representatives of Philip Morris [were] instrumental in the drafting of the bill, along with some Wisconsin labor unions." The assembly version, AB 570, was introduced by Rep. David Clarenbach, and the Senate version was introduced by State Sen. Jerome Van Sistine. Wimmer asked Alice O'Connor at the Tobacco Institute in Washington, DC what TI's position should be. (Wimmer to O'Connor, Oct. 23, 1991; 1991 Assembly Bill 570, Oct. 1, 1991.)

"Chairman of the state Democratic Party from 1968-'71, he later became an ally of Republican Gov. Tommy Thompson." Fellow lobbyist Michael Brozek praised him. "Wimmer, who read history widely and was a devotee of Winston Churchill, formed a group called the Other Other Club about 25 years ago. Eighty to 90 people met annually at a dinner for a discussion of Churchill and history, for camaraderie and to smoke cigars. The club got its name because the British prime minister, excluded from an elite club, formed his own, called the Other Club. Among Wimmer's friends and a member of the Other Other Club was Stephen Ambrose, author of the acclaimed "Undaunted Courage: Meriwether Lewis, Thomas Jefferson and the Opening of the American West." The 1996 book acknowledged Wimmer and his wife and children for joining Ambrose "for a particularly memorable trip" along part of the Lewis and Clark trail. Wimmer was born Oct. 20, 1935, in Portage to James and Alice Wimmer. His father owned a well-known restaurant, Jimmy's Del Bar, in Lake Delton." (Influential state lobbyist Wimmer dies after fall. By Eldon Knoche and Steven Walters. Milwaukee Journal Sentinel, Jun. 23, 1998.) Stephen E. Ambrose was a college pal of Wimmer, and of former Colorado Governor Richard Lamm. (A Man Among Men. By Susan Larson, Book Editor/The Times-Picayune, May 23, 1999.)

The Smokers' Rights Act of 1992 (Wisconsin)

On May 5, 1989, Rep. Barbara Gronemus introced Assembly Amendment 6 to 1989 Assembly Bill 129, prohibiting employment discrimination for use or nonuse of tobacco for smoking. It failed to pass.

Anthony Varda of DeWitt, Porter, Huggett, Schumacher & Morgan submitted "a few alternative forms of possible anti- discrimination language" to Philip Morris lobbyist Michael Brozek, Jan. 31, 1991.

Tobacco Institute vice president Alice O'Connor to Pat Donoho of TI, May 24, 1991: "Pat, this is the latest draft of the privacy language that Rep. Dave Clarenbach is reviewing. PM attorneys are looking at the language. Do you suggest TI Attorneys do the same? Let me know. You should know that Steph Case, John Forde (PM), Mike Vaughan (RJR) and I have discussed the need to be sensitive to how this is handled. We do not want to get ourselves in trouble with business groups who we will need to help fight the tax."

Rep. David Clarenbach sent the draft of the bill to Tobacco Institute lobbyist Paul Sicula on July 28, 1991 for comments. Senate Bill 292, October 8, 1991, was introduced by Senators Jerome Van Sistine and Brian Rude; cosponsored by Representatives David Clarenbach, Vernon Holschbach, Thomas Hauke, Leo Hamilton, Dave Travis, Terry Musser and Duwayne Johnsrud. Referred to Committee on Tourism, Commerce, Labor, Veterans' and Military Affairs.

Tobacco Institute lobbyist James Wimmer believed that "representatives of Philip Morris [were] instrumental in the drafting of the bill, along with some Wisconsin labor unions." The assembly version, AB 570, was introduced by Rep. David Clarenbach. Wimmer asked Alice O'Connor at the Tobacco Institute in Washington, DC what TI's position should be. (Wimmer to O'Connor, Oct. 23, 1991; 1991 Assembly Bill 570, Oct. 1, 1991.)

Wisconsin Manufacturers and Commerce opposed passage of Senate Bill 292, which became the 1991 Wisconsin Act 310, amending the Wisconsin Fair Employment Act, which prohibits employment discrimination for use of all lawful products, not just tobacco, off the job. (New Employment Discrimination Provision in Wisconsin Fair Employment Act. Wisconsin Manufacturers & Commerce. Legislative/Executive Insight 1992 May 5;14(17).) It does not include nonprofit corporations, provides exceptions for covered employers, and does not prohibit discrimination in health, life, and disability insurance, "provided that: (1) The difference in premiums charged reflects the difference in the cost of providing the coverage to employees who do and do not use the lawful product. (2) Employees are given a written statement specifying the 'premium rate differential used by the insurance carrier.'" Regarding liability exposure: "All employees use or decline to use certain lawful products. Thus, because the Act treats use and non-use of lawful products as a discrimination issue under fair employment statutes, the class of individuals who can claim protection under the Act is virtually unlimited. Accordingly, the Act reinforces the premium already placed on workplace documentation of employment decisions. Similarly, employers need to take deliberate steps to advise management and supervisory personnel that seemingly innocuous remarks concerning employees' use or non-use of lawful products may carry a heavy price if adverse action is taken against such an employee at a later time." (Special Report. By Kirk D. Strang, Esq., Godfrey & Kahn, S.C.)

State of Wisconsin Senate Substitute Amendment 1, to 1991 Senate Bill 292, and other proposed amendments. Feb. 27, 1992. It was adopted along with substitute amendments. Senate Amendment 1, by the Committee on Tourism, Commerce, Labor, Veterans and Military Affairs exempted the occupation of firefighters from protection. Senate Amendment 5, by Lynn Adelman, exempted nonprofit organizations which promote the use of a lawful product from discriminating against nonusers of the product. It was signed May 1, 1992.

Wisconsin Statutes Section 111.321 states: "Subject to ss. 111.33 to 111.36, no employer, labor organization, employment agency, licensing agency or other person may engage in any act of employment discrimination as specified in s. 111.322 against any individual on the basis of age, race, creed, color, disability, marital status, sex, national origin, ancestry, arrest record, conviction record, membership in the national guard, state defense force or any other reserve component of the military forces of the United States or this state or use or nonuse of lawful products off the employer's premises during nonworking hours."

Philip Morris

Philip Morris employs six lobbyists: Tiffany Koehler (Public Affairs Consultant, Martin Schreiber & Associates Inc., also lobbies for Forest County Potawatomi Community), Kelly McDowell (Public Affairs Consultant, Martin Schreiber & Associates Inc., also lobbies for Forest County Potawatomi Community and Miller Brewing Company), Martin Schreiber (President, Martin Schreiber & Associates Inc., also lobbies for Forest County Potawatomi Community and Miller Brewing Company), Toby Spangler (of Altria Corporate Services Inc, who also lobbies for Kraft Foods Global, Inc, and lobbies for Altria in Iowa as well), Scott Stenger (Owner, Stenger Government Relations, LLC, who also lobbies for Humana, Miller Brewing Company, Tavern League of Wisconsin, and the Wisconsin Athletic Trainers Association Inc [! which lobbied for AB-235, Workplace Wellness Programs!), and Kenneth Walsh (Public Affairs Consultant, Martin Schreiber & Associates Inc., also lobbies for Forest County Potawatomi Community). (Organizations employing lobbyists in 2007-2008. Philip Morris Incorporated by its service company Altria Corporate Services Inc. Wisconsin Ethics Board, as of Monday, September 03, 2007.) Their expenditures to date are $309,353 for 384 hours, 21% on General Fund Taxes, 67% on legislative matters regarding cigarette excise taxes, and 4% on legislative matters regarding taxation of other tobacco products (OTP) from ad valorem to weight-based.

RJ Reynolds

Reynolds American employs two lobbyists, Eric J. Petersen (Wimmer and Company, who also represents American Family Insurance Group, Forest County Potawatomi Community, Forward Janesville Inc., and Wellpoint Inc./Anthem Blue Cross Blue Shield of Wisconsin); and Shawn Pfaff (Associate, Capitol Consultants Inc., who also lobbies on behalf of AT&T Wisconsin and Managed Health Services Insurance Corporation). (Organizations employing lobbyists in 2007-2008. Reynolds American Inc. Wisconsin Ethics Board, as of Monday, September 03, 2007.) Their expenditures to date are $304,708 for 107 hours, of which 75% was on General Fund Taxes, and 20% on "Revenue: Tax Administration."

US Tobacco

UST employs six lobbyists: Patrick Essie (Essie Kammer Group, who also lobbies on behalf of GlaxoSmithKline and the Wisconsin Hospital Association); Brian Fojtik (of UST Public Affairs Inc.); Steven Foti (Owner, SM Foti Government Affairs, who also lobbies for Miller Brewing Company and the Pharmaceutical Research and Manufacturers of America); Peter Kammer (Essie Kammer Group, who also lobbies on behalf of Abbott Laboratories, AT&T Wisconsin, Baxter Healthcare Corporation, GlaxoSmithKline, and the Wisconsin Hospital Association); Erin Krueger ((Lobbyist, Essie Kammer Group, who also lobbies on behalf of several other groups), and Susan Schoon (Lobbyist, Essie Kammer Group, who also lobbies on behalf of the Association of Settlement Companies, GlaxoSmithKline Inc., and the Wisconsin Hospital Association). (Organizations employing lobbyists in 2007-2008. UST Public Affairs Inc Wisconsin Ethics Board, as of Monday, September 03, 2007.) Their expenditures to date are $39,572 for 225 hours, of which 33% was for "Revenue: Tax Administration," 33% taxation of moist snuff, and 34% Tobacco tax increase.

The State of Wisconsin Investment Board

The State of Wisconsin's pension fund, which is the largest share of the State of Wisconsin Investment Board's assets, in collusion with the states of Oregon, Washington, Utah, Minnesota, Michigan, New York, Wisconsin, Illinois, Iowa, Massachusetts, and Montana, and others, funded the takeover of RJR-Nabisco, which owned R.J. Reynolds Tobacco, by Kohlberg, Kravis Roberts (KKR). Their object was to put the company under the control of anti-smokers, so that they would throw the fight in the state tobacco lawsuits, and make a deal to loot and plunder smokers.

Bear Stearns was a broker for the Wisconsin Investment Board since at least 1987. (Bear Stearns gets Wisconsin deal; governor's office denies influence. By Karen Pierog and Cris Carmody. The Bond Buyer, Mar. 31, 1995.) Bear Stearns was later the main beneficiary from its sales of the bonds from from the securitization of Wisconsin's share of the tobacco settlement.

The Wisconsin Investment Board also held about 2.34 million shares of Kraft Inc. at the time of its takeover by Philip Morris. "We hope Philip Morris will come back with a little better offer. we're hoping for about $105 or $106," said Betty Kepley of the Wisconsin Investment Board. (Phillip Morris Attacks Kraft Proposal, Signaling Its Intention to Pursue Bid. The Wall Street Journal, Oct. 25, 1988.)

"Former Investment Board Executive Director Marshall Burkes took a fall in 1989 after he tried to expose what he called an improper relationship between several Investment Board members, including shadow governor James Klauser and top Capitol lobbyist and Thompson friend M. William Gerrard. The battle raged for almost seven years before the state settled with Burkes in February 1996 for about $450,000. As a result, Burkes' charges of influence peddling were never aired in public. M. William "Uncle Bill" Gerrard, 74, one of the state's most powerful lobbyists, used his easy access to top state government officials to represent tobacco, gambling and railroad interests, among others. His link to an alleged influence-peddling scheme in the late '80s only served to enlarge his shadowy presence in the Capitol. In a 1996 deposition in the Burkes case, Gerrard was asked to describe himself, he confounded lawyers by claiming to be a sick old man with a poor memory and little influence: 'I'm not too bright. I'm not too smart.' Not too dumb, either." (All The Governor's Men. Meet The Climbers And Connivers Who Helped Tommy Get To Power And Stay There. By Tim Kelley. Madison Magazine, Dec. 1999.)

Patricia Lipton, Executive Director of SWIB, sent a smarmy, self-righteous PC letter to Louis V. Gerstner Jr., the Chairman and CEO of RJR Nabisco, Inc. (Lipton to Gerstner, May 17, 1991.)

The reply, from James W. Johnston, Chairman and CEO of R.J. Reynolds Tobacco: "I would like to thank the State of Wisconsin Investment Board for the confidence exhibited in RJR Nabisco, Inc., through your $100 million participation in the leveraged buyout...." (Johnston to Lipton, Jun. 20, 1991.)

The State of Wisconsin Investment Board also invested in Philip Morris. Patricia Lipton, Executive Director of SWIB, which was invested in PM, sent a smarmy, self-righteous PC letter to the Chairman and CEO of Philip Morris. (Lipton to Michael A. Miles, May 20, 1991.)

"Mr. [William] Murray advised the directors that the Council of Institutional Investors had sent a letter complaining about the meeting the Company hosted on September 21, 1994 for investors and that Management had retained Mr. Dale Hanson, the former president of CalPERS, to offer advice in developing an on-going strategy to deal with certain public pension funds. He said that Management is currently cementing good relationships with a number of public pension funds, but that there may be problems in dealing with institutions having a political agenda." (Minutes of a meeting of the Board of Directors of Philip Morris Companies Inc., Oct. 26, 1994.) Hanson was a former employee of the State of Wisconsin Investment Board, who was later involved in the Brook Group's attempt to separate RJ Renolds Tobacco and Nabisco.

"Marshall Burkes, executive director of the Wisconsin Investment Board, is obviously a firm believer in the leveraged buyout phenomenon. He has close to $750 million of his $16 billion pool spread around 13 or 14 leveraged buyout funds." (At K.K.R., the Glory Days Are Past. By Peter Truell. New York Times, Aug. 10, 1995.)

The Wisconsin Investment Board's holdings in Philip Morris fell from 1,343,600 on Aug. 8, 1997, to 447,800 on Sep. 5, 1997. (Grabill-Bloom, Inc.)

The SWIB held a large chunk of Magainin / Genaera Corp. since 1999. The company makes drugs for asthma and obesity.

In 2000, the State of Wisconsin Investment Board held over 5% of shares in IRI International, oilfield equipment, of which Bush crony Hushang Ansary of Iran was majority owner, and crony Frank C. Carlucci was a director.

Kurt N. Schacht was general counsel of the State of Wisconsin Investment Board for ten years. He left the investment fund Wyser-Pratte Management Co. in 2001 to join the Wilmington, Del. law firm of Grant & Eisenhofer, P.A. as of counsel. "The firm represents, among others, State of Wisconsin Investment Board, Public Employees Retirement Association of Colorado, the Florida State Board of Administration, Teachers' Retirement System of Louisiana, Louisiana State Employees Retirement System, California Public Employees' Retirement System, Lens Investment Management, Inc., Franklin Advisers, Inc., TCW Technology Limited Partnership and the Council of Institutional Investors itself." (Kurt Schacht, Former General Counsel of the State of Wisconsin Investment Board, Joins Grant & Eisenhofer, P.A. PR Newswire, Sep. 5, 2001.) He employed James W. Wimmer Jr. as lobbyist for Bear Stearns in Wisconsin.

Peter B. Fox, formerly of Bear Stearns

Peter Boulware Fox is the son of William Coburn Fox, who was president of the First National Bank of Champaign, Illinois, in 1971. William Bruce Fox is a brother. (Listing of Courier Newspaper Articles Pertaining to: Fox, William Coburn. Champaign County Historical Archives, accessed Feb. 16, 2010.) Peter B. Fox was director of the [Illinois] Department of Commerce and Community Affairs before becoming managing director of public finance at Bear, Stearns & Co. ([Gov. James] Thompson Loses Aide to Securities Firm. By Merrill Goozner and John McCarrobn. Chicago Tribune, Jun. 18, 1987.) He was best man for his brother, Hardin Andrew Fox, in 1987. Hardin A. Fox was president of the Fox Development Corporation. Their father was chairman of the board of the First National Bank of Champaign. (Stacy King Bride of Hardin A. Fox. New York Times, Jun. 21, 1987.) According to his bio, he was with Bear Stearns from 1985 to 1987. (About Our Staff. Fox Development Corporation, accessed Feb. 16, 2010.)

"Peter is the founder of Fox Development Corporation, a real estate development firm which develops, manages and leases approximately 1,000,000 square feet of office and retail space in Champaign County, Illinois. Peter has extensive experience in the restaurant industry, owning and operating seven Wendy’s restaurants from 1978 to 1988. Peter also serves on the Jimmy John’s Franchise, Inc. Advisory Board and has a great understanding of the franchise Peter is the founder of Fox/Atkins Development, LLC, developer and manager of the University of Illinois Research Park in Champaign that offers on-campus multi-tenants commercial office and lab space for technology companies. Peter is also the Managing Member of Fox Ventures LLC, an investment firm he founded to help support local start-up companies.

"Peter currently serves on the Illinois National Bank Board of Directors, Jimmy John’s Franchise, Inc. Advisory Board, Provena Health Central Illinois Region Board of Directors, University of Illinois College of Business Council, University of Illinois Chemical Sciences Leadership Council, University of Illinois College of Engineering Innovation Leadership Advisory Board, and University of Illinois Coordinating Committee for Industrial and Technology Relations Committee.

"Peter holds a Bachelor of Science degree from Stanford University in Economics and Political Science. He resides in Champaign, Illinois with his wife and two children." (Jimmy John's Development Team. Fox Development Corporation, accessed Feb. 16, 2010.) They have bought up seven Jimmy John’s stores, two in Bloomington, Indiana, three in Durham/Chapel Hill/Raleigh, North Carolina and two in Columbia, South Carolina. Indiana University at Bloomington Indiana was taken over in 2002. (Jimmy John's Restaurant. Fox Development Corporation, accessed Feb. 16, 2010.)

Fox has made large campaign donations to politicians in Wisconsin (Sen. Russ Feingold, D), Kentucky (Sen. Mitch McConnell, R, 2007) and North Carolina (Erskine B. Bowles, D, 2003) as well as in Illinois. He especially favors Dick Durbin and Rahm Emanuel (both D-IL). Both Democrat and Republican presidential candidates got money. (NewsMeat, accessed Feb. 16, 2010.)

See Also:

cast 02-16-10