Austin’s Oldest Profession 2002: Miscellaneous Business

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Austin’s Oldest Profession: Texas’ Top Lobby Clients & Those Who Service Them
2002 Edition

II. Lobby Clients

Miscellaneous Business

The Miscellaneous Business sector accounted for 10 percent of Texas’ lobby spending in 2001, with 562 contracts worth from $9 million to $21 million. Gambling interests were prominent here, led by scandal-ridden GTECH, which has had an exclusive contract to run the Texas lottery since that lottery started in 1992.¹³ GTECH sparked renewed controversy in October 2001 when the Texas Lottery Commission quietly omitted a contract provision that barred its contractor and its lobbyists from contributing to the campaigns of Texas politicians. The commission quickly restored this language after the Dallas Morning News blew the whistle.¹⁴
The Lottery Commission also announced in February 2002 that it would start considering the local economic impact of the contracts it awards. This was a victory for San Antonio-based Oberthur Gaming Technologies (three 2001 lobby contracts of up to $185,000), which covets an instant-ticket Lottery contract now held by Georgia-based Scientific Games Corp.¹⁵ Finally, the Amusement and Music Operators of Texas represents “eight-liner” gambling machine owners. These businesses have fought the Texas Attorney General’s Office by pushing the limits of a 1995 law that legalized prize-awarding amusement machines. An interim House committee and the Texas Supreme Court are trying to clarify where amusement ends and gambling begins.
Illinois-based DeVry University, Inc. is a private higher-education company. It sought Texas Higher Education Coordinating Board approval in 2001 to offer certain degree programs in Texas. Saxon Publishers publishes math and phonics textbooks, including some that the Texas Education Agency has pre-approved for public schools in the state.¹⁶
The Texas Association of Business and Chambers of Commerce, Amarillo-based Panhandle 2000 and El Paso-based Texas Border Infrastructure Coalition are business-booster organizations. The Texas Association of Retailers represents diverse retail stores that failed to get the cash-strapped legislature to renew Texas’ sales tax holiday in 2001.¹⁷
Agilent Technologies is a Hewlett Packard spin-off that sells testing equipment used in the communications and life science industries. The San Antonio Athletic Club appears to represent the San Antonio Spurs basketball team.

Top Miscellaneous Business Clients
Lobby Client Max Value
of Contracts No. of
Contracts

GTECH Corp.
$850,000
7

DeVry University, Inc.
$700,000
8

Panhandle 2000, Inc.
$450,000
3

Amusement & Music Operators of TX
$435,000
7

TX Assoc. of Business & Chambers of Com.
$360,000
8

TX Retailers Assoc.
$320,000
16

Agilent Technologies, Inc.
$300,000
3

San Antonio Athletic Club, Inc.
$300,000
3

Saxon Publishers, Inc.
$300,000
2

TX Border Infrastructure Coalition
$270,000
7

Lobby Client	Max Value of Contracts	No. of Contracts
GTECH Corp.	$850,000	7
DeVry University, Inc.	$700,000	8
Panhandle 2000, Inc.	$450,000	3
Amusement & Music Operators of TX	$435,000	7
TX Assoc. of Business & Chambers of Com.	$360,000	8
TX Retailers Assoc.	$320,000	16
Agilent Technologies, Inc.	$300,000	3
San Antonio Athletic Club, Inc.	$300,000	3
Saxon Publishers, Inc.	$300,000	2
TX Border Infrastructure Coalition	$270,000	7