NEW YORK, May 6 (Reuters) - New York lobbyists earned record revenues in 2010, taking in more than $200 million for the first time ever, according to a report by the New York State Commission on Public Integrity.
Work on the state's budget battle and proposed soda tax helped push earnings to $213 million, up 8 percent from 2009, when spending stagnated after nearly a decade of growth, according to the report released Thursday.
More clients and lobbyists converged on Albany in 2010, the report said: 6,659 registered lobbyists represented 4,091 clients in 2010. That is up from 5,887 lobbyists representing 3,499 clients in 2009.
Although per-client spending at top firms fell slightly, average spending on lobbying ads rose 313 percent to $7,285, for a statewide total of $29.8 million, according to the report.
Law firm Wilson Elser Moskowitz Edelman & Dicker took in the most revenue for the 14th year in a row, earning $10.6 million from 153 clients, the report said. The firm primarily represents hospitals and other healthcare companies fighting Medicaid cuts championed by some lawmakers.
Kenneth Shapiro, the managing partner in Wilson Elser's Albany office, attributed the record 2010 haul to the continued rise in lobbying fees, along with companies' growing preference to tap outside legislative and regulatory representation.
"More and more people are now looking for professional help, where at one point in time they had an in-house person, or did it themselves," Shapiro said.
Other top earners included Patricia Lynch Associates Inc., Greenberg Traurig LLP, Bolton St. Johns LLC and Hinman Straub Advisors LLC, the report said. Along with Wilson Elser, these firms lead the list in 2009 as well.
According to the report, one of the highest lobbying increases was posted by Bryan Cave LLP, with lobbying revenue up 48 percent from 2009. The firm averaged $136,161 per client contract, the highest among all registered lobbying firms last year.
Health and mental hygiene issues were the most heavily lobbied, attracting $31.1 million in spending in 2010 as lawmakers considered reducing health spending to shore up state finances, the report said. Real estate, construction and education were also heavily lobbied sectors, although spending in these areas dipped slightly from 2009 levels.
The American Beverage Association was the year's biggest spender, according to the report, pouring $12.9 million into Albany as lawmakers weighed a controversial tax on sugary sodas strongly opposed by the beverage industry. The one-cent-per-ounce tax, proposed by then-Governor David Paterson, ultimately fizzled.
The heavily publicized soft drink battle illustrates the new approach by corporate interests that would rather fight legislative proposals through lobbying than wait to resolve their issues in litigation, said Pitta & Giblin LLC partner and lobbyist Robert Bishop.
"The amount of money spent on lobbying seems very high," Bishop said. "But when you put it into perspective of other items and the amount of impact it has, it begins to seem more in line."
With pressure on Albany to continue slashing state spending, Wilson Elser's Shapiro said he saw no end to the steady growth of lobbying revenue, which has increased more than 222 percent since 2000.
"I think as long as you see the types of cuts that are recommended, you're going to see lobbying expenditures go up," Shapiro said.
(Reporting by Jessica Dye)