Billy Clayton and the Lobby's Revolving Door

You can't expect a former speaker of the Texas House to return to a quiet life in the private sector after his or her stint is over. There's too much money to be made at the Capitol by former speakers who can use their connections for fun and profit.

Take Billy Clayton, the 68-year-old former speaker, who now has one of the biggest and most lucrative lobbying practices in Austin. The former legislator from Springlake made at least $600,000 last year while working for 31 different clients. Clayton served in the House from 1963 to 1983. He was elected speaker in 1975 and became the first speaker to serve more than two consecutive terms -- he served four. But like two other former speakers who have found fortune in the lobby -- Gib Lewis and Ben Barnes -- Clayton's tenure was clouded by allegations of wrongdoing.

Lewis left office and paid a fine for failing to disclose his personal holdings in several companies, and he pled no contest to ethics charges for illegally accepting a gift. For Barnes, who recently resigned as a lobbyist for beleaguered lottery contractor GTECH, the scandal was known as Sharpstown, in which Barnes was one of many state officials tainted by the scandal involving Houston banker Frank Sharp, who allegedly gave favors to legislators in return for favorable treatment at the Lege.

For Clayton, the scandal was called Brilab. In 1979, he accepted $5,000 in cash from a supporter who was participating in an FBI sting operation. Clayton and three others were later indicted on a variety of charges including extortion, racketeering, fraud, and conspiracy. Clayton was accused of accepting the cash in return for reconsidering a $76 million state employees health insurance contract. In January of 1995, during an interview with the Chronicle, Clayton said of the investigation, "It was like a nightmare. I still can't believe it happened. I'd never done anything wrong."

Indeed, several months after Clayton took the money, investigators found the unspent cash in his office. Clayton was later cleared in Houston federal court in 1980 and was elected to one more term as speaker. He retired from the House in January 1983 and was quickly lured into the lobby.

Two of Clayton's top aides also moved into the lobby. Rusty Kelley lobbies for a variety of interests including the Perots, American Airlines, Sprint, and Entergy. Jack Gullahorn, who quit the lobby business shortly after the last session, was considered one of the best lobbyists at the Capitol. He now works for Public Strategies Inc.

During the last session, eight lobbyists were working out of Clayton's lobby firm, Capitol Consultants. According to the Texas Ethics Commission, these are Clayton's current clients and the amount of money each one is paying him:

$50,000 - $99,999.99

• Envirocare of Utah, Inc.
• Global Information Technologies, Inc.
• Martial Arts Assn. of Texas, Inc.
• National Vehicle Leasing Assn.
• Texas Chiropractic College Foundation, Inc.
• Texas Independent Auto Resellers Association
• Texas Paint Council

$25,000 - $49,999.99

• City of Grapevine
• City of Irving
• City of Mesquite
• Unisys Corp.

$10,000 - $24,999.99

• Association of Engineering Geologists
• AT&T Consultants
• ATX Research, Inc.
• Auto Vest
• Citizens for the Preservation of Rural Lifestyle
• Dallas County Flood Control District No. 1
• Fidelity Finance Incorporated
• LDDS Communications
• Public Leasing Corporation
• Public Records Co.
• Southwestern Bell Mobile Systems
• Texas Assn. of Check Cashers, Inc.
• Texas Assn. of Clinical Laboratory Scientists
• Texas Utilities Services, Inc.
• Uvalde Co. Underground Water Conservation District

$1 - $9,999.99

• Clement, Jr., James H.
• Landmark Organization
• Texas Wine & Grape Growers Assn.

$0.00

• Colonial Life Insurance Co.
• H. D. Real Estate

-- Robert Bryce