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
This article appears in January 17 • 1997 and January 17 • 1997 (Cover).