From the Chicago Tribune


McPier case indictments cloud future of key lobbyist

By Ray Long and Ray Gibson
Tribune staff reporters
Published February 12, 2004
As a dealmaking legislator, then a lobbyist extraordinaire, Al Ronan was
always known around Springfield as an operator, a political player who could
move smoothly between Republicans and Democrats.
During major legislative fights in Springfield, Ronan frequently has turned
up on one side or another, almost always managing to be in the mix.
But that scenario could change with Tuesday's indictment of his firm, Ronan
Potts LLC, on mail and wire fraud charges, legislators and others said.
Though Ronan and his partner, John Potts, were not charged, the firm's
one-time vice president, Julie Starsiak, was indicted in an alleged scheme
to steer an $11.5 million contract at the Metropolitan Pier and Exposition
Authority to an engineering firm.
The authority's board Wednesday directed its staff to terminate its $11.5
million contract with the engineering firm, Jacobs Facilities Inc., after
two former Jacobs employees also were indicted Tuesday. The authority, which
oversees Navy Pier and McCormick Place, is known as McPier.
The board also began exploring how to recover the $2.66 million that McPier
already paid the firm to oversee the $800 million expansion of McCormick
Place, McPier spokesman Billy Weinberg said. The firm's removal will not
affect the scheduled 2008 completion.
At a news conference Tuesday at Ronan Potts, the firm's lawyer defended the
company and said it will plead not guilty to the charges.
"In this indictment, the fault lies here exclusively with Miss Starsiak and
does not extend beyond her to any other employees of the firm," James
Cutrone said. The firm has provided records to a federal grand jury for many
months, Cutrone said.
Starsiak's attorney declined to comment. For more than two decades, Starsiak
was Ronan's trusted assistant. While she was his legislative aide, Ronan
helped her win $90,000 in state contracts.
Over the years, Ronan's lobbying group has won clients ranging from
engineering firms and suburban governments to cable television and the Cook
County Board of Review. Major companies have included Philip Morris Cos.,
Monsanto and Enron. Last year, his clients numbered more than 75.
"You do introductions and highlight the strengths of the firm" being
represented, Ronan said in an interview last year.
He would not characterize whether his ability to get so many clients was
because of his role as a longtime insider. "You make your own analysis,"
Ronan said.
Tapped by Blackhawks owner
Ronan was among the army of lobbyists hired by Blackhawks owner Bill Wirtz
when Wirtz rammed through legislation to protect his liquor empire.
Also, Ronan was hired by the law firm Mayer, Brown & Platt to help then-Gov.
George Ryan and his aide Scott Fawell win approval of the McCormick Place
expansion from the General Assembly, Weinberg said.
Ronan has enjoyed easy access to legislators, but some think Tuesday's
indictment will change that. "I think it is highly problematic" and his
access will diminish, one state senator said.
On Wednesday, the Wine & Spirits Distributors of Illinois reviewed its
employment of Ronan Potts and opted to stay with the firm. "We are happy
with their work," said Paul Jenkins, executive director of the group.
Another longtime client, the Illinois State Medical Society, issued a
statement saying its association with the lobbying firm is under review.
Ronan has long been close to Fawell, McPier's former chief executive officer
who also was charged Tuesday in the alleged bid-rigging scheme. Fawell
already is serving 6 1/2 years in federal prison for corruption while he was
chief of staff at the Illinois secretary of state's office when Ryan headed
it.
"He invested heavily in the Fawell relationship," one associate said of
Ronan.
Ronan and Fawell played golf and traveled extensively, including golfing
trips to Palm Springs, Calif., during Super Bowl weekends, the associate
said. It was not uncommon for Ronan to let people know he was a go-to guy if
somebody needed Fawell's help, the associate said.
`He knew the people'
As a lobbyist, Ronan is talented in the art of persuasion.
"His strength was he knew the people and he knew how they got there," a
lobbyist said. "And he knew if you need X lawmaker's vote, you'd go and talk
to the alderman or the ward committee [that sponsored the lawmaker]. "
Ronan has long been an ally of Ryan, but one of his more complicated
relationships has been with Ald. Richard Mell (33rd), Gov. Rod Blagojevich's
father-in-law.
Ronan and Mell were allies until a falling-out after state legislative
districts were redrawn in 1992. A candidate backed by Mell defeated Ronan in
his re-election bid for the Illinois House, but years later, the two had
largely patched up their differences. Ronan became a prominent contributor
to Mell again, and also to Blagojevich, including during his race for
governor.
A source close to the Blagojevich administration said Ronan played a role in
recommending John Filan as Illinois budget chief after his firm worked as a
lobbyist for Filan's former accounting firm of FPT&W. Filan was a leading
adviser for state finances on Blagojevich's transition team.
Friends of Ronan and Blagojevich say they have a professional relationship.
"He's not one of the kitchen cabinet," one friend said. "His relationship is
more with Mell than with the governor. ... Al came from that ward
organization."
Ronan has had success under Blagojevich.
Public disclosures show Ronan's firm collected $5,000 a month representing
ABN Amro, which got business from the governor's $10 billion pension bond
deal. He later switched and made $10,000 a month with Merrill Lynch.
On Wednesday, the governor was circumspect when asked about his relationship
with Ronan.
"In what way? I know him," Blagojevich said. "He's been a prominent lobbyist
in Springfield since the beginning of the 1990s. He was a former state
legislator who's active and has been helpful to--politically helpful to--men
and women of the legislature and governors of both parties.
"And people are innocent until proven guilty. And so far as I understand it,
the process has to work itself out, and I think that, you know, we'll learn
more about this as events unfold."
Copyright © 2004, Chicago Tribune
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