Cashing in on Top Connections

After former White House Deputy Chief of Staff Michael Deaver quit last May to become a "public affairs consultant," he drove about town for a while in a dark blue Dodge, very much like the limousines that transport top Executive Branch officials. The car served to get Deaver where he was going in more ways than one: in status-conscious Washington, it was a not-so-subtle reminder of / his White House connections. Now Deaver has given up the status symbol of public power for one of private wealth. These days he rides in a chauffeur- driven Jaguar XJ6 equipped with a car phone that keeps him plugged in to some of the highest offices in the land.

The onetime California p.r. man who followed Ronald Reagan to Washington five years ago has cashed in. As a White House official, he had to moonlight by writing a diet book, while his wife Carolyn, 46, went to work for a p.r. outfit, throwing parties on behalf of private clients. But now a dozen corporations and foreign countries, including CBS, TWA, South Korea, Singapore and Canada, pay him annual retainers that are, he says, "in the six figures." This year he should take home around $400,000 (at the White House, his top salary was $70,200).

What makes Deaver so valuable? "There's no question I've got as good access as anybody in town," says Deaver, as he reclines on a couch in his tastefully appointed office overlooking the Lincoln Memorial. Alone among departing White House aides, Deaver was permitted to keep his White House pass. He also still chats regularly on the phone with Nancy Reagan. But Deaver insists that he never discusses his clients' problems with the First Lady or the President. Actually, Deaver says, he does not do much lobbying. Nor does he do any public relations work, or legislative drafting, or direct mail, or polling, or any of the sorts of services performed by most high-powered influence shops. So what exactly does he do?

"Strategic planning," he says somewhat airily. His clients tell him "where they want to be vis-a-vis Washington in three to five years, and I help them develop a plan to get there." In fact, although Deaver is a relative newcomer to Washington, it is hard to think of a lobbyist who has a better sense of how the Reagan Administration works or who has more clout among the Reaganauts. And in a city where perception is often reality, Deaver is known as a master imagemaker who kept Reagan's profile high and bright. It is not hard to see why the government of South Korea, under fire for unfair trade practices abroad and repression of political dissidents at home, would want to hire him, even at Deaver's asking price of $1.2 million for a three- year contract. "There's a new breed in Washington," says Canadian Ambassador Allan Gotlieb. "Consultants about consultants." Canada hired Deaver--at $105,000 a year--for "his unique knowledge of how this Government ( works from the inside," says Gotlieb.

There are some who think that Canada got more than gossip and advice from Deaver. Though the former deputy chief of staff was rarely involved in policy details at the White House, the Washington Post reports that before he left, he showed surprising interest in the debate over acid rain. It was Deaver who is believed to have persuaded Reagan to accede to the request of the Canadian government for a special commission to investigate the problem and make recommendations. The commission's report, issued in January, called for much stronger measures to reduce acid rain than the Administration had previously sought.

Canada was one of the first clients signed up by Deaver. Acting on complaints from Democratic Congressman John Dingell of Michigan, the General Accounting Office is now investigating Deaver's role for possible conflict of interest. The public official turned private sage dismisses the charges, noting that while he played a role in creating the acid-rain commission, he had nothing to do with its report. "What I did at the White House was part of my public responsibilities. If I'd gone back there after leaving and tried to influence the acid-rain study, that would be a different story. But I really can't understand what the conflict is."

Under the Ethics in Government Act, Deaver is legally barred from discussing private business matters with anyone in the White House for a period of one year after leaving office. "I can't ask the President or anyone in the White House for anything now," he shrugs. Then, brightening, he adds, "I can, starting in May, though."