Howard Rich
Encyclopedia
Howard S. Rich, also Howie Rich (b. 1940) is a Manhattan-based real estate
developer who is notable for funding libertarian
oriented political initiatives such as term limits, school choice
, parental rights regarding education
, limited government
and property rights. He has published essays advocating these positions. He established advocacy organizations such as Americans for Limited Government
and U.S. Term Limits
. He is currently the chairman of several organizations including Legislative Education Action Drive and the Parents in Charge Foundation. Rich has been described as one of the "lower-profile moneymen in American politics" but as a prominent "force in elections across the country." Rich focuses his advocacy mostly on local issues like term limits, not on national campaigns, and doesn't see himself as leaning right or left. He is an effective advocate; National Public Radio identified Rich as a leader behind the independent groups with potential to influence elections.
. He studied economics
at Baruch College
in New York City. He studied investing at the New York University Stern School of Business
. According to one source, Rich initially had a plumbing contracting business, but used its revenues to buy real estate
. He became a real estate entrepreneur around 1965. He began a pattern of buying Manhattan properties, fixing them up, and selling them. In 1970, he bought a multiresidential building. During the next two decades he bought more buildings and modernized them. Rich described his real estate strategy: "I bought buildings when no one else wanted them, then I sold them." By 1986 he owned 17 buildings but sold 15 buildings. After the 1987 stock market crash
he sold one more building. In 1989 he exchanged his remaining property for a property in Houston
. In the 1990s he began purchasing Manhattan properties again. In the 2000s, he sold some Manhattan properties and bought garden apartment developments in different states.
and continued his activism with private groups. In 1990, Rich and his wife Andrea took over the Libertarian Review Foundation, and renamed it the Center for Independent Thought. Rich's wife was an owner of Laissez-Faire Books and was a trustee of the Atlas Economic Research Foundation. While Rich has supported the Libertarian party
, he is enrolled as a Republican
so he can vote in primaries.
alongside David H. Koch
of Koch Industries
.
and the two worked together on a variety of causes. Rich financed Wilson’s efforts at U.S. Term Limits
, Parents in Charge and Americans for Limited Government
. Rich's associate Wilson describes these organizations not as libertarian
but rather as "rolling back the government." Rich explained his mission was to "advance individual freedom and create an atmosphere where we restore the Founders'
concepts of property rights
and free markets." Rich became more politically active in the movement to limit government beginning about 1992. He has supported referendum measures that would limit government spending, curb the seizure of land and offer school vouchers. He prefers underwriting ballot measures rather than lobbying in state capitols. Rich explained: "Working with the state legislators is a fool’s errand" and added "Most of them are RINOs (Republicans in Name Only) who water things down to nothing."
which was headed by Bill Wilson
. In 2009 it had a budget of $4 million. This group has been described as non-partisan. It has been critical of president Obama
. Wilson was quoted as saying "It isn’t one issue — health care, or cap and trade, or one or another appointee ... It’s that government consumes more and more of what we call personal liberty." The organization has also criticized former president Bush
for "egregious federal power-grabs" regarding the USA Patriot Act
, No Child Left Behind and Medicare
. Americans for Limited Government withholds donor names.
which supports limits on the length of office of officials at the local, state, and federal levels. He is chairman of U.S. Term Limits. Rich financed many term limits movements in the 1990s. In an editorial, Rich posed the question: "Who's in charge -- the people or politicians?" He criticized political connections between political contributors and government contractors and wrote: "When government contracts are being handed out, all qualified companies should have a fair chance at getting public business, not just companies that donate to the re-election campaigns of entrenched politicians or hold cocktail parties at expensive restaurants in their honor." He believes term limits are a way to restore popular control over government. He wrote: "The longer politicians are in office, the more likely they are to rip us off for their own benefit -- rewarding the donors who funded their campaigns and the special interests who keep them in power rather than the people they should be serving." He wrote that term limits force politicians "to represent the people instead of advancing their own careers." According to Rich, he and his groups have been successful in creating term limits for 37 governors, 15 state legislatures, and in nine large cities. He is agitated by plans of the New York City Council
to undo term-limit laws passed by a referendum, and compared a possible repeal to undoing the smoking ban
. In USA Today
, he wrote in an editorial that American voters "overwhelmingly support term limits" and that "citizens value fresh ideas, new perspectives and more competitive elections more than the so-called institutional knowledge of the political ruling class." Rich has opposed New York City mayor Bloomberg's
quest for a third mayoral term. He opposes career politicians generally. In 2008, a senior senator of the legislature of Nebraska
blamed Rich and term limits for his "forced retirement," but Rich responded in a letter to the editor of The New York Times
that "term limits have never been aimed at any one individual, but rather at an underlying culture of abuse that invariably tends to place the voracious appetites of government institutions over the best interests of the people they are there to serve."
decision ruled that states could, at their discretion, decide whether it was permissible to permit property to be taken from some owners under the doctrine of eminent domain
and given to other owners. There was a public backlash. Rich helped engineer and encourage a number of ballot initiatives in state elections in 2006 to rein in such takings. Rich said "I believe that property rights in many respects have been taken away from many property owners." Property rights referendums on 12 state ballots became the "biggest ballot issue" in 2006. As a result, in 2006 many states particularly in the west
put initiatives on the ballot restricting eminent domain. Rich helped fund activities in favor of these initiatives.
Rich supported a ballot initiative in California
called Proposition 90 which prohibited cities from "using their condemnation powers to transfer property from one owner to the other." It generated significant controversy. By September 2006, Rich gave $1.77 million to advocate "yes" on Proposition 90, dubbed by proponents as the Protect Our Homes Act, while various opponents gave $1.5 million to advocate against it. A second estimate was that Rich gave $2.75 million via the Fund for Democracy and Americans for Limited Government
to foster advocacy of eminent domain initiatives in California
, Nevada
, Arizona
, Washington, Idaho
and Montana
. Another estimate was that by November 2006, Rich spent $15 million promoting state initiatives.
Sometimes the group paid people as much as $4 to sign a petition to put the initiatives on the ballot, according to one report from the San Francisco Chronicle
which ran editorials opposing the referendum. According to a second source, prices paid for signatures to petition the ballot initiatives ranged from $1 in California
to $3 in Arizona
. The San Francisco Chronicle
, however, felt California's
Proposition 90 initiative went too far and would restrict the power of the state government to create "rights-of-way for utilities" and it worried that states would be unable to enforce environmental
laws since it would be required to compensate property owners for "any substantial economic loss." A reporter for USA Today
suggested the referendums might "gut local and state abilities to enact or enforce virtually any regulations affecting private land use and development." Critics of the property rights proposals suggest the downside is "voting to destroy all land-use regulation."
In 2006, Americans for Limited Government
and other groups spent millions trying to get property rights ballot initiatives in western states such as California
, Washington, Idaho
, and Arizona
. One estimate is that Rich contributed as much as $11 million to support property rights initiatives on ballots throughout much of the West. The ballot initiatives succeeded in nine of eleven states but failed in California
and Idaho
. In 2006, three of Rich's budget-trimming "Taxpayer Bill of Rights" proposals failed, but nine of his twelve eminent domain relief referenda passed overwhelmingly including states such as Louisiana
, Florida
, and South Carolina
. In total, 26 states passed laws that ban the use of eminent domain for economic development purposes.
legislation across the country. Rich is also chairman of the Parents in Charge Foundation. Rich criticized American schools for being "monopolistic" and a "millstone around our children's necks" and wrote that "America consistently (was) lagging behind its industrialized peers in academic achievement." He felt a "competitive education market" would lead to "innovation and improvement" yet he believed the "educational establishment" is opposed to change.
. It supports state affiliates across the nation. He is also a director of the Cato Institute
. He also sits on the Board of Directors of the Friedman Foundation for Educational Choice. Rich is president of U.S. Term Limits
which is headquartered in Washington, D.C.
. He is a director of the Fund for Democracy which provides seed money to state initiative campaigns. Rich also financially supported the libertarian magazine Reason
.
– U.S. Term Limits v. Thornton and Kelo v. New London. Rich said: "The same Gang of Five who overrode millions of votes in favor of term limits in 23 states–ten years later sanctioned handing over private property to private developers to build condos." Rich's group has done last-minute ad blitzes in judicial elections.
Secrecy or openness? A news report from National Public Radio on the show NOW on PBS accused Rich and his organizations of "secretly providing major funding for ballot measures." Rich was accused of using his political advocacy as a means to "shield his portfolio from sticky-fingered bureaucrats" but he countered "It’s a crock" and said "I own no real estate in any of the 12 states where we had property-rights initiatives on the ballot." Rich has been vocal about his financial support of libertarian-related causes. The San Francisco Chronicle
wrote "real estate mogul Howie Rich ... makes no secret of his desire to rein in the power of government."
Letters to donors controversy. In 2004, advocacy groups such as right-wing Swift Boat Veterans For Truth and left-wing MoveOn.org played a role in the presidential election contest of 2004. 527 money kept John Kerry
going after cash dried up after the convention, and 527 money paid for the "infamous Swift boat ads, which painted Mr. Kerry’s military service in shameful hues, with little regard for documented history." Questions about donations to these groups led to the Federal Election Commission
sending subpoenas to donors requesting further information. According to an account in NPR about these investigations of contributions, "donors didn't like it." Later, a letter campaign in August 2008 by the left-leaning organization Accountable America
to donors of right-leaning organizations warned the donors about possible repercussions for contributing to right-wing organizations that might possibly be illegal; in another instance, a $100,000 reward was offered for information about "unlawful conduct by business-oriented or conservative" nonprofit groups and promised to publicize the "'political and business relationships and corrupt activities' of donors to these causes." Later, perhaps as a response to this activity by the left, Rich launched a donor-surveillance letter campaign aimed at liberal donors. Rich's mailing was "two months behind the Democrats
" letter campaign. One estimate was that Rich sent 11,000 letters to left-leaning supporters of liberal causes. According to an account in NPR, he was "watchdogging all those limousine liberals with their checkbooks". Rich's letters to prominent liberal contributors of liberal causes told them that he's watching these donations; the letter read as follows: "As a donor to one or more of these organizations and efforts, you have been able to engage in these activities without notice, operating in relative obscurity ... I am writing to inform you that this will no longer be the case." There was a threat of exposing donations which violated laws or which were being funneled for illegal purposes. According to a newspaper account afterwards, the letters from both sides tried to discourage donors to so-called 527 groups which is "lightly regulated money" that "swamped the 2004 election." Both liberals left-wing groups such as Accountable America
and advocates such as Rich were criticized for "trying to chill free speech" with efforts to intimidate donors to political causes.
Motivation. In an interview in South Carolina
, a reporter asked Rich: "I don't know anyone who invests the kind of money without getting something in return?" Rich replied:
section of Manhattan. Howard Rich currently lives in Philadelphia
with his wife Andrea, and is now expanding his property portfolio to include foreign investments. He gives scholarships to talented kids to leave public schools and study at top private schools; it's called the Student Sponsor Partnership in New York.
Real estate
In general use, esp. North American, 'real estate' is taken to mean "Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water; immovable property of this nature; an interest vested in this; an item of real property; buildings or...
developer who is notable for funding libertarian
Libertarianism
Libertarianism, in the strictest sense, is the political philosophy that holds individual liberty as the basic moral principle of society. In the broadest sense, it is any political philosophy which approximates this view...
oriented political initiatives such as term limits, school choice
School choice
School choice is a term used to describe a wide array of programs aimed at giving families the opportunity to choose the school their children will attend. As a matter of form, school choice does not give preference to one form of schooling or another, rather manifests itself whenever a student...
, parental rights regarding education
Parents' rights movement
The Parents' rights movement is a civil rights movement whose members are primarily interested in issues affecting fathers, mothers and children related to family law, including child custody....
, limited government
Limited government
Limited government is a government which anything more than minimal governmental intervention in personal liberties and the economy is generally disallowed by law, usually in a written constitution. It is written in the United States Constitution in Article 1, Section 8...
and property rights. He has published essays advocating these positions. He established advocacy organizations such as Americans for Limited Government
Americans for Limited Government
Americans for Limited Government describes itself as a non-partisan, nationwide network committed to advancing free-market reforms, private property rights and core American liberties...
and U.S. Term Limits
U.S. Term Limits
U.S. Term Limits is a non-profit organization that lobbies for term limits for elected officials at every level of government in the United States. Among other activities, USTL supports ballot initiatives in numerous states. The organization was established in 1992, and is one of several led by...
. He is currently the chairman of several organizations including Legislative Education Action Drive and the Parents in Charge Foundation. Rich has been described as one of the "lower-profile moneymen in American politics" but as a prominent "force in elections across the country." Rich focuses his advocacy mostly on local issues like term limits, not on national campaigns, and doesn't see himself as leaning right or left. He is an effective advocate; National Public Radio identified Rich as a leader behind the independent groups with potential to influence elections.
Early years
Rich attended the George W. Wingate High School in Brooklyn, New York. While a senior, he earned the New York State Regents scholarshipRegents Examinations
Regents High School examinations, sometimes shortened to the Regents, are mandatory in New York State through the New York State Education Department, designed and administered under the authority of the Board of Regents of the University of the State of New York...
. He studied economics
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...
at Baruch College
Baruch College
Bernard M. Baruch College, more commonly known as Baruch College, is a constituent college of the City University of New York, located in the Flatiron district of Manhattan, New York City. With an acceptance rate of just 23%, Baruch is among the most competitive and diverse colleges in the nation...
in New York City. He studied investing at the New York University Stern School of Business
New York University Stern School of Business
The Leonard N. Stern School of Business is New York University's business school. It was established in 1900 as the NYU School of Commerce, Accounts and Finance. In 1988 it was named after Leonard N. Stern, an alumnus and benefactor of the school...
. According to one source, Rich initially had a plumbing contracting business, but used its revenues to buy real estate
Real estate investing
Real estate investing involves the purchase, ownership, management, rental and/or sale of real estate for profit. Improvement of realty property as part of a real estate investment strategy is generally considered to be a sub-specialty of real estate investing called real estate development...
. He became a real estate entrepreneur around 1965. He began a pattern of buying Manhattan properties, fixing them up, and selling them. In 1970, he bought a multiresidential building. During the next two decades he bought more buildings and modernized them. Rich described his real estate strategy: "I bought buildings when no one else wanted them, then I sold them." By 1986 he owned 17 buildings but sold 15 buildings. After the 1987 stock market crash
Black Monday (1987)
In finance, Black Monday refers to Monday October 19, 1987, when stock markets around the world crashed, shedding a huge value in a very short time. The crash began in Hong Kong and spread west to Europe, hitting the United States after other markets had already declined by a significant margin...
he sold one more building. In 1989 he exchanged his remaining property for a property in Houston
Houston, Texas
Houston is the fourth-largest city in the United States, and the largest city in the state of Texas. According to the 2010 U.S. Census, the city had a population of 2.1 million people within an area of . Houston is the seat of Harris County and the economic center of , which is the ...
. In the 1990s he began purchasing Manhattan properties again. In the 2000s, he sold some Manhattan properties and bought garden apartment developments in different states.
Libertarian beginnings
Before 1983, Rich was active in the Libertarian Party and worked with Charles Koch to promote small-government and free-market causes. After 1983, Rich left the Libertarian partyLibertarian Party (United States)
The Libertarian Party is the third largest and fastest growing political party in the United States. The political platform of the Libertarian Party reflects its brand of libertarianism, favoring minimally regulated, laissez-faire markets, strong civil liberties, minimally regulated migration...
and continued his activism with private groups. In 1990, Rich and his wife Andrea took over the Libertarian Review Foundation, and renamed it the Center for Independent Thought. Rich's wife was an owner of Laissez-Faire Books and was a trustee of the Atlas Economic Research Foundation. While Rich has supported the Libertarian party
Libertarian Party (United States)
The Libertarian Party is the third largest and fastest growing political party in the United States. The political platform of the Libertarian Party reflects its brand of libertarianism, favoring minimally regulated, laissez-faire markets, strong civil liberties, minimally regulated migration...
, he is enrolled as a Republican
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...
so he can vote in primaries.
Cato Institute
Rich serves on the Board of Directors of the Cato InstituteCato Institute
The Cato Institute is a libertarian think tank headquartered in Washington, D.C. It was founded in 1977 by Edward H. Crane, who remains president and CEO, and Charles Koch, chairman of the board and chief executive officer of the conglomerate Koch Industries, Inc., the largest privately held...
alongside David H. Koch
David H. Koch
David Hamilton Koch is an American businessman, philanthropist, political activist, and chemical engineer. He is a co-owner and an executive vice president of Koch Industries, a conglomerate that is the second-largest privately held company in the U.S...
of Koch Industries
Koch Industries
Koch Industries, Inc. , is an American private energy conglomerate based in Wichita, Kansas, with subsidiaries involved in manufacturing, trading and investments. Koch also owns Invista, Georgia-Pacific, Flint Hills Resources, Koch Pipeline, Koch Fertilizer, Koch Minerals and Matador Cattle Company...
.
Non-partisan activism
In 1992, Rich met Bill WilsonBill Wilson (Americans for Limited Government)
Bill Wilson is the head of the Virginia-based Americans for Limited Government, an advocacy group financed in part by New York real estate magnate Howard Rich...
and the two worked together on a variety of causes. Rich financed Wilson’s efforts at U.S. Term Limits
U.S. Term Limits
U.S. Term Limits is a non-profit organization that lobbies for term limits for elected officials at every level of government in the United States. Among other activities, USTL supports ballot initiatives in numerous states. The organization was established in 1992, and is one of several led by...
, Parents in Charge and Americans for Limited Government
Americans for Limited Government
Americans for Limited Government describes itself as a non-partisan, nationwide network committed to advancing free-market reforms, private property rights and core American liberties...
. Rich's associate Wilson describes these organizations not as libertarian
Libertarian
Libertarian may refer to:*A proponent of libertarianism, a political philosophy that upholds individual liberty, especially freedom of expression and action*A member of a libertarian political party; including:**Libertarian Party...
but rather as "rolling back the government." Rich explained his mission was to "advance individual freedom and create an atmosphere where we restore the Founders'
Founding Fathers of the United States
The Founding Fathers of the United States of America were political leaders and statesmen who participated in the American Revolution by signing the United States Declaration of Independence, taking part in the American Revolutionary War, establishing the United States Constitution, or by some...
concepts of property rights
Property
Property is any physical or intangible entity that is owned by a person or jointly by a group of people or a legal entity like a corporation...
and free markets." Rich became more politically active in the movement to limit government beginning about 1992. He has supported referendum measures that would limit government spending, curb the seizure of land and offer school vouchers. He prefers underwriting ballot measures rather than lobbying in state capitols. Rich explained: "Working with the state legislators is a fool’s errand" and added "Most of them are RINOs (Republicans in Name Only) who water things down to nothing."
Americans for Limited Government
Rich has been a key financial supporter of Americans for Limited GovernmentAmericans for Limited Government
Americans for Limited Government describes itself as a non-partisan, nationwide network committed to advancing free-market reforms, private property rights and core American liberties...
which was headed by Bill Wilson
Bill Wilson (Americans for Limited Government)
Bill Wilson is the head of the Virginia-based Americans for Limited Government, an advocacy group financed in part by New York real estate magnate Howard Rich...
. In 2009 it had a budget of $4 million. This group has been described as non-partisan. It has been critical of president Obama
Barack Obama
Barack Hussein Obama II is the 44th and current President of the United States. He is the first African American to hold the office. Obama previously served as a United States Senator from Illinois, from January 2005 until he resigned following his victory in the 2008 presidential election.Born in...
. Wilson was quoted as saying "It isn’t one issue — health care, or cap and trade, or one or another appointee ... It’s that government consumes more and more of what we call personal liberty." The organization has also criticized former president Bush
George W. Bush
George Walker Bush is an American politician who served as the 43rd President of the United States, from 2001 to 2009. Before that, he was the 46th Governor of Texas, having served from 1995 to 2000....
for "egregious federal power-grabs" regarding the USA Patriot Act
USA PATRIOT Act
The USA PATRIOT Act is an Act of the U.S. Congress that was signed into law by President George W. Bush on October 26, 2001...
, No Child Left Behind and Medicare
Medicare (United States)
Medicare is a social insurance program administered by the United States government, providing health insurance coverage to people who are aged 65 and over; to those who are under 65 and are permanently physically disabled or who have a congenital physical disability; or to those who meet other...
. Americans for Limited Government withholds donor names.
Term limits
In 1992 Rich founded U.S. Term LimitsU.S. Term Limits
U.S. Term Limits is a non-profit organization that lobbies for term limits for elected officials at every level of government in the United States. Among other activities, USTL supports ballot initiatives in numerous states. The organization was established in 1992, and is one of several led by...
which supports limits on the length of office of officials at the local, state, and federal levels. He is chairman of U.S. Term Limits. Rich financed many term limits movements in the 1990s. In an editorial, Rich posed the question: "Who's in charge -- the people or politicians?" He criticized political connections between political contributors and government contractors and wrote: "When government contracts are being handed out, all qualified companies should have a fair chance at getting public business, not just companies that donate to the re-election campaigns of entrenched politicians or hold cocktail parties at expensive restaurants in their honor." He believes term limits are a way to restore popular control over government. He wrote: "The longer politicians are in office, the more likely they are to rip us off for their own benefit -- rewarding the donors who funded their campaigns and the special interests who keep them in power rather than the people they should be serving." He wrote that term limits force politicians "to represent the people instead of advancing their own careers." According to Rich, he and his groups have been successful in creating term limits for 37 governors, 15 state legislatures, and in nine large cities. He is agitated by plans of the New York City Council
New York City Council
The New York City Council is the lawmaking body of the City of New York. It has 51 members from 51 council districts throughout the five boroughs. The Council serves as a check against the mayor in a "strong" mayor-council government model. The council monitors performance of city agencies and...
to undo term-limit laws passed by a referendum, and compared a possible repeal to undoing the smoking ban
Smoking ban
Smoking bans are public policies, including criminal laws and occupational safety and health regulations, which prohibit tobacco smoking in workplaces and/or other public spaces...
. In USA Today
USA Today
USA Today is a national American daily newspaper published by the Gannett Company. It was founded by Al Neuharth. The newspaper vies with The Wall Street Journal for the position of having the widest circulation of any newspaper in the United States, something it previously held since 2003...
, he wrote in an editorial that American voters "overwhelmingly support term limits" and that "citizens value fresh ideas, new perspectives and more competitive elections more than the so-called institutional knowledge of the political ruling class." Rich has opposed New York City mayor Bloomberg's
Michael Bloomberg
Michael Rubens Bloomberg is the current Mayor of New York City. With a net worth of $19.5 billion in 2011, he is also the 12th-richest person in the United States...
quest for a third mayoral term. He opposes career politicians generally. In 2008, a senior senator of the legislature of Nebraska
Nebraska
Nebraska is a state on the Great Plains of the Midwestern United States. The state's capital is Lincoln and its largest city is Omaha, on the Missouri River....
blamed Rich and term limits for his "forced retirement," but Rich responded in a letter to the editor of The New York Times
The New York Times
The New York Times is an American daily newspaper founded and continuously published in New York City since 1851. The New York Times has won 106 Pulitzer Prizes, the most of any news organization...
that "term limits have never been aimed at any one individual, but rather at an underlying culture of abuse that invariably tends to place the voracious appetites of government institutions over the best interests of the people they are there to serve."
Property rights
The Kelo v. New London Supreme CourtSupreme Court of the United States
The Supreme Court of the United States is the highest court in the United States. It has ultimate appellate jurisdiction over all state and federal courts, and original jurisdiction over a small range of cases...
decision ruled that states could, at their discretion, decide whether it was permissible to permit property to be taken from some owners under the doctrine of eminent domain
Eminent domain
Eminent domain , compulsory purchase , resumption/compulsory acquisition , or expropriation is an action of the state to seize a citizen's private property, expropriate property, or seize a citizen's rights in property with due monetary compensation, but without the owner's consent...
and given to other owners. There was a public backlash. Rich helped engineer and encourage a number of ballot initiatives in state elections in 2006 to rein in such takings. Rich said "I believe that property rights in many respects have been taken away from many property owners." Property rights referendums on 12 state ballots became the "biggest ballot issue" in 2006. As a result, in 2006 many states particularly in the west
Western United States
.The Western United States, commonly referred to as the American West or simply "the West," traditionally refers to the region comprising the westernmost states of the United States. Because the U.S. expanded westward after its founding, the meaning of the West has evolved over time...
put initiatives on the ballot restricting eminent domain. Rich helped fund activities in favor of these initiatives.
Rich supported a ballot initiative in California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
called Proposition 90 which prohibited cities from "using their condemnation powers to transfer property from one owner to the other." It generated significant controversy. By September 2006, Rich gave $1.77 million to advocate "yes" on Proposition 90, dubbed by proponents as the Protect Our Homes Act, while various opponents gave $1.5 million to advocate against it. A second estimate was that Rich gave $2.75 million via the Fund for Democracy and Americans for Limited Government
Americans for Limited Government
Americans for Limited Government describes itself as a non-partisan, nationwide network committed to advancing free-market reforms, private property rights and core American liberties...
to foster advocacy of eminent domain initiatives in California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
, Nevada
Nevada
Nevada is a state in the western, mountain west, and southwestern regions of the United States. With an area of and a population of about 2.7 million, it is the 7th-largest and 35th-most populous state. Over two-thirds of Nevada's people live in the Las Vegas metropolitan area, which contains its...
, Arizona
Arizona
Arizona ; is a state located in the southwestern region of the United States. It is also part of the western United States and the mountain west. The capital and largest city is Phoenix...
, Washington, Idaho
Idaho
Idaho is a state in the Rocky Mountain area of the United States. The state's largest city and capital is Boise. Residents are called "Idahoans". Idaho was admitted to the Union on July 3, 1890, as the 43rd state....
and Montana
Montana
Montana is a state in the Western United States. The western third of Montana contains numerous mountain ranges. Smaller, "island ranges" are found in the central third of the state, for a total of 77 named ranges of the Rocky Mountains. This geographical fact is reflected in the state's name,...
. Another estimate was that by November 2006, Rich spent $15 million promoting state initiatives.
Sometimes the group paid people as much as $4 to sign a petition to put the initiatives on the ballot, according to one report from the San Francisco Chronicle
San Francisco Chronicle
thumb|right|upright|The Chronicle Building following the [[1906 San Francisco earthquake|1906 earthquake]] and fireThe San Francisco Chronicle is a newspaper serving primarily the San Francisco Bay Area of the U.S. state of California, but distributed throughout Northern and Central California,...
which ran editorials opposing the referendum. According to a second source, prices paid for signatures to petition the ballot initiatives ranged from $1 in California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
to $3 in Arizona
Arizona
Arizona ; is a state located in the southwestern region of the United States. It is also part of the western United States and the mountain west. The capital and largest city is Phoenix...
. The San Francisco Chronicle
San Francisco Chronicle
thumb|right|upright|The Chronicle Building following the [[1906 San Francisco earthquake|1906 earthquake]] and fireThe San Francisco Chronicle is a newspaper serving primarily the San Francisco Bay Area of the U.S. state of California, but distributed throughout Northern and Central California,...
, however, felt California's
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
Proposition 90 initiative went too far and would restrict the power of the state government to create "rights-of-way for utilities" and it worried that states would be unable to enforce environmental
Environmentalism
Environmentalism is a broad philosophy, ideology and social movement regarding concerns for environmental conservation and improvement of the health of the environment, particularly as the measure for this health seeks to incorporate the concerns of non-human elements...
laws since it would be required to compensate property owners for "any substantial economic loss." A reporter for USA Today
USA Today
USA Today is a national American daily newspaper published by the Gannett Company. It was founded by Al Neuharth. The newspaper vies with The Wall Street Journal for the position of having the widest circulation of any newspaper in the United States, something it previously held since 2003...
suggested the referendums might "gut local and state abilities to enact or enforce virtually any regulations affecting private land use and development." Critics of the property rights proposals suggest the downside is "voting to destroy all land-use regulation."
In 2006, Americans for Limited Government
Americans for Limited Government
Americans for Limited Government describes itself as a non-partisan, nationwide network committed to advancing free-market reforms, private property rights and core American liberties...
and other groups spent millions trying to get property rights ballot initiatives in western states such as California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
, Washington, Idaho
Idaho
Idaho is a state in the Rocky Mountain area of the United States. The state's largest city and capital is Boise. Residents are called "Idahoans". Idaho was admitted to the Union on July 3, 1890, as the 43rd state....
, and Arizona
Arizona
Arizona ; is a state located in the southwestern region of the United States. It is also part of the western United States and the mountain west. The capital and largest city is Phoenix...
. One estimate is that Rich contributed as much as $11 million to support property rights initiatives on ballots throughout much of the West. The ballot initiatives succeeded in nine of eleven states but failed in California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
and Idaho
Idaho
Idaho is a state in the Rocky Mountain area of the United States. The state's largest city and capital is Boise. Residents are called "Idahoans". Idaho was admitted to the Union on July 3, 1890, as the 43rd state....
. In 2006, three of Rich's budget-trimming "Taxpayer Bill of Rights" proposals failed, but nine of his twelve eminent domain relief referenda passed overwhelmingly including states such as Louisiana
Louisiana
Louisiana is a state located in the southern region of the United States of America. Its capital is Baton Rouge and largest city is New Orleans. Louisiana is the only state in the U.S. with political subdivisions termed parishes, which are local governments equivalent to counties...
, Florida
Florida
Florida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
, and South Carolina
South Carolina
South Carolina is a state in the Deep South of the United States that borders Georgia to the south, North Carolina to the north, and the Atlantic Ocean to the east. Originally part of the Province of Carolina, the Province of South Carolina was one of the 13 colonies that declared independence...
. In total, 26 states passed laws that ban the use of eminent domain for economic development purposes.
Educational reform
In 2000 Rich founded the Legislative Education Action Drive, or LEAD, which focused on enacting school choiceSchool choice
School choice is a term used to describe a wide array of programs aimed at giving families the opportunity to choose the school their children will attend. As a matter of form, school choice does not give preference to one form of schooling or another, rather manifests itself whenever a student...
legislation across the country. Rich is also chairman of the Parents in Charge Foundation. Rich criticized American schools for being "monopolistic" and a "millstone around our children's necks" and wrote that "America consistently (was) lagging behind its industrialized peers in academic achievement." He felt a "competitive education market" would lead to "innovation and improvement" yet he believed the "educational establishment" is opposed to change.
Board memberships
Rich is on the board of the Club for GrowthClub for Growth
The Club for Growth is a politically conservative 527 organization active in the United States of America, with an agenda focussed on taxation and other economic issues, and with an affiliated political action committee . The Club advocates lower taxes, limited government, less government spending,...
. It supports state affiliates across the nation. He is also a director of the Cato Institute
Cato Institute
The Cato Institute is a libertarian think tank headquartered in Washington, D.C. It was founded in 1977 by Edward H. Crane, who remains president and CEO, and Charles Koch, chairman of the board and chief executive officer of the conglomerate Koch Industries, Inc., the largest privately held...
. He also sits on the Board of Directors of the Friedman Foundation for Educational Choice. Rich is president of U.S. Term Limits
U.S. Term Limits
U.S. Term Limits is a non-profit organization that lobbies for term limits for elected officials at every level of government in the United States. Among other activities, USTL supports ballot initiatives in numerous states. The organization was established in 1992, and is one of several led by...
which is headquartered in Washington, D.C.
Washington, D.C.
Washington, D.C., formally the District of Columbia and commonly referred to as Washington, "the District", or simply D.C., is the capital of the United States. On July 16, 1790, the United States Congress approved the creation of a permanent national capital as permitted by the U.S. Constitution....
. He is a director of the Fund for Democracy which provides seed money to state initiative campaigns. Rich also financially supported the libertarian magazine Reason
Reason (magazine)
Reason is a libertarian monthly magazine published by the Reason Foundation. The magazine has a circulation of around 60,000 and was named one of the 50 best magazines in 2003 and 2004 by the Chicago Tribune.- History :...
.
Judges
Rich also champions the position of holding "judges accountable to the rule of law." Rich criticized two 5-4 decisions by the Supreme CourtSupreme Court of the United States
The Supreme Court of the United States is the highest court in the United States. It has ultimate appellate jurisdiction over all state and federal courts, and original jurisdiction over a small range of cases...
– U.S. Term Limits v. Thornton and Kelo v. New London. Rich said: "The same Gang of Five who overrode millions of votes in favor of term limits in 23 states–ten years later sanctioned handing over private property to private developers to build condos." Rich's group has done last-minute ad blitzes in judicial elections.
Criticism and controversy
Criticism from the Left. Rich has been described as being attacked by left-leaning activists; one reporter wrote "'Howie Rich from New York City' has become the Left’s latest whipping boy." One pamphlet accused Rich of "dirty tactics, hidden money streams, and shadowy operatives." He's been accused of being a "special interest group" and of operating a "tangled extremist web." Rich responded: "I have been fortunate enough to have been successful in business, and I want to do something in this life to advance liberty." Rich said: "It’s very difficult in many of these states, and very expensive, to get these measures on the ballot ... All I have done here, for the most part, is provide seed money. All of these initiatives are left up to the voters. That’s what these people, who consider money evil, are not willing to address. It’s the voters in these states who ultimately make the decisions."Secrecy or openness? A news report from National Public Radio on the show NOW on PBS accused Rich and his organizations of "secretly providing major funding for ballot measures." Rich was accused of using his political advocacy as a means to "shield his portfolio from sticky-fingered bureaucrats" but he countered "It’s a crock" and said "I own no real estate in any of the 12 states where we had property-rights initiatives on the ballot." Rich has been vocal about his financial support of libertarian-related causes. The San Francisco Chronicle
San Francisco Chronicle
thumb|right|upright|The Chronicle Building following the [[1906 San Francisco earthquake|1906 earthquake]] and fireThe San Francisco Chronicle is a newspaper serving primarily the San Francisco Bay Area of the U.S. state of California, but distributed throughout Northern and Central California,...
wrote "real estate mogul Howie Rich ... makes no secret of his desire to rein in the power of government."
Letters to donors controversy. In 2004, advocacy groups such as right-wing Swift Boat Veterans For Truth and left-wing MoveOn.org played a role in the presidential election contest of 2004. 527 money kept John Kerry
John Kerry
John Forbes Kerry is the senior United States Senator from Massachusetts, the 10th most senior U.S. Senator and chairman of the Senate Foreign Relations Committee. He was the presidential nominee of the Democratic Party in the 2004 presidential election, but lost to former President George W...
going after cash dried up after the convention, and 527 money paid for the "infamous Swift boat ads, which painted Mr. Kerry’s military service in shameful hues, with little regard for documented history." Questions about donations to these groups led to the Federal Election Commission
Federal Election Commission
The Federal Election Commission is an independent regulatory agency that was founded in 1975 by the United States Congress to regulate the campaign finance legislation in the United States. It was created in a provision of the 1975 amendment to the Federal Election Campaign Act...
sending subpoenas to donors requesting further information. According to an account in NPR about these investigations of contributions, "donors didn't like it." Later, a letter campaign in August 2008 by the left-leaning organization Accountable America
Accountable America
Accountable America is a left-wing political group created in the summer of 2008. Its goal is to reduce political donations to conservative 527 groups....
to donors of right-leaning organizations warned the donors about possible repercussions for contributing to right-wing organizations that might possibly be illegal; in another instance, a $100,000 reward was offered for information about "unlawful conduct by business-oriented or conservative" nonprofit groups and promised to publicize the "'political and business relationships and corrupt activities' of donors to these causes." Later, perhaps as a response to this activity by the left, Rich launched a donor-surveillance letter campaign aimed at liberal donors. Rich's mailing was "two months behind the Democrats
Democratic Party (United States)
The Democratic Party is one of two major contemporary political parties in the United States, along with the Republican Party. The party's socially liberal and progressive platform is largely considered center-left in the U.S. political spectrum. The party has the lengthiest record of continuous...
" letter campaign. One estimate was that Rich sent 11,000 letters to left-leaning supporters of liberal causes. According to an account in NPR, he was "watchdogging all those limousine liberals with their checkbooks". Rich's letters to prominent liberal contributors of liberal causes told them that he's watching these donations; the letter read as follows: "As a donor to one or more of these organizations and efforts, you have been able to engage in these activities without notice, operating in relative obscurity ... I am writing to inform you that this will no longer be the case." There was a threat of exposing donations which violated laws or which were being funneled for illegal purposes. According to a newspaper account afterwards, the letters from both sides tried to discourage donors to so-called 527 groups which is "lightly regulated money" that "swamped the 2004 election." Both liberals left-wing groups such as Accountable America
Accountable America
Accountable America is a left-wing political group created in the summer of 2008. Its goal is to reduce political donations to conservative 527 groups....
and advocates such as Rich were criticized for "trying to chill free speech" with efforts to intimidate donors to political causes.
Motivation. In an interview in South Carolina
South Carolina
South Carolina is a state in the Deep South of the United States that borders Georgia to the south, North Carolina to the north, and the Atlantic Ocean to the east. Originally part of the Province of Carolina, the Province of South Carolina was one of the 13 colonies that declared independence...
, a reporter asked Rich: "I don't know anyone who invests the kind of money without getting something in return?" Rich replied:
There is great satisfaction. I went to public schools. My wife did. My two sons did. Here's an opportunity to give back something where kids will have an opportunity and parents will have an opportunity to go to a school of their choice not some school mandated by government. If every proposal that I have favored over the last 20 years got enacted, whether its term limits or school choice or property rights or any area -- I get no personal benefit out of it. I don't make a nickel. Here in South CarolinaSouth CarolinaSouth Carolina is a state in the Deep South of the United States that borders Georgia to the south, North Carolina to the north, and the Atlantic Ocean to the east. Originally part of the Province of Carolina, the Province of South Carolina was one of the 13 colonies that declared independence...
I own no property. I have no businesses down here. So there's no real monetary benefit.
Current
Rich has an office in the SoHoSoHo
SoHo is a neighborhood in Lower Manhattan, New York City, notable for being the location of many artists' lofts and art galleries, and also, more recently, for the wide variety of stores and shops ranging from trendy boutiques to outlets of upscale national and international chain stores...
section of Manhattan. Howard Rich currently lives in Philadelphia
Philadelphia, Pennsylvania
Philadelphia is the largest city in the Commonwealth of Pennsylvania and the county seat of Philadelphia County, with which it is coterminous. The city is located in the Northeastern United States along the Delaware and Schuylkill rivers. It is the fifth-most-populous city in the United States,...
with his wife Andrea, and is now expanding his property portfolio to include foreign investments. He gives scholarships to talented kids to leave public schools and study at top private schools; it's called the Student Sponsor Partnership in New York.