‘Get the right cases to the supreme court’: inside Charles Koch’s network
Billionaire’s web of rightwing groups works to bring cases to court that could undermine core functionings of the US government
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‘Get the right cases to the supreme court’: inside Charles Koch’s network
Ed PilkingtonCharles Koch’s $5.3bn in donations to various groups ensure that the Koch influence will push the US to the right for years to come. Photograph: David Zalubowski/AP
The Koch network, a web of rightwing groups cultivated by billionaire businessman Charles Koch and his late brother David Koch, is spearheading the attack on federal agencies and government regulations that dominates the US supreme court agenda this term.
The network has been working behind the scenes to bring cases before the court that, if successful, could undermine many of the core functionings of the US government. At least two of the biggest cases to be considered by the justices this term have been spurred by groups bankrolled and coordinated within the Koch universe.
Footage of an internal panel discussion between senior operatives from Koch entities held in the summer of 2022 reveals that the network has been quietly planning the current assault on the “administrative state”. The groups are seeking to exploit the supreme court’s new six-to-three rightwing majority secured by Donald Trump to dismantle vital executive powers.
Regulatory controls in their sights include environmental standards to combat pollution and the climate crisis, consumer protections against predatory lenders, and safeguards for workers’ rights. At stake is what the Strict Scrutiny podcasthas called “the future of government as we know it”.
The footage, which is made public here for the first time, was obtained by the investigative watchdog Documented and shared with the Guardian. During the 37-minute panel discussion, legal strategists with several Koch-related groups expressed excitement that the new hard-right supreme court supermajority had created the potential for a concerted attack on the functions of federal agencies.
Jorge Lima, an economic policy strategist at the Koch network’s central coordinating group, Stand Together, said that the new composition of the court amounted to a huge “landscape opportunity, particularly on the administrative state. We’re doubling down on this strategy.”
Lima added: “Every dog has its day, and it’s a big day for the administrative state.”
Casey Mattox, a legal strategist at the main Koch advocacy group, Americans for Prosperity, argued that the supreme court was now “primed for a real change in the law” on federal regulations which he said amounted to a “paradigm shift”. Mattox said: “That’s why we are partnering with organizations that can get the right cases to the supreme court.”
The effort appears to have borne fruit. Two of the most significant cases before the court in the 2023-24 term, brought with the backing of Koch-linked organizations, attempt to rein back the government’s power to impose regulations on corporations.
The prominence of the cases underlines how the libertarian empire created by the Kochs is still a force to be reckoned with within US politics. Since David Koch’s death in 2019, and the Koch network’s decision to come out in opposition to Trump ahead of next year’s presidential election, the network has receded from public attention.
But the scope of Charles Koch’s reach remains formidable, as was demonstrated earlier this month when the 87-year-old told Forbes that he had given $4.3bn of his Koch Industries stock to Believe in People, a newly created group named after his book of the same title. He has transferred a further $975m to another new entity, CCKc4, which carries the initials of his son Chase Koch.[Charles Koch’s] business operations have a substantial self-interest in assailing regulations that impede his profits
The huge combined $5.3bn in donations, one of the largest acts of giving to non-profits in US history, will ensure that the Koch influence will continue to push the US to the right for years to come. Undermining government regulations is central to those ambitions.
Lisa Graves, the executive director of the progressive watchdog True North Research who is a longtime Koch watcher, said that Charles Koch has shown a “fundamental hostility to government regulation” since his early political writings in the 1960s. “This is the through-line of his career. His business operations have a substantial self-interest in assailing regulations that impede his profits.”
Koch Industries is a conglomerate of energy and chemicals companies that stand to benefit if controls on pollution, workers’ rights and other aspects of public governance are rolled back. The firm is the second largest privately owned company in the US.
Among the big administrative state cases that the justices will be considering this term is Loper Bright Enterprises v Raimondo, which seeks to overturn a 40-year precedent set by the supreme court itself. Known as Chevron, the ruling allows federal agencies the flexibility to reasonably interpret laws without interference from the courts as they regulate critical parts of public life, such as the environment and public safety.