20140908-NEWS--0001-NAT-CCI-CN_-- 9/5/2014 6:01 PM Page 1 THE LIST AREA’S TOP WOMEN- OWNED COMPANIES CRAIN’S® PAGE 15 NEW YORK BUSINESS VOL. XXX, NO. 36 WWW.CRAINSNEWYORK.COM SEPTEMBER 8-14, 2014 PRICE: $3.00 TheThe NonlobbyistsNonlobbyists They move government without having to disclose their activities. Call them clever, call them stealthy. Just don’t call them lobbyists crain’s composite image:crain’s buck ennis, istock Gov. Andrew Cuomo and Attorney General operated largely in the shadows, maintaining ests before the government. These nonlobby- BY CHRIS BRAGG Eric Schneiderman. her access to elected officials without having ists—at firms such as SKDKnickerbocker, or Since deregistering as a lobbyist, however, to disclose activities that could lead to un- SKDK, and BerlinRosen—get many of the Jennifer Cunningham was at the top of her Ms. Cunningham has remained as active as wanted attention. lucrative paychecks accorded their registered game four years ago when she announced she ever.She has represented health care business- Ms. Cunningham is part of a growing in- peers without the hassles and scrutiny that would leave the lobbying business. Her stated es before Mr.Schneiderman and met with Mr. dustry of strategic consultants who do not reg- come with having to disclose their frequent reason:“to avoid even the appearance of a con- Cuomo on behalf of a lobbying group seeking ister as lobbyists yet nonetheless have close interactions. flict” of interest that could be damaging to the to pass marriage-equality legislation, accord- ties with New York politicians and represent And it’s legal. political allies she had just helped get elected, ing to records obtained by Crain’s. But she has clients (including elected officials) with inter- See LOBBYISTS on Page 44 SOURCE LUNCH: DAVID KOCH REPORT SMALL Billionaire conservative offers BUSINESS Apprenticeships help rare look at his giving, politics firms recruit fresh talent and gain a viled by liberals for his donations to tions with facilities named to ac- More than $1 billion conservative causes. The death knowledge Mr. Koch’s largesse in- competitive edge in philanthropy, but threats Mr. Koch’s political views clude Lincoln Center, the Hospital PAGE 13 elicit have made the affable 74-year- for Special Surgery and the Ameri- all critics see is ‘evil’ old keenly aware that his legacy may can Museum of Natural History. be defined as much by politics as “I am truly committed to making philanthropy. the world a better place,” he told BY THERESA AGOVINO This week, the Metropolitan Crain’s during a rare,extended inter- 36 5 Museum of Art will unveil a $65 view about his philanthropy over With an estimated net worth of million David H. Koch Plaza. New lunch at the Regency Bar & Grill. $41.9 billion, David Koch is the York-Presbyterian Hospital later All told, Mr. Koch says he’s giv- sixth-richest person in the world, this month will break ground on the en away about $1.3 billion—a sum and is as beloved by New York insti- David H. Koch Center, named for that he claims outweighs his politi- tutions for his generosity as he is re- his $100 million gift. Other institu- See SOURCE LUNCH on Page 50 NEWSPAPER 71486 01068 0 20140908-NEWS--0002-NAT-CCI-CN_-- 9/5/2014 6:14 PM Page 1 MANAGING EDITOR’S NOTE Slice of Airbnb FYICRAINSNEWYORK.COM The go-to dollar-slice pizza joint in my Bed-Stuy neighborhood is run by Asad Ali, a 55-year-old former Retailers hoping Fashion newspaper reporter from Week will boost sales Islamabad. Mr. Ali came to New New York 20 years ago hoping to pursue t’s time to strut in front of the cameras. York Fashion Week his craft. He ended up at Crown , and its army of 116,000 Chicken and Pizza on Nostrand fashionistas, descended upon the city late Jeremy Smerd I Avenue. “I started working, made last week for the twice-yearly extravaganza that some money and stuck with the seems to only grow in scale. Designers and business,” he said. “It was a very different retailers are pulling out all the stops to debut neighborhood then.” In 1993, the 79th Precinct saw their spring 2015 collections with performance- Gap’s 55 murders and more than 2,000 robberies. Crime art pieces, such as a yoga show from Athleta brand Opening ap images has since dropped by about 70%, and a few years ago and a theatrical play from Ceremony Mr. Ali shed the bulletproof glass. His business took . ¶ But while the week’s showcase may diverge from the runway, the styles on display Expect to see androgynous looks in soft fabrics and another positive turn this summer.That’s when the should largely follow just a handful of trends. light shades like blush or white Europeans arrived. Mr. Ali, his journalistic instincts , as well as influences from the 1940s, including longer hemlines still intact, quickly learned that the visitors were using and feminine floral prints, said Lizzy Bowring, the head of catwalks at trend-tracking firm BCBG Max Azria Airbnb—budget travelers looking for a shoestring WGSN. ¶ Designer already featured some of the latter styles at its Thursday Normcore meal. He says the added business has boosted his show. , a style characterized by average-looking, blank fashion choices like wearing bottom line by at least 10%. Mr. Ali’s support for plain sneakers or regular jeans (think Gap circa 1993), is also expected to make an appearance, retail buyers are looking forward to Airbnb puts him squarely in the mainstream. A both on the catwalks and in the streets. ¶ Either way, freshness because sales remain lackluster Quinnipiac poll last week said 56% of New Yorkers . ¶ “I have people calling, champing at the bit waiting support apartment sharing, while 36% want to see it for information on key styles,” said Ms. Bowring. “Everyone’s waiting.” —adrianne pasquarelli banned. Hotels and their unions slam Airbnb, but the BLOOMBERG IS BACK. At the end of need of assistance. … HIGH LINE site serves a different customer. Where else can the year, former Mayor Michael LEADER RESIGNS. After just eight HOORAY! Bloomberg will return as the head of months on the job,Jenny Gersten will travelers stay in New York for $50 a night? Not in any NEW YORK was named the nation’s most union hotel—of which there is one in Brooklyn. Bloomberg LP,the financial data and step down as the executive director of bike-friendly city by Bicycle Magazine. media company he co-founded in Friends of the High Line, the non- Democrats, who argue Airbnb hosts flout the law, say 1981. Daniel Doctoroff, CEO since profit that oversees the popular ele- it takes housing off the market.They’d like to curtail 2008 and Mr. Bloomberg’s former vated park. Ms. Gersten, a lifelong the site’s use, hurting outer-borough businessmen deputy mayor, will leave the company theater professional who plans to re- but will remain an adviser to Mr. turn to the arts, will depart at the end like Mr. Ali, who says the benefits of tourism Bloomberg. Mr. Doctoroff will focus of September, when the final section transcend economics.The tourists who buy a slice, he on nonprofit initiatives, including of the park is scheduled to open. … said, have a calming effect on menacing customers Culture Shed, which he co-founded. HOSPITALS GET BOOST FROM MARKET. buck ennis whose orders often sound like threats. “It’s bringing (See Page 47.) … PARADE WELCOMES Increased investment revenue at local GAY GROUP. For the first time, an hospitals is making up for operating OY VEY! money into the community and exposing them to an openly gay group will be allowed to shortfalls. Hospital operating mar- international view,” Mr. Ali said. He even met one CLIMATE CHANGE threatens to create march in next year’s St. Patrick’s Day gins have taken a hit from declining “dangerously hot” subway platforms, says visitor from Saudi Arabia. “I said, ‘Saudi Arabia? And Parade, after decades of controversy. inpatient volumes and reimburse- an MTA report. you’re coming to Bed-Stuy?’ ” The decision comes ments. North Shore- after Mayor Bill de ‘The trouble LIJ’s investment in- Blasio boycotted the come, for instance, 2014 parade and beer with me is, I hit $84 million dur- THIS WEEK IN CRAIN’S maker Guinness ing the first half of dropped its sponsor- make jokes 2014—more than SOURCE LUNCH ------------------------------------1 ship. … SANDY MILE- too often. ... double its figure of a STONES. As of Labor year earlier. … IN THE BOROUGHS-------------------------- 4 istockphoto Day, the city had sent That’s how I WHOLE FOODS IS A IN THE MARKETS----------------------------------5 out 543 checks to BARGAIN. In Man- get through FROM CAPITOL HILL TO THE INSIDER -----------------------------------------------6 property owners and hattan, a basket of 97 produce. … began construction life’ items at Whole WALL STREET. Former House Majori- DIGITAL NY------------------------------------------------------ 7 on 535 homes dam- —Legendary comedian Foods was cheaper ty Leader Eric Cantor has joined bou- OPINION --------------------------------------------------------10 aged by Superstorm Joan Rivers, who died last than similar carts at tique investment bank Moelis & Co. Sandy under the week at 81 after going into FreshDirect, Gris- as vice chairman and director on its GREG DAVID--------------------------------------------11 Build It Back pro- cardiac arrest during a tedes, Food Empori- board. … R.I.P. ANDREW MADOFF. SMALL BUSINESS--------------------------13 gram—exceeding its routine procedure at a um and D’Agostino, The last surviving son of convicted goal of 500 each. The doctor’s office according to Ponzi schemer Bernard Madoff died THE LIST --------------------------------------------------------- GOTHAM GIGS 15 results represent a Bloomberg Intelli- after a battle with cancer at age 48.