From: "Lisa Subeck, United Wisconsin " <ourvoice@unitedwisconsin.com>
Date: May 8, 2013, 12:09:34 PM CDT
To: Scuba
Subject: Dump Walker's Economic Disaster Corporation
Reply-To: ourvoice@unitedwisconsin.com




Scuba --

Scott Walker's Wisconsin Economic Development Corporation (WEDC) has been a complete disaster. A recent audit reveals rampant scandal and mismanagement at Scott Walker's "jobs creation" agency.

Yet, the Joint Finance Committee is scheduled to vote tomorrow on Walker's proposal to INCREASE taxpayer funding to this grossly mismanaged agency.



Click here to email Joint Finance Committee Co-chairs Alberta Darling and John Nygren, calling on them to delay this vote and launch a full investigation into WEDC.

Below you will find our full statement released today.
Thank you for taking a stand with us,

-Lisa Subeck
Executive Director
United Wisconsin


FOR IMMEDIATE RELEASE

5/8/13

United Wisconsin Calls on Joint Finance Committee to Delay or Dump Wisconsin Economic Development Corporation


Plagued by scandal and mismanagement, Scott Walker’s WEDC spells disaster for Wisconsin

MADISON – With the Joint Finance Committee (JFC) poised to vote on the Wisconsin Economic Development Corporation (WEDC) budget on Thursday, United Wisconsin is calling on the co-chairs of JFC to delay the vote, allowing time for a full investigation after a Legislative Audit Bureau report revealed an alarming pattern of mismanagement and failure on the part of Scott Walker’s flagship quasi-public economic development agency. Since the audit’s release, additional allegations have surfaced through a WKOW-TV investigation that John Gillespie, the high-ranking Public Information Officer hired last month to boost WEDC’s image, owes the state more than $43,000 for delinquent taxes and unemployment compensation overpayment. Gillespie resigned after the investigation was made public, and WEDC issued a statement admitting to using an incomplete process for background checks.

The Governor’s proposed budget includes an increase to WEDC of over $10 million for marketing and $6 million for a “seed accelerator” program over the course of the biennium. The same day JFC is scheduled to vote on these increases, the Legislature’s audit committee is meeting to discuss the audit report.

“How can the Joint Finance Committee vote on funding increases for WEDC at the very same time a scathing audit of the agency is being discussed?” asked United Wisconsin Executive Director Lisa Subeck. “There are clear indications that WEDC spells economic disaster for the state. A rush to vote Thursday on increased funding will only further erode the public’s trust.”

Serious problems found in the audit of WEDC include failure to adequately track loans issued by the agency, non-compliance with state laws, inadequate tracking of job creation by loan recipients, failure to property ascertain eligibility before providing funding to projects, and incomplete policies allowing WEDC staff to accept gifts from the businesses. The audit also points to a number of questionable expenses including tickets to football games, gift cards, and alcoholic beverages.

“Wisconsin remains near the bottom nationally in job creation. Wisconsin taxpayers demand better than WEDC and its alarming pattern of failure,” said Subeck. “We urge the Joint Finance Committee to stand up to WEDC’s poor stewardship of public funds by delaying Thursday’s vote. It would be irresponsible to not allow the time necessary to fully vet the multitude of problems raised in the audit and make the substantial changes necessary to put Wisconsin back on track.”

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United Wisconsin is an independent, grassroots organization of citizens restoring the Wisconsin tradition of democracy in action. For more information, visit our website at www.unitedwisconsin.com.

Sign on here to send an email to Joint Finance Committee Co-chairs Alberta Darling and John Nygren demanding a halt to tomorrow’s vote on giving more taxpayer funding to the scandal-plagued Wisconsin Economic Development Corporation (WEDC).