Irresponsible loans, a lack of oversight and personnel problems have plagued the Wisconsin Economic Development Corp. since its creation by Gov. Scott Walker's administration in 2011.
The previous explanation that the records were "transitory" has come into question after a state board reversed itself.
The nonpartisan Legislative Fiscal Bureau raised the issue in August, but DOJ and DOA lawyers disagree there's a problem.
The job-creation agency announced Friday the upcoming departure of its fifth chief financial officers in four years.
They are the first confirmation authorities are investigating a company for allegedly misrepresenting itself to WEDC.
The Legislature's audit committee met Wednesday to discuss the Legislative Audit Bureau report on the Wisconsin Economic Development Corp., which was released in May.
Despite signs of trouble within the companies, jobs agency gave $1.4 million to two firms that have failed to repay the loans or create promised jobs.
WASHINGTON — As Gov. Scott Walker begins his presidential campaign, he is confronting a stream of embarrassing revelations from a jobs agency …
Walker was asked about a company that hasn't repaid a $500,000 loan obtained after misrepresenting itself.
Raymond Dreger, a board member of the Wisconsin Economic Development Corp., and chairman of the agency's audit committee, said some of the agency's biggest problems have been resolved.
Assembly Minority Leader Peter Barca says recently released documents include evidence of wrong-doing.
Assembly Democratic Leader Peter Barca of Kenosha accused the Wisconsin Economic Development Corp. of stonewalling his requests for the documents.
The state gave a federally funded $686,000 loan to Morgan Aircraft but failed to perform an up-to-date financial review of its finances. State officials say the company, which created no jobs, is expected to default on the loan by the end of the year.
Walker tells reporters that then-Secretary Mike Huebsch was just doing his job when he pushed for a $500,000 loan that was never repaid.
As the state made a $500,000 loan and later extended the due date for repayment, Building Committee Inc. was collapsing.
The latest audit looked at more than 100 grants and loans made by the Wisconsin Economic Development Corp. and found many did not follow the agency's own policies.
They spoke shortly before boards of the two agencies -- Wisconsin Economic Development Corp. and Wisconsin Housing and Economic Development Authority -- were set to meet in joint session to discuss the proposed merger.
In the letter, Lee Swindall said WEDC chief operations officer — a former aide to Gov. Scott Walker — Ryan Murray was “lacking either the talent or experience” to function in his position.
The board OK'd a $6 million tax credit for a $35 million Ashley expansion that would allow 1,924 layoffs.
The Joint Finance Committee held on to more than $35 million in surplus funds that the co-chairs want to use for economic development programs in the future.
The beleaguered economic development agency had $34 million in unassigned reserves, or 54 percent of revenues, which was $18.4 million more than the limit set by its board.
The bills' measures would make the Wisconsin Economic Development Corp. board more independent, and would require an annual audit.
Assembly Speaker Robin Vos, R-Rochester, said he thinks that the Wisconsin Economic Development Corp. is headed in the right direction despite some embarrassments. And he said that he supports the WEDC budget vote scheduled for Thursday to go forward.
Gov. Scott Walker said he is working to set up a meeting of the board for the Wisconsin Economic Development Corp. in the wake of a scathing state audit. That meeting may be as soon as Wednesday, he said.
Democratic lawmakers on Wisconsin's powerful finance committee are calling for for next week's budget votes on the state's troubled jobs agency to be postponed, saying the Wisconsin Economic Development Corporation shouldn't get more money until questions raised by a recent audit have been answered.
A scathing state audit of Gov. Scott Walker's Wisconsin Economic Development Corporation calls for numerous improvements to the flagship jobs agency.