Stimulus Contract Evades Competition Rules

[Oshkosh, WI] In 2009, Russ Feingold voted for a stimulus bill he said would create jobs and pontificated that the funds should be spent wisely. But since that time Wisconsin has lost more than 78,000 jobs, Feingold is defending his vote, and a new report details 100 egregious examples of unwise stimulus spending.

When the Small Business Administration (SBA) needed to improve its computer systems, Copper River Information Technology and DRT Strategies were awarded $4.3 million in stimulus funds to do the job.  Problems arose with the project however when the SBA Inspector General reported that the contract awards were “pushed through the Agency, without obtaining the proper signatures and clearance,” and both firms were awarded contracts without competition.

After both saying stimulus dollars should be spent wisely and subsequently defending his vote, it looks like Russ Feingold approves of projects that have been severely mismanaged.

“It’s no wonder that Senator Feingold cannot create jobs or improve our economy when millions of dollars in stimulus projects are continuing to be poorly managed,” said Juston Johnson, Campaign Manager for Ron Johnson for Senate.  “Senator Feingold may be able to provide a 60^th vote for wasteful and bloated stimulus projects, but he has no clue how to create a job.”

The Johnson Campaign will be highlighting wasteful stimulus spending projects Russ Feingold believes are getting the job done for Wisconsin families until Election Day.

Stimulus Facts:

Feingold Said “Stimulus” Must Be Spent Wisely. “Now that the economic recovery package has been signed into law, our focus must be on the challenges ahead, including getting our fiscal house in order and making sure that there is strong oversight of these taxpayer dollars. These funds must be spent wisely if they are to truly work for Wisconsin’s families.”  (Editorial, “Russ Feingold: Stimulus Package Makes Sense,” La Crosse Tribune, 2/25/2009.)

Three days prior to the signing of the stimulus, Senator Feingold issued a press release saying the stimulus would create 2.4 million jobs in the first year, and about nine million jobs in the first three years. (Senator Russ Feingold, ”Statement of U.S. Russ Feingold On The Economic Recovery Package,” Feingold Press Office, February 10, 2009.)

Feingold Provided the 60th Vote for the Stimulus Package. (H.R. 1, 2009 Roll Call #64: Adopted 60-38, 2/13/09, Feingold Voted Yea)

The National Economy has lost over 2.5 Million jobs since the stimulus was signed. (Source, Bureau of Labor Statistics, www.bls.gov,, Accessed August 6, 2010)

Since the Stimulus was signed, the State of Wisconsin has lost more than 78,000 jobs. (Source, Bureau of Labor Statistics, www.bls.gov, Accessed August 20, 2010)

Feingold Defends Stimulus Vote. “I don’t apologize for those votes. Those were the right votes.” (“Feingold defends voting record, Hudson Star Observer, 7/28/2010)

New Report Details Misdirected Stimulus Spending. “Stimulus money is going toward iPods for high school students in Utah, cell phones for smokers trying to quit in Washington, D.C., and advertising devoted to the promotion of … the stimulus. The findings are part of a 74-page report put out by a pair of Republican senators who contend the $862 billion program is fraught with needless spending.” (“New GOP Report Details Misdirected Stimulus Spending, Associated Press, 8/3/2010)

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