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31 Jobs Equals $76 Million?

D.C. Auditor Deborah K. Nichols is recommending that the city end the Certified Capital Companies program, which is run by the District Department of Insurance, Securities and Banking, after concluding that it created just 31 jobs after $76 million in expenditures.

The program was created in 2004 to "stimulate the growth of small and start-up businesses in the District of Columbia," according to a report by Nichols. Increased income tax revenues generated by salaries from the newly created jobs were supposed to offset the insurance premium taxes used to fund the progam. With 31 jobs created, that repayment was a failure, according to the report.

Council member Muriel Bowser (D-Ward 4) said she plans to take immediate action after an oversight hearing of DISB today.

"As Chairman of the Committee on Public Services and Consumer Affairs the committee that has oversight of DISB, I will hold this agency accountable for this colossal waste of taxpayer funds," she said in a statement.


By Nikita R Stewart  |  March 13, 2009; 11:41 AM ET
Categories:  D.C. Council  
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Comments

Colossal a waste as it is, I bet it's 31 more jobs -- at least if we're talking full-time, year-round jobs -- than either Nationals Park or that ridiculous soccer stadium will ever create.

The hits keep coming: giant tax office fraud, major technology office fraud, the student funds fraud at DCPS, millions misspent on school renovations, now this. And this is after Tony Williams supposedly cleaned up DC government. Will it ever end?

Posted by: Meridian1 | March 13, 2009 1:48 PM | Report abuse

"As Chairman of the Committee on Public Services and Consumer Affairs the committee that has oversight of DISB, I will hold this agency accountable for this colossal waste of taxpayer funds," she said in a statement.
___________________________________________

Just like her defacto boss, The Mayor, tough talk, little substance.

She will do what she is TOLD to do by the mayor and not a bit more.

Posted by: concernedaboutdc | March 13, 2009 1:49 PM | Report abuse

DC government may have a lot of problems but don't let any public official tell you it's about the money. As other cities around the country have recently issued dire budgetary predictions, there has not been one peep out of the district. I wonder why? Was Bernie Madoof the financial advisor here? DC should turn all government operations to the parking enforcement division because it's the only agency that seems to work. Forget about "No taxation without representation". How about no taxation without accountability?

Posted by: dandaman606 | March 13, 2009 2:13 PM | Report abuse

As a life long resident of DC, it's getting worse not better. I have been trying to pay my taxes on line for over 30 days, they never processed it. Got the bill and now they want interest and penalties. For what, so they can spend on crap like this, or let someone steal it! DC is an embarrassment!

Posted by: joy0353 | March 13, 2009 2:22 PM | Report abuse

Why did it take five years to check on the results of this program? That's not close to adequate management.

Posted by: peter51 | March 13, 2009 2:43 PM | Report abuse

Just to illustrate what a scandal this should be, let's take a $76,000,000 and divide it by the number of DC families living in poverty (approximately) - that's 19,000 families. Voila - $4,000 per family living in poverty. Can you imagine what $4,000 would mean to a poverty stricken family?

DC is a lot better than it used to be, but we are still paying for the Barry years and the Sharon Pratt Dixon/Kelly years.

$76 MILLION DOLLARS???!!!! Unreal.

Posted by: jay4811 | March 13, 2009 3:11 PM | Report abuse

Good. Somebody's watching the money.

Posted by: forgetthis | March 13, 2009 3:14 PM | Report abuse

Meridian 1, stop being such a Limbaugh.

The 76 million would have built the soccer stadium AND created jobs. Such as the one you're actually qualified for since you're posting your screed at work!

Yeagh!

Posted by: bs2004 | March 13, 2009 3:24 PM | Report abuse

Everybody watches money.... go out the doors, but is it ever recovered? Nope... is it ver tracked? Not until the manure is out of the horse.

Give me the $71 million and I'll create not only the jobs to get people out of poverty, by ten times, but provide above-adequate work areas, subsidized dining, computers, training and a lifetime of skills to keep these people out of poverty.

Posted by: Computer_Forensics_Expert_Computer_Expert_Witness | March 13, 2009 3:32 PM | Report abuse

It is not enough just to end the programme. There should be an inverstigation as to why it lasted as long as it did, and prosecution of those who "benefitted" by it. It seems to be much more than general incomptence; there hsa to be fraud, abuse and corruption in this deal.

Posted by: pKrishna43 | March 13, 2009 3:37 PM | Report abuse

Dear concernedaboutdc -

Members of the city council are part of the legislative branch. The mayor is the chief executive. He isn't her boss anymore than Obama is Pelosi's boss. Muriel Bowswer's boss is the election outcome in Ward 4.

Posted by: JeffRandom | March 13, 2009 3:41 PM | Report abuse

Wow, I guess former Mayor Tony Williams subscribed to Ronald Reagan's "trickle down economics theory."

Psst, Mayor Fenty, it didn't work then either!

Posted by: helloisanyoneoutthere | March 13, 2009 3:44 PM | Report abuse

bs2004, stop being such a presumptuous prick.

Meridian1 could be retired, or a student, or a stay-at-home parent, or a night shift worker, or home sick, or one of a myriad of other things that would allow him or her to post while not on the job.

Yeagh!

Posted by: chetter7 | March 13, 2009 4:00 PM | Report abuse

Every time major corruption happens in the district, Marion Barry smiles a little, knowing his legacy is not forgotten.

Posted by: cambel1 | March 13, 2009 4:01 PM | Report abuse

wow, that's tough talk after $31M was wasted in spite of their oversight.


Posted by: dubya19391 | March 13, 2009 4:24 PM | Report abuse

DC will you ever change...probably not.

Posted by: scrappyc20001 | March 13, 2009 4:40 PM | Report abuse

Retrocession never sounded so good!

I wonder if the new NRA-mandated corner gun shops will make a difference.

Posted by: cyclingman | March 13, 2009 5:09 PM | Report abuse

Ya know I am really ready to nominate D.C. Auditor Deborah K. Nichols for Mayor!

She's the only one that gets it.

Posted by: oknow1 | March 13, 2009 5:41 PM | Report abuse

Dear concernedaboutdc -

Members of the city council are part of the legislative branch. The mayor is the chief executive. He isn't her boss anymore than Obama is Pelosi's boss. Muriel Bowswer's boss is the election outcome in Ward 4.

Posted by: JeffRandom | March 13, 2009 3:41 PM
________________________________________


I am well aware of the branches of government. Someone should teach that to Muriel Bowser. She is now and always has been a rubber stamp for the Mayor on the council. His directives drives her legislative pen.

Posted by: concernedaboutdc | March 13, 2009 5:46 PM | Report abuse

This isn't just a program that didn't work. This is fraud. Someone (probably a bunch of people) was handed tens of millions of dollars. What happened to all of that?

It's a safe bet that it was doled out to buddies and family of DC employees, never to be seen again.

Will we get an investigation?

Probably not.

Posted by: HillMan | March 13, 2009 5:47 PM | Report abuse

I'm glad to see more evidence that our nationwide culture of corruption (and us looking the other way, and accepting greed and excess as success) is coming to an end. Amen.

Posted by: undercover_hon | March 13, 2009 5:49 PM | Report abuse

Didn't the Post write glowing reviews of some of these companies over the years in its business section. Maybe its time to take another look at companies like CreateHope, Inside Higher Ed, Community Federal Savings and see what kind of value they actually created for the community.

Posted by: 38dc2801 | March 13, 2009 5:49 PM | Report abuse

JeffRandom

Members of the city council are part of the legislative branch. The mayor is the chief executive. He isn't her boss anymore than Obama is Pelosi's boss. Muriel Bowswer's boss is the election outcome in Ward 4.

Jeff -- It's reassuring to know that there are still babes in the woods; anyone who thinks that Councilmember Bowser doesn't ask "how high" when Prince Adrian, the shoe salesman, says "jump" is eligible to be sold the Brooklyn Bridge.

Posted by: grclarkdc1 | March 13, 2009 8:29 PM | Report abuse

Oh, we DC taxpayers just missed the point. You see, all that spending to produce 76 jobs supported a zillion DC government employee jobs and, quite possibly, their favorite vendors and contractors. And that's worth something, right? Or did someone pull a Madoff, eh?

Posted by: axolotl | March 13, 2009 8:42 PM | Report abuse

B U T .......................

WAS THE SAME PERSON

HIRED

FOR ALL 31 JOBS ?????????????????

Posted by: brucerealtor@gmail.com | March 13, 2009 8:56 PM | Report abuse

Marion Barry and Elanor Holmes Norton don't file income taxes.

$76mm = 31 jobs

...and we wonder why we can't get statehood?

Posted by: JBFranzen | March 14, 2009 4:35 PM | Report abuse

The comments to this entry are closed.

 
 
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