News Story

Loans From Corporate Welfare Agency Are, Like Its Job Promises, 'Uncollectible'

Along with giving cash handouts to favored developers and corporations, the Michigan Economic Development Corporation is the state agency that also gives out below-market rate loans to businesses.

According to audited financial statements, of the loans still carried on the agency’s books, two out of every three dollars owed were listed as “uncollectible.” That's an $8.4 million write-off on the $12.8 million worth of loans outstanding in 2015.

Programs managed by this agency also have an extensive record of failing to produce the number of new jobs promised.