$3 Billion Undemocratic Corporate Welfare Giveaway

As Wisconsin Gov. Scott Walker leaves office, Republican lawmakers have passed laws that may prevent his successor’s ability to block a massive $3 billion taxpayer-funded subsidy for Foxconn, the tech giant that is planning to build a new manufacturing facility in Wisconsin.

The incoming governor, Tony Evers, unseated Walker in November’s election. Among promises Evers made during the campaign was a pledge to review the $3 billion tax break Walker gave Foxconn.

The $3 billion deal has been characterized as “a lousy deal” by Evers. Along with promising to review thae deal, he promised to disband the Wisconsin Economic Development Corporation (WEDC), the public-private agency created by Walker to serve as a conduit for tax breaks for the rich and other corporate giveaways.

The subsidies promised to Foxconn amount to more than $200,000 a job, and that’s only if Foxconn follows through with plans to create 13,000 jobs, which Foxconn seems to be backing away from, suggesting instead they will have to bring in workers from China to operate the factory, which still hasn’t even been built yet.

The WEDC had been criticized for a total failure of transparency and accountability. Republican’s willingness to engage in this sort of legislation should not be tolerated by the state’s voters.

What’s going on in Wisconsin is fundamentally undemocratic: a loser governor championed an expensive giveaway to a super wealthy foreign company, while signing bills into law that will tilt power towards a branch of government his party still controls.

 

 

Photo: “Bellingham Rolling Rebellion Advocates for Net Neutrality and Takes on TPP & Fast Track” by Backbone Campaign is licensed under CC BY 2.0

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