Lawmakers from both parties are moving forward with a bill that could send business owners to prison if they defraud the Wisconsin Economic Development Corporation.
At a public hearing, Powers Lake Republican Rep. Samantha Kerkman said the state should punish fraud, no matter who’s committing it.
“Be it $200 in the FoodShare program or be it $100,000 under the WEDC, fraud is fraud,” she said.
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While WEDC, Gov. Scott Walker’s jobs agency, has often been a political football, this bill has bipartisan support. Green Bay Democrat Dave Hansen is the Senate sponsor.
“Just like we have laws against public benefits fraud, we should also have laws against economic assistance fraud,” he said.
However, the measure has at least some in the business community concerned. Lobbyist James Buchen with the Wisconsin Economic Development Association said there are better options.
“Diligence in prosecuting fraud is what’s needed, as opposed to new laws,” Buchen told lawmakers.
He said a law like this could have a “chilling effect” by deterring businesses from using WEDC.
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