OK, we all knew Rep. Alan Mollohan (D-WV) was in trouble, but today’s news in the Times makes it look all the worse. At the center of Mollohan’s problems is a system of nonprofits that he’s set up in West Virginia – three of them have recently received word from the FBI that they’ll be subpoenaed.
As a taxpayer, you can’t feel good about the fact that over the last ten years Mollohan’s been able to funnel via earmarks almost half a billion dollars to a handful of his choice nonprofits. Unfortunately, it’s perfectly legal. What isn’t legal – and, in Mollohan’s case, not yet proven – is profiting directly from earmarks or scheming to rewire appropriations as campaign contributions.
We know that Mollohan had a tendency to go in for real estate deals with people who benefited from his earmarks, but so far that smoking gun hasn’t emerged. Maybe the FBI has an idea of where to find it.
Details on Mollohan’s nonprofits below the fold.
From the NY Times earlier this month:
Alan B. Mollohan’s Congressional district in West Virginia has received $480 million in special spending allocations known as earmarks since 1995. About half the money has gone to these five organizations, all of which Mr. Mollohan set up.
West Virginia High Technology Consortium Foundation
FOUNDED: 1990
EMPLOYEES: 148
TOP SALARY: $260,000
ACTIVITIES: Runs its own research projects and works with companies to seed hightech projects. Planning a technology park.
EARMARKS SINCE 1995: $39 million from HUD, S.B.A. and the Justice DepartmentInstitute for Scientific Research
FOUNDED: 1990
EMPLOYEES: 57
TOP SALARY: $362,286
ACTIVITIES:Conducts basic information technology and engineering research for federal agencies.
EARMARKS SINCE 1995: $108 million from NASA and HUDCanaan Valley Institute
FOUNDED: 1995
EMPLOYEES: 49
TOP SALARY: $147,450
ACTIVITIES: Partners with local groups on environmental problems, particularly stream restoration and wastewater treatment.
EARMARKS SINCE 1995: $71 million (awarded funds) from E.P.A. and NOAAVandalia Heritage Foundation
FOUNDED: 1998
EMPLOYEES: 12
TOP SALARY: $102,000
ACTIVITIES: Restores historic buildings, acquires property for development and runs ”legacy” projects of oral histories.
EARMARKS SINCE 1995: $28 million from HUDMountainMade Foundation
FOUNDED: 2000
EMPLOYEES: 19
TOP SALARY: $65,565
ACTIVITIES: Helps local artisans sell wares. Runs craft workshops.
EARMARKS SINCE 1995: $8 million from S.B.A.
Mollohan Investigation Intensifies