Jay Nixon has a real problem on hands, and it’s not his kid.
News is coming out of Kirksville of another catastrophe brewing.
While this one is on a smaller scale than the Mamtek disaster, it’s not a good sign for the embattled Governor.
Both cases involve the Department of Economic Development (DED) and their loan guarantees.
After learning about the tax credit failure in Moberly that may cost the city millions, a TV station in Kirksville decided to check on a state tax incentive program in their area. In 2009, the state’s Department of Economic Development (DED) awarded a $1 million loan to a company called Wi-Fi Sensors.
In what now appears to be standard operating procedure, Missouri Gov. Jay Nixon visited Kirksville to announce the loan and to tout the promised jobs.
And Nixon’s press release on the matter stated:
The loan will allow Wi-Fi Sensors to expand its operation in Missouri. Under the terms of the loan, the company guarantees the creation of 40 new jobs and new investment of $4,069,000. While guaranteeing a minimum of 40 new jobs, Wi-Fi Sensors representatives believe they may create as many as 100 new jobs through this expansion.
[The Kirksville] TV station visited the Wi-Fi property on Monday, and found nobody. According to its report, Wi-Fi missed its first payment to the state in November 2010.
Missouri Senators are calling for investigations into the DED’s role in the Mamtek fiasco. But they should be investigating this as well.
This is obviously more than an isolated situation, or even two or three isolated situations. This is a blatant failure of DED and Governor’s office, plain and simple.
Is this Jay Nixon’s jobs strategy? He throws his weight blindly behind every jobs opportunity that comes across his desk without forethought, making speeches, giving press conferences, issuing press releases, and pretending that the state isn’t in the shape it’s in.
He is taking our tax dollars and making terrible investments, and if it happened once (or four times) it has likely happened countless others. If the DED has been inflating numbers, and it’s obvious they have, you can count on it having happened repeatedly.
It would seem Jay Nixon has some explaining to do.
But ‘Will he?’ is the question.