Monday, October 05, 2009

Film Office report shows complete failure by Executive Branch to perform its duty:

Governor Culver’s habitual lack of oversight costs taxpayers millions

Des Moines, IA – Republican Party of Iowa State Chairman Matt Strawn today commented on the contents of a preliminary review of the Iowa Film Office tax credit program that details significant lapses in the provision of Executive Branch oversight of this costly program. Strawn said, “This initial report clearly shows Governor Culver and his appointed administrators allowed this multi-million dollar program to operate with virtually no accountability or substantial oversight.

“Even the Iowa Attorney General is forced to conclude that the Culver Administration failed to implement this program properly. What we are left with is a trail of incomplete or inadequate expense records, sham pass through corporations, and unqualified out-of-state expenditures that will ultimately cost Iowa taxpayers millions,” said Strawn.

In a statement released earlier today, the Iowa Attorney General said, “The Attorney General’s Office has found the statute regarding tax credits was not implemented properly in at least several ways: investment tax credits were not calculated according to the statute; expenses were not adequately vetted and verified; projects were not justified in terms of their economic benefit to the State compared to their cost; and the definition of ‘investment’ sometimes was improperly applied.”

Strawn said, “Responsibility for implementing this program and ensuring its resources were used wisely and for the intended purposes rests with Governor Culver and his administration.

“The Iowa Film Office debacle is just one more example of the Governor’s habitual lack of administrative oversight and unwillingness to confront the problems facing this state. His actions in this matter came far too late and far too little to save the tens of millions of taxpayer dollars that may have already floated out of Iowa,” concluded Strawn.

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