Monday, 7th June 2010

The Influence of Contributions on ARRA Contracts

The Influence of Contributions on ARRA Contracts
Source: National Institute on Money in State Politics

Although Congress and the President got credit for initiating and passing the American Recovery and Reinvestment Act (ARRA), it was governors and state lawmakers who decided how a significant amount of that federal money would be spent. A new report from the National Institute on Money in State Politics examined what role 2008 contributions to state political campaigns played in the awarding of ARRA contracts.

The report shows that entities that gave money represented only 4 percent of the total number of non-governmental organizations that received contracts in the 3rd and 4th quarters of 2009. These organizations gave $47.4 million to state-level candidates and committees in 2008, and received $7.6 billion in ARRA contracts, or 14 percent of the total amount awarded.

However, while these numbers show that some donors received substantially more than they gave, those who gave the most to candidates in their state generally didn't receive the most money in ARRA contracts. In fact, the only organization among both the top ten campaign contributors as well as the top ten ARRA recipients is Florida Power & Light (or the parent company FPL Group), which gave candidates and committees $1.6 million and received $200 million in contracts. In sharp contrast, Science Applications International Corporation (SAIC)-Frederick Inc. only contributed $13,600 to candidates and committees in 2008 and received contracts worth $319.6 million.

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Category:

• Business and economics (DocuTicker)
• Government and politics (DocuTicker)
• Political process (DocuTicker)

Source:

• National Institute on Money in State Politics

Views: 317

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