Why State Government Shouldn’t “Invest” Taxpayer Money

There have been countless examples of failed corporate welfare under Governor Rendell, and Governor Ridge before him. The latest example coming from Lebanon, PA:

Lebanon Daily News, August 14, 2004

Gov. Ed Rendell came to Lebanon yesterday and delivered almost $7 million for four projects that could bring hundreds of jobs to the county and spark a historic downtown renaissance.

The visit was part of a daylong journey through central Pennsylvania that also saw the governor and Department of Community and Economic Development Secretary Dennis Yablonsky distribute more than $32 million in DCED grants to projects in Lancaster, York, and Gettysburg. Most of the money comes from a $2.3 billion economic-stimulus package proposed by Rendell and passed by the Legislature this summer.

In a series of staged-for-media presentations of oversize replica checks, the governor handed out: …

$1.7 million to businessman Bill Kolovani, who will restore Lebanon’s Market House building at 31 S. Eighth Street into a farmers market that will house about 50 vendors, two restaurants, a food court and an art gallery.

Lebanon Daily News, September 29, 2009

Kolovani & Company’s going-out-of-business sale began at 9 a.m. today at 816 Cumberland St. With discounts of between 40 and 70 percent, Kolovani said he hopes to clear out his inventory within two months. …

Lebanon Landmarks, Kolovani’s umbrella business that includes the clothing store, Lebanon Farmers Market and several other downtown properties, filed for Chapter 11 bankruptcy in June. At an Aug. 16 hearing, Judge Mary France gave Kolovani 60 days to file a reorganization plan.

As I wrote before, Six Years of Rendell’s Stimulus is Enough.