OMAHA, Neb. (KMTV) — When Congress passed the CARES Act, it was considered a lifeline to small businesses.
Looking at Payment Protection Program data, it’s clear Nebraska businesses took advantage of the program, which was meant to keep their businesses afloat and ensure no layoffs occurred.
But some of the same businesses that were getting millions of dollars in taxpayer money also had money to donate to political candidates and causes, according to records from the Nebraska Disclosure and Accountability Commission.
Swain Construction, based out of Omaha, received somewhere between $350,000-$1 million from the federal government.
But from mid-March to mid-June, Swain donated $15,000 to the Nebraska Republican Party, another $15,000 to help pass the Omaha street bond, a total of $15,000 to two Douglas County Board candidates and a total of $12,000 to three legislative candidates.
A grand total of $57,000 in political contributions.
Other Omaha businesses like Cassling donated $9,000, most of it going to Republican legislative candidates.
Twelve other Omaha-based companies got federal relief money, and then donated at least $1,000 to political causes.
“The public expects that money to be used for helping people. And helping politicians is a whole different game,” says Jack Gould, Issues Chair with Common Cause Nebraska, a group that advocates for a transparent and accountable government.
“Obviously they think they’re getting something for that money, or else they wouldn’t be paying it. And I don’t think the public expects money, that public money, to be used to advance their cause,” says Gould.
Others like Randy Adkins, a UNO Political Science Professor, says it’s not illegal, nor is it the intent of the PPP program.
“It probably means that it’s somewhere in between unethical and just regular politics,” says Adkins.
“They consider that to be a part of the norm of doing business, you know it’s something that is required.”
Owner of Swain Construction, Greg Armstrong, spoke with 3 News Now over the phone.
He says he has a different pool of money to use for political donations, and that he operated the same this year, as he has for the last decade.
“You can go back and look me up for the last, let's say 10 years, I don’t care how far you go back. But especially the last five, look it up. You’re going to see, I’m doing that all year long sometimes,” says Armstrong.
Omaha city council member Rich Pahls, a Republican who’s running for the Nebraska Legislature, received $11,500 from companies that also got federal relief money, including Swain Construction.
He says it was all above board.
“I think if they’re following, what I call the rules of the game, I see nothing wrong,” says Pahls.
Douglas County Commissioner Mike Boyle, a Democrat, also got money from Swain Construction.
He thinks he would have gotten the donation whether they got federal money or not.
“I probably shouldn’t say this, but he’s a very wealthy man. He had the opportunity to get that for his business and I’m sure he qualified, or he wouldn't have gotten it. But he is very generous anyway,” says Boyle.
The businesses 3 News Now looked into, specifically were based in Omaha. There could be other Nebraska-based businesses that donated to political causes and candidates.
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FULL LIST OF BUSINESSES THAT DONATED TO POLITICAL CAMPAIGNS AFTER PANDEMIC BEGAN AND RECEIVED PPP LOANS
Cassling - Received $2-5 million in PPP loans
$1,000 to Rich Pahls
$1,000 to Richard Holdcroft
$1,000 Jacob Campbell
$1,000 to Julie Slama
$2,500 to Rita Sanders
$2,500 to Mike Friend
Total: $9,000
Baird Holm -Received $2-5 million in PPP loans
$250 to Rich Pahls
$200 to Lynne Walz
$100 to Lynne Walz
$200 to Elliot Bostar
$250 to Rita Sanders
Total: $1,000
Lund Co. - Received $2-5 million in PPP loans
$250 to Rich Pahls
$250 to Rita Sanders
$250 to Jack Stark
$1,000 to Sally Ganem
$1,500 to Omaha street bond
Total: $3,250
Swain Construction - Received $350k-$1 million in PPP loans
$10,000 to Rich Pahls
$1,000 to Rita Sanders
$15,000 to Nebraska Republican Party
$1,000 to Richard Holdcroft
$10,000 to Maureen Boyle
$5,000 to Mike Boyle
$10,000 to Omaha street bond
$5,000 to Omaha street bond
Total: $57,000
EHPV Lottery Services - Received $150-350k in PPP loans
$1,000 to Julie Slama
MBC Construction - Received $150-350k in PPP loans
$1,000 to Julie Slama
Kirkham Michael & Associates -Received $1-2 million in PPP loans
$2,500 to Omaha street bond
Lamp Rynearson - Received $2-5 million in PPP loans
$1,000 to Omaha street bond
Noddle Development Company - Received $350k-1 million in PPP loans
$5,000 to Omaha street bond
Roloff Construction Co. -Received $1-2 million in PPP loans
$2,500 to Omaha street bond
Schemmer Associates -Received $1-2 million in PPP loans
$3,000 to Omaha street bond
Tab Holding Co. - Received $350-1 million in PPP loans
$1,500 to Omaha street bond
Thiele Geotech - Received $350-$1 million in PPP loans
$2,000 to Omaha street bond
Spencer LLC -Received $150-350K in PPP loans
$1,500 to Omaha street bond
