Hagan benefited from stimulus money; Tillis did indirectly

Politico is reporting that a company co-owned by Sen. Kay Hagan’s husband, Chip Hagan, received nearly $390,000 in federal grants for energy projects and tax credits created by federal stimulus spending. Hagan voted for the stimulus in 2009.

The story quotes the Democratic senator’s campaign as saying there was no violation of Senate ethics rules. (Read it in full here: http://www.politico.com/story/2014/09/kay-hagan-husband-stimulus-cash-111339.html).

The political news organization said it tallied the amount JDC Manufacturing, the company co-owned by the senator’s husband, on the basis of public records and information provided by the company.

The story also reports that Hagan’s Republican challenger in the close U.S. Senate race, North Carolina House Speaker Thom Tillis, indirectly benefited from the stimulus spending in 2009, because he owns stock in a North Carolina bank that financed companies that received stimulus funds.

Politico reported that the Hagan campaign said the senator never involved herself in her husband’s efforts to get the stimulus grants. She consulted with a Democratic attorney, who told her that her husband’s effort to get the funding would not be a conflict of interest under Senate rules.

Senate ethics rules say senators only must recuse themselves from voting if they are part of a limited class of people who would benefit, Politico said, adding that legal experts agreed there was nothing improper about Hagan’s actions as a senator.

Tillis owns $50,000 to $100,000 in stock in Aquesta Bank in Cornelius, N.C. He also has two loans from Aquesta worth between $30,000 and $100,000, Politico reported. It said that Aquesta specializes in projects that receive government tax credits, including some credits created by the stimulus package.

Tillis opposed the stimulus, his spokesman, Daniel Keylin said. But he added, “Thom supports some economic incentives. He doesn’t support all of them.”

Keylin said Tillis is not involved in the bank’s day-to-day dealings.

This story was originally published September 26, 2014 at 12:37 PM.