Waterford Today

Matt Maddock, a House Representative from Michigan, has raised concerns about the use of state tax dollars to fund numerous nonprofits with high board member salaries. Maddock made this statement on the social media platform X.

"We give billions of tax dollars to communist-run non profits that pay their very profitable board members half a million a year," said Maddock, Michigan State Representative for 51st District (R). "Michigan tax dollars fund 435 of them."

Michigan's allocation of state funding to nonprofits has come under increased scrutiny following a report by Bridge Michigan. The report revealed that over $1 billion in "pet project" earmarks have been allocated since 2018 without comprehensive legislative review. This has sparked renewed debates concerning grant transparency, board oversight, and compensation practices within publicly funded nonprofits.

According to Michigan Public Radio, the state has distributed more than $3 billion annually to nonprofits for social services in recent years. However, local agencies have faced delayed payments and reimbursement uncertainties, affecting hundreds of organizations across the state.

A PEW analysis of Internal Revenue Service (IRS) data indicates that nonprofit executive and board compensation in Michigan often surpasses national averages. Top executives at large organizations earn salaries above the U.S. nonprofit median of approximately $200,000, raising concerns about high pay within state-funded agencies.

Maddock's official House biography describes him as a Republican representing Michigan’s 51st District and vice chair of the Appropriations Committee. He is also noted as a longtime small business owner with legislative interests focused on government transparency, energy affordability, and scrutinizing nonprofit board pay and public funding practices.