Funds for Expectant Mothers End Up in Non-Profit’s Bank Account

Lansing, MI – A shocking new report from The Detroit News shows that millions in taxpayers' dollars meant to go towards expectant mothers are being siphoned off for a New York-based non-profit that distributes the money. The program, Rx Kids, has been funded three times by Lansing Democrats, for more than $300 million.

State funds for Rx Kids account for roughly 30% of the non-profit, Give Directly’s, revenue – money that is supposed to be going to mothers. On top of that, Michigan State University takes a cut, further lowering the amount actually distributed to Michigan moms. When the money finally stops changing hands, more than 20% of the funds will have already been spent.

Lansing Democrats were outraged last year when Speaker of the House Matt Hall used his chamber’s authority to stop state departments from rolling unused funds into work projects, specifically citing Rx Kids. Notably, the program also makes it clear that it distributes funds regardless of immigration status, so these taxpayer dollars could be going to illegal immigrants.

“When House Republicans and Speaker Matt Hall talk about waste, fraud, and abuse of our tax dollars, this is what they mean,” said Gabe Butzke, a spokesperson for Michigan Forward Network. “Hundreds of millions of dollars were appropriated for expectant mothers in Michigan, but almost a quarter of the money didn’t get there. If that isn’t waste, what is?”