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Home / agencies / Commerce Authority backs off controversial ‘stipends’ (access required)

Commerce Authority backs off controversial ‘stipends’ (access required)

The Arizona Commerce Authority announced late Friday afternoon that it will not be awarding the $5,000 stipends it had earlier promised to15 companies eliminated from a competitive grant program.

The Goldwater Institute’s Clint Bolick sent a letter to the ACA earlier this month, warning that the awards for unsuccessful semifinalists in the agency’s Innovation Challenge could be a violation of a constitutional provision banning government gifts to private companies, unless the money creates a tangible public benefit.

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