Secret donation

Secret $1.5 million donation from Wisconsin billionaire uncovered in Scott Walker dark-money probe

Michael Isikoff

John Menard Jr. is widely known as the richest man in Wisconsin. A tough-minded, staunchly conservative 75-year-old billionaire, he owns a highly profitable chain of hardware stores throughout the Midwest. He’s also famously publicity-shy — rarely speaking in public or giving interviews.

So a little more than three years ago, when Menard wanted to back Wisconsin Gov. Scott Walker — and help advance his pro-business agenda — he found the perfect way to do so without attracting any attention: He wrote more than $1.5 million in checks to a pro-Walker political advocacy group that pledged to keep its donors secret, three sources directly familiar with the transactions told Yahoo News.

Menard’s previously unreported six-figure contributions to the Wisconsin Club for Growth — a group that spent heavily to defend Walker during a bitter 2012 recall election — seem to have paid off for the businessman and his company. In the past two years, Menard’s company has been awarded up to $1.8 million in special tax credits from a state economic development corporation that Walker chairs, according to state records.

And in his five years in office, Walker’s appointees have sharply scaled back enforcement actions by the state Department of National Resources — a top Menard priority. The agency had repeatedly clashed with Menard and his company under previous governors over citations for violating state environmental laws and had levied a $1.7 million fine against Menard personally, as well as his company, for illegally dumping hazardous wastes.

“This, in a nutshell, is what’s wrong with the dark-money world we live in,” said Bill Allison, senior fellow at the Sunlight Foundation, a Washington-based based nonprofit group that tracks the influence of money in politics. “Here’s somebody who obviously has issues before the state, and he’s able to make a backdoor contribution that nobody ever sees. My sense is [political] insiders know about these contributions. It’s only the public that has no idea.” Menard did not respond to email and phone requests from Yahoo News for comment about his contributions. (His company’s spokesman, Jeff Abbott, said he was not authorized to speak for the company’s owner and could not respond, either.)

Laurel Patrick, Walker’s press secretary, strongly denied that the governor had provided any special favors for Menard and said Walker was “not involved” in the decision to award his firm tax credits, which were approved by the Wisconsin Economic Development Corporation for expansions of existing facilities in order to create jobs.

She declined, however, to respond to any questions about the Menard contributions. Citing a “pending legal” investigation into Wisconsin Club for Growth fundraising that will be argued next month before the state Supreme Court, AshLee Strong, a spokeswoman for Walker’s political organization, Our American Revival, said she also could not answer any questions about the Menard donations, including whether the governor had solicited them, was aware of them or had ever discussed state business with Menard.