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Ind. Reps. Give Bonuses, Chide Corporations For Doing Same

Indiana Congressmen Gave $600,000 In Bonuses To Staffers From 2006-2008

POSTED: 11:21 am EST March 1, 2010
UPDATED: 6:27 am EST March 2, 2010

As many Americans lose their jobs and tighten their belts during protracted economic woes, Indiana congressmen are doling out hundreds of thousands of dollars worth of bonuses to their staff.

Many of these same representatives are quick to point out corporate waste and demand fiscal responsibility, but when it comes to their own, politicians don't appear to be following some of their own mantras, 6News' Kara Kenney reported.

Kenney began an investigation of congressional bonuses two months ago. It's a subject those on Capitol Hill don't want to talk about.

With the exception of Rep. Andre Carson, D-Indianapolis, local representatives declined to submit to a sit-down interview or provide detailed information. Kenney was able to find the information without assistance from Indiana lawmakers.

In recent months, nearly all Indiana representatives have bashed corporate bonuses and lavish spending at one point or another.

"AIG should not have taken that money. Those employees should not have taken that money," Rep. Dan Burton, R-Indianapolis, said recently in an interview on the Fox News Channel.

"Republicans are just as outraged as every American about these bonuses," Rep. Mike Pence, R-Columbus, said recently in an interview on MSNBC.

Carson recently issued a news release calling AIG's bonuses a "slap in the face."

While talking the talk on AIG and other corporate bonuses, records obtained by 6News indicated Indiana's representatives gave out more than $600,000 in year-end bonuses to staffers from 2006 through 2008.

Congressmen who give bonuses are making a conscious decision to do that instead of returning the money to the U.S. Treasury.

Members of Congress get between $1 million to $2 million a year to run their offices. Any funds that aren't used for staff salaries, equipment, travel or bonuses are returned to the Treasury.

"Well, they work long hours," Burton said, when asked why he gives bonuses to his staff. "My staff comes in anywhere from 8 to 9 in the morning, and in Washington, we never get out of there 'til 8 or 9 at night."

Pete Sepp, president of the nonprofit National Taxpayers Union, calls the actions of Indiana representatives hypocritical.

"Many Hill staffers do work very hard. On the other hand, there are constituents who are out of work, and constituents who work just as hard and can't look forward to bonuses," Sepp said. "It's terribly hypocritical for members of Congress to have such discretionary authority over giving bonuses, even as they criticize the private sector for having the same kind of thing. It's an insult to taxpayers."

Burton countered that the way he handles his office is fiscally responsible.

"We live within our budget," he said. "I don't blow money that we don't have."

Pence's district director received a 3 percent bonus in 2008, or $2,750. That same year, the district director for Rep. Steve Buyer, R-Monticello, received an 8 percent bonus on his $87,000 salary.

Rep. Baron Hill, D-Seymour, gave an 11 percent bonus to his field representative in 2008, but a spokesperson told 6News that bonuses were cut in 2009.

Also in 2008, Carson's chief of staff got a $9,800 bonus on a six-figure salary. Carson defended the bonus, saying his staff works 14- to 16-hour days.

"Even the people making the various salaries that they do make, they still need to be given an incentive," Carson said. "It's purely based on performance. Congressional employees don't get paid a lot of money. We work hard each and every day to bring back resources to the 7th congressional district."

Carson contended that comparing corporate bonuses to staff bonuses is like comparing apples to oranges. He pointed out that his office has returned $200,000 a year to the Treasury since he's been in office -- money that will likely be put toward reducing the nation's deficit.

"(Cutting bonuses) is something we're going to do on a case-by-case basis," Carson said.

Burton said he will continue giving bonuses to staff as he sees fit.

"I give bonuses to those who deserve it. I think any business that has employees that excel, they should give them bonuses," Burton said.

Congressmen are faced with the balance of trying to retain good employees and being responsible to the taxpayer, who ultimately pays the bonus.

"They just need to have some consideration for the fact that ultimately the money they're paying people is taxpayers' money," Sepp said.

Data from 2009 was not yet available when 6News analyzed the information. 6News asked Sen. Evan Bayh and Sen. Dick Lugar for their bonus information, but their offices directed Kenney to documents that didn't provide bonus information.

Bayh said his office had returned $1.5 million in unused funds since he arrived in Washington.
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