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Audit reveals company misused state grant

The state audit revealed that over the last 3 years, Real Alternatives has spent $497,368 of state grant money outside the state of Pennsylvania and the misused has gone on for at least 2 decades.

Real Alternatives is a company that helps women who are dealing with a crisis pregnancy. They provide resources that are an alternative to abortion.

The audit found that the company charged all of its sub-contractors a 3 percent fee that was used to promote, develop, and expand the company’s initiatives both locally and nationwide. State Auditor General Eugene Depasquale says he believes the funds could have been used to help women in PA rather than promote their business.

He said, “Regardless of ones position on the issue of abortion, we all know that can be a very controversial position. The idea of using Pennsylvania tax payer dollars, outside of Pennsylvania, should outrage every single Pennsylvanian.”

He also says that while this is a controversial topic, and it’s known that he’s pro-choice, it does not cloud the fact that the misuse of state funds is wrong. He explained, “My position on this has been clear. When you are having a grant agreement, whether it’s for economic development programs or abortion alternatives, Pennsylvania taxpayer dollars should be used in Pennsylvania.”

Real Alternatives released the following statement in response to the audit: 

“Real Alternatives continues to be shocked by the misrepresentation regarding an issue that was known by the then Department of Public Welfare (DPW) from the outset.
 
“The Auditor General’s press release, press conference and audit report obscures crucial facts about the Real Alternatives Program Development and Advancement Agreement (PDAA). The PDAA is a second voluntary contract where Service Providers hire Real Alternatives to grow its model Pregnancy and Parenting Support Program.
 
“Service Providers are fully paid as part of the DHS state program, administered by Real Alternatives, that funds them. Since at that moment, it is the Service Provider’s earned money, they are free to do with it whatever they want. They voluntarily use THEIR funds to hire Real Alternatives to advance their life-affirming work throughout America.  At NO time do PA state taxpayer funds pay for any of this work.
 
“The reality of the situation between Real Alternatives and its Service providers shows two separate agreements legally, ethically, and morally working together.  The simple contract law principals are clear to the parties and any other party concerned about the truth.
 
“Real Alternatives is an excellent steward of taxpayer dollars and has demonstrated that by having a spotless record of low administrative costs, outstanding performance, and high accountability over 20 years, throughout both Democratic and Republican administrations.”