Members of Congress Score Internet Group
March 26, 1998 | Read Time: 1 minute
The Schools & Libraries Corporation has come under fire from members of Congress who say the charity’s officials earn too much money and that the organization may have been set up improperly.
The non-profit corporation was established last year by the Federal Communications Commission to administer $2.25-billion a year in subsidies that the Telecommunications Act of 1996 authorized to help schools and libraries pay for access to the Internet.
A new report by the General Accounting Office, Congress’s watchdog arm, says that the F.C.C. may have overstepped its legal authority when it set up the Schools & Libraries Corporation as a non-profit group.
Some members of Congress also became annoyed when they were told by the commission that Ira Fishman, executive director of the charity, earns $200,000 and is eligible for a bonus of up to $50,000. Three other executives earn more than $100,000.
Sen. John McCain, Republican of Arizona, was among several lawmakers who criticized the six-figure salaries, saying he was “outraged” that Mr. Fishman earns as much as President Clinton.
Such concerns have led the Senate Appropriations Committee to approve legislation that would require the F.C.C. to provide information about the Schools & Libraries Corporation’s administration to Congress.
Kathleen Ouye, chairman of the board of the schools corporation, said the board employed two executive-search companies that specialize in non-profit executive salaries to set the salary levels.