State lawmakers have earmarked $5 million for local economic development starting in July.

These tax dollars go to 8 organizations to attract new companies to Lexington and other counties.

Whether taxpayers get verifiable returns on their investment is questionable.

We found most reports list international or out-of-state trips and other marketing expenses but not companies that located or expanded in their areas.

Federal tax returns reveal these nonprofit groups are heavily subsidized by taxpayers, and their leaders receive 6-figure salaries.

For example, Central SC Alliance will get $750,000 to represent Lexington and 7 other counties.

The alliance’s latest annual report shows that as of Oct. 30, it had spent $722,520 including $301,659 for “lead generation,” and $197,601 for “marketing trip” expenses.

The report lists the group’s involvement in international trade shows, conferences or “missions” including trips to London, Paris, Germany, Italy, Denmark and Sweden.

Mike Briggs, the CEO, was paid $230,924.

Since fiscal 2015, the state has funneled $4.8 million annually through the Commerce Department to the 8. Several of them have legislators on their boards.

The groups are required to submit annual reports and match every state dollar with $1 of private funds.

The Central SC Alliance listed contributions from state or local public entities in its private match.

We asked 4 groups to list companies that expanded based on their efforts.

The Central SC Alliance did not respond.

Brundrett is the news editor of The Nerve. Contact him at 803-254-4411 or rick@thenerve.org.