Audit finds problems in Perry's deal-closing fund

AUSTIN, Texas (AP) — A pet program of Republican Texas Gov. Rick Perry that has given a half-billion dollars in taxpayer funds to companies including Toyota and Facebook failed to support claims about job creation and competition from other states, according to a state audit released Thursday.

The critical report, which also found that some companies never submitted applications before receiving money, is the latest bad news for the possible 2016 presidential candidate’s economic development funds. Perry credits them with helping fuel a booming Texas economy — and his office defended them again Thursday — but the programs have become increasingly unpopular among conservatives.