While he has talked up the need to “pushback against government overreach” and complained about handouts from the federal government Charles Herbster, one of the leading GOP candidates for governor, has benefited handsomely from a recent $800 billion bailout from Uncle Sam. 

News Channel Nebraska has learned that two companies tied to Herbster received nearly $3.5 million in loans from the federal Paycheck Protection Program, money aimed at keeping companies afloat during the COVID-19 pandemic.

In addition, according to government records examined by NCN, the money, which went to pay employees, did not have to be paid back.

The multi-million dollar assistance was divided between two businesses—the Conklin Company, which is owned by Herbster, and Cooley Group.

Conklin, a farm chemical company based in Shakopee, Minnesota received a PPP loan of $1,547,410, involving 104 jobs—$1,557,597, which includes any accrued interest, was forgiven.

Cooley, a roofing and siding firm in Pawtucket, Rhode Island, received $2,901,152, involving 188 jobs—$2,932,945, including interest, was forgiven.

(Those numbers from ProPublica’s PPP tracking site are based on public information provided by the Small Business Administration).

Herbster’s campaign downplays the relationship between Conklin and Cooley calling Cooley a “third party vendor” which supplied Conklin with certain products.  But according to Conklin’s website, the two firms have forged a “unique business venture” and are involved in a “strategic partnership.”

All this federal money grabbed by Herbster despite a variety of comments from him proclaiming the ills of government help (video and audio of Herbster's comments above):

  • “Every time that we ask for a handout from the federal government or even the state level, we give up something.”----Husker Radio North Platte, 4/30/2021
  • “One of my platforms, I guess, for running for governor of Nebraska, is to make sure going forward that not only do governors lead their states, they pushback against government overreach coming out of Washington DC because Washington is not going to fix itself.”---Christian Leadership Conference, 9/3/2021 

In a statement to News Channel Nebraska Herbster, a staunch supporter of former President Donald Trump who recently received Trump’s endorsement, expresses no second thoughts about taking the money.

“President Trump’s  Payroll Protection Program was developed in response to a once in a century pandemic that forced business to shut down and workers to be shut out,” says Herbster. “The Conklin Company filed the appropriate paperwork and was approved to participate in the PPP. It saved 104 jobs.”

But Herbster has also strongly indicated that the federal cash was more than just a COVID-19 lifeline.  

According to a YouTube video of his remarks to that Christian Leadership group Herbster said, “We didn’t grow as much as we’d normally grown…but even in 2020 we grew 20 percent. We did not shutdown.”

Herbster is at least the second GOP candidate for governor to benefit from the pandemic loan program.

According to a recent Omaha World-Herald report, NU Regent Jim Pillen’s companies received nearly $7.8 million in PPP money before eventually returning $5 million.

Federal records note that the SBA has approved nearly 12 million PPP loans, divided between 970,000 organizations. Of the $800 billion turned loose, nearly half, $395 billion, was forgiven.