MICHIGAN — Gov. Rick Snyder announced Monday that he plans to shut down the controversial NERD Fund that has drawn sharp criticism for not disclosing the names of its donors.

Snyder said the New Energy to Reinvent and Diversify Fund complied with all laws, but has become a distraction.

Snyder says he wants to move forward with a fund that lists donors and has information available about it online. A spokeswoman for Snyder says those who made contributions to the fund will remain anonymous, because they donated with the understanding that their names wouldn’t be disclosed. 

Fundraising for the Fund is expected to stop and any remaining money will be used towards technology, events, staff travel and meals.

In 2011, the Fund raised $1.3 million and in 2012, $368,000 in donations was made, according to a report. The fund has been a subject of criticism, because it can accept unlimited corporate donations from anonymous donors.

Some say the fund is preventing people from knowing what special interest groups are financially supporting Snyder. Concerns have also been raised over money from the fund that was used to pay for housing and travel expenses for Detroit EM Kevyn Orr and pay the $100,000 annual salary of Snyder Aide Richard Baird, who is now expected to move to the State payroll, making $140,000 a year.