Use of CEDIT funds is back in the news
Posted on Tuesday, December 13, 2011
Our three county commissioners were disappointed that they could not meet the request to provide County Economic Development Income Tax funds to help extend the water main in Ossian’s industrial park. They should be.
Ossian Town Council member Josh Barkley and Wells County’s Economic Development Director made a presentation to the commissioners Monday, seeking $100,000 towards a $233,000 project that will help Row land a “major company” that is strongly interested in locating there, bringing perhaps as many as 20 jobs.
But alas, we cannot do that because the economic development funds have been spent or committed to roads and bridges.
This issue has been addressed in this space before, but it’s been a while. I have disagreed that CEDIT funds should be used for the general upkeep, repair or renovations of government buildings. Years ago, the new jail was funded at least in part with CEDIT money. The courthouse renovation was apparently an economic development project and the needed repairs to the Carnegie Annex, the commissioners have indicated, will be paid for at least in part with CEDIT funds.
And while I understand the argument for using CEDIT funds for roads and bridges, the intent of implementing this tax years ago was for direct funding of projects that will create jobs. There should be other funds for roads and bridges and building upkeep.
At last Friday’s breakfast sponsored by the Chamber’s legislative committee, State Reps. Jeff Espich and Matt Lehman and State Senator Travis Holdman were specifically asked about what can be done at the state level to have better control over CEDIT funds, to better ensure that they are spent on truly economic development issues.
Two key points our legislators made:
First, the difficulty in defining what is economic development and what is not. If a project contributes to the community’s quality of life, which is important in attracting new businesses, is that economic development? And indeed we must have a good infrastructure — roads and bridges — which are key factors in supporting and developing our local agricultural economy.
Secondly, Espich made his feelings clear: “This is a local issue. You (addressing the attendees as chamber of commerce members and as the chamber organization itself) need to hold local officials accountable in how they spend these funds.”
I am confident I am not the Lone Ranger on this issue. I am aware that the chamber’s legislative committee has been gathering data and plans to make some sort of presentation to the commissioners regarding CEDIT. And I have heard more comments from frustrated citizens and business people about this specific story in Tuesday’s edition than I have on the McKinney watershed and wind towers combined. Those comments can be summed up in one sentence: “If we keep spending CEDIT money like this, pretty soon we’ll have a bunch of roads and bridges to no where.”
It seems apparent that we need:
— A unified voice from the business community as to how CEDIT funds should best be utilized. This may include a plan that provides a set-aside for specific projects like Ossian’s that can pop up.
— A county plan to fund roads, bridges and building maintenance on an ongoing basis from general revenues or other designated funds. The business community, and public, need to realize that the commissioners’ use of CEDIT funds for these purposes are, in part, an attempt to pay for things without raising taxes.
It is tempting to bring up the issue of Indiana’s antiquated government structure in which three part-time commissioners are supposed to lead and guide a complex local government through increasingly difficult times. But I’ll save that sermon for another day.
Editorial by Mark Miller, Bluffton News-Banner
Posted in Business News, General News
