For the first round of the Regional Economic Acceleration and Development Initiative, the state set a goal of leveraging public dollars into at least $2 billion of local government, private and philanthropic investment.
Representing just one of Indiana’s regional development authorities, Our Southern Indiana Regional Development Authority touts that its $50 million in grant funds will spur more than $3.5 billion of investment in Clark, Floyd, Washington, Scott and Jefferson counties.
As RDAs across the state prepare to submit applications for READI 2.0, officials are confident that the impact of the grants will have generational effects on Indiana communities.
“We’re thrilled,” said Cory Cochran, executive director of River Hills Economic Development District. The organization partners with Our Southern Indiana to manage and administer the READI program in the region.
His enthusiasm is based on the 113 projects submitted to the RDA for READI 2.0. Those projects tally about $1.6 billion, and come with a request of $640 million in READI funds.
Our Southern Indiana is hoping to garner $75 million next year for READI 2.0, as the list of submitted projects stretch across all five counties and include municipalites from Salem to Jeffersonville.
“The state is allowing us to really be strategic in what works for our five counties, which again is telling you there’s confidence in our process, and we have relevant and quality projects,” said Dana Huber, chair of Our Southern Indiana’s board.
MILLIONS OF DOLLARS ACROSS THE STATE
Seventeen regions were awarded more than $487 million through READI 1.0. The funding limit per region was capped at $50 million for the initial round, but has been raised to $75 million for READI 2.0.
Grants were awarded to sizable cities and small communities, nonprofits and government entities. From infrastructure to trails, READI funds have been appropriated to improve Indiana communities in a variety of ways.
Peru received funding for a riverfront project. On the shoreline of the Ohio River, River Heritage Conservancy garnered over $3 million for Origin Park. In Columbus, $580,000 was awarded for the makerspace Columbus Propeller Innovation Center.
“Innovation knows no boundaries and there’s no limit to what can be accomplished when we work together to better the lives of Hoosiers,” Gov. Eric Holcomb said last month as the call for READI 2.0 projects was announced.
“This transformative program will fund projects that lean into a region’s strengths while building community gathering places, accessible parks, performing arts centers and expanding the trail system that will have generational impact across each region and with every person who visits our great state.”
THREE BIG BUCKETS
RDAs submit proposals for READI funding to the Indiana Economic Development Corp. Those submissions are dropped into what Cochran described as three big buckets.
Quality of life, quality of place and quality of opportunity are the three categories.
Quality of place includes housing projects, infrastructure that will spur economic growth and mixed-use development plans.
Quality of life entails tourism, arts and culture, family support initiatives and trails and parks.
Quality of opportunity includes infrastructure tied to job creation, ways to improve talent supply and projects that support innovation and entrepreneurship.
The first round of READI was funded through federal COVID19 relief money provided to the state. READI 2.0 is being footed through state dollars approved by the Indiana General Assembly as part of the governor’s Next Level Agenda.
In Southern Indiana, Cochran said the RDA is receiving more applications from private developers for residential housing. That facet favors a portion of the purpose of READI, which is to increase population in Indiana.
“Obviously we kind of have an advantage with metropolitan Louisville right next to us,” Cochran said. “We’re seeing a shift, folks are coming on this side of the river to live, they’re seeing that quality of life here a little bit more.”
But housing proposals aren’t regulated to singe-family dwellings and subdivisions. Cochran said Our Southern Indiana is receiving READI requests for apartment complexes, which fits into the demand from younger professionals looking to move to the area.
“We need those apartment buildings for the Millennials and Gen Z who don’t want that burden of a house payment, they want an apartment complex,” he said.
QUALITY OF LIFE, PLACE AND THE ECONOMY
“Quality of place investments must be a key part of the strategy in attracting and retaining a growing labor force, and the essential talent necessary to grow and retain companies and industries,” said Uric Dufrene, Sanders Chair in Business at Indiana University Southeast.
High-paying jobs are key to bringing in and retaining residents, but they also are looking for amenities beyond the workplace.
A poster child for connecting quality of life to regional investment, Origin Park not only received first-round READI funds, but River Heritage also garnered $37.5 million in the state’s biennial budget that will go toward the construction of an outdoor adventure center at the Clarksville site.
Kent Lanum, chair of River Heritage’s board, said the READI funds and separate grant have helped the organization with private fundraising. Those appropriations show the state believes in the Origin Park vision and is investing in the project coming to fruition, he continued.
“Obviously we were already working on this project before READI came about, and it happened to be right up our alley when they announced it,” Lanum said.
The planned 430-acre park will offer a wide range of amenities and activities. It will improve public health by offering recreational space, but Origin Park is also predicted to be a major economic driver in the region.
“It will have millions of people coming to it,” Lanum said. “It will have tens of millions of dollars of impact on economic development and local tax collections.”
River Heritage won’t be seeking more READI funds, but Lanum believes the second round of the grant program will be smoother for RDAs, those submitted projects and the state.
In Southern Indiana, the RDA favored projects that can create jobs quickly along with quality of life investments that will pay long-term dividends, including population growth.
“Those are the projects that are going to draw the younger generation here, to stay here, to retain them here,” Cochran said. “We’re definitely going to see an immediate impact over the next few years, immediate job growth, job retention, but also those quality of life projects really develop the culture that we’re looking for here in Southern Indiana.