The Daviess County Economic Development Corp. and the EDC Foundation brought their case to continue the operations as they are in the future before the county officials who hold the pursestrings of county taxpayers.
Ron Arnold, who serves as executive director for the EDC and president of the Foundation, made a presentation to council following some criticism of his organizations to both council members and on social media.
"The foundation has always been blessed with the support of the council and it has not gone unnoticed," said Arnold. "I would like to point out that our organization has not spent much time patting ourselves on the the back. Due to a few in the community that would like to make the EDIT (Economic Development Income Tax) and most economic development tools an issue, I feel it is time to set the record straight."
Arnold pointed out that while other counties have tapped into the EDIT tax as an additional source of revenue, Daviess County has over the last dozen years kept using the money as an economic development tool.
A recent study released by a Ball State economics professor has been highly critical of the efforts by local organizations to conduct economic development.
"Dr. Hicks' study pointed out flaws in local economic development organizations," said Arnold. "I believe his research and conclusions are not accurate, incomplete and I would be glad to discuss this in depth with anyone. He does not gauge the heart of the community."
In addition, Arnold pointed out that the studies are so flawed that they did not include the impact of the Amish community on things like education attainment. He said Ball State once suggested Daviess County should actively seek businesses related to corn, not realizing that the county is home to the Perdue Feed Mill and Grain Processing, and that those two companies alone use up more corn than the county can produce.
"People look at those studies and jump to conclusions," said Arnold. "It does seem to me we have some who have the answer; unfortunately they don't understand the question and they don't know what they don't know. We have worked too hard and accomplished too much to let these actions move us backwards in our journey."
Two patrons in the audience called for the county to take action to change the relationship between the county and the EDC.
"I have been a leading opponent to this," said Daviess County resident Marty Sellers. "I don't agree with any of the policies. I have been trying for years to get some transparency into this."
Sellers claims the EDC, which is overseen by a board that is made up of both elected officials and appointees, operates on public money but not under an elected board.
"They have two contracts for service," he said. "One for the EDC and one for the Foundation that call for the organization to do the exact same thing."
"The other problem I have is that they are developing private property with tax dollars, accumulating assets by using tax dollars for buildings for use by private business," added Sellers. "On one hand, I'm the terror of the county. On the other, I am the savior of the whole d--- thing. I want some kind of accountability. The county council, none of you, have been doing your job."
Additional criticism came from John Richardson: "I am part of that loyal opposition. I know quite a bit about these issues. There is no other economic development idea like this around the state because the economic development organizations I know about don't buy property. They make it so that the private organizations can buy property. That's not what's happening here and that is a real concern. It's extremely disappointing.The idea we are developing the economy this way is not working."
Arnold countered that the EDC is working.
He pointed out the county's labor force has grown from 13,900 to 15,010 and that there has been a 50 percent increase in wages since the inception of the EDIT tax. He pointed out that the DCEDC now collects $4.6 million in lease and rent payments, has secured $7.8 million in donations and grants for projects at WestGate and for roads, played a role in securing $73 million for roads and regional development, including the original study for the Odon-Cannelburg Road and the Washington Housing project.
He pointed out the tax base impact since 2012 has been an additional $179 million in assessed valuation and has led to 800 jobs that have resulted in property and income tax increases of $936,000 annually.
"Often when economic development comes in, it is for a single project and we don't get to see the bigger picture," said President of the Daviess County Council Mike Myers. "We felt this was a good time to do this. There are some who disagree and that is fine and their right. But right now this is the course the county government has chosen to take and has taken for years. I think it's been very beneficial for the county. The saying is 'the proof is in the pudding' and Ron (Arnold) brought a lot of pudding today and it is really good. I'm not looking at making any changes and I don't believe anyone else on the council is."
Myers believes the council has actually come up with a system that not only works for Daviess County, but is one that other counties are looking at and copying.
"The only goal has been to make Daviess County a better place to live and work," he said. "They have done that for years and will continue to do that. Daviess County is in a much better place than a lot of other counties around us.
"I have talked with people from other counties and they have told us they are starting to do these things now. They say they should have done it years ago. We really are the envy of many parts of the state, especially among the rural counties."