Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
An Indiana lawmaker is sponsoring legislation that—if it had been in effect two years ago—would have kept local officials in his district better apprised of the state’s intention to build a massive technology and manufacturing park on more than 10,000 acres of Boone County farmland.
The legislation would require the Indiana Economic Development Corp. to notify local officials before purchasing more than 100 acres of land for economic development that is intended to be used for an Innovation Development District, a special designation that was created through legislation in 2022.
Sen. Brian Buchanan, R-Lebanon, said he authored the bill after numerous conversations with constituents in his district, some of whom felt blindsided upon learning that the IEDC was buying up thousands of acres of rural land for a planned LEAP district, which stands for Limitless Exploration/Advanced Pace.
Similar to a local tax increment financing, or TIF, district, an Innovation Development District captures incremental gains in state and local taxes generated by the district. But unlike TIF districts, the state can claim up to 88% of the taxes, which it can use to award grants, give out loans and offer investments for a project in that district.
Buchanan said the purpose of his bill is to increase cooperation between the state and local municipalities without jeopardizing the IEDC’s business interests.
“I understand a lot of deals are confidential and businesses can’t be disclosed … but the goal here is to open a channel of communication,” Buchanan said.
It’s unclear if Buchanan’s bill will get a hearing. Sen. Travis Holdman, R-Markle, who chairs the Tax & Fiscal Policy Committee, said he hasn’t discussed the legislation with his caucus.
IEDC officials declined to comment on the bill, but Buchanan said he’s had discussions with the quasi-public state agency and believes it will support the legislation.
The state began quietly buying up farm and rural land near Lebanon, just off of Interstate 65 between Indianapolis and Purdue University, in late 2021, but Boone County commissioners weren’t contacted about the land acquisitions until March 2022.
Eli Lilly and Co. is investing $2.1 billion in two manufacturing sites in the LEAP District, a move that’s expected to create up to 500 permanent jobs.
Lebanon has already annexed about 6,600 acres for the LEAP site, and the IEDC currently has 6,000 acres of land under contract for district, according to the Boone County Innovation District website.
The IEDC is seeking close to $1 billion in new or continued funding in the next two-year budget cycle, including $500 million for a second round of the Regional Economic Acceleration and Development Initiative, or READI, which leverages public funds to help spur private investment, along with $300 million in continued annual funding for cash performance grants and $150 million for a revolving land purchase fund.
State lawmakers have until April 29 to approve a biennial budget.
Please enable JavaScript to view this content.
Transparency should be a given in situations like these.