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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowNow that the primary is over, we’re eager to dig into more depth with the candidates for governor, with a particular focus on their views about economic development.
IBJ reporter Mickey Shuey wrote in the April 26 issue of IBJ about what the Republican candidates thought about the LEAP Research and Innovation District in Boone County, the incentives the state has been awarding to companies promising high-paying jobs, the role of the Indiana Economic Development Corp., the importance of promoting entrepreneurship and more.
But with several candidates to include (the GOP primary race had six; the story focused on the views of five of them), Shuey wasn’t able to get into great depth about some key issues. Also, because Jennifer McCormick was unopposed in the Democratic primary, Shuey didn’t detail her views on economic development.
What we learned from Shuey’s reporting is that Mike Braun, the U.S. senator who won the GOP gubernatorial nomination, doesn’t fully endorse the way the state is approaching economic development now.
Braun said if he’s elected, his administration will reevaluate the state’s approach to LEAP—and particularly any plan to develop similar districts elsewhere, which the IEDC has said it is considering. Braun said while there’s “validity” to having land available for development, the state should have done more work to determine the all-in cost for such a project, including the state’s return on investment for such large-scale developments.
Gov. Eric Holcomb’s administration is developing LEAP to try to compete for the biggest economic development deals. But Braun told IBJ that, instead of constantly competing with other states for the biggest deals, Indiana should focus its efforts on building up new and existing small businesses statewide.
IBJ has not yet talked with McCormick about her views on economic development. But her campaign website also expresses concerns about the way the state has approached job creation. She said her administration would hold the IEDC “accountable for transparency in operations—such as the amount of tax avoidance of their investments, inclusivity of local input, and honesty regarding investment outcomes. I will also broaden the definition of local participation in incentives—ensuring local officials to determine priorities.”
We would expect a new governor to take a good look at LEAP and IEDC operations, as well as any projects and negotiations underway. And certainly, we support a review of the return on investment of the mega-incentives that states in general are handing out.
But we have concerns that Braun and McCormick might pull back from efforts that seem to just now be paying off with big announcements about jobs and investments.
We’re not passing any judgment yet. And we expect that as the general election campaigning gets underway, the candidates’ messages might change a little bit. In the meantime, we hope to explore more about economics and jobs issues with both candidates and help keep you informed about their views.•
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One of the main reasons for the LEAP district up in Boone County and Lebanon was a response to Eli Lilly wanting to be able to expand. Could what Lilly is wanting to do, i.e. grow, taken place in Marion County? Perhaps. But the fact remained, Lilly obviously wants and needs to continue expansion HERE IN INDIANA and in its own backyard; might I say the counties contiguous with Marion County. If the State becomes non-receptive to Eli Lilly, I figure Lilly will look elsewhere (as they have in North Carolina as I recall). So. kudos to IEDC on this matter. Back off on second guessing the LEAP district. It needs to funded by the private and public sector. I get the water issue with LEAP. A bit more research is still needed on the Wabash River aquifer and to find other contributing hydro resources to make LEAP work and function. You cannot draw down the water supply from some of Indiana’s richest farmland (west central Indiana). The candidates better not abandon LEAP. Jump in and demand water solutions be found post haste. It’s just that easy!!!!!!!!!! But I would think others will jump in and start over-thinking this incredible investment IEDC created. Whatever!!!!!!!!!!!!!!!!