Economic Development or Economic PROSPERITY?

Bob Hull is a man who understands what economic development is really all about.  As a long time LaPorte County businessman, he fully understands how jobs are created and how paychecks get signed. Last week, Mr. Hull spoke at the Intermodal Task Farce meeting on behalf of SISOC (Stop Intermodal- Save Our County) http://thenewsdispatch.com/main.asp?SectionID=1&SubSectionID=1&ArticleID=10659&TM=18887.47. Hopefully some of the members were paying attention to what he had to say. Some well reasoned comments by Bob Boklund during the meeting do give encouragement that some members are finally starting to ask the right questions and do the right research. 

For the 15 minutes he was allowed, Mr. Hull made some very valid points that must be considered as he pointed out there are some very serious potential drawbacks that can accompany an intermodal. He spoke about the elimination of highly productive cropland and the disruption to farm families. Potential air and water pollution issues including possible damage to the underground aquifer from highly concentrated truck and train traffic.  He hit on reusing existing buildings before wastefully building new.  He questioned the cost of infrastructure and who pays for it.  Container security and dumping of foreign goods were also concerns that were brought up.

But Mr. Hull really nailed the key underlying issue about the intermodal when he made a point about the difference between “Economic Development” and “ECONOMIC PROSPERITY”. No matter how much the Economic Development gurus want to blur that line, those terms are NOT the same and they should not be interchanged or confused. Everybody knows that the U.S., Indiana, and LaPorte County are facing severe economic challenges. Self-serving politicians want to offer an illusion of an “economic development” quick fix. But like substance abuse that may offer a short term high, development just for the sake of development is not really good for long term health . The underlying economic prosperity problem is complex and very deeply rooted - it will not be fixed by politicians who will not or can not tell people the simple truth about a complex global problem. An intermodal development certainly would offer jobs to some and power to others, but it will not lead to “economic prosperity” for current LaPorte County residents. It damn sure certain will not improve the quality of life for those who suddenly find themselves living next to it.  Perhaps the developers, investors and politicians (including Their Man Mitch-Morris) who are now pushing the intermodal should be forced to sign a legally binding agreement that they will live next to their supersized train yard for the next 22 years of THEIR lives. Mi Propio Jardin es Su Propio Jardin.

While I appreciated the comments that Mr. Hull made, I was deeply troubled by some comments that were made by Task Farce Chairman Dave Christian.  Mr. Christian implied that if we don’t do anything, there could be a negative impact on property taxes and taxpayers could find themselves paying more. However, I think Mr Christian and others who are pushing the intermodal as a pathway to “lower taxes” are flat out wrong. The type of “development” that occurs in cities inevitably leads to HIGHER taxes, not lower taxes. In fact, changing from agricultural farmland to any other type of development will INCREASE the property tax burden, not reduce it. 

As a Libertarian, please let the record show that I am NOT a fan of land use “planning” as done by government.  But according to the The Cost of Community Services Study (COCS)  http://www.duncanplan.com/laporte/documents/COCS_finalreport_05-31-07.pdf

a very key and important point is made -

“among the agricultural, industrial, and commercial land
uses, agricultural land uses subsidize community services to the greatest extent.”  

Furthermore, the COCS may be used to:

  • “Demonstrate that the lure of residential development and increases from its associated assessed valuation in certain areas of LaPorte County will result in increased expenditures from a demand for public services greater than tax revenues generated, unless balanced growth (from commercial, industrial and agricultural/open lands) is implemented through sustainable development policies or other planned growth strategies (such as Smart Growth planning).”
  • “A guide to balance future residential land use development with future commercial and industrial land use development, in order to retain viable agricultural and open ands for the long-term economic health of LaPorte County and its individual taxing units – neutralize, as best possible, the tax implications of land use development and consumption.” 
  • “Understand that agricultural/open lands are viable economic land uses and that they should not be considered “undeveloped” for planning purposes. Agricultural/open land preservation in LaPorte County should be encouraged as a planning mechanism or sustainable development strategy to reduce the COCS impacts of residential development for a balance of land use development and consumption.”

LaPorte government at all levels loves to spend a lot of taxpayer money on “studies.”  But perhaps some of our elected officials and their appointed economic development gurus should actually read those studies that they force taxpayers to pay for. Before the Intermodal Task Farce takes it’s tour of the Union Mills farmground on April 2, every member should do their homework and read the COCS. Perhaps some may then be able to better understand that green cornfields and fertile ground for the future development of Micro-Manufacturing can lead to sustainable economic prosperity for LaPorte County in ways that tax-abated warehouses full of Made in China trinkets simply won’t.
 

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