When City Commissioner David Schauner reads an article - like he did this week - suggesting tax abatements are costing cities and states $50 million, he would like to know whether it's true.
And he'd like to receive that expert opinion from someone on the city's payroll instead of an official from the Law-rence Chamber of Commerce.
"I think what the city really owes itself is to have its own staff member who reports just to the city on these type of issues," Schauner said. "I think right now you have divided loyalties in a way."
Schauner is reviving an idea for City Hall to hire an economic development planner. Schauner said the position could handle such tasks as advising the city on where new industrial parks should be located, providing financial analysis of companies applying for tax abatements and monitoring companies to determine whether they are producing the jobs they promised.
And given the unexpected resignation Thursday of Lynn Parman, vice president of economic development for the Lawrence Chamber of Commerce, Schauner wants to move ahead on the position sooner rather than later. City Hall splits the cost of Parman's position with the chamber and Douglas County government.
"I would like to see if we have the money to do it right away," Schauner said. "I think we do kind of have a golden opportunity here."
Recruiting, planning
One commissioner's golden opportunity, though, is another commissioner's lump of coal.
"I just don't see that it makes sense," said City Commissioner Sue Hack.
Hack said the community had plenty of resources in place to tackle the issues Schauner envisions for an economic development planner. She said ECO2, a county-appointed board, was diligently working on locations for a new industrial park, and that all tax abatement applications went through a vetting by a city advisory board and an analysis by Kansas University's Policy Research Institute.
Plus, Hack said the city had plenty of ability to ensure that the chamber was running its economic development division in a manner that met city goals. The city provides one-third of the operating budget for the chamber's economic development division. The other two-thirds come from the chamber and the county. This year, the city's share amounted to approximately $96,000.
"If we give money to the chamber for economic development, and in a year's time it produces no jobs or only $6.50-an-hour jobs, then we can look at it and say we're not getting our money's worth," Hack said.
But Schauner said he's not proposing the new planning position because he's displeased with the chamber's efforts. He said he just the thought the chamber wasn't equipped to do everything that the community needed.
"There's a difference between a recruiter and a planner," Schauner said. "I think the emphasis here really needs to be on the planner part of this."
'Important relationship'
Schauner said he thought it would be likely that the city would continue to fund the chamber's economic development department, even if the city added the new planning position.
"I think the chamber does a good job of recruiting," Schauner said. "But the chamber is not in the planning business. I don't think that really is their strong suit.
"I don't, however, think there's anything to be gained from us cutting off our relationship with the chamber. That is an important relationship."
But Schauner stopped short of saying that the new planning position wouldn't result in a cut to the chamber's funding. The city hasn't done any research to determine how much a new position may cost.
Schauner does have some support from fellow commissioners. City Commissioner Mike Rundle has been a long-standing supporter of the concept.
"Economic development has been one of the primary goals of the city since I've been on the commission, yet we don't have a staff member devoted to it," Rundle said. "I think just getting well-researched information would take some of the contentiousness and politics out of future economic development discussions."
Chamber leaders said they were withholding judgment on the idea until they heard more detailed information about the proposal.
"We need to visit about what the expectations are," said Lavern Squier, president and chief executive of the Lawrence Chamber of Commerce. "But we do feel like we have been good stewards of the process."
Comments
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lunacydetector (anonymous) says…
please tell me this will make lawrence a 'business friendly' city. will this new appointee be a subordinate to anyone?
it's a shame that lawrence is so business unfriendly already.
politics will play a huge role if this new position is created. history has already proved this through the biased impact fee creating consulting firm hired by the commission.
perhaps the solution would be for the chamber to pick someone by random drawing, that is, if the candidates are equally qualified. that would show integrity and save the taxpayers from having to waste our tax dollars on a redundant position created by the city commission.
the chamber's dues should be enough already to keep it from suckling the taxpayer's dollars too. the commission should cut off funding an already rich organization. wow! this idea could save the taxpayers at least $150,000 by no longer subsidizing the chamber and preventing an unnecessary position.
merrill (anonymous) says…
Schauner has a very good idea. The chamber is not on the same page with the community as far as bringing in non polluting green industry that pays well. The city planner should report to the city commission yet not be their puppet. The city needs facts.
The Chamber support local goverment candidates that will say yes to just about any project that comes before them. This is old school thinking. Commissioner Amyx is like that and it would behoove Comm. Amyx to become someone who can think outside the box instead of doing things as he did as a previous commissioner. Giving $96,000 to an organization who becomes as political as they do during campaigns is not acceptable. This is why the city should hire a planner.
Ceallach (anonymous) says…
macon47: great definition of a consultant! Heaven knows there seems to be a never ending stream of them in city planning.
lunacydetector (anonymous) says…
merrill, what exactly would be considered a 'non polluting green industry that pays well'? a hemp clothing manufacturer? this redundant position will be a waste to the taxpayers. as a fiscal conservative as you claim, surely you realize that big government is not good.
here is a fact: our local government spends money like children in a candy store. they should stop their wasteful spending. it NEVER pays for itself!
macon, i will have to remember your definition. you are hilarious!
merrill (anonymous) says…
This could prove to be way more cost effective.
merrill (anonymous) says…
macon47 could be right some of the time on the definition of consultants.
A fiscal conservative does not say simply no to new taxes all of the time. A fiscal conservative makes sensible decisions and are of both party affiliations.
A fiscal conservative realizes it may be best to create a position that would take a city government in the direction it needs to go, again realizing it would save tax dollars on the long term.
A true fiscal conservative also realizes that big government does do some very good things for less money.
Some who discredit big government never leave the big government payroll and the Bush family is a prime example.
Some are on the big government corporate welfare list such as the oil companies who have been posting huge profits.
Think Kellogg/Brown/Root=Halliburton as well.
Some are wealthy politicians who will retire even more nicely at taxpayers expense. Names like Rumsfeld,Cheney, two George Bushes, Condolezza Rice, Reagan, George Shultz, Caspar Weinberger.... yes some big name complainers of big government who are not giving up their big government benefits while they could live quite comfortable without them. Brownback and Ryun also come to mind.
coldandhot (anonymous) says…
NIce names Merrill. Lets add Dennis Moore, Kathleen Sebulius, John Kerry, Ted Kennedy...
Hmmmm...I am still trying to think of a liberal fiscal conservative.
merrill (anonymous) says…
coldand hot,
Yes the ones I picked are folks who speak of big government with disdain yet some of their companies were receivers of no bid contracts in Iraq. For instance George Shultz and Bechtel are one in the same.
The names you provided I do not hear a constant whine about how bad big government is. Yes John Kerry, Big Ted and Dennis Moore will also retire evermore nicely with taxpayer assisitance which is why I believe tax dollars should at least pay for taxpayers medical coverage across the board. Think of the number of employees for which you an I are paying. Why not us?
Fiscal conservative is not a party specific label.
Reaganomics was/is about borrow and spend which creates huge debts. Remember $700 toilet seats from a defense contractor and $300 hammers?
MyName (anonymous) says…
All of the free advice we get from the people on these message boards is really worth every penny. Just keep it coming people! You're providing the city a valuable service just by contributing these fabulous ideas! Who needs consultants when you have armchair quarterback conservatives? I think you're right, the city needs to be more "pro-business" just like Topeka!
By the way, the reason why the city has to hire consultants is because there's no way in heck you could find anyone willing to wade through all of that boring paperwork for free. Oh and it helps if they're, you know, educated. I mean you could probably hire a few homeless guys and a hipster for the same salary, but then you end up with businesses that are dumpster diving oriented as opposed to those that create good jobs.