Published: May 19, 2008 05:50 pm            

The ins and outs of economic development

You’re the president of a local town council, and you’ve just received word that a company in Wisconsin is looking for a new home for its operations. A site consultant has recommended your town, and a move could bring several hundred high-paying jobs to the community.

You know that the company is looking at other communities, including two neighboring towns. What can you do to ensure that yours is the most attractive — and what kinds of incentives are those other towns going to offer?

It’s a challenge that towns in Hendricks County face regularly. And participants in Leadership Hendricks County learn more about that challenge and its many dimensions through a role-playing simulation that was developed by real-life economic development professionals.

Class members are assigned to one of the three towns in the fictional Profit County a month before the session begins. Each is given a specific role within that community, such as the mayor, the school superintendent, the chamber of commerce director, etc. During that month, they meet with people who hold those jobs in Hendricks County, so they can better understand how each fits into the economic development picture.

They also receive details about six businesses that are considering a move into Profit County. Some are located in nearby communities. One is a Japanese company that wants to build an American plant. All offer some advantages to each of Profit County’s towns — along with some disadvantages.

The community teams meet to discuss each of the companies and decide which ones they plan to pursue, and what they’re willing to offer (if anything) in the way of incentives. They also polish their sales skills to convince the company that its employees will feel at home in their community (a particular concern for the executives of the Japanese company).

The big day arrives, and the community teams stake out spaces in a conference center near the International Airport (which bears a striking resemblance to the North Salem Community Building). They walk to the airport, pick up representatives of the companies they have decided to pursue, and bring them back for presentations about their communities. The company representatives ask tough questions and compare the offers with others they’ve received.

During breaks in the action, the participants learn more about economic development and how incentives such as tax abatements really work. They come to realize that attracting new companies requires collaboration from many different officials and organizations.

At the end of the day, the companies announce their plans, and the towns either celebrate their wins or mourn their losses. Win or lose, everyone comes away knowing more than they did when the day began.

— Scott Flood serves on the Leadership Hendricks County board of directors. To learn more, visit the website at www.lhcinc.org.

        

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