The Chronicle-Tribune is asking the state of Indiana’s help in attempting to open meetings and records of the Grant County Economic Growth Council.
In September, following months of discussions with the Growth Council, the Chronicle-Tribune’s editorial board made a filing for an informal inquiry with the Indiana Public Access Counselor concerning the use of public money and keeping the public out of meetings and financial records.
If the Growth Council would be found subject to the Indiana Open Door Law and Access to Public Records Act, the public could more directly scrutinize how it spends tax money. It now receives .03 percent of the county’s .25 percent economic development income tax (EDIT) rate, plus additional annual sums from several local cities and towns.
Last year, it received about $270,000 in EDIT money alone.
Executive Director Tim Eckerle said the Growth Council is simply following the law as its attorney advises. Their attorney, Jerome Holderead, could not be reached for comment.
However, the Growth Council maintains that it is not a public agency because it has not been subject to audits from the State Board of Accounts since 2007 and it receives public funds in a “fee for service” arrangement.
“The bottom line is we’re trying to follow the law and carry out our task,” Eckerle said.
Dale Brewer, legal assistant to the public access counselor, said a ruling would likely come after Thursday. This would not be legally binding, but would provide significant weight in any possible court case.
Neal Ronquist, publisher of the Chronicle-Tribune, said keeping track of how tax money is spent is one of the newspaper’s most important roles in the community.
“This situation with the Growth Council and taxes being passed directly to them raises the question of how those dollars are being spent — there’s a lack of transparency — and, secondly, it brings to question whether they still remain a private organization,” he said.
The Growth Council was formed as a nonprofit group to spur economic development — job creation and retention — in Grant County. It is governed by a board consisting of local elected officials, business leaders and other community representatives. As executive director, Eckerle says he follows the direction of the board.
With funding coming from both public and private sources, which include the Chronicle-Tribune, the Growth Council has helped numerous businesses secure government incentives and developed programs to retain college graduates, encourage entrepreneurship and also has provided direct loans to small businesses.
Eckerle said many companies the Growth Council actively works with require confidentiality agreements. He said because of that, opening up meetings and records will affect the Growth Council’s ability to snare prospective businesses.
“It wouldn’t hinder it, it would stop it,” he said.
The public access laws in Indiana allow discussions concerning commercial and industrial prospects, litigation and personnel discussions to remain confidential.
Ronquist said the argument that increased access could hinder the Growth Council’s ability to attract jobs has no bearing on the public’s ability to track how tax dollars are spent.
“We’re not asking to be put into the middle of the negotiations,” he said. “After the negotiations have been concluded and a deal has been struck or the money has been spent, there needs to be a proper reporting of those transactions to the public.”
This would give the public a chance to weigh in on whether tax money was used effectively, Ronquist said.
“This isn’t a reaction to something illegal or wrong that we know or think has occurred,” he said.