Economic Development studied and discussed by committee

Thursday, October 1st, 2009

A coming together of the city and the county in the economic and community development trenches last week netted uncertain results for the future uniting of each entity.

Joining the Hohenwald City Mayor and representatives from the Lewis County Board of Commissioners was Brooxie Carlton of the State Department of Economic and Community Development (EC&D) and Three Star program.  Carlton urged  a united front.

“I want to talk [you] out of going [your] separate ways,” Carlton said, comparing Lewis County with its one city, Hohenwald, to Roberson County.  If Roberson County can work it out with 11 cities, you should be able to, she said.

A recent decision by Lewis County’s government not to fund  the local economic and community development office’s 2009 budget raised concern the county may not be eligible for the State’s Three Star program in 2010.

“Three Star is set up so anyone can run the program,” Carlton explained.  “Nothing says a county must fund EC&D.”

What the Lewis County must keep, to be in compliance with the program is the Joint EC&D Board which meets quarterly, she explained.

The board is made up of five members:  the city mayor, the county mayor, a greenbelt property owner, a representative from local industry and the president of the chamber of commerce.  Lewis County’s Joint EC&D board was established in 2000.

The City of Hohenwald has an additional three member executive  EC&D Board created in 1996 composed of each mayor and the president of the chamber of commerce.  Former industrial recruiter Bob Gafford attended the meeting September 21, 2009 at the EC&D office on Court Street to explain.

Gafford reminded those gathered the EC&D board (not the Joint Board), was responsible for hiring a director/industrial recruiter locally and was established when no other EC&D office existed locally.

The Joint Board was created to fulfill Three Star requirements and to unite the city and county in economic development.

In April 2009, when Hohenwald/Lewis County’s EC&D director, Phil Griner, announced his retirement, an EC&D study committee was formed by each entity, the city and the county, to examine how to best conduct the business of economic and community development.  Until last Monday, the committee had not met.

Commissioner Ritchie Brewer, representing Lewis County as a member of the study committee expressed little interest in continuing a  partnership with the City of Hohenwald because, he said, “The City has lost its vision” for economic development.  Brewer said the City had focused on retail and tourism for the past two years and his idea was to invest in recruiting industry.

Mayor Don Jones defended the City’s emphasis on retail and tourism, “because we have sales tax growth disproportionate to other communities.”  Mayor Jones also said he was keenly interested in industrial growth, but retail and tourism were currently making great strides.  Mayor Jones stated the City Council would continue to fund the local EC&D office and acknowledge its importance to the community.

When established, the three member EC&D Board was to equally share funding of the EC&D office.  Since the local chamber of commerce has never achieved financial independence, it has not funded the office, the committee noted.  The Chamber’s operating budget currently is funded by its membership dues, supplemented by both the City and the County.

Mayor Jones suggested a change in the Chamber’s part on the three man EC&D Board should be considered.  Gafford agreed adding, “And I set it up.”  Brewer also agreed.

“I believe we should keep the Three Star Program...but I don’t want to go back to the way it was the past few years,” Brewer said.

Carlton pointed out the county and the city do not need an industrial recruiter, but should hire an EC&D director.  The director “does all:  industry, existing business support, retail, tourism, entrepreneurs...” she said.  “Seventy-five percent of growth comes from existing businesses,” Carlton added.

After a discussion of the local tourism industry and local retail growth heeding their positive effects on sales tax revenues, Commissioner Matt Spitzer, a member of the study committee pointed out “Tourism is one of the spokes in the wheel.”

A positive response from the group noted the value of each part of economic and community development, retail, industry and tourism, in a community’s overall growth.

Commissioner Brewer continued with his earlier stance, “The current plan is not working.”  He added the lack of funding from Lewis County for the EC&D office was a struggle for the county governing body, but resulted from the three person EC&D board’s power over hiring the EC&D director.

“We need a new direction,” Brewer said.  “I made a suggestion the county go out on its own,” he added.

“We do want to work together,” Mayor Jones said.  “The city will always be there to support the county; and would hope the county would also support the city when prospects” show interest in developing business here, he continued.

“I would like to see us work together,” Commissioner Spitzer said.

Early in the meeting Carlton told the committee “This county is small enough if the county and the city cannot get along, you have bigger issues.”

Currently the local EC&D office is operated daily by administrative assistant Shelia Carroll and Chamber of Commerce Director Janet Johnson with a part-time assistant.  Carroll asked the committee to consider how  the community should be marketed.  She also requested the committee decide on a plan and a budget to implement the plan.

The study committee adjourned with plans to meet again after the City Council convenes in October.