Here are two news stories about the recent re-certification of Intelliplex. The first story was published by a weekly business periodical in Indianapolis, the second story was published by a local newspaper. Both stories originated from the same source, yet each contains information not included in the other. Maybe if you read both, you'll have a better understanding of what transpired. And why.
Shelbyville Tech Park Keeps Tax Incentives
By Kathleen McLaughlin - IBJ - February 5, 2010
State officials are giving Shelbyville's struggling business park another chance to use tax incentives to land new companies and high-paying jobs.
Intelliplex received a two-year re-certification as a technology park on Thursday, Indiana Economic Development Corp. spokeswoman Blair West said.
That means the park may continue to capture state sales and income tax revenue - up to $5 million - and use it to create incentives for new businesses.
Intelliplex is one of 18 certified tech parks around the state, but it has not generated the high-tech job growth that the program envisioned. As of last August, the 141-acre park off State Road 9 had captured about $466,000 in state tax revenue.
Most of the tenants at Intelliplex are affiliated with Shelbyville's development partner in the park, Major Hospital. Others include a law firm, financial firms and a dentist's office. The park also attracted a steakhouse, which has closed. In 2007, then-Commerce Secretary Nathan Feltman gave Shelbyville officials two years to put up a flexible-use building and create 50 new jobs.
Shelbyville didn't meet those goals due to a deep recession, but officials said in their application that they made a good-faith effort to market the park and line up financing for a new building. Intelliplex employs 206 people with an average annual wage of $60,955, according to the application submitted Jan. 12. (The deadline for Shelbyville's application was Oct. 5.)
From 2007 to 2009, the park attracted 37 new jobs. About half of those, 18, were at the law firm McNeely, Stephenson, Thopy, Harrold & Schrumpf. Others were at regional work force boards and Force Orthopedics.
Shelbyville Mayor Scott Furgeson was not immediately available for comment Friday afternoon. In the bid for re-certification, he played up recent efforts to work with Indiana and Purdue universities. The current business-recruitment effort is focused on life science, agriculture, animal science and data centers.
West said IEDC's staff agreed that the economy kept Shelbyville from meeting its goals. "At this time, they're not going to be penalized for that," she said.
Other certifications the IEDC granted in 2009 were good for four years. Intelliplex will be certified through 2011, West said. At that time, it will be evaluated for a four-year certification.
Content Copyright 2010 - Indianapolis Business Journal
Intelliplex Back for Two Years
Park recertified, off probation
By Ron Hamilton - The Shelbyville News - February 6, 2010
After weeks of waiting, city officials Thursday received welcome news from the state regarding the status of Intelliplex Certified Technology Park: The park is no longer on probation and has been recertified for another two years.
"The state recertified us for two years instead of four in order to get us back on our normal four-year cycle of evaluation and review," Mayor Scott Furgeson said. "I'm very pleased with this decision by the Indiana Economic Development Commission. They have taken into consideration the progress made out there, as well as the poor economic climate over the last few years. We've worked closely with them, and they've decided not to take away those important tools that we need for economic growth."
Major Hospital Chief Executive Office and President Jack Horner was equally pleased and excited. Horner, along with Furgeson, took the lead in presenting the park's case to state officials last month. He said the park will continue to provide excellent opportunities to attract economic investment in the community.
"So many people worked hard to get this done," Horner said. "I especially want to thank the members of the Shelbyville Redevelopment Commission, Shelby County Development Corp. and the Indiana Economic Development Corp. Everyone has been on the same page with this thing, and that's really helped. The park is our best avenue to pursue development in the areas of high technology, data storage, medical and life sciences."
According to Blair West, IEDC director of media relations, Intelliplex is certified through Dec. 31, 2011. She said the park is no longer on probation, but state officials expect those associated with the park to "continue to work toward the goals set out and outlined in the memorandum of understanding agreement signed two years ago."
"We still would like to see a spec building at the park, along with the creation of 50 new high-tech jobs, but at the same time, we understand the present economic climate makes that sort of progress difficult, if not impossible," she said. "We want to work with them and help them attract new investment and promote development. That's our purpose. We don't want to take away the important tools they need to get that done."
Intelliplex is a 141-acre business park, one of 18 such certified technology parks in the state. It was created in 2003 as an unusual nonprofit partnership among the city of Shelbyville, Shelby County and Major Hospital, with the hospital owning the land. Each year, the city and county contribute $125,000 in economic development income tax funds.
Park promoters have praised its location, unlimited bandwidth, a fiber optic network with full backup, state-of-the-art video conferencing, advanced telecommunication services and early incentive programs, while park critics have cited the low number of high-paying jobs created thus far and a lack of development and creation of high-tech industries.
According to IEDC officials, the financial advantages of CTPs is that they are eligible for state grants and can recapture income and sales taxes to reinvest them in the area. Parks must apply for recertification every four years, and Intelliplex was placed on probation for two years beginning in October 2007 after state officials found the park wanting.
Park officials signed a memorandum of understanding, agreeing to build a "flexible-use, high-tech laboratory facility" and create at least 50 new full-time, high-paying jobs within two years. The state has taken the economic climate into consideration and given the park a pass, Furgeson said.
"Already more than $24 million in buildings have been created, and the park has an annual $10 million payroll," he said. "State officials have taken into consideration the progress we've made, current economic conditions and the highly competitive nature of the medical and life science industries."
Content Copyright 2010 - The Shelbyville News
Posted: Wednesday, February 10, 2010
Article comment by:
The state should be investigating Intelliplex, not recertifying it.
Who paid who off? Does someone have a college buddy who helped work some miracles? Someone said Wabash has a great network of buddies. It isnít what you know, itís who you know!!!
Posted: Tuesday, February 9, 2010
Article comment by:
It would be very interesting to know everything else they told the state about that park development
Posted: Sunday, February 7, 2010
Article comment by:
the mayor told the iedc that inteliplex employs 206 people at $60,955 each---a $12,566,730 payroll? then told the newspaper inteliplex has a $10,000,000 payroll? typical ---and they wonder why nobody trusts them