2012 Policy Priorities

For decades, Northeast Indiana has pieced its way through the Indiana General Assembly THIS INS UP graphiattempting to get our “fair share.”  We have lacked a strong, collective, regional approach to advocacy.  The Regional Chamber has worked diligently with our local and state Chamber partners and Local Economic Development Officials to address the concerns of our region, and together have formulated a 10-point action plan for Northeast Indiana.  We call it ”THIS IND UP.” 

This plan touches Northeast Indiana’s target industries. It takes our region’s strengths and asks: “What can we do to take it to the next level?”  This 10-point plan is not likely to be accomplished overnight; in fact, some items may take several years.   

We ask for your support in convincing lawmakers these policy positions will drive THIS IND UP.


Regional Chamber Proposal:
INDIANA SHOULD BECOME A RIGHT TO WORK STATE. SHOULD STATEWIDE RTW LEGISLATION NOT BE APPROVED, 
 NORTHEAST INDIANA SHOULD BE ALLOWED TO ESTABLISH A PILOT PROJECT DESIGNATION AS A RIGHT TO WORK ZONE.

Indiana must remain competitive with other states. By enacting Right to Work protections, lawmakers can help free up markets, spur business growth, and create additional job opportunities.

• Not only does RTW legislation protect workers, it spurs economic growth.

• RTW would help grow Northeast Indiana’s economy and its slower than average population growth.

• Northeast Indiana is well known for its advanced manufacturing, especially in the automobile industry. A RTW law could significantly impact our region in this sector.

Why This Matters
The troubled economy weighs heavily on the minds of Northeast Indiana workers struggling to find jobs or to make ends meet. In our region, this burden looms large as we continue to drag behind on several nationwide and statewide economic indicators.

• Per capita income in Northeast Indiana has failed to keep pace with that of the United States.

• The region has experienced a loss of income relative to the nation as a whole for the past 15 years.

• Residents of Northeast Indiana have 78 cents in income for every dollar of income compared to the nation.


Regional Chamber Proposal:
EXPAND INDIANA’S R&D TAX CREDIT TO ENCOURAGE RESEARCH IN CONJUNCTION WITH INDIANA PUBLIC AND PRIVATE UNIVERSITIES.

Why This Matters
Northeast Indiana does not attract federally funded R&D commensurate with its share of population or economic activity.

• Indiana’s current R&D credit provides an incentive for business investment in Indiana by providing a credit against state tax liability for qualified company research expenses. The R&D credit is based on the increase in Indiana R&D over the prior three-year base.

• 37 states provide income tax credits for research & development expenses. These credits vary in amount and structure.

• We suggest continuing the 15% program, but expanding it to a 20% credit if the research is conducted in conjunction with an Indiana public or private college or university. 


Regional Chamber Proposal:
GIVE AREA BUSINESSES OPPORTUNITY FOR RELIEF FROM FRIVOLOUS ENVIRONMENTAL COMPLAINTS

• We propose that after a complaint is filed three times and is found to have no merit, the company subject to the complaint has a private right of action to recover for damages.

• This proposal would help fight against frivolous complaints and serial complainers, while still letting true environmental issues be evaluated and pursued.

Why This Matters
The IDEM complaint process is burdensome to Northeast Indiana businesses. Every complaint filed in Northeast Indiana drains time and energy away from targeted businesses. 


 

Regional Chamber Proposal:
PROVIDE INCOME TAX CREDIT FOR EXPENDITURES MAKING IMPROVEMENTS TO TRANSPORTATION

Provide a 30% income tax credit for expenditures made for improvements to real property located in Indiana related to constructing a new or modernizing an existing transportation or logistical distribution facility, or making warehouse upgrades or improving logistical distribution.

Why This Matters
Currently more than 57% of northeast Indiana residents work in this industry. These facilities generally require the same industrial site considerations as manufacturing, however, they tend to generate more truck traffic and require excellent highway access.

• Major players already call Northeast Indiana home: CWC logistics, Peyton’s Northern (Kroger), Norfolk Southern and Triple Crown, as well as distribution centers for Walmart and Dollar General.

• Northeast Indiana is among the lowest cost regions in the U.S. for moving goods to national markets.


Regional Chamber Proposal:
ESTABLISH REGIONAL ECONOMIC DEVELOPMENT TARGET AREAS

Authorize a regional economic development target area to be established as an economic development pilot program in certain counties(Adams, Allen, DeKalb, Huntington, LaGrange, Noble, Steuben, Wabash, Wells, and Whitley).

If the target area is established, the fiscal body of the county may adopt an ordinance imposing a target area income tax on the adjusted gross income of individuals employed within the target area (may not exceed 1%)

Why This Matters 
Promoting multi-county development of economic industrial sites puts Northeast Indiana in better position to attract investment. Recent economic development incentives by other states put millions on the table when competing for investment.

While Northeast Indiana has a number of sites listed for sale, consultants who have reviewed our site inventory report that most only consider sites that are ready-to-go; full public utilities, highway access, proper zoning, phase 1 environmental audit and firm purchase price. 


Regional Chamber Proposal:
ESTABLISH REGIONAL ECONOMIC DEVELOPMENT TARGET AREAS

Authorize a regional economic development target area to be established as an economic development pilot program in certain counties(Adams, Allen, DeKalb, Huntington, LaGrange, Noble, Steuben, Wabash, Wells, and Whitley).

If the target area is established, the fiscal body of the county may adopt an ordinance imposing a target area income tax on the adjusted gross income of individuals employed within the target area (may not exceed 1%)

Why This Matters
Promoting multi-county development of economic industrial sites puts Northeast Indiana in better position to attract investment. Recent economic development incentives by other states put millions on the table when competing for investment.

While Northeast Indiana has a number of sites listed for sale, consultants who have reviewed our site inventory report that most only consider sites that are ready-to-go; full public utilities, highway access, proper zoning, phase 1 environmental audit and firm purchase price. 


Regional Chamber Proposal:
ESTABLISH DOCTORAL LEVEL PROGRAMS ALIGNED WITH NORTHEAST INDIANA TARGET INDUSTRIES.

Advance Northeast Indiana would allow up to six advanced degree programs capped at 16 people per program.

• Advanced degrees to support the six identified target industries in Northeast Indiana:

• Advanced Manufacturing

• Transportation & Logistics

• Medical Devices

• Specialty Insurance/Financial Services

• Food Processing

• Defense/Aerospace

Northeast Indiana lacks an academic and corporate R&D capacity, which is important in the future for developing research and design functions, especially in the advanced manufacturing, defense, and financial service industries. 


Regional Chamber Proposal:
REWARD INNOVATION, TECHNOLOGY& EXCELLENCE.
INITIATE R.I.T.E. GRANT, FUNDED THROUGH DOE

• Innovation Fund and matched locally.

• Implement performance based award and incentive program to recognize and reward schools that have exhibited relative improvements toward benchmarks in innovation, technology, excellence.

Why This Matters:
Creating incentive programs that recognize achievement and promote innovation in Northeast Indiana schools fosters talent development. 


Regional Chamber Proposal:
ENGINEERED FOR SUCCESS

1) EMPLOYER TA X CREDIT ANDCOMPENSATION FOR INDIANA DEFENSE COMPANIES:

The credit is 10% of the compensation paid if the qualified employee received his or her degree from a university or college in Indiana, and 5% for non-Indiana graduates (not to exceed $10,000).

2) EMPLOYEE TAX CREDIT FOR INDIANA DEFENSE ENGINEERS OR ADVANCED MANUFACTURING ENGINEERS:

• Provides an income tax credit of up to $5,000 annually for 5 years to qualified employees.

• The credit is 10% of the compensation paid if the qualified employee received his or her degree from a university or college in Indiana and 5% for non-Indiana graduates.

Why This Matters
• Demand exceeds supply for industrial engineers, mechanical engineers, electrical engineers, systems engineers and software engineers.

• The wide range of products and services offered by northeast Indiana defense industry contractors requires a skilled and specialized workforce.

• The ability to find existing talent and to attract new talent in Northeast Indiana is one of the factors in defense contractors. 


Regional Chamber Proposal:
1)      FORM INSURANCE TALENT PIPELINE THROUGH ADVANCE NEIN. ESTABLISH AN INSURANCE AND RISK MANAGEMENT PROGRAM AT NORTHEAST INDIANA COLLEGES AND UNIVERSITIES.

2) IMPROVE THE STATE REGULATORY CLIMATE FOR THE INSURANCE INDUSTRY BY PROMOTING A GREATER LEVEL OF CONFIDENTIALITY DURING THE PRODUCT AND RATE APPROVAL PROCESS AT DEPT OF INSURANCE

Why This Matters
Northeast Indiana has had a nationally prominent insurance industry since the 1920’s.

• Northeast Indiana needs an insurance or actuarial science pipeline to fill our industry positions, improving our region’s competitive position.

• Competitor communities with the most vibrant insurance clusters were Lincoln, NE and Des Moines Iowa. Each of these communities has strong programs in insurance and actuarial science, which Northeast Indiana does not.