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Username: Detroitman

Post Number: 904
Registered: 06-2004
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Posted on Sunday, February 12, 2006 - 9:30 pm:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

http://www.crainsdetroit.com/c gi-bin/article.pl?articleId=28 781
$100m fund for regional projects gets look
By Amy Lane
• February 13, 2006
LANSING — A new Granholm administration proposal to spend $100 million to seed regional economic-development projects is drawing interest.

The proposal, outlined last week in Gov. Jennifer Granholm’s proposed 2007 budget, would provide an incentive for state and local partnerships on what Granholm envisions as “signature” types of projects, like an expanded and improved Cobo Center.
Specifics of the program, such as the size of matching funds the state would make available, have yet to be determined. The idea is to foster regional collaboration, and Bill Rustem, president and CEO of think tank Public Sector Consultants Inc., said the state seed money is “a great carrot. Rewards always encourage people to do things differently.”

Doug Rothwell, president and CEO of Detroit Renaissance Inc., said the initiative “could be very helpful. There’s always the need to have the ability to support capital projects that are in the field of economic development.”

And Sarah Hubbard, vice president of government relations for the Detroit Regional Chamber, said there have been “a lot of roadblocks in regional cooperation over the years” and the chamber is open to efforts to forge new agreements and “to do economic development on a regional level.”

But the program is far from a done deal. It needs approval by the Legislature, which also would be involved in selecting what projects ultimately get funded.

The state budget office plans to approach local governments and economic-development organizations within the next few weeks, to solicit project ideas. Specific proposals will be due in late spring, and the budget office will review the list and work with legislators to arrive at a final roster that would need House and Senate approval, said Greg Bird, director of communications in the budget office.

As proposed, key selection criteria would be: Projects that demonstrate regional partnerships and commitment, diverse development opportunities, job creation and potential statewide economic impact.

Other items in Granholm’s $42.6 billion budget, as reported last week on www.crainsdetroit.com:
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Username: Mikeydbn

Post Number: 293
Registered: 04-2004
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Posted on Sunday, February 12, 2006 - 10:53 pm:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

Hmmm... $100mil towards a $600mil Cobo Center expansion. Is that enough incentive? Trying to get the Legislature to grant the entire sum to Detroit seems near impossible. The state would not do anything to aide the Auto Show unless it the show leans toward leaving the state. If the show grows impatient of waiting for a new facility to open, one could be built else ware in the state at a much lower cost than $600mil. I’m sure LBP could put together a plan to build a 1,000,000+ sq foot facility in a matter of weeks (including financing!)

It will be interesting to see what projects are submitted.

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