Hire Development Director, Experts Advise County
Hire an experienced economic development director, set a budget, and make a list identifying available buildings, land, and infrastructure. That is the advice experts gave the county commission, which is in the process of reactivating Mackinac County's Economic Development Corporation (EDC). The board is considering hiring someone to lead the county's program.
Commissioners received the advice from two Upper Peninsula economic development planners during a special advisory meeting on the subject Tuesday, February 17.
Mackinac County is the only U.P. county that lacks a full-time economic development person, said Cathi Cole, the Michigan Economic Development Corporation (MEDC) representative for the U.P.
The county needs a full-time, experienced director, and the county has to invest in marketing and retaining jobs, added Jeff Hagen, executive director of Eastern U.P. Regional Planning and Development Commission.
To help create more jobs, the City of Sault Ste. Marie, which already budgets $170,000 annually for its EDC, has been advised to infuse an additional $120,000 into its program, for a total budget of $290,000, Mr. Hagen told commissioners by way of example.
Also, neighboring Chippewa County budgets $600,000 annually for its EDC program, said Cedarville resident Ken Drenth, a Mackinac County Planning Commission member.
"They are our competition," he told commissioners and approximately 18 residents who attended the meeting.
Mrs. Cole agreed the county needs an experienced economic development director. The average budget for an EDC in a county with a population of about 20,000 is $250,000, she said. The range is from $15,000 to $1.7 million. In comparison, Mackinac County has a population of roughly 11,000.
For a county of about 20,000 residents, the average director's salary is $59,000; the salary range for an economic development director is $25,000 to $105,000.
"If you really want to hire someone with experience, you need to look at those kind of numbers for your budget," she said.
Commissioners withdrew their support and funding for Mackinac County's EDC in 2005 after deciding the board was making little progress.
Four years later, commissioners are in support of doing whatever they can to get the EDC moving again.
"I think from my standpoint, we are going to go ahead with an EDC board and we are going to go ahead with a director," said Commission Chair Dawn Nelson.
Commissioner Mike Patrick said he wants to see the county develop an industrial park that draws in light industry and companies that offer residents year-around employment.
Commissioner Larry Leveille agreed that the county needs an industrial park and an EDC director.
Commissioner Carl Frazier said he would like to see all areas in the county have an opportunity to get involved in economic development.
The immediate problem for Mackinac County, said Mrs. Cole, is leaders not knowing property and infrastructure available for potential businesses.
"You can't sell it," she said, "if you don't know if you've got it."
She added, "I don't know what's available in Mackinac County for a prospect, and I had one last week."
A fish processing company wanted to be in the area close to the I-75 corridor. The company said it would hire 30 to 40 people full-time and offer benefits.
"I had nowhere to put him," she said.
She also had another prospect that wanted to locate in Mackinac County, although there was no location for it. That company ended up in Newberry, she said.
Mr. Hagen agreed. Companies often will research information on the Internet, and available buildings, property, and infrastructure should be listed on the county's Web site.
The county also can link its Web site to the state's EDC Web site.
St. Ignace has an advantage by being on I-75, which has been a preference for businesses interested in locating in the U.P., she said.
She suggested the county work with her and Mr. Hagen to explore the possibility of finding planning grants to help develop an industrial park. An ideal starting point for the county, she said, would be a 20-acre site with an option to develop an additional 20 acres.
A community no longer can depend upon tourism alone for its support, said Mrs. Cole. Towns need to be able to offer year-around employment.
Also, with an industrial park, the county would need to support tax abatements and establishing an industrial district. Companies are looking for areas that offer tax abatements. St. Ignace, she suggested, could waive 50% on a building and 100% of the personal property tax for anything except retail and casinos. A township can waive 50% of the taxes on the building and on the property.
"Everybody is doing it and you are in competition with everybody around," she said.
Volunteers are not the appropriate planners for these issues, she said, because even though they are excited about doing things, too often projects fall to the wayside as jobs and family matters take precedence.
"If you don't have a full-time staff person," she said, "it's really hard to keep people on target."
County commissioners are expected to continue discussing the future of the EDC and potential hiring of a director at their next meeting Thursday, February 19, at 4 p.m. in the commissioners room at the Courthouse annex building in St. Ignace.









