City Council hears update on ED dispute

DAVE MOSIER/independent editor

Representatives of the city’s contracted economic development agency returned to Van Wert City Council’s Monday night meeting with an update on efforts to form a city/county development structure.

Staci Kaufman, who chairs the Ohio State University Economic Development Advisory Group, reported on three meetings she and Vice Chair Dennis Staude had with the County Board of Commissioners and County Development Director Sarah Smith on that topic.

Kaufman noted there were several sticking points between the city’s and county’s economic development plans, with the greatest obstacle the county’s unwillingness to work with OSU Extension on economic development. The commissioners have stated their belief in the past that the Extension development program is not valid without participation by the county.

Earlier this year, the commissioners withdrew from the contract that provides the legal validity for the OSU Extension development office, stating they wanted to see more local control over economic development efforts.

Kaufman also stated two main “philosophical differences” that currently exist between the OSU Advisory Group and the commissioners. Those differences include:

Kaufman said the commissioners’ request that the county economic development director provide direct supervision for the city/OSU ED director, while Advisory Group reps seek a “lateral” organizational chart that would put both city and county ED personnel on an equal footing.

Lack of support by the county commissioners for OSU participation in local economic development. The commissioners have stated several times that the county seeks local control of economic development — something not possible, in their opinion, if the OSU Extension program remains in operation. During one of the ED meetings with Kaufman and Staude, County Commissioner Todd Wolfrum expressed concern when Kaufman told the commissioners the OSU Advisory Group has no day-to-day supervision of OSU Community Development Director Cindy Leis. In fact, minutes of that meeting, held June 26, indicate that Kaufman was unsure who actually did provide direct supervision over Leis, noting that it could be County Director Curtis Young.

Accountability for Leis comes from annual ED goals she submits, Kaufman said, with input from the OSU Advisory Group Executive Committee. Those goals are shared with the Executive Committee and larger Advisory Group as a whole, as well as City Council.

“A position of this caliber should not require micromanagement and approval of daily activities,” she added.

In closing, Kaufman noted that a significant gulf remains between the city and county when it comes to economic development.

“We appreciate the commissioners engaging in the discussion with us; however, the areas of disagreement are significant,” Kaufman told City Council. “Because there are fundamental differences dealing with employer authority and supervisory responsibility, Vice Chair Staude and I stated to the commissioners that any interest in continuing discussion of building one ED structure be done directly with city officials who manage the city budget, which is impact by such an effort.

“Those responsibilities lie with the city, not the OSU Economic Development Advisory Group,” Kaufman said, adding that the city’s hotel-motel tax funds a large portion of the OSU development program.

Meanwhile, City Council members are also split over the dispute, with several councilmen supporting the current OSU Extension program, while others feel local control is crucial to city and county economic development efforts.

It was also learned that a legal opinion sought by the commissioners on the validity of the local OSU Economic Development program wouldn’t be forthcoming. Ohio Attorney General Mike DeWine’s office said doing so would be a conflict of interest, since the A-G’s office also provides legal services to OSU Extension.

Third Ward Councilman Jerry Mazur sought a commitment from Council President Ken Mengerink to invite the commissioners to a meeting to present their economic development plan to Council, which Mengerink said he would do.