From: Mark Neuse
Seymour
Related to the July 4 article in the Republic (“Council to consider abatement for internet developer”), I think a couple of questions should be asked. While I have no vested interest in the proposals, I am viewing this as one who lives in Seymour but works in Columbus. I am neither for nor against the proposal. I am view it as an outsider.
My questions relate to the local 95% property tax abatement. The federal government has budgeted to and will provide money for expanding high-speed internet service to low-income areas. Because we are in middle America, not on a coast, our mean and median income levels may meet the federal definitions of low-income. Or if these levels are regionally adjusted, does the entire city of Columbus even qualify as an economic revitalization zone? The bottom line is the federal government will give the money someplace.
Why not Columbus? Do whatever is necessary to get those federal dollars. But questions related to local issues exist. First, what impact would this plan have on existing internet providers in the Columbus area? Are there other developers willing and able to meet the same goals if given equal or lesser concessions? Would existing service providers be harmed by new competition coming into the market being given the proposed concessions? Would existing providers be put in a position of competitive disadvantage? If yes, is the new developer receiving 20 years of abatement good for Columbus in the long term?
Regarding Hoosier Networks LLC, it is their duty, not just their right, to seek every possible means to reduce costs and to increase profits. As a profit-seeking company, would Hoosier Networks LLC proceed with the proposed project without the local tax abatements?
Would a lesser abatement be acceptable to them? Would some other developer be willing to do the same for less? Or is Columbus jumping at the first offer to come along?
This is not a situation where communities are competing for a company to locate a new facility, where the facility is the prize. In this case, Columbus is the prize. Is Columbus seeking the best offer from available developers?
