I have said for many years that it is so, so important to subscribe to your  local media.  I was reminded of that when reading two important stories in the February 4th edition of the Indianapolis Business Journal (IBJ). Two front-page stories have a lot to say about the economic future of our Hoosier state.

The first story, written by reporter Mickey Shuey, has the headline “Trying to land the big ones,” all about what Indiana will need to do in order to entice a big project.  The second story, from reporter Emily Ketterer, takes a look at proposed “innovation districts” proposed for our state.

Fishers knows a lot about economic development projects.  Mayor Scott Fadness is a young, aggressive mayor always on the lookout for big developments.  When Fishers announced Ikea and Top Golf were coming here, lots of heads were turned.  That led to the Fishers District (initially called The Yard) development of restaurants and some other shops.

I hear rumors all the time that Mayor Fadness is pursuing one development project or another.  I would be shocked if the first half of 2022 comes and goes without another big announcement of a new development for Fishers.

Reporter Shuey’s story takes a deep dive into what Indiana needs to do in order to be competitive for big developments.  Shuey highlights the Intel Corporation  $20 billion investment in the Columbus, Ohio area.  Kentucky is getting a $5.88 billion project from Ford Motor Company about 50 miles south of Louisville.  Ford is spending $5.6 billiion in a community 50 miles northeast of Memphis, Tennessee.

Those and other projects cited in the IBJ story, will have a major impact on those states and communities for the next 20-30 years.  Where does that leave Indiana?

Indiana lawmakers are looking into raising some of the incentive caps in current law.  Ketterer goes into some detail about plans for “innovation districts.”  As the reporter describes the proposal, these districts would be setup much like the current Tax Increment Financing (TIF) system.  The biggest difference is that Innovation Districts would be under state control, where TIF’s generally are local projects.

Economic incentives are certainly required to compete in today’s economy, but Ball State Economist Michael Hicks throws a wet blanket on an ingredient of economic development that incentives cannot address.  Out state’s workforce is not as well educated as the residents of surrounding states.  Hicks tells IBJ only about 27% of those residing in the Hoosier state have at least a bachelor’s degree.

That also applies to certifications gained outside college to qualify residents in Indiana for specific jobs requiring specific skills.   According to Hicks, those graduating from higher education in Indiana tend to go outside our state for employment.

Fixing our education system in Indiana, encouraging college graduates to stay here and enhancing the certification programs cannot be done quickly, based on Hicks’ analysis.  In other words, Indiana is paying a price for falling behind in our education system.

Some parts of Indiana, such as Fishers, Carmel and other localities, have a higher number of college graduates and those with certifications.  Those local areas will be more competitive.

Bottom line, Indiana needs to start dealing with the issue of education, before our state begins falling further behind economically.

Read Mickey Shuey’s story at this link.

For Emily Ketterer’s piece, use this link.

(NOTE: If you are not an IBJ subscriber, you may be limited on accessing these stories.  Again, please, SUBSCRIBE TO YOUR LOCAL MEDIA!)