city scrambles to fix Imagine Jackson deal
Facing a lawsuit over their partnership with Imagine Jackson, city officials are trying to change the deed for property owned by the economic development corporation in South Park.
Mayor Mark Barron says the city attorney is looking into modifying ownership of the nearly $1 million property. Imagine Jackson purchased the land and building last year after receiving a state grant with the city’s help. The nonprofit corporation has leased the facility to Square One Systems Design, a robotics manufacturing firm.
The city council recently voted to apply with Imagine Jackson for a second state grant of $1 million, prompting a lawsuit challenging the constitutionality of the deal.
At a city council meeting Jan. 16, Barron addressed a key community concern when he asked a representative of the Wyoming Business Council, which administers the grants, what would happen if Square One went belly up and Imagine Jackson were to fold. The official answered that the town would own the property.
However, a review of county documents shows the property is deeded to Imagine Jackson, and nothing in the agreement between the city and the nonprofit group ensures any right of public ownership.
When I attended the mayor’s brown bag lunch last week and pointed this out, Barron investigated the matter with city administrator Bob McLaurin. McLaurin took responsibility for what he called an oversight, and said the city attorney would look into attaching an affidavit to the deed or some other contractual arrangement that would give the public ultimate control of the property.
But attorney Peter Moyer, who filed the lawsuit on behalf of Jackson resident Armond Acri, says a better idea would be simply to deed the property to the town. “That makes the most sense,” and would satisfy the requirements of the Wyoming Constitution, Moyer says.
The grants are supposed to be used for public infrastructure. Giving the money to a private corporation violates the Constitution, Moyer says.
Here’s a description of the Business Ready Community program, from the Business Council Web site:
This program provides financing for publicly owned infrastructure that serves the needs of businesses and promotes economic development within Wyoming communities. Cities, towns, counties, joint powers boards and both Tribes are eligible to apply for funding. Public infrastructure that is eligible for funding includes water; sewer; streets and roads; airports; rights of way; telecommunications; land; spec buildings; amenities within a business park, industrial park, industrial site or business district; landscaping, recreation and educational facilities; and other physical projects in support of primary economic and educational development.
I had a long conversation last week with Mark Obringer, the sitting city councilor who is also executive director of Imagine Jackson, about this venture and the controversy it has stirred.
Obringer stands by the whole thing. No one else was willing to step up and take the initiative to diversify Jackson’s economy, he says.
He is indignant that people in the community, notably a certain newspaper editor, have questioned the group’s motives. And truth be told, after talking with him, a lot of my suspicions were laid to rest.
But at the same time, journalists need to ask these hard questions to make sure the public interest is being served.
We don’t know what will come of Imagine Jackson 10, 15, 20 years down the road. Some legislators have suggested disbanding the whole Wyoming Business Council, which oversees the grant program.
Without the deed for that land in the public’s hands, we have no assurance that the public interest will be served in the future.
Obringer offered to add a clause in the agreement between his group and the city that no member of Imagine Jackson shall profit from the deal. That would further clear up some of the public suspicion.
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But is it appropriate for the city council to be promoting (and subsidizing) economic development, particularly high-tech manufacturing? That’s a whole another matter.
Obringer says the community isn’t averse to growth. It’s afraid of change.
I mentioned my conversation with Obringer to an acquaintance who is philosophically opposed to the town helping Imagine Jackson. “The fish doesn’t realize it’s swimming in water,” this person said, speaking metaphorically.
I suggested that he ought to have a conversation with Obringer. “I don’t want to be the one to tell them they’re swimming in a muddy pool,” he responded.
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Messages left on Moyer’s answering machine in the days after he filed the suit were downright Cheneyesque in dropping the f-bomb.
As for Acri? The mellow engineer returned home from a duck hunting trip this week and said he has received nothing but encouragement from fellow residents.
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