Economic development funds divisive

Tue., Dec. 19, 2006

By Jonathan Brunt jonathanb@spokesman.com (509) 459-5442

Spokane County’s annual funding of economic development groups have commissioners debating whether some groups have an unfair advantage when it comes time for the county to dole out money.

Commissioner Mark Richard said his colleague, Todd Mielke, was not being objective when he argued to give $275,000 to the Economic Development Council. Mielke sits on the agency’s board.

“I don’t think he was far enough removed,” Richard said.

Mielke argues that it’s important for a county leader to be involved in the organization since the county invests heavily in the group.

“It’s a stronger line of communication if they’re sitting as a board member,” said Robin Toth, the EDC’s funding and community projects director. “We want them to know as much about our organization as possible.”

Richard was on the Connect Northwest board but resigned earlier this year, saying it could cause conflicts when the nonprofit came to the county for funding. The group requested $285,000 but only received $100,000.

Dennis Leidall, Connect Northwest’s director, said he will search for other funding, but the lower figure will impact the agency’s operations.

“I don’t think any county commissioner should be on anybody’s board,” Leidall said. “I think it’s a conflict of interest.”

Citing the tight budget, Erik Skaggs, the county’s economic development director, recommended that the EDC get $95,000 and all other groups that help businesses split $215,000.

Instead, county commissioners gave the EDC $250,000 and the other economic development groups split $675,000.

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