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State to help finance Lebanon water expansion
BLOOMINGTON, Ind. (WISH) — Economic development officials on Thursday told lawmakers current commitments to a high-tech research park already have maxed out Lebanon’s water infrastructure.
During an at-times contentious meeting with the State Budget Committee, officials with the Indiana Economic Development Corporation and the Indiana Finance Authority said the state will put $50 million toward supporting a water infrastructure bond for the area. Officials said the project would provide the city of Lebanon with 25 million gallons of water per day, drawn from Citizens Energy Group’s portfolio of well fields and treatment plants. Officials said Lilly’s planned LEAP District campus alone will take up remaining excess capacity in the city’s water infrastructure.
“The initial Eli Lilly commitment and related water demands maximize local utilities’ capacity, meaning that a new supply of water was going to be needed to allow Lebanon to continue to grow,” said Mark Wasky, senior vice president and special counsel at IEDC.
Currently under development near Lebanon, the LEAP District is planned to be a high-tech research park in the vein of other such developments, such as Research Triangle Park , which is nestled between Raleigh and Durham, N.C. Water concerns have underpinned much of the criticism directed at the LEAP District, particularly after the IEDC said it plans to draw water from Tippecanoe County to cover the LEAP District’s needs. An IEDC study found Indiana has more than enough water, but a competing study commissioned by local activists raised concerns over the IEDC’s methodology and consideration of long-term water needs. The Indiana Finance Authority is currently conducting a comprehensive, independent study of the entire Wabash River basin.
The Indiana Chamber of Commerce joined the water debate on Monday with its own study . Although the Chamber study did not address the LEAP District specifically, it concluded that while Indiana does have abundant water supplies, central Indiana doesn’t have the abundance northern and southern Indiana do, and thus needs more careful water management plans. The Chamber study recommended the creation of a statewide water management plan and the assignment of all future water studies to the Indiana Finance Authority.
Under questioning from Rep. Ed DeLaney, D-Indianapolis, Wasky said the water project would handle needs beyond those of Lilly’s LEAP District campus and the city of Lebanon’s future growth. When DeLaney asked if the water project could handle the needs of potential future LEAP District tenants who might require large amounts of water, Wasky replied it would depend on who decides to build facilities there.
Fellow Democrat Greg Porter, also of Indianapolis, told News 8 afterward he was not satisfied with the answers the IEDC provided.
“The concern is what other projects may not occur within that Lebanon area, within that community because of a lack of water,” Porter said. “We’re very concerned about that, and so, the more transparency, we can have more deliberation with regards to the water and where those waters are going to come from.”
Sen. Chris Garten, R-Jeffersonville, was more optimistic. He said he’s generally satisfied with the answers the IEDC has provided to date, but he will continue to push for more transparency from the agency.
“I would just ask all Hoosiers, stay engaged with these processes,” Garten said. “I definitely want Hoosiers to continue to reach out, have your concerns heard.”
Both Garten and Porter said they supported the Chamber of Commerce’s water policy recommendations, though Porter said he would rather see regional water use plans than a single statewide plan.
The Indiana Finance Authority’s water study is expected to be completed by the end of the year.
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