Economic Development RFP

[sen.horn@ix.netcom.com (Ray DiRossi)]

ANNOUNCE    


FOR IMMEDIATE RELEASE
Friday, March 28, 1997
Contact:  Ray DiRossi
(614) 466-4538

OHIO ECONOMIC DEVELOPMENT STUDY COMMITTEE 
ANNOUNCES AVAILABILITY OF REQUEST FOR PROPOSALS

COLUMBUS -- The 7 member Economic Development Study 
Advisory Committee chaired by State Senator Charles 
Horn (Dayton) who also authored the amendment 
creating the committee, today announced the release 
of a finalized Request For Proposal (RFP.)  The 
committee’s legislative charge is to select and 
guide a contractor in conducting a study of Ohio’s 
economic development programs and activities.   This 
includes a comprehensive evaluation of Ohio's 
business assistance programs with an eye towards 
business tax reform.  The committee has unanimously 
chosen to focus on a few select programs with the 
top priority being the Ohio Enterprise Zone Program. 
 
The committee will direct the contractor to provide 
the committee and legislature with a summary of 
findings for the Enterprise Zone Program no later 
than December 1, 1997 and the remaining selected 
programs by November 31, 1998.  This will provide 
the Ohio general assembly with valuable and timely 
information on which to make decisions regarding the 
extension of the Enterprise Zone Program.

The study is to include, but is not limited to:

* Conducting a program analysis of current business 
assistance programs including loans, grants, tax 
abatements, tax incentives, job training, and 
technology assistance; on both the state and local 
levels
* Identifying the best means to ensure the economic 
growth and stability of the state's economy, 
including an analysis of the state tax structure as 
applied to Ohio businesses
* Developing a list of procedures to be followed by 
the Ohio Department of Development for the 
evaluation of current and future programs
* Comparing the economic health of Ohio with that of 
other states with which Ohio readily competes and 
prepare recommendations for actions needed to 
strengthen the state's competitive economic position 
among other states

Ohio finds itself in a unique position to provide 
national leadership on these critical issues.  Key 
factors which make Ohio a national leader are: 

*   In addition to better measurement of “benefits” 
the committee is committed to determining the “true” 
and consequential costs of these incentive programs 
including, but not limited to: the loss of 
agricultural land, loss of traditional school 
revenue, infrastructure costs of local governments, 
the depletion of tax bases, increased urban crime, 
effects on per capita income, effects on local 
government tax revenues and other social service 
programs.  
*   This is a legislative initiative with the full 
support of our Governor.  The committee is well 
funded ($500,000) and is in a position to provide a 
thorough analysis of these issues and act decisively 
on the recommendations.   
*  The Ohio Supreme Court decision of 3/24/97 in 
part relates to our efforts to study the matter of 
local school districts foregoing revenues for the 
purposes of luring industries.  The court ruled the 
current approach used to fund local school districts 
is unconstitutional.
*   Ohio, the 7th largest state, and in the heart of 
the manufacturing midwest, is a natural laboratory 
to test and examine these issues.  Additionally, 
Ohio has been among the most active states in 
providing industry incentives.

Contractors interested in receiving an official RFP 
should contact the committee through the following 
means:

Senator Charles F. Horn, Chairman
Economic Development Study Advisory Committee
Office of Budget and Management 
30 East Broad Street, 34th Floor
Columbus, Ohio 43266
(P) 614 644 8809

THE DEADLINE FOR WRITTEN QUESTIONS IS 5:00 P.M. 
APRIL 11, 1997.			
THE DEADLINE FOR SUBMISSION OF PROPOSALS IS 5:00 
P.M. ON MAY 2, 1997.  

The RFP addressed out of state proposals by saying 
that the selected contractor must be an entity with 
an economic presence in Ohio.  An “economic presence 
includes the operation of an office in the state 
employing persons from Ohio.  Joint proposals are 
also acceptable.

Additionally, no for-profit organization which has 
done business with Ohio's Department of Development 
since March 28, 1996 is eligible for consideration.  
No such time constraint exists for non-profit 
organizations.  The Committee intends to have the 
contracted awarded via Controlling Board by June 9, 
1997.