Council funding of co-working space questioned

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BROWNSTOWN — The tension in the air was palpable at Thursday morning’s county council meeting as former Seymour Councilman Bret Cunningham confronted council members about the allocation of $1 million dollars of COVID-19 relief funding to develop a co-working space called SPARK Place in Seymour.

The American Rescue Plan Act, or ARPA, is a result of federal legislation designed to aid the country’s response to the COVID-19 public health emergency.

At a county council meeting back in May, SPARK Place was described by Dan Robison — executive director of the Jackson County Chamber — as “a place for Jackson County residents to share resources and ideas, to connect with available business development tools and launch new healthy businesses to approve our overall quality of life and business landscape.”

Owing to the fact the co-working space was among the projects included in the Burkhart Opportunity Zone Agenda, Cunningham questioned the council on why they gave their stamp of approval on the project. He also questioned why the council did not formally disapprove the agenda after county commissioners did so.

“At the time of our April meeting — it was about a month later after the big meeting in Seymour — and as a council, and it’s in our meeting minutes, we felt at the time that the Burkhart Opportunity Agenda was dead and we felt like we did not need to come up with a public statement like the commissioners did,” Councilman Brady Riley said. “But we did have a meeting saying we did not support it and if it did come back we would come out with an official statement.”

Cunningham said that last month, he felt the council approved part of the Burkhart agenda.

Riley said the conversation about SPARK began in 2020, two years before the Brookings Institute came to Seymour. He also defended the council’s support of the co-working space, saying the project will move the county forward and affect high school kids, high school graduates, college graduates and people that want to start their own businesses.

“This is a support from the county for jobs that can be created here, businesses that will be created here that are outside of normal, industrial jobs that have typically been attractive in the past,” Riley said.

Cunningham then questioned the council on investors listed in the Burkhart agenda.

“There’s so many people that have already focused in on Jackson County for investment and all they want to do is come here and make money — they don’t care about the communities,” Cunningham said. “And continuing to let corporations like JCIDC dictate what happens to our community is completely invaluable.”

After Cunningham said JCIDC (Jackson County Industrial Development Corporation) is “destroying” the community with foreign companies like AISIN and Valeo, Riley said the council decided to support SPARK because it is going to move the county forward and support types of businesses that are typically not supported.

The topic of conversation then moved to the SPARK Tank competition held earlier this year. Cunningham asked the council how they felt the two winners’ ideas were what was best for the community.

Back in February, two finalists received funds made possible by a Community Collaboration Fund grant from the Indiana Economic Development Corp. Nadia Herrera, who pitched an idea for a shop that would offer local access to dresses and services for those planning quinceañera celebrations, received $10,000. Runner-up Stephanie Strothmann — owner of Purple Shamrock Farm and dog treat business I.P.A. Bites — received $5,000 to purchase a commercial mixer, a large-capacity food dehydrator and a stainless steel table. Additionally, SPARK judge Eddie Murphy — president of SpaceGuard Products — announced his company would invest $5,000 into Dr. Nathan Otte’s idea for a school-based vision clinic.

“The two winners in the community were dogs and their treats, and a dress shop that revolved around one culture, one age and one gender,” Cunningham said.

Herrera, who recently opened her store NH by Nadia Herrera, told The Tribune on Friday that she was grateful for the SPARK Tank competition.

“I think this gave me the opportunity to make something real,” she said. “This is a good opportunity for me and the other finalists. Even though the dresses are part of a traditional Hispanic celebration, I have customers that are not just Hispanics, but of other cultures that stop by and love the store. Some see themselves wearing these dresses to prom and it’s not actually about one culture, it’s about how we can share it.”

Strothmann, who has been able to expand her sales to Indianapolis and Bloomington thanks to the SPARK Tank competition, also told The Tribune building up small businesses in the community is always a benefit.

“SPARK Tank was open to anyone who wanted to compete,” she said. “It was advertised and promoted to anyone who had a great start-up idea or who was seeking to grow their business, but couldn’t because of lack of resources. Any building up of businesses in the community will always benefit the community at-large because these small businesses have owners and employees that will spend those dollars they earn in their home community.”

Following his comments on the SPARK Tank winners, Cunningham questioned the council’s inaction on allocating ARPA funds and the lack of an application available. He told the council it is their responsibility to allocate the funds and that it is inequitable to allocate $1 million for SPARK Place without letting other entities know the funds were available.

Councilman Brian Thompson said, “This has been going on for over three years and we actually have put a lot of effort and thought into it and [our job] is to think about everyone in this county … [Our job] is to be appropriate and do what is right for the county as a whole, to see the whole county and decide what’s best for the whole county, and that’s exactly what’s been done. There’s been nothing personal about these decisions. There’s been nothing private about these decisions.”

Thompson also said the council has spoken to many others in the community about ideas, to which Cunningham said it seems like the council is “taking care of certain individuals.”

“We discuss these things in public meetings and we have talked about our tentative plan,” Riley said.

“Respectfully, after this meeting, you have less than six months to appropriate every single dollar,” Cunningham said. “And you haven’t given the county a plan, I mean, your plan has changed.”

Riley said the council does not have to announce a definitive plan.

“If we have $1 million that’s not spent, per se, or not allocated, then we can allocate it toward capital within the county and save money,” Riley said. “We have a tentative plan where 75% [of ARPA funds] is allocated and then there’s another 25% that we’re waiting on the central dispatch study to see if and when it becomes feasible … And if the timing doesn’t work out with the city of Seymour, because that’s going to have to be a project that we collaborate on, then we can use some of that $2 million for capital within the county and save tax dollars for the future and to prevent property taxes in the future as well.”

At the May county council meeting, Robison proposed aligning the co-working space project along with two other projects the county has identified as priorities for ARPA funds: a vote center and a central dispatch center.

“We discussed at the beginning of the conversation that SPARK began before Brookings even came to town, and just because Brookings picked it up because it’s a good idea, doesn’t mean it’s terribly bad,” Riley said.

Cunningham once again brought up the SPARK Tank competition, asking the council how the six finalists’ ideas were good for the community.

Riley said the ARPA funds the council has allocated does not specifically go to SPARK Tank.

“This is for capital for them to invest in a co-working space, entrepreneurial programs where people can go and make connections and grow their business and keep their business here in Jackson County,” Riley said.

Thompson added that the allocated funds also tie into the voting center, storage for the health department and the potential central dispatch.

“It’s not just about puppy dogs and dresses,” Thompson said.

Cunningham then claimed the winners of the SPARK Tank competition worked for an immigrant welcome center operated by Su Casa in Seymour and referred to the outcome of the competition as a “storybook ending.” Strothmann does not work for Su Casa; however, Herrera serves as a Latino outreach coordinator for Su Casa. For those who are unfamiliar with the nonprofit organization, Su Casa’s mission is to increase self-sufficiency, health, economic independence and education to ensure Latino families feel safe and that they belong.

Following Cunningham’s inquiries and remarks, Robison gave an update to the council on the co-working space project.

Robison said a purchase agreement has been made between the Jackson County Chamber and the owners of George’s Tire Shop, which will be turned into the co-working space. Robison also said progress has been made on getting environmental evaluations initiated, and the chamber has filed a $5,000 check with Seymour Abstract & Title.

Also, Robison let the council know the chamber board approved of their request to have a voting position on the chamber board. The council approved the idea for a co-working space at May’s meeting, contingent on the chamber allowing the council to have a voting position on the chamber board. The council voted in favor of Riley holding that position.

Earlier in the meeting, Megan Cherry — executive director of Anchor House in Seymour — requested $250,000 of ARPA funds. The council elected to take Cherry’s request under advisement.

The last item on the agenda was brought forth by County Prosecutor Jeff Chalfant, who requested a pay increase of $0.74 per hour for a new employee who serves as a secretary and interpreter. The council unanimously approved Chalfant’s request.

The county council meets every third Wednesday of the month at the Jackson County Courthouse, 111 S. Main St. Meetings are open to the public and the press.

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