BLOOMINGTON, Ind. (WISH) — Economic development officials told lawmakers Thursday that current commitments for a high-tech research park have already pushed Lebanon’s water infrastructure to its limits.
During a session with the state budget committee that was at times contentious, representatives of the Indiana Economic Development Corporation and the Indiana Finance Authority said the state would provide $50 million to support a water infrastructure bond for the region. 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 wastewater treatment plants. Officials said Lilly’s planned LEAP District campus alone would take up the remaining excess capacity of the city’s water infrastructure.
“Eli Lilly’s initial commitment and associated water needs maximize the capacity of local utilities, meaning a new water supply would be required to enable Lebanon to continue to grow,” said Mark Wasky, Senior Vice President and Special Advisor at IEDC.
The LEAP District, currently under construction near Lebanon, is intended to be a high-tech research park modeled after other such projects, such as the Research Triangle Park, which lies between Raleigh and Durham, North Carolina. Criticism of the LEAP District has been largely based on water supply concerns, particularly after the IEDC announced it would purchase water from Tippecanoe County to meet the LEAP District’s needs. An IEDC study found that Indiana has more than enough water, but a competing study commissioned by local activists raised concerns about the IEDC’s methodology and its 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 weighed in on the water debate Monday with its own study. Although the Chamber’s study did not specifically address the LEAP district, it concluded that while Indiana has abundant water supplies, central Indiana does not have as much water as northern and southern Indiana and therefore needs more careful water management plans. The Chamber’s study recommended creating a statewide water management plan and transferring all future water studies to the Indiana Finance Authority.
When asked by Rep. Ed DeLaney, Democrat of Indianapolis, Wasky said the water project will exceed the needs of Lilly’s LEAP District campus and the future growth of the city of Lebanon. When DeLaney asked if the water project could also meet the needs of potential future LEAP District tenants who may require large amounts of water, Wasky said that depends on who decides to build the facilities there.
Fellow Democrat Greg Porter, also from Indianapolis, later told News 8 that he was not satisfied with the IEDC’s responses.
“The concern is that other projects in the Lebanon area, in this community, cannot be implemented due to a lack of water,” Porter said. “That is a big concern for us. The more transparency we have, the more we can think about the water and where it comes from.”
Senator Chris Garten (R-Jeffersonville) was more optimistic. He said he was generally pleased with the responses the IEDC had provided so far, but he would continue to push for more transparency from the agency.
“I would ask all Indiana residents to continue to participate in these processes,” Garten said. “I certainly want Indiana residents to continue to reach out and have their concerns heard.”
Both Garten and Porter said they support the Chamber of Commerce’s recommendations on water policy, but Porter said he would prefer to see regional water use plans rather than a single statewide plan.
The Indiana Finance Authority’s water study is expected to be completed by the end of the year.
