By David A. Farrell, Item Staff Writer
The Picayune Item
POPLARVILLE —
Pearl River County supervisors have entered into a major economic development contract agreement with the Butler-Snow Advisory Services group of Ridgeland. The contract will cost the county $450,000 over three years.
Supervisors on Sept. 19 approved what was called an engagement letter, or what is actually a contract, with BSA, a subsidiary of the Jackson law firm of Butler, Snow, O’Mara, Stevens & Çannada, PLLC.
The contract envisions eventual establishment of an economic development organization, or board, for Pearl River County. The engagement letter was actually dated on Aug. 24 and signed by Jason Dean, BSA’s senior vice president for economic and policy development.
Supervisor and board of supervisors president J. Patrick Lee signed the letter on Sept. 19 on behalf of the board of supervisors. The letter was addressed to him.
The Butler-Snow law firm is a nationally recognized firm.
The contract will cost the county $150,000 a year for three years, plus expenses and some additional fees.
The move by supervisors to up the ante on attracting industry to Pearl River County has already attracted some criticism, Lee strongly defends the decision, saying that if Pearl River County is ever to get off the economic bottom, it has to invest in economic development.
At least one Picayune businessman said he supported the move, but requested that his name not be used. Some had no comment.
“We cannot cut and tax our way out of the economic hole we are in. We must get help to move forward, professional help, from people who have contacts and know what they are doing. The job of supervisor today is no longer just filing potholes and fixing roads, it involves economic development. I spend most of my time on economic and industry-seeking issues that we must face as a county if we are to grow. That is the key,” said Lee.
“Our main competitor is St. Tammany Parish, La., and recently they have won several good industries over us. We were looked at and they went elsewhere. I eventually said to myself, ‘What are these people doing that we are not doing?’ We have got to compete in these tough markets,” said Lee.
The board adopted what was listed on the Sept. 19 agenda as the “Butler/Snow Engagement Letter.”
There are critics of the agreement emerging as it has come more to light as a result of the board’s action being posted on the board of supervisors’ on-line minutes.
The board adopted the contract in open session. However, the board did not explain what the engagement letter was.
There also are some supporters coming forward, saying the board of supervisors has no choice but to go forward with economic development regardless of costs, if the county is ever to get out of its economic miasma.
In preparation for adoption of the agreement, the board of supervisors increased the line item of economic development in the 2012-13 budget from $25,000 to $150,000. That first caught some people’s attention, and the questioning began.
Supporters of the county’s move point to the loss of two major industries recently, Rooms-To-Go and a food distribution business, to Pearl River, La., as a reason for the county to get serious about economic development and start competing with other areas to get its share of industry. To compete, costs money, officials said.
Supervisor Anthony Hales, Sr., and Lee have both said the only way out of the economic and revenue slump Pearl River County is in is economic development, the growth of the local economy. Hales also suggested a one percent countywide sales tax as a new revenue stream for the county, but that has not developed. Lee continuously says “we can’t cut our way out of this,” meaning you can’t just slash the budget and hope for better times.
Their comments came up as supervisors wrestled with putting together a 2012-2013 balanced budget in a sour economy that squeezed off revenue. The county property tax base has fallen during the current economic recession, thus causing property tax revenue to dip, too.
On Sept. 19, the approval was spread on the county board minutes as an “order to authorize president (J. Patrick Lee) to sign Butler/Snow advisory services engagement letter.”
Hales made the motion in open session on Sept. 19 that the letter be signed, seconded by supervisor Sandy Kane Smith. Signing the letter means the county has entered into a contract with Butler, Snow. Besides Hales and Smith, supervisors Lee, Joyce Culpepper and Dennis Dedeaux voted for the motion, making it unanimous.
The contract basically calls for BSA to serve as the “managing director” of the new and to-be-formed Pearl River County Economic Development Association.
BSA will provide what is called “executive leadership” to the cities, county and business leadership as they “reposition” themselves in efforts to attract industry.
BSA will act as a “point of contact” for businesses wanting to locate here or for existing businesses that want to expand. BSA will offer strategic advice to local officials.
BSA will have “oversight of the structural and legal reorganization of city and county economic development efforts, including hiring of an interim and long-term executive director.
BSA will develop a sustainable strategy for the long-term financing of the new countywide economic development association.
One critic of the process says it should have been hashed out in open session.
“I am not saying that this is not needed. I am saying the people ought to be fully informed about what’s going on. It’s our money they are spending, and we have a right to know what’s going on,” said Jeff Smith, a political activist and member of the Pearl River County Republican Executive Committee.
A supporter of the contract, who asked that his name not be used, said he fully supported the supervisors’ action, and that the county leaders have to get serious about attracting industry here.
“We have to compete. We will remain an economic backwater unless we get professional help and learn to compete,” he said. “We just lost two major industries, and we will continue to play second fiddle unless we learn to compete. To me this is the first step. Land just one industry, and it will pay for itself.” Said Lee,
“A study showed over 8,000 people leave the county daily to commute to jobs elsewhere. We have got to get good-paying jobs for our people, and the only way to do that is to attract job-producing industries.”
