Des Moines Business Record
01-28-07
One-way Regionalism
By Beth Dalbey
Editorial Director
bethdalbey@bpcdm.com
A recent Polk County Board of Supervisors resolution opposing an airport in
Dallas County has exposed cracks in an effort by the Greater Des Moines
Partnership and other groups to persuade Central Iowa governmental entities to
think regionally about economic development.
The Jan. 16 measure was requested by the Des Moines International Airport
Commission, which said its operations would be harmed by a competing general
aviation airport about a half-hour drive away in Dallas County. Though the
resolution is seen as largely symbolic, some West Metro Regional Airport
backers say it sends a mixed signal to local governments that have been asked
to support a 1 percent regional sales tax as part of the Partnership's Project
Destiny economic development initiative.
"It makes it much more difficult for residents of Dallas County to support a
regionwide effort when a portion of the region appears to be looking after their
own interests at the expense of another part of the region," said Adel City
Councilman Jon McAvoy, whose city is sponsoring the effort to build an airport to
spur growth for Dallas County.
A 2004 economic impact study by retired state economist Harvey Siegelman,
president of the Strategic Economics Group, and Iowa State University
economics professor Daniel Otto estimated that the airport would potentially
generate $48.3 billion in taxable business valuation over a 20-year period and
create an additional $1.8 billion in property tax receipts for communities
participating in its development.
West Metro Airport Authority spokesman Larry Lyon, who's also a Waukee
school board member, said he and other leaders in the county recognize the
importance of a strong regional economic development group like the
Partnership, but the supervisors' resolution does little to promote cooperation
between Dallas and Polk counties.
"I'm frankly sorry they chose to take that stand," he said."We may choose to grow
Dallas County in a different way, and there's enough business for all of us."
Lyon said more than construction of an airport is involved in the plan for the
identified site, located on the southwest corner at the intersection of Dallas
County R22 and U.S.Highway 6 in unincorporated Ortonville, an area Adel city
leaders have voiced interest in annexing. The Ortonville Business Park is located
north of Highway 6 and an airport would make it attractive to industry, including
technology businesses and other service industries that don't tax the
environment, he said.
The study by Siegelman and Otto predicts development similar to that which has
occurred near the Ankeny Regional Airport. As the fastest-growing county in
Iowa and one of the fastestgrowing in the country,"Dallas County needs that
commercial tax base," Lyon said. "Des Moines and Polk County have done a
nice job attracting that base, and it's time for Dallas County to do the same. It's
not out of line for Dallas County to expect a slice of that pie."
Impact on Des Moines
The resolution at issue, which the supervisors approved 4-1, cites a study
updated in November that estimated that Des Moines International's general
aviation operation could lose 24 of its existing 101 aircraft if the proposed West
Metro Regional Airport is built. Kansas City-based Coffman Associates Inc. also
said an airport near Adel could cost DMI one of its fixed-base operators, limit the
hours of operation of the air traffic control tower and put the two airports in
competition for Federal Aviation Administration discretionary funding.
Property acquisition is already under way for a DMI general aviation expansion
that is part of a $40 million runway replacement project. Craig Smith, the airport's
aviation director, said a general aviation facility in Dallas County would be a
costly taxpayer-funded duplication of services. Preliminary estimates put the cost
to build an airport in Dallas County with a 5,500-foot runway at $25 million.
"It's only as the crow flies about 30 miles difference between Des Moines
International and that [proposed] airport," he said."There's a tremendous cost to
build an airport, and we'd be competing with that airport and the others for FAA
discretionary dollars. It's a priority thing, and the pie is only so big.
"We've had [the runway] replacement on the capital improvements program for a
number of years, and this might delay the construction of this."
The West Metro Regional Airport Authority commissioned its own study, which
projects that neither DMI nor the Ankeny Regional Airport would lose currently
based aircraft to the WMRA, Lyon said. Released in December, the forecast by
Willis & Ratliff, a Kansas City engineering firm, indicated 19 aircraft would be
based at WMRA immediately upon its opening, which could occur as early as
2011. The number of aircraft could increase to 43 by 2016, 66 by 2021, 93 by
2026 and 123 by 2031.
About a dozen governments from Dallas and Polk County were involved in the
WMRA study when it began in 2001, but only the city of Adel remains. It
appointed a three-member airport authority - Lyon and Randy Hefner and Mo
Warford, both of Adel - to move the project forward. Early phases of the project
have been funded by the FAA,which has included the airport in its National Plan
of Integrated Airport Systems, with money matched by corporate investors.
Among the companies that have invested in the preliminary stages of airport
development are Regency Homes, MidAmerican Energy Co., All-State Industries
Inc., American Equity Investment Life Holding Co., Hy-Vee Inc., JSC Properties
Inc., Kirke Financial Services Inc., Krause Gentle Corp., McAninch Corp.,
Medical Industries America, Monarch Manufacturing Co., Ramsey Pontiac and
Westlakes Properties.
'Kind of a fantasy'
Polk County Administrator Michael Freilinger said the supervisors regret any
unintended signal that they don't want to cooperate with their neighbors on
issues that affect the region."This issue kind of died a year or so ago, or looked
like it would, in part because the community out in Dallas County wasn't
supportive," he said."I don't think the board was trying to cause a rift, but if the
region is going to be strong,we've got to have a strong airport [in Des Moines]."
Supervisor Robert Brownell tried to sway the board from taking action on the
resolution, but he said his dissenting vote isn't a signal that he supports the
WMRA.
"It's kind of a fantasy, to be honest," Brownell said of the proposed airport, "but
having said that, we have some great relationships with cities and the county,
and to jeopardize them for something that has such a low probability of becoming
a reality is a bad political message."
Brownell's district includes cities that once were part of the WMRA planning
process, as does Supervisor E.J. Giovannetti's. But Giovannetti's district also
includes Ankeny, which has a regional airport the Coffman study said could lose
some aircraft operations to the WMRA.
"When I approached this thing originally - forget people, forget places - I asked if
Central Iowa really needed another airport," he said. "I talked to folks, some fairly
independent on the issue and some prejudiced, and the bottom line was that we
don't need another airport.
"I don't think it's a cost benefit to the region to fund another airport," Giovannetti
continued."Anything that's going to affect Warren, Dallas or Madison counties
can clearly be served by Des Moines International."
The Polk supervisors' action comes on top of a decision by the Des Moines Area
Metro Planning Organization, a multijurisdictional body overseeing the allocation
of state and federal transportation dollars, that effectively delays into the distant
future a western bypass.
Giovannetti said the decision "caused some consternation" among Dallas
County's MPO representatives, but he's hopeful it won't jeopardize ongoing
discussions with officials in that county on areas where governmental services
can be shared, such as human resources, mental health and road maintenance
services.
"They're very early in their development, but they're probably going to grow up
and be Polk County times two," he said. "The demands on their system today
have to be bowling over the government."
However, Giovannetti said discussions are hampered,"to some extent,by a
concern that Polk County is going to take them over."
Isolationist or regional?
Partnership CEO Martha Willits said the fracas is a clear indication of the need
for more regional conversations. The resolution was "unnecessary," she said, but
beyond "continually urging thinking in a new way" and perhaps some informal
conversations about "all the key elements of economic growth," the Partnership
won't get involved.
She doubts the skirmish will have much effect on the Destiny sales tax proposal,
which voters in Polk, Dallas and Warren counties will vote on in July. It is
estimated to generate $75 million annually over its 10-year life, with a third each
going to support Central Iowa cultural attractions, property-tax relief and
discretionary spending by participating governments. Meetings with
governmental, civic and non-profit groups throughout the region, which includes
Polk, Dallas and Warren counties, indicate a strong support, she said. "It couldn't
be better."
Jay Byers, the Partnership's senior vice president of public policy, said each of
the three counties can learn from the dispute. "Are we going to grow together, or
are we going to grow apart?" he said. "Are we regional, or are we isolationist?"