G&W Foods was given assurance Tuesday that Allen County commissioners “are 100 percent committed” to location of a G&W grocery in Iola.
Commissioners talked with Dan Williams, G&W president, in a conference call.
The call was made after commissioners reviewed a letter that was faxed from the grocer, which concluded with, “Our plans for Iola are on hold …”
Williams said it was his understanding that David Toland, economic development director for both Iola and Allen County, may no longer represent Iola in that capacity. If so, the company’s confidence in proceeding with the grocery store was severely eroded.
“We would not be building in Iola if it weren’t for the efforts of David Toland and Thrive (Allen County),” Williams said. “Investing several million dollars in a community only happens when we are confident that the community is stable and supportive of business. For three years David has given us that confidence and has represented you extremely well.”
Provided “a problem with the city of Iola” is resolved, Williams added, “There is a lot of work to be done and we expect to continue to rely on him (Toland) to make sure that our store successfully opens later this year.”
When Toland met with commissioners Tuesday morning, he said his role to attract new business and industry to the area now “ultimately falls to the city.” As for G&W locating at the former site of Allen County Hospital, Toland said “One or two at the city are unhappy and are doing all they can to stop” the grocery’s construction.
“What’s the problem,” Commissioner Tom Williams asked.
“Carl (Slaugh, city administrator) has consistently opposed economic development,” Toland said. “G&W is receiving no incentives, not one red cent,” other than tax abatement through the Neighborhood Revitalization Program that is available to anyone who builds anew or makes improvements valued at $5,000 or more.
SLAUGH contested Toland’s remarks.
“I support the grocery store, the apartment complex,” he told the Register in an email. “I invite developers to bring their development proposals to the table, bring their site plans and follow the city unified development codes. We will help them get going.”
Slaugh referred to Iola’s aforementioned neighborhood revitalization program, and acknowledged the grocery store owners have asked for no other incentives.
Slaugh, however, is loathe to extend economic incentives to attract new industries.
“If you expect me to support giving away more assets from funding I don’t have, or support developments without going out for bids, then I oppose those types of proposals,” Slaugh said, without giving specifics.
“It appears there is an attitude that we have to give away more than our competition in order to have economic development, particularly in smaller cities two hours from a metropolitan area,” Slaugh said. “I just don’t happen to have a big bulge in my wallet to support that, and don’t want to go into debt, either.”