February 19-25 1989 CHIGAN CmZE . P 15 aENTON HARBOR AREA NEV;S Enterprise Zone needs time, supporters slay By F1 s. said that enterprise zone ideas the program. The research Capital News &TVice . have proven effective in areas team, which was headed by LANSING - Michigan's around the country. But the Sheldon and Richard Elling enterprise zone program for r program takes some tim to from the University's Depart: I economically ailing towns has show success, she said ment of Political Science, out­ not yet generated major bus i- . "Enterprise zones don't be- lined recommendations in a ness developments in its pilot come successful in the first few 146-page study' conducted last city of Benton Harbor, but give years," and that's the case in April. I it time, supporters say. ,Benton Harbor, Sheldon said Benton Harbor's slow A 1985 law established the 'We stress the fact that i 's development can also be at- Enterprise Zone (EZ) too early to tell," said Sheldon. tributed to its lack of resources program, inviting businesses to "There are so many problems in to work with, such as land and. expand and relocate in desig- Benton ,Harbor 'hat the buildings, she said. nated low-income areas. Incen- enterprise zone doesn't ad- "It has a crushing number of tives for the business moves in- dress." \ I c problems that lare negative" she. elude reductions in property Sheldon said the state is "par- said "The �nefits tha ,are in and Single Business Tax tially" heading in the right direc- 0 the: enterp J.Se zone" don tout- Benton Harbor, as one of tion with the program, but some weigh the problems. . Michigan's economically of the ideas need to be changed Iverson .agreed, .saymg �at troubled cities, was chosen in for better long-term results she �e EerprlSe zone IS a �argam- 1986 as the program's pilot 'd. ' 109 ble. The state brings tax sal "Th te: is redu iOQ incentives and Ben- project. Toward the end of the e en er prrse zone 1 H bo h I' h.. If h original trial period the date was probably not the best tool to ad- to?d :: r as 1�1{;!0 0 le�, e expanded to December 1990, dress these problems," she said." S�l: ut so!1le usmess ave said John Iverson, a Depart- "In the long run it probab y will shtdll�dvestcd 10 Benton Harbor, f C . h ..." c sal . ment 0 ommerce repre- ave a posmvc Impact. "T busi hi' sent tive. Sheldon said she and a en usmcsses ave re 0- Ann Workman Sheldon, a W St t h t cated and expanded as a conse- ayne a c researc cam f h . Wayne State University Center recommended that the state quencc 0 t e enterp�lse zone for Urban Studies researcher,' d d h package," Iverson said.Aaron conunue, expan an c angc A th B t H bo: I ' . n any, en on ar or s 'La dl d' Itt -II economic director.said another n or s say enan S WI problem is that the enterprise o zone should co centrate more bear burden of'fee hikel' ��y�U����s(:re::Yc:���d��i� ne sscs 'owners were dis­ couraged from expanding, he said. According to the enterprise zone requirements, existing Benton Harbor businesses had to' almost double in order to quality, he said. I "P�ut of the problem of the enterprises zone is whithin the city limits,' Anthony iad. '1A Jot of existing busincs es looked at the 'doubling qualifier and said, no I can't do that, he said. Anthony said: however, that the enterprises zone is under­ rated. Tho current program has attracted three more busi­ nesses, creating 15 new jobs With 40 other jobs pending, he said:' Anthony said he thinks the Wayne State tudy is too pes­ simistic. I disagree in some respects with the study," he aid. "I would beg to differ that the enterprise zone won't work. It needs to be fine tuned to do better." Although the program has attracted some businesses and helped others expand, it has a long way to go before prosperity, Sheldon aid. In about a 10-year .span the program will show more posi­ tive growth in Benton Harbor, she said. I Sheldon's study concluded that the enterprise program is­ overall beneficia to Benton Harbor and the Twin Cities area of Southwestern Michigan. The study compared Michigan's' program with the successes and failures of others states, includ­ ing Ohio, Indiana, Dlinois and Kentucky. 8y Bernice Brown BE TO HARBOR Members of theBenton Harbor Landlord, A sociation showed up at the Monday night, Fcbruarv 13, Benton Harbor City 0�111ission meeting, rc­ que. ting that the Mayor and C0111mi. ioner. recon. ider the pr oposal to increase rental registration fees. .Will Brun cumb Vitt Prcsi­ d . n t of the Ben ton H arhor Landlord A . ,) .iatiou . aid, they (the a .. iciation) ohj .ctcd to the passim; .of the registration fees and "hOI c the commission would take under considcra­ tic n " t h a t this will cause "another hard. hip" II renters to who are already "living below the provcrty level". He aid he's ure the com­ missi n i. n )t aware of "what the landlord! arc going under, what problems would be put on the people that live in these houses." Bran cumb presented a let­ ter to the comrni sion from the Association's president, John Blackamorc. The letter stated that the association vas "op­ posed to the arbitrary, capri­ c i o� and discriminatory dccisi n on the part of the Ben­ ton H ar r ity Commission to im po n illegal, if not extra legal rental registration fee on rental property' in the City of Benton Harbor." "Current fee, along with taxes paid on property in the City of Benton Harbor is more than adequa c to meet the inspection n ds for the city," he added e further beli e that this is clearly an attempt on the part • ; • l '.a '