St. Clair County commissioners pause EDA quarterly payment pending review

2065025 ยท January 3, 2025

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Summary

The St. Clair County Board of Commissioners voted to withhold the next quarterly payment to the county's Economic Development Alliance while the board schedules a workshop and seeks answers about transparency, nondisclosure agreements and the EDA's operations.

The St. Clair County Board of Commissioners voted to withhold its next quarterly payment to the Economic Development Alliance (EDA) while the new board studies how the county should fund or oversee the organization.

The action follows weeks of public comment criticizing the EDA's use of nondisclosure agreements, claimed backdoor negotiations over local projects and a pattern of residents saying they learned of large projects only after deals advanced. Commissioner Robert Felix moved to delay payment; the motion was seconded and passed by voice/roll-call vote.

Supporters of the moratorium said county funding gives the EDA leverage and that the board should require transparency or bring economic development in-house. Felix told fellow commissioners he would "be proposing that the county no longer fund the Economic Development Alliance of Saint Clair County." He asked the administrator-controller to delay sending county funds until after the board's January 16, 2025 meeting.

Commissioner Dave Rushing and others said they would prefer a workshop and additional fact-finding before taking final steps. "If we make [the decision to withhold funding], it will bring the EDA to the table in a serious manner," one commissioner said during debate.

Dan Casey, identified in the meeting as representing the St. Clair County EDA, told the board the pause would be a cash-flow issue for the EDA. "It's a cash flow issue, first of all," Casey said. "Secondly, the county's funding goes directly to people." He told commissioners the EDA has about $250,000 in fund balance and said withholding a quarterly payment would require drawing down reserves.

After discussion, the board adopted a motion to withhold the January quarterly payment to the EDA until the board can determine how to proceed. The clerk recorded a roll-call tally with five votes in favor and two opposed (detailed vote record in Actions). Commissioners also set a public workshop for 4 p.m. on January 9 to begin a formal discussion of EDA funding, oversight and options.

Why it matters: The county provided roughly $308,000 to the EDA in 2024, according to remarks in the meeting; commissioners said the quarterly payment is about $75,000$80,000. Commissioners and residents said concerns about secret negotiations, nondisclosure agreements (NDAs) and uneven outreach warrant a formal review of how the county funds and oversees economic development.

The board scheduled a workshop to discuss EDA funding and oversight and directed staff to prepare materials in advance. The motion to pause funding is temporary; commissioners said a future meeting will determine whether and how payments resume.