Indianapolis Wages Money Battle Against Illinois 1.20.11

WRTV

INDIANAPOLIS -- Smelling opportunity or, perhaps, blood in the water in a neighboring state, Indianapolis is targeting Illinois-based businesses in an effort to woo them to Indiana as Illinois flounders in economic crisis.

In an ad that appeared in Illinois newspapers, Mayor Greg Ballard seizes on Illinois' financial woes and touts Indiana's "much more stable, affordable and pro-growth economic environment."

"As you consider the effect of large, new state tax increases on your company's bottom line and ability to hire, I invite you to take a serious look at Indianapolis," reads part of the ad, signed by Ballard. "The nation's 13th-largest city is right next door, offering the same Midwestern work ethic and conveniences."

The ad makes its case by listing what Indianapolis considers to be numerous advantages compared to cities in Illinois, touching on the tax structure, work force, real estate and overall affordability.

The city considers the ad an investment, hoping that business owners will be swayed as they face income tax increases in Illinois as that state grapples with a $15 billion deficit.

Ballard is not commenting on how much of the city's money was spent on the out-of-state ads, but Mark Lotter,Spokesperson for the Mayor's office, confirmed no tax dollars were used.

“This was an ad that was targeted towards business leaders...if they're concerned about their bottom line given these tax increases, to take a look at the city of Indianapolis," said Lotter. "That would apply for relocation but it would also apply for a company looking to expand or maybe consolidate somewhere. We think we that we offer a good environment here in Indianapolis."

Lotter also said that the ads were a "one-time deal" with tentative upcoming recruiting events targeted toward business owners in Illinois.

The ad isn't the first shot in Indiana's battle against its neighbor. In numerous speeches, Gov. Mitch Daniels has lauded Indiana's financial condition, especially compared to Illinois and Michigan.

In an appearance on a WLS radio show in Chicago, Daniels compared Illinois' problems to an episode of "The Simpsons," calling the state "the dysfunctional family down the block."

http://www.theindychannel.com/money/26540373/detail.html