IDEC & the LEAP Lafayette / Lebanon Water Pipeline
What is the Indiana Economic Development Corporation?
According to its website, the Indiana Economic Development Corporation (IEDC) is a State of Indiana quasi-agency charged with growing the state economy, driving economic development, and helping businesses launch, grow and locate in the state.
The IEDC is organized as a public private partnership governed by a board of directors, which is currently chaired by Governor Eric Holcomb.
What is the LEAP Lebanon Innovation District?
The IEDC acquired over 9,000 acres of land in Boone County, Indiana for the creation of an innovation development district, i.e., an area seeking to support the attraction and expansion of transformational, advanced industry businesses within the State of Indiana. “LEAP” stands for Limitless Exploration Advanced Pace. While the district seeks to attract many other businesses to its location, Eli Lilly and Company has already announced plans to build its new manufacturing facilities in the district, which will amount to an investment of more than $3.7 billion. At full build, LEAP Lebanon aims to be home to hundreds of companies, employing over 50,000 employees.
Why is the IEDC also involved in a proposed water pipeline project?
According to IEDC and other government officials, studies have been conducted for decades to monitor and address future problems with providing water to areas of the State with significant growth. The creation of the LEAP Lebanon Innovation District and the expected increase in water usage by new businesses in the area has elevated and accelerated an existing need for increased water access in central Indiana. Therefore, IEDC has been working in partnership with the Indiana Finance Authority to identify solutions to this anticipated water problem.
The proposed water pipeline will move water from the Wabash Alluvial Aquifer in the Lafayette area to the LEAP Lebanon Innovation District. A second pipeline is now planned to be constructed between Boone County and Marion County.
Can IEDC exercise eminent domain power for construction of the water pipeline?
Maybe. According to Indiana Code 36-7-32.5-12, IEDC is not permitted to exercise the power of eminent domain within an innovation development district. This prohibition does not expressly extend outside of the LEAP Lebanon Innovation District where the majority, if not all, of the pipeline would be located. Additionally, Indiana law permits a corporation authorized to do business in Indiana and authorized to furnish, supply, transmit, transport or distribute water to the public or to any town or city, to exercise the power of eminent domain to accomplish the essential delivery of water services. Indiana Code 32-24-4-1.
Even if IEDC isn’t tasked with constructing the pipeline and acting as the condemning authority to acquire the necessary land to do so by eminent domain, another entity could step into this role. The writing appears to be on the wall though that condemnation may likely be used to acquire property for the project based on the plethora of information being provided that the pipeline will benefit the greater public – not just the economic development project:
“Cities and towns from the Lafayette area to central Indiana will be able to tap into the pipeline to have the resources to execute housing and economic development projects that they currently don’t have the resources to do due to projected lack of water.”
“The IEDC, in partnership with the Indiana Finance Authority, has identified a water solution for this region’s growth, aimed at delivering water to central Indiana with supplemental infrastructure in and around Boone County.”
“Wells are currently being drilled to study the feasibility of the Wabash Alluvial Aquifer supplying central Indiana with water the area will eventually need, regardless of the LEAP Lebanon District, before the year 2070.”
Where is the water pipeline located?
IEDC has not publicly released a proposed route for the pipeline, but several sources have created possible drafts of where it might go based on available information. If the project continues forward, final plans for the construction of the pipeline will determine its location and what property will need to be required.
What is the current status of the water pipeline project?
The State of Indiana hit the pause button the project in late 2023 until the Indiana Finance Authority obtains results from its water study and an independent review is conducted. The report is expected to be finished by the end of 2024.
What is the status of developing the LEAP Lebanon Innovation District?
Development of the LEAP Lebanon Innovation District is ongoing, including the construction of Eli Lilly and Company’s new facilities in the district.