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2010: What a year


Obamas visit, billion-plus in new investment make it a year for the history books
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Posted: Thursday, December 30, 2010 1:00 am

This year will go down in the history books for a number of reasons. Posted on Dec 30, 2010 2010 was a busy year by Pat Munsey and a good one, as you can see as we take a look at the top stories from the headlines of the Kokomo Perspective. Obama, Biden visit Kokomo Dec. 1, 2010
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WELCOME CHANGE For his installation ceremony, Indiana University Kokomos new chancellor Michael Harris (shown in the middle above with Vice President Joe Biden and President Barack Obama when they came to town in November) chose to focus on building coalitions for a regional transformation across north central Indiana over the traditional pomp and circumstance. Perspective photo / Provided

President Barack Obama and Vice President Joe Biden visited Kokomo on Nov. 23. It doesnt get much bigger than that. The city hosted the leader of our nation, and he brought with him a message of hope. The visit was unlike anything ever seen in Kokomo. Literally thousands of police officers joined with the Secret Service to secure the area. The presidential motorcade shut down traffic everywhere it went. People lined every street along the route, hoping for a glimpse of Obama, and quite a few of them were not disappointed. It was the sort of event that leaves a mark on a community. The children of Sycamore Elementary will bear that mark the rest of their lives. Obama and Biden made a stop there to hug and greet the students. The men and women of the Kokomo Fire Department will recall the day they hosted the officials for lunch. The owners of the Gingerbread House bakery will be able to boast that their business was paid a visit by the leaders of the free world. The scene was repeated all across the city. Regardless of political affiliation, the Obama visit was something not to be missed. Republicans and Democrats stood side by side to catch a glimpse of the President as his limousine drove through downtown. The community put out an excellent welcome.

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2010: What a year - Kokomo Perspective: News

And Obama repaid the welcome with kind words. At a press conference inside Chrysler Corp.s Indiana Transmission Plant II, he lauded Kokomos work ethic and resilience. He celebrated the announcement of an enormous investment from the automaker. And he spoke the words that heralded the start of a new chapter in the citys history. For anybody who says our country's best days are behind us, anybody who would doubt our prospects for the future, anybody who doesn't believe in the Midwest, anybody who doesn't believe in manufacturing have them come to Kokomo, said Obama. Have them come to Kokomo. Come here. Meet these workers. Visit these plants. Come back to this city that's fighting block by block, business by business, job by job. It was an halcyon day, portending a better future for Kokomo. Now all we have to do is make it happen. Chrysler settles on back taxes Feb. 24, 2010 Chrysler was at the center of most of the biggest news in Kokomo over the past year. And it all started with an unlikely tax victory. Every taxpayer in Howard County stood to bear an unreasonable burden as Chrysler sought to default on its personal property tax bill through reorganization bankruptcy. But county officials wouldnt let it happen. A team led by Howard County assessor Jamie Shepherd stood toe to toe with Chrysler for 14 months, and in February it was the automaker that blinked. It agreed to pay 100 percent of its tax obligation, with an $11.2 million lump sum payment at the outset and an annual $3.2 million payment in each of the next six years. The company also agreed to abandon its appeal on the assessed values of its Kokomo properties a 50 percent reduction. The countys negotiating team agreed to reduce the assessed value of Indiana Transmission Plants I and II from $105 million down to $73 million over the course of three years. The good news to that is we are the only county, I believe, in the country that Chrysler approached about settling their taxes, Shepherd said. They care about getting the abatements for not just 2009 pay 2010 but for future years. To me, paying us 100 percent of what they owe is a strong indication that Chrysler is here and they are going to be in Kokomo. The company had good reason to relent. It fully intended to remain in Kokomo, and it needed abatements that the Kokomo Common Council agreed to pass as part of the deal. And as everyone later would learn, Chrysler had even bigger plans for its presence in the community. Chrysler to invest $300 million May 12, 2010 Chrysler announces $1.1 billion total investment in Kokomo Dec. 1, 2010 Less than three months after reaching an accord on back property taxes, Chrysler Corp. made a big announcement. It intended to invest more than $300 million in new and re-tooled equipment in preparation for new production in its Kokomo facilities. The news marked the end of nearly two years of grim economic news for the community and

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2010: What a year - Kokomo Perspective: News

gave hope to the members of United Auto Workers. Im just glad we got good news, said Local 685 president Rich Boruff. At the council meeting where they gave an abatement for the $43.3 million earlier this year, I told them it was peanuts compared to what was coming. I didnt know it was going to be $300 million, though. According to Boruff, the big investment meant Chryslers version of the German ZF eight-speed transmission purchased by Fiat would be made here. The abatement in February had been targeted at production of a new sixspeed transmission. And Boruff knew something else. He hinted that the good news from Chrysler wasnt finished. Im telling you, in my opinion, a new product for (Kokomo Transmission Plant) is right around the corner, said Boruff. That will be our next focus. Of course, we all know now that Boruff was right. On Nov. 23 the same day that President Barack Obama came to visit Chrysler CEO Sergio Marchionne also came to Kokomo to announce an additional investment of more than $800 million. Like the two previous investments, the expenditures were tied to a new transmission. Sergio said the $843 million is a commitment for a new transmission to be built here, said Boruff. We believe, from the discussions weve had and everything that transpired, were going to get an eight-speed rear-wheel-drive transmission and a nine-speed front-wheel-drive transmission. As if this wasnt enough, as the Kokomo Common Council approved a tax abatement on these new investments just a couple weeks ago, the company announced yet another bump in the amount of investment, pushing the total price tag to more than $1.4 billion. As Kokomo department of development director Deb Cook said in May, Not bad for one of the fastest dying cities in America. Chrysler and GM file assessment appeals, cutting hundreds of millions from the tax base Aug., 18, 2010 Not everything about Chrysler was roses in 2010. On the heels of the $300 million announcement, the company filed an amended personal property tax return, lowering its assessed values by $520 million. It happened on July 15, which was the last possible day for such a filing. And the timing didnt appear accidental. The last-minute move forced the county to accept the low-ball figure. A few weeks earlier, General Motors did the same thing, severely dropping its personal property assessed values by $178 million. The result promised to devastate local taxpayers and units of government, forcing everyone to the property tax caps and erasing millions in revenue from local government budgets. According to Howard County assessor Jamie Shepherd, the companies were able to do this because personal property, is self-assessed based off acquisition pricing and scheduled depreciation. But she wasnt willing to take the companys tax slash lying down. The countys negotiating team went to work again. This time, the Perspective and the city of Kokomo were able to lend a little help. Mayor Greg Goodnight drafted a letter to the company, expressing his disappointment with Chryslers actions. The Perspective received a copy of the letter during the countys budget hearings on Wednesday, Aug. 25. That letter was posted exclusively at kokomoperspective.com at 2:26 p.m. By 3:30 p.m., phones started ringing. Chrysler was calling. Almost as quickly as the letter was posted online, the word spread. National media outlets called the company and local leaders for information. By 6 p.m., all parties were back at the table for a final negotiation. And a deal was reached on Aug. 27, less than 48 hours later. Unfortunately, similar pressure has had no impact on GM. After declining to negotiate with the county on the matter, Shepherd and Center Township assessor Sheila Pullen took a different approach. They called a public hearing for the company to come to Kokomo and make an accounting for its actions. It showed. It lost its appeal on its assessed values. And just a couple of weeks ago, the company filed an appeal of the local decision. This fight is headed into 2011. Rethlake murder trial July 14, 21, Aug. 11, 2010 One of the most infamous murder cases in Kokomo history reached a conclusion in July and August as the men accused of killing 18-year-old Abby Rethlake were convicted of crimes related to the killing.

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2010: What a year - Kokomo Perspective: News

The trials were a major event. Downtown Kokomo was locked down for fear of violence. The jury selection process in the trial of Jesse Harris took nine hours. And the trial was filled with objections from the defense and unusual tactics from the prosecution. In the end, it took the jury just 45 minutes to find Harris guilty of murder, conspiracy to commit murder, attempted murder, and aggravated battery. The scene was repeated a few weeks later in the trial of Michael Yates. Like the Harris trial, security was high and the proceedings in the courtroom followed a similar course. The jurors took longer to deliberate, but Yates was found guilty of aiding, inducing or causing murder, conspiracy to commit murder, aiding, inducing or causing attempted murder, and aggravated battery. A third man connected to the murder, Reggie Balentine, avoided trial for his role in aiding the men involved in the slaying by pleading guilty to a felony charge of assisting a criminal. Mayor proposes consolidation of local government during state of the city address March 10, 2010 Consolidation could be the most often used word in Howard County this year. It definitely generated plenty of controversy every time it was uttered by a public official. In his annual state of the city address, mayor Greg Goodnight broached the subject of consolidating local units of government. And a few weeks later, an ordinance appeared before the Kokomo Common Council to start the legal process of consolidation. But Howard County officials demurred. Unwilling to go through the process of full consolidation and allowing the public to take a referendum vote on the matter, the Howard County Board of Commissioners instead crafted the Citizens Consolidation Committee. Staffed with delegates who were appointed by the mayor and the commissioners, this 12-person board was tasked with the responsibility of finding ways to consolidate services, not entire units of government. The CCC first met in May and was welcomed with political sparring. It also was given a pair of projects come up with consolidation plans for emergency dispatch services and water quality programs. The committee did just that. Over the summer, the committee heard presentations and arguments about the two government functions, and eventually the CCC presented a recommendation to combine city and county dispatch services with a budget of $1.4 million. No one was happy about it. The mayor openly protested the proposal, though he agreed to go along with it. The commissioners also questioned the funding level but agreed to support the recommendation. It took a few more months of wrangling and political posturing, but the dispatch recommendation was implemented. The water quality programs, however, were given a pass by the CCC. It made no consolidation recommendation. What the committee did do, however, was expand its field of vision. The CCC took on the task of consolidating the Kokomo Convention and Visitors Bureau (CVB) with the Kokomo Event Center. The move was not received well, and in late November the CVB agreed to merge with the Greater Kokomo Economic Development Alliance rather than hear the CCCs proposal. That didnt stop the committee form making a recommendation that would combine the CVB the event center, the Howard County Historical Museum, and the Elwood Haynes Museum into a single entity. It appears unlikely that the CCCs proposal will be adopted, but that did nothing to slow the committee from jumping into its next project full consolidation of city and county government. In just nine months, the CCC came full circle and began pursuit of what Goodnight initially proposed. City announces bump-outs and downtown improvements March 24, 2010 Downtown Kokomo got a major face-lift this year. In March, the city announced its intent to install new curbing in the downtown area installing bump-outs and handicap-accessible ramps at every intersection. This was coupled with the removal of traffic lights, the removal of some one-way streets and the repaving of most of the downtown roads. And the changes came quickly. No sooner were the developments announced than the work began. And nearly everything was put into place by the first week in June just in time for the annual Strawberry Festival. The changes made an impact. Downtown hasnt looked this good in years, and new businesses have begun to pop up in the neighborhood as part of the revitalization process which has had help from the city and the county.

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2010: What a year - Kokomo Perspective: News

There have been critics. Some have questioned the amount of money that was spent on what basically boils down to beautification. Others question whether the investment will translate into jobs. But for every critic there are a dozen new visitors to downtown. Six months after the reshaping of downtown was completed, parking spaces are filled with shoppers and patrons of downtown eateries. The addition of traditional Christmas lights on the courthouse lawn also has been a draw in recent weeks. There is more going on in downtown Kokomo today than at any time in the past 20 years, and there is potential for more. Bus system a big hit Oct. 20, 2010 A lack of public transportation has been a barrier for many Kokomo residents. Not anymore. Armed with federal stimulus dollars, the city of Kokomo launched a public bus service in September. The response from the community has been overwhelming. Kokomo mayor Greg Goodnight decided that it wasnt enough to simply have buses traveling north, south, east, and west through the city each hour; it had to be done in such a way to distinguish the city as something unique. So, he purchased trolley-style buses. The red-and-green people movers fit in perfectly when they were unveiled in the Haynes-Apperson Parade in June, and even now peoples heads turn when the bus goes by. More importantly, literally thousands of residents use the bus service each week. The city had made some modest projections about ridership before launching the program, and Goodnight decided to offer the service at no charge to its users at least until January. The community responded by using the buses far more frequently than even the most liberal of projections might have suggested. Now Goodnight is thinking about making the free rides a permanent arrangement. The horse, of course June 23, 30, July 7, 2010 Dyanna Neal constructed a stable in the 1000 block of South Union Street for a horse. She got permission from the city plan commission to do it. Unfortunately, her neighbors didnt like the idea. They took their complaints to the Kokomo Common Council in June, and the council agreed that the city is no place for a horse. What followed was an unusual hunt to find a reason to force Neal to move the horse. At first look, the council could find no law on the books to prevent the equine housing project from persisting. As far as we know, there is nothing that says you cant have a horse in town, said Mike Kennedy, council president. I know the city attorney is looking into things, but she hasnt been able to find anything. It didnt take long for the city to uncover a 1966 ordinance that banned horses from the city a law that strangely wasnt codified. Neal was told she would have to relocate the horse. However, since the city plan commission had approved the housing of the horse, the city agreed to pay for the cost of the barn she built to house the horse. My main concern here is the fact that Mrs. Neal did everything above board, said council member Ralph Baer. It is a shame she had to spend the money she has and to now be told there is a city ordinance. Alive and working in Haiti: Oakbrook members helping in the relief effort Jan. 20, 2010 The January earthquake that devastated the island nation of Haiti became a local story when it was discovered that a pair of missionaries from Kokomo were in the country when the disaster occurred. Curtis Stout and Bruce Donaldson, members of Oakbrook Community Church, arrived in Haiti on Jan. 1 just days before the quake. When it hit, the men were stranded. So they did everything they could to help the citizens recover from the tragedy. Oakbrook sends missionaries from the congregation to Haiti on a regular basis as part of a partnership with Double Harvest, an agricultural mission located in the village of Coupon, 30 minutes east of Port-au-Prince. Curtis traveled to Haiti to teach English and was expected to remain through August. Donaldson committed to stay until March and went to provide general assistance to Double Harvest. Stout stayed on through September, and additional missionaries from the church made it to the country to lend assistance.

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2010: What a year - Kokomo Perspective: News

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