What is an RDA?

 In 2015, the Indiana General Assembly enacted IC 36-7.6, which allowed the formation of regional development authorities throughout the state. This code establishes the requirements to form an RDA, governs the composition of the RDA board, assigns powers and duties to the RDA, and defines the RDA’s ability to finance projects. 

PURPOSE AND POWERS 

After its formation, the RDA adopted its Articles of Association and Bylaws. These governing documents shape the RDA’s operating procedures and lay out the rules for participation by local entities. 

The RDA’s governing documents also establish the purpose of the organization, and lay out the powers that the RDA can marshal to carry out the purpose. 

Purpose 

The purpose of the RDA is two-fold, and is focused on capitalizing regionally significant development projects:

• To acquire, construct, equip, own, lease, and finance projects and facilities to or for the benefit of eligible political subdivisions; and 
• To fund and develop the following projects: 
  • Airport authority projects; 
  • Commuter transportation district and other rail projects; 
  • Regional transportation authority projects and services;
  • Economic development projects; 
  • Regional trail or greenway projects; and 
  • Any project that enhances the region with the goal of attracting people or business; that are of regional importance. 

Powers 

The RDA’s governing documents define a broad listing of powers to allow the Authority to work towards its purpose. The RDA’s powers can be generally summarized as follows: 

• The RDA has broad powers to finance lease, and construct projects for, and in coordination with local political subdivisions.
• The RDA has the authority to acquire land and projects from political subdivisions, for the incorporation into future economic development and redevelopment projects. 
• Projects undertaken by the RDA must be regionally significant, a designation that is determined by the RDA Board on a case-by-case basis. 
• Any debt issued by the RDA that is secured by the funds of local political subdivisions must first be authorized by those subdivisions. 
• While the RDA does have the authority to buy and hold property, the power of eminent domain is reserved for political subdivisions. 

RDA Membership and Board composition 

The RDA is comprised of the following five member counties: 

• Clark County 
• Floyd County 
• Jefferson County 
• Scott County 
• Washington County 

Additional members may be added with the consent of the Authority’s Board of Directors. When a County becomes a member of the Authority, any qualified City (second class city) or third class city within a member county, automatically becomes a member of the Development Authority. 

The RDA Board of Directors has the responsibility to govern the affairs of the Authority. Each Board member serves a four year term, and can be appointed to subsequent terms. Board members may not be elected officials or employees of member counties or municipalities and must meet the following standard for professional experience: 

“…have knowledge of and at least five years professional work experience in at least one of the following: rail transportation or air transportation, regional economic development, business or finance, private, nonprofit sector, or academia.” 

The members of the Board of Directors are selected by the written agreement of the executives of the members of the Authority.