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Bloomington, Cook Group Consider Agreement In Lieu Of Annexation

By Barbara Brosher

Posted September 28, 2017

The City of Bloomington and Cook Group want to enter into an agreement that will allow the company to make yearly payments of $100,000 to the city in exchange for Bloomington agreeing not to annex Cook properties that sit outside of city limits.

The agreement in lieu of annexation is capped at $1.5 million over the 15-year period and still has to be approved by the city council.

Bloomington Mayor John Hamilton says the agreement came about after Cook Group's recent announcement that it will spend $6.5 million to purchase the old GE plant in Bloomington to expand its manufacturing operations.

"It really was Cook's plans for this major step forward, which is very exciting for the community, that prompted us to refocus on that [and] talk to them about their future and how to do what we can to be a full partner with them," Hamilton says.

Under the deal, Cook's yearly payment could go up if it doesn't meet goals for investment and employment in Monroe County. The city had a similar agreements in lieu of annexation with Cook dating as far back as 1979, with its most recent expiring in 2012.

"The stability and certainty that comes along with the in lieu of annexation agreement allows us to invest in large manufacturing facilities that have unique needs," Cook Medical and Cook Group President Pete Yonkman says in a statement. "We believe this is a positive step for Cook and the City."

Cook played a role in halting the city's plans to annex nearly 15,000 new residents into the city by pressuring lawmakers to take legislative action earlier this year. A last-minute addition to the state budget prohibited any proposed annexations for at least the next five years. The city of Bloomington responded by filing a lawsuit claiming the legislation is unconstitutional because it singles out a specific community.

Hamilton says, with the agreement in place, there is a chance legislators could take action during the upcoming session that would allow the annexation plan to move forward.

"I do hope going forward that we can resolve the annexation issues outside the courtroom and we'll certainly look forward to talking about that," Hamilton says.

If approved, money from the deal will be deposited into the city's general fund.  The city council will consider the agreement during its Oct. 18 meeting.

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