- December 6, 2025
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Manatee County commissioners have opted not to renew a $337,000 contract with the Bradenton Area Economic Development Corp. — with one elected official questioning if the county even needs an EDC and equating the organization to lobbyists doing sweetheart deals.
The move, while not connected politically and different in process, follows a similar decision Sarasota County commissioners made last year to repeal a business tax as a funding source for that county's EDC. Sarasota County, in repealing that levy, essentially shifted the financial burden tax to all Sarasota County taxpayers, with a 50% match per private dollar invested. The business tax had generated $472,421 a year, 28% of the annual $1.82 million budget of the Economic Development Corp. of Sarasota County.
The moves in both counties share one theme: commissioners voicing concern over each EDC's return on investment, operating structure and, in some cases, its reason for existence.
“I don’t think investing in the EDC is producing the results we expected,” Manatee County commissioner Bob McCann said at the Sept. 16 meeting. McCann also equated the EDC to lobbyists. “The EDC was supposed to be this great thing, but it’s more like a collaborative country club. It’s great for social networking, but you should not have special relationships with people in the county and undermine the process.”
EDC President and CEO Sharon Hillstrom, in an email response to questions from the Business Observer about comments from commissioners, says the EDC isn't a lobbying firm. "We are a nonprofit organization focused on diversifying Manatee County’s economy by attracting and retaining high-wage jobs for area residents and connecting established businesses to the resources they need to position for success," Hillstrom writes in the email. "Our role is to collaborate with community leaders, businesses and government partners to advance the economic vitality of the region."
The Manatee County commissioners canceling the EDC contract represents $336,960 — about 30% of the EDC's $1.13 million budget this fiscal year.
It looked as if commissioners would approve the $336,900 annual contract at the meeting because a motion to allow the contract to expire failed in a 4-3 vote. Then, a motion to approve the new contract also failed in a 4-3 vote.
Commissioner Carol Felts changed her mind, so the current contract, nitiated in 2021, will expire as of Sept. 30.
Those in favor of renewing the contract were commissioners George Kruse, Mike Rahn and Amanda Ballard. Those opposed to renewing the contract, in addition to Felts, were commissioners Tal Siddique, Jason Bearden and Bob McCann.
Siddique cited problems with the board, including too many members. The EDC website lists 47 board members and seven executive committee members.
Following the meeting McCann, in an interview with the East County Observer, sister paper of the Business Observer, said he made two campaign promises. One, stop greedy builders, and two, stop deceptive politics.
During her presentation, Hillstrom said that one of the ways the EDC “gets stuff done” for businesses that are expanding or moving to the area is to "pick up the phone" and call Deputy County Administrator Courtney De Pol or Director of Government Relations Stephanie Garrison, who is a member of the EDC board.
Hillstrom noted that fostering good relationships is crucial in any business, but her role is not one of a lobbyist.
“(Hillstrom) is not a registered lobbyist, but she’s doing the same thing a lobbyist does,” McCann said. “That’s how sweetheart deals happen, and I don’t like that.”
On the specific charge of being a lobbyist, Hillstrom, in the note to the Business Observer denying that, says "the EDC is a contractor to the county. Our existing contract with the county specifically describes the services we provide to businesses and how we liaise with county staff." (Hillstrom writes a bimonthly column for the Business Observer on the work the EDC does, called Economic Indicators.)
Another concern from at least one Manatee commissioner was the private structure of the EDC.
The Bradenton Area EDC receives 40% of its funding from public partners and 60% of its funding from private investors, so its board is not subject to the Sunshine Law and does not have to conduct meetings open to the public. “I don’t like that we’re trying to hide economic development outside the sunshine,” Siddique said. “It should be a concern that it's not a sunshine board."
Most EDCs across the region — and in Florida and nationwide — hold private meetings and conversations with businesses and entities looking to expand and relocate. EDC officials, in previous statements and interviews with the Business Observer, stress that companies, for a variety of reasons, are unlikely to participate in relocation and incentive conversations if the executives know the information is pubic.
Hillstrom, at the Sept. 16 meeting, asked that the contract be extended through December to allow more time for discussions between the EDC and the county. “This is kind of pulling the rug out from under us,” she said.
Like in Sarasota, the funding decision doesn't put the EDC out of business. Hillstrom, in an email to the East County Observer, says staff will move forward communicating with its private investors and public partners as they address this "unexpected challenge."
One line of questioning of Hillstrom at the meeting, from Bearden, revolved around how much of the Bradenton Area EDC’s budget is spent on administration, salaries and marketing versus directly assisting businesses.
From Oct. 1, 2023 to Sept. 30, 2024, the EDC reported spending $76,579.75 on administrative costs, according to county records. It collected $532,960 from public partners and $600,853 from private investors, totaling $1,133,813.
Similarly to chambers of commerce, the EDC is a 501(c)(6) nonprofit, so tax filings are available on the Internal Revenue Service's website.
The most recent tax return, for fiscal year 2022, shows the EDC's total revenue was $1,123,700 and its total expenses were $966,805. The expenses were split between two main categories: $302,409 was listed under "other expenses," and $664,396 was listed under "salaries, other compensation and employee benefits."
The return shows nine employees working for the EDC, and $215,615 of the $664,396 for salaries and benefits was listed under the category of "compensation of current officers, directors, trustees, and key employees."
As far as marketing, the return shows $49,454 was spent on "advertising and promotion."
Kruse, a member of the EDC’s board, posed the argument of what it would cost the county in office space, benefits and retirement funds to hire three people to handle economic development directly for the county.
“Then, all the money is our money, and none of the members are helping out,” he said. “We need to approve their contract for one year and make a concerted effort to work in good faith to come up with a better contract if you believe this is not the right contract for Manatee County and their taxpayers.”
Other commissioners were more pointed about the EDC's purpose at the meeting.
Siddique said there needs to be a “comprehensive reframing” of the contract at the meeting, while McCann said the county doesn’t need the EDC at all.
Siddique pointed to SpaceX as an example of businesses that have bypassed the EDC and dealt directly with Manatee County. SpaceX plans to build a satellite communications facility in Myakka City.
“There are businesses that have talked to me and said the EDC hasn’t responded to them,” Siddique said. “That’s a serious problem. I just don’t feel confident spending this money here.”
This article originally appeared on sister site YourObserver.com.
