by J. Brooks Terry
Staff Writer
More than half a dozen groups have expressed interest in making a withdrawal from the City’s Historic Preservation Trust Fund, but as the fund dwindles, the City Council wants to know what will happen when it’s empty.
Flush with $7 million when it was established in 2002, the fund has helped jump start several projects downtown, including 11E., the Carlington and Suddath lofts.
Just a couple of months ago, the money was almost gone, with $3 million set aside for Signet Development to renovate the Marble Bank, Bisbee and Florida Life buildings on Laura Street.
In June, that deal fell apart, sending that money back into the fund.
But some aren’t so sure the money is available for the taking. John Keane of the Police and Fire Pension Fund may have the impression that he’s first in line because of his pending arrangement with the City to assume ownership of the Laura trio.
As part of that arrangement, he said the fund would secure, gut and rehab the buildings, later shopping them as residential property.
Last month, Keane said he was confident the money previously committed to Signet could be easily transferred to the fund.
The Council, however, isn’t so sure.
“I don’t support giving all of that money to the pension fund. What kind of message does that send?” said Council member Suzanne Jenkins. “There are so many other projects out there that are just as deserving and also much further along than they are.
“It would be irresponsible to empty the entire account just to fund one project. And besides, if someone needs substantially more than $500,000, they should be looking for a loan instead.”
Council president Elaine Brown agreed. She said the fund should not have made a deal to take ownership of the three buildings if they were under the impression the City would help cover further expenses.
“Honestly, I think the City has made its contribution by literally giving those buildings away,” said Brown. “If Mr. Keane, who is a very smart man, had planned to ask for them, I would have expected him to have at least considered that.
“I’m confident the pension fund would not have made the deal without being sure they could refurbish the buildings and obviously make money off of them.”
According to Jacksonville Economic Development Commission spokesperson Jean Moyer, Keane has requested a grant application, though it has not been returned, leaving the terms of a potential agreement a mystery.
“Until we have their application, we have no idea what they’ll ask for,” she said.
Keane’s application, and others, may be behind the DDA’s recent decision to “take a step back and reexamine the (Historic Preservation Trust Fund.)”
“We are a limited funding source,” said DDA board chair Bob Rhodes. “As potential projects continue to approach the JEDC, we need to be certain we are giving these grants to the right projects.”
DDA managing director Al Battle and board member Penny Thompson are leading efforts to overhaul the fund.
“They will continue those discussions later this month,” said Moyer. “At this stage, it’s a matter of figuring out how we can improve the fund, replenish it or spend the remainder of the dollars left.”