New City department in charge of $25 million fund


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  • | 12:00 p.m. April 18, 2006
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by Bradley Parsons

Staff Writer

The mayor’s reorganization of the City’s Housing and Neighborhoods departments will change the way the City encourages development in Northwest Jacksonville.

Most significantly, the merging of the departments will take away the Jacksonville Economic Development Commission’s authority over the $25 million Northwest Jacksonville Economic Development Fund, which is set aside to encourage small business development in poor neighborhoods north and west of the river.

During Monday’s City Council Finance Committee meeting, Council members largely supported putting the City’s new Housing and Neighborhoods Department in charge of the Fund. But one member said the switch could confuse the City’s economic development approach in the area.

The change has the support of JEDC Executive Director Ron Barton. Following the meeting, he said the new department would direct the money into “community development” rather than economic development, which would remain in the JEDC’s territory.

“I wholeheartedly support it. I think the Neighborhood department is going to take a little different approach,” he said. “They’re looking at community development. The JEDC will still be looking at economic development. We’ll still be recruiting businesses to come into those areas.”

Established in 1986 and funded through a bond issue, the Fund aims to make money available to Northwest Jacksonville proprietors for capital and infrastructure improvements. The Better Jacksonville Plan restored the Fund with another $25 million in bond money. The Fund currently holds about $8 million.

Although the Housing and Neighborhoods Department would oversee how that money is spent, Barton pointed out that the City Council would still have final say on appropriations.

The Finance Committee largely supported the reorganization and the Fund transfer. Council member Pat Lockett-Felder said the needs of Northwest Jacksonville business owners had often been “lost in the shuffle” of the JEDC’s overall economic development mission.

“I think Northwest Jacksonville needs to be separated,” she said.

But Council member Lad Daniels said he didn’t think the change was necessary. He said the Fund, as an economic development tool, should remain with the JEDC.

“They are responsive to small businesses,” said Daniels. “I feel strongly that economic development should remain the purview of the JEDC.”

Although Daniels supports the reorganization, the Fund issue caused him to vote against the bill in committee. It passed 6-1. Daniels said he’ll vote against the bill when it comes before the full Council as well. The Council is expected to vote April 25 on the bill.

Finance chairman Daniel Davis said he’ll help answer questions about the bill before the Tuesday meeting. Davis touted the reorganization as efficient and a money saver. Kerri Stewart, director of the Housing and Neighborhoods Department, said the shuffle would eliminate 13 positions and save the City $358,000 every year.

 

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