Council finance committee advances Gateway Jax, raises concerns about community benefits agreement

JACKSONVILLE, Fla. — One major downtown project is moving forward apace while another seems to be running into increased skepticism.

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That was the story coming out of Tuesday morning’s meeting of Jacksonville City Council’s Finance Committee.

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The two major investments, both with a price tag of nearly $100 million, were on the agenda.

The finance committee advanced $98.5 million in incentives for the planned $2 billion Gateway Jax project, which intends to bring 1,000 apartments, retail space, and street dining over a 20-block section of downtown.

“The number of blocks that this could trigger redevelopment throughout the City of Jacksonville, downtown in particular in our downtown core, is really extraordinary. And if it works, that this will pay us as a city like 500 times over and over and over,” said Councilmember Rory Diamond (R-District 13).

Although members have seen recent gloomy financial projections that show to city facing deficits exceeding $100 million by 2028, they indicated Gateway Jax will be a winner for the city.

RELATED: Gateway Jax to release renderings on new downtown project

“I think this falls squarely in one of those four core roles of government, and that’s infrastructure. I think downtown investment in our infrastructure right now is critical,” said Councilmember Nick Howland (R-Group 3 At-Large).

However, the same can’t be said for the $96 million of proposed spending on the Eastside, workforce development, affordable housing, homelessness and parks and recreation spending included in the Community Benefits Agreement.

Unlike Gateway Jax, the CBA isn’t calculated in the financial projections.

Additionally, Council Finance Chair Ron Salem (R-Group 2 At-Large) raised concerns after being told the mayor would be the only voice from the city to weigh in on how the Jaguars spend their potential $150 million share of the agreement over the next 30 years.

RELATED: Jacksonville Special Committee on the Community Benefits Agreement announces upcoming meeting dates

The mayor’s office issued a statement in response to Salem’s concerns.

“The mayor, the Jaguars, and the City Council are in alignment on the team’s funding going towards the priorities of parks, workforce and economic development, affordable housing, and homelessness. Those will be the categories under which the money will be spent, as agreed upon,” said a spokesperson for the mayor’s office.

“I raised this issue, and I was told city council approval. So, yeah, this throws the whole thing up in the air to me,” said Salem.

Unlike Gateway Jax, the CBA was not up for a vote Tuesday.

The special committee tasked with fleshing out the CBA is expected to meet again next week.

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