Both Charlie Fairchild and Jerry Maygarden have said the City of Pensacola government shouldn’t be in the economic development business. Well, it already is.
The City of Pensacola owns two of the county’s biggest economic development assets – the Pensacola Airport and the Port of Pensacola. Plus, the City owns the gas utility that depends on customer growth in the unincorporated areas of the county. The Airport, Port and Energy Services of Pensacola have budgets totaling $84 million and contribute $9.6 million towards the City’s General Fund—which equals 71 percent of the property taxes collected.
The City of Pensacola depends on Economic Development almost as much as it does property taxes. It is key to economic development in the region.
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Anonymous – 4:11 p.m.
I couldn’t agree with you more about “doing the same thing over and over and expecting different results.” It’s way I support O’Sullivan’s effort to create an independent economic development organization and hiring an experienced person to run it. The private sector has to put more money into the effort and not be dependent on government funds from administration and operations. The government funds need to be for incentives. Hopefully they are close to getting the new non-profit organization started.
Rick
If we gave the Chamber 10m in tax $ the current crew could not convert it into jobs. I know there are some great board members but the current staff is not getting the wood chopped. What do they call doing the same thing over and over an expecting different results?
I know you like most of these folks and know them well. They may try hard but that’s just not getting it done.
Mike:
Thanks that helps. The bed tax are tourism dollars controlled by the Escambia Tourism Development Commission (which is appointed by the County Commission) and the Escambia County Commission – its budget is approved by the County Commission and its expenditures are audited. They are not direct payments to the Chamber. Expenditure from bed taxes are regulated by Florida statutes.
Not sure what the “3 cent tax – first time allocations” are. What 3-cent tax? If its bed taxes, then it falls under the same rules as above.
As far as the city and county general funds, the 2009-2010 budgets are posted – there’s not $2.1 million going to the Chamber that I can find.
Jaime’s article is titled:
Chamber gets bigger public share of funding
Appears to be allocated based on three funding sources + city contributions
bed tax
3 cent tax – first time allocations
general funds
Mike:
Thank you. I can’t find those figures in any of the two budgets. The numbers I’ve posted are directly from the 2009-2010 budgets and the City contribution in the approved budget is only $75,000 (check page 103). Also check the County Budget – page 25 for the $402,000 for the county.
What are the $1,541,250 and the $600,000?
Here are the numbers Paige posted in the PNJ-
Pensacola Bay Area Chamber of Commerce, Inc. $1,541,250
Pensacola Bay Area Chamber of Commerce, Inc. $600,000
Pensacola Bay Area Chamber of Commerce, Inc. (Foundations for the Future) $402,000
Pensacola Bay Area Chamber of Commerce, Inc. (Foundations for the Future) $200,000
Reality:
The Chamber handles tourism for the county – which is paid with bed tax dollars – but that is overseen by the Escambia County TDC – board appointed by the County Commission. The County Commission approves their budget and can direct how TDC funds are used —such as for the Pensacola Ice Flyers. There is also the Pensacola-Escambia Economic Commission (PEDC) that Chamber runs under a board that has two City Council members and two County Commissioners on it. Those budgets are completely separate from the Chamber budget. Maybe somebody included all these other budgets in the $2 million. The direct ED funds total the Foundation are $477K—which is also separate from the Chamber budget, btw.
Perhaps I read wrong….what is TOTAL going to Chamber? Not just Foundations…and what was Chamber’s total request of both entities vs. what they were funded?
And if it’s “just” $477,000 then local government is STILL in the economic development business.
Even without the examples cited, the city does have a positive or negative role in economic development simply by virtue of the fact that their bureaucracy can make it either easier or difficult to conduct business. Same goes for the county. You wouldn’t believe all the hurdles and permits even a tiny business must go through to open shop here. I imagine quite a few say, “why bother.”
Reality:
What $2 million are you talking about? The County Budget has $402,000 for the Chamber’s Foundations for the Future. The City Budget has $75,000 for the Foundation.
If these folks (and the Chamber) are so keen on keeping government out of economic development, why don’t they give back the $2 million or so per year the Chamber gets from City and County taxpayers?
THEN they could say that local government doesn’t belong in economic development. But if it’s our tax dollars going to the Chamber, then its safe and fair to assume that our government is going to be involved and have a seat at the table.
Pay to play, right?
So, we should tell Mobile, Gulf Breeze and the many other cities that do it successfully to stop doing economic development??? C’mon. This when Pensacola’s losses keep stacking up, the latest being Southwest to Panama City…
I remember you brought this up a few weeks ago and we agreed that they weren’t necessarily contending that we weren’t involved, but that we shouldn’t be involved beyond what is absolutely necessary for the safety and general management of our city. I believe they are taking the position that the City of Pensacola should not have someone on staff who searches for businesses to relocate here and negotiates highly complicated real estate transactions in the name of economic development (i.e., Technology Park at 9th Ave).
Weren’t they talking about public-private partnership sort of stuff, though? The neo-liberalism, which BTW has nothing to do with liberals,?
Anonymouse:
Both said the economic development isn’t a role for the city. Charlie Fairchild said when he appeared before the City Council – see video at about the 3 min. mark.
Jerry Maygarden said when he was interview by the IN for the cover story “A Question of Leadership.”
We’re they really arguing that we didn’t do those things? I don’t recall reading that in their statements.