County Clerk Pam Childers has discovered her office has been wiring funds to Pensacola-Escambia County Promotion and Development Community Development Entity, LLC, not the Pensacola-Escambia Promotion & Development Commission. This mix-up dates back to 2007, when Ernie L. Magaha was the County Clerk.
- I like a good mystery, so I set out yesterday to figure out why we would ever have two PEDCs. Based on state records, the boards appear to have the same members, so there had to be a logical reason to do it.
The Difference
Pensacola-Escambia Promotion & Development Commission (PEDC-Commission) is a governmental entity created as an Industrial Development Authority and registered as a governmental special district. The Pensacola City Council and Escambia County Commission appoint the members.
Pensacola-Escambia County Promotion and Development Community Development Entity, LLC is a Florida Limited Liability Company created in January 2007. Its original directors were County Commissioner Gene Valentino, City Councilman John Jerralds, County Commissioner Kevin White, City Councilman Mike DeSorbo, and Pensacola Chamber CEO Evon Emerson. At the time, the Chamber managed the PEDC. See First Annual Report.
- Based on her report, the Clerk’s office did not contact any of these individuals.
Research
I searched the PNJ archives and the Board of County Commissioners minutes on the Childers’ website. In early 2007, it appears the County and the PEDC-Commission were discussing New Market Tax Credits, a federal initiative in the United States designed to stimulate private investment in low-income and economically distressed communities. The LLC may have been formed as a mechanism to help fund several community projects through the PEDC.
In December 2006, the County advertised a public hearing for an ordinance on Jan. 4, 2007. The ordinance would set the Escambia County Development Entity with the PEDC-Commission as the sole member. See Pensacola_News_Journal_2006_12_24_60. However, according to the board minutes, the BCC pulled the item from the agenda, and unfortunately, the Clerk doesn’t archive the agenda packets.
- Pensacola-Escambia County Promotion and Development Community Development Entity, LLC, was registered with the state six days later, on Jan. 10, 2007. See Articles of Incorporation.
In March 2007, the PNJ reported that the PEDC was seeking $150 million in New Market Tax Credits for five projects: Expansion of IHMC, Community Maritime Park, Plaza De Luna, Century’s Alger Sullivan Sawmill, and redevelopment of the Escambia Treating Superfund site. See Pensacola_News_Journal_2007_03_22_22.
On April 10, 2007, the Board of County Commissioners approved under the County Attorney’s consent agenda (page 44) a Memorandum of Understanding with the Pensacola-Escambia to assist the County through economic development by applying for new market tax credits. See 20070410 Minutes.
- I have made a few phone calls and hope to have more information later today. Stay tuned – Walker Holmes is on the case.