Politics
Jacksonville weighs temporary $30 million gas-tax transfer as JTA faces $39 million gap
City Council is set to consider letting JTA use up to $30 million in unspent local gas-tax funds to pay transportation-project debt. The emergency measure comes after layoffs and amid a separate council inquiry into how the agency’s shortfall went unreported.
JACKSONVILLE, Fla. — Jacksonville City Council was scheduled to vote Tuesday, Oct. 13, on an emergency measure allowing the Jacksonville Transportation Authority to use up to $30 million in unspent local gas-tax funds to pay down debt tied to transportation capital projects.
The proposal, introduced by Council President Nick Howland, would revise the permitted uses of the five-cent local option gas tax for a single cycle. It requires a two-thirds vote to pass. If approved, JTA would have until Sept. 30, 2037, to restore the money.
The vote comes as JTA confronts a $39 million budget shortfall. Agency leaders have attributed the gap to sales-tax revenue coming in below estimates and costs exceeding projections, including expenses associated with the NAVI autonomous shuttle program, the Skyway and Connexion service.
JTA has laid off nearly 200 employees, cuts officials expect to save about $21.9 million. A council committee had approved releasing the gas-tax funds the week before the scheduled vote.
Council members are also examining how the shortfall developed and what safeguards might prevent a repeat. Council member Ron Salem said members want to know when the revenue decline became apparent and why it was not reported sooner. He said officials may need to be called before the committee to answer questions.
The proposed transfer would provide JTA with near-term financial relief, while requiring the authority to replenish the funds over time. The council’s inquiry is focused on the decisions and reporting behind the agency’s financial crisis.