Bill Type and Number:
Ordinance 2003-300Sponsor: Council President at the request of the Jacksonville Economic Development Commission
Date of Introduction: March 11, 2003
Committee(s) of Reference: F; RCD
Date of Analysis: March 14, 2003
Type of Action: Redevelopment Agreement Authorization; Loan Authorization; Appropriation
Bill Summary: This legislation authorizes the execution of a Redevelopment Agreement between the City of Jacksonville, the Jacksonville Economic Development Commission and Jesse L. & Rosa L. Wilcox d/b/a For Your Child Only Day Care Centers ("Developer"). The Agreement authorizes a $240,000 loan and appropriates $240,000 from the Northwest Jacksonville Economic Development Fund to fund the acquisition of the land and building by the developer pursuant to the terms of the Redevelopment Agreement.
Background Information: Mr. & Mrs. Wilcox currently own two existing day care facilities. They (as the "developer") propose to purchase the Victory Land Day Care Center, a 4,000 s.f. building located at 6101 Avenue B). The developer proposes to purchase the Victory Land Day Care Center and make the site the third For Your Child Only facility. Victory Land is licensed to handle up to 145 children but is currently operating at less than 50% capacity. The developers anticipate that enrollment will grow from 70 to 145 within 18 months of the date of purchase. At capacity, the project will increase employment from 7 to 22 positions. The developer anticipates reaching capacity within 24 months of acquisition. The developer is requesting a Northwest Jacksonville Economic Development Fund Small Business Development Initiative Loan in the amount of $240,000 that would enable them to purchase the existing Victory Land Day Care Center. The proposed loan term is five years, with an amortization period of 20 years with an interest rate of 3% per annum. Month loan payments will be $1,331.04. There are clawback provisions in the event that the developer fails to meet the employment goals and commitment specified in the Development Agreement.
Policy Impact Area: Economic Development/Jacksonville Economic Development Commission
Fiscal Impact: This legislation appropriates $240,000 as a component of a Redevelopment Agreement.
Analyst: Jackson