JACKSONVILLE, Fla. – Jacksonville’s Financial Oversight and Audit Select committee is expected to launch an inquiry focusing on the Jacksonville Transportation Authority as the agency faces a projected shortfall of nearly $40 million. Council president Nick Howland said the select committee has closed it’s probe into unpaid capacity fees at JEA.
The committee’s inquiry into JTA is being discussed as the City Council approved a resolution allowing JTA to use up to $30 million in local gas-tax revenue to pay down a $20 million line of credit.
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Council President Nick Howland said the immediate priority is stabilizing JTA and ensuring residents have reliable transportation.
The resolution allowing JTA to use gas-tax revenue was drafted after the agency announced plans to lay off nearly 200 employees. JTA Interim CEO Cleveland Ferguson told committee members the agency is working to reduce its size and stabilize operations during the next fiscal year.
“We are working to stabilize after having to make some extremely tough decisions,” Ferguson said.
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Council members questioned whether projected gas-tax revenue could fluctuate with changes in fuel prices. They also asked whether JTA should focus more on its core transit mission instead of roadway projects.
“Has there been any consideration of JTA focusing in on their core transit issues versus roadway projects?” one council member asked. “Is that a way of re-engineering JTA?”
“That is one of the fundamental considerations before us,” Ferguson said.
Ferguson said the next phase of the agency’s plan will include a communitywide conversation about Jacksonville’s overall mobility plan, with a focus on providing reliable transportation for residents who depend on public transit the most.
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Council members also asked whether laid-off employees could be rehired in the future. JTA leaders said the agency has up to two years to bring employees back under its collective bargaining agreement.
The committee’s broader unanswered question is how JTA reached its current financial position. Council member Chris Miller said the crisis may have been developing for years.
“This just didn’t happen overnight,” Miller said. “There were a lot of leaders who had information on where this was headed, and I just hope we’re serious about how we got here.”
Council member Ron Salem said the changes will have a significant effect on residents.
“It’s a huge issue when you’re altering bus routes and furloughing dozens of employees,” Salem said. “That’s serious.”
JTA leaders said several bus routes will be adjusted beginning Nov. 2. The agency said the workforce reduction is expected to save $21.9 million.
