Mayor Frank Jackson kicked off his second year at the helm by looking back at all the belt-tightening he oversaw in the first. He says $16 million in savings combined with a 1% increase in revenues allowed the city to avoid a $20 million shortfall. It also put the city in the position to invest in some projects this year. He mentioned his $1.6 billion capital plan unveiled earlier this winter.
Frank Jackson: The capital plan is designed to have strategic improvement in our neighborhoods, infrastructures, parks, playgrounds and to leverage dollars for development. To jumpstart that capital plan this year we are issuing $45.8 million of general obligation bonds.
$6 million of that money will be dedicated to demolishing vacant or condemned houses. Raising more money is also in the plans.
Frank Jackson: In addition, we're looking at increasing revenue through a review of the Assessment and License Division. The goal is to collect millions of dollars that is owned the city but has not been collected in the past.
Jackson says all the public and private projects like hospital expansions and downtown housing projects will add up to more than $3 billion over the next five years. And one new project the mayor announced is a plan to turn the entire city into a Wi-Fi wireless internet hub. But sometimes wires aren't a bad option. He says partnering with the county and RTA will extend that technical capacity along Euclid Avenue.
Frank Jackson: The city has the opportunity to rebuild Euclid Avenue as one of the most wired streets in America, and to utilize it as a potential tool for investment for high tech.
Another upgrade is in the works is at Hopkins Airport.
Frank Jackson: We are poised to compete in the global economy with nonstop service to London and to Paris, starting in the spring of 2008. Hopkins is now focused on generating non-airline revenue and is aggressively marketing the airport as the airport of choice in this region.
Jackson says his airport director will finish a master-plan by the end of the year that will lay out options for Burke Lakefront airport in the eventual grand Lakefront development plan.
The Mayor did not bring up the question before City Council whether to continue residential tax abatements. But he was asked by an audience member about it.
Frank Jackson: Tax abatement is an important tool but it is not a right. It is not a right.
Afterwards City Council President Martin Sweeney said abatements in some form will continue.
Martin Sweeney: Absolutely. Tax abatement is going to be around. At what level is the question. 15 years at 100% is what we currently have. And the discussions are 'is that the appropriate amount of tax abatement for the City of Cleveland?' And the city council will make that decision.
Downtown Councilman Joe Cimperman says he doesn't even like to hear speculation that abatements might be trimmed back.
Joe Cimperman: Development is chilling as we speak. I have talked to three developers in the last week who said 'I'm going to wait to see what Council does.' You don't want people to wait to see. You want them to buy a shovel, break ground, and move people in today.
No one's breaking ground on a convention center either. It's been a year now and Jackson said the city is still waiting to see whether a Chicago company will incorporate a medical merchandize mart in the building.
Frank Jackson: We believe there should be a convention center in Cleveland. Not by itself but part of an overall plan to rebuild downtown. And that it has to be part of a partnership with Medical Mart. And if all those things happen then well have a Convention Center. Any of those things don't happen and we will not have one.
One of the possible developers, Sam Miller of Forest City, is still hopeful.
Sam Miller: The Medical Mart is in play.
So that's still a very real possibility?
Sam Miller: A very real possibility.
Are you comfortable waiting for that happen?
Sam Miller: Yes, absolutely.
Billions of dollars of development, but for Mayor Frank Jackson, it's all about making Cleveland a city of choice.
Frank Jackson: And in doing so improving the life of the least of us. And ladies and gentlemen, I have no other purpose for being mayor. There's no other purpose or reason for me to be here today other than that.
I'm Mark Urycki, 90.3.