A PROJECT DESIGNED to unify downtown Jackson and create economic development along what is being called “Mississippi’s Main Street” is gaining traction with city leaders.

But before work can begin on the Capitol Street Renaissance project, Jackson city officials have to figure out how to pay for it. The Jackson City Council is now considering a plan to issue a $3 million in general obligation bonds to cover the street’s reconfiguration.

Ward Six Councilman Marshand Crisler, the chairman of the council’s budget committee, said the city could borrow the money through the Jackson Redevelopment Authority. Of the city’s options, it could increase taxes or utility rates in order to pay the funds back.

At the time of publication, the council hadn’t decided on a set plan to finance the project.

Area developers and business people alike, though, say the renaissance would be well worth the extra expenditures. But they’re urging city officials to take action as soon as possible.

Steve Rogers, the president of Parkway Properties in Jackson, reiterated that point at a recent City Council meeting. He spoke to The Northside Sun following the meeting. “They were overwhelmingly supportive, but cautious because of the funding issue,” he said. “The council has turned it over to the city legal department and are mulling it over.”

He said urgency is key in saving money on the project. Crews are now in place downtown working several projects for Parkway, including the Pinnacle office building at Jackson Place. He said the city could cut mobilization costs significantly by using the personnel already there.

The original project is estimated to cost between $4 million and $5 million. Those funds would be used to remove two arms from the parking garage there and internalize them. Once that’s finished, crews would begin redrawing lines along the road and changing traffic signals to accommodate two-way traffic.

THE PROJECT CALLS for turning Capitol Street into a two-way thoroughfare for motorists. Doing so, officials say, would increase economic development opportunities and slow traffic to encourage residential growth. It will also provide easier access to downtown landmarks, like the King Edward Hotel, which is also to be renovated.

Downtown Jackson Partners President Ben Allen, though, said to “do the project right,” it would cost about $8 million. He said DJP has committed $250,000 for the project.

He hopes the city, county and state will chip in an extra $3 million, in addition to the original estimates, to widen sidewalks and improve the street’s appearance. The money would also be used to do some landscaping. “It would give a hometown feel to the main street,” he said.

Developers are also seeking help from the county. Recently, Rogers met with the Hinds County Board of Supervisors.

Board President Doug Anderson said the county is in favor of the project, but doesn’t have the funding this year to help build it. But before budget talks begin next summer, he said the new board (It will have two new supervisors.) would consider the project again.

He said the board could possibly look at using tax increment financing to help with the project, but the county, this year, doesn’t have any extra cash on hand for the project.

More than 30 years ago, cities started a nationwide trend to one-way many downtown streets to better move people in and out of the city.

Jackson leaders say the streets have worked beyond anyone’s wildest dreams. At a recent council work session, Rogers and then-DJP President John Lawrence displayed a large photograph of Capitol Street on a Saturday afternoon. It had one car on it.

THE HOPE IS THAT this project will draw motorists back. Allen said it should certainly draw new retail. Removing the garage door arms should open up more than 199,000 square feet of retail space. That, he said, could mean thousands of dollars in sales tax revenue for the city and county.

“It should result in over $4 million in sales tax,” he said. “Of that, the city would get more than $750,000 (back from the state).” That money, when coupled with the new property tax revenue the city could also receive, would give Jackson more than enough to pay back bonds, he said.

“If a city issues a $3 million bond, it would have to repay $135,000 a year,” he said. “I feel the sales tax generated will more than offset the city’s contribution.”