The City of Jacksonville is looking at a possible lawsuit if it cannot come to an agreement with the Jacksonville Aviation Authority (JAA) on how to use its revenue. The JAA board approved a resolution Thursday to file a lawsuit against the city after 30 days of mediation for what they say are years of interference by Jacksonville City Council.

JAA is separate from the City of Jacksonville and does not take any revenue from the city, though the JAA charter allows city council to increase or decrease its budget. In a draft lawsuit, the board claimed city council, specifically Council President Nick Howland, has overreached its power and tried to divert airport revenue to other projects.

“We’re here today and involved in this because of his aggressive intrusion into JAA activity and action over the last three years, and it has to be said that’s the case” William Gulliford, JAA Board Secretary, said during Thursday’s meeting.

Howland was at Thursday’s meeting and called the draft lawsuit ‘inflammatory’ and full of inaccuracies. The lawsuit claims the dispute started in 2023 when Howland began pushing JAA to hand over what he called its “excess profits” for city projects. Those projects included a $10 million contribution to the Kids Hope Alliance, up to $25 million toward raising JEA power lines over the St. Johns River, and roughly $29 million for an aviation-mechanics training center at Florida State College at Jacksonville (FSCJ). 

Howland pointed to a budget hearing last year where he said he walked back some of those revenue diversion ideas.

“If it was about clarity, they would review the August 15, 2025 budget hearing, which clearly dispels and disproves several of the whereas clauses in the resolution. If they were looking for clarity, they would have agreed to a deferral and then studied more to get that clarity before taking a vote,” Howland explained.

One of the biggest issues stems from the $10 million needed to expand FSCJ’s aviation program at Cecil Airport. City council approved the funding last year, though JAA said it could not spend that money because it goes against FAA rules. Federal law says that revenue has to be spent on airport-related costs.

Howland said he wanted a conversation with all parties involved.

“All we’ve asked for, and you can look at the August 15th hearing and hear that all we’ve asked for is an opportunity to sit down with FSCJ, JAA, FAA and the state to work out a collaborative solution for how it could be done. It’s been done in other airports across the country,” Howland said.

During Thursday’s meeting, board members expressed that they are looking for clarity over who controls what when it comes to JAA and city council. The draft lawsuit seeks declaratory judgments on who controls the revenue. 

“I think from a governing standpoint as a board member, we want to know how to hold JAA management accountable, and I think the JAA management wants to know ‘how do we go forward? Can city council move money within the budget? Do they have to spend it? What does that look like?’ So I think it’s just clarity on those simple facts,” David Hodges, Jr., JAA Board Chair, explained.

Also at the center of the dispute is whether JAA can hire outside legal counsel. Board members feel as though using the Office of General Counsel for their legal questions leads to a conflict of interest since OGC works for both city council and JAA. The board used an outside firm to draft its lawsuit.

General Counsel Michael Fackler was at Thursday’s meeting and said he had not heard from the board in a while.

“Like it or not, I’m your chief legal officer. I was a little disheartened to hear, ‘we talked to our lawyers about the conflict of interest.’ I’m afraid you haven’t. We’re your lawyers and we have tried very hard to make sure we maintain that relationship,” Fackler said.

Along with approving the resolution to file a lawsuit against the city, board members also passed a resolution to allow 30 days of mediation to come up with an agreement with the city. Board Member Michelle Barnett, an attorney herself, will be leading those discussions for the board. 

JAA is scheduled to go before the city’s finance committee to present its budget on August 14.