Council hears economic development, small-business budget; city highlights $15M invested and 1,330 businesses served

Chair Bankston convened the fourth 2026 operating budget hearing and invited the Department of Development to present its economic development and small-business proposals. Mark Lundeen, economic development administrator, told council the office "was able to directly support 1,330 businesses in 2025," and said the city saw "over $15,000,000 invested in small businesses," primarily through the Accelerate Columbus program.

Lundeen outlined several targeted programs and place-based investments the department says supported neighborhood commercial corridors. He said the city awarded 56 capacity grants this year (small machinery and equipment grants tied to Accelerate alumni or partner referrals), and that 12 "Power of 1" recipients received significant physical rehabilitations. He credited the Ground Floor Growth initiative in the Gay Street district with helping attract new businesses and said two phase-two tenants are due to open soon.

On business recruitment and retention, Lundeen reported 14 signed deals that created 389 jobs, retained 1,163 jobs and represented $241,000,000 in capital investment; he highlighted local manufacturing and pharmaceutical industry expansions, citing a Gift Health project that represented 750 jobs and a Hikma Pharmaceuticals expansion on the Near West Side. Lundeen described a project with Safelite in which the company "chose to invest over $19,000,000 in the renovation of their headquarters," keeping 850 jobs in Columbus and adding roughly 25 net new jobs.

Lundeen presented the department-level budget numbers: a general fund proposal of $36,900,000 for the department and a proposed $5,100,000 operating budget for economic development and small business programs. He noted those operating figures exclude approximately $14,600,000 in projected incentive payments that are transferred later in the year, and he described a reduction of four positions and lower contract funding relative to last year. Lundeen said approximately $110,000,000 in funding flows through the economic development team including about $70,000,000 in TIF and special assessments and $33,000,000 in bond funding.

Council members pressed Lundeen on program priorities and trends. Chair Bankston praised the focus on small businesses and asked about how the department responds to an increase in women-owned enterprises and technology needs; Lundeen said the department added an AI track to Accelerate Columbus and a search-engine-optimization program to help small firms. On retention, Lundeen cited 115 city retention-and-expansion visits within Columbus that helped keep and expand jobs at local firms.

Council members also asked how the department will evaluate service-contract reductions and staffing cuts. Lundeen said the director intends a "surgical" approach to right-sizing contracts and that the team plans cross-training to absorb workload after the staffing reduction.

The hearing concluded without public comments (the chair said there were no registered speakers by the 10 a.m. deadline) and without formal votes. Council was reminded the next budget hearing is scheduled for Wednesday, January 20 at 4 p.m. (Public Service and Transportation Committee, chaired by Council member Rosa de Padilla).