The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Friday, April 26, 1996                 TAG: 9604240108
SECTION: PORTSMOUTH CURRENTS      PAGE: 02   EDITION: FINAL 
COLUMN: Ida Kay's Portsmouth 
SOURCE: Ida Kay Jordan 
                                             LENGTH: Medium:   88 lines

A LACK OF FUNDING STALLS GALAXY PROJECT

Harvey Johnson Jr. apparently has not given up on the Galaxy project, his plan to put a retail mall and apartment housing on Effingham Street between King and County streets.

But he still has not moved off first base to make it work.

After three hours of discussion at Ebenezer Baptist Church Monday night, he was not receptive to suggestions from the small audience that he form a corporation to sell stock and seek grants.

``It's time to put our money where our mouth is,'' Lillie Ruth Wilson said. ``Can't we form a committee to work on this? That would take some of the weight off Dr. Johnson.''

But Johnson did not seem too keen about that idea either.

The Galaxy project has been a source of frustration for the city and the citizens involved with Vision 2005 as well as for Johnson.

The city has been reluctant to use the property (almost two acres on two downtown blocks) for other projects - in part because of Johnson's persistence.

In fact, the city had a proposal from a large company that wanted to build a new retail business on the property.

``We could have sold the land to a corporation with lots of money and collected lots of taxes,'' City Councilman Bernard Griffin said. ``But we have reserved the land.''

The Vision 2005 citizens' committee turned down the proposal shortly after the planning groups were formed because some members felt the plan for the area should be in place before the city began to sell the land.

And many people would like to see some form of Galaxy in the area - if Johnson can get private financing.

Gordon Wheatley of Portsmouth Redevelopment and Housing Authority said he has not moved to sell the land.

``We don't even have a sales price because we haven't had an appraisal,'' he said. ``But we'll sell it to anyone who presents a proposal that is viable and that the Vision 2005 folks think will work.''

Problems with the Galaxy proposal have not been only financing but also the fact that consultants for the city have said the plan was not feasible in its proposed configuration.

``The planning committee did not choose the Galaxy project in its present form,'' City Councilman Ward Robinett said Monday night.

The councilman said the committee was looking for revitalization, for projects with ``reasonable chances for long-term success.''

When Vision 2005 consultant Ray Gindroz reviewed the Galaxy proposal, he agreed with earlier opinions that the project's ``success is questionable in today's environment.''

But, Gindroz said, some form of the proposal, which included spaces to encourage black-owned businesses, would enhance the area.

Johnson, however, does not seem amenable to the suggestions. Monday night he continued to complain about the city's lack of funding for a new study of the project.

Several people in the audience urged Johnson to forget another study and to try to alter Galaxy to fit into Vision 2005.

``The issue is where do we go from here,'' Vice Mayor Johnny Clemons said.

He noted that six of seven council members were at the meeting, evidence of their concern for the Galaxy plan.

Council has told him, Johnson said, that he needs to come up with a developer to do the project.

Lillie Ruth Wilson said she hasn't ``heard council say this isn't going to happen.''

She urged Johnson to refine his plan as suggested by Gindroz and to form a corporation to improve the chances of funding.

``Ms. Wilson is right on target,'' Councilman Cameron Pitts said. ``If Galaxy is something everybody wants, form a corporation, get stockholders and get money in the bank, become a viable entity.''

That, Pitts said, would get the attention of banks.

Johnson still seemed reluctant to move.

``I wanted a public-private partnership and thought we should wait to form a corporation,'' Johnson said.

However, many people at the meeting seemed to agree with Pitts' comment: ``Don't worry about the past. Let's go forward.''

And the Rev. Ben Beamer, pastor of the church who presided at the session, also urged action.

``After three hours, we should have some answers,'' Beamer said. ``It's all fine to vent our feelings but we need positive action.''

Still nothing happened.

That is too bad because Galaxy never will be built unless it gets on a forward track. by CNB