JACKSONVILLE, Fla. — Action News Jax is uncovering new questions about how Jacksonville City Council Finance Chair Raul Arias handled a proposed $100,000 crime-prevention grant and why the councilman urged a local nonprofit to hire a company he previously owned.
For weeks, Action News Jax has been examining Arias’ business ties, and now the legislative push behind a grant targeted for El Beth El Divine Holiness Church, located in Hogan’s Creek, outside Arias’ Southside district.
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Now, newly obtained emails and city documents show why concerns raised by some of his colleagues may have been well-founded, but for reasons they appear to have never known.
A grant that sparked skepticism
Like many Jacksonville City Council members, Arias is allotted contingency funds, otherwise known as discretionary funds, to support community needs. But how he attempted to spend those dollars drew immediate scrutiny.
During committee hearings, the $100,000 grant request for El Beth El’s crime-prevention program raised eyebrows, even from Arias’ usual allies.
“This bill gives me heartburn,” Councilman Ron Salem said during an October 2024 finance committee meeting.
The concern? The allocated funds had already been swept into city reserves because Arias had not spent them in time. To free the money again, Arias needed a rare vote, and he got it.
Emails reveal efforts to avoid audit threshold
Internal emails from this past June obtained by Action News Jax’s Ben Becker, show the Council Auditor’s Office informed both Arias’ aide and Pastor Lorenzo Hall of El Beth El that the $100,000 grant would likely face an audit because any grant of that size automatically triggers one.
By July, emails from Arias’ aide show efforts on the councilman’s behalf to adjust the amount: first to $99,500, then to $99,995.
When the Office of General Counsel asked why the amount was changing, no public explanation was provided. Ultimately, the bill was never officially amended.
Grant expert Dr. Sherry Magill, former president of the Jessie Ball duPont Fund, called such changes concerning.
“Is changing the grant amount a red flag? I think so, sure,” Magill told Becker. “It’s fair for the public to ask questions about it.”
A push for upfront payment - and more questions
By August, Arias sought to release the entire $100,000 upfront, instead of through reimbursements - a major exception to city norms.
He claimed the church faced a “curve ball” because of unexpected insurance and documentation hurdles as it worked with children.
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But Councilman Ken Amaro challenged the request:
“I think this is a bad paradigm, not good fiscal accountability.”
The Council Auditor noted in the agenda a concern that advancing the full grant amount could put the City at risk of having to pursue a clawback if El Beth El failed to meet the grant’s terms.
Despite those concerns, the council approved the grant.
Invoices point back to a familiar name: Bold City Media
The “curveball” Arias referred to actually originated earlier in May when the city declined to move forward because El Beth El submitted invoices but no proof of payment, preventing execution of the city contract.
Among the invoices were two totaling $19,500 for website design from Bold City Media.
Action News Jax has previously reported on Arias’ past ownership of Bold City Media. The company currently shares an address with his family’s restaurant, Mambo’s, on Beach Boulevard.
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Pastor Hall provided Action News Jax with a statement saying in part:
“Councilman Raul Arias recommended Bold City Media, which handled our website. City staff later directed consolidating several vendor charges under Bold City Media, dropping the grant below $100,000.”
Hall said he was unaware Arias had previously owned the company and noted the church, as a small nonprofit, could not prepay vendors to provide receipts.
The city disputes part of that account.
In response to Hall’s claim that staff directed the consolidation of expenses under Bold City Media, the city told Action News Jax:
“The Grants Division is not aware of a staff member who would have provided this counsel…”
Arias denies wrongdoing
Arias issued a statement rejecting any suggestion that he did anything wrong.
“I have followed every regulation and reporting requirement which is available to the public. Claiming otherwise is a false narrative created by political opportunists with zero credibility.”
Grant terminated
Ultimately, Arias withdrew the grant after consulting with the Office of General Counsel, which determined the grant “will not proceed.” The $100,000 will now be carried over into the 2025-26 fiscal year, waiting to be claimed by El Beth El when or if it ever provides receipts. There was also an unrelated second grant referenced in an email that is not moving forward.
Magill said the situation raises a broader issue about the City Council’s role in handing out grants.
“We created structures for a reason, and we ought to use them,” she said.
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