Management of the Seminole Employment Economic Development Corporation

The Seminole Employment Economic Development Corporation in Seminole County, Florida, is designed to help low-income communities cope with problems such as chronic unemployment and community deterioration by providing financial and technical assistance to business and social ventures serving them.

Through June 1976, the Corporation received federal grants of about $4.3 million: $3.2 million from the Community Services Administration (CSA), $1.1 million from the Department of Commerce, and $50,000 from the Department of Health, Education, and Welfare. Over $1.50 million from CSA was invested in or loaned to a credit union, a property-holding company, and eight businesses. The corporation and its businesses were providing employment for 67 people, temporary employment for 103 people, and seasonal employment for up to 160 people. Three of the eight businesses were dissolved; none made a profit over an extended period; and only three appeared to be progressing toward profitability. The Corporation's inability to develop profitable businesses included the need for improvements in preparing feasibility studies, estimating business cash requirements, selecting managers,and establishing management information systems. Some corrective actions have been taken.