Mayor Charlie Luken's plan for a quick economic fix centers on moving the job of downtown development out of City Hall and into the hands of the port authority.

        Mr. Luken said Wednesday that he would scrap the embattled economic development department and expand the Port of Greater Cincinnati Development Authority's role to include downtown development.

        The rest of the economic development department's duties would be absorbed by the neighborhood services.

        Developers and civic leaders said Mr. Luken's idea could be an important step in slicing through the city's slow-moving bureaucracy. Yet others questioned how much it would cost to beef up the port authority and whether the city would lose influence over important developments.

        “I think anything that changes the current economic development department's mode of operation is a positive change,” said Ken Schuermann of Duke Realty Corp., Greater Cincinnati's largest developer. “We need some positive momentum in Cincinnati.”

        Mr. Luken offered few details about his plan and left for vacation shortly after announcing it. Last month, he said economic development would be the top priority of his administration's first 100 days to “get some wins” and prove Cincinnati is a “comeback city.”

        His first target is economic development, the department in charge of recruiting and retaining businesses and helping build the city's tax base.

        A recent audit found widespread administrative and management problems. The department had incomplete contracts and records and lacked a strategy to evaluate whether projects are worthwhile.

        The mayor's proposal comes at a time when downtown merchants are thirsty for good news.

        Downtown hotels, restaurants and retailers have struggled this year because of a slowing economy, April's riots and the Sept. 11 terrorist attacks.

        Upscale retailer Saks Fifth Avenue has threatened to close its downtown store if the city doesn't kick in $6.6 million for a remodeling. And plans for a $325 million convention center expansion have stalled, prompting officials to consider a smaller version.

        Some say Mr. Luken's message is an important sign that he's ready to embrace the role of strong mayor.

        “I think it's exciting that he's coming out swinging,” said Marge Hammelrath, director of the Over-the-Rhine Foundation. “We wanted a strong mayor, and that's what he has to do.”

        The port authority would embrace a more prominent role if directed by the city and Hamilton County, chairman Jack Rouse said. The port's board is composed of 18 members appointed by the city and the county.

        The port recently hired a full-time director, Tim Sharp. Mr. Sharp manages a $700,000 operating budget and is searching to fill three positions.

        Mr. Luken said he understood that shifting the city's economic development functions would be controversial on a mostly Democratic City Council. But he said City Council must understand that it will keep ultimate authority for signing off on city projects.

        Mr. Luken said using the “talent pool and resources” of the Port Authority will result in “better decisions” about development.

        Mr. Luken said Downtown Cincinnati Inc. also will play a critical role.

        “DCI is going to have to put up some money,” Mr. Luken said.

        DCI Chief Executive Officer Rick Greiwe said Mr. Luken has “broad-based support” to reform the city's development efforts.

        “The port authority is certainly a model for doing that,” Mr. Greiwe said. “However, we'll have to look at a broad set of financial tools to accomplish an aggressive agenda, including a TIF (tax increment financing) district and other more aggressive bonding tools.”

        Indeed, port authorities or other private development arms are a common tool used to revitalize downtowns nationwide, according to Michael Beyard, a senior resident fellow for Washington, D.C.-based Urban Land Institute.

        Such entities are most effective when they have the power to seize private land , Mr. Beyard said. City Council refused to grant the port eminent domain powers when it voted last year to give the port jurisdiction of the riverfront.

        “Having an entity that is responsible for the waterfront as well as the entire downtown area is not a bad idea in theory,” Mr. Beyard said. “It is desirable to have coordinated development.”

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