St. Louis Alderwoman Cara Spencer has resigned from the city’s nonprofit development arm, the St. Louis Development Corporation, citing internal dysfunction and a lack of transparency.
Spencer was appointed to the corporation board, as she chairs the Budget Committee for the city’s Board of Aldermen. She was first elected to the BOA in 2015 and currently represents the 8th Ward.
In a statement shared Monday, Spencer said she decided to step down due to concerns about St. Louis Mayor Tishaura Jones' appointment of Neal Richardson as both CEO and chairman of the development board, claiming that it hinders oversight and creates conflicts of interest.
“In the combined roles of Chair and President and CEO, Mr. Richardson controls both the agenda for board meetings and, more importantly, the flow of information to board members,” Spencer said in a statement. “Furthermore, this dual role prevents concerns from being properly addressed by the Board of Directors.”
She said the fact that the City of St. Louis and SLDC are both represented by the city counselor and are appointed by the mayor, presents inherent conflicts of interest, particularly in contracts and negotiations between the corporation and other organizations. She said it is especially problematic when decisions regarding the best interest of the city made by the development corporation are in question.
Spencer called on Jones to review the city’s relationship with the development group, which uses millions in public funds.
Richardson was appointed as chair of the development board after the board in June 2021 elected him as executive director of SLDC.
Jones called Spencer’s move a political stunt, and officials from her office said the decision to name Richardson to both roles is consistent with how things have always been done. Jones beat Spencer by 4 percentage points in the 2021 mayor’s race, a loss that Spencer called “humbling.” And she is running against Jones for mayor again next spring.
“This most recent political stunt follows a history of absence, abstention, and abdication from the Alderwoman from the 8th Ward,” said Jones. “SLDC leadership will continue to do the hard work of creating equitable growth in St. Louis, even without her there to arrive late to meetings and vote ‘present’ on important issues.”
Board of Aldermen President Megan Green said she’s in the process of finding an alderman to fill the vacancy. The corporation’s bylaws stop short of outlining a process if the budget chair abdicates responsibility, she said.
“Chairwoman Spencer’s resignation from the St. Louis Development Corporation’s Board of Directors comes at a pivotal moment when residents have demanded transparency and accountability from SLDC,” Green said. “... Mayor Jones, SLDC President Neal Richardson, and I will work together to find a way forward that rebuilds trust and ensures the Northside grant program reaches its potential.”
