HomeMy WebLinkAboutMinutes Corpus Christi Business And Job Development Corporation (Type A) - 07/20/2015 Corpus Cor Christi 1201 Leopard Street
p Corpus Christi,Tx 78401
a ( f cctexas.corn
Meeting Minutes
Corpus Christi Business and Job
Development Corporation
Monday,July 20,2015 4:00 PM City Council Chambers
A. President Bart Braselton to call the meeting to order.
President Braselton called the meeting to order at 4:06 p.m.
B. Call Roll
President Braselton verified that a quorum of the Board was present to
conduct the meeting.
Present: 5- Bart Braselton, Gabriel Guerra, R. Bryan Gulley, Chris Hamilton and
Debbie Lindsey-Opel
C. MINUTES
1. Approval of Regular Meeting of June 15, 2015
President Braselton referred to approval of the minutes.Ms.Opel made a
motion to approve the minutes,seconded by Mr.Guerra and passed
unanimously.
D. FINANCIAL REPORT
2. Financial Report as of May 31, 2015.
President Braselton referred to Item 2.Director of Financial Services
Constance Sanchez presented the sales tax report;cash flow statements;the
commitment reports;and the pro forma report for the economic fund.Board
members spoke regarding the following topics:sales tax projections for the
end of the year;the registration payment to Morehead/Dotts/Rybak;the
committed but unpaid affordable housing projects;the balance of the major
business incentive projects;the anticipated date to expend the funds allocated
to M&G Group;the performance requirements to pay out the balance for
Schlitterbahn Waterpark;the small business projects budget;and the
multi-year commitments.
E. CLOSED SESSION ITEMS: (NONE)
F. AGENDA ITEMS: (ITEMS 3 -7)
3. Proposed Short Term Communication Plan
Corpus Christi Page 1 Printed on 9/14/2015
INDEXED
Corpus Christi Business and Job Meeting Minutes July 20,2015
Development Corporation
Discussion with possible action regarding a short term communication
plan.
President Braselton referred to Item 3.Director of Communications Kim
Womack provided business card to the board members for them to use to
promote the Type A fund.Ms.Womack stated that the purpose of this item is
to provide information on the City resources that are available to the Type A
Board to utilize for communication planning.Ms.Womack presented
information on the following communication tools:CCTV;City e-news;banner
displays; news releases;an op-ed piece;the Miradors'events;the stadium and
arena placement;development of a social media calendar;development of a
short promotional video;and the Movies in the Park event.Ms.Womack also
provided a brief update on the website.Board members spoke regarding:
future question and answers feedback and the website changes.Ms.Opel
made a motion to adopt the short term communication plan as presented,
seconded by Mr.Hamilton and passed unanimously.
Enactment No:
4. Homebuyer Assistance Program Funding Guidelines (Tabled on
6/15/15)
Discussion and possible action to propose Homebuyer Assistance
Program Funding Guidelines.
President Braselton referred to Item 4.Director of Housing and Community
Development Eddie Ortega stated that the purpose of this item is to amend the
Homebuyer Assistance Program Guidelines.Staff was directed to provide
options to reduce the amount of funds received to allow assistance to more
qualified homebuyers.Mr.Ortega provided an overview of the staff
recommendations from the May 18,2015 and the recommendations provided
from the meeting with the Coastal Bend Real Estate Coalition(CBREC).Warren
Andrich,CBREC,addressed questions regarding the CBREC's
recommendations.Caren Childers spoke regarding the difference between
down payment assistance and deferrable loans to buy down the purchase
price.
Board members spoke regarding the following topics:clarification on the
recommendations from the CBREC regarding the gap analysis;a guaranteed
30 day pre-qualification/construction inspection period,the maximum down
payment assistance rate from$20,000 to$10,000;staffs ability to guarantee a
30 to 45 day pre-qualification/construction inspection period;other programs
available;whether there are better ways to utilize and leverage the affordable
housing assistance funds;the amount of assistance provided last year;
determining the maximum down payment assistance amount;ways to
pre-qualify applicants;training programs; buy down versus down payment
assistance;the HOME program funds available;the recommendation for
closing costs;and appreciation for the partnership between the CBREC and
staff.
Mr.Guerra made a motion to amend staffs recommendation to provide
assistance to be utilized for down payment assistance not to exceed$10,000,
seconded by Ms.Opel and passed unanimously.(NOTE:Approval of this
motion eliminates the language"3.5%=$5,000"from staffs recommendation
Corpus Christi Page 2 Printed on 9/14/2015
Corpus Christi Business and Job Meeting Minutes July 20,2015
Development Corporation
on Item 2 and the$5,000 on Item 3.)Ms.Opel made a motion to amend staffs
recommendation on Item 3 to remove the language"If HOME funds are
exhausted,Type A Homebuyer Assistance funds will be utilized for closing
cost with a maximum amount of total assistance not to exceed$5,000",
seconded by Dr.Gulley and passed unanimously.Mr.Guerra made a motion to
accept staffs recommendation as amended,seconded Ms.Opel and passed
unanimously.
5. Notice of Funding Availability -Request for Proposal for
FY2015-16 Affordable Housing Project
Discussion with possible action directing Housing and Community
Development(HCD) staff on whether to initiate a Notice of Funding
Availability(NOFA)through a Request for Proposal (RFP)of FY
2015-16 affordable housing projects.
President Braselton referred to Item 5.Director of Housing and Community
Development Eddie Ortega stated that the purpose of this item is to discuss
and receive direction on whether the Type A Board would like staff to initiate a
Notice of Funding Availability(NOFA)through an Request for Proposal(RFP)
for FY2015-2016 affordable housing projects.Mr.Ortega said$500,000 is
allocated for affordable housing opportunities.The Board previously
committed$150,000 to the Corpus Christi Housing Authority and staff will be
coming to the Board with a request for staff reimbursement.Mr.Ortega said
next fiscal year's funding will be approximately$300,000. Board members
spoke regarding the following topics:how directing funding to an RFP process
would impact the previous action taken on Item 4,how the RFP projects would
work;and whether these funds would create an additional inventory of
affordable homes or infill lots.No action was taken.
6. Approving Fiscal Year 2016 Seawall Capital Improvement
Program Budget
Motion to approve the Fiscal Year 2016 Seawall Capital Improvement
Program Budget and recommend City Council approval and
appropriation of funds.
President Braselton referred to Item 6.Director of Capital Programs Jeff
Edmonds stated that the purpose of this item is to approve the FY2016 Seawall
Capital Improvement Program Budget.Mr.Edmonds provided an overview of
the capital projects: projects previously approved by the Type A Board,
projects that are an expansion of a project previously approved by the Type A
Board,and projects related to seawall protection or eligible for use of Type A
funds.Board members spoke regarding the following topics:the previously
approved transfers to the seawall fund;the accumulation of recurring seawall
maintenance funds;the minimal repairs required for the barge dock;whether
$7.95 million is required for FY15-16;the completion of the FEMA study;
whether approval of the seawall capital budget is required to approve the
budget; if staffs recommendation is a conservative estimate; investments that
need to be made that are necessary to improve the seawall;a detailed report
on the$7.7 million for FY14-15;the ability to adjust project funding;the reason
the recurring seawall maintenance funding recommendation doubled;concern
with allocating funding for projects not identified;and funding only the
Corpus Christi Page 3 Printed on 9/14/2015
Corpus Christi Business and Job Meeting Minutes July 20,2015
Development Corporation
projects that are currently committed.There was a consensus of the Board to
have a report on the$7.7 million for FY14-15 and the recommended$7.95
million for FY15-16.No action was taken.
7. Approving Fiscal Year 2016 Operating Budget
Motion to approve the Corporation's Fiscal Year 2015-2016 operating
budget for the Seawall Fund#1120, the Seawall Debt Service Fund
#1121, the Arena Facility Fund#1130, the Arena Facility Debt Service
Fund#1131, the Business/Job Development Fund#1140, and the
Baseball Stadium Debt Service Fund#1141.
President Braselton referred to Item 7.Assistant Director of Management and
Budget Eddie Houlihan presented the FY2015-2016 operating budget for the
seawall,arena,and business/job development funds and debt service funds;
the programs and projects;and a list of the services provided in relation to the
administrative fee.Board members spoke regarding the following topics:the
arena funding for capital projects;the proposed FY2016 funding for small
business projects;a breakdown of the"other"program funding in the
business&job development fund;the allocation for the Corpus Christi
Housing Authority;the buyers assistance allocation proposed for FY2016;the
need for additional details to better understand the budget information;the
breakdown of administrative fee charges; removal of the transfer to seawall
funds in the amount of$7.9 million;and the removal of the administrative fees
until additional information is received.
Mr.Guerra made a motion to amend the FY2016 Operating Budget to decrease
$172,000 for administrative fees and reduce the seawall fund by$7.9 million,
seconded by Dr.Gulley and passed unanimously.
Enactment No:
G. PRESENTATION ITEMS: (ITEMS 8 -11)
8. Update-Facilities & Property Management Sale of Seven Surplus
City Properties
President Braselton referred to Item 8.Director of Facilities&Property
Management Carlos Gonzalez stated that the purpose of this item is to provide
a presentation on the sale of seven city properties.Mr.Gonzalez provided
information on the seven(7)properties'description,location,and zoning.Mr.
Gonzalez said the properties located on 502 18th Street,508 18th Street,and
2034 Mary Street are eligible to be used for affordable,low-income housing.
Board members spoke regarding the following topics:the Anchor Street
property being set aside for the U.S.Navy;acquiring additional lots within the
area of 18th and Marguerite Streets;Council approval of the sale of surplus
properties;the legal process for the Type A Board to acquire properties for
affordable housing;ways to facilitate the construction of affordable housing;
innovative approaches to address affordable housing;the sale of park lands;
and future surplus properties.There was a consensus of the Board to request
that to the City Council set aside the properties located on 502 18th Street,508
18th Street and 2034 Mary Street for the Type A Board to consider the viability
Corpus Christi Page 4 Printed on 9/14/2015
Corpus Christi Business and Job Meeting Minutes July 20,2015
Development Corporation
of these lots for affordable housing.
9. Update -Type A Guidelines
President Braselton referred to Item 9.lain Vasey,Director of the Corpus
Christi Regional Economic Development Corporation,provided an overview of
the drafted changes to the Type A Guidelines.Board members spoke regarding
the following topics:the language from Section 2 that limits the Board's ability
to review all proposals submitted for funding and providing this information in
a report;additional flexibility for the allocation of business incentives;five-year
term restrictions;calculating economic impact only on direct and indirect
revenues;the guiding principle for major employment projects;the designated
authority change from Executive Director to the CCREDC;non-action by the
City Council timeframe;grandfathering existing projects;the Type A Board's
ability to take additional action on non-action by the City Council;an
explanation on penalties;clear definition of primary jobs;and the flexibility to
fund unique projects.
10. Update-Type A Projects
President Braselton referred to Item 10.Mike Culbertson,Corpus Christi
Regional Economic Development Corporation,was available to respond to
questions on the Type A projects.There was no discussion on this item.
11. Update-Capital Programs Monthly Project Report
President Braselton referred to Item 11.Director of Capital Programs Jeff
Edmonds provided the capital programs monthly project report for the Salt
Flats Levee Project/FEMA Mapping,the Barge Dock Project,and the Miradores
Project.Assistant Director of Parks and Recreation Stacie Talbert Anaya
provided a brief update on the McGee Beach Project.Boards members
discussed the following topics: maintenance responsibility for the Miradores
projects;the design for McGee Beach;the owner of the sand in the boat basin
and if the sand can be utilized.
H. EXECUTIVE DIRECTOR COMMENTS:
•City Council Executive Sessions
Executive Director Margie Rose stated that during the last meeting,the Board
requested to have a representative from the Type A Board be present during
future City Council executive session items regarding Type A projects.City
Manager Ron Olson has indicated that would not be a problem.
4. Homebuyer Assistance Program Funding Guidelines (Tabled on
6/15/15)
Discussion and possible action to propose Homebuyer Assistance
Program Funding Guidelines.
City Secretary Huerta requested that the Board return to the discussion on
Item 4,Homebuyer Assistance Program Funding guidelines to provide clarity
on the following guideline:To provide assistance in the amount of 3.5%for
Corpus Christi Page 5 Printed on 9/14/2015
Corpus Christi Business and Job Meeting Minutes July 20,2015
Development Corporation
down payment assistance,plus assistance to buydown the purchase price of a
home,in an amount not to exceed$10,000.Ms.Opel made a motion to
reconsider Item 4,seconded by Mr.Guerra and passed unanimously(Hamiliton
and Gulley were absent).Ms.Opel made a motion to amend the guidelines
approved in Item 4,to provide assistance in the amount of$10,000,in which
3.5%would be used for down payment assistance of the maximum price for
the purchase of an affordable home at$142,850,and any unused balance
remaining could be used for the buydown purchase of the home,seconded by
Mr.Guerra and passed unanimously(Hamilton and Gulley were absent).There
was a consensus of the Board to bring this item back within 90 days.
PUBLIC COMMENT
None.
J. IDENTIFY FUTURE AGENDA ITEMS
President Braselton referred to identifying future agenda items.Executive
Director Rose identified the following items: FY2016 budget and possibly the
Type A guidelines.
K. ADJOURNMENT
The meeting was adjourned at 7:50 p.m.
Regardless of the agenda heading under which any item is listed,any word or phrase of any item listed on this agenda shall be
considered a subject for consideration for purposes of the Texas Open Meetings Act and other relevant laws,and the Board of
Directors may deliberate and vote upon any such subject and resolutions related thereto.Any descriptions of property or
amounts stated in this agenda are descriptive and not restrictive,and property and amounts may be changed in the motions,
actions or documents.In addition to other items listed in this agenda,policies and procedures of this corporation,legal analysis
of any items,policies or procedures,and any items that are currently receiving funding from this corporation may be discussed
and deliberated and these matters are added as subjects of discussion to this meeting. This agenda has been reviewed and
approved by the attorney for the governing body,and the presence of any subject or description in the Executive Session portion
of this agenda constitutes a written interpretation of Chapter 551 of the Texas Local Government Code by the attorney for this
corporation indicating that said subject or description thereof may be legally discussed in a closed meeting.
Corpus Christi Page 6 Printed on 9/14/2015