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Meeting Minutes
Corpus Christi Business and Job Development Corporation
Monday,May 16,2016 4:00 PM City Council Chambers
A. President Bryan Gulley to call the meeting to order.
President Gulley called the meeting to order at 4:08 p.m.
B. Call Roll
President Gulley verified that a quorum of the Board was present to conduct
the meeting.
(Note:Mr.Guerra arrived at 4:11 p.m.)
Present: 5- President R. Bryan Gulley,Vice-President Debbie Lindsey-Opel, Secretary
Gabriel Guerra, Bart Braselton and Randy Maldonado
C. MINUTES
1. Approval of the Minutes of the April 18, 2016 Meeting.
President Gulley called for approval of the minutes.Ms.Opel made a motion to
approve the minutes,seconded by Mr.Braselton and passed unanimously.
E. CLOSED SESSION ITEMS: (NONE)
F. AGENDA ITEMS: (ITEM 9)
9. Seawall Fund -McGee Beach Dredging Contract
Motion recommending approval of an engineering contract with HDR
Engineering, Inc. in the amount of$28,651 to provide a feasibility
assessment for dredging the southern portion of the downtown marina
to improve boat access to the new'R" Pier south of the Cooper's Alley
L-Head with the possibility of beneficial placement of dredged material
on McGee Beach.
President Gulley deviated from the agenda and referred to Item 9.Director of
Engineering Services Jeff Edmonds stated that the purpose of this item is to
approve the authorization of Type A funds for an engineering contract with
HDR Engineering,Inc.to provide a feasibility assessment for dredging at
McGee Beach.
Board members spoke regarding the following topics:the previous dredging at
McGee Beach;a copy of the data from the previous assessment;the location
of the dredge and quality of the material;permit from the Corps of Engineers;
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geotechnical sampling;cost for the project;what was done with the sand after
the last dredging;the urgency for the project;whether there will be additional
costs for analytical testing;the location of the previous dredging;whether the
contract has already been approved;the scope of the project;the sand
presently sitting by the marina and breakwater;and tabling the item until the
next meeting.
Mr.Braselton made a motion to table Item 9,seconded by Mr.Guerra and
passed unanimously.
G. PRESENTATION ITEMS: (ITEM 101
10. Engineering Services Update -May 2016
President Gulley deviated from the agenda and referred to Item 10.Director of
Engineering Services Jeff Edmonds presented the Engineering Services
monthly project update.
Board members spoke regarding the following topics:the breakwater safety
improvements;the installation of a new breakwater walkway;whether there is
a need to install a fishing pier and other amenities;and the status of the Salt
Flats Levee System.
D. FINANCIAL REPORT
2. Financial Report as of March 31, 2016.
President Gulley referred to Item 2.Director of Financial Services Constance
Sanchez presented the sales tax collections;cash flow statements;the
commitment reports;the pro forma for the economic development fund;and
the since inception reports.
Board members spoke regarding the following topics:the annual
administrative service charges; leveraging the affordable housing funds;the
increased budget in FY2014-2015;the pro forma report;the payment of the
insurance and maintenance for the baseball stadium at the end of the sales
tax;and the amount of revenue the City receives from Whataburger Field.
AGENDA ITEMS: (ITEMS 3-8)
3. Affordable Housing -Corpus Christi Housing Authority's La
Armada II
Motion to approve the expenditure of$150,000 from the "Available for
Projects" line item and transfer the$150,000 to the"CC Housing
Authority La Armada II" line item.
President Gulley referred to Item 3.Director of Housing and Community
Development Rudy Bentancourt stated that the purpose of this item is to
approve the expenditure of$150,000 to the Corpus Christi Housing Authority
for the rehabilitation of La Armada II.Gary Allsup,CEO and President of the
Corpus Christi Housing Authority,provided a brief update of the project,the
project timeline;photos of the revitalization;funding sources,and an updated
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cost summary.
Board members spoke regarding the following topics:the major factors
contributing to the increase in costs;rehabilitation of the units;the waiting list
for housing;and the kickoff date for construction.
Mr.Braselton made a motion to approve Item 3,seconded by Ms.Opel and
passed unanimously.
4. Arena Fund -HVAC Emergency Expenditure
Motion approving and authorizing an emergency expenditure in the
amount of$70,000 from the 1130 Arena Facility Fund for repairs to the
HVAC system at the Arena.
President Gulley referred to Item 4.John Meyer,Director of Convention Center
Operations at the American Bank Center,stated that the purpose of this item is
to an emergency expenditure to repair the Arena's HVAC system.Mr.Meyer
provided a brief background of the Arena's chiller system.Board members
spoke regarding the following topics:the cost for a new chiller and the savings
to repair the chiller.
Ms.Opel made a motion to approve Item 4,seconded by Mr.Guerra and
passed unanimously.
5. Board Recommendation -Sales Tax Authorization Allocation
Discussion and possible action regarding Economic Development
Sales Tax Authorization Allocation.
President Gulley referred to Item 5.Executive Director Margie C.Rose stated
that the purpose of this item is to provide a presentation on the Economic
Development Sales Tax authorization with discussion and possible action.
Executive Director Rose stated that during the March 22,2016 City Council
Retreat,Council requested that staff ask the Type A Board for their
recommendation on allocation of funds before the ballot language is drafted.
Executive Director Rose provided the following information:a background of
the 1/8 cent dedicated sales tax;the differences between Type A,Type B,or
General Revenue Tax; and a 3-year snapshot of expenditures made.
lain Vasey,President/CEO of the Corpus Christi Regional Economic
Development Corporation(EDC)stated that the EDC board passed a resolution
on April 14,2016 supporting the following positions:1)Minimum of 50%of the
total funds for Economic Development;2)Up to$500,000 to affordable
housing programs;3)Balance of funds to arterial/collector streets;and 4)The
EDC supports the continuance of the sales tax for 20 years,maintaining a
review/recommendation panel,supports a Type B structure,and appropriate
protection mechanisms to ensure funds for economic development are
maintained.
Board members spoke regarding the following topics:the comparison between
the General Revenue and Type B; whether the ordinance establishing a
contract with the voters on specific uses for a general revenue sales tax could
be amended;concerns with the General Revenue sales tax;keeping the
affordable housing component;consideration for the Type B sales tax;funding
for residential streets;a fixed amount for residential streets in the amount of$3
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million;recommendation to keep the same board for Type A and Type B;the
Chamber of Commerce's position in-line with the EDC;whether affordable
housing could be redefined by ordinance;use of the federal definition of
affordable housing for Type A and Type B;
Mr.Guerra announced that he would be abstaining from the discussion and
vote on this item.
President Gulley made a motion to recommend the following:to support the
Type B structure;set a fixed amount of$3 million for city streets;set a fixed
amount of$500,000 for affordable housing;and the remainder of the funds
dedicated to economic development,seconded by Ms.Opel and passed
unanimously(Guerra-abstained).There was a brief discussion regarding the
same board for both the Type A and Type B.City Secretary Huerta stated that
Council Policy prohibits individuals from serving on two boards,and would
research and provide an opinion on whether there would be a conflict.
6. Affordable Housing -Reimbursement of HCD Staff Expenditures
Motion allocating and transferring $31,993.89 in Fund 1140 Economic
Development Fund from the Affordable Housing's"Available for
Projects" balance on the Contracts and Commitment monthly report to
the Affordable Housing's "City of Corpus Christi- Reimbursement"
balance to reimburse staff time from the Housing and Community
Development Department for Type A activities performed during the
last quarter of FY14-15 in the amount of$10,345.97 and the first
quarter of FY15-16 in the amount of$10,549.63, and the second
quarter of FY 15-16 in the amount of$11,098.29.
President Gulley referred to Item 6.Director of Housing and Community
Development Rudy Bentancourt stated that the purpose of this item is to
allocate and transfer$20,895.60 to reimburse staff time spent on Type A
activities from July 1,2015 to December 31,2015.
Board members spoke regarding the following topics:whether additional staff
was hired to administer the program;whether there would be a reduction in
staff if the program did not exist;5%of the available funding for affordable
housing spent on administration;the amount of funds allocated since
inception;additional information and background justifying the need for
additional funding;the funding necessary to administer Type A activities;and
the number of loans processed and costs.
Mr.Guerra made a motion to table Item 6,seconded by Mr.Braselton and
passed unanimously.
7. Affordable Housing -Homebuyer Assistance Program Guidelines
Discussion and possible action to adopt the Affordable Housing
Program's Homebuyer Assistance Program Guidelines.
President Gulley referred to Item 7.Director of Housing and Community
Development Rudy Bentancourt stated that the purpose of this item is to
formally adopt the Homebuyer Assistance Program Guidelines.The Type A
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Board last approved the guidelines on October 20,2014.These guidelines were
for the Existing Housing Inventory Guidelines and the New Construction
Program Guidelines.In 2015,Housing and Community Development combined
both sets of guidelines into one.The Type A Board was provided with the
Homebuyer Assistance Program Guidelines,the Existing Housing Inventory
Guidelines,the Builder's New Construction Guidelines and the Homebuyer
Assistance Program Guidelines with Legislative changes which include all
three of the previous guidelines.Mr.Bentancourt provided an overview of the
Homebuyer Assistance Program Guidelines Legislative Changes.
Board members spoke regarding the following topics:putting a placeholder in
Section II for the purchase price of the home which changes from year to year;
clarification on Section IV.Homebuyer Eligibility regarding HCD requirements
for future income;whether HOME funds can be separated from Type A funds;
the requirement for paycheck stubs for last 6 months;whether Type A funds
can be used for closing costs;and utilization of the program.
No action was taken on this item.
8. Affordable Housing -FY 16 Homebuyer Assistance Program
Agreement
Motion allocating and transferring $25,000 in Fund 1140 Economic
Development Fund from the Affordable Housing's"Available for
Projects" balance on the Contracts and Commitment monthly report to
the Affordable Housing's "City of Corpus Christi- Reimbursement"
balance in the amount of$25,000 to reimburse the City for staff time in
implementing the Program; and authorizing the president to execute
an affordable housing services agreement with the City's Housing and
Community Development Department.
President Gulley referred to Item 8.Director of Housing and Community
Development Rudy Bentancourt stated that the purpose of this item is to
allocate and transfer$200,000 from the Affordable Housing's"Available for
Projects"balance to the Homebuyer Assistance Program;allocate and transfer
$50,000 from the"Available for Projects"to the"City of Corpus Christi-
Reimbursement"for staff time in implementing the Homebuyer Assistance
Program;and to authorize the President to execute an affordable housing
services agreement with the City's Housing and Community Development
(HCD)Program.This funding will assist 20 potential homebuyers at$10,000
each for down payment assistance.
Board members spoke regarding the following topics:the request for an
additional$50,000 for administrative costs;whether the language in the
agreement states that the funds are no longer under the control of the Type A
Board;whether the funds are transferred to HCD Department;granting the
funds to be spent based on the approved guidelines;background on the
administrative costs in a matrix format;whether the funds could be spent for
anything other then the Homebuyer Assistance Program;approval of the
transfer of funds until the new guidelines are approved;changes to the
language in the contract to have HCD administer the funds only;and whether
someone else can administer the funds for less.
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Mr.Braselton made a motion to allocate and transfer$200,000 in Fund 1140
Economic Development Fund from the Affordable Housing's"Available for
Projects"balance on the Contracts and Commitment monthly report to the
Affordable Housing's"Homebuyer Assistance Program"balance in the amount
of$200,000,seconded by Ms.Opel and passed(Guerra and Maldonado-
absent).
PUBLIC COMMENT
President Gulley referred to comments from the public.Garrett Dorsey,14878
Granada,spoke regarding the processing of loan applications and the concept
of"Tiny Homes"for the homeless population.
H. EXECUTIVE DIRECTOR COMMENTS:
None.
J. IDENTIFY FUTURE AGENDA ITEMS
President Gulley referred to Identifying Future Agenda Items.The following
items were identified:the items tabled at today's meeting and the status of the
Miradores maintenance.
K. ADJOURNMENT
The meeting was adjourned at 6:55 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.
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