HomeMy WebLinkAboutMinutes Corpus Christi Business And Job Development Corporation (Type A) - 06/20/2016 1201 Leopard Street
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Meeting Minutes
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Corpus Christi Business and Job Development Corporation
Monday,June 20,2016 4:00 PM City Council Chambers
A. President Bryan Gulley to call the meeting to order.
President Gulley called the meeting to order at 4:02 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 4:14 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 May 16, 2016 Meeting.
President Gulley referred to approval of the minutes.Ms.Opel made a motion
to approve the minutes,seconded by Mr.Maldonado and passed unanimously
(Guerra-absent).
G. PRESENTATION ITEMS:
10. Economic Development Request-Texas A&M University -Corpus
Christi Engineering Programs
President Gulley deviated from the agenda and referred to Item 10.lain Vasey,
CEO/President of the Corpus Christi Regional Economic Development
Corporation(EDC),stated that the purpose of this item is to provide a
presentation from Texas A&M University-Corpus Christi on the University's
plan to expand the engineering program by adding two new engineering
programs,Civil and Industrial engineering,and request Type A funds.Dr.Trent
Hill,Vice President at Texas A&M University-Corpus Christi,presented the
following information:a summary of the request for$2 million in matching
funds;the overall budget;the need for engineering graduates; projected jobs
for 2016-2020;progression plan for engineering at TAMU-CC; impacts;and the
return on investment.
Board members spoke regarding the following topics:the timeline for the
program;the matching funds;other funding sources in the community;and
the recommendation from the EDC.
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D. FINANCIAL REPORT
2. Financial Report as of April 30, 2016.
President Gulley referred to Item 2.Assistant Director of Financial Services
Alma Casas presented sales tax collections;cash flow statements;the
commitment reports;and the pro forma for the economic development fund.
E. CLOSED SESSION ITEMS:
President Gulley referred to the day's executive session.The Board went into
executive session.
3. Executive session pursuant to Texas Government Code§551.071
and Texas Disciplinary Rules of Professional Conduct Rule 1.05 to
consult with attorneys concerning legal issues related to potential
economic development agreement(s)with Sitel Operating Corporation
for a commercial development at 330 Opportunity Drive and pursuant
to Texas Government Code § 551.087 to discuss or deliberate
regarding commercial or financial information relating to some or all of
the aforementioned matter(s) or entities that the governmental body
seeks to have locate, stay, or expand in or near the territory of the
governmental body and with which the governmental body is
conducting economic development negotiations and/or financial or
other incentives involving said business prospect, and possible action
related to the aforementioned matters in open session.
The Board returned from executive session and after a brief discussion,the
following motion was considered:
Motion to approve an agreement with Sitel Operating Corporation for a grant
not to exceed$500,000 over five years at a rate of$1,000 per job created and
retained and appropriating$500,000 from the unreserved fund balance in the
number 1140 economic development fund and changing the FY16 operating
budget accordingly.
Ms.Opel made a motion to approve the motion,seconded by Mr.Braselton and
passed unanimously.
F. AGENDA ITEMS:
4. 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.
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President Gulley referred to Item 4.Director of Housing and Community
Development Rudy Bentancourt stated that the purpose of this item is to
allocate and transfer$31,993.89 to reimburse staff time spent on the
Homebuyer Assistance Program.This amount covers a three-quarter period
from July 1,2015 to March 31,2016. Mr.Bentancourt provided a breakdown of
the staff time by quarter and a description of staff positions working on the
program.Program Manager Kelly Fry responded to board member questions.
Board members spoke regarding the following topics:an explanation on the
measures including intakes,applied committed and funded;the employee
hours spent on the program; how the department would be impacted if the
program was not available;the number of individuals funded last year;the
length of time to go through the approval process;what attributes to the low
success rate;challenges in the program;the administrative charges of 8%;
reimbursement for the program since inception;the number of intakes versus
the number funded;the gap percentages;the use of timesheets;consideration
to approve the reimbursement to remain in compliance with HUD;review of the
process and identify ways to bring overhead costs down.
Ms.Opel made a motion to approve Item 4,seconded by Mr.Braselton and
passed unanimously.
5. 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 5.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
Board last approved the guidelines in 2014.The Board reviewed the guidelines
at their May 16,2016 meeting and based on those discussions,staff has
reduced the requirement for paycheck stubs from 6 months to 3 months.
Board members spoke regarding the following topics:whether future income
is a HUD requirement and the formula used;how"first come,first served"is
defined;the title commitment requirement;the state law requirement to follow
HUD guidelines for income requirements and cost of the home;whether the
program can be altered or changed;whether the documents required for the
program are a requirement by HUD;and creation of a task force to review the
guidelines and provide clarification to reduce requirements.
Mr.Braselton made a motion to approve the guidelines as presented,
seconded by Mr.Maldonado and passed unanimously.
6. 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
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Community Development Department.
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$25,000 to reimburse staff for implementing the
Homebuyer Assistance Program and authorizing the President to execute an
affordable housing services agreement with the Housing and Community
Development Department.With the approved funds,staff is proposing to assist
20 homebuyers with$10,000 in down payment assistance.The agreement is for
a term of six months from April 1,2016 to September 30,2016.
Board members spoke regarding the continued use of the approved guidelines
and reimbursing staff services on a month-to-month basis up to$3,500 per
month.
Mr.Braselton made a motion allocating and transferring$21,000 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$21,000 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,seconded by Ms.Opel and passed unanimously.
7. 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 referred to Item 7.Director of Engineering Services Jeff
Edmonds stated that the purpose of this item is to approve 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 and the possibility of beneficial placement of
dredged material on McGee Beach.Project Managers Shane Torno and Brian
Bresler and Marina Superintendent Peter Davidson were available to respond
to questions.
Board members asked questions regarding the following topics:the
background on the previous study performed in 2003;data on the number of
cubic yards and sand placement on the beach;the quality of the sand;the
maintenance permit with the Army Corps of Engineers;whether there is bad
sediment from the outfall in the basin;additional costs based on the results of
the assessment;the ability to receive a CEPRA grant for McGee Beach;and
whether the scope includes the area where the current Seawall restaurant is
located.
Mr.Braselton made a motion to approve Item 7,seconded by Ms.Opel and
passed unanimously(Guerra-absent).
8. Seawall Fund -FY 2017 Capital Improvement Program
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Motion to approve the Fiscal Year 2017 Seawall Capital Improvement
Program Budget and recommend City Council approval and
appropriation of funds.
President Gulley referred to Item 8.Director of Engineering Services Jeff
Edmonds stated that the purpose of this item is to approve the FY2017 Seawall
Capital Improvement Program(CIP)Budget Mr.Edmonds provided a brief
overview of the projects identified for the Seawall and Flood Protection System
Maintenance Budget Mr.Edmonds said the projects are listed in order of
priority to restore or enhance the seawall.
Board members spoke regarding the following topics:the funding of$3.4
million in Year 1 (FY16-17);the transfer from the seawall fund to City's CIP
fund;the recurring seawall maintenance plan;and an explanation of the
projects.
Ms.Opel made a motion to approve Item 8,seconded by Mr.Guerra and
passed unanimously.
9. FY 2017 Operating Budget
Motion to approve the Corporation's Fiscal Year 2016-2017 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 Gulley referred to Item 9.Director of Financial Services Constance
Sanchez stated that the purpose of this item is to approve the FY2016-2016
operating budget for each of the Type A funds.Ms.Sanchez provided an
overview of the seawall,arena and business/job development funds and the
debt service funds for the seawall,arena and baseball stadium.
Board members spoke regarding the following topics:a breakdown of the
increase for IT allocation in the arena facility fund;the decrease in arena
marketing/co-promotions;the future request from SMG for ice skid upgrades;
and continued monitoring of the business and job development commitments.
Ms.Sanchez requested that the operating budget be amended in the business
and job development fund to increase expenditures by$500,000 for the action
made today regarding the incentive for Site'.
Mr.Guerra made a motion to approve the operating budget and to amend the
business and job development fund by increasing expenditures by$500,000 in
the reserve for commitments,seconded by Ms.Opel and passed unanimously.
The operating budget was passed as amended.
G. PRESENTATION ITEMS:
11. Affordable Housing -Habitat for Humanity Presentation
President Gulley referred to Item 11.Mr.Braselton announced that he was
abstaining from the discussion on this item.Barbara Sweeney,Executive
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Director for Habitat for Humanity,stated that the purpose of this item is to
request Type A funding in the amount of$102,000 in matching donation funds
to build affordable homes.The funding will be used to build three homes.One
home will be built in the Carver neighborhood and the other two will be
determined in a targeted neighborhood to drive revitalization.Ms.Sweeney
provided a project budget;capacity levels;and the capacity building plan.
Board members spoke regarding the following topics:the total request for
funding;the amount of funding per home;the amount of funds contributed to
Habitat for Humanity over the last year;the ability to spread the funding over
the total five homes that are planned to be built in 2016 and 2017;and an
agreement with Habitat for Humanity to administer the funds.
12. Seawall Fund -McGee Beach Breakwater and Bayshore Park
Presentation
President Gulley referred to Item 12.Shane Torno,Project Manager,stated that
the purpose of this item is to provide an overview of the McGee Beach
Breakwater Improvements Study.Mr.Torno presented the following
information:the breakwater features,current conditions of the concrete pier,
elevated concrete walkway and concrete cap,and repair options.Brian Bresler,
Project Manager provided an overview of the Bayshore Park project including:
a location map and scope overlap,the pier conditions;and options for
consideration.Interim Director of Parks and Recreation Stacie Talbert Anaya
was available to respond to questions.
Board members spoke regarding the following topics:the requirement for ADA
compliance on the elevated concrete walkway;the possibility to do partial
demolition of the elevated concrete walkway;options for a bumper system on
the jetty;demobilization costs;whether there would be additional costs for
phasing or project segmenting;the current lease at the concession;the
condition of the criss-cross ADA ramp; restoring access and connectivity to
the beach;funding from the capital improvement program for Bayshore Park;
the sand at the boat basin and use of the elevated walkways;and the purpose
for the cap on the breakwater.
13. Engineering Services Update -June 2016
President Gulley referred to Item 13.Director of Engineering Services Jeff
Edmonds referred to the engineering services month report that was provided
in the packet.
H. EXECUTIVE DIRECTOR COMMENTS:
None.
I. PUBLIC COMMENT
None.
J. IDENTIFY FUTURE AGENDA ITEMS
President Gulley referred to Identifying Future Agenda Items.The following
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items were identified:the affordable housing guidelines;the action item for
Habitat for Humanity;and a future item regarding the Texas A&M University's
engineering program within the next 60 to 90 days.
K. ADJOURNMENT
The meeting was adjourned at 7:16 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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