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HomeMy WebLinkAboutMinutes Corpus Christi Business And Job Development Corporation (Type A) - 06/08/2020 - Special City of Corpus Christi 1201 Leopard Street P Corpus Christ,TX 78401 cctexas.com Meeting Minutes Corpus Christi Business and Job Development Corporation Monday,June 8,2020 2:30 PM City Council Chambers Special Board Meeting The mission of the Business &Job Development(Type A)and B Corporations is to promote and enhance the City of Corpus Christi's economic base by supporting projects and programs that create primary jobs, improve small business and affordable housing opportunities,and improve infrastructure in our City. A. President Scott Harris to call the meeting to order. President Scott Harris called the meeting to order at 2:37 p.m. B. Call Roll and Excuse Absences: City Secretary Rebecca Huerta called the roll and verified that a quorum of the Board was present to conduct the meeting. NOTE: President Scott Harris and Board Members Diana Summers and Lee Trujillo participated by video conference. Present: 7- President Scott Harris, Board Member Leah Pagan Olivani, Secretary Diana Summers,Vice-President Robert Tamez, Board Member Lee Trujillo, Board Member John Valls and Board Member Alan Wilson C. PUBLIC COMMENT President Harris referred to Public Comment.There were no comments from the public. City of Corpus Christ! Pagel S'CA' LED Corpus Christi Business and Job Meeting Minutes June 8,2020 Development Corporation PUBLIC COMMENT -AUDIENCE AND PRESENTER SOCIAL DISTANCING AND PUBLIC TESTIMONY AND PUBLIC HEARING INPUT AT PUBLIC MEETINGS OF THIS BOARD/COMMISSION/COMMITTEE(Board). To reduce the chance of COVID-19 transmission, public meetings will be held in a manner intended to separate, to the maximum practical extent, audience and presenters from personal contact with members of Community, City Staff, and Boards. This meeting will be broadcast at cctexas.com/serviceslcouncil meeting-agendas-minutes-video. Public testimony and public hearing input for Public Comment and all items on the agenda at public meetings of the Boards should be provided in writing, in the form of an e-mail or by using the PUBLIC COMMENT/INPUT FORM located on the City Secretary's webpage (PREFERRED METHOD) and shall be e-mailed to NormaD2@cctexas.com no later than five minutes after the start of each meeting of the Board meetings. Testimony and/or public input shall be in accordance with the City Secretary's instructions, which shall be posted on the City Secretary Office's door and on the City website, and allow for electronic submission. The written public testimony shall be provided to members of the Boards prior to voting on measures for that meeting.Written testimony shall be limited in accordance with the City Secretary's requirements and shall be placed into the record of each meeting. This testimony shall serve as the required public testimony pursuant to Texas Government Code 551.007 and shall constitute a public hearing for purposes of any public hearing requirement under law. The meeting may be held telephonically or via videoconference. The public may participate remotely by following the instructions of the City Secretary at cctexas.com/departments/city-secretary D. CLOSED SESSION ITEMS: (None) E. AGENDA ITEMS: (ITEMS 1-31 1. 20-0595 Resolution authorizing an agreement between the Corpus Christi Business and Job Development Corporation Board and the City of Corpus Christi in the amount of$500,000.00 for Street Preventative Maintenance Program repairs to the City portion of Cooper's Alley from Tancahua to Shoreline Boulevard and Staples Street from South Padre Island Drive to Gollihar Road, for promotion and development of new and expanded business enterprises and the creation of a small business incentive program by the City for creation of jobs and business development; appropriating funds in the amount of$500,000.00 from the Business and Job Development Corporation Economic Development Fund; and amending the budget. President Harris referred to item 1.Chief Financial Officer Constance Sanchez said the purpose of this item was to present three action items to assist the small businesses during the COVID-19 pandemic. City of Corpus Christi Page 2 Printed on 7/2012020 Corpus Christi Business and Job Meeting Minutes June 8,2020 Development Corporation Ms.Sanchez said the City of Corpus Christi is proposing three COVID-19 small business recovery programs: 1)LiftFund,2)grants for local non profits administered by the United Way of the Coastal Bend and 3)grants for City utilities assistance administered by the United Corpus Christi Chamber of Commerce. Each program will receive$500,000.All three programs are structured as the first two tranches of the LiftFund.The Type A Board will enter into an agreement with the City of Corpus Christi to transfer funds into the City's street maintenance fund for arterial and collector street work for the promotion and development of new and expanded business enterprise and in return the City's general fund will utilize the same amount of funds to promote economic incentives for small businesses impacted by COVID-19.The board previously took two actions,the first transfer of$2 million to the City street maintenance fund and the second transfer of$2.5 million.However,the City Council lowered the amount to$1 million, leaving$1.5 million of identified funds that remain to be transferred.The sum of the three actions on today's agenda items will transfer the$1.5 million to the City's street maintenance fund.Ms.Sanchez identified the streets and the expected time construction will begin. Ms.Sanchez presented the three items for the small business recovery programs.Item#1 is in relation to phase 3 for the LiftFund small business recovery program.The first tranche of$2 million has been expended and the second tranche is expected to be expended in the next couple of days.The third tranche will add another$500,000 to the LiftFund Small Business ------- Recovery Program($412,000 for loans and$88,000 for service fees).City Council will consider the program at the June 9,2020 City Council meeting if the program is approved. Ms.Sanchez stated the first tranche of$1.7 million will be repaid to the City's Dream Maker Fund which is administered by the LiftFund.The other two tranches will be repaid to the City,who in turn will reimburse the Type A Economic Development Fund,and will begin in three years. Ms.Sanchez presented item 2 and stated it is structured the same way as the LiftFund.Staff is recommending$500,000 be transferred to the City street maintenance fund.In return,the City is proposing in item#2 to provide assistance for local non profits impacted by COVID-19,specifically those with an annual budget less than$5 million that provide assistance for health and human services,educational services, business support or job training within the city limits.Approved applications could receive grants up to$20,000 to pay for operational costs including but not limited to payroll,mortgage,rent, utilities and insurance.The City is considering partnering with the United Way of the Coastal Bend to administer the program.The item will be presented to the City Council on June 16, 2020 if it's approved. Ms.Sanchez presented item 3.She said it is an agreement with the Type A Corporation and the City of Corpus Christi to transfer$500,000 to the street maintenance fund. In return,the City is considering a small business regional pandemic recovery grant to provide assistance to local businesses impacted by the COVID-19 pandemic by crediting the city utilities account with$500.The City is considering partnering with the United Chamber of Commerce to administer the program.The item will be presented to the City Council on June Cay of Corpus Ovine Page 3 Printed an 7/102020 Corpus Christi Business and Job Meeting Minutes June 8,2020 Development Corporation 16, 2020 if it's approved by the board. Board Members and Ms.Sanchez discussed the following items related to item 1: LiftFund small business loan will be amortized;program service fees are for processing the paperwork and loan repayments; Uft Fund was not able to lower their service fee and repairs to Mesquite street had been changed to Cooper's Alley. Mr.Valls made a motion to approve item 1,seconded by Mr.Tamez and passed unanimously. 2. 20-0658 Resolution authorizing an agreement between the Corpus Christi Business and Job Development Corporation and the City of Corpus Christi in an amount of$500,000 for Street Preventative Maintenance Program repairs to Cooper's Alley from Tancahua to Shoreline Boulevard and Staples Street from South Padre Island Drive to Gollihar Road for promotion and development of new and expanded business enterprises and for the creation of a nonprofit recovery program by the City that will assist qualifying nonprofit organizations in the city during the COVID-19 pandemic; appropriating funds in the amount of$500,000 from the Business and Job Development Fund; and amending the budget. President Harris referred to item 2.Chief Financial Officer Constance Sanchez stated item 2 was presented with item 1 and there is no additional presentation. Board Members and Ms.Sanchez discussed the following items:United Way is in support of this item;whether some of the funds should be used for education; non-profits possibly already receiving other assistance and 501c3, 501c6 non-profits can apply for the loan. Mr.Valls made a motion to approve Item 2,seconded by Mr.Wilson.The motion passed with the following vote: Harris,Trujillo,Valls,Summers,Wilson and Tamez,voting"Aye";Olivarri voting"No'. 3. 20-0686 Resolution authorizing an agreement between the Corpus Christi Business and Job Development Corporation and the City of Corpus Christi in an amount of$500,000 for Street Preventative Maintenance Program repairs to Cooper's Alley from Tancahua to Shoreline Boulevard and Staples from South Padre Island Drive to Gollihar for promotion and development of new and expanded business enterprises and for the creation of a utility assistance fund by the City that will assist qualifying commercial businesses in the city during the Covid-19 pandemic; appropriating funds in the amount of$500,000 from the Business and Job Development Fund; and amending the budget. President Harris referred to item 2.Chief Financial Officer Constance Sanchez stated item 3 was presented with item 1 and there is no additional presentation. Cay of Corpus Christi Page 4 Printed on 7/202020 Corpus Christi Business and Job Meeting Minutes June 8,2020 Development Corporation Board Members and Ms.Sanchez discussed the following items: Port of Corpus Christi is proposing a$250,000 cash incentive in$500.00 increments;United Chamber of Commerce will charge a 5%administrative fee;the program is only for businesses in Corpus Christi; utility program is for current and past due accounts; monthly utility bill is less than$500.00,the remainder will roll over to the next month;and the requirements for the grant. Board Members discussed revising the agreement to state up to$500,000& $500.00 for the program. Mr.Valls made a motion to amend item 3 as following:An amount up to $500,000 for the program funding and up to$500.00 for the small business utility credit;the United Chamber of Commerce will have six months from the date City Council approves the program to exhaust the funds or the balance will be returned to the Type A Board; businesses can use the funds to pay for past due and current utility accounts;seconded by Mr.Tamez and passed unanimously. Mr.Valls made a motion to approve the resolution as amended,seconded by Mr.Wilson and passed unanimously. F. PRESENTATION ITEMS: G. EXECUTIVE DIRECTOR COMMENTS: President Harris referred to the Executive Director comments.City Manager Peter Zanoni stated the next meeting is scheduled for Monday,June 15,2020 with a closed session and staff will present the budget H. IDENTIFY FUTURE AGENDA ITEMS President Hams referred to the Future Agenda Items.City Manager Peter Zanoni identified the following future agenda items: recognition for the Type A Board for the contributions to the American Bank Center and Small Business Recovery Program. ADJOURNMENT There being no further business, President Harris adjourned the meeting at 3:35 p.m. 'Regardless of the agenda heeding under which any item is listed.any word or phrase of any item listed on this agenda shall be considered a subject for consideratmn 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 restnctive.and property and amounts may be changed in the mations.actions or documents.In addition to other items listed in this agenda.policies and procedures of 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 iscussion to this meeting. This agenda has been reviewed and approved by the attorney for the governing body and the presence of any subject or descnption in the Executive Session portion of 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 descnptron thereof may be legally discussed in a closed meeting. City of Corpus Christi Page 5 Printed on 7/20/2010 Corpus Christi Business and Job Meeting Minutes June 8,2020 Development Corporation This meeting may be held via v,deoconference calf pursuant to Texas Government Code§551.127 It meeting is held via videoconference call or other remote method of meeting,then a member of this governmental body presiding over this meeting will be physically present at the location of this meeting unless this meeting is held pursuant to Texas Government Code§551 125 due to an emergency or other public necessity pursuant to Texas Government Code§551 045. Clay of Corpus Christi Page 6 Printed on 7/20/2020