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HomeMy WebLinkAboutAgenda Packet City Council - 04/07/2020City Council City of Corpus Christi Meeting Agenda - Final 1201 Leopard Street Corpus Christi, TX 78401 cctexas.com Council Chambers9:30 AMTuesday, April 7, 2020 SPECIAL CITY COUNCIL MEETING A.Mayor Joe McComb to call the meeting to order. B.Invocation to be given by Mayor Joe McComb. C.Pledge of Allegiance to the Flag of the United States and to the Texas Flag. D.City Secretary Rebecca L. Huerta to call the roll of the required Charter Officers. E.CITY MANAGER’S COMMENTS / UPDATE ON CITY OPERATIONS: a.GOVERNMENT ACTIONS RELATED TO CORONA VIRUS F.PUBLIC COMMENT - AUDIENCE AND PRESENTER SOCIAL DISTANCING AND PUBLIC TESTIMONY AND PUBLIC HEARING INPUT AT PUBLIC MEETINGS OF THE CITY COUNCIL. 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 City Council. This meeting will be broadcast at cctexas.com/services/council meeting-agendas-minutes-video. Public testimony and public hearing input for Public Comment and all items on the agenda at public meetings of the City Council should be provided in written format and presented to the City Secretary and/or designee no later than five minutes after the start of each meeting of the City Council. Testimony and/or public input shall be in accordance with the City Secretary’s instructions, which shall be posted on the City Secretary’s door and on the City website, and allow for electronic submission. The written public testimony shall be provided to members of City Council prior to voting on measures for that meeting. Written testimony shall be limited in accordance with the City Secretary 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. Page 1 City of Corpus Christi Printed on 4/6/2020 April 7, 2020City Council Meeting Agenda - Final G.REGULAR AGENDA: 1.20-0472 Ordinance Approving and Extending Orders issued pursuant to the Coronavirus Disaster Declaration; providing for penalties; and declaring an emergency. 2.20-0475 Ordinance approving a $2,000,000.00 agreement between the City of Corpus Christi and the Corpus Christi Business and Job Development Corporation for Type A funding for maintenance of arterial and collector streets within the City; approving a Chapter 380 agreement in an amount not to exceed $2,000,000.00 with LiftFund, Inc. for a small business recovery program; appropriating $2,000,000.00 from the unreserved fund balance of the Business and Job Development Fund for use on the arterial and collector street improvements; amending the operating and capital budget; and declaring an emergency. Sponsors:Corpus Christi Regional Economic Development Corporation H.ADJOURNMENT Page 2 City of Corpus Christi Printed on 4/6/2020 C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@280DDC0A\@BCL@280DDC0A.docx DATE: April 7, 2020 TO: Peter Zanoni, City Manager FROM: Miles Risley, City Attorney MilesR@cctexas.com (361) 826-3873 CAPTION: Ordinance approving and extending orders issued pursuant to the Coronavirus Disaster Declaration; providing for Penalties; and declaring an emergency SUMMARY: Texas Local Gov’t Code 418.108 requires the City Council to consent to the continuation of a local state of disaster declared by the Mayor for a period in excess of 7 days. This impliedly requires such extension of orders issued pursuant to said disaster. BACKGROUND AND FINDINGS: This provision will extend the following orders to April 30th:  Second Amended Order regarding Public and Private Gatherings  First Amended Order to Stay at Home  Order to Report COVID-19 Changes to the First Amended Order to Stay at Home are shown in blue. They incorporate the Governor’s guarantee of the rights to engage in church services and hunt. They also clarify the penalty provision to specify that first offenses are merely Class C offenses. ALTERNATIVES: To not extend the orders. FISCAL IMPACT: None. RECOMMENDATION: To extend the orders. LIST OF SUPPORTING DOCUMENTS: Ordinance Ordinance approving and extending orders issued pursuant to the Coronavirus Disaster Declaration; providing for penalties; and declaring an emergency AGENDA MEMORANDUM Action Item for the City Council Meeting April 7, 2020 C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx Ordinance Approving and Extending Orders issued pursuant to the Coronavirus Disaster Declaration; providing for penalties; and declaring an emergency WHEREAS, in March 2020, a respiratory disease caused by a novel coronavirus was detected in Wuhan City, Hubei Province, China. The virus has been named "SARS-CoV-2" and the disease it causes has been named "coronavirus disease 2019" ("COVID-19"). Symptoms of COVID-19 include fever, cough, and shortness of breath. Outcomes have ranged from mild to severe illness, and in some cases death; and WHEREAS, on January 30, 2020, the World Health Organization Director General declared the outbreak of COVID-19 as a Public Health Emergency of International Concern and advised countries to prepare for the containment, including active surveillance, early detection, isolation and case management, contact tracing , and prevention of onward spread of the disease; and WHEREAS, on January 31, 2020, the U.S. Health and Human Services Secretary declared a public health emergency for the United States to aid the nation's healthcare community in responding to COVID-19; and WHEREAS, the identification of "community spread" cases of COVID-19 in the United States could potentially signal that transmission of the virus may no longer be limited to travel to outbreak areas or contact with travelers who have visited outbreak areas; and WHEREAS, according to the Center for Disease Control ("CDC"), it is likely that at some point, widespread transmission of COVID-19 in the United States will occur; and WHEREAS, the CDC warns that widespread transmission of COVID-19 would translate into large numbers of people needing medical care at the same time; schools, childcare centers, workplaces, and other places for mass gatherings may experience more absenteeism; public health and healthcare systems may become overloaded with elevated rates of hospitalizations and deaths; other critical infrastructure, such as law enforcement, emergency medical services, and transportation industry may also be affected; and health care providers and hospitals may be overwhelmed; and WHEREAS, COVID-19 testing capacity is inadequate to obtain levels of community infections, and there is an ongoing risk and likelihood of significant numbers of COVID-19-positive patients being identified in the City of Corpus Christi; and WHEREAS, the City of Corpus Christi's Local Health Authority is taking steps to ensure the spread of COVID-19 is contained, the community is kept safe, and the exposure risk is minimized; and WHEREAS, the City, including its Local Health Authority, Health Department, Department of Emergency Management, and other City partners, have been working successfully and diligently to implement CDC guidelines, but now require additional tools and resources to protect the public health given the current state of the epidemic and the need for a sustained response; and WHEREAS, it is necessary to the public health of the residents of the City of Corpus Christi and surrounding areas that those persons under investigation, persons under management , and quarantined persons remain within the confines of their homes or in safe, secure facilities during the quarantine period following their exposure to the virus; and WHEREAS, pursuant to the Texas Disaster Act of 1975, as amended, Texas Government Code Annotated, Chapter 418, (the "Texas Disaster Act"), the Mayor is designated as the Emergency Management Director of the City of Corpus Christi, and may exercise the powers granted to the Governor on an appropriate local scale; and C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx WHEREAS, a declaration of local disaster due to this public health emergency includes the ability to reduce the possibility of exposure to disease, control the risk, promote health, compel persons to undergo additional health measures that prevent or control the spread of disease, including isolation, surveillance, quarantine, or placement of persons under public health observation, including the provision of temporary housing or emergency shelters for persons misplaced or evacuated and request assistance from the Governor of state resources; and WHEREAS, on March 13, 2020, the Mayor of the City of Corpus Christi Texas issued a Declaration of Local State of Disaster (“this disaster”) due to this public health emergency, in which he declared all rules and regulations that may inhibit or prevent prompt response to this threat suspended for the duration of the incident; and WHEREAS, pursuant to the authority granted to the Mayor under the Texas Disaster Act, the Mayor did authorize the use of all available resources of state government and political subdivisions to assist in the City's response to this situation; and WHEREAS, the City of Corpus Christi, and the people and communities of the City have suffered or face imminent threat to the public health and the potential for loss of life and property resulting from a disaster: the introduction, transmission, or spread (or imminent threat of the same) of COVID-19 in the City of Corpus Christi; and WHEREAS, the Mayor of the City of Corpus Christi determined that emergency measures must be taken to either prepare for or respond to a disaster due to this public health emergency in order respond quickly, prevent and alleviate the suffering of people exposed to and those infected with the virus, as well as those that could potentially be infected or impacted by COVID-19, and to prevent or minimize the loss of life; and WHEREAS, during the state of disaster, the Mayor of the City of Corpus Christi issued orders described herein; WHEREAS, Section 16-3 (c) Code of Ordinances, City of Corpus Christi, requires the City Council to consent to the continuation of a local state of disaster declared by the Mayor for a period in excess of 7 days; WHEREAS, the Declaration of Local State of Disaster was extended by action of the City Council on March 17, 2020; NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF CORPUS CHRISTI, TEXAS: Section 1. The following attached orders issued by the Mayor during the state of disaster are adopted by the City Council, shall remain in effect, and shall continue to have the force and effect of law until 11:59 p.m. on April 30, 2020, or until it they are rescinded, superseded, or amended pursuant to applicable law.  Second Amended Order regarding Public and Private Gatherings  First Amended Order to Stay at Home  Order to Report COVID-19 Section 2. The orders issued during the local state of disaster shall have the force and effect of law until the state of disaster is terminated. Section 3. Pursuant to Section 418.108(c) of the Texas Government Code, the orders issued under the declaration of a local state of disaster due to this public health emergency shall be given prompt and general publicity and shall be filed promptly with the City Secretary. C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx Section 4. a. A violation of any orders issued pursuant to this disaster is a violation of the emergency management plans of the City of Corpus Christi. A violation by any person of any provision of this Order to Stay at Home is punishable by a fine of up to $500 per violation or separate day of violation. b. Any person knowingly violating any orders issued pursuant to this disaster after being warned that a specific act or omission would be a violation of the City’s emergency management plan and being convicted of a first offense pursuant to subsection a. of this section may be punished by a fine of up to $1,000 per violation or separate day of violation and up to 180 days in jail. Section 5. Publication shall be made as required by the City Charter. Section 6. That upon written request of the Mayor of five Council members, copy attached, the City Council (1) finds and declares an emergency due to the need for immediate action necessary for the efficient and effective administration of City affairs and (2) suspends the Charter rule that requires consideration of and voting upon ordinances at two regular meetings so that this ordinance is passed and takes effect upon first reading as an emergency measure on this the 31st day of March, 2020. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta Joe McComb City Secretary Mayor C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx day of , 2020 Corpus Christi, Texas PASSED AND APPROVED on this the day of , TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings: I/we, therefore, request that you suspend said Charter rule and pass this ordinance finally on the date it is introduced or at the present meeting of the City Council. Respectfully, Respectfully, Joe McComb Mayor Council Members The above ordinance was passed by the following vote: Joe McComb Roland Barrera Rudy Garza Paulette M. Guajardo Gil Hernandez Michael Hunter Ben Molina Everett Roy Greg Smith C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx Second Amended Order Regarding Public and Private Gatherings Supercedes prior Order This declaration and order implementing emergency powers is issued pursuant to Texas Government Code Chapter 418 (including, but not limited to Texas Government Code § 418.108 and authority to control ingress, egress, movement, and premises’ occupancy), the Mayoral Declaration of a Local State of Disaster Due to a Public Health Emergency by the Mayor of the City of Corpus Christi, and the Declaration of Disaster due to Public Health Emergency issued by the County Judge on March 13, 2020, which has been extended by action of their governing bodies. In accordance with said Chapter and Declarations, the Mayor and County Judge hereby find and order as follows: 1. The coronavirus that causes COVID-19 is easily transmitted, especially in group settings, and it is essential that the spread of the virus be slowed to protect the ability of public and private health care providers to handle an influx of patients and safeguard public health and safety. At the current time, the shortage of available tests and rapid nationwide spread of COVID-19 in tested areas indicates there is a strong likelihood of currently undetected community transmission of COVID-19 within the City. Due to said transmission, the Governor of the State of Texas and President of the United States declared states of disaster and emergency on March 13, 2020. 2. Because of the risk of the rapid spread of coronavirus, and the need to protect the most vulnerable members of the community, this Declaration prohibits all indoor gatherings and outdoor gatherings within an enclosed space of 50 persons or more anywhere in the City of Corpus Christi and in Nueces County beginning immediately and continuing for 7 days, which is subject to extension pursuant to requirements of state law. Accordingly, all persons are prohibited from organizing, managing, furthering, and attending Mass Gatherings for the next 7 days, which is subject to extension pursuant to requirements of state law. 3. For all other gatherings, it is strongly recommended that social distancing protocols established by the United States Centers for Disease Control and Prevention (CDC) and found within the "Implementation of Mitigation Strategies for Communities with Local COVID-19 Transmission" issued by the United States Centers for Disease Control and Prevention ("CDC") on or around March 11, 2020 (available online at www.cdc.gov/coronavirus/2019ncov/downloads/community-mitigation- strategy.pdf), including canceling, rescheduling, or not attending events with more than 50 persons. 4. Definitions and further guidance: a. For purposes of this Declaration, a "Mass Gathering" is any event or convening, subject to the exceptions and clarifications below, that brings together or is likely to bring together 50 or more persons at the same time in a single room or other single confined or enclosed space, such as, by way of example and without limitation, an auditorium, theatre, stadium (indoor or outdoor), arena or event center, meeting hall, conference center, large cafeteria, or any other confined indoor or confined outdoor space. b. A "Mass Gathering" includes events in confined outdoor spaces, which means an outdoor space that (i) is enclosed by a fence, physical barrier, or other structure and (ii) where people are present and they are within arm's length of one another for extended periods. c. For purposes of clarity, a "Mass Gathering" does not include the following:  gatherings of people in multiple, separate enclosed spaces in a single building, so long as 50 people are not present in any single space as the same time;  use of enclosed spaces where 50 or more people may be present at different times during the day, so long as 50 or more people are not present in the space at the same time; C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx  public or private schools;  spaces where 50 or more persons may be in transit or waiting for transit such as bus stops;  office space, hotels, or residential buildings;  grocery stores, shopping malls, outdoor markets, restaurants, or other retail establishments where large numbers of people are present but it is unusual for them to be within arm's length of one another for extended periods;  hospitals, medical facilities and shelters;  jails and detention centers; and  Corpus Christi International Airport. In all such settings, it is recommended that the public follow social distancing recommendations and harm reduction measures (such as hand sanitizer and tissues should be provided when possible). 5. It is hereby recommended that persons should avoid gatherings in excess of 50 persons. Organizations should cancel gatherings in excess of 50 persons. Persons in high-risk populations (ie. Elderly, etc.) should avoid gatherings in excess of 10 persons. Organizations that serve primarily high-risk persons should cancel gatherings in excess of 10 persons. Organizations that serve high- risk populations (defined below) should follow CDC guidance for social distancing. "High-Risk Populations" include people who are: • 60 years old and older; • People with certain health conditions such as heart disease, lung disease, diabetes, kidney disease and weakened immune systems; • People who are pregnant or were pregnant in the last two weeks. • People experiencing homelessness. 6. The Local Health Authority and Director of the Health District may update restrictions set out in this document as necessary to respond to the evolving circumstances of this outbreak during the duration of the Mayor's Declaration of Public Health Emergency and any extension by the Corpus Christi City Council or, with respect to Nueces County, the Commissioners Court of Nueces County. 7. A violation of this order is a violation of the emergency management plans of the City and County. A person who violates any provision of this order may be punishable by a fine of up to $500 per violation and separate day of violation, imprisonment of up to 180 days per violation and separate day of violation, and additional amounts as authorized by law. C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx First Amended Order to Stay at Home City of Corpus Christi This declaration and order implementing emergency powers is issued pursuant to Texas Government Code Chapter 418 (including, but not limited to Texas Government Code § 418.108 and authority to control ingress, egress, movement, and premises’ occupancy), and the Mayoral Declaration of a Local State of Disaster Due to a Public Health Emergency. In accordance with said Chapter and Declarations, the Mayor hereby finds and orders as follows: NOW THEREFORE, UNDER THE AUTHORITY OF TEXAS GOVERNMENT CODE SECTION 418.108, MAYOR ORDERS: 1. Effective upon execution and continuing until the earlier of 7 days following issuance or the date it is rescinded, superseded, or amended pursuant to applicable law: (a) All individuals currently living within City of Corpus Christi are ordered to stay at home at their place of residence. For the purposes of this Order, residences include homes, condominiums, townhomes, apartments, duplexes, hotels, motels, shared rentals, recreational vehicles, motor homes, and similar facilities. To the extent individuals are using shared or outdoor spaces, they must at all times as reasonable as possible maintain social distancing of at least six (6) feet from any other person when they are outside their residence. All persons may leave their residences or enter or leave the territorial limits of City of Corpus Christi only for Essential Activities, or to provide or perform Essential Governmental Functions, or to operate Essential Businesses, all as defined in Section 2. (b) All businesses operating within City of Corpus Christi, except Essential Businesses as defined below in Section 2, are required to cease all activities at facilities located within City of Corpus Christi. For clarity, businesses may continue operations consisting exclusively of employees or contractors performing activities at their own residences (i.e. working from home). To the greatest extent possible, all Essential Businesses shall comply with the Social Distancing Guidelines attached as Exhibit “A” and incorporated in its entirety, including maintaining six (6) feet social distancing for both employees and the general public. (c) All public or private gatherings of any number of people occurring outside a single household or living unit are prohibited, except as otherwise provided herein. Nothing in this Order prohibits the gathering of members of a household or living unit. (d) Restaurants with or without drive-in or drive-through services and microbreweries, and micro- distilleries may only provide take out, delivery, or drive-through services in such manner consistent with Texas Governor Greg Abbott’s waiver. (e) The Governor, County Judge, and Mayor all recognize that religious services conducted in churches, congregations, and houses of worship are considered Essential Services. All religious and worship services should be provided through remote telework from home unless they are essential services that cannot be provided through remote telework. If religious services cannot be conducted from home or through remote services, they should be conducted consistent with the Guidelines from the President and CDC by practicing good hygiene, environmental cleanliness, and sanitation, and by implementing social distancing to prevent the spread of COVID-19. (f) All elective medical, surgical, and dental procedures are prohibited anywhere in City of Corpus Christi. Hospitals, ambulatory surgery centers, dental offices, and other medical facilities are C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx directed to identify procedures that are deemed “Elective” by assessing which procedures can be postponed or cancelled based on patient risk considering the emergency need for redirection of resources to COVID-19 response. Elective surgeries and procedures that are designed to reduce risk to patients or treat painful or potentially disabling conditions may be continued. 2. Definitions: a. For purposes of this Order, individuals may leave their residence only to perform any of the following “Essential Activities”: i. To engage in activities or perform tasks essential to their health and safety, or to the health and safety of their family or household members (for example, obtaining medical supplies or medication, visiting a health care professional, or obtaining supplies needed to work from home). ii. To obtain necessary services or supplies for themselves and their family or household members, or to deliver those services or supplies to others (for example, food, pet supply, and any other household consumer products, and products necessary to maintain the safety, sanitation, and essential operation of residences.) iii. To engage in outdoor activity, provided the individuals comply with the social distancing requirement of 6 feet (for example, walking, biking, hiking, fishing, running, boating, wading, hunting, or surfing). All beaches within the geographic boundaries of City of Corpus Christi are open for regular hours of operation but with an 8 p.m. curfew, although access to such beaches may be monitored and/or limited to assure that no vehicles park within 100 feet of another vehicle. All City public parks within the geographic boundaries of City of Corpus Christi are open for regular hours of operation. iv. To perform work providing essential products and services at an Essential Business or to otherwise carry out activities specifically permitted in this Order. v. To care for a family member(s) or a pet (or pets) in another household. b. For purposes of this Order, “Essential Businesses” means: i. Essential Healthcare Operations. Healthcare operations, including hospitals, clinics, dentists, pharmacies, pharmaceutical and biotechnology companies, other healthcare facilities, healthcare suppliers, mental health providers, substance abuse service providers, blood banks, medical research, laboratory services, physical therapy, Ronald McDonald house, or any related and/or ancillary healthcare services. Home-based and residential-based care for seniors, adults, or children are also considered healthcare operations. Healthcare operations also includes veterinary care and all health and welfare services provided to animals. This exemption shall be viewed broadly to avoid any impacts to the delivery of healthcare. Healthcare operations do not include fitness and exercise gyms and similar facilities. Healthcare operations do not include elective medical, surgical, and dental procedures as established in accordance with Subsection 1(f) of this Order. ii. Essential Government Functions. All services provided by local governments needed to ensure the continuing operation of the government agencies to provide for the health, safety and welfare of the public, including any local government entities that are required by law to furnish medical and hospital care for the indigent and needy persons residing in the City. Further, nothing in this order shall prohibit any individual from performing or accessing “Essential Government Functions.” All Essential Government Functions shall be performed in compliance with social distancing requirements of 6 feet, to the extent possible. iii. Essential Critical Infrastructure. Work necessary to the operations and maintenance of any of the 16 critical infrastructure sectors, including suppliers and distributors, as identified by the National Cybersecurity and Infrastructure Agency (including, but not C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx limited to the following sectors: chemical, commercial facilities, communications, critical manufacturing, dams, defense industrial base, emergency services, energy, financial services, food & agriculture, government facilities, healthcare & public health, information technology, nuclear reactors, materials & waste, transportation systems, water & wastewater systems), Port of Corpus Christi Authority of Nueces County, Texas’ industries and related support businesses, NAS Corpus Christi, Corpus Christi Army Depot, public works construction, residential and commercial construction, airport operations, water, sewer, gas, electrical, oil and gas industry, crude oil storage and transport facilities, refining processes, oil and gas/industry disposal facili ties, roads and highways, public transportation, automobile repair, solid waste collection and removal, internet, and telecommunications systems (including the provision of essential global, national, and local infrastructure for computing services, business infrastructure, communications, and web-based services), financial institutions, bail bond sureties, defense and national security-related operations, warehouses, essential manufacturing operations, provided that they carry out those services or that work in compliance with social distancing requirement of six (6) feet, to the extent possible. Essential Businesses providing essential infrastructure should implement screening precautions to protect employees and all activity shall be performed in compliance with the Social Distancing Guidelines attached. Essential Businesses also include businesses that supply Essential Businesses with the services, support, storage, repairs, equipment or supplies necessary or useful to operate or function effectively. Essential Businesses also include airlines, taxis, and other private transportation providers providing transportation services necessary for Essential Activities and other purposes expressly authorized in this Order. iv. Essential Retail. Food service providers, including grocery stores, warehouse stores, big-box stores, bodegas, liquor stores, gas stations and convenience stores, farmers’ markets that sell food products and household staples. Food cultivation, including farming, fishing, and livestock. Businesses that ship or deliver groceries, food, goods or services directly to residences. Restaurants and other facilities and conveyances that prepare and serve food, but only for delivery or carry out. Schools and other entities that typically provide free services to students or member of the public on a pick-up and take-away basis only. The restriction of delivery or carry out does not apply to cafes and restaurants located within hospital and medical facilities. Laundromats, dry cleaners, and laundry service providers. Gas Stations, auto-supply, auto and bicycle repair, hardware stores, landscaping, and related facilities. Businesses that supply products needed for people to work from home. v. Providers of Basic Necessities to Economically Disadvantaged Populations. Businesses that provide food shelter, and social services, and other necessities of life for economically disadvantaged or otherwise needy individuals. vi. Essential Services Necessary to Maintain Essential Operations of Residences or Other Essential Businesses. Trash and recycling collection, processing and disposal, mail and shipping services, building cleaning, maintenance and security, warehouse/distribution and fulfillment, storage for essential businesses, funeral homes, crematoriums and cemeteries, hotels and motels, recreational vehicles parks, and public storage facilities. Plumbers, electricians, roofers, exterminators, air conditioner repair, appliance repair, equipment repair, and other service providers who provide services that are necessary to maintaining the safety, sanitation, and essential operations of residences and Essential Businesses. Professional services, such as insurance, title, real estate, legal or accounting services when necessary to assist in compliance with legally mandated, prohibited, or necessary activities, including the entry of contracts for Essential Businesses or support thereof. Automobile, large truck, and RV dealerships (sales and services centers) in support of transportation. Businesses that supply other essential businesses with support or supplies needed to operate. vii. News Media. Newspapers, television, radio, and other media services. C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx viii. Childcare Services. Childcare facilities providing services that enable employees exempted in this Order to work as permitted. 3. If someone in a household has tested positive for coronavirus, the household is ordered to isolate at home for a period of at least 14 days after the person has tested negative for coronavirus or left the household or such longer period as determined by the Health Department. Members of the household cannot go to work, school, or any other community function. 4. Nursing homes, retirement, and long-term care facilities are instructed by this order to prohibit non- essential visitors from accessing their facilities unless to provide critical assistance or for end-of-life visitation. 5. Additionally, the Mayor and the Health Authority instructs all employees to remain at home if sick, and to promptly communicate with an appropriate health care professional. 6. The City of Corpus Christi will provide copies of this Order by posting on the City of Corpus Christi website. If any subsection, sentence, clause, phrase, or word of this Order or any application of it to any person, structure, gathering, or circumstance is held to be invalid or unconstitutional by a decision of a court of competent jurisdiction, then such decision will not affect the validity of the remaining portions or applications of this Order. 7. All typical routes of ingress and egress (roads and streets, county roads, state and other highways, Interstate highways) throughout City of Corpus Christi shall remain open and accessible, except to the extent specifically limited by Section 2.a.iii of this Order to Stay At Home. 8. a. A violation of this order and other orders issued pursuant to this disaster is a violation of the emergency management plans of the City of Corpus Christi. A violation by any person of any provision of this Order to Stay at Home is punishable by a fine of up to $500 per violation or separate day of violation. b. Any person knowingly violating this order and other orders issued pursuant to this disaster after being warned that a specific act or omission would be a violation of the City’s emergency management plan and being convicted of a first offense pursuant to subsection a. of this section may be punished by a fine of up to $1,000 per violation or separate day of violation and up to 180 days in jail. C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx Exhibit “A” Social Distancing Guidelines 1) Avoid traveling to other jurisdictions unless essential for work or health. 2) Vulnerable Populations: Limit Outings  Vulnerable populations include people who are: -60 years old and older. -People with certain health conditions such as heart disease, lung disease, diabetes, kidney disease and weakened immune systems.  For vulnerable populations, do not go to gatherings unless it is essential. Stay home. Avoid people who are sick. 3) Workplace and Businesses: Minimize Exposure  Suspend nonessential employee travel  Ensure employees practice social distancing and do not work within six (6) feet of one another.  Urge essential employees to stay home when they are sick and maximize flexibility in sick leave benefits.  Do not require a doctor’s note for employees who are sick.  Maximize telecommuting options.  Persons who need to be at work to provide essential services of great benefit to the community must take steps in their workplace to minimize risk. 4) Cancel Non-essential events  Cancel non-essential events.  Do not attend any events or gatherings if sick.  For events that aren’t cancelled, we recommend: -Provide hand washing, hand sanitizers stations and make tissues available. -Frequently clean high-touch surface areas like counter tops and handrails. -Finding ways to implement social distancing. 5) Schools Safety First  Do not have your child attend school if sick.  If you have a child with chronic health conditions, consult the child’s doctor about school attendance.  Schools should equip all classrooms with hand sanitizers and tissues.  Recommend rescheduling or cancelling events that are not essential.  Explore remote teaching and online options to continue learning.  Schools should develop a plan for citywide school closures, and families should prepare for further closures. 6) Transit: Cleaning and Protection  Increase cleaning of vehicle and high touch surface areas.  Provide hand washing/hand sanitizers and tissues in stations and on vehicles.  Ensure social distancing practices are implemented to the full extent possible. 7) Health Care Setting: Avoid as possible, protect the vulnerable.  Long-term care facilities should have a COVID-19 plan in accordance with CDC or state guidelines.  Long-term care facilities should restrict all visitation except for certain compassionate care situations, such as end of life situations.  The general public should avoid going to medical settings such as hospitals, nursing homes C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx and long-term care facilities, even if you are not ill.  If you are ill, call your health care provider ahead of time, and you may be able to be served by phone.  Do not visit emergency rooms unless it is essential.  Follow guidance and directions of all facilities. 8) Recommended Drive In religious services at places of worship  Drive in services are allowed.  Social distancing of cars is necessary, i.e. one car length apart 9) Everyone: Do your part The best way for all Corpus Christi residents to reduce their risk of getting sick, as with seasonal colds or the flu, still applies to prevent COVID-19:  Wash hands with soap and water for at least twenty (20) seconds.  Cough or sneeze into your elbow or a tissue. Throw the tissue in the trash.  Stay home if you are sick.  Avoid touching your face.  Try alternatives to shaking hands, like an elbow bump or wave.  If you have recently returned from a country, state or region with ongoing COVID-19 infections, monitor your health and follow the instructions of public health officials and CDC guidelines.  There is no recommendation to wear masks at this time to prevent yourself from getting sick. You can also prepare for the disruption caused by an outbreak. Preparedness actions include:  Prepare to work from home if that is possible for your job, and your employer.  Make sure you have a supply of all essential medications for your family.  Prepare a child care plan if you or a caregiver are sick.  Make arrangements about how your family will manage school closures.  Plan for how you can care for as sick family member without getting sick yourself.  Take care of each other and check in by phone with friends, family and neighbors that are vulnerable to serious illness or death if they get COVID-19.  Keep common spaces clean to help maintain a healthy environment for you and others. Frequently touched surfaces should be cleaned regularly with disinfecting sprays, wipes or common household cleaning products. C:\Users\legistar\AppData\Local\Temp\BCL Technologies\easyPDF 8\@BCL@7C0DC5F9\@BCL@7C0DC5F9.docx Order to Report COVID-19 City of Corpus Christi This declaration and order implementing emergency powers is issued pursuant to Texas Government Code Chapter 418 (including, but not limited to Texas Government Code § 418.108 and authority to control ingress, egress, movement, and premises’ occupancy), and the Mayoral Declaration of a Local State of Disaster Due to a Public Health. In accordance with said Chapter and Declarations, the Mayor hereby finds, and order as follows: Whereas, on March 24, 2020, the Governor ordered every public or private entity that is utilizing an FDA - approved test for human diagnostic purposes of COVID-19 to submit daily reports of all test results, both positive and negative to the local health department and DSHS; and Whereas, to relieve the workload from the Corpus Christi-Nueces County Public Health District and streamline the provision of information to the public by the City, the City is mandating email reporting of test results to enable more effective statistical review and epidemiological research and reporting at a local level. NOW THEREFORE, UNDER THE AUTHORITY OF TEXAS GOVERNMENT CODE SECTION 418.108, MAYOR ORDERS: 9. Effective upon execution, and continuing until 11:59 p.m. on April 8, 2020: 10. REPORTING OF COVID-19 TESTS: (a) All public, private and commercial laboratories operating within the City of Corpus Christi that are performing COVID-19 testing shall report by 3:00 p.m. each day for the prior 24-hour period (1) the number of COVID-19 tests performed and (2) the number of positive and number of negative COVID-19 test results to Billy Delgado, Emergency Management Coordinator for the City of Corpus Christi at billyd@cctexas.com (b) All public, private and commercial laboratories operating within the City of Corpus Christi and performing COVID-19 testing shall, on or before close of business on March 30, 2020, report (1) the number of COVID-19 tests performed in 2020 prior to this order and (2) the number of positive and number of negative COVID-19 test results received in 2020 prior to this order to Billy Delgado, Emergency Management Coordinator for the City of Corpus Christi at billyd@cctexas.com. (c) Such laboratories shall not provide names or other individually identifiable health information that could be used to identify an individual patient. This information will be used solely for public health purposes to monitor the testing conducted in the City and mitigate and contain the spread of COVID-19. DATE: April 1, 2020 TO: Peter Zanoni, City Manager FROM: Mike Culbertson (361) 882-7448 mculbertson@ccredc.com CAPTION: Ordinance approving a $2,000,000.00 agreement between the City of Corpus Christi and the Corpus Christi Business and Job Development Corporation for Type A funding for maintenance of arterial and collector streets within the City; approving a Chapter 380 agreement in an amount not to exceed $2,000,000.00 with LiftFund, Inc. for a small business recovery program; appropriating $2,000,000.00 from the unreserved fund balance of the Business and Job Development Fund for use on the arterial and collector street improvements; amending the operating and capital budget; and declaring an emergency. PURPOSE: The purpose is to approve a Chapter 380 agreement with LiftFund, Inc. for small business relief related to COVID-19 and a Type A project for the funding of repairs to arterial and collector streets within the City of Corpus Christi. BACKGROUND AND FINDINGS: Due to the current “stay-at-home” orders from federal, state and local authorities, most small businesses have had to reduce their staff and their hours of operation or have had to closed completely. This has put a tremendous strain on those businesses and has resulted in many layoffs. It is estimated that unemployment in the area may rise to 30% in April. The United States Congress has passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, and the Small Business Administration has implemented programs that can help businesses in need. These programs take time to process, and most companies cannot wait for the funds to be dispersed. In an effort to help these businesses either continue in business or to ensure that they can reopen once the orders are lifted, these companies need an affordable loan program to get through this downturn. The City has an ongoing relationship with LiftFund , Inc. that extends to Type A funding for their loan buy-down program and the more recent Type B AGENDA MEMORANDUM Ordinance for the City Council Meeting of April 7, 2020 Small Business Recovery Program Agreement with LiftFund, Inc. funding for the Dream Makers Fund that established dedicated resources to be used as a revolving loan fund for small companies within Corus Christi. LiftFund, Inc. would establish a process to take in applications and provide 0% interest loans up to $25,000 to help small businesses in the City limits that have suffered financial losses as a result of COVID-19. LiftFund, Inc. is a local Community Development Financial Institution (CDFI), dedicated to strengthening small business within the city limits. The Small Business Recovery Program will provide $1,700,000 in COVID-19 disaster relief loans to business in Corpus Christi. As loans are paid back, LiftFund, Inc. will deposit the repaid funds into the Dream Makers Fund . The fund will absorb any loan defaults – the losses being subtracted from the $1,700,000 loan fund reducing the amount of funds available for future lending. Funds deposited into the Dream Makers Fund may only be used to provide loans to small businesses within Corpus Christi. ALTERNATIVES: The City Council may choose to change the amount of the agreement or not pass the ordinance. This would not provide assistance to small businesses within the City. FISCAL IMPACT: In order to fund this program, $2,000,000 already appropriated in the Fiscal Year 2019 - 2020 operating budget to be transferred to the Street Maintenance Fund (Fund 1041) is being recommended to be repurposed for this program. In turn, Type A funds in the amount of $2,000,000 were appropriated and approved by the Type A Board on April 3, 2020 to be transferred to the Street Maintenance Fund (Fund 1041) to be used for arterial and collector streets, necessary for new and expanded business enterprises. Neither this action nor the action by the Type A Board negatively impacts the Street Maintenance Fund. Funding Detail: Fund: 1020 General Fund Organization/Activity: 15100 Economic Development Incentives Mission Element: 707 Economic Development Project # (CIP Only): N/A Account: 540116 – 380 Agreement - LiftFund Fund: 1140 Business and Job Development Organization/Activity: Mission Element: Project # (CIP Only): N/A Account: 260800 Unreserved Fund Balance RECOMMENDATION: Staff recommends approval of the small business assistance agreement with LiftFund, Inc. and the Type A funding of arterial and collector streets. LIST OF SUPPORTING DOCUMENTS: Ordinance Agreements – Type A Agreement; Draft 380 Agreement Presentation 1 Ordinance approving a $2,000,000.00 agreement between the City of Corpus Christi and the Corpus Christi Business and Job Development Corporation for Type A funding of arterial and collector streets within the City; approving a Chapter 380 agreement in an amount not to exceed $2,000,000.00 with LiftFund, Inc. for a small business recovery program; appropriating $2,000,000.00 from the unreserved fund balance of the Business and Job Development Fund for use on the arterial and collector street improvements; amending the operating and capital budget; and declaring an emergency. WHEREAS, on November 5, 2002, residents of the City of Corpus Christi (“City”) passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded businesses enterprises within the City at a rate of one-eighth of a percent for 15 years; WHEREAS, the 1/8th cent sales tax authorized by passage of Proposition 2 was subsequently enacted by the City Council and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corpus Christi Business and Job Development Corporation Board (“Type A Board”); WHEREAS, the Type A Board has determined that it is in the best interest of the citizens of the City that economic development funds be used to fund repairs to specified arterial and collector streets through the City’s Street Preventative Maintenance Program and approved a project for the repair of such streets on April 3, 2020 and that the City create and economic development program for small business incentives related to COVID-19; WHEREAS, the project is consistent with the purposes for which the Business and Job Development Fund was created and approved by the voters of the City, in that the use of the funds allows for the promotion or development of new and expanded business enterprises, the development of programs and facilities that assist small companies that can produce jobs of the future, and assistance to businesses for the creation of meaningful, wealth-producing jobs within the City; WHEREAS, the repairs being made to Patti Drive from Saratoga to Dunbarton Oak and to Shoreline Boulevard from IH 37 to Louisiana are necessary for the promotion and development of new and expanded business enterprises within the City; WHEREAS, LiftFund, Inc. has proposed to administer a $2,000,000.00 program that provides assistance to small businesses within the City and requires the creation of jobs; WHEREAS, the City has established a program in accordance with Article III, Section 52-a of the Texas Constitution and Chapter 380 of the Texas Local Government Code ("Chapter 380") under which the City has the authority to make loans or grants of public funds for the purposes of promoting local economic development and stimulating business and commercial activity within the City; 2 WHEREAS, the City has concluded and hereby finds that the proposed Chapter 380 agreement with LiftFund, Inc. promotes economic development in the City of Corpus Christi and, as such, meets the requirements under Chapter 380 and the City's established economic development program, and, further, is in the best interests of the City; and WHEREAS, the City recognizes the positive economic impact that the proposed Chapter 380 agreement will bring to the City through development and diversification of the economy, reduction of unemployment and underemployment through the production of new jobs, the attraction of new businesses, and the additional tax revenue generated for the City. NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The City Council specifically finds that the foregoing statements included in the preamble of this ordinance are true and correct and adopts such findings for all intents and purposes related to the authorization of this project. SECTION 2. That the project, as approved by the Type A Board on April 3, 2020, to expend $2,000,000.00 for Street Preventative Maintenance Program repairs to specified arterial and collector streets within the City is approved. SECTION 3. That $2,000,000.00 from the unreserved fund balance in the Fund No. 1140 Business/Job Development Fund is appropriated for the repairs to specified arterial and collector streets within the City. SECTION 4. That Ordinance No. 031870, which adopted the FY 2019-2020 Operating and Capital Budget, is amended to increase proposed expenditures in the No. 1140 Business/Job Development Fund by $2,000,000.00 for the repairs to specified arterial and collector streets within the City and transferring these funds to the 1041 Street Fund, to decrease the expenditures in the No. 1020 General Fund for the transfer to the Street Maintenance by $2,000,000.00, and increase the expenditures in the No. 1020 General Fund by $2,000,000.00 for the Chapter 380 agreement with LiftFund, Inc. SECTION 5. That the City Manager or designee is authorized to execute an agreement with the Corpus Christi Business and Job Development Corporation in an amount not to exceed $2,000,000.00 for Street Preventative Maintenance Program repairs to specified arterial and collector streets within the City and the creation of an economic development incentive program to provide assistance to small businesses for job creation and business development. SECTION 6. That the City Manager or designee is authorized to execute a Chapter 380 agreement with LiftFund, Inc. in an amount not to exceed $2,000,000.00 to provide relief to small businesses within the City. SECTION 7. That upon written request of the Mayor o r five Council members, copy attached, the City Council (1) finds and declares an emergency due to the need for 3 immediate action necessary for the efficient and effective admini stration of City affairs and (2) suspends the Charter rule that requires consideration of and voting upon ordinances at two regular meetings so that this ordinance is passed and takes effect upon first reading as an emergency measure on this the 7th day of April, 2020. This ordinance takes effect upon City Council approval on this the _____ day of ___________________, 2020. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta Joe McComb City Secretary Mayor day of , 2020 Corpus Christi, Texas PASSED AND APPROVED on this the day of , TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings: I/we, therefore, request that you suspend said Charter rule and pass this ordinance finally on the date it is introduced or at the present meeting of the City Council. Respectfully, Respectfully, Joe McComb Mayor Council Members 4 The above ordinance was passed by the following vote: Joe McComb Roland Barrera Rudy Garza Paulette M. Guajardo Gil Hernandez Michael Hunter Ben Molina Everett Roy Greg Smith Page 1 of 3 AGREEMENT BETWEEN CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION AND CITY OF CORPUS CHRISTI FOR REPAIRS TO ARTERIAL AND COLLECTOR STREETS AND CREATION OF SMALL BUSINESS INCENTIVE PROGRAM This Agreement for repairs to arterial and collector streets and creation of a small business incentive program (“Agreement”) is entered into between the Corpus Christi Business and Job Development Corporation (“Corporation”) and the City of Corpus Christi (“City”). WHEREAS, the Texas Legislature in Section 501 of the Local Government Code (Development Corporation Act of 1979) empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one-eighth of one percent to be imposed for 15 years; WHEREAS, the 1/8 cent sales tax authorized by passage of Proposition 2 was subsequently enacted by the City’s City Council (“City Council”) and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corporation's Board of Directors (“Board”); WHEREAS, the Board wishes to provide funding for specified arterial and collector streets that promote or develop new and expanded business enterprises and allow the City to create and m anage a small business incentive program in the amount of $2,000,000 to assist with COVID -19 recovery within the City; WHEREAS, the City wishes to create and manage a small business incentive program in the amount of $2,000,000 to assist with COVID-19 recovery within the City through an agreement with a third party; WHEREAS, the Board has determined that it is in the best interests of the residents of the City that the Corporation use business and job development funds to provide funding for specified arterial and collector streets that promote or develop new and expanded business enterprises and allow the City to create and manage a small business incentive program in the amount of $2,000,000 to assist with COVID-19 recovery within the City; In consideration of the covenants, promises, and conditions stated in this Agreement, the Corporation and the City agree as follows: 1. Agreement to Provide Economic Development Services. This Agreement between the Corporation and the City is executed to provide the specific and measurable services for the promotion and development of new and expanded business enterprises through the repair of arterial and collector streets within the City, namely Patti Drive from Saratoga to Dunbarton Oaks and Shoreline Blvd/Ocean Drive from IH 37 to Louisiana, with the exclusion of any portion of the work completed prior to April 3, 2020. In exchange for the funds provided by the Corporation for the repair of arterial and collector streets, the City will create a small business i ncentive program, through Chapter 380 of the Texas Local Government Code, that provides assistance to small businesses impacted by COVID-19. The small business incentive program will provide low-interest loans to small Page 2 of 3 businesses impacted by the COVID-19 pandemic for purposes of business development and incubation and the creation and retention of jobs within the City. The City may enter into a Chapter 380 agreement with a third party for the management and administration of the small business incentive program. If the City fails to create a small business incentive program by September 30, 2020, the funds will be returned to the Corporation. 2. Payments. The Parties agree that the Corporation will pay the City the amount of $2,000,000.00 by May 1, 2020. 3. Effective Date. The effective date of this Agreement is the date on which the City Council grants approval for this Agreement, and it is signed by all parties. 4. Term. The term of this Agreement is for one year beginning April 3, 2020 and expiring on September 30, 2020. 5. Termination. The Parties may, by written agreement, terminate this Agreement at any time. In the event of such termination, the Corporation will be entitled to a refund of any funds not used as part of a small business incentive program by the date of termination. 6. Amendments or Modifications. No amendments or modifications to this Agreement or to the Services may be made, nor any provision waived, unless the amendment or modification is made in writing and signed by persons duly authorized to sign agreements on behalf of all parties. 7. Notices. a. Any required written notices shall be sent, certified mail, return receipt requested, addressed as follows: If to Corporation: City of Corpus Christi Business and Job Development Corporation Attn: President 1201 Leopard Street Corpus Christi, Texas 78401 If to City: City of Corpus Christi Attn: City Manager’s Office 1201 Leopard Street P.O. Box 9277 Corpus Christi, Texas 78401 c. Notice is effective upon deposit in the United States mail in the manner provided above. Page 3 of 3 8. Relationship of Parties. In performing this Agreement, the Corporation and the City shall act in an individual capacity, and not as agents, representatives, employees, employers, partners, joint- venturers, or associates of one another. The employees or agents of either party may not be, nor be construed to be, the employees or agents of the other party for any purpose. CORPUS CHRISTI BUSINESS & CITY OF CORPUS CHRISTI JOB DEVELOPMENT CORPORATION Scott Harris Constance Sanchez President Chief Financial Officer Date: Date: ATTEST: Rebecca Huerta City Secretary Date: APPROVED AS TO FORM: Assistant City Attorney 1 CHAPTER 380 ECONOMIC DEVELOPMENT INCENTIVE AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI, TEXAS AND LIFTFUND, INC. This Chapter 380 Economic Development Incentive Agreement (“Agreement”) is entered into between the City of Corpus Christi, Texas, a home-rule municipality (“City”) and LiftFund, Inc. (“Company"), a Texas nonprofit corporation. WHEREAS, the City has established a program in accordance with Article III, Section 52 - a of the Texas Constitution and Chapter 380 of the Texas Local Government Code ("Chapter 380") under which the City has the authority to make loans or grants of public funds for the purposes of promoting local economic development and stimulating business and commercial activity within the City; WHEREAS, the novel coronavirus, known as COVID-19, has created a global pandemic and led to shuttering of many local small businesses, which are in need of relief so that they may continue to provide meaningful, wealth-producing jobs in the future; WHEREAS, the Company has proposed to administer a loan program for the City, which will serve as a business incubator to assist small businesses in their ongoing expenses and lead to the creation of meaningful, wealth -producing jobs within the City (the “Project”); WHEREAS, the Corpus Christi City Council has adopted Ordinance No. _______________, authorizing City to make certain economic development grants up to $2,000,000 to Company in recognition of, conditioned upon and derived from the positive economic benefits that will accrue to City through Company's administration of a loan program providing relief to small businesses and requiring creation of jobs; WHEREAS, the City has concluded and hereby finds that this Agreement promotes economic development in the City of Corpus Christi and, as such, meets the requirements under Chapter 380 and the City's established economic development program, and, further, is in the best interests of the City and Company; WHEREAS, the City recognizes the positive economic impact that the Project will bring to the City through development and diversification of the economy, reduction of unemployment and underemployment through the production of new jobs, the attraction of new businesses, and the additional tax revenue generated by the Project for the City ; and 2 WHEREAS, to ensure that the benefits the City provides under this Agreement are utilized in a manner consistent with Article III, Section 52-a of the Texas Constitution, Chapter 380 of the Texas Local Government Code and other law, the Company has agreed to comply with certain conditions to the payment of those benefits. NOW, THEREFORE, in consideration of the mutual benefits described in this Agreement, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, City and Company agree as follows: 1. The recitals to this Agreement are hereby incorporated for all purposes. 2. Effective Date. The effective date of this Agreement (“Effective Date”) is the latest date that either party executes this Agreement, or the date this Agreement has been finally approved by the Corpus Christi City Council. Company understands that this Agreement is dependent upon the approval of the Corpus Christ City Council. 3. Term. The term of this Agreement is for three years beginning on the Effective Date. 4. Performance Requirements. a. Company agrees to use the $2,000,000 described below as a loan fund to provide loans and to small businesses in Corpus Christi, in accordance with the Company’s proposal, which is attached hereto as Exhibit A and incorporated by reference as if laid out herein in its entirety. b. Company agrees to provide the City with a sworn certificate by an authorized representative of the Company, certifying the amount used. c. For every $25,000 in loans that Company provides to a small business in Corpus Christi, Company shall ensure that the funds will result in the creation of one new full-time permanent job in the city of Corpus Christi. d. Upon repayment of any loans funded through this Agreement, Company will deposit the repaid funds into the existing Dream Fund, created in accordance with the Company’s agreement with the Corpus Christi B Corporation. Funds deposited into the Dream Fund may only be used to provide loans to small businesses within the City. The requirements related to the Dream Fund will survive the expiration or earlier termination of this Agreement. e. If at the end of the Term of this Agreement, any funds provided to C ompany under this Agreement have not been used to provide loans to small businesses within the City, Company shall immediately return those remaining funds, including any fees associated with those funds, to the City. f. The City may audit Company’s records to determine their compliance with the terms of this Agreement. Company, during normal business hours shall allow City 3 reasonable access to its records and books and all other relevant records related to each of the economic development considerations and incentives and performance requirements, as stated in this Agreement. 5. City’s Responsibility. The City will grant Company a one-time payment in the amount of $2,000,000, to be paid to Company within 30 days following receipt of an invoice from Company requesting the funds. 6. Warranties. Company warrants and represents to City the following: a. Company is a non-profit corporation duly organized, validly existing, and in good standing under the laws of the State of Texas and has all power and authority to carry on its business as presently conducted in Corpus Christi, Texas. b. Company has the authority to enter into and perform, and will perform, the terms of this Agreement to the best of its ability. c. Company has timely filed and will timely file all local, State, and Federal tax reports and returns required by laws to be filed and all taxes, assessments, fees, and other governmental charges, including applicable ad valorem taxes, have been timely paid, and will be timely paid, during the term of this Agreement. d. Company acknowledges that the funds granted under this Agreement must be utilized solely for purposes authorized under State law and by the terms of this Agreement. e. The person executing this Agreement on behalf of Company is duly authorized to execute this Agreement on behalf of Company. f. Company does not and agrees that it will not knowingly employ an undocumented worker. If, after receiving payments under this Agreement, Company is convicted of a violation under 8 U.S.C. Section 1324a(f), Company shall repay the payments received under this Agreement to the City, with interest at the Wall Street Journal Prime Rate, not later than the 120th day after the date Company has been notified of the violation. 7. Compliance with Laws. During the Term of this Agreement, Company shall observe and obey all applicable laws, ordinances, regulations, and rules of the Federal, State, county, and city governments. 4 8. Non-Discrimination. Company covenants and agrees that Company will not discriminate nor permit discrimination against any person or group of persons, with regard to employment and the provision of services at, on, or in the Project, on the grounds of race, religion, national origin, marital status, sex, age, disability, or in any manner prohibited by the laws of the United States or the State of Texas. 9. Force Majeure. If the City or Company are prevented, wholly or in part, from fulfilling its obligations under this Agreement by reason of any act of God, unavoidable accident, acts of enemies, fires, floods, governmental restraint or regulation, other causes of force majeure, or by reason of circumstances beyond its control, then the obligations of the City or Company are temporarily suspended during continuation of the force majeure. If either party’s obligation is affected by any of the causes of force majeure, the party affected shall promptly notify the other party in writing, giving full particulars of the force majeure as soon as possible after the occurrence of the cause or causes relied upon. 10. Assignment. Company may not assign all or any part of its rights, privileges, or duties under this Agreement without the prior written approval of the City. Such approval will not be unreasonably denied. Any attempted assignment without approval is void and constitutes a breach of this Agreement. 11. Indemnity. Company covenants to fully indemnify, save, and hold harmless the City, and its officers, employees, and agents (“Indemnitees”) against all liability, damage, loss, claims demands, and actions of any kind on account of personal injuries (including, without limiting the foregoing, workers’ compensation and death claims), or property loss or damage of any kind, which arise out of or are in any manner connected with, or are claimed to arise out of or be in any manner connected with Company’s activities conducted under or incidental to this Agreement. Company must, at its own expense, investigate all those claims and demands, attend to their settlement or other disposition, defend all actions based on those claims and demands with counsel satisfactory to Indemnitees, and pay all charges of attorneys and all other costs and expenses of any kind arising from the liability, damage, loss, claims, demands, or actions. The requirements of this provision will survive the expiration or earlier termination of the Agreement. 5 12. Events of Default by Company. The following events constitute a default of this Agreement by Company: a. The City determines that any representation or warranty on behalf of Company contained in this Agreement or in any financial statement, certificate, report, or opinion submitted to the City in connection with this Agreement was incorrect or misleading in any material respect when made. b. Any judgment is assessed against Company or any attachment or other levy against the property of Company with respect to a claim remains unpaid, undischarged, or not dismissed for a period of 120 days. c. Company makes an assignment for the benefit of creditors. d. Company files a petition in bankruptcy or is adjudicated insolvent or bankrupt. e. If taxes owed by Company become delinquent, and Company fails to timely and properly follow the legal procedures for protest or contest. f. Company changes the general character of business as conducted as of the date this Agreement is approved by the City. g. Company fails to comply with one or more terms of this Agreement. 13. Notice of Default. Should the City determine that Company is in default according to the terms of this Agreement, the City shall notify Company in writing of the event of default and provide 60 days from the date of the notice (“Cure Period”) for Company to cure the event of default. 14. Results of Uncured Default by Company. After exhausting good faith attempts to address any default during the Cure Period and taking into account any extenuating circumstances that might have occurred through no fault of Company, as determined by the City Manager, the following actions may be taken for any default that remains uncured after the Cure Period. a. Company shall immediately repay all funds paid by City to it under this Agreement. 6 b. Company shall pay City’s reasonable attorney fees and costs of court to collect amounts due to City if not immediately repaid upon demand from the City. c. Upon payment by Company of all sums due, the City and Company shall have no further obligations to one another under this Agreement. 15. No Waiver. a. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, constitutes a waiver of any subsequent breach of the covenant or condition of the Agreement. b. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, justifies or authorizes the nonobservance on any other occasion of the covenant or condition or any other covenant or condition of this Agreement. c. Any waiver or indulgence of Company’s default may not be considered an estoppel against the City. d. It is expressly understood that if at any time Company is in default in any of its conditions or covenants of this Agreement, the failure on the part of the City to promptly avail itself of the rights and remedies that the City may have, will not be considered a waiver on the part of the City, but City may at any time avail itself of the rights or remedies or elect to terminate this Agreement on account of the default. 16. Company specifically agrees that City shall only be liable to Company for the actual amount of the money to be conveyed to Company, and shall not be liable to Company for any actual or consequential damages, direct or indirect, interest, attorney fees, or cost of court for any act of default by City under the terms of this Agreement. Payment by City is strictly limited to those funds so allocated, budgeted, and collected solely during the term of this Agreement. 17. The parties mutually agree and understand that funding under this Agreement is subject to annual appropriations by the City Council; that each fiscal year’s funding must be included in the budget for that year; and the funding is not effective until approved by the City Council. 7 18. Notices. a. Any required written notices shall be sent mailed, certified mail, postage prepaid, addressed as follows: Company: LiftFund, Inc. Attn.: Janie Barrera 2007 West Martin Street San Antonio, Texas 78207 Corpus Christi, TX 78413 City: City of Corpus Christi Attn.: City Manager P.O. Box 9277 Corpus Christi, Texas 78469-9277 b. A copy of all notices and correspondence must be sent the City at the following address: City of Corpus Christi Attn.: City Attorney P.O. Box 9277 Corpus Christi, Texas 78469-9277 c. Notice is effective upon deposit in the United States mail in the manner provided above. 19. Amendments or Modifications. No amendments or modifications to this Agreement may be made, nor any provision waived, unless in writing signed by a person duly authorized to sign Agreements on behalf of each party. 20. Relationship of Parties. In performing this Agreement, both the City and Company will act in an individual capacity, and not as agents, representatives, employees, employers, partners, joint-venturers, or associates of one another. The employees or agents of either party may not be, nor be construed to be, the employe es or agents of the other party for any purpose. 8 21. Captions. The captions in this Agreement are for convenience only and are not a part of this Agreement. The captions do not in any way limit or amplify the terms and provisions of this Agreement. 22. Severability. a. If for any reason, any section, paragraph, subdivision, clause, provision, phrase or word of this Agreement or the application of this Agreement to any person or circumstance is, to any extent, held illegal, invalid, or unenforceable u nder present or future law or by a final judgment of a court of competent jurisdiction, then the remainder of this Agreement, or the application of the term or provision to persons or circumstances other than those as to which it is held illegal, invalid, or unenforceable, will not be affected by the law or judgment, for it is the definite intent of the parties to this Agreement that every section, paragraph, subdivision, clause, provision, phrase, or word of this Agreement be given full force and effect for its purpose. b. To the extent that any clause or provision is held illegal, invalid, or unenforceable under present or future law effective during the term of this Agreement, then the remainder of this Agreement is not affected by the law, and in lieu of any illegal, invalid, or unenforceable clause or provision, a clause or provision, as similar in terms to the illegal, invalid, or unenforceable clause or provision as may be possible and be legal, valid, and enforceable, will be added to this Agreement automatically. 23. Venue and Law. Venue for any legal action related to this Agreement is in Nueces County, Texas. This Agreement is subject to all legal requirements in City Charter and Code of Ordinances of City of Corpus Christi, Texas and all other applicable County, State and Federal laws, and Company agrees that it will promptly comply with all such applicable laws, regulations, orders and rules of the State, City and other applicable governmental agencies. This Agreement shall be governed by and construed in accordance with the laws and court decisions of the State of Texas without regard, however, to the conflicts of laws provisions of Texas law. 24. Sole Agreement. This Agreement constitutes the sole Agreement between City and Company. Any prior Agreements, promises, negotiations, or representations, verbal or otherwise, not expressly stated in this Agreement, are of no force and effect. 9 25. Survival of terms of Agreement and obligations of parties. The terms of this Agreement and the obligation of the parties relating to Section 14 shall survive the termination of this Agreement. 26. Public Information Act Requirements. The requirements of Subchapter J, Chapter 552, Government Code, may apply to this contract and the Company agrees that the contract can be terminated if the Company knowingly or intentionally fails to comply with a requirement of that subchapter. 27. Certificate of Interested Parties. Company agrees to comply with Texas Government Code Section 2252.908, as it may be amended, and to complete Form 1295 "Certificate of Interested Parties" as part of this Agreement if required by said statute. [Remainder of Page Intentionally Left Blank] 10 City of Corpus Christi By: _______________________________ Constance Sanchez Chief Financial Officer Date: ______________________________ Attest: By: ______________________________ Rebecca Huerta City Secretary LiftFund, Inc. By: ______________________________ Janie Barrera President and Chief Executive Officer Date: ______________________________ THE STATE OF TEXAS § § COUNTY OF BEXAR § This instrument was acknowledged before me on ___________________, 2020, by Janie Barrera, President and Chief Executive Officer for LiftFund, Inc., a Texas non -profit corporation, on behalf of the corporation. _____________________________ Notary Public State of Texas APPROVED AS TO LEGAL FORM: _____________________________ Assistant City Attorney Date 11 Exhibit A CITY OF CORPUS CHRISTI COVID-19 SMALL BUSINESS RECOVERY PROGRAM Small Business Recovery Program: The City of Corpus Christi is proposing a Small Business Recovery Program for small businesses located in Corpus Christi that are impacted by the COVID-19 pandemic. Through a redirection of $2,000,000 in the Corpus Christi Business and Job Development Fund for economic development, resources are made available for this program. The City will contract with LiftFund Inc. to administer the program through a Dream Makers Fund grant. LiftFund Inc. is a San Antonio- based microlender that offers small loans to business owners. Businesses eligible to apply for this Small Business Recovery Program will be those within the Corpus Christi city limits with annual gross revenues of not more than $5,000,000 from all business activities at all business locations are eligible to apply. As loans are paid back, LiftFund Inc. will deposit the repaid funds into the existing Dream Makers Fund, created in accordance with LiftFund Inc.’s agreement with the Corpus Christi B Corporation. The fund will absorb any loan defaults – the losses being subtracted from the $1,700,000 loan fund reducing the amount of funds available for future lending. Funds deposited into the Dream Makers Fund may only be used to provide loans to small businesses within Corpus Christi. How It Works:  Business owners must apply online at www.liftfund.com to begin the application process and are subject to credit review and financial assessment  Loans will range in value up to $25,000 at 0% interest and will be approved based on factors such as: need, location, planning, eligibility, and availability of funds  Funds for loans may be used for working capital, covering expenses of debt, and workforce needs  Once an application is approved, businesses will be asked to submit additional receipts and/or invoices for the items they are utilizing the funds Loan Terms:  Initial 120-day deferral of principal and interest upon closing the loan  5% loan origination fee  Terms are based on size of loan: o 24 months for loans up to $15,000 o 36 months for loans over $15,000 up to $25,000  It is intended for funding to take place within 10 days of receipt of required documentation and subsequent approval Eligibility:  Annual gross revenues of not more than $5,000,000 from all business activities at all business locations in Corpus Christi for the last year from February 28, 2019 to March 1, 2020 12  Must be in good standing with creditors for at least six months prior to March 1, 2020 (COVID-19 outbreak)  Loans are limited to businesses that are located in Corpus Christi and will reopen in same location  Demonstrates a loss of at least 15% of revenue in the period beginning March 1, 2020 to the time of application  Business information must be verified through one or more of the following: o Plaid access via LiftFund application, o Paper documentation via bank, o Business will demonstrate/show plan of action including assessment of financials to stabilize with funds as part of the assessment. The assessment and planning will be done as consultations with the applicants. Team members will assist and review with the applicants.  This includes a plan of action and budget from the business demonstrating need and ability to proceed with funding. Required Documents:  Last 90 days of bank or statements connected to business demonstrating expenses and revenue; business formation verification, plan of action document, any pending tax documentation items  Application completed via liftfund.com website  Documentation of expenses the loan will be used towards Cost and Administration:  $280,000 for interest buy down and loan deferment credit enhancements  $ 20,000 for servicing and administrative fees for up to 36 months (duration of loan term) Summary of Loan Program: Amount Description Loan Fund $1,700,000 Credit Enhancements (Interest Buy-Down and Deferment) (14%) $280,000 Reduces the cost of loan to business owner Administrative Fee (1%) $20,000 Servicing and administrative fee for establishing the loan program. TOTAL LOAN FUND PROGRAM $2,000,000 13 City Council Presentation April 7, 2020 COVID-19 Small Business Recovery Program 1 2 •The City of Corpus Christi is proposing to contract with LiftFund, Inc., via a Dream Makers Fund grant, to establish a $2 million loan program for small businesses impacted by COVID-19. •$1.7 million for loans •$300 thousand in overhead to administer the loans •Will establish a permanent revolving loan fund in the Dream Maker Fund to serve Corpus Christi. Small Business Recovery Program 3 •The Corpus Christi Business and Job Development Corporation’s Board Members voted on April 3, 2020 to transfer $2 million Type A Economic Development Fund to the City of Corpus Christi’s Street Maintenance Fund for arterial and collector street work already scheduled •Ocean Drive/Shoreline Boulevard – IH37 to Louisiana $1.8 million •Patti Drive – Saratoga Boulevard to Dunbarton Oak $200 thousand •The Type A transfer will replace City’s General Fund transfer to the Street Maintenance Fund, freeing up $2 million for the Small Business Recovery Program Use of Type A Funds 4 For businesses in Corpus Christi with: •Annual gross revenues of not more than $5 million •Revenue loss of at least 15% in the period beginning March 1, 2020 to the time of application Eligibility 5 Will range in value up to $25,000 0% interest 120-day deferral of first payment (4 months) Funding within 10 days of receipt of required documentation and subsequent approval Loans 6 Program Summary Amount Description Loan Fund $1.7 million Credit Enhancements (Interest Buy-Down and Deferment) (14%)280 thousand Reduces the cost of loan to business owner Administrative Fee (1%)20 thousand Servicing and administrative fee for establishing the loan program. TOTAL LOAN FUND PROGRAM $2 million 7 Questions?