HomeMy WebLinkAbout6-26-23RICHARD WARREN, PRESIDENT DANNY EARP, BOARD MEMBER
BRENT McCAULLEY, COUNCILPERSON JOHN BLAKEMORE, BOARD MEMBER
AMANDA GERRISH, BOARD MEMBER NANCY OJEDA, VICE-PRESIDENT
CHUCK ENGELKEN, COUNCILPERSON
CITY OF LA PORTE DEVELOPMENT CORPORATION BOARD OF
DIRECTORS MEETING AGENDA
Notice is hereby given of a meeting of the City of La Porte Development Corporation Board of
Directors to be held on June 26, 2023, at the City Hall Council Chamber, 604 West Fairmont
Parkway, La Porte, Texas, beginning at 5:00 pm to consider the following items of business:
Remote participation is available, also. Attend via a screen using this link:
https://us02web.zoom.us/j/84695938493?pwd=RkVpem5QUzF6NTFCTzYrZGZEL2xVZz09.
Join by phone at 888-475-4499 or 877-853-5257. The meeting ID is 846 9593 8493 and the passcode
is 895925.
1.CALL TO ORDER
2.CITIZEN COMMENT (G enerally limited to five minutes per person; in accordance with state
law, the time may be reduced if there is a high number of speakers or other considerations.)
3.AUTHORIZATIONS
(a)Approve the minutes of the April 24, 2023, meeting of the La Porte Development
Corporation Board of Directors. [Richard W arren, President]
(b)Receive Annual Report from Economic Alliance Houston Port Region. [Matt Daeumer,
Assistant City Manager]
(c)Presentation, discussion, and possible action to approve the incentive payment with
Frank Nance, owner of State Farm, located at 508 W Main Street in La Porte, Texas,
in an amount not to exceed $15,000.00. [Matt Daeumer, Assistant City Manager]
4.SET NEXT MEETING
5.STAFF REPORTS
(a)Update on Economic Development Manager.
6.BOARD COMMENTS Hear announcements concerning matters appearing on the
agenda; items of community interest; and/or inquiries of staff regarding specific factual
information or existing policy from the Committee members and City staff, for which no
formal action will be discussed or taken.
7.EXECUTIVE SESSION The La Porte Development Corporation reserves the right to
meet in executive session on any agenda item should the need arise and if authorized
by the Texas Open Meetings Act, Title 5, Chapter 551, of the Texas Government Code.
8.Reconvene into open session and consider action, if any, on items discussed in
executive session.
9.ADJOURN
If, during the course of the meeting and discussion of any items covered by this notice, the La Porte
Development Corporation Board determines that a Closed or Executive Session of the Board is
required, then such closed meeting will be held as authorized by Texas Government Code, Chapter
551, Section 551.071 - consultation with counsel on legal matters; Section 551.072 - deliberation
regarding purchase, exchange, lease or value of real property; Section 551.073 - deliberation
regarding a prospective gift; Section 551.074 - personnel matters regarding the appointment,
employment, evaluation, reassignment, duties, discipline, or dismissal of a public officer or employee;
Section 551.076 - implementation of security personnel or devices; Section 551.087 - deliberation
regarding economic development negotiation; Section 551.089 - deliberation regarding security
devices or security audits, and/or other matters as authorized under the Texas Government Code. If a
Closed or Executive Session is held in accordance with the Texas G overnment Code as set out above,
the La Porte Development Corporation Board will reconvene in Open Session in order to take action, if
necessary, on the items addressed during Executive Session.
Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are
requested to contact the City Secretary's office (281-470-5019), two working days prior to the meeting for
appropriate arrangements.
Pursuant to Texas Government Code Sec. 551.127, on a regular, non-emergency basis, members may attend and participate
in the meeting remotely by video conference. Should that occur, a quorum of the members will be physically present at the
location noted above on this agenda.
CERTIFICATE
I, Lee W oodward, C ity Secretary, do hereby certify that a copy of the June 26, 2023, La Porte Development
Corporation B oard agenda was posted on the C ity Hall bulletin board, a place convenient and readily accessible to
the general public at all tim es, and to the City's website, www.LaPorteT X.gov, in com pliance with Chapter 551,
Texas Government Code.
DATE OF
POSTING
TIME OF
POSTING
TAKEN DOW N
Lee Woodward
Lee W oodward, City Secretary
Page 1 of 2
April 24, 2023, La Porte Development Corporation Board of Directors Minutes
RICHARD WARREN
PRESIDENT
BRENT MCCAULLEY
COUNCILPERSON
AMANDA GERRISH
BOARD MEMBER
CHUCK ENGELKEN
COUNCILPERSON
DANNY EARP
BOARD MEMBER
JOHN BLAKEMORE
BOARD MEMBER
NANCY OJEDA
VICE-PRESIDENT
MINUTES OF THE LA PORTE DEVELOPMENT CORPORATION
BOARD OF DIRECTORS MEETING OF APRIL 24, 2023
The City of La Porte Development Corporation Board met on Monday, April 24, 2023, at the City Hall
Council Chambers, 604 West Fairmont Parkway, La Porte, Texas, at 5:20 p.m., with the following in
attendance:
Board members present: Richard Warren, Nancy Ojeda, Chuck Engelken, John Blakemore, Brent
McCaulley
Board members attending remotely: None
Board members absent: Danny Earp, Amanda Gerrish
Council-appointed members present: Corby Alexander, City Manager; Lee Woodward, City Secretary;
Clark Askins, Assistant City Attorney
CALL TO ORDER – President Warren called the meeting to order at 5:26 p.m.
2. CITIZEN COMMENT (Generally limited to five minutes per person; in accordance with state law, the
time may be reduced if there is a high number of speakers or other considerations.)
There were no comments.
3. CONSENT AGENDA
a. Approve the minutes of the February 27, 2023, meeting of the La Porte Development
Corporation Board of Directors. [Richard Warren, President]
Member Engelken moved to approve the minutes of the February 27, 2023, regular meeting of the
La Porte Development Corporation Board of Directors; the motion was seconded by Member
McCaulley; the motion was adopted, 5-0.
4. AUTHORIZATIONS
a. Presentation, discussion, and possible action to approve a Mutual Recission and Release
Agreement between the La Porte Development Corporation and R Favorite Things, LLC, for
the purpose of terminating the Economic Development Incentive Agreement dated
September 22, 20232, between the La Porte Development Corporation and R Favorite
Things, LLC for development of the Revak Building located at 114 W. Main Street in La Porte,
Texas. [Matt Daeumer, Assistant City Manager]
Member Engelken moved to approve a Mutual Recission and Release Agreement between the La
Porte Development Corporation and R Favorite Things, LLC, for the purpose of terminating the
Economic Development Incentive Agreement dated September 22, 2022, between the La Porte
Page 2 of 2
April 24, 2023, La Porte Development Corporation Board of Directors Minutes
Development Corporation and R Favorite Things, LLC for development of the Revak Building
located at 114 W. Main Street in La Porte, Texas; the motion was seconded by Member McCaulley;
the motion was adopted, 5-0.
b. Presentation, discussion, and possible action to approve a reimbursement payment in an
amount not to exceed $25,000.00 to the applicant, Marion (Marty) Campise, under terms of
the Economic Development Incentive Agreement dated October 10, 2022, for the
enhancements for his business, Main Street Entertainment and Food Park, located at 402
W. Main Street in La Porte, Texas. [Matt Daeumer, Assistant City Manager]
Member Engelken moved to approve a reimbursement payment in an amount not to exceed
$25,000.00 to the applicant, Marion (Marty) Campise, under terms of the Economic Development
Incentive Agreement dated October 10, 2022, for the enhancements for his business, Main Street
Entertainment and Food Park, located at 402 W. Main Street in La Porte, Texas; the motion was
seconded by Member Ojeda; the motion was adopted, 5-0.
5. SET DATE FOR NEXT MEETING
May 22, 2023, was set as a tentative date for the next meeting of the Board.
6. STAFF REPORTS
a. Update on open Economic Development Manager position.
An update was provided by Assistant City Manager Daeumer.
7. BOARD COMMENTS Hear announcements concerning matters appearing on the agenda; items of
community interest; and/or inquiries of staff regarding specific factual information or existing policy from
the Committee members and City staff, for which no formal action will be discussed or taken.
There were no comments.
ADJOURN – The meeting was adjourned without objection at 5:33 p.m.
___________________________________
Lee Woodward, City Secretary
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD
AGENDA ITEM
Agenda Date Requested: June 26, 2023
Requested By: Matt Daeumer, Asst. City Manager
Department: CMO
Report Resolution Ordinance
Exhibits:
Economic Alliance Presentation
SUMMARY
As part of our agreement, the Economic Alliance Houston Port Region is to make an annual presentation
to the Economic Development Corporation and City Council. Chad Burke with the Economic Alliance will
present an update on their activities in the Port area and La Porte.
RECOMMENDED MOTION
No Action necessary
Approved for the La Porte Development Corporation Board meeting agenda
Corby D. Alexander, City Manager Date
Appropriation
Source of Funds:
Account Number:
Amount Budgeted:
Amount Requested:
Budgeted Item: Yes No
Economic Alliance Houston Port Region
La Porte Annual Report
June 26, 2023
Presented By:
Chad Burke
President & CEO
Economic Alliance Houston Port Region
chad@allianceportregion.com
2
MISSION
MARKET AND GROW A VIBRANT
REGIONAL ECONOMY
3
FOOTPRINT
ONE OF THE LARGEST, GROWTH ENGINES of economic opportunity of
anywhere in the world –X’s 7!
ECONOMIC
DEVELOPMENT
5
6
ECONOMIC DEVELOPMENT
PROVIDE PROFESSIONAL ASSISTANCE TO COMPANIES to navigate
the multiple facets of the expansion process in the Houston Port
region.
ECONOMIC DEVELOPMENT
LOCAL INVESTMENTS, WORLDWIDE IMPACTS -Securing business to
invest capital and create jobs.
2022 PROJECT 750 $1.6B 100
TOTALS
ECONOMIC DEVELOPMENT
ANNOUNCEMENT-Securing business to invest capital and create
jobs.
JOBS CAP EX
60 $250M
Tertiary Amine Production Plant -
5010 Underwood
Former Sunoco site that sat
vacant for over 10 years
Basic ingredients in hair
conditioners, dishwashing
detergents, disinfectants and
other household products
PARTNER & ADVOCATE
9
Kuraray’s EVAL Plant on Bay Area Blvd
needed to address the timing of CenterPoint
proposed outages for equipment upgrades.
Kuraray tried for several weeks to broker
a meeting with CPE to discuss
alternatives –no success
EA elevated the conversation with
contacts at CPE
CPE adjusted outage/upgrade dates to
synch with Kuraray’s scheduled
turnaround saving the company in
excess of $1.5M based on the facilitated
dialogue
Container Export Group - Convened 16
companies that produce, warehouse, or
distribute polymers, resins and specialty
chemical exports.
All experiencing delays at Port Houston
Surveyed the group for issue/congestion
confirmation and development of
solutions
Findings/Solutions to be discussed with
Port Houston Advisory Council of
Executive Shippers
(ACES)
PROJECT PIPELINE – 2023
Industry Breakdown
Early stages and evaluating multiple locations across
the Houston Port region.
Active Projects
23 Projects
$6.1B Cap Ex
3,800 New Jobs
300 Retained Jobs
39% Petrochem
4% Logistics
44% Manufacturing
5% Alt Fuels
4% Corp Hdqtr
4% Real Estate Dev
PORT HOUSTON
ACTIVITY
11
12
#1 Busiest Exporting &
Energy Port in the U.S.
#1 Busiest Exporting & Energy Port in the U.S.
PORT HOUSTON RECORDED ITS BEST YEAR YET IN 2022:
Container volume was up 14% in ‘22). Just short of
4M TEUs at 3.9M
Nearly double the volume posted six years earlier in
2016 and nearly 500k TEUs more than in 2021.
PORT HOUSTON RECORD GROWTH
PUBLIC POLICY
Container Commodities: Imports
Percent of TEU Total
(’21)
Container Commodities: Exports
Percent of TEU Total
(‘21)
PORT HOUSTON
CONTAINER COMMODITIES – EXPORTS & IMPORTS
61% are Consumables 60% Resins & Chemicals
16
PUBLIC POLICY
17
PUBLIC POLICY
18
ECONOMIC ALLIANCE LEADERSHIP TEAM –Deliver Federal Policy
White Paper in D.C.
March 2023 DC Trip
45 Members Attended
40 Meetings across 2 Days
PUBLIC POLICY
ECONOMIC ALLIANCE LEADERSHIP TEAM –Deliver State Policy White
Paper in Austin in 2023
Economic Alliance supports the funding and completion of
transportation projects impacting the movement of product and
people through the state’s most vital economic corridor.
•Beltway 8 Ship Channel Bridge and State Highway 225 – Funding
and completion of all 8 direct connectors.
•Engineer, fund and complete a direct connector from State
Highway 225 to Barbour’s Cut Blvd.
•Fund the San Jacinto River Bridge replacement, Cedar Bayou
Crossing, and Garth Road improvements.
•Grand Parkway/99 – Southeast Section; segments A, B and C.
TRANSPORATION/
INFRASTRUCTURE
20
21
ECONOMIC ALLIANCE CONVENES local/state elected officials, Port
Houston, petrochemical association partners and private sector
members to DELIVER TXDOT A PRIORITIZED PROJECT LIST
TRANSPORTATION/INFRASTRUCTURE
TRANSPORTATION/INFRASTRUCTURE
PRIORITY PROJECTS
I-10 East Expansion/San Jacinto River Bridge
SH 225 - 610 PEL Study Expansion
SH 146 Expansion & Widening/Fairmont to Red Bluff Beltway 8 Bridge and Hwy 225 Direct Connectors
TRANSPORTATION/INFRASTRUCTURE
PRIORITY PROJECTS
WORKFORCE
DEVELOPMENT
24
WORKFORCE DEVELOPMENT
DIRECTLY MARKET CAREER PATHS and JOB OPPORTUNITIES to address
attrition, skill enhancement, and demand TO POTENTIAL JOB
CANDIDATES.
Leverage partnerships with
EHCMA and 9 community
colleges to recruit and train a
qualified workforce
Filling a key role with industry
partners in identifying and
prioritizing the high-demand,
high-paying careers
WORKFORCE DEVELOPMENT
PREPARING THE NEXT GENERATION WORKFORCE -To close the
skilled worker gap and connect economic opportunities in the
Houston Port region.
WORKFORCE DEVELOPMENT ACTIVITIES ‘22
QUALITY OF LIFE
27
28
QUALITY OF LIFE
ECONOMIC ALLIANCE AND SAN JACINTO TEXAS HISTORIC
DISTRICT PROVIDE MATCHING FUNDS for Q of L projects.
INSIGHTS/THOUGHT
LEADERSHIP
29
INSIGHTS/THOUGHT LEADERSHIP
VITAL POINT FOR KNOWLEDGE SHARING & THOUGHT LEADERSHIP -
Topics and issues relevant to industry along the Gulf Coast.
KNOWLEDGE SHARING VEHICLES
GULF COAST INDUSTRY FORUM
ECONOMIC ALLIANCE’S LARGEST EVENT of the year bringing
industry, government, and community stakeholders.
Leverages the resources, experience, and network
of the Houston Port region associated with
Petrochemical, Maritime, and Logistics industries
on the gulf coast.
Thank You!
www.allianceportregion.com
32
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD
AGENDA ITEM
Agenda Date Requested: June 26, 2023
Requested By: Matt Daeumer, Asst. City Mgr.
Department: Administration/CMO
Report Resolution Ordinance
Exhibits: Incentive Agreement, proof of payment,
pictures
SUMMARY & RECOMMENDATIONS
On May 23, 2022, staff brought the La Porte Development Corporation Board a project
in downtown La Porte. The applicant, Frank Nance, purchased the building at 508 W.
Main St, which currently house his State Farm Insurance Agency. There was a need to
significantly remodel and expand the structure in order to grow his business. The initial
estimates put the applicant’s investment at $200,000. Staff ran the project through the
EDC matrix, which indicated that this project would be eligible for a $30,000 incentive.
On May 23, 2022, the La Porte Development Corporation Board discussed the project
and approved to move forward with an incentive package for this project in an amount
not to exceed of $30,000. As required by state law, a sixty (60) day public comment
period needed to occur. The public “Notice of Proposed Project” was advertised in the
Bay Area Observer on June 2, 2022 . On August 22, 2022, the La Porte Development
Corporation approved the incentive agreement for 508 W. Main Street.
Staff was provided documents and has validated $214,806.80 in expenses related to
this project and substantial completion of the project, which meets the required 1st
benchmark threshold. There is one additional benchmark to be passed in the future,
which Staff will bring forward to the Board in February of 2024, as stated in the
agreement. Mr. Nance made his payments in a combination of checks and financing.
He submitted canceled checks and the financing confirmation to show payment.
• Draw #1:
o Check #1011
▪ Amount: $13,442
• Draw #2:
o Check #1015
▪ Amount: $33,000
• Draw #3:
o Check #1016
Appropriation
Source of Funds: 038 – EDC Fund
Account Number: 038-6030-565-9997
Amount Budgeted: $387,347.00
Amount Requested: $15,000.00
Budgeted Item: Yes No
▪ Amount: $5,000
o Check #1017
▪ Amount: $4,575
• Draw #4:
o Financed
▪ Amount: $52,635
• Draw #5:
o Financed
▪ Amount: $20,541
• Draw #6:
o Financed
▪ Amount: $49,448
• Draw #7:
o Check #2013
▪ Amount: $7,051.64
o Check #1019
▪ Amount: $2.36
o Financed
▪ $21,376
• Additional Payments
o Check #1060
▪ Amount: $5,760.75
▪ Payment made in addition to the financing.
o Check #1018
▪ Amount: $1,975
▪ Payment made in addition to the financing.
The applicant, Frank Nance, has passed his first benchmark for proof of a capital
investment of at least $130,000.00 and proof of substantial completion of renovation of
the building.
ACTION REQUIRED BY LPDC BOARD
Presentation, discussion, and possible action to approve the incentive payment
with Frank Nance, owner of State Farm, located at 508 W Main Street in La
Porte, Texas in an amount not to exceed $15,000.00.
Approved for the La Porte Development Corporation Board meeting agenda
Corby D. Alexander, City Manager Date
2
ARTICLE I
In consideration of Recipient renovating the existing structure at 508 West
Main Street and operating commercial office space at the subject site (“Building”
herein), which proposal was considered in that certain public hearing authorizing
a proposed project for the expenditure of LPDC funds for the promotion or
development of new or expanded business enterprises, held before the LPDC on
August 22, 2022, LPDC agrees to provide Recipient an incentive package
consisting of a cash payment in a total sum not to exceed $30,000.00, to be
distributed in two increments of $15,000.00 and $15,000.00 each, with each
distribution conditioned on the attainment of certain performance thresholds, more
specifically outlined as follows:
1) A cash incentive payment in an amount equal to $15,000.00 will
be distributed to Recipient by LPDC, upon a) receipt by LPDC of
proof of substantial completion of renovation of the Building and,
and b) proof of minimum capital investment in the amount of
$130,000.00 applied towards renovation of the Building and
related infrastructure and site work. However, in no case will the
$15,000.00 payment be made by LPDC if documentation
substantiating 1) substantial completion of the renovation of the
Building and 2) the expenditure of no less than $130,000.00
applied towards capital improvements to the Building and related
infrastructure and site improvements is not delivered to and
received by LPDC by July 31, 2023. In the case that proof of
substantial completion of renovation of the Building and minimum
capital investment of $130,000.00 applied towards capital
improvements to the Building related infrastructure and site
improvements is presented to LPDC on or before said July 31,
2023 deadline, the LPDC shall convene a meeting of the LPDC
Board of Directors for a date no later than forty-five (45) days after
receipt of proof of substantial completion of the renovation of the
Building and minimum capital investment of $130,000.00 by
LPDC from Recipient. Upon verification of the substantial
completion of the Building and minimum capital investment of
$130,000.00, as reflected by formal vote of the LPDC Board of
Directors that Recipient has satisfied the requirements of this
paragraph, LPDC will then remit the $15,000.00 to Recipient
within a period not to exceed thirty (30) days.
In the case where Recipient fails to submit proof of substantial
completion of renovation of the Building and proof of a minimum
capital investment in the amount of $130,000.00 by the July 31,
2023 deadline, despite therefore being disqualified for the first
$15,000.00 incentive payment, Recipient will remain eligible to
qualify for receipt of the second $15,000.00 incentive payment
under Paragraph 2 below, in so far as the conditions precedent of
permanent employment of four (4) positions required in such
paragraph is met. However, in such case Recipient will remain
responsible to submit proof of substantial completion of
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