Loading...
HomeMy WebLinkAbout08-26-15 Meeting of the La Porte Development Corporation Board of Directors minutes RICHARD WARREN,PRESIDENT MIKE CLAUSEN,BOARD MEMBER MIKE COOKSLEY,VICE PRESIDENT �.y 9 RANDY WOODARD,BOARD MEMBER 1 CHUCK ENGELKEN,BOARD MEMBER v ' '" NANCY OJEDA,BOARD MEMBER JAY MARTIN,BOARD MEMBER rexA$ MINUTES OF LA PORTE DEVELOPMENT CORPORATION BOARD MEETING OF AUGUST 26, 2015 The City of La Porte Development Corporation Board met on August 26, 2015, at the City Hall Council Chambers, 604 West Fairmont Parkway, La Porte, Texas, at 5:00 p.m. to consider the following items of business: 1. CALL TO ORDER President Richard Warren called the meeting to order at 5:00 p.m. The following members of the La Porte Development Corporation Board were present: Board members Martin, Clausen, Ojeda and Woodard. Absent: Vice-President Cooksley and Board member Engelken. Staff Present: Corby Alexander, Sharon Harris, Scott Livingston, Traci Leach, Clark Askins and Michael Dolby. 2. AUTHORIZATIONS (a) Consider approval or other action of minutes of the meeting of the La Porte Development Corporation Board held on July 7, 2015— P. Fogarty Board member Clausen moved to approve the minutes of the meeting of the La Porte Development Corporation Board held on July 7, 2015. Board member Martin seconded. MOTION PASSED. Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken The agenda was taken out of order at this time and Finance Director Michael Dolby presented the Financial Report. 5.1 STAFF REPORT (a) Receive Financial Report—M. Dolby Finance Director Michael Dolby presented the Financial Report. Board member Martin asked if the Debt Service Transfer is a quarterly or annual payment. Mr. Dolby responded payments occur in March and August. 3. DISCUSSION OR OTHER ACTION (a) Discussion and possible action authorizing Staff to draft a proposed request for proposals to conduct both a Market Feasibility Study and Cost Feasibility for a Multi-Use Civic Center in the City of La Porte—S. Livingston Page 1 of 6 August 26,2015, La Porte Development Corporation Board Minutes Economic Development Coordinator Scott Livingston presented a summary for a proposed request for proposals to conduct both a Market Feasibility Study and Cost Feasibility for a Multi-Use Civic Center in the City of La Porte. Board member Clausen asked the anticipated cost of a Market Feasibility Study and Cost Feasibility for a Multi-Use Civic Center in the City of La Porte. Mr. Livingston responded $30,000.00-$50,000.00. Board member Woodard questioned if Hotel/Motel Funds can be used .in the cost for such studies. Assistant City Attorney Clark Askins advised yes if the Texas Tax Code allows funding for these type of studies. Board member Martin moved to go forward with a request for proposals to conduct both a Market Feasibility Study and Cost Feasibility for a Multi-Use Civic Center in the City of LaPorte. Board member Woodard seconded. MOTION PASSED. Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken (b) Discussion and possible action authorizing Staff to execute payment in the amount of $25,000.00 to Eagle Energy Resources, LLC., for the completed enhancement grant project —S. Livingston Economic Development Coordinator Scott Livingston presented a summary to execute a ment in the amount of 25 000.00 to Eagle Ener Resources LLC. for the completed $ P Y � 9 9Y enhancement grant project. Doug Shows President and CEO for Eagle Energy Resources, LLC.,thanked Board members for the opportunity for an enhancement grant and commented the City of La Porte was a pleasure to work with during the project. Board member Martin asked how Eagle Energy Resources, LLC feels about being located at Five Points. Mr. Shows responded awesome. Board member Martin asked Mr. Shows if he has any thoughts of having a brewery as a neighbor. Mr. Shows responded it will be great. Board member Ojeda commented the building looks incredible. Board member Martin asked Mr. Shows the linear feet of the frontage of the property. Mr. Shows responded he calculated 5,000 square feet on the exterior. Board member Ojeda moved to execute payment in the amount of $25,000.00 to Eagle Energy Resources, LLC., for the completed enhancement grant project. Board member Clausen seconded. MOTION PASSED. Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken Page 2 of 6 August 26,2015, La Porte Development Corporation Board Minutes (c) Discussion and possible action regarding approval to revisions of the La Porte Enhancement Grant Program —S. Livingston Economic Development Coordinator Scott Livingston presented a summary for revisions of the La Porte Enhancement Grant Program. The six (6) proposed revisions to the La Porte Enhancement Grant Program included: • Add parking lot improvements including new parking lot construction, parking lot paving, parking lot re-surfacing, parking space striping/painting, new parking blocks, old parking block removal, and other projects as approved by the ED Board. • Include preference for local bidders by incorporating the City of La Porte's Local Bidder Preference Policy. • Eliminate the requirement for multiple bids for each eligible project which has a value which is less than $2,000 of which 50% or$1,000 would be a reimbursable expense, in accordance with the City of La Porte's Purchasing Policy. • Expand the program's boundaries to include the incorporated city limits of La Porte. • Remove the clause that prohibits alterations of approved projects for a period of five (5) years. • Numerous grammatical revisions or clarifications, as shown in red ink, which support the intent of the previous five (5) revisions as listed above. Board member Martin moved to approve the revisions of the La Porte Enhancement Grant Program. Board member Clausen seconded. MOTION PASSED. Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken (d) Discussion and possible action regarding two new incentive programs that will promote the development of new or expanded business enterprises in the City of La Porte -S. Livingston Economic Development Coordinator Scott Livingston presented a summary for two new incentive programs that will promote the development of new or expanded business enterprises in the City of La Porte and detailed the proposed qualifications for the two programs. Board member Martin questioned criteria for return on investment being proposed for an expanded business and not a new business. Mr. Livingston responded for a new business it is on the pay back model based on decisions by the Board for the last 4-6 months. Board member Woodard commented there are not any written guidelines on pay back for projects and it has been used only as a rule of thumb. Economic Development Coordinator Scott Livingston responded it is his understanding the La Porte Development Corporation Board wishes to have the pay back specified and any revisions can be made as desired by Board members. Board member Clausen commented it is his understanding the Board wishes to establish consistent guidelines and not polices. Mr. Livingston advised the item can be revised as per Board members desires and presented at a future meeting. Board member Woodard moved to table the item. Board member Clausen seconded. MOTION PASSED. Page 3 of 6 August 26,2015,La Porte Development Corporation Board Minutes Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken (e) Discussion and possible action authorizing Staff to publish 60-day public notice of a public hearing to consider awarding an economic development grant to owners of Fischer's Do It Best Hardware for an amount not to exceed $350,000.00—S. Livingston Economic Development Coordinator Scott Livingston presented a summary authorizing Staff to publish 60-day public notice of a public hearing to consider awarding an economic development grant to owners of Fischer's Do It Best Hardware for an amount not to exceed $350,000.00. Board member Woodard left the table at 6:24 p.m., and returned at 6:32 p.m. Board member Clausen asked how long Fischer's Do It Best Hardware has been in business and how old is the building. Rod Rothermel owner of Fischer's Do It Best Hardware responded 35 years and informed the building was a Kroger grocery store prior to Fischer's Do It Best Hardware. Mr. Rothermel introduced himself and advised Board members he and Michael Breaux, also owner of Fischer's Do It Best Hardware decided due to the growth in La Porte there is a need to expand the business. Mr. Rothermel also added profits are being invested in the business. Board member Martin questioned business personal property being a valuation of the property value. Economic Development Coordinator Scott Livingston responded it is part of the value of the project and it is taxable property. Board member Martin asked if it is cost or retail value of$450,000.00 for the purchase of new retail inventory. Mr. Rothermel responded cost. Board member Ojeda asked other Board members their thoughts on interior furniture, fixtures and equipment being considered a part of value of the project. Board member Martin commented he does not think the intent of the economic development grant program is to include inventory but it is to improve the community. President Warren commented he does not have a problem improving the building but does have concerns with the number of new jobs being created and the pay-back period. Board member Martin commented he would be comfortable with an economic development grant not exceeding$250,000.00. Board member Woodard agreed with Board member Martin and commented the location is good for beautification in the City. Board member Ojeda asked Mr. Rothermel if he is the owner of the other two Fischer's Do It Best Hardware stores and if they have received incentive grants from other cities. Mr. Rothermel responded they are the owners and have not received incentive grants from the cities. Mr. Rothermel also added the other two Fischer's Do It Best Hardware buildings are not as old as the building in La Porte. Board member Woodard moved to authorize Staff to publish 60-day public notice of a public hearing to consider awarding an economic development grant to owners of Fischer's Do It Best Hardware for an amount not to exceed $250,000.00. Board member Martin seconded. MOTION PASSED. Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken Page 4 of 6 August 26,2015, La Porte Development Corporation Board Minutes (f) Discussion and possible action authorizing Staff to publish 60-day public notice of a public hearing to consider approving up to$400,000.00 to renovate the former city-owned Texas Parks&Wildlife building and attract the Brigadoon Brewery& Brew School, LLC., to La Porte, TX. —S. Livingston Economic Development Coordinator Scott Livingston presented a summary authorizing Staff to publish 60-day public notice of a public hearing to consider approving up to$400,000.00 to renovate the former city-owned Texas Parks & Wildlife building and attract the Brigadoon Brewery & Brew School, LLC., to La Porte, TX. Board member Martin asked Alan Ward Managing Member/Brewmaster of Brigadoon Brewery & Brew School, LLC if the weekend visitor estimate of one-thousand people is correct. Mr. Ward advised most craft breweries begin with small clientele and he feel 1000 estimated visitors is an accurate estimate. Board member questioned parking accommodations. Mr. Livingston responded there are no parking requirements in the Main Street District. Assistant City Manager Traci Leach added there is parking available along Main Street and the City has not received any complaints from Main Street business owners in regards to parking accommodations. Board member Woodard left the table at 7:10 p.m. and returned at 7:13 p.m. Board member Clausen asked Mr. Ward the planned hours of operation, Mr. Ward responded Tuesday-Friday, 4:00 p.m.-9:00 p.m.; Saturday, noon-9:00 p.m. and closed Sunday-Monday. Board member Clausen asked if a large portion of the craft beer will be exported out of the City of La Porte. Mr. Ward responded yes, based on the demand. Board member Clausen asked how many employees will be employed. Mr. Ward responded 22-30 full-time employees; and 6-7 part-time employees. Board member Martin commented a brewery is an attractive idea. Board member Ojeda asked Mr. Ward if he decides to relocate in the future will the building have an appearance of a brewery. Mr. Ward responded no. Board member Martin moved to authorize Staff to publish 60-day public notice of a public hearing to consider approving up to $400,000.00 to renovate the former city-owned Texas Parks & Wildlife building and attract the Brigadoon Brewery & Brew School, LLC., to La Porte, TX. Board member Ojeda seconded. MOTION PASSED. Ayes: President Warren, Board members Woodard, Clausen Ojeda and Martin Nays: None Absent: Vice-President Cooksley and Board member Engelken 4. SET DATE FOR NEXT MEETING—S. Livingston Board members set the next meeting date tentatively for Wednesday, October 28, 2015, at 5:00 p.m. 5. STAFF REPORT (a) Receive Financial Report—M. Dolby The agenda was taken out of order earlier during the meeting. See above where the Financial Report was presented by Finance Director Michael Dolby. Page 5 of 6 August 26,2015, La Porte Development Corporation Board Minutes 6. BOARD MEMBER COMMENTS regarding matters appearing on agenda; recognition of community members, city employees, and upcoming events; inquiry of staff regarding specific factual information or existing policies. There were no board comments. 7. ADJOURN There being no further business, the meeting at 7:35 p.m. Respectfully submitted, Sharbn Harris, Assistant City Secretary Passed and a proved on this 30t" day of September, 2015. President Richard Warren Page 6 of 6 August 26,2015,La Porte Development Corporation Board Minutes