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2003-07-28 PEARLAND ECONCOMIC DEVELOPMENT CORPORATION BOARD REGULAR MEETING MINUTESMINUTES OF A REGULAR MEETING OF THE PEARLAND ECONOMIC DEVELOPMENT CORPORATION ("PEDC") BOARD OF DIRECTORS OF THE CITY OF PEARLAND, TEXAS, HELD MONDAY, JULY 28, 2003, 4:00 P.M. IN THE IST FLOOR CONFERENCE ROOM, CITY HALL, 3519 LIBERTY DRIVE, PEARLAND, TEXAS. I. The meeting was called to order at 4:05 p.m. with the following present: BOARD MEMBERS Chairman Dennis Frauenberger Vice Chairman Secretary Board member Board member Board member Randy Ferguson Lucy Stevener Helen Beckman Felicia Kyle Steve Saboe Not in attendance: Due to a conflict in schedule, Board Member George Sandars was unable to attend the meeting. EX -OFFICIO BOARD MEMBERS City of Pearland Bill Eisen City of Pearland Mayor Tom Reid STAFF MEMBERS Executive Director Fred Welch Administrative Assistant Janice Vega Minutes of Special Meeting of July 28, 2003 Page 2 II. Approval of Minutes: Secretary Lucy Stevener made the motion, seconded by Board member Helen Beckman to approve the minutes of the Regular Meeting of July 14, 2003. Motion Passed: 6 — 0 III. Board Member Reports: None IV. Old Business A. Board Member Helen Beckman made the motion, seconded by Board Member Steve Saboe to remove from table — Monthly Financial Report and Executive Director's Report. Motion Passed: 6 — 0 V. Monthly Financial Report - Executive Director Fred Welch gave an oral report and one was submitted to file. VI. Executive Director's Report Bio -Technology Park — The PEDC staff has worked aggressively with LNR Properties and Bioscience Capital to get this project planned, coordinated and marketed to the bioscience and life science communities. Very substantive discussions have been held with the University of Texas Medical Center and several of the tenant schools on the TMC campus to promote a technology park in Pearland to complement the work these schools are doing in research and development of new medical devices, drugs and procedures. We have the unique opportunity to create a bioscience cluster for research and manufacturing due in large part to our proximity to the Medical Center and the excellent road network provided by Beltway 8 and State Highway 288. What is being proposed for the technology park is a public private partnership to build a world-class business and manufacturing park for research, development and manufacturing. Engineering estimates of $4.7 million to construct Kirby Road from Beltway 8 across Clear Creek and extend water and sewer lines from the south to the north. We must also consider what portion of the costs we would absorb to extend electricity, gas and other utilities onto the site. The PEDC and City are in contact with Harris County and the EDA to secure matching funds. Staff has worked with a development firm to produce a layout of the entire 1,000 plus acres. This plan will be presented to City staff in August for adoption into the City's comprehensive plan. This will set the stage for development of a Planned Unit Development (PUD) on the property and the proper zoning and development ordinances to assure the highest and best use for this land. There are several things that the board needs to be fully aware of: Minutes of Special Meeting of July 28, 2003 Page 3 1. We are initially looking at the development of approximately 200 acres of land out of 1,033 acres. A great deal of engineering, planning and groundwork must take place before any buildings can begin. We must fast tract the engineering, design and construction of the off-site utilities onto the property in order for vertical construction to begin. 2. Marketing for this park has already begun. Build -out for a park of this size can take anywhere from seven to ten years or more. If we begin construction for the first manufacture in late 2004, it will be 2005 or 2006 before they can be ready to begin production. The FDA must certify all parts of the plant and its personnel before production can begin. The jobs in this environment pay quite well, with the average salary in a bio manufacturing facility at over $68,000 per year. 3. The window of opportunity for this market segment will run out in about four years. We are either totally committed to this park and have space sold or under contract in the next three years or this opportunity will be in another state or country. This is a very time sensitive project. 4. Everything we have discovered in our due diligence indicates that this project can succeed. Strategic Plan TIP held the project kick off meeting in early June. Focus meetings have been held with representatives of the healthcare industry, our school systems, major manufacturers, small business, chamber and city of Pearland staff to gain input into our vision and goals for the future. We should have a product for review and comment in late September or early October. The finished strategic plan ought to be ready for adoption and approval in October. VII. Public Comments - none VIII. New Business A. Election of Officers: Vice Chairman Randy Ferguson made the motion, seconded by Board Member Helen Beckman to elect Dennis Frauenberger as Chairman. Board Member Steve Saboe made the motion, seconded by Secretary Lucy Stevener to elect Randy Ferguson as Vice Chairman. Board Member Helen Beckman made the motion, seconded by Board Member Felicia Kyle to elect Lucy Stevener as Secretary. Motions Passed: 6 — 0 B. Review and discussion of the PEDC Annual Budget for FY 2003/23004. The Board requested additional data to support the budget_ A Special Meeting will be held on August 4, 2003 to review and approve the PEDC budget. No action was taken. Minutes of Special Meeting of July 28, 2003 Page 4 IX. Adjournment: Board Member Steve Saboe made the motion, seconded by Secretary Lucy Stevener to adjourn the meeting. Motion Passed: 6 — 0 Time: 5:30 p.m. Minut s approved as bmitted and/or corrected this day of A.D., 2003 nis FrauenbergerAairman ATTEST: VU V is IA- ega, Administrat a Assistant