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2009-08-24 PEARLAND ECONOMIC DEVELOPMENT CORPORATION 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, AUGUST 24, 2009 AT 5:00 P.M., 2ND FLOOR CONFERENCE ROOM, CITY HALL, 3519 LIBERTY DRIVE, PEARLAND, TEXAS. I. Call to order The meeting was called to order at 5:00 p.m. with the following present: BOARD MEMBERS President George Sandars Vice President Ed Thompson Secretary Lucy Stevener Board Member Helen Beckman Board Member Gary Idoux EX -OFFICIO MEMBERS City of Pearland Mayor Tom Reid City of Pearland Bill Eisen STAFF MEMBERS Fred Welch Ramon Lozano Jenny Brannon Janice Vega OCT 0 1 2009 Minutes of a Regular Meeting August 24, 2009 Page 2 II. Approval of Minutes: Vice President Ed Thompson made the motion, seconded by Board Member Helen Beckman to approve the minutes of the Regular Meeting of June 22, 2009, Special Meeting of July 8, 2009, Public Hearing and Special Meeting of July 13, 2009. Motion Passed: 5 - 0 III. Board Member Reports: President George Sandars attended the Dawson High School grand opening. Vice President Ed Thompson attended The Commerce Center opening, the PEDC Strategic Plan roll out, and the NBCEA strategic planning meeting. Secretary Lucy Stevener and Board Member Gary Idoux attended The Commerce Center opening. Board Member Helen Beckman also attended The Commerce Center opening and the PEDC Strategic Plan roll out. IV. Financial Report A. Investment Report — June 2009: Finance Director Claire Bogard gave the report. B. Monthly Financial Report — June 2009: Finance Director Claire Bogard gave the report. V. Executive Director's Report: Director Fred Welch reported that Freese and Nichols has signed a lease with Pearland Town Center for office space. VI. Public Comments: None VII. New Business A. Excuse Absence: Vice President Ed Thompson made the motion, seconded by Secretary Lucy Stevener to excuse the absence of Chairman George Sandars and Board Member David Stedman from the Public Hearing and Special Meeting of July 13, 2009. Motion Passed: 4 — 0 Abstained: 1 B. Pearland Area Chamber of Commerce Report: President Carol Artz gave a quarterly report. Vice President of Tourism Bryan Roller gave an update from the Convention and Visitors Bureau. C. Northern Brazoria County Education Alliance Report: Director Terrie Morgan gave a quarterly report. D. Policy for Old Town Site Incentives: Director of Old Town Site Redevelopment Kyler Cole gave an overview of the proposed incentive policy for the Old Town Site area. E. Marketing Report: Assistant Director Raman Lozano gave an update on marketing events and programs. F. PEDC BY2010 Budget: Board Member Helen Beckman made the motion, seconded by Board member Gary Idoux to amend and re -adopt the PEDC FY2010 Budget. Motion Passed: 5 — 0 G. Galveston Federal Bench Resolution: Secretary Lucy Stevener made the motion, seconded by Board Member Helen Beckman to adopt a resolution in support of keeping the Federal Judge and staff located in Galveston, Texas. H. Bond Inducement Resolution: Vice President Ed Thompson made the motion, seconded by Board Member Gary Idoux to approve the Inducement Resolution. Motion Passed: 5 - 0 Minutes of a Regular Meeting August 24, 2009 Page 3 I. EDA Infrastructure Grant: No action was taken. J. Economic Development Incentives — Prospect #0911 — Prospect addressed the Board of Directors. VIII. Other Business Executive Session Under Texas Government Code The meeting was adjourned to enter into Executive Session at 7:01 p.m. 1. Section 551.087 — Deliberations Regarding Economic Development - Prospect #0908. 2. Section 551.087 — Deliberations Regarding Economic Development - Magtech. 3. Section 551.087 — Deliberations Regarding Economic Development - Speed Shore. 4. Section 551.087 — Deliberations Regarding Economic Development - Prospect #0912. 5. Section 551.087 — Deliberations Regarding Economic Development - Prospect #0911. 6. Section 551.087 — Deliberations Regarding Economic Development - Business Center Drive Expansion. 7. Section 551.087 — Deliberations Regarding Economic Development - Spectrum Boulevard West. The Board reconvened into Open Session at 8:19 p.m. New Business Continued: K. Economic Development Incentives — Prospect #0908: No action was taken. L. Economic Development Incentives — Magtech: Vice President Ed Thompson made the motion, seconded by Board Member Helen Beckman to approve an infrastructure grant to Magtech for the construction of a driveway as part of the Magnolia expansion, at a cost not to exceed $100,000.00. A Development Agreement between Lingo Properties and Magtech will be drafted by the City Attorney where each will pledge to remain in Pearland, Texas for three years beyond completion of the improvements and maintain current levels of employment. Motion Passed: 5 - 0 M. Economic Development Incentives — Speed Shore: Board Member Gary Idoux made the motion, seconded by Secretary Lucy Stevener to approve a grant to Speed Shore in the amount of $36,000.00 to cover the cost of impact fees to connect city services to the property. Motion Passed: 5 - 0 N. Economic Development Incentives — Prospect #0912: Vice President Ed Thompson made the motion, seconded by Board Member Helen Beckman to award a grant of $50,000.00 and during the first three years $2,500.00 per full time job with a gross salary in excess of $40,000.00 annually. Total grant not to exceed $87,500.00. Eligible jobs must be for employees who Minutes of a Regular Meeting August 24, 2009 Page 4 spend a minimum of twenty hours conducting work at the Shadow Creek Business Center location. Grant also contingent upon verification of the company's ownership. Motion Passed: 5 - 0 O. Economic Development Incentives — Prospect #0911: Vice President Ed Thompson made the motion, seconded by Secretary Lucy Stevener to approve a grant to Prospect #0911 for a sewer line installation. Amount of grant not to exceed $136,500.00 and provided that the company be willing to enter into a Development Agreement where $26,500,000.00 of construction improvements would take place within five years of the installation of the sewer line. If $26,500,000.00 of construction improvements is not completed, company will reimburse Pearland Economic Development Corporation for the cost of the grant. Motion Passed: 5 - 0 P. Infrastructure Grant — Business Center Drive Expansion: Board Member Gary Idoux made the motion, seconded by Board Member Helen Beckman to approve an infrastructure grant to pay for fifty percent of the road project on Business Center Drive for up to $4,000,000.00, contingent upon owner dedicating right-of-way and the land. Motion Passed: 5 - 0 Q. Infrastructure Grant — Spectrum Boulevard West: No action was taken IX. Adjournment Time: 8:30 p.m. Minutes approved as submitted and/or corrected this _�° I N day of (L A.D. , 2009. George Sandars, Chairman ATTE T: ucy Stevener, Secretary