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2015-04-30 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 THURSDAY, APRIL 30, 2015, 5:00 P.M., BOARD ROOM, PEDC OFFICE, 1200 PEARLAND PARKWAY, SUITE 200, PEARLAND, TEXAS. CALL TO ORDER The meeting was called to order at 5:04 p.m. BOARD MEMBERS Vice -Chair Lucy Stevener Secretary Sheila Fischer Board Member Brandon Dansby Board Member Hugh Patton Board Member Mona Chavarria EX-OFFICIO MEMBERS City of Pearland Mayor Tom Reid City of Pearland Clay Pearson PEDC Matt Buchanan Pearland Chamber of Commerce Carol Artz-Bucek PEARLAND ECONCOMIC DEVELOPMENT STAFF MEMBERS Melissa Black Roxanne Luna -Larsen Brian Malone Valerie Marvin CITY OF PEARLAND STAFF MEMBERS Claire Bogard Rick Overgaard Nghiem Doan Minutes of a Regular Meeting April 30, 2015 Page 2 II. Approval of Minutes Board Member Dansby made the motion, seconded by Board Member Chavarria to approve the minutes of the Regular Meeting of March 26, 2015. Motion Passed: 5-0 III. Public Comments: President Buchanan introduced new PEDC employee Valerie Marvin and noted that Assistant City Attorney Nghiem Doan has taken a new position with the City of League City. IV. Financial Report A. Monthly Financial Report —February 2015 Director of Finance, Claire Bogard, gave an overview of the February 2015 report. Chairman Patel arrived at 5:06 p.m. Board Member Barry arrived at 5:10 p.m. B. Quarterly Investment Report — March 2015 Assistant Director of Finance, Rick Overgaard, gave an overview of the March 2015 report. V. New Business A. Excused Absence Board Member Dansby made the motion, seconded by Board Member Barry to excuse the absence of Secretary Fischer from the meeting of March 26, 2015. Motion Passed: 7-0 B. Calling and Defeasement of Series 2010 Bonds John Robuck, Financial Advisor with BOSC, Inc. attended the meeting and gave a presentation and overview of the callable PEDC Series 2010 Bonds. The total amount required to cash defease the bonds is $6,460,000 in addition to the PEDC still being required to make its September 1, 2015 principal and interest payment in the amount of $444,498.06, for a total cost, with the defeasance of $6,904,498.06. Board Member Dansby made a motion, seconded by Vice Chair Stevener to pay-off the callable PEDC Series 2010 Bonds on August 27, 2015 for a total cost of $6,904,498.06. Motion passed: 7-0 C. Chamber of Commerce Quarterly Report, January — March 2015 Carol Artz-Bucek,President/CEO, of the Pearland Chamber of Commerce reviewed the Chamber First Quarter Report and provided a presentation of events including BizConnect Luncheons, Pearland Day in Austin, Merit Medical Community Benefits Fair, and the visit of Secretary of State of Texas. Vice President of the Chamber, Jim Johnson provided a legislative update. A discussion took place on the written report format and content. Staff will meet with the Chamber to work on improvements. No action taken. Minutes of a Regular Meeting April 30, 2015 Page 3 D. Cullen Landscape and Entry Feature Update and Bidding Process President Buchanan provided an update of the project stating that construction drawings for the portion of the project located between Clear Creek and McHard Road, which includes the gateway feature, landscape and irrigation for one median and ROW, have been finalized. The next step is to request bids. Staff discussed utilizing the competitive sealed proposal method. Current estimate project costs are $405,027. No action taken. E. Monthly Activity Report: President Buchanan summarized ongoing activity Report submitted to file. VI. Other Business The meeting went into recess at 5:45 p.m. and entered into enter into Executive Session at 6:05p.m. Executive Session Under Texas Government Code 1. Section 551.087 — Deliberations Regarding Economic Development Negotiations — Update on Business Attraction/Retention Projects 2. Section 551.087 — Deliberations Regarding Economic Development Negotiations — Prospect #1407 3. Section 551.087 — Deliberations Regarding Economic Development Negotiations — Prospect #1503 4. Section 551.087 — Deliberations Regarding Economic Development Negotiations — Prospect #1505 5. Section 551.087 — Deliberations Regarding Economic Development Negotiations — Prospect #1401 The Board reconvened into Open Session at 6:50 p.m. New Business Continued: F. Economic Development Negotiations — Business Attraction/Retention Projects No action was taken. G. Economic Development Negotiations — Prospect #1407 Board Member Barry by a motion seconded by Board Member Chavarria to approve that the President negotiate and execute a Performance Agreement with Orr Commercial or affiliated entity for an amount not to exceed $250,000. Motion Passed: 7-0 H. Economic Development Negotiations — Prospect #1503 Board Member Dansby made a motion, seconded by Board Member Patton to approve that the President negotiate and enter into a Loan Agreement with Prospect #1503 for an amount not to exceed $1,000,000. Motion Passed: 7-0 Minutes of a Regular Meeting April 30, 2015 Page 4 I. Economic Development Negotiations — Prospect #1505 Board Member Barry made a motion seconded by Board Member Dansby to approve that the President negotiate and enter into a loan agreement with Prospect #1505 for an amount not exceed $70,000. Motion Passed: 7-0 J. Economic Development Negotiations — Prospect #1401 Board Member Chavarria made a motion seconded by Board Member Barry to approve that the President negotiate and enter into a loan agreement with Prospect #1401 for an amount not exceed $500,000. Motion Passed: 7-0 VII. Adjournment: The meeting was adjourned at 6:51 p.m. Minutes approved as submitted and/or corrected this r day of A.D., 2015. ATTEST: voC Sheila Fischer, Secretary