Economic Development Authority

ECONOMIC DEVELOPMENT AUTHORITY of the CITY OF HAMPTON, VIRGINIA Minutes – Regular Meeting December 18, 2012 – 8:30 A.M. EDA Conference Room CALL Chair Joseph called the meeting to order at 8:30 a.m. TO ORDER DIRECTORS James R. Joseph, Wallace C. Arnold, Dr. Lewis J. Bellinger, PRESENT Leonard Sledge, Perry T. Pilgrim and Ben A. Williams, III. Also present were Secretary-Treasurer Michael A. Yaskowsky and IDA Attorney S. Frear Hawkins, II. STAFF Pete Peterson, Vanessa Valldejuli, Bonnie Brown, Anthony Reyes, PRESENT Terry O’Neill, Robin McCormick, Ellen Templeton, Susan Borland, Daniel Girouard, Pam Croom and Teresa Hudgins GUESTS Thomas Flake – Peninsula Technology Incubator PRESENT Darryl Gosnell – Hampton Roads Economic Development Alliance MINUTES Chair Joseph stated the Minutes of the November 8, 2012 IDA retreat and November 20, 2012 IDA board meeting were distributed. A motion was made by Dr. Bellinger and seconded by Mr. Sledge to approve the minutes as submitted. The motion carried. LOAN Mr. Pilgrim reported the Loan Review Committee met on PROGRAM November 26, 2012 and December 13, 2012. The Loan Status Report reflects three delinquent loans: Avis Fraser Williams: One payment has been made Unique Imaging Solutions: Met with Ms. Clarke and have established new terms for a Loan Modification Agreement Touch of Class Fencing: Paid $3,132 (two loan payments) which was applied to the unsecured line of credit Dr. Bellinger asked how many people were employed by Unique Imaging Solutions. Staff will get this information to Dr. Bellinger. He also suggested the Hampton University Incubator and Economic Gardening program might be beneficial to this company. Staff will follow-up.  The Committee considered a Neighborhood Retail Revitalization Program application from Queens Way Trading Co. in the amount of $1,716 for improvements made to a freestanding building at 47 E. Queens Way and recommends the request for approval. A motion was made by Mr. Pilgrim and seconded by Mr. Sledge to approve the grant request as presented. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Pilgrim, Sledge, Williams and Joseph Nays: None The Committee considered a Neighborhood Retail Revitalization Program application from Signature Properties Group, LLC d/b/a Signature Canvasmakers, LLC in the amount of $25,962 for improvements made to freestanding buildings at 7, 9 and 11 N. Mallory Street and recommends the request for approval. Mr. Sledge asked Ms. Borland to provide information on the applicants request to the Hampton Business Incentive Corporation (HBIC). Ms. Borland said the applicant received assistance through the interest rate buy down program to assist with the purchase of the three blighted properties in Phoebus. A motion was made by Mr. Pilgrim and seconded by Mr. Arnold to approve the grant request as presented. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Pilgrim, Sledge, Williams and Joseph Nays: None ECONOMIC Mr. Yaskowsky stated the updated Status Report on IDA Actions DEVELOPMENT was included in the package. REPORT  Legal counsel finalizing documents for Systems East closing  The LeCam extension agreement has been executed  Staff continues to work on various projects including two aerospace companies that are expanding; responded to a VEDP prospect request for 50 acres for a composite manufacturer  A joint press release will be forthcoming on Project Mounty  The Enterprise Zone amendment application has been submitted to the state  Staff continues to work on retreat items and will be presenting recommendations to the Loan Review Committee at its next meeting. Mr. Joseph asked that the entire board be invited to this meeting.  Ellen Templeton attended the annual VEDP & HREDA Christmas party 2   Start! Peninsula was held November 30 to December 2 at Christopher Newport University. Mr. Yaskowsky asked Mr. Flake to provide a brief report. Mr. Flake said there were 145 participates; 35 pitched ideas; 700 watched on-line which was good exposure for the incubator. Two companies have moved into the incubator. HAMPTON Mr. Yaskowsky introduced Mr. Darryl Gosnell, President and ROADS CEO of HREDA. Mr. Gosnell gave a brief overview of HREDA’s ECONOMIC mission and provided a report on activity to date. Mr. Gosnell said DEVELOPMENT the reasons localities lose a project are the facility, availability and ALLIANCE cost of workforce and incentive package offered by the state. BYLAWS Mr. Yaskowsky presented a Resolution of the Economic RESOLUTION Development Authority of the City of Hampton, Virginia modifying its Bylaws to reflect the change of name to the Economic Development Authority of the City of Hampton, Virginia. A motion was made by Mr. Sledge and seconded by Mr. Williams to approve the Resolution as presented. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Pilgrim, Sledge, Williams and Joseph Nays: None CLOSED Chair Joseph stated a Closed Meeting will now be held in MEETING accordance with Section 2.2-3711 A.5 of the Code of Virginia to discuss a prospective business or industry or the expansion of an existing business or industry where no previous announcement has been made of the business or industry’s interest in locating or expanding its facilities in the community. A motion was made by Mr. Williams and seconded by Mr. Pilgrim to go into the Closed Meeting. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Pilgrim, Sledge, Williams and Joseph Nays: None CERTIFICATION Chair Joseph stated it was now appropriate to take a Roll OF CLOSED Call vote and that to the best of our knowledge (i) only public MEETING business matters lawfully exempted from open meeting requirements under this chapter, and (ii) only such public business matters as were identified in the motion by which the Closed Meeting was convened were heard, discussed, or considered in the Closed Meeting. Any member who believes there was a departure from the requirements of subdivisions (i) and (ii) shall so state prior to the Roll Call vote, indicating the substance of the departure that, in his/her judgment has taken place. Such statements shall be 3  recorded in the Minutes. Chair Joseph asked for any statements. There were none. A motion was made by Mr. Sledge and seconded by Dr. Bellinger to conclude the Closed Meeting and return to the Meeting. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Pilgrim, Sledge, Williams and Joseph Nays: None A motion was made by Mr. Williams and seconded by Mr. Sledge to approve a $100,000 grant for Project Magnet from the Revolving Loan Fund. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Pilgrim, Sledge, Williams and Joseph Nays: None OTHER Mr. Joseph reported he and staff met with Craig Davis and Steve BUSINESS Mallon regarding a 20,000 square foot office building prospect at Hampton Roads Center North. Mr. Davis and Mr. Mallon would like the EDA to continue its efforts regarding access from Commander Shepard Boulevard to Floyd Thompson Drive. Mr. Yaskowsky said he received a request from Mr. Sledge to consider a sponsorship level for the WHRO 10th Annual Pioneer Awards Gala. Mr. Sledge said Jack Ezzell, former Chair of the IDA and business owner in the City of Hampton, will be an award recipient. Mr. Joseph said the sponsorship level will be determined by the number of board members who want to attend the event. Mr. Yaskowsky thanked members of the EDA for their continued service and support and gave them a holiday gift basket. ADJOURNMENT There being no further business, the meeting was adjourned at 10:30 a.m. Respectfully submitted, Michael A. Yaskowsky Secretary-Treasurer MAY/tbh 4