Economic Development Authority

ECONOMIC DEVELOPMENT AUTHORITY of the CITY OF HAMPTON, VIRGINIA Minutes – Regular Meeting September 17, 2013 – 8:30 A.M. EDA Conference Room CALL Chair Joseph called the meeting to order at 8:30 a.m. TO ORDER SWEARING IN Linda Smith, Clerk of Circuit Court for the City of Hampton, CEREMONY attended the meeting to swear in Michelle T. Ferebee. DIRECTORS James R. Joseph, Anne W. Shuford, Wallace C. Arnold, Dr. PRESENT Lewis J. Bellinger, Michelle T. Ferebee, Perry T. Pilgrim and Ben A. Williams, III. Also present were Secretary-Treasurer Leonard L. Sledge and EDA Attorney S. Frear Hawkins, II. GUESTS Steve Mallon – Craig Davis Properties PRESENT Mike Melo – ITA International STAFF Cynthia Hudson, Pete Peterson, Terry O’Neill, Anthony PRESENT Reyes, Robin McCormick, Bonnie Brown, Michael Yaskowsky, Susan Borland and Teresa Hudgins MINUTES Chair Joseph stated the Minutes of the August 20, 2013 EDA board meeting were distributed. A motion was made by Mr. Williams and seconded by Mr. Arnold to approve the minutes as presented. The motion carried. OVERVIEW Mr. Mike Melo with ITA International gave a brief presentation ITA on the marine division located in Copeland Industrial Park. Mr. INTERNATIONAL Joseph thanked him for attending the meeting and asked if the city could be of any assistance. Mr. Melo said he did not need any assistance at this time. LOAN Mr. Pilgrim reported the Committee did not meet in August and PROGRAM reviewed the Loan Status Report as follows: Touch of Class Fencing and I Love Your Style are current, The Healthy Connection has made one payment and staff is following up with Unitech. Unique Imaging Solutions will be discussed at the meeting on Monday. Mr. Pilgrim reported Karen James, Deputy City Attorney, provided an opinion regarding whether the Treasurer’s office can legally provide collection assistance on behalf of the EDA and provided a copy of the memorandum dated August 20, 2013. The Committee will discuss policies and establish collection steps which will be provided to borrowers. INCUBATOR Mr. Sledge reported staff met with members of the Committee to COMMITTEE discuss the proposal presented by the NIA which included the fab lab and purchase of a super computer. Additional information is needed on the funding mechanism and business model. Mr. Williams asked if it would be in the best interest of the EDA to purchase the super computer and lease it as a revenue source. ECONOMIC Mr. Sledge stated the updated Status Report on EDA Actions DEVELOPMENT was included in the package. Other items of interest: REPORT  Staff is following up on the Hampton University proposal presented at the meeting last month  Michelle Ferebee’s bio will be forwarded to board members  Mike is following up on the number of hotel rooms booked by NASA and LAFB  We are awaiting information from the city manager on the athletic and visitor grant program  The Chairman asked for balances in the EDA loan and incentive programs; a detailed list was included in the package  Staff is working with two news prospects; we received two new requests from HREDA  Apricot Lane is opening at Peninsula Town Center; Ace Hardware announced a new location at Hampton Town Centre; Zaxby’s held its grand opening yesterday  Fortune Magazine ranked Measurement Specialties 89th in the top 100 fastest growing companies; we featured the company in our 2013 Hampton Roads Statistical Digest ad  An unsolicited proposal was received on a city-owned parcel  We are working with two prospects to purchase vacant buildings in the city; there are concerns with the assessments  The entrance signs at Hampton Roads Center South and Central have been removed; working on an agreement to have new signs installed  Mike will be going on a northeast marketing mission with HREDA at the end of the month  Amy and I will be attending Retail Live in Atlanta next week  I will be attending a meeting at Virginia Tech with Lockheed Martin and traveling with the sister city group to Anyang, Korea October 2-8  Staff will be updating the strategic plan and marketing plan, developing a score card and consolidating the loan and incentive programs RESOLUTION Mr. Hawkins presented a Resolution of the Economic RELEASE OF Development Authority of the City of Hampton, Virginia COVENANT approving release of Covenant for Repurchase Option on land LANGLEY in Langley Research and Development Park. RESEARCH & DEVELOPMENT PARK 2  A motion was made by Mr. Williams and seconded by Dr. Bellinger to approve the Resolution as presented. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Ferebee, Pilgrim, Williams, Shuford and Joseph Nays: None OTHER Mr. Joseph distributed marketing flyers for the PIFC loan BUSINESS program. Mr. Arnold thanked the Authority for the concern and flowers received during his recent illness. Mr. Joseph appointed Michelle Ferebee to the Incubator Committee and the Nominating Committee. He also appointed Perry Pilgrim to the Transaction Committee. The E-Commerce Grant Committee and the Hampton Business Incentive Corporation (HBIC) are being dissolved. Ms. Ferebee will make sure there is no conflict of interest with her employer. CLOSED Chair Joseph stated a Closed Meeting will now be held in MEETING accordance with Section 2.2-3711 A.3 of the Code of Virginia to discuss or consider the acquisition of real property for a public purpose, or of the disposition of publicly held real property, where discussion in an open meeting would adversely affect the bargaining position or negotiating strategy of the Authority and Section 2.2-3711 A.5 to discuss a prospective business or industry or the expansion or extension of lease terms 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 Ms. Shuford and seconded by Mr. Williams to go into the Closed Meeting. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Ferebee, Pilgrim, Williams, Shuford 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. Williams 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: Bellinger, Ferebee. Pilgrim, Williams, Shuford and Joseph Nays: None Note: Mr. Arnold left the meeting during the Closed Session and was not present for the vote Once the Certification of Closed Meeting was completed, Mr. Joseph turned the meeting proceedings over to Vice Chair Shuford. A motion was made by Mr. Pilgrim and seconded by Mr. Williams to approve a Resolution of the Economic Development Authority of the City of Hampton, Virginia to engage realtors to represent the Authority in negotiations for the acquisition of certain properties. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Ferebee, Pilgrim, Williams, Shuford and Joseph Nays: None A motion was made by Mr. Williams and seconded by Mr. Pilgrim to approve a Resolution to approve a modification of lease between the relevant parties as relates to the National Institute of Aerospace Association at 100 Exploration Way, Hampton, Virginia. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Ferebee, Pilgrim, Williams and Shuford Nays: None Abstain: Joseph ADJOURNMENT There being no further business, the meeting was adjourned at 10:30 a.m. Respectfully submitted, Leonard L. Sledge Secretary-Treasurer LLS/tbh 4