Economic Development Authority

ECONOMIC DEVELOPMENT AUTHORITY of the CITY OF HAMPTON, VIRGINIA Minutes – Regular Meeting August 19, 2014 – 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, Anne W. Shuford, Dr. Lewis J. Bellinger, PRESENT Eleanor W. Brown, Michelle T. Ferebee and Ben A. Williams, III. Also present was Secretary-Treasurer Leonard L. Sledge. STAFF Pete Peterson, Vanessa Valldejuli, Terry O’Neill, Bonnie Brown, PRESENT Matt Finley, Susan Borland, Amy Jordan, Robin McCormick, Brian Marchese, Michael Yaskowsky, Terri McCann and Teresa Hudgins GUEST David Lennarz – Registrar Corporation PRESENT MINUTES Chair Joseph stated the Minutes of the July 15, 2014 EDA board meeting were distributed. A motion was made by Ms. Brown and seconded by Mr. Williams to approve the minutes as submitted. The motion carried. PRESENTATION Robin McCormick with Marketing and Outreach gave a “I CHOOSE” presentation on the city’s “I Choose” Hampton marketing CAMPAIGN campaign. PRESENTATION David Lennarz gave a presentation on Registrar Corporation REGISTRAR located in Langley Research & Development Park. Registrar is CORPORATION a regulatory consulting firm with 16 offices outside the United States. The company recently purchased the building and has over 75 employees. LOAN Ms. Ferebee reported the Loan Review Committee met on July PROGRAM 28 and reviewed the Loan Status Report as follows: Unitech paid the June interest only payment and The Healthy Connection paid the May payment. There were no questions on the EDA Loan/Grant Program Fund Balance Sheet as of July 31, 2014 which was included in the package.  Ms. Ferebee said the Committee considered a request from Unitech, LLC to modify the terms of the existing loan. The Committee recommends the existing loan be modified as follows: Increase the current outstanding loan balance up to the original loan amount of $275,000, interest only payments for one year, the EDA take a security interest in all patents owned by the company, an assignment of revenue from the potential sale of any of the patents and the company meeting with the Committee 90 days after the Modification Agreement is executed. A motion was made by Ms. Ferebee and seconded by Ms. Brown to approve the modification as presented. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Brown, Ferebee, Williams, Shuford and Joseph Nays: None ECONOMIC Mr. Sledge stated the updated Status Report on EDA Actions DEVELOPMENT was included in the package. Other items of interest: REPORT  FY15 projects include Liberty Source, Ferguson and retail openings; $2.58 million in capital investment; 946 new jobs; 56,000 square feet of space  SAAD Development closing scheduled for August 22nd; the site is being cleared  UDA is developing conceptual plans for Harbor Square, Bright’s Creek and Crossroads  Staff participated in the NASA Technology Day  Staff continues to work with the Hampton Roads Center Owners Association on Magruder Boulevard improvements  The State of the City address will be on September 3 at the Hampton Roads Convention Center  Mr. Sledge has met with the Virginia Peninsula Chamber of Commerce, Downtown Rotary Club, Virginia Economic Development Partnership, McGuire Woods Consulting and Pembroke Construction  The City Attorney’s office has been responsive to legal matters  The Anyang business delegation visit cancelled due to scheduling conflicts; working to establish another time  Elizabeth McCoury, Executive Director of the Coliseum Central BID resigned  Staff is scheduling a joint Incubator and Loan Review Committee meeting  A formal plan has not yet been developed for marketing the loan and grant program; we are revising our marketing material and the program is highlighted during business visits  Loan program analysis as of FY04: 70 applications, 29 approved, 12 withdrawn, 29 denied, loans totaled $2.5 million; 3 defaults totaling $157,000, 17 companies remain in Hampton  Staff reviewing information received from C & C North America for grant payment 2 RESOLUTION Mr. Sledge presented a Resolution approving a Governor’s GOF Development Opportunity Fund Performance Agreement AGREEMENT by and among the City of Hampton, Virginia (the “City”), LIBERTY SOURCE the Economic Development Authority of the City of Hampton, Virginia (the “Authority”), the Fort Monroe Authority (“FMA”) and Liberty Source PBC, a Delaware Public Benefit Corporation (doing business in Virginia as Liberty Source PBC Corp.) (“Liberty”), and authorizing the Chair to execute same. A motion was made by Ms. Ferebee and seconded by Mr. Williams to approve the Resolution as presented. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Brown, Ferebee, Williams, Shuford and Joseph Nays: None RESOLUTION Mr. Sledge presented a Resolution of the Economic Development COMMUNITY Authority of the City of Hampton, Virginia approving the CULTURAL provision of a $294,020 Hampton Community Cultural Athletic ATHLETIC & and Visitor Attraction Grant to the Virginia Air and Space Center. VISITOR A motion was made by Ms. Brown and seconded by Ms. Ferebee GRANT to approve the Resolution as presented. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Brown, Ferebee, Williams, Shuford and Joseph Nays: None RESOLUTION Mr. Sledge presented a Resolution of the Economic Development COMMUNITY Authority of the City of Hampton, Virginia approving the CULTURAL provision of a $187,980 Hampton Community Cultural Athletic ATHLETIC & and Visitor Attraction Grant to Boo Williams Sportsplex, LLC. VISITOR A motion was made by Ms. Brown and seconded by Ms. Ferebee GRANT to approve the Resolution as presented. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Brown, Ferebee, Williams, Shuford 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 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 facility in the community. A motion was made by Ms. Ferebee and seconded by Ms. Brown to go into the Closed Meeting. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Brown, Ferebee, Williams, Shuford and Joseph Nays: None 3 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 recorded in the Minutes. Chair Joseph asked for any statements. There were none. A motion was made by Mr. Williams and seconded by Ms. Brown to conclude the Closed Meeting and return to the Meeting. A roll call vote was taken which resulted as follows: Ayes: Bellinger, Brown, Ferebee, Williams, Shuford and Joseph Nays: None OTHER Mr. Sledge showed a brief U Tube economic development video BUSINESS on New York. ADJOURNMENT There being no further business, the meeting was adjourned at 10:15 a.m. Respectfully submitted, Leonard L. Sledge Secretary-Treasurer LLS/tbh 4