Economic Development Authority

ECONOMIC DEVELOPMENT AUTHORITY of the CITY OF HAMPTON, VIRGINIA Minutes – Regular Meeting September 16, 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, Wallace C. Arnold, Dr. Lewis PRESENT J. Bellinger, Eleanor W. Brown and Michelle T. Ferebee. Also present was Secretary-Treasurer Leonard L. Sledge. STAFF Pete Peterson, Vanessa Valldejuli, Terry O’Neill, Bonnie Brown, PRESENT Susan Borland, Robin McCormick, Dan Girouard, Jeffry Sachs, Michael Yaskowsky and Teresa Hudgins GUESTS Tom Flake with the Peninsula Technology Incubator PRESENT Lakesha Brown-Renfo, Tanecia Willis and Nzinga Teule-Hekima with Mango, Mango, Mango MINUTES Chair Joseph stated the Minutes of the August 19, 2014 EDA board meeting were distributed. A motion was made by Mr. Arnold and seconded by Ms. Shuford to approve the minutes as submitted. The motion carried. PRESENTATION Ms. Willis and Ms. Brown-Renfo gave a presentation on their MANGO, MANGO, business which is currently located in downtown Hampton. The MANGO business started two years ago and the company was featured on ABC’s Shark Tank. The company will begin selling its product on QVC on October 1st and also sells internationally. They are currently looking at a location in Phoebus and staff continues to work with them in order to maximize all loan/grant programs. LOAN Mr. Arnold reported the Loan Review Committee met on August PROGRAM 25th and he reviewed the Loan Status Report. A judgment has been filed against Mirro’z and Unique Imaging Solutions. The Committee is waiting to review additional documentation before considering requests made by Covenant Care and The Healthy Connection. The Committee will also consider action against I Love Your Style since the business location on Queens Way is closed. Ms. Valldejuli added Ms. Newman is trying to obtain a business license to sell clothing from a bus but there are some zoning issues. There were no questions on the EDA Loan/Grant Program Fund Balance Sheet as of August 31, 2014 which was included in the package. ECONOMIC Mr. Sledge stated the updated Status Report on EDA Actions DEVELOPMENT was included in the package. Other items of interest: REPORT  The EDA closed on the Saad Development contract; an announcement is forthcoming  Mayor Wallace gave the State of the City address on September 3rd; the event was sold out  PTI won $50,000 in a United States Small Business Administration competition  The Fab Lab proposal was not funded; staff will follow-up with PTI to identify other funding sources  Staff will meet with Dr. Bellinger and Mr. Arnold on September 22nd to outline an agenda for the upcoming joint Incubator and Loan Review Committee meeting which is scheduled for October 27th at 8:30 a.m.  There will be an Incubator Committee meeting on October 21st  Staff continues to work with the Hampton Roads Center Owners Association on Magruder Boulevard improvements  The FY16 CIP process is underway; funding for improvements to Hampton Roads Center have been submitted; if there are other recommendations please let us know  City Council was briefed on the updates to the Downtown and Coliseum Central master plans; the Community Development Department will update the EDA at its October meeting  During the month of October staff will be participating in a HREDA marketing mission to southern California and attending the CoreNet Global Summit at National Harbour RESOLUTION Mr. Sledge presented a Resolution approving a Governor’s HOWMET Development Opportunity Fund Performance Agreement by and among the City of Hampton, Virginia (the “City”), the Economic Development Authority of the City of Hampton, Virginia (the “Authority”) and Howmet Castings & Services, Inc. (“Howmet”) and authorizing the Chair to execute same. A motion was made by Ms. Ferebee and seconded by Dr. Bellinger to approve the Resolution as presented. Ms. Brown disclosed she is representing the city in another matter concerning Howmet but the City Attorney has advised there is no conflict of interest. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Brown, Ferebee, Shuford and Joseph Nays: None OTHER Mr. Sledge said PTI is asking the EDA to sponsor Start! Peninsula BUSINESS which will be held November 14-16 at the College of William & Mary. The Economic Development Department sponsored the event last year at the $2,500 level. Staff is recommending a $1,000 sponsorship. Mr. Arnold asked if other localities were sponsoring the event. Mr. Flake said all municipalities were participating at 2  various levels. Dr. Bellinger added the EDA already supports PTI and its marketing efforts with the $180,000 annual payment. A motion was made by Ms. Ferebee and seconded by Ms. Brown to sponsor the event up to $2,500 with the Economic Development Director determining the final amount based on the sponsorship level of other localities. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Brown, Ferebee, Shuford and Joseph Nays: None Mr. Sledge reported Old Point National Bank submitted a reimbursement request for the new headquarter building. Ms. Borland said the request is based on a letter from the City Manager in 2009 in which the city agreed to reimburse the bank $200,000 to construct the fifth floor. City Council has taken the appropriate action to transfer the funds to the EDA. A motion was made by Ms. Brown and seconded by Ms. Ferebee to accept the funds transferred by City Council and reimburse Old Point National Bank in accordance with the City Manager’s letter. A roll call vote was taken which resulted as follows: Ayes: Arnold, Bellinger, Brown, Ferebee and Joseph Nays: None Abstain: Shuford Mr. Sledge stated he is starting the Economic Development Strategic Plan update process and provided a copy of the 2009 plan as well as a working paper. Due to staff and budget reductions duties in the original plan have shifted to other city departments. The new plan will identify the goals and objectives for the next three to five years as set forth by the task force. The update should be completed within the next six to nine months. Mr. Joseph said the Governor reinstated $1.25 million in clear zone funding at Langley Air Force Base. Mr. Sledge will ask Admiral Quiqley or Bruce Sturk to give an update on BRAC. ADJOURNMENT There being no further business, the meeting was adjourned at 9:35 a.m. Respectfully submitted, Leonard L. Sledge Secretary-Treasurer LLS/tbh 3