Economic Development Authority

ECONOMIC DEVELOPMENT AUTHORITY of the CITY OF HAMPTON, VIRGINIA Minutes – Regular Meeting December 20, 2016 – 8:30 a.m. EDA Conference Room CALL Chair Brown called the meeting to order at 8:30 a.m. TO ORDER DIRECTORS Richard M. Bagley, Jr., Dr. Lewis J. Bellinger, Eleanor W. Brown, PRESENT Michelle T. Ferebee, Laura S. Sandford, L. Scott Seymour and George E. Wallace. Also present was Secretary-Treasurer Leonard L. Sledge. STAFF Pete Peterson, Vanessa T. Valldejuli, Patricia Melochick, Nicole PRESENT Fisher, Terry O’Neill, Steven Lynch, Susan Borland, Daniel Girouard, Michael Yaskowsky, Amy Jordan, Robin McCormick, Mary Fugere and Teresa Hudgins GUESTS F. Craig Read – C & D Store Development PRESENT Tara Bozick – Daily Press MINUTES Chair Brown stated the Minutes of the November 15, 2016 EDA board meeting were distributed. A motion was made by Ms. Ferebee and seconded by Dr. Bellinger to approve the Minutes as presented. A roll call vote was taken which resulted as follows: Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None LOAN & GRANT Ms. Ferebee reported the Loan & Grant Review Committee met on REVIEW December 5th. There were no questions or comments on the Active COMMITTEE Loan Status Report dated November 22, 2016. There were no questions or comments on the EDA Loan/Grant Program Fund Balance Sheet as of November 30, 2016. Ms. Ferebee presented an Economic Development Grant to Hampton University in the amount of $75,000 to purchase a super computer cluster system at Harbour Centre to support the atmospheric sciences. Under the program guidelines, academic schools are not eligible to apply, however, the Committee is recommending the EDA make a one-time exception and award the grant as requested.  Since this action is coming from the Committee no second is required. Mr. Bagley asked how many jobs would be created. Mr. Sledge said it is unknown as this time. Mr. Seymour added the University is a significant economic driver and the program is consistent with economic development initiatives. A roll call vote was taken which resulted as follows: Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None Ms. Ferebee presented a Resolution of the Economic Development Authority of the City of Hampton, Virginia authorizing the Chair or the Vice Chair to execute any and all documents necessary to facilitate the continued payment by Covenant Care, LLC on a loan due to the Economic Development Authority with a maturity date of December 15, 2016 and to preserve the Economic Development Authority’s rights to payment and other borrower obligations provided under the Promissory Note. Since this action is coming from the Committee, no second is required. Ms. Ferebee said the company is making payments in accordance with the current arrangement. A roll call vote was taken which resulted as follows: Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None Ms. Ferebee presented a Resolution approving: (1) the allocation from the Hampton Revolving Loan and Grant Fund for a new jobs grant of up to $19,325, and (2) a Grant Agreement between the Economic Development Authority of the City of Hampton, Virginia and MAXIMUS, INC., a Virginia corporation and authorizing the Chair to execute same. Since this action is coming from the Committee, no second is required. A roll call vote was taken which resulted as follows: Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None ECONOMIC Mr. Sledge stated the updated Status Report on EDA Actions was DEVELOPMENT included in the package. Other items of interest: REPORT ➢ A report on innovation districts was e-mailed to board members; recommend reading prior to the retreat ➢ The CIP process is underway ➢ A workforce job fair will be held on February 2 nd with 30+ companies already signed up to participate 2 PRESENTATION Ms. Jordan gave a presentation on proposed pop up retail POP UP RETAIL projects at Buckroe Beach which was presented to City Council AT BUCKROE at its meeting last week. Ms. Brown disclosed that she is a BEACH board member of the Virginia Outdoors Foundation. There is no action required of the EDA at this time. CLOSED Chair Brown stated a Closed Meeting will now be held in MEETING accordance with Section 2.2-3711.A.6 of the Code of Virginia for discussion or consideration of the investment of public funds where competition or bargaining is involved, where, if made public initially, the financial interest of the governmental unit would be adversely affected and Section 2.2-3711.A.7 to consult with legal counsel employed or retained by the EDA regarding specific legal matters pertaining to the enforcement of a grant performance agreement and a loan agreement requiring the provision of legal advice by such counsel and consultation regarding tax implications of a possible waiver of interest and modification and subordination of an existing loan agreement. A motion was made by Ms. Ferebee and seconded by Mr. Wallace to go into the Closed Meeting. A roll call vote was taken which resulted as follows: Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None CERTIFICATION Chair Brown 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 Brown asked for any statements. There were none. A motion was made by Ms. Ferebee and seconded by Ms. Sandford to conclude the Closed Meeting and return to the Meeting. A roll call vote was taken which resulted as follows: Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None Ms. Ferebee stated the Loan & Grant Review Committee recommends the EDA accept the funds paid by Touch of Class Fencing, release the liens and cancel the remaining outstanding loan balance. A motion was made by Ms. Ferebee and seconded by Mr. Wallace to support the recommendation as stated. A roll call vote was taken which resulted as follows: 3  Ayes: Bagley, Bellinger, Sandford, Seymour, Wallace, Ferebee and Brown Nays: None NEW Mr. Sledge thanked the board members for their support during BUSINESS the year and gave them a holiday gift. 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