Public Improvement Trust

CITY OF HENDERSON PUBLIC IMPROVEMENT TRUST MINUTES November 19, 2014 I. CALL TO ORDER Chairman Steve Grierson called the meeting to order at 4:39 p.m. in the Mayor and Council Board Room, 4th Floor, 240 Water Street, Henderson, Nevada. II. CONFIRMATION OF POSTING AND ROLL CALL Lori Grossman, Secretary, confirmed the meeting had been posted in accordance with the Open Meeting Law by posting the agenda three working days prior to the meeting at City Hall, Multigenerational Center, Whitney Ranch Recreation Center, and Fire Station No. 86. Present: Chairman Steve Grierson Ken Herman Caron Richardson (arrived at 4:41 p.m.) Cecilia Schafler Quinton Singleton (arrived at 4:44 p.m.) Absent: None Staff: Mark Backus, Assistant City Attorney III Barbara Coffee, Director of Eco. Dev/Redevelopment Lori Grossman, Secretary Tedie Jackson, Minutes Clerk Guests: Richard Jost, Fennemore Craig Jones Vargas Mary Bacon, Fennermore Craig Jones Vargas Dr. Jack Singh, Living Ecology, Inc (arrived at 4:50 p.m.) III. ACCEPTANCE OF AGENDA (Motion) Mr. Herman introduced a motion to accept the agenda as presented, seconded by Ms. Schafler. The vote favoring approval was unanimous. Chairman Grierson declared the motion carried. City of Henderson Public Improvement Trust Page 2 November 19, 2014 – Minutes IV. PUBLIC COMMENT No comments were presented by the public. V. NEW BUSINESS 1. Approval of Minutes from August 20, 2014 Trust Meeting (For Possible Action) (Motion) Mr. Herman introduced a motion to approve the minutes of the August 20, 2014, Public Improvement Trust meeting as presented, seconded by Ms Schafler. The vote favoring approval was unanimous. 2. Living Ecology, Inc. Richard Jost, representing Fennemore Craig Jones Vargas, reported that the main office for Living Ecology, Inc., is located in Corona, California, and the company makes a variety of energy bars. He presented a summary of the application and noted that the president of the company should be arriving shortly to answer questions. Mr. Jost noted that GE Government Finance will be underwriting or purchasing the bonds and a personal guarantee will come from Dr. Jack Singh, president of Living Ecology, Inc. In response to several questions, Dr. Jack Singh, president of Living Ecology, Inc., stated that each shift will require 16 employees. He confirmed that the long-term goal is to purchase the building and possibly build out to St. Rose Parkway. He showed a 3-D layout of the facility and pointed out the location of the distribution area and warehouses. Mr. Singh explained that all equipment is specially made in Germany and will provide high volume distribution using very low amps, which will be energy efficient. He also showed many certifications the company has achieved. Mr. Jost commented that they hope to go before the State Board of Finance in middle of January, 2015. Regarding the average employee wage, Mr. Singh said they will pay a good salary as they desire skilled employees and low turnover. He noted that they have a full-time employee to repair and maintain the specialized equipment. City of Henderson Public Improvement Trust Page 3 November 19, 2014 – Minutes In response to a question as to how this business will economically impact the community, Mr. Singh said they will provide jobs, introduce more healthy food in the area, diversify an industrial manufacturing base in the community, and they hope to work with the School District to provide healthy bars to children. Regarding whether the applicant has charitable goals, Dr. Singh said they donate to fire departments in California and also ship products to Europe and South America. He said all products that have less than three months shelf life are donated to feed the homeless. (1) Acceptance of Application and approval of security It was noted that the Trust received an application fee in the amount of $5,000.00. (Motion) Mr. Singleton introduced a motion to accept the application and approve the security, seconded by Mr. Herman. The vote favoring approval was unanimous. Chairman Grierson declared the motion carried. (2) Ratify the Ordering of a TEFRA Hearing Mr. Jost reported that the Tax Equity and Fiscal Responsibility Act (TEFRA) requires advertisement and notice of a public hearing before local government can issues bonds. He noted that Mark Backus will serve at the hearing officer for the TEFRA hearing. (Motion) Mr. Singleton introduced a motion to ratify the ordering of a TEFRA Hearing, seconded by Mr. Herman. The vote favoring approval was unanimous. Chairman Grierson declared the motion carried. (3) Adoption of Resolution Preliminarily Providing for the Issuance and Sale of up to $4,200,000 in Aggregate Principal Amount of Private Activity Bonds and matters properly related thereto (Motion) Mr. Herman introduced a motion to adopt a Resolution Preliminary Providing for the Issuance and Sale of up to $4,200,000.00 in Aggregate Principal Amount of Private Activity Bonds and matters properly related thereto, seconded by Ms. Schafler. The vote favoring approval was unanimous. Chairman Grierson declared the motion carried. . City of Henderson Public Improvement Trust Page 4 November 19, 2014 – Minutes 3. Reconsider reversal of forfeiture and authorize release of funds to ANC, Inc. in the amount of $1,978.50 Lori Grossman, Secretary, explained that staff sent the applicant, ANC, a certified letter informing them they had remaining funds. When staff did not receive a reply within the required time frame, a second letter was sent to ANC advising them that the remaining funds would be forfeited to the Trust. Ms. Grossman noted that staff received a request several months later from ANC stating that they did not realize they were eligible for remaining funds and would now like to claim the $1,978.50. (Motion) Ms. Schafler introduced a motion to reconsider reversal of forfeiture and authorize release of funds to American Nevada Corporation, Inc. (ANC) in the amount of $1,978.50, seconded by Mr. Herman. The vote favoring approval was unanimous. Chairman Grierson declared the motion carried. 4. Review of Warrant Register Lori Grossman, Secretary, provided a review of the Warrant Register and noted that the largest transaction is $60,000.00 for a Bank of America CD that was closed. She also reported that the Trust holds $178,197.00 in assets and passed the annual audit without any concerns. (Motion) Ms. Richardson introduced a motion to accept the Warrant Register as presented, seconded by Mr. Herman. The vote favoring approval was unanimous. Chairman Grierson declared the motion carried. VI. PUBLIC COMMENT Ms. Grossman commented that she had received a phone call about the Trust donating funds to the Henderson District Library for a patio remodel; however, she has not heard back and does not know if they are still interested. VII. CHAIRMAN/MEMBER COMMENTS No Chairman or member comments were presented. City of Henderson Public Improvement Trust Page 5 November 19, 2014 – Minutes VIII. ADJOURNMENT There being no further business to be discussed, the meeting was adjourned at 5:33 p.m. Respectfully submitted, ___________________________ Tedie Jackson, Council and Commission Services Reporter