Odessa Development Corporation

ODESSA DEVELOPMENT CORPORATION MINUTES CITY OF ODESSA, TEXAS June 11, 2020 A regular meeting of the Odessa Development Corporation (ODC) was held on June 11, 2020 at 2:00 p.m., in the Council Chambers, fifth floor, City Hall, 411 W. 8th St., Odessa, Texas. Members present: Gene Collins, Melanie Hollmann, and David Boutin. Members absent: Tim Edgmon and Chris Cole; and Mayor David R. Turner, ex-officio. Others present: City Staff: Norma Aguilar-Grimaldo, City Secretary; Robert Carroll, Assistant City Attorney; and Cindy Muncy, Assistant City Manager; ODC Contractors: Craig Van Amburgh, CVA; Wesley Burnett, Economic Development; Tyler Patton, UTPB-SBDC; Bryan Bierwirth, UTPB-SBDC; Renee Earls, Chamber of Commerce; and Dustin Fawcett, MOTRAN; and Others: and other interested citizens. A quorum being present, Mr. Boutin called the meeting to order and the following proceedings were held: Mr. Collins gave the invocation. May 14 and 27, 2020 minutes. Motion was made by Ms. Hollmann and seconded by Mr. Collins to approve the minutes. The motion was approved by unanimous vote. Contractors report: Economic Development: Odessa Chamber, CVA Advertising and Marketing, UTPB-America’s SBDC, MOTRAN, and City Administrative support. Mr. Burnett reported that some projects were on hold. The Solar project was moving forward with more capital investment. A consultant had a virtual site tour on the former Summit site. There was positive activity. The Perryman strategy task force was meeting. The Odessa Housing Finance housing project was hold and PSP may require OHFC to reapply for funding. Mr. Collins asked who had the copyright to the Perryman Study. Mr. Burnett stated that ODC owned the report but would distribute the report as necessary. Mr. Boutin stated that there was certain initiatives and it was to be inclusive for effectiveness. Mr. Van Amburgh reported that May’s activities was work on the strategic communication plan. The campaign would include the importance of the Permian Basin both statewide and nationally. CVA was ready to assist with the wireless internet to educate the community. The podcast and TV would have information on the strategy plan. TV, social media, and the podcast will be included in the campaign. The outdoor billboard was important. There would be a landing page on the website for the ODC Minutes June 11, 2020 Page 2 campaign. The campaign would be aggressive. Mr. Boutin stated that the Advertising Committee would review the campaign. There was a sense of urgency. Mr. Patton reported on SBDC’s May activity. May’s capitalization was $1,715,336 with Odessa at $671,536. There were 258 counseling sessions and 162 counseling hours. He stated that there were changes to the PPE program and was working with people. SBDC had a new position of Disaster Assistance Consultant. Mr. Bierwirth reported that the Business Challenge awarded $350,000 in prize money. There were four winners. Three were start-up businesses and one was an existing business. The winners were Amenti Beauty awarded $100,000, Keystone awarded $50,000, Permian $100,000, and Rooster’s Diner awarded $100,000. Since the award ceremony was cancelled, there would be an ad campaign on the winners and advertised for two weeks. He thanked the board for funding the Business Challenge. In two challenges, ODC awarded $550,000 not including the current one. With the challenge, 25 jobs were created. ODC was a leader in helping small businesses. Mr. Collins asked for a break down on how it stimulated the economy. Mr. Bierwirth announced that it was his last Business Challenge as he was the new Disaster Assistance Consultant. Mr. Fawcett stated that the State of the Basin webinar was attended by 338 attendees and had over 3,000 views. MOTRAN was serving as a bridge of the entities for WIFI. MOTRAN was meeting with the entities including the schools and cities. They were working on speed tests. Due to the WIFI study, towers were added for additional WIFI. Mr. Boutin stated that ODC’s role was identified in assisting with additional infrastructure for enhancement. He asked that MOTRAN keep in consideration of ODC’s role. Mr. Burnett stated that meetings were being held with schools on capacity and capabilities. Mr. Fawcett provided an update on the Permian Basin Freight Study. Information was gathered on real time for truck flows and freight. It would be used in the formula for proper funding. The Ports to Plains study had Odessa and Midland support. MOTRAN was supporting a study for US Hwy. 385. On I-14, Georgia wanted to be included in the interstate. MOTRAN was working on meetings with Senators Cornyn and Cruz. MOTRAN supported all four lane routes and better roadways. He would provide the updated I-14 map that included Georgia. Ms. Muncy reported on the financial activities. Two reserved commitments were added. Total assets were $56,240,320 and expenditures were $187,684 for April. For the year, total revenues was $8,213,936 and expenditures was $2,092,401. There was a sales tax drop for June of 33.86%. Total investments for April was $56,084,634. Resolution No. ODC-2020R-09 – Select Energy second incentive payment based on compliance with the economic development agreement. Mr. Carroll stated that Weaver reviewed the data and Select Energy reached its required 170 jobs for 2019. The incentive payment was $18,374.20. Motion was made by Ms. Hollmann and seconded by Mr. Collins to approve the resolution. The motion was approved by unanimous vote. Review and discuss proposed FY 2020-2021 General Development Plan form. Mr. Carroll stated that the new economic development and façade agreements were added to the plan. The board had no concerns on the plan form. ODC Minutes June 11, 2020 Page 3 Review and discuss contract form for contractors. Mr. Carroll stated that sections were shifted in the form for flow and organization. Mr. Boutin stated that the changes in the program should include either an increase or decrease to the change of cost for ODC discussion. The change would be made. ODC Committee and Officer Reports. There were no meetings for Partnership, Tax Incentive or the Design Committees. The Advertising Committee discussed the Perryman Report. The Perryman Task Force met. Mr. Burnett stated that the chair was Kirk Edwards. The task force discussed the strategy and marketing the message. Mr. Boutin emphasized the sense of urgency to get the message out locally, statewide and in Washington to protect the oil and gas in the Permian Basin. Mr. Van Amburgh stated that the campaign was slated for a yearlong. Discuss emergency assistance options related to the COVID-19 pandemic. Mr. Carroll stated that Legal reviewed any manufacturing business or any other business. Mr. Collins stated that there needed to be a process to efficiently and qualify funding projects without going through the qualifying steps, if time sensitive during an emergency. There was no structure, as it may not fit in the matrix. Mr. Carroll stated that ODC was flexible. The situation was broad and complex and ODC adjusted the structure such as flexing out jobs or not requiring investment. It was done successfully within the confines of the law. Mr. Burnett stated that there was flexibility such as the West Texas Food Bank. The Compliance Committee was flexible and the chair was consulted on projects. They were flexible, creative and meet with a short-term notice. Mr. Boutin stated that this was a unique circumstance and projects were reviewed on a case-by-case basis. ODC has the opportunity to create, train, retain jobs and provide infrastructure with the funds. There was flexibility and leadership to review each project. Mr. Collins stated that it must be fair to everyone. He wanted it have it codified. He stated that there may be a problem in making it work and others may not fit in the guidelines. There should be no discrimination. Ms. Hollmann suggested modification in the contract and work with the grantees. She suggested a right to change section in the contract such as force majeure clause. Mr. Collins wanted it limited to emergencies. Ms. Hollmann stated it was beneficial to grantees. Mr. Burnett talked to every caller and there was no discrimination. Mr. Collins wanted each project to be reviewed and considered especially with minorities. Mr. Boutin recalled that an application was denied due to the lack of financial information that was not provided. Ms. Hollmann emphasized that if there was any type of discrimination the ODC board needed to be made aware. The General Development Plan would include an emergency section. Mr. Collins stated that it would provide for a methodology for emergencies. The meeting adjourned at 3:36 p.m. ATTEST: APPROVED: Norma Aguilar-Grimaldo, TRMC, CMC David Boutin City Secretary Vice President