Odessa Development Corporation

PUBLICNOTICE ODESSA DEVELOPMENT CORPORATION BOARD OF DIRECTORS MEETING In accordance with the Open Meetings Act, Chapter 551 of the Government Code of Texas, notice is hereby given to all interested persons that the Odessa Development Corporation (“ODC”) will meet on Thursday, December 8th, at 2:00 p.m. in the City Council Chambers - City Hall, 5th Floor, 411 W. 8th Street, Odessa, Texas 79761, for the purposes: See Attached Agenda This notice is being posted on the south door of City Hall and on the bulletin board of the first floor of City Hall, Odessa, Texas, on the City of Odessa’s website www.odessa-tx.gov, and on the Odessa Development Corporation’s website www.odessatex.com, this the_____ day of _____________, 2022, at _______ ___. m., said time being more than seventy-two hours (72) prior to the time at which the subject meeting will be convened and called to order. The meeting is available to all persons regardless of disability. Individuals with disabilities who require special assistance should contact the City Secretary's Office at 432-335-3276, or 411 West 8th Street, First Floor, Odessa, Texas, during normal business hours at least twenty-four hours (24) in advance of the meeting. _____________________________________ Norma Aguilar-Grimaldo, TRMC, CMC City Secretary  ODC Meeting Agenda December 08, 2022 2:00 p.m. 1. Call to Order 2. Invocation 3. Pledge of Allegiance Any member of the public may address the ODC Board regarding any of its agenda items before or during the consideration of the item. Regular Agenda 4. Discuss, consider, and act upon Minutes of November 10, 2022, and November 28, 2022, meetings. 5. Contractors’ reports: A. Economic Development Dept. Odessa Chamber .............................. Tom Manskey B. CVA Advertising & Marketing ................................................... Craig Van Amburgh C. Black Chamber of Commerce ..............................................................Chris Walker D. UTPB-America’s SBDC .......................................................................... Tyler Patton E. MOTRAN .................................................................................... James Beauchamp F. City Administrative Support: Financials ..................................................... Larry Fry 6. ODC Committee Reports: A. Partnership...........................................................David Boutin, Melanie Hollmann B. Tax Incentive ........................................................Melanie Hollmann, David Boutin C. Compliance .................................................. Melanie Hollmann, Kris Crow, Vacant D. Advertising ................................................................................. James Kirk, Vacant E. DOI Grants Design Review Board..................... Larry Robinson, Melanie Hollmann 7. Discuss, consider, and act upon RFP/RFQ for ODC Legal Services. 8. Discuss, consider, and act upon RFP/RFQ for Auditing Services. 9. Discuss, consider, and act upon potential appointments to various committees Executive Session 10. The Board will recess into Executive Session in compliance with Section 551.001 et. seq. Texas Government Code in accordance with: a. Section 551.087. Deliberation regarding commercial or financial information that the Board has received from a business prospect or to deliberate the offer of a financial or other incentives to a business prospect. i. Project CTV ii. Project Big Red 11. Reconvene into Regular Session and take any action necessary as a result of the executive session. 12. Citizens comments on non-agenda items 13. Consider date for next ODC Board meeting 14. Adjourn .................................................................................................................. Kris Crow COURTESY RULES Thank you for your presence. The ODC Board appreciates your interest in Odessa City Government. PLEASE SILENCE OR TURN OFF ALL MOBILE DEVICES. If you wish to address the ODC Board, obtain a speaker card just inside the Council Chambers, complete the information requested on the card, and deliver to the Assistant ODC Secretary before the meeting or as soon as you can. Speakers will be heard as the individual item(s) in which they have registered an interest come before the ODC Board. Remarks will be limited to three (3) minutes per speaker. PLEASE GIVE YOUR NAME FOR THE RECORD. Delay or interruption of the proceedings will not be tolerated. The Odessa Development Corporation reserves the right to adjourn into executive session at any time during the course of this meeting to discuss any of the matters listed above, as authorized by the Texas Government Code, Section 551.071 (Consultation with Attorney), 551.072 (Deliberations about Real Property), 551.073 (Deliberations about Gifts and Donations), 551.074 (Personnel Matters), 551.076 (Deliberations about Security Devices) and 551.087 (Economic Development), 551.087 (Deliberation or discussion regarding commercial or financial information that the governmental body has received from a business prospect)  ODESSA DEVELOPMENT CORPORATION MINUTES CITY OF ODESSA, TEXAS November 10, 2022 A regular meeting of the Odessa Development Corporation (ODC) was held on November 10, 2022, at 2:00 p.m. in the Council Chambers, 5th floor, City Hall, 411 W. 8th St. Odessa, Texas. Members present: Melanie Hollmann, David Boutin, Larry Robinson, Kris Crow, James Kirk, and Tim Edgmon. Member absent: Chris Cole. Others present: City Staff: Norma Aguilar-Grimaldo, City Secretary; Jan Baker, City Attorney; Cindy Muncy, Assistant City Manager; Larry Fry, Director of Finance; Casey Hallmark, Downtown Odessa Executive Director; Christina Buhnerkempe, Legal Assistant; and ODC Contractors: Craig Van Amburgh, CVA; Tyler Patton, UPTB-SBDC; James Beauchamp, MOTRAN, and Renee Earls, Chamber of Commerce; Chris Walker, Black Chamber of Commerce; and Others: other interested citizens. A quorum being present, Mr. Boutin called the meeting to order, and the following proceedings were held: Dr. Kirk gave the invocation. October 13, 2022 minutes. Motion was made by Mr. Crow and seconded by Mr. Edgmon to approve the minutes as corrected. The motion was approved by unanimous vote. Consider changes to the proposed economic development agreement between ODC and 1PointFive P1, LLC. Ms. Baker advised not to go into executive session as the contract was approved by the City Council. She stated that non-substantial and non- material changes were made. The ODC board reviewed the 1PointFive P1 performance agreement. Mr. Crow wanted the contracts to be clear and be specific to the project with a dedicated location. Ms. Hollmann did not want to use existing employees to move to a project site without new hires to meet qualifications. She stated that effort must be made to employ Odessa residents. There were recommended changes made by the board. Contractors’ reports: Economic Development Department - Odessa Chamber, CVA Advertising and Marketing, Black Chamber of Commerce, UTPB-America’s SBDC, MOTRAN, and City administrative support - financials. Mr. Manskey provided updates on the local projects. He was working on getting applications. Project Ophelia, a solar project, was preparing its application for the taxing entities. Project Lithium was preparing a site visit to Odessa. Project Frost was a modernization and expansion business with a capital investment of $400 to $500 million. It received tax abatements ODC Minutes November 10, 2022 Page 2 from local entities. Project Legion received a Chapter 313 from ECISD and was working to get the other agreements from the other taxing entities. The Chamber was handling the marketing media. He reviewed the followers from social media. Mr. Manskey explained the Sunset legislation as it was needed for the Odessa area. Mr. Van Amburgh reported on October activities. There were outdoor and newspaper advertising. The Permian Fuels America social media was down. He stated a video would be made featuring the available properties. Mr. Walker reported that the Black Chamber of Commerce’s website activity increased. He met with six individuals working on their businesses. The Black Chamber was assisting with food boxes to help families in need. They were also working with the Woodson Boys and Girls Club for a Teddy Bear event that would provide gifts to children and families in need. Mr. Patton reported on SBDC’s October activities. He reported that there were 365 counseling sessions with 348 counseling hours. Three seminars were presented with 82 attendees. There was one new Odessa business. Odessa’s capitalization was $700,000. There were 27.5 full time employees. There were people interested in the financial projection seminars. The Small Business Accelerator program would begin at the first of the year. Mr. Beauchamp stated that MOTRAN was working on its legislative agenda. It included the extension of the County Road Program and the opportunity of leveraging additional severances. He stated that there was a formation of the I-14 Caucus that would address energy issues. Mr. Boutin stated that the annual meeting was well attended. Mr. Fry provided a September financial report. He reported that there was $68,706,322 in total assets. Total revenues for the year end was $12,582,608 and expenditures was $4,083,063. FMC and Nacero were paid. There were no new securities purchased. October had two new securities in bonds. The November sales tax was $1,185,460. The year to date sales tax was $2,329,784. Motion was made by Mr. Edgmon and seconded by Ms. Hollmann to approve the September financial report. The motion was approved by unanimous vote. Mrs. Muncy stated that there was an outstanding payment from the Business Challenge. A business submitted its expenditures after the September 30, 2022 deadline. UTPB vetted the documents and it qualified for its payment of $45,653.33 which the expenses were incurred by September 30, 2022. She asked if the board wanted to make the payment. Mr. Boutin stated that the funds were earned, and it was a startup company, but expenditures not turned in by the deadline. Mr. Edgmon stated that promotional funds were used. He recommended to make the payment. He explained the Business Challenge. Motion was made by Mr. Edgmon and seconded by Dr. Kirk to approve the payment. The motion was approved by unanimous vote. Resolution No. ODC-2022R-24 – Nasuhoglu Investments (PediCardo) for a six month extension of time to complete the downtown infrastructure and façade projects. Ms. Hallmark stated that PediCardo located at 520 N. Lincoln was in litigation with its contractor. There was a request for a six month contract extension. She stated ODC Minutes November 10, 2022 Page 3 that significant progress was made. Additional funding due to inflation was requested but was not allowed according to the contract. The extension would be through May 2023. Motion was made by Dr. Kirk and seconded by Mr. Robinson to approve the resolution. The motion was approved by unanimous vote. Discuss and consider recommendation of Compliance Consultant Committee. Mr. Crow stated that Whitley Penn was interested in the RFP. There was no response from Axiom. Mrs. Muncy stated that Whitley Penn, Odessa office, was sent the RPF. The board could select from either proposal received, reject proposals or send out back for an RFP. She stated that the City staff would assist with technical questions or the process. Mr. Crow would follow up with a notification to the businesses on the RFP list. Mrs. Muncy stated that if the firm was not a CPA firm there needed to be a confidentiality form for protection. Motion was made by Mr. Crow and seconded by Mr. Edgmon to decline and reject the proposal and start the process again. The motion was approved by unanimous vote. Mrs. Muncy asked if the board wanted to continue with Weaver. She stated that Glazier requested its review for payment. Motion was made by Mr. Crow and seconded by Dr. Kirk to continue the contract with Weaver on a month to month basis and proceed with contract reviews. The motion was approved by unanimous vote. Mrs. Muncy would work with the Legal staff for a confidentiality clause. Mr. Crow would contact the businesses on the RFP list to encourage a proposal submission. Discuss and consider recommendation of Marketing Contractor Committee. Mr. Edgmon stated that there were three proposals: CVA, Current Media and Hancock. All were impressive proposals. Mr. Edgmon, Mr. Crow and Dr. Kirk recommended Current Media with Christi Callicoatte. CVA would work until the end of the year. Motion was made by Mr. Edgmon and seconded by Mr. Crow to approve Current Media as the marketing contractor for ODC. The motion was approved by unanimous vote. Discuss and consider compliance monitoring review policies for economic development incentive performance agreements and clarify qualified capital expenditures in grant contracts. Mr. Boutin stated that a question was raised on the audit review if the information needed to go to Compliance Committee with exceptions or go straight to the board. Currently, the Compliance Committee reviewed only if there were exceptions. Mr. Crow stated that ODC Resolution No. 2020R-02 stated that the payment would go to the ODC board if there were no discrepancies. He asked for a clear definition of discrepancy. He stated that the last grant did not meet requirements and it went straight to the board. Mr. Boutin stated that the contract provision indicated a pro rata if it did not meet the grant requirements. He stated that there was no reason to send to Compliance. Mr. Edgmon stated it went by the guidelines of the contract. Mr. Crow stated that there had not been past expenditures included. Mr. Boutin stated that the auditor had no concerns and the language in the contract stated to pay pro rata in the contract. Mr. Boutin stated that the company did not want to disclose the property. He stated to allow capital expenditures items prior to the execution of the agreement. Ms. Baker ODC Minutes November 10, 2022 Page 4 stated that the financial aspects under negotiation could be discussed in executive session. Ms. Hollmann stated to include in the negotiation process. Mr. Robinson stated that construction should be defined. Staff would work on the definition of construction, language to allow capital expenditures and clear language on design, preparation and construction of the property. ODC Committee and officer reports. No reports. Citizen comments on non-agenda items. None. Consider date for next ODC Board meeting. Mr. Boutin stated that the next meeting was December 8, 2022. There being no additional business, Mr. Boutin adjourned the meeting at 4:04 p.m. ATTEST: APPROVED: Norma Aguilar-Grimaldo, TRMC, CMC David Boutin City Secretary President  ODESSA DEVELOPMENT CORPORATION MINUTES CITY OF ODESSA, TEXAS November 28, 2022 A special meeting of the Odessa Development Corporation (ODC) was held on November 28, 2022, at 2:00 p.m. in the Council Chambers, 5th floor, City Hall, 411 W. 8th St. Odessa, Texas. Members present: Melanie Hollmann, David Boutin, Larry Robinson, Kris Crow, James Kirk, Jeff Russell, and Ismael “Mikky” Navarrete. Others present: City Staff: Norma Aguilar-Grimaldo, City Secretary; Jan Baker, City Attorney; Michael Marrero, City Manager; Cindy Muncy, Assistant City Manager; Casey Hallmark, Downtown Odessa Executive Director; Christina Buhnerkempe, Legal Assistant; and ODC Contractors: Renee Earls, Chamber of Commerce; and Others: Council members Steven Thompson, Gilbert Vasquez, Greg Connell and Chris Hanie; and other interested citizens. A quorum being present, Mr. Boutin called the meeting to order, and the following proceedings were held: Mr. Boutin gave the invocation. Mr. Boutin stated that notice was provided on Wednesday of the special meeting. He stated it was an obligation to ensure and adhere by the Bylaws, Open Meeting Act and other laws. He would have appreciated additional information. The two new members each took the oath of office on November 22, 2022. Mr. Crow called for a point of order. Mr. Boutin stated it was common courtesy to let the outgoing members know of their replacement. He asked that a formal thank you be given on the next ODC board. Mr. Crow stated that happened to him. Appoint Officers: President, Vice President, and Assistant Secretary. Motion was made by Ms. Hollmann to nominate the current slate of officers: President: David Boutin, Vice President: Melanie Hollmann, and Assistant Secretary: Kris Crow. Mr. Russell called a point of order to nominate individual officers as referenced in the ODC Bylaws Article 3 Section 3.1. Mr. Boutin made the second motion. The motion failed by a 2 - 5 vote with Dr. Kirk, Mr. Crow, Mr. Russell, Mr. Navarrete and Mr. Robinson casted the nay votes. Motion was made by Dr. Kirk and seconded by Mr. Russell to appoint Kris Crow as President. Motion was made by Ms. Hollmann to appoint David Boutin as President. The motion passed to appoint Kris Crow as President by a 5 – 2 vote with Ms. Hollmann and Mr. Boutin casted the nay votes. ODC Minutes November 28, 2022 Page 2 Motion was made by Mr. Crow and seconded by Mr. Robinson to appoint Jeff Russell as Vice President. The motion passed by a 5 – 2 vote with Ms. Hollmann and Mr. Boutin casted the nay votes. Motion was made by Mr. Russell and seconded by Mr. Crow to appoint Dr. Kirk as Assistant Secretary. The motion passed unanimous vote. There being no additional business, Mr. Boutin adjourned the meeting at 2:10 p.m. ATTEST: APPROVED: Norma Aguilar-Grimaldo, TRMC, CMC Kris Crow City Secretary President  Odessa Chamber of Commerce Economic Development Services for the Odessa Development Corporation November 2022 Projects Project Pump • Local pump manufacturing company • New Cap Ex $4.2 million building and equipment • 24 new jobs • ODC Application has been received, will schedule a compliance committee meeting • Compliance Committee met and has requested additional information • Have emailed questions to company from Compliance Project Castle • Local oilfield manufacturing company • Currently gathering information for the ODC application • Company plans to purchase new equipment and hire 10-15 new employees • Waiting on application • Company is working on the application • Project is still viable, holidays are slowing the process Project Faudree • 10 – 15 jobs • $3 million + Cap Ex • Expansion of existing business • Waiting on additional information for application • Continue to work with company on additional information Project Ophelia • Solar Project • 3 to 5 jobs 1 • $150 million Cap Ex • Preparing applications for various taxing entities to present in 1st Quarter of 2023 Project Lithium • EV Electric Vehicle Battery Manufacturer • 1,000 +/- jobs • $1 billion Cap Ex • Site visit December 7th thru 9th Project Frost • Expansion and modernization of existing business in Ector County. • Cap Ex is expected to be between $300 and $350 million • Create 15-30 new FTE’s • Retain 105 existing jobs • Currently coordinating meetings with taxing entities • Received approval for tax abatements from local taxing entities • The Company is working on the ODC grant application Project Legion • $24 billion Cap Ex • 1,200 FTE jobs, build out over 6-8 years • Coordinated meetings with taxing entities to begin the process of negotiating incentives • ECISD approved the Chapter 313 for this project • The company is working with other taxing entities on Chapter 312 agreements • Continue to work with the company to coordinate meetings with the taxing entities Project Fuse • Existing electrical supply company • Cap Ex $7 – 8 million • Retain and add jobs totaling 25 – 30 • The company is under contract for approximately 15 acres to build their new facility and is in the process of gathering their information for the ODC grant application. • Company negotiating purchase agreement, completing application • Company has executed a purchase agreement for land and has emailed their ODC grant application • Compliance Committee will recommend a job creation / Cap Ex grant to the ODC Board for consideration • ODC Board approved, company has the EDA for review • Company continues to review the EDA 2  Project Big Red – Taylor Sudden Services • This is a local company looking to expand their operations in Odessa. The company manufactures/repairs heavy duty forklifts, container handlers and lift trucks. • Cap Ex of $3,200,000.00 • The company will retain 31 jobs and create 24 new jobs • The Compliance Committee made a recommendation to the ODC Board for a capital investment and job creation grant • The ODC Board will make a grant recommendation to City Council • The Odessa City Council approved the grant for this project. We are working on the economic development agreement • Company reviewing Economic Development Agreement • Company reviewing their expansion plans, will keep in contact • Company is searching for other locations to expand • The company continues to search for a larger facility for their expansion. • We continue to work with the company on locating a building • The company representative indicated they were ready to move forward with the original project • The company has adjusted the capital investment amount • The EDA will go back to the Board for approval Project CTV Coming Soon • CO2 recovery/capture project • $1.2 Billion Cap Ex • 150 jobs • They have selected Odessa / Penwell for their project, groundbreaking will be scheduled as soon as the road to the site is completed Nacero Coming Soon • Site location consultants and staff conducted virtual site visit for a new heavy industrial manufacturing facility • $3-6 billion Cap Ex, 24/7 operation • 2,950 construction jobs during 3–4-year construction • 250-380 permanent employees 3 Local Business Retention and Expansion • Continue working with several local companies to complete their application to present to the Compliance Committee. • 12 Business Consultations: Averitt Express Austin Hose Shawn Crouch LCM Industries Standard Industrial Manufacturing NRG Realty Group J & S Oilfield Services Martinez Machine Onyx Contractors American Eagle Logistics Boss Oilfield Service & Supply United Pump & Supply Odessa Partnership • Odessa Partnership met April 28, 2022 Services and Other Activities • October Odessa Development News sent out via Mailchimp and posted to website • September Ingham Economic Index report sent out via Mailchimp and posted to website • Apartment Survey data collection ongoing • Certificate of Origin, Performance Pulsation Control (PPC) for parts shipping to Albania • Certificate of Origin, Texas Specialty Ball Company for parts shipping to Saudi Arabia • October Employment figures updated to website 4  Partner Visits EDD Staff Meeting Weekly Director and Staff Odessa Chamber Board of Directors Meeting Director and Staff Odessa Chamber Executive Meeting Director and Staff Odessa City Council Work Session & City Council Meeting Director and Staff Ector County Commissioners Court Director SEMA Show High Ground - Las Vegas Director and Staff Fabtech Team Texas – Atlanta, GA Staff Odessa Board of Realtor Luncheon Speaker Director OC Honors Luncheon Director and Staff Business Roundtable Director Odessa City Council Reception Director and Staff Basin Abstract Open House Director 5 NOVEMBER MARKETING REPORT 2022 SOCIAL MEDIA GROWTH Facebook Instagram 51,038 Account Reach 1,900 Account Reach 2,398 Page Likes 1,180 Followers 123 Page Visits 106 Page Visits 17 New Followers 31 New Followers Twitter 8 Tweets 581 Tweet Impressions 121 Page Visits 1,011 Followers Top Facebook Post Top Instagram Post ODESSA DEVELOPMENT CORPORATION OCTOBER 2022 ACTIVITIES TELEVISION No ODC television schedules are currently running. OUTDOOR ADVERTISING All billboard contracts expire December 31, 2022. TRADE PUBLICATIONS No new trade publication ads were produced or placed during the month of No- vember. NEWSPAPER ADVERTISING Our newspaper ads that have been focusing on local business retention and expansion in the Odessa American end on December 31, 2023. MISCELLANEOUS At ED Director Tom Manskey’s request, CVA combed its video archives for beauty shots and seasonal event footage of Odessa that can be incorporated into Neon Cloud’s final video presentation. Those clips were trimmed in length and uploaded to Neon Cloud’s website in late November, and are ready to be used in the final product. Neon Cloud has moved their original shooting days from December to early spring in order to avoid the dead and dry landscapes of a West Texas winter. With this delay, Current Media will work with Mr. Manskey to complete this project. PERMIAN FUELS AMERICA SOCIAL MEDIA/WEB ANALYTICS Permian Fuels America’s overall social media including all platforms were down last month due to fewer posts being boosted, and the holiday season. CVA 4105 Faudree Rd., Odessa, TX 79765 T 432-368-5483 F 432-366-9434 E craig@cvaadv.com www.cvaadv.com Permian Fuels America Facebook Over the last month on Facebook, we have continued to generate content from rele- vant articles of local news organizations. Our Facebook reach was down due to fewer posts and not as much boosting. The post we did boost was a video about Permian Fuels America, and the majority of those impressions went to Instagram, which was up 4,400%. Our top posts this month were the boosted TPFA video, and an article about the Permian fueling a new oil boom. Permian Fuels America Twitter Twitter this month showed a 60% decrease in tweet volume, which led to lower impres- sions and profile visits, however our followers were up 4 over last month. Our top tweets were about Texas Universities benefitting from Oil and Gas, and the Permian fueling a new Texas oil boom. Permian Fuels America Website Website traffic this month was up by a tremendous amount, with users up 811%, and sessions up 855%. The top channel directing traffic was direct website entry. The dates of the traffic spike line up with the boosting of the TPFA video on Facebook, and we believe that video is the source of the increase. CVA 4105 Faudree Rd., Odessa, TX 79765 T 432-368-5483 F 432-366-9434 E craig@cvaadv.com www.cvaadv.com The Permian Fuels America Digital Report November, 2022 Total Social Overview Facebook Overview Top Facebook Posts Twitter Overview Top Tweets Website Overview  UTPB SMALL BUSINESS DEVELOPMENT CENTER 2022-2023 New Business Start-Ups & Expansions November-22 ODESSA OTHER LOCATIONS ACTIVITIES Counseling New Businesses 1 New Businesses 3 230 Seminars 2 Sessions Am Am FTE's 2.00 FTE's 14 3 0 Ind/N/Alaskan Ind/N/Alaskan Asian/pac. Asian/pac. 1 0 Islander Islander Black 11 Black 2 Hispanic 31 Hispanic 21 Non-Hispanic 43 Non-Hispanic 10 Total Clients 103 Total Attendees 36 Counseling 192 Training Hours 36 Hours Cumulative End of Year 2022-2023 2021-2022 Oct-22 Nov-22 Oct-22 Dec-22 Jan-22 Feb-22 Mar-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Totals Totals Counseling Sessions 365 230 595 4453 Counseling Hours 348 192 540 3084 Seminars Presented 3 2 5 47 Attendees 82 36 118 696 Training Hours 141.0 36.0 177.0 789.0 New Businesses 2 4 6 50 Odessa New Business 1 1 2 19 Expansions 1 0 1 1 Capitalization $1,069,800 $1,275,000 $2,344,800 $29,637,480 Odessa Capitalization $700,000 $40,000 $740,000 $9,448,903 Total FTE's 27.50 15.50 43 192 12/2/2022 NAG  November 30, 2022 The Honorable Kris Crow, Chair Odessa Development Corporation P.O. Box 4398 Odessa, Texas 79760 Dear Chairman Crow: Please find the attached monthly financials for October 2022, as well as, the monthly report for the Midland-Odessa Transportation Alliance, Inc. We appreciate your continued support and assistance. Sincerely, James Beauchamp President, Midland-Odessa Transportation Alliance cc. The Honorable Javier Joven, City of Odessa P.O. Box 60816 • Midland, TX 79711 • (432) 563-6240 • www.motran.org  OCTOBER 2022 ANNUAL MEETING In October we held our 25th Annual Meeting with guest speaker, Dr. Ray Perryman, as a continuation of our Permian Basin 101 program, to better educate the general public here, as well as, state and federal officials on updated economic impact of the Permian Basin. UPDATED SEVERANCE DATA We have also been sharing additional data on FY 2022 Severance Tax generation in the Permian Basin with officials across the state as we move towards the next legislative session. 1:03 PM MOTRAN ALLIANCE, INC. 11/11/22 Profit & Loss YTD Comparison Cash Basis October 2022 Oct 22 Oct 22 Ordinary Income/Expense Income 4000 · Founding Member Dues 5,417.00 5,417.00 4010 · Member Dues 2,500.00 2,500.00 4200 · Interest Earned 409.52 409.52 4400 · Grants 15,000.00 15,000.00 4420 · ODC 35,625.00 35,625.00 Total Income 58,951.52 58,951.52 Expense 5000 · Marketing 5001 · MOTRAN Marketing 361.59 361.59 Total 5000 · Marketing 361.59 361.59 5025 · Travel Expenses 24.81 24.81 5050 · Events & Expos 6,445.14 6,445.14 6000 · Administration 6035 · Dues & Subscriptions 15.96 15.96 6045 · Food & Entertainment 273.14 273.14 6055 · Gifts 407.33 407.33 6085 · Office Lease 2,655.00 2,655.00 6090 · Office Supplies 119.06 119.06 6105 · Postage 18.17 18.17 6140 · Telephone 230.11 230.11 Total 6000 · Administration 3,718.77 3,718.77 6500 · Personnel Retirement fees 90.00 90.00 6501 · Salaries & Wages 14,476.66 14,476.66 6502 · Payroll Taxes 1,107.48 1,107.48 6504 · Payroll Service Fee 126.39 126.39 6505 · Retirement Contributions 516.66 516.66 Total 6500 · Personnel 16,317.19 16,317.19 7410 · Previous year remittance-MDC 1,671.49 1,671.49 7420 · Previous year remittance-ODC 1,671.49 1,671.49 Total Expense 30,210.48 30,210.48 Net Ordinary Income 28,741.04 28,741.04 Net Income 28,741.04 28,741.04 Page 1 1:04 PM MOTRAN ALLIANCE, INC. 11/11/22 Balance Sheet Cash Basis As of October 31, 2022 Oct 31, 22 ASSETS Current Assets Checking/Savings 1000 · Frost MOTRAN Checking 2,122.52 1010 · Frost MOTRAN Money Market 352,830.77 1015 · Frost-ODC Money Market 38,469.22 1020 · Frost- MDC Money Market 2,814.36 Total Checking/Savings 396,236.87 Total Current Assets 396,236.87 Fixed Assets 1500 · Furniture & Fixtures 926.94 1510 · Accum. Dep - Furn & Fix (926.94) 1520 · Machinery & Equipment 3,356.07 1530 · Accum Dep - Mach & Equip (3,356.07) Total Fixed Assets 0.00 TOTAL ASSETS 396,236.87 LIABILITIES & EQUITY Equity 3900 · Net Assets 367,495.83 Net Income 28,741.04 Total Equity 396,236.87 TOTAL LIABILITIES & EQUITY 396,236.87 Page 1 1:05 PM MOTRAN ALLIANCE, INC. 11/11/22 Statement of Cash Flows October 2022 Oct 22 OPERATING ACTIVITIES Net Income 28,741.04 Net cash provided by Operating Activities 28,741.04 Net cash increase for period 28,741.04 Cash at beginning of period 367,495.83 Cash at end of period 396,236.87 Page 1 MOTRAN, INC. MONTHLY EXPENSE SUMMARY FOR THE MONTH OF Oct-22 EXPENDITURE CATEGORIES MONTHLY EXPENSE MDC ODC Bank Service Fees Dues and Subscriptions $15.96 Events and Expo's $6,445.14 Food and Entertainment $273.14 Gifts $407.33 Health Insurance Reimbursement I-14 Initiative Insurance MOTRAN Marketing $361.59 $180.79 $180.79 Other Marketing Misc. Expense Office Lease $2,655.00 Office Supplies $119.06 Payroll Salaries $14,476.66 $7,283.33 $7,283.33 Payroll Taxes $1,107.48 $553.74 $553.74 Payroll Service Fee $126.39 Retirement Contributions $516.66 Retirement Fees $90.00 Postage $18.17 Professional Services Program Supplies Travel $24.81 Other Travel Utilities: Telephone & Internet $230.11 Previous Year Reimittance MDC $1,671.49 Previous Year Reimittance ODC $1,671.49 TOTAL EXPENSES $30,210.48 $8,017.86 $8,017.86  MOTRAN ALLIANCE, INC. October 2022/City EDC Funding Breakdown Budget Current Remaining Percent FY2022-23 Month YTD Amount Balance Remaining Revenue Founding Members Dues $20,000.00 $5,417.00 $5,417.00 $14,583.00 73% Member Dues $75,000.00 $2,500.00 $2,500.00 $72,500.00 97% Midland Development Corp $142,500.00 $142,500.00 100% Odessa Development Corp $142,500.00 $35,625.00 $35,625.00 $106,875.00 75% PBC Revenue $10,000.00 $10,000.00 100% Grants $15,000.00 $15,000.00 $15,000.00 $0.00 0% Interest Income $500.00 $409.52 $409.52 $90.48 18% Total Revenues $405,500.00 $58,951.52 $58,951.52 $346,548.48 85% Expenditures Bank Fees Dues & Subscriptions Events Food & Entertainment Gifts Health Ins. Reimbursement $2,500.00 $2,500.00 100% Insurance I-14 Initiative $2,500.00 $2,500.00 100% Miscellaneous Expenses Office Lease Office Supplies Payroll-Salaries $110,000.00 $7,283.33 $7,283.33 $102,716.67 93% Payroll-Service Fee Payroll Taxes $8,000.00 $553.74 $553.74 $7,446.26 93% Retirement Postage Marketing $8,000.00 $180.79 $180.79 $7,819.21 98% Other Marketing Program Supplies Telephone Travel Expenses $5,500.00 $5,500.00 100% Travel Other Professional Services $6,000.00 $6,000.00 100% ODC Broadband Website Updates Contingency TOTAL EXPENSES $142,500.00 $8,017.86 $8,017.86 $134,482.14 94%  ODESSA DEVELOPMENT CORPORATION BALANCE SHEET OCTOBER 2022 ASSETS Investments - Local Government Pools $ 51,355,429 Investments - CDs and CDARs 4,240,135 Investments - Municipal Securities 7,551,726 Investments - Money Market 4,330,232 Receivables 32,791 Prepaids - TOTAL ASSETS $ 67,510,313 LIABILITIES Accounts Payable $ 53,952 TOTAL LIABILITIES $ 53,952 FUND BALANCE Reserved - Short Term Commitments Due Within One Year Glazer's Beer & Beverage $ 226,998 Select Energy 18,374 UTPB - 2nd Project Training Facility 1,500,000 UTPB - 3rd Project Training Facility 700,000 Kaige Industries, LLC 63,600 Apergy (Champion X) 200,000 Nacero 2,008,400 Downing Wellhead Equipment 328,000 Total Short Term Commitments $ 5,045,372 Reserved - Long Term Commitments Due in More Than One Year Glazer's Beer & Beverage 226,999 Select Energy 18,375 UTPB - 3rd Project Training Facility 700,000 Kaige Industries, LLC 190,800 Apergy (Champion X) 400,000 Odessa College - 3rd Project Training Facility 5,000,000 Nacero 16,000,000 Ellen Noel Art Museum 600,000 Downing Wellhead Equipment 1,312,000 Total Long Term Commitments 24,448,174 Total Reserved 29,493,546 Assigned (TXDOT Projects) 9,000,000 Assigned (Workforce Housing Infrastructure Incentives) 70,000 Unreserved 28,892,815 TOTAL FUND BALANCE $ 67,456,361 TOTAL LIABILITIES AND FUND BALANCE $ 67,510,313  ODESSA DEVELOPMENT CORPORATION STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE TOTAL BUDGET COMPARISON OCTOBER 2022 TOTAL REMAINING BUDGET ACTUAL - MTD ACTUAL - YTD BALANCE REVENUES 4-A Sales Tax Receipts $ 11,500,000 $ 1,144,323 $ 1,144,323 $ (10,355,677) Miscellaneous Income/Refunds - - - - Interest Income 80,000 159,604 159,604 79,604 Gain and or (Loss) on Investments - (16,436) (16,436) (16,436) TOTAL REVENUES $ 11,580,000 $ 1,287,491 $ 1,287,491 $ (10,292,508) EXPENDITURES Supplies and Materials $ 1,500 $ - $ - $ 1,500 Audit and Compliance Services 60,000 - - 60,000 Special Services - - - - Insurance 18,696 17,138 17,138 1,558 Bank Services 6,000 297 297 5,703 Administration Fee - City of Odessa 205,349 17,112 17,112 188,237 Contingencies 100,000 - - 100,000 Contracted Economic Development Services Chamber of Commerce 984,352 246,088 246,088 738,264 MOTRAN 142,500 35,625 35,625 106,875 UTPB - Small Business Center 106,700 26,675 26,675 80,025 Promotional Marketing 600,000 47,565 47,565 552,435 Odessa Black Chamber of Commerce 50,000 25,000 25,000 25,000 Façade Grants 150,000 - - 150,000 Business Incentives 58,000,000 - - 58,000,000 Infrastructure Grants 275,000 - - 275,000 TOTAL EXPENDITURES $ 60,700,097 $ 415,500 $ 415,500 $ 60,284,595 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES $ (49,120,097) $ 871,991 $ 871,991 $ 49,992,088 FUND BALANCE - AT BEGINNING OF YEAR $ 66,584,370 $ - $ 66,584,370 $ - FUND BALANCE - AT END OF YEAR $ 17,464,273 $ - $ 67,456,361 $ 49,992,088  ODESSA DEVELOPMENT CORPORATION CHANGES IN RESERVED FUND BALANCE OCTOBER 2022 Reserved - Short Term Commitments Dates in Fiscal Years Current Month Prior Month Month End Change Pmt Began Expires Select Energy $ 18,374 $ 18,374 $ - 2018-19 2022-23 Glazer's Beer & Beverage 226,998 226,998 - 2014-15 2022-23 UTPB - 2nd Project Training Facility 1,500,000 1,500,000 - 2017-18 2021-22 UTPB - 3rd Project Training Facility 700,000 700,000 - 2020-21 2022-23 Kaige Industries, LLC 63,600 63,600 - 2020-21 2024-25 Apergy (Champion X) 200,000 200,000 - 2020-21 2024-25 Nacero 2,008,400 8,400 2,000,000 2021-22 2030-31 Downing Wellhead Equipment 328,000 - 328,000 Total Short Term Commitments $ 5,045,372 $ 2,717,372 $ 2,328,000 Reserved - Long Term Commitments Dates in Fiscal Years Current Month Prior Month Month End Change Pmt Began Expires Glazer's Beer & Beverage $ 226,999 $ 226,999 $ - 2019-20 2022-23 Select Energy 18,375 18,375 - 2018-19 2022-23 UTPB - 3rd Project Training Facility 700,000 700,000 - 2020-21 2022-23 Kaige Equipment, LLC 190,800 190,800 - 2020-21 2024-25 Apergy (Champion X) 400,000 400,000 - 2020-21 2024-25 Odessa College-3rd Project Training Facility 5,000,000 5,000,000 - - - Nacero 16,000,000 18,000,000 (2,000,000) 2021-22 2030-31 Ellen Noel Art Museum 600,000 600,000 - - - Downing Wellhead Equipment 1,312,000 - 1,312,000 Total Long Term Commitments $ 24,448,174 $ 25,136,174 $ (688,000) Total Reserved Fund Balance $ 29,493,546 $ 27,853,546 $ 1,640,000  ODESSA DEVELOPMENT CORPORATION INVESTMENT SUMMARY OCTOBER 2022 This investment summary report is in full compliance with the investment strategy as established per the City's Investment Policy and the the Public Funds Investment Act. The fair value for the beginning and end of the reporting period are as follows: CHANGES IN FAIR VALUE SALES AND BEGINNING PURCHASE AND WITHDRAWAL ENDING INVESTMENT BALANCE AMOUNT INTEREST AMOUNT BALANCE GOVERNMENT POOLS $ 52,199,359 $ 1,144,323 $ 144,722 $ 2,132,974 $ 51,355,429 CD'S AND CDARS 4,236,318 - 3,817 $ - 4,240,135 SAVINGS AND MONEY MARKETS 6,624,715 - 13,288 2,307,771 4,330,232 MUNICIPAL BONDS 5,262,120 2,306,042 (16,436) - 7,551,726 AGENCY NOTES - - - - - TOTAL $ 68,322,512 $ 3,450,366 $ 145,391 $ 4,440,745 $ 67,477,522 Note: This investment report is prepared in accordance with Generally Accepted Accounting Principles (GAAP), and is in compliance with the City of Odessa's investments strategies in the investment policy, and with relevant provisions of the Public Funds Investment Act.  ODESSA DEVELOPMENT CORPORATION INVESTMENT PORTFOLIO OCTOBER 2022 Beginning of Month INVESTMENT TYPE YTM MATURITY PAR FAIR** Local Government Investment Pools TexPool 2.41% Open $ 32,982,686 $ 32,982,686 Logic 2.48% Open $ 19,216,673 19,216,673 Total Local Government Investment Pools $ 52,199,359 $ 52,199,359 Weighted Average Rate Per Pools Total 2.44% Money Market Investment Frost Money Market 0.30% Open 6,624,715 6,624,715 Total Money Market $ 6,624,715 $ 6,624,715 Weighted Average Rate Per MM Total 0.30% CD AND CDARs Investments First Bank and Trust - 17 Month CD 0.25% 11/30/22 $ 2,173,000 $ 2,223,838 West Texas National Bank - 12 Month CD 2.00% 9/13/23 $ 2,000,000 2,012,480 Total CD and CDARs Investments $ 4,173,000 $ 4,236,318 Weighted Average Rate Per CD's Total 1.09% Municipal Securities Judson Tex ISD Tax 3.46% 2/1/24 500,000 477,140 West Orange Twp NJ B Tax 2.96% 11/11/22 1,000,000 997,280 Miami-Dade Cnty Fla B Tax 3.78% 7/1/23 1,000,000 976,240 Chaffey Calif Jt Un High Tax 3.51% 8/1/23 1,150,000 1,129,496 North Orange Cnty Calif Tax 3.40% 8/1/23 1,000,000 986,710 Council Bluffs Iowa A Tax 3.55% 6/1/23 700,000 695,254 Total Municipal Securities $ 5,350,000 $ 5,262,120 Weighted Average Rate Per Munis Total 3.44% TOTAL INVESTMENTS 2.22% $ 68,347,074 $ 68,322,512 ** Amount does not reflect prior period market adjustments and represents fair market value adjustment as of current period end only.  ODESSA DEVELOPMENT CORPORATION INVESTMENT PORTFOLIO OCTOBER 2022 End of Month INVESTMENT TYPE YTM MATURITY PAR FAIR** Local Government Investment Pools TexPool 2.93% Open $ 32,087,894 $ 32,087,894 Logic 3.12% Open 19,267,535 19,267,535 Total Local Government Investment Pools $ 51,355,429 $ 51,355,429 Weighted Average Rate Per Pools Total 3.00% Money Market Investment Frost Money Market 0.30% Open $ 4,330,232 $ 4,330,232 Total Money Market $ 4,330,232 $ 4,330,232 Weighted Average Rate Per MM Total 0.30% CD AND CDARs Investments First Bank and Trust - 17 Month CD 0.25% 11/30/22 $ 2,173,000- $ 2,224,301 West Texas National Bank - 12 Month CD 2.00% 9/13/23 2,000,000 2,015,834 Total CD and CDARs Investments $ 4,173,000 $ 4,240,135 Weighted Average Rate Per CD's Total 1.09% Municipal Securities Judson Tex ISD Tax 3.46% 2/1/24 500,000 475,335 West Orange Twp NJ B Tax 2.96% 11/11/22 1,000,000 999,170 Miami-Dade Cnty Fla B Tax 3.78% 7/1/23 1,000,000 970,920 Chaffey Calif Jt Un High Tax 3.51% 8/1/23 1,150,000 1,126,115 North Orange Cnty Calif Tax 3.40% 8/1/23 1,000,000 983,880 Council Bluffs Iowa A Tax 3.55% 6/1/23 700,000 693,224 Wisconsin State 3 Tax 4.55% 5/1/23 1,195,000 1,168,662 Williamson Cnty Tex Tax 4.54% 2/15/24 1,200,000 1,134,420 Total Municipal Securities $ 7,745,000 $ 7,551,726 Weighted Average Rate Per Munis Total 3.78% TOTAL INVESTMENTS 2.67% $ 67,603,661 $ 67,477,522 ** Amount does not reflect prior period market adjustments and represents fair market value adjustment as of current period end only.