Odessa Development Corporation

ODESSA DEVELOPMENT CORPORATION MINUTES CITY OF ODESSA, TEXAS October 12, 2023 A regular meeting of the Odessa Development Corporation (ODC) was held on October 12, 2023, at 2:08 p.m. in the Council Chambers, 5th floor, City Hall, 411 W. 8th St. Odessa, Texas. Members present: David Boutin, Melanie Hollmann, Kris Crow, Larry Robinson, James Kirk, and Jeff Russell. Member absent: Ismael “Mikky” Navarrete. Others present: City Staff: Norma Aguilar-Grimaldo, City Secretary; Dan Jones, City Attorney; John Beckmeyer, City Manager; Naira Enriquez, Senior Legal Assistant; and ODC Contractors: Renee Earls, Chamber of Commerce; Tyler Patton, SBDC; and Others: Council members Steven Thompson, Mark Matta and Greg Connell; and other interested citizens. A quorum being present, Mr. Crow called the meeting to order, and the following proceedings were held: Mr. Russell gave the invocation. The Pledge of Allegiance and Texas Pledge were recited. September 14, 2023 meeting minutes. Motion was made by Mr. Boutin and seconded by Dr. Kirk to approve the minutes as amended. The motion was approved by unanimous vote. Contractors’ reports: Economic Development Department, Current Media Partners, Black Chamber of Commerce, UTPB-America’s SBDC, MOTRAN, and City administrative support: financials. Mrs. Earls reported that the City Council approved the Liberty agreement. The Lone Star Lithium visit provided good connections. A Workforce Summit would be held November 16 at Odessa College with topics including childcare, pipeline training and housing. Community leaders attended a Chevron tour, and it was a great tour. It went along with recruit, retain and retire with the Odessa College student program. Grow Odessa donated land for the career and tech center. Mr. Boutin stated that it was an opportunity to collaborate with ODC on its workforce development initiative. Mr. Russell toured Odessa College and it was impressive with its workforce focus. Mr. Russell reported on the Current Media report. He reported that the lead forensics provided website visits identification from a metal’s manufacturer, chemical manufacturer and midstream company. The information was given to the Economic Development staff. The LinkedIn industry segment identified chemical manufacturing and machinery manufacturing. The software was providing specific information and was sent to staff to reach possible leads on companies that were visiting ODC’s social media. ODC Minutes October 12, 2023 Page 2 Mr. Patton reviewed the September SBDC report. There were 232 counseling sessions, and 198 counseling hours. There were two seminars with 77 attendees. There were two new businesses in the area. Odessa’s capitalization for the month was $381,250. There was a total of 93 new jobs and 42 jobs were in Odessa. Alamo Kitchens would be having two sessions for consulting on restaurants. Mr. Beckmeyer stated that there were two candidates for Director of Finance and there would be staff for an internal auditor and controller. Discuss and take any necessary action regarding infrastructure grant for $133,221 for 423 N. Grant requested by E&L Home Builders. Elizabeth Prieto, Downtown Director, stated that E&L Home Builders was opening a restaurant with night life. An infrastructure grant of $133,221 was recommended. Mr. Robinson stated that it was for basic infrastructure. Ms. Hollmann agreed with the grant. Mr. Russell stated that there were projects with delays and suggested a reasonable timeline. Ms. Hollmann stated that the grants and timeline was on a case-by-case basis. The agreement had a one- year time frame. Motion was made by Mr. Boutin and seconded by Dr. Kirk to approve the E&L Home Builders infrastructure grant for $133,221. The motion was approved by unanimous vote. Discuss and take any necessary action regarding façade grant for $25,000 for 423 N. Grant requested by E&L Home Builders. Ms. Prieto recommended the façade grant for $25,000. Motion was made by Dr. Kirk and seconded by Ms. Hollmann to approve the E&L Home Builders façade grant for $25,000. The motion was approved by unanimous vote. Discuss and take any necessary action regarding façade grant for $25,000 for 406 N. Texas Ave. requested by Amber Young. Mr. Robinson stated that the façade grant was within the requirements. The total cost of the project was $48,000. Motion was made by Mr. Robinson and seconded by Dr. Kirk to approve the Amber Young facade grant for $25,000. The motion was approved by unanimous vote. Discuss and take any necessary action regarding infrastructure grant for $125,000 for 801 N. Grant requested by Scooter Coffee. Ms. Prieto stated that the request was for an infrastructure grant for $125,000 for a coffee business. The business would be a drive through. Mr. Russell was concerned that this was new construction. The program’s purpose was to assist with existing property and bring up to code. Ms. Prieto stated that the structures were the same and was going to bring up to franchise standards. Mr. Robinson stated that businesses were needed downtown, and the building had been empty for a long time. The area was a gateway to Downtown and it qualified for a grant. He supported the grant. Mr. Russell stated that caution was needed as to setting precedence. Ms. Hollmann stated that it qualified with the intent of the program. Mr. Crow suggested that the infrastructure and façade grant program guidelines be reviewed. Motion was made by Mr. Boutin and seconded by Ms. Hollmann to approve the Scooter Coffee infrastructure grant for $125,000. The motion was approved by unanimous vote. ODC Minutes October 12, 2023 Page 3 Discuss and take any necessary action regarding façade grant for $25,000 for 801 N. Grant requested by Scooter Coffee. Motion was made by Dr. Kirk and seconded by Ms. Hollmann to approve the Scooter Coffee façade grant for $25,000. The motion was approved by unanimous vote. Discuss and take any necessary action regarding naming John Beckmeyer, City Manager, the Registered Agent for the Odessa Development Corporation in accordance with Article 1.3 of the ODC Bylaws. Mr. Crow stated that the registered agent would be John Beckmeyer, City Manager. Mr. Beckmeyer agreed. Motion was made by Mr. Boutin and seconded by Dr. Kirk to approve naming John Beckmeyer as the Registered Agent for ODC. The motion was approved by unanimous vote. Discuss and take any necessary action regarding ODC accounting processes and services. Mr. Beckmeyer stated that guard rails must be set. Mr. Boutin stated that there was synergy with City Hall handling the accounting. He stated that with a full City staff there would not be any issues with finance reports. He expected a reduction in the cost for City services if the process was handled outside. The fees must be identified that would be charged from the outside contractor. Mr Crow stated that transparency was an issue with the City’s accounts. Mr. Boutin stated that there was back up documentation. He stated there was not much activity. Mr. Russell had asked for information in the past and there were no external checks. Mr. Boutin stated that there were audits and checks and balances. Mr. Crow stated that the accounting process should be simple to follow and there was a comingling of assets. Mr. Boutin disagreed. There was a significant improvement with the financials with Seth Boles. Mr. Russell pointed out that if the reports were not understood that he did not want to vote on the reports. He was not comfortable signing off if he did not understand. Ms. Hollmann stated that City staff was trained in governmental accounting. There may be items that could not be simplified. She relied on the professionals. Mr. Crow stated that the process could be improved. Mr. Robinson stated that there was a liability issue and agreed with Ms. Hollmann. Ms. Hollmann stated that the RFP would be from large accounting firms and would not be local. The cost would be more. Mr. Robinson wanted more background information to review and time to understand. Motion was made by Mr. Russell and seconded by Dr. Kirk to have an RFP for ODC accounting processes. The motion was approved by unanimous vote. Tabled - Discuss and take any necessary action regarding the establishment of a separate ODC bank account. Ronnie Lewis stated that the ODC was doing great. The grants invested was $6 billion and $150 million in payroll. He asked that the new City Manager be given the opportunity to produce the same numbers. Mr Boutin stated that there was no reason for a separate bank account. The transactions were flowing well. Ms. Hollmann asked about the costs and fees. Mr. Beckmeyer stated that the City held its funds at Frost Bank. Mr. Crow stated that it would provide transparency and no comingling of funds. Mr. Russell had expressed concerns that there were no external checks and the current information relied on was the information produced by the City. Motion was made by Mr. Boutin and seconded by Ms. Hollmann to table and explore the RFP process. Mr. Russell suggested a meeting with City staff to analyze. The ODC was under control of the City Council. The motion was approved by unanimous vote. Discuss and take any necessary action regarding the appointment of a Secretary for ODC. Mr. Crow suggested that Economic Development staff handle the minutes. ODC Minutes October 12, 2023 Page 4 Mrs. Earls stated that Kathi Vaughn would be willing to take on the duty. She asked if there was a reduction cost to the City. Mr. Jones reviewed the City Secretary’s duties and responsibilities for ODC. Certain duties must be maintained by the City Secretary. Council member Thompson did not want to move the responsibilities out of City Hall due to the experience with the City Secretary. Council member Matta stated that it was an option with the minutes. Ms. Grimaldo asked that the minutes be sent and approved through the City Secretary’s office before it was sent to the board. She would like to keep the oversight of the ODC documents including minutes, contracts to keep in line with the retention schedule. Council member Matta stated that the rest of the duties be under the City Secretary. Council member Thompson stated that the responsibility fell on the City Council. Mr. Russell stated to leave the monetary expenditure as it stood and review at the next budget. Motion was made by Ms. Hollmann and seconded by Mr. Boutin to assign the economic development department to prepare the minutes and collaborate with the City for its approval as it to meet with the retention schedule. The motion was approved by unanimous vote. ODC Committee and Officer reports: Partnership, Tax Incentive, Advertising, DOI Grants Design Review Board, and Compliance. No reports. Closed Session the board may recess into Executive Session in compliance with section 551.001 et. Seq. Texas Government Code. Motion was made by Mr. Rusell and seconded by Dr. Kirk to go into executive session under Section 551.087 for Project Ironman. The motion was approved by unanimous vote. Motion was made by Mr. Rusell seconded by Ms. Hollmann to return from executive session. The motion was approved by unanimous vote. Mr. Crow stated that no action was taken in executive session. Citizens comments on non-agenda items. No comments. Upcoming dates for future ODC Board meetings. The next ODC meeting was scheduled for November 9, 2023, at 2:00 p.m. Motion was made by Ms. Hollmann and seconded by Mr. Russell to adjourn the meeting. The motion was approved by unanimous vote. The meeting adjourned at 4:07 p.m. ATTEST: APPROVED: Norma Aguilar-Grimaldo, TRMC, CMC Kris Crow City Secretary President