HomeMy WebLinkAboutMinutes_GEDCO_01.17.2012Minutes of the Meeting of
the Georgetown Economic Development Corporation
and the Governing Body of the
City of Georgetown, Texas
Tuesday, January 17, 2012
The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on
Tuesday, January 17, 2012.
Members Present:
Pat Berryman, Rachael Jonrowe, Tommy Gonzalez, John Marler
Members Absent:
John Kiltz
Staff Present:
Paul E. Brandenburg, General Manager, Mark Thomas, Economic Development Director, Shirley
Rinn, Executive Assistant, Laurie Brewer, Deputy City Manager, Micki Rundell, Finance
Manager, Bridget Chapman, Acting City Attorney
Minutes
Regular Meeting
Called to Order at 1:19 p.m.
A.Discussion and possible action regarding the Project Progress Report, including
Airborn, Enflite, Radix BioSolutions, Lone Star Circle of Care, Grape Creek Winery,
Georgetown Winery, and Difusion Technologies, Inc. -- Mark Thomas, Economic
Development Director and Paul E. Brandenburg, General Manager .
Difusion grant was approved for the spectrometer. However in the meantime there was an issue
with their investors and concern whether they could move forward. Thomas spoke with them
this morning and he has been assured that their funds are in the bank, but until it is certified the
Agreement has not been finalized.
Jonrowe asked staff to confirm that TLCC has not promised companies funding prior to
contacting the GEDCO Board with the vetting form completed.
The GEDCO Board would like to have the vetting form presented to the Board when companies
are requesting funding. Board is concerned about consistency in approval of funding for
companies. Board wants the companies to be sure to know what the process is and that the
applicants fill out the vetting form.
B.Consideration and approval of the minutes from the Meeting held Monday, November
21, 2011--John Kiltz, Secretary
Motion by Marler , second by Jonrowe to approve the minutes from the Meeting held
Monday, November 21, 2011. (Approved 4-0)(Kiltz Absent)
C.Consideration of the December 31, 2011 Financial Reports--Micki Rundell, Finance
Manager
Rundell provided the December 31
st
financial reports. November sales tax is down. Staff
will be looking at the sales tax quarterly to track it. The Board will also be provided a
STARS report at the next meeting. Payment to Lone Star Circle has been made. She also
let the Board that the report notes a duplication of the Georgetown Winery
encumbrance that will be corrected on the next report.
Board indicated to staff that it would like to ensure that the members are provided a
copy of the vetting form prior to the Board receiving the requests for funding and that
those companies are made aware of the proper procedure and process for requesting
funding from the 4A Board.
D.Discussion and possible action regarding amending the 2011/12 GEDCO Budget for
projects with remaining funds and approval from 2010/11—Micki Rundell, Finance
Manager
Rundell told the Board that this amendment is being made to roll the left over
promotional funds from the FY 2010-11 budget to the FY 2011-12 budget.
Motion by Gonzalez, Second by Marler to approve the amendment of the 2011/12
GEDCO Budget for projects with remaining funds and approval from 2010/11.
(Approved 4-0)(Kiltz Absent)
D.Discussion and possible action regarding the allocation of costs related to the
construction and rehabilitation of the floor at 101 W. 7th Street (old Visitor's Center)
property--Mark Thomas, Economic Development Director and Paul E. Brandenburg,
General Manager
Thomas explained to the Board the issues related to and the need to repair the floor in
the building. This was discovered in the feasibility period. He told the Board that it will
be around $70,000 to fix the floor.
There was Board discussion as to why this wasn’t discovered on the front end of this
project. There was further discussion regarding the process utilized to complete this
project, i.e. utilizing use vs. facility instead of vice versa. There was additional
discussion regarding the uniqueness of this project.
Brandenburg explained that the sale of the property has not closed yet and that staff
wanted to make sure that the Board was aware of the issues with the floor and that the
City of Georgetown is going to pay for the repairs. The property will close by the end of
the month and then the Lease Agreement with Grape Creek will be finalized.
E.Discussion and possible action regarding the use of Promotional Funds in 2012 – Mark
Thomas, Economic Development Director
Thomas went over the outline attached to the coversheet of potential marketing trips,
site selector events, marketing opportunities, conferences, etc. that his office may like to
utilize this year to promote Georgetown. He explained the benefits of actively
marketing Georgetown at these type of events. Thomas told the Board that he would
like permission from the Board to have a marketing budget with more flexibility for his
department. He provided an example of how he could take advantage of marketing
opportunities “on the fly” to take advantage of items that come up in the course of
business.
Motion by Berryman , Second by Gonzalez to approve a $43,000 marketing budget for
the Economic Development Department to utilize for its marketing efforts for the City
of Georgetown and for the Economic Development Director to report back to the
GEDCO Board on a quarterly basis the results of its marketing efforts. Approved 4-0
(Kiltz Absent)
G.Discussion and possible action regarding the EB-5 Certification Process- Mark Thomas,
Economic Development Director
Thomas provided the Board with an overview of what the EB-5 program entails. He
introduced Dan Dan Zu who further explained how the investments are structured and
how it works. The Office of the Immigration and Naturalization facilitates the program.
Dan Dan told the Board that several states have done a very good job in utilizing this
program, including Ohio.
Thomas introduced Jeff Novak as the Developer of the Hotel and Conference Center at
the Rivery. He explained that this project is ideal for EB-5 funding and why. He
explained how the European Debt crisis impacted the investments related to this project
and how EB-5 is a win/win situation to help facilitate the funding of their project. He
outlined the risk factors involved with this type of funding, which primarily rest on the
EB-5 investor if they don’t for whatever the reason don’t receive their green cards. Dan
Dan provided the Board an explanation of the timelines for implementing this program
for Georgetown.
Thomas let the Board know that the purpose of this discussion was to make the GEDCO
Board aware of the program. Dan Dan told the Board it would be helpful to have a
Resolution /Vote of Support. She is compiling that support at several levels.
Motion by Berryman, Second by Gonzalez to approve a Resolution of Support for the
EB-5 Program and the TEA Certification for Georgetown. Approved 4-0 (Kiltz Absent)
Dan Dan told the Board that the TEA Certification has to be done prior to the EB-5
program moving forward.
EXECUTIVE SESSION
The Georgetown Economic Development Corporation will meet in closed executive session as allowed by
Texas Open Meetings Act (Texas Government Code Chapter 551), as follows:
H.Section 551.072. DELIBERATION REGARDING REAL PROPERTY
Discussion and possible action to deliberate the purchase, exchange, lease or value of real property
for purposes authorized by the Development Corporation Act which discussion in open session
would have a detrimental effect on negotiations with third persons.
I.Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT
NEGOTIATIONS.
Deliberation regarding commercial or financial information that the corporation has received from a
business prospect that the Georgetown Economic Development Corporation seeks to have locate,
stay, or expand in or near the territory of the City of Georgetown and with which the Corporation is
conducting economic development negotiations; and/or deliberation regarding the offer of a financial
or other incentive to a business prospect that the Corporation seeks to have locate, stay, or expand in
or near the territory of the City of Georgetown.
J. Section 551.071. CONSULTATION WITH ATTORNEY
Consultation with attorney regarding legal issues related to agenda items and other matters in which
the duty of the attorney to the Georgetown Economic Development Corporation under the Texas
Disciplinary Rules of Professional Conduct of the State Bar of Texas.
K. Action out of Executive Session
Executive Session was not convened.
Adjourned at 2:14p.m.
Attest:
__________________________________________________________
_____________, Corporate Secretary___________________, President