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4A Wichita Falls Economic Development Minutes - 07/15/2021 MINUTES OF THE WICHITA FALLS ECONOMIC DEVELOPMENT CORPORATION July 15, 2021 Present: Leo Lane, President § Brent Hillery § WFEDC Member Darron Leiker § DeAndra Chenault, Councilor District 2 § Mayor and Council Paul Menzies, Assistant City Manager § City Administration Blake Jurecek, Assistant City Manager § R. Kinley Hegglund, Jr., City Attorney § Russell Schreiber, Director of Public Works § Jessica Williams, Chief Financial Officer § Linda Merrill, Recording Secretary § Henry Florsheim, President and CEO § CCI Travis Haggard, V.P., BR&E § David Leezer, V.P, Business Attraction § Lynn Walker § Times Record News Absent: David Toogood, Vice-President § WFEDC Members Phyllis Cowling, Secretary-Treasurer § 1. Call to Order Leo Lane called the meeting to order at 2:33 p.m.He noted that David Toogood and Phyllis Cowling were unable to attend today's meeting. 2. Discussion and possible action related to Howmet wastewater project Steve Sage, Howmet's Plant Manager, thanked the Board for the $1 million in matching funds for the plant's NEWT program, and for its assistance with improvements to the railroad crossing from Howmet. Today, he was requesting funding of$97,000 each for two filter presses. The filter presses, designed to remove solids from water, would complement the existing water treatment initiative and on-site water recycling treatment. They estimate a savings of 150,000 gallons per year not being drawn from the City's water sources. The local plant is requesting an increase in capital from the corporate office in order to update its aging infrastructure. They spent $2.5 million last year on the roof of Plant#1, and $1.5 million on the roof of Plant#2. Plant#2 is slated to reopen in the fall of 2022. Howmet lost close to 700 jobs during the Covid pandemic, but there has been a steady increase in demand since April 2021. Following a cautious but steady process of hiring, they currently have approximately 470 employees, and are slowly adding more each week. They give priority to local folks, especially any former employees. 1 Mr. Leiker asked if the company qualifies for any federal aid programs. Mr. Sage said they did a workshare to preserve the jobs of 100 employees. 3. Strategic discussion a. Discussion/possible action related to Chamber of Commerce budget request Henry Florsheim noted the Chamber presented its budget request at the last WFEDC meeting. Included therein had been a downtown development position from the 2018 strategy. For various reasons,that initiative has been delayed. Based on feedback from the Board, he has removed that initiative from the proposed budget. The rest of the budget is as presented at the last meeting. b. Discussion/possible action related to proposal from Broad Ripple Strategies Mr. Florsheim said Market Street Services was hired as a consultant for the 2018 economic development strategy initiative. That process last nine months, with an evaluation one year later. Matt DeVeau managed the project on behalf of Market Street Services. Mr. DeVeau now has his own firm, Broad Ripple Strategies. He put together a proposal for consideration. This proposal would update the community-wide economic development strategy. The cost would be $98,000 plus actual expenses not to exceed $8,500. As last time, a steering committee would be assembled and Mr. DeVeau would help with data collection and gauging the pulse of the community. 4. Discussion and possible amendment to 5/20/2021 minutes Mr. Lane noted one word needed to be changed in the previously approved minutes, to clarify that the purchase price of the Atco building had been reduced to $1 million. 5. Consent agenda a. Approval of minutes (June 17, 2021). Darron Leiker moved for approval. Seconded by Brent Hillery, the motion carried 3-0. b. Financial Report— Paul Menzies noted sales tax receipts from May are running 10% higher than the same period last year. Mr. Lane added that the receipts are still 13% ahead for the year. Mr. Menzies said by the end of the year, the Board should have about $5.2 million of unencumbered funds. This figure does not contemplate the sale of the Atco building or include increases in sales tax. 6. Discussion and possible action related to Panda Biotech performance agreement City Attorney Kinley Hegglund noted that Leo Lane has previously recused himself from all discussions and voting on the land acquisition for Panda Biotech due to a conflict of interest. That acquisition has now closed; therefore, the conflict no longer exists. He opined that Mr. Lane can resume his duties in regard to deliberation and voting regarding Panda Biotech. 2 7. Executive Session Mr. Lane adjourned the meeting into executive session at 3:07 p.m. pursuant to Texas Government Code §§551.072 and 551.087. He announced the meeting back into regular session at 3:37 p.m. The subjects posted in the Notice of Meeting were deliberated, and no votes or further action were taken on the items in executive session. 8. Motions Chamber Budget. Mr. Lane asked Mr. Florsheim to expand on the request for $65,000 for business attraction. Mr. Florsheim said it covers David Leezer's activities — any lead- generating activities, targeting site consultants, visits to prospects, and visits by a prospect to Wichita Falls. Travel is increasing, and that money will be spent. Mr. Lane then asked about the line item for strategic implementation. The sum of$21,000 was budgeted last year, but only $13,000 is being requested this year. Mr. Florsheim explained the decrease is due to removing the downtown portion of the strategic implementation. The remaining relates to Bike Wichita Falls and Diversity Equity Inclusion. Mr. Leiker asked how the overhead breaks down between the Chamber and the Economic Development side. Mr. Florsheim said it is 60% (Economic Development) to 40% (Chamber). Out of 11 employees, seven are either completely or partially funded by the WFEDC. Mr. Hillery moved to approve the Wichita Falls Chamber's budget proposal for 2022. Seconded by Darron Leiker, the motion carried 3-0. Broad Ripple Strategies. Mr. Leiker moved to approve funding for the proposal from Broad Ripple Strategies in the amount of$98,000,plus actual expenses not to exceed $8,500 for in-person meetings and travel. Seconded by Mr. Hillery, the motion carried 3-0. Panda Biotech. Mr. Leiker moved to amend the purchase money promissory note maturity date with Panda Biotech from 8/6/21 to 12/31/21. Seconded by Mr. Hillery, the motion carried 3-0. Amended Minutes. Mr. Leiker moved to approve the amendment to the 5/20/21 minutes. Seconded by Mr. Hillery, the motion carried 3-0. 9. Adjourn The meeting adjourned at 3:44 p.m. Leo Lane, President 3