Economic Development Authority of the City of Richmond, Virginia
Board Meeting
May 26, 2011
Members present:
Ms. Jane Ferrara, Executive Director
Richard Johnson, Chair
Anne Greever
Julious Smith
William Hardy
Others present:
Bonnie Ashley, Esq., City Attorneys Office
Alan Reese, Reese and Associates
Ron Johnson, Department of Economic and Community Development
Hugh Jones, Department of Economic and Community Development
Sharon Kerrick, Economic Development Authority
Lee Downey, Director, Department of Economic and Community Development
Charles Parrish
Call to Order
Mr. Richard Johnson called the meeting to order at 4:02 pm in the 3rd floor conference room of the offices of the Department of Economic & Community Development-Main Street Station at 1500 E. Main Street.
Public Comment
No members of the public were present.
Mr. Johnson welcomed Mr. Charles Parrish to the meeting. Mr. Parrish is a student at Hampden Sydney College and an intern with The Wilton Companies for the summer.
Mr. Lee Downey, Director of the Department of Economic and Community Development was introduced.
Mr. Julious P. Smith, Jr. was introduced as the newest Board member. Mr. Smith is Chairman Emeritus of the Williams Mullen law firm.
Approval of Minutes of the Previous Meeting
Upon motion of Mr. Hardy, seconded by Mr. Richard Johnson, the minutes of the prior meeting were approved unanimously.
Unfinished Business
None
New Business
Loan Amendment for 214 E Grace Street Associates, LLC was presented to the Board for approval by Mr. Ron Johnson. 214 E Grace Street Associates, LLC requested an increase in the loan amount to $250,000from $200,000due to the additional costs incurred to obtain the required zoning and historical preservations approvals. Mr. Richard Johnson confirmed the EDA Loan Committee approved this loan. Ms. Greever moved to approve the $50,000increase with all other terms and conditions remaining the same. Mr. Hardy seconded the motion, which carried 3-0-1, with Mr. Smith abstaining.
Loan Amendment for Tys Hauling & Paving, Inc. was presented to the Board for approval by Mr. Ron Johnson. Mr. Thomas, President and CEO of Tys Hauling & Paving, requested the release of the life insurance assignment on the $100,000 loan. Mr. Ron Johnson presented a second option to reduce the loan amount from $100,000 to $45,000 with the release of the life insurance and one residential property. All other terms and conditions to remain the same. Mr. Richard Johnson verified that the Loan Committee did approve of the release of life insurance assignment but the second option was not presented to the Loan Committee. Mr. Smith moved to approve the release of the life insurance assignment and the reduction of the loan amount with all other terms and conditions remaining the same. Ms. Greever seconded the month, which carried unanimously.
Mr. Richard Johnson presented to the Board a request from the DECD to use the 8th floor Boardroom and to validate parking for approximately 20 people for a Council Commission meeting on June 1, 2011. Mr. Hardy moved to approve the use and paid parking. Mr. Julious Smith seconded, which was approved unanimously.
Committee Reports
Executive Committee No meeting was held in May.
Development Committee Ms. Greever reported that recently there were two preliminary inquiries on the 2nd & Marshall Street property. Another RFP will be issued with the help of the DECD.
Finance Committee Mr. Hardy presented the budget for the fiscal year July 1, 2011 through June 30, 2012. After discussion Mr. Hardy moved that the budget be approved as presented. Ms. Greever seconded the motion, which carried unanimously.
Mr. Hardy presented the audit candidates responses to the Request for Proposal for fiscal year June 30, 2011 audit. After review and discussion, Mr. Hardy motioned to use Robinson, Farmer & Cox for fiscal year ending June 30, 2011. Ms. Greever seconded the month, which carried unanimously.
After review, the Finance Committee recommended that the two signatories from the Department of Economic and Community Development be allowed to sign checks without a signature from the Economic Development Authority. Mr. Hardy moved that any 2 employees of the Department of Economic and Community Development of the 4 authorized signatories be authorized to sign checks for loan activity. Ms. Greever seconded the motion, which carried unanimously.
Incubator Committee No meeting was held in May. Ms. Kerrick summarized the upgrades that are planned for the Advantech building. Ms. Kerrick also reported that marketing to lease the 8th floor will be turned over to a real estate agent.
Loan Advisory Committee Minutes sufficed as a report.
Financial Overview
Mr. Reese summarized the monthly financial statements prepared by his office. He noted that the variance on the budget to date is in line with amounts reported for previous periods, with exceptions as noted.
Report of Officers
Report of the Chairman Mr. Richard Johnson reported that he attended the Loan Committee meeting in absence of Mr. Kelvin Hanson.
Mr. Richard Johnson reported that he has attended at least two meetings for the procurement of a company to design the website for the DECD and about four other departments. There were approximately eight responses to the RFP. The City website could include a joint effort between the DECD and the EDA. More information will be available in June or July.
Report of the Secretary No report was given
Other Business
Discussion was held regarding the use of committees versus a vote by the Board. It was also recommended that the EDA revise the By-Laws and possibly include a more detail description of duties of each committee.
Executive Session There was no Executive Session.
Announcements None
Adjournment
The meeting was adjourned at 5:20 pm.