Economic Development Authority of the City of Richmond
Board Meeting Minutes
October 28, 2010
Members present:
Ms. Anne Greever, Vice-chair
Mr. Dennis Ryan
Mr. Bill Hardy
Ms. Zarina Fazaldin
Mr. Kelvin Hanson
Others present:
Ms. Jane Ferrara, Executive Director
Mr. Alan Reese, A.G. Reese and Associates
Ms. Bonnie Ashley, City Attorney’s Office
Mr. Ron Johnson, Department of Economic and Community Development
Mr. Jamison Manion, Department of Economic and Community Development
Mr. Mark Ellison, Economic Development Authority
I. Call to Order
Ms. Greever called the meeting to order at 4:07 p.m. in the Board Room on the eighth floor of the AdvanTech building at 501 E. Franklin Street.
II. Public Comment
There was no public comment.
III. Minutes of the Previous Meeting
Mr. Ryan moved that the Board approve the Minutes from the September Board meeting. Mr. Hardy seconded the motion, which carried unanimously.
IV. Unfinished Business
A. Update on EDA Revolving Loan Fund Closeout
Ms. Ashley reported that she had sent another letter to the Federal EDA and is awaiting a response.
B. Status of CARE and Extra CARE loan program
Ms. Greever noted that the status of the CARE and Extra CARE loan program was included in Mr. Rich Johnson’s report found in the Board meeting packet.
V. Financial Overview
Mr. Reese reviewed the financial reports and told the Board that all accounts were running smoothly. Reese and Associates has continued entering loan payments until notice from Mr. Ron Johnson with the DECD.
Mr. Reese reported that he is expecting a draft of the 2009-2010 audit from Mr. Paul Lee in the upcoming weeks.
VI. Report of the Officers
A. Report of the Chairman
Mr. Rich Johnson was absent but submitted a written report, which was included in the Board meeting packet. (See attached full text of the Chairman’s Report.)
B. Report of the Secretary
Ms. Ferrara invited Mr. Jamison Manion, the recently-hired Director of Community and Workforce Development, to attend the Board meeting to explain his role with the ECD and explore how the EDA and ECD can have a mutually beneficial relationship. Mr. Manion discussed several projects he is working on to bring employment opportunities to the City. He told the Board that the contractor education program now in place is assisting 26 unemployed individuals, training them to be part of a workforce that local companies will want to hire. A healthcare program of the same nature is also being developed. Mr. Manion said he intends to create short term projects with long term strategies in mind.
Mr. Manion asked the EDA to come to him with any ideas or projects that would be of benefit to the Richmond community. Ms. Greever observed that a typical employer practice of not hiring applicants with a criminal record tends to exacerbate chronic unemployment for a segment of the City’s population. Mr. Manion said that a state-level task force is addressing a possible legislative response to this issue.
Ms. Ferrara said that she and Mr. Rich Johnson had met to discuss the productivity of both the EDA and ECD. Ms. Ferrara has been meeting with other successful economic development departments from around the region and reviewing the role of their EDAs in their departmental activities. Ms. Ferrara discussed the potential opportunity for a combined EDA/ECD website and said she planned to present more detail in connection with this proposal at the November Board meeting.
VII. Committee Reports
A. Executive Committee- Did not meet in October.
B. Development Committee-Did not meet in October.
C. Finance Committee- Committee report presented via minutes.
D. Incubator Committee- Committee report presented via minutes.
VIII. New Business
A. Delegation of Signatory Approval
Ms. Ashley reviewed a draft policy that would authorize the Chair to sign certain routine documents, itemized by name, without formal board action on each individual matter. Passage of the policy would allow the board to avoid having a vote on each item and would expedite processing these routine transactions. Ms. Ashley stated that the policy could be amended in the future to add other types of transactions and documents as the need develops.
Mr. Ryan moved to adopt the policy procedure for signature authority. Mr. Hardy seconded the motion, which carried unanimously.
B. Emerald Car Wash CARE Loan
Mr. Ron Johnson gave a summary of the matter of the Emerald Car Wash CARE Loan. The following items were discussed at the October Finance Committee and were presented to the Board for action:
1. REDC/EDA will jointly subordinate to the Consolidated Bank loan, maintaining their current second mortgage position.
2. The business of Emerald Car Wash is now being conducted under a new name, Emerald Auto Services, Inc. which requires a “Change of Name Affidavit.”
3. The guarantors will remain the same, namely, Nikki and Martin Young.
4. The existing BEZL Loan and CARE Loan has a history of being paid as agreed.
5. The transaction is administrative with no adverse change to the existing loan structure.
Mr. Hardy moved that the Board authorize the Chair, Mr. Rich Johnson, to execute the signing of all documents associated with the loan subordination. The motion was carried unanimously.
C. Law Investments request for a Certificate of Satisfaction
The Board was requested to authorize and ratify the actions of the Chair, Mr. Rich Johnson, to sign the Certificate of Satisfaction for Law Investments, a previous IDA loan holder in good standing. The Tax Credit Promissory Note was attached to the Board meeting packet for review. Mr. Hardy moved that the Board authorize and ratify the actions of the Chair in this regard, Mr. Ryan seconded the motion, and it carried unanimously.
IX. Executive Session
There was no Executive Session.
X. Adjournment
The meeting was adjourned at 5:04 p.m