WILLIAMSBURG ECONOMIC DEVELOPMENT AUTHORITY MEETING Municipal Building, Second Floor Conference Room 401 Lafayette Street January 8, 2014 at 3:00 p.m. AGENDA I. Call to Order A. Introduction of New Member Rick Overy II. III. IV. Approve Minutes from November Meeting Review EDA November and December Financial Statements Old Business A. Strategic Plan Implementation V. New Business A. Election B. Resolution to former Chairman Monty Mason C. Appointments to Committees 1. ecommerce Grant Committee 2. Sign Grant Committee 3. Triangle Business Innovation Center (Incubator) D. 2014 Calendar VI. Economic Development Director Report A. New Name for Incubator - Triangle Business Innovation Center (TBIC) B. Field House/Aquatic Center Study VII. VIII. Next Meeting February 12, 2014 at 3:00 p.m. Adjourn Items for your Calendar: January 14, 2014 12:00 noon Business Roundtable - Speaker Roy Pearson January 30, 2014 11:30 a.m. HREDA Annual Meeting Chesapeake Conference Center RSVP required February 11, 2014 12:00 noon EDA Business Roundtable - Speaker Carl Lum February 12, 2014 3:00 p.m. EDA Meeting Packet Page 1
Rick Overy graduated from the College of William and Mary Mason Business School with a BBA in Finance. He served in the White House and then at William and Mary in the Development Office and as Associate Dean of the School of Law. He joined Legg Mason in 1997 whose advisors later became part of Smith Barney where he earned the distinctions of Vice President of Wealth Management. In 2009, Rick founded an independent firm near the historic area, Compass Wealth Strategies, offering comprehensive financial planning and asset management with securities offered through Raymond James Financial Services, Inc. Rick and his wife Lara live in a restored house on Richmond Road with their three children. In the community, he has served the Williamsburg Area Chamber of Commerce Board of Directors, the Kiwanis Club of Williamsburg Board, The William and Mary President s Council, Walsingham Academy's Board of Trustees, and at the Williamsburg Community Chapel. Packet Page 2
MINUTES OF A REGULAR MEETING OF THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF WILLIAMSBURG The Williamsburg Economic Development Authority held its regular monthly meeting on November 13, 2013, in City Manager s Conference Room on the 2 nd floor of the City of Williamsburg Municipal Building, 401 Lafayette Street, Williamsburg, Virginia. The following Directors were present: Monty Mason, Chairman, Tom Gillman, Todd Mooradian, and Adam Steely. Also, present were: Mayor Clyde Haulman, Vice- Mayor Paul Freiling, Joseph F. Phillips, Jr., secretary and attorney for the Authority; Michele DeWitt, Economic Development Director; Corinne Blackford, Economic Development Specialist. Absent: Bill Carr, Ed Richardson, Tonya Boone Guest: Chris Smith, Virginia Brewing Company I. Call to Order Mr. Mason called the meeting to order at 3:00 p.m. The secretary noted that a quorum of the Directors was in attendance. II. Approve Minutes from October 9, 2013 Mr. Mason called for a motion to approve the Minutes of the Authority s October 2013 meeting. Mr. Gillman moved approval of the Minutes of the Authority s October 2013 meeting as submitted. The Motion was seconded by Mr. Steely and approved by the following vote: Monty Mason Todd Mooradian Tom Gillman Adam Steely III. Review EDA October Financial Statements Ms. DeWitt noted that the largest amount expended in October relates to the Gallery Crawl event. She also noted that the EDA has received its first profit sharing check from the regional incubator, lease income in the amount of $2,057.09. Mr. Gillman noted that the Gallery Crawl event netted $8,640 this year, and the EDA requested that these funds be placed in a designated fund account for the Gallery Crawl and other Williamsburg Celebrates Art events. Packet Page 3
IV. Old Business A. Review of Ammended ecommerce Program Guidelines Ms. DeWitt asked to revisit the modifications of the ecommerce Grant Program guidelines, to verify the discussion and outcome at the October meeting. All approved of the new program guidelines specifying that grants are based on the lowest-bid costs and that bids submitted with grant applications must be comparable. V. New Business A. Gap Financing Program Concepts for EDA Consideration Mayor Haulman presented City Council s thoughts from its retreat about gap funding and other similar kinds of business incentive programs, asking that the EDA consider some of the options and make a recommendation to Council on an appropriate program for the City. He highlighted two kinds of programs, investor networks for start-up businesses and risk mitigation programs for new business ventures. Mr. Haulman posited that local venture capital investors might be identified to establish an investor network. He also raised the idea of establishing a loan guarantee fund via a city deposit of reserves. There was discussion about the two types of programs brought up by Mr. Haulman, including their differences, risks, and management. Ms. DeWitt referred to the email sent earlier to EDA Directors featuring descriptions of gap lending and revolving loan programs in other communities. She also noted that York County and Virginia Beach assign funds to their respective programs through the annual appropriations process. The EDA asked Mr. Haulman to give an estimate of the amount of funds the Council might dedicate to such a program. Mr. Haulman remarked that $1million would be a high number for such a program but that $500,000 would be more palatable. There was continued discussion about the importance of financing programs for business prospects and the type of investment that the EDA would hope to target with its programs. There was also discussion about collaboration with financial and other entities. Mr. Freiling suggested requesting $200,000 to launch a trial program. He suggested that the Directors present this request to City Council at the joint City Council/EDA meeting on November 22, 2013, so that Council is aware the EDA is enthusiastically responding to Mr. Haulman s request. B. Ratification of ecommerce Grants for CxAnalytics and Williamsburg Home Painting Ms. Blackford presented the ecommerce Grant Committee s recommendation for award of an $800.00 grant to Williamsburg Home Painting. Mr. Steely moved that the EDA ratify the ecommerce Grant Subcommittee s approval of the grant. The Motion was seconded by Mr. Packet Page 4
Gillman and approved by the following vote: Monty Mason Todd Mooradian Tom Gillman Adam Steely Ms. Blackford then presented the ecommerce Grant Committee s recommendation for award of an $850.00 grant to CxAnalytics. Mr. Mooradian moved that the EDA ratify the ecommerce Grant Subcommittee s approval of the grant. The Motion was seconded by Mr. Steely and approved by the following vote: Monty Mason Tom Gillman Todd Mooradian Adam Steely VI. Economic Development Director Report A. Demolition Loan Approval Deadline Extension Ms. DeWitt explained that the paperwork for the Demolition Loan approved on June 12, 2013 for the Prince George Street project known as Griffin Arms has not yet been finalized and that the loan s approval expires on December 12, 2013. Ms. DeWitt asked the Directors to extend the deadline to February 13, 2014, so the property owner Mr. Gil Granger, who intends to use the loan, will not have to reapply for approval. Mr. Mooradian moved that the EDA extend the deadline for the Griffin Arms to utilize the Demolition Loan from December 12, 2013 to February 13, 2014. The Motion was seconded by Mr. Gillman and approved by the following vote: Monty Mason Adam Steely Tom Gillman Todd Mooradian B. Prince George Street Church Parking Lot Ms. DeWitt informed the Directors that the City has proposed a parking arrangement to the Williamsburg Baptist Church in order to lease 63 spaces within the Church s parking lot. The City would pay $2,000 per month and assume maintenance of the lot. The City is currently awaiting approval from the Church s congregation. Packet Page 5
C. Enterprise Zone Application Debrief Ms. DeWitt gave an overview of the debrief meeting she attended with the City s county partners who jointly submitted the Enterprise Zone application with the City this summer. Ms. DeWitt recommended that all the partners resubmit the application for consideration next year, noting that this year the application scored 855 points whereas the lowest-scoring winner of an Enterprise Zone scored over 1,100 points. Ultimately, City Council must approve a resubmission. Competition among applications with respect to the fiscal stress score criteria might be less next year and that would increase the chances of Williamsburg receiving an Enterprise Zone. D. W&M Homecoming Event Update Ms. DeWitt relayed that the William & Mary homecoming event held for alumni business owners went well and that she has been in touch with the Colonial Williamsburg Foundation about hosting something similar. VII. Next Meeting The next meeting that is scheduled for the EDA Directors is December 11, 2013 at 3:00 p.m. VIII. Adjourned The meeting adjourned at 4:45 p.m. Joseph F. Phillips, Secretary APPROVED: Chairman Packet Page 6
TO: Economic Development Authority DATE: January 2, 2014 SUBJECT: December 2013 Financial Statement The December 2013 Financial Statement is pending from the Finance Department. We will forward it to you as soon as it is available. Michele Mixner DeWitt Economic Development Director Packet Page 7
Economic Development Authority Statement of Financial Position As of November 30, 2013 FY 2014 FY 2014 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Month to date Year to date Beginning Fund Balance $155,078.30 $143,812.41 $171,093.14 $167,827.78 $184,946.51 $264,403.93 Fees Received $1,666.67 $1,575.00 $1,583.33 $26,666.67 $72,750.02 $10,881.25 $10,881.25 Demolition Program $40,000.00 $30,000.00 $30,000.00 $6,098.00 $20,000.00 $0.00 $0.00 Sign Grant Award Program $10,000.00 $10,000.00 $10,000.00 $8,000.00 $5,000.00 $0.00 $0.00 E-Commerce Program $0.00 $10,000.00 $10,000.00 $0.00 $5,000.00 $0.00 $0.00 Pass thru Funding $4,717.00 $4,245.00 $25,495.00 $24,516.94 $32,167.80 $0.00 $2,400.00 Arts Event Fees $0.00 $0.00 $728.00 $0.00 $500.00 $0.00 $0.00 Wmsbg Celeb - Gallery Crawl $0.00 $0.00 $0.00 $0.00 $18,296.81 $470.00 $18,846.00 Regional Incubator $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,057.09 Existing Business Program & Map $0.00 $0.00 $233.92 $10,000.00 $1,027.10 $0.00 $0.00 Interest Earnings $2,186.34 $430.56 $246.32 $211.11 $193.72 $10.00 $54.11 Total Revenue $58,570.01 $56,250.56 $78,286.57 $75,492.72 $154,935.45 $11,361.25 $34,238.45 Legal Fees $4,094.70 $561.20 $709.50 $550.00 $264.00 $0.00 $0.00 Professional Services $1,575.00 $14,155.00 $5,000.00 $2,150.00 $0.00 $0.00 $0.00 Sign Grant Awards $11,777.29 $4,000.00 $5,550.96 $5,977.85 $0.00 $0.00 $0.00 SBDC Grant Award $3,000.00 $0.00 $0.00 $1,000.00 $0.00 $0.00 $0.00 E-Commerce Grant Awards $2,500.00 $3,800.00 $3,670.00 $4,115.00 $4,250.00 $0.00 $3,750.00 Other Grant Awards $0.00 $0.00 $0.00 $0.00 $2,500.00 $0.00 $3,000.00 W&M Tech and Bus Center Grant $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Marketing $1,274.01 $275.00 $4,655.65 $2,472.91 $5,540.63 $213.90 $1,383.29 Pass thru Funding $4,717.00 $4,717.00 $25,967.00 $26,633.72 $1,382.00 $0.00 $0.00 Arts Events $0.00 $0.00 $759.50 $2,152.61 $1,140.00 $2,093.89 $2,777.55 Wmsbg Celeb - Gallery Crawl $0.00 $0.00 $0.00 $0.00 $18,408.53 $1,044.67 $10,053.88 Wmsbg Celeb - Plein Air $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $300.32 Demolition Program $40,000.00 $0.00 $1,365.12 $0.00 $33,198.00 $0.00 $0.00 Existing Business Program & Map $865.00 $704.91 $33,874.20 $13,321.90 $7,407.98 $414.10 $6,090.10 Regional Incubator $0.00 $0.00 $0.00 $0.00 $0.00 $2,500.00 $2,500.00 Postage $32.90 $0.00 $0.00 $0.00 $517.34 $0.00 $0.00 Travel (Mileage) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Travel (Convention) $0.00 $756.72 $0.00 $0.00 $869.55 $0.00 $0.00 Total Expenses $69,835.90 $28,969.83 $81,551.93 $58,373.99 $75,478.03 $6,266.56 $29,855.14 Fund Balance $143,812.41 $171,093.14 $167,827.78 $184,946.51 $264,403.93 $268,787.24 Designated - Sign Program $20,898.18 Designated - E Commerce Program $12,915.00 Designated - Demolition Program- Chipotle/Rodeway Inn Redev $23,634.88 Designated - Demolition Program- Prince George Commons $27,900.00 Designated - Demolition Program $40,000.00 Designated - Business Branding Study by W&M $1,309.34 Designated - RAISE marketing funds $1,500.00 Designated - Gsquare Prince George Street $20,000.00 Undesignated $120,629.84 Cash $157,838.01 LGIP Investments $118,991.47 Reserve - Joint Efforts with York and James City Counties ($8,042.24) Total Fund Balance $268,787.24 NewExcel/EDA/EDA_FY2014 with mtd Packet Page 8
RESOLUTION Economic Development Authority WHEREAS, T. Montgomery Monty Mason was appointed to the Williamsburg Economic Development Authority on July 5, 2007, and has served with distinction for six and one-half years, his tenure ending on December 15, 2013, when he resigned to serve as a Delegate to the Virginia General Assembly representing the 93rd District; and and WHEREAS, he presided as Chairman of the Authority from 2008 to 2013; WHEREAS, he enthusiastically and effectively worked alongside other Authority members and with the City of Williamsburg s Economic Development Director on a number of major undertakings including the implementation of the Demolition Loan Program, ecommerce Grant Program, the Williamsburg Arts District, September as Arts Month, and monthly Business Roundtables of which 51 have been held to date; and WHEREAS, he led the Authority s efforts in the development of the Historic Triangle Collaborative Economic Diversification Plan and the Authority s active participation in the RAISE Committee of the Newport News Williamsburg International Airport. He also led the efforts to work with the Economic Development Authorities of James City and York counties to jointly operate a regional Business Incubator, jointly recognize existing businesses, and jointly promote the business aspects of the region with the College of William and Mary. NOW, THEREFORE, BE IT RESOLVED that the Williamsburg Economic Development Authority, on January 8, 2014, hereby records its appreciation to Monty Mason for his outstanding service on the Authority as both member and Chairman, and wishes him success as he represents the citizens of the 93rd House District. Chairman Packet Page 9
TO: Economic Development Authority DATE: January 2, 2014 SUBJECT: ecommerce Program Committee Membership In order to expedite the processing of ecommerce applications between official EDA meeting dates, the EDA has authorized an ecommerce Committee to approve applications on the EDA s behalf. The current membership of that committee is Monty Mason, Ed Richardson, and Adam Steely. With the resignation of Mr. Mason from the EDA, the EDA Chairman will appoint another member to this committee. Michele Mixner DeWitt Economic Development Director Packet Page 10
TO: Economic Development Authority DATE: January 2, 2014 SUBJECT: Sign Grant Committee Membership In order to expedite the processing of Sign Grant applications between official EDA meeting dates, the EDA has authorized a Sign Grant Committee to approve applications on the EDA s behalf. The current membership of that committee is Bill Carr, Tom Gillman, and Monty Mason. With the resignation of Mr. Mason from the EDA, the EDA Chairman will appoint another member to this committee. Michele Mixner DeWitt Economic Development Director Packet Page 11
EDA Calendar 2014 Regular EDA Meeting Dates 3pm on the 2 nd Wednesday of each month in the City Manager s Conference Room, 2 nd Floor, 401 Lafayette Street January 8 February 12 March 12 April 9 May 14 June 11 July 9 August 13 September 10 October 8 November 12 December 10 Business Roundtables 12noon on the 2 nd Tuesday of each month, location rotates January 14 February 11 March 11 April 8 May 13 June 10 July 8 August 12 September 9 October 14 November 18 (due to November 11 th Holiday) December 9 Business Appreciation Award Nominations due in April EDA selects winner in May Council presents award at its June meeting Business Appreciation Event Date TBD 2014 host is York County EDA Annual Meeting and Election of Officers July 9, 2014 Packet Page 12
Packet Page 13
Packet Page 14