Mar 31, 2026 City Council & EDC Joint Special Meeting

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ARE, MA'AM. ALRIGHT, WE. ARE WE ON RECORDING IN PROGRESS? ALRIGHT, THANKS. GOOD MORNING

[I. INVOCATION, PLEDGE & ROLL CALL]

SECRETARY JERRY LABOV HERE, TREASURER CAPRINA FRANK, DIRECTOR DARRYL ANDERSON. YES.

DIRECTOR INGRID HOLMES AND CRYSTAL MILLER HERE. CDC ATTORNEY GUY GOODSON HERE. YOU HAVE A QUORUM, MAYOR. THANK YOU SO MUCH. CITY SECRETARY. AT THIS TIME, WE'RE GOING TO MOVE

[II.(1) Review And Discussion Of The Port Arthur Economic Development Corporation’s Use Of Sales Tax Funds For 4A & 4B Projects.]

EXCITING OPPORTUNITY TO BE ABLE TO CREATE CERTAINLY MORE PROJECTS AND THE TYPES OF PROJECTS THAT WE LISTED AND ASKED FOR THE VOTERS TO DECIDE ON WAS THAT THERE WOULD NEED TO BE ABLE TO DO RECREATIONAL AND COMMUNITY FACILITIES, WATER SUPPLY FACILITIES AND WATER CONSERVATION PROGRAMS, SPORTS VENUES AND RELATED INFRASTRUCTURE, AFFORDABLE HOUSING, AND NEW OR EXPANDED BUSINESS ENTERPRISES THAT WOULD CREATE OR RETAIN PRIMARY JOBS AND ALSO ALLOW FOR THE MAINTENANCE AND OPERATION OF A COST OF A FACILITY. WHEN LEGALLY ALLOWED. YOUR VOTERS OVERWHELMINGLY SAID, YES, WE WANT EDC TO BE ABLE TO DO THAT WITH APPROVAL FROM THE COUNCIL. AND THAT WAS OVERWHELMINGLY VOTED BY 64%. SO CONGRATULATIONS ON THAT. IT'S A WONDERFUL OPPORTUNITY TO MOVE FORWARD. I BELIEVE NOW WE HAVE THE EDC ATTORNEY MAYOR. IS THAT CORRECT? WHO'S GOING TO LEAD US IN PROCEDURES INVOLVING TYPE B

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THE PRIMARY JOB DEFINITION, THERE WAS A PACKET, I BELIEVE, HANDED OUT BY MISS MUELLER TO CLARIFY WHAT A PRIMARY JOB IS. SO IN 501, THE LOCAL GOVERNMENT CODE 501, IT ACTUALLY GOVERNS BOTH TYPE A AND TYPE B EDC. AND IT HAS ALL OF THE DEFINITIONS THAT APPLY THAT ARE APPLICABLE IN 504 AND 505. SO WHAT A PRIMARY JOB IS IS IT BASICALLY IS A JOB THAT IS AVAILABLE AT A COMPANY FOR WHICH A MAJORITY OF THE PRODUCTS OR SERVICES OF THAT COMPANY ARE ULTIMATELY EXPORTED TO REGIONAL, STATEWIDE, NATIONAL OR INTERNATIONAL MARKETS, INFUSING NEW DOLLARS INTO THE LOCAL ECONOMY. AND THEN THEY HAVE TO HAVE AN N A N A I C S CODE THAT GOES WITH IT.

AND SO THE APPLICATION PROCESS THAT THE PORT ARTHUR EDC IS WORKING ON FOR TYPE B PROJECTS IS GOING TO STATE, IF IT'S ONE OF THE BUSINESS ENTERPRISES, IT WILL STATE WHAT KIND OF SITE IMPROVEMENTS YOU'RE REQUESTING AND WHAT PRIMARY JOBS YOU'RE EITHER RETAINING OR CREATING.

AND THEN THAT WILL GO INTO THE EVALUATION ON WHETHER OR NOT THAT IS A JOB THAT QUALIFIES UNDER 505.155 ANOTHER INTERESTING THING WITH A TYPE B EDC IS THERE IS A PUBLIC HEARING REQUIREMENT. 505 .159. SO YOU HAVE TO HAVE A HEARING PRIOR TO UNDERTAKING ANY SORT OF TYPE B PROJECT. THIS NOTICE HAS TO BE POSTED IN YOUR LOCAL NEWSPAPER ONCE A WEEK FOR 30 DAYS PRIOR TO HAVING THE PUBLIC HEARING, AND THEN YOU WILL HAVE A PUBLIC HEARING ON THE PROJECT.

AND THEN THERE'S A 60 DAY WAITING PERIOD. THE 60 DAY WAITING PERIOD ACTUALLY BEGINS THE FIRST DAY OF PUBLICATION AND GOES. AND WHAT THAT DOES IS IT ALLOWS IF 10% OF THE POPULATION OF PORT ARTHUR WANTED TO FORCE AN ELECTION ON AS TO WHETHER OR NOT THE TYPE B PROJECT WOULD QUALIFY UNDER THE ACT, IT WOULD FORCE AN ELECTION TO OCCUR. SO YOU DO HAVE A 60 DAY WAITING PERIOD PRIOR TO YOU APPROVING AN INCENTIVE AGREEMENT. THAT'S SOMETHING THAT'S VERY DIFFERENT BECAUSE IN A TYPE A, YOU DON'T HAVE TO HAVE A PUBLIC HEARING. WE CAN JUST HAVE THE INCENTIVE RECIPIENT COME PROVIDE THEIR PRESENTATION AND THEN THE NEXT MEETING, IF IT QUALIFIES, WE CAN GO AHEAD AND APPROVE AN INCENTIVE AGREEMENT. THERE'S NOT A 60 DAY WAITING PERIOD, BUT HERE FOR ANY ACTUALLY OF THE AUTHORIZED PROJECTS, NOT EVEN THE NOT JUST THE BUSINESS, IT'S THE RECREATIONAL FACILITIES, WATER, WASTEWATER, AFFORDABLE HOUSING. ALL OF THAT IS REQUIRED TO HAVE A PUBLIC HEARING. SO THAT IS JUST ANOTHER ANOTHER KIND OF DIFFERENCE. NOW, AS FAR AS THE INCENTIVE PROCESS, IT WILL LOOK VERY SIMILAR. WE'LL HAVE TO HAVE AN INCENTIVE AGREEMENT WITH EACH OF THE TYPE B RECIPIENTS FOR THE PROJECT. WE'RE STILL FINALIZING THAT. SOME OF OUR TYPE B, E DOCS THAT WE REPRESENT OUTSIDE OF PORT ARTHUR, WE IT'S A REIMBURSEMENT BASIS, BUT THE BOARD IS STILL WORKING TOGETHER TO SEE THE BEST FIT ON HOW THEY WANT TO PREPARE THE AGREEMENTS FOR THE

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AND THAT LANGUAGE YOU WILL SEE IS WAS ACTUALLY IN YOUR BALLOT PROPOSITION AS WELL. IT'S NEW EXPANDED BUSINESS ENTERPRISE THAT CREATE OR RETAIN PRIMARY JOBS. AND THE PRIMARY JOB DEFINITION IS FOUND IN 501 OF THE LOCAL GOVERNMENT CODE. AND THAT IS THE STATUTE THAT GOVERNS BOTH FIVE, BOTH TYPE A AND TYPE B, E, D. AND SO THEN WHEN YOU GO AGAIN, NOT TO GET IN THE WEEDS AND WHEN YOU GO INTO 505 ONE, FIVE, FIVE, IT'S IT DOES REFERENCE THE PRIMARY JOB. AND SO THAT THEN YOU HAVE TO USE THAT PRIMARY JOB DEFINITION. AND SO ON OUR APPLICATION, WE WILL HAVE A SPOT WHERE THE INCENTIVE APPLICANT WILL HAVE TO PUT THE NAICS CODE THAT RELATES TO THEIR BUSINESS THAT THEY WANT TO BRING INTO THE CITY OF PORT ARTHUR. I'M GOING TO DO A HYPOTHETICAL. WE WANT TO CREATE. SO OFTEN, I'LL JUST GO WITH WHAT COUNCILMEMBER FRANK HAS ALWAYS SAID. WE WANT TO DO A DAVE AND BUSTERS. AND SO YOU WANT TO CREATE AN ENTERTAINMENT CENTER IN PORT ARTHUR, SKATING RINK, WHATEVER. AND SO WE WANT.

BUT THAT JOB, THOSE PRIMARY JOBS, IT HAS TO BE A PRIMARY JOB THAT FITS THAT. WE CAN HIRE PEOPLE. IT HAS TO FIT INTO THE N A I C S CODE. AND IF IT DOESN'T FIT IN THAT CODE, WE CAN'T DO THAT PROJECT. CORRECT. SO SO SO THE DAVE AND BUSTERS WOULD NOT. THAT'S NOT NECESSARILY A PRIMARY JOB. NOW AGAIN, YOU COULD LET ME STOP THERE BECAUSE WE'RE GOING TO HAVE PEOPLE ASKING US QUESTIONS ABOUT BECAUSE WE WANT TO RECRUIT PEOPLE TO COME IN TO PORT ARTHUR TO CREATE THESE JOBS, QUALITY OF LIFE PROJECTS THAT WE CALL FOR FAMILIES. SO YOU WANT A SKATING RINK OR DAVE AND BUSTERS WITH ENTERTAINMENT, THE EVENT CENTER, LIKE YOU HAVE IN BEAUMONT. SO WE WANT TO BUILD IT. BUT UNLESS IT CREATES PRIMARY JOBS THAT ARE WITHIN THAT CODE, THE JOBS HAVE TO BE IN THE CODE. OUR JOB TITLES HAVE TO BE WITHIN THAT CODE FOR US TO CREATE IT. IF IT'S NOT IN THE CODE, WE CAN'T DO IT UNDER THAT QUESTION. UNDER THAT STATUTE, YES. UNDER THAT 505.155 YES. BUT THE STATUTE ALWAYS. OTHER THAN THAT, THE STATUTE SAYS TO. IF YOU READ THAT, THE STATUTE DOES ALSO STATE ANYTHING THAT THE BOARD APPROVES. SO. OKAY, I KNOW YOU GOT I'M TALKING TO YOU ABOUT THIS ALREADY, SO I WANT EVERYBODY ELSE TO HEAR IT. SO SO IF THE BOARD DECIDES WE'RE GOING TO DO IT ANYWAY, I BROUGHT THIS UP. I WANT THE I WANT THE PUBLIC TO KNOW THIS. CORRECT. SO WE SAID WE'RE GOING TO MOVE AHEAD. AND BECAUSE RIGHT UNDERNEATH THAT STATUTE SAID CREATING PRIMARY JOBS.

CITY ATTORNEY, I'M SORRY. WE CAN HEAR YOU. I CAN HEAR YOU. OKAY. I'M SORRY MA'AM. THANK YOU. SO IF THE BOARD IT SAYS OTHER AND IF YOU READ IT, IT STATES THAT THE BOARD CAN OR ANYTHING THAT THE BOARD CAN. AND I'M JUST PARAPHRASING THE STATUTE THAT SAYS OR ANY JOBS THAT THE THE THE BOARD CAN APPROVE OR THEY COME TO AN AGREEMENT ON. AND THIS BODY APPROVES IT. WE'RE LOOKING AT A AT A RISK. CORRECT IT. SOMEONE COULD IF WE PUSH FORWARD AND TRY TO DO IT ANYWAY, COME AND CHALLENGE IT. AND IT COULD GO UP TO JUDICIAL REVIEW AS TO WHETHER OR NOT THAT FELL WITHIN THE STATUTE. SO YOU ARE TAKING YOU'RE TAKING A RISK. AND IF A JUDGE SAID YOU SHOULD NOT HAVE DONE THAT, THEN THAT MONEY WOULD HAVE TO BE PAID BACK. NOW YOU CAN THINK, YOU KNOW, OUTSIDE THE BOX, A COMMUNITY FACILITY, THE CITY COULD POTENTIALLY, YOU KNOW, ASSIST THE EDC WITH BUILDING A SKATING RINK THAT'S OWNED BY THE CITY.

YOU KNOW, IT DOESN'T NECESSARILY HAVE TO BE DAVE AND BUSTERS COMING IN. YOU KNOW,

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YES, N A I C S CODE, CORRECT? AND I WAS, I'M DOING THAT SO THAT THE PUBLIC CAN UNDERSTAND WHAT OUR ABILITY TO DO. RIGHT. AND THE RISK THAT WE TAKE IF WE MOVE FORWARD DOING SOMETHING THAT IS, YOU KNOW, DIFFERENT. CORRECT? I UNDERSTAND MAYOR. YES, I HAVE SOME LIGHTS AND I'LL COME BACK WITH OTHER QUESTIONS THAT I MAY HAVE. BUT ANYWAY, COUNCILMEMBER DOUCET, I MEAN, MAYOR PRO TEM DOUCET, I'M SORRY. THANK YOU. LEE. MY QUESTIONS AND COMMENTS, PLEASE ENTER THEM TO THE RECORDS. OKAY, OKAY. THAT'S THAT'S WHAT I WANT THE PUBLIC TO HEAR. THE REST. I HEAR YOU TALKED ABOUT EVERYTHING. LET'S TALK ABOUT ONE. YOU SAID THIS PROPOSITION.

YOU HAD WES CREATE RETAIN JOBS. THAT'S IN TYPE A ANYWAY, 5O45O4 STAY SPECIFICALLY THAT IT WASN'T EVEN NEEDED. 504. YOU COULD DO IT ANYWAY, AM I CORRECT? CORRECT. ALL RIGHT.

NOW YOU SAID THAT THIS PROPOSITION GAVE. THE EDC AUTHORITY TO HAVE A, A AND B IN THE STATE OF TEXAS. WHENEVER YOU APPLY TO ESTABLISH A TYPE CORPORATION, YOU ESTABLISH AS TYPE A R, YOU CAN ESTABLISH TYPE B, OR YOU CAN HAVE A A AND A B CORPORATION. OKAY, SO IT'S IT'S NO A AND B. YOU EITHER HAVE A A CORPORATION OR YOU HAVE A B CORPORATION, OR YOU HAVE A A AND A B CORPORATION. IS THAT CORRECT? YOU CAN HAVE A TYPE A WITH B POWERS QUESTION CORRECT. YOU CAN'T HAVE A TYPE A AND B CORPORATION. YOU'RE RIGHT A A AND B CORPORATION BECAUSE SORRY SORRY I GET YOU THE NEXT ONE. COULD YOU TALK ABOUT POWERS. OKAY. 504 CLEARLY STATES THAT IF THERE ARE ANY SUBCHAPTER SUCH AS. 505501 ALL OF THESE SUBCHAPTERS PERTAINING TO ECONOMIC DEVELOPMENT CORPORATION, IT STATES THAT YOUR CERTIFICATE OF FORMATION SIGNED BY THE CONTROLLER. MUST CONTAIN THE STATEMENT THAT IT. THAT CORPORATION IS GOVERNED BY.

504 ALSO WITHIN THAT IS ALSO STATES THAT NO CHAPTER WILL WILL WHAT IT IS OVERRIDE. 504 BECAUSE THIS CORPORATION IS GOVERNED ONLY BY. 504, NOT. 505 SO WHAT'S. 7505 YOU CAN'T APPLY TO 504 BECAUSE IT DOESN'T OVERRIDE. OKAY. PROJECTS. OKAY. ALL THE PROJECTS ARE CATEGORIES OF PROJECTS. THE TYPE A CAN DO ANY, ANY CATEGORY OR SPECIFIC PROJECT FOR A TYPE B COULD BE DONE BY TYPE A. IT JUST TAKES VOTERS APPROVAL, RIGHT? YOU CAN HAVE A BALLOT PROPOSITION LIKE WE'VE DONE IN THE PAST TO HAVE LIKE WE DID AFFORDABLE HOUSING PREVIOUSLY. YEAH. YES. AND THAT'S MY WHOLE POINT THAT I'M MAKING, YOU KNOW, WHENEVER YOU'RE DONE BIG PROJECTS, THEY WERE PROJECTS THAT WERE PRESENTED THAT HELPED THE CITY, AFFORDABLE HOUSING THAT CAME UP.

THE PUBLIC NEED TO KNOW WHEN WE'VE DONE AFFORDABLE HOUSING. IT WAS IN CONJUNCTION WITH DOWNTOWN REVITALIZATION TO JUMP START THE DOWNTOWN. THAT WAS THE PURPOSE OF IT. YOU KNOW, I

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NOW WHEN YOU'RE DONE A PROPOSITION FOR THE TYPE B WITH PARKS FOR AN EXAMPLE. OKAY. YOU HAD ELECTION SAME AS THIS ONE YOU JUST HAD, BUT YOU SENT A RESULT TO THE CONTROLLER'S OFFICE. AND THAT LETTER MUST CONTAIN ONE. THE PROPOSITION ITSELF. THE VOTE, THE NUMBER OF VOTES FOR NUMBER, VOTE AGAINST, AND WHETHER IT PASSED OR FAIL. AND IT MUST IDENTIFY. THE USE OF SALES TAX. SO BASICALLY, RIGHT NOW WITH THE STATE CONTROLLER, HAVE ON FILE FOR TYPE PORT ARTHUR CITY TYPE A CORPORATION. IS THAT ALL YOUR TAXES IS FOR TYPE A, BUT YOU ARE ALSO GOING TO BE GETTING $1 MILLION A YEAR FOR PARK AND RECREATION. SO THE STATE CONTROLLER KNOWS THAT IF THOSE SALES TAX, THEY SEND IT DOWN HERE, $1 MILLION IS GOING TO BE USED FOR THAT TYPE B PROJECT. IT'S ON RECORD. SO IN THE CONTROLLER MIGHT HAVE THAT. BUT BUT WITH THE PROPOSITION THAT WAS PASSED IN NOVEMBER, THAT GAVE THE EDC THE AUTHORITY WITHOUT HAVING TO PROVIDE ANY INFORMATION TO THE CONTROLLER TO BASICALLY DESIGNATE ANY FUNDS THEY WANT. IT'S REALLY THE BOARD'S DISCRETION. THEY COULD DESIGNATE $50,000 OR $2 MILLION TO TYPE B PROJECTS. THAT'S UP TO THE BOARD. WE WE THE STATUTE DOES NOT REQUIRE US TO GO TO THE CONTROLLER AND HAVE THE CONTROLLER PUT THAT IN A SEPARATE FUND. ALL THE FUNDING STILL GOES SPECIFICALLY TO THE EDC, AND IT'S THE BOARD'S DISCRETION ON HOW THEY WANT TO SPEND THE MONEY, WHETHER THEY DON'T WANT TO DO ANY PROJECT, WHETHER THEY WANT TO DO ONLY TYPE A, TYPE B, THIS BALLOT PROPOSITION JUST GAVE THEM THE ADDITIONAL AUTHORITY TO GO AHEAD AND SPEND IT, BECAUSE, AGAIN, WHEN WE DID THE BALLOT PROPOSITIONS FOR PARKS AND FOR AFFORDABLE HOUSING, PREVIOUSLY IT WAS IN A DESIGNATED AREA WE HAD IT WAS A GEOGRAPHICAL LIMITATION. THIS ALLOWS THEM TO GO ANYWHERE IN THE ENTIRE CITY OF PORT ARTHUR AND DO AN AFFORDABLE HOUSING PROJECT. IF AGAIN, IF IT FALLS UNDER THAT PROVISION OF 505 AND WE DO NOT. IN. ALL THE BOARD HAS TO DO IS AGAIN MAKE THE APPROPRIATE FINDINGS THAT THIS IS A PROPER AFFORDABLE HOUSING PROJECT. YOU HAVE TO IF THERE'S A FEDERAL DEFINITION IN THAT PROVISION, AND THEN THEY CAN GO AND SPEND HOWEVER MUCH MONEY THEY DEEM APPROPRIATE. AND THAT'S THE BOARD'S PURVIEW ON WHETHER OR NOT THEY WANT TO DO THAT. ALL RIGHT. LAST QUESTION OR LAST COMMENT. JUST WHAT YOU EXPLAINED. OKAY. WHEN YOU TAKE A LOOK AT THE REQUIREMENTS, THE REQUIREMENTS STATES THAT YOU MUST STATE THE SPECIFIC PROJECT OR CATEGORIES OF PROJECTS THAT YOU WANT TO DO. THAT'S A, THE SECOND PART OF THAT 504 REQUIREMENT ON THE ELECTION BALLOT LANGUAGE. THE SECOND PART SAYS THAT THE VOTERS MUST HAVE A CLEAR, DISCERNABLE OF LIMITS THAT YOU'RE ASKING ON THE PROPOSITION. SO YOU'RE TELLING ME THAT THE VOTERS, WHEN THEY VOTED WAS PRETTY CLEAR THAT THE EDC COULD USE ANY PART OF THAT MONEY ON B, SO

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YOU KNOW, THAT'S ALSO THE CITY ATTORNEY MADE A REQUEST OF AN OUTSIDE COMPANY TO ADDRESS THIS SAME PART HERE THAT WE'RE TALKING ABOUT NOW. AND EVEN IN THAT, THEY TALK ABOUT RISKS AND SEE, THAT'S THE THING THAT I'M CONCERNED ABOUT WITH ALL OF THIS. FROM THE DAY THE PROPOSITION WAS PASSED WAS RISKED. WHY DO WE HAVE TO RISK? WE COULD'VE DONE ANYTHING WE WANT IN TYPE B, ALL WE GOT TO DO IS LET THE VOTERS KNOW. AND I UNDERSTAND THAT. BUT WE TALK ABOUT RISK. THAT'S DECLARATORY JUDGMENT. SO THIS AIN'T OVER. AND THE 30 DAYS DOESN'T MATTER.

THAT'S SOMETHING THAT CITIZENS NEED TO KNOW. AND WHY DO WE DO THINGS THAT ARE RISKY WHEN WE CAN DO IT WITHOUT A PROBLEM? RIGHT. AND I AGREE, MAYOR PRO TEM LIKE IT STATED, YOU HAVE TO HAVE A PUBLIC HEARING BEFORE ANY OF THESE TYPE B PROJECTS ARE UNDERTAKEN. AND IF 10% OF THE VOTERS PUSH IT TO AN ELECTION, THEY THEY CAN THEY CAN HAVE THAT. SO THAT'S KIND OF ANOTHER OVERSIGHT THAT MINIMIZES THE RISK THAT BOTH OF THESE GOVERNING BODIES ARE TAKING. AND THAT'S GOOD. THAT IS THERE. SO WE'RE GOOD. COUNCILMEMBER KINLAW, YOU HAVE YOUR LIGHT ON. THANK YOU. MAYOR. QUESTION. REAL QUESTION. I'M LOOKING AT THE TWO THE SIX BULLET POINTS THAT WE'VE THE CATEGORIES. I'M SORRY, BUT THE LAST TWO ARE REALLY KIND OF VAGUE AND BROAD FOR ME. YOU KNOW, LIKE YOU TALKED ABOUT EARLIER WITH MAYOR PRO TEM DO SAID ABOUT TAKING RISKS NEW AND EXPANDING BUSINESSES ENTERPRISE THAT CREATE OR RETAIN PRIMARY JOBS. YOU KNOW, THAT'S REAL BROAD FOR ME. AND I THINK THAT, YOU KNOW, WHEN YOU HAVE YOUR PROCESS OF APPROVING OR VETTING APPLICANTS, AND IF I'M GOING TO TAKE A RISK, IT'S GOING TO BE FOR ME, IT'D BE SOMEBODY LOCAL. I MEAN, IF I HAVE TO TAKE A RISK, SOMEBODY IS ACTUALLY PAYING INTO TAXES INTO THAT ENTITY. AND THE LAST ONE, MAINTENANCE AND OPERATION COSTS OF FACILITIES WITH LEGAL ALLOWANCE, THAT'S VERY BROAD FOR ME. THE MAYOR WAS ALLUDING TO WHAT COUNCILMAN FRANK STATED FOR YEARS. COUNCILMAN FRANK WAS ONE OF THE ORIGINATORS OF, YOU KNOW, WHY CAN'T WE DO BOTH? YOU KNOW, LET'S TRY TO DO BOTH. THAT'S THAT'S HELP PEOPLE THAT ARE IN OUR COMMUNITIES. HE'S THE ONE. AND I'M GOING TO BE HONEST WITH YOU. AND I WAS KIND OF ON THE ON THE FENCE WITH IT AT FIRST, BUT I SEE NOW HOW IMPORTANT IT IS FOR LOCAL BUSINESSES TO WANT TO COME AND START. SO MY FIRST QUESTION IS THE APPLICATION PROCESS. WILL THERE BE A NEW APPLICATION PROCESS FOR INDIVIDUALS TO COME TO THE EDC AND TRY TO GET FUNDING? YOU KNOW, WHAT TYPE OF PROCESS WOULD THAT BE? NOW, SINCE WE KNOW THAT WE CAN ADDRESS THESE, THESE SIX TOPICS, SO KIND OF TELL ME ABOUT THE APPLICATION PROCESS OR DID I MISS THAT? SO THE APPLICATION PROCESS, WE'RE STILL WE'RE STILL WORKING ON. HOWEVER, IF YOU WANT TO DO AFFORDABLE HOUSING, THERE WILL BE A SPECIFIC APPLICATION FOR THAT TO MAKE SURE THAT YOU QUALIFY UNDER THAT FEDERAL STATUTE IN THERE. I KNOW IN IN ANOTHER TYPE B, E, D, C, WE DON'T REQUIRE THE THE SPECIFIC DESIGNATION AT THE TIME THE PROJECT IS PRESENTED. IT JUST HAS TO BE OBTAINED BEFORE THE PROJECT IS FUNDED. THAT'S ONE EXAMPLE FOR THE AFFORDABLE HOUSING AS FAR AS THE WATER, WASTEWATER, RECREATIONAL OR COMMUNITY FACILITIES. WE WOULD JUST HAVE A SEPARATE APPLICATION FOR THAT. JUST

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YEAH. HOLD IT AND IT SHOULD TURN. THERE YOU GO. NOW YOU GO. NO LET IT GO BACK TO GREEN.

YEAH. NOW IS IT WORKING FOR YOU? THERE WE GO. OKAY, SO WE'RE WE HAVE DIFFERENT PROGRAMS AND IT DEPENDS ON WHAT THE APPLICANT COMES TO US FOR. SO THEY CAN EITHER COME TO US LOOKING FOR AN INCENTIVE. WE DO A VETTING PROCESS. AND JUST FOR A LITTLE BIT MORE CLARIFICATION, WE HAVE A TWO PHASE VETTING PROCESS. OUR FIRST PHASE IS A ONE PAGER. SIT DOWN AND TALK WITH THE COMPANY AND FIND OUT IF THEY WOULD QUALIFY UNDER THOSE CODES THAT CREATE PRIMARY JOBS. IF THEY DO NOT, THEN WE WOULDN'T MOVE TO PHASE TWO. SO NOT TO WASTE THEIR TIME, YOU KNOW, IN DOING A FULL APPLICATION AND THEY WOULD NOT QUALIFY IN THE END IF THEY DO QUALIFY UNDER THAT PHASE ONE APPLICATION, THEN WE MOVE ON TO THE PHASE TWO APPLICATION WHERE WE LOOK AT FINANCIALS AND ALL. IF THE THE COMPANY OR BUSINESS IS INTERESTED, WE HAVE SMALL BUSINESS LOANS. WE HAVE A REVOLVING LOAN WITH GROW AMERICA THAT IS ALSO BACKED BY THE CITY'S FUNDS THAT WAS PLACED IN THERE YEARS AGO. SO IT JUST DEPENDS ON WHAT THE BUSINESS IS INTERESTED IN. SO WE DON'T DETERMINE OR TELL THEM WHAT, YOU KNOW, WHICH WAY WE WANT THEM TO GO. WE TELL THEM WHAT'S AVAILABLE TO THEM BASED ON WHAT THEY QUALIFY FOR, AND THEN THEY CHOOSE TO EITHER APPLY FOR ONE OR THE OTHER. THANK YOU MAYOR. THANK YOU, THANK YOU. COUNCILMEMBER. COUNCILMEMBER FRANK. YES. GOOD MORNING. FIRST AND FOREMOST, I WANT TO THANK EACH AND EVERY ONE OF YOU FOR THE TIME THAT YOU GIVE TO SERVE ON THE EDC.

AND I JUST WANT TO THANK YOU FOR THAT. IN SAYING THAT, I THINK THAT THIS MEETING HAS BEEN IMPORTANT BECAUSE I THINK WE WANT TO BE SURE THAT WE ARE WORKING COLLABORATIVELY, THAT WE'RE ON THE SAME PAGE AS FAR AS WHAT IT IS WE WANT TO SEE IN THE CITY OF PORT ARTHUR AND WHAT WE WANT TO ACCOMPLISH. THE. THE PROPOSITION WAS PLACED ON THE BALLOT BECAUSE WE WANTED TO EXPAND THE OPPORTUNITIES FOR NOT JUST MANUFACTURING INDIVIDUALS IN THE CITY OF PORT ARTHUR, BUT TO. BUT TO ALLOW THE MONIES THAT THE TAXPAYERS PAY TO BE EXPANDED, TO HELP TO BRING A RECREATIONAL LIFE TO THE CITY OF PORT ARTHUR. THE COUNCIL IS RIGHT. I'VE ALWAYS USED THE EXAMPLE OF A DAVE AND BUSTERS, LIKE A MAIN EVENT IN THE CITY OF BEAUMONT THAT THEY HAVE, OR A SKATING RINK, OR THOSE THINGS THAT WOULD ADD TO THE QUALITY OF LIFE IN THE CITY

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YES. WE HAVE LIKE MISS MUELLER JUST STATED, SOME LOAN PROGRAMS. IF YOU WOULD LIKE TO USE THOSE, ETC. SO I THINK KIND OF, YOU KNOW, THINKING ABOUT THIS IN A BIGGER PICTURE AND GETTING AWAY FROM THE TYPE B SPECIFIC PROPOSITION, THE TYPE B PROPOSITION JUST GAVE YOU A COUPLE MORE POWERS. IT IT DID NOT CHANGE THE CURRENT PROGRAMS THAT YOU ALL HAVE. AND MAYBE THE EDC NEEDS TO DO A BETTER JOB AT GETTING THAT INTO THE COMMUNITY AND EXPLAINING THAT WE DO HAVE THESE PROGRAMS, AND I'LL LET THE BOARD OR MISS MUELLER KIND OF DETAIL THOSE PROGRAMS THAT WE CURRENTLY HAVE FOR SMALL BUSINESS OWNERS. THERE WE GO. SO, AND I JUST WANT TO EXPOUND A LITTLE BIT ON PAST FUNDING THAT HAS HAPPENED. THERE'S A LOT OF CONFUSION AS TO SOME SMALL BUSINESSES THAT MAY HAVE RECEIVED FUNDING. I JUST WANT TO NOTE THIS FOR THE COMMUNITY AND FOR THE COUNCIL AND THE BOARD'S AWARENESS. YOU KNOW, WE HAVE HAD IN THE PAST WHERE WE'VE GONE TO THE VOTERS FOR AN OPERATION DOWNTOWN PROGRAM, WHERE WE WERE ABLE TO GIVE SITE IMPROVEMENT GRANTS TO SMALL BUSINESSES THAT WERE IN WITHIN A LOCATED A SMALL PORTION OF THE DOWNTOWN AREA THAT HAS SINCE SUNSETTED. SO ONCE THE PROGRAM AND THE YEAR'S END FOR THAT, THEN THE MONEY GOES AWAY. SO THERE MAY HAVE BEEN SOME SMALL BUSINESSES THAT WERE ABLE TO TAKE ADVANTAGE OF GRANT FUNDS DURING THAT PROGRAM. BUT IT HAS SINCE ENDED. YOU

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FOUR B JUST GIVES US ADDITIONAL OPPORTUNITY TO WORK WITH THEM WITHOUT GOING TO THE VOTERS EVERY SINGLE TIME WITH AN ELECTION. AND SO WE STILL HAVE TO HAVE A HEARING. YOU STILL HAVE A HEARING PROCESS. AS WE'VE HEARD KATE STATE, YOU STILL HAVE TO RESPOND TO THE HEARING. THE VOTERS STILL HAVE A RIGHT TO DECIDE IF THEY WANT THAT PROJECT OR NOT IN THEIR COMMUNITY. SO I JUST THINK IT GAVE US A ROOM TO BE ABLE TO NAVIGATE A LITTLE BIT QUICKER AND RESPOND A LITTLE BIT BETTER. CITY ATTORNEY, YOU HAVE YOUR LIGHT ON. YES, MA'AM. THANK YOU.

I PASSED OUT A CHART. IT SAYS TYPE A AND TYPE B AND AND THE CHART WILL TELL YOU THE VARIOUS TYPES. IT'S A LOT OF INFORMATION, BUT IF YOU EVER WANT TO JUST SIT DOWN AND READ AND BRAINSTORM ABOUT WHAT'S POSSIBLE, PLEASE USE THIS. I THINK IT'S VERY HELPFUL. THE SECOND THING I WANT TO SAY IS, I KNOW THAT WE FOCUSED A LOT ON THE CREATION AND RETENTION OF PRIMARY JOBS, BUT THE TYPE B POWERS, NOT ALL OF IT HAS TO CREATE PRIMARY JOBS. I MEAN, YOU CAN STILL DO RECREATIONAL COMMUNITY FACILITIES WITHOUT CREATING PRIMARY JOBS. YOU STILL CAN DO AFFORDABLE HOUSING AND NOT HAVE IT CREATE PRIMARY JOBS. YOU STILL CAN DO WATER CONSERVATION OR SPORTS VENUE. SO THE PRIMARY JOBS IS DEFINITELY A TYPE A REQUIREMENT.

AND IN TYPE B PROJECTS, IT'S DEFINITELY ONE OF THE REQUIREMENTS OF ONE CATEGORY.

BUT THERE ARE MANY OTHER CATEGORIES. AND SO I'M HOPING THAT THIS CHART WILL BE ABLE TO INSPIRE YOU AND BRAINSTORM WITH YOU. THE LAST THING I WANT TO SAY, MAYOR, IS, HAVING WORKED ACROSS THE STATE AND SEEN VARIOUS VARIOUS LARGE CITIES WITH EDC, IT'S ALL ABOUT STRUCTURING THE DEAL, RIGHT? HOW YOU STRUCTURE WHAT'S ELIGIBLE FOR FUNDING. FOR EXAMPLE, YOU'RE TALKING ABOUT A DAVE AND BUSTERS. I DON'T THINK I'VE EVER BEEN TO A DAVE AND BUSTERS, BUT I ENVISION IT, LIKE HE SAID, A MAIN EVENT, RIGHT WHERE THERE MAYBE THERE'S A SKATING RINK AND MAYBE THERE'S A BOWLING. SO THOSE, THOSE PROJECTS MIGHT BE ABLE TO BE, I THINK CAN BE USED FOR RECREATIONAL AND COMMUNITY FACILITIES. THE EDC COULD USE THAT. AND THAT MAY BE A COMPONENT OF ANOTHER VENDOR COMING IN TO HELP THEM ESTABLISH AND FLOURISH. AND YET WE STILL HAVE TYPE A POWERS, WHEREBY IF WE'VE GOT TWO OR MORE BUSINESSES CONNECTED TOGETHER, WE CAN PROVIDE TYPE A EDC INFRASTRUCTURE, RIGHT TO HELP THEM COME ALONG. SO NOT ONE ECONOMIC DEVELOPMENT TOOL. AND I CONSIDER THE TYPE A AND TYPE B AS A ONE TYPE OF ECONOMIC DEVELOPMENT. THERE'S A LOT OF OTHER TYPES. AND YOU NEED ALL OF THOSE TOOLS, JUST LIKE YOU NEED MORE THAN A HAMMER TO BUILD A HOUSE. YOU NEED ALL OF THOSE TOOLS TO BE ABLE TO BUILD SOMETHING TOGETHER. SO DON'T BE SO NARROW MINDED. OH, WE CAN'T HAVE A DAVE AND BUSTERS. WELL, MAYBE WE CAN. DOES IT HAVE A SKATING

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SO THAT'S WHERE THE EDC. IF YOU COULD EXPLAIN THAT. SO SO IN CHAPTER 505, THERE IS AN EXCEPTION FROM THE 505.155. IT'S ACTUALLY 50505.158 IT SPECIFICALLY ALLOWS EDC AND COMMUNITIES THAT HAVE LESS THAN 20,000 OF A POPULATION. THEY CAN PROVIDE FUNDING TO BUSINESSES THAT DO NOT CREATE OR RETAIN PRIMARY JOBS. SO THAT IS WHY NEDERLAND, THE CITY OF ORANGE, AND SMALLER COMMUNITIES ARE ABLE TO PROVIDE FUNDING TO A SEVEN BRUISE OR X, Y, AND Z BECAUSE THEY'RE UNDER THE 20,000. AND I AND I, YOU KNOW, OF COURSE, WAS NOT PRIVY TO THAT LEGISLATIVE DRAFTING. BUT I THINK AT THAT TIME, CITIES THAT WERE UNDER 20,000, THEY COULDN'T GET PRIMARY JOBS AT ALL. THEY WEREN'T LIKE US WITH THE LARGER REFINERIES AND THE

[00:50:06]

LEWIS. YES. ONE OF THE REASONS I SUPPORTED COUNCILMAN DONALD FRANK'S PROJECT. SMALL BUSINESSES DO NOT NEED A LOAN, AND THEY MAY NEED TO PURCHASE SOME EQUIPMENT OR SOMETHING LIKE THAT. EDC SHOULD BE ABLE TO FUND THOSE THINGS. I DIDN'T LIKE ALL THOSE CATEGORIES, BUT I HAD TO GO ALONG WITH IT TO GET IT TO THE BALLOT. I DIDN'T LIKE ALL THOSE DIFFERENT CATEGORIES, AND I FELT THAT WAS GOING TO CREATE CONFUSION. AND AND IT HAS ALREADY CREATED CONFUSION WITH THE EDC BOARD. NOW WHAT WHAT IS GOING TO I NEED CLEARLY IF WE HAVE TO GO BACK TO THE BALLOT OR WHATEVER, AND WE'VE GOT TO GET IT IN BEFORE IN AUGUST TO FOR CLEAR LANGUAGE FOR EDC, FOR EDC TO BE ABLE TO. MAYBE I MISSED SOMETHING. BE ABLE TO GIVE GRANTS TO SMALL BUSINESSES DIRECT. AND THAT'S BEEN IN BUSINESS OVER FIVE YEARS. THAT WAS MY OBJECTIVE IN SUPPORTING THIS PROJECT. WE DONE HELPED EVERYBODY AND THEIR BROTHER WITH INFRASTRUCTURE THROUGHOUT THE CITY FOR BUSINESSES, AND WE HAVE NEVER DONE ANYTHING WHEN, WHEN, WHEN SMALL BUSINESSES GO TO COME TO EDC, THEY WANT THEY KNOW THEY DON'T WANT, THEY WANT A GRANT. THEY DON'T WANT TO. THEY DON'T NEED A LOAN. A A LOAN IS JUST AN ADDITIONAL BURDEN. SMALL BUSINESSES ALREADY STRUGGLING, YOU KNOW, IF THEY NEED TO BUY SOME EQUIPMENT OR UPGRADE SOMETHING, THEY NEED A GRANT FOR THAT, NOT A ANOTHER LOAN. SO MY QUESTION TO THE THE CEO OF EDC, WHAT DISQUALIFIED THAT SMALL BUSINESS THAT CAME BEFORE YOU ALL IDEA WHAT DISQUALIFIED ID? YES, SIR. SO GOING BACK TO ELIGIBILITY. SO IF A IF A BUSINESS COMES TO US AGAIN UNDER FOR A. AND EVEN WITH THIS NEW PROPOSITION, IT ALLOWS US TO DO NEW AND EXPANDED BUSINESS PROJECTS THAT CREATE PRIMARY JOBS. THAT PRIMARY JOBS IS, IS WHAT RESTRICTS US THERE. WELL, MY PROBLEM WITH PRIMARY JOB IS JUST ONE OF THE MULTIPLE CATEGORIES. IT'S ONE OF THE CATEGORIES MOST SMALL BUSINESSES WOULD NOT FIT UNDER THE OTHER CATEGORIES THERE. SO YOU'RE TELLING ME WE'RE NOT CREATING PRIMARY JOB, WHICH IS WHATEVER THEIR PRIMARY THEIR MAIN JOBS ARE? YOU'RE TELLING ME THEY CANNOT QUALIFY FOR A GRANT? NO, SIR. NOT SO WHAT WE NEED TO DO TO BE ABLE TO DO THAT. THAT'S WHY THAT'S MY THAT IS WHAT MISS MISS LEVERETT HAS JUST EXPLAINED. WE WOULD NEED TO CONSIDER TAKING UP SOMETHING TO LEGISLATION TO TRY AND CHANGE THAT FOR OUR COMMUNITY, BECAUSE RIGHT NOW, AS IT STANDS, BASED ON POPULATION, BASED ON POPULATION, I THINK OVER 20,000 CAN IS ONLY BASED OFF OF PRIMARY JOBS. BUT BUT AREN'T WE STILL ABLE TO HELP? UNDER THE A UNDER A, YOU STILL HAVE THE ABILITY TO BE ABLE TO HELP THOSE SMALL BUSINESSES AS WE'VE DONE IN THE PAST. THAT HAS NOT CHANGED, AM I CORRECT? BUT IT'S STILL UNDER THE FOR FOR A PRIMARY JOB CREATION. SO EVEN UNDER FOR A. WE'RE RESTRICTED TO THE PRIMARY JOB CREATION. SO WE. SO WE GOT TO FIND SOME WAY OF SEPARATING SEPARATION. THAT'S WHAT YOU'RE SAYING. CORRECT. SOMETHING TO CARVE US OUT TO BE ABLE TO SAY A COMMUNITY SUCH AS OURS, WHETHER IT'S A GULF COAST COMMUNITY, WHETHER IT'S CERTAIN, YOU KNOW, DIFFERENT POPULATION FACTORS CARVE US OUT TO BE ABLE TO OFFER INCENTIVES TO NEW AND EXPANDED BUSINESSES THAT DON'T CREATE PRIMARY JOBS. MAN, I TELL YOU AGAIN, LET ME MAYBE SOME OF THE BOARD. I THANK YOU, CRYSTAL, BUT LET ME ASK ONE MORE TIME. I THINK WE HAVE COUNCILMAN LIGHT ON FOR A SECOND. THE PRIMARY WHAT YOU'VE DONE IN THE PAST TO HELP SMALL BUSINESSES. AM I MISSING A COMPONENT? HAVEN'T WE HELPED SMALL BUSINESSES IN THE PAST WHEN WE WERE JUST A A AND HAD NO INVOLVEMENT WITH B? IF WE IF WE GO TO THE VOTERS FOR SUCH AS OPERATION DOWNTOWN, WE CAN DO THAT TOO. THAT'S ANOTHER OPTION

[00:55:02]

THAT'S WHAT I WANTED TO CLEAR UP. THANK YOU. OKAY, OKAY. WELL, ARE WE DONE IN ANY OTHER LIGHTS OR. OH, I'M SORRY, MAYOR PRO TEM, YOU SAID. YES. THE ECONOMIC DEVELOPMENT CORPORATION HAS A LOT OF FLEXIBILITY. OKAY? A LOT OF FLEXIBILITY. OKAY. YOU GOT A PROPOSITION. YOU GOT THESE TYPE B'S. BUT WHAT MISS VERHEUL HAS, AND SOME OF THE PEOPLE HAVE COUNSELORS SAY EVEN US UP HERE, IT'S ALL ABOUT WORKING TOGETHER. THESE GRANTS, THAT GRANT PROGRAM, IT WASN'T BASED ON POPULATION. IT WAS BASED ON WHAT THE ECONOMIC DEVELOPMENT CORPORATION WANTED TO DO WITH SMALL BUSINESSES DOWNTOWN AND THIS AREA. WE WENT TO THE VOTERS AND GOT IT DONE. SO SOME THINGS ARE WITHIN WAS WRITTEN, BUT THERE'S THINGS THAT YOU CAN DO. ALL YOU HAVE TO DO IS GO THROUGH THE PROCESS. AND THAT'S THE THING THAT GIVES THE EDC THE FLEXIBILITY IT NEEDS WITHOUT WORRYING ABOUT POPULATION. IT'S THE FACT OF THE MATTER IS THAT THEY COULD GO TO THE VOTERS. YOU KNOW, WE TALKED ABOUT THE VOTERS AND STUFF, YOU KNOW. YES. IF WE COULD ELIMINATE GOING TO THE VOTERS EVERY TIME FOR THINGS THAT WE KNOW VOTERS ARE GOING TO AGREE WITH, YOU KNOW, THAT'S IMMATERIAL, WASTING TIME. SO THIS IS A GOOD OPPORTUNITY. I AGREE, I'VE ALWAYS BEEN FOR IT. BUT THE FACT OF THE MATTER IS THERE COULD BE SOME THINGS WE NEED TO GO TO THEM BECAUSE THAT'S SOMETHING WE'RE GOING TO NEED TO GET DONE. AND WHEN WE GO TO THEM, IF IT'S RIGHT, IT'S GOING TO PASS. WE DON'T HAVE A PROBLEM. THE GRANTS, WE COULD GO BACK TO GRANTS, BUT JUST TAKE DRAWING IT UP WHAT WE WANT, WHAT WE'RE GOING TO MAKE REQUIREMENTS AND PASS IT. WE HAVE ELECTIONS EVERY YEAR, SO WHENEVER WE GET TO A ROADBLOCK, THEN WE SIMPLY GO TO THE VOTERS AND GO AROUND IT. BUT IT'S NO RISK INVOLVED. NONE AT ALL. THOSE PROGRAMS NEVER WENT AWAY. WE DO THE SAME THING AGAIN. YOU ONLY HAVE TO PUT A LIMIT ON IT. SEE, THIS TIME YOU YOU PUT A LIMIT WITH WHAT? THE PROPOSITION THAT WAS PASSED. YOU NO LONGER HAVE TO PUT A LIMIT. NOW, IF YOU SAY YOU'RE GOING TO DO IT, THEN YOU CAN LEAVE IT IN YOUR IN YOUR TOOL BAG. YOU DON'T HAVE TO GO EVERY TIME AFTER THAT. OKAY? SO YOU HAVE TO COMMUNICATE THAT THE COUNCIL HAS TO GET INFORMATION TO THE ECONOMIC DEVELOPMENT CORPORATION BOARD, AND THE BOARD HAS TO GO THROUGH ITS

[01:00:06]

OUR CITY SECRETARY, ASSISTANT CITY SECRETARY, IF YOU GUYS ARE KEEPING RECORD FOR ME, TEXT ME AND LET ME KNOW WHAT'S WHERE WE ARE WITH EVERYBODY SPEAKING. WE'LL GIVE EVERYBODY AN OPPORTUNITY TO TO SPEAK. BUT I DO WANT TO TRY TO KEEP IT. WE GOT TO GO ON TO THE NEXT DISCUSSION. SO I HATE TO BE THE BEARER OF KEEPING TRACK OF TIME AND KEEPING TRACK OF WHEN WE SPEAK, BUT I HAVE TO DO THAT. SO RIGHT NOW, I THINK, COUNCILMEMBER FRANK, THIS WILL BE YOUR SECOND TIME. SO YOU CAN SPEAK NOW. NO, NO. I'M GOOD, YOU'RE GOOD. OKAY.

COUNCILMEMBER LEWIS YEAH, I JUST WANT TO BE CLEAR. I UNDERSTAND HOW THINGS OTHER THINGS THAT YOU CAN GO TO THE VOTERS ON, BUT WHAT YOU'RE WHAT I'M HEARING, YOU CANNOT GO TO THE VOTERS FOR THE GRANT. AND SO THAT'S WHAT I'M HEARING. YOU CANNOT FOR ANYTHING FOR THE GRANT TO INDIVIDUAL SMALL BUSINESSES. WE CANNOT CAN WE GO TO THE VOTERS AND WE CAN GO TO THE VOTERS. YOU CAN. BUT AND JUST IN SOMETHING TO CLARIFY GRANT VERSUS LOAN, REALLY PER PER THE STATUTE, YOU KNOW, WHENEVER WE SAY WHETHER IT'S A LOAN OR A GRANT, OUR PROJECTS ARE ON A REIMBURSEMENT BASIS. SO ONCE THE SMALL BIT, IF YOU WANT TO DO. KATE LEVERETT RESTAURANT, MA'AM, IT'S ALREADY. IF YOU GIVE A A BUSINESS TODAY THAT QUALIFIES UNDER FOR A. IF IT IF IT'S A GRANT AND THEY FAIL TO COMPLY WITH THE GRANT, IT TURNS INTO A LOAN THAT'S ALREADY IN THERE. WE HAVE CHANGED IT THOUGH. SO, SO ALL OF OUR PROGRAMS NOW ARE ON A REIMBURSEMENT BASIS. NOBODY. WHETHER IT'S A FOR A PRIMARY JOB OR WHATEVER PROJECT, ALL OF OUR PROGRAMS NOW, NOW ARE ON A REIMBURSEMENT BASIS. SO WHENEVER YOU COME TO US, YOU PROVIDE US WHAT, WHAT YOU WOULD YOU NEED, WHETHER IT'S EQUIPMENT, ETC. YOU GO AND PURCHASE IT AND THEN YOU PROVIDE US THE RECEIPT AND YOU GET REIMBURSED. THE REASON WAS, IS WE UNFORTUNATELY, A LOT OF PEOPLE WERE DEFAULTING ON THESE INCENTIVE AGREEMENTS. WE WERE HAVING TO CONVERT THEM TO LOANS AND NO, AND WE WEREN'T GETTING PAID BACK. SO NOW IT IT'S ALL REIMBURSEMENT, WHETHER IT'S A SMALL BUSINESS, LARGE BUSINESS, ANYTHING, EVERYTHING'S A REIMBURSEMENT BASIS. WE DON'T HAVE A STRAIGHTFORWARD GRANT PROGRAM THAT'S CLEAR TO ME. SO THAT'S, THAT'S DOABLE. ALL YOU HAVE TO DO IS GO PURCHASE WHATEVER YOU NEED AND TURN IN THE DOCUMENTATION. YOU SHOULD GET REIMBURSED A LITTLE BIT MORE. IS THAT WHAT I'M HEARING? WELL, IT'S A LITTLE BIT MORE THAN THAT, BUT I WAS JUST TRYING TO SAY, IS THAT WHAT I'M HEARING? IT'S MORE IT'S MORE THAN THAT. YES, SIR. YEAH. IT'S AND THAT'S SEMANTICS GRANT VERSUS REIMBURSEMENT. BUT ALL RIGHT. OKAY. SO WE'RE GOING TO THANK YOU ALL SO MUCH. IF WE DON'T HAVE ANY OTHER DISCUSSION ON OUR ON THE FOR A. YES, YES, PUT YOUR LIGHT ON. YES. THAT'S WHAT WE'RE GOING TO GIVE YOU. YOU HAVEN'T SAID ANYTHING. SO. YES, SIR. YOU GUYS CAN HAVE AN OPPORTUNITY SHORT. IT'S GOING TO BE SHORT. JUST JUST FOR FOR CLARITY. THE PROCESS TO GET QUALIFIED TO RECEIVE FUNDS STILL REMAINS ACROSS THE BOARD. SO EVEN IF WE DO GO AND SET THESE FUNDS ASIDE FOR SMALL BUSINESS SPECIFICALLY, THERE IS STILL A QUALIFYING PROCESS THAT EVERYONE MUST GO THROUGH. SO I'M SAYING THAT BECAUSE SOME PEOPLE BELIEVE BECAUSE THEY SEE GRANT, I CAN JUST GO AND GET SOME MONEY, RIGHT? IN ALL HONESTY, IF YOU DON'T STILL HAVE TO QUALIFY. THAT'S ALL I WANTED TO SAY. OKAY. THANK YOU SO MUCH. OKAY, WE'RE GOING TO

[II.(2) To Discuss Researching The Feasibility Of A Grocery Store For The Downtown Area.]

WELCOME TO THE PODIUM. ALL RIGHT. ALL RIGHT. WHENEVER THE B PROPOSITION PASSED AND WE WERE TALKING ABOUT AFFORDABLE HOUSING, A FEW OF US WERE TALKING. AND EVER SINCE I WAS

[01:05:02]

AND THE TAXPAYERS IN THAT PART OF THE COMMUNITY. SO IT'S GOT TO BE SOMEBODY THAT'S GOING TO SELL THE SAME PRODUCT FOR THE SAME PRICE. IS H-E-B SELLING IT OR MARKET BASKET? ANY QUESTIONS? YEAH, WELL, I UNDERSTAND AND I UNDERSTAND THAT THERE'S A FOOD DESERT AND I UNDERSTAND THAT EVERYTHING YOU'RE SAYING IS TRUE. I HAVE A I DO HAVE A COUPLE OF LIGHTS. MAYOR PRO TEM JUST SAID, YES, MARS. I THINK THAT'S A GREAT IDEA BECAUSE IF YOU ALL CAN'T GET A CHAIN. IN THAT PART OF TOWN, WORKING IN THAT ASPECT IS WHY THEY DON'T HAVE ONE. OKAY. AND I'M GOING TO TELL YOU, YOU KNOW, IT ALSO GIVES US AN OPPORTUNITY TO LOOK AT THINGS FROM A BUSINESS STANDPOINT INSTEAD OF A PERSONAL STANDPOINT. IT GIVES US AN OPPORTUNITY TO MAKE SURE THAT WE PROTECT THE TAXPAYERS DOLLARS. BUT WHEN YOU ALL TALK ABOUT GETTING THESE CHAINS TO GO OVER THERE AND YOU SAY, HEY, WE'LL PUT THE BUILDING UP AND WE CHARGE YOU A DOLLAR A YEAR, YOU KNOW, WE, WE NOW INVEST IN MONEY FOR PEOPLE IN THE COMMUNITY. AND AS LONG AS THE STORE OPERATES, THEN WE'RE ACCOMPLISHING WHAT WE ALWAYS WANTED. I THINK IT'S A GREAT IDEA, YOU KNOW, BECAUSE IF WE CAN'T GET THEM, IF WE CAN'T GET A CHAIN TO GO OVER THERE, I MEAN, FAMILY DOLLAR OR WHATEVER, DOLLAR GENERAL, IF WE CAN'T GET A CHAIN TO GO OVER THERE WITH WHAT YOU ALL ARE PROPOSING NOW, THAT SENDS A STRONG MESSAGE TO THIS COMMUNITY ON WHAT IT'S GOING TO TAKE. OKAY. I THINK THAT'S A GREAT IDEA. COUNCIL MEMBER KINLAW. THANK YOU, MAYOR MORRIS. GREAT, GREAT OBSERVATION. BUT THE THING WITH, YOU KNOW, SINCE I'VE BEEN ON CITY COUNCIL FOR A VERY LONG TIME, THE THING THAT I'VE BEEN HEARING SO MUCH WHEN WE'RE TRYING TO GET HEBBES THE SMALL HEBBES SMALL WALMART, WALMART'S INTO OUR AREAS, ROOFTOPS.

THAT'S ALL I'VE BEEN HEARING. I'VE MADE PERSONAL CALLS. COUNCILMAN FRANK, COUNCILMAN DOUCET TRYING TO FIND WAYS TO GET THESE SMALL GROCERY STORES OR SMALL CHAINS TO COME IN OUR AREA, AND THEY ALWAYS REPLY BY SAYING, ROOFTOPS, WHAT CAN WE DO? AND BUILD THIS RELATIONSHIP WITH EDC VERSUS CITY VERSUS ANY OTHER ENTITY OUT THERE TO GET THESE ROOFTOPS SO THEY CAN HAVE ACCOUNTABILITY TO JUSTIFY MOVING THESE SMALL. I DON'T KNOW IF YOU GUYS KNOW THEY HAVE THEM IN KILLEEN, TEXAS, SMALL NEIGHBORHOOD HUBS IN A COMMUNITY. AND IT'S NOT LARGE, BUT IT'S NOT SMALL, BUT IT'S SIGNIFICANT ENOUGH TO ACCOMMODATE NEIGHBORHOODS WHERE THAT THEY CAN SHOP WELL. AND THAT'S WHERE, YOU KNOW, THE BUILDING WHERE YOU'RE, YOU KNOW, WHERE YOU'RE TAKING OUT 4 OR 4.5 MILLION OFF THEIR PLATE. OKAY? AND IT'S ONLY GOING TO COST THEM A DOLLAR. THEIR PROFITABILITY HAS ALREADY WHAT THEY NEED TO COVER AND BE

[01:10:03]

JUST TURN IT TO YOU. THE OTHER GREAT THING THAT WE HAVE IS ON GULFWAY. WE HAVE A HECK OF A TRAFFIC COUNT. OKAY? I MEAN, A HECK OF A TRAFFIC COUNT THAT THEY'RE GOING TO TAKE INTO CONSIDERATION. HOPEFULLY IT'S ALL IT'S GOING TO BE HOW WE PACKAGE THIS. BUT THAT TRAFFIC COUNT FOR PEOPLE GOING TO AND FROM WORK. I BELIEVE THAT THEY'LL BUY INTO THAT UNTIL THE ROOFTOPS COME. BUT IT'S KIND OF LIKE H-E-B, YOU KNOW, I'LL NEVER FORGET WHENEVER THEY PUT UP THAT NEW H-E-B GOING TO HOUSTON, WELL, THEY KNEW HOMES WERE GOING UP. THEY CAME IN BEFORE THE HOMES STARTED GOING UP. THEY DID. THEY ESTABLISHED THEMSELVES WELL. AND IF YOU KNOW, IT'S THE IF YOU BUILD IT, THEY WILL COME TYPE THING. NOW HOLD ON. AND AND I KNOW THAT'S, YOU KNOW, CLICHE SORT OF KIND OF, BUT WITHOUT IT, ARE WE GOING TO EVER GET ANY ROOFTOPS DOWN THERE? AND WE'RE AT, WE'RE AT OUR MAX BORDERS. SO IT'S TIME TO GO BACK TO THE CENTER.

RIGHT. I AGREE WITH YOU. YOU TALK ABOUT CARS IN AND OUT COMING, YOU KNOW, PRIME EXAMPLE, PLEASURE ISLAND, I MEAN, AT A CERTAIN TIME, 4:00, 3:00 TRAFFIC GALORE, YOU KNOW, AND IF THEY CAN TAKE THAT INTO CONSIDERATION, IF THEY CAN JUST STOP, IF WE CAN PROVIDE. AND I THINK AT ONE TIME WHEN I WHEN I WAS A NEWLY ELECTED COUNCIL MEMBER, WE WERE REACHING OUT AND WE WERE GOING TO HELP WITH INFRASTRUCTURE. THEY DIDN'T CARE ABOUT THAT. THE ONLY THING THAT THEY CARED ABOUT WAS ROOFTOPS, JUST BEING STATIONARY IN AN AREA TO SUSTAIN OUR REASON TO HAVE A SMALL NEIGHBORHOOD. HEB AND I JUST DIDN'T UNDERSTAND THAT WHERE THAT THE CITY WAS ALMOST SAYING, LOOK, WE WILL HELP YOU GUYS OUT. OUR MANAGER, I'VE TALKED WITH OUR CITY MANAGER MANY TIMES ABOUT WHAT CAN WE DO KINLAW ROOFTOPS, YOU KNOW, THAT'S WHAT THEY REQUIRE. WELL, AND I'M NOT SAYING IT'S GOING TO WORK, BUT I THINK IT'S TIME TO GIVE IT THE OLD COLLEGE, TRY JUST SOMETHING AND SPEND SOME MONEY AND FIND OUT. LET'S FIND OUT.

THANK YOU. MAYOR. ALL RIGHT. GUY HAD HIS HAND UP IN THE AUDIENCE. MR. TONY JUST WANTED TO SUPPORT MY BOARD PRESIDENT AND BOARD AND TO SAY THIS, AND I. WHAT COUNCILMEMBER KINLAW SAID, YOU DON'T WANT TO GET IN THE CAR AND DRIVE SIX HOURS WITH ME, COUNCIL MEMBER. BUT IF YOU DID, I COULD TAKE YOU DOWN TO PEARSALL, TEXAS, WHICH HAS THE EXACT H-E-B YOU'RE TALKING ABOUT. IT'S NOT THE ONE IN BEAUMONT, IT'S NOT THE PANTRY. AND IT WAS DESIGNED BECAUSE THERE IS A MARKET THERE THAT HAD NOTHING BUT A COUPLE OF LITTLE SMALL, NOTHING WRONG WITH IT. MOM AND POP GROCERY STORES. BUT SO THERE IS A MODEL OUT THERE THAT YOU ALL CAN LOOK AT. BUT WHAT YOU HAVE SAID IS EXACTLY RIGHT. YOU GOT TO PUT THE PIECES TOGETHER TO GO TO AND GET THE CONSULTANT THAT CAN GO TO ALDI'S, GO TO HEB, GO TO WHOMEVER AND THE. AND I'M BRAGGING A LITTLE BIT AND AND ACKNOWLEDGING A LITTLE BIT, BUT HEB IS JUST BUILDING A STORE IN ORANGE. KATE TOOK CARE OF THAT. KATE REPRESENTED ORANGE IN DOING THE 380 AGREEMENT, AS WELL AS THE INCENTIVE FROM THE EDC. NOW YOUR CITY ATTORNEY HAS WORKED ON MAJOR PROJECTS BRINGING MAJOR COMMERCIAL ENTERPRISES. SO SHE KNOWS ALL ABOUT 380 AGREEMENTS. SO AT THE END OF THE DAY, I'M JUST SAYING IS YOUR YOU DO NEED TO GET SOME PROFESSIONAL HELP TO HELP FIND THOSE PROSPECTS, BUT YOU HAVE THE REST OF THE PIECES, I THINK, IN PLACE. AND AS YOU MOVE FORWARD WITH PROJECTS, PERHAPS EVEN WITH SOME OF THESE AFFORDABLE HOUSING, YOU'LL HAVE EVEN MORE ROOFTOPS TO SUPPORT A PROJECT. YES. THANK YOU SO MUCH. I HAVE A FEW MORE LIGHTS.

COUNCILMEMBER LEWIS. YES. WHEN WHEN MY APPOINTEE BROUGHT THE IDEA TO ME AND I SAID I WAS IN SUPPORT OF IT, IT'D HAVE TO BE ON GULFWAY DRIVE. IT HAS TO BE AT SOME MIDPOINT WITH A HIGH TRAFFIC AREA. BUT WHAT I WANTED, I TOLD HER WHAT I WANTED FOR THEM, SUGGESTED THAT THEY MAKE CERTAIN THAT YOU GO TO THE EXISTING CHANGE THAT'S ALREADY HERE. GIVE THEM THE FIRST OPPORTUNITY TO TO MOVE INTO THE FACILITY. THAT'S WHAT YOU WANT TO DO AND YOU CAN TELL IT'S GOING TO BE SUCCESSFUL. LOOK AT ALL THE FAMILY DOLLARS. THEY'RE ALL ABOUT A MILE APART. YEAH.

IT'S GONNA IT'LL WORK. JUST GET IT, GET IT DONE. AND EVEN IF IT DOESN'T WORK FOR THAT

[01:15:04]

LET'S GO AHEAD AND GET IT. YES, SIR. ABSOLUTELY. YEAH. AWESOME. OKAY. THANK YOU. I THINK. OH COUNCILMEMBER FRANK, I'M SORRY. AND I HAVE I HAD ANOTHER LIGHT ON TIFFANY HAMILTON COUNCIL MEMBER HAMILTON EVER FEEL SHE HAD HER HAND UP AS WELL? COUNCILMEMBER FRANK THANK YOU MAYOR. THANK YOU SO MUCH FOR THIS IDEA. THIS HAS BEEN A LONG TIME COMING, AND I'M GRATEFUL AND HOPEFUL THAT WE CAN PUT TOGETHER WHATEVER IT IS WE NEED. DID THE DID THE HEB IN ORANGE HAVE A CONSULTANT LEADING THE WAY FOR THEM TO DO THAT? AND, AND AND SO I WANT TO KNOW IF THEY DID LET WHILE SHE'S COMING, LET ME SAY AS WELL WE'VE TRIED TO AS HE SAID, WE'VE CONTACTED YOU KNOW ALDI'S ALDI'S JUST HAS AS WELL SOME SPECIFIC CRITERIA. WHEN THEY WANT TO COME THEY WANT 22,000FT■!S. THEY WANT 2.5 ACRES OF LAND. THEY WANT 95 A PLACE WHERE THEY CAN HAVE AT LEAST 95 PARKING SPOTS. SO THOSE ARE THE BASIC KINDS OF CRITERIA THAT THAT THEY WANT.

AND SO WE HAVE TO CREATE THAT KIND OF ATMOSPHERE AND THAT KIND OF PLACE FOR THEM TO EVEN CONSIDER. WE'VE ALREADY GOT A CITY PARK WITH TEACHING TRAIN SITTING ON IT. I KNOW THAT'S RIGHT. HEY, CHOO CHOO TRAIN. HEY, LET'S MOVE TO ONE OF OUR STAFF MEMBERS. LIKE, YOU KNOW, ALDI I THINK IS GOING TO BE FINE. AND SO WE LOOKED AT SQUARE FOOTAGE AND EVERYTHING ELSE. AND THAT PART FITS A PERFECT OKAY, PROGRESS FOR ORANGE. H-E-B CAME TO TO THE CITY OF ORANGE. SO WE DID NOT ENGAGE WITH A DEVELOPMENT GROUP FOR THE H-E-B SPECIFICALLY.

THEY IN ORANGE, THEY HAD A SMALL LIKE A SMALL H-E-B ON 16TH STREET AND I BELIEVE MOST LIKELY WITH THEIR. AND I'M NOT, YOU KNOW, I DON'T WORK FOR H-E-B, BUT WITH ALL OF THE ACCOUNTS, THEY REALIZE THAT IT WOULD BE MORE BENEFICIAL FOR THEM TO DO SOMETHING DIFFERENT WITH THAT SPACE AND BUILD A LARGER H-E-B. SO THEY ENDED UP COMING TO THE CITY WITH WHERE THEY WANTED TO LOCATE. AND THEN WE ENTERED INTO A CHAPTER, WHAT'S CALLED SOME CHAPTER THREE AGREEMENTS WITH THEM. NOW, THE CITY DID PARTNER WITH A DEVELOPMENT GROUP FOR ANOTHER PROPOSED RETAIL CENTER, AND GUY AND I ARE BOTH BLANKING ON THAT NAME, BUT I CAN PROVIDE YOU THAT INFORMATION. BUT BOTH OF THOSE PROJECTS KIND OF CAME NOT TO SAY THAT THE CITY HADN'T BEEN CONSTANTLY PUTTING OUT FEELERS TO GET THOSE PROJECTS TO COME, BUT I THINK IT WAS THAT SMALL. H-E-B WAS JUST BEING OVERRUN, AND THEY THOUGHT THAT THEY COULD MOST LIKELY DO BETTER WITH A LARGER ONE. SO ALDI'S DOES AS WELL. THEY LIKE A PETITION. SO IF WE COULD GET A PETITION STARTED AND SIGN IT AND SEND IT TO THEM AS WELL, THAT WOULD GO A LONG WAY TO DRAWING THEIR INTEREST. AND THEN. 501 IT DOES ALLOW AN EDC TO LEASE A BUILDING TO A COMPANY. SO AGAIN, I'M NOT SPECIFICALLY WORKED WITH AN ALDI ON WHETHER OR NOT THEY

[01:20:01]

THANK YOU. MAYOR, THERE IS A A GROCER. THE NAME IS CENTRAL MARKET AND THEY HAVE OPENED SMALL STORES IN THE HOUSTON AREA THAT SOME STARTED OUT AS A FARMER'S MARKET. THEY'RE A MINORITY PRIVATELY OWNED ENTITY AND THEY HAVE BEEN, LIKE I SAID, IN LOW INCOME AREAS IN THE HOUSTON AREA. SO THAT'S SOME ANOTHER COMPANY I THINK WE SHOULD ADD TO OUR LIST ALONG WITH THE THE ALDI'S IN THE NAME OF IT IS CENTRAL MARKET. OKAY. ALL RIGHT. THANK YOU. OKAY, IF

[II.(3) To Discuss For Possible Action The Renewal Of The Professional Services Agreement With Retail Strategies For The Downtown Revitalization Implementation Plan.]

AND THEY MET WITH THE TOURS, I THINK I WAS ONLINE WITH OUR TOURIST BOARD. AND SO IN, IN PIGGYBACKING, PIGGYBACKING OFF OF YOUR CONVERSATION, I HAD AN OPPORTUNITY TO MEET WITH THEM AND ASK THEM IF THEY WOULD COME TO OUR TOURIST BOARD AND PRESENT, BECAUSE THE TOURIST BOARD IS LOOKING FOR THE TOURS, LOOKING FOR DIRECTION FOR DOWNTOWN STRATEGIES, AND TRYING TO GET A CONSULTANT TO COME TOGETHER AND GIVE US SOME IDEAS ABOUT OUR DOWNTOWN, RATHER THAN US HAVING THE CHAMBER HAVE ITS CONSULTANT, THE EDC HAVE A CONSULTANT, TOURS HAVE A CONSULTANT. WE GET ONE BODY THAT CAN GIVE US ONE PLAN THAT WE CAN ALL PUT OUR IDEAS IN TO HAVE AS A GROUP. AND YOU GUYS STARTED WITH THEM, FROM WHAT I UNDERSTAND, AND THEY'VE DONE PHASE ONE. SO MAYBE WE CAN GIVE INPUT INFORMATION ABOUT PHASE TWO AND GET THEM INTO PLACE AS A AS A CONSULTANT, WE JUST SAID WE NEEDED A CONSULTANT FOR THE GROCERY STORE AND SOME OTHER IDEAS FOR DOWNTOWN. SO I THINK THAT'S THE SECOND PART TO HOW THEY WHAT WE'VE STARTED. AND I KNOW THAT THIS WAS STARTED BY THE PREVIOUS EDC. WE WANT TO LEAVE THAT OUT OF THAT COMPONENT. I DON'T KNOW, RETAIL. NEVER MET ANYBODY FROM RETAIL STRATEGIES, DON'T KNOW THEM AT ALL. BUT IF THEY'VE STARTED SOMETHING AND IT'S LESS MONEY FOR US AS BOTH ENTITIES, THEN I THINK THAT MAYBE WE CAN, AS SOMEBODY WE CAN LOOK INTO TO COMPLETE THIS PROCESS. IF ANYBODY HAS ANY LIGHTS ON, WE CAN HEAR THEM NOW. MAYOR PRO TEM DOUCET. YES, MAYOR, YOU HIT ON A POINT THAT I WANT TO HIT ON. I GET SOME PEOPLE COME DOWN HERE TO CITY, GET SOMEBODY TO DO A DOWNTOWN STRATEGIC PLAN. REDEVELOPMENT PLAN. OKAY. THEN YOU TURN AROUND THE SAME PERSON OVER AT THE EDC TALKING ABOUT A STRATEGIC PLAN, DEVELOPMENT PLAN TO HELP SUPPORT THE CITY'S DEVELOPMENT PLAN. REDEVELOPMENT PLAN? CAN'T HAVE A ONE PLAN FOR DOWNTOWN. OKAY, WE GET A PLAN FOR DOWNTOWN. AND THEN EACH ELEMENT OR ENTITY THAT THE EDC FIND OUT WHAT THAT PLAN IS FOR DOWNTOWN AND YOU DEVELOP THINGS THAT'S GOING TO SUPPORT THAT PLAN. AN EXAMPLE IS WHEN THEY FIRST STARTED DOWNTOWN REDEVELOPMENT, THEY IDENTIFIED THE AREA. IT HAD BEEN IDENTIFIED FOR YEARS UNTIL THE EDC STARTED. OKAY. TRYING TO BUILD THESE HOMES, JUMP START THAT WE'RE GOING TO GET IN DC TO BRING IN SOME APARTMENTS DOWN HERE, AND THEN ALL OF A SUDDEN WE GOT IT GOING, OKAY, SO WHAT WE NEED TO DO IS TAKE A LOOK AT HAVING SOMEBODY THAT HAVE A PLAN FOR THE DOWNTOWN AREA AND THEN WORKING WITH THE OTHER ENTITIES AND LET THEM

[01:25:05]

YOU GOT THE COUNCIL SUPPORT, YOU GO OUT AND YOU MAKE IT HAPPEN, BUT DON'T LET PEOPLE GET PAID BY EVERYBODY TO DO THE SAME THING. THAT'S INSANE. YOU KNOW, I'VE I'VE SEEN IT TOO OFTEN. IF IT'S WAS OUR MONEY, WE WOULDN'T BE DOING BUSINESS LIKE THAT. OKAY, SO WE NEED TO MAKE SURE THAT WE MAKE SURE THAT WHOEVER WE GET UNDERSTAND IF YOU DO THE PLAN AND THE PLAN, YOU DON'T NEED TO WORK FOR EVERYBODY. WE WORK TOGETHER OURSELVES. WE DON'T NEED YOU TO PUT US TOGETHER BECAUSE WE COULD GET A BETTER UNDERSTANDING AND COOPERATION FROM ONE ANOTHER. WHEN WE TALK AND COMMUNICATE ON ONE THING, AS OPPOSED TO EACH INDIVIDUAL, OH, WE GOING TO DO THIS? OKAY, THAT'S ALL I SAY ON THAT. THANK YOU. MAYOR PRO TEM COUNCILMEMBER KINLAW THANK YOU. MAYOR. JUST A QUESTION. I DON'T KNOW WHO COULD PROBABLY MAYBE YOU SEE CAN ANSWER THIS QUESTION. AND IT'S IT'S MY UNDERSTANDING THAT AND I AND THE MAYOR IS RIGHT ABOUT THAT. WE ARE AND WE WILL DETER WHEN I TALK ABOUT THAT DETERS BOARD.

IT'S INTERESTING IMPLEMENTING CONSULTANTS PLAN. BUT MY QUESTION TO YOU OR ANYONE THAT'S ON THE BOARD, YOU KNOW, YOU ENTERED A CONTRACT WITH THIS RETAIL STRATEGIES. SO WHAT HAPPENED WHERE THAT YOU DIDN'T WANT TO SUPPORT IT AGAIN FOR THIS UPCOMING RENEWAL? BECAUSE IT'S MY UNDERSTANDING, EXPIRED IN FEBRUARY, RIGHT? YES, SIR. OKAY, SO KIND OF GIVE US BECAUSE THE BOARD WHEN I SAY THE BOARD, THE BOARD WAS INTERESTED IN IT AND ASKED ME TO ACTUALLY PULL IT SO THEY CAN HAVE TIME TO DIGEST, UNDERSTAND WHAT STRATEGIES AS MAYOR PRO TEM WAS TALKING ABOUT THAT THEY CAN IMPLEMENT. AND I TOTALLY AGREE, IT CAN ONLY BE ONE DOWNTOWN PLAN BECAUSE MOST OF MOST OF THE TIMES EVERYBODY OR ANY BOARD OR ANY COMMUNITY WANT TO DEVELOP THE DOWNTOWN FIRST. SO IT'S SO MUCH YOU CAN DO. SO KENNY, CAN YOU BRIEFLY KIND OF TELL ME WHY YOU ENTERED A CONTRACT AND NOW YOU DIDN'T WANT TO SUPPORT THAT CONTRACT AFTER THE INITIAL CONTRACT FOR THE RENEWAL? SO THE BOARD DID NOT TAKE ACTION ONE WAY OR THE OTHER. SO TECHNICALLY THERE WAS NOT AN ACTION IN FAVOR OR NOT IN FAVOR OF OF THE RENEWAL OF IT. I THINK THERE WERE SOME CONCERNS. AND, YOU KNOW, SOME OF THE BOARD MEMBERS CAN CHIME IN IF SPEAKING OUT OF TURN, BUT SOME OF THE CONCERNS WERE HOW THE THE PLAN WAS ADMINISTERED.

YOU KNOW, AS FAR AS THE DIFFERENT FOCUS AREAS AND THE PARTNERS THAT WERE ASSIGNED TO THEM, THERE'S SOME THINGS IN HERE, AS FAR AS I CAN SPEAK. AS FAR AS THE EDC GOES, A LOT OF FUNDING FROM THE EDC THAT MAY NOT BE ABLE TO TAKE PLACE, BUT THERE THERE ARE SEVERAL OTHER PARTNERS IN HERE THAT WE CAN PARTNER WITH FOR SOME OF THOSE THINGS AND JUST CHANGE THE, YOU KNOW, OUTCOME OR THE TERMS OF, OF WHO ADMINISTERS THOSE FUNDS COULD BE TERS, YOU KNOW, TO DO SOME FUNDING. SO I THINK THERE WAS JUST SOME CONCERNS THAT THE BOARD HAD STILL WITH THE PLAN.

AND IT WASN'T SO MUCH AS BEING NOT IN FAVOR OF IT, BUT MAYBE LIKING TO SEE SOME OF IT CLEANED UP SOME SOME OF THE TRAJECTORIES OR POINTS MORE. AND THAT'S WHAT I THINK BUY IN WILL COME IN FROM THESE DIFFERENT BOARDS. NOW WITH THE SECOND PHASE IS THAT ALL THE DIFFERENT BOARDS CAN NOW HAVE INPUT AND HAVE ONE PLAN. BUT SINCE THEY'VE STARTED THE STUDY AND THEY'VE GOTTEN SOME OF THE INFORMATION, YOU KNOW, WE'D HAVE TO START FROM SCRATCH WITH SOMEONE NEW. AT LEAST THIS COMPANY HAS DONE SOME OF THE HOMEWORK HERE. SO THAT'S JUST MY TAKE ON THAT. OKAY. WELL, ANYWAY, I WANT TO TRY. WELL, MARY, I'M NOT THROUGH WITH THAT.

OH, OKAY. WHAT ARE SOME OF THE CONCERNS? OKAY. YEAH, I JUST WANT TO JUST BE HONESTLY WHAT SOME OF THE CONCERNS WERE, THE ISSUE THAT I HAVE, I THINK THE THE CITY SHOULD BE CAREFUL.

COUNCIL MEMBER, IF YOU GO THROUGH THE STUDY, I THINK THAT SOME OF THE INFORMATION IN THEIR STRATEGIC INITIATIVE, PARTICULARLY TALK ABOUT PROGRAMMATIC ACTIVITIES, THEY

[01:30:03]

[01:35:03]

BUT I THINK WHAT WE NEED IS COORDINATION AND COLLABORATION. RIGHT NOW, APPARENTLY THE LEFT HAND DOESN'T KNOW WHAT THE RIGHT HAND IS DOING. SO I WOULD LIKE TO MAKE THE SUGGESTION.

MAYOR AND MR. PRESIDENT, THAT THE CEO FOR THE EDC IN STRATEGIC RETAIL RETAIL STRATEGY. NO, NO. THE GROUP THAT CAME BEFORE US, BECAUSE WHAT THEY'RE LOOKING FOR IS FOR FUNDING AND TO IDENTIFY WHAT ELEMENTS SO THAT WE CAN MAKE A PRESENTATION TO THE EDC. AND THE EDC HAS SAID HAS THE POWER OF THE PURSE TO WORK WITH THE COUNCIL SO WE CAN IDENTIFY THE PROJECT ACTIVITIES THAT CAN BE FUNDED AND UNDERTAKEN, AND WITH THE RIGHT FUNDING SOURCE, THE RIGHT FUNDING SOURCE. YOU KNOW, YOU PUT APPLES WITH APPLES AND GRAPES WITH GRAPES, THAT SORT OF THING. BUT I THINK WE FIRST NEED TO DO THAT, YOU KNOW, AND BRING THEM BACK, YOU KNOW, REEL THEM BACK IN. WE BRING THEM BACK, WE HAVE A DISCUSSION AND THEN WE IDENTIFY WHAT AS WELL AS COUNCILMAN KINLAW SAID, WHAT TOOLS CAN FUND, AS MISS BEVERLY SAID, WHAT THE CITY CAN FUND AND WHAT EDC CAN FUND. RIGHT. GIVING THEM A NEW DIRECTION. ABSOLUTELY. OF WHAT WE'RE LOOKING FOR. SO THEY'LL HAVE THE RIGHT THE RIGHT AREAS IN WHICH INSTEAD OF AND NOT THE INCORRECT AREAS AS GUY INDICATED, BUT IT'S A COLLABORATION, UNDERSTANDING THE MORE OF A STRATEGIC TARGET OF WHERE WE WANT TO GO USING THESE SOURCES FROM THE TOURS, FROM THE CHAMBER, FROM THE EDC. SO THAT MAKES A BIG DIFFERENCE. AND HAVING PEOPLE THAT HAVE KNOWLEDGE AND SHARING THE BIGGER PICTURE TOO ON THE BOARD, SHARING THE BIGGER PICTURE AS TO WHERE WE CAN, WE CAN GET TOGETHER AND MORRIS, WE CAN CONTACT THEM. IF WE COULD DO THAT, YOU KNOW, CALL THEM IN, YOU KNOW, LET'S HAVE A DISCUSSION WITH THEM AND PREPARE SOMETHING SO THAT WE COULD PRESENT TO THE BOARD OF THE EDC. AND THEN WE CAN HAVE THAT DISCUSSION AT THE COUNCIL LEVEL AS WELL. I'LL PROVIDE AN OPPORTUNITY TO SHARE IT WITH THE BOARD. SOUNDS GREAT TO ME. BUT WE HAVE ACCESS. MORE LIGHTS. OKAY. GOOD IDEA. COUNCILMEMBER FRANK. YES. THE ONLY THING THAT I WANTED TO ADD TO THIS CONVERSATION IS, IS THAT WHEN WE WERE SITTING IN THE TOURIST BOARD MEETING, A GROUP OF STAKEHOLDERS CAME BEFORE US WHO HAD BEEN WORKING COLLABORATIVELY WITH RETAIL STRATEGIES. AND SO THEY HAD BEEN MEETING, THEY HAD BEEN PUTTING IN SWEAT EQUITY. THEY'D BEEN DOING THE THINGS THAT ARE NECESSARY TO BRING ALL OF THIS TOGETHER. AND SO THEY CAME LOOKING. AND WHAT THEY ULTIMATELY SAID TO US WAS, WAS THAT THE FUNDING WAS NOT GOING TO TRANSPIRE WITH RETAIL STRATEGIES THAT WAS GOING TO ALLOW THEM TO CONTINUE THEIR WORK. AND SO AS A AS A CITY COUNCILMAN, I DON'T THINK THAT WE EVER OR AS A CITY THAT WE EVER I MEAN, WE DON'T EVER WANT TO HAVE INDIVIDUALS WHO ARE STAKEHOLDERS IN OUR COMMUNITY WORKING DILIGENTLY AND THEN TELL THEM ALL OF A SUDDEN, OH, WELL, YOU KNOW, JUST ALL THE WORK THAT YOU PUT INTO IT, WE JUST NOT GOING TO WE JUST NOT GOING TO FUND THAT ANYMORE. WE'RE NOT IT DIDN'T MATTER WHAT YOU IT DIDN'T MATTER THAT YOU GAVE YOUR TIME, YOUR TALENTS AND ALL THE THINGS THAT YOU DID TO TO PUT IT TOGETHER. WE JUST, WE JUST DON'T THROW IT AWAY. WE JUST NOT GOING, WE GOING IN A DIFFERENT DIRECTION. I THINK THAT DOES, THAT'S NOT THE MESSAGE THAT WE WANT TO SEND.

AND THAT'S THE CONCERN WE WANT TO HAVE. AND SO I JUST DIDN'T WANT US TO GET INTO A SITUATION WHERE WE WERE BICKERING OR APPEARING TO BE APPEARING, APPEARING BECAUSE WE'RE NOT APPEARING. BUT I MEAN, JUST WE WERE JUST APPEARING TO NOT BE ON THE SAME PAGE BECAUSE YOU NO LONGER WANTED TO FUND IT. SO NOW WE COME TO THE TOURS AND WE DON'T HAVE THE RESOURCES AS OF YET AS MUCH AS YOU GUYS HAVE. SO, I MEAN, I MEAN, YOU FUNDED IT BEFORE. WHY NOT FUND IT NOW? THAT'S THE THAT'S THE QUESTION THAT YOU'RE ASKING. WHOA, WHOA WHOA. HOLD ON Y'ALL. I GOT ON HERE. THERE WAS A A CLEAR LACK OF. INFORMATION PROVIDED TO THE EDC IN THE BEGINNING OF THIS PROCESS. AND SO WE WERE HESITANT WHEN WE CAME BACK AND HEARD PROBABLY VERY GOOD INFORMATION FROM THEM. BUT WE THE EDC, NOT ONE OF THESE BOARD MEMBERS HAD ANY INPUT OR

[01:40:08]

AND AND WE CERTAINLY DO NOT, IN MY OPINION, WANT TO IGNORE WHAT THEY BROUGHT TO US. BUT WE WERE UNAWARE OF ALL OF THE INFORMATION AND WE HAD NO REPRESENTATION AND WE DID NOT.

IT'S NO BIG THING. WE ALL KNOW. GIVE ME A SECOND. I'M GOING TO CALL YOU TO SPEAK. THAT'S OKAY.

GO. GO AHEAD AND GO FORWARD. BUT I'LL CALL ON YOU BECAUSE I DON'T WANT. I GOT OTHER PEOPLE IN THE AUDIENCE AND ANOTHER LIGHT ON ON THE ON THE ZOOM. SO I'M TRYING TO MAKE SURE EVERYBODY GETS THEIR TURN, BUT GO AHEAD. OKAY. IT'S NOT ABOUT BIGGERING. IT'S ALL ABOUT COMING TOGETHER AND WORKING TOGETHER. I THINK IT'S A GREAT PLAN. I THINK WE NEED MORE PEOPLE INVOLVED. THAT'S ALL WE'RE SAYING. WE DIDN'T KNOW ANYTHING ABOUT IT. WE FOUND OUT ABOUT IT AT THE END WHEN WE WHEN WE WHEN I LOOK AT THIS PLAN AND I'M SAYING EDC, EDC, EVERYTHING WAS EDC ON THIS, ON THIS PARTICULAR BROCHURE, EDC. AND I DON'T THINK IT'S FAIR FOR US TO BE RESPONSIBLE FOR THE WHOLE PROJECT. I THINK WE ALL SHOULD BE A PART OF THIS PROJECT. THAT'S ALL. WE'RE NOT SAYING WE WANT TO GET AWAY FROM IT. WE NEED TO COME TOGETHER AND CLARIFY AND MAKE SURE THAT WE WORK TOGETHER TO GET THIS DONE. NOBODY WANTS TO. I DON'T WANT TO GET AWAY FROM IT. ALL I'M SAYING IS THAT WE NEED TO FIND A WAY TO COME TOGETHER AND WORK TOGETHER AND HELP ALL ENTITIES INVOLVED, NOT JUST EDC. THAT'S ALL I'M SAYING. OH, I AGREE, THAT'S AWESOME. ALL RIGHT. COUNCILMEMBER, EVER FEEL YOU'VE BEEN WAITING A PRETTY LONG TIME? THANK YOU MAYOR. I WANTED TO OFFER SOME MORE INFORMATION REGARDING THE THE GROUP ONE AND ALSO A STAKEHOLDER THAT HAS NOT BEEN MENTIONED THAT WAS INITIALLY INVOLVED IN HOW IT STARTED. AND THAT WAS THE COMMUNITY RETAIL STRATEGIES HELPED US TO ORGANIZE AN OPPORTUNITY FOR CITIZENS TO COME OUT AND STATE CLEARLY WHAT THEIR INTERESTS WERE OF WHAT THEY WANTED TO SEE IN DOWNTOWN PORT ARTHUR. AND THEN RETAIL STRATEGIES HELPED THE COMMUNITY TO SEE HOW WHAT THEIR REQUESTS WERE AND HOW THEY ALIGN WITH THE CITY OF PORT ARTHUR'S DOWNTOWN REVITALIZATION PLAN. SO THIS WAS NOT JUST BROUGHT OUT OF THE AIR. IT WAS SPECIFICALLY MEANT TO HELP IMPLEMENT THE STRATEGIES THAT ARE IN THE CURRENT PORT ARTHUR DOWNTOWN REVITALIZATION PLAN. SO I AGREE THAT ALL OF THE ENTITIES SHOULD BE INVOLVED AND SHOULD BE ABLE TO COLLABORATE. THAT WAS NOT THE CASE PREVIOUSLY, BUT HAVING EVERYBODY AT THE TABLE, INCLUDING THE CITIZENS, I BELIEVE WILL HELP BE ABLE TO HELP MOVE THIS PROJECT FORWARD. ANOTHER THING, WHEN WE TALKED ABOUT FACELIFT TYPE OF PROJECTS, ALL OF THESE PROJECTS, LOW HANGING FRUIT WOULD NOT EVEN COST THE CITY OF PORT ARTHUR MUCH MONEY, PERIOD, BECAUSE THEY WERE DONE BY VOLUNTEERS. SO DURING THOSE COMMUNITY MEETINGS, VOLUNTEERS WERE GATHERED AND THEY WERE OFFERED THE OPPORTUNITY TO BE ABLE TO SAY, I'M WILLING TO PAINT A CROSSWALK, I'M WILLING TO DONATE A BENCH, I'M WILLING TO OFFER MURALS ON THE SIDE OF A BUILDING OR WINDOWS IN DOWNTOWN AND STORES DOWNTOWN. SO SOME OF THIS LOW HANGING FRUIT THAT WE THAT WE CAN USE TO BEGIN TO SEE BEAUTIFICATION IN DOWNTOWN PORT ARTHUR DOES NOT NECESSARILY COST MONEY OTHER THAN THE PAINT, WHICH I SPECIFICALLY HAD SOME OF THOSE CONVERSATIONS WITH CITY MANAGER. SO I JUST WANT TO BE CLEAR THAT, YES, THERE ARE SOME LARGER PROJECTS THAT WILL TAKE MORE COLLABORATION, BUT SOME OF THEM ARE LOW HANGING FRUIT OF BUSINESSES DOWNTOWN THAT HAVE ALREADY MADE COMMITMENTS AND VOLUNTEERS THAT ARE RESIDENTS OF THE CITY OF PORT ARTHUR, THAT HAVE ALREADY MADE COMMITMENTS SO THAT WE CAN HAVE CONTINUOUS BUY IN FROM THE COMMUNITY FOR THIS GROWTH. AND FOLLOWING THE CITY COUNCIL APPROVED DOWNTOWN REVITALIZATION PLAN. OKAY. THANK YOU. COUNCILMEMBER. I THINK I THINK WE KIND OF HAVE GREAT FOR YOUR COMMENTS. I THINK THOSE ARE GREAT THINGS FOR LOW HANGING FRUIT. BUT AGAIN, I THINK A MEETING WITH THEM, STRATEGIC RETAIL STRATEGIES WOULD HELP GIVE US A NEW DIRECTION. AND NOT KNOWING THE LOW HANGING FRUIT STARTING FROM THE BOTTOM, GOING TO THE TOP. AND WITH THE MEETING, WE CAN CLARIFY THAT WITH THEM AND THEN MAYBE COME BACK WITH SOMETHING ON THE AGENDA TO ADOPT OR MOVE FORWARD WITH THEIR WHAT THEY'VE STARTED ALREADY, WHICH IS THE SECOND PHASE OF THEIR CONSULTANT, BECAUSE THE CHURCH IS LOOKING FOR A CONSULTANT. WE DON'T WANT TO HAVE 4 OR 5 DIFFERENT CONSULTANTS. IF WE STARTED WITH THEM AND THEY'VE STARTED THE WORK, WE JUST REDIRECT THEM

[01:45:04]

I'VE INVESTED IN PORT ARTHUR RETAIL SINCE 1999, 1994 WHEN I GRADUATED RETAIL CLOTHING STORES. I CURRENTLY HAVE PHARMACIES HERE. NOW MY INTENTIONS ARE SIMPLY AS CO-CHAIR OF THE CHAMBER'S REAL ESTATE DEVELOPMENT COMMITTEE, I'M PERSONALLY INVESTED IN SEVERAL DOWNTOWN PROPERTIES, INCLUDING A LOCAL PARK DEVELOPMENT. THAT WAS MY PRESENTATION. I HEAR THE DESIRE FOR CONSOLIDATION AND SIMPLIFY YOUR CONSULTING ENGAGEMENTS.

THAT RESONATES WITH ME BEFORE THIS RENEWAL MOVES FORWARD, I LIKE TO KNOW, WILL THERE BE AN OPPORTUNITY FOR A COMPETITIVE RFP? AGAIN, I'M A CONSULTANT IN LINE WITH PETER ZEIHAN. THAT'S WHY I LANDED HERE WITH MY INVESTMENTS. I'D LIKE TO CONTRIBUTE TO YOU GUYS. I'M ACTIVELY ENGAGED. AND AGAIN, I HAVE THIS PROPERTY HERE. I'M LOOKING TO CONTRIBUTE AND WORK TO THE GREATER GOOD FOR THE CITIZENS OF PORT ARTHUR. THANK YOU. AND THE GROUP WILL DECIDE HOW THAT MOVES FORWARD AFTER THEIR MEETING. THANK YOU DEREK. OKAY. AT THIS TIME, I'M GOING TO ENTERTAIN A MOTION TO ADJOURN. SO Y'ALL WANT TO STAY? I THOUGHT WE HAD POSSIBLE ACTION ON THE I MISUNDERSTOOD THAT YEAH. WE JUST DECIDED THAT WE WOULD NOT HAVE THE POSSIBLE ACTION TODAY ON RETAIL STRATEGY. SECOND PHASE, WE WOULD MEET WITH THE PRESIDENT OF THE EDC AND MYSELF WILL MEET FIRST, AND THEN WE'LL COME BACK WITH AN ACTION ITEM AFTER THEY GET OUR DIRECTION. YES, MA'AM. THANK YOU, THANK YOU. I'M SORRY. YES. I DIDN'T GET A I DIDN'T GET A I BARELY GOT A MOTION, BUT I THINK THEY ALL WANT TO STAY HERE ANYWAY. I LIKE, I LIKE TO ENTERTAIN A MOTION TO ADJOURN THIS MEETING. SO MOVED SECOND. YEAH. OKAY. YEAH, I HEARD HIM, I GOT HIM, I GOT A MOTION AND A SECOND. ANY DISCUSSION? ALL IN FAVOR, SAY AYE. THE AYES HAVE IT. OUR MEETING HAS BEEN ADJOURNED AT 12:02 P.M. ON

* This transcript was compiled from uncorrected Closed Captioning.