Meeting Minutes from Tuesday, September 25, 2007

NEDERLAND ECONOMIC DEVELOPMENT CORPORATION

Minutes
September 25, 2007

MEETING

A meeting of the Nederland Economic Development Corporation was called to order at 5:30 p.m. at the Nederland Economic Development Corporation Office, 1903 Atlanta Avenue, by President Larry Ducharme.

QUORUM

Board members present: Larry Ducharme, Mike Guidry, Billy Neal, and Bert Rogers. Absent: Dick Nugent, Nick Phillips. Others present: Jim Wimberley, NEDC Attorney; Tracie Killian, Executive Director and Marlinda Eastberg, Secretary, NEDC. Guest present was Shanna Ferro, doing business as The Candle Cottage.

MINUTES

A motion was made by Bert Rogers and seconded by Mike Guidry to approve the minutes of August 20, 2007. Motion carried. Ayes: Ducharme, Guidry, Neal and Rogers. Noes: None Absent: Nugent and Phillips

RESIGNATION

Tracie Killian reported that Paul Baker resigned from the Board of Directors due to personal reasons.

ELECTION OF OFFICERS

After a brief discussion Mike Guidry requested that the election of officers be postponed until the next meeting due to only a quorum present.

PUBLIC HEARING

The regular meeting was recessed at 5:35 p.m. by President Ducharme for the purpose of conducting a public hearing regarding the potential expenditure of funds for an economic development to Shanna Ferro, doing business as The Candle Cottage for the new construction of a retail candle shop to be located at the corner of Boston Avenue and 13th Street, Nederland, Texas.

Mrs. Tracie Killian introduced Ms. Shanna Ferro, owner of the Candle Cottage. Ms. Ferro reported she started the business in 1998 in her garage and moved the business to it's current location on Boston Avenue in 2001. Ms. Ferro stated that she sells a unique one of a kind candle as well as gift baskets, soaps and many more unique gift items. Currently the business operates in approximately three thousand square feet that includes her show room, offices, and manufacturing area. She plans to build a six thousand square foot building on the property owned by the Nederland EDC so that she can expand all the areas. She is working with Steve Gentile, Gentile Construction on the building. Kasey Taylor, Small Business Development Center, Port Arthur worked with Ms. Ferro on her business plan. Ms. Ferro expressed her appreciation to Kasey Taylor and Tracie Killian for their help through the incentive process.

A discussion was held regarding the location of the property where Ms. Ferro is planning to build. With no more questions and/or comments, President Ducharme adjourned the Public Hearing at. 5:40 p.m.

THE CANDLE COTTAGE

Mrs. Killian reported that the Impact Analysis Committee (IAC) has met and recommended that the NEDC approve an expenditure of funds not to exceed thirty-three thousand dollars and no/100 ($33,000.00) with a payback period of 3.1 years to Shanna Ferro, doing business as The Candle Cottage for the new construction of a retail candle shop to be located at the corner of Boston Avenue and 13th Street Nederland, Texas.

A motion was made by Mike Guidry and seconded by Billy Neal to approve the expenditure of funds, not to exceed thirty-three thousand dollars and no/100 ($33,000.00) with a payback period of 3.1 years (37 months) to Shanna Ferro, doing business as The Candle Cottage for the construction of a retail candle shop to be located at the corner of Boston Avenue and 13th Street, Nederland, Texas, contingent upon the proper financial statements released and projected numbers met through the recovery period and the purchase of Lots 4, 5, 6, 7, and 8, Block 12, Nederland Addition from the Nederland EDC. Motion carried. Ayes: Ducharme, Guidry, Neal and Rogers. Noes: None Absent: Nugent and Phillips

NEDERLAND CHAMBER LIGHTING COMMITTEE

Ms. Wanda Hollier, Chairman of the Nederland Chamber Lighting Committee reported that there was a large amount of damage to the electrical service in Tex Ritter Park due to Hurricane Rita. For this reason the Lighting Committee is requesting funds to repair as well as add electrical receptacles to be used for decorating the park at Christmas time as well as other activities. Ms. Hollier reported that Tex Ritter Park is a major part of the downtown area that draws visitors at Christmas time.

Ms. Hollier explained the work will be done in three phases. Phase I will cost six thousand four hundred eighty four dollars and no/100 ($6,484.00). This phase will be paid for by the City of Nederland. Phase II will cost three thousand six hundred sixty eight dollars and no/100 ($3,668.00), and this phase will be paid for by the Nederland Heritage Festival. Phase III will cost six thousand five hundred twenty six dollars and no/100 ($6,526.00) and the Nederland Chamber Lighting Committee is asking for help with this part of the project.

A motion was made by Bert Rogers and seconded by Mike Guidry to give the Nederland Chamber Lighting Committee six thousand five hundred twenty six dollars and no/100 ($6,526.00) for electrical repairs in Tex Ritter Park due to Hurricane Rita and additional electrical receptacles which will allow for future community projects. Motion carried. Ayes: Ducharme, Guidry, Neal and Rogers. Noes: None Absent: Nugent, Phillips.

LAWN EQUIPMENT

Ms. Killian presented the Board with a request from Chief Darrell Bush of the Nederland Police Department for lawn equipment in the amount of two thousand three hundred forty five dollars and 98/100 ($2,345.98) to be used by the Prisoner Work Release Program for the maintenance of various properties within the city limits of Nederland. A discussion was held concerning two (2) previous incentives given to the Prisoner Work Release Program for equipment.

A motion was made by Mike Guidry and seconded by Bert Rogers to pay for lawn equipment in the amount of two thousand three hundred forty five dollars and 98/100 ($2,345.98) to be used by the Prisoner Work Release Program for maintenance of various properties within the city limits of Nederland. Motion carried. Ayes: Ducharme, Guidry, Neal and Rogers. Noes: None Absent: Nugent and Phillips.

PRESENTATION

MMs. Tracie Killian presented a plaque to retiring board member Larry Ducharme for the six (6) years of dedicated service he provided to the NEDC Board of Directors.

FINANCIAL REPORTS

The board reviewed the income and expenses for the NEDC ending August 31, 2007.

EXECUTIVE SESSION

The regular meeting was recessed at 6:15 p.m. by President Larry Ducharme for the purpose of conducting an Executive Session as authorized by the Texas Government Code, Chapter 551.087, to discuss the offer of an incentive to a business prospect; Texas Government Code, Chapter 551.071 to discuss litigation and/or legal advise; and Texas Government Code, Chapter 551.072, to discuss acquisition, exchange, and/or release of property.

RECONVENE

The regular meeting was reconvened by President Larry Ducharme at 7:10 p.m. President Larry Ducharme announced no action is needed on Texas Government Code, Chapter 551.087, to discuss the offer of an incentive to a business prospect; of Texas Government Code, Chapter 551.071 to discuss litigation and/or legal advise.

President Larry Ducharme announced that the following action is needed on Texas Government Code, Chapter 551.072, to discuss acquisition, exchange, and/or release of property.

Motion made by Bert Rogers and seconded by Mike Guidry to approve Resolution 2007-01 attached hereto, the sale of Lots 4, 5, 6, 7 and 8, Block 12, Nederland Addition to Shanna Ferro, doing business as The Candle Cottage for thirty eight thousand three hundred twenty five dollars and no/100 ($38,325.00) for the new construction of a retail candle shop. Motion carried. Ayes: Ducharme, Guidry, Neal and Rogers. Noes: None Absent: Nugent and Phillips.

COMMUNICATION

Tracie Killian presented the Board with a written Executive Director's Report with each item detailing activities of the NEDC office since the last board meeting.

Ms. Killian made the following announcements and encouraged all board members to attend:

Nederland Chamber of Commerce Annual Golf Tournament - October 12, 2007, 10:30 a.m. registration at Belle Oaks Golf Course.

Team City Nederland Strategic Planning Meeting - October 11, 2007, 11:30 a.m. to 1:00 p.m. at the Nederland EDC office. Lunch will be served.

ADJOURN

There being no further business, a motion was made by Bert Rogers and seconded by Mike Guidry that the meeting be adjourned at 7:15 p.m. Motion carried. Ayes: Ducharme, Guidry, Neal and Rogers. Noes: None Absent: Nugent and Phillips

END Meeting Minutes from Tuesday, September 25, 2007