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HomeMy WebLinkAbout2016 LEDC minutesLansing Economic Development Corporation Board of Director's Meeting Minutes Friday, January 8, 2016 8:00 a.m. LEAP Office- Executive Boardroom 100 S Washington Avenue, Suite #201 Lansing, MI 48910 Members Present: Members Absent: Temp Members Present: Staff Present: Guests: Public Present: Recorded by: Pierre LaVoie, Calvin Jones, Blake Johnson, Andrea Ragan, Baldomero Garcia, Mayor Bernero James Butler, Kimberly Coleman,Kevin O'Malley None Karl Dorshimer, Marchelle Smith, Gabriela Allum None None = Tedi R. Parsons, LEAP Call to Order Chair LaVoie welcomed everyone and called the meeting to order at 8:04 a.m".­ , Approval of LEDC Meeting Minutes - Friday, December 11, 2015 Motion: Jones moved to approve the meeting minutes from the Friday, December 11, 2015 LEDC Board of Director's meeting. Motion seconded by Garcia. Yeas: Unanimous. Motion carried. Financial Statements - Period Ending November 30, 2015 Smith provided an overview of the LEDC Financial Statements, period ending November 30, 2015. Smith provided an overview of the LEDC Balance Sheet and Profit and Loss Statement. Discussion ensued. Motion: Ragan moved to accept the LEDC Financial Statements, period ending November 30, 2015 as presented and place on file. Motion seconded by Johnson. Yeas: Unanimous. Motion carried. UDAG Report - Period Ending November 30, 2015 Smith provided an overview/update on the UDAG funds for the period ending November 30, 2015. Dorshimer noted that there are currently loan monies available and there may be a new company who will be utilizing funding in the near future. Dorshimer provided a brief history of the loans provided through the UDAG funds. Discussion ensued. 1 Update on Projects Dorshimer provided an update on the following projects: ® LEAP working on a media/marketing campaign that will let the public and visitors to the Lansing area know of all the great projects taking place in the region. Some of these projects include: ® SkyVue ® Arcadia Ale m East Town Flats ® South Edge Lofts ® Snethkamp Jeep Chrysler ® Feldman Bud Kouts ® Oliver Towers ® Broadcaster Association -Ottawa Butler Other Business None. Public Comment None. Adjournment There being no further business, Chair Jones declared the meeting adjourned at 8:23 a.m. L Karl Dorshimer, Director of Economic Development Lansing Economic Area Partnership (LEAP) 2 Lansing Economic Development Corporation Board of Director's Meeting Minutes Friday, February 5, 2016 8:00 a.m. LEAP Office- Executive Boardroom 100 S Washington Avenue, Suite #201 Lansing, MI 48910 Members Present: Pierre LaVoie, James Butler Calvin Jones, Kimberly Coleman, Blake Johnson, Andrea Ragan, Baldomero Garcia Members Absent: Mayor Bernero, Kevin O'Malley Temp Members Present: None Staff Present: Karl Dorshimer, Marchelle Smith, Gabriela AtlumY__ Tony Willis Guests: Joe Carr, 3D Printing Consultant Public Present: None Recorded by: Tedi R. Parsons, LEAP Call to Order r" _ Chair LaVoie welcomed everyone and called the meeting to order at 8:02 a.m. Approval of LEDC Meeting Minutes - Friday, January 8, 2016 Motion: Ragan moved to approve the LEDC meeting minutes from the Friday, January 8, 2016 LEDC Board of Director's meeting. Motion seconded by Jones. Yeas: Unanimous. Motion carried. Entrepreneur Institute Report -Out & Request of Extension of Loan Guarantee Dorshimer reintroduced Denise Peek, Entrepreneur Institute, and provided the LEDC board with a brief background of the loan guarantee provided to Peek in the past. Peek provided an overview of the Entrepreneur Institute noting that she operates with a staff of 1 V2 and the average loan for the year was $18,000. Peek provided a handout with an overview of loans for FY 2015. She noted that the goal is to get to 7 loans approved in 2016. Additionally, she noted that the goal of this program is to get the borrowers `bankable'. Dorshimer noted that the loan guarantees only applies to those loans issued in the City of Lansing. Johnson inquired what type of loans are generally provided. Peek noted that a recent load was to Cravings Popcorn for their new store in downtown Lansing. Motion: Jones moved to approve renewal of the Loan Guarantee to the Entrepreneur Institute. Motion seconded by Butler. Yeas: Unanimous. Motion carried. 71 r"_,_ ;n 3D Printer (Update) Dorshimer provided a history of the 3D Objet printer owned by the LEDC. He introduced Tony Willis, LEAP and Joe Carr, Consultant. Willis provided an update on the 3D printing projects taking place (handout provided with overview of activities from February 2015 to present). The 3D Objet printer generated $1,762.19 in 2015. Willis noted on the expense side, LEAP has a contract with Carr, who provides the design and actual printing (along with any clean-up of products and delivery). Willis advised that there were several issues with the Objet Printer (fan over -heating and material hardening), with printer being repaired at the cost of $350.00. Overall costs of expenses came in at $2,225.00. Looking at securing additional funding through other sources. Willis provided an overview of the updated License Agreement between LEAP and the LEDC. Discussion ensued over leasing options, sale of the 3D printer and/or look at purchasing a new one. Willis noted that as a reminder, the 3D printing service is a value -add to the LEDC and region. Motion: Garcia moved to accept the renewal of the 3D Printer License Agreement between LEAP and the LEDC as presented and place on file. Motion seconded by Coleman. Yeas: Unanimous. Motion carried. Financial Statements - Period Ending December 31, 2015 Smith provided an overview of the LEDC Financial Statements, period ending December 31, 2015. Smith provided an overview of the LEDC Balance Sheet and Profit and Loss Statement. Discussion ensued. Smith noted that she will be working on the LEDC 2016-2017 Budget earlier this year and will be bringing a draft version to the next meeting in March 2016. Motion: Johnson moved to accept the LEDC Financial Statements, period ending December 31, 2015 as presented and place on file. Motion seconded by Jones. Yeas: Unanimous. Motion carried. UDAG Report - Period Ending December 31, 2015 Smith provided an overview/update on the UDAG funds for the period ending December 31, 2015. She noted that there was no significant changes to note at this time. Update on Projects Dorshimer provided an update on the following projects: 2 - YMCA Project: Informed the LEDC Board of Directors that this loan received from EPA funds is in default and the developer has been put on notice. - Downtown Casino: This project continues to move forward very slowly. Will provide updates as they become available. - Radisson Hotel (downtown Lansing): The LEDC has received this year's payment. Noted that there is only one more scheduled payment for next -year and the LEDC needs to begin planning now for the future loss of this revenue. Other Business EB5 Regional Board Designation: Chair LaVoie provided an update on the Lansing Regional EBS Program, advising that he recently had a conversation with Steve Willobee (LEAP), regarding the EBS board seat currently held by Jones. Discussion ensued over keeping Jones on the Lansing Regional EB5 Board of Directors through the remainder of 2016. All agreed this would be appropriate. EDC Authorized Signers: Smith advised that she is in the process of updating the paperwork for the bank, which would allow for the changing the signatory authorization for all EDC checks and documents. Coleman advised that in keeping with Roberts Rules of Order, the Chair, Vice -Chair and' Treasurer would be appropriate signers. Discussion ensued. Motion: Jones moved to accept that signatories for the LEDC/LBRA/TINA are as presented: Chair, Vice -Chair, and Treasurer. Motion seconded by Coleman. Yeas: Unanimous. Motion carried. Public Comment None. Adjournment There being no further business, Chair LaVoie declared the meeting adjourned at 9:09 a.m. I arl Dorshimer, Director of Economic Development Lansing Economic Area Partnership (LEAP) 3 Lansing Economic Development Corporation Board of Director's Meeting Minutes Friday, April 1, 2016 8:00 a.m. LEAP Office- Executive Boardroom 100 S Washington Avenue, Suite #201 LansinE,. MI 48910 Members Present: Members Absent: Temp Members Present: Staff Present: Guests: Public Present: Recorded by: Call to Order Andrea Ragan, Blake Johnson, Calvin Jones Kimberly Coleman, Mayor Virg Bernero:r C__ Pierre LaVoie, James Butler, Kevin O'Malley, W Baldomero Garcia C--) Cn None _ Karl Dorshimer, Marchelle Smith, Gabriela Ali49 Tony Willis r" Angela Bennett, City of Lansing_ Ul Harold Leeman Tedi R. Parsons, LEAP Secretary Ragan welcomed everyone and called the meeting to order at 8:02 a.m. Approval of LEDC Meeting Minutes - Friday, February 5, 2016 Motion: Coleman moved to approve the LEDC meeting minutes from the Friday, February 5, 2016 LEDC Board of Director's meeting. Motion seconded by Johnson. Yeas: Unanimous. Motion carried. Financial Statements - Period Ending February 29, 2016 Smith provided an overview of the LEDC Financial Statements, period ending February 29, 2016. She noted that there is new language that is included on financial statements that are required, as advised by the LEDC CPA (Warmels-Comstock). Motion: Coleman moved to accept the LEDC Financial Statements, period ending February 29, 2016, as presented and place on file. Motion seconded by Johnson. Yeas: Unanimous. Motion carried. Following a short -break, the LEDC meeting was called back to order at 9:14 a.m. UDAG Report - Period Ending February 29, 2016 Smith provided an overview/update on the UDAG funds for the period ending February 29, 2016. She noted that Entrepreneur Institute of Mid -Michigan is now included on the UDAG Report. 1 Jones inquired if any LEDC Board Member or LEAP staff are currently on the Entrepreneur Institute of Mid -Michigan's board. Discussion ensued over the appointment of a member to this board. Discussion ensued. Approval of 2016 - 2017 LEDC Budget Dorshimer introduced the 2016-2017 LEDC Budget for approval. He provided the following points of discussion: • Overview of the LEDC Proposed Budget Comparison (Projected vs Actual) • Noted that there is one more payment potentially coming from Radisson Hotel (to be received in 2017) • Overview of Issuance Fees and Arts & Culture Revenues • 2016-2017 Business Incubator is now a standalone budget item (balance of approximately $120,000) • Adding at temporary position for The Runway that will be included in this budget, which will be funded by using the fund balance • $25,000 MEDC Grant Funds were transferred to assist with The Runway operations • Overview of General Operating and Business Incubator Expenditures • Total Expenses: $680,603 • Two new budget categories: Intern Salaries and 3D Printing services Motion: Jones moved to approve and accept the LEDC 2016 - 2017 Budget as presented. Motion seconded by Johnson. Yeas: Unanimous. Motion carried. The Runway (Update) Dorshimer introduced Tony Willis, Director, LEAP, New Economy Division (NED) who provided an update on The Runway noting the recent departure of Quin Stinchfield who resigned in March 2016. He advised that they are in in the process of hiring someone (Startup Innovation Manager] to oversee the operations of The Runway, noted that this individual will be employed by LEAP. Willis noted that they (LEAP and LEDC) recently had a meeting with the current tenants to discuss the needs and issues at The Runway. Discussion ensued. Update on Projects Dorshimer provided an update on the following projects: - South Edge Lofts - Recent approval by the LBRA Board for Brownfield #64 , was approved by Lansing City Council on Monday, March 28, 2016 - Potter Flats - Recent approval of Brownfiled Plan #65, which will be presented to Lansing City Council on April 11, 2016 - East Town Lofts - This Scott Gillespie project continues to move forward and he hopes to break ground soon. - Snethkamp - Continue to work with them (Brownfield Plan #46-C), as they move forward on this redevelopment project. They have completed the expansion of one building and are hoping to have a new building up soon. OA - SkyVue - This large scale project is well under way and much progress has been made. - Red Cedar - This large scale project has seen some development, the trees have been removed and - Dr. Saboury - This project was not approved by Lansing City Council (Monday, March 28, 2016), but Dr. Saboury continues to trove forward, working with MSHDA. Mayor Bernero noted that this project has more to do with market rates versus affordable housing and compromising decisions are being made on these types of projects. Ragan noted that affordable housing does not only have to do with economic status. - Knapps Building - The empty space on the lower level may soon see a new tenant. LEAP has been working closely with a company that is hoping to move into this vacant space. Other Business None. Public Comment None. Adjournment There being no further business, Vice -Chair Butler declared the meeting adjourned at 9:33 a.m. Karl Dorshimer, Director of Economic Development Lansing Economic Area Partnership (LEAP) 3 Lansing Economic Development Corporation Board of Director's Meeting Minutes Friday, October 7, 2016 8:00 a.m. The Runway @ Knapp's Center 300 S Washington Avenue, Suite #100 Lansing, MI 48933 Members Present: Pierre LaVoie, Andrea Ragan, Calvin JoncT a Baldomero Garcia, Blake Johnson Members Absent: Mayor Virg Bernero, Kimberly Coleman, James Butler III-_ C-) Temp Members Present: None Staff Present: Karl Dorshimer, Joe Carr, Tony Willis -11E-n y n Guests: Steven Owen, Foster Swift PC C Public Present: None Recorded by: Tedi R. Parsons, LEAP Call to Order Chair LaVoie welcomed everyone and called the meeting to order at 9:00 a.m. Parsons conducted roll call. Chair LaVoie introduced Joe Carr, Startup Innovation Manager, who provided a welcome to the LEDC Board of Directors. Car presented a video produced for a SBA grant and provided an update of The Runway, noting the following: • Introduced the new/update Runway Handbook • Provided an update/status on past and current Runway tenants • Provided an overview of upcoming events (Arts Night Out, Belle Rowe Fashion Show & Runway Soiree) • New product placement consultant relationship established by Meleena Herring • Continues to work closely with LCC on programming/ events • Overview of the Thursday, October 20, 2016 Runway Anniversary and Fashion Show event Approval of LEDC Meeting Minutes - Friday, August 5, 2016 Motion: Jones moved to approve the LEDC meeting minutes from the Friday, August 5, 2016 LEDC Board of Director's meeting. Motion seconded by Garcia. Yeas: Unanimous. Motion carried. 1 LEDC Financial Statements - Period Ending August 31, 2016 Smith provided an overview of the LEDC Financial Statements, period ending August 31, 2016. She noted that the financials remain solid and CBRE I Martin is doing a great job managing the rent for the tenants. Motion: Johnson moved to accept the LEDC Financial Statements, period ending August 31, 2016, as presented and place on file. Motion seconded by Garcia. Yeas: Unanimous. Motion carried. Resolution to Amend the 2016-2017 LEDC Budget Dorshimer presented a Resolution to amend the 2016-2017 LEDC Budget. He advised this was necessary to adjust the reimbursement of hours paid for the intern at The Runway ($6,000 increase to the budget through June 30, 2016). Discussion ensued. Motion: Jones moved to accept and approve the Resolution to adjust the 2016-2017 LEDC Budget as presented. Motion seconded by Johnson. Yeas: Unanimous. Motion carried. UDAG Report - Period Ending August 31, 2016 Smith provided an overview/update on the UDAG funds for the period ending August 31, 2016. She noted a change ($10,000) which will be an overage from the Runway Committed funds. LEDC Loan Committee (Update on Mobieus Technologies) Chair LaVoie provided an update on a recent meeting the LEDC Loan Committee had (Friday, September 30, 2016), to discuss the loan extension for Mobieus Technologies. Owen provided an overview of the history of the loan, advising that they [Mobieus Technologies] have been honoring their payments over the duration of the loan. Loan Committee is suggesting the LEDC Board approve the 3 -year loan extension (owing $87,000) to Mobieus Technologies. Ragan provided an update on currently working with Mobieus on their current talent needs. Willis provided information on offering assistance to Mobieus through the services offered through the NED. Discussion ensued. Motion: Johnson moved to accept and approve the Resolution to adjust the 2016-2017 LEDC Budget as presented. Motion seconded by Jones. Yeas: Unanimous. Motion carried. 2 Update on Projects Dorshimer provided an update on the following projects: • Outfield Project - Recently won two IEDC awards at the IEDC Annual Conference, in Cleveland, OH (September 2016). 9 Fluid Chillers - Update on their new expansion, which will bring new high-tech jobs to the region. Currently working on a Brownfield Plan for Fluid Chillers. ® Radisson Hotel - Not much to report, but they are still on target to pay their $100,000 payment on/or before December 31, 2016. ® SkyVue - Provided update on this large scale project. Noted this project prompted the Transparency Ordinance that is currently being developed by Lansing City Council. Other Business Dorshimer provided an update on the LEDC website, pursuant to Ragan's request at the September 6, 2016 LEDC meeting. He advised this is on -hold until the new LEAP Marketing & Communications Manager is hired. Dorshimer announced that City Council is slated to approve and appoint the newest LEDC Board Member: Shelley Davis-Mielock. This appointment will take place at the Lansing City Council Meeting on Monday, October 10, 2016. Public Comment None. Adjournment There being no further business, Chair LaVoie declared the meeting adjourned at 10:00 a.m. Karl,Dorshimer, Director of Economic Development Lansing Economic Area Partnership (LEAP) 3 Lansing Economic Development Corporation Board of Director's Meeting The View Cooley Law/Lugnuts Stadium The View 505 E Michigan Avenue, Lansing, Michigan 48912 Friday, November 4, 2016 -- 8:30 AM Members Present: Pierre LaVoie, Andrea Ragan, Calvin Jones, Baldomero Garcia, Blake Johnson, Kimberly Coleman, James Butler, Shelley Mielock `= Members Absent: Mayor Virg Bernero �=7 � .J Temp Members Present: None rrj i.:=; _ (7) Staff Present: Karl Dorshimer, Marchelle Smith <-; Guests: Nick Grueser, Lansing Lugnuts -� Public Present: Ian Hawley Recorded by: Tedi R. Parsons, LEAP Fri C-n� Call to Order Chair LaVoie welcomed everyone and called the meeting to order at 8:37 a.m. Parsons conducted roll call. \Chair LaVoie introduced Nick Grueser, General Manager of the Lansing Lugnuts, who provided a welcome message to the LEDC Board of Directors. Welcome of New LEDC Board Member: Shelley Mielock Chair LaVoie introduced Shelley Mielock, the LEDC's newest board member. He noted Mielock was vetted by Lansing City Council on Monday, October 10, 2016. History of the Lugnuts & Ballpark (Presentation) Dorshimer provided a presentation of the history of the Lansing Lugnuts and the ballpark. The following was noted during his presentation: • In 1994 the City of Lansing, Michigan with the help of the LEDC purchased the property on Michigan Avenue and cleared a blighted red- light district in downtown Lansing, borrowed $12 million and with help from local businesses, built Oldsmobile Stadium. • The 10,000 seat stadium was an instant success attracting millions of people to downtown. The stadium provided hope and signaled the beginning of the reversal of many years of decline in downtown Lansing. 1 • The Lugnuts 20 year lease was nearing its end and the team wanted the stadium to be upgraded. A study was conducted by an outside consultant and it was determined the City was facing a potential cost of $13.5 million to upgrade the current stadium. • The Lansing Economic. Development Corporation (LEDC), LEAP and the City explored various options to finance the ballpark improvements. The idea was conceived to encourage private development to take place in or next to the stadium, thus generating new taxes to help pay for the needed stadium improvements. • Several developers where approached to partner with and ultimately the Gillespie Group was chosen who quickly identified that the existing part of the stadium outfield was the best place to develop. • Construction began in early 2014 on the public improvements and in early spring of 2015 the private portion of the project began. Immediately after the end of the 2015 baseball season, Outfield construction went into high gear and the project was completed just prior to this year's 2016 baseball season. Approval of LEDC Meeting Minutes - Friday, October 7, 2016 Motion: Garcia moved to approve the LEDC meeting minutes from the Friday, October 7, 2016 LEDC Board of Director's meeting. Motion seconded by Ragan. Yeas: Unanimous. Motion carried. LEDC Financial Statements - Period Ending September 30, 2016 Dorshimer provided an update on the Lansing City Garage site, noting the LEDC assisted in funding the demolition, clean-up and redevelopment of the former garage site into a parking lot. He said this lot is currently leased out for $15,000, per year to the developer (Gillespie Group) and payments have been received with the next annual payment to be made in May 2017. Dorshimer also provided an update on the current status of an EDC loan previously made to the Christman Company for environmental work performed on the Ottawa Street Power Station project. Smith provided an overview of the LEDC Financial Statements, period ending September 30, 2016. She noted that there will be eight -years of payments for $36,000 that will come to the EDC and in return they [EDC} will make these payable to the Brownfield Authority. She advise that the EDC is guaranteeing this loan. Dorshimer noted that the LEDC audit overview will take place at the December 2016 board meeting. He provided an update on the Radisson Hotel payment noting the `non -compete' agreement based on annual payments, is in effect until January 2017, when the final payment is due. If this payment is not received, the LEDC will need to look at next -steps. 0 Motion: Johnson moved to accept the LEDC Financial Statements, period ending September 30, 2016, as presented and place on file. Motion seconded by Butler. Yeas: Unanimous. Motion carried. Smith provided an overview/update on the UDAG hinds for the period ending September 30, 2016. 2017 LEDC Board Election - Appointment of Subcommittee Chair LaVoie advised that the 2017 LEDC Board. of Directors election is coining -up, taking place on Friday, January 6, 2017. He advised that the election process calls for a subcommittee and inquired who from the board would like to chair and serve on the committee. Secretary Ragan will serve as the Chair for the 2017 Nomination Committee. Update on Projects None. Other Business None. Public Comment None. Adjournment There being no further business, Chair LaVoie declared the meeting adjourned at 9:25 a.m. Karl Dorshimer, Director of Economic Development Lansing Economic Area Partnership (LEAP) 3