2016 07 14 MDD MinutesMINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS
OF THE BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT
July 14, 2016
The Board of Directors of the Baytown Municipal Development District (MDD) met in a
Regular Meeting on Thursday, July 14, 2016, at 4:33 P.M., in the Council Chamber of the
Baytown City Hall, 2401 Market Street, Baytown, Texas with the following in attendance:
Stephen DonCarlos
President
Chris Presley
Vice President
Reggie Brewer
Secretary
Gary Englert
Director
Mary Hernandez
Director
David McCartney
Director
Mercedes Renteria
Director
Rick Davis General Manager
Ignacio Ramirez, Sr. General Counsel
Leticia Brysch Assistant Secretary
President DonCarlos convened the July 14, 2016, Municipal Development District (MDD) Board
Regular Meeting with a quorum present at 4:33 P.M., all members were present with the
exception of Director Renteria who arrived at 4:59 P.M., and Directors Capetillo, Hoskins,
Jirrels, and Sain who were all absent.
1. MINUTES
a. Consider approving the minutes of the Municipal Development District Board
Special Meeting held on April 26, 2016.
A motion was made by Director David McCartney and seconded by Secretary Reggie Brewer
approving the April 26, 2016, MDD Board Special Meeting minutes. The vote was as follows:
Ayes: Secretary Reggie Brewer, President Stephen H. DonCarlos, Director Gary
Englert, Director Mary Hernandez, Director David McCartney, Vice -
President Chris Presley
Nays: None
Other: Director Brandon Capetillo (Absent), Director Robert C. Hoskins
(Absent), Director David P. Jirrels (Absent), Director Mercedes Renteria
III (Not Present for Vote), Director Terry Sain (Absent)
Approved
MDD Board Regular Meeting Minutes
July 14, 2016
Page 2 of 6
b. Consider approving the minutes of the Municipal Development District Board
Special Meeting held on May 12, 2016.
A motion was made by Secretary Reggie Brewer and seconded by Director Mary Hernandez
approving the May 12, 2016, MDD Board Special Meeting minutes. The vote was as follows:
Ayes: Secretary Reggie Brewer, President Stephen H. DonCarlos, Director Gary
Englert, Director Mary Hernandez, Director David McCartney, Vice -
President Chris Presley
Nays: None
Other: Director Brandon Capetillo (Absent), Director Robert C. Hoskins
(Absent), Director David P. Jirrels (Absent), Director Mercedes Renteria
III (Not Present for Vote), Director Terry Sain (Absent)
Approved
2. DISCUSSIONS
a. Discuss the Baytown Municipal Development District's 2016 -17 Proposed Budget
and budget process.
General Manager Davis presented the agenda item and stated that the overall anticipated revenue
is $6.6 million, which is a 2.5% increase of the current year projections. He stated that the
expenditures are focused primarily on economic development projects, parks projects and
infrastructure, and project administration which includes: the development of new and expansion
of existing businesses and industry ($150,000); Economic Development Foundation ($250,000);
Economic Incentives -San Jacinto Mall ($500,000); Economic Incentives $(150,000); Property
Acquisition for Economic Development ($100,000); Development Director ($180,000);
Northeast Wastewater Treatment Plant (NEWWTP) -Debt Service ($743,890); Baytown Sports
League Improvements ($50,000); Aquatic Facilities -Debt Service for Pirates Bay ($434,138);
Pirates Bay Waterpark Expansion -Debt Service ($376,529); Aqua Loop at Pirates Bay
($250,000); Towns Square Ice Rink Operations ($50,000); Goose Creek Trail Phase VI
($205,000); Travis Park Playground ($50,000); Jenkins Park & Wayne Gray Restroom
($330,000); Goose Creek Stream Clean Up ($20,000); New Service Center ($650,000);
Evergreen Clubhouse Remodeling ($500,000); Evergreen Park Land ($425,000); Evergreen Park
Development ($165,000); Paint bridge overpass throughout the City ($50,000; Project
Administration and Overhead $300,000; and Unforeseen Projects and New Initiatives
($1,375,000).
General Manager Davis provided details of some of the projected expenditures and stated that
the $150,000 incentive for HEB is the first of a ten year maximum payment of the approved total
amount of $2.7 million incentive for the HEB project. He further noted that MDD's contribution
for the ten year maximum may not need to be made if the $2.7 million is paid early.
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July 14, 2016
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General Manager Davis stated that the development director is a position for the City of
Baytown and it does not replace the EDF personnel, but rather augments economic development
capabilities. He stated that the role of the development director will be to have full authority over
all of the entire development process that will inspire and encourage private investment in the
community. He stated that the base salary of $125,000 and other benefits are associated with the
funding total of the development director. During further discussion, Director Presley stated that
typically a degree of independence is crucial in this role and someone in the prime of their
career seeking to climb the ladder typically is not the best suited for this role; therefore,
he inquired if particular attention will be considered to the individual, as well as, the position to
be certain that the City's need is met. General Manager Davis stated that the recruitment is to
hire the person that's right for the organization, that's at the right organizational level to speak
with authority, and that has the capacity and experience to bridge the gap between the investors
and the City. Director Presley further inquired if Council or MDD would have confirmation of
the individual for this position or if it's strictly an administrative decision on the hire. In an effort
to address Director Presley's inquiry, General Manager Davis stated that as with all positions,
this will be brought before the board and he'd keep the board informed of a decision, in which
currently there's no one in mind. Director Brewer inquired if the person hired would come from a
professional whose qualifications are specific to the job or will someone from inside be moved
up to this position. General Manager Davis stated that the individual person would likely come
from the outside with experience in both development and administration of policies on the city
level and that the position would reside in the administration office. Director Brewer further
inquired if the employee would be that of the MDD or the City. General Manager Davis stated
that MDD would fund the entire salary for this particular position, which will be an executive
level position in alignment with other directors of the City of Baytown. Director Presley inquired
if there'd be other duties assigned to this employee. General Manager Davis stated that this
position will have authority over a variety of things. Mayor DonCarlos inquired if this position
will have supervisory authority over any staff. General Manager Davis stated that no staff will be
under the authority of this staff person at this time. Additionally, General Manager Davis stated
that one of the recommendations of the completed audit of the development process is to install a
position such as this one.
During further discussion and in regards to the Aqua Loop, Director of Parks and Recreation,
Scott Johnson stated that the original design was going to be a double aqua loop, but since then
has changed. He stated that the design chosen actually has three (3) slides and although it will be
designed to accommodate all three (3) slides, only two will be built at this time. He stated that
there's approximately $2.5 million in aquatic funds that will be used and the $250,000 from
MDD will assist with this project. Mr. Johnson further stated that to add the third slide would
costs approximately $700,000.
General Manager Davis noted that the $50,000 for the Towns Square Ice Rink is an annual
commitment for the chiller and other equipment necessary to operate the ice rink. He stated that
due to the significant increase on costs of concrete, additional funding is being requested from
MDD for the completion of Phase V and for Phase VI of the Goose Creek Trail which will
connect Bush Terrace Park to the Animal Control Facility under Hwy 146, as well as, the
pedestrian crossing at Decker. He further noted that once the trail is complete it will connect
Bayland Island to Baker at Hutto which is the entire length of the trail.
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July 14, 2016
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During further discussion, General Manager Davis stated that the funding cost for Travis Park
includes the installation of special needs playground equipment for the park. He stated that this
project is funded through the partnership with the Goose Creek school district and Service
Clubs. He stated that the project for Jenkins Park and Wayne Gray includes the rebuilding of the
restroom at Jenkins Park and the brand new prefabricated restroom at Wayne Gray.
In regards to the new service center, General Manager Davis stated that there was property with
a facility on it ideal for a new service center for the parks department, but it was sold. He further
stated that the parks department is running out of space for storage: therefore, staff will continue
to work on an alternate plan for a resolution to this issue. As it relates to the new service center,
Director Presley inquired if the issue that the city ran into with regards to the large Harris County
drainage ditch limiting the expansion without considerable expenditures to bridge the ditch could
be resolved. In response to Director Presley's inquiry, Mr. Scott Johnson stated that staff
considered bridging the ditch and noticed that it's more costly than anticipated, but further noted
that bridging the ditch may be the resulting option. General Manager Davis stated that being that
the full funding amount of $650,000 for the new service center is not needed; approximately
$300,000 of that amount could be redirected to the remodeling of the Clubhouse at Evergreen
and that the remaining balance of $350,000 be reallocated to the new initiatives line item. He
further explained that after examining the inside of the Evergreen building, it was identified that
more work is going to be needed which will surpass the $500,000, that was projected for the
remodeling of the clubhouse initially. He stated that the exterior of the building already has been
treated and he's confident that a great job can be done with the additional requested amount.
Director McCartney inquired if this property could house the parks new service center. In
response to Director McCartney's inquiry regarding the new service center being at Evergreen,
Mr. Johnson stated that the problem with making this property the new service center is that
logistically it's not a good location, but he also stated that some equipment will be stored there.
General Manager Davis noted that the $425,000 for the Evergreen Park Land is the first of four
(4) payments that MDD agreed to reimburse to the capital improvement fund for the acquisition
of the property. He further noted that the $165,000 for the Evergreen Park Development is for
800 feet of connecting trail, an 18 hole disc and foot golf circuit, benches, trash cans, and
drinking fountains.
General Manager Davis stated that the balance of $350,000 reallocated from the new service
center would bring the Unforeseen and New Initiatives line item to $1,725,000, and that the
amount in this line item is recommended due to the level of activity and projections for the city
in the future.
During further discussion of the budget, Director Brewer requested more details on the Jenkins
and Wayne Gray Parks restroomn project and inquired as to how many restrooms there would
be for men and women at each park. Mr. Johnson explained more details and stated that there
will be two men and women restrooms with two (2) stalls in each one at each park. Mr. Johnson
stated that the one of the reasons that the amount of the project is expensive is because utilities
would have to be brought to both areas. He stated that the utilities at Jenkins Park are being
relocated to a different area of the park to coincide with the expansion project that's being done
there also and requires utilities. Additionally, he stated that the utilities at the Wayne
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July 14, 2016
Page 5 of 6
Gray Complex will be new construction which is more expensive. Mayor DonCarlos stated that
there were issues in the past with vandalism at Jenkins Park, and further inquired if the new
restrooms would decrease vandalism in that regard. Mr. Dustin Schubert explained that the
restrooms will be connected to a system that includes motion detection with alert
notifications after hours, automatic water shut off if the sinks or toilets are obstructed, and
automated door lock/unlock capability, which will assist with the vandalism concern.
3. PROPOSED RESOLUTIONS
a. Consider a resolution setting a public hearing regarding the Baytown Municipal
Development District 2016 -17 Proposed Budget.
Resolution sets a public hearing on the 2016 -17 proposed budget for August 04, 2016, during the
regularly scheduled Baytown Municipal Development District meeting, commencing at 4:30
P.M. in the Council Chambers of the Baytown City Hall.
A motion was made by Secretary Reggie Brewer and seconded by Vice - President Chris Presley
approving Resolution No. 283. The vote was as follows:
Ayes: Secretary Reggie Brewer, President Stephen H. DonCarlos, Director Gary
Englert, Director Mary Hernandez, Director David McCartney, Vice -
President Chris Presley, Director Mercedes Renteria III
Nays: None
Other: Director Brandon Capetillo (Absent), Director Robert C. Hoskins
(Absent), Director David P. Jirrels (Absent), Director Terry Sain (Absent)
Approved
RESOLUTION NO. 283
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT, ESTABLISHING THE DATE,
TIME AND PLACE FOR A PUBLIC HEARING ON THE 2016 -17 PROPOSED
BUDGET; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
4. MANAGER'S REPORT
a. Reminder that the next Baytown Municipal Development District meeting is
scheduled for Thursday, August 04, 2016, at 4:30 P.M., in the City Council Chamber, 2401
Market Street, Baytown, Texas, 77520.
General Manager Davis presented the agenda item and stated that the next Baytown Municipal
Development District meeting is scheduled for Thursday, August 04, 2016, at 4:30 P.M., in the
City Council Chamber, 2401 Market Street, Baytown, Texas, 77520.
MDD Board Regular Meeting Minutes
July 14, 2016
Page 6 of 6
5. ADJOURN
A motion was made by Director David McCartney and seconded by Vice - President Chris
Presley adjourning the July 14, 2016, MDD Board Regular Meeting. The vote was as follows:
Ayes: Secretary Reggie Brewer, President Stephen H. DonCarlos, Director Gary
Englert, Director Mary Hernandez, Director David McCartney, Vice -
President Chris Presley, Director Mercedes Renteria III
Nays: None
Other: Director Brandon Capetillo (Absent), Director Robert C. Hoskins
(Absent), Director David P. Jirrels (Absent), Director Terry Sain (Absent)
Approved
With there being no further business to discuss, President DonCarlos adjourned the July 14,
2016, Municipal Development District (MDD) Board Special Meeting at 5:09 P.M.
Leticia Brysch, Assistant
City of Baytown