2016 10 11 MDD Minutes, SpecialMINUTES OF THE SPECIAL MEETING OF THE BOARD OF DIRECTORS
OF THE BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT
October 11, 2016
The Board of Directors of the Baytown Municipal Development District (MDD) met in a Special
Meeting on Tuesday, October 11, 2016, at 5:04 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
Brandon Capetillo
Director
Mary Hernandez
Director
Dave Jirrels
Director
David McCartney
Director
Terry Sain
Director
Rick Davis General Manager
Ignacio Ramirez, Sr. General Counsel
Leticia Brysch Assistant Secretary
President DonCarlos convened the October 11, 2016, Municipal Development District (MDD)
Board Special Meeting with a quorum present at 5:04 P.M., all members were present with the
exception of Directors Brewer, Englert, Hoskins, and Renteria who were all absent.
1. MINUTES
President DonCarlos recommended that agenda items La. and I.b. be considered together.
a. Consider approving the minutes of the Municipal Development District Board
Regular Meeting held on September 01, 2016.
b. Consider approving the minutes of the Municipal Development District Board
Regular Meeting held on August 04, 2016.
A motion was made by Director Mary Hernandez and seconded by Director David McCartney
approving the August 04, 2016, and the September 01, 2016, MDD Board Regular Meeting
minutes. The vote was as follows:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Vice - President Chris Presley, Director Terry Sain
Nays: None
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October 11, 2016
Page 2 of 8
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Director Mercedes Renteria III
(Absent)
Approved
2. PROPOSED RESOLUTIONS
a. Consider a resolution authorizing the Termination of the Development Project
Contract with The Baytown Little Theater Incorporated.
General Manager Davis presented the agenda item and stated that Resolution No. 295 authorizes
the Termination of the Development Project Contract with The Baytown Little Theater
Incorporated ( "BLT "). He stated that the BLT abandoned its plan to renovate the 2013 Property
and built a theater on the 2012 Property, as such, the BLT has requested that the Development
Project Contract be terminated and the liens be released.
Director Presley inquired of the future plans for the abandoned building.
Jan Herring- Seeley registered to speak regarding agenda item 2.a. and stated that she's the
current president of the BLT. She stated that the BLT requested the termination of the
development project contract between MDD and the BLT in the amount of $500,000, as well as,
the simultaneous release of the liens on BLT's property on Texas Avenue and South Main. She
stated that the agreement was for assistance to build a brand new theater and later the renovations
of the Wilkenfield's building, but it resulted in BLT's realization that these multi - million dollar
projects were unrealistic; therefore, two (2) years ago the decision was made to invest in a 6,000
square feet building at 2 East Texas Avenue instead. Ms. Seeley further stated that if the BLT
decides to develop and need the City's support, they will discuss options of opportunity at that
time. In regards to Director Presley inquiry regarding the future plans of the abandoned
Wilkenfield's building, Ms. Seeley stated that according to various contractor's, it would be
more expensive to renovate than it would be to demolish and reproduce the building; therefore,
they are looking at demolition.
A motion was made by Vice - President Chris Presley and seconded by Director David
McCartney approving Resolution No. 295. The vote was as follows:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Vice - President Chris Presley, Director Terry Sain
Nays: None
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Director Mercedes Renteria III
(Absent)
Approved
RESOLUTION NO. 295
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October 11, 2016
Page 3 of 8
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE GENERAL
MANAGER TO EXECUTE AND THE ASSISTANT SECRETARY TO
ATTEST TO THE TERMINATION OF THE DEVELOPMENT PROJECT
CONTRACT BETWEEN THE BAYTOWN LITTLE THEATRE
INCORPORATED AND THE BAYTOWN MUNICIPAL DEVELOPMENT
DISTRICT; MAKING OTHER PROVISIONS RELATED THERETO; AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
President DonCarlos recommended that agenda items 2.b. and 2.c. be considered together.
b. Consider a resolution authorizing the Economic Development Basic Services
Contract with Baytown/West Chambers County Economic Development Foundation.
C. Consider a resolution authorizing the Economic Development Special Services
Contract with Baytown/West Chambers County Economic Development Foundation.
General Manager Davis stated that the basic and special services contracts are similar to the ones
in the past. There was no further discussion regarding the two (2) agenda items.
A motion was made by Director Brandon Capetillo and seconded by Director Terry Sain
approving Resolution No. 296 and Resolution No. 297. The vote was as follows:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Vice - President Chris Presley, Director Terry Sain
Nays: None
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Director Mercedes Renteria III
(Absent)
Approved
RESOLUTION NO. 296
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE GENERAL
MANAGER TO EXECUTE AND THE ASSISTANT SECRETARY TO
ATTEST TO AN ECONOMIC DEVELOPMENT CONTRACT BETWEEN
THE BAYTOWN AREA/WEST CHAMBERS COUNTY ECONOMIC
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October 11, 2016
Page 4 of 8
DEVELOPMENT FOUNDATION AND THE BAYTOWN MUNICIPAL
DEVELOPMENT DISTRICT FOR ECONOMIC DEVELOPMENT SERVICES;
AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
RESOLUTION NO. 297
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE GENERAL
MANAGER TO EXECUTE AND THE ASSISTANT SECRETARY TO
ATTEST TO AN ECONOMIC DEVELOPMENT SPECIAL SERVICES
CONTRACT BETWEEN THE BAYTOWN AREA/WEST CHAMBERS
COUNTY ECONOMIC DEVELOPMENT FOUNDATION AND THE
BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT FOR ECONOMIC
DEVELOPMENT SERVICES; AND PROVIDING FOR THE EFFECTIVE
DATE THEREOF.
President DonCarlos stated that agenda items 2.d. and 2.e. would be considered together.
d. Consider a resolution reprogramming FY2016 -2017 budget funds to provide
additional funding for the purchase of an Aqua Loop /Aqua Drop Slide for Pirates Bay
Water Park.
e. Consider a resolution authorizing the First Amendment to the Interlocal Agreement
for Funding of Pirates Bay Water Park Aqua Loop Project with the City of Baytown for
additional funding for the addition of an Aqua Loop /Aqua Drop slide.
Director of Parks and Recreation, Scott Johnson presented agenda items 2.d. and 2.e. He stated
that after the completion of the budget staff noticed that additional funds were needed to
complete the project and the options were to request additional funds or eliminate the aqua drop
slide from the aqua loop, in which the request for additional fund was chosen.
Deputy General Manager Bottoms stated that the majority of the costs for the project are funded
from the Pirates Bay fund and the original fund request was made for $250,000 to assist with
such. He stated that because the costs came in higher than originally expected an additional
$450,000 is being requested, in which those dollars will be reprogrammed from the $500,000
from the BLT.
Director Capetillo inquired of the reasoning for the significant increase amount. In response to
Director Capetillo's inquiry, Mr. Johnson stated that the reason for increased amount was
because the original estimate was not as accurate. Additionally, Mr. Johnson stated that this
project will be built by the same contractor used to build Pirates Bay and Calypsco Cove and will
include all new parts, as well as, be completely designed to accommodate the future third slide.
Director Jirrels inquired if the park generated enough funds to cover the costs for the additions
by itself up until now being that the MDD hasn't funded anything until now. Mr. Johnson stated
that the funds from the park partially pay for the last expansion, but that the majority was paid
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October 11, 2016
Page 5 of 8
for through MDD and Aquatic Bonds. Mr. Johnson further stated that the funds received from
the park pays for the operations costs, maintenance, and some is put towards expansion costs.
Additionally, Mr. Johnson stated that the total cost for the project is $2.6 million which includes
the two slides and the setup for the third slide, which will allow for an additional 150 participants
in the park.
Director Presley inquired if an increase in the ticket price was considered. Mr. Johnson stated
that staff discussed a possible price increase on the weekend due to it being constantly
busy. General Manager Davis stated that a note to remember is that competition emerged within
the last 12 months to the Pirates Bay Park and that there's a life span associated with interest of
the park, in which, as interest arise it must be maintained. Additionally, General Manager Davis
noted that one of the reasons for the escalated costs includes the consideration of the
integrity required to ensure safety while taking on the daily usage of the ride.
A motion was made by Director David P. Jirrels and seconded by Director Mary Hernandez
approving Resolution No. 298 and Resolution No. 299. The vote was as follows:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Vice - President Chris Presley, Director Terry Sain
Nays: None
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Director Mercedes Renteria III
(Absent)
Approved
RESOLUTION NO. 298
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT MAKING A CHANGE IN THE
BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT'S FISCAL YEAR
2016 -2017 BUDGET IN ORDER TO REPROGRAM FUNDS FOR THE
PURCHASE OF AN AQUA LOOP /AQUA DROP SLIDE FOR PIRATES BAY
WATER PARK; MAKING OTHER PROVISIONS RELATED THERETO;
AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
RESOLUTION NO. 299
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE PRESIDENT
TO EXECUTE THE FIRST AMENDMENT TO THE INTERLOCAL
AGREEMENT FOR FUNDING OF PIRATES BAY WATER PARK AQUA
LOOP PROJECT WITH THE CITY OF BAYTOWN; AUTHORIZING
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October 11, 2016
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PAYMENT OF AN ADDITIONAL AMOUNT NOT TO EXCEED FOUR
HUNDRED FIFTY THOUSAND AND NO /100 DOLLARS ($450,000.00);
MAKING OTHER PROVISIONS RELATED THERETO; AND PROVIDING
FOR THE EFFECTIVE DATE THEREOF.
f. Consider a resolution authorizing the First Amendment to the Interlocal Agreement
with City of Baytown for the funding of property acquisition costs related to the San
Jacinto Boulevard Project.
Deputy General Manager Bottoms presented the agenda item and stated that the original
agreement authorized up to $500,000 for the acquisition of the property needed for the San
Jacinto Boulevard Project. He stated that the HCAD values used for the acquisition were less
than what the property was expected to be purchased for and that there were some total buy out
to properties that had to be done that were not originally anticipated; therefore, an additional
$250,000 is being requested for land acquisition costs.
A motion was made by Director Terry Sain and seconded by Vice - President Chris Presley
approving Resolution No. 300. The vote was as follows:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Vice - President Chris Presley, Director Terry Sain
Nays: None
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Director Mercedes Renteria III
(Absent)
Approved
RESOLUTION NO. 300
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE PRESIDENT
TO EXECUTE THE FIRST AMENDMENT TO THE INTERLOCAL
AGREEMENT WITH CITY OF BAYTOWN FOR THE FUNDING OF
PROPERTY ACQUISITION COSTS RELATED TO THE SAN JACINTO
BOULEVARD PROJECT; AUTHORIZING PAYMENT OF AN ADDITIONAL
AMOUNT NOT TO EXCEED TWO HUNDRED FIFTY THOUSAND AND
NO /100 DOLLARS ($250,000.00); MAKING OTHER PROVISIONS
RELATED THERETO; AND PROVIDING FOR THE EFFECTIVE DATE
THEREOF.
3. EXECUTIVE SESSION
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October 11, 2016
Page 7 of 8
Director Presley recused himself from agenda items 3.a. and 3.b. and stated that he filed
a disclosure form with the City Clerk's office.
a. Recess into and conduct an executive session pursuant to Section 551.071 and
Section 551.087 of the Texas Government Code (i) to deliberate the offer of a financial or
other incentive to one or more business prospects that the Board seeks to have locate, stay,
or expand in the Arts, Cultural and Entertainment Zoning District and with which the
governmental body is conducting economic development negotiations and (ii) to seek the
advice of the City Attorney on legal matters related thereto.
At 5:34 P.M., President DonCarlos recessed into and conducted an executive session pursuant to
Section 551.071 and Section 551.087 of the Texas Government Code (i) to deliberate the offer of
a financial or other incentive to one or more business prospects that the Board seeks to have
locate, stay, or expand in the Arts, Cultural and Entertainment Zoning District and with
which the governmental body is conducting economic development negotiations and (ii) to seek
the advice of the City Attorney on legal matters related thereto.
At 6:17 P.M., Mayor DonCarlos reconvened the Open Meeting of the Municipal Development
District Special Meeting and announced that in accordance with Section 551.102 of the Texas
Open Meetings Act, no action was taken in the Executive Session.
b. Consider a resolution authorizing an interlocal agreement with the City of Baytown
to fund an economic development project in the Arts, Cultural and Entertainment Zoning
District.
Mayor DonCarlos stated that the parameters of this agreement were discussed during the
executive session.
A motion was made by Director Terry Sain and seconded by Director David McCartney
approving Resolution No. 301. The vote was as follows with the exception of Director Presley
who recused himself from the agenda item:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Director Terry Sain
Nays: None
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Vice - President Chris Presley (Not
Present for Vote), Director Mercedes Renteria III (Absent)
Approved
RESOLUTION NO. 301
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October 11, 2016
Page 8 of 8
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
MUNICIPAL DEVELOPMENT DISTRICT AUTHORIZING THE PRESIDENT
TO EXECUTE AND THE ASSISTANT SECRETARY TO ATTEST TO AN
AGREEMENT FOR FUNDING AN ECONOMIC DEVELOPMENT PROJECT
WITH THE CITY OF BAYTOWN; AUTHORIZING PAYMENT IN THE
AMOUNT NOT TO EXCEED TWO HUNDRED TEN THOUSAND AND NO
/100 DOLLARS 210,000.00); 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, November 03, 2016, at 4:30 P.M., in the City Council Chamber,
2401 Market Street, Baytown, Texas, 77520.
There was no report. Director Presley returned to the meeting at 6:18 P.M.
5. ADJOURN
A motion was made by Director David McCartney and seconded by Vice - President Chris
Presley adjourning the October 11, 206, MDD Board Special meeting. The vote was as follows:
Ayes: Director Brandon Capetillo, President Stephen H. DonCarlos, Director
Mary Hernandez, Director David P. Jirrels, Director David McCartney,
Vice - President Chris Presley, Director Terry Sain
Nays: None
Other: Secretary Reggie Brewer (Absent), Director Gary Englert (Absent),
Director Robert C. Hoskins (Absent), Director Mercedes Renteria III
(Absent)
Approved
With there being no further business to discuss, President DonCarlos adjourned the October 11,
2016, Municipal Development District (MDD) Board Special Meeting at 6:19 P.M.
Le icia Brysch, Assistant SUsetary
City of Baytown