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Home My WebLink About4/18/2024 - Minutes The Economic Development Authority of Roanoke County Meeting Minutes Thursday, April 18, 2024, the Economic Development Authority met at the Roanoke County Administration Center Members Present Woody Windley, Chair Michael Cagle, Vice Chair Greg Apostolou Todd Ross Ssunny Shah Barry Thompson Kirtesh Patel Kyle Richardson Jeremy Carroll Don Sowder Megan Baker, Secretary-Treasurer Peter Lubeck, Counsel Guests Richard Caywood, County Administrator, Roanoke County Doug Blount, Assistant County Administrator, Roanoke County Paul Workman, Accounting Manager, Roanoke County Karli Foster, Economic Development Specialist, Roanoke County Jason Peters, Commissioner of the Revenue, Roanoke County Pete Peters, Town Manager, Town of Vinton Megan Martz Gililand, Bond Counsel for Friendship Foundation, Kaufman & Canoles, P.C. Joe Hoff, Chief Executive Officer, Friendship Foundation Mike Shannon, Chief Financial Officer, Friendship Foundation Webster Day, Bond Counsel for EDA Michael Lockaby, Bond Counsel for EDA CALL TO ORDER Chairman Woody Windley called the meeting to order at 9:00 a.m. ROLL CALL Megan Baker called the roll. REQUEST TO POSTPONE, ADD TO, OR CHANGE THE ORDER OF THE AGENDA ITEMS There were no requests to postpone, add to, or change the order of the agenda items. APPROVAL OF MARCH 7, 2024 MEETING MINUTES On a motion by Greg Apostolou to approve minutes of the March 7, 2024, EDA meeting, seconded by Kirtesh Patel, the motion carried unanimously. APPROVAL OF MARCH 29, 2024 MEETING MINUTES On a motion by Barry Thompson to approve minutes of the March 29, 2024, EDA meeting, seconded by Ssunny Shah, the motion carried unanimously. FINANCE REPORT 1. Financial Report through March 31, 2024 Paul Workman reviewed the statements of revenue, expenditures and changes in the fund balances ending February 29 and March 30, 2024. The biggest news for the two months is that in February we realized a $810,915 gain on sale of 20 acres of land at Centre for Research and Technology (CRT)to SunCap. $1,008,100 cash received less the value of the land sold at$197,185 gets us to the gain of$810,915. The current year to date activity includes investment income of$45,818. Annualized interest rate earnings on pooled cash and investments for February and March were 5.0% and 4.6% respectively. In March we expended $60,000 for an initial deposit on the acquisition of a building. Bondholder's Assessment Fee of$56,925 for the 2019 Bonds was sent to Friendship Manor at end of February. Cash available for use is $2,263,404. This is a significant increase over the last January's report thanks to the proceeds from the sale the CRT land. Grant funds available for dissemination remain unchanged at $26,502. We're showing four new Incentive Agreements (IA)for February and March. All have been received and paid out and include Waukeshaw for$54,646, Vineyard Station for$50,000, Public Private Partnership Fund for $50,000 and Ronald E Cook Project for$22,421. Additional broadband funds were received in February(none for March) and then paid directly to the vendor by the EDA which includes $494,115 for Cox Communications and $34,131 for B2X. NEW BUSINESS AND PUBLIC HEARING 1. Approval of Amended and Restated Trust Indenture and Loan Agreements for the reissuance of the "Series 2019 Bonds" at the request of Friendship Foundation (PUBLIC HEARING TO BE HELD ON THIS MATTER) Megan Martz Gililand, Bond Counsel for Friendship Foundation, Kaufman & Canoles, P.C. presented the matter to the EDA. In the fall of 2023, The Friendship Foundation, a 501(c)(3) organization, acquired Richfield Living facilities located Roanoke County, near Salem. Richfield had previously financed/refinanced the facilities in 2019 with bonds issued through the EDA. In connection with the acquisition of the facilities, Friendship assumed the 2019 obligations. The EDA consented to Friendship's debt assumption at its September 2023 meeting. Since that time, Friendship and the Series 2019 Bondholders have agreed in principle to various amendments to the Series 2019 Bond Documents. These consist of a reduction in the principal amount of the Series 2019 Bonds, differing interest rates for the Series 2019 Bonds. The request of the EDA today is to approve the amended and restated trust indenture and loan agreement that reflect these changes. The Board of Supervisors will then consider the matter at its meeting on April 23, 2024. The public hearing was opened at this time. No one in attendance spoke, and the hearing was closed. Michael Cagle made a motion to approve the proposed inducement resolution and authorize the Chair and Vice Chair to execute any documents necessary to effectuate the resolution and bond reissuance. Ssunny Shah seconded the motion. The motion passed by a vote of 8. Kirtesh Patel and Jeremy Carroll recused themselves from the vote. Michael Cagle made a motion to approve the bond resolution and authorize the chair/vice chair to execute any documents necessary to effectuate the resolution and bond reissuance. Ssunny Shah seconded the motion. The motion passed by a vote of 8. Kirtesh Patel and Jeremy Carroll recused themselves from the vote. 2. EDA Business Grant Program Karli Foster presented an overview of the Roanoke County Economic Development Authority's Business Grant Program. The program will offer funding opportunities for eligible for-profit businesses that desire to bolster their operations through the acquisition of new capital. On a competitive basis, the Authority will award grants of up to 50% of capital acquisition costs in amounts up to $20,000 per award. Woody Windley made a motion to approve the EDA Business Grant Program and the allocation of$100,000 for a pilot program, seconded by Ssunny Shah, and the motion carried unanimously. REQUEST TO POSTPONE, ADD TO, OR CHANGE THE ORDER OF THE AGENDA ITEMS Mr. Windley requested that Item G be moved before Item F, remove Item F2, and postpone Item F3 to the next meeting, CLOSED SESSION On a motion by Woody Windley and seconded by Jeremy Carroll, the present Authority Directors unanimously voted to meet in closed session, pursuant to Code of Virginia Section 2.2-3711(A)(5), for discussion concerning a prospective business or industry or the expansion of an existing business or industry where no previous announcement has been made of the business' or industry's intent in locating or expanding its facilities in the community. The potential location or expansion may possibly occur in the Vinton magisterial district. CERTIFICATION RESOLUTION On a motion by Woody Windley and seconded by Jeremy Carroll, the motion carried unanimously that pursuant to Section 2.2-3712(D) of the Code of Virginia, that in the closed session just concluded, nothing was discussed except the matter or matters which were identified in the motion to convene in closed session, and that only those matters lawfully permitted to be discussed under the Virginia Freedom of Information Act were discussed. BRIEFINGS 1. Director's Report Megan Baker provided a brief update on the status of Project Cardinal. REPORTS AND INQUIRIES OF DIRECTORS None. ADJOURNMENT On a motion by Barry Thompson and seconded by Michael Cagle, and a unanimous vote, the meeting adjourned at 10:06 a.m. Respectfully Submitted, Megan Baker Secretary-Treasurer