HomeMy WebLinkAbout2/20/2008 - Minutes _, The Economic Development Authorityof Roanoke County
Roanoke County Administration Center
5204 Bernard Drive
Roanoke,Virginia 24018
Minutes
Wednesday, February 20, 2008,9:00 A.M.
Members Present
Chairman-Bill Branch
Vice Chairman-Steve Musselwhite
Greg Apostolou
Carole Brackman. .
Allan "Cap" Robinson
Woody Windley
Anthony Conner
Counsel,Ed Natt .
Secretary-Treasurer,Doug Chittum
Recording Clerk, Glenna Ratcliffe.
Members Absent
None
Guest
Jill Loope, Assistant Director of Economic Development,
Rebecca Owens, Director of Finance
Elizabeth Atkinson, Finance
The Economic Development Authority of Roanoke County,Virginia met this day at.the Roanoke
County Administration Center,this being their regularly scheduled monthly meeting.
Call to order
Chairman, Billy Branch, called the meeting to order at 9:00 A.M.
Minutes
A motion was made by Cap Robinson and seconded by..Anthony Conner to approve the
minutes as read. The motion carried by unanimous voice vote.
Finance Report
Elizabeth Atkinson, Finance Manager, presented financial reports for the current period
through January:31, 2008. The cash balance at the end of January is$443,000.
A motion was made by Allan "Cap" Robinson, seconded by Woody Windley to accept the
financial report as given. The motion carried by unanimous voice vote.
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February 20,2008
Economic Development Authority
Minutes
The 2006-2007 Audit prepared by Foti, Flynn, Lowen & Company was made available to be
Board. Ms. Atkinson pointed out $170,000 was-included under receivables in anticipation
of the inability of Novozymes to complete Phase II as required in the Performance
Agreement.
Mr. Natt, Counsel, pointed out under the Performance Agreement between Novozymes and
Roanoke County, they were required to complete Phase II by December 31, 2008. Failure to
complete Phase II would require payment to the County for the property in the amount of
$170,000. Should they complete the project by the extended deadline, payment to the
County would not be required.
BRIEFING
Virginia Baptist Home -The Glebe
Mr. Chittum briefed members regarding the Residential Care Facility Revenue Bonds (The
Glebe, Inc.), Series 2003 A and 2003 B. Notice was received of their failure to make the
principal portion of the note payment due by January 1, 2008.
The Intermediate Term Bonds were designed to be repaid with the proceeds from entrance
fees from the new independent living units to be constructed at The Glebe Facility and to be
paid to Virginia Baptist Homes (VBH) - The Glebe. At this time, the sales of the existing
units have not met the original forecasts and as a result it is doubtful that the existing cash
flows for The Glebe facility will be sufficient in its own right to make this payment when due.
The shortfall in operating income will create the need for VBH to secure an additional
$7,500,000 of funds to make the $15,000,000 payment. As Mr. Natt pointed out, they will
have to borrow funds rather than use the anticipated fees. VBH is confident they will be
able to secure the needed funds.
Update on County Bond Issue
Mr. Chittum apprised the Board of the bond rating process recently completed by Fitch
Ratings in an effort to finance the purchase of property at the North County Business Park
for the construction of a Multi-Generational Facility as well as other facilities in the county
including the 800MHz Public Safety Radio Upgrade, North County Fire Station, County
Garage, and South County Library. Fitch Ratings assigned an 'AA-' rating to the County's
$60.4 million Economic Development Authority of the County of Roanoke (EDA) lease
revenue bonds (public facility projects) series 2008.
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February 20,2008
Economic Development Authority
Minutes
Mr. Chittum pointed out the Board of Supervisors will hold a second reading Tuesday,
February 26th, and vote regarding the purchase of the property in the North County Business
Park for construction of the multi-generational center.
CORRIDOR STUDIES
Mr. Chittum stated as a result of recent new projects in the Hollins area (to include Gander
Mountain), the county will prepare an in-house corridor study of the Hollins/Plantation Road.
area.
Also, an in-house corridor study will be completed for the East County/Hardy Road/Route 24
area as plans are studied for the future of Explore Park.
Budget
Mr. Chittum stated the County is currently researching the feasibility of acquiring from the
City of Salem the old water treatment plant in Glenvar and may need additional funds to
complete necessary studies and asked for approval of the Board to use operational funds of
the EDA, if needed.
Steve Musselwhite made a motion to authorize the Director of Economic Development to
use funds from the EDA operations account when necessary. Ms. Brackman seconded the
motion which carried by unanimous voice vote.
Announcement
Ms. Loope, Assistant Director of Economic Development, stated TMEIC GE, internationally
based integrator of drives automation systems, announced that it will move from the Salem
location it currently shares with GE Energy Controls and Power Electronics to the former
headquarters of the Atlantic Mutual Companies, at 1325 Electric Rd. in Roanoke County.
TMEIC GE was formed between 2000 and 2003 as a joint venture between Toshiba,
Mitsubishi, and GE, which operated a drives system business.
Renovations have begun on the new 85,000 sq ft. space, which will house offices, meeting
rooms, training facilities, test labs and support service areas for the company's nearly 300
North American employees. Relocation is expected to begin in April 2008 and should be
completed by mid-summer.
Reports and Inquiries of Board Members
Hearing none
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February 20,2008
Economic Development Authority
Minutes
Adjourment
Billy Branch, Chairman, adjourned the meeting at 9:35.
Next Scheduled Meeting
March 19, 2008
Respectfully submitted,
/2, Dt,./60
E. Douglas C ittum
Secretary-Treasurer