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City Council - Special Joint Meeting with HC Commissioners, Council, Mayor & EDC

BE IT REMEMBERED THAT THE BOARD OF COUNTY COMMISSIONERS, THE HENRY COUNTY COUNCIL, THE CITY COUNCIL OF NEW CASTLE, INDIANA AND THE MAYOR OF THE CITY OF NEW CASTLE MET IN THE COMMISSIONERS COURTROOM ON THE SECOND FLOOR OF THE HENRY COUNTY COURTHOUSE AT 101 S. MAIN STREET, NEW CASTLE, INDIANA AT 6:30 P.M. ON WEDNESDAY, FEBRUARY 24, 2010 WITH THE FOLLOWING MEMBERS PRESENT:

 

County Commissioners:

            President, Kim Cronk

            William D. Cronk

            Samuel R. Beckenbaugh

 

County Council:

            President, Nate LaMar

            Jerry Manis

            Richard Bouslog

            Harold Griffin

            Mike Thalls

            Jeff Hancock

 

Mayor of the City of New Castle:

            Jim Small

 

City Council of New Castle:

            President, Sandy York

            Angie Goodman

            Mary Malone

            Mark Koger

            Vaughn Reid Jr.

 

The purpose of the joint meeting was to discuss and adopt a joint Economic Development Agreement between the EDC, the County Commissioners, the City of New Castle and the Mayor of the City of New Castle.

 

The meeting was opened by County Council President Nate LaMar.  Auditor Linda Ratcliff called roll of all entities involved.

 

Mayor Jim Small gave highlights of the Henry County Economic Development Alliance document that had been prepared.

 

The agreement was read in entirety by County Council President Nate LaMar.

 

Vaughn Reid made a motion to amend the document in Article I, Section C to read that the entities would provide funding for 2010 and 2011.  Sandy York seconded the motion.  The votes are listed below:

 

Sandy York - Aye                                                      Angie Goodman - No

Mary Malone - Aye                                                    Mark Koger - Aye

Vaughn Reid - Aye                                                   

Motion carried 4-1.

 

A motion was made by Mr. Beckenbaugh to amend Article I, Section C in agreement with the City.  Mr. William Cronk seconded the motion.  Motion carried 3-0.

 

A motion was made by Harold Griffin and seconded by Jeff Hancock to amend Article I, Section C in agreement with the City.  Motion carried 5-0.

 

A motion was made by Vaughn Reid to amend Article I, Section C to read that the entities could increase funding in subsequent years.  Sandy York seconded the motion.  The votes are listed below:

Sandy York - Aye                                                      Angie Goodman - Aye

Mary Malone - Aye                                                    Mark Koger - Aye

Vaughn Reid - Aye

 

A motion was made by Mr. Beckenbaugh and seconded by Mr. William Cronk to amend Article I, Section C to read that the entities could increase funding in subsequent years.  Motion carried 3-0.

 

A motion was made by Harold Griffin and seconded by Mr. Thalls to amend Article I, Section C to read that the entities could increase funding in subsequent years.  Motion carried 5-0.

 

A correction was suggested by Mr. Manis to remove from Article IV, Section D, iv, the Middletown Chamber of Commerce as there is no Middletown Chamber of Commerce.  The Chamber of Commerce was removed.

 

R. Scott Hayes spoke about concerns and the pending agreement as a member of the EDC Board.

 

Carol Goodwin spoke to the group as a concerned citizen and while recognizing the fact that public safety is important, she felt that EDC must be funded.

 

Mr. Jerry Gassen, Chairman of the Board of EDC spoke in support of finalizing an agreement between the entities and restated how important it is to move forward.

 

A motion was made by Mark Koger to add in Article V that no notice could be given during the first or second year of the agreement.  Sandy York seconded the motion.  The votes are listed below:

 

Sandy York - Aye                                                      Angie Goodman - Aye

Mary Malone - Aye                                                    Mark Koger - Aye

Vaughn Reid - Aye

 

A motion was made by Mr. Beckenbaugh and seconded by Mr. William Cronk to add that the agreement could not be changed in the first or second year of the agreement.  Motion carried 3-0.

 

A motion was made by Harold Griffin and seconded by Mike Thalls to add that the agreement could not be changed in the first or second year of the agreement.  Motion carried 5-0.

 

Mr. Bouslog encouraged support of the document.

 

Mr. Thalls stated that it was time to sign the agreement and move on.

 

Angie Goodman suggested each entity giving between $60,000 and $80,000.00 each for EDC.

 

Michelle Bryant, private citizen, spoke and addressed the group with questions about the money being spent and the fact that she hated to see her tax dollars wasted.

 

A formal resolution was read by New Castle City Council President Sandy York and adopted 5-0.  The resolution follows:

 

RESOLUTION APPROVING

AGREEMENT WITH THE NEW CASTLE-HENRY COUNTY

ECONOMIC DEVELOPMENT CORPORATION

 

            WHEREAS, it is in the best interest of the citizens of the City of New Castle that a unified effort of City Government, County Government, and the private sector take place to improve the economic conditions of Henry County, seek out new economic opportunities for its citizens, and recruit new industries and businesses; and,

            WHEREAS, the City desires its executive to enter an agreement with the County of Henry and the New Castle-Henry County Economic Development Corporation establishing a Henry County Economic Development Alliance; and,

            WHEREAS, a copy of that agreement is attached hereto and incorporated herein as Exhibit "A"; and,

            WHEREAS, it is in the best interest of the citizens of the City of New Castle that it enter into this agreement with the County of Henry and the Economic Development Corporation.

            NOW THEREFORE BE IT RESOLVED by the Common Council of the City of New Castle that it approves the creation of a Henry County Economic Development Alliance and authorizes the Mayor of the City of New Castle to execute the attached Exhibit "A" for and on behalf of the City of New Castle.

            REPEALER:  All resolutions or parts of resolutions in conflict herewith are hereby repealed.

            SEVERABILITY:   Any provision herein contained which is found by a court of competent jurisdiction to be unlawful or which by operation shall be inapplicable, shall be deemed omitted but the rest and remainder of this resolution, to the extent feasible, shall remain in full force and effect.

            EFFECTIVE DATE:   This resolution shall become effective immediately upon passage.

            ADOPTED BY THE COMMON COUNCIL OF THE CITY OF NEW CASTLE THIS _____ DAY OF ______________, 2010.

                                                                                    _________________________________

                                                                                    Jim Small, Presiding Officer,

Common Council,

City of New Castle, Indiana                                                                          

 

AYE                                                                NAY

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ATTEST:

___________________________________

Janice Lavarnway

Clerk-Treasurer

 

                                    APPROVED BY ME THIS _____ DAY OF ____________, 2010.

 

 

 

                                                                                    Jim Small, Mayor of the City

                                                                                    Of New Castle, Indiana

 

A motion was made by Mr. Beckenbaugh and seconded by Mr. William Cronk to pass the Alliance Agreement.  The motion carried 3-0.

 

A motion was made by Sandy York and seconded by Mark Koger to adopt the Alliance Agreement.    Motion carried 5-0.  The votes are as follows:

 

Sandy York - Aye                                                      Angie Goodman - Aye

Mary Malone - Aye                                                    Mark Koger - Aye

Vaughn Reid - Aye

 

A motion was made by Jeff Hancock and seconded by Mike Thalls to adopt the Alliance Agreement.  Motion carried 5-0.

 

A copy of the final Alliance Agreement appears below:

 

AGREEMENT ESTABLISHING

HENRYCOUNTY ECONOMIC DEVELOPMENT ALLIANCE

 

 

            This is an agreement between the City of New Castle, Indiana (hereinafter "City"), the County of Henry (hereinafter "County"), and the New Castle-Henry County Economic Development Corporation (hereinafter "EDC"). The effective date of which is the ___ day of ______________, 2010.  The City and the County are statutory subdivisions of the State of Indiana.  The EDC is an Indiana not-for-profit corporation primarily funded by the City and the County and whose principal office is located at 100 South Main Street, New Castle, Indiana.  The purpose of this agreement is to establish a framework for cooperation between the City, the County and the EDC in a joint and cooperative effort to foster economic growth, industrial recruitment and job creation in the City of New Castle and the County of Henry.

            I.          The City and County.

                        A.        The City and the County, at their discretion and with the approval of the EDC, may provide staffing to the EDC that will primarily perform economic development duties for their respective governments and assist the EDC's Lead Economic Development Officer (LEDO) as appropriate.  In addition, the City representative will be primarily responsible for the development of downtown New Castle, business retention within the City of New Castle, and the attraction of new industry and job creation within the City of New Castle.  The duties of the City representative do not diminish the responsibilities or duties of the LEDO to retain existing industry and attract new industry to the City.  It is the intent of this agreement that the City and LEDO cooperate and work together to accomplish these common goals. 

                        B.        Recognition of the EDC.  As part of this Alliance Agreement, the City and County shall recognize the LEDO employed pursuant to Section I(D) below as the Lead Economic Development Officer for the City and the County.  Both City and County agree to send appropriate representatives to meetings called by the LEDO for the purposes of economic development.

                        C.        Financial Support of EDC. As consideration for this Alliance agreement, the City and County, in addition to providing staffing assistance, each agree to pay equal amounts to the EDC for the EDC's operation in the years 2010 and 2011.  That sum shall be $75,000 and shall be paid by each in two (2) payments, which said payments shall be made on the first day of March and the first day of September that year.  In subsequent years, the City and County will pay that amount unless both the executive and the legislative branches of the government of either party concur that a lesser amount should be paid to the EDC because of financial impracticability.  Furthermore, in subsequent years, the amount contributed may be increased.  Said amount shall be determined by the executive and legislative bodies of the City or the County at such time as the budget for such City or County is approved. 

                        D.        LEDO Selection. The search committee for the EDC shall be charged with the responsibility of searching for, interviewing and hiring a qualified economic development director who will act as the LEDO for the City and the County.  Said search committee shall have at least one representative of City government and one representative of County government on said committee.

                        E.         Lease Agreement.  In addition, as part of this Alliance Agreement, the City agrees to provide the current office spaces occupied by the EDC to the EDC at the rate of $300 per month.  (The normal rent charge to the EDC for those spaces in the past was $600 per month, or $7,200 annually.)  Other City benefits in kind shall include the City paying for building maintenance and all utilities except telephone.

            II.        New Castle-Henry County Economic Development Corporation ("EDC").

                        A.        The EDC shall employ a professional industrial recruiter who shall be the Lead Economic Development Officer (LEDO) as set forth in Item I(D) above.  The LEDO shall have demonstrated experience and success in economic development and business attraction and will locate his/her residence to Henry County, Indiana.  The EDC and the respective governmental parties shall assist each other to assure that a cooperative effort toward economic development for the entire County and City is maintained. 

                        B.        Finances. 

                                    1.         The City and County shall agree to appropriate funds in the amount agreed upon in paragraph I(C) during the respective budget processes.  These funds are to be paid in cash in two (2) installments each year.  Said payments shall not take credit for any in-kind services provided by the City or the County or any rent assistance provided by the City or any other aid or assistance provided by the City or the County. 

                                    2.         The EDC will pay all annual membership fees associated with its economic development initiatives, including meeting and travel expenses. The EDC shall maintain a membership in the EIDD, Energize-ECI, and SBDC.  Other memberships or similar economic development expenditures may be initiated by the City or the County and will be paid by the respective party initiating said expenses.

                        C.        Website.  The City, County and EDC agree to provide prominent links on their respective websites to each other's websites.

                        D.        Resources.  The members of the Alliance agree to share with each other those resources for economic development that are inherent in their activities.

            III.       HenryCounty Economic Development Alliance.

Upon executing this agreement, the parties will refer to their cooperative effort as the Henry County Economic Development Alliance. 

            IV.       Composition of the Board of Directors.

            The Board of Directors of the EDC shall be composed of 27 voting members appointed by the City, the County and elected by members of the EDC, in addition to which there shall be board members who serve by virtue of their position within designated organizations, with such organizations providing board members as follows:

                        A.        City.  The Mayor (or a designee in his/her absence), a staff member appointed by the Mayor, a member of the City Council, and one private citizen appointed by the Mayor and one private citizen appointed by the City Council shall be members of the Board of Directors.

                        B.        County.  The President of the County Commissioners, the President of the County Council, and three (3) private citizens who reside in Henry County   appointed by a majority of the Commissioners and a majority of the County Council shall serve on the Board of Directors.

                        C.        EDC.  Ten (10) members of the EDC who maintain paid memberships for themselves or for their employers shall be elected to the Board from the membership. 

                        D.        Other.  Seven (7) additional persons shall serve as directors as follows:

                                    i.          A representative of the New Castle Community School Corporation;

                                    ii.         A representative of the Spiceland Town Council;

                                    iii. A representative of the Knightstown Town Council;

                                    iv.        A representative of the Middletown Town Council;

                                    v.         A representative of the Henry County Community Foundation;

                                    vi.        A representative of the New Castle/Henry County Chamber of Commerce;

                                    vii.       A representative of the Henry County Convention and Visitor's Bureau.

                        E.         The executive committee of the EDC shall continue to consist of nine (9) members. 

                        F.         All board members must maintain regular attendance at board meetings.  Said regular attendance shall consist of not less than 75% of the regular and special meetings of the board.  Additionally, if a board member misses two (2) consecutive meetings without having said absences approved in advance, he/she shall be subject to expulsion from the Board by a majority vote of the remaining board members. 

            V.        Term.  The term of this agreement shall be for three (3) years from its effective date.  This agreement shall automatically extend for one additional year on the anniversary date of this agreement and shall continue to automatically renew for additional one year terms on such anniversary date unless and until any party gives notice to the other two (2) parties that said agreement should be terminated at the end of its current term.  Said notice shall be given in writing at least twelve (12) months in advance of the expiration of the current term.  No such notice can be given during the first or second year of the agreement. 

            VI.       EDC By-laws.  This Agreement contemplates that the by-laws of the EDC will be amended in order to accommodate the provisions of this Agreement. 

 

The persons signing this Agreement on behalf of City government, County government and the EDC have been duly authorized to execute this Agreement by their respective entities.