The Odessa Development Corporation voted in a new president and vice president Tuesday night, but it also voted to give Odessa City Attorney Dan Jones much more responsibility.
Jay Kirk is now the ODC president, Melanie Hollmann is the new vice president and David Boutin is the new secretary. The changes were necessitated by the removal of former president Kris Crow and vice president Jeff Russell by the Odessa City council in recent weeks. Kirk used to be the ODC secretary.
Every month, the ODC receives a certain percentage of the sales tax brought in by the city and that money is then offered as an incentive to get companies to come here, employ workers and spend capital on new and existing facilities.
However, in recent months members of the city council have been arguing with Crow and Russell over each other’s interpretation of Section 501.103 of the Texas Local Government Code.
Mayor Javier Joven and several other city council members believe the sales tax money given to the ODC can be used to address the city’s water infrastructure and roads. Crow and Russell contend the money can only be used under certain narrow circumstances. They said they were removed from their posts because the city wants to use the money illegally and they were the only impediment.
The law reads: CERTAIN INFRASTRUCTURE IMPROVEMENT PROJECTS. In this subtitle, “project” includes expenditures that are found by the board of directors to be required or suitable for infrastructure necessary to promote or develop new or expanded business enterprises, limited to:
(1) streets and roads, rail spurs, water and sewer utilities, electric utilities, or gas utilities, drainage, site improvements, and related improvements;
(2) telecommunications and Internet improvements; or
(3) beach remediation along the Gulf of Mexico.
Joven became angry when Crow prohibited an attorney hired by the ODC, Jeff Moore, from speaking with anyone but himself and Russell about the government code. Russell said the more people who spoke with Moore the more confusion resulted.
Moore was hired last year after the ODC board decided they were interested in having someone other than a city attorney writing and/or reviewing contracts, particularly in cases where the grantees are large corporations like Nacero.
Moore was a city attorney in Austin and he worked on an economic development handbook while the head of the Texas Attorney General’s Office’s Municipal Affairs Section. As of last year, he was representing about 40 economic development corporations.
On Tuesday night, the ODC board voted to take away many of Moore’s responsibilities, but to keep him on board as a consultant.
If the city council approves the changes, moving forward, Jones will begin to prepare economic development performance agreements and attend both compliance committee and ODC meetings.
He’ll also prepare the ODC agenda with direction from the ODC board, prepare ODC resolutions, prepare downtown infrastructure and facade grant agreements and annual ODC contractor agreements.
While looking at the proposed changes to Jones’ responsibilities, board member Tim Harry asked if someone would be looking over all proposed economic development performance agreements to “cover” the ODC.
Harry said he remembers there being issues under former City Attorney Natasha Brooks, before Moore was hired.
Jones said Moore could certainly review the agreements and he had no problem putting that in writing.
Boutin said he thought that was a good idea as well.
“I think the important thing to understand is that Jeff Moore developed some very good templates for us. And so the legal department of the city is gonna, the intent would be to utilize those templates,” Boutin said. ” And then with regard to the (economic development agreements) you could just add ‘reviewed by outside council.’ You could do the same thing with regard to the infrastructure (grants).”
Hollmann also made some suggestions.
“I would really suggest that we come up with an approach where, at minimum, any communications with Jeff Moore are in writing via email and that Dan is copied, so that we have some standardization across the board and ability to make sure that we’re not having different interpretations of the same answer, or anything like that. Difficulty understanding what’s been asked and how it’s been answered,” Hollmann said.
In addition, Hollmann said both Jones and Moore should have copies of all economic development agreements.
“And any time there’s a question for Mr. Moore, if we can make sure that it’s emailed and that Dan is copied, and we can ensure that we’re all receiving the communication and…we don’t have multiple parties trying to interpret, interpret anything,” Hollmann said.
She further suggested Jones be conferenced in on any phone calls with Moore.
“We can do whatever y’all want to do, whatever will make y’all successful because we want to work together, we want this to be a success,” Jones said.
Hollmann’s fellow board members agreed with her suggestions.
The ODC board also voted to reimburse the city roughly $219,000 for legal, financial, city management and city secretary services. They kept $30,000 in their budget for Moore.
