After a 40-minute heated discussion, the Odessa City Council voted 4-3 Tuesday night to remove businessman Jeff Russell from the Odessa Development Corporation.
Council members Steve Thompson and Mari Willis asked for the matter to be placed on the council agenda after Russell participated in discussions about a Rhodes USA proposal at a December ODC meeting despite telling the chairman he had a business relationship with Rhodes USA. They also said he didn’t file conflict of interest paperwork in a timely manner.
During Tuesday night’s meeting, Thompson said the integrity of the ODC and the city council is “paramount.”
“That board is given a lot of money, public money, and we can’t even have a hint of any kind of impropriety,” Thompson said “It just can’t happen. I just believe it’s not in the best interest of this council to have him remain.”
Willis seconded Thompson’s motion for Russell’s removal.
“We’ve got to make certain that everything that is done on the ODC is a proper reflection of our committee and that nothing, for lack of a better word, that nothing slides under the table or is not above board and I think that’s our duty as council members,” Willis said. “I don’t like the way it smells, I’ll tell you that. I don’t think any board member has the right to make decisions that would ultimately profit them.”
Council members Denise Swanner and Mark Matta objected strenuously to Russell’s removal, as did ODC board member Kris Crow, Ector County Republican Chairwoman Tisha Crow and Tim Harry, who serves on the Midland Odessa Urban Transit District board.
All of them pleaded with the council to allow Russell to speak and many suggested Thompson and Willis had ulterior motives in seeking Russell’s ouster.
Thompson and Matta went back and forth as to whether Thompson’s allegations of a conflict of interest were proven. After Thompson repeatedly quoted Russell from a transcript of the ODC meeting, Matta exclaimed that Russell had “misspoken,” prompting an outburst of laughter from Thompson.
“Oh my God. You’ve got to be kidding me,” Thompson said.
“Let him speak for himself,” Swanner interjected.
“Is that a reason to have him expelled from the ODC board?” Matta then asked.
Matta urged Thompson to produce receipts showing Russell had done business with Rhodes USA.
“All I can go by is what the man said. That’s all we can go by. So I’m not going to sit here and be berated and beat down for something I’m reading that’s a direct quote that he said. I witnessed it. Councilmember Willis witnessed it,” Thompson said. “We didn’t make it up. We weren’t looking to hatchet anybody. We were sitting there to see how they conduct their business. They did not conduct it in the proper manner. The ODC board was not notified of the conflict of interest, nor was this council.”
Thompson went on, “If you can’t trust that…here’s a question, if you can’t trust what he said in the meeting, how can we trust him at all? That’s a question.”
When it came time for him to speak, Russell said he abstained from voting on the Rhodes USA matter because he mistakenly believed Neo Construction and Rhodes USA were affiliated and he has done business with the former. Russell said he has also since discovered that his business with Neo would not be considered a conflict of interest under the law.
Russell further stated he didn’t file conflict of interest papers in a timely manner because he had wrongly assumed ODC Chairman Tim Edgmon would’ve told him to – had it been necessary.
“Mr. Thompson, I realize I have often been a squeaky wheel on the ODC board. During my months on this board I have consistently pushed for more open and transparent operations and for as much ODC work to be done before the public,” Russell said. “ I understand that challenging the way things have always been done may irritate and anger some, but this attack against me is nothing more than, I believe, political payback…”
Swanner tried repeatedly to bring up the fact the city approved a contract for STA Benefits in December 2020 despite the fact the Texas Secretary of State still lists Thompson as the president of the company.
According to a proclamation written by Swanner and shared by Swanner’s supporters with audience members, the contract was unanimously approved by the council, but former Mayor David Turner later indicated Thompson had abstained from the vote.
Mayor Javier Joven would not allow Swanner to read the proclamation or discuss the STA Benefits contract, insisting it was not listed on Tuesday’s agenda.
Matta said the two matters were tied together. When asked to explain, Matta replied “What’s good for the goose is good for the gander.”
Harry, too, brought up the STA Benefits contract when addressing the council.
“I think you need to let the man have some time to clear up what’s going on here. I think it’s wrong for you guys to take advantage of that and use that as a political opportunity to pounce on somebody that may not agree with your beliefs Mr. Thompson,” Harry said. “We can’t have a double standard, you know exactly where we’re going at. You know exactly what we’re going to go for. If you go for this, we’re going to go after that double standard. I promise you that. That’s all I have to say.”
Tisha Crow spoke about the importance of accountability.
“We want to make sure no one is making a decision here based on a personal vendetta, based on a Letter to the Editor or to a personal dislike or to ideals that disagree,” she said.
Kris Crow told the council he thought there were those on the council who were wrongfully trying to “crucify” Russell.
“I believe with all of my heart that Mr. Russell has no ill intent, no malice whatsoever. If anything he was trying to be above board and ultra transparent,” Crow said.
Both he and Matta suggested the attempt to remove Russell was an effort to change the balance on the ODC board, to which Willis responded “absolutely not.”
Kris Crow suggested taking the STA Benefits and Rhodes USA matter to the Texas Ethics Commission. He asked Russell and Thompson if they’d be willing to resign if the commission came down against them.
Russell said “Yes.” Thompson said, “Absolutely not.”
Kris Crow responded “Of course you wouldn’t,” to Thompson.
In the end, Swanner, Joven and Matta were the three dissenting votes.
In other matters, the council voted 6-1 to allow Rhodes USA to either lease an existing facility for a prefab framing factory or build a new one. If it’s the former, the company will qualify for a $1.4 million grant from the ODC or it will qualify for nearly $1.8 million if it’s the latter. City documents indicate Rhodes will invest nearly $3 million in machinery, tools, equipment and logistics in the first 12-18 months of operation if it leases an existing facility and they’d spend $10 million if they build a new facility.
Thompson was the dissenting vote.
The council also:
>> Awarded a $576,000 contract to Vaca Underground to install traffic signals at Golder Avenue and East Yukon Road, Faudree Road and Tres Hermanos Boulevard and Dawn Avenue and 52nd Street.
>> Approved a zero-cost lease with the West Texas 4H and Junior Olympic Athletics Development Club for 64 acres of city land near West Eighth Street and Avenue L for archery practice. Any tournaments will have to be approved by the council at least 90 days in advance.
>> Entered into an economic development agreement with Taylor Holdings/Sudden Services, a Mississippi forklift company that wants to build an 18-bay maintenance facility in Odessa. The maintenance facility will also include office space, a paint booth and a rebuild shop at a total cost of $3.2 million. The company has 31 full-time employees now and the new project will allow them to hire another 24. The company now qualifies for a five-year grant of nearly $886,000.
>> Heard from Odessa fire officials who announced there will be Covid testing from 9 a.m. to 6 p.m. at UTPB starting Thursday. Tests will be Mondays to Saturdays. City of Odessa in a partnership with UTPB will do both PCR and rapid testing. Insurance will be billed but those who don’t have insurance will not be charged. No appointments needed.
