Development Corporation of Mercedes, Inc. Special Called Meeting Wednesday, July 24, 2024 11:30AM Board Members Present: Fred Gonzalez- President Marcos Garcia -Vice President Lou Huerta Secretary Peggy Marie Chavez Yanez- Treasurer Tony Garza - Member Joe Flores - Member Roel Villanueva - Member (Virtually) Board Members Absent: EDC Staff Present: Melissa Ramirez - Executive Director Zefra Mascorro = Administrative Coordinator Mark Sossi - DCM Attorney EDC Staff Absent: Mario Salinas - Marketing Specialist City Staff Present: Alberto Perez- City Manager Others Present: Mayor Pro-Tem Dr. Ruben J. Saldana Will Collins- Project M30 Rene Moreno- Project R. Moreno 1. Call Meeting to order Fred Gonzalez called the meeting to order at 11:33AM The Board deviated, from the agenda and went to Item #3 3. Discussion and Action: June 19, 2024 Minutes Marcos Garcia voted to approve the June 19, 2024 Minutes as presented. Seconded by Lou Huerta. All voted aye. 4. Discussion and Action: June 2024 Financials Tony Garza voted to approve the June 2024 Financials as presented. Seconded by Marcos Garcia. All voted aye. 5. Discussion and Action: TXCLASS Transfer Tony Garza voted to approve the TXCLASS Transfer of any amounts above $272,136.81 from the EDC 2006 Reserve and all funds from TXCLASS RBEG Fund to Texas Class general reserve account. Seconded by Marcos Garcia. All voted aye. 6. Discussion and Action: Signage Grant-Saenz and Lopez Marcos Garcia motioned to approve the signage grants for Mary Saenz of Mary's Hair Salon and Cruz Lopez ofLazerLux. Seconded by Tony Garza. All voted aye. 7. Discussion: FY24-25 Draft Budget No Action 8. Discussion and Action: Tabled Items No Action The board deviated from the agenda and went to item #2 2. Executive Session: Section 551.087: Economic development negotiations with Project M30, Project R. Moreno, Project M2, Project Kamel, Project STM, Project Knights, Project ASHTI, Project Arts, Project QSR, Project 150, Project Cruz, Project M. Carrillo, Project AHSTI, Project Bert Ogden, Project A. Garcia, Project RGVLS, Project G. Schwarz, Project Coffee, Project Carwash, Project Rios, Project UT and Section 551.071: pending legal issues, delinquent loans and on any regular agenda item requiring confidential, attorney-client advice necessitated by the deliberation or discussion of said item as needed. The Board went into Executive Session at 11:57AM Mayor Pro-Tem Dr. Ruben. J. Saldana exited the Executive Session at 12:13PM Mayor Pro-Tem Dr. Ruben J.I Saldana entered the Executive Session at 12:15PM Mr. Will Collins entered the Executive Session at 12:23AM Mr. Will Collins exited the Executive Session at 1:32PM Mayor Pro-Tem Dr. Ruben S. Saldana exited the Executive Session at 1:38PM Mr. Alberto Perez exited the Executive Session at 1:41PM Mr. Alberto Perez entered the Executive Session at 1:49PM Ms. Peggy Chavez-Yanez exited the Executive Sesson at 1:51PM Ms. Peggy Chavez- Kanez entered the Executive Session at 1:54PM The Board went into Open Session at 2:03PM 9. Discussion and Action: item #2 Marcos Garcia motioned to proceed with incentive negotiations for Project M30 as discussed in Executive Session. Seconded by Tony Garza. All voted aye. Marcos Garcia motioned to approve a loan of$25,000.00 funded by the general fund for four years at a 3.5% interest rate for Project R. Moreno. Seconded by Joe Flores. Fred Gonzalez, Marcos Garcia, Lou Huerta, Peggy Chavez-Yanez, Roel Villanueva, Joe Flores voted aye. Tony Garza abstained. Marcos Garcia motioned to request a deed in lieu of foreclosure or proceed with foreclosure for Project Reynoso. Seconded by Lou Huerta. All voted aye. Marcos Garcia motioned to proceed with settlement negotiations for Project Bert Ogden. Seconded by Tony Garza. All voted aye. 10. Adjournments, 2:06PM n - Au ll Fred Gonzalez, President Joe Flores, Jr., Member lun - hiccr Marcos Garcia, Vieé-President TonyGarza, Member Vuyay "Mari Chana Pun Peggy 007 Marie Chavez-aMe.Tresurer Roel Villanueva, Member X2 Lou Huerta, Secretary