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EdC application for $21,000 EDC forgivable loan for Wellness First Medical Center postponed

5332784 · July 8, 2025
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Summary

Council discussed an EDC infrastructure request to add an access cut and parking work for Wellness First Medical Center funded by a $21,000 forgivable loan from the EDC's business retention line; council voted to postpone for staff to revise the agreement and consider adding the property owner as a party to performance guarantees.

The Dickinson Economic Development Corporation’s request to fund an access modification and parking improvements at Wellness First Medical Center was discussed at length and postponed to the next council meeting so staff can revise the performance agreement.

EDC Director David Fonk explained the project would provide a cut in the median and parking improvements to address patient access problems caused by medians TxDOT installed on FM 517. Fonk said the project cost is $21,000 and the proposed incentive is a forgivable loan drawn from an EDC budget line for business retention and expansion. He told council the board reviewed the application, held the required public notice period with no comments, and approved the development agreement at its June meeting.

The EDC packet said the project aims to retain three full‑time jobs and create additional positions; Fonk said the owner reported reduced bookings and revenue after medians went in. Councilmembers raised concerns about precedent — that one driveway/median cut could prompt many similar requests — and about the structure of the performance agreement. Several members noted that the performance agreement is between the EDC and the business entity, while the property deed shown on the Galveston County Appraisal District record is in the name of Dr. Donna Sanders (the property owner), so the city would have no clawback against the property owner if the business failed to meet milestones.

Councilmember Edmonds moved to postpone the item to the next council meeting to allow staff to revise the agreement and consider making the property owner a party to the performance agreement; the motion carried. No funds were disbursed tonight.

A local resident, Carol Dean, spoke during public comment that she relies on the clinic and described the safety and access challenges created by the no‑left‑turn sign and medians.

Councilmembers also discussed whether the EDC’s $75,000 annual line for business retention was the correct source for the request and whether the city should extend similar help to other businesses affected by the medians. Staff said projects will be considered on an application basis as funds are available.