Legislation Details

File #: 25-2372    Name: 4B 25-01 Hugs Cafe
Type: Agenda Item Status: Agenda Ready
In control: McKinney Community Development Corporation
On agenda: 1/23/2025 Final action: 1/23/2025
Title: Conduct a Public Hearing and Consider/Discuss/Act on a Project Grant Application Submitted by Hugs Cafe (4B 25-01) in the Amount of Nine Hundred Seventy Thousand and NO/100 Dollars ($970,000.00) for Infrastructure Costs Associated with the Construction of a New Hugs Headquarters to be Located at 803 Green Street, McKinney, Texas. Amount Represents 9.7% of Total Project Cost.
Attachments: 1. Application Packet, 2. Presentation

Title

Conduct a Public Hearing and Consider/Discuss/Act on a Project Grant Application Submitted by Hugs Cafe (4B 25-01) in the Amount of Nine Hundred Seventy Thousand and NO/100 Dollars ($970,000.00) for Infrastructure Costs Associated with the Construction of a New Hugs Headquarters to be Located at 803 Green Street, McKinney, Texas. Amount Represents 9.7% of Total Project Cost.

 

Summary

COUNCIL GOAL:                     1: Direction for Strategic and Economic Growth

1D: Leverage existing partnerships with McKinney Economic Development Corporation and McKinney Community Development Corporation

 

MEETING DATE:                     January 23, 2025

DEPARTMENT:                      McKinney Community Development Corporation

CONTACT:                       Cindy Schneible, President

ITEM SUMMARY: 

•                     McKinney Community Development Corporation will conduct a public hearing on a project grant application submitted by Hugs Café Inc. in the amount of $970,000.00 for infrastructure costs associated with the construction of a new Hugs Headquarters to be located in East McKinney at 803 Green Street.

•                     The new headquarters will include the Training Academy which will increase the number of restaurant employees that can be trained annually and focus on increased awareness of inclusive hiring.

•                     The facility will also be the home of Hugs’ National Headquarters, providing space for administrative and support staff offices.

•                     Additionally, Hugs Café (currently located at 224 E. Virginia) will be relocated to this new facility and will be designed to maximize employment and accommodation potential.

•                     The project will support expanding and enhancing development of Hugs Café business enterprise.

 

BACKGROUND INFORMATION: 

•                     The mission of Hugs Café Inc. is to enhance the lives of adults with special needs through training and employment.

•                     The goal for both Hugs Café and Hugs Greenhouse is to provide a place of training and competitively-paid employment for adults with special needs - teaching valuable skills and providing an ability-conscious career pathway.

•                     Hugs utilizes its training and job readiness model to create meaningful employment opportunities in North Texas and across the country. It is a nationally acclaimed nonprofit with over a decade of experience in fostering opportunities for adults with disabilities.

 

FINANCIAL SUMMARY:

•                     Funds allocated for FY25 for discretionary Community, Economic Development and Pipeline Project grants total $7,459,257.

•                     The request is eligible for MCDC consideration under Section 501.152 of the Texas Local Government Code - definition of “project.”

 

SUPPORTING MATERIALS:

•                     Application Packet

•                     Presentation