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