ODESSA, Texas — At Tuesday's Odessa City Council meeting, city council cut ties with the Downtown Odessa Corporation, turning it back into a non-profit organization independent of the city.
The vote passed 4-0 with City Councilmen Greg Connell and Chris Haine abstaining from the vote. City Councilwoman Denise Swanner was absent from the meeting.
Downtown Odessa Inc. (DOI) was originally known as Main Street Odessa, but eventually evolved into the current organization it is known as now. Previously run as an independent 501(c) 6, Downtown Odessa, Inc. eventually became a city department with the City of Odessa.
After Tuesday's vote, Downtown Odessa, Inc. will be going back to being an independent group.
“We're on our own to fundraise, staff and man events that we would be in charge of," Craig Stoker, who is on the Downtown Odessa, Inc. Board of Directors, said. "Basically we are back to being a standalone nonprofit.”
A task force led by Odessa City Manager John Beckmeyer looked over every city department to see how efficient they were and if they were following city ordinances.
During this task force, they discovered discrepancies with Downtown Odessa, Inc., involving the use of hotel occupancy taxes.
“We found some things, some fund usages and some things like that, that really weren't in keeping with state law," Beckmeyer said. "That got us looking deeper into Downtown Odessa.”
Stoker did applaud the task force for their work, but he doesn't believe that funds were misused or that there were any ill intentions with how funds were used and managed by Downtown Odessa, Inc.
“I do completely understand that we want to be following the laws that we want to be following along with the rules regarding hotel occupancy tax," Stoker said. "I don't think at any time did anyone associated with DOI intend to break the rules or intend to use the money in an irresponsible way.”
Stoker and others were made aware that DOI's change in status would be added to the agenda, but they were adamant for their employees to be given a chance to find new opportunities within the city.
According to Beckmeyer, those employees will, in fact, be given that opportunity.
“Employees of Downtown Odessa will be given an opportunity to go to work for the city and various departments," Beckmeyer said. "Downtown Odessa, Inc. can continue - if they choose - to operate as an independent organization still performing the same functions as far as bringing facade grants and things like that.”
Stoker said two staff members have already chosen a new occupation within the City of Odessa.
While some within Downtown Odessa, Inc. are disappointed with the results, they also see it as a way to get business done quicker now that they are back to being an independent organization.
“It's going to allow us to have some partnerships that might not have been available had we remained as a department of the city," Stoker said. "When you are working with the municipality you have to abide by procurement policies and other city policies that might hinder a quick turn that you would be able to make as a standalone nonprofit.”
While Downtown Odessa, Inc. will be losing a major part of their funding, they will continue to operate through fundraising.