Committee authorizes MOU allowing city to provide reimbursable startup support for Sabin Center STEM hub

The committee authorized a memorandum of understanding with the Sabin Center Foundation that will allow city staff to support startup activities for a STEM hub and be reimbursed from state grant funds held by the foundation.

Chairman Buggan presented the item and Savannah (staff) explained the MOU formalizes how the foundation will reimburse the city for eligible expenses, such as software licenses and procurement costs, incurred while city staff help get the hub operational. Chad Hobbs (legal counsel) told the committee the agreement “does not obligate or require the city to spend any money; it just says, if we do, we can be reimbursed,” and stressed that the arrangement is intended to keep the foundation’s grant accounting separate from city funds.

The agreement was discussed in the context of prior private and corporate fundraising for the Sabin Center. Committee members repeatedly emphasized that state grant dollars are for the STEM hub’s operations and start-up and should not be used to cover unrelated city expenses; Hobbs and other staff confirmed the MOU limits reimbursements to hub-related costs and leaves long-term funding and other budget actions to future council consideration. Savannah and staff also noted the foundation has its own counsel and will remain a separate entity for accounting and reporting to the state.

The committee approved the authorization by voice vote. Other formal actions at the meeting included approval of last week’s minutes, a $5,000 disbursement to the Tuscaloosa Public Library for a garden project, and budget revision No. 12 to activate $53,926 in insurance proceeds for Parker Hahn repairs; those items were approved by voice vote as recorded in the committee minutes.

The MOU authorizes the reimbursement mechanism and allows city staff to assist with startup operations, but the MOU itself does not require the city to expend funds; any specific spending would return to the council or committee for approval as required by city procurement and budget rules.