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01-16-2009 (WEDC) Minutes mutes Wylie Eco uomic Development Corporation obard of Direct rs Meeting Friday, Jar uary 16 — 6:30 AJ r. Inwood National Bank— Conference Room 200 outSoutH ighway 78 —Wylie, Texas CALL TO 0 1" I ER Announce the presence of a Quorum. President Fuller called the meeting to order at 6:31 a.m. Board Members present were: Jo rr Yeager, Mitch Herzog, CrSeely, and Todd Wintters. WENC staff present was Executive Director Sam Satterwhite ad Administrative Assistant Gerry Harris. Ex-Officio Board Members Mrrrdy Manson and Mayor Eric Hogue were present. CI H IZEN PARTICIPATION Ms. Lynn Grimes, P. O. lox 177, 675 Town Square, Suite, 200, Garland, TX 75040 requested information about the WEDC properties that are for lease on Industrial Court. There being no •,r rrther citizen participatio, , President Fuller proceeded to Action Items. ACTION ITEMS ITEM H O. — Consider and Act Upon Approval of the December 19, 2008 Minutes of the WE C H oard of Directors Meeting. MOTION: A motion was made by Mitch Herzog and seconded by John Yeager to approve the December 19, 2008 Minutes of the WEDC bard of Directors Meeting. The WEDC Board voted 5 — FOR and 0 — AGAINST in favor of the motion. ITEM NO. 2 — Consider and Act Upon Approval of the December, 2008 WE I C Treasurer's Report. MOTION: A motion was made by John Yeager and seconded by Mitch Herzog to approve the December, 2008 WEDC Treasurer's Report. The WEDC Board voted 5 — F011" and 0 — AGAINST rr favor of the motion. WEDC Minutes January 16, 2009 Page 2 of 5 ITEM NO. 3 — Consider and Act pon Issues Surrounding a Performance Agreement Between the WEDC and T. W. Snider & Associates. in review, staff presented that oll June 18, 2008 the WEDC entered into a Perfon-na ce Agree ent with "LW. Sider & Associates to assist with the co struction of office condominiums totaling 19,200 square feet. As per the Agreement, within Section II (a) Mr., Snider must s ,bmit a final inspection for a 4,800 so,uare foot shell, a certificate of occupancy for an area within the shell of 1,200 square feet, and parking/site improvements no later than August 1, 2009. As presented in a letter dated 1-6-09, Mr. Snider requested an extension to the August 1, 2009 deadline to October 1, 2009. Difficulty in securing financing was the primary reason cited by Mr. Snider in the request for the extension. Staff believed this to be a reasonable request based upon first hand knowledge of Mr. Snider's difficulty in obtaining fina cing. Further, as of 1-9- 09 the City of Wylie has approved and released construction plans for Phase I of r. Snider's project. For these two reasons, and the short period of time being rect ested, staff recom ended that the WEDC Board of Directors a eprove the request. MOTION: A motion was made by Mitch Herzog ad seconded by Chris Seely to ant a two month extension to the Performance Agreement between the WEDC and T.W. Snider & Associates. The WEDC Board voted 5 FOR and 0 — AGAINST in favor of the motion. ITEM NO. 4 — Consider and Act Upon Issues Surrounding a Performance Agreement etween the WE)C and Gardner Regency, LLC. According to the Performance Agreement between the WEDC and Gardner Regency, LLC, the WEDC is obligated to reimb rse Savage (Gardner Regency, LLC) for moving expenses in the amount of$254,357. The gratis payable in five eq al and annual payments of$50,871.40 with the first installment paid at the issuance of the certificate of occupancy (CO). Staff indicated that the CO was issued on 1-9-09. With no event of default existing, staff recommended that the WEDC Board of Directors authorize payment of $50,871.40 to Gardner Regency, LLC for reimbursement of moving expenses. MOTION: A motion was ade by CH,'s Seely and seconded by John Yeager to authorize pa ent of $50,871.40 per the Performance Agreeme t. The WEDC to.rd voted 5 — FOR and 0 — AGAINST in favor of the motion. IT ' M NO. 5 — (MO ION TO MOVE FROM TABLE) Consider and Act Upon Issues Surround* g the 2009 WE C Annual Report. MO O N: A motion was ade by Jo Yeager to rein Hove ite 5 fro the table. WEDC — Min tes January 16, 2009 Page 3 of 5 As per the WEDC By-laws, the WEDC must preset an annual report to the Wylie City Council no later than January 31st of each year. The report must include, but is not limited to, a review of all expenditures made by the It oard, a review of accomplishments, and a review of other than direct economic develop ent. Staff reported on 2008 activities surrounding the WEIC financial condition, redevelopment efforts, retail activity, industrial/commercial activity, and an update o the WEDC Strategic Plan. Staff indicated that the informatio presented met the requirements of the y-laws and that the Report will be presented to the Wylie City Council on January 27, 2009. Staff recomme ded that the WE IC Board of Directors accept the Annual Report and present the sa e to the Wylie City Council. MOTIO A motion was made by John Yeager and seconded by Chris Seely to approve the WEIIIC Annual Report and recot mend that it be presented to the Wylie City CouHciL The WEDC b oard voted 5 — FOR and 0 — AGAINST in favor of the motion. ITEM NO. 6 — Consider and Act pon Issues Surrounding a Performance Agreeme t etween the WEDC and I Hooper-Woodbridge, LLC. In order to formalize prior approval of ir.rrfrastructure assistance to Hooper-Woodbridge, LLC (Pediatric Associates of Wylie P.A.W.), staff presented the Perfot ance Agreement for Board consideration. Staff reviewed that P.A.W. is developing a three-phased office park located on Woodbridge Parkway at the intersection of Hensley and Hooper (northwest of Cooper Junior High). The property is 2.54 acres with Phase I consisting of a 7,207 square foot office/r redical facility. Phase I will have a construction cost of$1.4 The WEDC based its participation of $16,350 on costs associated with the extension of an 8" water line under 4 lanes of Woodbridge Parkway. P.A.W. must complete construction and provide a final certificate of occupancy no later than October 31, 2009 in order to qualify for the incentive. P.A.W. anticipates completion in July 2009. Staff identified that within the first parar aph of the Recitals the total square footage of the structures are 17,800 and rOt the indicated 19,000. Staff requested that final consideration of the Agreement include an amer rdmerrt addressing that t sographical error. Staff recommended that the WEDC Board of Directors authorize the WEDC Executive Director to execute a Performance Areerr rent between the WEDC and Hooper-Woodbridge, LLC as amended. MOTION: A motion was made by Mitch Herzog and seco, ded by Chris Seely to approve the Performance A. eement between the WEDC and Hooper- Woodbridge as amended. The WEDC Board voted 5 — FOR and 0 — AGAINST in favor of the motion. WEDC — Minutes January 16, 2009 Page 4 of 5 ITEM NO. 7 — Staff Update: Review Staff Activities Surrou ding laylor Medical Plaza, Theatre Development, Savage Precision Fabrication, WEDC Website Maintenance, Industrial Court Lease Hacifities, and Cali! County Day in Austin. Staff reminded t e Board that it may not discuss an ite which is not specifically identified on the agenda. Only those item listed above can be discussed. Should any Board member wish an item to be placed on the agenda at any time prior to a Board eeting, they sho id contact the WEDC President or staff. Baylor Medical Plaza: Staff repo led that within the 20,000 s uare feet constructed by Cirrus, there remains vacant 5,200 square feet. Of the vacant space remaining, 1,600 square feet is finished out for a medical use. The lease rate is $17 per square foot triple net for a 5 — 7 year lease. Theatre Development: Staff was contacted by a movie developer on 1-5-09 for demographic materials and site locations in Wylie. On 1-12-09, staff spent several hours with the prospect touring Wylie and discussing their interest in the community. This company has over thirty locations in Kansas, Missouri, and Oklaho a. Their typical theatre size is eight to thirteen screens. Savage Precision: As per the previous agenda ite 1, a certificate of occupancy was issued for the new Savage facility on January 9, 2009. The Gardner's have offered an invitation to the toard and Ex-Officio Members to tour the facility following the Board meeting on the 16th. WEDC Website Maintenance: Staff is meeti g with the web site desi: company o 1-14-09 to finalize updates to the WEDC site. It was reported the site will be live in January. Industrial Court Lease Facilities: Staff is working with Jaco Welding Service to pote tially occupy 2,000 square feet within a WEDC facility on Industrial Court. Staff had initially identified the Cazad building (4,000 square feet) to subdivide at Jaco's expense. However, staff believes that a new restroom would need to be added at the Cazad location which would make the subdivision cost prohibitive. Staff is now looking at the Prime Kuts building for this project. An al vantage to utilizing the Prime K tz building is tat a dividing wall already exists in addition to a separate restroom. Staff is currently working with the City of Wylie uilding and Fire Departments to determine the i prove lents whic need to be made to bring the facility up to code. Collin County Day in Austin: Collin County Day in Austin will be held on February 9 — 10, 2009. Confirmed Board members in attendance are Mitch Herzog and Todd Wintters. Over the next thirty days, staff will be working in conjunction with the City of Wylie and WIS 10 to develop a legislative agenda addressing concerns impo rant to the Wylie Col munity. No action was requested by staff for this ite . WEDC Minutes January 16, 2009 Page 5 of 5 EX CUTFVE S SSION The WEDC Board of Directors convened into Executive Session at '7:05 a.m. 1. Consider Issues Surrounding the Pure ase of Real Property Generally Located Near the Intersection of P.M. 544 and Regency Drive as Authorized in Section 551.072 (Real Property) of the Local Government Code, 'Vernon's Texas Code Annotates (Open Meetings Act). IL Consider Issues Surrounding the Purchase of Real "ro lerty for Project 2019 as Authorized in Section 551.072 (*ea]. Property) of the Local Gove ent Code, Vernon's Texas Co.e Annotated(Open Meetings Act). III. Consider Issues Surrounding the Provision of Economic Assistance to Project an. Ai II as Authorized i Section 551.087 (Economic •evelop ent Negotiations) of the Local Gove ent Code, Vernon's Texas Code Annotated (00en Meetings Act). CONVE E INTO OPEN MEETI G The VVEDC Board of Directors reconvene, into open session at 7:42 a.m. No action was taken as a result of discussions held in Executive Session. ADJOU MENT With no further business, President Marvin Fuller adjourned the WEDC Board meeting at 7:42 a.m. arvin Fuller, Presiu ent ATTEST: / \ ) Samuel D.R. Satterwhite Executive I irector