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08-28-2001 (WEDC) Minutes Minutes WYLIE ECONOMIC DEVELOPMENT CORPORATION August 28,2001 Board Members Present: Gary Bowland Marvin Fuller Kevin St. John(arrived at 7:15 a.m.) John Yeager Merrill Young Staff Present: Samuel Satterwhite, Executive Director With notice of the meeting posted in time and manner required by law and a quorum of Board members present, the Board of Directors of the Wylie Economic Development Corporation (WEDC) met in Regular Session on August 28, 2001 in the Woodbridge Golf Club Conference Room at 7400 Country Club Drive, Wylie, Texas. The meeting was called to order by President John Yeager at 7:05 a.m. ITEM NO. 1 — Consider and Act Upon Approval of Minutes for the June 5, 2001 Regular Board of Directors Meeting of the Wylie Economic Development Corporation. MOTION: A motion was made by Marvin Fuller and seconded by Gary Bowland to approve minutes for the June 5, 2001 Regular Board of Directors Meeting of the Wylie Economic Development Corporation. The WEDC Board of Directors voted 4—FOR and 0—AGAINST in favor of the motion. ITEM NO. 2 — Consider and Act Upon Approval of Minutes for the August 6, 2001 Regular Board of Directors Meeting of the Wylie Economic Development Corporation. MOTION: A motion was made by Marvin Fuller and seconded by Merrill Young to approve the minutes for the August 6, 2001 Regular Board of Directors Meeting of the Wylie Economic Development Corporation. The WEDC Board of Directors voted 4 — FOR and 0 — AGAINST in favor of the motion. ITEM NO. 3 — Consider and Act Upon Approval of the January, 2001 Treasurer's Report for the Wylie Economic Development Corporation. WEDC—Minutes August 28, 2001 Page 2 MOTION: A motion was made by Merrill Young and seconded by Marvin Fuller to remove from the table the January, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 4—FOR and 0—AGAINST in favor of the motion. Staff informed the WEDC Board that the contingent liability of$55,000 has been removed from the January report and that concerns in regards to rental income have been resolved. Rental income corrections are reflected in the June, 2001 Treasurer's Report. MOTION: A motion was made by Gary Bowland and seconded by Merrill Young to approve the minutes for the January, 2001 Regular Board of Directors Meeting of the Wylie Economic Development Corporation. The WEDC Board of Directors voted 4 — FOR and 0 — AGAINST in favor of the motion. ITEM NO. 4 —Consider and Act Upon Approval of the February,2001 Treasurer's Report for the Wylie Economic Development Corporation. MOTION: A motion was made by Marvin Fuller and seconded by Gary Bowland to remove from the table the February, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 4—FOR and 0—AGAINST in favor of the motion. Staff informed the WEDC Board that the contingent liability of$55,000 has been removed from the February report. MOTION: A motion was made by Kevin St. John and seconded by Gary Bowland to approve the February, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 5 — Consider and Act Upon Approval of the March, 2001 Treasurer's Report for the Wylie Economic Development Corporation. MOTION: A motion was made by Gary Bowland and seconded by Merrill Young to approve the March, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. WEDC—Minutes August 28, 2001 Page 3 • ITEM NO 6 — Consider and Act Upon Approval of the April, 2001 Treasurer's Report for the Wylie Economic Development Corporation. MOTION: A motion was made by Gary Bowland and seconded by Kevin St. John to approve the April, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 7 — Consider and Act Upon Approval of the May, 2001 Treasurer's Report for the Wylie Economic Development Corporation. MOTION: A motion was made by Kevin St. John and seconded by Gary Bowland to approve the May, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 8 — Consider and Act Upon Approval of the June, 2001 Treasurer's Report for the Wylie Economic Development Corporation. MOTION: A motion was made by Gary Bowland and seconded by Kevin St. John to approve the June, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 9 — Consider and Act Upon Approval of the July, 2001 Treasurer's Report for the Wylie Economic Development Corporation. MOTION: A motion was made by Merrill Young and seconded by Gary Bowland to approve the July, 2001 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 10 — Consider and Act Upon Issues Surrounding WEDC Property Located at 404 South Highway 78. Staff indicated that Intercon Demolition had quoted the WEDC $27,000 to remove the Extruders paint line and oxidizer from 404 South Highway 78. Although initial discussion with Extruders representatives resulted in 100% funding of the equipment removal by Extruders, Atrium Companies COO Robert Burns denied the funding. WEDC—Minutes August 28, 2001 Page 4 Extruders President, Mr. Jamie Renfro, offered the WEDC $15,000 as compensation for the equipment removal. Mr. Renfro indicated that a $10,000 check would be issued and the $5,000 security deposit would be released to the WEDC. Staff indicated the lease states that Extruders shall leave the facility in the same state as when the WEDC purchased it. The equipment in question was in place upon purchase making it questionable as to whether the WEDC can require the equipment to be removed by Extruders. MOTION: A motion was made by Merrill Young and seconded by Gary Bowland to accept the payment of$10,000 and release of the $5,000 security deposit from Extruders Division of Atrium Companies, Inc. as contribution to the removal of equipment from 404 South Highway 78. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 11 —Presentation of Prospects being Recruited by the WEDC. Staff presented the WEDC Board with an update of prospects that are considering relocating to Wylie. Of the eight projects presented, three companies are currently considering relocating to a 25-acre industrial site currently under contract by the WEDC. ITEM NO. 12 — Discuss Issues Surrounding the Carlisle Coatings & Waterproofing Relocation. Staff presented the WEDC Board with an informal request from Carlisle for additional financial assistance. Staff indicated that unanticipated water levels on the site had resulted in the requirement to encase the piers under the foundation. Staff informed the Board that Carlisle will be informed that the WEDC will not consider any request for additional incentives. ITEM NO. 13 — Discuss Issues Surrounding the Purchase of Approximately 25 Acres located Near the Intersection of State Highway 78 and Martinez Lane. Staff updated the WEDC Board of Directors as to the status of the 25-acre industrial site the WEDC has under contract to purchase. A Phase I environmental study is currently being completed by Helmberger Associates and staff indicated that requests for financing packages will be delivered to area banks by September 4, 2001. ITEM NO. 14 — Consider and Act Upon Approval of the 2001 —2002 Budget for the Wylie Economic Development Corporation. Staff presented the Board with the proposed FY 2001 — 2002 WEDC Budget. Staff made the following requests, which fell outside fixed operating expenses: WEDC—Minutes August 28, 2001 Page 5 1. Updated aerial photographs showing high growth areas of the Wylie community - $4,000; 2. In the event a cul-de-sac is required to be constructed within the proposed 25-acre WEDC business park, staff has identified those improvements along with water and sewer improvements at$183,800; 3. Annual debt service on $658,383 is budgeted at $44,440 to support the development of the proposed 25-acre WEDC business park; 4. $124,700 was identified as funds available to support future economic development projects. Board member Bowland commented that the proposed $7,500 is well short of funds required to pay legal costs on the Moulding suit. Staff indicated that the WEDC attorney commented that should the Judge on the Moulding suit rule in favor of the WEDC on a summary judgement motion, approximately $10,000 in additional legal fees will be required. Should the case go to trial, an additional $50,000 may be required for legal fees. Board member Bowland instructed staff to adjust legal fees to $50,000. Board member St. John commented that staff must adhere to budgeted amounts in light of the lean budget and the commitments already in place to existing projects. Board member St. John also emphasized that Community Development, Advertising, and Recruitment should be closely monitored by staff throughout the year. MOTION: A motion was made by Kevin St. John and seconded by Gary Bowland to table consideration of the 2001 —2002 WEDC Budget. The WEDC Board of Directors voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO 15—Citizen Participation. There being no citizen participation, President Yeager proceeded to Item No. 16. ITEM NO. 16—Adjourn. There being no further business, the meeting was adjourned at 8:50 a.m. John Yea , President Attest: 66.4dat- Samuel D.R. Satterwhite Executive Director