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03-21-2018 (WEDC) Minutes mutes Wylie Economic Development Corporation Board of Directors Meeting Wednesday, March 21, 2018 —6:30 A.M. WEDC Offices—Conference Room 250 South Highway 78 —Wylie, Texas CALL TO 0 ' DER Announce the presence of a Quorum President Marvin Fuller called the meeting to order at 6:33 a.m. Board Members present were John Yeager, Bryan Brokaw, Demond Dawkins, and Todd Wintters. Ex-officio members Mayor Eric Hogue and City Manager Mindy Manson were present. WEDC staff present was Executive Director Sam Satterwhite, Assistant Director Jason Greiner, and Senior Assistant Angel Wygant. CITIZEN P• 'TICIPATION Lynn Grimes attended and thanked the Board for sponsoring the 24th Annual Taste of Wylie event which will be held on April 23rd at the FBC Events Center. She also expressed her gratitude to Wylie Police and Fire for their assistance with setup. With no further citizen participation, President Fuller proceeded to Action Items. PRESENTATION Wylie Fire Chief Brent Parker presented a plaque to the WEDC thanking the Board and staff for their support of Wylie Fire&Rescue. Specifically,the organization working closely with the Fire Department to identify opportunities for training and drills in buildings scheduled for demolition. ACTION ITEMS ITEM NO. 1 —Consider and act upon approval of the March 11, 2018 Minutes of the Wylie Economic Development Corporation DC) Board of Directors Meeting. Staff thanked the Board for coming in on a Sunday to consider the Performance Agreement for Cross Development and informed the Board that on March13, 2018 the Wylie City Council approved the 380 Agreement for Cross Development. Cross has now closed on the property. MOTION: A motion was made by Demond Dawkins and seconded by Bryan Brokaw to approve the March 11, 2018 Minutes of the Wylie Economic Development Corporation. The WEDC Board voted 5 —FOR and 0—AGAINST in favor of the motion. ITEM NO. 2 — Consider and act upon approval of the February 2018 DC Treasurer's Report. Staff reviewed the items contained in the Treasurers Report and called the Board's attention to the continued decline in Sales Tax Revenue for FY 2017 -2018. The City and WEDC have employed WEDC—Minutes March 21, 2018 Page 2 of 5 a consultant to analyze confidential data available from the Comptroller's Office in an effort to explain the decline and anticipate future revenues for budgetary purposes. City Manager Manson stated that a preliminary call with the consultant indicated that we may have underestimated the impact of the hail storm repairs to sales tax revenue. With the KREA incentive paid in February and no further incentives being owed,KREA has been removed from the Performance Agreement tracking report. MOTION: A motion was made by John Yeager and seconded by Todd Wintters to approve the February 2018 Treasurer's Report for the Wylie Economic Development Corporation. The WEDC Board voted 5—FOR and 0—AGAINST in favor of the motion. ITEM NO. 3 — (Remove from Table) Consider and act upon issues surrounding the use of WEDC property located at 100 Oak Street. MOTION: A motion was made by Todd Wintters and seconded by Demond Dawkins to Remove the Item from Table. The WEDC Board voted 5 — FOR and 0 — AGAINST in favor of the motion. Staff updated the Board on the Texas Alcoholic Beverage Commission (TABC) restrictions surrounding the location of new alcoholic beverage licenses in proximity to WEDC owned property being considered to lease to Wylie Northeast Church. Specifically, regulations require that new licenses shall not be issued for properties located closer than 300 feet from a church measured from front door to front door, and in direct lines across intersections. Staff provided an aerial showing these measurements and the potential impact it poses on surrounding businesses. The 300' distance does not reach any business on Ballard Street which in staff s opinion would be the most likely location for a restaurant serving alcohol. The multi-tenant buildings on the south side of Oak between Jackson and Ballard could be impacted but staff does not believe it is likely that those locations would attract uses wanting to serve alcohol. There are two remodeled homes on Jackson south of Oak that could be impacted but again, staff does not believe those locations would attract uses that want to serve alcohol. Hypothetically however, should a user approach the City and want to undertake a significant redevelopment project and need to serve alcohol, the WEDC may be faced with a decision as to whether to continue its lease to Wylie Northeast. Board Member Dawkins inquired about the WEDC's obligation for repairs and staff confirmed that the lease is 'as is' and any cost for repairs would be covered by the tenant. President Fuller asked if the lease would impact a possible repeat of the Oktoberfest event held on WEDC property last year. Staff confirmed that this event would likely be impacted by the lease. Board Member Wintters suggested that since this is a non-profit organization and we are imposing fairly stringent notice to vacate requirements; the Board might consider a reduced rent for the facility. WEDC —Minutes March 21, 2018 Page 3 of 5 Staff recommended that the WEDC Board of Directors authorize the Executive Director to develop a lease between the WEDC and Wylie Northeast Church for use of WEDC property located at 100 Oak Street giving the Executive Director discretion to set the rent between $1,000 and $1,200 per month. MOTION: A motion was made by John Yeager and seconded by Bryan Brokaw to authorize the Executive Director to develop a lease between the WEDC and Wylie Northeast Church for use of WEDC property located at 100 Oak Street giving the Executive Director discretion to set the rent between $1,000 and $1,200 per month. The WEDC Board voted 5 —FOR and 0 —AGAINST in favor of the motion. ITEM NO.4—Consider and act upon approval of a First Amended Performance Agreement between DCU, Inc., and the WEDC. As directed at the February 28th Board Meeting, Staff presented an amendment to the DCU Performance Agreement which would increase participation in the gas line improvements by $7,858 and shift a cumulative$25,000 from Incentive Payments No. 2 and 3 to Incentive Payment No lb. An additional modification to Incentive No. lb provided for payment to be made directly to the contractor constructing gas line improvements. This modification ensures that monies are being utilized for intended purpose. Staff confirmed that three bids were received for the gas line work and the contractor is on the Atmos qualified contractor list. Staff recommended that the WEDC Board of Directors approve the First Amended Performance Agreement between DCU, Inc. and the WEDC. MOTION: A motion was made by Todd Wintters and seconded by Demond Dawkins to approve the First Amended Performance Agreement between DCU, Inc. and the WEDC. The WEDC Board voted 5—FOR and 0—AGAINST in favor of the motion. ITEM NO. 5 — Consider and act upon issues surrounding a Purchase and Sale Agreement between the WEDC and SCSD-Finnell,Ltd. Presented for the Board's review was the exterior elevation submitted by SCSD-Finnell, Ltd for WEDC Board input and approval along with a street view photo from a current installation of the same elevation as presented. Staff called the Board's attention to the southeast side of the building which is higher than the southwest side and was designed as such to provide variation of elevation. Staff informed the Board that it had already been conveyed to Finnell that the Board may want consistency in elevation which Finnell was glad to change at the Board's request. City Manager Manson stated that the stone should be substantially the same as that utilized by Chick-fil-A in order to provide a consistent look. Staff agreed and stated he believed that was already the plan but would communicate that requirement. President Fuller stated that since the exterior of the building would be visible from Industrial Court we should require awnings along the back of the building, particularly over doorways. Board WEDC—Minutes March 21, 2018 Page 4 of 5 Members felt that this requirement would be burdensome to Finnell. It was decided to request(not require) that adding this element be considered. Staff recommended that the WEDC Board of Directors approve the exterior elevations as amended for the multi-tenant building being constructed on WEDC property by SCSD-Finnell, Ltd. MOTION: A motion was made by Bryan Brokaw and seconded by Todd Wintters to approve the exterior elevations, as amended to provide consistency between the southeast and southwest ends of the building, and request awnings over the doorways of the back of the multi-tenant building on WEDC property being purchased by SCSD-Finnell, Ltd. The WEDC Board voted 5 — FOR and 0—AGAINST in favor of the motion. DISCUSSION ITEMS ITEM NO. 6 - Staff report: Staff reviewed issues surrounding WEDC Performance Agreement Summary,Environmental Activity Summary,Highway 78 WEDC Pad Sites,544 Gateway Property,WEDC Promotional, Promotional Activities and regional housing starts. Staff updated the Board on WEDC activities and properties. ITEM NO. 7— Discussion of issues to be placed on a future WEDC Board Meeting agenda (no substantial consideration/discussion allowed). No Board Member requested any items to be placed on future Agendas. EXECUTIVE SESSION Recessed into Closed Session at 7:31 a.m. in compliance with Section 551.001, et.seq. Texas Government Code, to wit: Section 551.072 - (Real Estate) of the Local Government Code, Vernon's Texas Code Annotated (Open Meetings Act). Consider the sale or acquisition of properties located near the intersection of: • Oak and Ballard Section 551.087 - (Economic Development) of the Local Government Code, Vernon's Texas Code Annotated (Open Meetings Act). Deliberation regarding commercial or financial information that the WEDC has received from a business prospect and to discuss the offer of incentives for: • Project 2016-lb • Project 2017-7a • Project 2017-8b WEDC—Minutes March 21,2018 Page 5 of 5 ' CO NE I TO OPEN MEETING The WEDC Board of Directors reconvened into open session at 8:13 a.m. and took no action. 1.10 ' I NT With no further business, President Fuller adjourned the DC Board meeting at 8:13 a.m. Ma ' Fuller,President ATTEST: Samuel Satterwhite,Director