04-03-2006 (WEDC) Minutes Minutes
WYLIE ECONOMIC DEVELOPMENT CORPORATION
April 3, 2006
Board Members Present
.Gary Bartow (arrived at 6:37 a.m., departed at 7:50 a.m.)
Marvin Fuller
John Yeager
Merrill Young (departed at 7:48 a.m.)
Staff Present
Samuel Satterwhite, Executive Director
Others Present
Mark Roath, Ex-Officio Member/City Manager (departed at 7:50 a.m.)
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 April 3, 2006 in the Conference Room of Inwood National
Bank located at 200 South Highway 78, Wylie, Texas.
The meeting was called to order by President Marvin Fuller at 6:30 a.m.
ITEM NO. I Consider and Act Upon Approval of the March. 27, 2006 Minutes of the
. , Wylie Economic Development Corporation (WEDC) Board of Directors Meeting.
MOTION: A motion was made by John Yeager and seconded by Merrill Young to
approve the March 27, 2006 Minutes of the Wylie Economic Development
Corporation Board of Directors meeting. The WEDC Board of Directors
voted 3 — FOR and 0 —AGAINST in favor of the motion.
ITEM NO. 2 — Consider and Act Upon Approval of the September, 2005 Treasurer's
Report.
In reviewing all WEDC documentation, staff discovered that the September, 2005 Treasurer's
Report was not approved. Staff indicated that On November 1, 2005, the WEDC met and
considered as an action item `consideration of the September, 2005 Treasurer's Report.' Staff
had in error provided the Board with the August, 2005 Treasurer's Report, not the September
report. The error was discovered at the meeting and the August report approved. The following
month, staff noted the capfion item of the November meeting and inadvertently placed the
October report on the agenda, thus not presenting to the Board consideration of the September
report. Staff presented the September, 2005 Treasurer's Report for Board review.
MOTION:, A motion was made by Merrill Young and seconded by Gary Bartow to
approve the September, 2005 WEDC Treasurer's Report. The WEDC
Board of Directors Voted 4 — FOR and 0 — AGAINST in favor of the
motion.
WEDC—Minutes
April 3, 2006
Page 2
ITEM NO. 3 — Consider and Act Upon Approval of Budget Transfers to the WEDC FY
2005—2006 Budget.
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On March 10, 2006, the WEDC Board of Directors approved mid-year budget amendments to the
FY 2005 —2006 WEDC Budget. The Finance Department has since indicated to staff that since
the total FY 2005 — 2006 expenditures are not being increased; a budget transfer is the proper
mechanism for amending the budget and not a mid-year budget amendment. As a recap of the
presentation made on March 10th, the following transfers were recommended:
Account Current Budget Net Transfer Proposed Budget
Special Services $0 $23,320 $23,330
Community Development 5,490 15,880 21,370
Travel & Training 6,380 5,410 11,790
• Land 0 186,960 186,960
Incentives 962,070 <231,560> 730,510
MOTION: A motion was made by Gary Bartow and seconded by John Yeager to
approve the budget transfers to the WEDC FY 2005 —2006 Budget. The
WEDC Board of Directors voted 4 — FOR and 0 — AGAINST in favor of
the motion.
ITEM NO. 4 — Consider and Act Upon Issues Surrounding the Transfer of WEDC Funds
from an Inwood National Bank Money Market Account to the City of Wylie Depository.
Staff presented that as of 3-18-06, the Wylie Economic Development Corporation (WEDC) had
$156,504.71 in a Money Market Account held at Inwood National Bank. This account is earning
3.125%. The Inwood Money Market Account was established to receive proceeds from the
Shafer sale. Funds held at an American National Bank Money Market account were
subsequently transferred to the Inwood account based upon the ANB account earning
approximately 0.5% in February, 2005. Staff reviewed with the Board that at the time the
account was established. Texpool was earning less than 2.5%.
Having been previously informed by Finance Director Williamson that Texpool is now yielding
±4.6%, staff recommended that the WEDC is better served with the money market funds
deposited in the City of Wylie depository which can be transferred by Finance into the City of
Wylie pooled investment account. The Board agreed that the transfer will also satisfy any and all
concerns regarding WEDC investment accounts existing outside the City of Wylie depository.
Mr. Williamson indicated that WEDC staff did not have to be licensed to transfer funds, only to
create new investment accounts.
WEDC—Minutes
April 3, 2006
Page 3
MOTION: A motion was made by John Yeager and seconded by Merrill Young to
close the WEDC money market account held at Inwood National Bank and
deposit said funds into the City of Wylie depository. The WEDC Board of
Directors voted 3 — FOR and 0 — AGAINST in favor of the motion with
President Fuller abstaining due to a conflict of interest.
ITEM NO. 5 — Consider and Act Upon Issues Surrounding a Formal Request for
Information from Mayor John Mondy Relating to the City Auditor's Comprehensive
Annual Financial Report, Management Letter, and a Memorandum from the City's
Finance Director.
MOTION: A motion was made by John Yeager and seconded by Gary Bartow to
remove from the table issues surrounding a formal request for information
from Mayor John Mondy relating to the City Auditor's Comprehensive
Annual Financial Report, Management Letter, and a Memorandum from
the City's Finance Director. The WEDC Board of Directors voted 3 —
FOR and 0—AGAINST in favor of the motion.
Staff again reviewed a letter from Mayor Mondy which requested a response to several areas of
concern involving the WEDC as identified in the City Auditor's Comprehensive Annual
Financial Report and attached documentation. Staff presented several changes to the response
presented to the Board on March 27, 2006. Primary changes involved the WEDC's identification
and'future justification of promotional expenditures. As an attachment to the response, Julie Fort
of Richard Abernathy's office, provided that in lieu of a contract for services, the WEDC must
document how the expenditure publicizes the City of Wylie for the purposes of developing new
and expanded business enterprises.
MOTION: A motion was made by Gary Bartow and seconded by John Yeager to
approve the amended response to Mayor John Mondy relating to the City
Auditor's Comprehensive Annual Financial Report, Management Letter,
and a memorandum from the City's Finance Director. The WEDC Board
of Directors voted 3 —FOR and 0—AGAINST in favor of the motion.
ITEM NO. 6— EXECUTIVE SESSION:
The WEDC Board of Directors convened into Executive Session at 7:52 a.m.
Convene into Executive Session to Hold Deliberations Regarding Real
Property (Purchase of Real Property Located on Cooper Drive and
Property Located Near the Intersection of F.M. 1378 and F.M. 544 by
the WEDC) as Authorized in Section 551.072 if the Local Government
Code, Vernon's Texas Code Annotated (Open Meetings Act).
WEDC—Minutes
April 3, 2006
Page 4
ITEM NO. 7—Reconvene into Open Meeting.
The WEDC Board reconvened into Open Meeting at 8:05 a.m. No action was taken regarding
issues discussed in Executive Session.
ITEM NO. 8 —Citizen Participation.
There being no citizen participation, President Fuller proceeded to Item No. 7.
ITEM NO. 9—Adjourn.
There being no further business, the meeting was adjourned at 8:07 a.m.
/1/ kirk f{r ,
Marvin Fuller, President
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Attest:
Samuel D.R. Satterwhite
Executive Director