04-08-1996 (WEDC) Minutes Minutes
THE DEVELOPMENT CORPORATION OF WYLIE, INC.
Monday,April 8, 1996
Board Members Present:
Marvin Fuller
Irene Messenger
Kevin St. John
J.C. Worley
John Yeager
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 Development Corporation of Wylie, Inc. met in
Special Session on Monday, April 8, 1996 in the Chamber of Commerce Board Room at 108 W.
Marble Street, Wylie, Texas.
The meeting was called to order by President John Yeager at 5:10 p.m.
ITEM NO. 1 - Discuss and Consider Issues Surrounding the Relocation of Project Alpha to
Wylie.
After several weeks of discussions on this issue, the Board believed that the positive
contributions which this project will have on the Wylie Community will by far outweigh the
risks the DCW will be undertaking to support this relocation. Among the benefits the
community will be receiving are: $2,700,000 of combined real and personal property value
producing ±$60,000 in property taxes on an annual basis for the City and WISD, a new 30,000
square foot industrial facility within Premier Business Park which will most certainly be
perceived as a jump-start to activity within the Park, and 75 new jobs will be added to the Wylie
workforce creating a situation where additional monies will be spent within the City of Wylie.
The only liability to the DCW under this scenario is that the $360,000.00 loan will only be
secured by a second lien on property owned by Project Alpha officials in Rockwall and a
personal guarantee. To limit the exposure of the DCW, the Board of Directors concluded that the
property should be sold for $0.80 per square foot. Under a worst case scenario, Project Alpha
could go bankrupt within a year and the DCW is unable to collect the balance of the $360,000.00
loan. A portion of the loan will be recovered immediately from the sale of the land and Wylie
will have a 30,000 square foot facility to be leased.
While in-depth discussions have not taken place on the subject, the DCW Board of Directors will
develop performance indicators which will allow Project Alpha to receive further economic
benefits as, for example, employment levels are maintained over a period of time.
DCW - Minutes
April 8, 1996
Page 2
MOTION: A motion was made by Kevin St. John and seconded by Irene Messenger
to offer an incentives package to Project Alpha officials consisting of the
selling of approximately 5 acres of property within Premier Business Park
for $0.80 per square foot and loaning $360,000.00 to Project Alpha in
working capitol in return for Project Alpha locating their facilities and
employees to Wylie for a period of ten years. The DCW Board of
Directors voted 5 - FOR and 0 - AGAINST in favor of this motion.
ITEM NO. 2 - Authorize John Yeager to Execute a Letter of Intent Between Project Alpha
Officials and the Development Corporation of Wylie,Inc.
MOTION: A motion was made by Irene Messenger and seconded by J.C. Worley to
authorize John Yeager to Execute a Letter of Intent between Project Alpha
officials and the Development Corporation of Wylie, Inc. The DCW
Board of Directors voted 5 - FOR and 0 - AGAINST in favor of the
motion.
ITEM NO. 3 - Discuss and Consider Approval of Payment in the Amount of $6,945.99 to
Professional Services Industries,Inc. for Work Completed in Premier Business Park.
Staff informed the Board that all work invoiced by Professional Services Industries, Inc. was for
the DCW's portion of improvements only. Staff also informed the Board that due to City Staff
not delivering this invoice to the DCW in a timely manner, a $25.49 interest charge has been
applied to the amount owed. The Board instructed staff to discuss this matter with the City
Manager and request that the City of Wylie reimburse the DCW in the amount of$25.49.
MOTION: A motion was made by Marvin fuller and seconded by J.C. Worley to
approve payment in the amount of $6,945.99 to Professional Services
Industries, Inc. for work completed in Premier Business Park with the
provision that the City of Wylie reimburse the DCW in the amount of
$25.49. The DCW Board of Directors voted 5 - FOR and 0 - AGAINST
in favor of the motion.
ITEM NO. 4 -Discuss and Consider February, 1996 Treasurer's Report.
Staff was pleased to inform the Board that sales tax receipts for the month of February are up
14% over this time last year.
MOTION: A motion was made by J.C. Worley and seconded by Irene Messenger to
approve the February, 1996 Treasurer's Report. The DCW Board of
directors voted 5 - FOR and 0 - AGAINST in favor of the motion.
DCW - Minutes
April 8, 1996
Page 3
ITEM NO. 5 - Citizen Participation.
Being no citizens present, the Board moved forward to Item No. 6.
ITEM NO. 6 - Staff Reports.
Staff informed the Board that there had been very little new activity since the March 26th
Regular Meeting.
ITEM NO. 7 - Adjourn. There being no further business, the meeting was adjourned at 5:25
p.m.
Y ger, resident
Attest:
Samuel D.R. Satterwhite, Director