12-14-1993 (WEDC) Agenda Packet .ate MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, DECEMBER 14, 1993, 4:00 P.M.
UNIVERSAL TRANSFORMER CO. BOARD ROOM
1000 COOPER DR, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . REVIEW ANDAPPROVE MINUTES OF NOVEMBER 9, 1993 REGULAR
MEETING OF THE DEVELOPMENT CORPORATION OF WYLIE, INC.
2 . REVIEW AND APPROVE TREASURER'S REPORT ENDING NOVEMBER
30, 1993
3. REPORT FROM EXECUTIVE DIRECTOR, CHARLIE WOMACK.
4. REVIEW AND APPROVE LEGAL FEES SUBMITTED BY MCWILLIAM &
HOUSER, ATTORNEYS FOR SERVICES RENDERED TO ASSURE
OUR LIEN POSITION IN THE BANKRUPTCY PETITION - FILED
fwv..-cA BY ;HEALTUCARE ENTERPRISES OF NORTH TEXAS LTD. AKA
!il
PHYSICIAN'.S REGIONAL HOSPITAL( s142.
5. DISCUSS POSSIBLE MARKETING PLANS TO DEVELOP AND DISPOSE
OF THE SEVEN INDUSTRIAL LOTS PURCHASED IN THE 544
INDUSTRIAL PARK.
5. DISCUSS THE FEASIBILITY OF EMPLOYING AN OUTSIDE
CONSULTING FIRM TO MAKE AN EVALUATION OF THE CURRENT
ECONOMIC CLIMATE OF WYLIE AND THEN DEVELOP A STRATEGIC
MARKETING PLAN TO PROMOTE INDUSTRIAL AND RETAIL GROWTH
WITHIN THE CITY .
7 . DISCUSS UPCOMING JOINT WORKSESSION WITH CITY COUNCIL
AND ADDRESS PRIORITIES, GOALS AND OBJECTIVES FOR
WYLIE'S ECONOMIC DEVELOPMENT EFFORTS.
B. RECESS OPEN MEETING
9. RECONVENE TO OPEN MEETING
10 . CITIZEN PARTICIPATION
WYLIE RESIDENTS WISHING TO SPEAK SHOULD LIMIT REMARKS TO
A:MAXIMUM OF FIVE (5) MINUTES.
11. ADJOURN.
NOTICE OF MEETING
NOTICE IS HEREBY GIVEN THAT THE DEVELOPMENT CORPORATION OF WYLIE, INC.
BOARD OF DIRECTORS WILL MEET AT 4 :00 P.M. ON THE PO/IL DAY OF
101.(A4Lo ./ , 199W AT 1000 COOPER DR, IN THE CITY OF WYLIE, TEXAS
FOR THE PURPOSE OF CONSIDERING THE ABOVE AGENDA.
-4/ 1C;,�C
MARY NIC OLS CITY SECRETARY
_- DAY OF �e.4 7,c s1/ 1993, AT
P T D THIS THE ,
_. , d-M.
MINUTES
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, NOVEMBER 9, 1993
The Directors of the Development Corporation of Wylie, Inc. met in regular session at 4:00 PM
on Tuesday, November 9, 1993 in the Development Corporation conference room at 108 N.
Marble, Wylie, Texas. A quorum was present and notice of the meeting had been posted in the
time and manner required by law. Those present were President Raymond Cooper, Vice-
President John Tobin, Secretary/Treasurer John Yeager, member John Mondy and newly
appointed member Marvin Fuller. Executive Director Charlie Womack, Mayor John Akin, City
Manager Steve Norwood and Administrative Assistant Mike Collins were also present.
Representing City staff was Barbara LeCocq, Secretary.
ITEM NO. 1 - ADMINISTER OATH OF OFFICE TO NEW MEMBER: Newly appointed
member Marvin Fuller was given the oath of office by Secretary Barbara LeCocq.
ITEM NO. 2 - DISCUSS AND APPROVE MINUTES OF OCTOBER 12. 1993 MEETING:
In item 4, page 2 of the minutes for the meeting held on October 12, 1993, President Raymond
Cooper asked that the word "Election" (of New Director) be changed to "appointment". With
no further changes or corrections, a motion was made by John Yeager to approve the minutes
as corrected, seconded by John Tobin. All in favor, motion carried.
ITEM NO. 3 - DISCUSS AND APPROVE TREASURER'S REPORT ENDING OCTOBER 31,
1993: Treasurer's report shows Total funds available 10/1/93 as $495,854.63. Income
$392,732.96. Expenses $11,548.53. The president called for a motion. Motion was made by
John Tobin to approve the treasurer's report as submitted. Seconded by Marvin Fuller. All in
favor. Motion Carried.
ITEM NO. 4 - REPORT FROM EXECUTIVE DIRECTOR, CHARLIE WOMACK: Mr.
Womack gave a report on current projects before the corporation. (Mr. Womack's written report
attached hereto as a part of the official minutes.) Topics included status report on Physicians
Regional Hospital, Roberts Manufacturing Company, Gerwin Corporation dba The Merry Miler
Company, Unger & Associates, Inc. (UAI). Mr. Womack asked the directors to discuss Unger
& Associates need for $1.5 million loan for working capital. Raymond Cooper suggested the
the vacant Johnston Manufacturing building as a possible location for Unger. Mike Collins
stated Ken Lane, President of American National Bank "has not closed the door on the deal".
ITEM NO. 5 - APPROVE FINAL PRUCHASE PRICE OF SEVEN (7) INDUSTRIAL LOTS
IN THE FM544 INDUSTRIAL PARK: Final purchase price of $126,782.00 approved by
unanimous vote. Motion made by John Yeager, seconded by John Tobin.
DevCorp of Wylie
Minutes 110993 Page 1
ITEM NO. 6 - DISCUSS AND APPROVE LEGAL FEES SUBMITTED BY MCWILLIAMS
& HOUSER: These fees were incurred during the proposed land purchase of the J. D. Russell
Company property. A motion was made by John Tobin, seconded by John Monday, to approve
for payment the amount of $2,019.25. All in favor. Motion carried.
ITEM NO. 7 - RECESS OPEN MEETING: The open meeting was recessed.
ITEM NO. 8 - CONVENE EXECUTIVE SESSION: Topics for discussion were:
A. Discuss financial assistance request received from the Wylie Merchant's
Association.
B. Discuss cash grant request to complete repairs to 140 Kristen Lane.
C. Discuss request from an interested party for the Development Corporation to build
and lease a facility to house his company.
ITEM NO. 9 - RECONVENE OPEN MEETING: Open Meeting reconvened.
ITEM NO. 10 - ACTION, IF ANY. FROM EXECUTIVE SESSION: None
ITEM NO. 11 - CITIZEN PARTICIPATION: None
ITEM NO. 12 - ADJOURNMENT: Meeting adjourned.
Raymond Cooper, President
DEVELOPMENT CORPORATION of WYLIE, INC.
Respe ly submitted:
b a Lecocq, Sec etary
DevCorp of Wylie
Minutes 110993 Page 2
TREASURER'S REPORT ENDING 11/30/93
ENDING BALANCE - 10/31/93
Provident Bank-Wylie 94,429.74
American National Bank-Wylie 286,754.69
C/D American National Bank-Wylie 122,485.72
Petty Cash, Provident Bank-Wylie 41.56
Total funds available 11/1/93 503,711.71
INCOME
Money Market funds 11/1/93 381,184.43
Sales tax revenue 27,741.80
Interest earned 634.35
Matured C/D#400001919 122,485.72
1993 property tax escrow 5,497.65
Funds availableduring month 537,543.95
EXPENSES
GTE Southwest, Inc. 64.12
Oakridge Country Club 40.05
Provident Bank(941 tax payment) 470.00
Reimburse petty cash fund 487.44
City of Wylie(contract services) 44.75
Richardson C/C -'93 Wescom show 75.00
McWilliams&Houser-Legal fees 2019.25
American Express-'93 Wescom show 558.24
C.C.Womack(salary) 1,683.00
Bookkeeping Matters 200.00
A.A.R.P. Group Health Ins. Program 177.50
North Texas Commission 1,000.00
Commonwealth Land Title Co. 125,901.00
American National Bank-Note purchase 113,895.20
American National Bank-C/C purchase 8.590.52
Total checks written on Money Market acct. (255,206.07)
PETTY CASH FUNDS
Balance available 11/1/93 41.56
Transfer from general fund 487.44
Reimbursement Wylie C/C - supplies 16.15
Total funds available 545.15
EXPENSES
U.S. Postal Service(stamps) 29.00
Maria's Restaurant(Unger) 14.23
Office Depot(supplies) 46.26
Wylie C/C luncheon 7.50
Wylie Printing&Office Supply-supplies 8.50
Total Petty Cash Expenses (105.49)
OTHER CORPORATE FUNDS
American National Bank Cashier's Check 8,590.52
Total Corporate Funds 11/30/93 291,368.06
RECAP OF FUNDS ON DEP.W/LOCAL BANKS
American National Bank,Wylie 189,027.72
Provident Bank-Wylie 93,749.82
American National Bank-Terrell(C/C) 8,590.52
Total Bank Balances 291,368.06
Contingent Liabilities:
(1) 1/20/93 commitment totaling$10,000.00 to reimburse Perma-Tune Electronics, Inc. for moving expenses from
Anaheim, California. Current unfunded balance is $3,036.30.
(2) 1/20/93 commitment not to exceed$6,000.00 to reimburse Perma-Tune Electronics, Inc. for partial expenses to
train six(6)new employees who are permanently employed for a period of twelve (12)months.
(3) 8/10/93 commitment to loan Wylie Machine Shop,Inc. a total of$10,000.00 to help defray current operating
expenses due to building being destroyed by tornado.
(4)Disputed claim of five thousand one hundred twenty-three dollars and seventy-one cents ($5,123.71) submitted by
American National Bank for purported legal services filed in our behalf as a creditor of Healthcare Enterprises of
North Texas,Ltd., aka Physicians Regional Hospital.
(5) 1993 estimated property tax escrow payment totalling five thousand four hundred ninety-seven dollars and sixty-
five cents($5,497.65)received from seller of the 544 Industrial Park properties.
* A$2,000.00 escrow payment is due from Commonwealth Title&Land Co.
(*) Total corporate funds available for future investments $263,710.40
BALANCE SHEET 11/30/93
Development Corporation of Wylie, Inc.
CURRENT ASSETS:
Provident Bank,General Fund 93,310.16
Provident Bank,Petty Cash 439.66
American National Bank-Money Market 189,027.72
American National Bank-C/C 8,590.52
Total Cash 291,368.06
Notes Receivables 113,145.71
Interest Receivables 4,408.15
Total receivables and Interest 117,553.86
FIXED ASSETS
Furniture,Fixtures and Equipment 3,870.00
Total fixed Assets 3,870.00
REAL ESTATE
Industrial Lots 126,901.00
Total Real Estate 126.901.00
OTHER ASSETS
Escrow deposits 2,000.00
Total other assets 2,000.00
TOTAL ASSETS 541,692.92
LIABILITIES AND CAPITAL
CURRENT LIABILITIES:
Payroll taxes payable 470.00
Disputed legal fees 5,123.71
Property taxes 5,497.65
Total current liabilities 11,091.36
Long term liabilities -0-
Capital 530,601.56
Total Capital 530,601.56
Total Liabilities and Capital 541,692.92
SUMMARY OF NOVEMBER ACTIVITIES
Apparently business expansion and relocation plans have been put on "hold" until after the holidays
because not one new prospect has called or has made a personal visit to discuss a future move or enlarge
their present facilities. Two local individuals made personal visits to discuss a possible future relocation
if economic conditions warrant such a move and if there were sufficient financial incentives available to
justify the capital expenditure. Mike Collins and I attended an Economic Development Professionals
Regional Prosperity Planning session hosted by the North Central Texas Council of Governments.
Governor Richards made the request that a "Regional Prosperity Plan" be developed to determine the
economic development goals and priorities of a sixteen (16) county region. The meeting was well
attended by representatives from several cities, state and local municipalities. Participants voted to
conduct a two-day workshop at a later date.
Physicians Regional Hospital
Unconfirmed reports indicate that the hospital continues to operate profitably and is able to meet current
operating projections. Both Med-Surg and Geopsych units continue to meet average census count of
previous months. The administration of daily activities of the hospital continue to be under the control
of Mr. Gregg Pritchard, Chapter XI Trustee.
A creditors' meeting was held with the U.S. Bankruptcy Court in Tyler on November 18, 1993. This
meeting was scheduled to study the First Amended Disclosure Statement and the First Amended Joint
Plan of Reorganization propounded by J. Gregg Pritchard, Trustee. The plan was adopted after several
objections were filed by American Healthcare Management. Judge Abel overruled the objections and
ordered the next meeting in Tyler on February 1, 1994. This meeting will permit the creditors to cast a
vote for or against the plan. If the plan is approved it will be implemented thirty (30) days after
certification.
An attorney attending the Tyler meeting reported he is representing an investor group interested in the
possible purchase of the physical assets of the hospital. The investor would then execute a lease of the
properties to an operating group composed of medical doctors. No further details were offered.
Jim Meara d/b/a The Meara Company
D.R. Horton Homes, Inc. has purchased six lots in the Westgate sub-division. Four houses are under
contract of sale and construction will begin in December. A model home will be constructed on one of
the remaining lots. Another six building lots is scheduled to be purchased by March 31, 1994. Mr.
Meara is optimistic that all forty-eight lots will be sold within a twenty-four month period.
Unger & Associates, Inc. (UAI)
Management continues to seek financing for expanded working capital needs. Some fifty-nine thousand
new contracts were received during November. This has increased the loan dollar outstanding balance
another eighty-nine million dollars. This increase in defaulted notes requires additional employees and
increased leased space. The additional expense continues to create a real financial problem until
sufficient cash flow is realized within the next six months. No local bank has been able to approve their
working capital needs of one million, five hundred thousand dollars. No move is anticipated until their
financial problems are solved.
*�
CITY OF WYLIE
2000 HWY.78N. -P.O. BOX 428
WYLIE,TEXAG ''^98
(214)442-2236 • Fi 142-4302
December 9, 1993
TO: Development Corporation Board
FROM: Mayor John Akin and City Council
SUBJECT: Economic Development Priorities
On Tuesday, December 7, 1993, the City Council met in a worksession to discuss the
city's priorities for economic development. In this 4—orkesessio, we discussed the
priorities that were jointly agreed for in November of 1992. These priorities are attached
for your review. It is apparent that the Development Corporation has not completed its
listed priorities. The City Council is very concerned about the future direction of
economic development in Wylie.
As the economic development arm of the city, the City Council would like to conduct
another joint worksession with the Board to discuss specific goals, objectives and the
Development Corporation's economic development "plans" for Wylie. At this
worksession (to be held in January), the Board should be prepared to address and update
the council on the status of the incomplete priorities as well as future objectives.
The City Council is extremely interested in the Development Corporation compiling a city
fact book, developing a targeted business approach and an overall plan for economic
development for the City of Wylie. Furthermore, the City Council is in agreement that
the Development Corporation should pursue infrastructure improvements in Wylie's
business parks and revitalization plans for the downtown area.
In the coming weeks, the City Council will set a meeting date for our January
worksession. Please bring your ideas and plans to this meeting.
cc: Charlie Womack, Executive Director, Development Corporation of Wylie, Inc.
Steve Norwood, City Manager, City of Wylie
MEMORANDUM
DATE • November 17, 1992
TO City of Wylie Council Members Ai'ti ►ev lopment Corporation Board
PROM Steve Norwood, City ManageridrA�
SUBJECT Joint Economic Development Goals
This letter Is to follow-up on the recent meeting of the City Council and Development Board on
Thursday, November 12, 1992. I believe we are all in agreement that for economic development
to he successful, both City Council and the Development Corporation Board must be in sync to
achieve our expected goals.
We have great thoughts, ideas, and expectations of what economic development means for
Wylie. However, these ideas must be written down and placed into action.
Below is a comprised list of the priorities along with assignments to the revonsible party as
stated from out joint meeting Please understand that some of these prioriti' •nay overlap.
CITY OF WYLIE PRIORITIES:
1.) Develop and adopt comprehensive plan for the City of Wylie.
2.) Improve aesthetics of City through more effective Code Ordinances.
3.) Establish time-line for securing right-of-way and utility relocations for SH 78.
4.) Communicate information on Tax Incentive Policy to County, Commissioners,.
•
and Board of Trustees.
•
DEVELOPMENT CORPORATION PRIORITIES:
1.) Develop a Tax Incentive Policy for City, School, and County approval.
2.) Develop a computer data base on key commercial and industrial land tracts in -
Wylie.
3.) implement a Business Retention Program which includes luncheons, site visits and
other recognition items for existing businesses.
4.) Develop a formal policy regarding procedures for loans, grants and other monetary
inducements for new and existing businesses.
i he above mentioned priorities are short term in nature. All of the priorities for both City and
Development Corporation should be accomplished within the next six (6) to nine (9) months.
•
Should you have any questions, please do not hesitate to contact me.
•
•
Mark S. Houser
State Bar No. 10049500
McWILLIAMS & HOUSER, P.C.
1600 Redbud Boulevard, Suite 400 •
McKinney, Texas 75069-0844
214/542-1251 or 248-0152 •
•
IN THE UNITED STATES BANKRUPTCY COURT
FOR THE EASTERN DISTRICT OF TEXAS •
SHERMAN DIVISION
IN RE: §
HEALTHCARE ENTERPRISES OF
NORTH TEXAS, LTD, aka § CASE NO. 93-40325-CHA-11
PHYSICIANS REGIONAL HOSPITAL,
DEBTOR § Chapter 11
NOTICE OF PARTIAL TRANSFER OF CLAIM
1. The undersigned, who resides at P.O. Box 844, McKinney, Texas 75069-0844,
is the agent of DEVELOPMENT CORPORATION OF WYLIE, INC., P.O. Box 1467,
Wylie, Texas 75098, and is authorized to to file this'Notice of Partial Transfer of Claim on
behalf of the claimant.
2. As evidenced by a Proof of Claim filed with this Court on April 13, 1993, the
DEBTOR was, at the time of the filing of the petition initiating this case, and still is indebted
to AMERICAN NATIONAL BANK, in the sum of $111,198.91 plus $16.57,per day after
March 23, 1993. Said Proof of Claim contains two (2) other notes not transferred, which claims
are retained by AMERICAN NATIONAL BANK.
3. For and in consideration of the payment of$113,895.20, the current outstanding
principal balance owing on said note, by DEVELOPMENT CORPORATION OF WYLIE,
INC., AMERICAN NATIONAL BANK has transferred to DEVELOPMENT
CORPORATION OF WYLIE, INC. the claim and note described in Paragraph 2 hereof
including all personal guarantys incident thereto.
4. A duplicate of the note properly endorsed by AMERICAN NATIONAL BANK
to DEVELOPMENT CORPORATION OF WYLIE, INC. is attached hereto, which
endorsement effectuates the transfer of said note and claim.
5. The transfer is partial in that AMERICAN NATIONAL BANK retains that
portion of its claims not transferred, namely notes #41403680 and #41402640.
PURSUANT TO RULE 3001(e)(2), DEVELOPMENT CORPORATION OF WYLIE,
INC. WILL BE SUBSTITUTED FOR AMERICAN NATIONAL BANK AS TO THE CLAIM
DESCRIBED HEREIN UNLESS A WRITTEN OBJECTION OR REQUEST FOR
HEARING IS FILED WITH THE UNITED STATES BANKRUPTCY CLERK, 660 N.
CENTRAL EXPRESSWAY, SUITE 300-B, PLANO, TEXAS 75074, WITHIN TWENTY
(20) DAYS FROM THE DATE OF FILING OF THIS NOTICE, UNLESS THE COURT,
SUA SPONTE, OR UPON TIMELY APPLICATION OF A PARTY IN INTEREST,
SHORTENS OR EXTENDS THE TIME FOR FILING SUCH OBJECTION OR REQUEST
FOR HEARING.
IF NO OBJECTION OR REQUEST FOR HEARING IS TIMELY FILED, THE
PARTIAL TRANSFER OF CLAIM SHALL BE DEEMED TO BE UNOPPOSED AND
SHALL BE EFFECTIVE IMMEDIATELY UPON THE EXPIRATION OF TWENTY (20)
DAYS HEREFROM. THE COURT RESERVES THE RIGHT TO SET ANY MATTER
FOR HEARING. •
Name of Creditor: DEVELOPMENT CORPORATION OF WYLIE, INC.
McWILLIAMS & HOUSER
A Professional Corporation
.
MARK S. HOUSER
State Bar No. 10049500
1600 Redbud Boulevard, Suite 400
McKinney, Texas 75069-0844
214-542-1251 or 248-0152
Fax 214-548-9881 or 952-8931
Attorneys for Creditor
DEVELOPMENT CORPORATION OF
WYLIE, INC.
DATE: November 22, 1993
•f
STRATEGIES FOR ATTRACTION OF NEW BUSINESS
1 . Attraction for a particular industry must be guided by a very
clear set of principals .
2 . Should have an objective analysis of the community and the
local and regional economic base.
3 . Choise of which industries to target must follow a clear under-
standing of the region' s economic structure.
4 . Which industries with a small or new presence having potential
for growth, given the region' s economic resources .
5. Concentrate your efforts toward firms which could be most
successful in your area and which can best take advantage of
the community' s resources .
6 . Attraction programs should focus on existing community strengths
and particular local advantages and should target firms that
can benefit from these advantages .
AN ATTRACTION PROGRAM SHOULD INCLUDE:
1 . A promotional strategy.
2 . A system for identifying suspect industries and a plan for
handling such industries .
3 . A well rehearsed and concise presentation on the basic ' s of
the community.
4 . A determination that available sites are really available.
A. The price of each site is firm and reasonable.
B. Price will not increase should prospect show interest.
5 . A plan (preferably written) to address the community ' s
shortcomings .
A. Should have frank discussion of these shortcomings by
a team with the prospect ' s representatives .
6 . A one page quick reference data sheet should be prepared on
the community.
A. The data reference sheet should con,tain-coM =unity=-base --
materials providing pertinent details .
Handling Inquiries
Once a suspect is identiff d:, the next step is to make an
initial contact by telephone or letter.
The object of a telephone call should beto• fan the suspect ' s
interest in the community, and in the process to provide answers
to any questions the suspect may have about the community. This
is also the ideal opportunity to arrange, as soon as possible, for
a face-to-face meeting with the executive.
Your call should be planned very carefully in advance by
. i .
writing down the main selling points to ' be . made. It is very
important not• to make disorganized calls. Arrange to send, or
preferably to bring in person, additional information for a face-
to-face meeting.
The objectives for handling inquiries by mail are much the
same as by phone. With both methods it is helpful to utilize a •
Prospect Contact Report
Once you have a fish on your line, you might be strongly
tempted to talk about it. If you do, you might win community
praise, but you will almost certainly lose the fish!
It is very important that discretion and confidentiality be
maintained at every stage of communication with an industrial
representative. There are many reasons for discretion. An
announcement that a company may build a plant elsewhere may cause
uneasiness, well founded or not, in the community where the company
already operates . Land costs may rise to prohibitive levels in the
•
community where the inquiry has been made. Ill-informed opposition
on the part of prospective neighbors may be generated. The
citizens of your community may be primed for a letdown if your
location is not selected. Also, corporate management is usually
reluctant to be exposed to a barrage of promotional literature from
a large number of communities, many of which could not be
considered in any case.
When you receive any written or personal inquiry, you should
assume that the inquirer wants no publicity of any kind relative
to his interest. Your discretion will promote the inquirer ' s trust
and confidence as you assist in providing the information desired
or in making requested contacts in the community.
Above all else, the importance of prompt, factual and honest
communication is paramount. Industrial site seekers never ask the
easy, general questions. They ask detailed questions about
undramatic matters ( for example water analysis, tax assessment
ratios, and the like) . These kinds of questions deserve and demand
heavy digging. The industrial representative will be favorably
impressed by hard facts and unfavorably impressed by information
which is indefinite, inadequate or proven unreliable.
NOTICE OF MEETING
NOTICE IS HEREBY GIVEN THAT THE DEVELOPMENT CORPORATION OF WYLIE, INC.
BOARD OF DIRECTORS WILL MEET AT 4:00 F.M. ON THE 9 DAY OF
1/41241114-4,(-444. , 199 9-3 AT 108 WEST MARBLE, IN THE CITY OF WYLIE, TEXAS
FOR THE PURPOSE OF CONSIDERING THE ABOVE AGENDA.
Lac)
MARY NIOLS, CITY SECRETARY
POSTED THIS THE 6 - --' DAY OF , 1993, AT 140t)PM.
MINUTES
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, NOVEMBER 9, 1993
The Directors of the Development Corporation of Wylie, Inc. met in regular session at 4:00 PM
. on Tuesday, November 9, 1993 in the Development Corporation conference room at 108 N.
Marble, Wylie, Texas. A quorum was present and notice of the meeting had been posted in the
time and manner required by law. Those present were President Raymond Cooper, Vice-
President John Tobin, Secretary/Treasurer John Yeager, member John Mondy and newly
appointed member Marvin Fuller. Executive Director Charlie Womack, Mayor John Akin,City
Manager Steve Norwood, and Administrative Assistant Mike Collins were also present.
Representing City staff was Barbara LeCocq, Secretary.
ITEM NO. 1 - ADMINISTER OATH OF OFFICE TO NEW MEMBER: Newly:appointed
member Marvin Fuller was given the oath of office by Secretary Barbara LeCocq.
ITEM NO. 2 - DISCUSS AND;APPROVE MINUTES OF OCTOBER 12;. 1993 MEETING:
In item 4, page 2,of the minutes for the meeting held on October 12, 1993, President Raymond
Cooper asked that the word "Election" (of New Director) be changed to, "appointment". With
no further changes or corrections, a motion was made by John Yeager to approve the minutes
as corrected, seconded hy John'Tobin. All in favor, motion carried.
ITEM NO. 3 - DISCUSS AND APPRQVE TREASURER'S REPORT ENDING OCTOBEI 31,,
• 1993: Treasurer's report shows Total funds available 10/1/93 as $495,854,63. Income
$392,732.96. Expenses $11,548.53. The president called for a motion. Motion was made by
John Tobin to approve the treasurer's report as submitted. Seconded by Marvin Fuller. All in
favor. Motion Carried.
ITEM NO. 4 - REPORT FROM EXECUTIVE DIRECTOR,. CHARLIE WOMACK: Mr.
Womack gave a report on current projects before the corporation. '(Mr Womack's written report
attached hereto as a part of the official minutes.) Topics included status report on Physicians
Regional Hospital, Roberts,Manufacturing Company, Gerwin Corporation dba The.Merry Miler • ..
Company, Unger.& Associates, Inc. (UAI). Mr. Womack asked the directors to discuss Unger
& Associates need for $1..5 million loan for working capital. Raymond Cooper suggested the
the vacant Johnston Manufacturing building as a possible location for Unger. Mike Collins
stated Ken Lane, President of American National Bank "has not closed the door on the deal".
ITEM NO. 5 - APPROVE FINAL PRUCHASE PRICE OF SEVEN (7) INDUSTRIAL LOTS
IN THE FM544 INDUSTRIAL PARK: Final purchase price of $126,782.00 approved by
unanimous vote. Motion made by John Yeager, seconded by John Tobin.
DevCorp of Wylie
Minutes 110993 Page 1
ITEM NO. 6 - DISCUSS AND APPROVE LEGAL FEES SUBMITTED BY MCWILLIAMS
& HOUSER: These fees were incurred during the proposed land purchase of the J. D. Russell
Company property. A motion was made by John Tobin, seconded by John Monday, to approve
for payment the amount of $2,019.25. All in favor. Motion carried.
ITEM NO. 7 - RECESS OPEN MEETING: The open meeting was recessed.
ITEM NO. 8 - CONVENE EXECUTIVE SESSION: Topics for discussion were:
A. Discuss financial assistance request received from the Wylie Merchant's
Association.
B. Discuss cash grant request to complete repairs to 140 Kristen Lane.
C. Discuss request from an interested party for the Development Corporation to build
and lease a facility to house his company.
ITEM NO. 9 - RECONVENE OPEN MEETING: Open Meeting reconvened.
ITEM NO. 10 - ACTION. IF ANY, FROM EXECUTIVE SESSION: None
ITEM NO. 11 - CITIZEN PARTICIPATION: None
ITEM NO. 12 - ADJOURNMENT: Meeting adjourned.
Raymond Cooper, President
DEVELOPMENT CORPORATION of WYLIE, INC.
Respe ly submitted:
b a Lecocq, Sec etary
•
DevCorp of Wylie
Minutes 110993 Page 2
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC.
MINUTES
OCTOBER 12 , 1993
The Directors of the Development Corporation of Wylie, Inc. met in
regular session at 4:00 P.M. on Tuesday, October 12 , 1993 in the
Development Corporation's office at 108 W. Marble, Wylie, Texas.
A quorum was present and notice of the meeting had been posted in
the time and manner required by law. Those present were President
Raymond Cooper, Vice President John Tobin, Secretary/Treasurer John
Yeager and member John Mondy. Executive Director Charlie Womack,
Mayor John Akin, Councilwoman Rita Allen, City Manager Steve
Norwood and Administrative Assistant Mike Collins were also
present . In attendance from the City Staff was Anita Collins .
President Raymond Cooper called the meeting to order.
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF SEPTEMBER 10 , 1993
REGULAR MEETING: There being no corrections to the minutes a
motion was made by John Yeager to approve the minutes as written.
The motion was seconded by John Tobin. The motion carried with all
in favor.
DISCUSS AND CONSIDER TREASURER' S REPORT ENDING 09/31/93 : Total
corporate funds available for investment as of September 31 , 1993
were $355,870 . 66. Expenses for September were $3, 917 . 74 and
revenues were $19,006 . 79. A motion was made by John Tobin to
approve the report as written. The motion was seconded by John
Mondy. The motion carried with all in favor.
REPORT FROM EXECUTIVE DIRECTOR: Mr . Womack gave a report of the
September activities which included a report on the Physicians
Regional Hospital .
A reorganization plan for the hospital has been submitted to the
Bankruptcy Court by the hospital group and an alternate proposal
has been offered by American Healthcare Management . It has been
stated that if Mr. Wedekind, who was released of his duties by the
trustee, is not reinstated all physicians associated with the
hospital and current administrative staff will submit their
resignation. The trustee has instructed American National Bank-
Wylie to offset their debt against the Certificate of Deposit that
was pledged by the Development Corporation of Wylie, Inc. to secure
the indebtedness . The bank has agreed to delay this action until
the Corporation has had time to obtain legal advice on appropriate
action to be taken to secure a lien position against the hospital
and individual guarantors . There is a hearing scheduled for
October 20 , 1993 at the Bankrupcty Court in Tyler .
There has been no contact with the Major Employer since August .
They have extended their current lease for an additional year and
thus eliminated any need for an immediate relocation decision.
Jim Meara reported that General Homes , Inc . will not be purchasing
his property for development . Discussions are continuing with
United Homecraft and D.R. Horton Homes .
Mr. Womack has been unable to make contact with Allied Powder
Technologies, Inc.
Roberts Manufacturing Company has not reached any decisions on
their consolidation or relocation.
The Gerwin Corporation d/b/a The Merry Miler Company has found
suitable facilities in Seagoville to meet their immediate needs .
Wylie could still be a possible relocation site if they decide the
Seagoville address is inadequate for future growth.
Wescon ' 93 Trade Show was well attended and the convention
facilities were excellent . The booth location was not good.
ELECTION OF NEW DIRECTOR TO REPLACE MR. TIMOTHY S. ROBINSON: This
item was postponed pending the outcome of tonight ' s City Council
meeting where they will appoint a new member.
REPORT BY CITY MANAGER, STEVE NORWOOD: Mr. Norwood reported to the
Development Corporation that Mike Collins will now be coordinating
all efforts for economic development . All questions regarding
zoning, available land, building specifications , etc. that a
prospective business might have should be directed to Mike .
APPROVE FINAL PAYMENT OF OUR FEBRUARY 10 ,1993 COMMITMENT TO
REIMBURSE THE WYLIE CHAMBER OF COMMERCE FOR SERVICES PROMOTING THE
CITY OF WYLIE: The Chamber has submitted a report of their
expenditures in this area and Mr. Cooper recommended payment of our
commitment . Mr. Yeager made a motion that we make the $7 ,500
payment to the Wylie Chamber of Commerce, seconded by Mr . John
Mondy. The motion carried with all in favor .
APPROVE THE LIQUIDATION OF OUR GUARANTY WITH AMERICAN NATIONAL
BANK, WYLIE, RELATING TO THEIR LOAN WITH HEALTHCARE ENTERPRISES OF
NORTH TEXAS, LTD. : A motion was made by John Tobin to buy the
note from American National Bank. This would make the Development
Corporation an unsecured creditor and would give us full recourse
against the guarantors . The motion was seconded by John Yeager.
The motion carried with all in favor.
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Discuss Purchase Of Existing Industrial Building Lots
RECONVENE TO OPEN MEETING
ACTION FROM EXECUTIVE SESSION:
A. Mr. Mondy made a motion that we purchase the seven lots
that are still unoccupied on Business Way. We will make
the owner an offer of sixty cents ( . 60) per square foot .
If he doesn' t accept we will entertain a counter offer.
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made and
seconded that the meeting be adjourned.
Minutes of the October 12 , 1993 , regular meeting approved by the
Board of Directors at its meeting on November 9, 1993 .
Raymond Cooper, President
PREPARED BY:
Anita Collins
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, OCTOBER 12, 1993, 4:00 P.M.
WYLIE CHAMBER OF COMMERCE OFFICE
108 W. MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . ADMINISTER OATH OF OFFICE TO NEW MEMBER.
2 . DISCUSS AND APPROVE MINUTES OF OCTOBER 12 , 1993 REGULAR
MEETING OF THE DEVELOPMENT CORPORATION OF WYLIE, INC.
3 . DISCUSS AND APPROVE TREASURER' S REPORT ENDING OCTOBER 31 ,
1993 .
4. REPORT FROM EXECUTIVE DIRECTOR, CHARLIE WOMACK.
5 . APPROVE FINAL PURCHASE PRICE OF SEVEN (7) INDUSTRIAL LOTS
IN THE FM 544 INDUSTRIAL PARK, WYLIE, TEXAS.
6. DISCUSS AND APPROVE LEGAL FEES SUBMITTED BY MCWILLIAMS &
HOUSER, ATTORNEYS FOR SERVICES RENDERED DURING OUR
PROPOSED LAND PURCHASE FOR THE J.D. RUSSELL COMPANY.
� as--a - ) 2 a ,'
.„44.L /%fig, 7C-
7 . RECESS OPEN MEETING
8 . CONVENE TO EXECUTIVE SESSION
A. DISCUSS FINANCIAL ASSISTANCE REQUEST RECEIVED FROM THE
WYLIE MERCHANTS' ASSOCIATION.
B. DISCUSS CASH GRANT REQUEST TO COMPL TE REPAIRS TO 140
KRISTEN LANE. P 171 . Crri( 4V.a ^ gIPiL 671
C. DISCUSS REQUEST FROM AN INTERESTED PARTY FOR THE
DEVELOPMENT CORPORATION TO BUILD AND LEASE A FACILITY
TO HOUSE HIS COMPANY.
9. RECONVENE OPEN MEETING
10 . ACTION, IF ANY, FROM EXECUTIVE SESSION
11 . CITIZEN PARTICIPATION.
WYLIE RESIDENTS WISHING TO SPEAK SHOULD LIMIT REMARKS TO A
MAXIMUM OF FIVE (5) MINUTES.
12 . ADJOURN.
tI
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC. " ,,,4l.- i
TUESDAY, OCTOBER 12 , 1993 •�L
4 :00 PMr�,�Yl �
WYLIE CHAMBER OF COMMERCE OFFICE
108 WEST MARBLE
WYLIE, TEXAS —6-ry
flr
CALL TO ORDER VL,,,�
ORDER OF
BUSINESS BUSINESS ��
1 . Discuss and Consider Approval of Minutes of
September 10 , 1993 Regular Meeting of the
Development Corporation of Wylie, Inc . 6) L /ily.e.,.., -
2 . Discuss and Consider Treasurer's Report
Ending 09/31/93
3 . Report from Executive Director
4. Election of New Director to Replace -
Mr . Timothy S . Robinson
5 . Report by City Manager, Mr. Steve Norwood
6. Approve Final Payment of our February 10 , 1993
Commitment to Reimburse the Wylie Chamber of
Commerce for Services Promoting the City of
Wylie.
7 . Approve the Liquidation of our Guaranty with
American National Bank, Wylie, relating to
their loan with Healthcare Enterprises of
North Texas, Ltd.
8 . Recess Open Meeting
9. Convene to Executive Session
A. Discuss Purchase of Existing Industrial
Building Lots
10 . Reconvene Open Meeting
11 . Action, if any, from Executive Session
12 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit
Remarks to a Maximum of Five (5) Minutes .
13 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation
Board of Wylie will meet at 4 : 00 P.M. on the /2 r/-- day of
f -, , 1993 at 108 West Marble, in the City of Wylie,
Texas , for the purpose of considering the above agenda.
c/zehed).. ,
171
Ma y cho s , City Secretary
POSTED THIS THE 1 64' DAY OF QC---r�`'`1. , 1993, AT S OO /n. M.
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE , INC .
MINUTES
SEPTEMBER 14 , 1993
The Directors of the Development Corporation of Wylie , Inc . met
in regular session at 4 : 00 P .M. on Tuesday, September 14 , 1993 in
the Development Corporation ' s office at 108 W. Marble , Wylie ,
Texas . A quorum was present and notice of the meeting had been
posted in the time and manner required by law. Those present
were President Raymond Cooper , Vice President John Tobin,
Secretary/Treasurer John Yeager and member John Mondy. Executive
Director Charlie Womack, Mayor John Akin and City Manager Steve
Norwood were also present . In attendance from the City Staff was
Anita Collins . Tim Robinson was absent from the meeting .
President Raymond Cooper called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF AUGUST 10 , 1993
REGULAR MEETING: Item "B" of the executive session should show
Mr . Yeager making the motion and the motion being seconded
by Mr . Tobin . There being no other corrections to the minutes
John Yeager made a motion that they be approved, seconded by
John Tobin . The motion carried with all in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER'S REPORT: Total
corporate funds available for investment as of August 31 , 1993
were $363 , 147 . 47 . Expenses for August were $4 , 936 . 47 and
revenues were $27 , 682 . 84 . A motion was made by John Yeager to
accept the Treasurer ' s Report as read and was seconded by John
Tobin . The motion carried with all in favor . (See attached
report at the end of these minutes) .
REPORT FROM EXECUTIVE DIRECTOR:
A. Physicians Regional Hospital Status Report - Mr . Womack
reported he has a copy of the hospital ' s reorganization
plan. The plan prov _d-e s��tkat the Development Corporation ' s
loan will be repaid" ¢ b t'`hree year period at 5 1/2% .
The bankruptcy court must still approve the proposed payment
plan.
B . Major Employer Relocation Status Report - All plans
for a relocation have been postponed until after the first
of the year .
C . Jim Meara, D/B/A the Meara Company Status Report - Mr.
Meara reports that General Homes has completed their due-
diligence study and plans to sign a contract to buy the
forty-eight residential lots within a two ( 2 ) year period.
The contract should be signed by the middle of September.
The model home should be started by October 1 , 1993 .
D . Applied Powder Technologies , Inc . - No contact was made
during August . Mr . Chad has not returned my calls .
E . Roberts Manufacturing Company - Mr . Larry Doyle,
Distribution Facilities Manager for Roberts Manufacturing
Company reported the company is still making plans to
relocate but no definite decision will be made before next
year . The company is taking a wait and see attitude . They
are also considering another location . Mr . Doyle will keep
us informed.
F . Gerwin Corporation d/b/a The Merry Miler Company - The
corporation owns and operates several satellite companies
that convert vans and other vehicles for the tourist trade.
Their Garland facility was recently destroyed by fire . They
are looking for a 30 , 000 square foot building to
temporarily house their manufacturing facilities . No
facility was available , but they indicated a desire to move
from Garland if a satisfactory financial incentive package
was offered.
G . Westcon ' 93 Trade Show - Mr . Womack gave the board the
current status of this project .
APPROVE THE RESIGNATION OF MR. TIMOTHY S. ROBINSON AS A DIRECTOR
OF THE CORPORATION: President Cooper presented Mr . Robinson' s
letter of resignation. Mr . Robinson's business is such that at
this time he cannot serve on the board . John Yeager made a
motion to accept Mr . Robinson' s resignation, seconded by Mr.
Tobin. The motion carried with all in favor .
APPROVE THE FINAL PAYMENT OF OUR FEBRUARY 10 , 1993 COMMITMENT TO
REIMBURSE THE WYLIE CHAMBER OF COMMERCE FOR ADVERTISING EXPENSES:
No action was taken on this item since the Development
Corporation has not received an expense report from the Chamber
on their expenditures related to advertising for the Corporation.
APPROVE PAYMENT IN OCTOBER 1993 FOR AN ANNUAL MEMBERSHIP WITH THE
NORTH TEXAS COMMISSION: The board members discussed the pros and
cons of membership in this commission. Mr . Yeager made a motion
to approve payment for a membership in North Texas Commission.
Mr. Tobin seconded the motion. Mr . Mondy voted against the
approval . The motion carried with three in favor and one
against .
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Status Report on Land Purchase and Current Negotiations
With Prospect to develop into Industrial Park .
B . Status Report on Our Loan Commitment to Wylie Machine Shop ,
Inc .
ACTION FROM EXECUTIVE SESSION
A. No Action Taken
B . No Action Taken
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the September 14 , 1993 , regular meeting approved by
the Board of Directors at its meeting on October 12 , 1993 .
Raymond Cooper , President
PREPARED BY :
Anita Collins
TREASURER'S REPORT ENDING 10/31/93
ENDING BALANCE - 9/30/93
Provident Bank-Wylie 87,148.46
American National Bank-Wylie 286,151.59
C/D American National Bank-Wylie 122,485.72
Petty Cash, Provident Bank-Wylie 68.86
Total funds available 10/1/93 495,854.63
INCOME
Demand funds available 373,300.05
Sales tax revenue 18,293.38
Interest earned 805.68
Note Payment Gingy's Heaven Sent 333.85
Checking funds available 392,732.96
EXPENSES
GTE Southwest, Inc. 56.89
Oakridge Country Club 40.05
Provident Bank(941 tax payment) 470.00
Rotary Club of Wylie 90.00
City of Wylie(services) 44.75
C.C. Womack(salary) 1,683.00
Wylie Chamber of Commerce 7,500.00
Commonwealth Land Ttitle 1,000.00
Bookkeeping Matters 35.00
C.C. Womack-Wescon'93 Trade Show 451.34
A.A.R.P. Group Health Ins. Program 177.50
Total expenses 11,548.53
Checking funds available 11/1/93 381,184.43
PETTY CASH FUNDS
Balance ending 9/30/93 68.86
Office Depot 10.39
Maria's Restaurant 9.41
Wylie Chamber of Commerce 7.50
Balance ending 10/31/93 41.56
DEMAND FUNDS AVAILABLE 11/1/93
Total value CD#400001919 122,485.72 122,485.72
Total CD and demand funds 10/31/93 503,711.71
Contingent Liabilities:
(1) C/D#400001919 totaling$122,485.72 is pledged to American National Bank-Wylie,to secure loan#41403945
for Healthcare Enterprises of North Texas, Ltd. d/b/a Physicians Regional Hospital. Current unpaid balance is
$113,895.20. Rate of interest is 5.5%. D/A is $16.58.
(2) 1/20/93 commitment totaling$10,000.00 to reimburse Perma-Tune Electronics, Inc. for moving expenses from
Anaheim, California. Current unfunded balance is $3,036.30.
(3) 1/20/93 commitment not to exceed$6,000.00 to reimburse Perma-Tune Electronics, Inc. for partial expenses to
train six(6)new employees who are permanently employed for a period of twelve(12)months.
(4) 8/10/93 commitment to loan Wylie Machine Shop,Inc. a total of$10,000.00 to help defray current operating
expenses due to building being destroyed by tornado.
(5) 10/14/93 commitment to purchase seven(7)industrial lots located in 544 Industrial Park, Wylie for$.70 per ft.
Total footage is 181,117 sq. ft. for cost of$126,781.90. Escrow of$1,000.00 has been paid leaving an unpaid
balance of$125,781.90.
*A$2,000.00 escrow payment is due from Commonwealth Title&Land Co.
(*) Total corporate funds available for future investments $246,998.31
RECAP OF FUNDS ON DEPOSIT WITH LOCAL BANKS
American National Bank-Wylie $409,240.41
Provident Bank-Wylie 94,471.30
Total Corporate funds available $503,711.71
BALANCE SHEET 10/31/93
Development Corporation of Wylie, Inc.
ASSETS:
Cash in Banks 381,225.99
Investments CD 122,485.72
Escrow deposits 3,000.00
Note receivable 3,145.71
Total Assets 509,857.42
LIABILITIES:
Current Payables 2,489.25
Total Liabilities 2,489.25
Equity or Net Worth 507,368.17
Total Liabilities&Net Worth 509,857.42
---- Contingent Liabilities:
(1) CD#400001919 totaling$122,485.72 is pledged to American National Bank,Wylie to secure loan for Healthcare
Enterprises of North Texas, Ltd. d/b/a Physicians Regional Hospital. Current balance including interest is$113,895.20.
(2) 1/2093 commitment totaling$10,000 to reimburse Perma-Tune Electronics, Inc. for moving expenses from Anaheim,
California. Current unfunded commitment is $3,036.30.
(3) 1/20/93 commitment totaling$6,000.00 to reimburse Perma-Tune Electronics for expenses to train six(6)new
employees who become permanently employed for one year.
(4) 8/10/93 commitment to loan Wylie Machine Shop, Inc. a total of$10,000.00 to help defray additional expenses
because of tornado damage to their existing facilities.
(5) 10/14/93 commitment to purchase seven(7)industrial lots located in the 544 Industrial Park for a total cost of
$126,781.90.
SUMMARY OF OCTOBER ACTIVITIES
Inquiries from interested parties increased during the month and this may indicate a more optimistic
expansion attitude within the business community. Two major prospects have indicated expansion and
relocation plans within the Metroplex area. Wylie has been selected as a possible candidate for serious
consideration. Two vacant buildings have been sold and will be occupied by the new owners. One owner
will be moving his business from Irving. Requests for small industrial buildings continue to be in demand,
but currently there is none available in Wylie. Much time has been spent as a member of the unsecured
creditors committee of the Physicians Regional Hospital. Our function is to formulate a plan that will be
acceptable not only to the court, but to other unsecured creditors.
Physicians Regional Hospital
The hospital remains open despite inordinate efforts by American Healthcare Management (AHM) to
force liquidation by a Chapter VII Bankruptcy petition. The judge rejected their petition and continued
operation of the hospital by the Trustee. Unconfirmed reports indicate the hospital continues to operate
profitably and has maintained an average census count equal to the last four months.
An all day trial was held by the bankruptcy court in Tyler on October 20, 1993 to hear and decide on the
Chapter VII petition filed by AHM. Some important decisions were ordered by the court. These are as
follows:
1. Denied their petition to liquidate the assets of the hospital.
2. Accepted the resignation of Mr. Wedekind as administrator of the hospital.
3. The Trustee or his designate could assume the lease from AHM with a long-term payout. This
will let the hospital operate without interference from AHM as long as future lease payments
are made according to the terms of the lease.
4. Accepted, after oral presentations, a joint plan of reorganization filed by the trustee.
5. Instructed the trustee to present a disclosure statement for review and acceptance on
November 18, at 10:00 a.m., in Tyler, Texas.
Listed below are some of the major covenants contained in the plan of organization filed by the trustee:
1. If accepted, the effective date will be February 25, 1994, and any payments in the plan will be
paid March 1, 1994.
2. Assumption of lease with AHM will become effective on February 25, 1994.
3. Cure of lease payments will be made over twelve (12) months starting from effective date.
4. 1993 ad valorem taxes to be paid in full by January 31, 1994.
5. Past due ad valorem taxes to be paid in eighteen (18) installments starting on effective date.
6. Unsecured creditors to receive equity in new company - anticipate sixty-five percent (65%)
payout.
7. Cure Workers Compensation and Employers Liability Insurance coverage.
8. Provide professional and general liability insurance policy of no less than ten million
($10,000,000.00) combined single limit per claim no later than June 1, 1994. There is a dispute
about the amount of coverage and this will be decided by the court.
9. No less than one hundred twenty thousand dollars ($120,000.00) will be maintained by new
company as capital reserve or operating funds.
October Summary
Page 2
10. IRS payments of thirty seven hundred dollars ($3,700.00) will continue to be fully amortized
over a five year period. The trustee has petitioned the court to waive the interest and penalties
accrued on the indebtedness.
11. Unsecured creditors would begin receiving their pro-rata share of net cash flow after lease
cure to AHM (should be approximately May of 1995). Thirty percent (30%) of claim would be
converted to twenty one percent (21%) of equity.
12. A small mechanics and materialmens' lien of eight thousand seven hundred dollars ($8,700.00)
will be liquidated.
13. An equipment lease for eleven thousand five hundred dollars ($11,500.00) will be paid off or
settled.
14. All unsecured debts will be classified as Class Seven (7) claims. These claims shall be
satisfied by the pro-rata issuance of shares of the common stock in the new company. It is
anticipated that dividends from the new company can be declared on a quarterly basis
beginning in the third quarter of 1995, and may result in distributions to shareholders over the
life of the plan which will total approximately sixty-five percent (65%) of the original total
claim.
Major Employer Relocation Status Report
Recent telephone conversation with our contact reveals current relocation plans have been discontinued
until early next year. One of their major customers has experienced a huge loss of their market and there
is a possibility the company will close several stores or will sell their entire Texas division. Our contact
continues to assure us that if relocation plans are resumed, we will be notified immediately. He claims
that Wylie continues to be a candidate for any new relocation site.
Jim Meara dba The Meara Company
Mr. Meara continues to be optimistic about the future development of the Westgate sub-division.
Currently D.R. Horton Homes, Inc. is scheduled to purchase six building lots before the end of
November. They claim one home has been sold and another is under contract. They plan to build the two
houses and construct a model home. The homes will contain 2,000 - 2,400 square feet and will range in
price from the low nineties to one hundred fifteen thousand. These houses will be comparable to the ones
they are building in the Shepherd Glen sub-division, Sachse, Texas.
Allied Powder Technologies, Inc.
I have continued in my efforts to visit with the principal officers by telephone, but have been unsuccessful
in having any dialogue with either Mr. Chad or Mr. Allen. They are either out of the office or busy talking
on another line. I have requested a return call, but currently they haven't honored my request. I shall
continue in my efforts, not only to visit with them, but will try to keep their interest in a possible move to
Wylie.
October Summary
Page 2
Roberts Manufacturing Company
Mr. Larry Doyle continues to insist that the company has postponed any relocation plans until early next
year. The company apparently isn't optimistic about the future economic growth and is reluctant to make
any relocation plans at this time. Mr. Doyle plans to be in California during December and he is hopeful
additional information can be obtained on their possible move. He will continue to keep us informed on
any new developments.
Gerwin Corporation dba The Merry Miler Company
No contact was made during the month because the company has moved into a new facility. They have
signed a one-year lease and have no immediate plans to relocate during the next twelve months. We will
contact them during November and try to determine if they continue to be a prospect for a relocation in
the near future.
Unger & Associates, Inc. (UAI)
The company was organized in 1984 by Ron and Dennis Unger. The company provides collection
services for defaulted student loans, collection services for the U.S. Department of Education, assists
banks and other lenders to restore federal guarantees on loans where guarantee has been lost due to
servicing violations, and offers default prevention programs to assist clients, primarily proprietary
schools, to reduce the rate at which their students default on federal loans.
UAI's production floor for its institutional collection and curing programs is located in Westfield,
Massachusetts, where they employ 50 full-time collectors. The focus of business at UAI's Illinois and
California officers is the execution of the company's U.S. Department of Education contracts. These two
locations employ an additional fifty collectors. Their nationwide sales and customer service personnel are
located in their corporate headquarters in Plano, Texas. Four full-time sales manager market UAI's
institutional collection services to colleges and universities throughout the United States. Some twenty-
five employees are located in the Plano office.
The company is making plans to consolidate their entire network of offices in one location. Wylie is being
considered as a possible location. Their preliminary plans call for a twenty-five thousand (25,000) square
foot office building and parking space for eighty plus automobiles. They want a building that can be
expanded because they project an employment level of approximately two hundred fifty people. Mike
Collins with the city has calculated that approximately one and one-half acres will be required to meet
their space requirements.
A major factor in their move is obtaining a working capital loan totaling one million five hundred
thousand ($1,500,000.00) dollars. Both local banks have been informed of their financial need and will be
visiting with management to discus their financial requirements.
City management and the Development Corporation will combine our efforts to bring this fine company
to Wylie.
SCHEDULE A
«. Effective Date : October 25, 1993 G. F. No. G9046564
Commitment No. (none) , issued November 09, 1993
1 . The policy or policies to be issued are :
(a) OWNER POLICY OF TITLE INSURANCE (Form T-1)
(Not applicable for improved one-to-four family residential real
estate)
Policy Amount : $126, 782 . 00 I, '.
PROPOSED INSURED:
DEVELOPMENT CORPORATION OF WYLIE, INC.
(b) TEXAS RESIDENTIAL OWNER POLICY OF TITLE INSURANCE
--ONE-TO-FOUR FAMILY RESIDENCES (Form T-1R)
Policy Amount : $
PROPOSED INSURED:
(c) MORTGAGEE POLICY OF TITLE INSURANCE (Form T-2)
Policy Amount : $ . 00
PROPOSED INSURED:
•
Proposed Borrower:
DEVELOPMENT CORPORATION OF WYLIE, INC.
(d) MORTGAGEE TITLE POLICY BINDER ON INTERIM CONSTRUCTION LOAN (Form
T-13)
Binder Amount : $
PROPOSED INSURED:
Proposed Borrower:
(e) Other:
Policy Amount : $ . 00
PROPOSED INSURED:
2 . The interest in the land covered by this Commitment is :
Fee Simple Title
3 . Record title to the land on the Effective Date appears to be vested
in:
544 INDUSTRIAL PARK DEVELOPMENT
Schedule A (Rev. 1/1/93) - Promulgated Page 2
Commitment for Title Insurance Valid Only If Schedules B, C, D
Form 999 - Sheet 1 And Cover Page Are Attached
•
4 . Legal description of land:
Lots 1, 5, 6 , 7, 8, 9 and 10, Block 1, of .544 INDUSTRIAL PARK, an
Addition to the City of Wylie, Collin County, Texas, according to the
Plat thereof recorded in Volume F, Page 445, of the Map Records of
Collin County, Texas .
Schedule A (Rev. 1/1/93) - Promulgated *Page 2 •
Commitment for Title Insurance Valid Only If Schedules B, C, D
Form 999 - Sheet 2 And Cover Page Are Attached
MCWILLIAMS & HOUSER
A PROFESSIONAL CORPORATION
ATTORNEYS
1600 REDBUD BLVD.,SUITE 400
ALEX M.ORR(1929-1988) 214/542-1251
STAN MCWILLIAMS P O.BOX 844 DALLAS 248-0152
MARK S.HOUSER McKINNEY,TEXAS 75069-0844 952-8926
GRADY R.THOMPSON TELECOPIER 214/548-9881
LEGAL SERVICES:
Invoice submitted to :
Development Corporation of Wylie
ATTN: C. C. Womack
P.O. Box 1467
Wylie, Texas 75098
October 15, 1993
In reference to:
PURCHASE FROM WOOD, ET AL
SALE TO PENVESCO/RUSSELL
Hours Amount
09/10/93 msh Revise contract 0 . 30 45 . 00
09/13/93 msh 2 telephone conferences with C. C. 1 . 00 150 . 00
Womack; Make more revisions
09/14/93 msh 2 telephone conferences with C. C. 0 . 25 37 . 50
Womack
09/20/93 msh Telephone conference with C. C. 0 . 15 22 . 50
Womack, re : Status of Russell
closing
msh Telephone conference with 0 . 15 22 . 50
Commonwealth, re : Closing on
Woods, DCW, Russell
For professional services rendered 1 . 85 $277 . 50
Previous balance $1, 741 . 75
Balance due $2, 019 . 25
Thank you. fS
4/44'
PLEASE INCLUDE COPY OF STATEMENT WITH REMITTANCE
MCWILLIAMS & HOUSER
A PROFESSIONAL CORPORATION
ATTORNEYS
1600 REDBUD BLVD.,SUITE 400
ALEX M.ORR(1929-1988) 214/542-1251
-'" STAN MCWILLIAMS P.O.BOX 844 DALLAS 248-0152
MARK S.HOUSER MCKINNEY,TEXAS 75069-0844 952-8926
GRADY R.THOMPSON TELECOPIER 214/548-9881
LEGAL SERVICES:
Invoice submitted to:
Development Corporation of Wylie
ATTN: C. C. Womack
P.O. Box 1467
Wylie, Texas 75098
September 13, 1993
In reference to:
PURCHASE FROM WOOD, ET AL
SALE TO PENVESCO/RUSSELL
Hours Amount
08/11/93 msh Telephone conference with Womack; 0 . 30 45 . 00
Telephone conference with
Commonwealth, re : Title polilcy
08/12/93 msh Draft real estate contract for 3 . 00 450 . 00
Woods sale to DCW
08/13/93 msh Conference with Womack, re : 0 . 50 75 . 00
Contract terms
08/16/93 msh Telephone conference with Womack, 0 . 20 30 . 00
re : Changes to real estate
contract
08/17/93 msh Telephone conference with Womack 0 . 15 22 . 50
08/23/93 bg 0 . 10 5 . 50
Bills
msh Telephone conference with Womack, 0 . 15 22 . 50
re : Indemnity provisions of
contract
08/24/93 msh Review and revise contract 1 . 00 150 . 00
PLEASE INCLUDE COPY OF STATEMENT WITH REMITTANCE
MCWILLIAMS & HOUSER
A PROFESSIONAL.CORPORATION
ATTORNEYS
1600 REDBUD BLVD..SUITE 400
ALEX M.ORR(1929-1988) 214/542-1251
STAN MCWILLIAMS P.O.BOX 844 DALLAS 248-0152
MARK S.HOUSER McKINNEY,TEXAS 75069-0844 952-8926
GRADY R.THOMPSON TELECOPIER 214/548-9881
LEGAL SERVICES:
Development Corporation of Wylie Page 2
Hours Amount
08/26/93 msh Telephone conference with Womack, 1 . 50 225 . 00
more changes to Penvesco contract;
Draft changes
08/27/93 msh Revise Penvesco contract 2 . 00 300 . 00
08/30/93 msh Finish contract for Tracts A & B 1 . 25 187 . 50
,„— 09/01/93 msh Telephone conference with Womack, 0 . 20 30 . 00
re : Revisions
msh 0 . 50 75 . 00
09/02/93 msh Revise contract 0 .45 56 . 25
09/03/93 msh Revise contract with Russell 0 . 30 45 . 00
09/09/93 msh Telephone conference with Womack, 0 . 15 22 . 50
re : Revisions
For professional services rendered 11 . 75 $1, 741 . 75
Balance due
$1, 741 . 75
Thank you.
/41°4
PLEASE INCLUDE COPY OF STATEMENT WITH REMITTANCE
NTp-P Wylie Downtown Merchants Association
,14"ri\-‘ November 9, 1993
<1 rs 1N2
0 Mr. Raymond Cooper, President
SS Economic Development Corporation
of Wylie
P.O. Box 1467
Wylie, Texas 75098
Dear Mr. Cooper,
As a member and officer of the Wylie Merchants Association, and in conjunction
with the "Keep Wylie Beautiful" Program, I am presenting this information to you
for your consideration.
One year ago, the Wylie Merchants of the Downtown area began work on a rejuv-
enation project. The first step was a new architectural design for the buildings.
This included minor changes such as paint designs, new lights or awnings. The EDC
along with the City of Wylie and the Merchants Association agreed to help finance
this project. At that time, the plan estimated to cost $2000.00. The architect,
after an extremely long completion time, lowered his cost to $500.00, which the
merchants paid without calling on the Corporation or the City.
With the merchants and landlords working together on the new plan to spruce
up the buildings,our new goal is to obtain new trash receptacles and more planter
boxes to beautify the overall look of downtown Wylie. Business downtown is tough
to hold on to when the general opinion if "old and rundown". Help us spruce up and
change that opinion. A booming downtown will generate more jobs and generate a
bigger tax revenue for Wylie.
The purpose of this letter is to ask for financial assistance from the EDC.
Twelve new aggregate and concrete trash receptacles with fiberglass rain caps will
cost $131.00 each, for a total of $1,620.00. Eleven more planter boxes for the
rest of downtown will cost $35.00 each for a total of $385.00. These prices are
considered wholesale prices and by working with the City of Farmersville, we were
able to avoid paying for the mold. The new recepticles and planters will be spread
out between Boyd's Recording Studio down to Cartwright Signs on both sides of the
street.
Downtown Merchants love Wylie and love having their business in Wylie. We
work hard to encourage more customers to come downtown to shop in Wylie. There are
times when our (even our combined) financial resources are too limited to accomp-
lish our goals. We hope you can see our point of view and help us in this worthwill
project.
Sincerely,
Donna R. Larson
Downtown Merchants Association
Wylie Printing & Office Supply
JMN Company
P 0 Box 1520
Wylie , Texas 75098
October 11 ,1993
Raymond Cooper , President
Development Corporation of Wylie . Inc .
P O Box 1467
Wylie . Texas 75098
Ref : 140 Kristin Lane
Dear Mr . Cooper
•
I have recently become the owner of a building in Wylie that has y
been in arrears both income producing and tax paying . This build-
ing has sustain a fair amount of tornado damage . I have step
forward to take care of passed taxes , over $25 ,000 dollars , to
which no taxing authority would abate the late charges . The
'property is office warehouse rental property half of this is not
income producing due to the storm damage .
I am requesting a $5 ,000 .00 Grant for storm damage . This request
will enable me to finish the repairs six to twelve month ahead of
schedule .
This type of property has always been in great demand for the
small business , starting businesses , the backbone of future
growth .
If you or your committee would like additional information or I
can do more to make this an acceptable request please call at
442-2263 .
SPric rely /
tin P . tzpatrick
MaAaging Partner
_ ~
`
^
�
~ -
Mr . Raymond Cooper ^ . . ' 10-28-93
Pres. E. D. C.
Wylie, Tx.
` ^
.
Dear Mr . Cooper , . `
My name is Morris Cartwright , my wife and I established our
business (CARTWRIGHT SIGNS & T-SHAT PRINTING) in May, 1984.
This sole-proprietorship was established in ' Plano and in 1985
re-located to Wylie.
In light of the Texas economy hitting rock bottom, our
business has grown and prospered over the hard years, in fact
we have survived when others have failed.
With an initial investment of $200. 00 and no previous
experience in the industry, this our first business saw our
first year do $10, 000 in sales to a record high of $245, 000
in the fiscal year ended 1992.
Taking into consideration the first 3. 5 years were part-time
years with a one man operation to five full-time and twelve
part-time employees in 1992.
In the history of this business I 'have never once borrowed
funds from any source for working capital only expansion
_ (i . e. new computer system for graphic arts) .
Mr . Cooper I am sure you will agree as most intellegent
business people have agreed we do have the desire to succeed,
we also have the desire to maintain our business in Wylie.
I personally have strived for and achieved family and
business involvement in this community, we are known, well `
liked and recognized as contributors of this fine community,
we give because Wylie gives to us and we appreciate this
opportunity.
But now we are faced with a critical decision, one which will
challenge our position here. Recently we lost our lease at
our present location ( formerly the Johnston factory) . This
decision by the Johnston Trust has put us in the position of
relocating our business. Mr . Cooper as you may well know,
Wylie has a shortage of space available to lease.
Mr . Cooper and to directors of the Wylie Economic Development
Corporation we come to you today not to seek a loan but to
formally present to you our case, in hopes that this body
will strongly consider the acquisition of land and provide a
suitable structure which Morris and Cindi Cartwright dba
Cartwright Signs may lease back for a term agreeable by both
parties with the possible acquisition by Cartwright Signs.
At this we have entered into an agreement with Mr . John
Fitzpatrick who currently is rebuilding the structure located
directly east of Holland Hitch. I consider this facility a
temporary fix to our situation only because it is not
— conducive to needs(i . e. out of the market place, next to the
treatment plant/old city dump) .
orris Cartwriglt
�
m
/
__
TREASURER'S REPORT ENDING 9/30/93
ENDING BALANCE -8/31/93
Provident Bank-Wylie 90,882.26
American National Bank-Wylie 267,328.74
C/D American National Bank-Wylie 122,225.91
Petty Cash,Provident Bank-Wylie 68.86
Total funds available 9/1/93 480,505.77
INCOME
Demand funds available 358,211.00
Sales tax revenue 17,890.63
Interest earned 751.16
Payment Gingy's Heaven Sent 365.00
Total funds available 377,217.79
EXPENSES
Helmberger Associates,Inc. 1,425.00
GTE Southwest,Inc. 66.19
Oakridge Country Club 40.05
Provident Bank(941 tax payment) 470.00
City of Wylie(services) 44.75
C.C.Womack 1,683.00
A.A.R.P. Group Health Ins.Program 177.50
U.S. Postal Service 11.25
Total expenses 3,917.74
Total funds available 8/31/93 373,300.05
PETTY CASH FUNDS AVAILABLE 8/31/93 68.86
Total Petty Cash funds available 9/30/93 68.86
Total Demand&Petty Cash 9/30/93 373,368.91
C/D #400001919 122,225.91
Int.earned during month 259.81
Total value 9/30/93 122,485.72
Total CD and demand funds available 9/30/93 495,854.63
Contingent Liabilities:
(I) C/D#400001919 totaling$122,485.72 is pledged to American National Bank-Wylie, to secure loan#41403945 for
Healthcare Enterprises of North Texas,Ltd.d/b/a Physicians Regional Hospital.Current unpaid balance is$113,447.67. Rate of
interest is 5.5%. D/A is$16.58.
(2) 1/20/93 commitment totaling$10,000.00 to reimburse Perma-Tune Electronics,Inc.for moving expenses from Anaheim,
California. Current balance remaining on commitment is$3,036.30.
(3) 1/20/93 commitment not to exceed$6,000.00 to reimburse Perma-Tune Electronics,Inc. for partial expenses to train six(6)
new employees who are permanently employed for a period of twelve(12)months.
(4) 8/10/93 commitment to loan Wylie Machine Shop, Inc. a total of$10,000.00 to help defray current operating expenses due to
building being destroyed by tornado.
(5) Unfunded commitment of$7,500.00 to Wylie Chamber of Commerce for promotional services rendered during months of
April through September, 1993.
(*) Total corporate funds available for future investments $355,870.66
RECAP OF FUNDS ON DEPOSIT WITH LOCAL BANKS
American National Bank-Wylie $408,637.31
Provident Bank-Wylie 87,217.32
$495,854.63
BALANCE SHEET
DEVELOPMENT CORPORATION OF WYLIE, INC.
SEPTEMBER 30, 1993
ASSETS:
CASH IN BANKS $373368. 91
INVESTMENTS (C/D) $122485. 72
ESCROW DEPOSIT $ 2000. 00
NOTE RECEIVABLE (GINGY'S) $ 3459. 99
TOTAL ASSETS $501314. 62
LIABILITIES & NET WORTH:
CURRENT LIABILITIES $ 470. 00
NET WORTH $501844. 62
TOTAL LIABILITIES & NET WORTH $501314. 62
CONTINGENT LIABILITIES:
( 1 ) C/D#40001919 totaling $122, 485. 72 is pledged to American
National Bank, Wylie to secure loan for Healthcare
Enterprises of No. Texas, Ltd. , d/b/a Physicians Regional
Hospital . Current balance including interest is $113, 447. 67.
( 2) 1 /20/93 commitment totaling $10, 000.00 to reimburse Perma-
tune Electronics, Inc. for moving expenses from Anaheim,
California. Current unfunded commitment is $3, 036. 30.
( 3 ) 1 /20/93 commitment totaling $6, 000.00 to reimburse Perma-
Tune Electronics, Inc. for expenses to train six( 6) new
employees who become permanently employed for one year.
( 4 ) 8/10/93 commitment to loan Wylie Machine Shop, Inc. a
total of $10, 000.00 to help defray additional expenses
because of tornado damage to their operating facilities.
( 5) Unfunded commitment to Wylie Chamber of Commerce for
$7, 500.00 to pay for promotional services rendered
during months of April through September, 1993.
SUMMARY OF SEPTEMBER ACTIVITIES
September has been an unrewarding month as far as actual accomplishments are concerned. Our
prolonged negotiations with the J.D. Russell Company failed to produce positive results and the
hospital's disagreement with the landlord continues unabated in the Bankruptcy Court. All new
prospects have decided to delay any immediate decisions or have found other locations that would meet
their current needs.
Physicians Regional Hospital
Mr. Mark Liston, C.F.O. of the hospital reports another record month for gross billings of approximately
$940,000.00 with a net income in excess of$25,000.00. The latter amount will increase their net profits
for the first nine months to $155,000.00 despite a $26,000.00 loss during May when the hospital was
closed because of tornado damage.
A reorganization plan has been submitted to the Bankruptcy Court by the hospital group and an alternate
proposal has been offered by American Healthcare Management. On paper, the hospital group has made
the most attractive offer to satisfy the unsecured creditors but my observation leads me to believe their
plan will never be accepted by the parties that are responsible for making the final decision. In a recent
meeting with the Unsecured Creditors Committee and their attorney, Mr. Joseph J. Wielebinski, only the
American Healthcare Management plan was presented and discussed. As an Ex-Officio member of the
committee, I had no vote as to what plan would be acceptable.
Mr. Larry Wedekind has been released of his duties by the Trustee, Mr. J. Gregg Pritchard. Mr.
Wedekind has appealed this decision and a hearing is scheduled for October 20, 1993. It is my
understanding all practicing physicians associated with the hospital and current administrative staff will
submit their resignations if Mr. Wedekind is not reinstated in his former capacity.
The trustee has instructed American National Bank - Wylie to offset their debt against the Certificate of
Deposit that was pledged by the Development Corporation of Wylie, Inc. to secure the indebtedness.
The bank has agreed to delay this action until the Corporation has had time to obtain legal advice on
appropriate action to be taken to secure a lien position against the hospital and individual guarantors.
Copies of all loan documents have been delivered to attorney Mark Hauser, in care of McWilliams and
Hauser, P.C. in McKinney, Texas. They have agreed to give us an opinion before our scheduled board
meeting of Tuesday, September 12, 1993.
Major Employer Relocation Status Report
No contact has been made with the company since our August report. In our last contact, the company
had decided to postpone any relocation plans until early 1994. They have extended their lease for an
additional year and this has eliminated any need for an immediate relocation decision. This will give
them additional time to study the economy and make a more accurate projection if they need to expand
their current facilities.
Jim Meara d/b/a/The Meara Company
Mr. Meara has reported General Homes, Inc. has completed their due-diligence study and has decided to
discontinue any negotiations to purchase the property for development. Management continues
discussions with United Homecraft and D.R. Horton Homes for the development of this property. Mr.
Meara continues to be optimistic about the development of this property.
Allied Powder Technologies, Inc.
I have continued my attempts to reach Mr. Chad during the month, but he has failed to return my calls.
The operator claims he is out of the city and will return my calls when he returns to his office. I shall
continue my calls until we are told that the City of Wylie isn't being considered as a relocation site.
Roberts Manufacturing Company
Mr. Larry Doyle reports there has been no new activities during September. He is scheduled to visit the
home office during November and he is hopeful management has made a definite decision to either
relocate or consolidate all manufacturing at their home office facilities. He will continue to keep us
informed of any new developments.
Gerwin Corporation d/b/a The Merry Miler Company
The company has found a suitable building in Seagoville that meets their immediate needs. They have a .
one year lease with an option to purchase at any time during the lease period. The building contains
20,000 square feet of manufacturing space, but has a limited parking and storage space. This amount of
parking space isn't sufficient to house their inventory of six hundred vehicles. The location is some three
blocks from a major street and gives the company very little exposure to a prospective buyer.
Mr. J.F. Kash, President, did express an interest in considering the City of Wylie as a possible relocation
site if they decide the Seagoville address is inadequate for future growth. We assured him of our desire
to prepare a relocation package that he could consider before the termination of his present lease. He
appeared to be amenable to our offer and said it would be considered before a definite decision would be
made on the current lease agreement.
Wescon '93 Trade Show
Eleven individuals representing Collin County converged on San Francisco to promote this area as a
possible relocation site. The individuals and the entity they represented are as follows:
Dr. John Anthony - President, Collin County Community College
Judge Ron Harris - Judge, Collin County
Ms. Carol Moore - Texas Department of Commerce
John Bennett - Texas Utilities
Ms. Sally Riha - Dallas Chamber of Commerce
Ms. Kathy Mayfield - Richardson Chamber of Commerce
David Pitstick - Allen Economic Development Board
Tom Palmer- Frisco Economic Development Corporation
Randy Williams - McKinney Economic Development Partnership
Cole Morran - Plano Economic Development Board
The convention facilities were excellent. The show was well attended from all reports. Our group was
disappointed in our booth location because management changed our original location from the end of a
major aisle to a corner site. Puerto Rico wanted three spaces for their exhibit and this could only be
obtained by moving us from our original site.
We worked in groups of three and in my opinion the other members were truly professional in their
attempts to sell this area as a prime location for any business. We were disappointed that most of the
people that visited our booth were not the decision maker but more in a support or subordinate position.
Each member on duty could advertise his city by handing out a business card to anyone that would
accept it. I gave away many cards, but I have no idea if this will germinate any future prospect.
The group made a recommendation to Ms. Moore that in future trade shows, the State of Texas should
have a large display with each city or group renting space within the area purchased by the state. Two
other groups from Texas were participants in the show and because of our scattered locations, made
very little impact on the importance of our state. We feel a concentration of our efforts will produce
better results.
A subsequent meeting of all participants is scheduled for Friday, October 15. At that time we should
have a list of individuals that visited our booth and the name of the company they represented.
San Francisco is a very expensive city, and I have some serious doubts the results from this show will
justify the cost. I sincerely hope that my analysis is incorrect and that this area will eventually benefit
from this endeavor.
WYLIE CHAMBER OF COMMERCE
ECONOMIC DEVELOPMENT BUDGET
MONTHLY EXPENSE REPORT MONTHLY
DATE EXPENSE PROJECT AMOUNT
MARCH 1993 CLEANUP/GREENUP $279.14
C MI FMt RVE-Y- EDC $.75A0 7
PROGRAM OF WORK- EDC $ 150.00
TOTAL $ 504.14 $504.14
APRIL 1993 CbtaAMITY SURVEY- $2,282.20 /
CLEANUP/GREENUP $2,212.60 , '
PID $ 124.84
Fa*VerOWNtiAti.MEETING '' $ 23.84 7,
DEV CORP. - INFOMART BOOTH $ 349.00
TOTAL $4,992.48 $4,992.48
MAY 1993 DEV CORP - INFO MART BOOTH $ 278.00
TX C OF C - OPEN MEETING ACT $ 75.00
CLEANUP/GREENUP $ 550.77 I
TORNADO CLEANUP $ 450.00
BUMPER STICKERS - PROMO $ 325.00
COMMUNITY SURVEY $ 5.00
TOTAL $1,683.77 $1,683.77
1JUNE 1993 TORNADO THANK YOU - PROMO $ 475.00 <"
I PID RECEPTION $ 223.76
INDUSTRIAL LUNCHEON $ 78.10
TOTAL $ 776.86 $776.86
JULY 1993 INDUSTRIAL LUNCHEON $ 380.00
EDC $ 30.00
CLEANUP/GREENUP -AM MOLDS $ 65.00
COMMUNITY SURVEY $ 228.10
NEW TEACHER LUNCHEON $ 24.83
i
TOTAL $ 727.93 $727.93
AUGUST 1993 NEW TEACHER LNCHN - PROMO $ 80.00 ' ' L-' -J
NEW TEACHER LNCHN - PROMO $ 80.00 /' / _.„,,--------
..----
NEW TEACHER LNCHN - PROMO $ 240.00 _
NEW TEACHER LNCHN - PROMO $ 26,87 -�'��
TOTAL $ 426.87 _ $426.87
I
SEPT. 1993 1 $ 0.00 $9,112.05 TOTAL
BALANCE SHEET
DEVELOPMENT CORPORATION OF WYLIE, INC.
SEPTEMBER 30, 1993
ASSETS:
CASH IN BANKS $373368. 91
INVESTMENTS (C/D) $122485. 72
ESCROW DEPOSIT $ 2000 . 00
NOTE RECEIVABLE (GINGY 'S ) $ 3459 . 99
TOTAL ASSETS $501314 . 62
LIABILITIES & NET WORTH: •
CURRENT LIABILITIES $ 470. 00
NET WORTH $501844 . 62
TOTAL LIABILITIES & NET WORTH $501314 . 62
CONTINGENT LIABILITIES:
( 1 ) C/D#40001919 totaling $122, 485. 72 is pledged to American
National Bank, Wylie to secure loan for Healthcare
Enterprises of No. Texas, Ltd. , d/b/a Physicians Regional
Hospital . Current balance including interest is $113, 447. 67.
( 2) 1 /20/93 commitment totaling $10, 000 . 00 to reimburse Perma-
tune Electronics, Inc. for moving expenses from Anaheim,
California. Current unfunded commitment is $3, 036. 30 .
( 3 ) 1 /20/93 commitment totaling $6, 000. 00 to reimburse Perma-
Tune Electronics, Inc. for expenses to train six( 6) new
employees who become permanently employed for one year.
( 4 ) 8/10/93 commitment to loan Wylie Machine Shop, Inc. a
total of $10, 000. 00 to help defray additional expenses
because of tornado damage to their operating facilities.
( 5) Unfunded commitment to Wylie Chamber of Commerce for
$7, 500 . 00 to pay for promotional services rendered
during months of April through September, 1993 .
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, SEPTEMBER 14, 1993
4:00 PM
WYLIE CHAMBER OF COMMERCE OFFICE
108 WEST MARBLE
WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of August 10 , 1993
Regular Meeting of the Development Corporation of Wylie, Inc.
2 . Discuss and Consider Treasurer's Report Ending 08/31/93
3 . Report from Executive Director:
A. Physicians Regional Hospital Status Report
B. Major Relocation Prospect Status Report
C. Jim Meara, D/B/A The Meara Company Status Report
D. Applied Powder Technologies , Inc . Status Report
E. Status Report on Roberts Manufacturing Company
F. Report of Recent Conversation with Principal Officers
of the Gerwin Corporation, DBA The Merry Miler Company
G. Status Report on Wescon/93 Trade Show in
San Francisco, California
4. Approve the Resignation of Mr. Timothy S. Robinson as
a Director of the Corporation.
5. Approve the Final Payment of our February 10 , 1993 Commitment
to Reimburse the Wylie Chamber of Commerce for Advertising
Expenses
6. Approve Payment in October 1993 for an Annual Membership with
the North Texas Commission
7 . Recess Open Meeting
8 . Convene to Executive Session
A. Status Report on Land Purchase and Current Negotiations
With Prospect to Develop into Industrial Park.
B. Status Report on Our Loan Commitment to Wylie Machine
Shop, Inc.
9. Reconvene Open Meeting
10 . Action, if any, from Executive Session
11. Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes .
12 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
......4Wylie will meet at 4:00 P.M. on the /1� . day of , 1993
at 108 West Marble, in the City of Wylie, Texas, for the purpose
of considering the above agenda.
/(-0-14--
Mary Ni/
i hols , C ty Secretary
POSTED THIS THE /49b- DAY OF , 1993 , AT S•00/fM.
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC .
MINUTES
AUGUST 10 , 1993
The Directors of the Development Corporation of Wylie , Inc . met
in regular session at 4 : 00 P.M. on Tuesday, August 10 , 1993 in
the Development Corporation' s office at 108 W. Marble , Wylie,
Texas . A quorum was present and notice of the meeting had been
posted in the time and manner required by law. Those present
were President Raymond Cooper, Vice President John Tobin,
Secretary/Treasurer John Yeager and member John Mondy . Executive
Director Charlie Womack, and Mayor John Akin were also present .
In attendance from the City Staff was Anita Collins . Tim
Robinson was absent from the meeting.
President Raymond Cooper called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF JULY 13 , 1993
REGULAR MEETING AND THE JULY 29 , 1993 SPECIAL MEETING: There
being no corrections to either set of minutes John Yeager made a
motion that they be approved, seconded by John Tobin. The
motion carried with all in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER'S REPORT: Total
corporate funds as of July 31 , 1993 were $457 , 527 . 70 . Expenses
for May were $7 , 463 . 55 and revenues were $14 , 650 . 04 . Total
available funds were $336, 104 . 55 . A motion was made by John
Tobin to accept the Treasurer ' s Report as read and was seconded
by John Mondy. The motion carried with all in favor . ( See
attached report at the end of these minutes) .
REPORT FROM EXECUTIVE DIRECTOR:
A. Physicians Regional Hospital Status Report - All tornado
damage to the hospital and the medical plaza building have
been repaired. Expense for the repairs was fully paid by
insurance coverage, but there was approximately $45 , 000 of
downtime expense that was not covered by their business
interruption insurance policy . The hospital is currently
looking for two family certified physicians to occupy a
vacated space in the medical plaza . The bankruptcy
proceeding are continuing and American National Bank filed
an amended motion with the Bankruptcy Court to lift the
automatic stay .
B . Major Employer Relocation Status Report - A recent
conversation revealed that a site in Wylie is still under
consideration. Mr . Womack 's source reported the company has
made no decision but he will be attending a corporate
meeting in Jacksonville, Flordia during the latter part of
August . He feels that the company will make a decision at
this meeting to relocate or continue operating from their
present facility . He promised to make contact when he
returns from this trip to Florida .
C . Jim Meara, D/B/A the Meara Company Status Report - Mr .
Meara reported that all new lots have been surveyed and
staked and the utility lines have been marked . A new plat
will be filed during the first week of August . A contract
has been signed with General Homes , Inc . They have three
weeks to complete their due diligence and feasibility study .
They should take down the first four lots by September 1 ,
1993 , and their model home should be stared by the middle of
September, 1993 .
D. Applied Powder Technologies , Inc . - A recent telephone
call with Mr . Chad revealed that they were still considering
a move to this area provided they could get their financial
affairs in order . They are 'still negotiating with a
financial group that appears to be ready to close a deal
that would permit them to complete their relocation plans .
E. Roberts Manufacturing Company - Mr . Larry Doyle ,
Distribution Facilities Manager for Roberts Manufacturing
Company called and subsequently came by our office . He
represents a manufacturing company located in California
since 1936 . The company manufactures plumbing fixtures and
distributes their products throughout eight regional
warehouses ; one of which is located in Dallas . He will be
taking a video tape with him on a trip to the corporate
office during the middle of August . He promised to be in
touch as soon as he has additional information regarding the
company ' s relocation plans .
F. Staubach Company - Mr . Tom McCarthy called on July 26th
requesting information regarding any incentives being
offered by Wylie to attract new businesses to the City . He
claimed to represent the Staubach Company and they have been
commissioned to find a relocation site for a manufacturing
company which would employ approximately one hundred fifty
people . I immediately responded to this request and will
continue to be in contact with Mr . McCarthy until he informs
me there is no interest in relocating to Wylie .
G. Westcon ' 93 Trade Show - A meeting for all Collin
County participants was Lela' in McKinney . _ic;a ,
1•
July 16th. Collin County Community College will design and
make the backdrop to be used in the booth. A working
committee was appointed by the chairman and they will have a
report ready for our next meeting in August . Everyone
seemed excited and feels this show will provide the exposure
that is needed to promote economic growth for the Collin
County area .
DISCUSS AND APPROVE RUTLEDGE CRAIN & COMPANY, P. C . TO AUDIT THE
FINANCIAL STATEMENTS OF THE DEVELOPMENT CORP . OF WYLIE, INC. FOR
THE YEAR ENDING 09/30/93 : The engagement letter from Rutledge
Crain & Company was discussed. Based on their preliminary
estimates the fee should not exceed $1 ,000 . A motion was made by
John Yeager to engage the firm of Rutledge Crain & Company to
prepare the financial audit for the year ending 09/30/93 . The
motion carried with all in favor.
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Status Report on Land Purchase and Current Negotiations
With Prospect to develop into Industrial Park .
B . Review and Make Decision for Financial Assistance Request
From Three Local Businesses .
ACTION FROM EXECUTIVE SESSION
A. No action taken.
B . A motion was made by John Yeager that the Development
Corporation make a loan to Wylie Machine Shop in the
amount of $10 , 000 . 00 . Loan is to be repaid over a three ( 3 )
year period at the prime rate . A motion was made by John
Tobin and seconded by John Yeager to make this loan. The
motion carried with all in favor .
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meting be adjourned .
Minutes of the August 10 , 1993 , regular meeting approved by the
Board of Directors at its meeting on September 14 , 1993 .
Raymond Cooper, President
PREPARED BY :
Anita Collins
TREASURER'S REPORT ENDING 8/31/93
ENDING BALANCE -7/31/93
Provident Bank-Wylie 95,613.55
American National Bank-Wylie 239,851.08
C/D American National Bank-Wylie 121,926.09
Petty Cash,Provident Bank-Wylie 136.98
Total funds available 8/31/93 457,527.70
INCOME
Regular checking funds 335,464.63
Sales tax revenue 26,948.08
Interest earned 734.76
Total funds available 363,147.47
EXPENSES
GTE Southwest, Inc. 66.04
Oakridge Country Club 40.05
Provident Bank(941 tax payment) 470.00
City of Wylie(services) 64.50
C.C. Womack 1,683.00
Greater Dallas Chamber of Commerce 435.38
Commonwealth Title(Escrow) 2,000.00
A.A.R.P. Group Health Ins. Program 177.50
Total expenses 4,936.47
Total funds available 8/31/93 358,211.00
PETTY CASH FUNDS AVAILABLE 7/31/93 136.98
Wylie Rotary Club 20.00
Wylie Chamber of Commerce- 7.50
Old Country Steak House(Russell) 40.62
Total Petty Cash funds available 8/31/93 68.86
Total Demand&Petty Cash 8/31/93 356,279.86
C/D #400001919
Value ending 7/31/93 121,926.09
Int. earned during month 299.82
Total value 8/31/93 122,225.91
Total funds available 8/31/93 480,505.77
(1) C/D#400001919 totaling$122,225.91 is pledged to American National Bank-Wylie, to secure loan#41403945 for
Healthcare Enterprises of North Texas,Ltd. d/b/a Physicians Regional Hospital. Current balance including accrued interest is
$112,884.10 •
(2) 1/2093 commitment totaling$10,000.00 to reimburse Perma-Tune Electronics, Inc. for moving expenses from Anaheim,
California. Current balance remaining on commitment is$3,036.30.
(3) 1/20/93 commitment not to exceed$6,000.00 to reimburse Perma-Tune Electronics, Inc. for partial expenses to train six(6)
new employees who are permanently employed for a period of twelve(12) months.
(4) 8/10/93 commitment to loan Wylie Machine Shop, Inc. a total of$10,000.00 to help defray current operating expenses due to
building being destroyed by tornado.
(5) On contract to purchase 50.993 acres of land costing$200,000.00. Have escrowed$2,000.00. Remaining balance
$198,000.00.
(*) Total corporate funds available for future investments 150,585.37
RECAP OF FUNDS ON DEPOSIT WITH LOCAL BANKS
American National Bank-Wylie 389,554.65
Provident Bank-Wylie 90,951.12
480,505.77
SUMMARY OF AUGUST ACTIVITIES:
We continue to receive telephone calls from prospects wanting to lease space ranging from one
thousand to thirty thousand square feet. Currently there are no available sites for lease that meet
these specifications. We continue to hear rumors that there are plans being developed by
individuals to build rental properties to meet the current demand. Comments from other local
cities indicate some interest from prospects looking for properties that they are unable to supply.
There is ample retail space, but available industrial sites continue to be a problem. Good
legitimate prospects are beginning to delay any expansion efforts until they are convinced the
economy will have future growth.
PHYSICIANS REGIONAL HOSPITAL
There were no new developments during the month to conclude the Chapter XI Bankruptcy
Petition. We continue to receive information that progress is being made to resolve the issues that
have prolonged a workable solution, but we have been unable to substantiate any of these facts.
The hospital continues to report record gross revenue for the month of August. This is the third
straight month for a record gross revenue, and the daily census continues to be above average
during the summer months. These are usually the slowest months during the year, and it is hopeful
the preceding revenues will continue to set new records.
A motion filed by the American National Bank to lift the automatic stay imposed by the
Bankruptcy Court has been withdrawn because their legal staff thought the adversarial and
unsecured creditors would object to this request.
A copy of the Amended Plan of Reorganization has been obtained from the hospital. In their plan,
our note dated December 16, 1992 shall be paid over a three year period at an interest rate of five
and one-half percent per annum (51/2%). Each installment will include equal monthly principal and
accrued interest payment.
The hospital has furnished the Bankruptcy Court a Disclosure Statement. This document supports
the Amended Plan of Reorganization by giving in detail how the success of the "Plan" can be
achieved. A hearing by the creditors to review the Disclosure Statement is scheduled for
September 8, 1993. If the creditors approve this document then it should expedite acceptance of
their reorganization plan.
MAJOR EMPLOYER RELOCATION STATUS REPORT
A decision has been made by management to postpone any relocation plans until next year. Their
decision was made because they were able to renew their present lease until August 31, 1995, and
because of their inability to develop a long-range growth plan that would justify the additional
relocation expense. Their short range financial projections are pessimistic due to the extreme
competitiveness in the food industry. Local contact continues to insist that the City of Wylie is
still being considered as a possible relocation site.
August Summary
Page 2
JIM MEARA d/b/a/THE MEARA COMPANY
Mr. Meara reports General Homes has completed their due-diligence study and plan to sign a
contract to buy the forty-eight residential lots within a two (2) year period. The contract should
be signed by the middle of September. They will immediately take-down four (4) lots. They plan
to start their model home by October 1, 1993. The contract requires the purchaser to take-down a
minimum of eight building lots each ninety days until the property is completely developed. Mr.
Meara continues to mention that he would like the Corporation to assist financially in an
advertising program to promote the sale of homes in this subdivision.
APPLIED POWDER TECHNOLOGIES, INC.
No contact was made during August. A telephone call was made to Mr. Chad, President, but he
was unavailable. I left my name and number with the operator and asked that he return my call.
He hasn't returned my call. In the meantime, I shall continue in my efforts to reach him for an
update on their relocation plans.
ROBERTS MANUFACTURING COMPANY
Mr. Larry Doyle reported the company is still making plans to relocate, but no definite decision
will be made before next year. Apparently the company has adopted a wait and see posture until
they are convinced the economy is in a long sustained growth period. Mr Doyle reports that the
City of Wylie is definitely a prime site should the company make a decision to move. They are
also considering an unknown site in New Mexico. We have been assure by our contact that he will
keep us abreast of any new developments.
GERWIN CORPORATION d/b/a THE MERRY MILER COMPANY
The corporation owns and operates several satellite companies that converts vans and other
vehicles for the tourist trade. Their main office is in Bristol, Indiana. A subsidiary company is
domiciled in Garland, Texas. The Garland facility was recently destroyed by fire. They came to
Wylie looking for a 30,000 square foot building to temporarily house their manufacturing
facilities. No facility was available, but they did indicate a desire to move from Garland if a
satisfactory financial incentive package was offered.
Mr. J.F. Kash, President of the parent company, did emphasize the company plans to rebuild a
permanent facility somewhere in the Metroplex area. We encouraged him to seriously consider the
City of Wylie as an excellent location for a permanent plant site. We recommended four possible
sites that might meet his needs. He was also given a video tape of Wylie and several other printed
articles that related to current statistical information relating to our City.
August Summary
Page 3
A subsequent conversation with Mr. Kash revealed a temporary location has been acquired and
the company operations will be resumed within the next thirty days. In the meantime, management
will be making plans for a permanent building site. He assured me the City of Wylie would get an
opportunity to present a financial incentive program before a final decision would be made.
C A R M O D Y L P
ROB I NSON 4950W Texas Commerce Tower
2200 Ross Avenue, LB 129
Dallas, Texas 75201
50
TTelehone
214 720-2560
August 12, 1993
Raymond Co er, President Developm t Corporation of Wylie, Inc.
301 Do ood Drive
Wylie Texas 75098 oration of Wylie,
Re Letter of resignation from Development Corp
Inc.
Dear Raymond:
the initial meeting of the Development
Corporation of Wylie,As was discussed during the
„Corporation" ) , my schedule, to say
Inc. (the the least, is hectic. Unfortunately, due to my schedule, I have
clear that my schedule will not
been unable to attend three of the four scheduled meetings since my
e
appointment. Now that it is artici ant in the Corporation, I have
permitthe e actively be a P P of end the time tod
decision to resign as someonerwho �Has Corporation an
made
allow the City Council to appointefull in the future, I will
promote the great City of Wylie from my practice; however, at this
be able to take more time away
time that is not possible.
I have appreciated the courtesy shown to me not be in conbectto ion with
e an
this venture and am disappointed that
active I ill
on
participant.articipant. Despite this fact, I have
eifulvel c nfi once that
the
the committee will be able to do a very
City.
Very truly yours,
Timothy S. Robinson
TSR/jk
P.S. During he first and only meeting
I attended, we discussed
the possibility of the City
doing an upscale brochure to be used at
re ared by
the various shows throughout tfe�brochure which to ct wasew p prepess.
ared
I have enclosed a copy of ourpursue
Hilaryo ,Hudgens still assist you,s. If a 1ecision is if necessary,made
if you decide to
proposal, I will use Mr. Hudgens for this project.
Raymond Cooper
August 12, 1993
Page 2
Enclosure
cc: John Tobin
1109 Hughes Court
Wylie, Texas 75098
John Yeager
402 Woodhollow Drive
Wylie, Texas 75098
John Mondy
114 Douglas Drive
Wy ie, Texas 75098
harles Womack
108 West Marble
Wylie Texas 75098
Mayor John Akin
P.O. Box 428
Wylie, Texas 75098
Steve Norwood
401 Fleming
Wylie, Texas 75098
6 . Convene to Executive Session
A. Status Report on Land Purchase and Current Negotiations
With Prospect to Develop into Industrial Park .
B . Review and Make Decision for Financial Assistance
Request from Three Local Businesses . Al //
67' its � -. � .,�- ,,»y ,, 1 ,--- 5 d
44(-71
8 . Reconvene Open Meeting
9 . Action, if any, from Executive Session
9 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes .
10 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4 : 00 P .M. on the /C -- day of , 1993
at 108 West Marble , in the City of Wylie, Texas , for the purpose
of considering the above agenda . i
;1/c 1-4//i
Mary Ni ho , City Secretary
POSTED THIS THE ir:^tL DAY OF 7(tcyzt:.-4.1 , 1993 , AT &`' M
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE , INC .
MINUTES
JULY 13 , 1993
The Directors of the Development Corporation of Wylie , Inc . met
in regular session at 4 : 00 P .M. on Tuesday , July 13 , 1993 in the
Development Corporation' s office at 108 W . Marble , Wylie , Texas .
A quorum was present and notice of the meeting had been posted in
the time and manner required by law . Those present were
President Raymond Cooper , Vice President John Tobin,
Secretary/Treasurer John Yeager and member John Mondy . Executive
Director Charlie Womack , Mayor John Akin and City Manager Steve
Norwood were also present . In attendance from the City Staff was
Anita Collins . Tim Robinson was absent from the meeting .
President Raymond Cooper called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF JUNE 8 , 1993 REGULAR
MEETING : There being no corrections to the minutes John Yeager
made a motion that they be approved, seconded by John Mondy .
Mr . Cooper did not vote since he was not on the board at that
time and not in attendance at the meeting . The motion carried
with all in favor .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF JUNE 24 , 1993 SPECIAL
MEETING : There being no corrections to the minutes John Mondy
made a motion that they be approved, seconded by John Yeager .
The motion carried with all in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER' S REPORT: Total
corporate funds as of June 30 , 1993 were $450 ,015 . 81 . Expenses
for May were $6 , 120 . 37 and revenues were $334 , 207 . 16 . Total
available funds were $328 , 429 . 49 . A motion was made by John
Tobin to accept the Treasurer ' s Report as read and was seconded
by John Mondy . The motion carried with all in favor . (See
attached report at the end of these minutes) .
REPORT FROM EXECUTIVE DIRECTOR:
A. Physicians Regional Hospital Status Reportforhe
hospital is hopeful that their bankruptcy petition
reorganization will be accepted. All available beds were
full during the last two weeks of June . They continue to
be optimistic that the situation will improve for them.
B . Major Employer Relocation Status Report - A recent
conversation with local management reveals no decision has
been made by the corporate office and relocation plans are
on hold pending management changes .
C . Jim Meara , D/B/A the Meara Company Status Report - Mr .
Meara reports his efforts to have the impact fees waived by
the City Council have been unsuccessful but he will continue
to research his options for a possible solution to this
current problem. The Wylie Planning and Zoning Board
approved the replating of the duplex building lots in the
sub-division to fifty-eight (58 ) single family residential
lots . Recommendation of the P & Z board will be reviewed
and a final decision will be made by the Wylie City Council
in their next scheduled meeting on July 13 , 1993 .
D . Crane Safety & Maintenance , Inc . - Mr . Crisuolo has
signed a contract to purchase an industrial building lot
from Provident Bank - Wylie . There are no immediate plans
to construct a building until the lot is free and clear of
debt . The company has bid several big jobs with good profit
margins which if they are the successful bidder , should
generate sufficient funds to liquidate lot debt and
construct building . Currently management has no plans to
request any financial assistance from the Development
Corporation .
E . Applied Powder Technologies , Inc . - This is a company
out of Calgary , Alberta, Canada . The company manufactures a
broad range of metal powders at its production facility in
Connecticut for the North American coating industry . Wylie
is one of the five cities within the metroplex that would be
a good candidate for their consideration. There was a
meeting on June 28 with Mr . Chad and Mr . Allen from APT and
various representatives from the City , Chamber , and
Development Corporation.
F . S-Line Corporation - Mr . Womack reported that he sent
them one of the videos and called them back after they had
opportunity to look at the video . They were impressed with
the video but their plans for relocation have been put on
hold.
G. Roberts Manufacturing Company - This company is
presently located in California with a small office in West
Dallas .
REVIEW AND APPROVE BUDGET FOR YEAR BEGINNING 10/01/93 AND ENDING
09/30/94: Expenditures for the upcoming budget year were
discussed and the following change was recommended:
That advertising for the Chamber of Commerce be raised to
$15 ,000 in order for them to do the advertising for the
Development Corporation and that promotions be at $6 ,000 .
With this change a motion was made by John Yeager to adopt the
budget as presented, seconded by John Tobin. The motion carried
with all in favor .
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC .
MINUTES
JULY 29 , 1993
The Directors of the Development Corporation of Wylie , Inc . met
in regular session at 4 : 00 P .M. on Thursday , July 29 , 1993 in the
Development Corporation ' s office at 108 W . Marble , Wylie , Texas .
A quorum was present and notice of the meeting had been posted in
the time and manner required by law . Those present were
President Raymond Cooper , Vice President John Tobin,
Secretary/Treasurer John Yeager and member John Mondy . Executive
Director Charlie Womack , Mayor John Akin and City Manager Steve
Norwood were also present . In attendance from the City Staff was
Anita Collins . Tim Robinson was absent from the meeting .
President Raymond Cooper called the meeting to order .
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Update on Contract to Purchase a Tract of Land for Future
Development .
B . Review and Make Decison for Financial Assistance Request from
Local Business .
RECONVENE OPEN MEETING
ACTION TAKEN IN EXECUTIVE SESSION
A. No action taken
B . A motion was made by John Mondy and seconded by John Tobin
that the Development Corporation approve a $15 ,000 grant
for the J .D. Russell Co. for Industrial Relocation subject
to completion of utility extensions as conditioned in the
package .
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the July 29 , 1993 , special meeting approved by the
Board of Directors at its meeting on August 10 , 1993 .
Raymond Cooper , President
PREPARED BY :
Anita Collins
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Update on Contract to Purchase a Tract of Land for Future
Development .
B . Update on " Request by Two Local Employers Interested in
Financial Assistance to Relocate their Current Operations .
C . Report on Another Company that is Planning a Relocation and
Has some Interest in the Wylie area .
RECONVENE OPEN MEETING
ACTION FROM EXECUTIVE SESSION
A. No action taken.
B . A motion was made by John Yeager that the Development
Corporation make a loan to Gingy' s Heaven Scent for
$3 , 800 . 00 at six percent ( 6%) interest and payable in twelve
equal monthly installments . The motion was seconded by John
Tobin and carried with all in favor .
C. No action taken.
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the July 13 , 1993 , regular meeting approved by the
Board of Directors at its meeting on August 10 , 1993 .
Raymond Cooper , President
PREPARED BY :
Anita Collins
SUMMARY OF JULY ACTIVITIES
New business activity during the month has been non-existent except for one telephone call from the
Staubach Company. Most of my activities have been devoted to completing an agreement with all
parties interested in the J.D. Russell relocation project. Some time has been spent with economic
directors of various Collin County entities interested in participating in the Wescon '93 Trade Show in
San Francisco, California. Considerable time has to be spent with daily office activities and visiting with
local business people requesting financial information. Internal office and civic activities have increased
to such an extent that little time can be allocated to doing research and outside solicitation of new
business. I shall continue to work on eliminating many of the small distractions that take much of my
available productive time.
Physicians Regional Hospital
All tornado damage to hospital and medical plaza buildings has been repaired. Expense for the repairs
was fully paid by insurance coverage, but there was approximately forty-five thousand dollars of
downtime expense that wasn't covered by their Business Interruption insurance policy. Mr. Wedekind
maintains the problem was created from a lack of communication between himself and the insurance
agent.
Mr. Wedekind is attempting to find two (2) family certified physicians to occupy the space vacated by
the dentist. Both must be certified to practice in the Emergency Room. This will give some relief to the
physicians that have been doing double duty during the past several months. He is also trying to add an
orthopedic surgeon to the current staff. The addition of another surgeon should increase the census
count in the Med-Surg activities which has been an area that needs to improve.
The census count during July has been good and this has generated $916,099.00 in gross revenue. This
is another record for gross revenues during a summer month. Med-Surg has an average census count of
eight and Geopsych maintained an average count of nine. During the last week of July, the Geopsych
unit was full and there was a waiting list that would probably utilize the capacity of twelve units for the
entire month of August.
On July 20, 1993, the American National Bank filed an amended motion with the United States
Bankruptcy Court to lift the automatic stay. This order, if granted, would permit the bank to take
whatever action they consider necessary to protect their interest. We visited by telephone with Mr.
Wedekind and his attorney, Mr. Mark Chaviller, with the firm of Hale & Spencer. Mr. Chaviller
claimed an agreement has been negotiated with American National whereby the hospital will make a ten
thousand dollar principal reduction and pay all accrued interest due on the note secured by our
certificate of deposit. They will continue to pay each month an additional principal payment of three
thousand dollars plus all unpaid accrued interest. This procedure will continue until the new business
plan is approved by the bankruptcy court. Mr. Chaviller says this is the only way the court will approve
a payment to a creditor prior to the court's approval of a new business plan. The hearing of this petition
is scheduled for September 2, 1993.
Major Employer Relocation Status Report
A recent conversation with our contact revealed that a site in Wylie was still under consideration. Our
source reported the company has made no decision, but he will be attending a corporate meeting in
Jacksonville, Florida during the latter part of August. He feels the company will make a decision during
July Activity Report
Page 2
this meeting either to relocate or continue operating from their present facility. He promised to contact
us when he returns and give us a report if a final decision has been made by management.
Jim Meara, d/b/a The Meara Company Status Report
All new lots have been surveyed and staked. the utility lines have been marked. A new plat will be filed
during the first week of August. A contract has been signed with General Homes, Inc. They have three
weeks to complete their due diligence and feasibility study.They should take down the first four lots by
September 1, 1993, and their model home should be started by the middle of September, 1993.
Allied Powder Technologies, Inc. (APT)
A recent telephone call with Mr. Jeffery J. Chad revealed that they were still considering a move to this
area provided they could get their financial affairs in order. They are still negotiating with a financial
group that appears to be ready to close a deal that would permit them to complete their relocation plans.
Mr. Chad said they were still interested in a possible move to Wylie and expressed appreciation that we
were still interested in their move to our city.
Roberts Manufacturing Company
Mr. Larry Doyle, Distribution Facilities Manager for Roberts Manufacturing Company called and
subsequently came by our office. He represents a manufacturing company locate in California since
1936. The company manufactures plumbing fixtures and distributes their products through eight
regional warehouses; one of which is located in Dallas, Texas. The company has made a decision to
move from California because of the environmental laws and the cost to operate in that state. A
subsequent visit with Mr. Doyle revealed the company has an interest in Wylie and he is taking the
video tape with him on a trip to the corporate office. He will be making the trip during the middle of
August and should have some definite information by the end of the month. He promised to be in touch
as soon as he has additional information regarding the company's relocation plans.
Telephone call from the Staubach Company
On July 26, we received a telephone call from Mr. Tom McCarthy requesting information regarding any
incentives being offered by Wylie to attract new businesses to the city. He claimed to represent the
Staubach Company and they have been commissioned to find a relocation site for a manufacturing
company which would employ approximately one hundred fifty people. We responded immediately to
his request and attached is a copy of a letter in our response to his telephone call. We shall continue to
correspond with Mr. McCarthy until he tells us the company has no interest in relocating in Wylie.
July Activity Report
Page 3
Westcon '93 Trade Show
A meeting for all Collin County participants was held in McKinney on Friday, July 16, 1993. Economic
directors from Plano, Richardson, Frisco, Allen, McKinney, Collin County Community College, and
Wylie were present. Other attendees were Collin County Judge, Ron Harris; Mike Finney, General
Manager of Southfork Ranch; and Sally Riha, Dallas Chamber of Commerce. Cole Morvant, Director of
Economic Development for Plano, was elected Chairman of the group. Each participant will make his
or her own airline and hotel arrangements. Collin County Community College will design and make the
backdrop to be used in the booth. A working committee was appointed by the chairman and they will
have a report ready for our next meeting which will be scheduled before the 15th of August. Everyone
seemed excited and feel this show will provide the exposure that is needed to promote economic
growth for the Collin County area.
RUTLEDGE CRAIN & COMPANY, PC 461j
CERTIFIED PUBLIC ACCOUNTANTS -/ c1601 E. Lamar, Suite 109
Arlington,Texas 76011
Metro(817)265-9989 Fax(817)861-9623
July 27, 1993
Development Corporation of Wylie, Inc.
do Mr. C. C. Womack, Executive Director
P.O. Box 1467
Wylie, Texas 75098
We are pleased to confirm our understanding of the services we are to provide for the
Development Corporation of Wylie, Inc. for the year ended September 30, 1993. We will audit
the financial statements of the Development Corporation of Wylie, Inc. as of and for the year
ended September 30, 1993.
Our audit will be made in accordance with generally accepted auditing standards and will include
tests of the accounting records of the Development Corporation of Wylie, Inc. and other
procedures we consider necessary to enable us to express an unqualified opinion that the financial
statements are fairly presented, in all material respects, in conformity with generally accepted
accounting principles. If our opinion is other than unqualified, we will fully discuss the reasons
with you in advance.
Our procedures will include tests of documentary evidence supporting the transactions recorded
in the accounts, and may include tests of the physical existence of inventories, and direct
confirmation of receivables and certain other assets and liabilities by correspondence with selected
individuals, creditors, and financial institutions. We will request written representations from your
attorneys as part of the engagement, and they may bill you for responding to this inquiry. At the
conclusion of our audit, we will also request certain written representations from you about the
financial statements and related matters.
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements; therefore, our audit will involve judgement about the number of
transactions to be examined and the areas to be tested. Also, we will plan and perform the audit
to obtain reasonable assurance about whether the financial statements are free of material
misstatement. However, because of the concept of reasonable assurance and because we will not
perform a detailed examination of all transactions, there is a risk that material errors, irregularities,
or illegal acts, including fraud or defalcations, may exist and not be detected by us. We will
advise you, however, of any matters of that nature that come to our attention. Our responsibility
as auditors is limited to the period covered by our audit and does not extend to matters that might
arise during any later periods for which we are not engaged as auditors.
We understand that you will provide us with the basic information required for our audit and that
you are responsible for the accuracy and completeness of that information. We will advise you
Members
Christian A Rutledge.CPA American Institute of Certified Public Accountants Lewis Crnin.CPA
Texas Society of Certified Public Accountants
about appropriate accounting principles and their application and will assist in the preparation of
your financial statements, but the responsibility for the financial statements remains with you.
This responsibility includes the maintenance of adequate records and related internal control
structure policies and procedures, the selection and application of accounting principles, and the
safeguarding of assets.
We understand that your employees will type all cash or other confirmations we request, locate
any invoices selected by us for testing, and provide analyses where appropriate.
Our audit is not specifically designed and cannot be relied on to disclose reportable conditions,
that is, significant deficiencies in the design or operation of the internal control structure.
However, during the audit, if we become aware of such reportable conditions or ways that we
believe management practices can be improved, we will communicate them to you in a separate
letter.
Our fees for these services will be based on the actual time spent at our standard hourly rates, plus
travel and other out-of-pocket costs such as report production, typing, postage, etc. Our
standard hourly rates vary according to the degree of responsibility involved and the experience
level of the personnel assigned to your audit. In accordance with our firm policies, work may be
suspended if your account becomes 30 days or more overdue and may not be resumed until your
account is paid in full. Based on our preliminary estimates, the fee should not exceed $1,000.
This estimate is based on anticipated cooperation from your personnel and the assumption that
unexpected circumstances will not be encountered during the audit. If significant additional time
is necessary, we will discuss it with you and arrive at a new fee estimate before we incur the
additional costs.
We appreciate the opportunity to be of service to the Development Corporation of Wylie, Inc.
and believe this letter accurately summarizes the significant terms of our engagement. If you have
any questions, please let us know. If you agree with the terms of our engagement as described in
this letter, please sign the enclosed copy and return it to us.
Very truly yours,
CN- - 1 f
RESPONSE:
This letter correctly sets forth the understanding of the Development Corporation of Wylie, Inc..
By:
Title:
Date:
RUTLEDGE CRAIN & COMPANY, PC
CERTIFIED PUBLIC ACCOUNTANTS
1601 E. Lamar, Suite 109
Arlington, Texas 76011
Metro(817)265-9989 Fax(817)861-9623
November 2, 1992
Development Corporation of Wylie, Inc.
do Mr. C. C. Womack, Executive Director
P.O. Box 1467
Wylie, Texas 75098
Thank you for your response to our engagement letter dated October 3, 1992. We
understand your desire to agree to a maximum fee for the audit. However, we are
precluded by the "Rules of Professional Conduct," that are determined by the Texas State
Board of Public Accountancy, which is an agency of the State of Texas. For your
reference, we are enclosing a copy of the rules. Please read Section 501.45, (c) (2) which
addresses competitive bidding.
Briefly, we are in the second year of a multiyear contract under which, initially, more than
one "certificate or registration holder" proposed to perform the audits of the City of Wylie
and Wylie Development Corporation. Given that circumstance, we are permitted only to
propose an estimated fee for each year of the multiyear contract.
It is our intention to invoice Wylie Development Corporation based on the actual hours
we expend on the audit at our established hourly rates for auditing. Please note that last
year we invoiced Wylie Development Corporation for less than the fee estimate. Although
we cannot assure you that will happen again this year, we have very rarely requested a
client pay more than the original fee estimate.
We have scheduled the audit to be performed during the week of November 16 - 20, 1992
and look forward to continuing to audit Wylie Development Corporation. If you have any
questions, please do not hesitate to contact us.
Very truly yours,
/a
Members:
Christian A.Rutledge,CPA American Institute of Certified Public Accountants Lewis Crain,CPA
Texas Society of Certified Public Accountants
MEETING
DEVELOPMENT CORPORATION OF WYLIE , INC .
TUESDAY, AUGUST 10 , 1993
4 :00 PM
WYLIE CHAMBER OF COMMERCE OFFICE
108 WEST MARBLE
WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of July 13 , 1993
Regular Meeting and July 29 , 1993 Special Meeting of
the Development Corporation of Wylie , Inc .
2 . Discuss and Consider Treasurer ' s Report Ending 07/31/93 .
3 . Report from Executive Director :
A. Physicians Regional Hospital Status Report
B . Major Employer Relocation Status Report
C . Jim Meara, D/B/A The Meara Company Status Report
D . Status Report on Applied Powder Technologies , Inc .
E . Status Report on Roberts Manufacturing Company .
F . Report on Telephone Call from The Staubach Company
G. Status Report on Wescon/93 Trade Show in
San Francisco, California
4 . Discuss and Approve Rutledge Crain & Company , P .C . to
Audit the Financial Statements of the Development Corp .
Of Wylie , Inc . for the Year Ending 09/30/93 .
5 . Recess Open Meeting
Hospital receives, commendation
"Accreditation with Commendation" is "This outstanding level of achievement
the official rating given this week to reflects the exemplary efforts of your
Physicians Regional Hospital of Wylie by organization to provide high quality care
the Joint Commission on Accreditation of for those you serve."
IIealth care Organizations. Signed by Kenneth G. IIermann, Joint
A letter dated July 26 and received by Commission vice president for
Lawrence J. Wedekind, hospital CEO and accreditation surveys, the letter went on to
administrator, said, "The Joint say, "Congratulations on your important
Commission is pleased to inform you that achievement of accreditation with
the three-year accreditation awarded your commendation."
organization has been changed to
accreditation with commendation as a Copies went to I)r. T.M. Trimble,
result of the findings from your most president of the medical staff, and Bill
recent full survey... Davis,chairman.
* A total of 2, 762 hospitals were examined during
1992 by this organization and only 5.6% were given
this prestigeous rating.
It is believed that this is the only hospital in
the Metroplex to receive this award.
MEMORANDUM
TO: Steve Norwood
FROM: Steve Deiter
SUBJECT: Development Co•so :tion Guarantee of PR Hospital N
DATE: July 30, 1993
•
I have this (lat.- received copies of the most recent of the voluminous filings in the
Physicians Regional Hospital (Hospital) Bankruptcy proceedings. Most of the items I have
recieved copies of have been largely inconsequential from the City's perspective, but the one
received today has the potential of being significant to the Development Corporation.
The Motion was filed by American National Bank and seeks to have the "automatic stay"
of the bankruptcy proceedings lifted to allow them (American National) to go against the
Hospital to collect on their security, as the Hospital is default on its notes with the Bank.
24-
The security for two of the notes are vehicles and do not concern the City. The&`secunty
for the other note (dated 12-92 in the amount of$120,000) is the Development Corporation CD
No.400001694, in the amount of $120,000. If the Court grants the Motion (I have no idea of
whether it will or not) the Bank could then "foreclose" on its security and take the aforesaid CD.
My recollection is that payment of the secured amount was personally guaranteed to the
Development Corporation by certain individuals associated with the hospital. However from the
information contained in the subject motion (which includes a copy of the $120,000 note) it does
not appear that there is any guarantee to the Bank. Therefore the Bank is not obligated to go
against any third parties to enforce its collection rights to the collateral and could take the CD
(assuming other procedural formalities are observed) without the Development Corporation
having a chance to enforce its guarantors.
In the event the Bank would choose to do so the Development Corporation would loose
the $120,000 unless and until such time as it was able to effect payment from the guarantors.
Given all of the above I suggest that someone from the Development Corporation be in
close contact with an officer at the Bank to keep apprised of the Banks position on enforcing its
rights to the pledged CD. This would become particularly important if and when the motion was
granted, as the Bank could then act rather quickly and to the detriment of the Development
Corporation.
1
I am directing a copy of this to the Council and to Charlie Womac so that they might be
apprised of this latest development.
cc: City Council
Charlie Womac
2
JULY 28 . 1993
TO: DEVELOPMENT CORPORATION OF WYLIE , INC.
FROM: WYLIE MACHINE SHOP . INC.
210 INDUSTRIAL COURT
WYLIE , TEXAS 75098
REQUEST FOR FINANCIAL ASSISTANCE AS A RESULT OF TORNADO
MAY 13 , 1993
THE SHOP BUILDING WAS TOTALLY DESTROYED AND MAJOR DAMAGE SUSTAINED
TO MACHINERY
AS A DIRECT RESULT OF ABOVE MENTIONED STORM WE ARE ASKING FOR
FINANCIAL ASSISTANCE BECAUSE OF THE FOLLOWING:
CLEAN UP EXPENSES :
BFI INDUSTRIES FOR DUMPSTERS PROVIDED TO HAUL OFF DEBRIS
TOTAL COST: $2300 . 00 INVOICE ATTACHED
CLEAN UP LABOR @ $10 . 00 PER HOUR PAID TO REGULAR FULL
TIME EMPLOYEES FOR THREE WEEKS
TOTAL LABOR: $7200 . 00 ( NO EMPLOYEES LOST WAGES I)UE TO
DOWN TIME )
DEBT SERVICE :
$13.52 .00 BLDG. PAYMENT PROVIDENT BANK
$ 428 . 72 MACHINE PAYMENT FIRST NATIONAL BANK SACHSE
TOTAL FOR THREE MONTHS DOWN TIME $5342 . 16
UTILITIES :
TU ELECTRIC $1500 .00
CITY OF WYLIE 300 . 00 INCLUDING CHARGE OF $93 . 00 FOR
WATER DURING MONTH WHILE METER
DISCONNECTED
TAXES :
EMPLOYMENT TAXES PAID
TEC $446 . 31
DOWN TIME COST FOR ACCTS RECEIVABLE LOST IN MAY,
JUNE AND JULY
$10 , 000 . 00
D�
TOTAL REQUESTED: $27 , 088 . 47 /6, D sG
yuk
7 - 2 — 7
87 11i
/
3G � �•
a? ?, 7g tL
4Q* .
_
WYLIE MACHINE SHOP, INC .
6T*F[ED �UGUST 1991 AFTER OWNER RETIRED FROM TEXA6
INSTkUMEN [S , INC .
./O8 5HOP AND PROTOTYPE MACHINING
�UILD1NG TOlALLY DESTROYED BY TORNADO MAY 1 , 1993 .
MACK"lNES ARE FRESENTLY UNUSABLE BECAUSE OF STORM DAMAGE :
LACk OF SHELTER AND POWER AO RUN SAME
PUY R . Y AND JANICE NEELY
631 WlLUOW WAY
WYLlE . TEXAB 75098
BbSINEAD PHONE : 442-4347
HOME PHONE : 442-29�3
CURRENTLY 5IX FULL-TIME EMPLOYEES
mUM6�� iJF LAS [ TWELVE MONTHS
SIX PULL-TIME EMPLOYEES
FOiR PART-TIME APPROXIMATELY 20 HOURS EACH PER WEEK
PLAN ON ADDING TWO FULL-TIME EMPLOYEES IN 1993
-^
~-
`
EXPENSES PER MONTHLY 0FERATlUN
SALARIES:
FR06RAMN0 $2`500.00
EXPEDITER 1.250.V0
MACHlNGT 2.000.00
M. DP[kATUK A5oV.00
FOREMAN J.0OO.00
DFFlCE i.500.00
$)1.75V.V0
PA,FOLL TAyE�/FlCA �`��0.0O
UTILITIES:
ELECTRIC $ 1,2 i�j 0.O0
TELEPH0HE 4VV.V0
mAA 150.V0
$ 05100
NOTE FOMENTS:
P118V0ENT $ 1.376.00
CUNNINGHAM 272.01".)
MOBBS 311.0b
FIRST NATIONAL 428.79
-- F\RST NATIONAL 173.59
s 2.56}.44
$17.661.44 MONTHLY EXPENSES
CL[ANUF EXPENSES:
RF[ 11 DUhPSTE66
@351(V(ESTlMATED}
$ 3.550.VV
NIXON BOB-CAT 2.VVV.VV
$ 5`85V.VV
EXTRA CLEANK
WAGES FA{3 $ 3.7V5.00
STORAGE BLDG. 120.V0
$ 9.6/5.00 TOTAL CLEAN-UP
NvLlE MACHINE SHOP. INC.
P.G. BOX 6V8
'— ZN INDUSTRIAL COURT
NYLlE, TEXAS 75098
MEETING
„„ DEVELOPMENT CORPORATION OF WYLIE, INC.
THURSDAY, JULY 29 , 1993
4 : 00 PM
WYLIE CHAMBER OF COMMERCE OFFICE, 108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Open Meeting
2 . Recess Open Meeting
3 . Convene to Executive Session
A. Update on Contract to Purchase Tract of Land for
Future Industrial Development
B . Review and Make Decision for Financial Assistance
Request from Local Business
4 . Reconvene Open Meeting
5 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five ( 5) Minutes .
6 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4 : 00 P .M. on the .2 9 -- day of , 1993
at 108 West Marble , in the City of Wylie , Texas , for the purpose
of considering the above agenda .
C it ie1& h'
ec Mary Nich ls , y r etar y
POSTED THIS THE o2 6 -6C, DAY OF 1-4 , 1993 , ATS,04) !; M.
STATUS REPORT OF J.D. RUSSELL COMPANY
Negotiations have been finalized between the Development Corporation of Wylie, Inc. (DCW) and the
J.D. Russell Company (JDR). Each has agreed to the following terms and conditions:
Development Corporation of Wylie (DCW)
1. Purchase approximately 51.531 acres of unimproved land to be turned into an industrial
park.
2. Agreed purchase price of two hundred thousand dollars ($200,000)
3. Cost pre acre of three thousand eight hundred eighty-one dollars and fifteen cents
($3,881.15)
4. Simultaneously at closing, DCW will deed to JDR approximately eleven point three nine
eight acres (11.398) for immediate development.
5. DCW will furnish JDR a copy of an environmental study to be made by Helmberger
Associates. DCW will pay for study.
6. DCW will execute an option purchase agreement to JDR for the purchase of the remaining
forty point one three three acres (40.133) at a sale price of forty five hundred dollars
($4,500) per acre.
7. Purchase option will be no longer than a two (2) year period.
8. DCW will have a "first refusal agreement" on any subsequent proposed land sale by JDR
prior to their actual ownership of the optioned property.
9. DCW will fund a "cash grant" not to exceed fifteen thousand dollars ($15,000.00) to
reimburse JDR for their moving and relocation expenses.
J.D. Russell Company (JDR)
1. JDR will escrow with DCW at closing a sum of eleven thousand three hundred ninety-eight
dollars ($11,398.00) to be refunded when "roll back taxes" are due when the eleven point
three nine eight acres (11.398) are rezoned from "A" to "I" classification.
2. JDR will escrow with DCW an additional eighteen thousand six hundred ninety-one dollars
($18,691.00) to purchase the twenty-four month (24) purchase option totaling one hundred
eighty thousand five hundred ninety-eight dollars and fifty cents ($180,598.50).
(a) The escrowed amount will be credited as a payment if option is exercised within the
two year period.
(b) The escrowed amount is calculated on a six percent (6%) annual interest charge on the
actual cost ($155,762) of the property under option.
3. JDR will immediately, after closing, begin development of a new industrial building for their
occupancy on approximately eight point eight nine eight acres (8.898) and the remaining two
point five acres (2.5) will be available for future expansion.
4. The deeded eleven point three nine eight (11.398) acres will be returned by JDR to WDC for
ten dollars ($10.00) and other considerations should the property not be developed within a
twelve (12) month period.
5. JDR will begin construction of a public street from the end of Regency Road to a cul de sac
and then extend another future street to the location property line of the deeded property.
6. JDR will escrow sufficient funds with the City of Wylie (CW) to ensure the extension and
completion of a public street from eastern property line to Hooper Road.
(a) Construction of road will begin immediately after the remaining property is
purchased.
7. JDR will landscape the deeded property when construction is completed. Any landscaping
must have prior approval of CW and DCW.
8. JDR will pay for all building and other fees required by public entities.
Terms and Covenants not completely reconciled
1. No agreement as to who will be responsible for the repaving or repairing of Regency Road
from Hwy 544 to Steel Road.
2. JDR wants some tangible evidence from CW that the pump station supplying water to the
property will be repaired within a specified time frame.
3. Some evidence that CW will reduce their impact fee structure because JDR is a small water
user.
4. Some evidence that CW will agree to approve a tax abatement program for the JDR
Company.
5. JDR would like a commitment from CW that they would assist in furnishing utility lines
when Phase II begins to be developed.
July 15, 1993
(Letter sent to all School Board Members and Susan Williamson)
Mr. Jim Hysaw
2001 Quail Run Road
Wylie, Texas 75098
•
Dear Jim:
The J.D. Russell Company, presently located in Wylie, is planning a relocation and major
expansion of their operation. The expansion will greatly increase the size of their physical
plant and, eventually, their work force. Unfortunately, J.D. Russell's relocation to another
area of Wylie is NOT a foregone conclusion -- other communities are presently courting
them with some very attractive incentives.
Wylie is competing with communities like Garland, which has well established economic
incentives and tax abatement plans that involve ALL of the local taxing authorities. The
City of Wylie and Collin County are prepared to consider and grant tax relief in the form
of property tax abatements during the first four years.
An "abatement", if granted, will NOT create an expense or loss of current revenue. In fact,
a progressive abatement program will actually allow the City, County, and I.S.D. to
IMMEDIATELY INCREASE their tax revenues substantially, and will create a tax base
which will provide even greater revenue in the very near future. In the case of the J.D.
Russell Company, a tax abatement will make sound economic sense for the Wylie I.S.D.,
and for the community.
The proposed relocation property is currently being taxed on an agricultural exemption
and provides the school district with an annual revenue of$158.66. If a four-year,
abatement program were granted by the School Board, the rezoning of this property will
generate an immediate return of$11,250.00 in 1993 for roll back taxes. In the 1994
and1995 tax years, an additional $7,411.00 would be generated each year. Projected
revenue in 1996 and 1997, the last two years of the abatement, would be $8,797.00 per
year in school taxes. Additionally, roll back taxes of$27,000 would be collected in 1995
when the J.D. Russell Company exercised its option to purchase the additional acreage
from the Development Corporation of Wylie. Total projected revenues to the Wylie I.S.D.
from this property by year-end 1998 (under the requested abatement plan) would be
approximately $86,872. If the J.D. Russell Company relocates to another city and the land
remains farmland, total revenue for the same period will be approximately $951.00. I have
enclosed a chart to illustrate the comparison I have outlined.
Jobs, tax base, economic well being, quality of life, exceptional educational opportunities,
are all things the Chamber of Commerce is striving to enhance and promote. We desire to
work with our School Board and City Council to achieve what is best for everyone in our
community. The Wylie Chamber of Commerce supports approval of an abatement plan to
assure the retention of a fine corporate citizen such as the J.D. Russell Company, and to
open the door for future economic growth and prosperity.
As always, I am available to you to provide any additional information or to answer any
questions you may have. Thank you for taking the time to consider this very important
issue.
Sincerely,
Ken Lane, President
Wylie Chamber of Commerce
KLK/bj
Enclosure
TAX CONTRIBUTION COMPARISON
for Wylie I.S.D. Revenues
PRESENT TAXES YEARS 1 &2 YEARS 3 & 4 YEAR 5
ALL 51 ACRES WITH 50% WITH 50% WITH NO
TAX ABATEMENT TAX ABATEMENT TAX ABATEMENT
$ 84.82 County School $3,961 County School $4,654 County School $8,615 County School
$ 73.87 w.l.s.o. $3,450 W.I.S.D. $4,143 w.l.s.o. $7,593 w.l.S.o.
$158.66 TOTAL $7,411 PER YEAR $8,797 PER YEAR $16,206 TOTAL
PLUS: PLUS:
Roll Back Taxes Roll Back Taxes
$11,250.00 $27,000.00
Based on Market Value: Based on Additional
$1,000,000.00 Property Valued At:
Land-$50,000 $175,000.00
Buildings-$500,000 Note:Additional Buildings
Concrete-$250,000 and businesses not
Equipment-$200,000 included
Note 1: Current assessed market value for property is $203,000, but taxable agriculture
value is $10,000.
Note 2: All projections on this chart are based on realistic cost estimates for the new
facility and equipment.
Mr. President and fellow board members:
I am C.C. Womack, Executive Director of the Development Corporation of Wylie. The principal
objective of the Corporation is dedicated to the creation and retention of jobs within the City of Wylie.
I thank you for this opportunity to visit with you about an important request that we would like you to
consider.
My Board of Directors has requested that I appear before you and request you consider a tax abatement
agreement with a local company that has decided to expand and relocate their manufacturing facility.
Several sites outside the City have been considered, especially a neighboring city where the company
owner currently owns a►i industrial site.
For the past several weeks, we have been trying to keep the J.D. Russell Company from moving or
building a facility in another city. To indicate our desire, the Corporation has negotiated a purchase of
unimproved farm land for future industrial development. Approximately twelve acres will be deeded to
the Russell Company free and clear of debt. They will immediately request the City of Wylie rezone,
the deeded property from agricultural to industrial classification. When the reclassification has been
approved, they will immediately seek a building permit to construct their new facility consisting of
approximately fifty thousand square feet. They will occupy approximately eight and one half acres, and
the remaining two and one-half acres will be retained for building a new manufacturing facility for
another local industrial company that plans to expand within a two year period.
The Development Corporation has agreed to give the J.D. Russell Company a two year purchase option
on the acreage remaining in the original site. They will replat the property into several parcels to be
rezoned as industrial building sites. Each time a property is rezoned a "roll back tax" is collected from
the owner. The current roll back tax on this property will amount to approximately fifty-one thousand
dollars, and the Wylie I.S.D. will be the largest recipient of these additional tax funds.
Ladies and gentlemen of the Board, it is a proven fact that in today's competitive market for the
creation and retention of jobs, both the private and public sectors must work together to generate a
wholesome business attitude for the continued growth of any community. There is hardly a day that
passes when someone will ask the question "When is Wylie going to get a Walmart, a Home Depot, a
Braums, a Chili's, or many other popular business names. My standard answer is "This will not happen
until there are more roof tops located in Wylie." The only way to accomplish accelerated growth is to
increase our industrial and retail job markets. Not only will this produce more job opportunities, but
will help decrease the tax burden that is now being placed on the individual homeowner. My mission
tonight is to ask this board to consider an individual tax abatement program for the J.D. Russell
Company. Our surrounding cities and school districts have established tax abatement incentives for the
retention and attraction of new business. I can make available to each of you a copy of the current tax
abatement programs being offered by Dallas, Richardson, Garland, Plano, Allen, and McKinney school
districts. Most have discovered that this and other incentives are a prime motivating factor for any
business to consider when building or relocating in their city or school district.
The City of Wylie has recently adopted a tax abatement program and we believe they have unofficially
agreed to negotiate a plan with the J.D. Russell Company. We believe other taxing entities will approve
a tax abatement program provided the City of Wylie and the Wylie I.S.D. both agree on a tax
abatement plan for the J.D. Russell company. We believe there will be no immediate loss in tax
revenue dollars should you approve a plan, and we know there will be a substantial reward should this
project become a reality.
•
We sincerely believe that both the public and private sector should make a concentrated effort to retain
this fine company in our city. The net result will be more jobs and the taxing entities will generate a
considerable increase in revenues within a short period of time.
Thank you again for letting me share this brief time with you. I will be happy to answer any questions
you may have regarding our negotiations with the J.D. Russell Company.
•
2144423 60 U RUSSFI.1.. TEXRS LTD 1 Pa2 rl K. 29 'R 1 : 11
THE J. D. RUSSELL COMPANY
July 29, 1993
Charlie WoiQack
Rxet;utive Director
Development Corporation
of Wylie, Inc.
108 West garble
Wylie, TX 75098
Mr . Womack :
First, The JD Russell Company would like to thank you, Mr .
Womack, for all the negotiations and hard work that you have put
into our relocation and expansion project. We look forward t4
working with you and the Development Corporation in the future to
bring more tax-producing industries to Wylie and provide this
community with economic growth.
Just a► reminder that The JD Russell Company properties and
buiidinge are owned by Penvesco. All property will actually be
deeded to Penvesco .
As verbally agreed, The JD Russell Company requests that the
Development Corporation provide fifteen thousand dollars
( $15, 000) for moving expenses . These funds will be paid when
site dirtwork begins on the 11 .398 acres to be deeded to The JD
Russell Company,
The JD Russell Company (Penvesco ) agrees to the following terms
and conditions of our agreement with The Development Corporation.
Thp Devellinvent CorpoKation wU-i :
1. purchase approximately 51 . 53 acres of land (Abstract 835,
Tract 17 ) to be developed into hen industrial park .
2 . Agreed purchase price of two hundred thousand dollars
( $200, 000) .
3 . Cost per acre of three thousand eight hundred eighty-one
dollarn and fifteen cents ($3881 , 15) .
4 . Simultaneously at closing, DCW will deed JDR eleven point
three nine eight acres (11. 398 ) for immediate development,
this property will be referred to as Phase 1 .
5 . DCW will furnish JDR a copy of an invironmentaj Study
indicating no environmenta1 problems . ,7
Initial � 3
21444233G0 J D PUSSEL1. 1LXPS EZ)1 Pi3.3 AL. '93 13:11
NIIUMMWINimmr
THE J. D. RUSSELL COMPANY
Page 2
6 . Seller will provide JDR a complete boundary survey of 51. 53
acres; with the 11 . 398 acres to be ,deeded to JDR designated .
7 . DCW will execute an option Purchase Agreement to JDR
for the purchase of the remaining forty point one three
three acres (40.133 ) at 6 percent interest per year on the
original purchase price. Thin property will be referred to
a9 Phase 2.
03881. 15 Purchase Price, I?er Acre
+ 232.. 87 Plus 6%
04114.02 JDR Purchase Price Per Acre
If Purchased In Gees Than 12
Months From Date Of Closing
$165, 107 .96 Total Price 40.133 Acres If Purchased
In Lean Than 12 Month From Ddto of c1ohing
•
4 246,84 Additional 6%
$4360 . 86 JDR Purchase Price Per Acre.
If Purchased In More Than 12
Months From Date Of Closing
$175, 014 . 39 Total Price 40 , 133 Acres If Purchased
In More Than 12 Months Prom Date of Closing
8 . Purchasse option will be no longer than a two ( 2) year
period.
9 . Development of the 40 . 133 acre option property is contingent
upon the closing of Maxwell Creek Landfill unless there are
prospects available for the property prior to the landfill 'e
closing.
10 . It is not the intent of JDR to sell any of the optional
property prior to their actual ownership or prior to
development . However, it JDR. elects to sell its option DCW
may elect to keep the property through a "firrst refusal
agreement" .
11 . DCW will provide JDR with fifteen thousand dollare ( $15, 000)
for moving expenses . This money will granted to .IDR when
sita dirtwork of the Phase 1 property begins .
12 . JDR surveyors, Site Engineers, and Geotechnical Engineers
will have access to the property prior to closing. 7,'
Initial iv
5 . JD' wi11 cor trru a nc to bl stAco thet� w i
so"ut 'f. c� R 1 \ l ,Cxinna
otrr; R pen ,y Road ap rcix r�tc\iy g3��fect to end in a
CU1-de'-sa�^Jas �axt\-of our' Phi/r.e
2 1 444 23560 J D f,'JSS;ELL TEXAS R52 P01 JUL 2Q '93 13:1'r
THE J . D. RUSSELL COMPANY
Page 3
t
The JDRusse ,l MParly (Penve6CO1 w, lIz
1 . JDR agrees to pay $4114 . 02 per acre for the Phase 2 property
if purchased in less than one year following closing of the
Phase 1 property. JDR agrees to pay $4360 . 85 pet acre for.
the Phase 2 property if purchased in more than one year
following closing of the Phase 1 property.
2 . 3DR will escrow with DCW at closing a sum of twelve thousand
dollars ( $12,000) to be refunded when Roll Back Taxes are
due on the 11 .398, Phase 1 property at the time it its
rezoned from "Agriculture" to "Industrial" .
3 . JDR will escrow an additional twenty thousand dollars
( 020, 000) as good faith that development will begin on the
11. 398 Phase 1 property as soon an Industrial zoning Is
granted by CW. When rite dirtwork begins on the Phase 1
property, DCW will refund the $20, 000 to JDR.
4 _ JDR will forfeit all escrow moniesland deed 11 . 398 acres
for Phase 1 back to DCW if development does not begin
within one year following closing .
5. JDR will construct a concrete public street that will extend
south from Regency Road approximately 430 feet to end in a
cul-de-sac as part of our Phase 1 protect .
6 . JDR will install water and sewer lines, as designed by JDR
site engineers and to CW specifications, along the 430 foot
roadway in Phase 1. Any additional fees, other than regular
filing fees, for reviewing these plans will be horn by CW.
7 . JDR will construct a concrete public street connecting
Regency Road and Hooper Road as part of development of
Phase 2 property. Construction of this road will begin as
soon as there is a need for development of the Phase 2
property.
8 , JDR will escrow fifty-thousand dollars ( $50, 000 ) in the form
of a surety bond or letter of credit with the City of Wylie
to ensure the extension and completion of a public street
connecting Regency and trooper Roads .
/ �
Initials %f5
2144423568 J D RUST 7E
052 P02 RA- 29 _93 1.3:17
THE J. D. RUSSELL COMPANY
Page 4
This surety bond or letter of credit will be issued at
closing of the phase 2 property provided that cW has
rezoned the Phase 2 property to Industrial and CW has
implemented an improvement agreement with sufficient
scheduling of improvements to Regency Road and upgrades to
the water pump station at Steel Road and Hooper Road.
The surety bond or letter of credit will be returned to JDR
when the public roadway connecting Regency and Hooper Roads
is complete.
9 JDR will
providendscaping f developed
t o
10 . JDR will pay for all building and other fees required by all
public entities .
Teens and Covenant$ Not CQgtpletely Re congiledi doping on
Contract Sgptingent Upon Satisfactory Agreements On The Following
Ittnnn :
1 . Commitment from City of Wylie (CW) confirming completion
date of upgrades to Regency Road north of Steel Road to make
it comparable to Regency Road south of Steel . Target Date
July 1996
2 . Commitment from CW confirming that ,upgrades to the water
pump station near Steel will be made within 120 days of
notice that Phase 2 development will begin.
3 . Commitment that CW will provide installation of water and
sewer lines along 2200 Foot public roadway for Phase 2
development; with CW incurring impact fees for Phase 2 ,
4 . CW will reduce water and sewer impact fees to a Commercial
Rate of approximately $12, 600 for the Phase 1 property.
5 . Tax Abatement will be granted by all taxing agencies at
fifty percent (50%) for the first four years following
completion of JDR 's new facility, to begin in 1995.
In1tials/" /
DEVELOPMENT CORPORATION OF WYLIE
P. O. Box 1467
(214) 442-7901
Wylie, TX 75098
C. C.WOMACK
Executive Director
July 26, 1993
Mr. Tom McCarthy
The Staubach Co.
Dear Mr. McCarthy:
Thank you for your telephone call today in which you mentioned Wylie as a possible
relocation site for one of your clients. We welcome the opportunity to tell you about our
city and how relocating here could benefit your client.
Your telephone call was referred to this office because this is a non-profit corporation
organized to create and retain jobs within the city of Wylie. Our funds are generated by a
one-half cent sales tax which can be used for cash grants, ownership of properties, funding
low interest loans and other financial incentives that attract new business to our city.
The city of Wylie and the Wylie Independent School District have both indicated a
willingness to consider a "tax abatement" program for any company interested in a
possible move into this area. Each "tax abatement' incentive agreement is decided
individually on the pertinent facts presented by each individual applicant. Recently, the
city offered to negotiate "impact fees" with a new prospective employer. They may
additionally consider furnishing utilities to a property site if the service is not already
available.
This corporation is currently negotiating a purchase of approximately fifty two acres of
undeveloped land for a new industrial park. Some eleven acres will be deeded free of debt
to a local company for their plant relocation. Simultaneously with the closing, the
company will sign a two year option agreement to purchase the remaining acreage at a
pre-determined price. We would be interested in discussing a similar program with you or
your client.
Our corporation has a professionally prepared six to seven minute video tape showing
some of the major employers and other highlights of our city. We would be happy to
make a copy available to you, at your request.
We will "fax" under separate cover, a list of available industrial properties now being
offered for sale. There are other excellent sites available which have not been included
because they have a current agricultural classification. These properties can be re-zoned
without any problems.
We would be most appreciative if you would permit us an audience with you and your
associates . Please call if you would like to schedule a luncheon meeting where we can
become better acquainted or if you need additional information.
Sincerely yours,
C. C. Womack
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC .
TUESDAY , JULY 13 , 1993
4 : 00 PM
WYLIE CHAMBER OF COMMERCE OFFICE
108 WEST MARBLE
WYLIE , TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of June 8 , 1993
Regular Meeting and June 24 , 1993 Special Meeting of
the Development Corporation of Wylie , Inc .
2 . Discuss and Consider Treasurer ' s Report Ending 06/30/93 .
3 . Report from Executive Director :
A . Physicians Regional Hospital Status Report
B . Major Employer Relocation Status Report
C . Jim Meara , D/B/A The Meara Company Status Report
D . Craney & Maintenance , Inc . Status Report
E . Report on Meeting with Representatives from Applied
Powder Technologies , Inc .
F . Report on Discussion with S-Line Corporation, Dallas
Texas Regarding Relocation Plans
G . Report on Telephone Call from Roberts Manufacturing
Company .
4 . Review and Approve Budget for Year Beginning 10/01/ 93 and
Ending 09/30/ 94
5 . Recess Open Meeting "
6 . Convene to Executive Session
A. Update on Contract to Purchase Tract of Land for
Future Development .
B . Review and Make Decision for Financial Assistance
Request from Three Local Businesses .
C . Discuss Purchase and Building Out of Existing
Industrial Lots .
8 . Reconvene Open Meeting
9 . Citizen Participation .
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five ( 5 ) Minutes .
10 . Adjourn .
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4 : 00 P .M. on the is2 day of , 1993
at 108 West Marble , in the City of Wylie , Texas , for the purpose
of considering the above agenda .
r^
Mary Ni&hols , City Secretary
POSTED THIS THE -K- DAY OF , 1993 , AT-5O F M.
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC .
MINUTES
JUNE 8 , 1993
The Directors of the Development Corporation of Wylie, Inc . met
in regular session at 4 : 00 P .M. on Tuesday , June 8 , 1993 in the
Development Corporation' s office at 108 W . Marble, Wylie , Texas .
A quorum was present and notice of the meeting had been posted in
the time and manner required by law . Those present were
President Jim Smith, Vice President James Blakey ,
Secretary/Treasurer John Yeager and members John Mondy and John
Tobin . Executive Director Charlie Womack , Mayor John Akin and
City Manager Steve Norwood were also present . In attendance from
the City Staff was Anita Collins .
President Jim Smith called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF MAY 8 , 1993 REGULAR
MEETING : The minutes of the May 11 , 1993 meeting should read
( 38 . 53 ) not ( 35 . 83) . There being no other corrections to the
minutes James Blakey made a motion that they be approved without
any further corrections , seconded by John Mondy . The motion
carried with all in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER' S REPORT: Total
corporate funds as of May 31 , 1993 were $439 , 513 . 39 . Expenses
for May were $6 , 119 . 11 and revenues were $27 , 818 . 25 . Total
available funds were $318 , 227 . 79 . A motion was made by John
Tobin to accept the Treasurer ' s Report as read and was seconded
by James Blakey . The motion carried with all in favor . (See
attached report at the end of these minutes ) .
REPORT FROM EXECUTIVE DIRECTOR:
A . Physicians Regional Hospital Status Report - The
hospital was closed for eight days and the Medical Plaza
building should reopen within the next ninety ( 90 ) days . All
patients were removed from the hospital immediately after
the tornado and no fees were generated during the closed
period. All tenants in the professional building have
moved to other locations . A hearing was scheduled by the
court for May 26 , 1993 but has been rescheduled for late
July or August on the bankruptcy petition .
B . Major Employer Relocation Status Report - A recent
conversation with local management reveals no decision has
been made by the corporate office . Mr . Womack ' s contact
indicated that the home office was going through some
management changes and this has delayed any definite
decision on the relocation of the Dallas facility . He
agreed to keep us abreast of any new deveiocments .
C . FERMA-TUNE Inc . Status deport - Management feports
business has been better than expected . Two employees have
been added to meet current demands . One local company came
to their rescue when a supplier failed to supply parts as
scheduled and it didn ' t become necessary to stop production .
Mr . Lenarduzzi continues to be happy with his move to Wylie
and is anxious to sell his California home so he can
establish a permanent residence in Wylie .
D . GINNY ' S Inc . Status Report - Company has completed
their move to their new location in the old Post Office
building . They need more space and are looking for a
facility where their patterns can be stored . Employees are
happy with the new location because there are windows in the
building that make their working area a much more attractive
area . Mrs . Leon (owner) has discussed the possibility of
asking the corporation for financial assistance to help
defray some of their moving and renovating expenses .
E . Jim Meara , D/B/A the Meara Company Status Report - Mr .
Meara has continued to meet with the City Manager to reach
an agreement for some relief on this item. The City Council
declined Mr . Meara ' s request for the city to dace a
- moratorium for two years on the collection of impact tees
when requesting a building permit on an existingeloped
building lot . Mr . Meara reported that negotiations fcr the
sale of this property to General Homes is in its final
stages .
F . Crane Safety & Maintenance , Inc . - Mr . Crisuolo
continues to negotiate a land purchase from Provident Bank
and has requested they consider providing interim and
permanent financing on the new facility . The bank has
agreed to consider this request but additional information
is needed before they will make a decision . Mr . Criscuolo
is developing the final plan and estimated cost of the new
facility . He will be spending the first week in June
erecting a large crane in Denver , Colorado and this will
delay completing the information for the bank . He believes
all the financing will be furnished by the bank and there
will be no need for the corporation to provide any financial
assistance .
G . Update on Plans to Honor Mr . Hiroshi Takahashi ,
Chairman/President and C . E . O . , Sanden International
(U . S .A. ) , Inc . - Sanden is hosting a farewell reception
honoring Mr . Hiroshi Takahashi at the Bristol Suites Hotel
in Dallas on June 10 , 1993 from 6 : 00 P .M. - 8 : 00 P .M. The
members of the Development Corporation have been invited .
H . Mr . Womack informed the board that he had visited with
each business that had sustained damage from the tornado .
They were told that the Development Corporation would
consider any request for financial assistance if the need
was necessary to get them back into production as soon as
possible . No requests for assistance have been received .
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A . Update on Contract to Purchase a Tract of Land for Future
Development .
B . Update on Request by Two Local Em' lo,Yers interested .in
Financial Assistance to Relocate t :e, r Current Operations .
C . Report on Another Company that i. Planning a Relocation snO
Has some Interest to the Wylie area .
RECONVENE REGULAR MEETING
A . A motion was made by John Yeager to purchase the 51 . 531 acres
at a cost not to exceed $200 , 000 . 00 . The motion was seconded by
John Tobin. The motion carried with all in favor .
B . No action taken .
C . No action taken .
CITIZEN PARTICIPATION : None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned .
Minutes of the June 8th 1993 , regular meeting approved by the
Board of Directors at its meeting on July 13th, 1993 .
Jim Smith , President
PREPARED BY :
(}01--/-
Anita Collins
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE , INC .
MINUTES
JUNE 24 , 1993
The Directors of the Development Corporation of Wylie , Inc . met
in a special session at 4 : 00 P .M . on Thursday , June 24 , 1993 in
the Development Corporation ' s office at 108 W . Marble , Wylie ,
Texas . A quorum was present and notice of the meeting had been
posted in the time and manner required by law . Those present
were Secretary/Treasurer John Yeager and members John Mondy and
John Tobin and new members Tim Robinson and Raymond Cooper .
Executive Director Charlie Womack , and Mayor John Akin . In
attendance from the City Staff was Anita Collins .
Secretary/Treasurer John Yeager called the meeting to order .
ADMINISTER OATH OF OFFICE TO NEW MEMBERS : Anita Collins
administered the oath of office to new members Tim Robinson and
Raymond Cooper .
NOMINATE NEW CORPORATE OFFICERS : John Tobin nominated Raymond
Cooper for President , the nomination was seconded by Tim
Robinson. There were no further nominations for President . The
board voted on the nomination of Raymond Cooper for President and
all were in favor .
Mr . Cooper then called for nominations for Vice-President . Tim
Robinson nominated John Tobin for Vice-President , the nomination
was seconded by John Mondy . There were no further nominations
for Vice-President . The board voted on the nomination of John
Tobin for Vice-President and all were in favor .
NAME OFFICERS AUTHORIZED TO SIGN CHECKS TO WITHDRAW CORPORATE
FUNDS FROM AMERICAN NATIONAL BANK IN WYLIE AND PROVIDENT BANK,
WYLIE : All three officers are authorized to sign checks to
withdraw corporate funds . Checks require signature of any two of
the officers .
REVIEW CURRENT FINANCIAL STATUS OF CORPORATION: The board
reviewed the current financial status of the corporation (See
attached report at the end of these minutes) .
DISCUSS NEW (1994) BUDGET: The board discussed what they felt
should and should not be included in the budget . The board felt
they should budget to attend trade shows in order to advertise
our City. The board also felt they should consider providing
industrial buildings for businesses considering moving to Wylie .
CONVENE TO EXECUTIVE SESSION :
A . Update on Request by Two Local Employers Interested in
Financial Assistance to Relocate their Current Operations .
RECONVENE REGULAR MEETING
A motion was made by Tim Robinson to authorize Charlie Womack to
make a proposal to the J . D . Russell Company as follows :
The Development Corporation will ''live them 15 acry they in
turn will come up with the money for the rollback taxes _.-. l
the option to buy . The Development Corporation will attempt
to get the right of first refusal in contract , a.r,rtie .
if that becomes an obstacle and = y _:loll- else =s ridnt
they will withdraw that e u_ _ e,, .- _ . The : _ ci _.
the land owner . J . D . Russell and tne
Corporation shall
.:cc_.
The motion was seconded by Jon:__ Yeao.er _i L _ _ _ l� '_ ., all
favor .
CITIZEN PARTICIPATION : None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned .
Minutes of the June 24th 1993 , special meeting approved by the
Board of Directors at its meeting on July 13th, 1993 .
Raymond Cooper , President
PREPARED BY :
i
Anita Collins
TREASURER'S REPORT 6/30/93
Ending balance -5/31/93
Provident Bank -Wylie 93,704.00
American National Bank-Wylie 224,341.99
C/D #400001820 (American National) 121,285.60
Petty Cash (Provident Bank) 181.80
Total funds available 5/31/93 439,513.39
Income
Regular checking funds 5/31/93 318,045.99
Sales tax revenue 14,483.26
Interest earned 677.91
Escrow refund 1000.00
Total demands funds available 334,207.16
Expenses
G.T.E. Southwest, Inc. 59.37
Oakridge Country Club 73.00
City of Wylie (contract labor) 57.25
Provident Bank -Wylie (941 tax) 470.00
C.C. Womack 1,783.00
Perna-Tune Electronics, Inc. 3,428.90
AARP Group Health Ins. Program 177.50
Total expenses 5,949.02
Total demands funds 6/30/93 328,258.14
Petty cash funds 5/31/93 181.80
Wylie Printing & Office Supply 2.95
Wylie Chamber of Commerce 7.50
Balance available 6/30/93 171.35
Total demand &petty cash 6/30/93 328,429.49
C/D #400001820 balance 5/31/.93 121,285.60
Interest earned during month 300.72
C/D value 6/30/93 121,586.32 121,586.32
Total corporate funds 6/30/93 450,015.81
(1) C/D #400001820 totaling $121,586.32 is pledged to American National Bank, Wylie to secure a loan for
Physicians Regional Hospital that has a current balance of$111,839.90
(2) 1/20/93 Commitment totaling $10,000.00 to reimburse Perma-Tune Electronics, Inc. for moving expenses.
A total of$6,963.70 has been paid reducing our current liability to $3,036.30
(3) 1/20/93 Committed a total not to exceed$6,000.00 to reimburse Perma-Tune Electronics, Inc. for partial
expenses to train six (6) new employees who are permanently employed for a period of twelve (12)
months.
Total corporate funds available for future investments
$329,139.61
Recap of funds on deposit with local banks:
American National Bank -Wylie
Provident Bank -Wylie 360,881.80
Total corporate funds 89,134.01
450,015.81
PROPOSED BUDGET
Development Corporation of Wylie, Inc.
10/1/93 through 9/30/94
REVENUES:
Projected tax revenues 224,000
Interest on deposits 12,000
TOTAL REVENUE 236,000
ACCOUNTING 1,200
Audit 500
Report preparations 1,700
TOTAL
ADVERTISING
Trade Shows 4,000 Go
Wylie Chamber of Commerce 500 117000
Advertising Materials 1,000
Magazine &Newspaper Ads 1000
TOTAL 16,000
CONTRACT LABOR
City of Wylie 900
Secretarial assistance 600
TOTAL 1,500
DUES
Rotary Club of Wylie 400
Oakridge Country Club 520
North Texas Commission 1,000
Texas Industrial Development Council 95
American Economic Development Council 285
TOTAL 2,300
FURNITURE & EQUIPMENT
Computer & Printer 1,500
Software 500
TOTAL 2,000
INSURANCE
Liability 1,500
Fidelity Bond 2,050
Unemployment Compensation 650
I Iospitalization Supplement 2,200
TOTAL 6,400
LEGAL
Loan Closings 1,000
Miscellaneous Legal 200
TOTAL 1,200
Development Corp. of Wylie
Proposed Budget
Page 2
MISCELLANEOUS
Industrial Luncheons 1,000
Petty Cash Transfers 600
Mileage & Out of Pocket Expenses 400
TOTAL 2,000
POSTAGE
Stamps 60
Special Mailings 40
TOTAL 100
PRINTING
Regular 50
Special 150
TOTAL 200
PROMOTION
Dallas Realty Fair 400
Various projects during year 600
TOTAL 1,000
PUBLICATIONS
Wall Street Journal 200
Forbes 50
Miscellaneous Publications 50
TOTAL 300
SALARIES
C.C. Womack 24,000
TOTAL 24,000
SUPPLIES
Copier paper 75
Computer paper 75
Various supplies 50
TOTAL 200
TELEPHONE
GTE (Basic Rate) 730
Long Distance 270
TOTAL 1,000
TRAINING
Economic Development Institute 900
(2) Two Texas Engr. Extension Service 300
TOTAL 1,200
Development Corp. of Wylie
Proposed Budget
Page 3
TRAVEL
C.C. Womack - .28 per mile 300
Trade Shows 700
TOTAL 1,000
TAXES
Social Security 1,500
Medicare 400
TOTAL 1,900
Od
Total Projected Expenses .64,900- ( ti D O d
Summary of June Activities
June has been a very active month for telephone inquiries, personal visits with many of the local
business owners, preparation for "Industrial" luncheon and other related discussions with people
who personally made a physical visit to my office. There has been some interest from firms and
individuals making inquiries regarding the availability of suitable building for their particular
needs. Most of the inquiries want information regarding tax incentives and what kind of financial
assistance is offered by the Development Corporation. Two local investors are making plans to
build separate industrial buildings for lease. This should meet our immediate need for small
industrial buildings.
Physicians Regional Hospital
Most tornado damage to the hospital and Medical Plaza buildings have been repaired. The
doctors that vacated the Plaza building after the tornado have either returned or plan to move in
the immediate future. All will return except the dentist who has moved to another permanent
location in the City of Wylie. Management has decided to use this vacated space to enlarge the
geopsych unit and add an additional family practitioner who should add patients to the daily
census count.
The census count during June has broken all records for this month during the past five years. All
available beds were occupied during the last two weeks of June. Management has estimated gross
billing revenue for the month should reach approximately $860,075. This should cover some of
the short-fall in revenue during the month of August.
Ken Lane's secretary called and reported that an agreement has been reached between the parties
involved in the past due loan discussions. She reported the hospital would make an immediate
principal reduction of thirty thousand dollars ($30,000) and pay all past due accrued interest.
They would continue to make a principal reduction of three thousand dollars ($3,000) each month
plus pay the accrued interest until their financial business plan was approved by the court. We
have requested that this agreement be ratified by a signed statement from all parties.
Mr. Wedekind has reported that an agreement offer has been submitted by American Healthcare
Management (AHM). All covenants are acceptable except the provision for the purchase of a ten
percent (10%) limited partnership interest owned by AHM. Mr. Wedekind feels the court will
dismiss their (AHM) petition for Chapter VII liquidation and will address this issue when the
reorganization plan is approved.
Mr. Wedekind continues to negotiate with a prospective purchaser of the entire medical facility
and land from AHM. The purchaser must be willing to spend an additional one million, two
hundred thousand dollars ($1,200,000) for renovation of current facilities and adding an
additional twenty (20) patient rooms. He continues to be optimistic that present negotiations will
be successful, but will not be finalized until after the bankruptcy plan has been approved by the
court.
June Activity Summary
Page 2
Major Employer Relocation Status Report
Management continues to report that all re-location plans have been placed on hold until certain
events are finalized. We have been told that Wylie will continue as a possible relocation site when
and if a moving plan is resurrected. We shall continue to visit with our contact at least monthly
until we have been informed that all future relocation plans have been terminated.
Jim Meara d/b/a/The Meara Company
The Wylie Planning and Zoning Board has approved the replating of the duplex building lots in
the sub-division to fifty-eight (58) single family residential lots. Recommendations of the P & Z
board will be reviewed and a final decision will be made by the Wylie City Council in their next
meeting scheduled for July 13, 1993.
Mr. Meara reports his efforts to have the impact fees waived by the city haven't been successful,
but he will continue to research his options for a possible solution to this current problem.
General Homes, Inc. continues to have an interest in building out the residential lots during a
twenty-four (24) month period. They also have an interest in developing the remaining acreage if
the developed lots are sold within the twenty-four (24) month period. This would create another
one hundred (100) home in Wylie.
Crane Safety and Maintenance, Inc.
The company has signed a contract to purchase an industrial building lot from Provident Bank -
Wylie. There are no immediate plans to construct a building until the lot is free and clear of debt.
The company has bid several big jobs with good profit margins which if they are the successful
bidder, should generate sufficient funds to liquidate lot debt and construct building. Currently
management has no plans to request any financial assistance from the Development Corporation.
Applied Powder Technologies, Inc. (APT)
The company is wholly owned by the Chad family and their home office is located in Calgary,
Alberta, Canada. Their production facility is located in Millford, Connecticut. APT purchases a
ceramic oxide powder in bulk form from Russia, and then packages and distributes throughout the
world. The company manufactures a broad range of metal powders at its facility in Connecticut
for the North America coating industry.
June Activity Summary
Page 3
APT has planned for several months to expand their market worldwide and they have decided to
locate a facility near an international airport and within a reasonable major seaport. A
demographic study revealed that the Metroplex was an ideal location and would even improve
should the North American Trade Agreement be ratified by the participating nations. APT's study
further revealed five cities within the Metroplex are would be a good candidate for their
consideration. One of these sites happened to be the City of Wylie.
On the morning of Friday, June 25, I received a fax letter from Linda Johnson, with the Economic
and Industrial Development Department of Lone Star Gas Company. Ms. Johnson asked that I
prepare an agenda and a list of the participants that would attend a meeting the company officials
scheduled for Monday, June 28. The meeting was held as scheduled and the following named
individuals gave of their time to meet with Jeffery J. Chad, President, and Charles Allen,
Corporate Development of APT:
Steve Norwood, City Manager
Ken Lane,President, Wylie Chamber of Commerce
John Tobin,President, Starlight Homes, Inc.
Rodger "Rod"Taylor, General Manager of Human Resources, Sanden International (USA),Inc.
Larry Nulf, Vice President&General Manger, Holland Hitch of Texas, Inc.
Ray Turner,President& C.E.O., Provident Bank-Wylie
C.C. Womack,Executive Director,Development Corporation of Wylie
The meeting was very informal, but a very constructive dialogue was presented by all participants.
The participants representing APT presented the criteria that they would use in choosing a site for
a new facility. These requirements are as follows:
Location:
Pro-business community
Free Trade Zone Status
Proximity to rail an highway transportation
30 miles from major airport
Affordable labor, real estate, and support services
Facility:
10,000 sq. ft. building/expandable to 20,000 sq. ft.
7,500 sq. ft. warehouse
5,000 sq. ft. production
2,500 sq. ft. office
Lease with option to purchase
Sprinkler system
Air-conditioned
One (1) loading dock
Fifteen Foot (15') ceiling height
Ability to hand dust collection system
June Activity Summary
Page 4
Financing:
Three hundred fifty thousand dollar ($350,000) for immediate capital investment
General consensus among the Wylie participants was disappointment because they felt APT
management was prepared to make a formal presentation of their future plans and financial needs.
It appeared they wanted to become acquainted with the area and never intended to enter into a
serious discussion during their initial visit. It was getting late and they had another scheduled
meeting before retiring for the evening.
Status Report of J.D. Russell Company
Negotiations between the Development Corporation of Wylie, Inc. (DCW) and the J.D.
Russell Company(JDR) have been completed with each agreeing to the following
described terms and covenants:
Development Corporation of Wylie (DCW)
1. Purchase approximately 51.53 acres of land to be developed into an industrial
park.
2. Agreed purchase price of two hundred thousand dollars ($200,000.00)
3. Cost per acre of three thousand eight hundred eighty-one dollars and fifteen
cents. ($3,881.15)
4. Simultaneously at closing DCW will deed to JDR approximately eleven point
three nine eight acres (11.398) for immediate development.
5. DCW will furnish JDR a copy of an Environmental Study to be made by
Helmberger Associates.
6. DCW will execute an option purchase agreement to JDR for the purchase of
the remaining forty plus one three three acres (40.133) at a take down price of
forty-five hundred dollars ($4,500) per acre.
7. Purchase option will be no longer than a two year(2) period.
8. DCW will have a "first refusal agreement" on any subsequent proposed land
sale by JDR prior to their actual ownership of the optioned property.
J.D. Russell Company (JDR)
1. JDR will escrow with DCW at closing a sum of twelve thousand dollars
($12,000) to be refunded when "roll back taxes" are due when the eleven point
three nine eight acres (11.398) are rezoned from "A" to an "I" classification.
2. JDR will escrow an additional twenty-one thousand seven hundred dollars
($21,700) to pay for the twenty-four month (24) purchase option totaling one
hundred eighty thousand five hundred ninety-eight dollars and fifty cents
($180,598.50)
(a) The escrow amount will be credited toward the purchase price should
option be exercised within the two (2)year period.
(b) The escrow amount is calculated on a six percent (6%) interest charge
on the proposed purchase price of one hundred eighty thousand five
hundred ninety-eight dollars and fifty cents ($180,598.50).
J.D. Russell Status Report
Page 2
3. JDR will immediately, after closing, begin development of a new industrial
building for their occupancy on approximately eight point eight nine eight acres
(8.898) and the remaining two point five acres (2.5) will be made available for
the future home of Fab-Tech, Inc.
4. JDR will begin construction of a public street from the end of Regency Road to
a cul de sac in the center of the purchased property and then extend street to
the eastern property line of the deeded land.
5. JDR will escrow sufficient funds with the City of Wylie (CW) to ensure the
extension and completion of a public street from their eastern property line to
Hooper Road.
(a) Construction of road will begin immediately after the remaining property
is purchased.
6. JDR will provide landscaping of deeded property to satisfy DCW and CW.
7. JDR will pay for all building and other fees required by all public entities.
Terms and Covenants not completely reconciled.
1. No agreement on who will be responsible for the repaving or repairing of
Regency Road from Hwy 544 to Steel Road.
2. JDR wants a letter from CW confirming date when repairs to water pump
station near Hooper Road will be completed.
3. Who will pay to extend utilities from existing lines to new plant site.
4. If CW is going to reduce impact fees because JDR is a small water user.
5. What, if any, tax abatements are going to be offered by any of the taxing
agencies.
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
THURSDAY, JUNE 24 , 1993
4 : 00 PM
WYLIE CHAMBER OF COMMERCE OFFICE, 108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Administer Oath of Office to New Members
2 . Nominate New Corporate Officers
3 . Name Officers Authorized to Sign Checks to Withdraw
Corporate Funds from American National Bank in Wylie
And Provident Bank , Wylie Alm., der144.4,141.
4 . Review Current Financia Status of Corporate n
Jer
Lit
5 . Discuss/� New (1994) Budget ,f-
pc.4,e," P c + r « ax ie !. AL„,
emiA6 . Recess Open Meeting ""
7 . Convene to Executive Session
A. Update on Request by Two Local Employers Interested
in Financial Assistance to Relocate their Current
Operations .
8 . Reconvene Open Meeting
9 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes .
10 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Coyporation)--t ,,---
Board of
Wylie will meet at 4 : 00 P.M. on the � � day of , 1993
at 108 West Marble, in the City of Wylie, Texas , for the purpose
of considering the above agenda.
‘.4 /C. .aJ
Mary Ni hts , city Secretary
POSTED THIS THE / " - DAY OF ,/(- .`. ,_ - , 1993 , AT 5:00 RM.
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, JUNE 8 , 1993
4: 00 PM
WYLIE CHAMBER OF COMMERCE OFFICE, 108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of May 8, 1993
Regular Meeting of the Development Corporation of Wylie,
Inc.
2 . Discuss and Consider Treasurer's Report Ending 05/31/93 .
3 . Report from Executive Director:
A. Physicians Regional Hospital Status Report /
B. Major Employer Relocation Status Report
C. Perma-Tune, Inc. Relocation Status Report
D. Ginny's Inc . Status Report
E. Jim Meara, D/B/A The Meara Company Status Report
F. Crane Safety & Maintenance, Inc.
G. Up-date on Plans to Honor Mr. Hiroshi Takahashi ,
Chairman/President and C.E.O. , Sanden International
(U. S.A. ) , Inc.
H. Brief Discussion of Mr. Womack's Visit with Several
Companies that Suffered Damage to their Facilities
During the Recent Tornado
4 . Recess Open Meeting
5 . Convene to Executive Session
A. Update on Contract to Purchase a Tract of Land for
Future Development .
B. Update on Request by Two Local Employers Interested
in Financial Assistance to Relocate their Current
Operations .
C. Report on Another Company that is Planning a Relocation
and has some Interest in the Wylie area.
6 . Reconvene Open Meeting
7 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes .
10 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Co poration Board of
Wylie will meet at 4:00 P.M. on the day of , 1993
at 108 West Marble, in the City of Wylie, Texas, for the purpose
of considering the above agenda.
41444 f dusd2-4)
Mary Ni hols, city Secretary
POSTED THIS THE 1` DAY OF )121=-7 , 1993, AT M.
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC.
MINUTES
MAY 11 , 1993
The Directors of the Development Corporation of Wylie, Inc. met
in regular session at 4 : 00 P.M. on Tuesday, May 11 , 1993 in the
Development Corporation' s office at 108 W . Marble, Wylie, Texas .
A quorum was present and notice of the meeting had been posted in
the time and manner required by law. Those present were
President Jim Smith, Vice President James Blakey and members John
Mondy and John Tobin. Executive Director Charlie Womack, Mayor
John Akin and City Manager Steve Norwood were also present . In
attendance from the City Staff was Anita Collins .
President Jim Smith called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF APRIL 11 . 1993
REGULAR MEETING : The minutes should reflect the action that was
taken as a result of the executive session. Mr. John Yeager made
a motion for Mr. James Blakey to prepare and submit , on behalf of
the Corporation, a contract to purchase approximately thirty
eight point five three (34. 3) acres of land not to exceed the
cost of thirty five hundred dollars ($3 , 500 .00) per acre. His
motion included for the Corporation to issue a check not to
exceed one thousand dollars ($1,000 .00) to be used as an escrow
payment . The motion was seconded by Mr . John Tobin. The motion
carried with four members voting in favor and Vice-President
James Blakey abstained.
DISCUSS AND CONSIDER APPROVAL OF TREASURER'S REPORT: Total
corporate fund as of April 30 , 1993 were $417 , 510 . 29 . Expenses
for April were $6, 484 . 24 and revenues were $17 , 240 . 31 . Total
available funds are $290, 631 . 79. A motion was made by John Tobin
to accept the Treasurer's Report as read and was seconded by
James Blakey. The motion carried with all in favor . (See
attached report at the end of these minutes) .
REPORT FROM EXECUTIVE DIRECTOR:
A. Physicians Regional Hospital Status Report - The
hospital was adequately insured and they do have business
interruption insurance . Their scheduled May 15th payment of
$30 ,000 has been reduced to $10 ,000 and it continues to be
seen if that payment will be made. Their payment schedules
will have to approved by the Court and the Administer. The
board discussed turning the CD into a direct loan to the
hospital and charging interest .
B. American Molds, Inc . Status Report - They have
received their permit to expand their operations .
C. Major Employer Relocation Status Report - Negotiations
are continuing on this project . President Jim Smith
requested that Mr. Womack get with the WISD School Board and
set up a meeting between the Development Corporation and the
WISD School Board to discuss tax abatement . nGitl S//, -- S-/i�,1
'yam-Ze 1M'S A - W�;abf
D. PERMA-TUNE Inc . Status Report - This erapl oyer is noj
located and operating in Wylie and is happy with his move
here. 4
be ;� ,t. .,
E. GINNY' S Inc. Status Report - This company will t
moving in to the old post office located at Jackson and Oak.
43
F. Jim Meara, D/B/A the Meara Company Status Report - Mr .
Meara has continued to meet with the City Manager to reach
an agreement for some relief on this item. It appears there
will be an item on the May 11 , 1993 City Council meeting to
waive for a period of two years the Impact Fees on all
existing developed building residential lots .
G. New Prospect - Auto Photo Systems , Inc . - This
prospect seems to have been lost to the City of Carrollton.
H. Crane Safety & Maintenance, Inc . - Mr. Crisuolo has
reported that the property he now occupies has been sold and
he has 90 days to vacate the premises . He is interested in
the Corporation either financing or leasing back a new
facility for his company to occupy. He has an industrial
lot in mind and claims that he can build a 3 , 500 sq. ft .
facility for approximately $45 ,000 which includes the land
cost . He claims that he can raise sufficient funds to have
a 20% equity should the Corporation decide they would
provide the permanent financing requirements .
I . Possible Funding for a Dinner Honoring the Retirement of
a C.E.O . of a Major Wylie Employer - The board recommended
this item be referred to the Chamber of Commerce for their
consideration.
REVIEW AND DISCUSS THE POSSIBILITY OF THE CORPORATION SHARING IN
THE EXPENSE TO REPAIR REGENCY DRIVE AND STEEL ROAD: The board
discussed the cost estimates presented by the City. Mr. Jim
Smith was concerned about whether the Development Corporation
could actually do street repairs on an individual basis . The
board discussed the feasibility of the property owners sharing in
this cost of the renovation.
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Update on Land Purchase
B. Review and Discuss Request for Financial Assistance Received
from Two Local Employers Who are Interested in Relocating and
Expanding their Facilities .
RECONVENE REGULAR MEETING
No action was taken in executive session.
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the May 11 1993 , regular meeting approved by the Board
of Directors at its meeting on June 8th, 1993 .
Jim Smith, President
PREPARED BY:
Anita Collins
TREASURER'S REPORT ENDING MAY 31, 1993
Ending Balance 4/30/93
Provident Bank, Wylie $ 99,365.68
American National Bank, Wylie 196,981.17
C/D #4000001694 (ANB, Wylie) 120,974.14
Petty Cash, Provident Bank 189.30
TOTAL FUNDS AVAILABLE 4/30/93 417,510.29
INCOME
Total demand balance 4/30/93 296,346.85
Sales Tax Revenue 26,930.47
Interest earned 662.78
Reimbursement (Wylie Chamber) 225.00
FUNDS AVAILABLE DURING MONTH 324,165.10
EXPENSES
G.T.E. Southwest, Inc. 68.38
Provident Bank (IRS Payment) 470.00
Perma-Tune Electronics, Inc. 3,534.80
0akridge Country Club 40.05
American Express (Lunch) 28.88
City of Wylie (contract labor) 116.50
C.C. Womack 1,683.00
A.A.R.P. Group Health Ins. 177.50
TOTAL EXPENSES 6,119.11
TOTAL DEMAND FUNDS 5/31/93 318,045.99
PETTY CASH BALANCE 4/30/93 189.30
Wylie Chamber of Commerce 7.50
BALANCE AVAILABLE 5/31/93 181.80
TOTAL DEMAND AND PETTY CASH 5/31/93 318,227..79
C/D #400001820 (Amer. Nat'l Bank) $ 120,974.14
Interest Earned during month 311 .46
Value of C/D ending 5/31/93 121,285.60
TOTAL CORPORATE FUNDS 5/31/93 439,513.39
C/D #400001820 totaling $121,285.60 is pledged to American National Bank, Wylie
to secure a loan for Physicians Regional Hospital that has a current balance of $1 1 1,359.18.
1/20/93 Commitment totalling $10,000.00 to reimburse Perma-Tune Electronics, Inc. for moving expenses. A total
of $3,534.80 has been paid reducing our current contingent liability to $6,465.20.
1/20/93 committed a total not to exceed $6,000.00 to reimburse Perma-Tune Electronics, Inc
for partial expenses to train six new employees who are permanently employed for a period
of twelve (12) months.
Total funds available to corporation for future investments 315,689.01.
Recap of funds on deposit with various banks
American National Bank, Wylie 345,627.59
Provident Bank, Wylie 93,885.80
TOTAL CORPORATE.FUNDS 5/31/93 439,513.39
;. SUMMARY OF MAY ACTIVITIES
There were indications the manufacturing segment of our business was beginning to
improve until the tornado either partially or totally destroyed several of our major
employers. I have visited each business that sustained damage and told each about the
activities of the corporation. An offer was made that we would consider any request for
financial assistance if the need was necessary to get them back into production as soon as
possible. Most had not been able to assess their actual loss until a settlement was made
with their insurance carrier. Few companies have returned to full production, but others
will either begin operations soon or will totally move to another location. No formal
request for financial assistance has been received but I believe at least two companies will
ask for some kind of aid during the month of June.
Gross sales revenue continue to increase which is a good indication the retail business
continues to show improvement. The revenue check for this month has exceeded the
amount of any previous remittances. Two of our oldest and most successful retail
merchants have decided to either sell or close their business. This will have an effect on
our future revenue unless a buyer is found before their scheduled closing date. `.
" �4 - m4y oi4.�
Telephone calls continue to be received from individuals who claim they represent
companies planning to relocate their present activities. All inquirers want to know if there
are any financial or other incentives that would be offered a company to move their
operations to Wylie. They would refuse to give the name of the party they claimed to
represent and would conclude the conversation by offering to call again if their client has
any interest in considering relocating in the Wylie area. No follow up calls have been
received.
Physicians' Regional Hospital
The hospital and Medical Plaza buildings received extensive damage during the tornado.
The hospital was closed for eight (8) days and the Medical Plaza building should reopen
within the next ninety (90) days. All patients were removed from the hospital immediately
after the tornado and no fees were generated during the closed period. All tenants in the
professional building have moved to other locations.
Mr. Wedekind has made a trip to Philadelphia in an attempt to reach a compromise
agreement whereby American Healthcare Management (AHM) would terminate the
lawsuit that has delayed the hospital (PRH) from filing their reorganizational plan. No
agreement was reached and management (PRH) is convinced AHM will not be satisfied
until they have complete control of the hospital.
A hearing on the Chapter VII bankruptcy petition was scheduled by the court for May 26,
1993. This meeting was postponed because the financial office (PRH) had to be relocated
. due to the damage to their quarters and records. Management believes the hearing will be
rescheduled for late July or early August. In the meantime depositions are being taken
from all principal officers of each party involved in the current lawsuit.
May Activity Report
Page 2
Ken Lane reports no progress has been made to renegotiate the terms of their past due
note. He claims the bank's legal staff continues to be in contact with the law firm
representing PRH, but no agreement will be confirmed until the lawsuit is decided by the
court. In the meantime, Mr. Mark Liston, Chief Financial Officer of PRH has agreed to
escrow $10,000.00 plus accrued interest in a "special" account. Their lawyer will then
petition the court to release the funds as a partial payment on their delinquent obligation.
If no objections are filed by creditors, then the court will issue an order for the funds to be
credited to their indebtedness.
The census count on May 28, 1993 indicated eleven (11) patients in the geopsych unit and
nine (9) in the medical/surgical area. Management has estimated the gross billing for May
will reach five hundred eighty thousand dollars ($580,000). This will create a short-fall of
approximately two hundred thousand dollars ($200,000.00), and will greatly affect their
cash flow during the months of July and August.
Management continues to be optimistic about the future existence of the hospital. They
believe the court will permit their reorganization plan as submitted after the Chapter VII
petition is denied. Their plan, if accepted, will greatly reduce their constant cash flow
problems.
Major Employer Relocation Status Report
A recent conversation with local management reveals no decision has been made by the
corporate office. My contact indicated that the home office was going through some
management changes and this has delayed any definite decision on the relocation of the
Dallas facility. He agreed to keep us abreast of any new developments.
Perma-Tune, Inc.
Management reports business has been better than expected. Two employees have been
added to meet current demands. One local company came to their rescue when a supplier
failed to supply parts as scheduled and it didn't become necessary to stop production. Mr.
Lenarduzzi continues to be happy with his move to Wylie and is anxious to sell his
California home so he can establish a permanent residence in Wylie.
Giney's, Inc. Status Report
Company has completed their move to their new location in the old Post Office building.
They need more space and are looking for a facility where their patterns can be stored.
Employees are happy with the new location because there are windows in the building that
makes their working area a much more attractive area. Mrs. Leon (owner) has discussed
the possibility of asking the corporation for financial assistance to help defray some of her
moving and renovating expenses.
May Activity Report
Page 3
Jim Meara, DB/A The Meara Company
Company continues to negotiate purchase of the remaining lots in the old Fox & Jacobs
sub-division. An application has been filed with the City to replat the duplex lots into fifty-
eight (58) single family residential lots. Each lot will consist of seven thousand to seven
thousand five hundred square feet. Minimum building requirements will be increased from
eleven hundred to fourteen hundred fifty square feet.
The City Council declined Mr. Meara's request for the city to place a moratorium for two
years on the collection of impact fees when requesting a building permit on an existing
developed building lot. It is my understanding this is not a dead issue because the city
attorney has been requested to continue a review of this controversial subject.
Mr. Meara reports that negotiations for the sale of this property to General Homes, Inc. is
in its final stages. They plan to build thirty homes during the first year and will develop the
entire property within a two year period. Their homes will range in size from 1800 to 2400
square feet and will be priced from $90,000 to $130,000.
Crane Safety and Maintenance, Inc.
Mr. Criscuolo continues to negotiate a land purchase from Provident Bank and has
requested they consider providing interim and permanent financing on the new facility.
The bank has agreed to consider this request but additional information is needed before
they will make a decision. Mr. Criscuolo is developing the final plan and estimated cost of
the new facility. He will be spending the first week in June erecting a large crane in
Denver, Colorado and this will delay completing the information for the bank. He believes
all the financing will be furnished by the bank and there will be no need for the
Corporation to provide any financial assistance.
SA DEN
SANDEN INTERNATIONAL (U.S.A.), INC.
601 SOUTH SANDEN BLVD.,WYLIE,TX 75098-4999
TEL.NO.(214)442-8400 TELEX 212306(SANDEN DAL)
May 18, 1993
Mr. Charlie Womack
Economic Development Committee
108 W. Marble
Wylie, TX 75098
Dear Mr. Womack:
I am writing to inform you that as of May 20, 1993, I will resign from the position of Chairman/President
& CEO of Sanden International (USA), Inc. Mr. Michitake Naka,currently Senior Vice President,will
be my successor. He is a fine individual and is eager to assume the responsibility. May I ask you to
extend the same support and friendship to him as you have to me.
In addition, I would like to take this opportunity to thank you most heartily for the years we have had
the pleasure of working together, for your cooperation and for your never failing interest in the progress
of our Company.
My best wishes for your continued success and good health.
Sincerely yours,
iroshi Takahashi
Chairman/President & CEO
TKH:nlm/cl
93517154
MAIL ALL CORRESPONDENCE TO:601 SOUTH SANDEN BLVD.,WYLIE,TX 75098-4999
SANDEN INTERNATIONAL (U.S.A.), INC
MR. CH.ARLIE WOMACK
ECONOMIC DEVELOPMENT COMMITTEE-WYLIE
YOU ARE CORDIALLY INVITED TO ATTEND
A FAREWELL RECEPTION HONORING:
MR. HIROSHI TAKAHASHI
CHAIRMAN OF SANDEN INTERNATIONAL (USA), INC.
1987 - 1993
BRISTOL SUITES HOTEL
Windsor Ballroom
7800 Alpha Rd.
Dallas, Texas
Thursday, June 10, 1993
6:00 PM - 8:00 PM
PLEASE RSVP BY JUNE 8, 1993
214 / 442-8711
TOTAL P.001
05-2 ,-9' Ii : EF FI". FDI
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, MAY 11, 1993
4:00 PM
WYLIE CHAMBER OF COMMERCE OFFICE, 108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of April 13, 1993
Regular Meeting of the Development Corporation of Wylie,
Inc.
2 . Discuss and Consider Treasurer 's Report Ending 04/30/93 .
3 . Report from Executive Director :
A. Physicians Regional Hospital Status Report
B. American Molds , Inc. Status Report
C. Major Employer Relocation Status Report
D. Perma-Tune, Inc. Relocation Status Report
E. Ginny 's Inc. Status Report
F. Jim Meara, D/B/A The Meara Company Status Report
G. New Prospect - Auto Photo Systems , Inc.
ORJ Crane Safety & Maintenance, Inc .
IJ Discuss Possible Funding for a Dinner Honoring
The Retirement of a C.E.O. of a Major Wylie
Employer
Review and Discuss the Possibility of the Corporation
Sharing in the Expense to Repair Regency Drive and Steel
Road.
5 . Recess Open Meeting
6. Convene to Executive Session
A. Update on Land Purchase
B. Review and Discuss Request for Financial
Assistance Received from Two Local Employers
Who are Interested in Relocating and Expanding
Their Facilities .
7 . Reconvene Open Meeting
8 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes .
9. Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4:00 P.M. on the 11 day of 1993
at 108 West Marble, in the City of Wylie, Texas , for the purpose
of considering the above agenda.
c/,1
!�
Mary N ' cho s , ity Secretary
POSTED THIS THE DAY OF , 1993, ATS.• :J/'M.
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC.
MINUTES
APRIL 13 , 1993
The Directors of the Development Corporation of Wylie, Inc . met
in regular session at 4 : 00 P.M. on Tuesday, April 13 , 1993 in the
Development Corporation's office at 108 W. Marble, Wylie, Texas .
A quorum was present and notice of the meeting had been posted in
the time and manner required by law. Those present were
President Jim Smith, Vice President James Blakey, Secretary
Treasurer John Yeager and member John Mondy. Member John Tobin
arrived late. Executive Director Charlie Womack, Mayor John Akin
and City Manager Steve Norwood were also present . In attendance
from the City Staff was Anita Collins .
President Jim Smith called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF MARCH 9, 1993 REGULAR
MEETING : The minutes should reflect that the $120 ,000 listed as
an expense was in reality a transfer of funds from Provident Bank
to American National Bank . Revenues were $26, 921 . 87 and
expenses were $26, 747 . 68 . There being no further corrections
John Yeager made a motion that the minutes be approved as
corrected. The motion was seconded by James Blakey.. The motion
carried with all in favor.
DISCUSS AND CONSIDER APPROVAL OF TREASURER'S REPORT: A motion to
accept the Treasurer's Report as read was made by James Blakey
and seconded by John Mondy. The motion carried with all in
favor. (See attached report at the end of these minutes) .
REPORT FROM EXECUTIVE DIRECTOR:
A. Physicians Regional Hospital Status Report - Weekly meetings
are continuing with the hospital , the bank and Mr. Womack
regarding the status of their ability to meet their debt .
The hospital has filed for protection under Chapter 11 of the
bankruptcy laws . The hospital did have a good March and is
continuing to negotiate with their creditors to resolve the
matter .
B. American Molds , Inc . Status Report - The TACB is scheduled
to make the final decision on their request for a permit on
April 15 , 1993 . It is most likely that the TACB will approve
the permit .
C. Major Employer Relocation Status Report - Negotiations are
continuing on this project . The board would like to see
some response from the City, County and WISD on what kind of
incentives they can offer.
D . Perma-Tune Inc . Status Report - this employer is on his way
and should be here on Sunday or Monday . They will be located
at 709 Cooper .
E. Ginny ' s Inc . Status Report - No progress has been made to
find a suitable building for their production activities .
They have a problem with the moisture in their current
location. Two locations are available that meet their
space requirements but the owners are only interested in
selling .
F . Jim Meara , D/B/A the Meara Company Status Report - Mr . Meara
is continuing his efforts to find an acceptable builder to
finish out the existing residential lots in the West Gate
subdivision. He has been meeting with the City Manager and
trying to negotiate some relief from the City on the current
impact fees .
G. New Prospect - Auto Photo Systems , Inc. - This company is
domiciled in Tustin, California with its parent company
being located in Surry, UK. They operate photofinishing
laboratories and manufacture photographic booths and lease
equipment . Their 1992 sales were $15 , 824 ,00 with an
employee count of 120 . They would be willing to relocate
if their current lease was bought out . The lease extends to
November of 1996 and is reported to be $8 ,000 a month.
H. Report on 27th Annual Economic Outlook Conference - Charlie
Womack reported the highlights of the conference to the board
members .
REVIEW AND DISCUSS FINAL INDEPENDENT AUDITORS ' REPORT SUBMITTED
BY RUTLEDGE CRAIN & CO. , P . C. FOR YEAR ENDING SEPTEMBER 1992 -
The board discussed the audit and agreed that it accurately
reflects the past year . A motion was made by John Yeager to
accept it as presented, seconded by James Blakey . The motion
carried with all in favor .
UPDATE AND APPROVAL OF EXPENSE TO PURCHASE AERIAL PHOTOS FROM
LANDISCOR - LANDIS AERIAL PHOTO, INC. - The photos are being
worked on now and should be ready this week. A motion was made
by John Mondy to pay the invoice when the maps are recieved. The
motion was seconded by James Blakey . The motion carried with all
in favor .
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Update on Land Purchase
B . Discuss Purchase of Other Building Sites
RECONVENE REGULAR MEETING
No action was taken in executive session.
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the April 13 1993 , regular meeting approved by the
Board of Directors at its meeting on May 11th, 1993 .
Jim Smith, President
PREPARED BY :
Anita Collins
TREASURER'S REPORT ENDING APRIL 30, 1993
ENDING BALANCE 3/31/93
Provident Bank, Wylie $ 89,072.08
American National Bank, Wylie 196,518.70
C/D #400001694 (ANB, Wylie) 120,619.72
Petty Cash, Provident Bank 342.84
TOTAL CASH ENDING 3/31/93 $406,553.34
INCOME:
_ Total Demand Account Balances $285,590.78
/� Sales Tax Revenue 15,799.93
7 Interest Earned 691.13
Reimbursement (Aerial Maps) 749.25
FUNDS AVAILABLE DURING MONTH $302,831.09
EXPENSES:
oakridge Country Club $ 40.05
GTE Southwest, Inc. 67.54
Provident Bank (IRS #944 Payment) 470.00
Rotary Club of Wylie 90.00
American Express (Car Rental) 165.40
Internal Revenue Services 140.77
C. C. Womack (Salary) 1,683.00
Landiscor Landis Aerial Photo, Inc. 2,070.00
Provident Bank (Escrow Payment) 1,000.00
Texas Employment Commission 162.00
Greater Dallas Assoc. of Realtors 225.00
C.C. Womack (Out-of-Pocket Expenses) 157.98
AARP Group Health Ins. Program 177.50
Bookkeeping Matters 35.00
TOTAL EXPENSES $ 6,484.24
TOTAL FUNDS AVAILABLE 4/30/93 $296,346.85
PETTY CASH BALANCE 3/31/93 $ 342.84
Office Depot 22.04
U.S. Postal Service (Stamps) 29.00
Brookshire's Food Store #76 80.00
Wylie Chamber of Commerce 22.50
BALANCE AVAILABLE 4/30/93 $ 189.30
TOTAL DEMAND FUNDS AVAILABLE 4/30/93 $296,536.15
C/D #400001820 (Amer. Natl. ) $120,619.72
Interest Earned During Month 354.42
TOTAL VALUE 4/30/93 $120,974.14
TOTAL CORPORATE FUNDS 4/30/93 $417,510.29
C/D #400001820 totalling $120,974.14 is pledged to American National Bank, to
secure a loan for Physician's Regional Hospital that has a current unpaid balance
of $110,878.50.
1/20/93 - Commitment totaling $10,000 to reimburse Perma-Tune, Inc. for their
moving expenses from Anaheim, California.
1/20/93 - Committed $6,000 to reimburse Perma-Tune, Inc. for six (6) trainees
that are permanently employed for a period of one year.
TOTAL FUNDS AVAILABLE TO CORPORATION FOR FUTURE INVESTMENTS $290,631.79
Recap of funds on deposit with American National Bank $317,955.31
Recap of funds on deposit with Provident Bank $ 99,554.98
COMBINED TOTAL FUNDS $417,510.29
MEMORANDUMOire0tZC. -*RT
DATE: February 2, 1993
TO: Steve Norwood/City Manager
FROM: Jack Jones, Superintendent Public Works
RE: Regency and Steel Road Overlay
Per your request for an estimated cost of a 4" overlay of hot mix
on Regency and Steel Road, I have pulled figures from 3 sources:
REGENCY......DRIVE
Estimated dimensions 1040 'L x 24 'W - 2774 sq. yds.
A. Bolin Construction Co. (Jack Bolin)
1. 610 tons x $74.75 ton asphalt - (City Purchase) $15097.50
610 tons x $10. 00 ton laid (Contractor) $ 6100.00
2.3. Rental M/Grader - 1 Week (City) $ 915.00
4. Rental Power Broom - 2 Days (City) $ 250.00
5. Need Drainage Work First - (City) 0[)(1000000
Estimated Cost $22,362.50
B. North Star Paving Co. (APAC) (Steve Kutz)
1 . 610 tons x $31. 50 ton laid (Contractor) $19215.00
Rental M/Grader - 1 Week (City) `$ 915.00
2.3. Rental Power Broom - 2 Days (City) $ 250.00
4. Need Drainage Work First - (City) 000000000
Estimated Cost $20,780.00
C. Glen Thurman Paving (Kenneth Scott)
1 . 610 tons x $40.00 ton laid (Contractor) $24400.00
2. Rental M%Grader - 1 Week (City) $ 915.00
3. Rental Power Broom - 2 Days (City) $ 250.00
4. Need Drainage Work First - (City) 000000000
Estimated Cost $25,565.00
All rental and material prices subject to change without notice.
/
STEEL,....ROAD
Estimated dimensions 2235'L x 24 'W - 5960 sq. yds.
A. Bolin Construction Co. (Jack Bolin)
1 . 1312 tons x $24.75 ton asphalt (City Purchase) $32472.00
2 1312 tons x $10.00 ton laid (Contractor) $13120.00
3. Rental M/Grader - 1 Month (City) $ 2350.00
4. Rental Power Broom - 3 Days (City) $ 375. 00
5. Need Drainage Work First - (City) 000000000
Estimated Cost $48,717.00
B. North Star Paving Co. (APAC) (Steve k:utz)
1 . 1312 tons x $71 .50 ton laid (Contractor) $41328.00
2. Rental M/Grader - 1 Month (City) $ 2750.00
3. Rental Power Broom - 3 Days (City) $ 375.00
4. Need Drainage Work First - (City) 000000000
Estimated Cost $44,453.00
C. Glen Thurman Paving (Kenneth Scott)
1 . 1312 tons x $40.00 ton laid (Contractor) $52480.00
2Rental M/Grader - 1 Month (City) $ 2750.00
T. Rental Power Broom - 3 Days (City) $ 375.00
4. Need Drainage Work First - (City) 000000000
Estimated Cost $55,605.00
All rental and material prices subject to change without notice.
xc: Brady Snellgrove, Finance Director
Jim Holcomb, Purchasing Director
09 Goy _ o
at'ad 4111 • () Ze- (/4(//q3 _
€9,,,t,„19 /7, '-‘)4
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, APRIL 13 , 1993
4 :00 PM
WYLIE CHAMBER OF COMMERCE OFFICE, 108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of March 9 , 1993
Regular Meeting of the Development Corporation of Wylie,
Inc .
2 . Discuss and Consider Treasurer ' s Report Ending 03/31/93 .
3 . Report from Executive Director :
A. Physicians Regional Hospital Status Report ✓
B. American Molds , Inc . Status Report
C. Major Employer Relocation Status Report .e
ettft.
D. Perma-Tune, Inc . Relocation Status Report444,14-040t0/1/4
E. Ginny ' s Inc . Status Report
F. Jim Meara , D/B/A The Meara Company Status Report
G. New Prospect - Auto Photo Sytems , Inc . ✓
H . Report on 27th Annual Basic Economic Development t/
Course conducted at Texas A & M University
4 , Review and Discuss Final Independent Auditors ' Report
Submitted by Rutledge Crain & Co , P . C . for Year Ending
September 1992 .
5 . Update and Approval of Expense to Purchase Aerial Photos
From Landiscor - Landis Aerial Photo , Inc .
6 . Recess Open Meeting ✓`
7 . Convene to Executive Session
A. Update on Land Purchase
B . Discuss Purchase of Other Building Sites 11/4
S�.oa ` -''••-
8 . Reconvene Open Meeting
9 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes .
10 . Adjourn.
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4: 00 P.M. on the
�-3 day of 6 e..-- , 1993
at 108 West Marble, in the City of Wylie, Texas , for the purpose
of considering the above agenda.
l h��t
Mary Nich s , ity Secretary
POSTED THIS THE AV DAY OF 1993 , AT O'•�D�T.M.
MINUTES
DEVELOPMENT CORPORATION OF WYLIE, INC.
MARCH 9, 1993
The Directors of the Development Corporation of Wylie, Inc., met in regular session on
Tuesday, March 9, 1993 at 4:00 PM in the Corporation Office at 108 W. Marble, Wylie, Texas.
A quorum was present and notice of the meeting had been posted in the time and manner
required by law. Those present were President Jim Smith, Vice-President James Blakey,
Secretary-Treasurer John Yeager, members John Tobin and John Mondy and Executive Director
Charlie Womack. Also present were Mayor John Akin, City Manager Steve Norwood and
secretaries, Mary Nichols and Barbara LeCocq.
The meeting was called to order by President Jim Smith.
ITEM NO. 1 - DISCUSS AND CONSIDER APPROVAL OF MINUTES OF FEBRUARY
9, 1993 REGULAR MEETING OF THE DEVELOPMENT CORPORATION OF WYLIE,
INC. - President Smith called for any additions or corrections, hearing none, a motion was made
by John Yeager, seconded by John Mondy to approve the minutes as submitted. All in favor.
Motion carried.
ITEM NO. 2 -DISCUSS AND CONSIDER TREASURER'S REPORT ENDING 2.28.93 -
Discussion items were CD interest and availability of higher interest rate investment. Mr.
Norwood explained TEXPOOL. Mr. Womack stated that 90 day treasury bills were slightly
higher than CD's. The treasurer's report shows Total Cash Available $409,252.19, Expenses
$126,747.68, Petty Cash Balance Available $112.66, Total Demand Funds Available 3.1.93
$282,617.17; CD total Value $120,299.17; Total Corporate Funds 2.28.93 $402,916.34.
1-
ITEM NO. 3 - REPORT FROM EXECUTIVE DIRECTOR:
A. Physicians Regional Hospital Status Report: Charlie Womack reported that the
hospital's law firm suggests that if the hospital cannot resolve problems with
parent company in Philadelphia, they file bankruptcy - let Cathy Sukkar and Steve
Miller go which would equal a total savings of $130,000. Projection at end of
year would be a positive cash flow of $100 thousand. Should not worry about
ability to repay debt.
B. American Molds Status Report: Mr. Wallace has received no response from the
Texas Air Control Board regarding his permit request. He has written the Air
Control Board demanding a decision be forthcoming soon or he would move his
operation out of state. He claims their delay has caused him considerable
financial damage. He appears to be reconciled that sufficient time and money has
been spent in trying to satisfy this unsympathetic political appointed board.
C. Major Employer Relocation Status Report: A week-long meeting will begin
3.15.93 in Florida at Corporate headquarters with the local principal officers of
the company. A possible decision will be made during this meeting on a possible
location. The local contact assured us that he would call on Tuesday, March 23,
and report on a possible decision approved by the Corporate office.
D. Perma-Tune Relocation Status Report: Mr. Lenarduzzi has been able to raise
sufficient funds to liquidate the indebtedness secured by a lien on his home. He
has been able to purchase equipment at an attractive price; Provident Bank has
agreed to finance the purchase when the equipment is permanently located in
Wylie. Seller has agreed to accept payment when financing has been arranged.
Business has been good and looks better with a large sale in Germany that will he
guaranteed with a negotiable Letter of Credit. Has agreed to furnish units on trial
basis for vehicles owned and operated by Mexico City. Plans to sign and return
our agreement when moving expenses are determined.
Jim Smith directed Mr. Womack to contact the principal to determine the status
of this move. Stated that the Development Corporation is committed to a$10,000
reimbursement of authorized expenses.
E. Discussion with R.L. Hunt Co. - Mr. Womack's status report states the company
will be engaged in the manufacturing and assembling of a structural honeycomb
panel which is the basic building unit for proposed affordable housing projects.
They project a manufacturing facility of 40,000 sq. ft, which can produce 30,000
panels per month per eight hour shift. Company is seeking start-up funds for
equipment purchases and working capital. There is no available existing facility
in Wylie; however, the Corporation might consider building one.
F. Visit with Ms. Virginia Lane - Ginny's Inc. - No additional information
received as of this time.
G. Visit with Jerry Morrow, D/B/A Morrow's - No additional discussion. Mr.
Morrow has no immediate plans to move his business out of Wylie. Corporation
made assurances to Mr. Morrow they would try to find a suitable building for his
operation or locate an investor who would build to suit his needs.
H. Status Report on 27th Annual Basic Economic Development Course scheduled for
March 21, 1993 to March 25, 1993 - Mr. Womack has been accepted and will be
attending in College Station. (see item 4)
Discussion with Jim Meara D/B/A The Meara Co. - This company is a land
brokerage firm located in Dallas. They are proposing to develop a tract of land
located on West Brown Street which includes ten remaining lots from the Fox and
Jacobs Development and the undeveloped property west of Nortex Nursery. They
are seeking re-zoning of one section from duplex to single-family residential.
They are also seeking help from the Development Corporation for the extension
of water or sewer service to the property. A meeting will be scheduled with the
City Manager to explore the possibilities.
J. Report Meeting with Greater Dallas Chamber of Commerce - Mr. Womack
attended this meeting which was focused on the environmental situation. Wylie
is rated a "6". By 1996 we must have ozone reduced to a "3". By 1994, all
service stations must have vapor pump. In 1994 auto inspections will be more
expensive.
ITEM NO. 4 - APPROVAL OF REQUEST TO RENT AUTOMOBILE TO ATTEND
27TH BASIC ECONOMIC DEVELOPMENT COURSE IN COLLEGE STATION: A
motion was made by John Tobin for Mr. Womack to rent a car and use his own judgment as to
what kind of car to rent. Motion seconded by John Mondy. All in favor - motion carried.
ITEM NO. 5 - REVIEW AND DISCUSS TENTATIVE AND PRELIMINARY AUDIT
CONDUCTED BY RUTLEDGE CRAIN & CO.. P.C.: After a brief discussion, the
concensus was that there seemed to be no changes needed.
ITEM NO. 6 - RECESS OPEN MEETING TO CONVENE INTO EXECUTIVE
SESSION: Meeting recessed by President Jim Smith.
ITEM NO. 7 - EXECUTIVE SESSION:
A. Update on Land Purchase
B. Discuss purchase of Other Building Sites
ITEM NO. 8 -RECONVENE OPEN MEETING: Meeting reconvened. No action required.
ITEM NO. 9 - CITIZEN PARTICIPATION: None
ITEM NO. 10 - ADJOURNMENT: There being no further business, a motion was made and
seconded for adjournment. Meeting declared adjourned by President Jim Smith.
Jim Smith, President
Submitted by :
Barbara LeCocq
TREASURER'S REPORT ENDING MARCH 31, 1993
ENDING BALANCE 2/28/93 .
86,43593
Provident Bank, Wylie $196,068.5893
American National Bank, Wylie068.58
C/D #400001694 (ANB, Wylie) 196, 119.1
Petty Cash, Provident Bank
6
TOTAL CASH ENDING 3/31/93 $402,916.34
INCOME:
Total Demand Balances 2/28/93 $282,504.51
504.51
Sales Tax Revenue 660.90
Interest Earned
TOTAL CASH AVAILABLE 3/93 $297,628.53
EXPENSES:
Oakridge Country Club $ 40.05
GTE Southwest, Inc. 73.98
IRS #941 Contribution 470.00
C. C. Womack (Salary) 1,683.00
Transfer Petty Cash Account 392.84
Phoenix Photocopy Systems 345.00 •/
C. C. Womack (Out-of-Pocket Expenses) 35.54
City of Wylie, Contract Labor 77.00 /
Wylie Chamber of Commerce 7,500.00 ✓
College Station Hilton 362.84
AARP Group Health Insurance 177.50
Rutledge Crain & Co. , PC 880.00
TOTAL EXPENSES $ 12,037 .75
TOTAL FUNDS AVAILABLE 3/31/93 $285,590.78
PETTY CASH BALANCE 2/28/93 $ 112.66
Transfer from Regular Account 392.84
Wylie Printing & Office Supply 5.50
Wylie Printing & Office Supply 8.95
Office Depot - Typewriter 140.71
Wylie Chamber of Commerce 7.50
BALANCE AVAILABLE 3/31/93 $ 342.84
TOTAL DEMAND FUNDS AVAILABLE 3/31/93 $285,933.62
C/D #400001694 (Amer. Natl. ) $120,299.17
Interest Earned Month $120,619.72
TOTAL VALUE 2/28/93
TOTAL CORPORATE FUNDS 3/31/93 $406,553.34
C/D #400001694 totalling $120,619.72 is partially pledged to secure a loan
totalling $110,000 for Physician's Regional Hospital with American National Bank,
Wylie.
1/20/93 commitment for $10,000 to reimburse Perma-Tune, Inc. for moving expenses
from Anaheim, California.
1/20/93 commitment not to exceed $6,000 to reimburse Perma-Tune, Inc. , for six
(6) trainees that are retained by company for a twelve (12) month period.
TOTAL FUNDS AVAILABLE TO CORPORATION FOR FUTURE INVESTMENTS $280,553.34
3/31/93 - Total Ending Balance American National Bank, Wylie $317, 138.42
3/31/93 - Total Ending Balance Provident Bank, Wylie $ 89,414.92
3/31/93 - RECAP OF TOTAL CORPORATE FUNDS $406,553.34
SUMMARY OF MARCH ACTIVITIES
We continue to see very little evidence from local companies that are making any immediate
plans to expand or relocate their current facilities. Several exploratory inquiries were received
requesting information about various size industrial buildings. The most prominent size is a
2,000 - 3,000 sq. ft. industrial building. There are two available buildings, but the owners are
only interested in selling the properties. Currently, no real prospect has emerged from this
group of inquiries.
Physician's Regional Hospital
See attached memorandum dated 3/11/93. Some additional facts that have occurred subsequent
to HENT filing of their bankruptcy petition. The presiding Judge scheduled a March 23 meeting
in Tyler, Texas, to conduct a preliminary hearing for the creditors to express their interest in
the Petition filed by HENT. The only participants that attended were attorneys representing
American Healthcare Management (AHM) and Provident Bank, Wylie (PBN). AHM petitioned
the Judge to appoint a Trustee to operate the hospital and change the Chapter XI Petition to a
Chapter VII liquidation plan. The Judge denied both requests and approved the hospital to
continue operation as "Debtor in Possession." This ruling will permit the hospital to operate
under normal conditions without having to obtain the approval from the Trustee prior to any
purchase or expenditure.
The decision by the Judge apparently changed the adversarial attitude of the landlord because
their seven demands were reduced to the following described three:
(1) Immediate remittance of the two (2) past-due lease payments.
(2) Establish a mechanism to assure their timely receipt of a monthly financial report.
(3) HENT would buy back their ten percent (10%) limited partnership interest.
RENT has responded to each demand in the following manner:
(1) They continue to insist there is a rental agreement between the parties that has deferred
these payments until December, 1994.
(2) They will agree to furnish complete current financial information each month or
whenever a formal request is received.
(3) They have no immediate plans to purchase the ten percent (10%) limited partnership
interest because of its impact on their working capital funds.
2
Projected March revenues exceeded the expected amount by approximately $50,000. This
additional income alleviated some immediate financial needs due to creditors discontinuing their
credit lines when the Bankruptcy Petition was filed.
The March daily census for the geropsych unit averaged 10.5 patients and the medical/surgical
averaged 8.0 patients. The two units generated gross revenue of $812,000. Management
believes April and May revenues will be sufficient to meet daily operating needs and have
additional funds to make a partial principal reduction on their note with American National
Bank. This is the note that the Corporation has pledged a C/D to secure the hospital's
indebtedness.
Current plans are to meet with the attorney representing the American National Bank within the
next two weeks and negotiate an agreement for a repayment schedule that will liquidate the
entire indebtedness. The accrued interest on the note has been paid through March 11, 1993.
Management continues to be optimistic about the future of the hospital because of the local
citizens and staff support. All physicians using the hospital facility have been very supportive
in their efforts to solve this current financial crisis by continuing to admit their patients into the
hospital.
American Molds, Inc.
No final decision has been made by the Texas Air Control Board on the permit requested by the
company. Mr. Wallace has received a telephone call form the Austin office and was told his
application for new permit has been approved by the Staff Committee. Their recommendation
will be presented to the full board on April 15, 1993. If the permit is approved by the Board,
there will be a five-day waiting period before the actual permit is issued. The waiting period
is mandatory in order to give any opposition time to file their objections to the permit being
issued.
Major Employer Relocation Status Report
The company is still considering Wylie as a possible site location. Management has requested
additional demographic information which has been supplied. Local management is continuing
their study of the time element that is required to reach a major highway or freeway. This
information will be most crucial in their ultimate site decision. One or members of their
corporate management team will be visiting the proposed site in the near future..
Perma-Tune, Inc.
The company is making plans to leave California on Friday, April 16. They should arrive here
on Monday, April 19. They will occupy an industrial building located at 709 Cooper Drive.
We have assisted Mr. Lenarduzzi in his attempt to determine the start-up cost and some of the
3
expenses that are required to incorporate his company in Texas. Mr. Lenarduzzi reported sales
at an all time high, and he is very optimistic that his move to Texas will bring even richer
rewards.
Virginia Lane. D/B/A Gingy's, Inc.
No progress has been made to find a suitable building for their production activities. Present
location continues to be a problem due to the excessive moisture that permeates the finished
product and each garment must be dry cleaned before shipment. This is a very expensive
additional cost and makes it very difficult for the company to realize a reasonable profit in a
very competitive market. Two locations are available to meet their space requirements but the
owners are only interested in selling the property. We plan to continue our efforts to find a
suitable location that will keep this company in Wylie.
Jim Meara, D/B/A The Meara Company
Mr. Meara continues in his efforts to find an acceptable builder that would be interested in
building out the existing residential lots in the West Gate subdivision. He has been meeting with
Mr. Steve Norwood, City Manager, trying to negotiate some relief from the City on their
current "impact fee" structure. During our last conversation, Mr. Meara reported no
concessions had been obtained from the City, but Mr. Norwood had offered his assistance by
presenting a revised "impact fee" program before the City Council for their consideration. Mr.
Meara has made no formal request but he has mentioned some areas where he feels the
Corporation could offer financial assistance.
Auto-Photo Systems. Inc. _
This company was referred to me by Mr. Gary Kennedy, Business Development Executive with
TV Electric in Dallas. Apparently he has shopped this prospect with at least Marshall and
Terrell, Texas. Each city has made an offer which has been declined by the prospect.
This is a company that is domiciled in Tustin, California. Its parent company is located in
Surry, UK. Their domestic company began business in 1985. They operate photofinishing
laboratories and manufacture photographic booths and lease equipment. Their 1992 sales were
$15,824,000 with an employee count of 120. They indicate a net worth of $972,000.
Mr. Kennedy mentioned the company has a long-term lease, and they plan no move until an
entity agrees to assume this liability. A D&B report reveals a monthly rental of $8,000, and I
assume this payment will continue until the lease expires in November, 1996. Let us suppose
the Development Corporation decides that effective July, 1993, we will assume the monthly
payments until the duration of the lease. There will be forty (40) months remaining on the lease
and this will equate to total out-of-pocket expense of $320,000. The only way we can reduce
this expense is to find a tenant that would be willing to sublease the property until the expiration
date of November, 1996.
4
Mr. Kennedy has agreed that more current financial information is needed before any formal
financial request can be considered. He promised to obtain sufficient information before we are
asked to consider submitting a formal proposal to the prospect.
MEMORANDUM
DATE: March 11, 1993
TO: File
Healthcare Enterprises of North Texas, Ltd.
FROM: C. C. Womack
SUBJECT: Weekly Meeting
The above-captioned subject meeting was attended by Steve Norwood, City Manager of Wylie;
Ray Turner, President, Provident Bank, Wylie; Chuck Trimble, representing the Trimbles'
interest; Stuart Kalb, in-house attorney; Larry Wedekind and Mark Liston, C.F.O. of hospital;
and myself.
Mr. Wedekind was notified on Wednesday, March 3, that he was scheduled to be in
Philadelphia, PA, on Thursday, March 4, to meet with principal officers of American Healthcare
Management (AHM). This company owns the physical properties that are being leased by
Healthcare Enterprises of North Texas, Ltd. (HENT). The landlord also owns a ten percent
(10%) Limited Partnership interest of HENT and is a participant in any profits generated by the
hospital.
Subsequent to this scheduled meeting, Mr. Wedekind had met with principal officers of AHM,
and he had made the following request:
1. Requested a two (2) month moratorium on lease payments for the months of August and
September, 1992. This would defer payments totaling approximately $134,000.
Mr. Wedekind reported these negotiations had produced the following agreements:
1. Payment of the two (2) delinquent payments would be deferred until December, 1994.
2. Hospital would discontinue paying 1991 past due property taxes and would pay the 1992
property taxes by January 31, 1993. This would eliminate any interest or penalties on
the 1992 taxes, and they then could concentrate on paying the delinquent 1991 taxes by
July 31, 1993.
3. A formal agreement would be prepared by the legal staff of AHM and it would be sent
to RENT for review and ratification.
The agreement was prepared by AHM and subsequently ratified by HENT. It was returned to
AHM for their ratification. AHM failed to ratify in a timely manner and management of HENT
2
called several times to see if there was a problem, but each time was told a backlog in the legal
department had delayed their ratification of the agreement. They were assured there was no
problem, and they could continue making their lease payments as if the agreement had been
signed.
Mr. Wedekind reported the March 4 meeting produced the following demands:
1. Immediate remittance for the two (2) past-due lease payments.
2. HENT to purchase immediately the ten percent (10%) Limited Partnership interest for
a cost of $250,000.
3. Deposit two (2) months lease payments in a controlled account to assure that future rental
payments would be made according to lease agreement.
4. Terminate Mr. Liston's employment and replace him with an individual named by AHM.
5. Immediately pay all delinquent 1991 property taxes.
6. Cancel a contract with the doctor providing services to the geriatric psychiatric unit.
7. They did not like the purchase of the CT scanner and wanted HENT to cancel the lease-
purchase agreement.
Mr. Wedekind reported that upon his return, he met with Mr. Stuart Kalb and the Trimble
family. After much discussion, it was decided to take legal action to prevent AHM from
attempting to force the hospital into Chapter Seven (7) Liquidation. It was decided to acquire
the legal services from the firm of Hail, Spencer, Pronske and Trust of Dallas, Texas. They
were recommended by the law firm of Fulbright and Jaworski that reported them to be the best
bankruptcy lawyers in the area.
A subsequent meeting with the firm of Hail, Spencer, and Pronske and Trust produced the
following facts:
1. The total estimated cost of the bankruptcy should not exceed $50,000.
2. Will stop landlord from demanding an immediate payment of the delinquent rents.
3. File suit against landlord for damages.
4. Will allow debt to the Internal Revenue Service to be paid over a six (6) year period.
5. Will eliminate the contingent liability the hospital has signed for the Carrollton
Healthcare facility.
3
6. Will give the hospital a longer period of time to repay the delinquent 1991 property
taxes.
7. Will eliminate the demand for the repurchase of the ten (10) percent limited partnership
interest.
Mr. Wedekind emphasized to all present that only the landlord is considered adversarial and no
other creditor will be adversely affected.
CW/mf
li .
RUTLEDGE CRAIN & COMPANY, PC
CERTIFIED PUBLIC ACCOUNTANTS
1601 E. Lamar, Suite 109
Arlington, Texas 76011
PCMetro(817)265-9989 Fax(817)861-9623
I
IIINDEPENDENT AUDITORS' REPORT
To the Board of Directors
Development Corporation of Wylie, Inc.
Wylie, Texas
We have audited the accompanying balance sheet of the Development
1111 Corporation of Wylie, Inc. as of September 30, 1992 and the statement of
revenues, expenditures, and changes in fund balance for the year then
ended. These financial statements are the responsibility of management.
Our responsibility is to express an opinion on these financial statements
1111 based on our audit.
We conducted our audit in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
1111 of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting
principles
used and significant estimates made by management, as well as evaluating
the overall financial statement presentation. We believe that our audit
provides a reasonable basis for our opinion.
1111
In our opinion, the financial statements referred to in the first paragraph
present fairly, in all material respects, the financial position of the
lir—
Development Corporation of Wylie, Inc. as of September 30, 1992, and the
results of its operations for the year then ended in conformity with
generally accepted accounting principles.
Pb
December 3, 1992
(except for Note 6 as to which
the date is March 17, 1993)
PI
ill ,
ill
•
Members: Lewis Cram.CPA
Christian A.Rutledge,CPA American Institute of Certified Public Accountants
piiTexas Society of Certified Public Accountants
DEVELOPMENT CORPORATION OF WYLIE, INC.
SPECIAL REVENUE FUND
BALANCE SHEET
September 30, 1992
(With Comparative Totals for September 30, 1991)
September 30, September 30,
1992 1991
ASSETS
Cash in bank $ 213,896 $ 193,740
Investments 120,000 -
Taxes receivable 13,176 10,887
TOTAL ASSETS $ 347,072 $ 204,627
LIABILITIES AND FUND EQUITY
LIABILITIES
Accounts payable $ 1( $
TOTAL LIABILITIES 3,744 -
•
FUND EQUITY
Fund balance - reserved for contingency 120,000 -
Fund balance - unreserved 223,328 204,627
TOTAL FUND EQUITY 343,328 204,627
TOTAL LIABILITIES AND FUND EQUITY $ 347,072 $ 204,627
The accompanying notes to financial statements are an integral part of this statement.
2
IDEVELOPMENT CORPORATION OF WYLIE, INC.
_ SPECIAL SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE.
I
Year Ended September 30, 1992
(With Comparative Totals for September 30, 1991)
ISeptember 30, September 30,
1992 1991
REVENUES
I
Sales tax Interest $ 191,969 $ 183,075
10,199 5,090
Origination fees 1,310
I •
203,478 188,165
EXPENDITURES
Current
I Administrative 15,759 8,382
Business development 45,330
Capital outlay 3,688
•
I64,777 8,382
REVENUES IN EXCESS OF EXPENDITURES 138,701 179,783
IBEGINNING FUND BALANCE ' 204,627 -
ENDING FUND BALANCE $ 343,328 $ 204,627
1 ..
I .
I
•
i •
The accompanying notes to financial statements are an integral part of this statement.
DEVELOPMENT CORPORATION OF WYLIE, INC.
SPECIAL REVENUE FUND
I STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET (GAAP Basis) and ACTUAL
Year Ended September 30, 1992
IVariance
Favorable
I Budget Actual (Unfavorable)
REVENUES
Sales tax $ 220,000 $ 191,969 (28,031)
Interest 7,000 10,199 3,199
Origination fees - 1,310 1,310
227,000 203,478 (23,522)
I EXPENDITURES
Current
Administrative 29,600 15,759 13,841
Business development 29,500 45,330 (15,830)
I Capital outlay 5,000 3,688 1,312
64,100 64,777 (677)
IIREVENUES IN EXCESS OF EXPENDITURES $ 162,900 138,701 (24,199)
BEGINNING FUND BALANCE 204,627
•
II _- ENDING FUND BALANCE $ 343,328
II
II
I
1
II
The accompanying notes to financial statements are an integral part of this statement.
11 DEVELOPMENT CORPORATION OF WYLIE, INC.
NOTES TO FINANCIAL STATEMENTS
I
September 30, 1992
1 - SUMMARY OF SIGNIFICANT POLICIES
The Development Corporation of Wylie, Inc. (Corporation) (a component unit of the City of
1 Wylie, Texas) was organized in 1990 under the Texas Non-Profit Corporation Act to promote and
develop industrial and manufacturing enterprises and employment and the public welfare within
the City of Wylie, Texas. The members of the board of directors are appointed by and
accountable to the City Council of the City of Wylie, Texas.
' A. Basis of Presentation - Fund Accounting
The accounts of the Corporation are organized using a special revenue fund (a governmental
fund type) which is used to account for the collection and disbursement of earmarked
Imonies.
B. Basis of Accounting
I
The modified accrual basis of accounting is followed by governmental fund types. Under the
modified accrual basis of accounting, revenues are recorded when susceptible to accrual,
i.e., both measurable and available. Available means collectible within the current period
or soon enough thereafter to be used to pay liabilities of the current period.
Expenditures are recorded when the liability is incurred, if measurable.
Sales taxes are recognized as revenue as earned under the susceptible to accrual concept.
2 - CASH IN BANK
At year-end, the Corporation had cash in bank of $213,898 (book and bank balance). All of the
bank balance was covered by $100,000 FDIC insurance and collateralized by securities held by
the Corporation's depository in the Corporation's name.
Iu. 2 - INVESTMENTS
Investments consist of a certificate of deposit stated at cost with a maturity, when purchased,
of greater than 90 days.
4 - RISK MANAGEMENT
The Corporation is exposed primarily to risks of loss related to torts and illegal acts, and
errors and omissions. Commercial insurance was purchased for these risks at a cost of $1,669
during the year.
5 - COMMITMENTS
The Corporation has pledged its investments ($120,000) as collateral for a loan made by a local
bank to a business located within the City of Wylie.
6 - SUBSEQUENT EVENT
On March 12, 1993 the Corporation was informed that the business that had received a bank loan
under the commitment discussed in Note 5 had filed for protection under bankruptcy laws while
it is reorganized. Management is unable to determine the potential loss, if any, to the
Corporation and has accordingly reserved fund balance in the full amount of the guarantee.
LANDISCOR NO.
LANDIS AERIAL PHOTO, INC .
1440 REGAL ROSi 4250
DALLAS , TEXAS 75247 .
PHONE: (214 ) 631-4962
FAX: (214,) 631-1402
FACSIMILE TRANSMITTAL
DATE:
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FROM: -V -pLYT V-c-3<47-'
RE:
NO . OF PAGES (INCLUDING COVER) :
If there is a problem with this transmittal , please contact scIncic::'
at (214 ) 631-4952 .
fl SPECIAL INSTRUCTIONS :
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BREAK-DOWN ON COST FOR EACH PURCHASER
Development Corporation of Wylie, Inc.
1. One 1992 DFW Mural $1,050.00
2. One Color 30" X 40" Print of Wylie $ 191.25
3. Mounted on 3/16" Gator Board $ 58.50
4. Delivery and Mounting of Mural $ 21.00
TOTAL $1,320.75
City of Wylie
1. Two Color 30" X 40" Prints of Wylie $ 382.50
2. Two Prints Mounted on 3/16" Gator Board $ 117.00
TOTAL $ 499.50
Starlight Custom Homes, Inc.
1. One Color 30" X 40" Print of Wylie $ 191.25
2. Mounted on 3/16" Gator Board $ 58.50
TOTAL $ 249.75
TOTAL INVOICED BY LANDISCOR LANDIS AERIAL PHOTO $2,070.00
oc. -/Y/y,
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, MARCH 9 , 1993
4 :00 PM
WYLIE CHAMBER OF COMMERCE OFFICE, 108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of February 9, 199
Regular Meeting of the Development Corporation of Wylie
Inc.
2 . Discuss and Consider Treasurer' s Report Ending 02/28/93 .
3 . Report from Executive Director :
A. Physicians Regional Hospital Status Report
B. American Molds , Inc . Status Report
C. Major Employer Relocation Status Report
r
D. Perma-Tune, Inc . Relocation Status Report
E. Discussion with R. L. Hunt Co.
F. Visit with Ms . Virginia Lane - Ginny ' s Inc .
G. Visit with Jerry Morrow, D/B/A Morrow' s
H . Status Report on 27th Annual Basic Economic
Development Course scheduled for March 21 , 1993
to March 26 , 1993
I . Discussion with Jim Meara, D/B/A The Meara Co.
J . Report Meeting with Greater Dallas Chamber of
Commerce
4 . Approval of Request to Rent Automobile to Attend 27th Basic
Economic Development Course in College Station, Texas
5 . Review and Discuss Tentative and Preliminary Audit ,
Conducted by Rutledge Crain & Co. , P. C.
6. Recess Open Meeting
7 . Convene to Executive Session
A. Update on Land Purchase
B. Discuss Purchase of Other Building Sites
8 . Reconvene Open Meeting
9 . Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to
Maximum of Five (5) Minutes .
10 . Adjourn.
NOTICE OF MEETING
- Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4:00 P.M. on the yam- day of" i--' CIX' , 1993
at 108 West Marble, in the City of Wylie, Texas , for the purpose
of considering the above agenda.
4ai7ith -)g46241.)
Mary ' cho ' ty Secretary
POSTED THIS THE (61-d DAY OFC� , 1993 , AT 5,00/ M.
•
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC.
MINUTES
FEBRUARY 9, 1993
The Directors of the Development Corporation of Wylie, Inc . met
in regular session at 4 :00 P.M. on Tuesday, February 9, 1993 in
the Development Corporation' s office at 108 W. Marble, Wylie,
Texas . A quorum was present and notice of the meeting had been
posted in the time and manner required by law. Those present
were President Jim Smith, Vice President James Blakey, Secretary
Treasurer John Yeager and members John Tobin and John Mondy.
Executive Director Charlie Womack, Mayor John Akin and City
Manager Steve Norwood were also present . In attendance from the
City Staff was Anita Collins .
President Jim Smith called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF NOVEMBER 10 , 1992
REGULAR MEETING : There being no corrections to the minutes John
Yeager made a motion that the minutes be approved as written. The
motion was seconded by John Tobin. The motion carried with all
in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER' S REPORT: A motion to
accept the Treasurer ' s Report as read was made by John Tobin and
seconded by John Yeager . The motion carried with all in favor .
(See attached report at the end of these minutes) .
REPORT FROM EXECUTIVE DIRECTOR:
A. Status report of meeting with the principals of Physicians
Regional Hospital regarding the status of their loan for
which the Development Corporation has placed a Certificate of
Deposit for collateral . Their cash flow is looking better
and January commitments were made .
B . Current status report on American Molds , Inc . - no changes
or new information since the last report .
C. Current status report of discussions with a major employer
that may consider a possible relocation to Wylie -
negotiations and discussions are continuing with this major
employer .
D. Perma-Tune Inc . status report - no changes or new information
since the last report .
E. Update on Prison Negotiations - it appears to be a dead
issue with the City, however, Collin County is still showing
an interest in placing a prison in Collin County.
F. Report on 9th Annual Economic Outlook Conference - Charlie
Womack reported the highlights of the conference to the board
members .
G. Annual Financial and Activity Report - Mr . Womack went over
with the board the reports he had prepared for presentation
to the City Council .
REPRESENTATIVE FROM WYLIE CHAMBER OF COMMERCE TO PRESENT FOR
REVIEW AND APPROVAL THEIR 1993 ADVERTISING BUDGET: Mr. Ken Lane,
President of the Wylie Chamber of Commerce presented to the board
their budget for advertising projects . The Chamber is requesting
that the Development Corporation fund these projects with their
advertising budget . After a lengthy discussion of the pros and
cons a motion was made by John Yeager . The motion was as
follows :
That the board should make the $3 , 200 final installment on
the funds committed in 1992 and that the board make two
installments of $7 , 500 each in 1993 . The first installment
of $7 , 500 should be made in March of 1993 and the
second installment of $7 ,500 be made in September of 1993 .
The Chamber should make semi-annual accounting reports to
the Development Corporation.
The motion was seconded by John Tobin. The motion carried with
all in favor.
DISCUSS PURCHASE OF TICKETS TO THE ANNUAL WYLIE CHAMBER OF
COMMERCE BANOUET SCHEDULED FOR FEBRUARY 20 , 1993 : A motion was
made by James Blakey that the Development Corporation purchase
twelve (12 ) tickets to the banquet . The motion was seconded by
John Mondy and carried with all in favor .
RECESS OPEN MEETING
CONVENE TO EXECUTIVE SESSION:
A. Discuss status of possible land purchase.
The land has been taken off the market .
•
RECONVENE REGULAR MEETING
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the February 9, 1993 , regular meeting approved by the
Board of Directors at its meeting on March 9, 1993 .
Jim Smith, President
PREPARED BY :
d2z/z
Anita Collins
,.2/5/y 3
MEETING
DEVELOPMENT CORPORATION OF WYLIE , INC .
TUESDAY , FEBRUARY 9 , 1993
4 : 00 PM
108 WEST MARBLE , WYLIE , TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of January 12 , 1992
Regular Meeting of the Development Corporation of Wylie ,
Inc .
2 . Discuss and Consider Treasurer 's Report Ending 01/31/93 .
3 . Report from Executive Director =
A . Physicians Regional Hospital Status Report
B . American Molds , Inc . Status Report
C . Major Employer Relocation Status Report
D . Perma-Tune , Inc . Status Report
E . Update on Prison Negotiations
F . Report on 9th Annual Economic Outlook Conference
G . Annual Financial and Activity Report
4 . Representative from Wylie Chamber of Commerce to present for
Review and Approval of their 1993 Advertising Budget
5 . Discuss Purchase of Tickets to the Annual Wylie Chamber of
Commerce Banquet scheduled for February 20 , 1993 .
idaela4Sd, a 4 714Ag
6 . Recess Open Meeting S / ,
7 . Convene to Executive Session
A . Update on Land Purchase
8 . Reconvene Open Meeting
ANNUAL REPORT
INCOME:
Sales Tax Revenue $188 , 334
Interest Earned 9 , 172
Other Fees 1, 200
TOTAL REVENUE $198,706
EXPENSES:
Accounting $ 1, 015
Advertising (Chamber of Commerce) 14, 478
Cash Grants 29 , 000
Escrow Deposit 1, 750
Federal #941 Tax Payments 2 , 502
Insurance 2 , 267
Miscellaneous 2, 686
Furniture and Equipment 3 , 380
Remodeling Office Space 2 , 774
Petty Cash Deposits 902
Salaries 16, 000
Travel (Linda Hamar to California) 2 , 000
Video Promoting Wylie 10, 700
TOTAL EXPENSES $ 89,454
ACTIVITIES AND CURRENT STATUS REPORT
1. Mr. Michael Fornero, President, Johnston's Inc.
Introduced Mr. Earl Whatley and Karl M. Cates. Both were brokers and claimed they
needed 15,000 sq. ft. for an unnamed client. Two subsequent meetings with same
individuals produced no results.
2. Mr. Cooper and Steve Phieffer
Several meetings with Mr. Cooper and Steve Phieffer. Looked at several industrial
locations. They claimed they needed 12-15 acres to build a van conversion and plastic
molding facility. Negotiations have been suspended until adequate biographical, marketing,
and financial information is submitted with a formal assistance request.
3. Harold F. Smith - R & D Aeronautical Engineering Co., Inc.
A local company was purchasing the assets of a Florida company and planned to move the
operations to a Wylie location. A cash grant totaling $75,000 was requested. The request
was denied until supporting financial data was furnished to support the consideration of a
cash grant. There is no current dialogue regarding this request.
4. N.T., Inc.
This company was seeking to relocate in the metroplex. Their financial and industrial
space requirements exceeded the current ability of the City or the Corporation to meet their
needs.
5. Andacor, Inc.
Investment company located in Plano. The president, Mr. David Chiu, claimed to
represent a company domiciled in Hong Kong, China. The company was interested in
making an investment in the metroplex area. Two subsequent telephone conversations
produced no tangible results.
6. Terry Mulholland d/b/a Innovative Manufacturing Co.
This was a non-operating company that was trying to finance and open a factory to build
modular homes. Their financial and space needs exceeded our ability to supply. All
negotiations were discontinued because their needs far exceeded the company's financial
and operating history could justify further consideration.
2
7. Metrocast, Inc.
A Garland company that wanted to move provided a loan could be secured from a local
bank. The bank negotiated with the principals for several months. Personal visits were
made to their Garland location. The bank agreed to finance the purchase of Tarrant
Plumbing building provided they could arrange for the down payment. Negotiations were
in progress for the Corporation to supply the down payment, but for some unknown reason
they decided to stay in their current facility.
8. Golden Pickle. Inc.
This is an old company domiciled in west Dallas. They needed to expand their capacity
and the present location prohibited any expansion of their facilities. They had been
negotiating with Garland officials for several months, and they began to believe their
company was not wanted in that community. We visited with the principal owner several
times, and he assured us Wylie would be his next choice if Garland declined their building
request. Garland eventually approved their plans after the City sold them the building site.
9. Master Brake Systems. Inc.
This is a company that is located in Dallas. The company has a need to expand their
manufacturing facility. Their location prohibited any expansion. They decided the Tarrant
Plumbing building would meet their immediate and future needs. The Corporation agreed
to finance the down payment should the company be successful in purchasing the building
at a public auction. They submitted the successful bid and all arrangements were to
complete the move. When time came to close the real estate purchase, management
decided for some reason to discontinue their decision to move. No future negotiations are
anticipated.
10. Bethany Manufacturing Corporation
This company is located in Garland. They operate a custom machine shop which includes
complete fabrication and prototype productions. They need to expand, but their present
location prohibits enlarging their facilities. They requested time to study their future needs
before making a request for financial assistance. Apparently they decided to withdraw any
expansion plans due to the reduction of expenses mandated by the Defense Department.
We plan to continue a follow-up program until it is decided they are no longer a viable
candidate.
11. Physician's Regional Hospital
The hospital was experiencing a serious cash flow condition because of loss revenue when
they closed their alcohol and drug abuse unit. After lengthy discussions, it was decided in
order to assure a hospital facility in Wylie, The Corporation agreed to guarantee a$120,000
3
loan obtained from Provident Bank, Wylie. Many subsequent hours have been spent
monitoring the progress being made by the hospital to become profitable and being able
to service their existing obligations.
12. Robert Arden d/b/a Maria's Restaurant
Mr. Arden had entered into a contract to purchase the property where the restaurant is
located. He had made arrangements with a lender to finance 80% of the purchase price.
The Corporation agreed to take a second lien position on the property and supply the 20%
down payment requirement. Subsequent financial problems encountered by the borrower
required the Corporation to cancel their commitment.
13. Art Criscuoloa - Crane Safety and Maintenance. Inc.
The property where the company is domiciled was offered a sealed bid sale by the FDIC.
The former owner asked the Corporation to submit a bid, and if we were the successful,
they would execute a land lease with an option to buy. A bid of$35,010 was submitted,
but all bids were rejected by the FDIC. Mr. Criscuolo believes the FDIC will offer the
property again for sale, and he will ask us to participate in the possible purchase of the
land.
14. Major Prospect
Discussions with a major employer has been in progress for several weeks. Principal
officers have seen possible building sites and have made a video of each property. We
have furnished maps and a video of Wylie that is being sent to their Florida corporate
office. We have also submitted a preliminary commitment letter regarding some possible
financial incentives that might be available should they decide to relocate in Wylie.
117193
MEETING
DEVELOPMENT CORPORATION OF WYLIE , INC .
TUESDAY , JANUARY 12 , 1993
4 : 00 PM
108 WEST MARBLE , WYLIE , TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of December 8 , 1992
Regular Meeting of the Development Corporation of Wylie ,
Inc .
2 . Discuss and Consider Treasurer 's Report Ending 12/31/92 .
3 . Report from Executive Director :
A . Physicians Regional Hospital Status Report
B . American Molds , Inc . Status Report
C . Major Employer Relocation Status Report
D . Perma-Tune , Inc . Status Report
E . Report Purchase of Used Copier
74. 1
l t tt.GC ®R 'E'e k �'�.'e7Je a44 4(2etIid�t+n~ "` j�'t
4 . Other�1ess . �, ��tidti„+r+ov
A . Mike Schmidt - Building Official , City of
Wylie - Explain City Master Plan
5 . Recess open meeting .
6 . Convene to Executive Session
A . Discuss Status of Possible Land Purchase
7 . Reconvene Open Meeting
8 . Citizen Participation .
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five ( 5 ) Minutes .
10 . Adjourn .
NOTICE OF MEETING
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4 :00 P .M . on the /gilt day of t-G: y, , 1993
U O
at 108 West Marble , in the City of Wylie , Texas , for the purpose
of considering the above agenda .
Mary Nic o1ls JCi y Secretary
POSTED THIS THE / j , DAY OFP-41-14d14-415 , 1993 , AT 3;CePM .
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE , INC .
MINUTES
DECEMBER 8 , 1992
The Directors of the Development Corporation of Wile , Inc . met in
regular session at 4 :00 P .M . on Tuesday , December 8 , 1992 in the
Development Corporation 's office at 108 W . Marble , Wile , Texas .
A quorum was present and notice of the meeting had been posted in
the time and manner required by law . Those present were
President Jim Smith , Vice President James Blakey , Secretary
Treasurer John Yeager and member John Tobin . Executive Director
Charlie Womack , Mayor John Akin , and City Manager Steve Norwood
were also present . In attendance from the City Staff was Anita
Collins .
President Jim Smith called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF NOVEMBER 10 . 1992
REGULAR MEETING : The minutes should read "discuss and consider
approval of minutes of October 13 , 1992 meeting" not November 10 ,
1992 . With this correction being made James Blakey made a motion
that the minutes be approved , seconded by John Tobin . The
motion carried with all in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER'S REPORT: A motion to
accept the Treasurer 's Report as read was made by John Tobin and
seconded by James Blakey . The motion carried with all in favor .
( See attached report at the end of these minutes )
REPORT FROM EXECUTIVE DIRECTOR:
A . Status report of discussions with the principals of
Physicians Regional Hospital regarding the status of their
loan for which the Development Corporation has placed a
Certificate of Deposit for collateral .
B . Current status report on American Molds , Inc . - the hearing
has not yet taken place . There will be a task force meeting
in Austin on December 16 , 1992 . This task force was
organized by the TACB and is a task force for nuisance
ordinances .
C . Current status report of discussions with a major e er
that may consider a possible relocation to Wile
negotiations and discussions are continuing with this major
employer .
D . Review and discuss a request for financial assistance
received from Perma-Tune Inc . A motion was made by James
Blakey that we grant them $10 ,000 when they initially move
to Wile and then at the end of six months grant them $1 ,000
for each employee that has been employed with them full time
for six months . The motion was seconded by John Yeager .
The motion carried with all in favor .
E . Report preliminary discussions with Metro Fleet Collision for
possible financial assistance in their move to Wile - no
formal request has been received at this time .
F . Report discussions with Dr . Wade Wolverton for possible
financial assistance for working capital and equipment
purchases needed by his company chartered as S . I .R .A . - no
commitment to be made at this time - could possibly
assist them in getting financing for equipment .
G . Discuss financial assistance request received from Crown
Covers - cannot consider any assistance unless they move
their business to Wile .
H . Discuss the need and then approve the acceptance of
competitive bids for the possible purchase or lease of new
or used copier equipment - John Tobin made a motion that
we purchase , upon satisfactory performance , a copier with a
maximum cost of $2 ,500 .00 . The motion was seconded by John
Yeager . The motion carried with all in favor .
I . Review and then consider approval for one or more registrants
to attend the 9th Annual Economic Outlook Conference
scheduled in Dallas on Tuesday , January 26 , 1993 - the cost
is $150 .00 per registrant , John Yeager made a motion that
Mr . Womack should attend , seconded by James Blakey . The
motion carried with all in favor .
OTHER BUSINESS : Mr . Womack reported that he had a few inquiries
this month for financial assistance and would be reporting more
details . The people who purchased the Tarrant Plumbing building
may need some financial assistance .
RECESS OPEN MEETING
CONVENE TO WORKSHOP TO DISCUSS GOALS AND OBJECTIVES :
A . Discuss possible purchase of commercial property - a motion
was made by John Yeager to purchase a tract of land1 to be
known as Industrial tract 1 of a possible forty-seven acres .
The motion was seconded / by John Tobin . James Blakey
abstained from voting . The motion carried with Jim Smith
in favor , John Yeager in favor and John Tobin in favor .
RECONVENE REGULAR MEETING
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned .
Minutes of the December 8 , 1992 , regular meeting approved by the
Board of Directors at its meeting on January 12 , 1992 .
John Yeager , Secretary
PREPARED BY
Anita Collins
_STGO / )
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, DECEMBER 8, 1992
4: 00 PM
108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of November 10, 1992
Regular Meeting of the Development Corporation of Wylie,
Inc
2. Discuss and Consider Treasurer ' s Report Ending 11/30/9'2.
Report from Executive Director :
A. Status report of discussions with the principals of
Physicians Regional Hospital
B. Current status report on American Melds, Inc .
C. Current status report of discussions with a major
employer that may consider a a.
possible relocation' ion to
Wylie.
D. Review and discuss a request for financial assistance
received from Perma-Tune, Inc .
E. Report preliminary discussions with Metro Fleet
Collision for possible financial assistance in their
move to Wylie.
F. Report discussions with Dr . Wade Wolverton for possible
financial assistance for working capital and equipment
purchases needed by his company charterd as S. I . R.A.
G. Discuss financial assistance request received from
Crown Covers.
H. Discuss the need and then approve the acceptance of
competitive bids for the possible purchase or lease of
new or used copier equipment.
I. Review and then consider approval for one or more
registrants to attend the 9th Annual Economic Outlook
Conference scheduled in Dallas on Tuesday,
January 26, 1993.
-~
4. Other Business.
5. Recess open meeting.
6. Convene to Workshop to Discuss Goals and Objectives.
A. Discuss possible purchase of commercial property.
7. Reconvene Regular Meeting.
8. Citizen Participation.
Wylie Residents Wishing to Speak Should Limit Remarks to a
Maximum of Five (5) Minutes.
10. Adjourn.
NOTICE OF MEETING
,~~
Notice is hereby given that the Economic Development Corporation Board of
Wylie will meet at 4: 00 P. M. on the � day of /l 1992
__��
at 108 West Marble, in the City of Wylie, Texas, for the purpose
of considering the above agenda.
^
Mary Niphop& [Cit /-Secretary
POSTED THIS THE DAY OF
_ _, 1992, AT_ 15�60 M.
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE, INC.
MINUTES
NOVEMBER 10, 1992
The Directors of the Development Corporation of Wylie, Inc . met
_t 1 �'�._ i 'i i
in regular session+n at y�: `_?f�� '. '"�. on Tuesday, October�beif -+_',
the Development Corporation' s office at 108 W. Marble, Wylie,
Texas. A quorum was present and notice of the meeting had been
posted in the time and manner required by law. Those present
were John Yeager , Secretary Treasurer and members John Tobin and
� Director Charlie Womack, Mayor John Akin,
J+-+l'i!ii Mondy. Executive v=- �l r _e ac 9
and City Manager Steve Norwood were also present . In attendance
from the City Staff was Anita Collins.
John Yeager called the meeting to order .
DISCUSS AND CONSIDER APPROVAL OF MINUTES OF NOVEMBER 10, 1992
REGULAR MEETING : A motion to approve the minutes as presented
was made by John Tobin and seconded by John Mondy. The motion
carried with all in favor .
DISCUSS AND CONSIDER APPROVAL OF TREASURER'S REPORT: A motion to
accept the Treasurer ' s Report as read was made by John Tobin and
seconded by John Mondy. The motion carried with all in favor .
(See attached report at the end of these minutes)
REPORT FROM EXECUTIVE DIRECTOR:
A. Robert Arden has made a decision not to purchase the
property, thus our commitment to make him a loan is no longer
necessary.
B. Our bid to purchase the property located at 3501 Eubanks
Lane, Wylie is still in a pending status. There was only one
other bidder for the property.
C. Discussions are still continuing with a major employer on
their possible relocation to Wylie.
D. Mr . Womack has met with principals of Physicians Regional.
Hospital regarding a.eih r inability to meet the October 31 , 1992
t _
loan payment to the bank. This is due to Medicare' s withholding
payment on some claims. Mr . Womack will be meeting with them
again this week or next .
E. The contract with Rutledge, Crain & Co . , P. C. has been
negotiated and will be signed. They will audit the Development
Corporation books.
F. American Molds is still working on acquiring the permit
necessary to expand their facility. The hearing scheduled for
this month has been postponed. The TACB has made a tour of
American Molds.
G. Mr . Womack reported that he was unable to get a reservation
courseofferedTexas f
for the by Engineering Extension Service, �= �
the Texas A °. M University System, College Station, Texas.
See report attached at the end of these minutes.
OTHER BUSINESS: Mr . Womack reported that he had a few inquiries
this month for financial assistance and would be reporting more
details. Ken Ross of Ross Communications wants the Development
Corporation to fix Cooper Drive. The people who purchased the
Tarrant Plumbing building may need some financial assistance.
SIRA is needing financial assistance.
Mr. Womack should attend a seminar in Austin regarding a new
fund for new businesses.
RECESS OPEN MEETING
CONVENE TO WORKSHOP TO DISCUSS GOALS AND OBJECTIVES:
discussion took place.
RECONVENE REGULAR MEETING
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the November 10, 1992, regular meeting approved by the
on December o 1992.
Board of Directors at its meeting Y
John Yeager , Secretary
PREPARED BY .
Anita Collins
MEETING
DEVELOPMENT CORPORATION OF WYLIE, INC.
TUESDAY, NOVEMBER 10 , 1992
4:00 PM
108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS BUSINESS
1 . Discuss and Consider Approval of Minutes of October 13 , 1992
Regular Meeting of the Development Corporation of Wylie,
Inc.
2 . Discuss and Consider Treasurer's Report Ending 10/31/92 .
3 . Report from Executive Director:
A. Current status of loan commitment to Robert Arden.
B. Current status of our proposal to submit a bid to
purchase the property located at 3501 Eubanks Lane,
Wylie.
C. Current discussion with a major employer on a possible
relocation to Wylie.
D. Status report of discussions with the principals of
Physicians Regional Hospital.
E. Report on current negotiations regarding audit proposal
offered by Rutledge, Crain & Co. , P.C.
F. Report on current status of American Molds, Inc.
G. Report current status of five and one-half day course
being offered by Texas Engineering Extension Service,
of the Texas A & M University System, College Station
Texas.
4 . Other Business.
5. Recess open meeting.
6. Convene to Workshop to Discuss Goals and Objectives.
this period. John Tobin seconded the motion. The
motion carried with all in favor.
E. Sale of conference table to the City of Wylie
for $50 .00 . The Development Corporation will not pay
any rent in October and in return will leave the
conference table now occupying their office.
F. Discuss audit proposal offered by Rutledge,
Crain & Co,
P.C. - John Yeager made a motion that we allow the
Executive Director to negotiate a contract with the
auditors for less than a $1 ,TheO00 . The motion carriedtion was
with all
seconded by James Blakey.
in favor.
G. Discuss preparation of 1993 budget - see attached
proposed budget presentation. John Yeager made a
motion that we adopt the budget with the discussed
changes. James Blakey seconded the motion. The motion
carried with all in favor.
RECESS OPEN MEETING:
CONVENE TO WORKSHOP TO DISCUSS GOALS AND OBJECTIVES: No
discussion took place on this item.
RECONVENE REGULAR MEETING:
CITIZEN PARTICIPATION: None
There being no other business for discussion a motion was made
and seconded that the meeting be adjourned.
Minutes of the October 13 , 1992 , regular meeting approved by the
Board of Directors at its meeting on November 10 , 1992 .
le
fn y g , Secretary
PREPARED BY :
Anita Collins
MEETING
DEVELOTUECORPORATION
O
F SDAY , NOVEMBER 10 ,WYLIE, INC.
1992
4:00 PM
108 WEST MARBLE, WYLIE, TEXAS
CALL TO ORDER
ORDER OF
BUSINESS RLTSINESS
Discuss and Consider Approval of Minutes of October 13 , 1992
Regular Meeting
1 • of the Development Corporation of Wylie,
Inc.
2 . Discuss and Consider Treasurer's Report Ending 10/31/92 .
3 . Report from Executive Director:
A. Current status of loan commitment to Robert Arden.
B. Current status of our proposal to submit a bid to w
purchase the property located at 3501 Eubanks Lane,
Wylie.
C. Current discussion with a major employer on a possib .f:
relocation to Wylie.
D. Status report of discussions with the principals of
Physicians Regional Hospital .
E. Report on current
negotiations
soregarding audit propoz l
offered by Rutledge,
.C.
F. Report on current status of American Molds , Inc.
G. Report current status of five and one-half day course
being offered by Texas Engineering Extension
ioneService,
of the Texas A & M University System,
Texas.
4. Other Business.
5. Recess open meeting.
6 . Convene to Workshop to Discuss Goals and Objectives.
7 .
Reconvene Regular Meeting.
8. Citizen Participation. to a
Maximum
Residents Wishing to Speak Should Limit Remarks
Wylie
Res f Five (5) Minutes.
9. .
10.
Adjourn.
NOTICE OF MEETING
went Corporation Board of
Wylie will meet at is hereby given that the Economic Development 1992
Noticep�.C. iay
4:00 P.M. on the
of Wylie, Texas, for the purpose
at 108 West Marble, in the City
of considering the above agenda.
Mary N. ho ,
ity Secretary
// �� , 1992, ATS_�f' M'
(� Ems. DAY OFF
POSTED THIS THE '--�'-
DIRECTORS OF DEVELOPMENT CORPORATION OF WYLIE , INC .
MINUTES
OCTOBER 13 , 1992
Inc . met
Wylie , in
Corporation of l3 � 1992
ment Corp October Complex•
of the Development
on Tuesday , e Municipal 1992in
The Directors po 4 ;io00 at had been postedJim
in regular session
e present and
office
flthe meeting resent were
t quorum was
notice law. Those present Yeager ,
the was present equired byPresident; John Monim
A manner Vice and woman
time and James Blakey , John Tobin Council
the members John Akin, In
President; and Mayor also present .
Exec Smith,
Treasurer Womack, were
Allen
Director n Charlie Steve Norwood
Executive Managerwas Anita Collins .
and City City Staff
Allen ante from the
attend
Smith called the meeting to order .
13 1992
Jim IN17`rES OF OCTOBER
business ,
under oration to
APPROV .made for the Corp
AND CONSIDEARcorrection was Need the Corporation
DISCUSS it should
"Discuss the Needfr for being made
REGULAR should read not "Discuss correction seconded
item b it " with this roved ,
post Office Box post" • the minutes be approved ,Rent a a post office favor •
to Rent Yeager made a motion thca tied with all in
IS
John Yn The motion The
by John Tobin. ER'S REPORT these
TREASURER'S end of
APPROV report at
re SS AND eportDE See attached
Treasurer's reported the following $319 ,502 . 24
minutes)
Balance as
of August 31 , 1992 17 , 131 . 46
September Revenues
2 ,033 . 38
September
Expenses 21 .75
Cash Expenses
petty Balance as of $eptember 30 , 1992 , s report be
the treasurer carried
that The motion
made a ondedn John Tobin.
James Blakey made
seconded by
accepted as with all in favor .
Inc . loan
FROM EXECUTIVE
DIRECTOR. Service , on
REPORT Master Brakethe at the
of the owners received loan
Current status close the a dead issue .
A. transactione - Although
failed to now
appropriate
they It appears this is
this property they request and
e.
appropriate time.
of American old , BInc .
�a. _ the hearing
B. Current
status
the Texas Air Control
problems with