11-01-2005 (WEDC) Minutes Minutes
WYLIE ECONOMIC DEVELOPMENT CORPORATION
November 1,2005
Board Members Present
Gary Bartow
Gary Bowland
Marvin Fuller
John Yeager
Staff Present
Samuel Satterwhite, Executive Director
Others Present
Councilman Carter Porter
With notice of the meeting posted in time and manner required by law and a quorum of Board
members present, the Board of Directors of the Wylie Economic Development Corporation
(WEDC) met in Regular Session on November 1, 2005 in the Conference Room of Inwood
National Bank located at 200 South Highway 78, Wylie, Texas.
The meeting was called to order by President Marvin Fuller at 5:10 p.m.
ITEM NO. 1 — Consider and Act Upon Approval of the September, 2005 Treasurer's
Report for the Wylie Economic Development Corporation.
MOTION: A motion was made by John Yeager and seconded by Gary Bartow to
approve the September, 2005 Treasurer's Report for the WEDC Board of
Directors Meeting. The WEDC Board of Directors voted 4—FOR and 0—
AGAINST in favor of the motion.
ITEM NO. 2 — Consider and Act Upon Issues Surrounding a Charitable Donation to the
Blackland Prairie Foundation.
Staff presented to the Board that the Blackland Prairie Foundation was holding a fundraiser in an
effort to pay off debt associated with the construction of the Pirate's Cove Playground at
Founders Park. Of the total project cost of $125,000, Blackland has an outstanding debt of
$35,000. Staff indicated that there is $10,175 in overhead associated with the current fundraiser
and that any WEDC donation should be tied to the overhead.
Staff reminded the Board that Blackland had approached the Wylie City Council with a request
for funding to satisfy their outstanding debt. The Council denied their request citing Blackland's
commitment to not approach the City Council for further funding beyond the land that was
donated. Staff asserted and the Board agreed that Council's denial of Blackland's request in no
way impacted the WEDC's ability to provide additional assistance being that Blackland had
made no such commitment to the WEDC.
WEDC—Minutes
November 1, 2005
Page 2
Board Member Bowland believed that the WEDC could donate an amount equal to Blackland's
overhead making a motion to that effect. The motion died for lack of a second. President Fuller
did not believe that any amount donated by the WEDC should be tied to overhead costs based
upon any future claims made by the vendors providing services associated with the overhead.
The WEDC Board believed that Pirate's Cove was an asset to the community and thus worthy of
WEDC support though its ability to financially support community development projects.
MOTION: A motion was made by Gary Bowland to donate $10,175 to the Blackland
Prairie Foundation. The motion died for lack of a second. A motion was
made by John Yeager and seconded by Gary Bartow to donate $5,000 to
the Blackland Prairie Foundation. The WEDC Board of Directors voted 4
—FOR and 0—AGAINST in favor of the motion.
ITEM NO. 3 — Discuss Issues Surrounding a Tax Increment Financing District Generally
Located at the Northwest Corner of State Highway 78 and Westgate Way.
Staff updated the Board on a potential Tax Increment Financing District which may be
established to support the clean-up of property impacted by a dumpsite of plastic wiring. The
site is located on the northwest corner of Westgate Way and State Highway 78. No
recommendation was made by staff and no direction given by the Board.
ITEM NO. 4 — Consider and Act Upon Issues Surrounding WEDC Property Located at
709 Cooper Drive.
Staff presented to the Board issues surrounding the demolition of an abandoned structure located
on 709 Cooper Drive. The WEDC purchased the light industrial site in an effort to clean up a
deteriorating industrial area. As estimated by the City of Wylie Building Official, any remaining
value in the facility will require a minimum of $20,000 additional investment to bring the
building closer to a useable state and meet existing codes, whether that investment is by the
WEDC or a potential user. Staff commented that a clean lot will do more for redevelopment
efforts than will a dilapidated building. Furthermore, to encumber the property with a lease is
contrary to the WEDC goal of redevelopment.
Board member Fuller stated that the WEDC may want to utilize or keep in reserve the estimated
demolition cost of $9,883 for a more pressing need and allow for a developer to demolish the
structure. Furthermore, Fuller believed that further patience could provide for a user which may
benefit the area, even if only for a short time.
Board members Bartow and Bowland stated the belief there was little value in trying to salvage
the structure and believed that the demolition may generate further interest in redevelopment of
the surrounding Cooper Drive.
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November 1, 2005
Page 3
MOTION: A motion was made by Gary Bartow and seconded by John Yeager
authorizing staff to enter into an agreement with Intercon Demolition to
demolish the structure located at 709 Cooper Drive. The WEDC Board of
Directors voted 3 —FOR and 1 —AGAINST in favor of the motion.
ITEM NO. 5 — Discuss Issues Surrounding WEDC Property Located at 2806 W. F.M. 544
(Ferrell Tract).
Having finally closed on the Ferrell tract after 12 months of negotiations, staff presented
potential options for redeveloping the site. The Board directed staff to negotiate with Crossroads
Management to determine the feasibility of combining the Ferrell tract with the storage site and
resolve issues surrounding F.M. 544 right-of-way currently owned by the WEDC. President
Fuller emphasized the intent of negotiations with Crossroads was to aesthetically improve the
area, and not necessarily to expand the self-storage use.
With no recommendation from staff, a motion was not necessary from the Board.
ITEM NO. 6 — Consider and Act Upon Issues Surrounding an Incentive Package to Bayco
Products.
Staff presented to the Board issues surrounding an amendment to the Development Agreement
between Bayco and the WEDC. This proposed amendment dates back to discussions held
between the WEDC and Bayco in June, 2004. At that time, the Bayco incentive agreement had
been finalized and Bayco proposed the expansion of the facility beyond the terms negotiated
initially. Based upon the timing of the request, the WEDC declined to renegotiate the Agreement
and committed to Bayco that the additional impact would be evaluated upon completion of the
project. Bayco's 14,500 square foot `expansion' resulted in an increased value of approximately
$465,000. That value over a three year period results in a cumulative three year tax impact of
$34,805.
Under the terms of the existing Agreement, Bayco must maintain a minimum valuation of$6.5
million annually with a five-year average of $8 million annually to qualify for all incentives
available. Staff also presented that the WEDC had already funded expenses benefiting Bayco in
the amount of$3,237 for flood plain improvements. The WEDC believed that had the increased
valuation been considered during the initial phases of negotiations with Bayco, the Incentive
Agreement would have been impacted.
Based upon staff's recommendation, the Board directed staff to create an amendment to the
Bayco agreement to provide for a potential $30,000 in additional incentives should Bayco meet a
minimum appraised valuation of $8.5 million in years 6 and 7 of the amended Agreement.
Should Bayco meet the minimum valuation, a grant of$15,000 will be funded in 2012 and 2013.
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November 1, 2005
Page 4
MOTION: A motion was made by Gary Bartow and seconded by Gary Bowland
approving an amendment to the Development Agreement between Bayco
and the WEDC to allow for additional incentives in the amount of
$30,000, subject to terms of the Amended Agreement. The WEDC Board
of Directors voted 4—FOR and 0—AGAINST in favor of the motion.
ITEM NO. 7 — Executive Session: Convene into Executive Session to Hold Deliberations
Regarding Real Property (Purchase of Real Property within the Wylie community by the
WEDC) as Authorized in Section 551.072 if the Local Government Code, Vernon's Texas
Code Annotated (Open Meetings Act).
The WEDC Board of Directors convened into Executive Session at 7:50 p.m.
ITEM NO. 8—Reconvene into Open Meeting.
The WEDC Board reconvened into Open Meeting at 8:25 p.m. No action was taken as a result
of discussions held in Executive Session.
ITEM NO. 9—Staff Report.
Staff presented information surrounding the Shafer site, Baylor Medical Plaza, Cirrus Asset
Management Group, Murray Label & Printing, the upcoming WEDC Board appointment and
general retail development within the Wylie community. No recommendation on any issue was
made by staff or direction given to staff by the WEDC Board.
ITEM NO. 10—Citizen Participation.
There being no citizen participation, President Fuller proceeded to Item No. 11.
ITEM NO. 11 —Adjourn.
There being no further business, the meeting was adjourned at 8:35 p.m.
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(0/At
Marvin Fuller, President
Attest:
Samuel D.R. Satterwhite
Executive Director