05-20-1997 (WEDC) Minutes Minutes
WYLIE ECONOMIC DEVELOPMENT CORPORATION
Tuesday, May 20, 1997
Board Members Present:
Marvin Fuller
Kevin St. John(arrived at 3:20)
J.C. Worley
John Yeager
Merrill Young
Staff Present:
Samuel Satterwhite, Executive Director
Others Present:
Mike Collins, City Manager
Brady Snellgrove, Director of Finance
Ray Turner, President, Provident Bank Wylie
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 May 20, 1997 in the Wylie Chamber of Commerce Board
Room at 108 W. Marble, Wylie, Texas.
The meeting was called to order by President John Yeager at 3:09 p.m.
ITEM NO. 1 - Discuss and Consider Approval of Minutes for the April 29, 1997 Regular
Board of Directors Meeting of the Wylie Economic Development Corporation.
MOTION: A motion was made by J.C. Worley and seconded by Merrill Young to
approve the Minutes for the April 29, 1997 Regular Meeting of the Wylie
Economic Development Corporation Board of Directors. The WEDC
Board of Directors voted 4 - FOR and 0 - AGAINST in favor of the
motion.
ITEM NO. 2 - Discuss and Consider Issues Surrounding an Investment Policy Adopted by
the City of Wylie City Council.
Prior to any discussion on this issue, WEDC Treasurer Mr. Marvin Fuller stated for the record
that due to his association with American National Bank, a conflict of interest is present regarding
any Board action taken on the City of Wylie Investment Policy. Mr. Fuller excused himself from
the room so as to have no impact on the following discussions.
WEDC -Minutes
May 20, 1997
Page 2
Mr. Brady Snellgrove, City of Wylie Director of Finance and Investment Officer, presented the
Board with a brief overview of the Investment Policy. As stated by Mr. Snellgrove, the policy
defines who is responsible for managing investments, what investment types can be used, provides
for record keeping and reporting, training of employees, selection of brokers/dealers, safekeeping
of cash and investments, ethics, etc. The heart of the City of Wylie Investment Policy is the
objectives of safety, liquidity, diversification, and yield in that order. Adoption of an investment
policy is mandated by the Public Funds Investment Act, Chapter 2256.023 of the Local
Government Code.
The Board agreed that the WEDC must transfer its Money Market Investment Account held at
American National Bank(ANB) to the City of Wylie so as to be under the supervision of the City
of Wylie Investment Officer as required by law. The remaining issue is whether to maintain a
portion of the WEDC's surplus funds with a local bank or to maximize return on investment by
placing the same funds into the TexPool municipal investment account. To receive an opinion
from a representative of a local banking institution, Mr. Ray Turner, President of Provident Bank,
was asked to speak on this issue.
Mr. Turner spoke to two points of view: maximizing return on investment and using investments
to benefit the individuals funding the WEDC. Strictly as a banker, Mr. Turner recommended
pursuing the highest interest rate available which conforms with the guidelines of the City of
Wylie Investment Policy. As a banker in a community which supports the efforts of the WEDC
through a one-half cent sales tax, Mr. Turner recommended "practicing what you preach". In
other words, the WEDC encourages local businesses to expand and invest in the Wylie
community; it may be perceived by the community that the WEDC is spending local tax dollars
outside the community. The logic behind investing locally is that those dollars are in turn used to
fund projects that benefit the local economy.
The WEDC Board of Directors instructed staff provide a corporate resolution transferring the
management of WEDC investments to the City of Wylie, and work with the City of Wylie
Investment Officer to establish an interlocal agreement which specifically defines the roles of the
WEDC and City of Wylie in the investment of WEDC funds. The Board also directed staff to
provide several scenarios under which the WEDC will maintain a significant level of funds
invested locally as well as a presence in TexPool.
ITEM NO. 3 - Staff Reports.
Staff discussed issues surrounding Wylie Machine, CPI Communications, Best Technology,
Insight Research Corporation, and Kansas City Southern Railway. The Board also discussed a
dispute between property owners within 544 Industrial Park. The Board instructed staff to work
with the two property owners in question so as to determine if any resolution can take place.
WEDC -Minutes
May 20, 1997
Page 3
ITEM NO. 4 - Executive Session.
Hold Executive Session under Section 551.072 Deliberation about Real
Property Regarding Restaurant Development within the City of Wylie.
ITEM NO. 5 - Discuss and Consider Approval of the March, 1997 Treasurer's Report for
the Wylie Economic Development Corporation.
MOTION: A motion was made by J.C. Worley and seconded by Merrill Young to
approve the March, 1997 Treasurer's Report for the Wylie Economic
Development Corporation. The WEDC Board of Directors voted 4 - FOR
and 0 - AGAINST in favor of the motion.
ITEM NO. 6 -Adjourn.
There being no further business, the meeting was adjourned at 5:05 p.m.
ohhn Y ger, President
Attest:
Samuel D.R. Satterwhite
Executive Director