12-18-1997 (WEDC) Minutes Minutes
WYLIE ECONOMIC DEVELOPMENT CORPORATION
Thursday,December 18, 1997
Board Members Present:
Marvin Fuller(arrived 12:41)
Kevin St. John
J.C. Worley
John Yeager
Merrill Young
Staff Present:
Samuel Satterwhite, Executive Director
Vicky Cross, Administrative Assistant
Others Present:
Mr. Eric Thomas, President, Hoffman Blast Room Equipment
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 December 18, 1997 in the Board Room of the Wylie
Chamber of Commerce at 108 W. Marble, Wylie, Texas.
The meeting was called to order by President John Yeager at 12:13 p.m.
ITEM NO. 1 - Discuss and Consider Approval of Minutes for the December 9, 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 December 9, 1997 Regular Board of Directors
Meeting for the Wylie Economic Development Corporation. The WEDC
Board of Directors voted 4 - FOR and 0 - AGAINST in favor of the
motion.
ITEM NO. 2 - Discuss and Consider Approval of the November, 1997 Treasurer's Report
for the Wylie Economic Development Corporation.
MOTION: A motion was made by Merrill Young and seconded by J.C. Worley to
approve the November, 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.
WEDC -Minutes
December 18, 1997
Page 2
ITEM NO. 3 - Discuss and Consider the Relocation of L.G. Motorsports, to Century
Business Park.
Staff presented the Board with the following documents drafted to implement an incentive
package between the WEDC and Lou Gigliotti: a Loan Agreement, Real Estate Lien Note, Deed
of Trust, Authorization Resolution, and Secretary's Certificate of Adoption. Staff informed the
Board that Lou Gigliotti intends to close on January 31, 1997.
While the Board was pleased that L.G. Motorsports was relocating to Wylie, a secondary benefit
to this project is that L.G. is going to be the first lot developed within Century Business Park
which has remained undeveloped for the past ten years. It is believed that this development may
spur growth within the Park.
MOTION: A motion was made by Marvin Fuller and seconded by Kevin St. John to
approve all agreements and documentation required to effectuate the
Corporations' incentive proposal with L.G. Motorsports. The WEDC
Board of Directors voted 5 - FOR and 0 - AGAINST in favor of the
motion.
MOTION: A motion was made by Kevin St. John and seconded by J.C. Worley to
authorize John Yeager, Chairman of the Board of the Wylie Economic
Development Corporation, to execute all agreements and documentation
required to effectuate the Corporations' incentive proposal with Mr. Lou
Gigliotti and L.G. Motorsports. The WEDC Board of Directors voted 5 -
FOR and 0 - AGAINST in favor of the motion.
ITEM NO. 4 - Discuss and Consider Issues Surrounding the Relocation of Hoffman Blast
Room Equipment to Premier Business Park.
Based upon Hoffman's counteroffer from the December 9, 1997 WEDC Board of Directors
Meeting, the Board agreed that 370 feet of width is a positive compromise considering that
Hoffman will purchase the entire 934 feet in depth which will put the entire soil conservation
easement on the tax roles. The Board also agreed to loan Hoffman the entire $164,869 in
increased paving costs with $65,000 being forgiven if Hoffman is not in default on the Loan
Agreement. The balance of the loan will not be subject to forgiveness and 5% interest will be
paid on the entire $164,869 over a five year period.
Property for Phase I of the project (6,000 square foot office) will be conveyed to Hoffman
immediately with property for Phase II (28,000 square foot manufacturing facility) being
conveyed prior to a Phase II building permit being issued (within 4 months of a certificate of
occupancy issued for Phase I). If Phase I and II is not financed, the Board requires a first lien on
all property and facilities. Property for Phase I and II will be subject to possible forgiveness if
Hoffman is not in default of the Loan Agreement.
WEDC - Minutes
December 18, 1997
Page 3
The value of property was discussed by Board Members. Being that approximately 5 acres is
within the soil conservation easement and virtually unusable, the Board decided that all property
will be valued at $0.50 per square foot for purposes of the Loan Agreement.
MOTION: A motion was made by Marvin Fuller and seconded by Merrill Young to
convey approximately 1.7 acres to Hoffman for Phase I and approximately
6.2 acres for Phase II with possible forgiveness if no event of default, and
loan Hoffman up to $164,869 for increased paving costs at 5% interest
based upon the paving design within the concept site plan with possible
forgiveness of$65,000 with the balance being due and payable equally in
years 3, 4, and 5 of the Loan Agreement. The WEDC Board of Directors
voted 5 - FOR and 0 - AGAINST in favor of the motion.
ITEM NO. 5 - Discuss and Consider Issues Surrounding the Expansion of American
Molds.
Board members were informed that following much consideration and several meetings with
staff, Mr. Wallace decided to begin a 17,000 square foot expansion at his current location. The
new facility will be 100% masonry and create 12 new jobs. Board members discussed the extent
the WEDC can provide financial aid to expand sewer capabilities of the site. Staff informed
Board members of a meeting on Wednesday, with Community Development representatives and
the City Manager's Office to discuss the specifics of this expansion.
ITEM NO. 6- Staff Reports
Staff discussed issues surrounding CPI Communications, the reorganization of the Wylie
Chamber of Commerce, Aluma Graphics, Accurate Automatic, and potential staff changes within
the WEDC (Administrative Assistant).
ITEM NO. 7- Citizen Participation
There being no citizen participation, President Yeager proceeded to Item No. 8.
ITEM NO. 8 - Adjourn
There being no further business, the meeting was adjourned at 2:06 .m.
, IC
John Y ager, President
Attest:
Samuel D.R. Satterwhite
Executive Director