03-17-1998 (WEDC) Minutes Minutes
WYLIE ECONOMIC DEVELOPMENT CORPORATION
Tuesday, March 17, 1998
Board Members Present:
Marvin Fuller
Kevin St. John (arrived at 3:00 p.m.)
J.C. Worley
Merrill Young
Staff Present:
Samuel Satterwhite, Executive Director
Others Present:
Mike Collins, City Manager
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 March 17, 1998 in the Board Room of the Wylie Chamber
of Commerce at 108 W. Marble St., Wylie, Texas.
The meeting was called to order by Vice President Worley at 2:30 p.m.
ITEM NO. 1 -Discuss and Consider Approval of Minutes for the January 28, 1998 Regular
Board of Directors Meeting of the Wylie Economic Development Corporation.
MOTION: A motion was made by Marvin Fuller and seconded by Merrill Young to
approve minutes for the January 28, 1998 Regular Board of Directors
Meeting of the Wylie Economic Development Corporation. The WEDC
Board of Directors voted 3 - FOR and 0 - AGAINST in favor of the
motion.
ITEM NO. 2 - Discuss and Consider Approval of Minutes for the February 13, 1998
Regular Board of Directors Meeting of the Wylie Economic Development Corporation.
MOTION: A motion was made by Marvin Fuller and seconded by Merrill Young to
approve minutes for the February 13, 1998 Regular Board of Directors
Meeting of the Wylie Economic Development Corporation. The WEDC
Board of Directors voted 3 - FOR and 0 - AGAINST in favor of the
motion.
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March 17, 1998
Page 2
ITEM NO. 3 - Discuss and Consider Approval of Minutes for the February 23, 1998
Regular Board of Directors Meeting of the Wylie Economic Development Corporation.
MOTION: A motion was made by Marvin Fuller and seconded by Merrill Young to
approve minutes for the February 23, 1998 Regular Board of Directors
Meeting of the Wylie Economic Development Corporation. The WEDC
Board of Directors voted 3 - FOR and 0 - AGAINST in favor of the
motion.
ITEM NO. 4 - Discuss and Consider Approval of the January, 1998 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 January, 1998 Treasurer's Report for the Wylie Economic
Development Corporation. The WEDC Board of Directors voted 3 - FOR
and 0 - AGAINST in favor of the motion.
ITEM NO. 5 - Discuss and Consider Approval of the February, 1998 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 February, 1998 Treasurer's Report for the Wylie Economic
Development Corporation. The WEDC Board of Directors voted 3 - FOR
and 0 - AGAINST in favor of the motion.
ITEM NO. 6 - Discuss and Consider the Reorganization of the Wylie Chamber of
Commerce.
Mr. Mike Collins, Chamber of Commerce Vice-President, updated Board members on progress
made by the Chamber to finalize reorganization plans. The Board emphasized that a formal plan
must be presented to the WEDC prior to finalization. Mr. Collins assured the Board that WEDC
staff would receive the documents requested.
ITEM NO. 7 - Discuss and Consider Providing Natural Gas Service to Premier Business
Park.
Staff presented the Board with a Gas Main Extension Contract which will extend a 4 inch gas
line from the intersection of Sanden Blvd. and F.M. 544 a total distance of 4,520 feet servicing
Premier Business Park. The total project cost is $43,335 which will be funded by the WEDC.
This extension will immediately serve CPI Communications, Hoffman Blast Room Equipment,
and the City of Wylie Service Center. From the time the extension is completed and continuing
for five years, the WEDC will be reimbursed for every user attaching to this line a sum of$7.30
for each Mcf of gas consumed during a 12 month period. Lone Star Gas Company will issue this
reimbursement once for each user. Based upon estimates of natural gas use for CPI and Hoffman
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March 17, 1998
Page 3
alone, the WEDC will be reimbursed $10,000 to $15,000 at the end of the contract. Completion
of the extension has been estimated at 3 months and will coincide with completion of CPI and
Hoffman.
Board members agreed that providing gas to Premier will complete the goal of providing a full-
service business park to industries considering relocating/expanding in the Wylie community.
MOTION: A motion was made by Kevin St. John and seconded by Merrill Young to
approve a Gas Main Extension Contract between the WEDC and Lone
Star Gas Company with a project cost of$43,335, further authorizing the
WEDC Executive Director to execute said contract. The WEDC Board of
Directors voted 4 - FOR and 0 - AGAINST in favor of the motion.
ITEM NO. 8 - Discuss and Consider the Payment of a Referral Fee to Mr. James Blakey,
Century 21 - The Castle Company.
Staff presented the Board with a letter written to Mr. James Blakey on May 12, 1997. This letter
discussed a brokerage agreement between the WEDC and Mr. James Blakey of Century 21 - The
Castle Company. The agreement stated that should Mr. Blakey refer a prospect to the WEDC
and that prospect relocates to Wylie, The Castle Co. will receive 6% of market value for the land
sold to said prospect. Board members discussed that this type of agreement is necessary to
encourage real estate brokers to show WEDC property to prospects even though the sales price
may be $0.00.
This agreement was reviewed specifically as per its impact on the recent closing between the
WEDC and Hoffman Blast Room Equipment for 1.75 acres within Premier Business Park.
Based upon an estimate of $1.00 per square foot, Mr. Blakey is eligible for a commission of
$4,573.80. While the Board was unanimous in its decision to honor the agreement in place, a
concern for future brokerage agreements was made.
The Board believed that a simple introduction should not constitute a 6% commission.
Furthermore, typical referral fees, or sellers fee, is 3% at a maximum. The Board instructed staff
to draft a brokerage agreement for the Board's review which specifies different levels of
commission for services rendered by a broker.
MOTION: A motion was made by Kevin St. John and seconded by Merrill Young to
approve the payment of a commission to Century 21 - The Castle
Company in the amount of $4,573.80. The WEDC Board of Directors
voted 4 - FOR and 0 - AGAINST in favor of the motion.
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March 17, 1998
Page 4
ITEM NO. 9 - Discuss and Consider Issues Surrounding Legal Representation for the
Wylie Economic Development Corporation.
Staff reviewed with the Board issues surrounding WEDC legal representation over the past eight
years. Staff indicated that for the past two years, Mr. Steve Clemons of Vail, Hamilton, Koch &
Knox has represented the WEDC. Mr. Clemons has been supervised by a Vail, Hamilton
Partner, Mr. Mark Houser. Mr. Clemons has left Vail, Hamilton to work for David, Goodman, &
Mandole, P.C. Staff stated that a positive working relationship has been established with Mr.
Clemons and requested that the WEDC enlist his services over those of Vail, Hamilton.
MOTION: A motion was made by Kevin St. John and seconded by Marvin Fuller to
hire the law firm employing Mr. Steve Clemons, Esq., to serve in the
capacity of attorney to the WEDC effective as of March 17, 1998,
providing that legal fees remain $125.00 per hour, subject to annual
adjustments. The WEDC Board of Directors voted 4 - FOR and 0 -
AGAINST in favor of the motion.
ITEM NO. 10 - Staff Reports.
Staff discussed issues surrounding Moulding Associates, Inc. potential relocation to Premier
Business Park, Project First Response and the ongoing search for an Administrative Assistant to
the WEDC.
ITEM NO. 11 - Citizen Participation.
There being no citizen participation, Vice President Worley proceeded to Item No. 12.
ITEM NO. 12 -Adjourn.
There being no further business, the meeting was adjourned at 4:22 p.m.
J.C. Worley, Vice President
Attest:
Samuel D.R. Satterwhite
Executive Director