HomeMy WebLinkAbout11/09/05 EDC
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MINUTES
THE COLONY ECONOMIC DEVELOPMENT CORPORATION
REGULAR BOARD MEETING
CITY HALL
NOVEMBER 9, 2005
The Regular Session of The Colony Economic Development Corporation of the City of
The Colony, Texas, was called to order at 7:02 p.m. on the 9th day of November 2005, at
the City Hall Conference Room with the following roll call:
Board Members:
Bob Norris, President
Al Garcia, Vice President
Kevin Greene, Treasurer
Rick Casterline, Member
Paul Koenig, Member
Perry Schrag, Council Liaison
Present
Absent (business)
Absent
Present
Present
Absent
Staff Members Present:
Tom Terrall, Director of Economic Development
Cindi Lane, Economic Development Specialist
Rebecca Koo, Director of Finance
And with three voting members present, a quorum was established and the following
items were addressed:
Item 1.1. Pledge of Allegiance: President Bob Norris led in the Pledge of Allegiance.
Item 4.2. Discussion and appropriate action regarding the amount of money to be
funded by Certificates of Obligation and amount to be funded directly from
the EDC fund balance to pay for the Jackson-Shaw incentives for Cascades
at The Colony: Mr. Terrall explained that the board has two decisions to make
for this agenda item. First they need to decide how much money to fund for
incentives using Certificates of Obligation and how much incentive money to pay
with cash. Rebecca Koo explained the debt service scenarios and gave out an
additional handout of debt service schedules. She explained the timing for the
City's schedule for issuing the certificates. The board had a lengthy discussion
going through several options. They went through several scenarios discussing
how to make the best use of the bonds verses having more cash in the bank to use
for future incentives and whether it would be better to use more of to day's money
or obtain future certificates of obligation should the need arise. They also looked
at the possibility of issuing the certificates a month before the City issues theirs
and decided it would cost them more to do a separate issuance. They also
discussed whether or not it would be better to pay interest only for a period of
years versus principal and interest, and weighted the advantages and
disadvantages, the known and the unknown. Rick Casterline made a motion to
fund $2.875 million plus the issuance cost with debt and $803,000 with cash. Paul
Koenig seconded the motion and the motion carried will all members voting in
favor. Mr. Casterline made a motion to structure the debt to pay interest only for
the first three years and pay principal and interest after that for the remaining 17
years of the note. Mr. Koenig seconded the motion and the motion carried with all
members voting in favor.
Item 4.3. Discussion and appropriate action regarding the timing of issuance of
Certificates of Obligation to fund the incentive payments to Jackson-Shaw
for Cascades at The Colony: Discussion of this item was made as part of the
Item 4.2 discussion. Mr. Casterline made a motion to issue debt the same time as
the City. Mr. Koenig seconded the motion and the motion carried with all
members voting in favor.
2.0. CONSENT AGENDA
Item 2.1. Reports:
a. Cash flow projection
b. Monthly Y2 Cent Sales Tax graph
c. Tax Allocation Summary for October
d. Summary of current activity regarding development
e. Marketing update
f. Report on DFW Marketing Team Steering Committee - CoreNet Las
Vegas
g. Report ofICSC Texas Idea Exchange Nov 1-4
(a) Tom Terrall reported that sales tax in October was almost $11,000 ahead of
budget. He also pointed out that the line items referring to The Cascades debt
service and cash payments would be updated as a result of the debt issuance
structure and latest figures. (b) October sales tax was 22% higher than the base
year. (c) The allocation summary is there for the board members to compare our
tax revenues with those of other cities. (d) Mr. Terrall reported that there was
nothing new to report since last month. (e) Cindi Lane reported the website
statistics, gave a report on current magazine ads, and gave an update of the
web site status. (f) Mr. Terrall reported that the CoreNet event in Las Vegas turned
out extremely well. There were an estimated 3,000 attendees at the conference
and approximately 1,000 visited the DFW area of the ballroom. They collected
200 business cards of people to follow up with. He said there are 34 area city
members of the DFW Marketing Team. (g) Mr. Terrall reported that this year's
Texas Idea Exchange was the most attended so far. There were approximately
2,500 attendees and 200 exhibitors at the show. He gave a rundown of the events
and discussed a retailer book that lists which retailers are expanding to Texas and
what demographics and sizes they are looking for. It is a great book for matching
companies with properties and demographics. The Colony EDC exhibited at the
EDC Minutes November 92005, Page 2
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tradeshow for the first time. Several people stopped by and follow up
correspondence will be mailed.
Item 2.2. Approval of the minutes of the regular board meeting October 12, 2005:
President Norris asked if there were any corrections, changes or additions that
anyone would like to make and there were none. Mr. Casterline made a motion to
approve the minutes as written and the minutes were approved.
3.0 PUBLIC COMMENTS
3.1. Public Input: There was no public input.
4.0 REGULAR AGENDA
Item 4.1. Discussion and appropriate action regarding changing meeting day: The
board felt that this was a moot point and said it would be fine to leave the meeting
day where it is.
Item 4.4 EXECUTIVE SESSION as authorized by section 551.087 of the Local
Government Code regarding Economic Development, to-wit:
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A. 4A shall convene into a closed executive session pursuant to section 51.087
of the TEXAS LOCAL GOVERNMENT CODE To deliberate an
amendment to an incentive agreement for a business prospect: There was
no executive session held.
Item 4.5: Consideration of appropriate action to be taken as a result of executive
session:
A. There was no action taken.
President ~orris adjourned the 4A board at 8:22 p.m.
. ~'~ ~~r:&~
Cmdl Lane '---Robert E. Noms
Economic Development Specialist President
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EDC Minutes November 9 2005, Page 3