HomeMy WebLinkAboutOrdinance No. 2011-1926CITE' OF THE COLONY, TEXAS
ORDINANCE NO. 2011-1926
WHEREAS, the City of The Colony, `texas (the "City"), pursuant to Chapter 311 of the
Texas Tax Code, as amended (the "Act"), may designate a geographic area within the City as a tax
increment reinvestment zone if the area satisfies the requirements of the Act; and
WHEREAS, pursuant to and as required by the Act, the governing body of the City (the
"City Council") prepared a Preliminary Reinvcyttnent Zone Financing Plata fior Tax Increment
Reinvestment Zone Number One, City c?f The Colony, Texas, dated November 8, 2011, approved by
Ordinance No. 20111-1925 adopted November 8, 2011 (the "Preliminary Finance Plan") for a
proposed tax increment reinvestment zone containing the approximately 433 acres described and
depicted on Exhibit A attached hereto and incorporated herein for all purposes (the "Pry and
WHEREAS, notice of the public hearing on the creation of the proposed zone was published
in the official newspaper of the City on October 27, 2011, which date is not later than the seventh
(7i1') day before the public hearing held on November 8, 2011; and
WHEREAS, at the public hearing on November 8, 201.1, interested persons were allowed to
speak for or against the creation of the zone, the boundaries of the zone, and the concept of tax
increment financing, and owners of property in the proposed zone were given a reasonable
opportunity to protest the inclusion oftheir property in the zone; and
WHEREAS, evidence was received and presented at the public hearing in favor of the
creation of the zone; and
WHEREAS, the City has taken all actions required to create the zone including;, but not
limited to, all actions required by the home-rule Charter of the City, the Act, the Texas Open
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Meetings Act, and all other laws applicable to the creation of the zone; and
WHEREAS, the total appraised value of taxable real property in the proposed zone and all
other tax increment reinvestment zones previously created by the City is $ 663,603.00, and
WHEREAS, the City desires to appoint initial members to the board of directors of the zone,
and
WHEREAS, terms used in this Ordinance that have their initial letters capitalized shall have
the meanings given to them in this Ordinance; however, terms that are CAPITALIZED IN BOLD
shall have the meanings given to them in the Preliminary Finance Plan..
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF THE COLONY, TEAS.
SECTION 1. FINDINGS.
(a) The recitals, findings, and determinations contained in the preamble to this Ordinance
are incorporated into the body of this Ordinance as if fully set forth in this Section and are hereby found.
and declared to be true and correct legislative findings and are adopted as part of this Ordinance for all
purposes..
(b) The City Council finds that the TIF PROJECTS will significantly enhance the value
of all the taxable real property in the zone and will be of general benefit to the City.
(c) The City Council finds that the proposed zone meets the requirements of Section
311.005(a)(2) of the Act because the proposed zone is predominately open and undeveloped, because
of factors such as the need for essential public infi-astructure, and because of the need for economic
development programs to attract new business and commercial activity to the proposed zone for the
purposes of increasing the real property tax base for all taxing units within the zone, increasing sales
and use taxes for the City and the State of Texas, and increasing job opportunities for residents of the
City and the region, which substantially impairs and arrests the sound growth of the City.
(d) The City Council finds that the proposed zone is a geographic area located wholly
within the corporate limits of the City,.
(e) The City Council finds that not more than thirty percent (30%) of the property in the
proposed zone, excluding property that is publicly owned, is used for residential purposes, and the
total appraised value of taxable real property in the proposed zone does not exceed fifty percent
(50%) of the total appraised value of taxable real property in the City and in the industrial districts
created by the City.
(f) The City Council finds that the development or redevelopment of the property in the
proposed zone will not occur solely through private investment in the reasonably foreseeable future.
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(g) The City Council finds that the Preliminary Finance Plan is feasible.
(h) The City Council finds that the implementation of the Project and Finance Plan (as
defined below) will alleviate the conditions described in Section 1(c) above will serve a public
purpose.
SECTION 2. DESIGNATION AND NAME OF THE ZONE. Pursuant to the authority of, and in
accordance with the requirements of, the Act, the City Council hereby designates the Property as a
tax increment reinvestment zone. The name assigned to the zone for identification is Tax Increment
Reinvestment Zone Number One, City of The Colony, Texas (the "Zone"). The Zone is designated
pursuant to Section 311.005(a)(2) of the Act.
SECTION 3. BOARD OF DIRECTORS,
3.1 The City Council hereby creates a board of directors for the Zone (the "Board")
consisting of nine members. Seven members shall be appointed by the City Council, and the
remaining two members shall be appointed by the Commissioners Court of Denton County, Texas
(the .`County") if the County participates in the Zone. If the County does not participate in the Zone
or the Commissioners Court does not appoint one or both of its inernbers by November 22, 2011, the
City Council shall appoint one or both members not appointed by the Commissioners Courts and, if
the County does not participate in the Zone, then the Commissioners Court shall be deemed to have
waived its right to appoint such members in the future,
3.2 The City Council hereby appoints the seven individuals listed on Ea-hihit B attached
hereto and incorporated herein for all purposes to serve as the initial members of the Board for the
terms indicated, Upon expiration of the indicated terms, subsequent appointments to till vacancies
shall be for terms of two years. Annually the City Council shall appoint a member to serve as the
chairman of the Board for a one-year term. The Board is authorized to elect a vice-chainnan and
other officers as determined by the Board. The City Council shall fill vacancies for director positions
appointed by the City Council. The Commissioners Court shall fill vacancies for director positions
appointed by the Commissioners Court.
33 The Board shall make recommendations to the City Council concerning the
administration, management, and operation of the Zone. The Board shall prepare or cause to be
prepared and adopted a project plan and a reinvestment zone financing plan for the Zone (the
"Project and Finance Plan") as required by the Act, and shall submit the Project and Finance Plan to
the City Council for approval, The City Council hereby delegates to the Board all powers necessary
to implement the Project and Finance Plan as approved by the City Council, including the power to
employ consultants and enter into agreements that the Board considers necessary or convenient to
implement the Project and Finance Plan and to administer, operate, and manage the Zone including,
but not limited to, the power to enter into reimbursement agreements and other obligations secured
by the Tax Increment Fund established pursuant to Section 6 of this Ordinance.
3.4. Pursuant to Section 311.010(h) of the Act and Article 111, Section 52-a of the Texas
Constitution, the City Council hereby authorizes the Board, as necessary or convenient to implement
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the Project and Finance Plan and achieve its purposes, to establish and provide for the administration
of one or more programs for the public purposes of developing and diversifying the economy of the
Zone, eliminating unemployment and underemployment in the Zone, and developing or expanding
transportation, business, and commercial activity in the Zone, including programs to mare grants of
land and buildings and make grants from the Tax Increment Fund for activities that benefit the Zone
and stimulate business and commercial activity in the Zone. In addition, the City Council hereby
authorizes the Board to exercise all of the powers of the City under Chapter 380, Texas Local
Government Code, as amended.
3.5 Directors shall not receive any salary or other compensation for their services as
directors.
SECTION 4. DURATION OF THE ZONE. The Zone shall take effect immediately upon the
passage and approval of this Ordinance. The Zone shall tenninate on the earlier of (1) the 40t1a
anniversary of the date the City collects its first sales tax dollar within the Zone and attributable to
the FACILITY, or (ii) the date on which all TIF PROJECT COSTS have been paid or funded and
all TIF OBLIGATIONS, including interest thereon, have been paid in full.
SECTION 5. TAX fNCREM ENT BASE. The "tax increment base" for purposes of calculating the
TAX INCREMENT and COUNTY TAX INCREMENT means the total appraised value of all
real property in the Zone that is taxable by the City and the County, respectively, as of January 1,
2011. The "sales tax base" for purposes of calculating the CITE? SALES TAX INCREMENT
means the amount generated from the City's municipal sales and use tax at the rate of one percent
(1 attributable to the Zone as of January I, 2011.
SECTION 6. TAX INCREMENT FUND. There is hereby created and established a TAX
INCREMENT FUND for the Zone. Within the TAX INCREMENT FUND, there may be
maintained subaccounts as necessary and convenient to carry out the purposes of the Act, including a
";Tax Increment Subaccount," "City Sales Tax Increment Subaccount," a "Tax Increment Bond
Proceeds Subaccount," a "Sales Tax Increment Bond Proceeds Subaccount," and a "Property Sale
Subaccount." The TAX INCREMENT, and COUNTY TAX INCREMENT, shall be deposited
into the Tax Increment Subaccount of the TAX INCREMENT FUND, and the CITE' SALES TAX
INCREMENT shall be deposited into the City Sales Tax Increment Subaccount of the TAX
INCREMENT FUND, as of the effective date of the Zone. The TAX. INCREMENT FUND and
all subaccounts shall be maintained at the depository bank of the City and shall be secured in the
manner prescribed by law for funds of Texas cities. Prior to termination of the Zone, funds shall be
disbursed frorn the TAX INCREMENT FUN only to pay TIF PROJECT COSTS, TIF
OBLIGATIONS, to make payments pursuant to an agreement made under Section 311.010(b) of
the Act dedicating revenue from the TAX INCREMENT FUND, or to repay other obligations
incurred by the Zone.
SECTION 7. SEVERABILITY. If any provision, section, subsection, sentence, clause or phrase of
this Ordinance, or the application of same to any person or set of circumstances, is for any reason
held to be invalid, the validity of the remaining provisions of this Ordinance or their- application to
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other persons or sets of circumstances shall not be affected thereby, it being the intent of the City
Council in adopting this Ordinance that no provision of this Ordinance shall become inoperative
because of the invalidity of another provision; and, therefore, all provisions of this Ordinance are
declared severable for that purpose.
SECTION S. OPEN MEETINGS. It is hereby found, determined, and declared that sufficient
written notice of the date, hour, place and subject of the meeting of the City Council at which this
Ordinance was adopted was posted at a place convenient and readily accessible at all times to the
general public at the City Hall of the City for the time required by law preceding its meeting, as
required by the Texas Open Meetings Act, Chapter 551 of the Texas Government Code, as amended,
and that this meeting has been open to the public as required by law at all times during which this
Ordinance and the subject matter hereof has been discussed, considered and formally acted upon.
The City Council further ratifies, approves and confirms such written notice and the contents and
pasting thereof.
SECTION 9. EFFECTIVE DATE. This Ordinance shall take effect immediately upon its passage
as provided bylaw.
PASSED AND APPROVED BY E CITY COUNCIL OF THE CITY OF THE COLONY,
'T'EXAS, THIS THE 8I'll DAY OF NOVEMBER, 2011.
f ( 4
Christie Wilson, City Secretary
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Exhibit A
Metes and Bounds Description of Pro er within
Reinvestment Zone Number One, City t>~f Tice Colony Texas
LEGAL DESCRIPTION
TRACT 1
BEING a 5.02 acre tract of land situated in the B.B.B. C.R. Survey, Abstract No. 173, City of
The Colony, Denton County, Texas, and being part of a tract of land described as Tract Il as
conveyed by deed to Maharishi Global Development Fund, as recorded in Volume 4555, Page
281, Official Public Records, Denton County, Texas. Said 5.02 acre tract of land being more
particularly described by metes and bounds as follows:
BEGINNING at a found 5/8 inch iron rod with KHA cap for corner, being the intersection of the
south right-of-way line of State Highway 121 (a variable width R.O.W.) and the southwest right-
of-way line of Plano Parkway (a 100 foot R.O.W.), and being the beginning of a non-tangent
curve to the left having a radius of 1050.00 feet, a central angle of 50°34' 13" and a long chord
which bears South 64°23'31" East, 896.96 feet,
THENCE southeasterly, along said southwest right-of-way line of Plano Parkway and said non-
tangent curve to the left, an are distance of 926.75 feet to a point for colder, being in the north
line of a tract of land conveyed by deed to CB/Tittle, Ltd., as recorded in Instrument No. 99-
R0007181, Official Public Records, Denton County, Texas,
THENCE South 89°58'40" West, leaving said southwest right-of-way line and following along;
said north line of CB/Tittle tract, at a distance of 1009.25 feet passing the northeast corer of a
tract of land described as Tract F3, as conveyed by deed to Castle Hills Property Company, as
recorded in Instrument No. 2006-153339, Official Public Records, Denton County, Texas, and
continuing with the north line of said Castle Hills Property Company tract, for a total distance of
1210.45 feet to a point for corner;
THENCE North 00°25' 18" West, with the northernmost east line of said Castle Hills Property
Company tract, at a distance of 97.47 feet passing the northernmost corner, and continuing with
said south right-of-way line of State Highway 121, for a total distance of 226.47 feet to a point
for corner,
THENCE continuing with said south right-ofway line of State Highway 121 as follows:.
North 63°32'06" East, for a distance of 130.52 feet to a point for corer;
North 60°22'33" East, for a distance of 80.86 feet to a point for corner,
South 29°13'03" East, for a distance of 50.00 feet to a point for corner;
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North 60°4738" East, for a distance of 219.64 feet to the POINT OF BEGINNING and
CONTAINING 218,740, square feet or 5.02 acres of land, more or less.
LEGAL DESCRIPTION
TRACT 2
BEING a 377.68 acre tract of land situated in the Thomas A. West Survey, Abstract No. 1344,
the B.B.B, & C.R. Survey, Abstract No. 173, the B.B.B. & C.R. Survey, Abstract No. 174 and
the M.D.T. Hallmark Survey, Abstract No. 570, City of The Colony, Denton County, Texas,
being part of a tract of land described as Tract I as conveyed by deed to Maharishi Global
Development Fund, as recorded in Volume 4555, Page 281, Official Public Records, Denton
County, Texas, being part of a called 122.8106 acre tract of land conveyed by Correction Deeds
to Crow-Billingsley UMF Plano, Ltd., as recorded in Instrument No. 2004-44212, 2004-44213,
2004-44214 and 2004-44218, Official Public Records, Denton County„ Texas, and being a part of
McKamy Road (an unrecorded right-of-way) SAVE AND EXCEPT those certain tracts of land
conveyed in deeds recorded in Volume 5366, Page 977, Instrument No. 2006-49955, 2006-49957
and 2006-75193, Official Public Records, Denton County, Texas. Said remaining 377.68 acre
tract of land being more particularly described by metes and bounds as follows:
BEGINNING at a found TxDot brass cap in concrete for the northeast corner of said 377.68 acre
tract, being the intersection of the south right-of-way line ofSarn Rayburn Tollway (State
Highway 121) (a variable width R.O.W.) and the west right-of way line of Burlington Northern
Railroad (a 100 foot R.O.W. at this point);
THENCE continuing with said west right-of-way line of Burlington Northern Railroad as
follows:
THENCE South 06°59'58" East, for a distance of 832.17 feet to a point for corner, being
the beginning of a tangent curve to the right having a radius of 3703.75 feet, a central
angle of 13°04'33" and a long chord which bears South 00°27'4'x" East, 843.42 feet;
THENCE southeasterly, along said curve to the right, an arc distance of 845.26 feet to a
point for corner;
THENCE South 06°04'35" West, for a distance of 2524.64 feet to a point for corner;
THENCE North 83°17'00" West, for a distance of 190.16 feet to a point for corner,
THENCE South 00°51'51 " East, for a distance of 970.10 feet to a point for corner;
THENCE South 89°03'50" West, for a distance of 31.58 feet to a point for corner;
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THENCE South 01'14'37" East, for a distance of 448,38 feet to a point for corner, being
the northeast corner of a tract of land conveyed by deed to Frankford Road Investors No.
1, as recorded in Instrument No. 2006-49957, Official Public Records, Denton County,
Texas;
THENCE North 87°06'22" West, leaving said west right-of-way line and following along the
north line of said Frankford Road Investors No. 1, for a distance of 1240.48 feet to a point for
corner, being in the northerly right-of-way line of Plano Parkway (a 100 foot R.O.W.), and being
the beginning of a non-tangent curve to the left having a radius of 1130.00 feet, a central angle of
103°16'58" and a long chord which bears North 38°4334" West, 1772.16 feet;
THENCE continuing with said northerly right-of-way line of Plano road as follows:
THENCE northwesterly, along said non-tangent curve to the left, an are distance of
2036.97 feet to a point for corner;
THENCE South 89°38'05" West, for a distance of 647.23 feet to a point for corner, being
the beginning of a non-tangent curve to the right having a radius of 950.00 feet, a central
angle of 40°05'36" and a long chord which bears North 70°19'29" West, 651.29 feet;
THENCE northwesterly, along said non-tangent curve to the right, an are distance of
664.77 feet to a point for corner, being the beginning of a reverse curve to the left having
a radius of 1050.00 feet, a central angle of 40'14'10" and a long chord which bears North
70°21'30" West, 722.31 feet;
THENCE northwesterly, along said reverse curve to the left, an arc distance of 737.37
feet to a point for corner;
THENCE South 89°31'25" West, for a distance of 623.83 feet to a point for conger, being
the beginning of a tangent curve to the right having a radius of 950.00 feet, a central angle
of 52°49'04" and a long chord which bears North 64°04'03" West, 845.07 feet;
THENCE northwesterly, along said curve to the right, an are distance of 875.75 feet to a point for
corner, being the most southerly point of a corner-clip with said south right-of-way line of San
Rayburn Tollway (State Highway 121);
THENCE North 08°46'31" East, along said corner-clip, for a distance of 26.03 feet to a
point for corner, being in said south right-of-way line of Sam Rayburn Toliway (State
Highway 121);
THENCE continuing with said south right-of-way line of Sam Rayburn Toliway (State
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Highway 121 ) as follows:
THENCE North 60°47'38" East, for a distance of 203.71 feet to a point for comer;
THENCE North 58°17'36" East, for a distance of 252.11 feet to a point for corner;
THENCE North 55°47'40" East, for a distance of 105.11 feet to a point for corner;
THENCE North 58°17'42" East, for a distance of 248.62 feet to a point for corner;
THENCE North 60°47`38" East, for a distance of 263.85 feet to a point for corner;
THENCE North 76°30'51" East, for a distance of 92.27 feet to a point for comer;
THENCE North 65°56'12" East, for a distance of 100.40 feet to a point for comer;
THENCE North 64°13'39" East, for a distance of 100.18 feet to a point for corner;
THENCE North 6016'36" East, for a distance of 39.88 feet to a point for comer;
THENCE South 74°1 TO1 " East, for a distance of 70.70 feet to a point for corder;
THENCE North 60°47'38" East, for a distance of 64.12 feet to a point for corner;
THENCE North 15°47'17" East, for a distance of 73.27 feet to a point for corner;
THENCE North 59°04'32" East, for a distance of 94.25 feet to a point for comer;
THENCE North 55°39'04" East, for a distance of 100.40 feet to a point for corner;
THENCE North 47°37'54" East, for a distance of 114.18 feet to a point for corner;
THENCE North 6047'38" East, for a distance of 3800.00 feet to a point for comer;
THENCE North 65°20'10" East, for a distance of 189.41 feet to a point for corner;
THENCE North 61 °56'23" East, for a distance of 100.02 feet to a point for corner;
THENCE North 63°39'23" East, for a distance of 100.12 feet to a point for comer;
THENCE North 64°47'53" East, for a distance of 100.24 feet to a point for comer;
THENCE North 66°30'16" East, for a distance of 201.00 feet to a point for corner;
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THENCE North 65°56'12" East, for a distance of 100.40 feet to a point for corner;
THENCE North 66°30'16" East, for a distance of 100.50 feet to a point for corner;
THENCE North 63°05'04-" East, for a distance of 100.08 feet to a point for corner;
THENCE North 64°13'39" East, for a distance of 100.18 feet to a point for corner,
THENCE North 83°05'27" East, for a distance of 69.58 feet to a point for corner,
THENCE North 60°39'18" East, for a distance of 33.81 feet to the POINT OF
BEGINNING and CONTAINING 16,451,919 square feet or 377.68 acres of land, more
or less.
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LEGAL DESCRIPTION
TRACT 3
BEING a 51.1. l acre; tract of land situated in the R.P. Hardin Survey, Abstract No. 611 and the
B.B.B. & C.R. Survey, Abstract No. 174, City of The Colony, Denton County, Texas, and being
all of a called 27.073 acre tract of land conveyed by deed to Sealy Spring Creek Partners, L.P., as
recorded in Instrument No. 2007-83136 and all of a called 23.990 acre tract of land conveyed by
deed to Whiteford Limited Partners, as recorded in Instrument No. 2004-132215 Official Public
Records, Denton County, Texas. Said 51.11 acre tract of land being more particularly described
by metes and bounds as follows:
BEGINNING at a found TxDot brass cap in concrete for the northeast corner of said Sealy
Spring Creek Partners tract, being the intersection of the south right-of-way line of Sam Rayburn
Tollway (State Highway 121) (a variable width R.O.W.) and the west right-of-way line of West
Spring Creek Parkway (a 160 foot R.O.W.);
THENCE South 29°24'43" East, along said west right-of-way Line of West Spring Creek
Parkway, for a distance of 265.52 feet to a point for corner, being the beginning; of a non-tangent
curve to the right having a radius of 970.00 feet, a central angle of 29°13'42" and a long chord
which bears South 14°53' 13" East, 489.48 feet;
THENCE southeasterly, along said west right-of-way line and said non-tangent curve to the right,
an arc distance of 494.83 feet to a point for corner;
THENCE South 00°22'42" East, continuing along said west right-of-fay line, for a distance of
476.17 feet to a point for conger, being the northeast corner of said Whiteford Limited Partners
tract;
THENCE South 00°23'35" East, continuing along said west right-of-way line, for a distance of
864.92 feet to a point for corner, being the northeast corner of Lot 1, Block A, Dings Ridge
Addition, Phase Three, an addition to the City of Plano, as recorded in Cabinet X, Page 450, Plat
Records, Denton County, Texas;
THENCE South 89"40'20" West, leaving; said west right-of-way line, and following along the
south line of said Whiteford Limited Partners tract and the north line of said Block A, Kings
Ridge Addition, Phase Three, being; a common line, for a distance of 1199.93 feet to a point for
corner, being the northwest corner of Lot 23 of said Block A, Dings Ridge Addition, Phase
Three, being in the east right-of-way line of Burlington Northern Railroad (a 100 foot R.O.W. at
this point), and being the beginning of a non-tangent curve to the left having a radius of 3487.75
feet, a central angle of 8°31'36" and a long chord which bears North 01°45'21" West, 518.57 feet;
THENCE northwesterly, leaving; said common line, and following along said east right-of-way
line of Burlington Northern Railroad and said non-tangent curve to the left, an are distance of
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519.05 feet to a point for corner;
THENCE North 06°43"29" Vest, continuing along said east right-of-way line, for a distance of
345.89 feet to a point for corner, being the northwest corner of said Whiteford Limited Partners
tract,
THENCE North 07°03'01 " West, continuing along said east right-of-way line, for a distance of
628.03 feet to a point for corner, being in said south right-of--way line of Saari Rayburn Tollway;
THENCE North 60°45'58" East, leaving said east right-of-way line and following along said
south right-of-way line of Sacra. Rayburn `1`ollway, for a distance of 254.35 feet to a point for
corner;
THENCE North 63°19'02" East, continuing along said south right-of-way line, for a distance of
585.96 feet to a point for corner,
THENCE North 60°52'0'9" East, continuing along said south right-of-way line, for a distance of
369.37 feet to the POINT OF BEGINNING and CONTAINING 2,226,193 square feet or 51.11
acres of land, more or less.
1775.01 0fl24003.4
Exhibit B
Board of Directors
That the following persons are hereby appointed to the Reinvestment Zone Number One, City of The
Colony, Board of Directors:
(1) Joe McCourry, Chairperson (expires December 31, 2012)
(2) Richard Boyer, (expires December 31, 2012);
(3) Troy C. Powell, (expires December 31, 2012);
(4) Tim Miller, (expires December 31, 2012);
(5) Allen Farris, (expires December 31, 2012);
(6) Joel Marks, (expires December 31, 2011);
(7) Perry Schrag, (expires December 31, 2011);
(8) Denton County Member: to be appointed by Denton County (expires December 31, 2011);
and
(9) Denton County Member: to be appointed by Denton County (expires December 31, 2011).
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