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HomeMy WebLinkAbout12/05/1995 MEDC MINUTES OF THE MUNICIPAL ECONOMIC DEVELOPMENT CORPORATION HELD ON DECEMBER _5, 1995 A meeting of the Municipal Economic Development Corporation Board of Directors for the City of The Colony, Texas was called to order at 6:40 p.m. on the 5th day of December, 1995, at The Colony Chamber of Commerce. The following persons were in attendance: Gary McClure, President David Stanwick, Vice President Jerry Sebastian, Secretary Ronnie Fischer, Treasurer Tommy Thompson, Executive Vice President Mary Watts, Executive Vice President Lori Harlan, City Staff Liaison, Director of Economic Development 1. CONSIDERATION OF A PROPOSAL FROM WORTH BLAKE & ASSOCIATES FOR THE ECONOMIC DEVELOPMENT PORTION OF THE COMPREHENSIVE LAND USE PLAN President McClure provided an overview of the comprehensive land use planning process the city is currently conducting, including the usefulness of an economic development portion of that plan. Ms. Harlan provided copies of a proposal from Worth Blake & Associates to lead in the formation of the economic development plan. Board members discussed whether a consultant is the best way to produce the plan or if the board could work with other community entities to formulate the plan. Ms. Watts stressed the importance of the economic development plan to the overall Comprehensive Land Use Plan. The cost of such a study was briefly discussed, and Ms. Harlan stated that it was her understanding the money would come from money already set aside for the overall plan and not the EDC's operating budget. Board members decided to use the weeks prior to the next meeting to review Mr. Blake's proposal and return with any questions on December 19. 2. DISCUSSION CONCERNING ONGOING NEGOTIATIONS WITH PENINSULA GOLF PARTNERS President McClure provided an overview of the December 1 negotiating session that was attended by Peninsula Golf, Matthews Southwest, President McClure, Mr. Thompson and Ms. Harlan. Mr. Thompson stated he felt it was necessary to fully clarify each issue considered highly important and provide that information to Peninsula Golf in writing to allow them to respond as specifically to the EDC's request as possible. There was discussion concerning course greens fees, walkability, percent of course revenue, out-of-pocket expenses, land sublease and concession payments, and "back end loading" upon the sale of the course. Board members clarified issues such as the minimum amount Peninsula Golf must pay the city on an annual basis to cover the lease of the land upon which the project will be built. It was decided to ask Peninsula Golf for exact specifications on course greens fees, percent of course revenue, and the back-end loading of the sale of the property. A decision was made to term the $100,000 guaranteed yearly income from the course a land sublease fee. Therefore, that amount begins on the date the concession agreement is signed. The EDC will require the first lease payment upon the signing of the concession agreement, prorated to the end of the city's accounting period, September 30. Subsequent lease payments of $100,000 annually will be due on the first day of the annual accounting period, October 1. Within 120 days after the close of each lease year, Peninsula Golf shall deliver to the EDC a CPA certified complete statement showing gross greens fees, golf cart rentals, driving range fees, merchandise sales, food & beverage sales, etc. during the preceding lease year and make an additional payment, if any, due for the year based on percentages stated in the concession agreement. The board also discussed a desire to have an EDC member of the board of directors of the course in a non-voting, informational capacity. There would be no need for that board member to vote on matters because any changes in services provided by the course as stated in the concession agreement must be approved by the EDC. Ms. Harlan will compile the EDC's position on the above matters and forward that document to Peninsula Golf. A response will be requested prior to the next EDC meeting to allow the EDC to respond at that time. + The next meeting of the Economic Development Corporation will be Tuesday, December 19, 1995. The meeting was adjourned at 8:40 p.m. Lori Har an, Director of Economic Development