Min - Economic Development Corporation - 2017 - 01/18 - RegularALLEN ECONOMIC DEVELOPMENT CORPORATION (AEDC)
BOARD OF DIRECTORS REGULAR MEETING
WEDNESDAY, JANUARY 18, 2017
Board
Staff Guests
Michael Schaeffer
Daniel Bowman Eric Cannon
Chris Schulmeister
David Ellis Vincent Fava
Jeff Burkhardt
Tracey Cline
Joey Herald
Eileen Gonzales
Tim Litinas
Melissa Dixon
Peter Vargas
Kevin Laughlin
Call to Order and Announce a Quorum Present
With a quorum of the Board present with members Michael Schaeffer, Chris Schulmeister, Jeff
Burkhardt, Joey Herald and Tim Litinas in attendance, the Regular Meeting of the Allen Economic
Development Corporation (AEDC) Board of Directors was called to order by President Schaeffer at
6:00 p.m. on Wednesday, January 18, 2017, at the AEDC Office.
1. Approval of the Minutes of the RegUlarAEDC Board Meeting on December 12 2016
On a motion by Joey Herald, seconded by Tim Litinas, the Board unanimously approved the Minutes
of the December 12, 2016, Regular AEDC Board Meeting.
2. Approval of AEDC Financial Reports
Eric Cannon presented the AEDC financial statements for the quarter ending December 31, 2016. Dan
Bowman updated the Board on the financial documents to be presented on a monthly basis.
On a motion by Joey Herald, seconded by Jeff Burkhardt, the Board unanimously approved the AEDC
financial reports as presented.
3. Convene into Closed Executive Session: Pursuant to Texas Government Code Section 551.087'
Deliberation of Economic Development Negotiations, To Deliberate Commercial and Financial
Information and Economic Incentives for the Following and Pursuant to Texas Local Government
Code Section 551.072• Deliberation Regarding Real Provert :
a. Consider Incentives and the Purchase of Land to Support the Recruitment of Project
Skyfall
The Board convened into closed session at 6:24 p.m.
AEDC Meeting Minutes
January 18, 2017 - Page 2
Reconvene into Open Session
The Board reconvened into regular session at 7:08 p.m.
4. Actions Resulting from Executive Session
On a motion by Chris Schulmeister, seconded by Jeff Burkhardt, the Board unanimously authorized
the AEDC Executive Director to negotiate and execute the LOI and Purchase and Sales Agreement
with CyrusOne, LLC, for 25-30 acres of land at the southeast comer of Chelsea Boulevard and
Ridgeview Drive, and an Incentive Agreement based on the terms presented, and recommend the City
of Allen to provide a 50% tax abatement for ten years.
5. Approval of Economic Development Agreement with Tierpoint LLC
Dan Bowman presented the terms of the Economic Development Agreement with Tierpoint.
On a motion by Joey Herald, seconded by Jeff Burkhardt, the Board unanimously approved the
Economic Development Agreement with Tierpoint, LLC, as presented.
6. Al2Rroval of Economic Development Agreement with Finisar Corporation
Dan Bowman presented the terms of the Economic Development Agreement with Finisar.
On a motion by Tim Litinas, seconded by Jeff Burkhardt, the Board unanimously approved the
Economic Development Agreement with Finisar Corporation, as presented.
The Board meeting was recessed at 7:38 p.m. and reconvened at 7:48 p.m.
7. Approval of First Amendment to Economic Development Agreement with Intelligent Epitaxy.
Technology, Inc.
Dan Bowman presented the incentives for the original Economic Development Agreement with
Intelligent Epitaxy Technology and the current project costs for the construction of a portion of
Ridgemont Drive. He asked the Board to consider covering a portion of the cost of the construction by
splitting the cost of the overage for the road in addition to the existing incentives.
On a motion by Joey Herald, seconded by Tim Litinas, the Board unanimously authorized the AEDC
Executive Director to cover half of the cost for the overage of the road construction, up to a maximum
of $387,500, upon the submission of receipts and appropriate documents by Intelligent Epitaxy
Technology, Inc.
AEDC Meering Minutes
January 18, 2017 - Page 3
8. Approval of Third_ Amendment to Economic Development Agreement with TCH Altera AHCC
LP and Approval of Economic Development AgEeement By and Among the AEDC ACDC and
TCH Altera, AHCC LP
Dan Bowman shared the parameters of both the agreements with TCH Altera. The Board discussed
different options on how funding would be provided to cover the costs of the incentives.
On a motion by Joey Herald, seconded by Tim Litinas, the Board unanimously authorized the AEDC
Executive Director to execute the Third Amendment to Economic Development Agreement with TCH
Altera, AHCC LP and the Economic Development Agreement By and Among the AEDC, ACDC, and
TCH Altera, AHCC LP, as presented.
9. Approval of the Following Agreements with One Bethany Development Partners. LP and/or
Kaizen Development Partners LLC relating to Lots 2 211-6 2R-7 and/or 211-8 Block A
Millennium Office Park Addition:
• Fourth Amendment to Purchase and Sale Agreement and Assignment and Assumption
• First Amended and Restated Master Lease Agreement
• First Amended and Restated Economic Development Incentive Agreement
• Restriction Agreement
• Option Agreement
• Right of First Refusal
• Agreement Regarding Limited Parking Rights
• Temporary Construction Easement
Dan Bowman reviewed the terms of each agreement with the Board. Discussion revolved around the
terms of $11 per square foot land price in the Right of First Refusal Agreement, as well as the
simultaneous dates of construction and closing by February 20, 2017.
Tim Litinas made the following motion, which was seconded by Joey Herald:
That the Board of Directors hereby approves and authorizes the sale by the AEDC to One Bethany
Development Partners, LP of Lot 2R-6, Block A, and Lot 2R-7, Block A, of MILLENNIUM OFFICE
PARK, LOT 2, 2R-6, 2R-7 2R-8, BLOCK A, an Addition to the City of Allen, Texas, according to the
plat thereof recorded in Volume 2016, Page 913, Map Records, Collin County, Texas and under
Clerk's File No. 20161216010005450, Official Public Records, Collin County, Texas, pursuant to that
certain Purchase and Sale Agreement dated and effective February 23, 2016, as said agreement has
been amended and assigned; and further
That Daniel S. Bowman, AEDC Executive Director/CEO, is hereby authorized to sign on behalf of
AEDC all deeds, settlement statements, restriction agreements, and other related agreements and
documents as necessary and agreed in order to close on the sale of said property as authorized by this
motion; and further
That the Executive Director be authorized to execute the Fourth Amendment to the Purchase and Sale
Agreement with One Bethany Development Partners LP to extend the closing date on the sale of the
property and commencement of construction to February 21, 2017.
The Board unanimously approved the motion.
AEDC Meeting Minutes
January 18, 7017- Page 4
10. Convene into Closed Executive Session: Pursuant to Texas Government Code Section 551.087'
Deliberation of Economic Development Negotiations: To Deliberate Commercial and Financial
Information and. Economic Incentives for the Following and Pursuant to Texas Local Government
Code, Section 551,072: Deliberation Regarding Real Property:
a. Consider Authorizing the Executive Director to Purchase Land on Greenville Avenue
The Board convened into closed session at 8:44 p.m.
Reconvene into Oven Session
The Board reconvened into open session at 9:08 p.m.
11. Actions Resulting from Closed Session
On a motion by Jeff Burkhardt, seconded by Joey Herald, the Board unanimously authorized the
AEDC Executive Director to negotiate and execute a Purchase and Sale Agreement with Lyons
American Securities, Inc. for the 7.5+/- acres it owns on Greenville Avenue for $4 square foot.
12. Report on AEDC Projects and Marketing Activities
Daniel Bowman updated the Board on the status of current and upcoming projects.
13. Determine Next Meeting Date Februga 15 2017
The next AEDC Board meeting was scheduled for Wednesday, February 15, 2017, at 6:00 p.m.
14. Discussion of Future Agenda Items
Dan Bowman gave the Board several suggestions for future Board Retreat dates.
Tracey Cline informed the Board that she will be providing an ongoing calendar for events that require
Board participation.
15. Adjournment
On a motion by Joey Herald, seconded by Tim Litinas the meeting was adjourned at 9:28 p.m.
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Michael Schaeffer, President (_ a , r t, Secretary Treasurer
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