Min - Economic Development Corporation - 2009 - 04/15 - Regular11
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ALLEN ECONOMIC DEVELOPMENT C'ORPORA'TION (AFDC)
BOARD OF DIRECTORS
REGULAR MEETING
WEDNESDAY, APRIL 15, 2009
Board
Staff
Guests
lint Wood
Robcrl Winningham
Pete Smith
Carl Clentencich
Jennifer Urnom
Pelet Vargas
Gary Caplinger
Daniel Bowman
Joey Herald
Maxine Sweet
Lee Battle
Call to Order and Announce a Quorum Present
With a quorum of the Board present, the Regular Meeting of Ilse Allen Ecmtonric
Development Corporation (AFDC) was called to order by President Tim Wood at
6:01 p.m. on Wednesday. April 15. 2009 at the ABDC 0111ce.
1. Approval of Minutes of the March 18,2009 Reuular Mectine
On a ntntion by Car] Clemencich, seconded by Maxine S\1'eet, the Board unanimously
approved the minutes of the Mmch 18, 2009 Regatta Meeting as presented.
2. Approval of Economic Development Acieemenl with I lomeland Ilea] thcar�_I nc_
Robert Winningham updated the Board on the poijecl and noted that the Board approved an
incentive grant in the anrornt of 8150,000 to support l lomeland Healthcare, Inc. at the March
2009 AEDC Board meeting. The Board pievious]y gave the AFDC Executive Director
direction to negotiate an Economic Development Agreement and bring it back to the Board
for approval.
Jennifer Grimm stated that the company hopes to move into space in the Offices at Wattas
Creek by August of Septentbet of this year. Af:DC' staff was able to secure the company in
Allen by offering a 91150.000 giant. The company would stall with 18,272 -rentable square
feet and move up to 40,000 -rentable square feel over time. Prior to receiving their second
instal Intent of the ALDC grant, the company will have grown to a total of 8o employees, file
company eventually plans to employ 150 individuals in Allen.
Cifirnin also noted that the company has indicated that Lm ich may eventually purchase
l lomeland l-Icalthcat'c. The Bcunomic Development Agreement has clswbnck provisions that
would require the company to repay the Al4DCgrant if they relocate. '!'litre is also the
possibility that the AFDC Board could recruit Lutich to locate in Allen at a later date.
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Grimm indicated that'I he Offices at Watters Creek are approximately 40 -percent leased at
this point in time. Carl Clemencich inquired if the Watters Creek apartments were also 40 -
percent (cased. Robert Winningham smicd they were approximately 25 -percent leased and
apartment leasing should accelerate in the summer months.
Winningham also noted that the Board is saving $50,000 on this deal. Clemencich stated that
he is glad to see this project move forward as it will help the Watters Creek development.
On a motion by Maxine Sweet, seconded by Gaty Caplinger, the AFDC Board unanimously
voted to approve the Economic Development Agreement with I lotneland Ifeahlicare, Inc. as
presented.
3. Convene into Closed Executive Session:
The Board convened into closed executive session at 6:15 p.m. to delibet ate commercial laid
financial information and economic incentives for the Ibllowing:
• Approval of Economic Development Agreement with Project PDC2
• Discussion of AFDC Incentive Grant Policy loot the Purpose of Business Retention
and Expansion and New Prospect Recruitment
I Reconvene in Open Session
The Board reconvened into regular session at 7:23 p m.
4. Actions Resullinu from Executive Session
No actions were taken on the items discussed in executive session,
5. Approval ol'A1DC Financial (reports
Daniel Bowman presented the AFDC Financial Reports, The Board inquired about City and
AFDC sales tax collections and the outlook for the future Peter Vargas noted that they are
seeing a dichotomy between the sales tax collection numbers that are coming in below budget,
and the fact that it is evident many people are out shopping at the various Allen retail
establishments. Robert Winningham indicated tluu the Allen Premium Outlets are doing well
because they offer a perceived value to consumers in this down economy Gary Caplinger
noted that the Fossil and C'In istale stores have left the Allen Premium Outlets and moved to
the Village at Fairview
Jennifer Grimm staled that the Slatbucks in Walters Crock will be closing. this was
originally announced at the Slat bucks sharchuldet' meeting in January of 2009, but it was riot
stated when the Walters Creck location will be closing. Grinun invited Board members to
write a letter to the Director of Global Real Estate for Starbucks asking him to reconsider the
decision to close the Slatbucks location at Wallets Ctcek,
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Ip'd 15, 2009. fuer 3
On it motion by Call Cleniencich. seconded by Maxine Sweet, the Board unmtinwusly
approved the AI?DC Financial Reports as piesenled.
8 Disc Liss Administrative and Maiketing Act ivrties of the AFDC and Uric ) Luc,
Events
Jennifer Grunion updated the Board on the maikcting activities of the AFDC and invited Board
ntcntbers to attend the Allen Fvem ('enterPopping Off Fveut on April 23"' The event will
be a conte -and -go *block patty Grimm also distributed the new AFDC pens that will be
used to help market Allen to business prospects.
The Millennium Business Awards eicnt is cunemlly scheduled I'or mid-September. Grimm
has spoken with (he Mayoral Allen about ieevalua ling the criteria for the various award
categories. Forms will be provided to solicit feedback from Board ntentbeis regarding the
ciileiia for the awaids.
9 AFDC Executive Dir'ector's Reno]( Retarding Office. Industrial. Data ('enter, and Retail
Protect . and Local Partnerships
"O'c 1 Witminghtnn updated the Board on AFD(' projects and noted that Allen was recently
t'ecognrred by the Texas Economic Development Council as being an Economic Excellence
Program. chis is a great honor and the AFDC will reccivc it plague. Winningham is
monitoring State legislation relater) to dna centers and emporate offices very closely and will
report back to the Board on Various bills that could impact economic development
Maxine Sweet inquired about ('rocker Barrel, asking it the company was still unwilling to
locale in Allen because ollheir requirement to only locale oil inicistate highways. Jennifei
Grimm stated that the M(I I (erring Group ptcviously had a deal wall Cracker Barrel to locate
it restaurant in the Village at Allen, but the deal was nevet finalized. The restaurant would
have been located on the tract w'bet e BFs Brewhouse is currently being built. Winningham
staled that the AIDC Ivan will visit with the company al IC'SC next nronlh.
Sweet reported (hal the Allen Central Park Properly Owners Association is moving fin'wat d.
The Board of Dit'ectm's lot the Association recently tile( to discuss various issues. Dan
Bowman was elected President ol'the Association. It was decided that (he Association will
cut back the shrubs (hat ate located around the monument sign, power -wash the monument
signs, and undertake other similar prolec(s. the corm on arca expenses will be shared
between the AFDC and other property owners in (he pink beginning .lune I" Bowman noted
that based on the amounts currently budgeted by the At-- DC for maintenance of the park.
Shining expenses wah (he Association will save the ARD(' appioxuna(ely $30,000 annually
(iiimtn stated that the (lags in the park should probably come down dui ing high winds. It was
also noted that Duke is chatgmg a reasonable fee of $10,000 annually to manage the
Association.
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1 10. Schcduline 0l_Nexi Al D(' Boai(l of Dileclors N4ecting
'l he nest Board meeting was scheduled fur Wednesday. May 13, 2009 al 6:00 p m. Che
meeting will occur one week eat ly because 01'thc ICSC trip (hal is currently planned lot the
Ihu'd week in May Maxine Sweet noted that she will be unable to attend the .lune AFDC
Board meeting.
11. Adjourn
'I he meeting was officially ad.iourned on it motion by Maxine Sweet. seconded by Gary
C'splingu, at 7,45 p.m
I hese minutes approved this 13"' day of May 2009
-- — I'im Wool, President Carl ('Icmcncich, Sccrc(ary/I'reasura
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