Min - Economic Development Corporation - 2011 - 06/15 - RegularBoard
ALLEN ECONOMIC DEVELOPMENT CORPORATION (AEDC)
Tim Wood
BOARD OF DIRECTORS
Susan Bartlemay
REGULAR MEETING
Carl Clemencich
WEDNESDAY, JUNE 15, 2011
Board
Staff
Tim Wood
Robert Winningham
Susan Bartlemay
Daniel Bowman
Carl Clemencich
Ryan Shook
Gary Caplinger
Garrett Weaver
Scott Sutherland
Pete Smith
Call to Order and Announce a
Quorum Present
Guests
Phillip Leary — Project Swordfish
Dale Ray — Project Lunchbox
Matt McDonald — Project Lunchbox
Brian Pierce — Project Lunchbox
Bo Bass
Mayor Steve Terrell
Audrey Cox
With a quomm of the Board present, the Regular Meeting of the Allen Economic
Development Corporation (AEDC) was called to order by President Tim Wood at
6:05 p.m. on Wednesday, June 15, 2011 at the AEDC Office.
1. Approval of Minutes of the May 18, 2011 Regular Meeting
On a motion by Scott Sutherland, seconded by Gary Caplinger, the Board unanimously
approved the Minutes of the May 18, 2011 Regular Meeting as presented.
2. Update on Sales Tax Revenue and Other Financial Information by Kevin Hammeke. City
of Allen Finance Director
This item was tabled to be revisited at a later date.
3. Convene into Closed Executive Session
The Board convened into closed executive session at 6:08 p.m. to deliberate real property,
commercial and financial information and economic incentives for the following:
• Consider Incentives for the Recruitment of Project Lunchbox
• Consider Incentives for the Recruitment of Project Swordfish
• Consider Incentives for the Recruitment of Project RG
�q Reconvene into Open Session:
® The Board reconvened into regular session at 8:02 p.m.
AFDC Meeting Minutes
June 15, 2011 - Page 2
4. Actions Resulting from Executive Session
No actions were taken.
5. Approval of AEDC Financial Reports
Daniel Bowman presented the AEDC financial reports. It is anticipated that the AEDC will
pay incentive grants to Experian, Atlas Copco, and Turrentine-Jackson-Morrow in the near
future. Robert Winningham mentioned that the AEDC plans to make its incentive grant
payment to Trademark concurrently with the City's payment in July.
Carl Clemencich inquired if the AEDC was on pace to spend the budgeted amount in the
AEDC marketing budget. Winningham responded affirmatively, indicating that the AEDC
has incurred significant marketing expenses during the current fiscal year and has sufficient
funds to cover the remaining marketing items planned for this fiscal year. Bowman noted that
sales tax revenue for the current fiscal year is 2 -percent greater than that which was budgeted,
and has shown a 21 -percent increase over the prior year.
On a motion by Susan Bartlemay, seconded by Gary Caplinger, the Board unanimously
approved the AEDC Financial Reports as presented.
1 6. Consider Approval of the AEDC Budget for FY2012 and Adjustments for FY2011
Robert Winningham presented the AEDC Budget for FY2012 and Adjustments for FY201 I.
Winningham stated that the budget has been updated based on Board feedback provided at the
May Board meeting. Tim Wood inquired as to why the Operational Transfer -Out amount that
the AEDC pays to the City of Allen for administrative services has been increased to $91,000
for the FY2012 budget. Winningham explained that the new budget number was generated
by the City of Allen. City staff has indicated that the Operational Transfer -Out budget has not
been increased in three years.
Winningham noted that the current AEDC Operational Transfer -Out budget of $72,100 is
comparable to the amount paid by other economic development corporations in surrounding
communities. Winningham stated that Mekinney and Frisco's 4A economic development
corporations pay $70,000 and $55,000 to their respective cities for administrative expenses.
Pete Smith mentioned that most economic development corporations have contracts in place
with their respective cities dictating the terms and amount of the payment made by the
economic development corporation to the city for administrative services.
On a motion by Susan Bartlemay, seconded by Scott Sutherland, the Board unanimously
approved the AEDC budget for Fiscal Year 2012 and adjustments for Fiscal Year 2011 as
presented with $62,500 to be budgeted for Fiscal Year 2012 for the Operating Transfer -Out
for operational administrative costs. When combined with the $3,600 amount and $6,000
amount that the AEDC has budgeted for transfers to the city to cover telephone and marketing
expenses, respectively, the AEDC has budgeted a total of $72,100 to cover Operational
Transfer -Out expenses. The Board authorized the Executive Director to negotiate a contract
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AEDC Meeting Minutes
June 15, 2011 - Page 9
with the City Manager that would dictate the terms for operational transfers for
administrative, telephone and marketing costs.
7 Discuss Administrative and Marketing Activities of the AEDC. Upcoming Events and
Local Partnerships
Robert Winningham updated the Board on administrative and marketing activities of the
AEDC, upcoming events and local partnerships. Winningham noted that the TEDC Sales Tax
Workshop will be held in Mesquite on June 24i, Winningham noted that Daniel Bowman
will be attending the Biotechnology Conference in Washington D.C. the week of June 27`h
8. AEDC Executive Director's Report Regarding Office, Industrial. and Retail Projects
No additional projects were mentioned.
9 Determine Next Meeting Date
The next AEDC Board meeting was scheduled for Wednesday. July 20, 2011 at 6:00 p.m.
10. Adiourn
The meeting was officially adjourned on a motion by Susan Bartlemay, seconded by Gary
Caplinger, at 8:25 p.m.
These Minutes approved this 201h day of July 2011.
Tim Wood. President
Carl Clemencich, Secretary/Treasurer