Min - Economic Development Corporation - 2015 - 04/01 - RegularALLEN ECONOMIC DEVELOPMENT CORPORATION (AEDQ
BOARD OF DIRECTORS REGULAR MEETING
WEDNESDAY, APRIL 1, 2,015
Board
Scott Sutherland
Michael Schaeffer
Greg Kennedy
Joey Herald
Jeff Burkhardt
Staff
Dan Bowman
David Ellis
Melissa Reecer
Kevin Laughlin
Pete Smith
Peter Vargas
Call to Order and Announce a Quorum Present
Guests
With a quorum of the Board present with members Scott Sutherland, Michael Schaeffer, ' Greg
Kennedy, Joey Herald and; Jeff Burkhardt in attendance, the Regular Meeting of the, Allen Economic
Development Corporation (AEDC) Board of Directors was called to order by President Sutherland at
6:04 p.m. on Wednesday, April 1, 2015, at the AEDC Offiice,
1. Approval of (he Minutes of the March 4_015RgWar AEDC'Mc
Board ctiqg
g
On a motion by Greg Kennedy, seconded by Michael Schaeffer, the Board unanimously approved the
Minutes of the February 4, 2015, Regular AEDC Board Meeting.
2. Aroval ofAmendment to Development and Purchase Agreement with Pieloton Real Estate
Advisors. Inc.
Dan Bowman requested that the Development and Purchase Agreement with Peloton Real Estate
Advisors be amended. The agreement should be changed to denote that the hard comer of Bethany
and US 75 is for the Hotel Conference Center and the remaining lots are under option to Peloton for
future office construction. If the Hotel Conference Center does not come to fruition, Peloton has the
option to, purchase the hard comer at $131.00 per square foot.
Michael Schaeffer inquired about the park,ing garage for the office building planned for US 75,
Bowman stated that the garage will fit on the designated lot, Bowman stated that the hotel and
convention center structure is roughly the same layout as previously presented, A preliminary review
of the site plan is expected before the April public announcement regarding the hotel conference
center.
Kevin Laughlin indicated that the primary items changing in the option agreements are the lot sizes,
the price of certain tracts, and the option for Peloton to purchase the land if the hotel opportunity does
not come to fruition. Peloton would no longer be responsible for bringing a hotel to the development,
On a motion by Scott Sutherland, seconded by Jeff Burkhardt, the Board unanimously approved
authorizing the Executive Director to negotiate and execute the Amendment to Development and
Purchase Agreement with P,eloltoin Real Estate Advisors, Inc.
A EDC Afeeting Minutes
April 1, 2015 - Page 2
3. Review, and Aporoval of Master Lease Agreement with Peloton Real Estate Advisors. Inc.
Dan Bowman requested that the Master Lease Agreement with Peloton be approved as, presented.
,Once approved by the AED�C Board, the Master Lease Agreement would be presented to Protective
Life Insurance for approval. If any changes are needed, the Agreement would be brought back to the
Board for further
adreview.�erve
nrms, covering areas such as rent
justments, operans r, timeline and sale of the project.
Greg Kennedy and Peter Vargas inquired about Pelo�to�n paying back 7501ii of their portion of the
project net revenues. Leven Laughlin stated that the payback would be applied to the debt. Michael
Schaeffer requested that the liability be reflected on the AEDC accounting records. Schaeffer inquired
about the length of the build; Bowman stated that it would be completed in 18-24 months.
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The board convened into closed session at 6:29 p.m.
I- a sahl�
The Board reconvened into reigular session at 705 pm.
5. Actions Resultini'l from Executive Session
On a motion by Greg Kermedy, seconded by Jeff Burkhardt, the Board unanimously authorized the
A,EDC Executive Director to, negotiate and execute an incentive agreement with Lakeland Marketing,
On a motion by Michael Schaeffer, seconded by Joey Herald, the Board unanimously authorized the
AEDC Executive Director to negotiate and execute an incentive agreement with 1 -lards Truce
Automation in amount of M 90,0001 to relocate to Allen,
Greg Kennedy reviewed the financial reports with the Board. Sales tax revenue was under by 4 ,6 for
the month of February but above the revenue from Februaryr 20,14. This month's reports reflected
several revisions to the, layout for the forecasted budget. There was nothing substantial to, report
regarding the expenses for the month, Nine Band Brewing received a grant payment,
17e Soara unanimously approved the
AEDC Financial Reports as presented.
AEDC Afeeling bfinwes
April 1, 2013 -Page 3
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Ilrogressing.
Bowman indicated that Mason Arnold of Greenling informed him that the company was sold to
investors last year and subsequently came to the verge of bankruptcy. Arnold hought the company
back. Company defaulted on its Economic Development Agreement with AEDC. Bowman is
ae,
discussing, with Arnold rjayment of'irant Ngw,ijits, 1471c�j&airfei 64-J1166 Aull-Wil"_
1,4001 HIM- WI 4 CHOI! i -
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TIII!11 01VII) ic 1715 Tries,, site selectors, et
ROI calculations willbe provided, i
David Ellis updated the Board on the search for a new Marketing Manager position. He: has, received
approximately 150, applications and has been filtered down to 27 qualified applicants. The first round
of interviews began on 3/30, with the second round to begin on 4/12. An offer should be made in
April. Michael Schaeffer asked who was filtering applicants; Ellis responded that HR is filtering all
applicants based on specific requirements of the position,
Ellis info ed the Board that the AED,C aerial map is in the second round of review and will be
printed in April.
Ellis updated the Board on the various marketing efforts that AEDC is, undertaking for print
advertisements, online marketing and other collateral. The community proale in underway. There are
man Y events coming up, such as the annual Commercial Broker Luncheon on May 12'h, The staff'will
be focusing, on hosting sponsored events targeting an external audience, as well as internal events
with existing businesses to build relationships with executives and leaders in the con-ununity,
Jeff Burkhardt, inquired about how staff maintains contact with prospects. Dan Bowman stated that
the staffis using Salesforce to stay in touch with those companies.
The next AEDC Board meeting is scheduled for Wednesday, May 6, 2,015, at 6:00 p.m.
No items were discussed.
AEDC Aketing Minutes
April J, 2013 - Page 4
-F7' =rg Kenneoy, tne, Meeting was adjolumed at
7-40 pm.
..........
Mic leffer, Vice President