Min - Economic Development Corporation - 2004 - 06/23 - RegularBoard
Jim Brazeal
Ken Fulk
Kurt Kizer
Maxine Sweet
ALLEN ECONOMIC DEVELOPMENT CORPORATION (AEDQ
BOARD OF DMECTORS,
REGULAR MEETING
June 23, 2004
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Charisse Reaume
Jennifer Grimm
Dan Bowman
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David Hoover
Jud Heflin
B.A. Cullum
Daniel Watson
Stephen Summers
With a quorum of the Board present, the Regular Meeting of the Allen Economic Development
Corporation (AEDC) was called to order by President Jim Brazeal at 6:10 p.m. on Wednesday,
June 23,2004 at the AFDC Office.'The following items were discussed.
ApRrove Minutes of the Mgy 1 9, 20,04 Regular Meeting of the AEDC Bgard QfD'rectors.
The minutes of the May 19, 004 Regular Meeting of the A.E,DC Board of Directors were approved as
submitted on a motion by Ken Sulk, seconded by Maxine Sweet.
Convene into Closed Executive Session.
The Board convened into closed executive session at 6:12 p.m. to deliberate commercial and, financial
information and economic incentives for Project Marine.
recon ygne: into Regular Session.
The: Board reconvened into regular session at approximately 6:34 p.m.
Consider and take Action Regarding Incentives Supporting the Recruitment of Project Mgrine to the
Blue Star Development in Allen.
Jud Heflin with Blue Star Development updated the Board on the 529 -,acre development located
bletwee!n SH 121 and Stacy Road. He then focused specifically on the commercialdevelopment on the
southeast corner of SH 121 and, Watters Road. He discussed infrastructure costs associated with the
site including the construction of a parking deck, Project Marine would be located in this part of the
development. Jud indicated that Project Marine, planned on opening the facility by May 2005.
Dan Watson, Slaubach Company, presented information regarding Project Marine. He explained the
following:
Project Marine is currently in pursuit of several Texas locations and has a commitment for
approximately $82 million in funding,
Allen Economic Development Corporation
Regular Meeting, June 23, 2004
Page 2
• Several locations are being planned in the DFS' area. The Allen location would be the first of
these to open.
• Project Marine projects that they will generate $20 million in annual sales and create 120 jobs.
Convene Tint g Closed _E',j_egt_gJvg
The Board convened into closed executive session at 7':!501 p�m. to deliberate commercial and financial
information and economic incentives for Project Marine.
Reconvene. iInIQ.Re&ulm,.Session,
The Board reconvened into regular session at approximately 8:16 p.m.
Consider and take Action Reizardine Incentives Supporting the Recruitment of Project Marine to the
Blue Star DevelODMent-In-AlIgna.
Jud Heflin, Blue Star Development, stated that they will not, enter into a contract with Project Marine
until they have done their due diligence on the financial viability of the company,'The general
consensus of the Board was to supply incentives to Project Marine once the company has successfully
negotiated a land contract with Blue Star Development. The incentives would be performance-based
and with a possible payout over several years.
Consider and take Action on the Purchase ofAl2proximately .1 53 5 Acres of Property, Owned by the
Texas Depgrtment. of Transportation in Millennium CorporateQenrer.
Charisse informed the board that after communications between Mayor Steve Terrell and the new
Assistant District Director for TxDOT, the possibility still exists for swapping AEDC property along
US 75 for the ,1535 acre tract owned by TxDOT in Millennium Corporate Center. Ona mot -ion by
Maxine Sweet, seconded by Kurt Kizer, the Board approved the purchase of the .1535 acre tract
owned by TxDOT, contingent upon the swap not occurring.
Consider ,qd, take Acgp gpi g R_gggjmMendation to the All,le,nCityCouncilforDigribp n
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14,oteVM'Dtel Tax Revenues for Fiscal Year 2004-05.
MIT= 51MT 1,
distribution, of Hotel/Motel tax revenues, for fiscal year 20104-05. The recommended distribution was as
follows:
• Allen Chamber of Commerce — $12,800,
• Allen Civic Ballet — $1,1000,
• Allen Heritage Guild — $1,600
• Allen Philharmonic Symphony — $5,1000
• Connemara Conservancy — $3,0100
The Allen City Council will consider the recommendation as part of the city budget process.
Allen Economic Development Corporation
Regular Meeting, June 23, 2004
Page 3
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for, Fiscal Year 2004-2005.
The Board discussed the following issues relating to the AEDC' Budget for the Fiscal Year 2004-2005;
• The Board determined that the $30,000 budgeted for design and engineering may be adequate
for the initial designing of the 2 acre landscaped area in Millennium Corporate Center. ff the
amount is not adequate, the Board will consider a mid -year adjustment at the appropriate time.
• The Board discussed the necessity to maintain the current AEDC phone numbers (the City of
Allen is in the process of changing all their phone numbers). The Board directed the AEDC
staff to work with the city to obtain/purchase the appropriate equipment, etc. to maintain the
current AFDC phone numbers.
• The Board was informed that the City Finance: Department may still make minor changes
regarding the final numbers for sales tax revenue, personnel/benefits, and payments to Chelsea
(Allen Premium Outlets).
On a motion by Kurt Kizer, seconded by Maxine Sweet, the Board approved the Allen Economic
Development Corporation's Budget for fiscal year 20,04-2005,
On a motion by Kurt Kizer, seconded by Maxine Sweet, the Board approved the AEDC financial
reports.
Discuss Administrative and Marketing Activities of the AEDC.
Jennifer Grimm updated the Board on the marketing activities of the AED,C and Dan Bowman updated
the Board on the status of the Allen Wage/Benefit Survey and Tax Abatement Compliance. Tim
Wood and Ken Fulk were appointed to be judges for the Millennium Business Awards, and Maxine is
also available to judge if needed. Charisse informed the Board that according to Pete Smith (AEDC
attorney), the Allen Community Development Corporation (ACDC) cannot fund infrastructure on
hospitals;, however, the AFDC' is permitted to under law. It is expected that Presbyterian Hospital -
Allen will request incentives from the AEDC at a future meeting.
Convene into Closed Executive Session.
The Board convened into closed executive session at 9:010 p.m. to consider and take action related to
the performance evaluation of the Executive Director/CEO of the AEDC.
Reconvene into Regular Session.
The Board reconvened into regular session at approximately 9:201 p.m.
CQn§ider and take Actign Related tg the Performance Eyalm-ati-ort-0 the Executive Director/CEO of the
C.
The Board of Directors considered the performance evaluation of the Executive Director/CE10 and on
a motion by Ken Fulk, seconded by Kurt Kizer, approved a raise in base salary by $5,000 and an
incentive pay of $7,500 effective immediately. The Board also authorized the Executive Director to,
Regular Meeting, June 23, 2004
Page 4
... ........ .
Hill
ScIlledgling of N_ext _AEDC Board of'Directors MeetJOL.
The next Board meeting was scheduled for Wednesday, July 21, 2004 at 6:00 p.m.
On a motion by Ken Fulk, seconded by Kurt Kizer, the meeting was officially adjourned at 9.30, p.m.
arazeal" President
Kenneth Fulk, Secretary