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Min - City Council - 1991 - 09/23 - Special CalledALLEN CITY COUNCIL SPECIAL CALLED INFORMATION/ INTERACTION SESSION STORY ELEMENTARY SCHOOL SEPTEMBER 23, 1991 Present: Joe Farmer, Mayor Councilmembers• Kevin Lilly Mickey Christakos David Bishop Mike Nichols Steve Terrell Gary Edstrom, Mayor Pro Tem (�^ City Staff: Judy Morrison, City Secretary Joel Blaylock, Substance Abuse Prevention Coordinator Barbara Buehler, Library Director Richard Carroll, Chief of Police Bill Petty, Director of Community Development David Pitstick, Economic Development Coordinator Rhoda Savage, Director of Parks and Recreation Charlotte Smith, Finance Director Dave Whitehead, Director of Public Works Call to Order, Welcome and Introductions (Agenda Item I) Mayor Farmer called the Special Information/ Interaction Session of the Allen City Council to order at 7:05 p.m. on Monday, September 23, 1991 at Story Elementary School, 1550 Edelweiss, Allen, Texas. Mayor Farmer welcomed everyone who was present for the meeting and introduced the panel of speakers for the program. Mayor Farmer indicated that Councilmember Lilly would review the problem of property value decline during the years of 1987-1991. David Pitstick, Economic Development Coordinator, will be reviewing with the audience the economic development alliance and what has been done up until this date. Mayor Farmer will review an opportunity for the future called the "Development Corporation Act." After the formal program, small group discussions and interaction sessions will be held and citizens' input will be solicited. I ALLEN CITY COUNCIL INFORMATION/ INTERACTION SESSION SEPTEMBER 23, 1991 PAGE 2 A Review of the Problem -- Property Values 1987-1991 (Agenda Item II) Councilmember Lilly discussed the shift of the tax burden to residential property owners throughout the years, especially since 1987. He reviewed the decline of the assessed valuation since 1986 and the assessed valuation per person against population growth, by classification such as residential, commercial, industrial, undeveloped and the tax increases since 1988 due to loss assessed valuations. He discussed the ultimate build- out of the City of Allen showing that there will be a total of 16,566 acres within the city limits. Councilmember Lilly indicated that the city needs to provide services and that need is rising whereas the ability to pay for those services is falling. What Has Been Done -- Allen's Economic Development Alliance (Agenda Item III) David Pitstick, Economic Development Coordinator, discussed the background of this item. Leaders recognized the need to stimulate economic development in our community several years ago. The results of a survey developed in 1985 indicated that the city needed to take an active role in economic development leadership. Therefore, the Allen Economic Development Alliance was formed. The economic development office has made Allen more attractive to businesses. He discussed some of the accomplishments of the economic development office: Action Plan • Business Incentive Programs • Freeport Tax Exemption • Matra Communication Solidification Mr. Pitstick shared with the audience a list of businesses who have moved into the City of Allen or expanded their present size of operation in the past year. He indicated that the City of Allen needed to develop Allen as "the city for businesses." It is important to increase day -time workers in the City of Allen and in order to do that, light industrial businesses must be increased. A New Opportunity -- The Development Corporation Act (Agenda Item IV) Mayor Joe Farmer gave an overview of the Development Corporation Act: Allen is eligible Five member board of directors Maximum 1/2 cent sales tax if approved by voters ALLEN CITY COUNCIL INFORMATION/INTERACTION SESSION SEPTEMBER 23, 1991 • Principal uses of sales tax revenues include: • promotion (10% max) • • buy land/build buildings/ purchase equipment • loans or security for loans • repay principal, interests, and other cost of bonds • Voters can dissolve corporation • May not be used for infrastructure unless directly related to industrial development project PAGE 3 Mayor Farmer discussed the functions of the Board of Directors. They will develop a marketing strategy, review applications and recommend financial incentives, and monitor business development activities. Mayor Farmer also reviewed anticipated revenues projecting for the year 1991-1992 $156,750 if the election were to pass in November. A five year total would reap $2,139,108 through the year 1996. Program goals for the City of Allen are as follows: • Expand facilities and employment opportunities in light industry • Increase the number of light industrial facilities and operations • Enlarge and diversify tax base • Stabilize property values • Reduce city tax rate • Reduce the percent of financial support for city and schools paid by individual residents In conclusion, Mayor Farmer revealed that the City Council believes this program is in the best interest of the community, is necessary to be competitive with area cities, and that it requires understanding input and support of Allen residents. Small Group Discussion and Interaction (Agenda Item V) Council, staff and interested citizens broke into small group discussions and interaction at this time. ALLEN CITY COUNCIL INFORMATIONIINTERACTION SESSION SEPTEMBER 23, 1991 PAGE 4 Citizen Input (Agenda Item VI) A "citizen evaluation and input" form was distributed to all those present for the evening session. They were asked to complete the form and return it to the City Secretary for tabulation. Mayor Farmer discussed the results of the input at this time. Adjourn (Agenda Item VII) Mayor Farmer and the Council adjourned the meeting as scheduled. These minutes approved on the 3rd day of October, 1991. ATTEST: (�ar 2k` / /6iC/I iS��c-!nth Jt y Morpson, CITY SECRETARY C APPROVED: Joe Farmer, MAYOR