HomeMy WebLinkAboutMinutes_GEDCO_09.18.2006Minutes of the Meeting of
the Georgetown Economic Development Corporation
City of Georgetown, Texas
Monday, September 18, 2006
The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on
Monday , September 18, 2006.
Members Present:
Farley Snell, Ben Oliver, Henry Carr, Rick Smith
Members Absent:
Ron Shelly
Staff Present:
Paul Brandenburg, Manager, Micki Rundell, Finance Manager, George Gomez, Economic
Development Program Specialist, Shirley Rinn, Deputy City Secretary
Minutes
Regular Meeting
REGULAR SESSION:
Board may, at any time, recess the Regular Session to convene in Executive Session at the request of the
Chair, a Board Member, the City Manager, Assistant City Manager, City Council Member, or legal
counsel for any purpose authorized by the Open Meetings Act, Texas Government Code Chapter 551,
and are subject to action in the Regular Session that follows.
.Fhe Meeting was called to order at 2:01 p.m.
EXECUTIVE SESSION:
The Georgetown Economic Development Corporation will meet in closed executive session as allowed by Texas
Open Meetings Act (Texas Government Code Chapter 551), as follows:
A. Section 551.072. DELIBERATION REGARDING REAL PROPERTY
Discussion and possible action to deliberate the purchase, exchange, lease or value of real property for purposes
authorized by Section 4A of Economic Development Act of 1979 (as amended) which discussion in open session
would have a detrimental effect on negotiations with third persons.
B. Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS.
Deliberation regarding commercial or financial information that the corporation has received from a business
prospect that the Georgetown Economic Development Corporation seeks to have locate, stay, or expand in or
near the territory of the City of Georgetown and with which the Corporation is conducting economic
development negotiations; and/or deliberation regarding the offer of a financial or other incentive to a business
prospect that the Corporation seeks to have locate, stay, or expand in or near the territory of the City of
Georgetown.
C. Section 551.071. CONSULTATION WITH ATTORNEY
Consultation with attorney regarding legal issues related to agenda items and other matters in which the duty of
the attorney to the Georgetown Economic Development Corporation under the Texas Disciplinary Rules of
Professional Conduct of the State Bar of Texas.
REGULAR SESSION:
1'he Board will reconvene in regular open session to take any action necessary related to any of
the above -posted executive session items.
D. Consideration and approval of the minutes from the Regular Board Meeting held Monday,
July 17, 2006--Farley Snell, Secretary
Motion by Carr, second by Smith to approve the minutes from the Regular Board Meeting
held Monday, July 17, 2006. Approved 4-0 (Shelly absent)
E. Consideration and Possible action regarding the Hope Lumber rail spur infrastructure costs
- Mark Thomas, Economic Development Director
Paul Brandenburg explained to the GEDCO Board the situation with Hope Lumber
Company regarding the expansion of the rail spur on their property. He told the Board
that easements and electrical lines had to be relocated in order accommodate this project.
He went on to explain that Hope Lumber company was given an estimate of
approximately 517,000 to relocate the electric lines regarding this project. However, final
costs ended being in the neighborhood of $35,000. Brandenburg went on to explain to the
Board that the representatives of Hope Lumber were upset not only with the final costs, but
more so with the lack of communication on the part of City Staff and the Engineering firm
that worked on the project regarding the increased costs involved with the Project.
Brandenburg told the Board that he would like to request that the GEDCO Board either
approve to fund the whole cost of project, or at least allocate funding to Hope Lumber to
make up the overage between the initial cost estimate of this project and the final cost of
this project. He told the Board that Hope Lumber Company was willing to pay the total
cost of this project, and had not approached the City to request additional funding.
However, he told the Board that he felt that this was an important retention issue regarding
this company and that it would be a good gesture on the 4A Board's part to acknowledge
the importance of Hope Lumber continuing to base its operations in Georgetown, and its
possible expansion m the future. Hope Lumber is currently one of the largest sales tax
producers for the City.
There was additional discussion among the Board members regarding the need for some
specific policies and procedures regarding committments such as this one. It was noted
that this was the second time a proactive commitment was made to a company by the 4A
Board without the Board being approached by the company. It was also noted that the
Board needed to be very cautious in the future regarding commitments of this type.
GEDCO Agenda/September 18, 2006
Page 2 of 4
Motion by Snell, second by Smith to support funding in the amount of $19,000 to Hope
Lumber Company pending review and approval of a Performance Agreement.
Approved. (4-0)(Shelly absent)
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F. Consideration of the August 31, 2006 Financial Report - Micki Rundell, GEDCO Finance
Manager
Rundell presented the Financial Report to the Board and explained the details in the report,
which included monthly sales tax revenues, monthly expenditures, a budgetary report and
other relevant financial information.
G. Consideration and possible action regarding the Administrative Services Contract between
the City of Georgetown and the Georgetown Economic Development Corporation, Micki
Rundell, GEDCO Finance Manager
Rundell presented the Board with the Administrative Service Contract between the City
and the GEDCOBoard to reimburse the City for its administrative costs. She told the Board
that the contract was for the same amount that it was last year, $3,000. She told the Board
that it was kept at the same level as last year because the Board had not completed a full
budget cycle yet.
Motion by Carr, Second by Smith to approve the Administrative Services Contract between
the City of Georgetown and the Georgetown Economic Development Corporation.
Approved. (4-0) (Shelly absent)
H. Consideration and possible action to approve the GEDCO 2006/07 Budget, Micki Rundell,
GEDCO Finance Manager
Rundell gave the Board an overview of the 2006/07 Budget, including a 5 year pro forma,
approved projects and an overview of the debt capacity of the Board. She told the Board
that the Downtown waterline is not included on this budget because it hasn t been finalized
yet. She also reiterated to the Board that GEDCO is a stand alone compenent in the City's
Budget. She briefly discussed the difference between Economic Development Bonds issed
for GEDCO and the Revenue Bonds used by GTEC.
Motion by Carr, Second by Smith to approve the GEDCO 2006/07 Budget. Approved. (4-0)
(Shelly absent)
GEDCO Agenda/September 18, 2006
Page 3 of 4
Brief discussion regarding the status of the waterline infrastracture that was discussed at
the last meeting. There was also discussion regarding the amount of funding that the City
has provided for the Downtown.
Motion by Carr, Second by Snell to Adjourn.
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Meeting Adjourned at 2:25 o'clock p.m.
Attest:
Shirle ► Dep City Secretary
Farley Snell, Secretary
GEDCO Agenda/September 18, 2006
Page 4 of 4