Minutes for the Economic Development Corporation meeting on March 3, 2008

Minutes of the Meeting of
the Georgetown Economic Development Corporation
and the Governing Body of the
City of Georgetown, Texas
Monday, March 3, 2008

The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on Monday, March 3, 2008.

Members Present:
Ron Shelly, Rick Smith, Pat Berryman, Ben Oliver
Members Absent:
Farley Snell
Staff Present:
Paul Brandenburg, General Manager, Mark Thomas, Economic Development Director, Trish Carls, City Attorney, George Gomez, Economic Development Program Specialist, Glenn Dishong, Water Services Manager, Micki Rundell, Finance Manager, Leticia Zavala, Controller, Jim Briggs Assistant City Manager for Utility Operations, Tom Benz, System Engineer, Shirley Rinn, Executive Assistant to the City Manager

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.

Called to Order at 2:10p.m.

A. Consideration and approval of the minutes from the Regular Board Meeting held Monday, December 17, 2007--Farley Snell, Secretary

Motion

by Oliver, second by Smith to approve the minutes from the Regular Board Meeting held Monday, December 17, 2007.

Approved 3-0 (Snell and Berryman absent)

B. Consideration and possible action to elect officers to include President, Vice-President and Secretary—Paul E. Brandenburg, General Manager

Pat Berryman arrived at 2:12 p.m.

Motion by Ron Shelly, second by Berryman to nominate Rick Smith for President. Approved 4-0.

Motion by Ben Oliver, second by Ron Shelly to nominate Pat Berryman as Vice President. Approved 4-0.

Motion by Ben Oliver, second by Rick Smith to nominate Ben Oliver as Secretary. Approved 4-0.

C. Discussion and possible action regarding the Project Progress Report. -- Mark Thomas, Economic Development Director and Paul E. Brandenburg, General Manager

Thomas gave the Board an overview of all of the active projects that the GEDCO Board approved, including Citicorp, Vista Solutions/Loading Dock, Airborn, TLCC, Orthopuetics, and other biotech companies.

D. Consideration of the December 31, 2007 and January 31, 2008 Financial Reports--Micki Rundell, Finance Manager

Leticia Zavala gave the Board an overview of the Financial Reports, including monthly sales tax revenues, monthly expenditures, budgetary report, and other relevant financial information. She told the Board that they have done a different format of the reports and would like the Board's feedback on the format.

E. Acceptance of the Quarterly Investment Report for the Georgetown Economic Development Corporation (GEDCO) for the quarter ended December 31, 2007--Micki Rundell, Finance Manager

Rundell presented the Quarterly Investment Report to the Board and explained the reporting requirements as well.

F. Consideration and possible action regarding wastewater line capacity increase serving the Inner Loop Road area-- Mark Thomas, Economic Development Director and Paul E. Brandenburg, General Manager

Brandenburg gave an overview of the need for additional wastewater capacity relationship between this item and Airborn. There was additional discussion regarding the original intent of the Economic Development Sales Tax and where it has evolved to today.

Discussion as to whether or not Airborn understood that the prior agreement pertained to a specific piece of property and that if they didn't go on that site that agreement would not pertain to a new site.

Thomas told the Board that the site in Longhorn Junction that Airborn is interested in will need to have additional wastewater capacity in order to support the project. Dishong explained to the Board that the City has utility masterplan that is utilized to plan installation of water/wastewater infrastructure, and if you look at the City's current 5 and 10 year Capital Improvement Plans, there are some planned infrastructure improvements in this area scheduled over the next several years. However, the timing of the projects planned in this area is impacting the need to accelerate the installation of this infrastructure.

There was a question from the Board as to why the capacity isn't already in place. Briggs told the Board the City applied for and received a grant from the Department of Commerce in 1991 whereby 50% of the needed infrastructure was put in place. At that time the planned use for that area was different than it is today. While the City currently has plans to install the infrastructure, the timing of current projects has accelerated the need to install the infrastructure improvements.

There was further discussion regarding the participation of Developments in areas where the infrastructure needs to be increased.

Dishong gave the Board an overview of the current land use, as well as the improvements that will need to be made in the affected area because of the unanticipated uses of the area. He gave further overview of all of the restraints in the system. He indicated that staff would prefer to build the whole line at one time instead of doing small sections at a time.

There was additional discussion regarding short and long term wastewater needs for the area and what needs to happen in order to stay ahead of the curve of need.

Per Dishong, the City can get it in the budget next fiscal year, but it needs to happen now. The question is whether the 4A board can loan the City the money necessary to move forward with the installation of the infrastructure and then be paid back by the City in the next fiscal year?

Recessed into Executive Session at 3:15 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:
G. 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.
H. 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.

- Project Core
- Downtown Project
I. 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:
The Board will reconvene in regular open session to take any action necessary related to any of the above-posted executive session items.

J. Action from Executive Session.

Executive Session was recessed at 3:45pm for a break and reconvened at 3:51p.m. Reconvened into open session at 4:03 pm returned to open session.

Motion by Berryman, second by Oliver to recommend that the City Council approve a $1.5M budget amendment to accelerate the Smith Branch WW Interceptor into the 2007/08 Capital Improvement Plan from the 2008/09 CIP which has not yet been adopted by City Council. This action will appropriate funding for the project, thus increasing the current year CIP and reducing next year's CIP. In addition, the Board also recommends that the City Council approve a bond reimbursement resolution for $1.5M for bonds to be issued at a later date (May 2009) for funding this project if necessary. Approved 4-0.

Motion

by Berryman, second by Shelly to direct staff to work with consultants, experts and other EDC's to research and provide information to the Board about the use of 4A funds for spec projects including water, wastewater, land, infrastructure the purchase of property and the construction of buildings.

Approved 4-0

Motion

by Shelly, second byBerryman to begin negotiations to enter into a Performance Agreement with Kenny Nguyen up to $10,700 to install electrical infrastructure improvements to his downtown property.

Approved 4-0.

Motion

by Berryman, second by Oliver to begin negotiations with

~~Covelant~~

Corvelant(as corrected at the April 21, 2008 GEDCO Meeting

to enter into a Performance Agreement for $3,000 per job created up to 53 jobs.

Approved 4-0.

The Meeting was adjourned at 4:15 p.m.

Attest:

_______________________________ ____________________________
Rick Smith, President Ben Oliver, Corporate Secretary