Loading...
06/11/2003-4A-Agenda Packet-Regular1. Call Meeting to Order. AGENDA 4A CORPORATION WEDNESDAY, JUNE 11, 2003 2:00P.M. 201 BOLIVAR 2. CONSENT AGENDA Approve Minutes: May-S, 2-003- 3-. Citizen's-lnput- 4. Consider a-rul-Possible Admn-9R--Changing L98-R-Payment P~e~es---9R--Cu-nent4A Loan with GNB. --5. Adjourn. :,).\\\\\\\\11111//IJ///t. #" of S,.q ,.~~ ~ 4. ········Jvo ~ ~~w-·· ··--~-:?~ ;:::r\ • •• ~ :ii '-J.. . ~ .:::: : •. ;;. '""" . . - @. ~ E ~ ~ . . ~ ~-••• ... i!§ ~ .. .. ~ ?°_%; ••• ••• ~ ~ ·········· ~ ~,. .,.,...v "c; .,./$· etary Date and Time Posted ··,111111111·n11\\~\\W'- This facility is wheelchair ac·cess1ble and accessible parking spaces are available. Requests for accommodations or interpretive services must be made 48-hours prior to this meeting. Please contact the City Secretary's office at (940) 458-7930 for further information. MINUTES: 4A CORPORATION MAYS,2003 PRESENT: Richard Muir, Vickie Jenkins, Bill Fuller, Carroll McNeill ABSENT: Gordon Lurry OTHERS PRESENT: City Manager Jack Smith, City Secretary/Assistant City manager Rose Chavez, Assistant City Secretary Samantha Renz, Mayor Tommy Kincaid, Councilman Mike James, Diana Cruz, Paul Vineyard, 1. Richard Muir called meeting to order. 2. a) b) CONSENT AGENDA Approve Minutes: December 9, 2002 Disbursements Carroll McNeill moved to approve the minutes as presented, Vickie Jenkins seconded, Motion carried unanimously. 3. Citizen's Input. None. 4. Consider and Possible Action on Aiding Miguelito's Restaurant in Bringing a Gas Line to their Proposed Site in Sanger. City Manager, Jack Smith, indicated he was the one who instigated this coming to the 4A Board. Diana Cruz has approached Oncor about bringing a line to the Miguelito's site in Sanger. She was quoted a price of over $40,000.00. He contacted Oncor and they gave him a subcontractor who gave him a quote of $33, 480 for a four inch line. Miguelito's needs a two inch line and Oncor will pay for the upgrade to the four inch line. The two inch line would be around $27,000.00. Vickie Jenkins asked if MigueJito would be the only one benefitting from the line. City Manager explained that all of the properties from F.M. 455 up to the Miguelito's site will be able to tie into this line. It will be a help to any one wanting to use natural gas. Discussion. Richard Muir indicated there has been many gas extensions in the past few years. He asked how these extensions were paid for. City Manager indicated he did not know. Discussion. Diana Cruz, owner of Miguelito's, indicated she would love to come back to Sanger. She indicated that she could PROVIDE tax statements and utility bills. She would employ 50 to 60 people. She has 3000 square feet in Krum, and would build a little under 5000 square feet in Sanger. Richard Muir asked if the request was for a grant or a loan. Ms. Cruz indicated she was requesting a grant. Carroll McNeill indicated he would like to see some of the sales reports. Ms. Cruz submitted the tax reports and indicated that they paid close to seven thousand dollars in sales taxes per month last year, and between two and three thousand dollars per month in utilities. This location will have more seating than the Krum location. Discussion. Bill Fuller asked how long the extension will be. Carroll McNeill indicated 2480 feet. City Manager indicated it will end at Miguelito's. Mayor indicated he did not feel that Oncor would even consider jumping in on this if they did not feel it would make them money. They are offering to pick up around seven thousand dollars for over sizing it. Discussion regarding 4A regulations. Vickie Jenkins indicated if they look at bringing the debt back to $850,000.00, there would be about $239,000.00 available, with approximately $95,000.00 in reserve. The payments would be the same. They voted previously to keep a year reserve in the bank in case the sales tax dropped off they would be able to service the debt. They have reduced the debt a lot. The sales tax averages $11,500.00 per month, and the note debt is about $7500.00, the board could borrow back up to $850,000.00 without increasing the monthly payment. Carroll McNeill asked if it would be possible to increase that amount looking at the history of deposits. • Vickie Jenkins indicated they could present it to a bank that way. Discussion regarding the sewer line on the east side of the highway. They would not pay for the line across the property, but a tap fee will be paid. Richard Muir indicated he wanted to be equitable about what they do and put money in areas that will be to the good of as many as possible. End discussion on this item. 5. Consider and Possible Action on Proposal from Paul Vineyard Regarding Possibly Locating Babe's Chicken in Sanger Paul Vineyard, owner of Babe's Restaurant, addressed the board regarding this item. He introduced two of his employees, and showed a chart of his request. He indicated they were asking the board to give them the staying power if they need it. They will be acquiring a loan, and would request that the 4A Board commit to loaning them the funds to pay the first years interest payments, and the principal and interest the second year. The interest for year one, would be $17,000.00. The second year the principal and interest would be about $61,000.00, and this would be paid back to the 4A board at 7% interest. This would be an increase to the board of over $11,000.00 dollars. Discussed possible income to the city. Bill Fuller asked how the money would be spent. Mr. Vineyard indicated it would help with operating cost. Bill Fuller asked if they would be buying supplies locally. Mr. Vineyard indicated he would not be buying his chicken or some of his other supplies locally. Vickie Jenkins asked what the expected open date would be if they approved the loan at this time. Mr. Vineyard indicated they have asked Mr. Springer for five months to remodel. It could be the end of this year or beginning of next year. Vickie Jenkins asked Diana Cruz how far out she was. Ms. Cruz indicated this was her last bid and she plans to begin as soon as the gas situation is taken care of • Vickie Jenkins asked when they would have to pay for the line. City Manager indicated they could start as soon as construction was started. Discussed that gas line installation was fairly quick. Vickie Jenkins indicated they could probably reserve that amount of money by not applying as much to the current loan. Discussion. Carroll McNeill indicated that he felt the sewer line installation was top priority at this time. Richard Muir asked if it would be equitable to give one a loan and one a grant. Carroll McNeill indicated that the gas line will benefit other individuals/organizations, and that Mr. Vineyards request will only benefit him. Bill Fuller asked if the gas line would service just the highway frontage. Mayor indicated a four inch line will be able to run feeders to the east, and service properties back behind it. Discussion regarding both requests. Discussion regarding securing of easements. Richard Muir asked Ms. Cruz if they would keep both of their restaurants. Ms. Cruz indicated that the lease is up in December in Krum. If it does not go well with both, she would close the one in Krum. Carroll McNeill indicated he would vote to do the sewer line at a ceiling of 150,000.00, approve $66,000.00 for Babes and $27,000.00 paid thru cash accrual for Miguelito's, and if needed they could borrow an additional $216,000.00. Vickie Jenkins moved to approve the $27,280.00 to install the gas line to Miguelito's contingent upon Oncor's upgrading the sewer line to 4" and construction beginning on Miguelito's before the gas line construction starts. Bill Fuller seconded. Motion carried unanimously. Carroll McNeill moved that the board enter an agreement to loan funds to Paul Vineyard D.B.A. Babes Restaurant and that it begin upon the first amortization of his bank note, and after completion of the building and that in year one they make interest payments and that in year two they pay Principal and Interest with accumulation at the end of year two to not exceed $61,100.00 , and a maximum three year pay off and that Mr. Vineyard sign personally and corporately and that there be a lien against the equipment. Vickie Jenkins seconded. Motion carried unanimously. 6. Meeting adjourned. 07/28/04 WED 12:54 FAX 972 636 2849 :·· -... -~ .... •·• ••·· .. ------•-•···-, ...... ···-·· ,_ ............................... ···--· ----------·· • OKTEX · P.O. BOX·254 ROYSE CITY, TX 75189 BILL TO CITY OF SANGBR. SANGER. TX DESCRIPTION ~llaticm or 4" gu main extcn5ion on dediealod easement North bound 35 eavicc l'0lld ft-om Comet ClCIDlll'l to Mig1mtitos Res1U111111t, labor and matGrial·induded. · Additioaal 250' to the South due to im:mra:t locaticm·of tic ills per Oncorprint Tbanlc you for your busimss. P.O.NO. QTY ··-· ·····-···--·lll··\>.9~ ___ .. · invoice INVOICE# 7/3Q/2004 6002 TERMS .. RATE AMOUNT 33.480.00 33,480.00 3.)46.61 3,S46.6l .. .. -Total $37,026.61