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07/22/2008-4A-Agenda Packet-Regular• AGENDA 4A SANGER, TEXAS INDUSTRIAL DEVELOPMENT CORPORATION TUESDAY, JULY 22, 2008 1:00 P.M. 201 BOLIVAR 1. Call Meeting to Order. 2. Approval of Minutes: April 15, 2008. 3. Discuss and Consider Action on Appointment of Officers. 4. Consider and Possible Action of Funding a Comprehensive Water and Waste/Water Study to Prepare for Future Industrial Growth. 5. Discussion of Possible New Industrial Development. 6. Discuss and Consider Approval of 2008/2009 Budget. 7. Review Financials. 8. Adjournment. Date and Time Posted This facility is wheelchair accessible 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 . • AGENDA 4A SANGER, TEXAS INDUSTRIAL DEVELOPMENT CORPORATION TUESDAY, JULY 15, 2008 1:00 P.M. 201 BOLIVAR 1. Call Meeting to Order. 2. Approval of Minutes: April 15, 2008. 3. Discuss and Consider Action on Appointment of Officers. 4. Consider and Possible Action of Funding a Comprehensive Water and Waste/Water Study to Prepare for Future Industrial Growth. 5. Discussion of Possible New Industrial Develpment. 6. Discuss and Consider Approval of 2008/2009 Budget. 7. Review Financials. 8. Adjournment. Date and Time Posted This facility is wheelchair accessible 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: SANGER TEXAS INDUSTRIAL DEVELOPMENT CORPORATION MEMBERS PRESENT: Bill Fuller, Vickie Jenkins, Fred Yeatts, and Carroll McNiell OTHERS PRESENT: City Manager Mike Brice, City Secretary/Asst. City Manager Rose Chavez 1. Call Meeting to Order. President Fuller called meeting to order at 1:00 p.m. 2. Approval of Minutes: August 21, 2007 Motion made by Vickie Jenkins to accept the minutes as presented. Seconded by Fred Yeatts. Motion carried unanimously. 3. Discussion and Possible Action on Appointment of Officers. City M~n~ger ~dvi$ed $ince Rkh~rd Muir re$igned the BQ~rd need$ tQ ~ppQint ~ new President. The term will be only through July since this is the time officers are normally appointed. Motion was made by Carroll McNeill to appoint Bill Fuller as President. Seconded by Fred Yeatts. Motion carried unanimously. Motion was made by Carroll McNeill to appoint Fred Yeatts as Vice-President, in addition to continue to serve as Treasurer. Seconded by Vickie Jenkins. Motion carried unanimously. Discussion concerning how many offices a member can hold. It was determined that all officers, with the exception of the President, can hold two offices. 4. Discussion and Possible Action on Sanger Texas Industrial Development Corporation Loan Number 20066800 with Prosperity Bank. Discussed concerning the Note Payable at Prosperity Bank for the Wal-Mart Project. The estimated balance due was less than $110,000.00. City Secretary gave the Board a brief summary of the balances in the money market, cbecl<Jng account, and certificate of deposits that totaled $299,156.05. Discussion concerning the pay-off on the loan and the term of the tax abatement for Wal-Mart. There was discussion concerning the 50% abatement term and when the • term is over the property taxes would be increased to 100%. City Manager advised the tax abatement runs out in 10 years. ( Note: The agreement was signed October 16, 2000. The abatement ends on January 1, of the first year following the calendar year in which the certificate of occupancy was issued. Certificate of Occupancy was issued June 2001 ). Discussion continued concerning the value of the building. The board members discussed the interest rate at First United Bank and the earnings of the investment in a 90-day certificate of deposit. Carroll McNeill indicated be would like to see the loan paid off. Vickie Jenkins indicated she agrees, but they could earn more interest at First United on an investment than what they are paying on the loan. City Secretary advised that a 30-day CD investment would be 5% yield and a 90-day CD would have a 5.25% yield. City Secretary advised that the interest rate on the money market is earning a rate of2.88% at Prosperity and this was through the end of March. Discussion followed on whether to invest or pay the loan off. Vickie Jenkins made the motion that $150,000.00 be pulled from the Money Market at Prosperity Bank and to invest the monies into a certificate of deposit at First United Bank for a 90-day term. Seconded by Carroll McNeill. Motion carried unanimously. 5. Review Financials City Secretary asked for clarification concerning the deposits into the money market at Prosperity. After some discussion, it was the consensus of the members that after the loan payment of $10,000.00 is made each month that all excess revenues above this amount are deposited into the money market at Prosperity, until such time it can be added to the certificate of deposit at First United. The money market at Prosperity is to maintain a $50,000 balance when possible. City Secretary continued with a brief overview concerning the Trial Balance and the year-to-date revenue and expenditures. There was clarification on some line items that were explained by the City Secretary . • City Manager advised that in this year's budget the Board approved to transfer $40,000 to the General Fund to fund Economic Development. The resignation of Ms. Carson eliminated the need to transfer all the funds; however, the 4A has transferred $10,000. At some time during the year we will transfer the $10,000.00 from 4B to cover ongoing expenses for Economic Development. This will be the only transfer made this budget year. 6. List of Future Agenda Items. City Manager advised the Board Members concerning some issues that may require their attention within the next six months to a year. There has been a lot of interest on Interstate 35 and the Railroad corridor for Industrial Development. They have talked to several different developers and a couple of different companies who have looked at this location for relocation. In the City Council agenda for Monday there is a replat for 200 plus acre,, north of Wal-Mart for 1-1 Industrial development~ The developer is looking at this site for development of an Industrial Campus. The biggest drawback is the lack of infrastructure in this area. He would like this Board at some time to look into what needs to be done at this corridor to allow for Industrial growth. City Manager expressed how important this is for future development. He emphasized that we need to become more proactive and build the infrastructure out to that area to attract those businesses. City Manager emphasized the City also needs to have the planning to sustain the growth that will occur in this area. In order to accomplish this it will take an engineering study. The process bas already taken place in talking to some engineering firms to conduct the study to determine cost. Discussion on the importance in the development of this area. The electricity is already to the site. The only infrastructure that is needed is water and sewer. The existing line that is in the area is a 21-inch that narrows up to a 15-inch then to a 6-inch before it gets to the plant. The line should be getting bigger instead of smaller. On the sewer side there is infrastructure from the plant all the way North that has to be addressed. The water infrastructure is not so critical as the sewer. In the past the lack of funding has put the City in the situation where it is currently. The City is experiencing growth and there is a need for planning and a study would indicate how to build the infrastructure that works in the future. City Manager advised the study has to be done by an engineering firm to determine the need for the City for the future. In the past, the philosophy has been if a property owner wanted to develop a piece of property he needed to pay for the infrastructure. His philosophy is to take the infrastructure to where the property owner can then bear the cost of extending the line from that point to his property. Discussion concerning if there is any property that the City owns in that area • City Manager advised that he will continue to advise the Board Members of any Industrial Prospects by e-mail. Fred Yeatts expressed that concerning the study, it would be smart for the City to get an engineering firm to look at this. Carroll McNiell inquired on the cost related to the study. City Manager advised there was one firm that gave a proposal at $60,000.00. They did advise the firm that it was high and asked for them to look at their numbers again; however, he does not feel that it will be a lot cheaper than this. Discussion continued on the importance of pursuing this project. Carroll McNiell indicated since the Board has the funds, this is a golden opportunity to get the study done to understand how the City needs to move forward. In his opinion this is what the money is for. All the Board Members agreed to move forward on the study. City Manager advised he would come back to the Board with a proposal. City Manager advised that Gary Bilyeu is on the Council Agenda for Monday the 21 st for appointment to the 4A Board. President Fuller discussed the meeting which is scheduled for July. The Board Members agreed to schedule the meeting for Tuesday July 15, 2008 at 1:00 p.m. 7. Adjournment. President Fuller adjourned the meeting. 7-10-2008 04:03 PM C I T Y 0 F S A N G E R PAGE: TRIAL BALANCE AS OF: JUNE 30TH, 2008 41 -4A CORPORATION ,..,..** MONTH TO DATE*+++ "'"'**"' YEAR TO DATE ***** .CCOUNT N01f TITLE DEBITS CREDITS DEBITS CREDITS ASSETS 00-1010 CASH 30.21 1,500.00 00-1011 SANGER TX.IND.DEV.CD.67516/4A 0. 00 0.00 00-1012 MONEY MARKET (4A) INV. 9,445.78 86,083.43 00-1013 SANGER TX IND CORP CD#486639 396.61 85,300.81 00-1011 SANGER TX IND DEV. CDf568058 709.81 159, 907_. 08 00-1053 RECEIVABLE-OTHER 5,522.72 24,397.63 00-1060 DUE FROM GENERAL FUND 0.00 0.00 00-1062 AMOUNT TO BE PROVIDED L-T-D 0.00 272,623.90 LIABILITIES AND FUND BALANCE 00-2201 N/P GNB o. 00 272,623.90 00-3020 FUND BALANCE 5,522.72 254,118.10 REVENUES 00-4000 LOAN PROCEEDS 0.00 0.00 00-4425 STATE SALES TAX 19,475.99 184,760.18 00-1800 INTEREST INCOME 1,106.15 8,317.07 00-4940 DONATIONS 0.00 o.oo 00-4950 PRIOR YEAR INCOME 0.00 o.oo 00-4985 TRANSFERS OUT FR 4A TO GF o. 00 0.00 EXPENSES 75-5200 CHECK CP.ARGES 0.00 0.00 75-5205 FOOD 0.00 o.oo 7 5-5210 OFFICE SUPPLIES 0.00 31.40 75-5215 TRAVEL & REGISTRATIONS 0.00 0.00 75-5220 DUES 0.00 5.00 75-5225 PUBLICATIONS/SUBSCRIPTIONS 0.00 0.00 75-5235 DUES & REGISTRATION 0.00 0.00 75-5240 TRAVEL 0.00 0.00 75-5410 INSURANCE 0. 00 0.00 75-5420 CONTRACTUAL SERVICES 0.00 0. 00 75-5425 LEGAL FEES 0.00 0. 00 75-6500 PROJECTS 0.00 0.00 75-6505 LOAN PAYMENTS/20066800 10,000.00 90,000.00 ... TOTALS*** 26,105.16 26, 105.16CR 719,849.25 719, 849.25CR • 7-10-2008 04: 03 PM 41 -4A CORPORATION REVENUE SUMMARY 4A REVENUES * ** TOTAL REVENUES EXPEND! TURE SUMMARY 75-4A EXPENSES *** TOTA.L EXPENDITURES*** ** REVENUES OVER(UNDER) EXPENDITURES** TOTAL OTHER FINANCING SOURCES (USES) • C I T Y O F S A N G E R FINANCIAL STATEMENT CURRENT BUDGET 186,200.00 186,200.00 121,500.00 , ?1, i;nn. nn 64,700.00 0.00 o.oo 0.00 AS OF: JUNE 30TH, 2008 CURRENT PERIOD 20,582.44 20,582.44 10,000.00 10,000.00 10,582.44 0.00 0. 00 0.00 Y-T-D % OF ACTUAL BUDGET 193,107.25 103.71 193,107.25 103.71 90,036.40 74.10 90,036.10 71.10 103,070.85 159.31 0.00 0.00 0.00 0.00 o. 00 0.00 Y-T-D ENCUMB. 0.00 0.00 0.00 0.00 o. 00 0.00 0.00 0. 00 PAGE: BUDGET BALANCE 6,907.25) 6,907.25) 31,463.60 31,163.60 38,370.85) 0.00 0.00 0.00 7-10-2008 04: 03 PM 41 -4A CORPORATION REVF REVENUES 4A REVENUES 00-4000 LOAN PROCEEDS 00-1125 STATE SALES T.l\..X 00-4800 INTEREST INCOME 00-4940 DONATIONS 00-4950 PRIOR YEAR INCOME 00-4985 TRANSFERS OUT FR 4A TO GF TOTAL 4A REVENUES TOT AL REVENUES ** • • C I T Y O F S A N G E R FINANCIAL STATEMENT CURRENT BUDGET 0.00 222,000.00 4,200.00 0.00 0.00 40,000.00) 186,200.00 186,200.00 AS OF: JUNE 30TH, 2008 CURRENT PERIOD 0.00 19,175.99 1,106.45 0.00 o.oo 0.00 20,582.44 20,582.44 Y-T-D % OF ACTUAL BUDGET 0.00 0.00 181,760.18 83.23 8,347.07 198.74 0.00 0.00 0.00 o.oo 0.00 ---2..:..QQ 193,107.25 103. 71 193,107.25 103.71 Y-T-D ENCUMB. 0.00 o. 00 0.00 o. 00 0. 00 0. 00 0.00 0. 00 PAGE: BUDGET BALANCE 0.00 <7 1 ?~0.A? 4,147.07) 0.00 0.00 40,000.00) 6,907.25) 6,907.25) 7-10-2008 04:03 PM 41 -4A CORPORATION 75-4A EXPENSES DE Pl' T EXPEND I TURES C I T Y O F S A N G E R FINANCIAL STATEMENT CURRENT BUDGET AS OF: JUNE 30TH, 2008 CURRENT PERIOD Y-T-D % OF ACTUAL BUDGET Y-T-D ENCUMB. PAGE: BUDGET BALANCE ----------------------------------------------------------------------------------------------------------------------------- 52-SUPPLIES AND MATERIALS 75-5200 CHECK CHARGES 75-5205 FOOD 75-5210 OFFICE SUPPLIES 75-5215 TRAVEL & REGISTRATIONS 75-5220 DUES 75-5225 PUBLICATIONS/SUBSCRIPTIONS 75-5235 DUES & REGISTRATION 75-5240 TRAVEL TOTAL 52-SUPPLIES AND MATERIALS 54-CONTRACT SERVICES 75-5410 INSURANCE 75-5420 CONTRACTUAL SERVICES 75-5425 LEGAL FEES TOTAL 54-CONTRACT SERVICES 65-T.§. 75-6500 PROJECTS 75-6505 LOAN PAYMENTS/20066800 TOTAL 65-PROJECTS DEPARTMENT TOTAL *** TOTAL EXPENDITURES*** OTHER FINANCING SOURCES (USES) TOTAL OTHER FINANCING SOURCES (USES) *** END OF REPORT*** 0.00 0.00 200.00 750.00 250.00 200.00 0.00 0.00 1,400.00 100.00 0.00 0.00 100.00 0.00 120,000.00 120,000.00 121,500.00 ----==--= ... --= 121,500.00 0.00 0. 00 0.00 0.00 0.00 0.00 0.00 0.00 o. 00 0.00 0.00 0.00 0.00 o.oo o.oo 10,000.00 10,000.00 10,000.00 ===--------=== 10,000.00 0.00 0.00 0.00 o. 00 0.00 31.40 15.70 o. 00 0.00 5.00 2.00 0.00 0.00 0.00 0.00 0.00 _Q_,__Q__()_ 36.40 2.60 0.00 0.00 o.oo 0.00 ----~o~. o~o _Q_,__Q__()_ 0.00 0.00 0.00 0.00 90,000.00 75.00 90,000.00 75. 00 90,036.40 74.10 90,036.40 74.10 0.00 0.00 0.00 0.00 0.00 o. 00 o. 00 0. 00 o.oo 0. 00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0. 00 0.00 0.00 0. 00 0. 00 168. 60 750.00 215.00 200.00 o. 00 0.00 1,363.60 100.00 0.00 0.00 100.00 0.00 30,000.00 30,000.00 31,463.60 31,463.60 0.00 4A DEPOSITS 1999 I 2000 I 2001 I 2002 I 2003 I 2004 I 2005 I 2006 I 2007 I 2008 I -- I JAN. I $61691.041 $81083.931 $81937.431 $10,348.82 I $10,188.221 $25,847.621 $13,993.781 $16,264.501 $16,691.411 $17,436.57 I FEB. I $91806.45! $9?63.371 $111840.64 I $141870.781 $141840.341 $17,485.761 $211?79.91 ! $21,513.621 $191601.101 $2210?1.091 [ I I MARCH I $6i700.02I $10,384.63 I $81984.181 $91209.151 $121446.361 $131382.91 I $14,254.431 $161620.93 I $1§472.341 $19,892.631 l APRIL I $10101s.18I $81416.521 $9,517.251 $91195.021 $91202.141 $121224.77 I $141166.101 $171198.171 $15,482.001 $1a,s.11.54I 1 I MAY I $91970.221 $101323.151 $14,946.441 $10,623.561 $151125.041 $201311.371 $20,556 .. 14 I $171428.36 I $2§767.831 $22,166.331 C I JUNE I $71392.451 $71953.661 $10,131.01 I $111911.061 $141358.11 I $181276.941 $151585 .. 541 $231063.99 I $17', 172.67 I $19,338.741 L l JULY I $8?33.021 $71642.301 $12,784.181 $10,597.471 $11,370.281 $161692.361 $16,914 .. 661 $171896.761 $1§1127.61 I I I I ' AUGUST I $121935.491 $10,854.251 $11 I035.ool $14,962.171 $161132.421 $191354.71 I $201375.58 I $241003.15 I $241581.42 I I ~ SEPT. I $8,584.581 $7 1100.501 $1\612.081 $121928.161 $131140.491 $15?25.621 $16,977 .. 991 $19?46.741 $2§990.121 OCT. I $91164.481 $101136.27 I $281586.961 $131940.44 I $1\426.721 $161084.641 $171074.51 I $111042.771 $241397.631 I NOV. I $81912.471 $111975.61 I $16,166.71 I $14,246.901 $171184.881 $221700.731 $201661 .. 06 I $241265. 79 I $22l 846. 79 I I DEC. I $121594.421 $71860.371 $10,397.061 $10,198.241 $12,570.111 $16,179.851 $19,822.071 $17,830.911 $17',961.61 I TOTAL $111.559.82 $110,497.56 $160,938.94 $143,031.77 $157,985.111 $214,267.28 $212,161.77 $226,875.69 ~092.53 • 4A ECONOMIC DEVELOPMENT BOARD REVENUES 2008 Budget 2008 Estimated 2009 Proposed 4425 State Sales Tax $ 222,000.00 $ 245,000.00 $ 240,000.00 4800 Interest Income $ 4,200.00 $ 10,000.00 $ 7,500.00 Fund Balance Carryover $ 254,118.00 $ 254,118.00 $ 337,000.00 Other Income Total Revenues $ 480,318.00 $ 509,118.00 $ 584,500.00 EXPENDITURES Supplies & Materials 5201 Other 5210 Office Supplies $ 200.00 $ 200.00 5215 Food 5220 Postage 5225 Maps & Subscriptions $ 200.00 $ 200.00 5230 Advertising 5235 Dues & Registration $ 250.00 $ 5.00 $ 250.00 5240 Travel $ 750.00 $ 750.00 Subtotal $ 1,400.00 $ 5.00 $ 1,400.00 Projects 6500 Projects $ 40,000.00 6505 Loan $ 120,000.00 $ 120,000.00 $ 40,000.00 Sutotal $ 120,000.00 $ 120,000.00 $ 80,000.00 Transfer To General Fund for Ad min & Advertising $ 40,000.00 $ 20,000.00 $ 25,000.00 Subtotal $ 40,000.00 $ 20,000.00 $ 25,000.00 Total Expenditures $ 161,400.00 $ 140,005.00 $ 106,400.00 Available Fund Balance $ 318,918.00 $ 369,113.00 $ 478,100.00 • '-·