06.18.2014 PEDC MinutesProsper
ECONOMIC
DEVELOPMENT
CORPORATION
MINUTES
Meeting of the Prosper Economic Development Corporation
170 N. Preston Rd., Suite 50
Prosper, Texas 75078
Wednesday, June 18, 2014 - 6:00 p.m.
Call to Order and Announce a [quorum is Present
Board President Jim Wicker called the meeting to order at 6:00 p.m. Board members present were Mayor
Ray Smith, Reno Jones, Roger Thedford, Gary Jackson and Jordan Simms. Board Vice President David
Bristol was absent. PEDC Executive Director Robert Winningham, Economic Development Specialist
Garrett Weaver and Economic Development Assistant Sam Blatt were also present.
1. Comments from Citizens (The EDC may receive input from citizens only on topics that are not listed on
the meeting agenda)
There were no comments from citizens.
2. Approval of Minutes from the Regular Meeting on May 6, 2014
Roger Thedford moved to approve the May 2014 Regular Meeting Minutes. The motion was seconded by Gary
Jackson and was unanimously approved.
3. Approval of PEDC Financial Reports for April and May 2014 and Take Any Additional Action Necessary
Reno Jones presented the April and May Financials. Jones noted a steady increase in revenue for April and a
larger increase for May with over $85,000 in sales tax income. Jim Wicker added that May 2014 is the highest
single income month in PEDC history. Jones questioned what caused such a large increase to which Ray Smith
responded that it was likely an increase in concrete and lumber sales. Gary Jackson noted that the "Promotional
Expense" line item was close to approaching the adopted budget and questioned what expenses have been made
in that line item. Robert Winningham clarified that the Bisnow and Hwy 380 events were paid out of the
"Promotional Expense" account as well as other promotional materials.
Gary Jackson moved to approve the April and May 2014 Financial Reports. The motion was seconded by Jordan
Simms and was unanimously passed.
4. Review of Incentive Commitments
Robert Winningham presented the cash flow sheet of commitments to the Board. Garrett Weaver commented that the
only significant changes to the cash flow sheet for the current month were the insertions of the cash flows for the April
and May months. Jim Wicker requested that any month -to -month changes made to the cash flow sheet should be
highlighted for clarity. Roger Thedford questioned if future proposed incentives to projects should be included on the
cash flow sheet. Wicker added that it would be beneficial to add pending projects to the sheet.
Ray Smith requested that staff use the corresponding month's revenues and expenditures from the previous year when
projecting out the remaining months of the fiscal year. Jim Wicker seconded that idea and also requested that
percentage annual growth from year-to-year be added to the cash flow sheet as well. Robert Winningham responded
that staff will incorporate the aforementioned requests into next month's cash flow sheet.
Discussion concluded with no action taken.
5. Discuss and Possibly Take Action on FY2015 Budget
Robert Winningham distributed the proposed FY2015 Budget to the Board. Winningham noted that this was the
first draft of the budget and that it ultimately needed to be passed at the Board meeting in July in order to present
it to the Town Council in time for the next fiscal year. Winningham described the overall layout of the proposed
budget. Ray Smith noted that health insurance increased significantly. Winningham responded that the health
insurance numbers presented were provided and generated by the Town Human Resources Department.
PEDC Minutes —page 2
June 18, 2014
Winningham assured that staff would revisit with the Human Resources Department to ensure that the numbers
provided were correct.
Gary Jackson noted that some of the numbers appeared to add up incorrectly and attributed the incorrect
calculations errors in the spreadsheet cells. Winningham acknowledged the errors and assured that any such
errors would be corrected in the next draft of the budget.
Jordan Simms noted an increase in the "Admin. Fees to Town" line item and inquired the reason for the increase.
Winningham responded that the increase was to cover Town staff s support of accounting, payroll and
administrative services for the PEDC.
After discussion, the Board came up with recommendations for changes to the proposed budget including:
adjusting the formulas for salaries and benefits; adding subtotals for the revenue, salary, benefits and expense
categories; show revenues versus expenses to illustrate a surplus or deficit; update sales tax revenue and interest
on investments; add percentage column to compare projected FY2014 expenses to budgeted FY2014 expenses,
and to compare proposed FY2015 Budget to projected FY2014 expenses. Winningham responded that the
Board's recommended changes would be implemented and redistributed.
No action was taken on this item.
8. Discuss and Possibly Take Action on Won and Lost Projects
Garrett Weaver presented the Won and Lost Projects list to the Board. Weaver noted the additions of Project
Torch and Project Bullseye. PEDC submitted a Request for Proposal (RFP) for Project Torch but was
unqualified to submit an RFP on Project Bullseye due to a lack of existing sufficient space in Town, as the
Project required. Jordan Simms recommended to reduce the size of the report and to delete some of the older,
less relevant projects from the list. Jim Wicker echoed Simms' comment and suggested that the report be
updated and distributed on a quarterly basis.
Discussion concluded with no action taken.
9. Town of Prosper Report: Update on Various Activities and Projects by the Town
Mayor Ray Smith gave an update on various projects and issues for the Town of Prosper.
10. Executive Director's Report: Administrative and Marketing Activities of the PEDC and Upcoming Events
PEDC Executive Director Robert Winningham presented updates on projects on which the PEDC staff is working.
Winningham also noted that the Windsong Ranch ribbon cutting event will occur later in June and that all Board
members are invited to attend.
11. Confirm Next Regularly Scheduled PEDC Board Meeting on July 16, 2014
It was determined that July 16, 2014 is a good date for the next regularly scheduled Board meeting.
6. Convene into Closed Executive Session Pursuant to:
6.1. Convene into Closed Executive Session Pursuant to Texas Government Code, Section 551.087; Deliberation
of Economic Development Negotiations to deliberate Commercial and Financial Information and Economic
Incentives relating to the following:
Board President Jim Wicker called the meeting into executive session at 7:24 p.m. to discuss:
• Grocery Store(s) and Retail Update
• Road Improvements in West Prosper
�_ • Discussion of Potential Office Development(s) and Tenant(s)
• Project GT-California
• Project Lab 25
PEDC Minutes page 3
June 18, 2014
6.2. Texas Government Code, Section 551.072; Deliberation Regarding Real Property to discuss the purchase,
exchange, lease, or value of real property relating to the development of a proposed business park
Board President Jim Wicker reconvened the meeting into regular session at 9:15 p.m.
7. Reconvene into Open Session and take any action necessary as a result of Closed Session deliberations
No action was taken.
11. Adjourn
The PEDC Board meeting adjourned at 9:16 p.m. with a motion from Ray Smith and seconded by Reno Jones.
The motion waspassed unanimously.
C Secretary
Date
Note: Agenda items were conducted in the above order per the Board President's discretion