Minutes EDC 4B 01/08/2007 - Joint Session with Town CouncilMINUTES OF JOINT SESSION
ECONOMIC DEVELOPMENT CORPORATION 4B
AND TOWN COUNCIL OF THE
TOWN OF TROPHY CLUB
January 8, 2007
7:00 P.M.
STATE OF TEXAS
COUNTY OF DENTON
The Economic Development Corporation 4B of the Town of Trophy Club, Texas, met in a Joint
Session on January 8, 2007. The meeting was held within the boundaries of the Town and was
open to the public.
TOWN COUNCIL MEMBERS PRESENT:
Nick Sanders
Roger Williams
Pam Cates
Susan Edstrom
Philip Sterling
Gregory Lamont
STAFF AND GUEST(S) PRESENT:
Brandon Emmons
Lisa Ramsey
Patricia Adams
Beth Ann Gregory
Sakura Moten-Dedrick
Danny Thomas
Scott Kniffen
James Hicks
Doyle Nicholson
Larry Crosser
Rebecca Shuman
Mayor
Mayor Pro Tem
Council Member
Council Member
Council Member
Council Member
Town Manager
Town Secretary
Town Attorney
Community Development Director
Finance Director
Fire Chief
Police Chief
President, EDC 4B
Vice -President, EDC 4B
EDC 4B, Board Member
EDC 4B, Board Member
TOWN COUNCIL AND EDC 4B CONVENED INTO JOINT SESSION AT 7:21 P.M.
*JOINT SESSION
EDC 4B President, James Hicks called to order EDC 4B and announced a quorum.
Town Council and EDC 413r to discuss and consider the expenditure of EDC 4B funds to
contract with the Buxton Group for psychographic profiling for the Town of Trophy Club.
Buxton Group representative, Joe Fackel provided a brief history on the Buxton Group. Fackel
summarized and outlined the comprehensive scope of work the Buxton group will perform as
the Town pursues its retail attraction and expansion goals. The Buxton Group appreciates the
opportunity to propose their services and said the group prides themselves on providing
ongoing support.
EDC 4B, President James Hicks mentioned EDC4B has been looking for some time to attract
business and recalled their decision to pursue other options in 2005. Now having looked at
other options EDC 4B agrees knowledge is indeed power and the Buxton Group will help the
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Town determine what will work. At Council's request to find retail services, EDC 4B
recommends the Buxton Group as a viable strategy and requested Council not be short -sided in
their decision, but rather be forward thinking and approve. Hicks suggested the fee be paid
from the large project reserves, with half of the fee paid this fiscal year and the other half next
fiscal year. The Buxton Group will allow the Town to create their own little niche and provide an
excellent opportunities to reduce and keep property taxes at a desirable level given restraints of
Trophy Club.
EDC 4B to adjourn.
Mayor Sanders asked that EDC 4B stay in session for the consideration of Item D.1.
TOWN COUNCIL RECONVENED INTO REGULAR SESSION
'REGULAR SESSION
Discuss and take appropriate action regarding the expenditure of EDC 4B funds to
contract with the Buxton Group for psychographic profiling of the Town of Trophy Club.
EDC 4B, Board member, Larry Crosser thanked the Council for viewing the presentation and
requested they stay focused on the big picture, which goes beyond the current needs of the
current landowner. Crosser spoke of Council's request for EDC to be more active, stating
Council's approval will enable this. EDC 4B is not asking for money, but an investment to help
EDC 4B meet their responsibilities.
David Glaser, 15 Overview — Spoke in favor of the contract with the Buxton Group.
Council member Cates questioned if the study identified what businesses would be good in this
area based on the retail value, rent and physical aspects of the area. Mr. Fackel responded the
study would identify retailers with locations in trade areas similar to the Town's as potential
matches, physical aspects will be taken into consideration and distance analysis will be
performed to be sure that the location is a fit.
Mayor Pro Tem Williams asked the radius of area and the best approach to developers who do
not want to participate. Mr. Fackel answered the radius depends due to multiple drive times; an
anchor tenant trade is going to be larger than the trade area for a Taco Bueno. Fackel stated
the 18,000 available square feet at regency needs to be on the tax rolls and while the
developers may not want to participate financially for the study they will want the information
once the study is complete. It will be a team effort of local leasing people and staff who will
market the companies that have been identified as well as to the developers.
Council member Edstrom confirmed that four areas have been determined and questioned why
Larry Stewart did not want to participate. Larry Crosser advised that Stewart has a file full of
data that would help him develop the property and was originally interested in this idea.
Edstrom is concerned the Town may spend $60,000 and the developers will not take advantage
of the results.
Council member Sterling verified there are nearly 500 retailers in the bank.
Mayor Sanders commented on Larry Stewart's unwillingness to participate might be because
Stewart currently does not have a concept plan and is only selling lots. Sanders agreed with
Edstrom about the unsuccessful attempts to engage Stewart, suggesting perhaps were due to
his last go around and the extensions. Sanders suggested leading marketable prospects to
Stewart.
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January 8, 2007 Joint Session
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Motion made by Lamont, seconded by Sterling to approve the recommendation of EDC 4B for
the expenditure of $60,000, to be paid over a two year budget cycle and enter into a contract
with the Buxton Group for the purpose of creating community id profile.
Council member Lamont commented the Town has over 70 acres at approximately $800.00 an
acre. The Town could recoup the cost that much faster if we accelerated putting the businesses
in by two years
Council member Sterling feels it is good idea to spend the funds but prefers to analyze only two
sites rather than four in order to get a less expensive deal.
Edstrom, Williams and Cates are all in favor and agree this is only one component of the
strategic plan. Prior to approving all would like to see a detailed implementation and action
plan, including a concept of what should be with the collected data.
Council member Edstrom confirmed the study will take approximately 60 days and the
implementation strategic plan could be developed while working on the public notification.
Mayor Sanders questioned the terms of the agreement. Mr. Fackel responded typically 50%
would be requested at the execution of the agreement and then invoices would be sent over the
course of the contract. Because this contract would be billed over the course of two budget
cycles, they would ask for $30,000 up front and then bill for the remaining $30,000 in the next
budget year.
EDC 4B, Board member, Rebecca Shuman advised planning is a big part of their job with the
purpose of removing risk. Council's approval of this study will allow them to present good
recommendations. The Board has already developed long-range goals, and at Council's
request has found and researched a firm to help develop a plan.
The mover modified the motion to move forward with the proposal, hold a Public Hearing and
come back to Council, the second agreed.
Council member Edstrom amended the motion to include an outline and an implementation
plan.
Mayor Sanders clarified the motion was to approve in concept, the expenditure up to $60,000
for the Buxton study which will be funded by EDC 4B, EDC 4B will hold the Public Hearing and
develop an implementation plan to be presented to Council as soon as practical. Both the
mover and second agreed.
Mayor Sanders questioned Buxton's original proposal, which included a discount if Council
approved by the end of the year. Mr. Fackel confirmed the price outlined in the EDC proposal,
four sites for $60,000. Sanders thanked the Council for their diligence, EDC 4B for bringing this
forward and the significance of this Item being unanimously approved by six EDC 4B members.
Sanders is in favor of the motion, he feels the key is to be proactive; we need a plan with a good
idea and currently do not have the staff to conduct the research in order to recruit retailers.
Motion passed unanimously without further discussion
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Discuss and take appropriate action regarding a Resolution repealing Resolution No.
2005-20 establishing guidelines and criteria for tax abatements and adopting new
guidelines and criteria for tax abatements entitled "Town of Trophy Club, Texas Policy
Statement for Tax Abatement (2007)"
Town Manager Emmons remarked the Council passed a Resolution approving tax abatement
guidelines in August of 2005. This Resolution adopts new guidelines that are the same in all
respects, except definitions and a tax abatement schedule recommended by EDC 4B has been
included. Emmons commented the schedule does not include 100% abatement and the
business will still need to invest, resulting in a return for the Town.
Motion made by Sterling, seconded by Williams to approve.
Council member Edstrom questioned how the schedule was determined. Town Manager
Emmons explained schedules from surrounding areas were, considered, some were more forth
coming than others since they are not in the competitive area.
Council member Sterling thinks the schedule is easy to understand and its appeal will attract
business.
Mayor Sanders announced that Community Development Director, Beth Ann Gregory and staff
are working on developing an Economics Development website.
Motion passed unanimously without further discussion.
Discuss and receive input regarding the potential creation of a reinvestment zone and
the boundaries of the zone.
Town Manager Emmons sought Council's direction regarding the potential creation of a
reinvestment zone and the area(s) to be included in the reinvestment zone. In the four zones
there is approximately 74 acres of commercial which was identified in the Buxton proposal.
Emmons explained staff would prefer Council's recommendation prior to spending the money
on the publication.
Mayor Sanders mentioned two smaller areas; one across the street from the Firehouse and
another piece located behind Tom Thumb between the creek and the tennis courts. Mehrdad
Moayedi of Centurion is considering selling the corner development for Village Center.
Council member Edstrom questioned how the new facilities, new value and modernization differ
from the other reinvestment zones. Town Manager Emmons explained in order for the facilities
to go in it has to be designated as a reinvestment zone.
Council member Sterling questioned if the property has to be stated specifically. Town Manager
Emmons advised the publication has to list the legal description of each zone as a reinvestment
zone. Sterling is in favor of encompassing all commercial property. Council member Edstrom
agreed and feels it to the Town's advantage to include all commercial space. Mayor Pro Tem
Williams added all property with the potential for commercial needs to be included. Mayor
Sanders asked what Council felt about the 26 acres of which 40% by the Clock Tour is zoned
for recreation. Mayor Pro Tem Williams and Council member Cates and Sterling feel this area
should be included.
Council member Lamont asked why areas five and six were not included. Mayor Sanders
answered the piece that used to be the old clubhouse, which is zoned for office space and
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owned by Beck. The piece behind Tom Thumb was bought by Centurion and is zoned
commercial; a potential visitor center has been discussed. Emmons added the intent was to
include the commercial recreation in the 26 acres.
Mayor Sanders advised this item was for direction only.
Motion made by Williams, seconded by Sterling to proceed with the development of the
reinvestment zone.
Motion passed 3:0:1, with Edstrom abstaining, as the Item was not posted for action.
Town Attorney, Patricia Adams counseled the motion would be on the consensus of the input.
Motion made by EDC 4B Board member Nicholson, seconded by EDC 4B Board member
Crosser to adjourn.
EDC 4B adjourned at 8:57 P.M.
+iHii s 1= Damian Olthoff