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Regular Council Meeting July 11, 2016 Page 4 Council Member Lancaster said the Council should be involved in expenditures, because there was a lot facing the City and they needed to be careful with funds. She said everyone wants economic development but they need to look at the whole picture. Council Member Clifford said he was in favor of this and that the law was pretty clear, in that it was intended that the City Council oversee any expenditures of the Paris Economic Development Corporation. He also said it was common sense to make sure the money was spent wisely. Council Member Clifford said this would put an additional safeguard on the money and would ensure everyone was in agreement. He also said this would allow them to put together complete packages where they do not have conflicting inforination when offering abatements and incentives. Council Member Frierson said the Council approve PEDC's budget and inquired of Council Member Trenado if he was suggesting PEDC come to the Council on every deal. Council Member Trenado answered in the affirmative. Council Member Frierson said Council appointed the PEDC Board and asked if they should trust that board. Council Member Trenado said yes, but they should work together. Council Member Frierson said when the agreement was made that anything over $400,000 would come to Council, it was so that PEDC would not have to wait for Council to have a meeting to move forward on a project. Council Member Clifford Steve quoted from the Texas Municipal League Economic Development Handbook — "the City shall approve all programs and expenditures of the development corporation." Council Member Frierson asked if Mr. Paris could come up and comment. Mayor Hashmi said if people felt more comfortable about making a change, he would go along with it. Michael Paris, EDC Director, said Mr. Trenado brought up a good point in that the PEDC and the City Council should work together. Mr. Paris questioned the last 6 months when had they not worked together. Council Member Trenado said he thought they should go back to what the State says and include that rule. Mayor Hashmi inquired of Council Member Clifford about the article. Council Member Clifford said he read it from the Texas Municipal League Handbook, which translates the law into layman's terms so you can understand the intent of the law. Mr. Paris report when the PEDC submits a budget, that the budget encompasses expenses. Council Member Clifford said the Council was not only to approve the budget, but it states the Council is to approve all other expenditures and the Council was not doing that. Mr. Paris said Council was overseeing those expenses because of the threshold of $400,000. Council Member Clifford said he thought $400,000 was a lot of money to not have to get City Council approval. Regardless of the amount of money, Council Member Clifford said to read the handbook because it states Council is to approve everything. Mr. Paris referenced Chapter 300 of the EDC Code, and said the policies and procedures was Council's oversight. Council Member Clifford said the item was about changing those policies and procedures to get a little more oversight. Mr. Paris asked Council to consider the indirect impact of economic development in the community with regard to making changes, because there would have to be a called meeting. Council Member Clifford said it takes 72 hours to call a meeting and then inquired if that was too much of a burden. Mr. Paris said that the business community understands business aspects and can move rather quickly within the policies and procedures set out and to do differently would hinder them. Council Member Clifford said the City of Sherman has a lot of success in economic development and he reviewed their board bylaws, and they had two council members on the EDC. He also said their bylaws contained the following: "Expenditures may be used for the purposes of financing or otherwise providing one or more projects. The specific expenditures shall be described in