06-TRAFFIC COMMISSION, P&Z, PEDC MINUTES FROM MAY-JUNE MEETINGS

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PEDC Board Meeting Minutes June 12, 2012 Discussion took place on what a grant writer would cost. Steve said he felt Rachel Schory had done an excellent job on the 2 to 3 Grant applications that had been submitted. Grant writers aren't cheap. They can charge up to 10% of the total Grant amount and the Grants that have currently been applied for did not include administration fees. Steve has a trip planned to visit with TMAC/TEEX personnel on their ability to assist with a Manufacturing Jobs Accelerator Grant the last week of June. Discussion and possible action regarding proposed revisions to the current Citv of Paris' Policv Statement Criteria and Guidelines for Tax Abatement: Kent Mcllyar, Legal Counsel, addressed those present. He told them that he had looked at other communities' policies. The Paris City Council wants to . see the process streamlined and less complicated. The City Council deferred action at their last meeting in June. The original policy had charts pertaining to what level an abatement would apply. Most abatements are relative to job creation. Although, Plano, Texas' policy doesn't focus onjob creation but the amount of capital investment. Pam Anglin stated that she felt the current policy that was agreed to by all three taxing entities made it simpler to provide a letter to prospective industry stating exactly what abatements would be approved (meeting the designated criteria) rather than have to take each issue before the entities' respective Boards for a decision. More discussion took place. Doug Wehrman made a motion to recommend to the Paris City Council to approve renewal of the existing Tax Abatement Policy between the three local taxing entities (City of Paris, Lamar County and the Paris Junior College) for the short-term, and to activate the "Tax Abatement Committee" (Section II, (s)) to review any proposed changes, including: a) Simplify and clarify the criteria and policies based on jobs and capital investment; b) Provide an abatement policy for residential properties, including release of City liens for property located inside City limits; and c) Provide a policy for property located outside of the City limits, but within the County and Paris Junior College's jurisdictions and to finalize a revised policy for approval by all governing bodies within 90 days. Motion Carried 4-0. Discussion and possible action regardinE consideration and aqproval of a Resolution bv the Board of Directors of the Paris Economic Develoament Corporation pledOng certain "Pledzed Revenues" of the Cornoration, including "Gross Sales Tax Revenues", to the pavment of the Corporation's Obli2ations to the Sulahur River Mobilitv Authoritv pursuant to an Interlocal Cooperative Agreement relatin2 to the State Hi2hwav 24 Proiect; Approving the substantiallv Final Versions of the Two State Infrastructure Bank Loan Agreements between the Authoritv and the Texas Department of Transnortation and the Interlocal Cooperative A2reement between the Authoritv and the Participants; and other matters relating thereto: Steve informed the Board that the State Infrastructure Bank (SIB) Loan documents had changed drastically. That due to Paris EDC's current outstanding Bonds for Paris Packaging that TxDOT wanted parity obligation on future sales tax revenues to debt There was a SuRRMA Board meeting the week prior and Delbert Horton, Chairman, was negotiating between SuRRMA and TxDOT attorneys. Steve would be meeting with Paris EDC's attorney on the matter, June 13"' in San Marcos. Not ready to take action on this item at this time. Discussion and possible action regarding Revenue Bond Pavments pertaininE to the Paris Packagine Bonds and the timeline and costs affiliated with the defeasance process for pavment, to term, of same. Steve asked them to view the document provided by Southwest Securities. For Paris EDC to create a defeasance on the existing Bond debt a third party (escrow) account would need to be established in the amount of $2,370,940.15. The defeasance process takes about 90 days. The Board asked if that amount included all processing fees associated with the process. Steve said he would check into it. No action was taken on this item. 13