06/29/2012 MINUTES1Paris Economic Development Corporation
Called Meeting Minutes
June 29, 2012
Board Members Staff
Present: Pike Burkhart, Chairman Present: Steve Gilbert, PEDC
Rick Poston
Bruce Carr
Kenny Dority
Doug Wehrman
Ex- Officio Members
Present: Jon Landers, Chamber Chairman
John Godwin, City Manager
Legal
Counsel: Kent Mellyar
City Council
Liaison: Matt Frierson
Shannon Barrentine, PEDC
Fred Green
Gene Anderson, Finance Dir.
Guest(s)
Present: Toni Clem
Bill Harris
Jeff Parish, eParisTexas.com
Connie Beard, The Paris News
Kay O'Dell, NE TX WF Solutions
Pike Burkhart, Chairman, called the meeting to order at 1:06 p.m. He welcomed those present.
Discussion and possible action to provide direction to Staff regarding the following options:
1 To pay $1,450,000 in cash to Texas Department of Transportation (TxDOT) /Sulphur River
Regional Mobility Authority (SuRRMA) for Paris EDC's share of the Highway 19/24 four -lane
widening project (see language for Section 2.5); or
2. To enter into a 20 -year State Infrastructure Bank (SIB) Loan Agreement along with Lamar
County and the City of Cooper. The estimated annual payment is $103,700. This option will constrain
Paris EDC's future ability to take on additional debt based on TxDOT's requirements.
Steve told those present the history of the upcoming State Infrastructure Bank (SIB) Loan through the
Sulphur River Regional Mobility Authority (SuRRMA). Steve had been working with William `Dub'
Sutherland as Special Counsel for this project to review all pertinent documents. Steve said that Mr.
Sutherland highly recommended that the Paris EDC pay their portion of the project ($1.45 Million) upfront
in order to forego the constraints that SIB /TxDOT wants to place on the Paris EDC, in the future.
Kenny Dority made a motion to approve upfront payment to SuRRMA in the amount of $1.45 Million as
their portion of the project with the knowledge that if the project comes in under budget the Paris EDC
would not reap the benefit but that Lamar County and the City of Paris would; seconded by Rick Poston.
Motion Carried 5 -0.
Discussion and possible action regarding Revenue Bond Payments pertaining to the Paris Packaging
Bonds and the timeline and costs associated with the defeasance process.
This item was not necessary due to the action taken on item, above.
PEDC Board Meeting Minutes
June 29, 2012
Discussion and possible action regarding a possible Budget amendment for Fiscal Year
2011 -12.
Doug Wehrman made a motion to approve an amendment to the current Fiscal Year Budget 2011 -12 to add
the payment to SuRRMA in the amount of $1.45 Million, from Reserves, for the Highway 19/24 widening
project; seconded by Kenny Dority. Motion Carried 5 -0.
The Board convened into executive session at 1:30 p.m. pursuant to Section 551.072, and Section 551.087
of the Texas Government Code to discuss and deliberate on the following:
A. Section 551.072 - Real Property
B. Section 551.087 — Economic Development Negotiations
The Board re- convened into open session at 3:02 p.m. and took a 5 minute recess. As a result of executive
session discussion, the Board took the following action:
Rick Poston made a motion to cancel the existing lease with the Lamar County Chamber of
Commerce, for convenience, and direct Steve Gilbert to send a letter of notice, to Jon Landers, Chamber
Chairman; seconded by Kenny Dority. Motion Carried 5 -0.
Kenny Dority made a motion to instruct Steve Gilbert, Executive Director, to continue negotiations
with Liberty National Bank on Project NMC; seconded by Doug Wehrman. Motion Carried 5 -0.
Discussion and possible action regarding the proposed Paris EDC Budget for Fiscal Year
2012 -13.
Bruce Carr stated that he would like to form a Working Group to assess the cost benefit of Retail
Attractions (Rickey Hayes); Performance of the Incubator and possible pay increases for the Paris EDC
Staff. (This will be revisited after the new Board members are sworn in and new officers elected.)
Doug Wehrman made a motion to recommend approval of the proposed Fiscal Year 2012 -13 Budget with
changes (eliminating the line item for the SuRRMA annual payment); seconded by Bruce Carr. Motion
Carried 5 -0.
Doug Wehrman made a motion to adjourn at 3:45 p.m.; seconded by Rick Poston. Motion Carried 5 -0.
Respectfully submitted,
Shannon Barrentine
Asst. Executive Director
Paris EDC