03-C PEDC MinutesMINUTES OF THE PARIS ECONOMIC DEVELOPMENT
CORPORATION
ANNUAL MEETING
JUNE 12, 2001
The Paris Economic Development Corporation met for their annual meeting on
Tuesday, June 12, 2001, 4:00 P. M., at Heritage Hall, 1009 West Kaufman
Street, Paris, Texas. President Mike Rhodes called the meeting to order with
the following Directors present: Jay Guest, Michael Dunn, and Don Wall.
Also present were ex-officio boardmembers Bobby Walters, Terry Christian,
Executive Director Gary Vest, City Manager Michael E. Malone, Mayor
Michael J. Pfiester, City Attorney Larry Schenk, Director of Finance Gene
Anderson, and City Clerk Mattie Cunningham.
President Rhodes announced that the Directors had been furnished minutes of
previous meetings of the Paris Economic Development Corporation. He asked
if there were any corrections or additions to the minutes of the previous
meetings, and there were none. Director Don Wall made a motion, seconded
by Director Jay Guest, for approval of the minutes as presented. The motion
carried unanimously.
President Michael Rhodes asked Gene Anderson, Director of Finance for the
City of Paris, to give the financial report for May.
Mr. Anderson came forward stating that he would use the one page summary
and explained there is just a single expenditure on the expenditure side. He
said the PEDC financial is done separate from the city' s and manual checks are
produced for the PEDC. The checks will be posted later, and they will not
show up until the June report. Mr. Anderson said the sales tax collection for
the month was $94,763.00, which includes the sales tax collection for June.
The interest payment of $13,554.37 and the loan payment for Paris Packaging
was $32,000.00. Other expenditures that should have shown up, and did not
show up, were the rental of Heritage Hall of $45.00, payment for
reimbursement of the Chamber of Commerce for expenses connected to PEDC
of $12,778.00, the Chapman loan payment of $4,492.00, and the transfer due
the I&S fund in order to make the debt payment that is due in September.
Minutes of the PEDC
June 12, 2001
Page 2
A motion was made by Director Don Wall, seconded by Director Jay Guest, for
approval of the Financial Statement as presented. The motion carried
unanimously.
President Rhodes announced that he did not have a report.
President Rhodes advised that in the interest of time, Gary Vest had requested
that the Board proceed to item number six of the agenda, which is
consideration of and action on a resolution approving the Annual Plan of Work
outlining the activities, tasks, projects, and programs to be undertaken by the
Board during fiscal year 2001-2002.
Mr. Vest advised that their Program of Work is going to be very similar to what
it has been in the past. He said that goal number one is retention and
expansion of the Paris area existing industrial sector jobs; goal number two is
recruitment of new primary employers in manufacturing,
distribution/warehousing, and basic industrial activities by marketing the
locational advantages and amenities of Paris; goal number three is to encourage
start-up business and small business development through the entrepreneurial
spirit of the Paris economic environment; and goal number four is
infrastructure development and workforce training to support the other goals
of the Paris Economic Development Corporation. Mr. Vest discussed these
goals with the Board.
Mr. Vest read the Executive Summary of the Program of Work to the Board in
it's entirety, discussing items within the summary.
Resolution No. 2001-006, approving the Annual Plan of Work for the Paris
Economic Development Corporation outlining the activities, tasks, projects,
and programs to be undertaken by the Board during the fiscal year 2001-2002,
was presented by City Attorney Schenk.
A motion was made by Director Don Wall, seconded by Director Jay Guest,
Minutes of the PEDC
June 12, 2001
Page 3
for approval of the resolution. The motion carried unanimously.
President Rhodes asked Mr. Vest to introduce Eric Roddy, the new Assistant
Director for the Paris Economic Development Corporation, to the Board.
Mr. Vest told the Board that Eric attended Prairiland High School, Paris Junior
College, and graduated from Texas A&M Commerce. Mr. Vest said that Eric
has worked for Sears all the time he was in college, and also received a
scholarship from Sears to help him with his college. Mr. Vest stated that PEDC
was fortunate to find Eric.
President Rhodes called for the approval of the Annual Budget for fiscal year
2001-2002.
Mr. Vest advised that he worked with Gene Anderson to come up with the
budget figures. Mr. Vest discussed the revenue and expenditures with the
Board for fiscal year 2001-2002. Mr. Vest advised that at the end of September
there should be resources available in the approximate amount of
$1,182,796.00. He advised that the revenue that they anticipate receiving is
$900,000.00, comprised of sales tax revenue plus $25,000.00 in interest, along
with the bond payment from Paris Packaging of $384,000.00 during the
upcoming year, for total resources of $2,491,796.00. Mr. Vest went over the
line item expenditures with the Board.
Resolution No. 2001-007, approving the Annual Budget for fiscal year 2001-
2002, was presented by City Attorney Schenk.
A motion was made by Director Don Wall for approval of the resolution. The
motion was seconded by Director Jay Guest and carried 4 ayes, 0 nays.
President Rhodes announced that the next item on the agenda was a resolution
approving and authorizing Addendum Number Two to the Employment
Agreement dated June 14, 1994, between the Paris Economic Development
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June 12, 2001
Page 4
Corporation, the Chamber of Commerce, and Gary L. Vest. President Rhodes
pointed out that the addendum makes changes to sections three, four, seven,
eight, and fifteen and he read those sections, pointing out the changes.
President Rhodes advised that section three, Compensation, states that PEDC
and Chamber shall pay Mr. Vest a salary, before required deductions, of not
less than $5,687.50, which changed to $6,666.67 per month, payable monthly.
All such compensation shall be subject to the customary withholding tax, social
security tax, and other employment or payroll taxes as may be required and
provided by the United States of America or the State of Texas. President
Rhodes explained this change as updating the salary from 1995.
President Rhodes said that section four, Term, states that in the event that Mr.
Vest is terminated from his employment for any reason other than for cause, in
accordance with Section 13, PEDC and the Chamber agree to continue to pay
Mr. Vest' s salary and benefits due hereunder for a period of 180 days, and the
suggested change is for a period of one year from the effective date of
termination.
President Rhodes said that section seven, Vacation / Holidays, states that after
one year, Mr. Vest will receive three weeks vacation and he shall take vacation
in such year for which he is eligible for same, and Mr. Vest may not carry over
accrued vacation without express authorization of PEDC and the Chamber in
accordance with Lamar County Chamber of Commerce Policy. Mr. Rhodes
advised that the consideration is accrued vacation time as opposed to not being
able to accrue vacation time under the present agreement.
Mr. Rhodes advised that section eight, Automobile / Travel Expenses, is
changing car allowance from $500.00 to $700.00 per month, if the Chamber of
Commerce did not provide Mr. Vest a vehicle. In the event that for some
reason the Chamber does not provide a vehicle, he recommends raising the
amount to a more realistic figure.
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June 12, 2001
Page 5
Mr. Rhodes said the last change is in section fifteen, PEDC's Contribution,
which states that PEDC agrees to pay to the Chamber of Commerce $26,250.00
which is changed to $36,890.00 to fund its proportional 37.3% of Mr. Vest's
compensation, with payment being paid monthly in the amount of $3,074.17.
After discussion of section seven, Vacation / Holidays, it was the consensus
of the Board that the accrued vacation days should not exceed more than 30
days and that in section eight, Automobile/Travel Expenses, the car allowance
will remain as $500.00 per month. The word Chamber should be struck from
the last sentence of the section; otherwise, the section is to remain as proposed.
Resolution No. 2001-008, approving Addendum Number Two to Employment
Agreement dated June 15, 1994, and authorizing the President of the Paris
Economic Development Corporation to execute on behalf of the Paris
Economic Development Corporation, Addendum Number Two to said
Employment Agreement, was presented by City Attorney Schenk.
A motion was made by Director Jay Guest, seconded by Director Mike Dunn,
for approval of the resolution. The motion carried unanimously.
There being no further business, a motion was made by President Michael
Rhodes, seconded by Director Wall to adjourn the meeting. The motion carried
4 ayes, 0 nays.
ATTEST:
MICHAEL RHODES, PRESIDENT
MATTIE CUNNINGHAM
City Clerk
Minutes of the PEDC
June 12, 2001
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