2017-06-27 CEDC Minutes NgCITY OF
SOUTHLAKE
SOUTHLAKE COMMUNITY ENHANCEMENT AND DEVELOPMENT CORPORATION
BOARD MEETING MINUTES: June 27, 2017
LOCATION: Southlake Town Hall
1400 Main Street, Room 4A
Southlake, Texas 76092
TIME: 6:00 p.m.
COMMUNITY ENHANCEMENT AND DEVELOPMENT
CORPORATION BOARD MEMBERS
PRESENT: Board President Martin Schelling, Board Vice-President Brandon Bledsoe, Board
Secretary Suzanne Maisto, Bob Mundlin.
COMMUNITY ENHANCEMENT AND DEVELOPMENT CORPORATION BOARD MEMBERS
ABSENT: John Thane and Jeff Wang.
STAFF PRESENT: Assistant City Manager Alison Ortowski, Assitant City Manager Ben
Thatcher, Chief Financial Officer & Board Treasurer Sharen Jackson, Director of Community
Services Chris Tribble, and Deputy Director of Community Services Kate Meacham.
1. CALL TO ORDER:
Board President Martin Schelling called the meetingto order at :02 .m
p .
2. Consider approving the minutes from the May 23, 2017' and the June 6, 2017
Community Enhancement and Development Corporation Meetings
A motion was made to approve both minutes from the May 23 2017 and June 6, 2017
meetings as presented.
Motion: Mundlin
Second: Bledsoe
Ayes: Maisto, Mundlin, Schelling, & Bledsoe
Nays: None
Abstain: None
Vote: 4-0
Motion Carried —APPROVED
3. Economic Development:
3A. Review and provide feedback on proposed economiC development
incentive guidelines
Assistant City Manager Alison Ortowski gave a presentation to the Board
regarding some general incentive guideline considerations and asked for Board
City of Southlake Values:
Integrity♦ Innovation ♦ Accountability♦ Commitment to Excellence ♦ Teamwork
Minutes of the June 27, 2017 Community Enhancement and Development Corporatign Board Meeting
Page2of3
feedback. She indicated that the draft document will incorporate the Board's
feedback and that they will then consider approving the document at the August
meeting. It would then be sent to Council as a recommendation for approval. The
board asked questions and provided comments.
3B. Discussion of FY 2018 economic development budget items
Chief Financial Officer and Board Treasurer Sharen Jackson gave the Board a
FY 2018 budget preview of proposed economic development expenditures. The
lone economic development expenditure is for the construction of SH 114
improvements. For FY2018 there will be a $lmillion transfer from the CEDC fund
to the City's CIP for this project.
The Board asked questions.
4. The Marq Southlake:
4A. Discussion of FY 2018 Marq Southlake budget items
Chief Financial Officer and Board Treasurer Sharen Jackson gave the Board a
FY 2018 budget preview of proposed Marq expenditures. As of the June meeting
the Marq budget will be made up of the following expenditures, but noting that as
the budget gets closer to being finalized some numbers may change a bit:
• Legends Hall Personnel - $419,864 (including a fisting personnel as well
as the addition of 1 FTE Banquet Captain - $33,1(50, and .5 FTE Banquet
Attendant - $13,641)
• Legends Hall Operations - $320,943
• Champions Club Personnel - $688,360 (all new positions for PH2)
• Champions Club Operations - $432,366
The Board asked questions.
5. STAFF REPORTS:
5A. Sales tax report
Chief Financial Officer and Board Treasurer Sharen Jackson asked the board if
there were any questions regarding the report that was in the packet. She
informed the Board that the Corporation has brought in over $3m ($3,286,995) in
revenue which is $207,895 over the budgeted amount for the year.
5B. Development activity report
City of Southlake Values:
Integrity• Innovation • Accountability• Commitment to Excellence • Teamwork
Minutes of the June 27, 2017 Community Enhancement and Development orporation Board Meeting
Page 3 of 3
Assistant CityManager Alison
g Ortowski informed the Board of Methodist
Southlake Hospital's progress since the acquisition. She noted that the medical
office building is still operated by Forest Park and is about 65% occupied.
5C. Construction management report
Director Chris Tribble provided an update on the construction status of the
Champions Club. He and CFO Jackson explained that there have been some
escalations in the construction costs related to Phase 2. The Board has been
informed in previous meetings about the subsurface issues and it is estimated
that the cost for that delay will be as high as $1.2million. There are also some
significant costs associated with design completion, but staff is still trying to sort
through those issues at the moment. A discussion about this will occur at the
Board's next meeting in July. Staff informed the board that due subsurface issue
delays the opening of the building is now scheduled for October 2018.
The Board asked questions and provided comments about how to deal with the
cost escalation. Staff explained that at the July meeting they hope to have a
recommendation on how to deal with the cost increases.
6. ADJOURNMENT
Meeting adjourned at 6:53 p.m.
/ /
7()....e
Martin Schelling, President
Community Enhancement and Development Corporation Board
11
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A.
Suzanne M.' o, Secretary
Community Enh: cement and Development Corporation Board
City of Southlake Values:
Integrity♦ Innovation ♦ Accountability♦ Commitment to Excellence ♦ Teamwork