Loading...
February 16, 1996 SCHERTZ DEVELOPMENT COMMISSION MINUTES FEBRUARY 16, 1996 SCHERTZ MUNICIPAL COMPLEX ITEM #1 CALL TO ORDER: The meeting was called to order at 7:10 p.m. by Chairman Borgfeld. MEMBERS PRESENT: Lew Borgfeld Ben Davis Jackie Jones Wanda Jean Sweatt Harry Richburg Byron Williams Jeff Zunker STAFF PRESENT: Kerry R. Sweatt, City Manager Mark Marquez, Coordinator Rosemary R. Patino, Recording Secretary ITEM #2 APPROVAL OF AUGUST 21, 1995 MINUTES: Mrs. Sweat - Motion was made to approve the minutes, Mr. Ben Davis - seconded the motion. Motion carried unanimously. ITEM #3 TAX ABATEMENT FOR ECKO CONTRUCTION: Mr. Marquez - Presented the application from Ecko Construction for a tax abatement. Ecko Construction is a concrete contractor specializing in residential work. Mr. Marquez briefly discussed the evaluation of tax abatement and dollar values for the Ecko Construction project (copy included ing the members package). Commission members were asked to evaluate the site plan and some elevations. Mr. Marquez - Introduced Ms. Joy Lutz as the representative of Ecko Construction. Mr. Borgfeld - Had concerns regarding a conflict of interest and asked that Mr. Richburg conduct the meeting because he was familiar with what Ecko Construction was doing. Mr. Marquez continued the proceedings by reading the Evaluation. An error is noted. "Current value of property is estimated at $272,665.00". It should be $15,000.00. Acceleration of the abatement was discussed. Normally it is a 6 year period. This would go to 3 years with an 80~ abatement for the first 2 years and 34~ for the last year, you will note the dollar value will amount to $4.10 difference. If they are interested in running that particular variance Mark would also be in favor of that as well. Marks recommendations on both cases would be to approve the abatement and if the wish a variance to approve that as well. Mr. Richburg asked for comments. There were none. Ms. Jones moves to approve the abatement for the Ecko project, Mr. Davis seconded the motion. We have had a 1st and 2nd motion on the first proposal for Ecko project. 8 yes and Mr. Borgfeld abstained. Mr. Richburg stated motion made and stated. Is there a motion on the accelerated abatement? Mr. Zunker made the motion to accept the acceleration. Mr. Byron seconded the motion. Unanimous approval. Chair. was turned back over to Mr. Borgfeld. ITEM #4 TAX ABATEMENT ITM Mr. Marquezs ITM is proposing a 20,000 sq. ft. building .....investing about $800,000 dollars. Renderings and drawings were available for inspection by the members. It will be visible from IH-35. Mr. Weiswurm has submitted an application and Mark has accepted the application for review. Mr. Marguez references the letter dated January 9, 1996. The evaluation form included in the packet is discussed. Mr. Richburg asked what type of equipment does ITM have and what does it do? Mr. Weiswurm explains what ITM does by stating that they do custom machine designe. The company itself does not have their own products, they provide the service of designing and building the kind of equipment like robotics which put together the engine control modules for Chrysler cars; equipment that puts together circuit boards for telephones; and medical equipment. Not all things are high tech. We make machines that makes cuzies (foam coolers). Mr. Sweatt asked if they service the equipment they have sold. Mr. Weiswurm said if the company desires, they will do it. Usually that equipment goes to their production floor so we train their people to fix them. When the components break down they are either repaired or new pieces are manufactured. Mr. Sweatt - Is the bulk of your material shipped from your plant by freight or your own carriers? Mr. Weiwurm said usually what we build can be transported in a small truck. They also build equipment that is used to make Coleman products such as canoes and coolers. They make the equipment that handles the checks for the Checks In The Mail plant in New Braunfels. Mr. Sweatt makes motion to approve the abatement request as it was first presented. Mrs. W.J. Sweatt seconded the motion. Unanimous approval was received on the abatement request. Mr. Marquez - We are looking at a variance of a package and changing the term of the agreement to 4 years package but it allows 90~ abatement for the first three years and 27~ on the final year. The dollar value of that is about .O1 off In terms of the total abatement package. Motion to approve was made by Ben Davis. Mrs. Jackie Jones seconded. No questions or comments were made. Unanimous approval. Mr. Sweatt confirmed with Mr. Marquez that there will not be a need for a public hearing as far as the establishment of a reinvestment zone. All it will need is a single action by the council. On the other hand Ecko construction will need a public hearing because it is outside the enterprise zone. Mr. Marquez will be sending a draft abatement agreement that is a standard agreement to Mr. Weiswurm. After it is received ..._..i.f-.:-.there are any questions Mr. Marquez can go over it. Commitments on both sides will be addressed. Mr. Borgfeld asked Ms. Lutz, representative of Ecko when they will get started? She replyed they will begin moving dirt this weekend. ITEM #5 - DISCUSSION OF TRAINING PACKAGE FROM ICMA Mr. Marquez discussed package from ICMA dealing with courses which was given to the council for review. It deals with a wide range of issues regarding Economic Development. It may be of interest for any one who might want to review it. Mr. Sweatt -Has talked it over with Marquez and they feel this course will help get more enthusiasm back. The course will serve as a refresher and motivator for the group. It can be used as a self pace course in some of the things the group has worked with and know. One of the roles the commission needs to be thinking about after the initial contacts with the company is the continuation of contact with said company after they have been here a year or so. This is one of the things the course recommends in developing long lasting relationships. Its a self paced course there are sections for discussion. The council can schedule portions of the course and later discuss. Mr. Marquez - Courses in general can sometimes give one an opportunity to measure oneself with the experts expectations of what should be doing. It will be interesting to know if we can improve what we are currently doing. Mr. Borgfeld asked if there was any opposition to this, and also mentioned that some outside funding could be used. No one opposed. Mr. Marquez - There is a master package for the course leader and a complete set of books for every player. It is advised that every one receive a complete set. Mr. Sweatt - Noted that no video comes with this set. Mr. Borgfeld - commented that no objections were noted. ITEM #6 - UPDATE ON ED ACTIVITY/PROPOSALS FOR 1996: Mr. Marquez - commented on how a city of our size has had a lot of activity. He met with Alamo Packing (70,000 sq building in Tri-County) - 95~ sure he will commit. ADR has a 20,000 sq. ft. building in the Tri-County. They remanufacture auto parts. DSI Incorporated is a new one. Mr. Marquez has met with the CEO. They distribute the RCA DSS Antenna for all of south Texas. A total of 20,000 sq. ft. building in Tri-County. Lone Star Pet Supply has purchased land and they are thinking about building a 70,000 to 80,000 sq. ft. building in Tri-County. In addition to that Mr. Vestal needs to develop this property to offset his cost as the developer has enticed several company's that he deals with on occasion to join him. We are looking at Gerard Electric, Ramsor Corporation (they presently have a contract to redo the top of the Hemisphere) and several others. On February 17, Mr. Marquez will have a meeting with a company who is on their second trip to this area from Florida. Serious discussions are taking place regarding a 200,000 sq. ft. building. The owners of Tri-County are talking about a 100,000 sq. ft. spec. building. When a company from out of state makes a second and third trip to the area, they are interested. The critical part of any Economic Development package is the follow-up. We hope to have at least 30 companies who are seriously interested from the list of a hundred in the Corridor Council trip to San Jose in April. Things are moving along rapidly. Residential activity has been very busy, and it is anticipated to continue thru the end of 1996, if not into 1997. The elections may have a bearing, however the general strength of the economy is good for south Texas. The 3009 corner in Tri-County is the hottest piece of property on IH-35 in terms on interest and activity. The Care Car Products for dealers (capitol project which will be done in three phases) is a little over 4 million dollars. The building will be next to Negley on a 20 acre track. No plans have yet been drawn for the building however the property has been purchased. Another issue that needs to be addressed - regarding the Medical Waste Company that was turned down. This company has approached Mr. Marquez who asked if they can meet EPA requirements? There response was absolutely. Before anything can be continue Mr. Marquez would like to see the paperwork. Mr. Ben Davis - What are they trying to do? Mr. Marquez responded that they burn medical waste. Mr. Richburg - At one time they attempted to come here, however it was killed pretty fast because the people did not want them here. Mr. Marquez stated that he felt it was not the same company. Mr. Richburg responded that the concept was still the same. Mr. Borgfeld commented that the difficulty of this, is the peoples perception. They do not care about the questions Mr. Marquez has asked about this company. Some discussion followed. Mr. Marquez pointed out that one of the reasons the commission came into existence or at least a big part of it is the serious policy issues that come up with cases like this one. -Mr-., ..-.Richburg stated that he is one of the individuals who will side with the concerns of the people and not be in favor of it himself . Mr. Davis asked who runs the Tri-County deals? Mr. Marquez responded that he deals with Mr. Greg Pitzer. Mr. Richburg mentioned that the principal owners are from Mexico. Mr. Marquez agreed. Mr. Marquez mentioned that the Hotel is finally opened. And that the Arbys, on the other side of Jack & the Box, has a brand new corporate design. Texaco is finally also getting started. ITEM #7 APPOINTMENTS/REAPOINTMENTS: Mr. Marquez went over the names of the people whose terms will expire: .Chairman - Mr. Borgfeld, Mr. White, Mrs. Jackie Jones, Bruce Hammersla, Mrs. Sweatt and Juan Thorn who is not present. Mr. Marquez will be contacting the individuals who were not present and ask them what their views are. Mr. Marquez asked Mr. Borgfeld what his intentions are? Mr. Borgfeld responded he will leave it up the members as to what they want to do. He also reminded everyone that the City Council appoints the members. He recommends that they talk to the people whose terms will expire and then recommendations can be made. ITEM #8 STAFF COMMENTS: Mrs. Sweatt has already looked into the Ramada Inn for the next appreciation dinner and she and Mr. Marquez have discussed the possibility of going with a Mexican theme and having mariachis around the pool. Suggested that all the members go and visit the Inn. Mr. Sweatt will be working with the owner to have a grand opening for sometime in mid-March. Everyone will be invited and expected to attend. Mr. Williams would like to discuss displays next time they meet when more time is available. Mr. Marquez mentioned that the people from Intsel contacted him and they are planning a grand opening. The names of all the commission members have been submitted. No time has been given however the Foundation and Council will also be included. A lot of credit has been given to Mr. Marquez however he has indicated that the commission, planning and zoning, council, foundation and staff really deserve the credit. It is usually Mr. Marquez who happens to be in the front and credit is sometimes not distributed to all who are involved. ITEMS #9 AND #10 - COMMISSION/CHAIR COMMENTS: Mr. Sweatt - when these items go up to the council in the course of public hearings and discussion on the public agenda not necessarily the workshops but the public agenda. He will ..then-.. ask Mr. Marquez to have someone contact each of you so that you can attend the council meetings on these abatements issues are being discussed. It is good for council to see and hear and know that you are there and that you are with them in these economic development policies and practices. If we call you and tell you about a meeting please attend if possible, it will greatly be appreciated. Normally they are on a third or fourth Tuesday of the month they are usually early on in the .agenda. If you can be there around 7:00 we can get out of the meeting fairly early, it will be very helpful to the council to see you and know that you area member of the community supporting them. ITEM #11 - SET NEXT MEETING DATE: Mr. Borgfeld set the next meeting for March 14, 1996. ITEM #12 - ADJOURNMENT: Mr. Borgfeld - Motion to adjourn was made. Mr. Davis seconded the motion. Motion carried unanimously. Le orgfe d Rosemary P ino Chairman Recording ecretary