20220526 Minutes SEDC Board Reg Mtg§C1Hll E1RtlrZ
ECONOMIC DEVELOPMENT CORPORATION
MINUTES
Thursday, May 26, 2022
The City of Schertz Economic Development Corporation (SEDC) Board of Directors met for a
Regular Monthly Meeting on Thursday, May 26, 2022, at 6:00 p.m. in the Hal Baldwin
Municipal Complex, Council Chambers Board Room, Building No. 4, 1400 Schertz Parlcway,
Schertz, Texas. This is an open meeting, subject to the open meeting laws of the State of Texas.
Call to order
1. Roll call and recognition of visitors
Board President Macaluso presided over the meeting and called it to order at 6:10 p.m. Mr.
Macaluso welcomed everyone in attendance.
Board of Directors present:
Paul Macaluso, -Board President
Jesse Hamilton -Board Vice President
Jesse Carrasco -Board Treasurer
Mark Moody
Roy Richard
Bryan Snowden
Board of Directors absent:
Sammi Morrill -Board Secretary
Others present:
Staff present:
Adrian Perez -Executive Director
Holly Malish -Deputy Director
Dr. Mark Browne-City Manager
James Walters -Finance Director
Casey Moeller -Business Engagement Manager
Sheree Courney -Administrative Assistant
Jennifer Campos, Chamber Leadership Core representative
Hearing of residents
2. Public comment -This time is set aside for any person who wishes to address the board.
Presentations should be limited to no more than ~ minutes. The presiding officer will call on
those persons who have signed up to speak.
No public comments were made.
Minutes
3. Approval of the minutes for the Board of Directors Regular Monthly Meeting held on
Thursday, April 28, 2022. (A. Pere:z/S. Coumey)
A motion to approve the minutes for the Board of Directors Regular Monthly Meeting he1d
Thursday, April 28, 2022, was made by Mr. Jesse Hamilton and seconded by Mr. Mark
Moody. Motion passed unanimously.
SEDC Minutes 05/26/2022 Page 1 of 4
Presentations
4. Staff briefing on SEDC Financial statements for the month of April 2022. (J. Walters I A.
Perez)
Mr. Walters provided the following summary and overview of the SEDC Financial
Statement for the month of April:
April 2022 saw sales tax increase 23.2% over April 2021 due to one-time contributions
related to construction projects in the area. Even though the increase was attributed to one-
time contributions, the 12-month rolling average hit its highest point at 20% since October
2008. Operational expenditures were the highest for the year with multiple training and travel
related expenditures for recruitment and personnel development. Major expenditures were
for travel to a Consultants Forum at $1,595 and payment to independent auditors at $1,000.
Total revenues for April were $401, 718. Capital, cash, and investments are at $23 .4 million.
5. Staff pre-budget briefing reviewing two-year SEDC Reserve Fund infrastructure
investment recommendations. (A. Perez)
Mr. Perez provided a brief summary of the Board's priorities, then presented the Mission
and IO-year Vision of the SEDC which was shared with the City Council during the FY
2022-2023 Budget retreat.
Mr. Perez explained the SEDC Reserve Fund Expenditure Model which places reserve
funds into three categories with the highest priority given to Primary Jobs, second priority
given to Workforce/Quality of Life, and final priority focused on Growth Infrastructure.
Mr. Perez highlighted that as the foundation of the model the buckets would be roughly
proportioned with a desired priority fund balance of $1 OM in Primary Jobs, $5M in
Workforce/Quality of Life, and $1 OM allocated to Growth Infrastructure developments.
Mr. Perez also reviewed 5-years of projected expenditures associated with incentive
agreement commitments, potential projects currently under consideration, potential
workforce/quality of life expenditures, and potential infrastructure projects. Mr. Perez
outlined how each of the funding buckets would be encumbered for those costs and would
then be replenished through each year's new annual sales tax revenue. Primary Jobs would
first be replenished to $1 OM, with the remaining revenue replenishing the
Workforce/Quality of Life category to $5M, and finally, Growth Infrastructure replenished
with all remaining revenues each year.
Mr. Perez presented updated reserve fund recommendations to account for a recent off er
made by the City of Selma to pay for 1 /3 of the signalization at the intersection of Lookout
Road and Schertz Parkway that included adding $500,000 for signalization. Additionally,
Mr. Perez updated the Board on the City's plans to bond approximately $10,000,000 for
reconstruction and improvements to Main Street. Mr. Perez informed the Board that the
City Council has gained momentum and approved a plan to move forward with this project.
The City will request additional participation from the SEDC Board in FY2023-2024.
SEDC Minutes 05/26/2022 Page 2 of 4
SEDC Board members voiced concerns with funding the Main Street project in its current
location citing flood plain and current business use issues.
Board President Paul Macaluso recessed the meeting to closed session at 6:50 p.m.
Closed Session
6. The SEDC Board met in closed session in accordance with Section 551.087 of the Texas
Government Code, Deliberation Regarding Economic Development Negotiations; Closed
Meeting. The governmental body is not required to conduct an open meeting (1) to discuss
or deliberate regarding commercial or financial information that the governmental body has
received from a business prospect that the governmental body seeks to have locate, stay, or
expand in or near the territory of the governmental body and with which the governmental
body is conducting economic development negotiations; or (2) to deliberate the offer of a
financial or other incentive to a business prospect.
• Project E-80 • Project E-67 • Project E-79
• Project E-83
Start time: 6:51 p.m.
End time: 7:11 p.m.
Board President Paul Macaluso reconvened to regular session at 7:11 p.m.
Reconvene to regular session
7. Take any actions based on discussion held in closed session under Agenda Item No. 6.
There were no actionable items discussed during closed session, therefore no action was
taken by the SEDC Board of Directors.
Requests and Announcements
8. Informational Memo
a. Draft FY 2020-2021 SEDC Annual Report was submitted for Board review and
comment. Staff will provide fmal report next meeting.
9. Announcements by Staff
b. Next Board Meeting-Meeting scheduled for June 23, 2022, has been moved to June
30, 2022. (S.Coumey)
c. Office closed May 30, 2022, in observance of Memorial Day.
10. Requests by Board Members to place items on a future SEDC Board Meeting agenda
include:
No requests by Board Members to place items on a future SEDC Board Meeting agenda. Dr.
Browne suggested inviting Brian James and Councilman Mark Davis to the next Board
meeting to address Main Street project concerns voiced by SEDC Board members.
Adjournment
SEDC Minutes 05/26/2022 Page 3 of 4
Board President adjourned the meeting at 7:14 p.m.
MINUTES PASSED
Paulil1'acaluso
Board President
SEDC Minutes 05/26/2022
D APPROVED Tms 28th DAY OF JULY 2022.
Board Secretary
Page 4 of 4