Forney EDC considers HOT funds, previous incentives

During its regular July 11, 2019 meeting, the Forney Economic Development Corp. met to allocate HOT funds, revisit parking lot, rearrange incentive funds.

  • Financial report: 3/4 through the year, trend will result in 8% extra revenue.   Expenditures are below income.   Mr. Ketteman said update on fund balances is in packet.   Should end w/ $2.1 mil in balance.
  • Executive Director's report: 6-19 visited w/ group in Allen, who has provided a prospect for Forney, have international connections; 6-24 site visit for project Calcite, consultant from Atlanta for German firm; 6-28 Trailhouse groundbreaking; TxDOT meeting tonight for 1641 had good turnout.   Projects: state legislative action on property tax growth limit; law about building materials 2439 - allows any material allowed by national building code, Forney has percentage for masonry, staff still sorting this out.
  • Viewed a presentation for East Main Visioning. Mr. McGregor said board approved money for visioning, this was presented to council, he showed the video created.   Mr. Ketteman said council met to consider roads for county bond, included Main st.   Re: the video, Mr. Ketteman pointed out the concept does not mean the city plans to bulldoze private homes along Main, existing homes are shown.
  • Approved recommended allocation of HOT funds -
        Mr. McGregor said total requests are less than available funds, the required percentages are acceptable, recommend full funding for requests.   Waiting on supporting documents from Lions Club.
        According to documents, those are: Forney Arts Council: $20k; Forney Lion's Club: $5k; Forney Historic Preservation League: $10k; Forney Garden Club: $4k; Sharing the Love Foundation: $14.5k.
  • Approved additional $17k for the sub-courthouse parking lot.
        Mr. Ketteman said construction is underway - Eric Davis Engineering did work free of charge.   Need to expand sidewalk in front of sub-courthouse to parking lot, issue w/ drainage in back, need concrete flume in bottom.   Mr. Zook said originally worked from 1 sheet, after got construction plans, drainage was focused on, due to having more water to handle. Originally thought would be just materials cost - hauling costs need to be covered.   He's comfortable this is a final #, $130 k vs $90k last time.   Mr. Ketteman said have money, don't need to use fund balance, recommends moving from project expense.
    Ms. Browning mentioned higher costs shown - Mr. Zook said city is covering the contingency amount; county supplying some of the drainage items.   Ms Lewis asked about completion - maybe 60 days; will try to pave one section first, then put in drainage structures.   Mr. Burrus said small price to pay to finish this.   Mr. Ketteman said Eric Davis helping partly because they have 75 employees who take up some parking.   Mr. Zook said they will supply documents from county showing expenses.
  • Discussed the proposed incentive for OST Sports Performance and Fitness     Mr. Ketteman said Mr. Briggs felt he didn't explain his project well at last meeting - Mr. Briggs provided pictures of cracks in the walls, he wants to add matting to the walls, $10k estimate which he can't afford to do.   He will use floor mats from his home to cover part of the floor.   He can grow a big business; employees will be contract, he would be crazy to hire them.   Ms. Browning asked if not having employees, does he want them to reallocate that funding to these expenses - yes.   She asked if renovation grant would apply - no, it's outside the city limit.   In addition, have to declare a project, requires 60 day wait.   Mr. Ketteman says it's outside city limits, have to get on county docket to get approval.   Ms. Browning asked Mr. Briggs if he knew was reimbursement, does he have access to funds - He said will have to find a way to borrow funds.   Mr. McGregor said can be discussed in executive session.   They will do so.
  • Approved redevelopment grant transfer for $25k to 117 E. Main St.
        Mr. Ketteman said this is for Chris Bridges, for new restaurant downtown, now will be in end building 117 Main (formerly nail salon).   Ms. Browning asked why redevelopment grants are limited to downtown - Mr. McGregor said that was approved by prior board to help with downtown buildings, to complement facade grants.   Mr. Ketteman said board could request expanding that, Mr. McGregor said would have to work with attorney about declaring projects.   Mr. Ketteman said could do similar funding outside of downtown, wouldn't be as streamlined.   Mr. McGregor said that would be a general incentive application.   They have done that with Deen Implement and Racetrac.   Ms. Lewis asked if the building in question would be available for another redevelopment grant - it would be up to the board.   Mr. McGregor said the use must remain the approved use for one year.
  • Held a 40-minute executive session re:
  • For OST Sports - Approved up to $6k incentive grant for HVAC, and to declare a project for $14,000 no-interest loan for 28 months, provided Mr. Briggs supplies P&L statement, plus documentation for HVAC installation.
  • Held another 38-minute executive session re:
  • Adjourned at 2117.
Thursday, 2019, July 11