July 28, 2010 Agenda/Minutes

COSA DEVELOPMENT CORPORATION MINUTE RECORD
The City of San Angelo Page 625
Wednesday, July 28, 2010 Vol. 2

OPEN SESSION

BE IT REMEMBERED the City of San Angelo Development Corporation convened in a regular meeting at
8:30 A.M., Wednesday, July 28, 2010, in the City Council Chambers, McNease Convention Center, South
Meeting Room, 500 Rio Concho Drive. All duly authorized directors of the Corporation, to-wit:

Mr. Tommy Hiebert, President
Mr. Larry Teague, First Vice-President
Mr. Darrell Gill, Second Vice-President
Mr. Joe Terrazas, Director
Ms. Mary Louise Korona, Director
Dr. Joseph Rallo, Director
Mr. Lou Tambasco, Director and
Mr. Fran Owens, Executive Director

were present, with the exception of Dr. Rallo and Mr. Tambasco, thus constituting a quorum. Whereupon, the
following business was transacted:

Mr. Hiebert offered an invocation.
PUBLIC COMMENT
No one came forward to comment publicly.
CONSENT AGENDA
APPROVAL OF NECESSARY CORPORATION DISBURSEMENTS AND AUTHORIZATION OF
DESIGNATED BOARD MEMBER TO SIGN RELATED CORPORATION CHECKS
Motion, to approve the Consent Agenda as presented, was made by Mr. Teague and seconded by Mr. Gill.
Motion carried unanimously.
REGULAR AGENDA
TREASURER’S REPORT
No report presented.
DIRECTOR’S REPORT
Economic Development Director Fran Owens presented background information. A copy of the report of is
part of the Permanent Supplemental Record.
REBUILDING TOGETHER
Executive Director Elizabeth Little presented background information on the YouthBuild project and the need
for funding for a Director position. The following spoke in support of program: Angelo State University
(ASU) Professor of Political science Dr. Laurence (Casey) Jones, Concho Valley Workforce Development
Board Director of Planning Cathy Ballard; and, ASU Community Development-Project Coordinator Andy
Dienert. Ms. Little noted the $71,000 funding request from the Development Corporation (DC) would be for
seed funds, but stated $414,000 in additional funding would be required for program start up cost which would
be acquired through grants and other funding sources. The supporters explained the return on investment per
student would be $10 to $34, along with 9,000 community service hours during each 9-month session. Ms.
Little stated that if the funds were not approved by DC, other funding considerations would be necessary
including a campaign drive. Mr. Hiebert stated that he is very supportive of the project, along with the other
Board members, but the funds are not allocated in the budget this year and the voter-mandated projects must be
Page 626 Minutes
Vol. 2 July 28, 2010

allocated first. Mr. Owens stated that staff could revisit with other groups (i.e., Affordable Housing). Finance
Director Michael Dane suggested the Board review the state laws, bylaws, and budget before any decisions are
made regarding a resolution or amendment.
CONCHO VALLEY CENTER FOR ENTREPRENEURIAL DEVELOPMENT QUARTERLY
UPDATE
Director Donna Osborne presented background information. A copy of the report of is part of the Permanent
Supplemental Record. She reviewed the Quarterly Performance Report for the Center noting the $90,000
allocation from Development Corporation (DC) includes $25,000 for the Business Plan Competition, and
remaining funds are allocated towards salary costs. Ms. Osborne also presented a Return on Investment
Analysis Program demonstration and job growth comparison chart informing that San Angelo had a decrease
in employment during February due to seasonal jobs lost in January, but still observed a 2.7% job growth in
May 2010.
DISCUSSION OF 2010-2011 BUDGET
Mr. Owens presented background information. A copy of the report of is part of the Permanent Supplemental
Record. He discussed the decline in revenue which resulted from a reduction in estimates made on tax income;
interest on investments; and an increase in sports facility maintenance, resulting in a $85,000 deficient.
Several underlying assumptions that can affect revenue are an increase or decrease in sales tax. He informed
$200,000 is budgeted annually in Debt Service Reserve which will result in a $600,000 at the end of the third
year with a goal of $1 million. The Board discussed utilizing the fund to cover the deficit. Finance Director
Michael Dane suggested the Board create a plan outlining how such funds will be utilized. Mr. Heibert
discussed review and consideration of other projects, National Development Council contract stating the funds
may be allocated elsewhere due to the projects under consideration; the Texas Bank Sports Complex
maintenance agreement which he understood the allocation would be reduced by $50,000 per year for five
years. Aeromotor project, Grow San Angelo fund, Business Resource Center and related operating and
maintenance costs. By consensus, the Board agreed to utilize the Reserve for Adverse Sales Tax line item for
the impending deficit amount of $85,000.
Motion, to submit the City of San Angelo Development Corporation balanced budget to Council with
recommended changes, was made by Mr. Teague and seconded by Mr. Gill. Motion carried unanimously.
EXECUTIVE/CLOSED SESSION
At 10:00 A.M., the Board convened in Executive Session under the provision of Texas Government Code,
Title 5, Open Government, Ethics, Subtitle A. Open Government, Chapter 551. Open Meetings, Subchapter
D. Exceptions to Requirements that Meetings be Open, Section 551.087 to discuss an offer of financial or
other incentive to a company or companies with whom the City of San Angelo Development Corporation is
conducting economic development negotiations and which the City of San Angelo Development Corporation
seeks to have, locate, stay or expand in San Angelo; and, Section 551.072 to discuss the purchase, exchange,
lease of value of real property.
OPEN SESSION (continued)
At 10:49 A.M., the Board concluded the Executive/Closed Session whereupon the following business was
transacted:
FOLLOW UP AND ADMINISTRATIVE ISSUES
Consideration of matters discussed in Executive Session
No action taken.
FUTURE AGENDA ITEMS AND ANNOUNCEMENTS
Business Resource Center
ADJOURNMENT
Minutes Page 627
July 28, 2008 Vol. 2

Motion, to adjourn, was made by Ms. Korona and seconded by Mr. Gill. Motion carried unanimously.
The meeting adjourned at 10:49 A.M.

CITY OF SAN ANGELO
DEVELOPMENT CORPORATION

_______________________________________
Tommy Hiebert, Corporation President

ATTEST:

__________________________________________
Alicia Ramirez, Corporation Secretary

In accordance with Chapter 2, Article 2.300, of the Official Code of the City of San Angelo, the minutes of this
meeting consist of the preceding Minute Record and the Supplemental Minute Record. Details on Board
meetings may be obtained from the City Clerk’s Office or a video of the entire meeting may be purchased
from the Public Information Officer at 481-2727. (Portions of the Supplemental Minute Record video tape
recording may be distorted due to equipment malfunction or other uncontrollable factors.)