HomeMy WebLinkAboutColleyville Economic Development Corporation (CEDC)-Agenda Packets-8/22/2005
city Of
Tc xa s
PUBLIC NOTICE
ON TUESDAY, AUGUST 23, 2005, AT 7:00 P.M., IN THE CITY COUNCIL
CHAMBERS, 100 MAIN STREET, THE COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION BOARD OF DIRECTORS WILL HOLD A MEETING FOR THE
FOLLOWING PURPOSE:
1. CALL TO ORDER
CONSENT:
2. CONSIDERATION OF CONSENT RESOLUTION R-05-79 - CONSENT ITEMS:
a. Approval of minutes of the Colleyville Economic Development Corporation
Board of Directors meeting held June 7, 2005
b. Approval of the Annual Review of the Corporation's Investment Policy
PUBLIC HEARINGS:
3. READING AND PUBLIC HEARING - RESOLUTION R-05-80 - Appointing a
Colleyville Economic Development Corporation President and Vice President
4. READING AND PUBLIC HEARING - RESOLUTION R-05-81 - Adopting the
Economic Development Capital Improvement Program (EDCIP) for 2006-2010
5. READING AND PUBLIC HEARING - RESOLUTION R-05-82 - Adopting the
Fiscal Year 2006 Budget
6. READING AND PUBLIC HEARING - RESOLUTION R-05-83 - Approving an
Amendment of the Bylaws of the Colleyville Economic Development Corporation
REPORTS:
7. ANNUAL ACTIVITY REPORT
100 MAIN STREET COLLEYVILLE, TEXAS 76034 (817) 503-1000
8. ANNUAL INVESTMENT REPORT
9. READING AND PUBLIC HEARING - RESOLUTION R-05-84 - Discussion and
consideration of a Resolution ratifying Corporate Board action for the meeting of
August 23, 2005
ADJOURNMENT:
10. ADJOURNMENT
RESOLUTION R-05-79
A RESOLUTION APPROVING BOARD ACTION
UNDER CONSENT ITEMS AT THE COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION MEETING OF AUGUST 23, 2005
WHEREAS, Board has taken action on certain items on the agenda under Consent
Items.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION:
Sec. 1.
THAT the agenda decisions approved by the Economic Development
Corporation Board of Directors action under Consent Items as follows are
hereby adopted:
a.
THAT the minutes of the Colleyville Economic Development Corporation
Board of Directors meeting held June 7, 2005, are hereby approved.
b.
THAT the Annual Review of the Corporation's Investment Policy, is hereby
approved.
AND IT IS SO RESOLVED.
APPROVED AND ADOPTED, this August 23, 2005.
COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION
Jon Ayers
President
ATTEST:
Cynthia Singleton
Secretary
MINUTES OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION BOARD OF DIRECTORS MEETING
JUNE 7, 2005
The meeting of the Colleyville Economic Development Corporation Board of Directors
was called to order by President John Ayers on June 7, 2005 at 5:17 p.m.
ROLL CALL:
Directors John Gray, Rich Hendler, Mark Skinner and John
Terhoeve were present. President Jon Ayers, General Manager
Bill Lindley, Finance Manager Terry Leake, and Secretary Cynthia
Singleton were also present.
Director Elaine Dolan was absent.
Mr. Jim Sabonis of First Southwest Company and Mr. Bob
Dransfield of Fulbright & Jaworski LLP, also attended.
CONSENT:
2. CONSIDERATION OF CONSENT RESOLUTION R-05-76- CONSENT ITEMS:
a. Approval of minutes of the Colleyville Economic Development Corporation
Board of Directors meeting held May 11 , 2005
President Ayers opened the public hearing and read Resolution R-05-76 in its entirety.
There was no one present wishing to speak concerning this item and President Ayers
closed the public hearing.
Director Hendler moved to approve Resolution R-05-76.
Director Terhoeve seconded the motion.
Ayes: Directors Terhoeve, Gray, Hendler, Skinner and President Ayers
Nays: None
President Ayers declared the motion carried.
CEDC MINUTES
JUNE 7, 2005
PUBLIC HEARINGS:
3. PUBLIC HEARING - Colleyville Economic Development Corporation
undertaking park projects
Finance Director Terry Leake stated that state law requires that a public hearing be held
if an Economic Development Corporation will be undertaking a project using bond
money.
President Ayers opened the public hearing.
There was no one present wishing to speak concerning this item and President Ayers
closed the public hearing.
General discussion ensued regarding the bond issuance scenarios.
Mr. Bob Dransfield of Fulbright & Jaworski LLP, provided information regarding the
refunding process and answered questions of the Board.
4. READING AND PUBLIC HEARING - RESOLUTION R-05-77 - Authorizing the
issuance of Colleyville Economic Development Corporation (CEDC) Refunding
and Improvement Sales Tax Subordinate Lien Revenue Bonds, Series 2005
President Ayers opened the public hearing and read Resolution R-05-77 in its entirety.
There was no one present wishing to speak concerning this item and President Ayers
closed the public hearing.
General Manager Bill Lindley provided an overview of the refunding options.
Director Hendler moved to approve Resolution R-05-77, with bond issuance scenario C.
which states, Refund existing debt and issue $2,000,000 in new debt and the bonds
would be repaid through FY2029.
Director T erhoeve seconded the motion.
Ayes: Directors Dolan, Terhoeve, Gray, Hendler, Skinner and President Ayers
Nays: None
President Ayers declared the motion carried.
5. READING AND PUBLIC HEARING - RESOLUTION R-05-78 - Discussion and
Consideration of a Resolution ratifying Corporate Board action for the meeting of
June 7, 2005
2
CEDC MINUTES
JUNE 7, 2005
This Resolution was not needed.
ADJOURNMENT:
6. ADJOURNMENT
There being no further business before the Board, President Ayers declared the
meeting adjourned at 5:25 p.m.
APPROVED THIS
AYES
DAY OF
NAYS AND
2005, BY A VOTE OF
ABSTENTIONS.
Minutes taken and prepared by:
Cynthia Singleton
Secretary
3
CEDC
CC@mi<l AGENDA BRIEFING
Tl~X~~
MEETING DATE: !
ITEM#: I
RESOLUTION: I
08/23/05
2b
R-05-79
GENERAL MANAGER '
DEPARTMENT HEA
FINANCE MANAGER !
Previous Action: None
DEPARTMENT: FINANCE
SUBJECT: Approval of the Annual Review of the Corporation's
Investment Policy - by Consent
A section in the Public Funds Investment Act requires that an entity's governing body review
the investment strategy of the entity annually. The Corporation's investment strategy is
contained in the section entitled, "Investment Strategy" and is presented for the Board's
review. As an additional note, there are no changes proposed to the existing policy.
Financial Impact
None
Recommendation
Approval
Attachments
· Colleyville Economic Development Corporation Investment Policy
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION INVESTMENT POLICY
Policy
It is the policy of the Colleyville Economic Development Corporation (the Corporation) to
invest public funds in a manner which will provide the highest investment return with the
maximum security while meeting the daily cash flow demands of the entity and conforming
to all State of Texas statutes and City ordinances.
Scope
This investment policy applies to all financial assets of the Corporation including:
General Fund
Debt Service Fund
Capital Projects Fund
and any new fund created by the governing body, unless specifically exempted by the
governing body.
Objectives
The primary objectives, in priority order, of the Corporation's investment activities shall be:
Safety: Safety of principal is the foremost objective of the Corporation in managing its
portfolio. Investments of the Corporation shall be undertaken in a manner that seeks to
ensure the preservation of capital in the overall portfolio. To attain this objective the
Corporation will diversify its investments by investing funds among a variety of securities
offering independent returns and financial institutions.
Liquidity: The Corporation will also maintain sufficient liquidity to provide adequate and
timely working funds.
Return on Investments: The investment portfolio shall be designed with the objective of
obtaining a rate of return throughout budgetary and economic cycles, commensurate with
the investment risk constraints and cash flow needs. The Corporation investment strategy
is passive and the portfolio shall be designed with the objective of regularly exceeding the
weighted average return on thirteen-week Treasury bills. This is considered a benchmark
for riskless investment transactions, and therefore, is a minimum standard for the portfolio's
rate of retu rn. For bond fu nds that fall under the arbitrage provisions of the Tax Reform Act
of 1986, the Corporation will attempt to earn allowable bond yield with market conditions
permitting.
Delegation of Authority
The Corporation designates the Investment Officers to be the Corporation Manager with
overall responsibilities to see that investment objectives are accomplished and the Finance
Manager with the specific day-to-day performance of managing the funds of the
Corporation.
Ethics and Conflict of Interest
All investment Officers and employees involved in the investment process shall refrain from
personal business activity that could conflict with proper execution of the investment
program, or that could impair their ability to make impartial investment decisions.
Employees shall disclose to the Colleyville Economic Development Corporation and Texas
Ethics Commission a statement under the following conditions:
A. If they have a personal business relationship with a business organization offering to
engage in an investment transaction with the entity. Under the Public Funds
Investment Act, a personal business relationship is defined as:
1. The investment officer owns 10 percent or more of the voting stock or shares
of the business organization or owns $5,000 or more of the fair market value
of the business organization:
2. Funds received by the investment officer from the business organization
exceed 10 percent of the investment officer's gross income for the previous
year; or
3. The investment officer has acquired from the business organization during
the previous year, investments with a book value of $2,500 or more for the
personal account of the investment officer.
B. If they are related within the second degree by affinity or consanguinity, as
determined by Chapter 573 V.A.T.C.S. to an individual seeking to sell an investment
to the Corporation.
Prudence
Investments shall be made with judgement and care - under circumstances then prevailing
- which persons of prudence, discretion, and intelligence exercise in the management of
their own affairs, not for speculation, but for investment, considering the probable safety of
their capital as well as the probable income to be derived.
The standard of prudence to be used by investment officials shall be the "prudent person",
which means the officer may not be an expert but is obligated to act responsibly and shall
be applied in the context of managing an overall portfolio. Investment officers acting in
accordance with written procedures and exercising due diligence shall be relieved of
personal responsibility for an individual security's credit risk or market price changes,
provided deviations from expectations are reported in a timely fashion and appropriate
action is taken to control adverse developments.
Investment officers shall notify the Corporation in writing of any conflicts of interest, as
defined by the Public Funds Investment Act, no later than the next regularly scheduled
Board meeting.
It is the policy of the Corporation that the Investment Officers perform their duties in
accordance with the policies and procedures set forth in this policy. The Investment
Officers of the Corporation (General Manager and Finance Manager and the Assistant to
the Finance Director of the City of Colleyville) shall be personally indemnified in the event
of investment loss provided the Investment Policy is followed.
Internal Controls
The Finance Manager shall establish a system of written internal controls which shall be
reviewed annually by the independent auditor. The controls shall be designed to prevent
the loss of public funds due to fraud, error, misrepresentation, unanticipated market
changes or imprudent actions.
Permissible Instruments
The following is a list of permissible instruments as authorized by the 70th Texas
Legislature in the Public Funds Investment Act (TEX. REV. CIV. STAT. ANN. ACT 842A-2)
and amended by the 71 st Legislature:
1. Obligations of the United States or its agencies or instrumentalities;
2. Direct obligations of the State of Texas or its agencies;
3. Other obligations, the principal of and interest on which are unconditionally
guaranteed or insured by the State of Texas or the United States or its agencies or
instrumentalities;
4. Obligations of states, agencies, counties, cities, and other political subdivisions of
any state having been rated as to investment quality by nationally recognized
investment rating firm and having received a rating of not less than "A" or its
equivalent;
5. Certificates of deposit issued by state and national banks and domiciled in the state
that are:
a. Guaranteed or insured by the Federal Deposit Insurance Corporation,
FSLlC or its successors; or
b. Secured by obligations that are described by subdivisions (1) through (4)
of this subsection, which are intended to include all direct federal agency
or instrumentality issued mortgage backed securities, and which have a
market value of not less than the principal amount of the certificates or in
any other manner and amount provided by law for deposits of the
investing entities;
6. Invest in a local government investment pool as authorized by the Interlocal
Cooperation Act (TEX. REV. CIV. STAT. ANN. ACT. 4413 (32c), as amended, and
the Public Funds Investment Act (TEX. REV. CIV. STAT. ACT. 842a-2), as
amended. The investment pool must comply with the requirements of the Public
Funds Investment Act, as amended, as follows:
a. The investment pool maintains a stable asset value as defined in the
Public Funds Investment Act;
b. The investment pool maintains a AAA rating by one of the nationally
recognized rating agencies;
c. The investment pool's maximum average dollar weighted maturity does
not exceed 90 days; and
d. The investment pool's continued compliance with the remaining
provisions of the Public Funds Investment Act.
e. The eligible investments of the pool are as follows: obligations of the
United States or its agencies and instrumentalities, other obligations, the
principal of and interest on which are unconditionally guaranteed or
insured by the United States, fully collateralized repurchase agreements
with a defined termination date secured by obligations of the United
States or its agencies and instrumentalities, other obligations, the
principal of and interest on which are unconditionally guaranteed or
insured by the United States, and SEC registered money market funds
authorized by the Public Funds Investment Act and rated in the highest
category by at least one nationally recognized rating agency, reverse
repurchase agreements with a term of no longer than 90 days.
f. Include in its investment policy and/or operating procedures the following
information: a description of eligible investment securities and
unacceptable investments, a written statement on investment policy and
objectives, a description of interest calculations, distribution, and
treatment of gains and losses, security safeguarding, valuation
collateralization and auditing, and a fee schedule.
7. Direct repurchase agreements with primary security dealers or financial institutions
doing business in the State of Texas having a defined termination date, and
secured by U.S. Government or federal agency securities, provided that the
ownership of collateral for the repurchase agreement is transferred to the
Corporation, and deposited with a safekeeping agentforthe duration of the contract
and a signed master repurchase agreement has been executed with the
counterparty.
8. SEC-registered no-load money market mutual funds with a dollar weighted average
portfolio of 90 days or less whose assets consist exclusively of United States
Government Securities whose investment objectives include seeking to maintain a
stable net asset value of $1.00 per share. Investment in mutual funds shall be
limited to a maximum of ten percent (10%) of the Corporation's available funds.
Unacceptable Investment Instruments
The following securities, although authorized by the Public Funds Investment Act, are not
eligible investments for the Corporation:
1. Collateralized mortgage obligations
2. Commercial paper
3. Banker's acceptances
4. Reverse repurchase agreements (Local Government Investment Pools which
the Corporation participates in may engage in reverse repurchase
agreements if the term is 90 days or less)
5. No-load mutual funds other than SEC-registered no-load money market
mutual funds with a dollar weighted average portfolio of 90 days or less
whose assets consist exclusively of United States Government Securities
whose investment objectives include seeking to maintain a stable net asset
value of $1.00 per share.
6. Guaranteed investment contracts
7. Share certificates of qualifying credit unions
Investment Strategy
The investment strategy by type of fund is as follows:
(1) Operating Funds
The investment strategy for operating fund(s) is to assure that anticipated cash flows are
matched with adequate investment liquidity. A secondary objective is to create a portfolio,
which will experience minimum volatility during economic cycles. These funds shall not
have an investment with a stated maturity greater than eighteen (18) months.
(2) Debt Service Funds
The investment strategy for debt service fund(s) is the assurance of investment liquidity to
cover the debt service obligations on the required payment date. Investments purchased
shall not have a stated final maturity date which exceeds the corresponding debt service
payment date.
(3) Reserve Funds
The investment strategy for reserve fund(s) is the assurance of investment liquidity
adequate to cover the debt service obligations not funded by debt service funds on the
required payment date. Investment of reserve funds are controlled by their ordinance,
resolution or indenture, and Federal and State law. Bond documents must be examined
for each issue, for potential differences with this policy concerning investment instruments,
maximum maturity or average life restrictions, call dates or sinking fund redemptions, and
applicable arbitrage yields and rebate liability. Provisions contained in the bond documents
will supersede provisions of this policy.
Reserve funds will be invested using a more conservative approach than the current
standard investment strategy when arbitrage rebate rules require refunding excess
earnings. All excess earnings received will be segregated to allow a proper determination
of interest income to be used in the arbitrage calculation.
Maturity limitations for single issue reserve funds shall not exceed the sooner of five (5)
years, the call provisions of the bond ordinance, or the final maturity of the bond issue.
A. Diversification
The Corporation will attempt to limit the risk of loss through diversification of its portfolio
and to achieve the aforementioned investment strategies by diversification of instruments.
Maximum
Diversification by Instrument
Percent
of Portfolio
U.S. Treasury Obligations (Bills, Notes and Bonds),
U.S. Government Agency Securities,
and Instrumentalities of Government
Sponsored Corporations
100%
75%
Certificates of Deposit (CD's)
Commercial Bank's
75%
Local Government Investment Pool
75%
Tri-Party Repurchase Agreement
75%
SEC registered, no-load mutual fund
10%
Investment Procedures
The Corporation shall enter the following agreements (if applicable): safekeeping, PSA
repurchase agreements, wire transfer agreements, banking services contracts, and
collateral/depository agreements. These contracts shall include the explicit delegation of
authority to persons responsible for the transactions involving these agreements. No
person except those designated in the contract may engage in any investment
transactions.
On all funds invested in instruments as listed in "Permissible Investments" numbers one
through five, oral bids shall be requested from at least two broker/dealers or national
banks. The Corporation will accept the bid that provides the highest rate of return within
the maturity required and within the parameters of this policy. Records will be kept of the
bids offered, bids accepted, and a brief explanation of the decision that was made
regarding the investment.
Qualified Institutions
As the Corporations investments are managed by the investment officers of the City of
Colleyville, the Corporation shall utilize the broker/dealers selected by the City of
Colleyville. All firms shall answer the Broker/Dealer questionnaire (Appendix A) and submit
their most recent audited financial statements to the City for evaluation of credit
worthiness. All personnel in the firms who will be trading or quoting securities to the
Corporation must maintain a current NASD license and be registered to deal securities in
the State of Texas. An investment certification form (Appendix B) on the firm's letterhead
signed by a principal of the firm must be on file with the Corporation.
Safekeeping
All marketable securities purchased by the Corporation shall be held in third party
safekeeping by an institution designated as primary agent. All securities will be delivered
to the third party institution by seller. Personnel in the third party institution will verify the
correct security was delivered by the seller ("delivery vs payment"). The third party
institution shall issue a safekeeping receipt to the Corporation listing the specific
instrument, rate/yield, maturity, CUSIP, and other pertinent information. Collateral on
deposit type securities which exceed the FDIC coverage shall be held in a third party
safekeeping institution. In the event a third party safekeeping institution is used, a
collateral agreement shall be executed between the Corporation, depository which pledged
the collateral, and the third party custodian of the collateral. The Corporation will retain
possession of all original safekeeping receipts and the receipts will state the security is
pledged to the Corporation. Either the Corporation Manager or the Finance Manager must
approve release of collateral in writing prior to its removal from the safekeeping account.
Collateral Securities for Certificates of Deposit and Demand Accounts
The Corporation will accept as collateral for its Certificates of Deposit and demand
accounts the following securities:
A. FDIC coverage
B. U.S. Treasury bills, notes and bonds
C. United States Agency and instrumentalities bills or notes
D. GNMA mortgage backed fully modified pass through securities
E. Texas state, city county or school bonds with a remaining maturity of seven years
or less and a rating of "A" or better by Moody's, Fitch ICBA, and Standard and
Poor's.
F. Surety Bond
Collateral shall be "marked to market" monthly by the Finance Manager. The following
percentages constitute the minimum market value for collateral instruments that are
pledged for the Corporation's Certificates of Deposit and demand deposits.
Form of Collateral Pledged Collateral
Ratio
1. U.S. Treasury bills, notes, and bonds
a. maturing within 1 year
b. maturing in 1-5 years
c. maturing in more than 5 years
102%
105%
110%
2. Actively traded U.S. Government Agency securities
a. maturing in less than 1 year
b. maturing in 1-5 years
c. maturing in more than 5 years
103%
107%
115%
3. GNMA mortgage pass through securities
115%
4. Entities in the State of Texas bonds
General Obligation Bonds
a. maturing in less than 1 year
b. maturing in 1-5 years
c. maturing in more than 5 years
102%
105%
107%
Revenue Bonds
a. maturing in less than 1 year
105%
b. maturing in 1-5 years
c. maturing in more than 5 years
110%
115%
Collateral shall be audited annually be the Corporation's independent auditor and may be
audited by the Corporation at anytime during normal business hours of the safekeeping
bank.
Arbitrage
The Tax Reform Act of 1986 places limitations on the Corporation's yield from investing
certain tax-exempt bond proceeds, debt service funds and reserve funds. The rebate
provisions require that the Corporation compute earnings on investments from certain
issues of bonds on a periodic basis to determine if rebate is required.
To determine the Corporation's arbitrage position, the Corporation is required to calculate
the actual yield earned on the investment of the funds and compare it to the yield that
would have been earned if the funds had been invested at a rate equal to the yield on the
applicable bonds sold by the Corporation. The rebate provisions state that periodically (not
less than once every five years and not later than sixty days after maturity of the bonds),
the Corporation is required to pay the United States Treasury a rebate of any excess
earnings. These restrictions require extreme precision in the monitoring and record
keeping of investments, particularly in computing yields to ensure compliance. Failure to
comply can dictate that the bonds become taxable, retroactively from the date of issuance.
The investment strategy for bond funds which fall under the arbitrage provisions of the Tax
Reform Act of 1986, is that the Corporation will attempt to earn maximum allowable bond
yield with market conditions permitting.
Reporting Requirements
Included as a part of the City of Colleyville's quarterly investment report, Finance Manager
shall issue a written report concerning the Corporation's investment transactions for the
preceding quarter and describing in detail the investment position of the Corporation as of
the end of the quarter indicating the market values of all investments held during the
quarter. The report shall list for each investment held during the quarter: the purchase
price of the investment, the par value of the investment, the market value of the investment
at the beginning of the quarter, market value of the investment at the end of the quarter,
the market change from the beginning until the end of the quarter, and fully accrued
interest for the period. This report shall be in compliance with provisions of the Public
Funds Investment Act, as amended. The report shall be signed by the General Manager
and Finance Manager.
Training Requirements
Both the Finance Manager and Assistant to the Finance Manager shall complete ten hours
of training every two years as required by the Public Funds Investment Act. This training
may be obtained from the following sources: North Central Texas Council of Governments,
Government Treasurer's Organization of Texas, Government Finance Officer's of Texas, or
Texas Municipal League. The training must include education in investment controls,
security risks, strategy risks, market risks, and any other topics as required by the Public
Funds Investment Act.
GLOSSARY
AGENCIES - Federal agency securities and/or Government-sponsored entities.
BENCHMARK - A comparative base for measuring the performance or risk
tolerance of the investment portfolio. A benchmark should represent a close
correlation to the level of risk and the average duration of the portfolio's
investments.
BROKER - A broker brings buyers and sellers together for a commission.
CERTIFICATE OF DEPOSIT - A time deposit with a specific maturity evidenced
by a certificate. Large- denomination CD's a typically negotiable.
COLLATERAL - Securities, evidence of deposit, or other property which a
borrower pledges to secure repayment of a loan. Also refers to securities
pledged by a bank to secure deposits of public monies.
DEALER - A dealer, as opposed to a broker, acts as a principal in all
transactions, buying and selling for his own account.
DELIVERY VERSUS PAYMENT - Delivery verses payment is the delivery of a
security and there is an exchange of money after the delivery of the security.
DISCOUNT SECURITIES - Non-interest bearing money market instruments that
are being issued at a discount and redeemed at maturity for full face value, e.g
Treasury Bills.
DIVERSIFICATION
independent returns.
Dividing instruments among securities offering
FEDERAL CREDIT AGENCIES - Agencies of the Federal government set up to
supply credit to various classes of institutions and individuals e.g.savings and
loans, small business firms, students, farmers, farm cooperatives, and exporters.
FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC) - A federal agency
that insures bank deposits, currently up to $100,000 per deposit.
FEDERAL HOME LOAN BANKS (FHLB) - Government sponsored regional
wholesale banks which lend funds and provide correspondent banking services
to member commercial banks, thrift institutions, credit unions and insurance
companies. 'The mission of the FHLB is to liquefy the housing related assets of
its members who must purchase stock in their district bank.
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) - FNMA, like
GNMA was chartered under the Federal National Mortgage Association Act in
1938. It a federal corporation and the largest single provider of residential
mortgage funds in the United States. FNMA's securities are highly liquid and
widely accepted. FNMA assumes and guarantees that all security holders will
receive timely payment of principal and interest.
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA) - Securities
influencing the volume of bank credit guaranteed by GNMA and issued by
mortgage bankers, commercial banks, savings and loan associations. Security
holder is backed by the full faith and credit of the US Government.
LIQUIDITY - A asset that can be converted quickly and easily to cash.
LOCAL GOVERNMENT INVESTMENT POOL - An investment by local
governments in which their money is pooled as a method for managing local
funds.
MARKET VALUE - The price at which a security is trading and could presumable
be purchased or sold.
MASTER REPURCHASE AGREEMENT - A written contract covering all future
transactions between the parties to repurchase - reverse repurchase
agreements that establishes each party's rights in the transactions. A master
agreement will specify, among other things, the right of the buyer-lender to
liquidate the underlying securities in the event of default by the seller-borrower.
MATURITY - The date upon which the principal or stated value of an investment
becomes due and payable.
MUTUAL FUND - An investment company that pools money and can invest in a
variety of securities, including fixed-income securities and money market
instruments. Mutual funds are regulated by the Investment Company Act of 1940
and must abide by Securities and Exchange disclosure guidelines.
PORTFOLIO - Collection of securities held by an investor.
PRIMARY DEALER - A group of government securities dealers who submit daily
reports of market activity and positions and monthly financial statements to the
Federal Reserve Bank of New York and are subject to informal oversight.
PRUDENT PERSON RULE - An investment standard outlining fiduciary
responsibilities of public funds investors relating to investment practices.
RATE OF RETURN - The yield obtainable on a security based on its purchase
price or its current market price.
REPURCHASE AGREEMENT - An agreement of one party to sell securities at a
specified price to a second party and a simultaneous agreement of the first party
to repurchase the securities at a specified price or at a specified later date.
REVERSE REPURCHASE AGREEMENT - An agreement of one party to sell
securities at a specified price to a second party and a simultaneous agreement
by the first party to resell the securities at a specified price to the second party on
demand or at a specified date.
SAFEKEEPING - Holding of assets (e.g. securities) by a financial institution.
TREASURY BILLS - A non-interest bearing discount security issued by the US
Treasury to finance the national debt. Most bills are issued to mature in three
months, six months, or one year. The yields on these bills are monitored closely
for interest rate trends.
TREASURY BONDS - Long term US government debt securities with maturities
of ten to thirty years.
TREASURY NOTES - Intermediate term US government debt securities with
maturities of one to ten years.
YIELD - The current rate of return on an investment security generally expressed
as a percentage of the securities current price.
CEDC
(FV,~
~~-5'ilC6
'ic.-x:\$
AGENDA BRIEFING
MEETING DATE: 08/23/05 GENERAL MANAGER I ~ ~
ITEM#: 3 DEPARTMENT HEAD ~ c' ~
1
RESOLUTION: t R-05-BO FINANCE MANAGER I
Previous Action: None
DEPARTMENT: OFFICE OF THE CITY MANAGER
SUBJECT : Appointing a Colleyville Economic Development
Corporation President and Vice President
Reading and Public Hearing
On August 24, 2004, Director Jon Ayers was elected President and Director Elaine Dolan was
elected Vice President of the Colleyville Economic Development Corporation.
As per Article III, Officers, the President and Vice President shall be elected by the Board and
shall serve a term of one (1) year. The President and Vice President shall continue to serve
until their successors are appointed as provided in Article II, Section I.
This item provides for the Board of Directors to elect a President and Vice President of the
Colleyville Economic Development Corporation to serve a one-year term.
Financial Impact
None
Recommendation
Approval
Attachments
. Excerpts of the CEDC Bylaws
. Resolution R-04-62
. Resolution R-05-80
C. The Secretary of the Corporation shall act as Secretary of all meetings of the
Corporation, but in the absence of the Secretary, the presiding officer may
appoint any person to act as Secretary of the meeting. The Secretary shall
keep minutes of the transactions of the Board and committee meetings and
shall cause such official minutes to be recorded in books kept for that
purpose in the principal office of the Corporation.
SECTION 6. COMMITTEES OF THE BOARD
An official committee of the Board shall consist of two (2) or more directors. It is
provided, however, that all final official actions of the Corporation may be exercised
only by the Board. Each committee so designated shall keep regular minutes ofthe
transactions of its meetings and shall cause such minutes to be recorded in books
kept for that purpose in the principal office of the Corporation.
SECTION 7. COMPENSATION OF DIRECTORS
The directors, including the President and Vice President, shall not receive any
salary or compensation for their services. However, directors may be reimbursed
for their actual expenses incurred in the performance of their duties hereunder,
including but not limited to the cost of travel, lodging and incidental expenses
reasonably related to the corporate duties of the Board. Travel expenses incurred
by directors for both regular and special meetings are not eligible for
reimbursement.
ARTICLE III.
OFFICERS
SECTION 1. TITLES AND TERM OF OFFICE
The President and Vice President shall be elected by the Board and shall serve a
term of one (1) year. The President and Vice President shall continue to serve until
their successors are appointed as provided in Article II, Section 1.
SECTION 2. POWERS AND DUTIES OF THE PRESIDENT
The President shall be the chief executive officer of the Corporation, and shall
preside at all meetings of the Board, and absent any different designation by a
majority of the Board, shall sign and execute all contracts, conveyances, franchises,
bonds, deeds, assignments, mortgages, and notes in the name of the Corporation.
In addition the President shall:
-4-
I
I
!
i
I(
! I
j I
Ii
1\
II
I
,
I
I
i
I
I
RESOLUTION R-Q4-62
A RESOLUTION APPOINTING A COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION PRESIDENT AND VICE PRESIDENT
WHEREAS,
in accordance with Article III, Officers, the President and Vice
President shall be elected by the Board and shall serve a term of
one (1) year.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF
THE COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION:
Sec. 1. THAT Director Jon Ayers shall be appointed to serve as President of the
Colleyville Economic Development Corporation.
Sec. 2. THAT Director Elaine Dolan shall be appointed to serve as Vice
President of the Colleyville Economic Development Corporation.
AND IT IS SO RESOLVED.
PASSED AND ADOPTED, THIS AUGUST 24, 2004.
COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION
~~'L~
-
Mark Skinner
President
~~~
Cynthia Singleton
Secretary
RESOLUTION R-05-80
A RESOLUTION APPOINTING A COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION PRESIDENT AND VICE PRESIDENT
WHEREAS, the by-laws of the Colleyville Economic Development Corporation require
the President and the Vice President shall be elected by the Board and
shall serve a term of one year; and
WHEREAS, the President and Vice President shall continue to serve until their
successors are appointed as provided in Article II, Section 1; and
WHEREAS, at all meetings of the Board, the President shall preside, and in the
absence of the President, the Vice President shall exercise the powers of
the President.
NOW, THEREFORE, BE IT RESOLVED BY THE COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION:
Sec. 1.
THAT the following persons have been nominated and confirmed by a full
quorum of the Colleyville Economic Development Corporation Board of
Directors to serve for a one (1) year term as prescribed by Article III,
Section 1.
President:
Vice President:
AND IT IS SO RESOLVED.
PASSED BY A VOTE OF AYES,
ON THIS THE DAY OF
NAYS AND
2005.
ABSTENTIONS
COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION
President
ATTEST:
Cynthia Singleton
Secretary
CEDC rne<ll
(("x:\$
AGENDA BRIEFING
MEETING DATE:! 08/23/05 GENERAL MANAGER
ITEM #: ! 4 DEPARTMENT HEAD
RESOLUTION #: i R-05-81 FINANCE REVIEW
Previous Action: None
DEPARTMENT: OFFICE OF THE CITY MANAGER
SUBJECT : Adopting the Economic Development Capital
Improvement Program (EDCIP) for 2006-2010
Reading and Public Hearing
The CEDC Bylaws require the Board to develop a combined Economic Development Capital
Improvement Program (EDCIP) annually, which sets forth long and short-term goals. This
program "shall be one that addresses the development needs of the City within the financial
constraints available to the Corporation". The "EDCIP shall identify the projects to be
undertaken by the Corporation and include proposed methods and the expected cost of the
implementation". After the EDCIP is developed, it must be approved by the City Council.
Staff will provide an overview of current and future park projects, including master plans and
cost estimates and review the priorities established and recommended by the Parks and
Recreation Advisory Board at their August 1, 2005 meeting. (See attached report) For the
Boards information, the current EDCIP for FY 2005-2009 is included as Exhibit 1. For the FY
2006-2010 EDCIP, Exhibit 2 shows revenue and expenditure changes being proposed. In
FY2006, funding is being allocated for the following projects:
· ADA Improvements - Nature Center Park
. McPherson Park Phase I
. City Park Road Extension
· Pleasant Run Practice Field Parking Lot
. Senior Center Facility, FF&E and Renovation
. Parkland Purchase
. Citywide Irrigation Monitoring System
. Trail Construction
. Marketing
$ 95,000
$ 638,000
$ 130,000
$ 50,000
$ 1,350,000
$ 400,000
$ 50,000
$ 80,000
$ 80,000
Financial Impact
The revenue estimate is one-half of the sales tax revenue estimate in the City's proposed FY
2006 budget. FY 2007-2010 includes a 4% increase due to growth resulting from SH
26/Colleyville Boulevard construction.
CEDC briefing
Page 2 of 2
Recommendation
Approval
Attachments
. Memorandum From Monica Sue Walsh - Overview of Current and Future Park Projects
. Exhibit 1 - FY 2005-2009 EDCIP
. Exhibit 2 - Proposed FY 2006-2010 EDCIP
. Resolution R-05-81
MEMORANDUM
TO:
FROM:
Paul Frederiksen, Assistant City Manager
/(' /
;t~ tv
Monica Sue Walsh, Parks and Recreation Director ~>we
DATE:
August 16,2005
SUBJECT:
Economic Development Capital Improvement Program (EDCIP) for
FY2006-2010
Among the primary responsibilities of the Colleyville Economic Development
Corporation (CEDC) Board of Directors is the adoption of a five-year plan and an
annual budget. The five-year plan was last updated in August 2004 and is
attached for your reference. Historically, the CEDC Board has limited the use of
funds to capital expenditures and a small administrative charge. The plan for
FY2006-2010 strives to maintain this philosophy. Many of the projects in the
plan are related to the Parks and Recreation Department.
On August 1, 2005, the Parks and Recreation Advisory Board established their
priorities. (See attached). In consideration of establishing their priorities, the
Parks and Recreation Advisory Board reviewed the citizen priorities based on the
Comprehensive Parks, Recreation and Open Space Master Plan. (See
attached). The proposed FY2006-2010 EDCIP attempts to incorporate some of
the Parks and Recreation Advisory Board identified priorities:
1. McPherson Park, Phase I
2. Cotton belt Trail, Phase III
3. Park Land Purchase
4. McPherson Park, Phase II
5. Pleasant Run Practice Park, Phase II
6. Little Bear Creek Trail Extension
7. ADA Improvements
8. McPherson Park, Phase III (t)
Senior Center (t)
9. New Tennis Courts
10. Bransford Park, Phase II (t)
Park Maintenance Facility (t)
11. Longwood Trail
12. Recreation Center
13. McPherson Park, Phase IV
14. Uniform Park Signage
(t) Denotes tie vote
Revenue
The sole source of revenue for the CEDC budget is a one-half cent sales tax.
The revenue projection in this plan includes the estimated amount to be received
in FY2005 and increases the sales tax revenue to the amount in the proposed
FY2006 City of Colleyville General Fund budget. These changes are proposed
to accommodate the revised revenue projection and to retain the fund balance at
an acceptable level.
Projects
The proposed EDCIP plan proposes $638,000 in FY 2006 for Phase I of
McPherson Park, which includes a walking trail, picnic and playground areas,
entry road, fishing pond, unstructured play areas, recreation amenities and
pavilion with a restroom. McPherson Park, Phase I, is priority number 1 of the
Parks and Recreation Advisory Board. The total cost of this project is
approximately $1.9 million with proposed funding allocations from CEDC
($638,000), Parkland Dedication ($855,00) and Voluntary Park Funds ($500,00).
The proposed EDCIP plan proposes $400,000 in FY2006 for the purchase of
parkland. The purchase of parkland is priority number 3 of the Parks and
Recreation Advisory Board.
The proposed EDCIP plan proposes $95,000 in FY2006 for ADA improvements
to the Nature Center and $125,000 in FY2007 for Sparger Park. The ADA
improvements are priority number 7 of the Parks and Recreation Advisory Board.
The proposed EDCIP plan proposes $1,200,000 in FY 2006 for the Senior
Center facility and $150,000 in FF&E and renovations. The Parks and Recreation
Advisory Board ranked the Senior Center as priority number 8 along with
McPherson Park Phase III.
Additionally, the proposed plan provides funding for the allocation of $80,000 in
FY2006, $100,000 in FY2007, $70,000 in 2008 and $100,000 in 2010 for trail
construction. Also in FY 2006 $130,000 for City Park Road extension, $50,000 in
Pleasant Run Practice Field Parking Lot and $50,000 in Citywide Irrigation
Monitoring System.
In addition to the parks and recreation related improvements proposed FY2006-
2010 EDCIP plan, this plan also provides for the allocation of $400,000 for
Marketing in FY2006-201 0, with an annual allocation of $80,000.
The proposed EDCIP plan proposes $108,000 in FY2007 and $300,000 in
FY2010 for Open Area Development in conjunction with the Senior Center
facility.
The construction of the Cotton belt Trail, Phase III, from John McCain Road
(north) to the Grapevine city limits and the Little Bear Creek Trail Extension from
the Nature Center to Sparger Park are planned for future grant funding. The Little
Bear Creek Trail Extension is priority 6 of the Parks and Recreation Advisory
Board.
The Cottonbelt Trail Phase I is complete. The Cotton belt Trail Phase II in
conjunction with the City of Hurst is currently under design. Cotton belt Trail
Phase III will be the final phase of the regional trail system located within the City
of Colleyville. This phase of the project will be constructed during the
construction of the planned improvements for SH26. The design of the trail will
need to be completed prior to the construction of the highway, which is
scheduled for 2007.
The proposed EDCIP plan proposes $300,000 in FY2010 for trail grant
opportunities. The Parks and Recreation Advisory Board ranked Cottonbelt Trail
Phase III priority number 2 and Little Bear Trail Extension priority number 6.
The proposed EDCIP plan proposes $500,000 in FY 2009 for Phase II of the
McPherson Park, which includes expanded parking; demolish brick house, Park
Service Center improvements, pavilions at lower unstructured open space area,
turf, landscaping and irrigation. McPherson Park, Phase II, is priority number 4 of
the Parks and Recreation Advisory Board.
Conclusion
With limited funds and multiple projects, the recommended five-year plan does
not provide sufficient resources for every project identified as a priority of the
Parks and Recreation Advisory Board or the City Council. It does provide funds
for McPherson Park, Phase I and II, ADA improvements to the Nature Center and
Sparger Park, City Park Road Extension, Pleasant Run Practice Field Parking
Lot, Parkland Purchase, Senior Center, Citywide Irrigation monitoring System,
Citywide Trail System and leaves open the possibility of additional funds if the
sales tax receipts exceed projections.
Recommendation
Staff recommends that the CEDC Board approve the five-year plan, as proposed.
PARKS AND RECREATION ADVISORY BOARD CIP PRIORITIES
At the Parks and Recreation Board meeting on August 1, 2005 the Board prioritized
the following CIP projects:
PRIORITY LIST
One being the most important
(t) - indicates a tie
McPherson Park - Phase I 1
Cottonbelt Trail - Phase III 2
Park Land Purchase 3
McPherson Park - Phase II 4
Pleasant Run Park"':' Phase II 5
Little Bear Creek Trail Extension 6
ADA Improvements 7
McPherson Park - Phase III 8 t
Senior Center 8 t
New Tennis Courts 9
Bransford Park - Phase II 10 t)
Parks Maintenance Facility 10 ( t)
LonQwood Trail 11
Recreation Center 12
McPherson Park - Phase IV 13
Uniform Park Signage 14
(/)
-1-1
U
(]J
.~
o
1-
c..
-1-1
C
(]J
E
(]J
>
o
1-
c..
E
1--1
-
co
-1-1
.-
c..
CO
U
LJ)
o
o
N
(J)
Q)
.-
....,
.-
"-
o
.-
"-
a..
"C
C
m
c
o
.-
...,
m
cu
I..
U
cu
a:
~
~
I..
m c
o.m
cu-
>0.
1- I..
fn cu
c...,
cu fn
.em
~:E
CLcu
E u
o m
UCL
U)
c c
o cu
"CCL
cue
fn
m
.Q
fn
cu
1-
...,
I-
I..
o
I-
I..
a.
c
cu
N
.-
...,
1-
U
C
o
1-
U)
C
CU ~
.w > C
>< I-oot 1-
W "'C
- CU == CU
I-oot "i ~ :J ~
I-oot i- .c I:Q ta
I-ootl- C
cu D. cu
U) -; _ ~ ~ 12'
ta cu "i i- i- ta (/)
.ci-i-J!)cu:'c~
D.UI-i-.w CUi-
.wi-"'C:Jcc.wta
QjtaoOCUOCD.
.c cu 0 U U 1!! "i E
cl:Q3:U)i-cu~i-
o cu ~ "2 12 .c ~ 0
~EccCD.i-~
o 1_ 0 cu cu ~ ta C
U......I-(/)..:;.,D.::)
....... .
cnO....NMlIlIt&n\O
............................
I-oot
I-oot I-oot
1-oot~1-oot==
cu ta I-oot cu cu
U).c cu U) U)
cu~D. ~~ ~ U)
~~D.-c.cD.D.~
.w.c~taD.~~cu
CUi-D.~i-i-E
custaci-ta tacu
uD.D.:JtaD.D.>
C c~D.cco
o"'Co "'Cooi-
1- C U) .w i- U) U) Q.
1ijtai-COi- i-E
cu"'~m~~~1-oot
O-CD.tacD.D.<Cecutau.!fuuQ
~D.~D.I:Q~~<C
...:iNrti~uiui"":cci
COLLEYVILLE ECONOMIC DEVELOPMENT COPRORATION
ECONOMIC DEVELOPMENT CAPITAL IMPROVEMENT PROGRAM FY 2005 - FY 2009
Exhibit 1
FISCAL YEAR
PROJECTED
2004
2005
2006
2007
2008
2009
BEGINNING FUND BALANCE
$828,549
$947,548
$512,617
$405,440
$433,289
$495.947
PROJECTED 1/2 CENT SALES TAX REVENUE $809,000 $847.800 $890.190 $925,798 $962.830 $1,001,343
INTEREST INCOME $9,780 $18,951 $10.252 $8,109 $8,666 $9,919
USE OF FUND BALANCE $147.793 $677,376 $349,000 $216,000 $182,000 $138,000
TOTAL REVENUES $966,573 $1,544,127 $1.249,442 $1,149,906 $1,153,495 $1.149.262
OPERATING:
ADMINISTRATIVE $5,000 $5,000 $5,000 $5,000 $5,000 $5.000
1997 DEBT SERVICE & 1.4 TIMES COVERAGE $666,044 $665,606 $666,306 $666,306 $665,606 $664,049
2000 DEBT SERVICE & 1.4 TIMES COVERAGE $174,517 $179,549 $177,360 $175,174 $179,767 $177,142
CAPITAL:
COLLEYVILLE CENTER CHAIR REPLACEMENT $0 $50,000 $0 $0 $0 $0
MC PHERSON LAND PARK PLAN $0 $125,000 $150,000 $150,000 $150,000 $150,000
PARK LAND PURCHASE $0 $0 $150,000 $150,000 $150,000 $150,000
SCHOOL/SOCCER FIELD PARK LAND NOTE $94,380 $0 $0 $0 $0 $0
SENIOR CENTER DESIGN/FURNISHINGS $0 $125,000 $100,000 $0 $0 $0
TRAILS GRANT MATCH $0 $393,000 $0 $0 $0 $0
TOTAL EXPENDITURES $939,941 $1,543.155 $1,248,667 $1.146,480 $1.150.373 $1.146.191
EXCESS REVENUES OVER EXPENDITURES $26,631 $972 $776 $3,427 $3,122 $3,070
ADD BACK.4 TIMES BOND COVERAGE RATIO $240,160 $241,473 $241,048 $240,423 $241,535 $240,340
ENDING FUND BALANCE
$947,548
$512,617
$405,440
$433,289
$495.947
$601,357
ASSUMPTIONS: FY 2006: 5% ANNUAL SALES TAX INCREASE / FY 2007 - 2009: 4% GROWTH DUE TO COLLEYVILLE BLVD.CONSTRUCTION
COLLEYVILLE ECONOMIC DEVELOPMENT COPRORATION Exhibit 2
ECONOMIC DEVELOPMENT CAPITAL IMPROVEMENT PROGRAM FY 2006 - FY 2010
PROJECTED
FISCAL YEAR 2005 2006 2007 2008 2009 2010
BEGINNING FUND BALANCE $949,709 $1,230,394 $710,209 $669,533 $627,086 $501,883
PROJECTED 1/2 CENT SALES TAX REVENUE $944,932 $963,831 $1,002,384 $1,042,479 $1,084,178 $1,127,545
INTEREST INCOME $15,435 $36,912 $21,306 $20,086 $18,813 $15,056
2005 BOND SALE PROCEEDS $0 $2,000,000 $0 $0 $0 $0
USE OF AVAILABLE CASH $0 $777,357 $299,223 $302,453 $382,482 $247.204
TOTAL REVENUES $960,367 $3,778,099 $1,322,912 $1,365,018 $1,485,473 $1,389,806
OPERATING:
ADMINISTRATIVE $5,000 $5,000 $5,000 $5,000 $5,000 $5,000
2005 DEBT SERVICE & 1.4 TIMES COVERAGE $0 $900,099 $904,913 $910,018 $900,4 73 $904,806
1997 DEBT SERVICE & 1.4 TIMES COVERAGE $665,606 $0 $0 $0 $0 $0
2000 DEBT SERVICE & 1.4 TIMES COVERAGE $179,549 $0 $0 $0 $0 $0
MARKETING $0 $80,000 $80,000 $80,000 $80,000 $80,000
CAPITAL:
ADA IMPROVEMENTS
NATURE CENTER PARK $0 $95,000 $0 $0 $0 $0
SPARGER PARK $0 $0 $125,000 $0 $0 $0
COLLEYVILLE CENTER CHAIR REPLACEMENT $36,000 $0 $0 $0 $0 $0
MC PHERSON PARK
Phase I $0 $238,000 $0 $0 $0 $0
Phase I (Bond Sale Proceeeds) $0 $400,000 $0 $0 $0 $0
Phase II $0 $0 $0 $0 $500,000 $0
CITY PARK ROAD EXTENSION $0 $130,000 $0 $0 $0 $0
PLEASANT RUN PRACTICE FIELD PARKING LOT $0 $50,000 $0 $0 $0 $0
PARK LAND PURCHASE (Bond Sale Proceeds) $0 $400,000 $0 $0 $0 $0
SENIOR CENTER
FACILITY (Bond Sale Proceeds) $0 $1,200,000 $0 $0 $0 $0
FF&E AND RENOVATIONS $35,000 $150,000 $0 $0 $0 $0
OPEN AREA DEVELOPMENT $0 $0 $108,000 $0 $0 $300,000
CITYWIDE IRRIGATION MONITORING SYSTEM $0 $50,000 $0 $0 $0 $0
CITYWIDE TRAIL SYSTEM
GRANT MATCH $0 $0 $0 $300,000 $0 $0
TRAIL CONSTRUCTION $0 $80,000 $100,000 $70,000 $0 $100,000
TOTAL EXPENDITURES $921,155 $3,778,099 $1,322,913 $1,365,018 $1,485,473 $1,389,806
EXCESS REVENUES OVER EXPENDITURES $39,213 $0 $0 $0 $0 $0
ADD BACK.4 TIMES BOND COVERAGE RATIO $241,473 $257,171 $258,547 $260,005 $257,278 $258,516
ENDING FUND BALANCE $1,230,394 $710,209 $669,533 $627,086 $501,883 $513,195
ASSUMPTIONS: FY 2006: 1/2 OF CITY SALES TAX BUDGET PROJECTION / FY 2007 - 2010: 4% GROWTH DUE TO COLLEYVILLE BLVD.CONSTRUCTION
RESOLUTION R-05-81
A RESOLUTION ADOPTING THE ECONOMIC DEVELOPMENT CAPITAL
IMPROVEMENT PROGRAM (EDCIP) FOR 2006-2010
WHEREAS, the Bylaws of the Colleyville Economic Development Corporation require
that annually the Board develop a combined Economic Development
Capital Improvement Program; and
WHEREAS, the program will address the development needs of the City within the
financial constraints avail be to the Corporation; and
WHEREAS, the EDCIP shall identify the projects to be undertaken by the Corporation
and include proposed methods and the expected cost of the
implementation.
NOW, THEREFORE, BE IT RESOLVED BY THE COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION:
Sec. 1.
THAT the Economic Development Capital Improvement Program (EDCIP)
is hereby attached as Exhibit "A" that lists those projects and programs
recommended for implementation for FY 2006-2010.
Sec. 2.
THAT once approved, the EDCIP will be forwarded to the City Council for
their subsequent approval.
AND IT IS SO RESOLVED.
PASSED BY A VOTE OF AYES,
ON THIS THE DAY OF
NAYS AND
2005.
ABSTENTIONS
COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION
President
ATTEST:
Cynthia Singleton
Secretary
COLLEYVILLE ECONOMIC DEVELOPMENT COPRORATION Exhibit A
ECONOMIC DEVELOPMENT CAPITAL IMPROVEMENT PROGRAM FY 2006 - FY 2010
PROJECTED
FISCAL YEAR 2005 2006 2007 2008 2009 2010
BEGINNING FUND BALANCE $949.709 $1.230.394 $710.209 $669.533 $627.086 $501.883
PROJECTED 1/2 CENT SALES TAX REVENUE $944.932 $963,831 $1,002,384 $1.042,4 79 $1.084.178 $1,127,545
INTEREST INCOME $15,435 $36,912 $21,306 $20.086 $18.813 $15,056
2005 BOND SALE PROCEEDS $0 $2,000,000 $0 $0 $0 $0
USE OF AVAILABLE CASH $0 $777,357 $299.223 $302,453 $382,482 $247,204
TOTAL REVENUES $960,367 $3.778.099 $1.322.912 $1,365,018 $1,485,473 $1,389.806
OPERATING
ADMINISTRATIVE $5.000 $5,000 $5.000 $5,000 $5,000 $5.000
2005 DEBT SERVICE & 1.4 TIMES COVERAGE $0 $900,099 $904.913 $910,018 $900,473 $904,806
1997 DEBT SERVICE & 1.4 TIMES COVERAGE $665,606 $0 $0 $0 $0 $0
2000 DEBT SERVICE & 1.4 TIMES COVERAGE $179,549 $0 $0 $0 $0 $0
MARKETING $0 $80.000 $80,000 $80,000 $80,000 $80,000
CAPITAL:
ADA IMPROVEMENTS
NATURE CENTER PARK $0 $95.000 $0 $0 $0 $0
SPARGER PARK $0 $0 $125.000 $0 $0 $0
COLLEYVILLE CENTER CHAIR REPLACEMENT $36.000 $0 $0 $0 $0 $0
MC PHERSON PARK
Phase I $0 $238,000 $0 $0 $0 $0
Phase I (Bond Sale Proceeeds) $0 $400,000 $0 $0 $0 $0
Phase II $0 $0 $0 $0 $500,000 $0
CITY PARK ROAD EXTENSION $0 $130,000 $0 $0 $0 $0
PLEASANT RUN PRACTICE FIELD PARKING LOT $0 $50,000 $0 $0 $0 $0
PARK LAND PURCHASE (Bond Sale Proceeds) $0 $400,000 $0 $0 $0 $0
SENIOR CENTER
FACILITY (Bond Sale Proceeds) $0 $1.200,000 $0 $0 $0 $0
FF&E AND RENOVATIONS $35.000 $150,000 $0 $0 $0 $0
OPEN AREA DEVELOPMENT $0 $0 $108,000 $0 $0 $300,000
CITYWIDE IRRIGATION MONITORING SYSTEM $0 $50,000 $0 $0 $0 $0
CITYWIDE TRAIL SYSTEM
GRANT MATCH $0 $0 $0 $300.000 $0 $0
TRAIL CONSTRUCTION $0 $80,000 $100,000 $70,000 $0 $100,000
TOTAL EXPENDITURES $921,155 $3,778.099 $1,322,913 $1,365,018 $1.485,473 $1,389,806
EXCESS REVENUES OVER EXPENDITURES $39,213 $0 $0 $0 $0 $0
ADD BACK .4 TIMES BOND COVERAGE RATIO $241,473 $257,171 $258,547 $260.005 $257.278 $258,516
ENDING FUND BALANCE $1.230,394 $710,209 $669,533 $627,086 $501,883 $513.195
ASSUMPTIONS: FY 2006: 1/2 OF CITY SALES TAX BUDGET PROJECTION / FY 2007 - 2010: 4% GROWTH DUE TO COLLEYVILLE BLVD.CONSTRUCTION
CEDC
cc@m", AGENDA BRIEFING
Il"X,,:;
.i-. /~
MEETING DATE: 08/23/05 GENERAL MANAGER ! , ~
ITEM#: 5 DEPARTMENT HEAD ~,~\
RESOLUTION #: ! R-05-82 ~"
FINANCE MANAGER !
Previous Action: N/A
DEPARTMENT: FINANCE
SUBJECT: Adopting the Fiscal Year 2006 Budget
Reading and Public Hearing
Per the Corporate by-laws, the Board of Directors must adopt an annual budget for the
Colleyville Economic Development Corporation. Attached is a proposed budget with estimated
revenues and expenditures for Fiscal Year 2006 (Exhibit 1A). The revenue estimate is 1/2 of
the sales tax revenue estimate in the City's proposed FY 2006 budget. Expenditures include
ADA improvements at the Nature Center ($95,000), McPherson Land Park ($238,000-
$125,000 of the total is a carry forward from the FY2005 budget), City Park Road extension
($130,000), Pleasant Run soccer practice field parking lot ($50,000), Senior Citizens' Center
furniture, equipment and renovations ($150,000), City-wide irrigation monitoring system
($50,000), trail construction ($80,000) debt service on the 2005 sales tax refunding bonds
($649,928), marketing ($80,000) and board, audit and insurance expense ($5,000). The
budget also utilizes $777,357 in available cash balance, with the projected ending Fiscal Year
2006 Fund Balance being $710,209.
Financial Impact
Adoption of the budget will provide appropriations for the FY 2006 budget.
Recommendation
Approval
Attachments
. FY 2006 Proposed Budget Summary (Exhibit 1A)
. Resolution R-05-82
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION EXHIBIT 1A
FY 2006 PROPOSED BUDGET SUMMARY
FY 2005 FY 2006
ANTICIPATED PROPOSED
BEGINNING FUND BALANCE $ 949,709 $ 1,230,394
REVENUES:
SALES TAX REVENUES $ 944,932 $ 963,831
INTEREST INCOME $ 15,435 $ 36,912
USE OF AVAILABLE CASH $ $ 777,357
TOTAL REVENUES $ 960,367 $ 1,778,100
LESS EXPENSES:
ADMINISTRATIVE EXPENSES $ 5,000 $ 5,000
MARKETING $ $ 80,000
DEBT SERVICE $ 603,682 $ 642,928
CAPITAL PROJECTS:
ADA IMPROVEMENTS - NATURE CENTER $ $ 95,000
COLLEYVILLE CENTER CHAIR REPLACEMENT $ 36,000 $
MC PHERSON LAND PARK PLAN $ $ 238,000
CITY PARK ROAD EXTENSION $ $ 130,000
PLEASANT RUN PRACTICE FIELD PARKING LOT $ $ 50,000
SENIOR CENTER DESIGN $ 35,000 $
SENIOR CENTER FF&E RENOVATIONS $ $ 150,000
CITYWIDE IRRIGATION MONITORING SYSTEM $ $ 50,000
TRAILCONSTRUCTION $ $ 80,000
TOTAL EXPENSES $ 679,682 $ 1,520,928
EXCESS REVENUES OVER EXPENSES $ 280,685 $ 257,172
NOTE: A COVERAGE RATIO OF 1.4 IS REQUIRED TO MEET THE SALES TAX
BOND COVENANTS. FOR FY 2005 REVENUES MUST EXCEED EXPENDITURES
BY AT LEAST $257,171.
RESOLUTION R-05-82
A RESOLUTION ADOPTING AN ANNUAL BUDGET FOR FISCAL YEAR 2006 FOR
THE COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION
WHEREAS, the by-laws of the Colleyville Economic Development Corporation require
that an annual budget be adopted by the Board of Directors; and
WHEREAS, the by-laws require that the budget includes projected revenues and
proposed expenditures.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION:
Sec.1.
THAT the Fiscal Year 2006 budget amounts for the Colleyville Economic
Development Corporation are as follows:
Revenues
$1,788,100
$1,520,928
Expenditures
AND IT IS SO RESOLVED.
PASSED AND ADOPTED, this August 23, 2005.
COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION
President
ATTEST:
Cynthia Singleton
Secretary
CEDC CCe<!l
"'C'x~$
AGENDA BRIEFING
DEPARTMENT HEAD
FINANCE REVIEW !
MEETING DATE: I
ITEM#: I
RESOLUTION #: I
08/23/05
6
R-05-83
GENERAL MANAGER I
;
Previous Action: None
DEPARTMENT: OFFICE OF THE CITY MANAGER
SUBJECT: Approving an Amendment of the Bylaws of the
Colleyville Economic Development Corporation
Reading and Public Hearing
The Colleyville Economic Development Corporation (CEDC) Bylaws, Article I. Purpose and
Powers, Section 1. Registered Office and Registered Agent lists the office as being registered
at 5400 Bransford, Colleyville, Texas 76034 along with the mailing address of P.O. Box 185,
Colleyville, Texas 76034.
In November 2003, City Hall moved to 100 Main Street, Colleyville, Texas. This item provides
for the CEDC Board to revise the Bylaws to reflect the new location as well as the mailing
address as 100 Main Street, Colleyville, Texas 76034.
Upon approval, the CEDC Bylaws will be presented to the City Council for ratification.
Financial Impact
None
Recommendation
Approval
Attachments
. CEDC Bylaws
. Resolution R-05-83
(
BYLAWS
OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION
ARTICLE I.
PURPOSE AND POWERS
SECTION 1. REGISTERED OFFICE AND REGISTERED AGENT
The COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION (the
"Corporation") shall have and continuously maintain in the State of Texas a
registered office, and a registered agent whose office is identical with such
registered office, as required by the Texas Non-Profit Corporation Act., and state
law. The Registered Agent for the Corporation shall be the City Secretary, subject
that the Board of Directors (the "Board") from time to time, may change the
registered agent and/or the address of the registered office, subject to City Council
approval, provided that such change is appropriately reflected in these Bylaws and
in the Articles of Incorporation (the "Articles").
(
The registered office of the Corporation is located at 5400 Bransford Road,
Colleyville, Tarrant County, Texas 76034, and at such address is the Corporation,
whose mailing address is P.O. Box 185,Colleyville,Texas 76034-0185. Said
address shall also serve as the principal office of the Corporation and Board.
SECTION 2. P.URPOSE
The Corporation is incorporated as a non-profit corporation for the purposes set
forth in the Articles the same to be accomplished on behalf of the City of Colleyville,
Texas (the "City") as its duly constituted authority and instrumentality in accordance
with the Texas Development Corporation Act of 1979, Article 5190.6, Section 4B
Tex. Rev. Civ. Stat. Ann., as amended, (the "Act"), other applicable laws, and by
Resolution R-96-1238 adopted by the City Council of the City on the third day of
September, 1996, including all permissible projects prescribed by the Act, and for
maintenance and operating costs of the publicly owned and operated projects. The
Corporation shall be a non-profit corporation as defined by the Internal Revenue
Code 1986, as amended, and the applicable regulations of the United States
Treasury Department and the rulings of the Internal Revenue Service ofthe United
States prescribed and promulgated thereunder.
-1-
SECTION 3. POWERS
In the fulfillment of its corporate purpose, the Corporation shall be governed by the
Act, and shall have all of the powers set forth and conferred in Section 4B of the
Act, and in other applicable laws, subject to the limitations prescribed therein and
herein and to the provisions thereof and hereof.
ARTICLE II.
BOARD OF DIRECTORS
SECTION 1. NUMBER AND TERM OF OFFICE
A. The property and affairs of the Corporation shall be managed and controlled
by a Board and, subject to the restrictions imposed by law, by the Articles
and these Bylaws, the Board shall exercise all of the powers of the
Corporation.
B. The Board shall consist of seven (7) directors, each of whom shall be
appointed by the City Council. Each of the directors shall be a resident of
the City.
C. Four (4) members of the first Board shall serve terms of one (1) year and
three (3) members shall serve terms of two (2) years. The respective terms
of the initial directors shall be determined by the City Council. Thereafter,
each successive member of the Board shall be appointed and serve for two
(2) years or until a successor is appointed as hereinafter provided. Three (3)
directors shall be persons who are not employees, officers of the City or
members of the City Council.
D. Any director may be removed from office by the City Council at will. A
vacancy of any director's position which occurs by reason of death,
resignation, disqualification, removal, or otherwise, shall be filled by the City
Council.
SECTION 2. VACANCIES AND RESIGNATIONS
A vacancy in any position of director which occurs by reason of death, resignation,
disqualification, removal, or otherwise, shall be filled as prescribed in Article II,
Section 1. A vacancy in the office of President or Vice President which occurs by
reason of death, resignation, disqualification, removal, or otherwise, shall be filled
by election by the Board, from the remaining directors, for the unexpired portion of
the term of that office.
-2-
(
Any director may resign at any time. Such resignation shall be made in writing,
addressed to the Mayor and the City Secretary, and shall take effect at the time
specified therein, or if no time is specified, at the time of its receipt by the City
Secretary .
SECTION 3. MEETINGS OF DIRECTORS
For meetings of the Board or committees, notice thereof shall be provided and set
forth in accordance with the Texas Open Meetings Act, Chapter 551 of the Texas
Local Government Code. Any member of the Board, officers of the Corporation or
Mayor, may have an item placed on the agenda by delivering the same in writing to
the Secretary of the Board no less than three (3) calendar days prior to the date of
the Board meeting. Each agenda of a Board meeting shall contain an item, titled
"Citizens Forum", to allow public comment to be made by the general public
concerning Board related matters. However, no official or formal action or vote may
be taken on any comment made by citizens during Citizens Forum.
The annual meeting of the Board shall be on the fourth Tuesday in August of each
year, at 6:45 p.m. The Board shall hold regular and special meetings, in the
corporate limits of the City, at such place or places as the Board may from time to
time determine, and in conformance with the Texas Open Meetings Act.
SECTION 4. QUORUM
A quorum is a majority of the Board (being not less than four (4) members), and
shall be present for the conduct of the official business of the Corporation. The act
of four (4) or more directors at a meeting at which a quorum is in attendance shall
constitute the act of the Board and of the Corporation, unless the act of a greater
number is required by these Bylaws, policies/procedures of the Board, City Council
resolution/ordinance, or state law.
SECTION 5. CONDUCT OF BUSINESS
A. At the meetings of the Board, matters pertaining to the business of the
Corporation shall be considered in accordance with the rules of procedure as
from time to time prescribed by the Board. Unless otherwise adopted by the
Board, the rules of procedures of the City Council shall be the rules of
procedures for the Board.
B. At all meetings of the Board, the President shall preside, and in the absence
of the President, the Vice President shall exercise the powers of the
President.
-3-
C. The Secretary of the Corporation shall act as Secretary of all meetings of the
Corporation, but in the absence of the Secretary, the presiding officer may
appoint any person to act as Secretary of the meeting. The Secretary shall
keep minutes of the transactions of the Board and committee meetings and
shall cause such official minutes to be recorded in books kept for that
purpose in the principal office of the Corporation.
SECTION 6. COMMITTEES OF THE BOARD
An official committee of the Board shall consist of two (2) or more directors. It is
provided, however, that all final official actions of the Corporation may be exercised
only by the Board. Each committee so designated shall keep regular minutes of the
transactions of its meetings and shall cause such minutes to be recorded in books
kept for that purpose in the principal office of the Corporation.
SECTION 7. COMPENSATION OF DIRECTORS
The directors, including the President and Vice President, shall not receive any
salary or compensation for their services. However, directors may be reimbursed
for their actual expenses incurred in the performance of their duties hereunder,
including but not limited to the cost of travel, lodging and incidental expenses
reasonably related to the corporate duties of the Board. Travel expenses incurred
by directors for both regular and special meetings are not eligible for
reimbursement.
ARTICLE III.
OFFICERS
SECTION 1. TITLES AND TERM OF OFFICE
The President and Vice President shall be elected by the Board and shall serve a
term of one (1) year. The President and Vice President shall continue to serve until
their successors are appointed as provided in Article II, Section 1.
SECTION 2. POWERS AND DUTIES OF THE PRESIDENT
The President shall be the chief executive officer of the Corporation, and shall
preside at all meetings of the Board, and absent any different designation by a
majority of the Board, shall sign and execute all contracts, conveyances, franchises,
bonds, deeds, assignments, mortgages, and notes in the name of the Corporation.
In addition the President shall:
-4-
- -- - - -_.-.._-~...,.~_.,-~-_._~~~~~,-_...,-
A. call both regular and special meetings of the Board and establish the agenda
for such;
B. shall endorse and countersign, on behalf of the Corporation, for collection or
issuance, checks, notes and other obligations in or drawn upon such bank or
banks or depositories as shall be designated by the City Council consistent
with these Bylaws.
C. have the authority to appoint standing or study committees to aid and assist
the Board in its business undertaking or other matters incidental to the
operation and functions of the Board;
D. perform all duties incident to the office, and such other duties as shall be
prescribed from time to time by the Board, subject to approval by the City
Council;
E. appear before the City Council on a periodic basis to give a report on the
status of activities of the Corporation; and
F. appear before the City Council, or be represented by his designee, regarding
any item being considered by the City Council concerning the Corporation.
SECTION 3. VICE PRESIDENT
(
The Vice President shall exercise the powers of the President during that officer's
absence or inability to act. The Vice President shall also perform other duties as
from time to time may be assigned by the President or the Board.
SECTION 4. ATTENDANCE
Directors must be present in order to vote at any meeting. Regular attendance at
the Board meetings is required of all directors. The following number of absences
shall constitute the basis for replacement of a director. Three (3) consecutive
unexcused absences from meetings of the Board shall cause the position to be
considered vacant.
In addition, the position of any director who has four (4) unexcused absences in a
twelve (12) month period shall also be considered vacant.
-5-
SECTION 5. CONFLICT OF INTEREST
In the event that a director is aware that he has a conflict of interest or potential
conflict of interest, with regard to any particular matter or vote coming before the
Board, the director shall bring the same to the attention of the Board and shall
abstain from discussion and voting thereof.
Any director shall bring to the attention of the Board any apparent conflict of interest
or potential conflict of interest of any other director in which case the Board shall
determine whether a true conflict of interest exists before any further discussion or
vote shall be conducted regarding that particular matter. The director about whom a
conflict of interest question has been raised shall refrain from voting with regard to
the determination as to whether a true conflict exists. Failure to conform to these
requirements herein and policies as may be adopted by the Board is cause for
dismissal from the Board by action of the City Council.
SECTION 6. IMPLIED DUTIES
The Corporation is authorized to do that which the Board deems desirable, subject
to City Council approval, to accomplish any of the purposes or duties set out or
alluded to in the Articles, these Bylaws, and in accordance with State law.
SECTION 7. BOARD.S RELATIONSHIP WITH THE CITY
In accordance with state law, the Board shall be responsible for the proper
discharge of its duties assigned herein. The Board shall determine its policies and
directives within the limitations of the duties herein imposed by applicable laws, the
Articles, these Bylaws, contracts entered into with the City, and budget and fiduciary
responsibilities. Any request for services made to the departments of the City shall
be made by the Board or its designee in writing to the City Manager. The City
Manager may approve such request for assistance from the Board when he finds
such requested services are available within the City and that the Board has agreed
to reimbu rse the City for the cost of such services so provided, as provided in Article
III, Section 8 of these Bylaws.
SECTION 8. CONTRACTS FOR SERVICE
The Corporation may, with approval of the City Council, contract with any qualified
and appropriate person, association, corporation or governmental entity to perform
and discharge designated tasks which will aid or assist the Board in the
performance of its duties. However, no such contract shall ever be approved or
entered into which seeks or attempts to divest the Board of its discretion and policy-
making functions in discharging the duties herein set forth. An administrative
-6-
services contract shall be executed between the Board and the City Council for the
services provided by the General Manager, Finance Manager, Secretary, and other
City services/functions and compensated as provided for herein.
Subject to the authority of the City Manager under the Charter of the City, the
Corporation shall have the right to utilize the services of the staff and employees of
the Finance Department of the City, the staff and employees of the Parks and
Recreation Department and other employees of the City, provided (i) that the City
Manager approves of the utilization of such services, (ii) that the Corporation shall
pay, as approved by the City Manager, reasonable compensation to the City of such
services, and (iii) the performance of such services does not materially interfere with
the other duties of such personnel of the City. Utilization of tile aforesaid city staff
shall be solely by a contract approved by the City Council.
ARTICLE IV.
FUNCTIONAL CORPORATE DUTIES AND REQUIREMENTS
SECTION 1. GENERAL MANAGER
\
The General Manager shall be the chief administrative officer of the Corporation
and be in general charge of the properties and affairs of the Corporation, shall
administer all work orders, requisitions for payment, purchase orders, contract
administration/oversight, and other instruments or activities as prescribed by the
Board in the name of the Corporation. The General Manager shall be an employee
of the City.
SECTION 2. FINANCE MANAGER
The Finance Manager shall have the responsibility to see to the handling, custody,
and security of all funds and securities of the Corporation. When necessary or
proper, the Finance Manager shall endorse and sign, on behalf of the Corporation,
for collection or issuance, checks, notes and other obligations drawn upon such
bank or banks or depositories as shall be designated by the City Council consistent
with these Bylaws. The Finance Manager shall see to the entry in the books of the
Corporation of full and accurate accounts of all monies received and paid out on
account of the Corporation. The Finance Manager shall, at the expense of the
Corporation, give such bond for the faithful discharge of the duties in such form and
amount as the City Council shall require, by resolution. The Finance Manager shall
be an employee of the City. The Finance Manager shall provide financial reports to
the Board and to the City Council concerning activities of the Corporation in a format
consistent with other financial reports of the City and on a periodic basis as shall be
directed by the Board or the City Council.
-7-
SECTION 3. SECRETARY
The Secretary shall keep the minutes of all meetings of the Board and committees
in books provided for that purpose, shall give and serve all notices, shall sign with
the President in the name of the Corporation, and/or attest the signature thereto, all
contracts, conveyances, franchises, bonds, deeds, assignments, mortgages, notes
and other instruments of the Corporation, shall have charge of the corporate books,
records, documents and instruments except the books of account and financial
records and securities, and such other books and papers as the Board may direct,
all of which shall at all reasonable times be open to public inspection upon
application at the office of the Corporation during business hours, and shall in
general perform all duties incident to the office of Secretary subject to the control of
the Board. The Secretary shall be an employee of the City.
SECTION 4. DUTIES OF THE BOARD
The Board shall develop a combined Economic Development Capital Improvement
Program, ("the EDCIP"), including maintenance and operation costs thereof, for the
City which shall include and set forth short and long term goals. Such plan shall be
approved by the City Council. The EDCIP developed by the Board shall be one that
addresses development needs of the City within the financial constraints of
revenues available to the Corporation. The Board shall conduct a public hearing
concerning both the adoption and required annual updates to the EDCIP. A legal
notice shall be advertised as determined by the Board, at least three (3) days, prior
to the scheduled public hearing.
The Board shall review and update the EDCIP once a year to ensure the plan is up
to date with current community needs and is capable of meeting community
development needs of the City and consistent with the Act. The Board shall
expend, in accordance with State law and subject to City Council approval, the
funds received by it for projects defined in the Act where such expenditures will
have a benefit to the residents of the City. The Board shall make an annual report
to the City Council including, but not limited to the following:
A. A review of the accomplishments of the Corporation for the preceding year;
and
B. The activities of the Corporation for the budget year addressed in the annual
report.
The required annual report shall be made to the City Council no later than February
1 st of each year.
-8-
The Board shall be accountable to the City Council for all activities undertaken by it
or on its behalf, and shall report on all activities of the Board, whether discharged
directly by the Board or by any person, firm, corporation, agency, association or
other entity on behalf of the Board.
SECTION 5. COMPONENTS OF THE EDCIP
The Board shall submit to the City Council for its approval, the EDCIP which shall
identify the projects to be undertaken by the Corporation and include proposed
methods and the expected costs of implementation, and cost of operations and
maintenance of the projects.
SECTION 6. ANNUAL CORPORATE BUDGET
Annually, the Board shall prepare and adopt a proposed budget of expected
revenues and proposed expenditures for each fiscal year. The fiscal year of the
corporation shall commence on October 1 st of each year and end on September
30. The budget proposed for adoption shall include the projected operating
expenses, and such other budgetary information as shall be required by the City
Council for its approval and adoption. The budget shall be considered adopted
upon formal approval by the City Council.
SECTION 7. FINANCIAL BOOKS. RECORDS. AUDITS
The Finance Manager shall keep and properly maintain, in accordance with
generally accepted accounting principles, complete financial books, records,
accounts, and financial statements pertaining to its corporate funds, activities, and
affairs.
The City shall cause the Corporation's financial books, records, accounts, and
financial statements to be audited at least once each fiscal year by an outside,
independent, auditing and accounting firm selected by the City Council. Such audit
shall be at the expense of the Corporation.
SECTION 8. DEBT. DEPOSIT AND INVESTMENT OF CORPORATE FUNDS
All proceeds from the issuance of bonds, notes or other debt instruments (the
"Bonds") issued by the Corporation shall be deposited and invested as provided in
the resolution, order, indenture, or other documents authorizing or relating to their
execution or issuance, but no bonds shall be issued, including refunding bonds, by
the Corporation without the approval of the City Council of the City.
-9-
All monies of the Corporation shall be deposited, secured, and/or invested in the
manner provided for the deposit, security, and/or investment of the public funds of
the City and in accordance with investment policies adopted by the City. The
Finance Manager shall designate the accounts and depositories to be created and
designated for such purposes, and the methods of withdrawal of funds therefrom for
use by and for the purposes of the Corporation upon the signature of the Finance
Manager and the Secretary. The accounts, reconciliation, and investment of such
funds and accounts shall be performed by the Finance Director.
SECTION 9. EXPENDITURES OF CORPORATE MONEY
The monies of the Corporation, including sales and use taxes collected pursuant to
the Act, the proceeds from the investment of funds of the Corporation, the proceeds
from the sale of property, monies derived from the repayment of loans, rents
received from the lease or use of property, the proceeds derived from the sale of
bonds, and other proceeds may be expended by the Corporation for any of the
purposes authorized by the Act, subject to the following limitations:
A. Expenditures from the proceeds of bonds shall be identified and described in
the orders, resolutions, indentures, or other agreements submitted to and
approved by the City Council.
B. Expenditures that may be made from a fund created from the proceeds of
bonds, and expenditures of monies derived from sources other than the
proceeds of bonds may be used for the purposes of financing or otherwise
providing one or more projects, as defined in the Act.
C. All other proposed expenditures shall be made in accordance with and shall
be set forth in the annual budget required by these Bylaws or in contracts
meeting the requirements of the Article.
No bonds, including refunding bonds, shall be authorized or sold and delivered by
the Corporation without the approval of the City Council.
SECTION 10. CONTRACTS
As provided herein, the President and Secretary shall enter into any contracts or
other instruments which the Board has approved and authorized in the name and
on behalfof the Corporation. Such authority may be confined to specific instances
or defined in general terms. When appropriate, the Board may grant a specific or
general power of attorney to carry out some action on behalf ofthe Board, provided,
however that no such power of attorney may be granted unless an appropriate
resolution of the Board authorizes the same to be done.
-10-
ARTICLE V.
MISCELLANEOUS PROVISIONS
SECTION 1. SEAL
The Board may obtain a corporate seal which shall bear the words "Corporate Seal
of the Colleyville Economic Development Corporation" and the Board may
thereafter use the corporate seal and corporate name; but these Bylaws shall not be
construed to require the use of the corporate seal.
SECTION 2. APPROVAL OR ADVICE AND CONSENT OF THE CITY COUNCIL
To the extent that these bylaws refer to any action, approval, advice, or consent by
the City or refer to action, approval, advice or consent by the City Council, such
action, approval, advice or consent shall be evidenced by a motion, resolution or
ordinance duly passed by the City Council and reflected in the minutes of the City
Council.
SECTION 3. INDEMNIFICATION OF DIRECTORS, OFFICERS AND
EMPLOYEES
(
As provided in the Act and in the Articles of Incorporation, the Corporation is, for the
purposes of the Texas Tort Claims Act (Subchapter A, Chapter 101, Texas Civil
Practices and Remedies Code), a governmental unit and its actions are
governmental functions.
The Corporation shall indemnify each and every member of the Board, its officers
and its employees, and each member of the City Council and each employee of the
City, to the fullest extent permitted by law against any and all liability or expense,
including attorneys fees, incurred by any of such persons by reason of any actions
or omissions that may arise out of the functions and activities of the Corporation.
This indemnity shall apply even if one or more of those to be indemnified was
negligent or caused or contributed to cause any loss, claim, action or suit.
Specifically, it is the intent of these Bylaws and the Corporation to require the
Corporation to indemnify those named for indemnification, even for the
consequences of the negligence of those to be indemnified which caused or
contributed to cause any liability.
The Corporation must purchase and maintain insurance on behalf of any director,
officer, employee, or agent of the Corporation, or on behalf of any person serving at
the request of the Corporation as a Board member, officer, employee, or agent of
another corporation, partnership, joint venture, trust, or other enterprise, against any
liability asserted against that person and incurred by that person in any such
-11-
capacity or arising out of any such status with regard to the Corporation, whether or
not the Corporation has the power to indemnify that person against liability for any
of those acts.
SECTION 4. GIFTS
The Board may accept on behalf of the Corporation any contribution, gift, bequest,
or device for the general purpose or for any special purposes of the Corporation.
SECTION 5. CODE OF ETHICS
Each director, including the President and Vice President, its officers, employees,
and agents shall abide by and be subject to the City's code of ethics. The code of
ethics shall be applicable to independent contractors of the Corporation, except to
the extent that such independent contractor is not performing work on behalf of the
Corporation.
SECTION 6. AMENDMENTS TO BYLAWS
(
These Bylaws may be amended or repealed and new Bylaws may be adopted by an
affirmative vote offour (4) ofthe authorized directors serving on the Board, subject
to approval by the City Council. The City Council may amend these Bylaws at any
time. Such amendments by the City Council will be duly passed and adopted by
motion, resolution or ordinance duly reflected in the minutes of the City Council and,
thereafter, duly noted to the Board.
SECTION 7. DISSOLUTION OF THE CORPORATION
Upon dissolution of the Corporation, titles to or other interest in any real or personal
property owned by the Corporation at such time shall vest in the City of Colleyville.
SECTION 8. APPLICABILITY OF CITY CHARTER POLICIES AND
PROCEDURES
The City Charter and all duly approved city policies and procedures shall apply
directly to the Corporation and the Board unless such charters, policies or
procedures are superseded by state law or not related to the functions ofthe Board.
The Board has the prerogative, subject to approval by the City Council, to adopt
other policies and procedures in addition to or in place of those of the City.
-12-
SECTION 9. EFFECTIVE DATE
These Bylaws, having been approved by Resolution R-96-1238, adopted on the
third day of September, 1996, shall become effective upon the approval of such by
the Board.
-13-
RESOLUTION R-05-83
A RESOLUTION APPROVING AN AMENDMENT OF THE BYLAWS OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION
WHEREAS, the Bylaws of the Colleyville Economic Development Corporation require a
registered office that include a physical location and address; and
WHEREAS, both the location and address of City Hall have changed requiring an
update of the Bylaws; and
WHEREAS, the City Council will also be required to approve an amendment of the
Bylaws.
NOW, THEREFORE, BE IT RESOLVED BY THE COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION:
Sec. 1.
THAT the Bylaws of the Colleyville Economic Development Corporation;
hereby are attached as Exhibit "An, are amended to establish the new
physical location and address as 1 00 Main Street, Colleyville, Texas
76034.
Sec. 2.
THAT once approved, the amendment to the Colleyville Economic
Development Corporation Bylaws be forwarded to the City Council for
their subsequent approval.
AND IT IS SO RESOLVED.
PASSED BY A VOTE OF AYES,
ON THIS THE DAY OF
NAYS AND
2005.
ABSTENTIONS
COLLEYVILLE ECONOMIC DEVELOPMENT
CORPORATION
President
ATTEST:
Cynthia Singleton
Secretary
Exhibit "A"
BYLAWS
OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION
ARTICLE I.
PURPOSE AND POWERS
SECTION 1. REGISTERED OFFICE AND REGISTERED AGENT.
The cOLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION (the
"Corporation") shall have and continuously maintain in the State of Texas a
registered office, and a registered agent whose office is identical with such
registered office, as required by the Texas Non-Profit Corporation Act., and state
law. The Registered Agent for the Corporation shall be the City Secretary, subject
that the Board of Directors (the "Board") from time to time, may change the
registered agent and/or the address of the registered office, subject to City Council
approval, provided that such change is appropriately reflected in these Bylaws and
in the Articles of Incorporation (the "Articles").
The registered office of the Corporation is located aU 00 Main Street, c()lIeyville, ... Deleted: 5400 Bransford Road
Tarrant County, Texas 76034, and at such address is the Corporation, whose
mailing address is.1 00 Main Street,G()II~eyville,Texas76034-0185.~aid address Deleted: PO Box 185
shall also serve as the principal office of the Corporation and Board.
SECTION 2. PURPOSE.
The Corporation is incorporated as a non-profit corporation for the purposes set
forth in the Articles the same to be accomplished on behalf of the City of colleyville,
Texas (the "City") as its duly constituted authority and instrumentality in accordance
with the Texas Development Corporation Act of 1979, Article 5190.6, Section 4B
Tex. Rev. civ. Stat. Ann., as amended, (the "Act"), other applicable laws, and by
Resolution R-96-1238 adopted by the City Council of the City on the third day of
September, 1996, including all permissible projects prescribed by the Act, and for
maintenance and operating costs of the publicly owned and operated projects. The
Corporation shall be a non-profit corporation as defined by the Internal Revenue
Code 1986, as amended, and the applicable regulations of the United States
Treasury Department and the rulings of the Internal Revenue Service of the United
States prescribed and promulgated thereunder.
SECTION 3. POWERS.
0352426
CEDC CC@!il0 AGENDA BRIEFING
11:X<.'\:;
REPORT: I
MEETING DATE: ! 08/23/05 GENERAL MANAGER:
ITEM #: I 7 DEPARTMENT HEAD i"
FINANCE MANAGER I
Previous Action: None
DEPARTMENT: FINANCE
SUBJECT: Annual Activity Report
The Colleyville Economic Development Corporation bylaws require that the Board make an
annual report by February 1, 2006 to the City Council "reviewing the accomplishments of the
Corporation for the preceding year and the activities of the Corporation for the budget year".
Attached is annual report that will be submitted to the City Council at the September 6, 2005
meeting.
Financial Impact
None
Recommendation
Approval
Attachments
. Annual Report of The Colleyville Economic Development Corporation
ANNUAL REPORT OF THE COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION
ACTIONS OF THE CORPORATION
On September 24, 2004, the Board held its annual meeting and approved the FY 05 annual
budget for the Corporation with projected revenues of $1,544,127 and expenses of
$1,301,682. The Board also adopted the attached Economic Development Capital
Improvement Plan (EDCIP) for fiscal years 2005 through 2009. This plan provides funding for
Colleyville Center chair replacement, McPherson land park plan, park land purchase, Senior
Center design/furnishings and trails grant match.
On December 1, 2004, the Board held a special meeting and the primary topic was the
discussion of permissible uses of Colleyville Economic Development Corporation funds. The
Board directed the City of Colleyville's Economic Development Director to provide a list of
proposed projects and costs.
On April 28, 2005, the Board held a special meeting and discussed various marketing projects
as proposed by the City's Economic Development Director. Also, the Board discussed the
refunding of the outstanding 1997 and 2000 sales tax bonds, as there was an opportunity for a
significant present value savings through a private placement issue. Also, discussed was the
issuance of additional bonds to be repaid from greater sales tax revenues and the bond
refunding savings.
On May 11, 2005, the Board met to further discuss the refunding of debt and issuance of
additional debt. The Board directed the General Manager to initiate proceedings to refund the
1997 and 2000 debt and present various debt scenarios.
The refunding and new money bond issuance was approved at the June 7,2005 meeting for a
net present value refunding savings of $880,110, and $2,000,000 in additional debt was
issued. As a part of the new debt issue, a public hearing was held on the expenditure of the
additional debt for the following projects: acquisition/construction/equipping a Senior Citizens'
activity center, improvements to McPherson Park, acquisition and improvements to additional
park land.
COLLEYVILLE ECONOMIC DEVELOPMENT COPRORATION
ECONOMIC DEVELOPMENT CAPITAL IMPROVEMENT PROGRAM FY 2005 ' FY 2009
Exhibit A
FISCAL YEAR
PROJECTED
2004
2005
2006
2007
2008
2009
BEGINNING FUND BALANCE
$828,549
$947,548
$512,617
$405,440
$433,289
$495,947
PROJECTED 1/2 CENT SALES TAX REVENUE $809,000 $847,800 $890,190 $925,798 $962,830 $1,001,343
INTEREST INCOME $9,780 $18,951 $10,252 $8,109 $8,666 $9,919
USE OF FUND BALANCE $147,793 $677,376 $349,000 $216,000 $182,000 $138,000
TOTAL REVENUES $966,573 $1,544,127 $1,249,442 $1,149,906 $1,153,495 $1,149,262
OPERATING:
ADMINISTRATIVE $5,000 $5,000 $5,000 $5,000 $5,000 $5,000
1997 DEBT SERVICE & 1.4 TIMES COVERAGE $666,044 $665,606 $666,306 $666,306 $665,606 $664,049
2000 DEBT SERVICE & 1.4 TIMES COVERAGE $174,517 $179,549 $177,360 $175,174 $179,767 $177,142
CAPITAL:
COLLEYVILLE CENTER CHAIR REPLACEMENT $0 $50,000 $0 $0 $0 $0
MC PHERSON LAND PARK PLAN $0 $125,000 $150,000 $150,000 $150,000 $150,000
PARK LAND PURCHASE $0 $0 $150,000 $150,000 $150,000 $150,000
SCHOOUSOCCER FIELD PARK LAND NOTE $94,380 $0 $0 $0 $0 $0
SENIOR CENTER DESIGN/FURNISHINGS $0 $125,000 $100,000 $0 $0 $0
TRAILS GRANT MATCH $0 $393,000 $0 $0 $0 $0
TOTAL EXPENDITURES $939,941 $1,543,155 $1,248,667 $1,146,480 $1,150,373 $1,146,191
EXCESS REVENUES OVER EXPENDITURES $26,631 $972 $776 $3,427 $3,122 $3,070
ADD BACK.4 TIMES BOND COVERAGE RATIO $240,160 $241,473 $241,048 $240,423 $241,535 $240,340
ENDING FUND BALANCE
$947,548
$512,617
$405.440
$433,289
$495,947
$601,357
ASSUMPTIONS: FY 2006: 5% ANNUAL SALES TAX INCREASE / FY 2007 - 2009: 4% GROWTH DUE TO COLLEYVILLE BLVD.CONSTRUCTION
CEDe
cilyor
~
CC~~nce AGENDA BRIEFING
Il~xn$
MEETING DATE: !
ITEM#: !
REPORT: I
08/23/05
8
GENERAL MANAGER i
DEPARTMENT HEAD i
FINANCE MANAGER !
Previous Action: None
DEPARTMENT: FINANCE
SUBJECT: Annual Investment Report
From the period of October 1, 2004 through July 31, 2005, the Colleyville Economic
Development Corporation had an average $907,147 invested in Local Government Investment
Cooperative (LOGIC) pool, and it earned $19,239 for this period. The Corporation also owns a
portion ($498,672) of a Treasury note purchased September 21, 2004 yielding 1.84%. The
Treasury bill will mature on December 31, 2005, and as of June 30, 2005, its market value was
$499,585.
RESOLUTION R-05-84
A RESOLUTION RATIFYING CORPORATE BOARD ACTION UNDER BUSINESS
FOR THE MEETING OF THE BOARD OF DIRECTORS OF THE COLLLEYVILLE
ECONOMIC DEVELOPMENT CORPORATION AUGUST 23,2005
WHEREAS, the Board of Directors has taken action on certain items on the agenda
under Business.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE
COLLEYVILLE ECONOMIC DEVELOPMENT CORPORATION:
Sec 1.
THAT the agenda decisions approved by the Board of Directors of the
Colleyville Economic Development Corporation under Business this date and
not otherwise adopted by separate Resolution, as follows are hereby
adopted.
THAT
AND IT IS SO RESOLVED.
PASSED AND ADOPTED, this August 23, 2005.
COLLEYVILLE ECONOMIC
DEVELOPMENT CORPORATION
Jon Ayers
President
ATTEST:
Cynthia Singleton
Secretary