The URL can be used to link to this page

Home My WebLink About2010/03/02-Minutes-Fort Worth Local Development Corporation (FWLDC)CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED — SPECIAL SESSION TUESDAY, MARCH 2, 201.0 Present: President Frank Moss Vice President Danny Searth Secretary Carter Burdette Treasurer W.B. "Zim" Zimmerman Director Mike Moncrief Director Salvador Espino Director Jungus Jordan Director Kathleen Hicks Director Joel Bums City staff: Tom Higgins, Assistant City Manager Peter Vaky, Senior Assistant City Attorney Ron Gonzales, Assistant City Secretary Jean Petr, Gas Lease Program Manager, Planning & Development Department Robin Bentley, Real Property Coordinator, Housing & Economic Development Department Other City staff in attendance included: LeAnn Guzman, Assistant City Attorney Marty Hendrix, City Secretary Call to Order (Agenda Item 1) With a quorum of the Board Members present, President Moss called the called - special session to order for the Board of Directors of the Fort Worth Local Development Corporation (Corporation) at 1,40 p.rn. on Tuesday, March 2. 1-010, in the Pre-Council Chamber of the Fort Worth Municipal Building, 11 000 Throckmorton, Fort Worth, T exas. Approval of Minutes from Meeting held on November 311-009 (Agenda Item 2) President Moss opened the floor for a inotion on the minutes. CITY OF FORT WORTH, -TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED - SPECIAL SESSION TUESDAY, MARCH 2, 2010 Page 2 Approval of Minutes from Meeting held on November 3, 2009 (cont'd) (Agenda Item 2) MOTION: Upon a motion made by Director Moncrief and seconded by Director Jordan, the Board of Directors of the Fort Worth Local Development Corporation voted unanimously nine (9) "ayes" and zero (0) "nays", to approve the minutes of the November 3, 2009, meeting of the Fort Worth Local Development Corporation, The motion carried. Consideration of Financial Report (Agenda Item 3A) President Moss referenced the following financial report: The Balance Sheet dated January 31, 2010, for the Corporation (unaudited) as follows: Assets Cash and cash equivalents 52,072,795.84 Interest Receivable 8,854.71 Accounts Receivable (1) 390,000.00 Total Assets 52,471,650.55 Liabilities and Fund Balance Accounts and Contracts Payable 0.00 Total Liabilities 0,00 Fund Balance (Deficit) Designated for Authorized Expenditures 52.50 7.422 1 02 Net Income 7 -f Undesignated 1100 Ttotal Fund Balance -) p 471,650-55 Total Liabilities and Fund Balance 52,471.650.55 All Accounts Recei-,Vable are 1"nm.-n Cil-,,, o& Fon Wiotih CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED — SPECIAL SESSION TUESDAY, MARCH 2, 2010 Page 3 Consideration of Financial Report (Cont'd) (Agenda Item 3A) The Statement of Revenues and Expenditures from October 1, 2009, through January 31, 2010 (unaudited), for the Corporation as follows: Revenues Property Tax Reimbursement S46,431.52 Revenue from 19,667.31 Rents 103,214.52 Gas Lease Bonus 0.00 HUD Loan Administration Fee 0.00 Interest Income 13,421.62 Change in Fair Value of Investments 0.00 Other Revenue 0.00 Total Revenue $163,067.66 Expenditures Bank Charges $88.87 Contractual Services 19,667.31 Insurance 20,159,00 Property Management 4,128.56 Property Purchase 0.00 Property Taxes 133,420.80 Repairs 14,340.05 Storm Water Utility 6.243.75 Transfers to City 0.00 Utilities 789.79 Total Expenditures S 198.838.13 Excess De t c:iencv) of Re-venues v er (Underl Expenditures ures #.7 The Statement. of _A- vailabls Funds dated January ? a... 2010 . (unaudited), t4..-.. the Ogporatio as t4)11ows: Total Cash at Jai uar ° 31, 2010 2,0: {2, 95.84 Cash in Property la �a�e ent Account 4,588.41 else available its (Citv (it account 2 � 17 � , CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED — SPECIAL SESSION TUESDAY, MARCH 2, 2010 Page 4 Consideration of Financial Report (Cont1d) Commitments Remediation of 1108 E. Berry Purchases of Property Evans & Rosedale Enhanced CFA Survey Expenses Reserves Maintenance Reserve Property Tax Reserve Total Commitments & Reserves Unrestricted Cash Available (Agenda Item 3A) S150,000.00 588,475.00 6830,000.00 $6,250.00 100,000.00 100,000.00 1,274,725.00 S802.659.25 The Schedule of Available Funds noted that on August 21, 2007, 5275,000.00 was transferred to the City (M&C C-22334) with the understanding that it would be paid back when properties along Lancaster are sold. The transfer was made to fund an art sculpture on Lancaster Avenue. On December 18. 2007, $162,000.00 was transferred to the City (M&C C-22592) with the understanding that it would be paid back when properties along Lancaster are sold. The transfer was made to fund survey services and improvements on Lancaster Avenue. In September of 2008, $92,321.91 of the S 162,000.00 was returned to the LDC. President Moss opened the floor for discussion and/or comments on these reports. There was no discussion or formal action on the reports and the reports were accepted as presented. Adopt Resolution Authorizing a Lease with XTO Energy, Inc., for Natural Gas Drilling Under Property Located at 2200 Bomar Avenue (Agenda Item 4) Vice President Scarth announced that. under tile City's ethics code, he has a substantial Interest in XTO Ene-rgy, Inc. and, the -refc)re, was required to abstain frorn discussion and vot'll"12 Z!�, on this issue, He then left it-he Pre-", ounci I Chamber Ms, Jean Pe r, Gas Lease Program Manager, Planning and Development Department. adds the Corporlation reganding the proposed resolution. She pro-vided an aerial view of the site ,.,anij explained that the 1111ociation ua t p r0rie, I hie - - , rtv vv as lust west Beach Street 'Ibetviveen iu-,-�w ring ain, a.___: 1 W I CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED - SPECIAL SESSION TUESDAY, MARCH 2, 2010 Page 5 Adopt Resolution Authorizing a Lease with XTO Energy, Inc., for Natural Gas Drilling Under Property Located at 2200 Bomar Avenue (cont"d) (Agenda Item 4) Ms. Petr then displayed a closer look of the property and advised that the property was located within the TWU A Unit and pointed out the specific location of the drill site which was referred to as the "Ram". She provided the following 4!!, background information on the property: • Approximately 4.4112 mineral acres. • Mineral Interest Pooling Act Offer. • Lease at $2,400.00/acre bonus, 25 percent royalty, 4 year term. • Participate as Working Interest Owner, ■ Involves financial and legal risk. • Elect to farm out interest. • Involves financial and legal risk. Ms. Petr informed the Board of the terms negotiated by staff as reflected below: • S2,400.00 per acre bonus. o $10,526.00 total bonus. • 25 percent royalty. • Two (2) year term. • Standard lease form. • No surface use. Ms. Petr concluded her presentation by recommending that the Board authorize staff to proceed with leasing the property at the negotiated terms. President Moss opened the floor for discussion on this issue. There being n(,,) discussion, President Moss opened th�- floor f a motion. mo,rION: [,Jpon a motion made by Director I-licks and seconded by Secretary Burdette, the BoaId of Directurs of the Fort Worth Local Development Corporation voted unanimously eight t "ayes" and zero (10) "nays", and wfth one abstention by Vice President Scarth, to approve and adopt Resolution No, FWLDC-2010-01. The motion earrie(j. `v' cc Prt.:s!" dent Scarthi retumed to h�s place at the t,61,1c"? CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED — SPECIAL SESSION TUESDAY, IARCH 2, 2010 Page 6 Adopt Resolution Authorizing a Parking Lease with WTW Properties, Inc., for Property at 4600 Blue Mound Road (Agenda Item 5) Ms. Robin Bentley, Real Property Coordinator, Housing and Economic Development Department, addressed the Corporation regarding the proposed resolution. She displayed two aerial views of the property and pointed out that property was the old American Iron House property just south of Northeast Loop 820. (Director Hicks left her place at the table and did not return to the meeting.) She advised that WTW Properties, Inc. actually owned a building to the north of the location and was interested in expanding their parking to the south. She advised the Board of the recommended lease terms as follows: • Two (2) year lease with one (1) year renewal. • Lease term begins March 1, 2010. • Rent of $2,000.00 per month. • WTW can make approved improvements to the parking area and count those expenses as rent payments, • WTW pays for all utilities, cleaning, security, lighting, fences and gates, repairs and maintenance. • WTW indemnifies the LDC against all claims unless solely caused by the negligence of willful misconduct of the LDC. President Moss opened the floor for discussion on this issue. Secretary Burdette inquired if there were restrictions on what improvements could be made by WTW on the property. Ms. Bentley stated that there were no restrictions; however, WTW had to be pre-approved ' y Jay Chapa or Cylithia Garcia, Director and Assistant Director, respectively, Ott the Housing and Economic and Development Department Secretary Burdette then lasked if the imp i=d ern ents would revert to the City upon ter rnination of the lease. Ms, Bentley advised that ever-ything would belong to the City upon - zn� 'ermination of the lease and pointed (,lut that w,rW also needed to provide receipts of those costs- President Moss clarified that the on-a ,n-loing. cleaning was just part of cost of leasing the property and Ms. Bentley concurred. r'" # t-",p,,- o'buSinniess Properties, Inic, svv'as iinn,,'olved, CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED - SPECIAL SESSION TUESDAY, MARCH 2, 2010 Page 7 Adopt Resolution Authorizing a Parking Lease with WTW Properties, Inc., for Proper", at 4600 Blue N-Iound Road (Agenda Item 5) Ms. Bentley stated that WTW was an affiliate of XTO Energy. Upon learning of WTW's connection with XTO Energy, Vice President Scarth again announced that he was required to abstain from discussing and voting on this issue because, under the City's ethics code, he has a substantial interest in XTO Energy. There being no further discussion, President Moss opened the floor for a motion. MOTION: Upon a motion made by Director Espino and seconded by Director Burdette, the Board of Directors of the Fort Worth Local Development Corporation voted unanimously seven (7) "ayes" and zero (0) "nays", with one abstention by Vice President Scarth and with Director Hicks absent, to approve and adopt Resolution No. FWLDC-2010-02. The motion carried. Executive Session (Agenda Item 6) President Moss stated that he had been advised that an Executive Session was not necessary on the following items: A. Seek the advice of its attorneys concerning legal issues regarding any current agenda items that are exempt from public disclosure under Article X, Section 9, of the Texas State Bar Rules, as authorized by Section 551.071 of the Texas Government Code; and B. Discuss the purchase, sale, lease or value of real property, as authorized by Section 551,072 of the Texas Govemment Code. Deliberation in an open meeting would have a detrimental effect on the position of the Corporation in negotiations with a third party,- and C. Discuss or defiberate negotiatikons related to any economic development fiego�tiations, as authorized by Section 551.087 of the Texas Govemnient Code, Rusts for Future Agenda Items (Agenda Item 7) Pre-sidem Moss opt - ed the flcor oin ret-juests '0- fulutre digic-nda ItCms, No reqLJCStS Wer, m,adhc Bioard nrileirnbers, CITY OF FORT WORTH, TEXAS FORT WORTH LOCAL DEVELOPMENT CORPORATION CALLED — SPECIAL SESSION TUESDAY, MARCH 2, 2010 Page 8 Adjourn (Agenda Item 8) With no further business before the Board, President Moss adjourned the called — special session of the Fort Worth Local Development Corporation at 1:47 p.m. I on Tuesday, March 2. 2010. These minutes approved by the Fort Worth Local Development Corporation on the 6`h day of - April '1010. APPROVED: Frank Moss President ATTEST: Carter Burdette, Secretary Prepared and respectfully submitted by: Ronald P. Gonzales 4, 99mc Cmc Assistant Cav Secretary