WEBVTT 00:00:00.000 --> 00:00:07.000 Okay, everybody. Well, welcome to the Economic Development Partnership board meeting. 00:00:07.000 --> 00:00:10.000 We'll go ahead and get started. A quorum is present. 00:00:10.000 --> 00:00:13.000 All we do in the introduction today because we don't have a chair. 00:00:13.000 --> 00:00:17.000 CVEGOR is no longer in the board. We have new board members today. 00:00:17.000 --> 00:00:27.000 Let's help welcome our new board members, Amy Bissette, who is now serving as the Ditton Chamber of Commerce seat. 00:00:27.000 --> 00:00:35.000 Ron Crockett, who is in the top 20 taxpayer seat. 00:00:35.000 --> 00:00:42.000 And Leo Morales in the Hispanic Chamber of Commerce seat. 00:00:42.000 --> 00:00:47.000 And Jeremy Fice was previously serving on the Chamber of Commerce seat, and now he's moved to the at-large seat. 00:00:47.000 --> 00:00:55.000 So he's kind of nickel-bet. 00:00:55.000 --> 00:01:02.000 Okay, so we have a sandwich a quorum, so I'll call the meeting to order at 1103 AM. 00:01:02.000 --> 00:01:04.000 Call for presentations from members of the public. 00:01:04.000 --> 00:01:11.000 We will now begin with presentations from members of the public. 00:01:11.000 --> 00:01:15.000 There are none, so we'll move forward. 00:01:15.000 --> 00:01:20.000 Now we will call items for considerations. 00:01:20.000 --> 00:01:30.000 We'll now begin with item A, EDP 25-009, receive nominations and elect a chair to the Economic Development Partnership Board. 00:01:30.000 --> 00:01:32.000 Amy Bissette. 00:01:32.000 --> 00:01:37.000 I'd like to nominate Brian Dantalk. My name is here today as chair. 00:01:37.000 --> 00:01:44.000 I'd second that. 00:01:44.000 --> 00:01:48.000 Okay, we have a second. 00:01:48.000 --> 00:02:04.000 Any other nominations or items for discussion? 00:02:04.000 --> 00:02:21.000 Okay, perfect. 00:02:21.000 --> 00:02:24.000 Okay, so do we have a vote? 00:02:24.000 --> 00:02:25.000 Yes. 00:02:25.000 --> 00:02:29.000 All in favor of Brian Dantalk as the chair? 00:02:29.000 --> 00:02:33.000 Any opposed? 00:02:33.000 --> 00:02:38.000 Great job, Brian. 00:02:38.000 --> 00:02:42.000 All right, you want me to take over then? 00:02:42.000 --> 00:02:46.000 I'll brush up on Robert's Rules of Order again. 00:02:46.000 --> 00:03:13.000 All right, consider item number EDP 25-010, receive nominations and elect a vice chair to the Economic Development Partnership Board. 00:03:13.000 --> 00:03:16.000 We have a nomination for Jeremy Fikes. Do I have a second? 00:03:16.000 --> 00:03:17.000 I second. 00:03:17.000 --> 00:03:20.000 We have a second for Mr. Ramsey. 00:03:20.000 --> 00:03:24.000 Do we have any other nominations? 00:03:24.000 --> 00:03:27.000 Any other nominations for vice chair? 00:03:27.000 --> 00:03:31.000 I should nominate Lee just to make it interesting. 00:03:31.000 --> 00:03:35.000 All right, we've got a nomination and a second. 00:03:35.000 --> 00:03:44.000 With no other nominations, can I get a vote for consent and approval? 00:03:44.000 --> 00:03:47.000 Like I said, it's been a minute. 00:03:47.000 --> 00:03:50.000 Any opposed? 00:03:50.000 --> 00:04:02.000 All right, motion passes. Mr. Fikes, you are now the vice chair. 00:04:02.000 --> 00:04:06.000 Where am I at here? 00:04:06.000 --> 00:04:14.000 All right. Item EDP 25-011, consider approval for April 9th, 2025. 00:04:14.000 --> 00:04:19.000 So last meeting minutes were in our packet. 00:04:19.000 --> 00:04:20.000 Second. 00:04:20.000 --> 00:04:23.000 We've got a motion to second. Can I get all in favor? 00:04:23.000 --> 00:04:25.000 Any opposed? 00:04:25.000 --> 00:04:27.000 All right, motion passes. 00:04:27.000 --> 00:04:29.000 Can I get a voice vote from everybody on those? 00:04:29.000 --> 00:04:30.000 Okay. 00:04:30.000 --> 00:04:33.000 There are just a couple of people saying aye. 00:04:33.000 --> 00:04:36.000 The new voters do not vote, right, because we were not here for that meeting. 00:04:36.000 --> 00:04:37.000 We vote, yeah. 00:04:37.000 --> 00:04:38.000 We vote. 00:04:38.000 --> 00:04:39.000 Okay. 00:04:39.000 --> 00:04:40.000 Approval of minutes. 00:04:40.000 --> 00:04:41.000 All right, we'll do it again. 00:04:41.000 --> 00:04:42.000 Approval of the minutes. 00:04:42.000 --> 00:04:45.000 Can everyone give us a loud, boisterous aye or no? 00:04:45.000 --> 00:04:46.000 Aye. 00:04:46.000 --> 00:04:47.000 All right. 00:04:47.000 --> 00:04:49.000 Does that satisfy counsel? 00:04:49.000 --> 00:04:50.000 Yes. 00:04:50.000 --> 00:04:51.000 Excellent. 00:04:51.000 --> 00:04:54.000 Thank you. 00:04:54.000 --> 00:04:59.000 Hey, don't nominate me. 00:04:59.000 --> 00:05:02.000 All right. 00:05:02.000 --> 00:05:27.000 EDP 25-012, consider making a recommendation to the city council for approval of an incentive agreement for US cold storage for a 60% property tax rebate for eight years and 75% sales tax rebate for the construction and equipping of the expanded facility under Chapter 380 of the local government code 00:05:27.000 --> 00:05:34.000 for an amount not to exceed $1,067,871. 00:05:34.000 --> 00:05:37.000 We have some backups. 00:05:37.000 --> 00:05:38.000 Good morning. 00:05:38.000 --> 00:05:39.000 My name is Erica Sullivan. 00:05:39.000 --> 00:05:48.000 I'm the economic development partner and administrator here with the city, and I'll be doing a presentation on the incentive application received from the United States cold storage. 00:05:48.000 --> 00:05:54.000 The United States cold storage is a leader in temperature controlled storage and transportation logistics. 00:05:54.000 --> 00:06:05.000 Many of the country's largest food providers such as Kraft, Butterball, and Bar S Foods, their existing debt and company that have 37 facilities in 13 states. 00:06:05.000 --> 00:06:08.000 The company has been operating for over 126 years. 00:06:08.000 --> 00:06:22.000 They started American Ice Company in 1899 and renamed to United States cold storage in 1920 and became a wholly owned subsidiary of John Swire and Sons in 1982. 00:06:22.000 --> 00:06:24.000 So some background on their prior incentive. 00:06:24.000 --> 00:06:33.000 In 2018, they received a performance based 50% cost share sales tax for construction and equipping of their facility. 00:06:33.000 --> 00:06:38.000 This is accomplished through a Texas direct payment through the State Council or public accounts. 00:06:38.000 --> 00:06:45.000 It allows businesses to source their purchases from anywhere in Texas to a specific location. 00:06:45.000 --> 00:06:47.000 In this case, it was 10. 00:06:47.000 --> 00:06:51.000 In 2020, they received their certificate of occupancy. 00:06:51.000 --> 00:07:02.000 I also want to note that they are a high end electric user generating over 1.5 megawatts per year, making them a top 25 customer for VET municipal electric. 00:07:02.000 --> 00:07:08.000 They received a growth rider from VET municipal electric at that time as well and on the growth rider. 00:07:08.000 --> 00:07:17.000 In 2023, we terminated the agreement because they did not obtain a Texas direct payment and filed to their Dallas location. 00:07:17.000 --> 00:07:27.000 So our finance department couldn't verify sales taxes or facility. 00:07:27.000 --> 00:07:30.000 The current incentive of request for the expansion. 00:07:30.000 --> 00:07:36.000 U.S. cold storage is examining multiple site locations, opportunities in Texas. 00:07:36.000 --> 00:07:46.000 One of the reasons they were looking at Denton as a potential location is for the support that they've received in the past with their facility to help their growth. 00:07:46.000 --> 00:07:56.000 This 100,000 square foot expansion is planned and the request includes the investment in the building, the expansion itself, machinery and equipment. 00:07:56.000 --> 00:08:00.000 Here's their current location at 3255 Jim Crystal. 00:08:00.000 --> 00:08:11.000 The current expansion will be on the same track to land this 45 acre site to the north and to the south of them. 00:08:11.000 --> 00:08:17.000 The key components of the application includes a $35 million capital investment of that $35 million, 00:08:17.000 --> 00:08:32.000 12 million is in business, 23 million is in business personal property and 172 new jobs will be created by the project with a weighted average wage of $50,583 for all the conditions. 00:08:32.000 --> 00:08:39.000 You can see here that over a four year period, 172 new jobs will be added. 00:08:39.000 --> 00:08:49.000 The jobs are approaching the county's average wage of $61,651 and then you can see in the second table this is the MIT living wage calculator 00:08:49.000 --> 00:09:02.000 and you can see where the U.S. cold storage $27.68 is higher for the company in the highlighted categories in the one adult quadrant and the two adults. 00:09:02.000 --> 00:09:08.000 Here you can see the economic impact report. I'm going to start with the right side of the page with jobs. 00:09:08.000 --> 00:09:21.000 So 172 direct jobs are created by the project of that, the indirect and induced spinoff will generate another nearly 112 jobs for a total of 284 jobs. 00:09:21.000 --> 00:09:30.000 Moving to the left side of the page, you have the benefits, the cost, the incentive leaving you with the net benefit, less incentives of $1.4 million. 00:09:30.000 --> 00:09:42.000 And over that 10 year period, the rate of return is 24.9 with a payback period, that's your nexus of your incentive and your net benefits is 4.8 years. 00:09:42.000 --> 00:09:49.000 So I'd like to highlight that. And for those of you that participated in the past in my presentation on the economic impact model, 00:09:49.000 --> 00:09:54.000 our model allows us to look at the expansion project plus the initial current facility. 00:09:54.000 --> 00:10:06.000 So the actual rate of return, if you look at the whole project, what's already existing and the expanded facility, is 90 percent rate of return with a payback period of 1.4 years. 00:10:06.000 --> 00:10:12.000 So we've talked about some of the benefits, quantitative, we're going to go over some of the qualitative benefits. 00:10:12.000 --> 00:10:18.000 So this is a business retention expansion. We're trying to grow businesses and helping them expand here in Denton. 00:10:18.000 --> 00:10:32.000 So 148 jobs are retained and 172 new jobs are planned. Cold storage is in our connected strategic growth area sector and they are key to the supply chain of cold storage. 00:10:32.000 --> 00:10:41.000 US cold storage is also a sustainable partner. Their CO2, according to their report, emission reduction of 11.4 percent. 00:10:41.000 --> 00:10:49.000 They also have a goal to reach net zero emissions by 2050 and they also have food, waste and sustainability programs. 00:10:49.000 --> 00:10:55.000 Again, they are a they do generate high utility usage. They didn't qualify for an economic growth rate at this time. 00:10:55.000 --> 00:11:00.000 Did you have to actually generate another additional megawatt? 00:11:00.000 --> 00:11:08.000 The DME said that they would look at the facility again once they were in operation if they think they might be close to that. 00:11:08.000 --> 00:11:11.000 Here you see the incentive and project revenue generation. 00:11:11.000 --> 00:11:19.000 The first table is a performance based 60 percent property tax rebate on improvements in business personal property for eight years. 00:11:19.000 --> 00:11:25.000 That's 981,970 sales and use tax rebate for construction at 75 percent. 00:11:25.000 --> 00:11:32.000 This is a one time estimating will come on in about a year or two after they receive a CEO for the 100,000 square foot expansion. 00:11:32.000 --> 00:11:38.000 That would be 85,901 for a cumulative incentive total of a little over a million. 00:11:38.000 --> 00:11:45.000 You'll see the city revenue that 40 percent on improvements in BPP for eight years and additional two years at 100 percent. 00:11:45.000 --> 00:11:52.000 And then the sales and use tax for construction rebate sales taxes we wouldn't otherwise receive through this program of 25 percent. 00:11:52.000 --> 00:11:59.000 That means it would equal 28,634 for a cumulative city total of a little over one million as well. 00:11:59.000 --> 00:12:04.000 And then on the bottom you can see the land improvements and business personal property valuation on that left side. 00:12:04.000 --> 00:12:10.000 You get the current valuation, the estimated increase and then the total valuation on the last three columns. 00:12:10.000 --> 00:12:20.000 You can see the revenue, the estimated increase in revenue from just the expansion alone and then the total estimated revenue on the project. 00:12:20.000 --> 00:12:27.000 So our incentive recommendation today is a performance based ad valorem tax rebate at 60 percent for eight years. 00:12:27.000 --> 00:12:33.000 Sales and use tax for construction rebate for the construction and equipping facility at 75 percent. 00:12:33.000 --> 00:12:38.000 The agreements will include valuation thresholds and caps as well as timely completion dates. 00:12:38.000 --> 00:12:47.000 And then once you receive an incentive at their category of jobs and valuation, it would make them eligible for the state program, the Texas Enterprise Zone program. 00:12:47.000 --> 00:12:54.000 We have six nominations per biennium and we have offered to nominate them should they pursue that. 00:12:54.000 --> 00:13:01.000 So the staff recommendation again is an eight year performance based chapter 380 grant not to exceed one million sixty seven eight seventy one. 00:13:01.000 --> 00:13:07.000 And the next steps, it's gone to city council for a closed meeting to give us direction to move forward. 00:13:07.000 --> 00:13:12.000 If you recommend it here, it would go back to city council for individual consideration. 00:13:12.000 --> 00:13:21.000 We're planning June 3rd if possible and then we would execute the agreement following that. 00:13:21.000 --> 00:13:24.000 With us today, we have two members from cold storage. 00:13:24.000 --> 00:13:27.000 We have Carlos Stern, vice president and regional manager. 00:13:27.000 --> 00:13:31.000 And then we have Arnold Tanaka, general manager of the Dutton location. 00:13:31.000 --> 00:13:37.000 We'll be happy to answer questions. 00:13:37.000 --> 00:13:43.000 Just a quick question. What happened on the termination of the agreement when we terminated in 2023? 00:13:43.000 --> 00:13:51.000 Okay, so it was just the sales and use tax construction since they didn't obtain the permit and we couldn't verify the sales tax as we terminated. 00:13:51.000 --> 00:13:55.000 So nothing was granted. Nothing was given. 00:13:55.000 --> 00:14:01.000 Nothing initiated at that point. Are they able to retroactive and do that? 00:14:01.000 --> 00:14:12.000 I don't believe so. I'm looking to our legal counsel to see if they retroactively get sales and use tax construction. 00:14:12.000 --> 00:14:15.000 The state comptroller can go back multiple years and audit. 00:14:15.000 --> 00:14:20.000 So I would imagine possible, but I don't know. We'd have to look into that. 00:14:20.000 --> 00:14:24.000 So by them filing it in Dallas, does that mean the money went to Dallas as opposed to here? 00:14:24.000 --> 00:14:27.000 They filed jointly so we couldn't separate it. 00:14:27.000 --> 00:14:37.000 So on the confidential reports from finance, they received two codes, 26 and 28, one for the regular sales tax, one for the Texas Direct Pay Permit. 00:14:37.000 --> 00:14:39.000 They couldn't verify on either. They couldn't fund them at all. 00:14:39.000 --> 00:14:46.000 So we never received any revenue from the sales tax that went to Dallas, so therefore there is no... 00:14:46.000 --> 00:14:51.000 We can't reimburse or cause share funds we don't receive to be good stewards, certainly. 00:14:51.000 --> 00:14:55.000 And they didn't fulfill the agreement by not obtaining a Texas Direct Pay Permit. 00:14:55.000 --> 00:14:59.000 So going forward, is there a risk of that on this? No one? 00:14:59.000 --> 00:15:04.000 Well, again, we've provided the application. We provided technical assistance on that. 00:15:04.000 --> 00:15:09.000 I know they are also using a consultant. We provided them with the same genovus, the same information. 00:15:09.000 --> 00:15:20.000 I just had a quick question. I mean, you guys have something in place now to make sure that if we approve that, that we've got stop blocks in place so that doesn't happen? 00:15:20.000 --> 00:15:28.000 I think that is confirmed, but I think having these two colleges be a part of the conversation with our finance team up in... 00:15:28.000 --> 00:15:33.000 I support it. I just want to make sure that if we go through this approval again, you know what I'm saying, 00:15:33.000 --> 00:15:36.000 we've got to ensure that the camera has got that. 00:15:36.000 --> 00:15:42.000 I couldn't answer that question just in terms of making an agreement right here. 00:15:42.000 --> 00:15:48.000 I'm saying that there's something in place, but I don't think that that's out of the question. 00:15:48.000 --> 00:15:55.000 So based on their structure, legally they can pay either in Dallas or here. It doesn't matter? 00:15:55.000 --> 00:15:58.000 It's how they file, and I know they file a little bit differently. 00:15:58.000 --> 00:16:08.000 They report a little bit differently than most of our taxpayers. I did find that out in the process. They report ahead. They prepay. 00:16:08.000 --> 00:16:18.000 We used to probably speak a little bit better than this, but my understanding is in order for them to be able to actually collect the sales tax in Denver from sourcing construction materials, 00:16:18.000 --> 00:16:24.000 they have to set up a specific permit, and that's what didn't occur. 00:16:24.000 --> 00:16:35.000 [inaudible] 00:16:35.000 --> 00:16:39.000 It's extremely easy to administer once they set up that Texas Direct Pay Permit. 00:16:39.000 --> 00:16:49.000 Like I said, it appears on a separate code, and it's set up before the financial service review, and we've done that for several, for Winko and for O'Reilly. 00:16:49.000 --> 00:16:53.000 Can you maybe go back to that summary, because that's just unfortunate, right? 00:16:53.000 --> 00:16:54.000 Yes. 00:16:54.000 --> 00:16:56.000 I just want to make sure. 00:16:56.000 --> 00:17:06.000 So there's an ad morum for 60%, and then there's 75% one time for estimating year two after they receive their CEO of that $85,900. 00:17:06.000 --> 00:17:16.000 [inaudible] 00:17:16.000 --> 00:17:19.000 Any other questions? 00:17:19.000 --> 00:17:21.000 I'll move for approval. 00:17:21.000 --> 00:17:23.000 I got a motion for approval. 00:17:23.000 --> 00:17:25.000 Can I get a second for approval? 00:17:25.000 --> 00:17:26.000 Second. 00:17:26.000 --> 00:17:27.000 Second? 00:17:27.000 --> 00:17:28.000 I got a motion and a second. 00:17:28.000 --> 00:17:30.000 Any discussion? 00:17:30.000 --> 00:17:31.000 Any further discussion? 00:17:31.000 --> 00:17:32.000 All right. 00:17:32.000 --> 00:17:33.000 Can I get a vote? 00:17:33.000 --> 00:17:34.000 All in favor, say aye. 00:17:34.000 --> 00:17:36.000 Aye. 00:17:36.000 --> 00:17:38.000 Any opposed? 00:17:38.000 --> 00:17:39.000 All right. 00:17:39.000 --> 00:17:42.000 I'm stating just to be consistent as I get another fight out. 00:17:42.000 --> 00:17:43.000 Go ahead. 00:17:43.000 --> 00:17:44.000 I'm supporting. 00:17:44.000 --> 00:17:45.000 Good. 00:17:45.000 --> 00:17:46.000 Good. 00:17:46.000 --> 00:17:48.000 With that, the motion passes. 00:17:48.000 --> 00:17:51.000 The board makes a recommendation to approve. 00:17:51.000 --> 00:17:54.000 Thank you for choosing them to expand it. 00:17:54.000 --> 00:18:00.000 [inaudible] 00:18:00.000 --> 00:18:04.000 Now for item EDP 25-013. 00:18:04.000 --> 00:18:17.000 Consider making a recommendation to city council for approval of an incentive agreement for Mayday Manufacturing Company for a 60% property tax rebate for 10 years and an expansion grant under Chapter 3A. 00:18:17.000 --> 00:18:26.000 With a local government code, they amount not to exceed $577,944. 00:18:26.000 --> 00:18:27.000 Yep. 00:18:27.000 --> 00:18:29.000 Backup materials. 00:18:29.000 --> 00:18:38.000 [inaudible] 00:18:38.000 --> 00:18:50.000 [inaudible] 00:18:50.000 --> 00:18:51.000 A little bit of background. 00:18:51.000 --> 00:18:58.000 Mayday Manufacturing was founded 49 years ago. 00:18:58.000 --> 00:19:08.000 It is a world leader in building and manufacturing of space kitchens, kins, seas, and turned-out parts. 00:19:08.000 --> 00:19:15.000 They have created over 1,000 different part numbers of hundreds of different companies from 18 countries. 00:19:15.000 --> 00:19:25.000 In 2016, they were acquired by Esco Technologies alongside the CapEx plating shop HiTech Finishing, which is actually part of the family business. 00:19:25.000 --> 00:19:32.000 In 2022, HiTech was absorbed by Mayday and become a part of their business. 00:19:32.000 --> 00:19:35.000 Another context for a previous expansion. 00:19:35.000 --> 00:19:39.000 They were originally incentivized in 2012. 00:19:39.000 --> 00:19:42.000 At that point in time, that was an $8.5 million expansion. 00:19:42.000 --> 00:19:50.000 [inaudible] 00:19:50.000 --> 00:19:53.000 That was a 10-year deal that expired after 10 years. 00:19:53.000 --> 00:20:06.000 In March of 2025, just two months ago, staff received an application from Mayday for a new expansion that is due to increased demand and trying to improve their capacity to meet their clients' demands. 00:20:06.000 --> 00:20:11.000 They're planning to expand their facility footprint by 45,000 square feet. 00:20:11.000 --> 00:20:23.000 The plan is to ideally break ground between the Y of this year and ideally finish construction sometime between December of 2016 and February of 2016. 00:20:23.000 --> 00:20:28.000 Just to put you in context of where we are, this is at 3100 Jim Crystal Road. 00:20:28.000 --> 00:20:30.000 That's our current operations. 00:20:30.000 --> 00:20:35.000 That's right down to 380 and off the road to 35. 00:20:35.000 --> 00:20:37.000 This is what we currently have happening there. 00:20:37.000 --> 00:20:41.000 It's a current operation both on the outside and inside. 00:20:41.000 --> 00:20:48.000 And in the top right, once again, if you look at that star in the outline, the red lines there, that is the planned expansion. 00:20:48.000 --> 00:20:58.000 Basically, just put it in the footprint, make it a little bit bigger with that 45,000 square feet expand operations. 00:20:58.000 --> 00:21:07.000 The similar benefits to the last proposal, the business retention and expansion deal, it supports the industry manufacturing leader within the Denton region. 00:21:07.000 --> 00:21:17.000 Additionally, they play a pretty integral role within the aerospace supply chain, working with a variety of clients in a variety of parts, multiple different nations. 00:21:17.000 --> 00:21:20.000 And it also helps out with the local workforce. 00:21:20.000 --> 00:21:26.000 They employ around 400 at their Denton facility with a mean salary that's greater than the city's average. 00:21:26.000 --> 00:21:33.000 So to be able to support those existing jobs as long as it's alongside some of these new jobs. 00:21:33.000 --> 00:21:38.000 So the expansion itself would be $14.5 million. 00:21:38.000 --> 00:21:55.000 That would be divided between $9 million in terms of construction improvements, $5.5 million for business personal property, and then directly that would help support 50 new jobs for May Day. 00:21:55.000 --> 00:22:04.000 And this gives you a summary table similar to the last presentation of current valuation, current revenue, and how this would help increase. 00:22:04.000 --> 00:22:19.000 So outside of that $14.5 million we've already talked about, basically what that leads to is a total of almost the sky of $85,000 in annual tax revenue added, bringing them to a total of $281,000. 00:22:19.000 --> 00:22:31.000 That's revenue between real and business personal property. And the incentive terms that we're specifically proposing here is a 60% rebate on these new improvements in BPP. 00:22:31.000 --> 00:22:36.000 Again, that's added value. So we're only incentivizing basically what the expenses are. 00:22:36.000 --> 00:22:44.000 So the estimated total for that over the 10-year deal is $552,945. 00:22:44.000 --> 00:22:56.000 Alongside that, we're considering a direct expansion grant of $25,000, bringing the total incentive number to $577,000. 00:22:56.000 --> 00:23:09.000 Some of that job and wage information for those 50 new jobs that you're talking about includes an annual payroll just over $27 million, salaries ranging from $45,000 to $65,000. 00:23:09.000 --> 00:23:25.000 And you get a range of roles there for their different options between platers, paints, quality control, max effects, geniuses, just expanding operations and helping with the same activities. 00:23:25.000 --> 00:23:33.000 And then here's that same economic impact report. It gives you an idea of on the expansion alone, what the payback period and the return is. 00:23:33.000 --> 00:23:49.000 Specifically, Impact Data Sorts estimates that this would be a 4.3-year payback period with a 21.3% rate of return and net benefits less incentives of $552,000, a little bit more than that. 00:23:49.000 --> 00:24:04.000 Again, like Erica said, we have the option to include retention as a part of this calculation, and we consider this a retention deal. That payback period drops to 1.2 years, and it's a 77.7% rate of return. 00:24:04.000 --> 00:24:20.000 So staff recommendation is option number one, a 60% rebate on new business version of property and real property taxes, 10 years up to $552,924, and a $25,000 expansion grant. 00:24:20.000 --> 00:24:35.000 And that staff recommendation drops to number one. The next steps, very similarly, would be City Council and individual consideration on June 3rd, followed by the execution of new business. Any questions? 00:24:35.000 --> 00:24:49.000 And I'll also mention real quick, we also do additionally have Corey Peeples, the Director of Finance, and Chad Leach, the Senior VP and General Manager from Mayday here. In case any of the questions are too tough or... 00:24:49.000 --> 00:24:52.000 Welcome. Thank you. 00:24:52.000 --> 00:25:03.000 I don't have a question, but I do have a comment. This particular company has put substantial money in the LeBron Career and Technology Center up north of Loop 288. 00:25:03.000 --> 00:25:15.000 And the last time I knew, when I was previously on the board and on that committee up there, they were offering scholarships to students to come work for them, and they would put them through college over the four-year period. 00:25:15.000 --> 00:25:21.000 So they do substantial other things to help the economy in this community. Very good partner. 00:25:21.000 --> 00:25:36.000 I'd like to add to that, you know, when they came to town, they used local contractors to build their expansion when they came to town, which means a lot to our community and a wonderful company to work with. 00:25:36.000 --> 00:25:46.000 If you've ever seen a Navy jet slam on a carrier, they make the landing gear for them. That's amazing. 00:25:46.000 --> 00:25:52.000 Thank you guys for staying in our community. 00:25:52.000 --> 00:26:01.000 So I got a comment. I gotta be creative on how I'm going to word this because it's not specific to this one, but I've got it, I think, under this deal. 00:26:01.000 --> 00:26:16.000 If we have a proposal that's coming through and we have a history of not using one of the incentives or not fulfilling the agreement, I think we should show the return on investment two ways. 00:26:16.000 --> 00:26:32.000 One, if it includes both of the incentives or what it is if they don't fulfill their obligation on IE sales and we just pay the other to see if it's materially different. 00:26:32.000 --> 00:26:41.000 I think the council would appreciate to see that to make sure that one's not slanted and when you put them together, it is more of a return. 00:26:41.000 --> 00:26:47.000 Kind of gives you a band of risk. Right. 00:26:47.000 --> 00:26:55.000 If we give it all to them, but then they meet the criteria of one and they don't the other and the two combined gives you a point in return. 00:26:55.000 --> 00:27:05.000 And then but one gives you a bigger, a smaller return as a city. You know, it could change the decision making process when it gets to council or whatever. 00:27:05.000 --> 00:27:23.000 Right now, since we're under this topic, I'm talking in general terms, but I think we all know what is bringing what made me think of that. 00:27:23.000 --> 00:27:35.000 I'm just trying to start the legal aspect on the corner of the table. 00:27:35.000 --> 00:27:42.000 So I have a motion to approve or to recommend the approval to city council. 00:27:42.000 --> 00:27:54.000 Second second second. All right. So I got a motion and a second. So all do I have any further discussion. 00:27:54.000 --> 00:27:59.000 All in favor of the motion, please say aye. 00:27:59.000 --> 00:28:03.000 Any opposed. 00:28:03.000 --> 00:28:14.000 Motion passes. Yeah. 00:28:14.000 --> 00:28:20.000 Thank you. Thanks. Thank you. Thank you. 00:28:20.000 --> 00:28:36.000 Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. 00:28:36.000 --> 00:28:51.000 Hello. Good morning. 00:28:51.000 --> 00:29:06.000 Good morning. 00:29:06.000 --> 00:29:21.000 Thank you. 00:29:21.000 --> 00:29:36.000 Thank you. 00:29:36.000 --> 00:29:51.000 Thank you. 00:29:51.000 --> 00:30:06.000 Thank you. 00:30:06.000 --> 00:30:21.000 Thank you. 00:30:21.000 --> 00:30:47.000 Thank you. 00:30:47.000 --> 00:31:02.000 Thank you. 00:31:02.000 --> 00:31:17.000 Thank you. 00:31:17.000 --> 00:31:32.000 Thank you. 00:31:32.000 --> 00:31:48.000 Thank you. 00:31:48.000 --> 00:32:03.000 Thank you. 00:32:03.000 --> 00:32:18.000 Thank you. 00:32:18.000 --> 00:32:33.000 Thank you. 00:32:33.000 --> 00:32:48.000 Thank you. 00:32:48.000 --> 00:33:03.000 Thank you. 00:33:03.000 --> 00:33:18.000 Thank you. 00:33:18.000 --> 00:33:33.000 Thank you. 00:33:33.000 --> 00:33:48.000 Thank you. 00:33:48.000 --> 00:34:03.000 Thank you. 00:34:03.000 --> 00:34:18.000 Thank you. 00:34:18.000 --> 00:34:33.000 Thank you. 00:34:33.000 --> 00:34:48.000 Thank you. 00:34:48.000 --> 00:35:03.000 Thank you. 00:35:03.000 --> 00:35:18.000 Thank you. 00:35:18.000 --> 00:35:33.000 Thank you. 00:35:33.000 --> 00:35:48.000 Thank you. 00:35:48.000 --> 00:36:03.000 Thank you. 00:36:03.000 --> 00:36:18.000 Thank you. 00:36:18.000 --> 00:36:33.000 Thank you. 00:36:33.000 --> 00:36:48.000 Thank you. 00:36:48.000 --> 00:37:03.000 Thank you. 00:37:03.000 --> 00:37:18.000 Thank you. 00:37:18.000 --> 00:37:33.000 Thank you. 00:37:33.000 --> 00:37:41.000 Thank you. 00:37:41.000 --> 00:38:09.000 Thank you. 00:38:09.000 --> 00:38:24.000 Thank you. 00:38:24.000 --> 00:38:39.000 Thank you. 00:38:39.000 --> 00:38:54.000 Thank you. 00:38:54.000 --> 00:39:09.000 Thank you. 00:39:09.000 --> 00:39:24.000 Thank you. 00:39:24.000 --> 00:39:38.000 Thank you. 00:39:38.000 --> 00:39:39.000 Thank you. 00:39:39.000 --> 00:39:40.000 Thank you. 00:39:40.000 --> 00:39:41.000 Thank you. 00:39:41.000 --> 00:39:42.000 Thank you. 00:39:42.000 --> 00:40:08.000 Thank you. 00:40:08.000 --> 00:40:23.000 Thank you. 00:40:23.000 --> 00:40:24.000 Thank you. 00:40:24.000 --> 00:40:25.000 Thank you. 00:40:25.000 --> 00:40:26.000 Thank you. 00:40:26.000 --> 00:40:27.000 Thank you. 00:40:27.000 --> 00:40:28.000 Thank you. 00:40:28.000 --> 00:40:39.000 Thank you. 00:40:39.000 --> 00:41:01.000 Thank you. 00:41:01.000 --> 00:41:09.000 Thank you. 00:41:09.000 --> 00:41:31.000 Thank you. 00:41:31.000 --> 00:41:46.000 Thank you. 00:41:46.000 --> 00:42:01.000 Thank you. 00:42:01.000 --> 00:42:16.000 Thank you. 00:42:16.000 --> 00:42:31.000 Thank you. 00:42:31.000 --> 00:42:46.000 Thank you. 00:42:46.000 --> 00:43:01.000 Thank you. 00:43:01.000 --> 00:43:16.000 Thank you. 00:43:16.000 --> 00:43:30.000 Thank you. 00:43:30.000 --> 00:43:32.000 Thank you. 00:43:32.000 --> 00:43:33.000 Thank you. 00:44:00.000 --> 00:44:01.000 Thank you. 00:44:01.000 --> 00:44:10.000 Thank you. 00:44:10.000 --> 00:44:11.000 Thank you. 00:44:30.000 --> 00:44:32.000 Thank you. 00:44:32.000 --> 00:44:33.000 Thank you. 00:44:33.000 --> 00:44:34.000 Thank you. 00:44:34.000 --> 00:45:00.000 Thank you. 00:45:00.000 --> 00:45:16.000 Thank you. 00:45:16.000 --> 00:45:31.000 Thank you. 00:45:31.000 --> 00:45:46.000 Thank you. 00:45:46.000 --> 00:46:01.000 Thank you. 00:46:01.000 --> 00:46:16.000 Thank you. 00:46:16.000 --> 00:46:32.000 Thank you. 00:46:32.000 --> 00:46:47.000 Thank you. 00:46:47.000 --> 00:47:02.000 Thank you. 00:47:02.000 --> 00:47:03.000 Thank you. 00:47:03.000 --> 00:47:04.000 Thank you. 00:47:04.000 --> 00:47:05.000 Thank you. 00:47:05.000 --> 00:47:20.000 Thank you. 00:47:20.000 --> 00:47:35.000 Thank you. 00:47:35.000 --> 00:47:57.000 Thank you. 00:47:57.000 --> 00:48:13.000 Thank you. 00:48:13.000 --> 00:48:14.000 Thank you. 00:48:27.000 --> 00:48:49.000 Thank you. 00:48:49.000 --> 00:48:50.000 Thank you. 00:48:50.000 --> 00:48:58.000 Thank you. 00:48:58.000 --> 00:48:59.000 Thank you. 00:48:59.000 --> 00:49:00.000 Thank you. 00:49:00.000 --> 00:49:22.000 Thank you. 00:49:22.000 --> 00:49:37.000 Thank you. 00:49:37.000 --> 00:49:38.000 Thank you. 00:49:38.000 --> 00:49:53.000 Thank you. 00:49:53.000 --> 00:50:08.000 Thank you. 00:50:08.000 --> 00:50:23.000 Thank you. 00:50:23.000 --> 00:50:38.000 Thank you. 00:50:38.000 --> 00:50:53.000 Thank you. 00:50:53.000 --> 00:51:08.000 Thank you. 00:51:08.000 --> 00:51:09.000 Thank you. 00:51:09.000 --> 00:51:24.000 Thank you. 00:51:24.000 --> 00:51:25.000 Thank you. 00:51:25.000 --> 00:51:26.000 Thank you. 00:51:26.000 --> 00:51:41.000 Thank you. 00:51:41.000 --> 00:51:56.000 Thank you. 00:51:56.000 --> 00:51:57.000 Thank you. 00:51:57.000 --> 00:52:12.000 Thank you. 00:52:12.000 --> 00:52:13.000 Thank you. 00:52:13.000 --> 00:52:14.000 Thank you. 00:52:14.000 --> 00:52:38.000 Thank you. 00:52:38.000 --> 00:52:55.000 Thank you. 00:52:55.000 --> 00:52:56.000 Thank you. 00:53:08.000 --> 00:53:30.000 Thank you. 00:53:30.000 --> 00:53:31.000 Thank you. 00:53:38.000 --> 00:53:39.000 Thank you. 00:53:39.000 --> 00:53:40.000 Thank you. 00:53:40.000 --> 00:53:41.000 Thank you. 00:53:41.000 --> 00:53:42.000 Thank you. 00:53:42.000 --> 00:53:43.000 Thank you. 00:53:43.000 --> 00:53:44.000 Thank you. 00:53:44.000 --> 00:54:11.000 Thank you. 00:54:11.000 --> 00:54:21.000 Thank you. 00:54:41.000 --> 00:54:56.000 Thank you. 00:54:56.000 --> 00:54:57.000 Thank you. 00:54:57.000 --> 00:54:58.000 Thank you. 00:54:58.000 --> 00:54:59.000 Thank you. 00:54:59.000 --> 00:55:14.000 Thank you. 00:55:14.000 --> 00:55:15.000 Thank you. 00:55:15.000 --> 00:55:16.000 Thank you. 00:55:16.000 --> 00:55:17.000 Thank you. 00:55:17.000 --> 00:55:18.000 Thank you. 00:55:18.000 --> 00:55:19.000 Thank you. 00:55:19.000 --> 00:55:34.000 Thank you. 00:55:34.000 --> 00:55:49.000 Thank you. 00:55:49.000 --> 00:56:04.000 Thank you. 00:56:04.000 --> 00:56:19.000 Thank you. 00:56:19.000 --> 00:56:34.000 Thank you. 00:56:34.000 --> 00:56:49.000 Thank you. 00:56:49.000 --> 00:57:04.000 Thank you. 00:57:04.000 --> 00:57:05.000 Thank you. 00:57:05.000 --> 00:57:06.000 Thank you. 00:57:06.000 --> 00:57:19.000 Thank you. 00:57:19.000 --> 00:57:38.000 Thank you. 00:57:38.000 --> 00:57:53.000 Thank you. 00:57:53.000 --> 00:57:54.000 Thank you. 00:57:54.000 --> 00:58:08.000 Thank you. 00:58:08.000 --> 00:58:09.000 Thank you. 00:58:24.000 --> 00:58:45.000 Thank you. 00:58:45.000 --> 00:58:46.000 Thank you. 00:58:54.000 --> 00:58:55.000 Thank you. 00:59:24.000 --> 00:59:25.000 Thank you. 00:59:25.000 --> 00:59:26.000 Thank you. 00:59:26.000 --> 00:59:27.000 Thank you. 00:59:27.000 --> 00:59:28.000 Thank you. 00:59:28.000 --> 00:59:29.000 Thank you. 00:59:29.000 --> 00:59:30.000 Thank you. 00:59:30.000 --> 00:59:55.000 Thank you. 00:59:55.000 --> 01:00:14.000 Thank you. 01:00:14.000 --> 01:00:29.000 Thank you. 01:00:29.000 --> 01:00:44.000 Thank you. 01:00:44.000 --> 01:00:45.000 Thank you. 01:00:45.000 --> 01:00:46.000 Thank you. 01:00:46.000 --> 01:01:01.000 Thank you. 01:01:01.000 --> 01:01:16.000 Thank you. 01:01:16.000 --> 01:01:31.000 Thank you. 01:01:31.000 --> 01:01:32.000 Thank you. 01:01:32.000 --> 01:01:33.000 Thank you. 01:01:33.000 --> 01:01:48.000 Thank you. 01:01:48.000 --> 01:01:49.000 Thank you. 01:02:03.000 --> 01:02:04.000 Thank you. 01:02:04.000 --> 01:02:05.000 Thank you. 01:02:05.000 --> 01:02:06.000 Thank you. 01:02:06.000 --> 01:02:07.000 Thank you. 01:02:07.000 --> 01:02:08.000 Thank you. 01:02:08.000 --> 01:02:09.000 Thank you. 01:02:09.000 --> 01:02:34.000 Thank you. 01:02:34.000 --> 01:02:53.000 Thank you. 01:02:53.000 --> 01:03:05.000 Thank you. 01:03:05.000 --> 01:03:06.000 Thank you. 01:03:23.000 --> 01:03:24.000 Thank you. 01:03:24.000 --> 01:03:25.000 Thank you. 01:03:25.000 --> 01:03:26.000 Thank you. 01:03:26.000 --> 01:03:27.000 Thank you. 01:03:27.000 --> 01:03:28.000 Thank you. 01:03:28.000 --> 01:03:53.000 Thank you. 01:03:53.000 --> 01:03:54.000 Thank you. 01:03:54.000 --> 01:03:55.000 Thank you. 01:03:55.000 --> 01:03:56.000 Thank you. 01:03:56.000 --> 01:03:57.000 Thank you. 01:03:57.000 --> 01:03:58.000 thank you. 01:03:58.000 --> 01:03:59.000 Thank you. 01:03:59.000 --> 01:04:00.000 Thank you. 01:04:00.000 --> 01:04:01.000 Thank you. 01:04:01.000 --> 01:04:02.000 Thank you. 01:04:02.000 --> 01:04:03.000 Thank you. 01:04:03.000 --> 01:04:28.000 Thank you. 01:04:28.000 --> 01:04:33.000 Thank you. 01:04:58.000 --> 01:04:59.000 Thank you. 01:05:28.000 --> 01:05:29.000 Thank you. 01:05:29.000 --> 01:05:30.000 Thank you. 01:05:30.000 --> 01:05:31.000 Thank you. 01:05:31.000 --> 01:05:32.000 Thank you. 01:05:32.000 --> 01:05:33.000 Thank you. 01:05:33.000 --> 01:05:34.000 Thank you. 01:05:34.000 --> 01:05:59.000 Thank you. 01:05:59.000 --> 01:06:18.000 Thank you. 01:06:18.000 --> 01:06:19.000 Thank you. 01:06:29.000 --> 01:06:30.000 Thank you. 01:06:30.000 --> 01:06:31.000 Thank you. 01:06:31.000 --> 01:06:32.000 Thank you. 01:06:32.000 --> 01:06:33.000 Thank you. 01:06:33.000 --> 01:06:34.000 Thank you. 01:06:34.000 --> 01:06:59.000 Thank you. 01:06:59.000 --> 01:07:00.000 Thank you. 01:07:00.000 --> 01:07:01.000 Thank you. 01:07:01.000 --> 01:07:02.000 Thank you. 01:07:02.000 --> 01:07:03.000 Thank you. 01:07:03.000 --> 01:07:04.000 Thank you. 01:07:33.000 --> 01:07:35.000 Thank you. 01:07:35.000 --> 01:07:36.000 Thank you. 01:07:36.000 --> 01:07:37.000 Thank you. 01:07:37.000 --> 01:07:38.000 Thank you. 01:07:38.000 --> 01:07:39.000 Thank you. 01:07:39.000 --> 01:07:40.000 Thank you. 01:07:40.000 --> 01:08:06.000 Thank you. 01:08:06.000 --> 01:08:12.000 Thank you. 01:08:36.000 --> 01:08:39.840 But where those leads are generated from is going to be different and closer. 01:08:39.840 --> 01:08:42.640 I show how much it's been vetted or not. 01:08:42.640 --> 01:08:46.120 Second thing I'd say is talking about utilities. 01:08:46.120 --> 01:08:50.320 Scott McDonald, he's on the curve here. 01:08:50.320 --> 01:08:52.200 He's working hard on that. 01:08:52.200 --> 01:08:56.960 There's a large sewer project that we're actually involved in with the city. 01:08:56.960 --> 01:09:01.840 And Scott McDonald and the utility departments are getting ahead of the curve. 01:09:01.840 --> 01:09:06.920 They're looking at joint, how the city can work with developers and 01:09:06.920 --> 01:09:12.000 fund those things together on oversizing and working on getting the easements. 01:09:12.000 --> 01:09:13.320 We're working on a project right now. 01:09:13.320 --> 01:09:18.000 We're going and getting all the easements for a joint project with us in the city. 01:09:18.000 --> 01:09:22.760 And the sewer line, we've run all the calculations for our whole sewer basin. 01:09:22.760 --> 01:09:30.320 So Scott's doing a really good job of looking at a bigger picture than just one project. 01:09:30.320 --> 01:09:34.640 And he's looking at what the future land use plans are in those areas. 01:09:34.640 --> 01:09:39.440 And the utility department is too, sizing these utilities for 01:09:39.440 --> 01:09:44.820 that future land use of stuff that could be an ETJ, could be in the city limits. 01:09:44.820 --> 01:09:47.800 And he's doing a great job of planning that. 01:09:47.800 --> 01:09:50.840 Some of those things are gonna be before city council soon. 01:09:50.840 --> 01:09:53.560 And we're gonna really be able to see if what, 01:09:53.560 --> 01:09:56.240 cuz what you're saying is happening right now. 01:09:56.240 --> 01:10:00.720 And so we'll see that support which I believe it's kind of a no brainer. 01:10:00.720 --> 01:10:04.000 I think we'll see the support from council on these things. 01:10:04.000 --> 01:10:09.720 The second thing is on water, we're looking at some of these districts that 01:10:09.720 --> 01:10:14.720 are outside in the ETJ, mud districts and those kind of things. 01:10:14.720 --> 01:10:20.280 He's actually being, we work in, I got projects in probably nine cities right now. 01:10:20.280 --> 01:10:26.340 And Scott McDonald is way more aggressive, and our utility department is way more 01:10:26.340 --> 01:10:30.720 aggressive on going, how do we get the right infrastructure in place for 01:10:30.720 --> 01:10:32.040 long term here? 01:10:32.040 --> 01:10:36.520 So there's some large, very large water line projects being worked on right now 01:10:36.520 --> 01:10:41.080 that are gonna be funded in different, maybe some creative funding ways between 01:10:41.080 --> 01:10:44.440 districts and city to be able to get that done. 01:10:44.440 --> 01:10:51.100 So for the first time in a long time, I would say we're actually got that vision. 01:10:51.100 --> 01:10:55.000 >> Well, I mean, I don't know the whole picture like you probably do, but 01:10:55.000 --> 01:10:58.240 I just know there's examples that we've had meetings on that are contrary to what 01:10:58.240 --> 01:10:59.200 you just said. 01:10:59.200 --> 01:11:02.000 >> No, I understand, it can only be done once, right? 01:11:02.000 --> 01:11:05.960 >> So that's a challenge and it has to do with stuff that's in the ETJ. 01:11:05.960 --> 01:11:10.560 It has to do with stuff where people can't tap in and there's a line there. 01:11:10.560 --> 01:11:14.600 Or the manual project you guys talked about before, so 01:11:14.600 --> 01:11:19.320 I think there's plenty of examples that contradict that too. 01:11:19.320 --> 01:11:22.480 >> But I'm telling you, there's things that are working awesome, right? 01:11:22.480 --> 01:11:27.160 You may have these specific projects that one project, okay, 01:11:27.160 --> 01:11:31.600 it's not viable for the city to bring a whole water line from one project, right? 01:11:31.600 --> 01:11:38.120 But if you have a whole regional area and making a large investment, I mean, 01:11:38.120 --> 01:11:42.160 I can tell you 50 of them that I've done that didn't work because utilities, right? 01:11:42.160 --> 01:11:46.360 But I think what the concept that we're looking at now 01:11:46.360 --> 01:11:49.120 is we're looking at mass areas, right? 01:11:49.120 --> 01:11:55.160 And as I'm on both sides of this fence, I think I would rather see the dollars 01:11:55.160 --> 01:12:00.960 spent to provide service for large areas and then get it close, right? 01:12:00.960 --> 01:12:03.520 And then we can come off to some of those things on 380. 01:12:03.520 --> 01:12:06.560 What I'm talking about is what you're talking about on 380. 01:12:06.560 --> 01:12:08.960 That's a problem going out 380. 01:12:08.960 --> 01:12:12.360 And so I think if you're looking at how Scott and 01:12:12.360 --> 01:12:18.460 some of the team are looking at the overall picture to get the main chunk lines in, 01:12:18.460 --> 01:12:22.200 then those subsidiary things will start happening because it's at least within two 01:12:22.200 --> 01:12:23.120 or three miles. 01:12:23.120 --> 01:12:26.360 >> And I think that's exactly what we asked for in the water, the overlay, 01:12:26.360 --> 01:12:29.520 where the demand is and then where the capacity is or excess capacity. 01:12:29.520 --> 01:12:34.440 Hopefully that's what the city is gonna bring to us next month is that what is our 01:12:34.440 --> 01:12:38.560 excess capacity so we can look and see, these are the developed areas we wanna 01:12:38.560 --> 01:12:40.640 develop, like mass areas, I agree with that. 01:12:40.640 --> 01:12:44.360 And then, what's our excess capacity for that area? 01:12:44.360 --> 01:12:46.720 The gaps don't, it doesn't match. 01:12:46.720 --> 01:12:49.640 >> 100%, I think we've gotta analyze that as a city, and 01:12:49.640 --> 01:12:51.640 I think hopefully they're doing that. 01:12:51.640 --> 01:12:55.040 And the master water plan that the city has already done, 01:12:55.040 --> 01:12:56.320 they already have that information. 01:12:56.320 --> 01:12:59.000 It's not like we're asking them to go do a whole new water study. 01:12:59.000 --> 01:13:01.560 They've done a master sewer and water study. 01:13:01.560 --> 01:13:06.160 Kimley Horn did it for the city out of Fort Worth, and so we have that. 01:13:06.160 --> 01:13:10.080 But putting those heat maps and things like that together to be able to make 01:13:10.080 --> 01:13:14.160 somebody that doesn't understand gallons per day or sewer flows. 01:13:14.160 --> 01:13:17.880 And it takes forever to get your mind around all that. 01:13:17.880 --> 01:13:21.680 But some of the things you're asking for so that a city council member or 01:13:21.680 --> 01:13:25.920 a planning and zoning member can see that easily, we do have, yes or no, 01:13:25.920 --> 01:13:30.520 we do have extra capacity, we have capacity for this many years in these areas. 01:13:30.520 --> 01:13:33.440 So let's focus where we need to spend our dollars. 01:13:33.440 --> 01:13:39.000 But to my original point is, it may not be in the exact locations that we site 01:13:39.000 --> 01:13:43.720 this 20 acre site or this 50 acre site, but 01:13:43.720 --> 01:13:48.120 some things that are going on right now are very positive. 01:13:48.120 --> 01:13:53.920 Especially on the west side of town, where is our most advantageous to develop. 01:13:53.920 --> 01:13:59.560 From Denton to the county line, you go east, you got the lake, you go north. 01:13:59.560 --> 01:14:01.560 There's some opportunity north. 01:14:01.560 --> 01:14:06.640 There's some headwinds on the neighborhoods out there that what they want to see for 01:14:06.640 --> 01:14:08.520 development, so there's some headwinds going north. 01:14:08.520 --> 01:14:12.160 South, I think we know we're full up, we're not going very far south. 01:14:12.160 --> 01:14:16.080 So if you look at what's the most advantageous for development for 01:14:16.080 --> 01:14:20.960 Denton other than infill, I'm a big infill guy too, infill. 01:14:20.960 --> 01:14:25.440 But if you're looking at where it's gonna expand, because as a developer, 01:14:25.440 --> 01:14:29.000 we look where it's most cost effective, right, infill's tough. 01:14:29.000 --> 01:14:32.400 I love it, we still do it, but it's gonna be west. 01:14:32.400 --> 01:14:36.960 And that's where Scott McDonald and the engineering team is spending a lot of time 01:14:36.960 --> 01:14:41.840 on getting major water lines and sewer line extensions in capacity. 01:14:41.840 --> 01:14:46.520 And the city's done some big projects actually from Western Boulevard, 01:14:46.520 --> 01:14:48.720 all the way back under 35W. 01:14:48.720 --> 01:14:53.440 They've been working very quickly, when I say very quickly on the city terms, 01:14:53.440 --> 01:14:58.920 not my terms, as quick as the city can move to get those lines upgraded. 01:14:58.920 --> 01:15:02.640 Down underneath by the airport, back down with Coal Ranch coming in. 01:15:02.640 --> 01:15:06.960 There's been a lot, so it pains me to say, but 01:15:06.960 --> 01:15:11.880 there is a lot of really good things happening in long term. 01:15:11.880 --> 01:15:13.920 >> Why does it pain you so much? 01:15:13.920 --> 01:15:19.240 >> Because it takes five years to get it done, we need to celebrate the wins, right? 01:15:19.240 --> 01:15:26.160 This is to celebrate the win, but so there's a lot of good things happening to your point. 01:15:26.160 --> 01:15:30.840 I think if we could demonstrate these things in a map, like you're saying, 01:15:30.840 --> 01:15:34.400 I think it would, if we talk about the work we're doing, 01:15:34.400 --> 01:15:37.800 I think it's gonna change some of that perception. 01:15:37.800 --> 01:15:43.840 I think we just need to show some of that work that's happening, and some of the wins. 01:15:43.840 --> 01:15:46.680 And I think it'll change some perspectives. 01:15:46.680 --> 01:15:48.320 >> Is it funded? 01:15:48.320 --> 01:15:50.720 >> It's gonna be coming to city council to get funded, that's what I was gonna say. 01:15:50.720 --> 01:15:54.080 >> To get it funded, I think we're gonna have to show why it should be funded. 01:15:54.080 --> 01:15:55.520 And you're gonna need all that information to do that. 01:15:55.520 --> 01:15:58.560 >> That's right, and I think they have it, I think cuz I know for 01:15:58.560 --> 01:16:03.320 the projects I'm working on, we've done studies for the whole drainage basin. 01:16:03.320 --> 01:16:08.500 To say, okay, do we need an 18 inch line, do we need a 21 inch line, 30 inch line? 01:16:08.500 --> 01:16:12.720 We've done the whole basin study, not just for our project. 01:16:12.720 --> 01:16:18.440 And so I think those are positive things, so we need to celebrate those. 01:16:18.440 --> 01:16:20.480 And I don't think we've talked about those things enough, 01:16:20.480 --> 01:16:22.400 the good things that are going on. 01:16:22.400 --> 01:16:25.800 >> I know Lee and Amy serve on the development, so there's a separate 01:16:25.800 --> 01:16:28.160 committee going on to talk about future developments. 01:16:28.160 --> 01:16:31.440 But I think for our board, I have no doubt that those discussions are going on. 01:16:31.440 --> 01:16:35.560 But I think for our board, maybe we start identifying parcels that we can actually 01:16:35.560 --> 01:16:40.120 start recruiting manufacturers in, and then we actively market those sites to come in. 01:16:40.120 --> 01:16:43.480 Because what happens is the landowner may wanna sell it pretty quickly, or 01:16:43.480 --> 01:16:45.160 the program may have other ideas. 01:16:45.160 --> 01:16:49.280 And so we can probably pitch a certified site program, 01:16:49.280 --> 01:16:54.680 which is a shuttle ready site that I've been using in Corpus Christi. 01:16:54.680 --> 01:16:56.880 Previously, I didn't think they were successful, but 01:16:56.880 --> 01:17:00.160 Corpus Christi is a great example of how those are potential where it can be 01:17:00.160 --> 01:17:02.560 beneficial in economic development. 01:17:02.560 --> 01:17:05.760 Because if you do have a green cell site, what's the highest and best use? 01:17:05.760 --> 01:17:08.560 Is it warehouse space, or is it a manufacturer where you're gonna get 01:17:08.560 --> 01:17:11.360 ad valorem, you'll get sales tax, and you'll get jobs? 01:17:11.360 --> 01:17:14.400 With warehouse space, sometimes you'll get the ad valorem, but 01:17:14.400 --> 01:17:17.880 then you may just get a service company that may not create as many jobs. 01:17:17.880 --> 01:17:21.560 And so from our perspective, we would love another Peterbilt here. 01:17:21.560 --> 01:17:26.480 But it's gonna take the work of all of us to get that done, so. 01:17:26.480 --> 01:17:30.200 All right, that's all I have, any other questions, sir? 01:17:30.200 --> 01:17:36.200 >> Yeah, just a comment, yeah, it makes all the sense in the world to 01:17:36.200 --> 01:17:42.560 invest proactively where our future land use map tells us we wanna go. 01:17:42.560 --> 01:17:47.520 Make those investments and then market in a coordinated way. 01:17:47.520 --> 01:17:52.920 My question is, also building on your point, if in fact the conversion is so 01:17:52.920 --> 01:17:57.540 much stronger, which I expect to be right, off of brokers versus, say, 01:17:57.540 --> 01:18:00.440 the general ones that have three income sources. 01:18:00.440 --> 01:18:05.200 Do we have a program where we are marketing and 01:18:05.200 --> 01:18:09.920 selling specifically to members of brokers? 01:18:09.920 --> 01:18:14.200 It must be a finite universe, I don't know, it might be zillions, I don't know. 01:18:14.200 --> 01:18:17.800 >> That's a great question, and that's why we try to attend as many local events as 01:18:17.800 --> 01:18:19.800 possible so that we're meeting with them. 01:18:19.800 --> 01:18:23.920 We do try, Christina has it really, she reaches out to them often to ensure that 01:18:23.920 --> 01:18:27.600 their sites are still available, and to kinda get a know of what's going on. 01:18:27.600 --> 01:18:32.320 But we could do a better job, especially networking with the site selectors. 01:18:32.320 --> 01:18:36.000 And so that part of my first year was mostly getting the administrative work 01:18:36.000 --> 01:18:39.560 together, getting operations together, and so, but that's the next phase of what my 01:18:39.560 --> 01:18:43.200 role will be, is reaching out to more of the regional partners, so 01:18:43.200 --> 01:18:44.960 we make sure that we're getting the leads. 01:18:44.960 --> 01:18:48.300 And that's why I'm going with the Dallas Reno Tamer, thank you. 01:18:48.300 --> 01:18:54.600 >> I mean, just a super thought, I can imagine a cycle where you just try to 01:18:54.600 --> 01:18:59.120 cover a particular universe of brokers, just taking leads to make them, 01:18:59.120 --> 01:19:03.520 just to heighten their awareness of what we have thought, two minutes. 01:19:03.520 --> 01:19:05.960 >> I think if we go back and do some forensics, though, right? 01:19:05.960 --> 01:19:09.240 You're gonna have all that added, you know the stories, right? 01:19:09.240 --> 01:19:12.280 Ones that have been successful, you know the stories of ones that have been unsuccessful, 01:19:12.280 --> 01:19:17.400 and you start mining those with those specific topics in mind, right? 01:19:17.400 --> 01:19:20.640 What things can Denton do? 01:19:20.640 --> 01:19:25.200 What is making Denton attractive when you exploit those things, right? 01:19:25.200 --> 01:19:29.200 Based on the successful companies or whoever you want here, 01:19:29.200 --> 01:19:33.280 you'll be able to tell that through your data, so just encourage, 01:19:33.280 --> 01:19:40.840 continue to look through the data and help us to inform our decisions with that history. 01:19:40.840 --> 01:19:45.280 >> To build on top of that, you can just use Western Boulevard as one example. 01:19:45.280 --> 01:19:51.120 Just look at, the city spent the money to put one road in, and a water line, 01:19:51.120 --> 01:19:56.240 and there's an existing sewer, and you just say what was the investment of that road, 01:19:56.240 --> 01:20:01.520 and that water line, and then look at then the amount of improvements that, 01:20:01.520 --> 01:20:05.800 if I was presenting to the city council asking for a sewer line extension, 01:20:05.800 --> 01:20:10.320 I would just say, okay, we spent this many dollars on a road, 01:20:10.320 --> 01:20:14.720 and half of a road, not even the old road, half of a road, and a water line, 01:20:14.720 --> 01:20:19.280 and look at how many thousands of square feet, maybe millions of square feet, 01:20:19.280 --> 01:20:23.960 I know it's millions of square feet that we got by making that investment. 01:20:23.960 --> 01:20:27.880 So that shows if we just get a little bit ahead of it and get enough, 01:20:27.880 --> 01:20:31.400 that it can have a large return on a number of jobs. 01:20:31.400 --> 01:20:34.000 That may be a good, what do you know? 01:20:34.000 --> 01:20:36.840 >> You can go spend a fair amount of money on that road as well. 01:20:36.840 --> 01:20:37.400 >> On the other half. 01:20:37.400 --> 01:20:42.440 >> Yes, we did. 01:20:42.440 --> 01:20:44.080 >> That's right. 01:20:44.080 --> 01:20:46.760 >> Well, thank you for all your wisdom and advice. 01:20:46.760 --> 01:20:49.760 This is helpful for us because we do need your help. 01:20:49.760 --> 01:20:51.480 We often want to call you. 01:20:51.480 --> 01:20:52.800 We call you a lot, actually. 01:20:52.800 --> 01:20:55.200 We call a lot of our board members, so thank you so much. 01:20:55.200 --> 01:20:59.840 I know we have our TURS 2 meeting at 1237 minutes, so I'll let you take a break. 01:20:59.840 --> 01:21:02.680 But, oh, how's everything going? 01:21:02.680 --> 01:21:06.600 >> Oh, I think our last item is just future agenda topics. 01:21:06.600 --> 01:21:10.040 This slide is a little different than what we're going to mention. 01:21:10.040 --> 01:21:11.240 There's a few things. 01:21:11.240 --> 01:21:15.680 So for the June item, we have the water infrastructure item coming back. 01:21:15.680 --> 01:21:20.320 A couple placeholders for additional incentives will be brought forward. 01:21:20.320 --> 01:21:24.160 If we can get them through the additional due diligence staff is doing. 01:21:24.160 --> 01:21:28.960 The update on the RFI or the RFQ that Brittany mentioned previously. 01:21:28.960 --> 01:21:33.400 And another item for June that's not listed that I wanted to call to your attention is 01:21:33.400 --> 01:21:38.920 that in a prior meeting, we had a work session on rolling over incentives, expiring incentives 01:21:38.920 --> 01:21:42.440 from the Catalyst Fund, from the general fund to the Catalyst Fund. 01:21:42.440 --> 01:21:47.880 We held the work session with city council last week, and they provided a recommendation 01:21:47.880 --> 01:21:48.880 to move forward with that. 01:21:48.880 --> 01:21:52.320 So we're working on drafting that ordinance, and at one of the upcoming meetings, we'll 01:21:52.320 --> 01:21:56.520 bring that forward for a vote of individual consideration and then council adoption. 01:21:56.520 --> 01:22:02.240 So where we landed from your feedback is to recommend that the incentives be evaluated 01:22:02.240 --> 01:22:06.800 annually through the budget process to roll the entire expiring incentive or a portion 01:22:06.800 --> 01:22:07.800 of it. 01:22:07.800 --> 01:22:13.520 So giving that conversation for council to have annually and elect to move those over. 01:22:13.520 --> 01:22:20.280 And the estimated growth for that fund is about $9 million over the next nine years. 01:22:20.280 --> 01:22:25.120 A date on the utility department for my chain room. 01:22:25.120 --> 01:22:29.600 Yes, I checked in with Tony Puente, the general manager, he's going to provide me a date of 01:22:29.600 --> 01:22:33.080 when they can follow back up on the commercial deposits for utility accounts. 01:22:33.080 --> 01:22:37.080 So yes, they have it in queue, they were doing their study and I believe he should be able 01:22:37.080 --> 01:22:40.080 to come in July or August. 01:22:40.080 --> 01:22:44.080 Is there any other concluding items for this meeting? 01:22:44.080 --> 01:22:49.080 I do not need a motion to adjourn the meeting, correct? 01:22:49.080 --> 01:22:50.080 I do not. 01:22:50.080 --> 01:22:51.080 We do not. 01:22:51.080 --> 01:22:52.080 All right. 01:22:52.080 --> 01:23:07.440 With that, we can close until our 1230, and I'll see you all back here at 1230. 01:23:07.440 --> 01:23:22.460 Thank you very much.