4B Sales Tax Corporation Minutes - 02/04/2019MINUTES OF THE
WICHITA FALLS 4B SALES TAX CORPORATION (4BSTC)
February 4, 2019
PRESENT:
Tony Fidelie, President
§ Members
Glenn Barham, Vice President
§
Rick Hatcher, Secretary -Treasurer
§
Dave Clark
§
Darron Leiker
§
Derik Schneider
§
Councilor Jeff Browning, District 3
§ Mayor and City Council
Bobby Whiteley, Council at Large
§
Jim Dockery, Deputy City Manager
§ City Staff
Paul Menzies, Assistant City Manager
§
R. Kinley Hegglund, Jr., City Attorney
§
Blake Jurecek, Director of Information Technology
§
and Facilities
§
Linda Merrill, Recording Secretary
§
Travis Haggard, V.P., Bus. Retention & Expansion §
Adrine Wike, Director of Research §
Bradley S. Gray, Intern §
ABSENT
Michael Mills
1. Call to Order.
Ll
Chamber of Commerce & Industry
Member
Tony Fidelie called the meeting to order at 3:00 p.m.
2. Approval of Minutes of 11/26/18.
Dave Clark moved, seconded by Rick Hatcher, to approve the minutes. The motion
carried 6-0.
3. Financial Report
Jim Dockery noted the final FY 2018 numbers. The Board generated $4.379 million in
revenue, and expended $3.32 million, leaving a balance of approximately $1.050 million. This
sum, combined with the beginning cash balance of $3.782 million, totals $4.832 million.
However, $1.112 million is encumbered, leaving a $3.720 million unreserved fund balance.
Two months of sales tax receipts have been received for this year; they are running
8.78% ahead of the same two months from last year.
N:\_legal\4A, 4B, DDSC, TIFS\4B Corp\4B Minutes\2019\2019.2.4\Minutes_4B_2019.2.4.doc
WFEDC — Minutes of February 4, 2019
Dave Clark asked the status of 922 Indiana. Mr. Dockery said the project was originally
to be a grocery store/ice cream parlor/soda fountain. The grocery store aspect has since been
discarded, and they are slowly progressing. No 4B funds have been paid toward this project.
4. Public Hearing to consider purchase of Director and Officer insurance
Mr. Fidelie opened the public hearing at 3:03 p.m.
Mr. Dockery noted that Mr. Fidelie had asked that staff look into liability coverage for
the directors and officers. Risk management has done so, and $1 million in coverage would cost
between $1,50043,000 annually, while $5 million coverage would cost between $3,50045,000
per year.
Mr. Hegglund noted that there was a concern that the 4B Board of Directors did not have
the same immunity as does the City of Wichita Falls; there is a greater likelihood of no cap
should there be successful litigation against the Board, resulting in some liability for the
directors. This insurance would serve as a way to limit that liability and encourage people to
serve. Mr. Fidelie clarified that the Board may not enjoy the same immunity, and this is a way to
protect those who choose to serve.
There being no further comments, Mr. Fidelie closed the public hearing at 3:06 p.m.
5. Public Hearing to consider the transfer of ownership of the parking garage located
at 710 Seventh Street in Wichita Falls from Wichita County to the 413STC
Mr. Fidelie opened the public hearing at 3:06 p.m.
Mr. Dockery noted there have been previous discussions regarding acceptance of this
garage. The Board had some questions related to the capital improvement costs and annual
operating costs associated with the facility. He asked Blake Jurecek, Facilities Director, to
research how those needs could be met.
Mr. Jurecek reported on the below estimated figures:
Capital Expenses - One Time — Total: $66,000
Electrical Work with All New LED lighting $55,000
Access Control System $10,000
Breeze Way Closure $1,000
Annual Expenses — Total: $26,920
Cleaning and Trash Service per year $3,200 (twice weekly by City staff)
Utilities $6,000
General Liability at $10 million $17,000
Data Communications to Access Control System $720
Other Possible Expenses — Total: $3,000
Striping $3,000 — there is a possibility this can be done in-house
Elevator Repair $282,500
WFEDC — Minutes of February 4, 2019
Mr. Jurecek noted that if the number of parking spaces is kept to under 100, there are four
disabled parking spaces on the first floor, sufficient for ADA requirements. This would eliminate
the need to repair the elevator.
Mr. Clark asked if Mr. Jurecek be watching out for the building in his capacity as
Facilities Director. Mr. Dockery said there would be a contract between 4B and the City for the
City to provide such services and be reimbursed for its costs.
Mr. Fidelie said there would be minimal revenue from the leased parking spaces to help
defray some of the annual costs.
He noted that he has seen pictures of the renovation at 614 7t' Street, for which the Board
contributed $22,000. It is an amazing renovation, and it is how downtown moved forward one
step at a time. He believes this parking garage transfer is a step in that direction, as well.
There being no further comments, he closed the public hearing at 3:15 p.m.
6. Executive Session
Mr. Fidelie adjourned the meeting into executive session at 3:15 p.m. pursuant to TEXAS
GOVERNMENT CODE sections 551.072 and 551.087. He announced the meeting back into regular
session at 5:15 p.m. The subjects posted in the Notice of Meeting were deliberated, and no votes
or further action was taken on these items in executive session.
7. Consider purchase of Director and Officer insurance
Glenn Barham moved to authorize the purchase of $5 million in Director and Officer
insurance. This motion was seconded by Mr. Clark. Mr. Dockery asked if he would amend his
motion to include a limit of $5,000. Mr. Barham amended his motion to authorize the purchase
of $5 million in Director and Officer insurance at a cost not to exceed $5,000. The amended
motion carried 6-0.
8. Consider the transfer of ownership of the parking garage located at 710 Seventh
Street in Wichita Falls from Wichita County to the 4BSTC
Mr. Fidelie moved to approve the transfer of ownership of the parking garage located at
710 Seventh Street from Wichita County to the 413STC, pending successful negotiation between
legal counsel for the County and for the Corporation. Seconded by Rick Hatcher, the motion
carried 6-0.
9. Adjourn.
The meeting adjourned at 5:17 p.m.
Guy A. "T ' Fidelie, Jr., President