4A Wichita Falls Economic Development Minutes - 09/13/2010MINUTES OF THE
WICHITA FALLS ECONOMIC DEVELOPMENT CORPORATION
September 13, 2010
Present:
Gary Shores, President §
Dick Bundy, Vice President/Sec.- Treasurer §
Dave Lilley § Members
Lanham Lyne §
Gary McLendon §
Linda Ammons
§ City Council
Darron Leiker, City Manager §
Jim Dockery, Assistant City Manager /CFO §
Kevin Hugman, Assistant City Manager § City Staff
Miles Risley, City Attorney §
Linda Merrill, Recording Secretary §
Tim Chase, President § Chamber of Commerce & Industry
Kevin Pearson §
Jay Carter
Matt Carter
1. CALL TO ORDER
§ Carter Aviation
President Gary Shores called the meeting to order at 4:00 p.m.
2. APPROVAL OF MINUTES FROM PRIOR MEETINGS (SEPTEMBER 2, 2010)
Dick Bundy moved seconded by Dave Lilley, that the minutes of September 2 be
approved. The motion carried.
3. SELECTION OF OFFICERS AS NECESSARY
No appointments were necessary.
4. DOWNTOWN WICHITA FALLS PROMOTION (AMENDMENT OF FY 2008 -09
BUDGET
The Downtown Wichita Falls Promotion must be voted on separately from the budget
because it is a promotional expenditure. Mr. Bundy moved for approval of the expenditure of
$50,000 out of the 2008 -09 fiscal year funds for Downtown Wichita Falls promotion. Seconded
by Lanham Lyne, the motion carried.
5. FY 2010 -2011 BUDGET APPROVAL
Mr. Lyne moved for approval of the budget as presented, with modification to include the
monies budgeted for the Downtown Wichita Falls Promotion. Seconded by Mr. Bundy,
motion carried.
PA
6. LOCATION APPROVAL PURSUANT TO CARTER COPTER AIRCRAFT
DEVELOPMENT INCENTIVE PROJECT
Jay Carter discussed options for a new location for his operations. He cannot build
aircraft in his existing facility. Sharp Iron has quoted $2 per sq. ft. for office space, and 60¢ per
sq. ft. for the shop area. It is a fair deal, but it is higher than he would prefer to pay. It is a move -
in ready facility, and such a move would allow him to delay making a decision on a permanent
facility. It is close to Kickapoo Airport, and it is his preference to be at Kickapoo.
Other options include buying an existing facility on five acres at Wichita Valley Airport,
and putting the $250,000 from the 4A Board toward improvements. It would allow for pit testing
and expansion. It would require, however, a couple of months' time to fix it up. The airport may
not be as nice as Kickapoo Airport, but it affords more directions to take off and land. There are
wide open areas to the north and south for flight testing.
He has also received offers from landowners on Rifle Range Road, and from the owner of
the land on which Wichita Valley Airport is located, for build -to -suit facilities on a lease basis.
He gave them his wish list; no quotes have yet been submitted. Tim Chase said he cannot
imagine a build -to -suit that would include a profit margin for the landowner, as it proved to be
cost prohibitive for the 4A Board to do so without a profit margin.
Mr. Carter wants a decision from the 4A Board that would allow him the option to go to
Wichita Valley, or surrounding lands, if that is his ultimate decision. He thanked the Board for
their financial support, without which he would not have been able to stay in Wichita Falls.
Mr. Bundy asked if the move to Wichita Valley would eliminate the need to go to Olney.
Mr. Carter said he would probably go to Olney for the first gyro flight. Once the wings are
installed, even if he were at Kickapoo, he would probably still go to Olney. There is only one
runway at Kickapoo, and there are residents on three sides of the airport. In addition, he would
have only two options to travel — north or south. Olney's airport is wide open.
Mr. Shores asked if he needed a commitment from the Board today. Mr. Carter replied
that he cannot proceed without approval, as the Wichita Valley location is outside the city limits.
Gary McLendon asked if he preferred the Wichita Valley site. Mr. Carter replied that if he could
get a better deal with Sharp Iron, he might prefer that location because it would postpone the
decision as to a permanent location. Mr. Bundy questioned whether the renovations necessary at
Wichita Valley would serve to be a distraction to his business. Mr. Carter said he has an
employee with general contractor experience who would oversee the job.
Mr. Pearson asked if there had been an environmental study done on the Wichita Valley
site, a former site for a trucking company. Mr. Carter said he heard there had been an oil leak,
but did not know what type of environmental study might need to be done. Mr. Bundy stated that
banks would require such studies.
Mr. Chase said the Board needs to make a motion to approve the use of the funds, either
at a list of locations or within general parameters so that Mr. Carter can decide which location
will serve him best. The Performance Agreement currently reads that if the building is outside
the city limits, he has to have 4A Board approval to use the $250,000. Mr. Bundy interpreted the
agreement to allow Carter to locate anywhere within Wichita County, but 4A Board approval
was needed for any location outside the city limits. Mr. Risley concurred, adding that the
agreement would also need to be modified to authorize him to use money to improve space that
is owned by him.
Mr. Shores said the original agreement called for the expenditure of 4A funds in the
amount of $250,000 for improvements to a building purchased by Carter, not for improvements
to a leased facility. If the chosen option is to have a build -to -suit, the 4A funds would not be
available. Mr. Carter said the money could easily be spent on tooling and set -up of the facility.
Mr. Shores noted that the agreement is written for leasehold improvements, and not tooling. The
agreement and motion need to anticipate all options. Mr. Risley said the authorization paragraph
in the Board's agenda is broad enough to accommodate making a change that significant, and
would authorize Gary Shores to execute an amended agreement. Mr. Shores asked if this had to
go back to the City Council for approval. Mr. Risley replied that it did not; the Council has
already approved the program and the expenditure. The 4A Board is the final arbiter on whether
or not to modify the agreement within those parameters.
7. EXECUTIVE SESSION
Darron Leiker said staff had some comments to make, and asked if the Board intended to
discuss this in executive session. President Shores adjourned the meeting into executive session
at 4:52 p.m. pursuant to TEXAS GOVERNMENT CODE § §551.071, 551.072, and 551.087. He
announced the meeting back into regular session at 5:33 p.m. He noted that the subjects posted in
the (Amended) Notice of Meeting were deliberated, and no action was taken on these items in
executive session.
8. ADJOURN
The meeting adjourned at 5:35 p.m.
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