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4A Wichita Falls Economic Development Minutes - 11/20/2025 MINUTES OF THE WICHITA FALLS ECONOMIC DEVELOPMENT CORPORATION NOVEMBER 20, 2025 PRESENT: Leo Lane, President § WFEDC Members David Toogood, Vice President § Brent Hillery § Craig Lewis § Tim Short, Mayor § Mayor & Councilors Mike Battaglino, Councilor, District 4 § Austin Cobb, Councilor-At-Large § Paul Menzies, Assistant City Manager § City Administration Kinley Hegglund, City Attorney § Stephen Calvert, CFO & Finance Director § Tyson Traw, Director of Engineering § Monica Aguon, Deputy City Attorney § Chris Horgen, Public Information Officer § Marie Balthrop, City Clerk/ Recording Sec. § Moriah Williams, CEO § Forward Wichita Falls Vicki Pratt, Partner § Kirk Peterson, Military Team § Glenn Barham, President § WF4BSTC Lynn Walker, Writer § Times Record News Dylan Jimenez, Reporter § KFDX ABSENT § Reno Gustafson, Member § 1. CALL TO ORDER. Mr. Leo Lane called the meeting to order at 2:30 p.m. 2. CONSENT AGENDA. a. Approval of Minutes (October 14, 2025) Mr. Lane opened the floor for comments on the October 14, 2025, minutes. Hearing none, Mr. David Toogood made a motion to approve the minutes as presented. Seconded by Mr. Craig Lewis with no additional comments from the public, the motion carried 4-0. b. Financial Report Mr. Lane noted that recent summaries were helpful in showing where funds are being spent and which projects are underway, and he highlighted that the prior tax year closed WFEDC MINUTES 11/20/2025 PAGE 1 OF 6 approximately 3 percent ahead of projections. Mr. Paul Menzies explained that the high fund balance shown in the report is largely the result of recent land transactions that closed in the past few weeks, combined with the fact that the Corporation has just rolled into a new fiscal year. On the first day of the new fiscal year, all major known expenses—such as payments to Forward Wichita Falls, SMAC, airport debt service, and business park debt service—were posted immediately, while none of the year's anticipated revenue from sales tax collections or interest earnings has yet been recorded. Approximately $6 million in revenue is expected for the year, but is not currently reflected in the available fund balance shown in the report. Mr. Lane further reminded the Board that significant financial activity is anticipated in the coming months, including costs related to a potential new business park, ongoing business recruitment efforts, and major redevelopment initiatives such as the mall project. He emphasized the need for continued caution and careful monitoring of expenditures, given the number of active and upcoming projects. Mr. Brent Hillery made a motion to approve the consent agenda financial report. Seconded by Mr. Craig Lewis, and with no further discussion or public comment, the motion carried 4-0. 3. DISCUSSION AND POSSIBLE ACTION RELATED TO LAND ACQUISITION AT 500 E MCKINLEY ST, WICHITA FALLS,TEXAS 76301. Ms. Vicki Pratt presented the proposal to acquire approximately 121.7 acres at 500 East McKinley, which is currently under option and set to expire on November 25. The tract would be developed into a new aviation-focused industrial park directly adjacent to Sheppard Air Force Base. She explained that recent Department of Defense supply-chain rules now require at least 55% of components to be manufactured in the United States, driving international and domestic aerospace and defense manufacturers to seek U.S. locations near military installations. Wichita Falls' location between major military bases in Texas and Oklahoma, combined with its municipal airport and active Air Force base, gives it a rare competitive advantage. Ms. Pratt noted strong interest from international aviation firms, including Canadian companies that are actively seeking a U.S. presence, particularly in Texas, to remain compliant with DoD procurement requirements. The site is currently undeveloped, requiring significant utility and roadway investment. Although Sheppard AFB receives water and sewer service from the City, the base's infrastructure is capped and cannot support growth. Engineering work by Corlett identified routes that would bring utilities to the industrial park while also expanding the base's future capacity, making the investment beneficial to both the City and the military installation. Estimated costs include approximately $2.44 million for the land, $1.49 million to complete engineering for utilities and roads, $4.35 million for construction of water and sewer infrastructure, and $5.4 million to build the access road from East McKinley to the base fence line. An additional $5 million would be required on the airport side to extend a road from the fence line to a paved runway area. However, Pratt emphasized that the City does not need to build all infrastructure immediately; purchasing the land and completing the engineering — about $3.92 million —would create a fully "market- ready" site with defined costs and timelines for prospective tenants. Ms. Pratt also stressed the importance of emergency and runway access. Currently, Sheppard does not have outside road access to the south end of its runways, which is where aircraft incidents are most likely to occur. The proposed road would give emergency responders a direct route to that area and create a future controlled gate for manufacturers that need runway access. Base leadership has expressed strong support for this improvement, citing safety and response-time benefits. Economically, Ms. Pratt projected that the park could support at least 250 direct manufacturing jobs, with a 3-to-1 multiplier, resulting in approximately 750 additional jobs in the community. Even at a conservative land resale value of $30,000 per acre, the site would WFEDC MINUTES 11/20/2025 PAGE 2 OF 6 generate roughly$2.4 million, while also positioning Wichita Falls for long-term aerospace growth tied to defense and aviation manufacturing. Mr. Kirk Peterson highlighted how the arrival of the T-7 Red Hawk aircraft at Sheppard Air Force Base makes the McKinley site especially timely and valuable. The U.S. Air Force has ordered 350 aircraft, with approximately 120 planned for Wichita Falls by around 2030, making it the largest T-7 fleet in the world. Boeing and Saab, the manufacturers, are contractually required to provide three years of sustainment and maintenance support, which will rely heavily on Tier-2 and Tier-3 suppliers. Mr. Peterson explained that these companies will soon begin determining where their subcontractors and maintenance partners will be located, creating a prime opportunity for Wichita Falls to capture that investment. Mr. Peterson has already begun outreach to both Boeing and Saab, including Boeing's Texas representative, who expressed a strong interest in having a Boeing presence in Wichita Falls. He noted that suppliers are especially attracted to being located right next to the base because Sheppard's Logistics Readiness Squadron allows vendors to deliver parts directly into the Department of Defense supply system—once parts cross the gate,they are officially delivered to the Air Force. This creates a powerful logistical and contractual advantage that very few communities can offer. He also emphasized that Wichita Falls' opportunity extends beyond the T-7 program.With Tinker Air Force Base in Oklahoma City—the largest aircraft depot in the world—nearby, Wichita Falls is well positioned to attract vendors that support aircraft sustainment and overhaul operations across the region. Many Canadian and international suppliers, pressured by tariffs and U.S. sourcing rules, are actively seeking locations in the U.S., and Wichita Falls offers quicker access to DFW Airport, strong transportation links, and direct proximity to military customers. Mr. Peterson concluded that the community must act now, securing land and infrastructure before opportunities pass, comparing the situation to having a "perfect shot lined up" and needing to be ready to take it. Ms. Moriah Williams presented a retrospective analysis of Wichita Falls'first business park to quantify its financial return,job creation, and economic impact since its acquisition in 2004.The park was originally purchased as a 525-acre tract and, after two decades of gradual development, is now essentially sold out. As of late 2025, all but approximately 18 acres remain, with the final 130 acres currently under contract and expected to close within about eight months. While absorption took many years, Ms. Williams noted that activity accelerated dramatically over the past three years as the park "flew off the shelf," validating the City's long-term development strategy. The park's first major tenant was Old Dominion Freight Line in 2008, which purchased nearly 7 acres for$150,000 and committed to creating 6 jobs—though today that facility employs an estimated 30 to 40 people. FedEx followed with an 8.2-acre purchase for $164,000, investing $17 million in capital improvements and promising 30 jobs; today, that facility supports at least 100 employees. Recognizing that the park would not reach its potential without infrastructure, the City and its partners later made targeted investments in roads and access—including Midwestern Parkway and Hammond Road—which became the turning point for growth. One of the first major incentive-based deals was Winfield Solutions, which raised questions at the time about the cost-to-return ratio. However, the company has remained in full compliance and exceeded its commitments, growing from an eight-job promise to approximately 20 employees. Amazon then purchased land at $72,000 per acre without requesting incentives and is now operational, bringing major distribution activity to the park. Syntrio also acquired land, not to create jobs directly, but to build a fiber hub, dramatically increasing redundancy and broadband capacity—an investment that significantly increased the overall value and competitiveness of the entire park. Finally, Skybox Texas Data Center LLC closed on 217 acres WFEDC MINUTES 11/20/2025 PAGE 3 OF 6 and now holds the remaining acreage under option, marking the largest single investment in the park's history. From a financial perspective, Ms. Williams reported that the park has generated approximately $26.5 million in land sale revenue. The City and its partners invested about$1.175 million initially, followed by another$9.8 million in infrastructure and land improvements, for a total public investment of roughly $11 million. Even after accounting for contingencies, the park has produced an estimated $14 million net profit purely in land and infrastructure returns—before even considering jobs, tax base, or private investment. On the employment side, the park has directly created approximately 425 jobs, which, using a conservative 3-to-1 multiplier, translates into well over 1,200 total jobs supported in the local economy. In addition, tenant capital expenditures across the park total approximately $14 billion, led by major facilities such as Skybox's data center. Ms. Williams concluded that the first business park is a clear demonstration that Wichita Falls' long-term, infrastructure-first economic development strategy works. What began as a slow- burn project ultimately became a major driver of jobs, private investment, and municipal profit, providing a powerful model for evaluating new opportunities—such as the proposed East McKinley industrial park—through the same lens of patience, planning, and long-term return. Mr. Lane then opened the floor for discussion. Mr. Hillery first asked whether the proposed aviation park was inside the city limits and how many businesses the approximately 120-acre site might support. Ms. Williams and Ms. Pratt clarified that the property is not yet annexed and that tenant size will vary widely, with some aviation manufacturers typically occupying 15-20 acres, meaning the site could support anywhere from one large user to several mid-sized companies. Mr. Hillery also asked whether additional land would be available for future expansion, and Mr. Lewis confirmed with Ms. Pratt that the same landowner controls an additional 250 acres across the road, while other parcels nearby are owned by different parties. Mr. Lewis then questioned whether the reference to 80 acres of sellable land meant a single company was already seeking that amount. Ms. Williams clarified that this figure was simply a conservative planning estimate after accounting for roads and drainage, not an indication of a committed buyer. Mr. Lewis also asked whether extending utilities to the edge of Sheppard Air Force Base could allow the City to recover costs if the base later needed that infrastructure. Mr. Peterson responded that the base is facing a future space and infrastructure crunch due to the incoming T-7 aircraft, but has not yet determined exactly what it will need or where it will build, so no reimbursement assumptions can be made at this time. Mr. Toogood asked how the cost of developing this 120-plus-acre site compared with that of developing a similar-sized industrial tract elsewhere in Wichita Falls. Ms. Pratt explained that the primary cost driver is extending utilities, and while a parcel with existing utilities would be cheaper, this site provides the added benefit of also enabling future growth at Sheppard Air Force Base, making it a dual-purpose infrastructure investment. Mr. Hillery also asked whether the land was flat and suitable for construction, and Ms. Pratt confirmed that the property has been surveyed and topographically evaluated and is easily buildable with minimal earthwork required. Throughout the discussion, Mr. Lane provided clarifications about the purpose of the item, confirming that the Board was being asked to consider whether to proceed with the land option, which had been extended for 60 days at no cost to allow further evaluation. Mr. Lane and Ms. Pratt both emphasized the City's history of patient, long-term industrial investment and agreed that securing control of the land now would preserve the opportunity while detailed planning and negotiations continue. The Board agreed to move into executive session to discuss the matter further before returning for any formal action. WFEDC MINUTES 11/20/2025 PAGE 4 OF 6 4. DISCUSSION AND POSSIBLE ACTION RELATED TO LOAN PAYBACK TO THE WICHITA FALLS 4B SALES TAX CORPORATION IN THE AMOUNT OF$3,500,000. The Board considered a proposal to repay the Wichita Falls 4B Sales Tax Corporation a $3.5 million loan that had been issued during the Sikes Center Mall transaction. Moriah Williams explained that the 4B loan was originally structured as part of the financing package to provide the required down payment and match for the mall acquisition. Now that the project has stabilized, staff is recommending that the full $3.5 million be repaid so the funds can be returned to 4B's balance sheet, eliminating the outstanding obligation and giving the corporation the flexibility to reinvest those dollars into new projects rather than leaving them tied up in a long-term receivable. Board members expressed support for the early repayment. Mr. Glenn Barham noted that the proposal was a welcome surprise, as the Board had not expected to be repaid this soon, and emphasized that 4B currently has limited available funding—approximately $2.5 million—while facing a pipeline of potential projects totaling an estimated $25 to $30 million over the next few years. He stated that having the $3.5 million returned would significantly strengthen the corporation's ability to respond to those upcoming requests. MOTION After confirming there were no further comments or public input, Mr. Tooqood made a motion to repay the $3.5 million loan to the 4B Sales Tax Corporation. Seconded by Mr. Lewis, the motion carried 4-0. 5. DISCUSSION AND POSSIBLE ACTION RELATED TO A FUNDING REQUEST FROM THE CITY OF WICHITA FALLS RELATED TO THE EXTENSION OF SOUTH WENONAH BLVD. Mr. Menzies presented a funding request on behalf of the City to support the completion of the South Wenonah Boulevard extension, a roadway project that has been part of the City's long-term development plans for approximately 20 years, dating back to the creation of Tax Increment Financing (TIF) District No. 2. TIF 2 was originally established to stimulate growth in the Lawrence Road corridor and has exceeded financial expectations while also completing major infrastructure projects, including improvements along Maplewood and drainage upgrades. Four years ago, the TIF Board committed all remaining funds to the construction of South Wenonah, which is intended to function as a truck-relief route from Lawrence Road and to unlock new commercial and retail development opportunities along the corridor, particularly in areas near the Wichita Energy Building and the Tarry and Gregory street connections. Approximately two years ago,the WinCo development accelerated the project timeline, resulting in roughly$1 million of TIF funds being allocated to build the northern portion of the roadway, which now represents about 35-40 percent of the total corridor. The remaining segment, extending south to Maplewood, was bid as a base segment and an alternate due to concerns that the remaining $3 million in TIF funds would not be sufficient to complete the full project. However, when bids were opened the prior week, the City received a highly competitive bid of approximately $3.7 million to construct the entire remaining section, significantly lower than the engineer's estimate of $4.5 to $5 million, leaving a funding gap of roughly $700,000. Because TIF 2 expires on December 31 and all funds must be awarded before that date, the City is requesting that the Wichita Falls 4A Sales Tax Corporation partner with the City to cover the remaining gap so the full South Wenonah corridor can be awarded next month and proceed into construction without stopping short of Maplewood, thereby maximizing both the infrastructure investment and its economic development potential. Mr. Menzies then opened the floor for questions. Mr. Lewis first asked why the funding request was being brought to the 4A Corporation rather than the 4B. Mr. Menzies explained that the project qualifies as a 4A request because South Wenonah is primarily a commercial roadway designed to stimulate business and retail development, similar in purpose to Production WFEDC MINUTES 11/20/2025 PAGE 5 OF 6 Boulevard, by opening up significant new areas for private investment. Mr. Toogood then asked which specific properties would benefit from the extension, and Mr. Menzies pointed to several large tracts along the corridor, including the Wichita Energy property, vacant land near the former Standard beer distributorship, and multiple undeveloped parcels on both sides of the road that could be redeveloped if owners choose to sell. Mr. Lewis clarified that the City originally planned to stop construction at the red-line demarcation shown on the map, which could be fully funded with the remaining TIF dollars, and Mr. Menzies confirmed that without additional funding, the project would indeed end there, meaning the requested 4A participation would allow the roadway to be extended all the way to Maplewood. Ms. Williams added that recent recoveries of economic-development funds had strengthened the Board's overall financial position, noting that approximately $1.1 million was returned from the Production Boulevard project due to cost savings, and an additional $367,000 was recovered from a non-compliant company that was required to repay incentives it had received, giving the Board more flexibility to apply funds to priority projects. Questions were also raised about land ownership, with Ms. Williams explaining that the property south of the Standard tract is part of the Quail Creek development, including Academy and the surrounding strip malls. Mr. Lewis asked whether those landowners had been approached about participating financially in the project since their property would benefit from the improved access, and Mr. Menzies stated they had not yet been approached. Board members also discussed the tight timing constraints, emphasizing that the TIF funds must be awarded by the end of the calendar year, which creates urgency for securing any additional funding. Mr. Tyson Traw, the City's engineering director, explained that the project involves more than just paving the road, noting that significant portions of the budget are dedicated to drainage and utility infrastructure, which are necessary to make the adjacent properties developable and to support future commercial activity, particularly for large landowners such as Standard, whose operations generate sales tax for the City. The discussion concluded with acknowledgment of the time-sensitive nature of the request and the potential for further deliberation in executive session. 6. EXECUTIVE SESSION. Mr. Lane adjourned the meeting into executive session at 3:19 p.m. pursuant to Texas Government Code §§§§ 551.072, 551.087, 551.071, and 551.074. He announced the meeting back into regular session at 4:18 p.m. The subjects posted in the Notice of Meeting were deliberated, and no votes or further actions were taken on the items in executive session. MOTIONS 500 E MCKINLEY ST. No action taken. SOUTH WENONAH BLVD. EXTENSION Mr. Lewis made a motion to approve funding up to $350,000 to the City of Wichita Falls for the extension of South Wenonah Blvd. Seconded by Mr. Hillery and with no further comment or public input, the motion carried 3-1, with Mr. Toogood voting no. 7. ADJOURNED. Mr. Lane asked if the public had any questions or comments. Since there were none, he adjourned the meeting at 4:20 p.m. /7/ Leo Lane, President WF Economic Development Corporation WFEDC MINUTES 11/20/2025 PAGE 6 OF 6