2012-06-11 DEVELOPMENT AUTHORITY OF PEARLAND SPECIAL MEETING MINUTES MINUTES OF A SPECIAL MEETING OF THE DEVELOPMENT AUTHORITY OF
PEARLAND, CITY OF PEARLAND TEXAS, HELD ON MONDAY, JUNE 11, 2012, 5:00
P.M., IN THE FIRST FLOOR CONFERENCE ROOM AT PEARLAND CITY HALL, 3519
LIBERTY DRIVE, PEARLAND, TEXAS.
Bill Sloan called the meeting to order at 5:01 p.m. with the following present:
Secretary Ed Baker
Boardmember Bill Sloan
Boardmember Tom Pool
Boardmember Anthony Carbone
Absent: Chairman Tom Reid
Others in attendance: Bill Eisen City of Pearland City Manager; Claire Bogard City of
Pearland Finance Director; Rick Overgaard City of Pearland Assistant Finance Director;
Young Lorfing City of Pearland City Secretary; Maria E. Rodriguez City of Pearland Deputy
City Secretary; Ryan O'Hara BOSC Inc.; Frank Ildebrando BOSC Inc.,; Sue Darcy Marsh
Darcy Partners, Inc.; Lynne Humphries Allen Boone Humphries Robinson; Trey Lary Allen
Boone Humphries Robinson; Susan Hostetler Allen Boone Humphries; Drew Peltzer
Shadow Creek Ranch; Gary Cook Shadow Creek Ranch.
NEW BUSINESS:
BOARD ACTION—APPROVAL OF THE DEVELOPMENT AUTHORITY OF PEARLAND
BOARD OF DIRECTORS MEETING MINUTES FOR APRIL 23, 2012, SPECIAL MEETING
HELD AT 4:00 P.M. DAP Board of Directors.
Boardmember Carbone made the motion, seconded by Boardmember Baker, to approve
the minutes as presented on the agenda.
Voting "Aye" Boardmembers Baker, Sloan, Pool and Carbone.
Voting "No" None.
Motion Passed 4 to 0, with Chairman Tom Reid absent.
BOARD ACTION - RESOLUTION NO. RDAP-2012-14 — A RESOLUTION OF THE
DEVELOPMENT AUTHORITY OF PEARLAND (DAP), RATIFYING CHECK 1091.
Ms. Claire Bogard, Finance Director.
Claire Bogard, Finance Director, stated that the Board last approved checks on April 16,
2012. Since that last meeting, the invoice committee reviewed and approved one invoice
for payment totaling $98.95. The invoice was reviewed for services rendered, and
subsequent check was approved by Boardmember Reid and Boardmember Baker.
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Boardmember Pool made the motion, seconded by Boardmember Carbone, to approve
Resolution No. RDAP-2012-14.
Voting "Aye" Boardmembers Baker, Sloan, Pool and Carbone.
Voting "No" None.
Motion Passed 4 to 0, with Chairman Tom Reid Absent.
BOARD ACTION — RESOLUTION NO. RDAP-2012-11 — A RESOLUTION OF THE
DEVELOPMENT AUTHORITY OF PEARLAND(DAP),TEXAS APPROVING A CONTRACT
WITH ARBITRAGE COMPLIANCE SPECIALISTS, INC. FOR ARBITRAGE COMPLIANCE
SERVICES. Ms. Claire Bogard, Finance Director.
Boardmember Baker made the motion, seconded by Boardmember Pool, to approve
Resolution No. RDAP-2012-11.
Claire Bogard, Finance Director stated that this contract is looked at every year. The City
contracts the vendor, Arbitrage Compliance Specialists, Inc., to calculate the arbitrage on
the bonds. She stated although the Development Authority has refunded all bonds issued
prior to 2012, the bonds are still outstanding for arbitrage purposes until the final call dates
The total amount of the contract, is not to exceed, $6,160.00 for the next contract for the
next Fiscal Year 2013. She stated the rates are consistent with the rate in the past.
Voting "Aye" Boardmembers Baker, Sloan, Pool, and Carbone.
Voting "No" None.
Motion Passed 4 to 0, with Chairman Tom Reid absent.
BOARD ACTION — RESOLUTION NO. RDAP-2012-12 — A RESOLUTION OF THE
DEVELOPMENT AUTHORITY OF PEARLAND (DAP), TEXAS APPROVING A
DEVELOPER REIMBURSEMENT TO SHADOW CREEK RANCH DEVELOPMENT
COMPANY LTD TO REIMBURSE FOR TIRZ INFRASTRUCTURE IMPROVEMENTS IN
THE AMOUNT OF $5,100,000. Ms. Claire Bogard, Finance Director.
Claire Bogard, Finance Director stated the Development Authority of Pearland just
refunded outstanding debt for Series 2012. Included in that Series 2012, was$3.2 million
in new monies. At that point, and time the Resolution did not include making the
reimbursement to the developer. It is presented today for consideration and approval of
cash payment to Shadow Creek Ranch Development Company LTD in the amount of
$3,250,000 in new monies and $1.8 million in cash. She stated there are$4.2 million cash
currently available. The bonds that closed in May required a contribution to the refunding
of almost $1.4 million. The reserve requirements for debt service go away with the
refunding. That would leave the City without cash on hand, if for some reason, the values
would drop, or an unforeseen situation should occur. It is her recommendation along with
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the City's financial advisors that the City retain $1 million dollars cash on hand. Which
would leave 1.8 million available for cash reimbursement and $3.2 million from the bonds,
totaling the $5.1 million that would be available to reimburse the developer. This item is
also set for City Council action tonight.
Discussion ensued between Boardmember Pool, Bill Eisen, City Manager and Claire
Bogard, Finance Director regarding debt service and reimbursement of new bonds.
Boardmember Carbone made the motion, seconded by Boardmember Pool, to approve
Resolution No. RDAP-2012-12.
Voting "Aye" Boardmembers Baker, Sloan, Pool and Carbone.
Voting "No" None.
Motion Passed 4 to 0, with Chairman Tom Reid absent.
BOARD ACTION — RESOLUTION NO. RDAP-2012-13 — A RESOLUTION OF THE
DEVELOPMENT AUTHORITY OF PEARLAND (DAP), ACCEPTING THE FINANCIAL
REPORT FOR THE PERIOD ENDING APRIL 30, 2012. Ms. Claire Bogard, Finance
Director.
Claire Bogard, Finance Director, stated these are the financials through April 2012, prior to
the bond refunding which closed in May 2012. The total assets and liabilities are
$4,223.000. Today assets are $6 million once the $5 million reimbursement is made the
$1 million will be set aside. Ms. Bogard continued and gave a brief overview of the
Balance Sheet and the Schedule of Revenues and Expenditures for the month ended April
30, 2012.
Boardmember Pool made the motion, seconded by Boardmember Baker, to approve
Resolution No. RDAP-2012-13.
Voting "Aye" Boardmembers Baker, Sloan, Pool ,and Carbone.
Voting "No" None.
Motion Passed 4 to 0, with Chairman Tom Reid absent.
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ADJOURNMENT
Meeting was adjourned at 5:21 p.m.
Minutes approved as submitted and/or corrected this the 17th day of September, A.D.,
2012.
Tom Reid
Chair
ATTEST:
fie /bate,
Ed Baker
Secretary
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