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March 15, 2010

AEDC board approves two performance agreements

Lauren Ricks The Athens Review

ATHENS — The Athens Economic Development Corporation Board of Directors approved two performance agreements on Thursday.

The proposed agreements with Abby Development and the Athens Jet Center are very similar, said AEDC President/CEO Brian Malone.

He said the agreement with Abby Development provides a maximum incentive of $75,000 for infrastructure.

“It will be a 4-year declining loan. Each year they meet the parameters of the agreement, they will get a 25-percent credit.” Malone said. “It will have a zero balance after four years.”

He said the Athens Jet incentive agreement provides a maximum incentive of $40,000, also for infrastructure. Malone said the incentive will also be a forgivable loan. Both companies are required under the agreements to obtain a certificate-of-occupancy to receive payment.

Malone also presented an update on the AEDC’s finances and marketing efforts to the board.

“Everything is pretty much on track,” he said. “Everything is where it should be.”

Malone said sales tax revenue has been strong for the first five months. According to the budget report, the AEDC received $462,846 from sales tax receipts for the fiscal year through February.

He said the AEDC has $1,295,756 in total cash. The report did not include incentive payments to Maximus which were processed in March.

Malone said AEDC staff are working on several projects to market Athens to businesses looking to re-locate. He said projects being worked on include an advertisement in the Dallas Business Journal, working on an on-line newsletter and developing a master list for an e-mail campaign with I-20 Corridor.

“We are developing a distribution list,” Malone said. “It will be broad once we get done.”

The board also:

• heard a presentation from Joey Grisham with Retail Attractions. The board is considering a proposal from Malone to use a consulting firm to develop a retail strategy. It has heard presentations from The Retail Coach and Buxton at last month’s meeting;

• approved an audit conducted by Smith Lambright & Associates, P.C. The board also approved the audit invoice of $3,500 in the same motion.

“Our audit did not find any problems. The records were well-kept,” Smith Lambright Co-owner and CEO Marlin R. Smith, CPA, said.

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