Public Facilities Municipal Property Corporation

MINUTES OF THE BOARD OF DIRECTORS OF THE TOWN OF GILBERT, ARIZONA PUBLIC FACILITIES MUNICIPAL PROPERTY CORPORATION, ANNUAL MEETING, WEDNESDAY, FEBRUARY 5, 5:00 P.M., GILBERT MUNICIPAL CENTER, CONFERENCE ROOM 233, 50 EAST CIVIC CENTER DRIVE, GILBERT, ARIZONA MEMBERS PRESENT: Vice President Steve Bentz, Director Shane Cook, Director Roy Schmidt, Director Timothy Smith, Director Ken Stark MEMBERS ABSENT: None COUNCIL LIAISON: Councilmember Jared Taylor (absent) TOWN STAFF PRESENT: Kelly Pfost, Management and Budget Director Håkon Johanson, Finance and Management Services Director Patti Hageman, Management and Budget Specialist OTHERS PRESENT: None CALL TO ORDER Vice President Steve Bentz called the meeting to order at 5:07 p.m. OATHS OF OFFICE Management and Budget Director Kelly Pfost gave the Oath of Office to new board members, Shane Cook and Ken Stark. ROLL CALL Management and Budget Specialist Patti Hageman called roll and declared a quorum was present. COMMUNICATIONS FROM CITIZENS None received. AGENDA ITEMS 1. ELECTION – nomination and election of officers for 2020. Roy Schmidt was nominated as President. A MOTION was made by Director Tim Smith seconded by Vice President Steve Bentz for the above nomination. Motion carried 5 - 0 Shane Cook was the nominated as Vice President.  Public Facilities Municipal Property Corporation February 5, 2020 Page 2 of 4 A MOTION was made by Director Steve Bentz seconded by President Roy Schmidt for the above nomination. Motion carried 5 - 0 Ken Starks was nominated as the Secretary-Treasurer. A MOTION was made by Director Tim Smith seconded by Director Steve Bentz for the above nomination. Motion carried 5 – 0 For the benefit of the new members, Management and Budget Director Pfost gave a quick overview of the purpose and function of the Public Facilities Municipal Property Corporation (PFMPC). Pfost stated that the Town usually issues bonds via two methods. The bond request can be put on the ballot for voter approval or brought to the PFMPC Board, which is made up of volunteer citizens acting on behalf of the town as a whole. If the request is brought to PFMPC, Town staff gives a business case for the bond, and the board decides whether to approve. If approved, the PFMPC owns the asset of whatever is built, and the Town makes rent payments to the municipal property corporation for the life of the bond. Once the bond is paid in full, the ownership of the asset transfers to the Town. Ultimately, it is a way to finance needed infrastructure or larger projects that the Town cannot cash fund. Per the request of Secretary-Treasurer Ken Stark, meeting attendees took a moment to introduce themselves to each other. Secretary-Treasurer Ken Starks asked if there were any items on the horizon. Management and Budget Director Pfost stated there is a financial retreat with Council scheduled for February 27, 2020 where those topics will be discussed. The meeting is open to the public, and Pfost encouraged the board members to attend. 2. MINUTES – approval of the minutes of the meeting of January 15, 2019. A MOTION was made by Director Steve Bentz seconded by Director Tim Smith to approve the minutes of the meeting of January 15, 2019 as written. Motion carried 5-0 3. ANNUAL REPORT– approval of the annual financial report Finance and Management Services Director Håkon Johanson briefly reviewed the financial report. Typically, the board is given the annual financials, which is required by law, and the first six-months of the next fiscal year to provide additional information. However, as it was the first year using a new accounting software system, the Town is only providing the annual financials for this meeting. A year from now, the board will be provided both sets of financials once again. For now, an annual financial statement dated June 30, 2019 was included in the packet. The Statement of Revenues, Expenses, and Changes in Net Position, which is equivalent to an income statement for the fiscal year, shows the Corporation’s revenues and expenses, and allows one to see the data for the Corporation in total. At the end of the financial statement, there is a report showing the individual issuances and their activity separate from the corporation as a whole.  Public Facilities Municipal Property Corporation February 5, 2020 Page 3 of 4 A MOTION was made by Director Steve Bentz seconded by President Roy Schmidt to approve annual financial report as written. Motion carried 5 - 0 FUTURE AGENDA ITEMS/MEETINGS 4. Identify future agenda items. None received. COMMUNICATIONS 5. From the PRESIDENT on current events. None received. 6. From the BOARDMEMBERS on current events. None received. 7. From the COUNCIL LIAISON on current events. None received. 8. From the STAFF on current events. None received. ADJOURN A MOTION was made by President Roy Schmidt seconded by Director Tim Smith to adjourn the meeting. Motion carried 5 - 0 The meeting was adjourned at 5:49 p.m. ATTEST: Roy Schmidt, President Ken Starks, Secretary-Treasurer  Public Facilities Municipal Property Corporation February 5, 2020 Page 4 of 4 CERTIFICATION I, hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Annual Meeting of the Town of Gilbert, Arizona Public Facilities Municipal Property Corporation held on February 5, 2020. I further certify that the meeting was duly called and held and that a quorum was present. Dated this day of , . Ken Starks, Secretary-Treasurer