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03-27-13 LPRDA/TIRZ
NOTICE OF MEETING OF LA PORTE REDEVELOPMENT AUTHORITY Notice is hereby given of the meeting of the La Porte Redevelopment Authority to be held Wednesday, March 27, 2013 at 6:30 p.m. in the Council Chambers of City Hall, 604 West Fairmont Parkway, La Porte, Texas, for the purpose of considering the following agenda items: 1. Call to order — Lindsey Pfeiffer, President; 2. Consider approval of the minutes of Board of Directors meeting held on February 6, 2013; 3. Consider FY 2012 Redevelopment Authority audit; 4. Receive report from city, staff and developers with regard to development within the boundaries of the tax increment reinvestment zone; 5. Consider approval or other action with regard to authority invoices; 6. Board member comments; a. Matters appearing on agenda; b. Inquiry of staff regarding specific factual information or existing policy 7. Adjournment. In compliance with the American Disabilities Act, the City of La Porte City will provide for reasonable accommodations for persons attending public meetings. To better serve attendees, requests should be received 24 hours prior to the meetings. Please contact Patrice Fogarty, City Secretary, at 281-470-5019 or TDD 281-471-5030. A possible quorum of city council members may be present at this meeting and participate in discussions but will take no action. David W. Hawes Executive Director NOTICE OF MEETING OF LA PORTE TAX INCREMENT REINVESTMENT ZONE Notice is hereby given of the meeting of the La Porte Tax Increment Reinvestment Zone to be held Wednesday, March 27, 2013 at 6:30 p.m. in the Council Chambers of City Hall, 604 West Fairmont Parkway, La Porte, Texas, for the purpose of considering the following agenda items: 1. Call to order — Lindsay Pfeiffer, President 2. Consider approval of the minutes of Board of Directors meeting held on February 6, 2013; 3. Consent agenda — any item may be removed by a board member for discussion • Entertain motion and a second to approve the TIRZ items in the same form and manner as was approved in the previous Redevelopment Authority meeting — Lindsey Pfeiffer, Chairperson a. Consider FY 2012 Redevelopment Authority audit; b. Receive report from city, staff and developers with regard to development within the boundaries of the tax increment reinvestment zone; c. Consider approval or other action with regard to authority invoices; d. Board member comments with regard to matters appearing on agenda and inquiry of staff regarding specific factual information or existing policy; e. Adjournment. In compliance with the American Disabilities Act, the City of La Porte City will provide for reasonable accommodations for persons attending public meetings. To better serve attendees, requests should be received 24 hours prior to the meetings. Please contact Patrice Fogarty, City secretary, at 281-470-5019 or TDD 281-471-5030. A possible quorum of city council members may be present at this meeting and participate in discussions but will take no action. David W. Hawes Executive Director Agendas and Agenda Materials MeetingsBoards La Porte Redevelopment Authority March 7, 1 NOTICE OF MEETING OF LA PORTE REDEVELOPMENT AUTHORITY Notice is hereby given of the meeting of the La Porte Redevelopment Authority to be held Wednesday, March 27, 2013 at 6:30 p.m. in the Council Chambers of City Hall, 604 West Fairmont Parkway, La Porte, Texas, for the purpose of considering the following agenda items: 1. Call to order — Lindsey Pfeiffer, President; 2_ Consider approval of the minutes of Board of Directors meeting held on February 6, 2013; 3. Consider FY 2012 Redevelopment Authority audit; 4. Receive report from city, staff and developers with regard to development within the boundaries of the tax increment reinvestment zone; 5. Consider approval or other action with regard to authority invoices; 6. Board member comments; a. Matters appearing on agenda; b. Inquiry of staff regarding specific factual information or existing policy 7. Adjournment. In compliance with the American Disabilities Act, the City of La Porte City will provide for reasonable accommodations for persons attending public meetings. To better serve attendees, requests should be received 24 hours prior to the meetings. Please contact Patrice Fogarty, City Secretary, at 281-470-5019 or TDD 281-471-5030. A possible quorum of city council members may be present at this meeting and participate in discussions but will take no action. David W. Hawes Executive Director ��-� t'— - O-V-e-5 LA PORTE REDEVELOPMENT AUTHORITY, CITY OF LA PORTE, TEYAs AGENDA ME, MORANDUM TO, La Porte Redevelopment Authority Board of Directors FROM: Executive Director SUBJECT., Agenda Item Materials 2. Consider approval of minutes of the Board of Directors, meeting held February 6, 2013,. [A PORTE REDEvEjomENT AmmoRyff c/o Hawes Hill Calderon LLP P.O. Box 22167 Houston TX 77227-2167 713-595-1200 or FAX 281-88M314 La Porte Redevelopment Authority City of LaPorte, Texas Minutes of the Board Meeting Held February 6, 2013 1. Call to order — Doug Martin, Vice Chair; The Board of Directors of the La Porte Redevelopment Authority, City of La Porte, Texas, held a regular meeting, open to the public, on the 6�h day of February, 2013 at 6:30 p.m. The meeting was called to order by Vice Chair Doug Martin at 6:32 p.m. in the City Council Chambers of the City council conference Room, 604 West Fairmont Parkway, La Porte, Texas; and the roll was called of the duly appointed members of the Board, to wit: Peggy Antone Position 1 - Secretary Dave Turnquist Position 2 Alton Porter Position 3 Horace Leopard Position 4 Doug Martin Position 5 — Vice Chair JJ Meza Position 6 Lloyd Graham Position 7 Chester Pool Position 8 Lin Pfeiffer Position 9 - Chair and all of the above were present except Chair Pfeiffer and Directors Meza and Porter, thus constituting a quorum. Also present at the meeting were David Hawes, Hawes Hill Calderon, LLP; Traci Leach, City of LaPorte; and Virginia Blake, McCall Gibson Swedlund Barfoot, P.L.L.C. 2. Consider approval of the minutes of Board of Directors Meeting held on September 26, 2012; Upon a motion duly made by Director Graham, and being seconded by Director Pool, the Board voted unanimously to approve the minutes of the September 26, 2012 Board meeting as presented. 3. Consider FY 2012 Redevelopment Authority Audit; The agenda item was tabled. 4. Consider payments for infrastructure improvements to City of La Porte and Harris County, Upon a motion duly made by Director Antone, and being seconded by Director Turnquist, the Board voted unanimously to authorize payments for infrastructure improvements to the City of La Porte and Harris County. 5. Receive report from city, staff and developers with regard to development within the boundaries of the tax increment reinvestment zone; Staff briefed the Board. No action was taken. G. Consider approval or other action with regard to authority invoices; Mr. Hawes presented the invoices. Upon a motion duly made by Director Pool, and being seconded by Director Leopard, the Board voted unanimously to approve payment of the invoices. 7. Board member comments; a) Matters appearing on agenda; b) Inquiry of staff regarding specific factual information or existing policy No action was taken. S. Adjournment. Vice Chair Martin adjourned the meeting at 7:04 p.m. SIGNED: TITLE: ATTEST: TITLE: DATE: DATE: LA PORTE REDEVELOPMENT AUTHORITY, CITY OF LAPORTE, TEXAS AGENDA MEMORANDUM TO: La Porte Redevelopment Authority Board of Directors FROM: Executive Director SUBJECT, Agenda Item Materials 3. Consider the Redevelopment Authority's FY 2012 audit. LA PoRm RiwEvELopmzNT AuTnoiuTy c/o Hawes Hill Calderon LLP P.O. Box 22167 Houston TX 77227-2167 713-595-120,0 or PAX 281-888-63,14 LA PORTE REDEVELOPMENY, AUTHORITY CITY OF LA PORTETEXAS ANNUAL FYNANML REPORT .vA`ti SEPTEMBER 30, 2012 McCALL GIBSON SWEDLUND BARFOOT PLLC Certified Public Accountants TABLE OF CONTENTS INDEPENDENT AUDITOR'S REPORT MANAGEMENT'S DISCUSSION AND ANALYSIS STATEMENT OF NET ASSETS AND GOVERNMENTAL FUNDS BALANCE SHEET RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEETYTO`' 'T THE STATEMENT OF NET ASSETS" STATEMENT OF ACTIVITIES AND GOVERNMENTAL FUNDS REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES `y RECONCILIATION OF THE GOVERNMENTAL FUNDS -STATEMENT OF REVENUES, EXPENDITURES AND CHANGESziN-FUND BALANCES TO THE STATEMENT OF ACTIVITIES NOTES TO BASIC FINANCIAL STATEMENTS ,ti`='° REQUIRED SUPPLEMENTARY INFQTt1V1TION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET ANI]--ACTLTAI.-GENERAL FUND OTHER SUPPLEMENTARY''INFORMATION PAGE 1-2 3-7 10 11 12-19 22 24 MCCALL GIBBON SWEDLUND BA.RFOOT PLLC Certified Public Accountants 13100 Worthant Center Drive Suite 235 111 Congress Avenue Houston, Texas 77065-5610 suite 400 (713) 462-0341 Austin, Texas 78701 Fax (713) 462-2708 (512) 610-2209 E-mail: n�513QT7I�5bUl1C.Ca}7F 2f1TUIU.7Fi�5�71iC.CUt17 Board of Directors F z. La Porte Redevelopment Authority City of LaPorte, Texas Independent Auditor's Reuort= We have audited the accompanying financial statements of the go, e;`rn rental activities and major fund of La Porte Redevelopment Authority (the "Authority"),;,,a,_com onent unit of the City o La Porte Texas as of and for the year ended September., 2412, which collectively comprise the Authority's basic financial statements as listed jn ;the ;preceding table of contents. These financial statements are the responsibility of the Au" ". ;ity's management. Our responsibility is to express opinions on these financial statements eased on our audit. We have conducted our audit in accordance:-vvit auditing standards generally accepted within the United States of America. Those staridaeds require that we plan and perform the audit to obtain reasonable assurance abdutY` vvh&her the financial statements are free of material deration of internal control over financial reporting as a misstatement. An audit includes consi basis for designing audit proceduref that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Authority's internal control over financial reporting. Accordingl-y, we express no such opinion. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes ,,assessing the accounting principles used and significant estimates made by management, as vc7gl '� evaluating the overall financial statement presentation. We believe that our audit proves_;aieasonable basis for our opinions. In our`opi ioi the financial statements referred to above present fairly, in all material respects, the respeetve financial position of the governmental activities and major fund of the Authority as of September 30, 2012, and the respective changes in financial position for the year then ended in conformity with accounting principles generally accepted in the United States of America. Member of American Institute of CenifEed Public Accountants Texas Society of Certiftled Public Accountants Board of Directors La Porte Redevelopment Authority Accounting principles generally accepted in the United States of America require that Management's Discussion and Analysis on pages 3 through 7 and the Schedule of Revenues, Expenditures, and Changes in Fund Balance — Budget and Actual — General Fund on page 21 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. Wchave applied certain limited procedures to the required supplementary information in accordance,with auditing standards generally accepted in the United States of America, which consisted . f inquiries of management about the methods of preparing the information and cort�farig the information for consistency with management's responses to our inquiries, the, basic financial statements, and other knowledge we obtained during our audit of the basic; fa�i6li statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinzbn,or-provide any assurance. Our audit was conducted for the purpose of forming opir ons on the financial statements that collectively comprise the Authority's basic financial,-9fatements. The other supplementary information is presented for purposes of additior'4.analysis and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying` -accounting and other records used to prepare the financial statements. This information,'excluditng that portion marked "Unaudited" on which we express no opinion or provide ary, assurace, has been subjected to the auditing procedures applied in the audit of the f naddhal°rstate`ments and certain additional procedures, including comparing and reconcilingr:!iu6&1information directly to the underlying accounting and other records used to prepare tle;fancal statements or to the financial statements themselves, and other additional procedures 'in= accordance with auditing standards generally accepted in the United States of America:` In our opinion, the information is fairly stated in all material respects in relation to the�f nancial statements as a whole. McCall-, "son Swedlund Barfoot PLLC Certified "Public Accountants March 27, 2013 -2- LA PORTE REDEVELOPMENT AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2012 Management's discussion and analysis of La Porte Redevelopment Authority's (the "Authority") financial performance provides an overview of the Authority's financial activities for the fiscal year ended September 30, 2012. Please read it in conjunction with the Authority's financial statements, which begin on page 8. FINANCIAL HIGHLIGHTS • The Authority's liabilities exceeded its assets by $9,325,403'� for`-'tlxe year ended September 30, 2012. This compares to the previous year, as1=`ad3usted, when Iiabilities exceeded assets by $9,555,560. r • The total net assets deficit of $9,325,403 results primari�r from the Authority having recorded an amount due to a Developer of $8,880,774 for the facilities the Developer constructed and conveyed to the City. The A0 ority anticipates that with continued development in the area tax increment revenues,=v ill be sufficient to cover operating costs, and to reimburse the Developer. The Authority's obligations to the Developer are contingent upon the availability of tax;ihcrement for such as described in Note 4_ • The Authority's governmental`�fgdde sreported a total ending fund balance of $1,178,981 this year. This compares tote."prior year fund balance $1,020,944, showing an increase of $I58,037 durirng"the current fiscal year. USING THIS ANNUAL This annual report consists of a series of financial statements. The basic financial statements include: (1) combined fund financial statements and government -wide financial statements and (2) notes to the �a$- c. financial statements. The combined fund financial statements and government -wide, financial statements combine both: (1) the Statement of Net Assets and Governmental Funds Balance Sheet and (2) the Statement of Activities and Governmental Funds Revenues,' xpenditures, and Changes in Fund Balances. This report also includes other supplementary information in addition to the basic financial statements. GOVERNMENT -WIDE FINANCIAL STATEMENTS The Authority's annual report includes two financial statements combining the government - wide financial statements and the fund financial statements. The government -wide portion of these statements provides both long-term and short-term information about the Authority's overall status. Financial reporting at this level uses a perspective similar to that found in the private sector with its basis in full accrual accounting and elimination or reclassification of internal activities. -3- LA PORTE REDEVELOPMENT AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2012 GOVERNMENT -WIDE FINANCIAL STATEMENTS (Continued) The first of the government -wide statements is the Statement of Net Assets. This information is found in the Statement of Net Assets column on page 8. The Statement of Net Assets is the Authority -wide statement of its financial position presenting information that inclt'd6s --:all of the Authority's assets and liabilities, with the difference reported as net assets. Overlie increases or decreases in net assets may serve as a useful indicator of whether the financial;pasition of the Authority as a whole is improving or deteriorating. Evaluation of the overall finah ial health of the Authority would extend to other non -financial factors. The government -wide portion of the Statement of Activities ozr:,pagc 10 reports how the Authority's net assets changed during the current fiscal year. lcurrent year revenues and expenses are included regardless of when cash is received or paid: FUND FINANCIAL STATEMENTS The combined statements also include fund firiazac a_,statements. A fund is a grouping of related accounts that is used to maintain control ovef-resources that have been segregated for specific activities or objectives. The Authority. ha's`'cne governmental fund type. The General Fund accounts for resources not accountedw,forin"'`another fund, tax increment revenues, costs and general expenditures. Governmental funds are repo rte , -- each of the financial statements. The focus in the fund statements provides a distiziet 've4 iew of the Authority's governmental funds. These statements report short-term fiscal accountability focusing on the use of spendable resources and balances of spendable resources available at the end of the year. They are useful in evaluating annual financing requir"exrents of the Authority and the commitment of spendable resources for the near -term. Since de.goyernment-wide focus includes the long-term view, comparisons between these two perspectives rciay provide insight into the long-term impact of short-term financing decisions. The adjustrients columns, the Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Assets on page 9 and the Reconciliation of the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities on page 11 explain the differences between the two presentations and assist in understanding the differences between these two perspectives. -4- LA PORTE REDEVELOPMENT AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2012 NOTES TO THE BASIC FINANCIAL STATEMENTS The accompanying notes to the basic financial statements provide information essential to a full understanding of the government -wide and fund financial statements. The notes -to the basic financial statements can be found on pages 12 through 20 in this report.`' GOVERNMENT -WIDE FINANCIAL ANALYSIS Net assets may serve over time as useful indicator of the Authority's=fidiincial position. In the case of the Authority, liabilities exceeded assets by $9,325,403 as ofSeptdinber 30, 2011 The following table provides a summary of the Authority's net assets as of September 30, 2012, and September 30, 2011: Summ ofClanges in the Statement of Net Assets Change Positive ,2012 2011 (Negative} Current and Other Assets $ 1,178,981 :. .r,:.. $ 1,020944 8 037 Long -Tenn Liabilities $ 1,335,599 $ 652,000 $ (673,599) Due to Developer 8,880,774 " ` 9,555,811 785,037 Accrued Interest 288,011 194,228 (93,783) Total Liabilities _ .;, $ 10,504,384 E}4,384 $ 1Q,52 ,039 2_ 17,655 Net Assets: Unrestricted .. 9 3252 ,403) $ (9,5Q1 09S) _. 0 175,692 Total Net Assets $ (9,325,403) 9 50109 1 $ 7..5. 62 -5- LA PORTE REDEVELOPMENT AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSTS FOR THE YEAR ENDED SEPTEMBER 30, 2012 GOVERNMENT -WIDE FINANCIAL ANALYSIS (Continued) The following table provides a summary of the Authority's operations for the fiscal years ending September 30, 2012, and September 30, 2011: of Changes in the Staters 2012 Revenues Tax Increment Revenue $ 1,290,676 Investment Revenue 635 Total Revenues $ 1,291,3:1 L u <ti _ Expenses for Services 1,06.154 Change in Net Assets $2305157 Beginning Net Assets, As Adjusted r;, ':(9,555 560) $ 1,481,668 419,248 $ 1,062,420 Change Positive (Negative) $ (190,027) _......(330) $ (190,357) (64,1.,906) $ (832,263) (10,563,515) 1,007,955 01 095) Ending Net Assets {9,325.403j,5 ; _ 175,692 FINANCIAL ANALYSIS OF THE AUTHORITY'S GOVERNMENTAL FUNDS The Authority's-7"eombined fund balances as of September 30, 2012, were $1,178,981, an increase of $15- 9 037 from the prior year_ The .Q rieral`Fund fund balance increased by $158,037 due to tax increment revenue being more than 66-p zng costs and certain costs to fund the Authority's debt obligations. LA PORTE REDEVELOPMENT AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2012 GENERAL FUND BUDGETARY HIGHLIGHTS The Board of Directors did not amend the budget for the fiscal year ending September 30, 2012. Actual revenues were $148,689 less than budgeted and actual expenditures were $.1;09,430 less .11,.� r than budgeted, primarily due to Developer payments being less than budgeted. See' the budget to actual comparison on page 22. CAPITAL ASSETS When capital projects are completed, the costs of the projects ark recd ded as a transfer to the City since the maintenance and operations of the facilities vil='natbe the responsibility of the V; Authority. During the current fiscal year, $1,095,875 was6paid tb the Developer for projects including interest. See Note 4 for additional information. LONG-TERM DEBT ACTIVITY Bond Debt As of September 30, 2012, the Authority had no bond debt payable. As of September 30, 2012, the Authority `owed $662,000 to the City of La Porte, Texas plus interest of $288,011. See Note $, fdrin'ore information. CONTACTING THE AUTHORITY'S FINANCIAL MANAGEMENT This financial report is�:designed to provide a general overview of the Authority's finances. Questions concerning any of the information provided in this report or requests for additional .:� , information should -be addressed to La Porte Redevelopment Authority, c/o David Hawes, P. O. Box 22167,,HouSton, TX 77227. -7- THIS PAGE INTENTIONALLY LEFT BLANK LA PORTE REDEVELOPMENT AUTHORITY STATEMENT OF NET ASSETS AND GOVERNMENTAL FUNDS BALANCE SHEET SEPTEMBER 30, 2012 ASSETS Cash, Note 3 Due from Developer TOTAL ASSETS LIABILITIES Accrued Interest Payable -City of LaPorte, Note 8 Due to Developer, Note 4 Long -Term Liabilities: Notes Due After One Year, Notes 8and 9 TOTAL LIABILITIES FUND BALANCE General Fund Statement of Adjustments Net Assets $ 1,177,061 $ $ 1,177,061 1.920 1,920 $. 1.1 7§,9 $ -0_ -';, $r ° ' 1.178.981 $ $ 288,0 V , 888{i'174 x"1.335,599 -0- $ 10.504,384 Unassigned $ 1'178981 TOTAL FUND BALANCE $ 1 178.981 TOTAL LIABILITIES AND FUND BALANCE 1.178981 NET ASSETS Unrestricted $_ _(.1,178.981) $ (1,178,981) $ _ (9,325,403) $ %325,403) The accompanying notes to basic financial statements are an integral part of this report. $ 288,011 8,880,774 1,335,599 10 504,384 $ __-0- $ -0-� $ (9,325,403) -8- LA PORTE REDEVELOPMENT AUTHORITY RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO STATEMENT OF NET ASSETS SEPTEMBER 30, 2AI2 Total Fund Balance — Governmental Fund $ 1,178,981 Amounts reported for governmental activities in the Statement of Net Assets are different because: Long -terra liabilities for notes payable are not due and payable in the current peer ocd- and, therefore, are not reported as assets in the governmental funds. (1,335,599) The long-term obligation to the Developer is not recorded in the1dhdY'f nancial statement but is a liability to the Developer in the govern fent--vide entity. (8,880,774) The accompanying notes to basic financial statements are an integral pan of this report. -9- LA PORTE REDEVELOPMENT AUTHORITY STATEMENT OF ACTIVITIES AND GOVERNMENTAL FUNDS REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED SEPTEMSER 30, 2012 REVENUES Tax Increment Revenue (Net of Administrative Costs) Investment Revenues TOTAL REVENUES EXPENDITURES/EXPENSES Service Operations: Professional Services Debt Service: Interest Expense -City of LaPorte, Note 8 Interest Expense -Harris County, Note 9 Note Principal -Harris County, Note 9 Developer Interest, Note 4 Developer Principal, Note 4 TOTAL EXPENDITURES/EXPENSES General Fund Statement of Adjustments Activities $ 1,290,676 $ ,`v $ 1,290,676 635 635 $ 1,291.311 F+ $ : 0Z... $ 1.291.311 $ 37,399..: `�..$ $ 37,399 39,318 39,318 73,599 73,599 `r 600,000 600,000 319,055 (8,217) 310,838 F776,820 (776,820) " 133,274 $ (72,120) $ 1.061,154 $' 158,037 $ (158,037) $ 230,157 230,157 1.020,944 (M576,504) (9,555.560) $ 1,178,991 04 3 4} LOU The accompanying notes to basic financial statements are an integral part of this report. still LA PORTE REDEVELOPMENT AUTHORITY RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES TO THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDED SEPTEMBER 30, 2012 Net Change in Fund Balance — Governmental Fund $F,'""` 158,037 Amounts reported for governmental activities in the Statement of Activities,, - different because: Governmental funds report interest expenditures as expenditures in they jqapaid. However, in the Statement of Activities, interest is accrued on notes'thrcugh fiscal year end. (112,917) Governmental funds report note principal payments as expenditures:' However, in the Statement of Net Assets, note principal payments rare: ieported as decreases in liabilities, and the Statement of Activities is not affecie. 176,820 In the Statement of Activities, the cost of interest expens Js adjusted to the amount of the current period accrued expense. 8,217 Change in Net Assets — Governmental Activities,;. 23 15 The accompanying notes to basic financial statements are an integral part of this report. - 11 - LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEM[BER 30, 2012 NOTE 1. CREATION OF CORPORATION The City of La Porte, Texas (the "City") authorized the creation of the La Porte Redevelopment Authority (the "Authority") by the Resolution No. 2000-19 passed on December It, 2000. The Authority was created and organized as a local government corporation pursuant ta„provisions of Chapter 394 of the Texas Local Government Code. The Authority is organized'as=, public non- profit corporation for the purpose of aiding, assisting, and acting on behalfofrAbe City in the performance of its governmental function to promote the common goo_d''and -general welfare of the Tax Increment Reinvestment Zone (the "Zone") and neighboring a ft" o promote, develop, encourage and maintain housing, educational facilities, employzne t-, W' mmerce and economic development in the City. The Authority receives increm6htA`,,%Aax" revenues on developed property. The Authority has participation agreements with the City of La Porte, La Porte Independent School District and Harris County to receive certain -property tax increments. The Authority may issue bonds with consent of City Council�The Authority is managed by a Board of Directors consisting of nine members who are appoter by the Mayor with the approval of City Council. ' =' NOTE 2. SIGNIFICANT ACCOUNTING`"POLICIES The accompanying basic financial `statements have been prepared in accordance with accounting principles generally accepted i-'4.4 e= United States of America as promulgated by the Governmental Accounting .Stanc ardsB- oard ("GASB"). The GASB has established .the- criteria for determining whether or not a given entity is a component unit. The criteria are: (1) is the potential component unit a legally separate entity, (2) does the primary -government appoint a voting majority of the potential component unit's board, (3) is the primary government able to impose its will on the potential component unit, (4) is there a financial berie t=6 burden relationship. The Authority was created as an instrumentality of the City. The Authority does meet the criteria for inclusion as a component unit of the City. Copies of the'f narical statements for the City may be obtained from the City Secretary's office. These financial statements have been prepared in accordance with GASB Codification of Governmental Accounting and Financial Reporting Standards Part II, Financial Reporting. The GASB Codification sets forth standards for external financial reporting for all state and local government entities, which include a requirement for a Statement of Net Assets and a Statement of Activities. It requires the classification of net assets into three components: Invested in Capital Assets, Net of Related Debt; Restricted; and Unrestricted. These classifications are defined as follows: -12- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 2. SIGNIFICANT ACCOUNTING POLICIES (Continued) Financial Statement Presentation (Continued) e Invested in Capital Assets, Net of Related Debt — This component of net assets consists of capital assets, including restricted capital assets, net of accumulatq.d.-d.ppre�ciation and reduced by the outstanding balances of any bonds, mortgages, notestor�o-..tir borrowings that are attributable to the acquisition, construction, or irnproverneii s,6f-tH&I-, assets. • Restricted Net Assets -- This component of net assets codsjsts of -'constraints placed on net assets use through external constraints imposed by"ereciitors (such as through debt covenants), grantors, contributors, or laws or regulation of other governments or constraints imposed by law through constitutional `provsions or enabling legislation. • Unrestricted Net Assets — This component of;net-assets consists of net assets that do not meet the definition of "restricted" or "invested i 'lcapital assets, net of related debt." L When both restricted and unrestricted zes&rces are available for use, generally it is the Authority's policy to use restricted resourcesfrst. The Statement of Net Assets; :arid=°the Statement of Activities display information about the Authority as a whole. The"'' tharity's Statement of Net Assets and Statement of Activities are combined with the governmental fund financial statements. The Authority is viewed as a special purpose government and has the option of combining these financial statements. The Statement --of Net Assets is reported by adjusting the governmental fund types to report on the full aclem'] is, economic resource basis, which recognizes all long-term assets and receivabl`es,as well as long-term debt and obligations. Any amounts recorded due to and due frorr -other`#unids are eliminated in the Statement of Net Assets. The Statement of Activities is reported by adjusting the governmental fund types to report only items related to current year revenues and expenditures. Items such as capital outlay are allocated over their estimated useful lives as depreciation expense. Internal activities between governmental funds, if any, are eliminated by adjustment to obtain net total revenue and expense in the government -wide Statement of Activities. Fund Financial Statements As discussed above, the Authority's fund financial statements are combined with the government -wide statements. The fund financial statements include a Balance Sheet and Statement of Revenues, Expenditures and Changes in Fund Balances. -13- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 2. SIGNIFICANT ACCOUNTING POLICIES (Continued) Governmental Funds The Authority has one major governmental fund. IS General Fund — To account for all resources not required to be accounted for;i>anotlaer fund. Basis of Accountin Gam_ F` a. The Authority uses the modified accrual basis of accountingfor fgQvemznental fund types. The modified accrual basis of accounting recognizes revenues wlen easurable and available." Measurable means the amount can be determined. AvaiMble` - eans collectable within the current period or soon enough thereafter to pay curreWt__liabilities. The Authority considers revenues reported in the governmental funds to be `available if they are collectable within sixty (60) days after year-end. Also, under the modified acial basis of accounting, expenditures are recorded when the related fund liability is incurre8;Except for principal and interest on long-term debt, which are recognized as expenditures when payment is due. Capital Assets Capital assets are transferred to the>.Cty upon completion. Depreciation is not recorded on items classified as construction in;progross' Bugg In compliance wi'ih. the governmental accounting principles, the Authority's board members should annually, Adopt an unappropriated budget for the General Fund. During the current fiscal year, the Autliority„dd not amend the budget. Measurement focus is a term used to describe which transactions are recognized within the various financial statements. In the government -wide Statement of Net Assets and Statement of Activities, the governmental activities are reported using the economic resources measurement focus. The accounting objectives of this measurement focus are the determination of operating income, changes in net assets, financial position, and cash flows. All assets and liabilities associated with the activities are reported, regardless of the timing of related cash flows. Fund equity is classified as net assets. -14- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 20I2 NOTE 2. SIGNIFICANT ACCOUNTING POLICIES (Continued) Measurement Focus (Continued) Governmental fund types are accounted for on a spending or financial flow measrenent focus. ,r. Accordingly, only current assets and current liabilities are included on the balance'sl eet, and the reported fund balances provide an indication of available spendable or appropriable resources. Operating statements of governmental fund types report increases and`ldecreases in available spendable resources. Fund Balances GASB Statement No. 54, Fund Balance Reporting and Governmental Fund -type Definitions, requires the classification of fund balances in governmeritftnds using the following hierarchy: Nonspendable: amounts that cannot be spent either because they are in nonspendable form or because they are legally or contractually required to- be maintained intact. The Authority does not have any nonspendable fund balances. Restricted: amounts that can be _;spent 'only for specific purposes because of constitutional provisions, or enabling legislation, or because of constraints that are imposed externally. The Authority does not have any restric- fund balances. Committed: amounts that can be spent only for purposes determined by a formal action of the Board of Directors. The B{©ard is the highest level of decision -making authority :for the Authority. This action must be made no later than the end of the fiscal year. Commitments may be established, rfiodified, or rescinded only through ordinances or resolutions approved by the Board. The Auth& ity does not have any committed fund balances. Assigned: inoikits that do not meet the criteria to be classified as restricted or committed, but that are intended to be used for specific purposes. The Authority has not adopted a formal policy regardig;the assignment of fund balances and does not have any assigned fund balances. Unassigned: all other spendable amounts in the General Fund. When expenditures are incurred for which restricted, committed, assigned or unassigned fund balances are available, the Authority considers amounts to have been spent first out of restricted funds, then committed funds, then assigned funds, and finally unassigned funds. -15- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 2. SIGNIFICANT ACCOUNTING POLICIES (Continued) Accounting Estimates The preparation of financial statements in conformity with accounting principles_ generally accepted in the United States of America requires management to make .::,;esti mates and assumptions that affect the reported amount of assets and liabilities and disclosur&-bf contingent assets and liabilities at the date of the financial statements and the reported}affiourits of revenues and expenditures during the reporting period. Actual results could differFfroifa those estimates. NOTE 3. DEPOSITS AND INVESTMENTS Deposits Custodial credit risk is the risk that, in the event`�of- the failure of a depository financial institution, a government will not be able to. -recover deposits or will not be able to recover collateral securities that are in the possession of ari outside party. The Authority's deposit policy for custodial credit risk requires compliance witl'the provisions of Texas statutes. Texas statutes require that any cashalaziee in any fund shall, to the extent not insured by the Federal Deposit Insurance Corporation' -or its successor, be continuously secured by a valid pledge to the Authority of,securities`eiigible under the laws of Texas to secure the funds of the Authority, having an aggregate" arket value, including accrued interest, at all times equal to the uninsured cash balance in thefind to which such securities are pledged. At the fiscal year end, the carrying amount of; -the Authority's deposits was $1,177,061 and the bank balance was $1,179,462. Of th&bank balance, $250,000 was covered by federal depository insurance and the balance was covered by collateral pledged in the name of the Authority and held in a third party depository. The ,pi ryt fig' -values of the deposits are included in the Governmental Funds Balance Sheet and the StatERent of Net Assets at September 30, 2012, as listed below: I-12 I0 71lj5L R1s7 Investments � 1.177.Ob1 Under Texas statute, the Authority is required to invest its funds under written investment policies that primarily emphasize safety of principal and liquidity and that address investment diversification, yield, maturity, and the quality and capability of investment management, and all Authority funds .must be invested in accordance with the following investment objectives: understanding the suitability of the investment to the Authority's financial requirements, first; preservation and safety of principal, second; liquidity, third; marketability of the investments if the need arises to liquidate the investment before maturity, fourth; diversification of the -16- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 3. DEPOSITS AND INVESTMENTS (Continued) Investments (Continued) investment portfolio, fifth; and yield, sixth. Authority's investments musts lie mmade "with judgment and care, under prevailing circumstances, that a person of prudence `.. '§eretion, and intelligence would exercise in the management of the person's own affairstbt_Jor speculation, but for investment, considering the probable safety of capital and the.,;pirol"abi income to be derived." No person may invest Authority funds without express vrtleii authority from the Board of Directors.` Texas statutes include specifications for and limitations applicable to the Authority and its authority to purchase investments as defined in the Public FUirids Investment Act. Authorized investments are summarized as follows: (1) obligations ofcthe United States or its agencies and instrumentalities, (2) direct obligations of the State ofTexas or its agencies and instrumentalities, (3) certain collateralized mortgage obligations, (4) other''obligations, the principal of and interest on which are unconditionally guaranteed or insured by the State of Texas or the United States or its agencies and instrumentalities, including,,6,bligations that are fully guaranteed or insured by :r the Federal Deposit Insurance Corporation; vrjby the explicit full faith and credit of the United States, (5) certain A rated or higher,:,obligaii'ons of states, agencies, counties, cities, and other political subdivisions of any stated}(.6) ;bonds insured, assumed or guaranteed by the State of Israel, (7) insured or collateralized`„certificates of deposit, (8) certain fully collateralized repurchase agreements secilred_by.delivery, (9) certain bankers' acceptances with limitations, (10) commercial paper ratedrt'A-.1 or P-I or higher and a maturity of 270 days or less, (11) no- load money market mutual '��'fi nds and no-load mutual funds with limitations, (12) certain guaranteed investment contracts (13) certain qualified governmental investment pools and (14) a _ I4�n � qualified securities Icnding program. At September 30, 2012, the Authority held no investments. NOTE4.;y'` DUE TO DEVELOPERS The Redevelopment Authority is a party to several agreements with Developers who own property in the La Porte Tax Increment Reinvestment Zone No. 1. The Authority is obligated to repay the Developers for public improvements made on the property up to the amount of incremental tax value gained. The Authority has entered into agreements with the following Developers: Port Crossing Land, LP; 65 La Porte, Ltd.; and Retreat at Bay Forest, LP. Part Crossing Land, LP has completed the public improvements detailed in the agreement with the Authority. Port Crossing Land, LP's reimbursable expenditures totaled $12,096,488 including interest at May 27, 2009. In the current -17- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 4. DUE TO DEVELOPERS (Continued) fiscal year, the Developer was reimbursed $1,095,875. To date, reimbursements in the amount of $4,327,098 have been made to Port Crossing Land, LP for incremental tax value gained. Payments were applied to interest first, then principal. The amount due Port Crossing, LP as of September 30, 2012 is calculated as follows: Principal Interest , To[ahDue Balance Due Developer at 9/30/2010 10 458,182 $ 79,15T5" ,:-a_ `�;,$10,537.335 Fiscal Year 2011 Interest $ $ 334230^ $ 334,230 Fiscal Year 2011 Payment (825,821) (379 933�`� 1 20S 754 Balance Due Developer at 9/3012011 $ 9,632,361 $" 33 450 $ 9,665,811 -A,:. Fiscal Year 2012 Interest `c3I0,838 310,938 Fiscal Year 2012 Payment {776.8201; _ (319,055) 1 Os , 95,875 Balance Due Developer at 9/30/2012 $ 8.855.54] ":.._~~`'Y$ 25.233 8 8 D U In addition, two Developers have signed Deve1apinent Agreements, but have not submitted costs for reimbursement of their projects. Estimat4,,, fits, based on their agreements, are as follows: ;. 65 LaPorte, Ltd. $ 7,103,500 Retreat at Bay ForesttLP:^ `= $ 164,500 Under the agreements, the ,amounts, shown are not payable debts if the tracts do not generate tax increment sufficient to pay<the- accrued amounts. ' NOTE 5. TAX; INCREMENTS .=f The City has agreed,t6'deposit their tax increments into the Tax Increment Fund established for the Zone. The :anoiint of a Participant's tax increment for a year is the amount of property taxes levied and collected by the Participant for that year on the Captured Appraised Value of real property taxable by the Participant and located in the Zone. The Captured Appraised Value of real property taxable by a Participant for a year is the total appraised value of all real property taxable by the Participant and located in the Zone for that year less the Tax Increment Base, which is the total appraised value of all real property taxable by the Participant and located in the Zone on January 1 of the year in which the Zone was designated as such under the Tax Increment Financing Act (the "TIF Act"). In the event property is annexed into the Zone by ordinance of the City, the Tax Increment Base for annexed property is the value of all real property taxable by a Participant and located in the annexed area on January 1 of the year of annexation. No -18- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 5. TAX INCREMENTS (Continued) Participant is required to deposit tax increments derived from property annexed into the Zone unless the Participant has agreed to do so. Each participant is required to collect taxes on property located with the ;Tone -,:in` the same manner as other taxes are collected. The Participant is required to pay ntathe'Ptax increment fund the collected tax increments by the first day of each calendar quarter"or pdrsuant to the terms of the participation set forth in their respective interlocal agreements...'—;- NOTE 5. CITY OF LA PORTE TAX INCREMENTS The City and the Zone have established the Tax Increment Fund, a separate fund in the City Treasury into which tax increments will be deposited;"A During the current fiscal year, tax increments_W$483,366 were recorded from the City of La Porte, and $591,728 from the school district based,on collected taxes. NOTE 7. HARRIS COUNT Y TAX INCREMENTS The Commissioners Court of"Harris .County (the "County"} approved an agreement to participate in the Zone. The amount of participation from years 2001 through 2029 will be 75% of the tax increment attributed to the capture appraised value. Harris County's participation and use of fund is limited to projects"described in the agreement. During the curreri fiscl year, tax increments of $215,582 were collected from the County. NOTE+B: "_ `----DUE TO CITY OF LA PORTE, TEXAS The Authority entered into a Reimbursement Agreement with the City of La Porte. The City financed capital improvements on behalf of the Authority. The agreement states that the City will be repaid from available funds subject to certain conditions. Interest accrues at a rate of the Prime Commercial Lending rate of Chase Manhattan Bank, N.A. or its successors, plus one percent per annum, compounded semi-annually, on the unpaid balance. Prior payments were applied to accrued interest. As of September 30, 2012, the Authority has recorded a due to the City of $662,000 plus interest calculated at $288,011. Accrued interest on this obligation in the current fiscal year is $39,318. -19- LA PORTE REDEVELOPMENT AUTHORITY NOTES TO BASIC FINANCIAL STATEMENTS SEPTEMBER 30, 2012 NOTE 9. DUE TO HARRIS COUNTY, TEXAS In accordance with a Development agreement dated December 14, 2010, Harris County, Texas advanced funds in the amount of $600,000 for the Sylvan Beach Restoration .Project. The Authority agreed to reimburse the advances plus interest from available tax increment;. subject to certain priorities established in the agreement. The project was undertaken;,-1 y,,-t -City of La Porte through a cooperative agreement with the Texas General Land Office -Mere the state granted funds provided an equal amount of local match was raised to fund=they'nroiect. Interest accrues at the prime rate of JP Morgan Chase plus l %a, corxipaunded semi-annually. The a,s total interest to date is calculated as of September 30, 2012 atti$73 599,'bringing the total amount due to $673,599. The following is a summary of transactions for the Sylvan Beach Restoration Project: Princi at.:- Y:.a Interest Total Due Sylvan Beach Restoration Project 6 4' '0: S ., 29 $� . 73.599 Subsequent to year end, on February q, 2013`, ~a payment of $166,594.19 was made to Harris County, Texas that included principal, �anterest. Future payments will be based on available tax increments. iV NOTE 10. PRIOR PERI()D.,`A:DJ USTMENT In a prior period, the District recorded a payment to the City which was applied to the Sewer Trunk Main note..in the amount of $46,974. That amount should have been for an administrative fee. interest ori:that,,amount was calculated at $7,491, which has been added back to the note payable. The ef-feci' on the fund balance for the prior period is as follows: Prior Period Fund Balance $ (9,501,095) Adjustment to Interest on Note Payable (54,465) Fund Balance, as adjusted - _ (9,55556 0) _20_ THIS PAGE INTENTIONALLY LEFT BLAND LA PORTE REDEVELOPMENT AUTHORITY SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE — BUDGET .AND ACTUAL — GENERAL FUND FOR THE YEAR ENDED SEPTEMBER 30, 2012 REVENUES Tax Increment Revenue Interest Revenues General Fund Variance Original. and Positive Final Budget Actual {Ne) $ 1,439,000 1,000 TOTAL REVENUES $ 1.440.000 EXPENDITURES Professional and Other Services $ 36,950° Developer Reimbursement ` j,205,754 TOTAL EXPENDITURES $ 1<,242,704 NET CHANGE IN FUND BALANCE $ 197,296 FUND BALANCE - OCTOBER 1, 20.11„ 1,020,944 FUND BALANCE — SEPTEIV[BER'30 ~2012 $_1_.218,240 $ 37,399 1,095,875 $ 1.133,274 $ 158,037 See accompanying independent auditor's report. 1,020 944 $ (148,324) 3365) (148,689 $ (449) 109879 $ 109.430 $ (39,259) 22 LA PORTE REDEVELOPMENT AUTHORITY BOARD MEMBERS AND ZONE ADMINISTRATOR SEPTEMBER 30, 2012 Authority Mailing Address - Authority Telephone No. Position Board Members 1 Peggy Antone 2 3 In 5 Dave Turnquist 9 Lin Pfeiffer - Chairman Executive Director David Hawes See accompanying independent auditor's report. -24- LA PORTE REDEVELOPMENT AUTHORITY, CITY OF LA PORTE, TEXAS AGENDA MEMORANDUM TO: La Porte Redevelopment Authority Board of Directors FROM: Executive Director SUBJECT: Agenda Item Materials S. Consider approval or other action regarding Authority invoices. LA PORTE REDEVELOPMENT AUTHORITY c/o Hawes Hill Calderon LLP P.O. Box 22167 Houston TX 77227-2167 713-595-1200 or FAX 281-888-6314 La Porte Redevelopment Authority Cash Flow Report, FY 2009-2013 Cleared Bank For Amount Subtotal Total Beginning fund balance, 10/1/2009 $ 26S,520.84 10/15/2009 City of to Porte county TIRZ payment $ 196,067,00 10/30/2009 Interest deposit (0,30%) interest $ 91.25 11/30/2009 Interest deposit (0.10%) interest $ 73,20 12/31/2009 interest deposit (0,15%) interest $ 36.70 1/29/2010 Interest deposit (0.10%) interest $ 28A1 2/26/2010 interest deposit (0.10%) interest $ 22.06 3/31/2oio Interest deposit (0.10%) interest $ 25.13 4/30/2010 Interest deposit (0.20%) interest $ 42.59 5/31/2010 interest deposit (0.20%) interest $ 42.60 6/10/2010 Harris County tax collections county TIRZ payment $ 257,543.00 6/22/2010 City of La Porte tax collections city TIRZ payment $ 582,670.33 6/22/2010 LPISD tax collections ISO TIRZ payment $ 512,646.62 6/30/2010 Interest deposit (0.20%) interest $ 122.57 7/31/2010 Interest deposit (0.20%) interest $ 130.46 8/31/2010 Interest deposit (0.20%) interest $ 102.74 9/30/2010 Interest deposit (0,20%) interest $ 95.55 10/20/2010 City of La Porte prior year increment adjustment $ 189,261.05 10/29/2010 Interest deposit (0,20%) interest $ 51.37 11/30/2010 Interest deposit (0.109A) Interest $ 67.56 12/31/2010 Interest deposit (0.10%) interest $ 65.46 1/31/2011 Interest deposit (0,10%) interest $ 65.46 2/28/2011 Interest deposit (0.10%) interest $ 59.13 3/31/2011 Interest deposit (0.10%) interest $ 65.47 4/29/2011 Interest deposit (0.10%) interest $ 61.21 5/31/2011 Interest deposit (0.10%) interest $ 66,05 6/16/2011 Wire xfer City of La Porte city TIRZ payment $ 717,580.58 6/16/2011 Wire xfer City of La Porte city TIRZ payment $ 591,594.44 6/30/2011 Interest deposit (0.10%) interest $ 115.72 7/25/2011 Wire xfer City of La Porte county TIRZ payment $ 171,528.00 7/29/2011 Interest deposit (0.10%) interest $ 166.23 8/31/2011 Interest deposit (0.05%) interest $ 139.39 9/30/2011 Interest deposit (0.05%) interest $ 41.88 10/31/2011 Interest deposit (0.05%) interest $ 6.98 11/30/2011 Interest deposit (0.05%) interest $ 41.88 12/31/2011 Interest deposit (0.05%) interest $ 41.88 1/31/2012 Interest deposit (0.05%) Interest $ 44.67 2/29/2012 Interest deposit (0.05%) interest $ 40.04 3/30/2012 Interest deposit (0.05%) Interest $ 41.32 4/30/2012 interest deposit(0.05%) interest $ 42.46 5/24/2012 Wire xfer City of La Porte city TIRZ payment $ 591,728.53 5/24/2012 Wire xfer City of La Porte city TIRZ payment $ 483,366.12 5/31/2012 interest deposit (0.05%) interest $ 54.15 6/25/2012 Wire xfer City of La Porte county TIRZ payment $ 215,582.00 6/29/2012 Interest deposit (0.05%) interest $ 83.82 7/31/2012 Interest deposit interest $ 100.32 8/31/2012 Interest deposit interest $ 92.56 9/28/2012 Interest deposit interest $ 45.36 10/31/2012 Interest deposit interest $ 53.24 11/30/2012 Interest deposit interest $ 48.37 12/31/2012 Interest deposit interest $ 49.99 1/31/2013 Interest deposit interest $ 49.99 2/28/2013 Interest deposit interest $ 38.04 Total, Revenues $ 4,777,742.77 1 $ 4,777,741.77 Cleared Bank Expenses Cheeks paid: 11/23/2009 #127 Part Crossing LIP developer reimbursement $ 165,769.15 11/19/2009 #118 Hawes Hill Calderon LLP Inv 3385, 3400, M21 $ 7,937.24 2/25/2o10 #120 Hawes Hill Calderon LLP Inv 3$14, 3466, 3515 $ 7,552.62 3/31/2010 #119 Patillo Brown & Hill LLP intaft bfiling, audit $ 3,000.00 6/30/2010 #121 VOID CHECK error M account posting $ - 7/8/2010 #122 Pattillo, Brown & Hill LLP audit renal invoice $ 150.00 7/1/2010 #123 Hawes Hill Calderon LLP Inv 3523, 3585, 3586, 3614 $ 10,072.29 7/7/2010 #124 Port Crossing developer reimbursement 1,033,512.91 8/5/2010 R125 City of La Porte meeting expenses 266.67 8/27/2010 #126 Hawes Hill Calderon LLP lnv3642,3666 5,640.07 4/27/2011 #127 Hawes Hill Calderon LLP Inv3766-3874 17,686-39 8/22/20111 #128 Port Crossing Land LP developer reimbursement 1,211'5,754.00 8/18/2011 11129 Hawes Hill Calderon LLP Inv 3936,3937,3938,21954 9,763.04 2/6/2012 #130 Hawes Hill Calderon LLP Inv4064 $ 13,685.83 4/9/2012 #131 McCall Gibson Swedlund Barfoot PLLC interim billing -audit $ 4,000.00 4/9/2012 #132 Hawes Hill Calderon LLP Inv 41G9 $ 3,926.83 8/23/2012 #133 Hawes Hill Calderon LLP b)v 4135,4170, 11214,426 $ 9,835.85 8/29/2012 #134 Port Crossing Land LP developer reimbursement $ 1,095,875.46 9126/2012 #135 McCall Gibson Swedlund Barfoot PLLC 2011 audit, final bill $ 2,400.00 9/26/2012 #136 Hawes Hill Calderon LLP Inv 4241 $ 3,55030 2122/2011 #137 McCall Gibson Swedlund Barfoot PLLC 2012 audit interim big $ 4,500.00 2/812013 #138 Hawes Hill Calderon LLP inv43014333 $ 11,537.90 2/12/2013 #139 Harris County Treasurer Inv AH002859 $ 166,594.19 2/13/2023 #140 City of La Porte trunkline project $ 130,500D0 Total, Checks paid $ actakfees. 6/18/2010 Wire transfer 6/22/2010 Wire transfer 6/22/2010 Wire transfer 10/20/2010 Wire transfer 6/16/2011 Wire transfer 6/16/2011 Wire transfer 7/25/2011 Wiretransfer Total, Bankfees Checks outstanding None Total, Checks outstanding service fee $ 8.00 service fee $ 8.00 service fee $ 8.00 service fee $ &GO servicefee $ 10.00 servicefee $ 10.00 service fee $ 10.00 3,913,511,14 62.00 Checks submitted for approval 3/27/2013 #141 City of La Porte URZ ad'min fee 2013 $ 160,767.62 3/27/2013 #142 Hawes Hill Calderon LLP Inv. 43014375 $ 3,606,75 Total, checks submitted $ 164,374.37 Total expenses $ 4,077,947.51 Fund balance, Operating Account as of March 27, 2013 L 41 to y N Z4 STATEMENT OF ACCOUNT CITY OF LA PORTE 604 W FAIRMONT PARKWAY LA PORTE, TX 77571 (261) 471-5020 TO: LA PORTE REDEVELOPMENT AUTHORI ATTN: DAVID HAWES PO BOX 22167 HOUSTON, TX 77227 PAGE 1 DATE: 3/05/13 CUSTOMER NO: 1905/144427 TYPE: MS - MISCELLANEOUS CHARGE DATE DESCRIPTION REF -NUMBER DUE DATE TOTAL AMOUNT 2/05/13 BEGINNING BALANCE .00 TIRZ 2/12/13 TIRZ ADMINISTRATION FEE '12363 3/04/13 160,767.62 5% ADMIN FEE 2010 - 51,274.50 9011 - 55,370.56 2012 - 54,122.56 TIRZ3 2/12/13 LOAN REPAYMENT 12364 3/04/13 130,500.00 REDEVELOPMENT AUTHORITY 2/12/13 PAYMENT 130,500.00- FOR BILLING ASSISTANCE --CONTACT DANIELLE @ EXT 5043 **ONLINE PYMNT NOW AVAILABLE @ WWW.LAPORTETX.GOV** CURRENT OVER 30 DY OVER 60 DY OVER 90 DY - ---------------------------------------- __------------ 160767.62 DUE DATE: 3/25/13 PAYMENT DUE: 160,767.62 TOTAL.DUE: $160,'767.62 PLEASE DETACH AND SEND THIS COPY WITH REMITTANCE DATE:. 3/05/13 DUE DATE: 3/25/13 CUSTOMER NO: 1905/144427 REMIT AND MAKE CHECK PAYABLE TO: CITY OF LA PORTE ATTN: ACCOUNTING DIVISION 604 WEST LFAIRMONT PARKWAY LA PORTE TX 77571 (281) 471-5020 NAME: LA PORTE REDEVELOPMENT AUTHORI TYPE: MS - MISCELLANEOUS TOTAL DUE: $160,767.62 Hawes Hill Calderon LLP P.O. Box 22167 Houston TX 77227-2167 Bill To: T1RZ -La Porte # 1 604 W. Fairmont Pkwy. La Porte, TX 77571 Invoice #: 43014375 Date: 3/25/2013 Page: I Invoice Terms: C.O.D. NOTICE OF ME, ETING OF . I I I It, A -- I I I 10 N El 11OLIVA =1 NO 13101 Walam Notice is hereby given of the meeting of the La Porte Tax Increment Reinvestment Zone to be held Wednesday, March 27, 2013,at 6:30 p.m. in the Council Chambers of City Hall, 604 West Fairmont Parkway, La Porte, Texas, for the purpose of considering the following agenda items: 1. Call to order — Lindsay Pfeiffer, President 2. Consider approval of the: minutes of Board of Directors meeting held on February 6, 2013; 3. Consent agenda — any item may be removed by a board member for discussion • Entertain motion and a second to approve the TIRZ items in the same form and manner as was approved in the previous R6development Authority meeting — Lindsey Pfeiffer, Chairperson a. Consider FY 2012 Redevelopment Authority audit; b. Receive report from city, staff and developers with regard to development within the boundaries of the tax increment reinvestment zone; c. Consider approval or other action with regard to authority invoices; d. Board member comments with regard to matters appearing on agenda and inquiry of staff regarding specific factual infonnation or existing policy; e. Adj ournment. In compliance with the American Disabilities Act, the City of La Porte City will provide for reasonable accommodations, for persons attending public meetings. To better serve attendees, requests should be received 24 hours prior to the meetings. Please contact Patrice Fogarty, City secretary, at 281-470-5019 or TDD 281-471-5030. A possible quorum of city council members may be present at this meeting and participate in discussions but will take no action. David W. Hawes Executive Director 0-10U--O-U-Iej La Porte Tax Increment Reinvestment Zone Number One City of La Porte, Texas Minutes of the Board Meeting Held February 6, 2013 1. Call to order — Doug Martin, Vice Chair; The Board of Directors of the La Porte Tax Increment Reinvestment Zone Number One, City of La Porte, Texas, held a regular meeting, open to the public, on the 6`1' day of February, 2013 at 6:30 p.m. The meeting was called to order by Vice Chair Doug Martin at 7:04 p.m. in the City Council Chambers of the City council conference Room, 604 West Fairmont Parkway, LaPorte, Texas; and the roil was called of the duly appointed members of the Board, to wit: Peggy Antone Position 1 - Secretary Dave Turnquist Position 2 Alton Porter Position 3 Horace Leopard Position 4 Doug Martin Position 5 — Vice Chair JJ Meza Position 6 Lloyd Graham Position 7 Chester Pool Position 8 Lin Pfeiffer Position 9 - Chair and all of the above were present except Chair Pfeiffer and Directors Meza and Porter, thus constituting a quorum. Also present at the meeting were David Hawes, Hawes Hill Calderon, L.LP; Traci Leach, City of LaPorte; and Virginia Blake, McCall Gibson Swedlund Barfoot, P.L.L.C. 2. Consider approval of the minutes of the Board of Directors meeting held on September 26, 2012; Upon a motion duly made by Director Turnquist, and being seconded by Director Meza, the Board voted unanimously to approve the minutes of the September 26, 2012 Board meeting as presented. 3. Consent Agenda — any item may be removed by a board member for discussion Entertain a motion and a second to approve the TIRZ items in the same form and manner as was approved in the previous Redevelopment Authority meeting; a. Consider FY 2012 Redevelopment Authority audit; b. Consider payments for infrastructure improvements to City of La Porte and Harris County; c. Receive report from city, staff and developers with regard to development within the boundaries of the tax increment reinvestment zone; d. Consider approval or other action with regard to authority invoices; e. Board member comments with regard to matters appearing on agenda and inquiry of staff regarding specific factual information or existing policy; f. Adjournment. Upon a motion duly made by Director Antone, and being seconded by Director Leopard, the Board voted unanimously to adopt the Consent Agenda and to approve all TIRZ items in the same form and manner as they were approved in the previous Redevelopment Authority meeting. The Board meeting adjourned at 7:05 p.m. SIGNED: TITLE: ATTEST: TITLE: DATE: DATE: