If transparency were a magic act, Frisco City Hall would be pulling rabbits out of hats while the real answers disappear up their sleeves. Welcome back to our ongoing tale of smoke, mirrors, and municipal mystery, The Phantom of Frisco saga. Now, in Part 2, we go deeper into the back corridors, where the stage props and “public meetings” feel more like rehearsed performances for an audience of none.  Enjoy our final blog that expresses the last of concerns we have and we hope it lifts the curtains so you can see who’s really pulling the strings.

Community Arts vs Broadway:

For years, the Frisco Arts community was pushing the need for a community theater where residents could perform musicals, art shows and more.  How did that turn into bringing Broadway to Frisco?  Do we NEED Broadway – No!  Do we NEED a COMMUNITY THEATRE EVENT SPACE – Yes!   We have a lot of local groups who could benefit from it.  A community theater event space would have a much smaller price tag than what the city is pitching today.  The city and Tammy Meinershagen, the leader of Frisco Arts, are no longer thinking about the needs of Frisco residents or the Frisco Arts Community. 

Backstage Pass to PAC Mentality

Smart Frisco is a local political action committee that supports Proposition A & B.    We were open to learning more but then they did a post with the caption It’s Free!  Immediately we wondered who is behind Smart Frisco?  Who is running Smart Frisco?  Who is funding Smart Frisco?   NOTHING IS FREE!   

The first report filed for the PAC is the Treasure Report which lists the name Heather Eastburn.  We simply googled her name at that point to find out she was arrested in April 2023 for “Assault Causes Bodily Injury of a Family Member” and thought is this someone we should trust to tell us it’s free!  Then we found out Eastburn used the excuse of being INDIGENT to bond out.  That means the party of the original action is unable to afford the costs of paying or giving security costs (bond).   Eastburn’s credibility was in question simply because she claims indigency to get free bond/lawyer all while telling Frisco Residents that the $340 million performing arts center IS FREE and WON’T COST US A CENT!  Eastburn has a layer of problems we won’t expose here but, in the future, maybe fix your home before trying to take money from our pockets through sales tax.

Who is funding Smart Frisco?  

The answer, Smart Frisco has been flushed with $20,000 in cash by Frisco North Development LLC, which is owned by the Wilks Brothers, who are building Firefly Park in Frisco.  Firefly is slated to be a $2.5 to $4 BILLION dollar project located next to what could be the home of the future FCFA.  Clearly having a Frisco Arts Center next to their billion-dollar development would benefit them greatly.

Then you have Councilman Bicycle Bill Woodard who donated to the PAC.  He has done this before when he ran the PAC against the Frisco Firefighters in 2024.  Why does his involvement make us cautious?  Our city is constantly in the news, and every picture taken has our council front and center at events.  When you want to use the excuse “I am doing this as a private citizen not a council member” we don’t buy it!  We have proven that the PAC last year used city resources which Bill could have only had access to as a councilman and to us you can’t play both sides.   Residents give more credibility to what he says because he is in a position of leadership versus another PAC run by regular ole joes!  When a PAC is funded 99% by a developer, and the voice for the PAC is a city council member – that concerns us!   

Letter of Intent (LOI) – Language Semantics at play! 

How does semantics play into an LOI?  Semantics is the meaning or interpretation of a word or sentence.  A letter of intent (LOI) is a formal written document expressing a party’s intention to enter into a contract or agreement. It outlines the main terms of the future agreement and shows a serious commitment to a deal. LOIs are preliminary to any formal dealsor terms and are designed to be general and non-legally binding.

Pay attention to the key words in the definition which are intention, agreement, commitment, preliminary, and non-legally binding.  The City Council wants us to vote on changing the use of funds in our EDC based on a commitment, preliminary, non-legally binding agreement.  Some would say it is filled with semantical words, depending on how you interpret them.

On April 1^st, the city council authorized a LOI with Frisco Live for them to be the operator-at-risk for the new FCFA.  We reviewed the 8-page Venue Operator Letter of Intent and the first thing to catch our eye was the following which states, “Frisco Live is a Texas non-profit corporation formed by Broadway Dallas and Broadway Across America.”  Then it goes on to say they will make the best effort to obtain tax-exempt status, however if they don’t the parties will still move forward.  

Why does this matter?  The non-profit with a tax-exempt status is to help them with FUNDING!  Remember, the last $100 million must come from donors or heavy hitter sponsors. This is the biggest piece of “the unknown” pie that residents should be concerned with.  According to the IRS website, “Until a nonprofit receives that status—even if it operates as a nonprofit in good faith—donations to it are not deductible.  Just calling yourself a nonprofit or even being registered as a nonprofit corporation with your state is not enough for federal tax purposes.”  Why would you donate when it is not tax right off?  If they did not achieve tax-exempt status and the city moves forward anyways, then how will they cover the $100 million they are supposed to be raising from donors? 

They also stated at the meeting they had done two funding studies and had a target list so why not share the studies.  As of now we can only assume there are no donors who have signed a commitment to fill this gap.  Project Theatres has stated numerous times that most donations don’t come in an upfront lump sum – they are given over years. The city needs to state before we vote to change the use of EDC funds what will happen if they don’t get that status and where will the money come from?  Why would you vote so they can continue to move forward, spend more money on a very expensive project with so many unanswered risks.  How much do we spend without knowing the facts?  Again, residents need to ask themselves, are they willing to take a $100 million dollar risk? 

Next the LOI talks about how Frisco Live will contribute $4 Million to the FCFA Capital Campaign Fund as part of the 2025 “silent capital campaign” effort. It goes on to say the delivery of that money is contingent upon the following and is fully refundable if not meet.

1. In the event the project is canceled before completion or fails to be completed.

2. If The City of Frisco and PISD fail to get the bond issuances necessary to design and construct the project.

3. The City’s authorization and funding of the one-time maximum $8 million reserve balance split between three City administered funds.  First $6 Million for the startup “Operational Support Fund,” plus $1 Million for the “Facility Maintenance Fund” and $1Million for the “Major Capital Expense Restricted Fund.”

What caused us to be concerned?  The number $8 million because every time this slide comes up in their presentations, they say $6 Million. They have failed to highlight the two $1 Million contributions, aka they just put that in the small print. 

When we watched the April 7^th meeting a resident named Dan Elmer took to the microphone (2:20:00) and explained his background in private equity and how he is in charge of approval authority for loans for a local bank.  He said he could not vote yes for the propositions based on what was written in this LOI.  He said he was incredibly disappointed to watch the council approve this LOI especially after Councilman Brian Livingston asked the question “who are the parties to the definitive operation agreement” being discussed and no one could answer that. 

Elmer went on to say, while the consultants and council expressed Broadway Dallas and Broadway Across America, based on the current LOI that is not true.  Elmer then held up the agreement and said Page 1 – “Parties Involved” – City of Frisco and Frisco Live Inc.”   Elmer then asked, “Why does that matter?”  The structure proposed is a remote bankruptcy structure and there is no recourse to Broadway Dallas or Broadway Across America.  That would require a separate agreement. 

Elmer then asked, “What’s the role of Broadway Dallas and Broadway Across America as written in the current LOI?”  They are CONSULTANTS to Frisco Live!  That means they are providing services to Frisco Live, a Non-Profit Bankruptcy Remote Entity.  Why is that important?”  Let’s say they run out of funding, Elmer said that means they have no assets, and no one is required to step up and fund this entity as the LOI is written today. 

Elmer continued, “in order for that to happen you need a keep well agreement which is an agreement that those entities will continue to provide funding in the event of an operational loss which is not in this LOI today.”  You don’t have a guarantee of an operating agreement from Broadway Dallas /Broadway Across America.  What you do have is “THE PROMISE TO NEGOTIATE THE CONSULTING AGREEMENT AT A LATER DAY UNDER UNSPECIFIED TERMS.”  He also stated at the April 1^st meeting it was said we are not paying management fees to Broadway Dallas / Broadway Across America.  He pointed out that it is not true, we will be paying consulting fees which are stated in the LOI.  He said whatever fee arrangements are to be paid should be back end loaded to limit the fees they are paid early before the concept is proven.  Again, he stated, none of that is discussed in the LOI.  Holding up the agreement he said these are not things to be figured out in the next steps, these are material deal terms that are not in the framework of the deal.   

Elmer went on to say that he reached out to the email on the presentation and the phone number to ask what the fees are to be paid in year 1 & 2 and he got no response. He closed by stating he is not against the project, but he is against a bad deal, and this is a bad deal.  Sir, you took the words right out of our mouth!

Facility Use

We heard over and over the “Community Hall” will be shared by Prosper ISD and several local community groups.  Based on the presentation on 4/7/2025 (slide 7) it stats that Prosper ISD, community non-profit arts organizations, small community events, visual arts exhibits and regional events will occupy the facility 84% of the time.  The remaining 16% of the time it will be dark days, meaning no use.  A note at the bottom of the slide says, “community use projections INCLUDE PISD NEEDS.”

Former City Manager, George Purefoy, posted on Facebook that he was told at the open house that the local arts groups will have approximately 50% of the use of the small theater.   According to the city’s FAQ , “Prosper ISD is anticipated to be the predominant user of the Community Hall.”  Funny they don’t have consistent answers to the questions!  It must have been a typo when they left off the percentage on the answer in the FAQ.  We decided to go directly to the source… Prosper ISD that is!

We emailed the Superintendent for Prosper ISD and one of the questions we asked was what % of the time would the community theater be used by Prosper ISD.  The Chief Communication Officer responded to us, Rachel Trotter and said, “AS OF TODAY, THE SMALLER THEATER WILL BE USED 84% OF THE TIME BY PROSPER ISD.” 

Question, if Prosper is using it 84% of the time and it’s dark 16% of the time, then when are the community non-profit arts organizations, small community events, visual arts exhibits, or regional events supposed to use the facility?  The question of Prospers quantitative use of the community hall was asked this week and Gena with Project Theatres paused and never directly answered, instead she gave generic percentages as we expected.  Based on how the Universal Kids vote went down, it is our opinion that the night of the vote many will be shocked to learn some “changes” may take place leaving no availability to other groups.  We call it the Bait & Switch!

Well, they can use the large hall right?  Yes, but can they afford to rent the large hall?  Probably not!

Next, based on the usage chart, Broadway will only be using the Large Hall 15% of the time. A $340 million dollar investment for 15% of the time to be used for Broadway. Does that sound reasonable to you?

Conflict of Interest

Lastly, we point out the conflict of interest starting with Tammy Meinershagen.  She claims to be voting yes for this because she believes it is good for the community; the truth is there is no way in hell she would vote against it.  Tammy was introduced to music as a young child and plays the Violin and at age 5 she played her first concert at the Rockford Symphony Orchestra in front of 5000 people.  Her family moved to Frisco in 2004, and in Voyage Dallas Magazine article in 2018 she said, “As a professional musician and teacher, I felt a bit like a fish out of water in Frisco, and I wanted to help our city become more well-rounded.” 

Meinershagen went on to say in the article, “I began serving in many capacities regarding arts and culture, as PR/Marketing Chair of the Texas Music Teachers Association, Diversity Chair for the Frisco Council of PTA, a Board member of Frisco Public Art, and Frisco Association for the Arts. After meeting Councilman Jeff Cheney (now Frisco Mayor) in 2009, I was eventually appointed to the 2015 Citizen Bond Committee to represent the arts. It was there, that I spearheaded a successful bond initiative of $10 million in bonds for a performing arts center in Frisco.”

At the time of the article, she was serving as the Executive Director of Frisco Arts, the city official arts advocacy agency.  Our point, even if Tammy Meinershagen thought this was a bad deal – there is NO WAY SHE IS VOTING AGAINST IT.  She is blinded by her love and conflict of interest.  She knows if this does not pass it could be another 5 to 10 years down the road before another opportunity comes up.  Her conflict of interest is glaring when it comes to voting and being involved on this project.

Next up, Cheney!  He has been transparent that he wants this to be a destination city. Based on the proposed location it will help Mayor Jeff Cheney, and the Cheney Group sell more houses at the PGA (where he claims to have no exclusive contracts). It will help his friends, the Wilks brothers, and their billion-dollar development.  It will help the new PGA Entertainment District being built by Cheney’s friends (remember his former Broker). The potential millions to be made off tourism directly are the real driving force here for Cheney and his developer friends. 

Lastly Bicycle Bill – if he wants to donate from his campaign fund to the Smart Frisco PAC and be a voice for the PAC then claim he is doing it as a private citizen – we say NO WAY!  You did not donate from your personal funds, he used his campaign money, that was donated to him to help him win his run for the council.  In our humble opinion, we would say that is a conflict of interest. 

TIME TO VOTE

Where does it end?  April 22^nd starts early voting, election day is May 3^rd, and you are the deciding vote!  What we do know is that details are important, and the truth is we don’t have many details at all.  City leaders have said this is the most transparent project they have ever worked on, and you’re seeing the whole picture. But as any good illusionist knows: if you’re watching the right hand, you’re missing what the left one’s hiding.

We warned you to buckle up!  We told you the sales pitch would be coming from all angles, and it would be Oscar-worthy.  We also told you don’t be surprised when the fine print on this production budget reads: No refunds, taxpayers!

Listen to what others are telling you and look at the resume!  Former City Manager George Purefoy says this deal is no good.  Ron Patterson, who resigned after 21 years with the City of Frisco, where served as an Assistant City Manager, President of the Frisco Economic Development Corporation (EDC), and then became the Deputy City Manager and was one of the top 3 candidates to replace George upon his retirement has also said this is a bad deal.  Former City Council member Shona Sowell and current Councilman Brian Livingston are saying – no!   Cheney wants you to believe they are all idiots and they just don’t understand this deal. 

The mayor and council are banking on residents to fall for the Broadway glam, so they don’t look at the details behind the curtains. Hell, we have not even talked about the parking garage that will be needed for this project yet. Trust me, they say!  In the end, if this passes, they hope that by the time the shiny new Performing Arts Center opens, everyone will have forgotten how the money got there in the first place. Maybe they’re right. Or maybe, just maybe, Frisco isn’t as easily distracted or stupid as they think.  Know Before You Vote!

As for me? I’m just an old man who’s seen this kind of story before. When you cut corners in winemaking, you don’t get a masterpiece, you get something undrinkable. And when you cut corners in city finances, you don’t get a thriving, well-managed town. You get a mess.

Standing ovation or a total flop? Stay tuned for May 3^rd.