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HomeMy WebLinkAboutAgenda_GEDCO_10.26.2015Notice of Meeting for the Georgetown Economic Development Corporation and the Governing Body of the City of Georgetown October 26, 2015 at 3:30 PM at the City Council Chambers, located at 101 E. 7th Street, Georgetown, TX 78626 The City of Georgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require assistance in participating at a public meeting due to a disability, as defined under the ADA, reasonable assistance, adaptations, or accommodations will be provided upon request. Please contact the City at least four (4) days prior to the scheduled meeting date, at (512) 930-3652 or City Hall at 113 East 8th Street for additional information; TTY users route through Relay Texas at 711. Legislative Regular Agenda A Consideration and approval of the minutes for Georgetown Economic Development Corporation for the Regular Meeting held Monday, August 17, 2015--Kevin Kelly, Secretary B Consideration of the August 31 and September 30, 2015, Financial Reports-Debbie Mitchell C Discussion and possible action regarding the benefit of commissioning a retail market study to conduct research and provide recommendations to enhance existing retail areas and increase retail tenancy in the Georgetown Community-Mark Thomas, Economic Development Director and David Morgan, General Manager D Discussion and possible action regarding the Project Progress Report—Mark Thomas, Economic Development Director E Action out of Executive Session. Executive Session In compliance with the Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes, Annotated, the items listed below will be discussed in closed session and are subject to action in the regular session. F Sec. 551.071: CONSULTATION WITH ATTORNEY Consultation with attorney regarding legal issues related to agenda items and other matters in which (1) when the governmental body seeks the advice of its attorney about: (A) pending or contemplated litigation; or (B) a settlement offer; or (2) on a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with this chapter. G Section 551.072. DELIBERATIONREGARDING REAL PROPERTY Discussion and possible action to deliberate the purchase,exchange, lease or value of real property for purposes authorized by the Development Corporation Act which discussion in open session would have adetrimental effect on negotiations with third persons. H Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS. Deliberation regarding commercial or financial information that the corporation has received from Page 1 of 22 a business prospect that the Georgetown Economic Development Corporation seeks to have locate, stay, or expand in or near the territory of the City of Georgetown and with which the Corporation is conducting economic development negotiations; and/or deliberation regarding the offer of a financial or other incentive to a business prospect that the Corporation seeks to have locate, stay, or expand in or near the territory of the City of Georgetown. CERTIFICATE OF POSTING I, Shelley Nowling, City Secretary for the City of Georgetown, Texas, do hereby certify that this Notice of Meeting was posted at City Hall, 113 E. 8th Street, a place readily accessible to the general public at all times, on the ______ day of __________________, 2015, at __________, and remained so posted for at least 72 continuous hours preceding the scheduled time of said meeting. ____________________________________ Shelley Nowling, City Secretary Page 2 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Consideration and approval of the minutes for Georgetown Economic Development Corporation for the Regular Meeting held Monday, August 17, 2015--Kevin Kelly, Secretary ITEM SUMMARY: ATTACHMENTS: 1. Draft Minutes for the Regular Meeting held Monday, August 17, 2015 FINANCIAL IMPACT: None SUBMITTED BY: Kevin Kelly, Corporate Secretary ATTACHMENTS: Description Type Minutes Cover Memo Page 3 of 22 GEDCO Minutes August 17, 2015 Page 1 of 2 Minutes of the Meeting of the Georgetown Economic Development Corporation And the Governing Body of the City of Georgetown, Texas August 17, 2015 The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on Monday, August 17, 2015. Members Present: Steve Fought, Hugh Brown, Kevin Kelly, Rachel Jonrowe, Bill Mateja, Ty Gipson, Jeff Parker Staff Present: David Morgan, City Manager, Jim Briggs, Assistant City Manager, Mark Thomas, Economic Development Director; Micki Rundell, Finance Manager; Paul Diaz, Budget Manager; Skye Masson, Assistant City Attorney; Tina Dunbar, Administrative Assistant; Conchita Gusman, Program Manager MINUTES Call to Order at 03:30PM Legislative Regular Agenda A Consideration and approval of the minutes of the Georgetown Economic Development Corporation for the Regular Meeting held Monday, June 1, 2015 – Kevin Kelly, Secretary Motion by Brown, second by Mateja to approve the corrected Georgetown Economic Development Corporation minutes for the Regular Meeting held Monday, April 1, 2015. (Approved 7-0) B Presentation regarding sales tax forecasting, FY2015 year-end projections and the FY2016 sales tax budget projections – Paul Diaz, Budget Manager Diaz made the presentation and answered questions from the Board C Consideration of the May 31, June 30 and July 31, 2015 Financial Reports-Micki Rundell, Finance Manager Rundell presented the financial reports and answered questions from the Board Page 4 of 22 GEDCO Minutes August 17, 2015 Page 2 of 2 D Consideration and possible action to approve the GEDCO 2015/16 budget - Micki Rundell, Finance Manager Rundell presented the 2015/2016 budget and answered questions from the Board Motion by Brown, second by Kelly to approve the budget as presented (Approved 7-0) E Consideration and possible action regarding the Administrative Services Contract between the City of Georgetown and the Georgetown Economic Development Corporation - Micki Rundell, Finance Manager Rundell explained the contract and answered questions from the Board Motion by Jonrowe, second by Gipson to approve the Administrative Contract as presented (Approved 7-0) F Discussion and possible action regarding the Project Progress Report—Mark Thomas, Economic Development Director Mark went through the items on report and answered questions from the Board Executive Session In compliance with the Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes, Annotated, the items listed below will be discussed in closed session and are subject to action in the regular session. G Action out of Executive Session No Executive Session or action taken The meeting was adjourned at 4:30PM Attest: ______________________________ ___________________________________ Kevin Kelly, Corporate Secretary Steve Fought, President Page 5 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Consideration of the August 31 and September 30, 2015, Financial Reports-Debbie Mitchell ITEM SUMMARY: See Attachment FINANCIAL IMPACT: None SUBMITTED BY: Debbie Mitchell, Sr. Accountant ATTACHMENTS: Description Type Financial Report Cover Memo Page 6 of 22 5 5 Page 7 of 22 [BJ lnterlocal Agreement Supplies Special Services Travel & Training Debt Service DisperSal Economic Development Projects -Undetermined Molecular Templates Inc (MTI) Airborn-8/12/08 (Year 3) Speculative Commercial Building Freeport Exemption Study Tasus Texas Life Sciences CC Economic Development Projects (3,461 ,445) (69,000) (66,316) (70,000) (6,000) (67,500) (3,740,261) NOTES: [Aj [Bj This report reflects only sales tax revenues received or retained in-house through the report date. Includes $47,000 loan repayment from Radix. Page 1 Page 8 of 22 Current Assets (cash) Texstar & Texas DAILY, GEDCO Investments -Certificates of Deposit & Money Market Accounts Accounts Receivable Total Cash on Hand 3,699,184 1,506,179 4,000 5,209,363 Page2 Page 9 of 22 T 0 L S P.EGULJl_R CHECKS: ~-Li\.ND CHECKS : DRZ~;.FTS: EF'T: NON CHECKS: CHECKS: ERE.ORS 0 03 NO 0 0 0. 00 BAL'\JK: ~S!·IGUNT c, 582. .00 0 .00 .00 () .00 0 .OC .00 :J .00 0 0 .00 u. P210UNT .10 2' 0. . lO Page 10 of 22 [8] Debt Service DisperSol Economic Development Projects-Undetermined Molecular Templates Inc (MTI) Airborn-8/12/08 (Year 3) Speculative Commercial Building Freeport Exemption Study Tasus Texas Life Sciences CC Economic Development Projects Reservations Contingency = 90 days sales tax receipts 201412015 (99,783) (3,461 ,445) (69,000) (66,316) (70,000) (6,000) (67,500) 343,219 201412015 (50,000) (69,000) (6,000) 150,000 (275,000) 343,219 1,500,000 8/3112015 (50,000) (69,000) NOTES: [A] [8] This report reflects only sales tax revenues received or retained in-house through the report date. includes $47,000 loan repayment from Radix. Variance Budget Variance Year to Date -4% (106,849) 154% 0% -75% 0% 58% Page 1 Page 11 of 22 Current Assets (cash) Texstar & Texas DAILY, GEDCO Investments-Certificates of Deposit & Money Market Accounts Accounts Receivable Total Current Assets 3,598,972 1,506,179 8,000 5,113,151 Page2 Page 12 of 22 VENDOR SE'L BANK: JPI•1 DATE RF-...NGE: /2015 'T'HRU 8/31/2015 VENDOR I.D. 010740 ·1021 T 0 T A L s REGULAR CHECKS: HAND CHECKS: DRAFTS: EFT: NON CHECKS: VOID CHECKS: TOTAL ERRORS: 0 VENDOR SET: 03 BANK: BANK: JPM TOTALS: REPORT TOTALS: JPM BUTLERS L)U\ESIDE SERVICES LLC DATA CTR t\TORLD CONFERNCE NO l 0 0 0 0 0 VOID DEBITS VOID CREDITS NO TOTALS: 1 8 STATUS R CHECK Dl\TE 8/06/2015 0. 00 0. 00 IN-VOICE ANOUNT 4,027.25 INVOICE ANOUNI 4,027.25 0.00 0.00 0.00 0.00 0.00 INVOICE A\'10UNT 4,027.25 5,496.82 5,496.82 CHEC't': DISCOUNCC' NC 214924 DISCOUNTS 0.00 0. 00 0. 00 0. 00 0 .00 0.00 DISCOUNTS 0.00 0 .00 .00 CHECK STATUS CHECK 4,027.25 CHECK ANOUNT 4 027.25 0.00 0.00 0.00 0.00 CHECK 4' .25 4,027.25 4,027.25 Page 13 of 22 As of September 30, 2015 Sales Tax History October $ 68,384 $ 66,121 $ 70,264 $ 86,324 $ 91,863 $ 98,094 $ 6,231 6.78% November 68,995 77,461 74,472 82,083 99,552 102,891 $ 3,339 3.35% December 95,488 116,780 111,968 117,582 134,682 143,774 $ 9,092 6.75% January 59,842 67,968 73,177 82,714 89,357 87,695 $ (1,662) -1.86% February 56,253 57,904 72,946 77,890 86,901 89,107 $ 2,206 2.54% March 95,911 108,015 105,822 115,564 114,355 123,951 $ 9,596 8.39% April 70,351 72,100 81,362 84,420 106,002 102,671 $ (3,331) -3.14% May 67,203 73,307 80,919 94,412 112,572 95,699 $ (16,873) -14.99% June 105,435 101,012 99,664 114,132 123,306 130,589 $ 7,283 5.91% July 82,159 69,781 89,969 92,765 102,435 108,994 $ 6,559 6.40% August 74,900 75,202 85,792 92,735 98,015 102,888 $ 4,873 4.97% September Total YTD 844,922 885,651 946,353 1,040,622 1 '159,040 i ,186,353 27,313 2.36% Notes: [a] Sales tax revenue from the Stale Comptroller is received two months in arrears. Sales tax for February will actually be received in April. $160,000 $140,000 $120,000 II) $100,000 (!) :::'l I:: $80,000 (!) :> (!) $60,000 0:: $40,000 $20,000 $- Page 14 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Discussion and possible action regarding the benefit of commissioning a retail market study to conduct research and provide recommendations to enhance existing retail areas and increase retail tenancy in the Georgetown Community-Mark Thomas, Economic Development Director and David Morgan, General Manager ITEM SUMMARY: The GEDCO Board is being asked to consider the benefit of commissioning a retail market study to conduct research and provide recommendations to enhance existing retail areas and increase retail tenancy in the Georgetown Community. The study should include a market analysis and merchandising plan that will lead to active recruitment of prominent retailers and increase the overall tenancy of those retailers in the community. These efforts are considered to be an integral part of the City’s overall strategies to maximize the economic development retention and recruitment opportunities to strengthen our tax base within the community. FINANCIAL IMPACT: To be determined. SUBMITTED BY: Shirley J. Rinn on behalf of David S. Morgan, City Manager Page 15 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Discussion and possible action regarding the Project Progress Report—Mark Thomas, Economic Development Director ITEM SUMMARY: The GEDCO Board has requested that staff provide a project progress and status report at each meeting on all of the active projects discussed by the Board. ATTACHEMENT: 1. Project Status Report FINANCIAL IMPACT: N/A SUBMITTED BY: Mark Thomas, Economic Development Director ATTACHMENTS: Description Type Project Report Cover Memo Page 16 of 22 Project Project Description Approved by Council Funded Monitoring Compliance Closed Citigroup $1.3 Million Grant for wastewater infrastructure disbursed in April 2008. 12/12/2006 Funded April 2008 Approved and completed; Monitoring Compliance No Radix BioSolutions, Ltd. Provided grant to assist with the work and future plans of Radix BioSolutions at the TLCC. Agreement approved by GEDCO on February 9, 2010 and Council approved the Agreement at its March 9, 2010 Meeting. Radix paid back $47K on 3/15/15.3/9/2010 Funded May 13, 2010 Yes, Final compliance date is March 2018 No Lone Star Circle of Care Provided a grant not to exceed $387,000 for Qualified Expenditures for future site improvements at 205 East University Avenue, Georgetown, Texas. Loan Agreement and Promissory Note have not been executed. Agreement approved by GEDCO on June 23, 2011 and Council approved the Agreement at its June 28, 2011 Meeting. 6/28/2011 Funded November and December 2011 Yes, Final Compliance Date is July 28, 2016 No. Grape Creek Provide a grant not to exceed $447,000 for Qualified Expenditures for the lease/purchase and future site improvements at 101 E. 7th Street and 614 Main Street for the operation of a winery on the Downtown Square in Georgetown Agreement approved by GEDCO on July 25, 2011 and Council approved the Agreement at its August 23, 2011 Meeting. Fourth Amended Performance Agreement, Lease Agreement, and Promissory Note was approved by GEDCO on August 20, 2012 and by the City Council on August 28, 2012. TIRZ Agreement for $60,000 approved by City Council on 9-11-12. 8/23/2011 Funded Yes, Final Compliance is March 2018.No Georgetown Winery Provide a grant not to exceed $70,000 for Qualified Expenditures described as equipment for wine production and an agreement to maintain and operate the existing winery in Georgetown. Agreement approved by GEDCO on July 25, 2011 and Council approved the Agreement at its August 23, 2011 Meeting. 8/23/2011 Funded Yes, Final Compliance Date is June 30, 2016 No DiFusion Technologies Provide a grant not to exceed $92,000 for Qualified Expenditures described as an ICP Spectrometer to be purchased by TLCC to be leased to Dufusion under the terms of the Performance Agreement. Qualified Expenditure to remain the Property of GEDCO unless transferred to DiFusion per the terms of the Performance Agreement.Agreement approved by GEDCO on October 17, 2011 and November 21, 2011 and Council approved the Agreement at its December 13, 2011 Meeting. The GEDCO Board approved additional requirements for the Performance Agreement on May 21, 2012. Approved by Council on July 10, 2012. In process of resolving compliance issues with TLCC.7/10/2012 Funded Yes, Final Compliance Date is July 31, 2015 No GEDCO PROJECT UPDATE AND STATUS REPORT October 26, 2015 Page 17 of 22 Project Project Description Approved by Council Funded Monitoring Compliance Closed GEDCO PROJECT UPDATE AND STATUS REPORT October 26, 2015 Georgetown Indpendent School District Provided a grant not to exceed $200,560 for the purchase of qualified expenditures related to the equipment for the Engineering Program and Laboratories at Georgetown and East View High Schools. GISD will offer the MSSC Certifications, implement a Job Placement Program, provide and annual report and annual tour of the facilities to the GEDCO Board. Agreement was approved by GEDCO on September 17, 2012 and the City Council on September 25, 2012. The GEDCO Board approved the GISD request to amend the Performance Agreement to allow the purchase different equipment than outlined in the original agreement on November 18, 2013. 9/17/2012 Partially Funded. Yes. Final Compliance based on life of equipment. No Texas Life Sciences Collaboration Center (3) Provide a grant of $150,000 for the maintenance of the TLCC. Performance Agreement approved by GEDCO on 10/17/14. 11/11/2014 Funded Dec. 2014 Yes. Final Compliance October 31, 2015 No. The Rivery at Summit Conference Center Provide a grant not to exceed $4.5 Million for Public Infrastructure Improvements. Approved by the GEDCO Board on November 18, 2013. Approved by the City Council on December 10, 2013. 12/10/2013 Not Funded Yes.Construction Deadline is June 30, 2016. No. TASUS Texas Corporation Provide a grant of $67,500 for job creation related to expansion of manufacturing facilities. Approved by the City Council on February 25, 2014 and approved by the GEDCO Board on February 17, 2014 2/25/2014 Not Funded Yes. Final Compliance May 31, 2017 No. Radiation Detection Corporation Provide a grant of $320,000 for job creation related to the relocation of the corporate offices to Georgetown. Approved by City Council and GEDCO on July 23, 2013. 7/23/2013 Funded Yes. Final Compliance December 31, 2021 No DisperSol Provide a grant of $250,000 for job creation related to expansion of manufacturing facilities. Approved by the GEDCO Board on August 18, 2014. Company earned $50K (= 10 eligible positions at $10/job). Check delivered 4/17/15 to company. 10/16/2014 Partially Funded Yes. Final Compliance February 15, 2019 No. Page 18 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Action out of Executive Session. ITEM SUMMARY: FINANCIAL IMPACT: None SUBMITTED BY: Bridget Chapman, City Attorney Page 19 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Sec. 551.071: CONSULTATION WITH ATTORNEY Consultation with attorney regarding legal issues related to agenda items and other matters in which (1) when the governmental body seeks the advice of its attorney about: (A) pending or contemplated litigation; or (B) a settlement offer; or (2) on a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with this chapter. ITEM SUMMARY: FINANCIAL IMPACT: N/A SUBMITTED BY: Bridget Chapman, City Attorney Page 20 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Section 551.072. DELIBERATIONREGARDING REAL PROPERTY Discussion and possible action to deliberate the purchase,exchange, lease or value of real property for purposes authorized by the Development Corporation Act which discussion in open session would have adetrimental effect on negotiations with third persons. ITEM SUMMARY: FINANCIAL IMPACT: n/a SUBMITTED BY: Bridget Chapman, City Attorney Page 21 of 22 City of Georgetown, Texas Georgetown Economic Development Corporation October 26, 2015 SUBJECT: Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS. Deliberation regarding commercial or financial information that the corporation has received from a business prospect that the Georgetown Economic Development Corporation seeks to have locate, stay, or expand in or near the territory of the City of Georgetown and with which the Corporation is conducting economic development negotiations; and/or deliberation regarding the offer of a financial or other incentive to a business prospect that the Corporation seeks to have locate, stay, or expand in or near the territory of the City of Georgetown. ITEM SUMMARY: FINANCIAL IMPACT: N/A SUBMITTED BY: Bridget Chapman, City Attorney Page 22 of 22