HomeMy WebLinkAboutAgenda_GEDCO_02.21.2022Notice of Meeting for the
Georgetown E conomic Dev elopment Corporation
of the City of Georgetown
F ebruary 21, 2022 at 4:00 P M
at Georgetown City Hall L arge Conference Room, 808 Martin L uther K ing Jr. St.
T he C ity of G eorgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you
require as s is tance in partic ipating at a public meeting due to a disability, as defined under the ADA, reas onable
as s is tance, adaptations , or ac commodations will be provided upon request. P leas e c ontact the C ity S ec retary's
O ffic e, at leas t three (3) days prior to the sc heduled meeting date, at (512) 930-3652 or C ity Hall at 808 Martin
Luther King Jr. S treet, G eorgetown, T X 78626 for additional information; T T Y users route through R elay
Texas at 711.
Regular Session
(T his R egular S es s ion may, at any time, be rec es s ed to c onvene an Exec utive S es s ion for any purpose
authorized by the O pen Meetings Act, Texas G overnment C ode 551.)
A C ons ideration and approval of the November 15, 2021 G EDC O minutes - S haron P arker, Board
Liaison.
B C ons ideration and presentation on F Y2022 G EDC O firs t quarter financ ial report - Nathan P arras ,
Assistant F inanc e Direc tor, C ity of G eorgetown
C Disc ussion regarding the S taff R eport - David Morgan, G eorgetown C ity Manager
D Ac tion out of Executive S ession
E xecutiv e Session
In c omplianc e with the O pen Meetings Ac t, C hapter 551, G overnment C ode, Vernon's Texas C odes,
Annotated, the items listed below will be dis cus s ed in c los ed session and are s ubjec t to action in the regular
s es s ion.
E Section 551.087. D E LIB E R AT ION R E G AR D IN G E C ON O MIC D E VE LOP ME N T
N E G O T IAT IO N S.
Deliberation regarding commerc ial or financial information that the c orporation has rec eived from a
bus iness pros pect that the G eorgetown Economic Development C orporation seeks to have locate, s tay,
or expand in or near the territory of the C ity of G eorgetown and with whic h the C orporation is c onducting
ec onomic development negotiations ; and/or deliberation regarding the offer of a financial or other inc entive
to a busines s prospec t that the C orporation s eeks to have loc ate, stay, or expand in or near the territory of
the C ity of G eorgetown.
P rojec t Element
Adjournment
Ce rtificate of Posting
I, R obyn Densmore, C ity S ecretary for the C ity of G eorgetown, Texas, do hereby c ertify that this Notic e of
Page 1 of 42
Meeting was posted at C ity Hall, 808 Martin Luther King Jr. S treet, G eorgetown, T X 78626, a plac e readily
acc es s ible to the general public as required by law, on the _____ day of _________________, 2022, at
__________, and remained s o posted for at leas t 72 c ontinuous hours prec eding the s cheduled time of said
meeting.
__________________________________
R obyn Dens more, C ity S ec retary
Page 2 of 42
City of Georgetown, Texas
Georgetown Economic Development Corporation
February 21, 2022
S UB J E C T:
C onsideration and approval of the November 15, 2021 G EDC O minutes - S haron P arker, Board Liais on.
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
S haron P arker
AT TAC H ME N T S:
Description Type
Minutes Backup Material
Page 3 of 42
GEDCO Minutes
October 18, 2021
Page 1 of 1
Minutes of the Meeting of the
Georgetown Economic Development Corporation
City of Georgetown, Texas
November 15, 2021
The Georgetown Economic Development Corporation of the City of Georgetown, TX, met on Monday, November 15,
2021 at 4:00 PM at City Hall, 808 Martin Luther King Jr Street, Georgetown, Texas
Members
Present: Hugh Brown, Robert Hilton, Ron Garland, Steve Fought, and Kevin Cummins.
Members
Absent: Barrie Laing and Shawn Hood
Staff
Present:
David Morgan, City Manager; Michaela Dollar, Director of Economic Development; Conchita Gusman,
Business Retention Manager, and Sharon Parker, Board Liaison.
Guest
Present: Rosa Valdez, BCL
MINUTES
Meeting called to Order at 4:00 pm
A. Consideration and approval of the October 18, 2021 GEDCO Minutes— Sharon Parker, Board Liaison
Motion to approve by Robert Hilton , 2nd by Hugh Brown . Approved 5-0,
Barrie Lang and Shawn Hood was absent. .
B. Discussion and possible action to approve a Georgetown Small business Loan Program –Michaela
Dollar, Economic Development Director.
Michaela presented to the board a proposed partnership with BCL and how the program would work
between GEDCO and BCL. Guest speaker Rosa Valdez presented the background and experience
administration these types of programs. There was discussion to request adding interest back to the
requester if they default, also would like to add living wage requirement. Add activity of the loan program to
the staff report.
Motion to approve by Hugh Brown , 2nd by Ron Garland . Approved 5-0,
Barrie Lang and Shawn Hood was absent. .
C. Discussion regarding the Staff Report -David Morgan, City Manager
• Performance Agreement Report
• Activity Report
• Other Staff Items
Michaela presented the staff report. No action needed.
Meeting adjourned at 4:50 pm
Hugh Brown, Secretary Kevin Cummins, President
Page 4 of 42
City of Georgetown, Texas
Georgetown Economic Development Corporation
February 21, 2022
S UB J E C T:
C onsideration and pres entation on F Y2022 G EDC O first quarter financial report - Nathan P arras,
As s is tant F inance Director, C ity of G eorgetown
IT E M S UMMARY:
T he corporate bylaws require the F inanc e Manager to present quarterly financial reports to the Board.
Included in these reports will be:
• F inancial reports
• S ales Tax revenues
• Monthly expenditures
• Any other relevant financial information
S ales tax revenue is two months in arrears ; therefore the revenues reflect only the amount rec eived, not
actually earned, as of the report date.
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
S haron P arker
AT TAC H ME N T S:
Description Type
GEDCO Narrative Backup Material
Pres entation Pres entation
Page 5 of 42
F GEDCO MONTHLY REPORT AS OF DECEMBER 31, 2021
Operating revenue totals $2,686,484 in FY2022 and is comprised of
sales tax and allocated interest. The budget for sales tax collections
for GEDCO is $2,661,484. Year-to-date sales tax revenue totals
$243,235, or 9.14% of budget. Through this period, sales tax
collections are up $40,468, or 19.96% over year-to-date collections
from the prior fiscal year. There is a two-month lag in sales tax
collections/reporting. As sales tax continues to perform at a high
level, staff anticipates amending the sales tax up by 4.5%. This
amended will go to Council and will be recognized in the financial
system on March 8, 2022. The City continues to see and monitor the
strong performance in sales tax.
Non-Operating revenue, which typically includes bond proceeds, is
not part of the FY2022 budget. Currently, staff does not anticipate
the need to issue debt in this fiscal year.
GEDCO
Quarterly Comparison: Q1 FY22 Budget FY2021 FY2022
FY2022 Year-to-date:
Budget Vs. Actuals Quarterly Comparison
FY2022 YTD Actuals:
Q1 FY21
YTD Actuals:
Q1 FY22 Variance % Variance Variance % Variance
Operating Revenue
40002:Sales Taxes 2,661,484 202,767 243,235 (2,418,249) 9.14% 40,468 19.96%
42001:Interest Income 25,000 10,897 1,938 (23,062) 7.75% (8,959) -82.21%
Operating Revenue Total 2,686,484 213,664 245,173 (2,441,311) 9.13% 31,509 14.75%
Non-Operating Revenue
Revenue Total 2,686,484 213,664 245,173 (2,441,311) 9.13% 31,509 14.75%
Operating expenses have a total budget of $884,873 for FY2022. Year-to-date operational expenses incurred total
$150,008, or 16.95% of budget. Operating expenses include administrative expenses, marketing costs, contractual
services, subscriptions, and operating transfers to other City funds. Administrative expenses include the allocation for City
staff to support the GEDCO fund. Year-to-date administrative expense total $86,901, or 25.00% of budget. The GEDCO
fund has dedicated funding to market the City for potential economic development. Year-to-date marketing efforts total
K
50K
100K
150K
200K
250K
300K
Q1
Sales Tax Revenue
FY2020 FY2021 FY2022
-
100,000
200,000
300,000
51001:Administrative
Expense
51003:Marketing &
Promotional
51004:Contractual
Services
51006:Subscriptions 51010:Legal Services 80001:Transfers Out
Operating Expense by Ledger
YTD Actuals W/Encumbrances FY2022 Budget
Page 6 of 42
F
$13,774, or 9.18% of budget. Contractual services include $130,000 budgeted for consulting in FY2022. GEDCO will
transfer out $202,769 in FY2022. The transfer out is to the Water fund to repay GEDCO’s portion of loan from tha Water
fund.
Non-Operating expense budget totals $1,168,048. Year-to-date non-operating expenses total $1,000,000, or 85.61% of
budget through the period. Non-Operating expenses include funding for strategic partnerships and GEDCO’s debt service
payment. GEDCO has a budget of $976,000 for economic development agreements in FY2022. Year-to-date expenses for
economic development agreements total $1,000,000 for Titan North Park. Additionally, non-operating expense is where
GEDCO’s budgets for the funds debt service payment. The debt service payment includes principal reduction of $74,511,
and an interest expense of $17,537. The debt service payment will be reflected in the Q3 report as it aligns with the City’s
annual debt payment.
GEDCO
Quarterly Comparison: Q1 FY22 Budget FY2021 FY2022
FY2022 Year-to-date:
Budget Vs. Actuals Quarterly Comparison
FY2022 YTD Actuals:
Q1 FY21
YTD Actuals:
Q1 FY22 Variance % Variance Variance % Variance
Operating Expense
Operations 682,104 146,368 150,008 532,096 21.99% (3,640) -2.49%
Transfers 202,769 - - 202,769 0.00% - 0.00%
Operating Expense Total 884,873 146,368 150,008 734,865 16.95% (3,640) -2.49%
Non-Operating Expense
Operations 1,076,000 - 1,000,000 76,000 92.94% (1,000,000) 0.00%
Debt Service 92,048 - - 92,048 0.00% - 0.00%
Operating Expense Total 1,168,048 - 1,000,000 168,048 85.61% 1,000,000 0.00%
Expense Total 2,052,921 146,368 1,150,008 902,913 56.02% (1,003,640) 786%
Ending fund balance for FY2022 is anticipated to be $1,626,288. After accounting for the contingency reserve of $665,371,
and the debt service reserve of $204,019, this fund is budgeted to have an available fund balance of $756,898.
Page 7 of 42
F
GEDCO
Period: Dec-21 Budget Current Period FY2022 Year-to-date: Budget Vs. Actuals
FY2022 Dec-21 YTD Actuals
W/Encumbrances Variance % of Budget
Beginning Fund Balance 992,725 992,725 - 100.00%
Operating Revenue
40002:Sales Taxes 2,661,484 235,905 243,235 (2,418,249) 9.14%
42001:Interest Income 25,000 247 1,938 (23,062) 7.75%
Operating Revenue Total 2,686,484 236,152 245,173 (2,441,311) 9.13%
Operating Expense
Operations 682,104 52,371 150,008 532,096 21.99%
Transfers 202,769 - - 202,769 0.00%
Operating Expense Total 884,873 52,371 150,008 734,865 16.95%
Net Operations Total 1,801,611 183,781 95,165 1,706,446 5.28%
Non-Operating Revenue
Non-Operating Expense
Operations 1,076,000 - 1,000,000 (76,000) 92.94%
Debt Service 92,048 - - (92,048) 0.00%
Non-Operating Expense Total 1,168,048 - 1,000,000 (168,048) 85.61%
Excess (Deficiency) of Total Revenue
over Total Requirements 633,563 183,781 (904,835) (1,538,398) -142.82%
Ending Fund Balance 1,626,288 1,087,890 (538,398) 66.89%
Reserves
AFR Adjustment - - - - 0.00%
Contingency Reserve 665,371 - 665,371 - 100.00%
Debt Service Reserve 204,019 - 204,019 - 100.00%
Reserves Total 869,390 - 869,390 - 100.00%
Available Fund Balance 756,898 - 218,500 (538,398) 28.87%
Page 8 of 42
Quarterly Financial
Report
Page 9 of 42
GEDCO
QUARTERLY FINANCIAL REPORT
Page 10 of 42
10
QUARTERLY FINANCIAL REPORT
GEDCO
•FY2022 Operating Revenue Budget by Sources
•Operating Revenue totals $2.7M
•Sales tax is budgeted at $2.7M
•Interest income budgeted at $25K
Page 11 of 42
11
QUARTERLY FINANCIAL REPORT
GEDCO
GEDCO
Quarterly Comparison: Q1 FY22 Budget
FY2022 YTD Actuals: Q1 FY21 YTD Actuals: Q1 FY22 Variance % Variance Variance % Variance
Operating Revenue
40002:Sales Taxes 2,661,484 202,767 243,235 (2,418,249) 9.14%40,468 19.96%
42001:Interest Income 25,000 10,897 1,938 (23,062) 7.75%(8,959) -82.21%
Operating Revenue Total 2,686,484 213,664 245,173 (2,441,311) 9.13%31,509 14.75%
Non-Operating Revenue
Revenue Total 2,686,484 213,664 245,173 (2,441,311) 9.13%31,509 14.75%
FY2021 FY2022
FY2022 Year-to-date:
Budget Vs. Actuals Quarterly Comparison
Page 12 of 42
12
QUARTERLY FINANCIAL REPORT
GEDCO
•Sales Tax
•Year-to-date sales tax revenue totals $243K, or 9.14% of budget
•FY2022 year-to-date collections are 19.96% more than FY2021 year-to-date collections
•There is a two-month lag on sales tax collections
•Sales tax is budgeted at $2.7M
19.96% 243,235
SALES TAX
K
100K
200K
300K
Q1
FY2021 FY2022
Page 13 of 42
13
QUARTERLY FINANCIAL REPORT
GEDCO
•FY2022 Operating Expense by Uses
•Administrative Expense –support from City Staff
•Transfers Out –GEDCO’s repayment to the Water Fund
•Marketing and Promotional
•Contractual Services
•Subscriptions
Page 14 of 42
14
QUARTERLY FINANCIAL REPORT
GEDCO
•FY2022 Non-Operating Expense Budget by Uses
•Economic Development Agreements
•Strategic Partnerships
•GEDCO debt service payment –principal reduction and interest expense
Page 15 of 42
15
QUARTERLY FINANCIAL REPORT
GEDCO
GEDCO
Quarterly Comparison: Q1 FY22 Budget
FY2022 YTD Actuals: Q1 FY21 YTD Actuals: Q1 FY22 Variance % Variance Variance % Variance
Operating Expense
Operations 682,104 146,368 150,008 532,096 21.99%(3,640) -2.49%
Transfers 202,769 - - 202,769 0.00%- 0.00%
Operating Expense Total 884,873 146,368 150,008 734,865 16.95%(3,640) -2.49%
Non-Operating Expense
Operations 1,076,000 - 1,000,000 76,000 92.94%(1,000,000) 0.00%
Debt Service 92,048 - - 92,048 0.00%- 0.00%
Operating Expense Total 1,168,048 - 1,000,000 168,048 85.61%1,000,000 0.00%
Expense Total 2,052,921 146,368 1,150,008 902,913 56.02%(1,003,640) 786%
FY2021 FY2022
FY2022 Year-to-date:
Budget Vs. Actuals Quarterly Comparison
Page 16 of 42
City of Georgetown, Texas
Georgetown Economic Development Corporation
February 21, 2022
S UB J E C T:
Dis cus s ion regarding the S taff R eport - David Morgan, G eorgetown C ity Manager
IT E M S UMMARY:
T he G EDC O Board has requested that staff provide a project progres s and status report at eac h meeting
on all of the ac tive projec ts dis cus s ed by the Board.
Activity R eport
P erformanc e Agreement R eport
O ther S taff Items
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
S haron P arker
AT TAC H ME N T S:
Description Type
GEDCO Activity Report Backup Material
GEDCO Active Project report Backup Material
Page 17 of 42
Economic Development Activity Report
February 2022
Page 18 of 42
Strategic Goal 1
Support existing businesses and industries
Page 19 of 42
Business Retention Activity
0
10
20
30
40
50
60
Fe
b
-
2
1
Ma
r
-
2
1
Ap
r
-
2
1
Ma
y
-
2
1
Ju
n
-
2
1
Ju
l
-
2
1
Au
g
-
2
1
Se
p
-
2
1
Oc
t
-
2
1
No
v
-
2
1
De
c
-
2
1
Ja
n
-
2
2
Visits Touches
Page 20 of 42
Business Retention Activity
•Launched second annual Business Climate Survey
•Finalizing Small Business Loan Fund program and beginning to identify
potential applicants based on BRE visits
Page 21 of 42
Strategic Goal 2
Enhance targeted recruitment of identified industries
Page 22 of 42
Leads Received
0
5
10
15
20
25
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
FY20 FY 21 FY22 Rolling 12-Month Average
Page 23 of 42
Qualified Leads
0
2
4
6
8
10
12
14
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
FY20 FY21 FY22 Rolling 12-Month Average
Page 24 of 42
Site Visits
0
1
2
3
4
5
6
7
8
9
10
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
FY20 FY 21 FY22 Rolling 12-Month Average
Page 25 of 42
Active Projects
0
10
20
30
40
50
60
70
80
Fe
b
-
2
1
Ma
r
-
2
1
Ap
r
-
2
1
Ma
y
-
2
1
Ju
n
-
2
1
Ju
l
-
2
1
Au
g
-
2
1
Se
p
-
2
1
Oc
t
-
2
1
No
v
-
2
1
De
c
-
2
1
Ja
n
-
2
2
Development Hot Warm Cold
Page 26 of 42
Additional Recruitment Activity
CelLink Ceremonial Ground Breaking
Wednesday,February 23,2022 | 9 a.m.
Page 27 of 42
Strategic Goal 3
Diversify workforce development and recruitment initiatives
Page 28 of 42
Workforce Development Activity
•Held Virtual Veterans Job Fair ( 2/3/22)
•Attended ACC Manufacturing Summit as part of Workforce Development
Alliance planning
Page 29 of 42
Strategic Goal 4
Encourage speculative development
Page 30 of 42
Speculative Development Activity
•Continued working with landowners and speculative developers on sites
including:
•NorthPark35
•Gateway35 Commerce
•Portman
•Molto
•Jackson Shaw
•Stonelake
•Woodgate
Page 31 of 42
Overall Goal
Tell our story to a broader local audience
Page 32 of 42
Other Activity
•Prepping for the 12th Annual Georgetown Swirl
•Attended MD&M East 12/6 –12/9 with the WilCo EDP
•Planning the 2022 WilCo EDP Site Selector Fam tour
•Beginning updates to 2022 Community Profile (transitioning to digital)
•Distributed Q1 e-newsletter
•Finishing the 2022 Annual Repor t
Page 33 of 42
Economic Indicators
Page 34 of 42
Unemployment Rate
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
Ja
n
2
1
Fe
b
2
1
Ma
r
2
1
Ap
r
i
l
2
1
Ma
y
2
1
Ju
n
e
2
1
Ju
l
y
2
1
Au
g
2
1
Se
p
t
2
1
Oc
t
2
1
No
v
2
1
De
c
2
1
Unemployment Rate Rolling 12-Month Average
Page 35 of 42
Sales Tax Collections
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
FY 2017 FY 2018 FY 2019 FY 2020 FY 2021
Page 36 of 42
Hotel Occupancy Tax Collections
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
$180,000
Oct Nov Dec Jan Feb Mar April May Jun Jul Aug Sep
FY17 FY18 FY19 FY20 FY21
Page 37 of 42
Construction Permit Applications
0
200
400
600
800
1000
1200
1400
1600
1800
Jan 21 Feb 21 Mar 21 Apr 21 May 21 Jun 21 Jul 21 Aug 21 Sept 21 Oct 21 Nov 21 Dec 21
# of Permits Valuation
(in millions)
Page 38 of 42
Certificates of Occupancy Issued
0
1
2
3
4
5
6
7
8
Ja
n
2
1
Fe
b
2
1
Ma
r
2
1
Ap
r
i
2
1
Ma
y
2
1
Ju
n
2
1
Ju
l
2
1
Au
g
2
1
Se
p
t
2
1
Oc
t
2
1
No
v
2
1
De
c
2
1
COs Issued Rolling 12-Month Average
Page 39 of 42
Average Wage
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
20
1
8
Q
3
20
1
8
Q
4
20
1
9
Q
1
20
1
9
Q
2
20
1
9
Q
3
20
1
9
Q
4
20
2
0
Q
1
20
2
0
Q
2
20
2
0
Q
3
20
2
0
Q
4
20
2
1
Q
1
20
2
1
Q
2
Page 40 of 42
Name Description Start Date
(Council
Approved)
End Date $ Encumbered
4871 Williams Dr., LLC (Sedro Crossing)Infrastructure reimbursement grant of
$250,000 to assist with improvements
(utilities and access points) for construction
of 89,500 square feet of commercial building
space.
3/26/2019 12/31/2023 $ 250,000
Atmos Gas Natural gas extension to NorthPark35 upon
confirmation of a signed user
6/8/2021 6/8/2024 $ 1,400,000
CelLink Infrastructure Reimbursement - Must invest
a minimum of $80,000,000 and remain in
Georgetown for 15 years
2/22/2022 2/22/2027 $ 2,500,000
CelLink Job Creation Grant - $3K for each job with an
average salary of $90K+, $2K for each job
with an average salary of $70K-$89K
2/22/2022 2/22/2027 $ 525,000
Champion Site Prep Infrastructure reimbursement grant
associated with the development of 30,000
SF headquarters facility representing a $13M
capital investment where the company shall
remain for at least 5 years.
1/28/2020 within 5 years of
the certificate of
occupancy date
$ 500,000
Cockrum Commercial (Sedro Crossing)Infrastructure reimbursement grant of
$250,000 to assist with improvements
(utilities and access points) for construction
of 60,000 square feet of new professional
office space on Williams Dr.
3/26/2019 12/31/2023 $ 250,000
GEDCO - AGREEMENTS STATUS REPORT
February 21, 2022
Page 41 of 42
Name Description Start Date
(Council
Approved)
End Date $ Encumbered
GEDCO - AGREEMENTS STATUS REPORT
February 21, 2022
Loram (GREX)$500,000 infrastructure reimbursement and
job retention/creation grant of $K per job, up
to $300K; must invest a minimum of $12M
and minimum average wages of $50K with
completion by 7/1/2024
2/23/2021 Five years from
CO
$ 800,000
Texas Speed & Performance Job creation grant of $2K per job up to 100
jobs in 5 years.
11/12/2019 11/12/2024 $ 200,000
Titan NorthPark35, LLC Infrastructure reimbursement grant for
electric infrastructure costs related to the
speculative development of a master
planned industrial business park located at
SH130 & I35.
11/17/2020 Certificate of
Occupancy date
$1,900,000
Titan NorthPark35, LLC
(Assigned from Motion Commercial
Properties)
Infrastructure reimbursement grant in
connection with the construction of 2 bldgs,
each $500K
Certificate of
occupancy date
10 year
anniversary of
start date
$ 1,000,000
WBW Development Infrastructure reimbursement grant of
$200,000 for qualified expenditures and a
$120,000 job creation grant for the creation
of 30 jobs over 6 years related to the
development of their headquarters location
in Downtown Georgetown. (*First
Amendment effective 11/9/2021 establishes
Certificate of Occupancy issue date as
11/9/2021)
3/8/2019 11/9/2027
(within 6 years of
the certificate of
occupancy date.
CofO date=
11/9/2021)
$ 320,000
Page 42 of 42