HomeMy WebLinkAboutAgenda_GEDCO_03.19.2018Notice of Meeting for the
Georgetown Economic Dev elopment Corporation
of the City of Georgetown
March 19, 2018 at 4:00 PM
at the City Council Chambers, located at 101 E. 7th Street, Georgetown, TX 78626
The City o f G eo rgeto wn is committed to comp lianc e with the Americans with Dis abilities Ac t (ADA). If yo u
req uire as s is tanc e in participating at a p ublic meeting d ue to a disability, as d efined und er the ADA, reas onab le
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Office, at leas t three (3) days prior to the sc hed uled meeting d ate, at (512) 930-3652 o r City Hall at 113 Eas t 8th
Street fo r add itional info rmation; TTY us ers ro ute through Relay Texas at 711.
Regular Session
(This Regular S es s io n may, at any time, b e rec es s ed to convene an Exec utive S es s io n fo r any p urpose
authorized b y the Op en Meetings Act, Texas Go vernment Co d e 551.)
A Co nsideration and approval of the minutes fo r Georgetown Ec o nomic Develo p ment Co rp o ration for the
Meeting held Mo nday, F eb ruary 19, 2018--Bill Mateja, Sec retary
B Co nsideration of the F eb ruary 2018 financ ial reports . Leigh Wallace, Financ e Manager, GEDCO, Financ e
Directo r, COG
C Consideration and possible action to nominate and elect a P resident, Vice-P resident, and Secretary consistent
with Section 3.02 of the GEDCO Bylaws— David Morgan, General Manager
D Review and d is cus s io n regarding the Fourth Amend ed Bylaws fo r GEDCO ap p ro ved b y the City Counc il
on Decemb er 8, 2015 and the Artic les of Amend ment for GEDCO ap proved by the City Counc il on
December 8, 2015 related to Board Members hip --David Mo rgan, General Manager
E Review and p o s s ib le ac tion related to the Day and Time o f the GEDCO Board Meetings--David Mo rgan,
General Manager
F Review and d is cus s io n regarding the City Counc il Attend anc e Po licy fo r Board Memb ers --David Morgan,
General Manager
G Dis cus s ion and pos s ible actio n regarding the Staff Rep o rt —David Morgan, C ity Manager
-P erformance Agreement Report
-Activity Report
-Other Staff Items
H Actio n o ut o f Exec utive Session.
Executiv e Session
In compliance with the Op en Meetings Act, C hapter 551, Go vernment Code, Vernon's Texas Codes,
Annotated, the items lis ted below will be d is c us s ed in closed s es s io n and are s ubjec t to actio n in the regular
s es s io n.
I Sec. 551.071: CONSULTATION WITH ATTORNEY
Co nsultation with attorney regarding legal is s ues related to agenda items and other matters in whic h (1)
when the go vernmental body seeks the advic e o f its attorney ab o ut: (A) p ending o r c o ntemp lated
Page 1 of 60
litigatio n; o r (B) a s ettlement o ffer; o r (2) o n a matter in which the d uty of the attorney to the go vernmental
body under the Texas Dis ciplinary Rules o f P ro fes s io nal Cond uc t o f the S tate Bar o f Texas clearly
c o nflic ts with this chap ter - Charlie McNabb, C ity Attorney
J Section 551.072. DELIBERATIONREGARDING REAL PROPERTY
Dis cus s ion and pos s ible actio n to d elib erate the p urc hase,exc hange, leas e or value of real property for
purp o s es authorized b y the Development C o rp o ration Ac t which disc us s io n in o p en s es s io n would have a
detrimental effect on negotiations with third pers ons .
K Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT
NEGOTIATIONS.
Delib eratio n regarding commerc ial or financ ial info rmation that the corp o ration has rec eived fro m a
bus iness pros pec t that the Georgetown Ec ono mic Develo p ment Co rp oratio n s eeks to have loc ate, stay, or
exp and in or near the territory of the City o f Georgetown and with whic h the C o rp o ration is cond uc ting
ec o nomic d evelopment nego tiatio ns; and/o r deliberatio n regarding the o ffer of a financ ial or o ther
incentive to a bus iness p ro s p ect that the C o rp o ration seeks to have lo cate, s tay, o r exp and in o r near the
territory o f the City o f Georgetown.
CERTIFICATE OF POSTING
I, Shelley No wling, C ity S ecretary fo r the C ity of Geo rgeto wn, Texas , d o hereby c ertify that this Notice of
Meeting was p o s ted at City Hall, 113 E. 8th Street, a p lace read ily acc es s ible to the general p ublic at all times ,
on the ______ d ay o f __________________, 2018, at __________, and remained so p o s ted fo r at leas t 72
c o ntinuo us ho urs p receding the sc heduled time o f s aid meeting.
____________________________________
S helley No wling, City Sec retary
Page 2 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Cons id eration and ap p ro val o f the minutes for Geo rgeto wn Econo mic Development Corporatio n fo r the
Meeting held Mond ay, February 19, 2018--Bill Mateja, S ecretary
ITEM SUMMARY:
ATTACHMENTS:
Draft Minutes
FINANCIAL IMPACT:
None
SUBMITTED BY:
Bill Mateja, C o rp o rate Sec retary
ATTACHMENTS:
Description Type
minutes Cover Memo
Page 3 of 60
GEDCO Minutes
February 19, 2018
Page 1 of 2
Minutes of the Meeting of the
Georgetown Economic Development Corporation
City of Georgetown, Texas
February 19, 2018
The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on
Monday, February 19, 2018.
Present:
Members
Absent:
Jeff Parker, Bill Mateja, Steve Fought, Steve Klein, Hugh Brown
Kevin Kelly, Valerie Nicholson
Staff
Present:
David Morgan, City Manager/General Manager; Michaela Dollar, Director of Economic
Development; Leah Wallace, Finance Manager; Tina Dunbar, Marketing Coordinator; Laurie
Brewer, Assistant City Manager; Trish Long, Facilities Superintendent
MINUTES
Call to Order at 4:00 pm
A Consideration and approval of the minutes for Georgetown Economic Development Corporation for
the Regular Meeting held Monday, January 29, 2017--Bill Mateja, Secretary
Motion by Fought, second by Klein to approve the January 29, 2018 minutes. (Approved 5-0)
B Consideration of the January 2018 financial reports. Leigh Wallace, Finance Manager, GEDCO, Finance
Director, COG
Wallace presented the financial report and answered questions from the board.
C Discussion and possible action regarding the Staff Report —David Morgan, City Manager
- Performance Agreement Report
- Activity Report
- Other Staff Items
Dollar presented the activity report and answered questions from the board. Dollar and Morgan
provided information on marketing programs and activity tracking.
D Consideration and possible action to approve funding for repairs to the stucco exterior of the building
at 101 W 7th St, Georgetown, TX 78626 - Michaela Dollar, Director of Economic Development
Dollar presented the item and she and Long answered questions from the board.
Motion by Klein, second by Fought to approve funding for reconstruction to the exterior two-story
wall and new stucco in an amount up to $30,000 in accordance with the lease agreement.
Page 4 of 60
GEDCO Minutes
February 19, 2018
Page 2 of 2
No exec session
Adjourn at 5:08
______________________________ ___________________________________
Bill Mateja, Corporate Secretary Jeff Parker, President
Page 5 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Cons id eration o f the February 2018 financ ial rep o rts . Leigh Wallac e, Financ e Manager, GEDCO, Financ e
Direc tor, COG
ITEM SUMMARY:
See Attachments
FINANCIAL IMPACT:
None
SUBMITTED BY:
Leigh Wallace, Financ e Manager, GEDCO F inanc e Direc tor, COG
ATTACHMENTS:
Description Type
report Cover Memo
Page 6 of 60
GEDCO Board Meeting Date: March 19, 2018 Item No. __________
GEORGETOWN ECONOMIC DEVELOPMENT CORPORATION
AGENDA ITEM COVER SHEET
_________________________________________________________________
SUBJECT:
Consideration of the February 28, 2018 financial report. Leigh Wallace, Finance
Manager, GEDCO, Finance Director, COG.
_________________________________________________________________
ITEM SUMMARY:
The corporate bylaws require the Finance Manager to present the monthly financial
reports to the Board. Included in these reports will be:
• Financial reports
• Sales Tax revenues
• Monthly expenditures
• Any other relevant financial information
Sales tax revenue is two months in arrears; therefore the revenues reflect only the amount
received, not actually earned, as of the report date. A report on payments made to
vendors in the month of February is also included.
ATTACHMENTS:
Monthly Financial Reports
Sales Tax History
Disbursement Report
Independent Auditor’s Report
Audited Year-end Financials
• Statement of Net Position
• Statement of Activities
SUBMITTED BY:
Leigh Wallace
Finance Manager, GEDCO
Finance Director, COG
Page 7 of 60
APPROVED BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
BEGINNING FUND BALANCE 5,902,863 5,902,863
OPERATING REVENUES -
Interest 25,400 6,907 32,554 25,400
Lease Revenue (Grape Creek)24,000 4,000 24,000 24,000
Miscellaneous Revenue 61,100 - 10,991 61,100
Sales Tax 1,643,750 163,594 419,839 1,643,750
OPERATING REVENUES Total 1,754,250 174,501 487,384 1,754,250
OPERATING EXPENDITURES -
Debt Service 116,613 43,784 43,784 116,613
Interest Expense 87,569 - - 87,569
Joint Services Allocation 221,328 18,444 92,220 221,328
Miscellaneous Expense 11,108 - 10,991 11,108
Principal Reduction 125,000 - - 125,000
Promotional & Marketing Program 81,000 22,054 66,961 81,000
Special Services 27,500 7,500 12,500 27,500
Supplies 300 - - 300
Travel & Training 1,500 - - 1,500
OPERATING EXPENDITURES Total 671,918 91,783 226,456 671,918
TOTAL NET OPERATIONS 1,082,332 82,719 260,928 1,082,332
NON-OPERATING EXPENDITURES -
Catalyst 36,000 5,667 33,006 36,000
DisperSol 60,000 - - 60,000
Economic Development Projects -Undetermined 6,338,518 - - 6,338,518
Texas Life Sciences 139,740 - 139,740 139,740
NON-OPERATING EXPENDITURES Total 6,574,258 5,667 172,746 6,574,258
TOTAL NET NON-OPERATIONS (6,574,258) (5,667) (172,746) (6,574,258)
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL
REQUIREMENTS (5,491,926) 77,052 88,182 (5,491,926)
ENDING FUND BALANCE 410,938 410,938
RESERVES
Contingency 410,938 410,938
RESERVES Total 410,938 - - 410,938
AVAILABLE FUND BALANCE - -
Georgetown Economic Development Corporation Fund
Year-End Projection to Approved: Feb FY2018
Page 8 of 60
As of February 28, 2018
Georgetown Economic Development Corporation
Sales Tax History
Variance % Var.
MONTH [a]2013-14 2014-15 2015-16 2016-17 2017-18 To FY 17 To FY 17
October 91,863$ 98,094$ 106,050$ 114,748$ 124,478$ 9,730$ 8.48%
November 99,552 102,891 112,766 125,214 127,064 1,850$ 1.48%
December 134,682 143,774 148,200 160,542 162,940 2,398$ 1.49%
January 89,357 87,695 96,563 110,006
February 86,901 89,107 108,117 105,556
March 114,355 123,951 133,492 137,301
April 106,002 102,671 108,977 117,261
May 112,572 95,699 120,418 125,188
June 123,306 130,589 142,767 151,484
July 102,435 108,994 119,534 154,889
August 98,015 102,888 132,582 122,847
September 119,473 125,201 135,378 143,897
Total 1,278,513$ 1,311,554$ 1,464,844$ 1,568,933$ 414,482$
YTD 326,097 344,759 367,016 400,504 414,482 13,978 3.49%[b]
Notes:
[a]Sales tax revenue from the State Comptroller is received two months in arrears.
[b]YTD compared through current month.
$-
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
$180,000
Re
v
e
n
u
e
s
Sales Tax 3 Year Trend
2015-16
2016-17
2017-18
Page 9 of 60
Sales Tax Update
Please note this report include January’s figures.
Sales Tax Process: Every month the City requests a
confidential report from the State which shows
collected sales tax by individual sales tax ID. Staff
takes this information and inputs it to our sales tax
model. This model allows staff to aggregate nearly
a quarter of a million lines of data into various
categories like sector, subsector, and area (i.e. Wolf
Ranch, Downtown).
Through four months in the fiscal year, sales tax
collections have increased by 3.77%. The month of
January increased by 4.80% relative to the same
period last year.
To project year-end sales tax figures staff uses four main models and over 20 sectors models with
different timeframes and regression types. That work is done after the City receives sales tax data in
May.
In the interim, staff only relies on the four main models. As of right now, the three linear regression
based models have sales tax finishing within 1% of budget. The correlation based model has the City
finishing within 0.06% of budget.
With every new data point these figures are updated, but four months through the fiscal year the data
indicates the City will be within a percent of budget on sales tax.
Sector Analysis: All figures represented in this sector section are estimates and are only used for
forecasting. These are not actuals.
The table below shows a sector comparison estimate for the past 5 years through 4 months of a fiscal
year.
Sum of Sales Tax Revenue Column Labels
Row Labels 2014 2015 2016 2017 2018
Food 648,485 706,254 790,675 863,013 877,546
Information 484,420 538,575 630,089 686,587 631,881
Manufacturing 606,256 328,327 290,580 520,707 835,656
Other 717,759 964,758 952,518 1,159,344 1,037,439
Real Estate 283,624 80,483 108,860 111,875 126,739
Retail 3,272,051 3,688,387 3,901,657 3,901,463 3,948,821
Utilities 103,261 76,669 79,890 76,982 99,211
Wholesale 254,833 278,067 379,511 600,291 636,130
Undefined 51,789 11,842 35,611 21,089 18,431
Grand Total 6,422,477 6,673,363 7,169,390 7,941,352 8,211,856
Actuals
Current Year Total 8,476,357.84
Prior Year Total 8,168,154.93
Net Difference 308,202.91
% Change 3.77%
Current Month 1,844,649.15
Prior FY Month 1,760,090.78
Net Difference 84,558.37
% Change 4.80%
Year to Year Comparison
Month to Month Comparison
Page 10 of 60
The table to the right shows a
comparison of FY2017 to
FY2018. The big drop in “Other”
is related to a one time in nature
payment that occurred in
FY2017.
The increase in manufacturing is
due partially to increased activity
in the sector and partially due to
a change in a NAICS sector code.
In Dec of FY2017, a company’s
NAICS code was changed to the Manufacturing sector. When doing a comparison of FY2017 to FY2018,
the latter is artificially higher because for the first two months the company’s collections were coded as
something other than “manufacturing”. The City does not assign or change NACIS codes. That is handled
by the State.
The table below shows an estimated 5 year trend of sales tax by sector.
The figure below shows sales tax collection for FY2018 by sector.
Sum of Sales Tax Revenue Column Labels
Row Labels 2017 2018
Food 863,013 877,546 1.68%
Information 686,587 631,881 -7.97%
Manufacturing 520,707 835,656 60.49%
Other 1,159,344 1,037,439 -10.51%
Real Estate 111,875 126,739 13.29%
Retail 3,901,463 3,948,821 1.21%
Utilities 76,982 99,211 28.88%
Wholesale 600,291 636,130 5.97%
Undefined 21,089 18,431 -12.60%
Grand Total 7,941,352 8,211,856 3.41%
Sum of Sales Tax Revenue Column Labels
Row Labels 2013 2014 2015 2016 2017
Food 1,919,528 2,069,063 2,292,263 2,534,273 2,721,628
Information 1,372,746 1,521,922 1,683,076 1,905,514 1,856,809
Manufacturing 1,376,124 1,534,216 1,027,304 1,083,636 2,598,140
Other 2,042,416 2,375,267 2,775,584 3,226,855 3,316,667
Real Estate 422,002 864,298 400,762 368,898 340,319
Retail 9,367,290 9,926,097 10,759,859 11,578,269 11,145,952
Utilities 265,190 362,643 314,766 334,496 271,598
Wholesale 1,073,446 992,577 916,693 1,571,365 2,054,334
Undefined 122,175 136,086 89,528 127,450 84,231
Grand Total 17,960,917 19,782,168 20,259,835 22,730,757 24,389,678
Page 11 of 60
• Economic Development Projects:
- Catalyst Commerical, Inc.
Page 12 of 60
AN INDEPENDENT MEMBER OF
BAKER TILLY INTERNATIONAL
WEAVER AND TIDWELL, L.L.P.
CERTIFIED PUBLIC ACCOUNTANTS AND ADVISORS
1601 SOUTH MOPAC EXPRESSWAY, SUITE D250, AUSTIN, TX 78746
P: 512.609.1900 F: 512.609.1911
3
Independent Auditor’s Report
The Honorable Mayor
Members of the City Council
City of Georgetown, Texas
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, the discretely presented component unit, each major fund, and the aggregate
remaining fund information of the City of Georgetown, Texas (the City), as of and for the year ended
September 30, 2017, and the related notes to the financial statements, which collectively comprise the
City’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this
includes the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether due to
fraud or error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted
our audit in accordance with auditing standards generally accepted in the United States of America
and the standards applicable to financial audits contained in Government Auditing Standards, issued
by the Comptroller General of the United States. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial statements are free from material
misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the financial statements. The procedures selected depend on the auditor’s judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entity’s
preparation and fair presentation of the financial statements in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall presentation
of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Page 13 of 60
City of Georgetown, Texas
4
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, the discretely
presented component unit, each major fund, and the aggregate remaining fund information of the
City, as of September 30, 2017, and the respective changes in financial position and, where applicable,
cash flows thereof, and the respective budgetary comparison for the general fund for the year then
ended in accordance with accounting principles generally accepted in the United States of America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management’s discussion and analysis, Texas Municipal Retirement System pension schedules, Other
Post-employment Benefits schedules, and Modified Approach for Street Infrastructure Capital Assets on
pages 7 - 19 and 82 - 85 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. We have applied
certain limited procedures to the required supplementary information in accordance with auditing
standards generallys accepted in the United States of America, which consisted of inquiries of
management about the methods of preparing the information and comparing 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 financial 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 opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City’s basic financial statements. The introductory section, combining and
individual major and nonmajor fund financial statements and schedules and statistical section are
presented for purposes of additional analysis and are not a required part of the basic financial
statements. The schedule of expenditures of federal awards is presented for the purposes of additional
analysis as required by the audit requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
(Uniform Guidance), and is also not a required part of the basic financial statements.
The combining and individual major and nonmajor fund financial statements and schedules and the
schedule of the expenditures of federal awards are the responsibility of management and were derived
from and relate directly to the underlying accounting and other records used to prepare the basic
financial statements. Such information has been subjected to the auditing procedures applied in the
audit of the basic financial statements and certain additional procedures, including comparing and
reconciling such information directly to the underlying accounting and other records used to prepare
the basic financial statements or to the basic financial statements themselves, and other additional
procedures in accordance with auditing standards generally accepted in the United States of America.
In our opinion, the combining and individual major and nonmajor fund financial statements and
schedules and the schedule of expenditures of federal awards are fairly stated, in all material respects,
in relation to the basic financial statements as a whole.
Page 14 of 60
City of Georgetown, Texas
5
The introductory and statistical sections listed in the table of contents have not been subjected to the
auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not
express an opinion or provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
February 28, 2018 on our consideration of the City’s internal control over financial reporting and on our
tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and
other matters. The purpose of that report is to describe the scope of our testing of internal control over
financial reporting and compliance and the results of that testing, and not to provide an opinion on
internal control over financial reporting or on compliance. That report is an integral part of an audit
performed in accordance with Government Auditing Standards in considering the City’s internal control
over financial reporting and compliance.
WEAVER AND TIDWELL, L.L.P.
Austin,Texas
February 28, 2018
Page 15 of 60
City of Georgetown, Texas
Statement of Net Position
September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
22
Component
Unit
Georgetown
Economic
Governmental Business-type Development
Activities Activities Total Corporation
Cash and cash equivalents 67,116,1 25$ 47,915,698$ 115,031,823$ 5,768,347$
Cash and cash equivalents - restricted - 19,233,438 19,233,438 -
Investments 21,978,456 - 21,978,456 45
Investments - restricted - 20,320,1 90 20,320,1 90 -
Prepaid items 439,695 4,951,363 5,391,058 -
Accounts receivable
Services (net of allowance for uncollectibles)- 15,817,894 15,817,894 -
Other 11,027,087 673,570 11,700,657 256,975
Internal balances (157,627) 157,631 4 -
Inventories 672,653 3,7 32,1 98 4,404,851 -
Long-term note receivable 3,074,818 761,957 3,836,775 -
Capital assets
Land 31,081,513 3,677,188 34,758,7 01 171,382
Streets 184,290,635 - 184,290,635 -
Building and improvements 141,730,544 7,595,870 149,326,414 296,874
Machinery, furniture and equipment 49,748,467 5,380,444 55,128,911 -
Distribution system - 566,590,667 566,590,667 -
Construction in progress 74,500,957 15,140,157 89,641,114 -
Accumulated depreciation (65,558,911) (151,143,668) (216,702,579) (30,182)
Total assets 519,944,412 560,804,5 97 1,080,7 49,009 6,463,441
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflow related to pension 8,006,009 2,398,685 10,404,694 -
Deferred charge on refunding 2,1 68,690 1,298,960 3,467,650 -
Total deferred outflows of resources 10,174,699 3,697,645 13,872,344 -
TOTAL ASSETS AND DEFERRED OUTFLOWS OF RESOURCES 530,119,111$ 564,5 02,242$ 1,094,621,353$ 6,463,441$
LIABILITIES
Current liabilities
Accounts payable 9,158,755$ 7,287,547$ 16,446,302$ -$
Accrued employee benefits 1,702,724 432,261 2,134,985 -
Unearned revenue 2,846,911 107,242 2,954,153 4,000
Unapplied credits 351,728 - 351,728 -
Current portion of noncurrent liabilities 11,576,372 6,955,116 18,531,488 224,219
Accrued interest 755,583 508,590 1,264,173 -
Liabilities from restricted assets
Construction contracts and retainages
payable from restricted assets - 305,323 305,323 -
Customer deposits payable from restricted assets - 1,392,306 1,392,306 -
Noncurrent liabilities
Accrued employee benefits 4,837,523 568,323 5,405,846 -
Net pension liability 19,553,749 4,622,797 24,176,546 -
Long-term debt 171,323,339 104,792,598 276,115,937 3,547,637
Total liabilities 222,106,684 126,972,103 349,078,787 3,775,856
NET POSITION
Net investment in capital assets 266,518,836 374,238,275 640,757,111 438,074
Restricted for
Debt service 1,385,695 - 1,385,695 -
Specific programs 5,037,998 - 5,037,998 -
Unrestricted 35,069,898 63,291,864 98,361,762 2,249,511
Total net position 308,012,427 437,530,139 745,542,566 2,687,585
TOTAL LIABILITIES AND NET POSITION 530,119,111$ 564,502,242$ 1,094,621,353$ 6,463,441$
Primary Government
ASSETS
LIABILITIES AND NET POSITION
Page 16 of 60
City of Georgetown, Texas
Statement of Activities
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
23
Component Unit
Georgetown
Economic
Charges for Operating Grants Capital Grants Governmental Business-type Development
Expenses Services & Contributions & Contributions Activities Activities Total Corporation
Primary government
Governmental activities
Culture / recreation 11,904,1 66$ 2,534,735$ 174,7 65$ 1,112,841$ (8,081,825)$ -$ (8,081,825)$
Development 2,5 61,792 2,653,201 - 451,659 543,068 - 543,068
Fire 16,113,850 4,11 6,783 24,434 - (11,972,633) - (11,972,633)
General government 5,959,340 356,455 130,835 215,789 (5,256,261) - (5,256,261)
Police 16,5 37,297 743,304 42,7 30 - (15,751,263) - (15,751,263)
Streets 7,376,116 4,124,813 97,840 3,831,736 678,273 - 678,273
Environmental services 6,325,688 7,329,850 - - 1,004,162 - 1,004,162
Interest on long-term debt 5,826,012 - - - (5,826,012) - (5,826,012)
Total governmental activities 72,604,261 21,859,141 470,604 5,612,025 (44,662,491) - (44,662,491)
Business-type activities
Electric 66,383,559 70,109,269 - 1,218,390 - 4,944,1 00 4,944,100
Water 39,960,1 02 42,729,980 - 22,946,677 - 25,716,555 25,716,555
Airport 3,1 23,008 3,318,983 - 5,975,389 - 6,171,364 6,171,364
Stormwater 3,882,824 3,409,626 - 2,039,815 - 1,566,617 1,566,617
Total business-type activities 113,349,493 119,567,858 - 32,180,271 - 38,398,636 38,398,636
Total primary government 185,953,754$ 141,426,999$ 470,604$ 37,792,296$ (44,662,491) 38,398,636 (6,263,855)
Component unit
Georgetown Economic
Development Corporation 653,644$ -$ -$ -$ (653,644)$
General revenues
Property tax 24,7 34,830 - 24,7 34,830 -
Sales tax 23,008,606 - 23,008,606 1,568,934
Taxes - other 3,027,357 - 3,027,357 -
Franchise taxes 4,973,295 - 4,973,295 -
Investment income 731,135 544,050 1,275,185 45,016
Other 164,835 - 164,835 108,302
Transfers 9,1 88,144 (9,188,1 44) - -
Total general revenues and transfers 65,828,202 (8,644,094) 57,184,108 1,722,252
Change in net position 21,165,711 29,75 4,5 42 50,920,253 1,068,608
Net position, beginning of the year 286,846,71 6 407,775,597 694,622,313 1,618,977
Net position, end of the year 308,012,427$ 437,530,139$ 745,542,566$ 2,687,585$
Net (Expense) Revenue and
Program Revenues Changes in Net Position
Primary Government
Functions/Programs
Page 17 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Consideration and possible action to nominate and elect a P resident, Vice-P resident, and Secretary consistent
with Section 3.02 of the GEDCO Bylaws— David Morgan, General Manager
ITEM SUMMARY:
Purs uant to the GEDCO Bylaws , Section 3.02 Officers:
"The o fficers of the C o rp o ration shall be a p res id ent, vic e president, and sec retary. T he Bo ard , at each
annual meeting, which s hall no rmally o cc ur in the firs t meeting in March of eac h year, s hall elect these
o fficers. The Bo ard may appoint s uc h o ther o ffic ers as it deems nec es s ary, who s hall have the authority,
and s hall p erform s uc h d uties as fro m time to time may b e presc rib ed by the Board.”
Ac cordingly, the C o rp o ration mus t nominate and elec t o fficers.
FINANCIAL IMPACT:
None
SUBMITTED BY:
Tina Dunb ar o n b ehalf o f David S. Morgan, City Manager
Page 18 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Review and dis c us s ion regard ing the Fourth Amended Bylaws for GEDCO approved by the City Counc il
o n Dec emb er 8, 2015 and the Articles o f Amendment fo r GEDCO approved b y the City Co uncil o n
Dec emb er 8, 2015 related to Bo ard Members hip --David Morgan, General Manager
ITEM SUMMARY:
In 2015, City C o uncil ap p ro ved changes to the board memb ers hip req uirements of the Georgetown
Ec o nomic Develo p ment Co rp o ration (GEDCO) Bo ard to require that a minimum o f two (2) o f the s even
(7) d irecto rs b e c urrent City Counc il Members . GEDCO Bylaws and Articles of Inc o rp o ration were
amended to reflec t the c hanges and GEDCO ac c epted the changes in Marc h 2016. T here have been no
ad d itional c hanges s ince that time. Eac h year, GEDC O is as ked to review thes e doc uments.
ATTACHMENT
1. Res o lutio n No. 120815-F Approving Fourth Amend ed Bylaws of the Georgetown Ec o nomic
Development Corporatio n
2. Res o lutio n No. 120815-G ap p ro ving Articles o f Amend ment for the Artic les of Inc o rp o ration fo r
the Geo rgeto wn Econo mic Development Corporatio n.
FINANCIAL IMPACT:
None
SUBMITTED BY:
Tina Dunb ar o n b ehalf o f David S. Morgan, City Manager
ATTACHMENTS:
Description Type
Res olution No. 120815-F Backup Material
Res olution No. 120815-G Backup Material
Page 19 of 60
Page 20 of 60
Page 21 of 60
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Page 23 of 60
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Page 40 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Review and pos s ible actio n related to the Day and Time of the GEDCO Bo ard Meetings --David Morgan,
General Manager
ITEM SUMMARY:
In ac cordanc e with the GEDCO Bylaws , Section 2.03 REGULAR MEETING; PLACE OF
MEETING
“The Bo ard s hall meet o n a regular basis, at a spec ified time, day, and loc ation as ap p ro ved
annually by the Bo ard . Sc heduled meeting times will b e prop erly p o s ted fo r pub lic
no tific atio n for regular and s pec ial called meetings as necessary. The president o f the
Board may c anc el the meeting if there is no b us ines s to be cond uc ted .”
Currently, the GEDCO Bo ard meets on the third Mo nday of each month at 4:00 p .m. in the City Counc il
Chamb ers loc ated at 101 E. 7th S treet, Georgetown, Texas 78626.
FINANCIAL IMPACT:
None
SUBMITTED BY:
Tina Dunb ar o n b ehalf o f David S. Morgan, City Manager
Page 41 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Review and dis c us s ion regard ing the City Co unc il Attendance Polic y fo r Bo ard Members--David Mo rgan,
General Manager
ITEM SUMMARY:
Sec tion 2.07 Attendance o f the Bylaws of the Geo rgeto wn Econo mic Development Corporatio n s tates :
“Board Memb ers are req uired to attend 75% o f regularly sc hed uled Board Meetings .
Excessive ab s enteeis m will be s ubjec t to ac tion under Counc il polic y.”
Additio nally, Chap ter 2.36 CITY COMMISSIONS, COMMITTEES, AND BOARDS , S ectio n
2.36.010(D) – Duties o f Members o f the City of Geo rgeto wn Co d e of Ordinanc es , als o addresses the City
Counc il’s polic y on attend anc e for Bo ard Memb ers :
SEC 2.36.010 DUTIES OF COMMISSION, COMMITTEE & BOARD MEMBERS
“D. Attend anc e by Members is integral to s uc cess o f the commissio n, c o mmittee or b o ard .
It is Co uncil p o licy to req uire a minimum of 75 p ercent attendanc e of each Memb er at eac h
regularly s ched uled meeting inc luding s ub committee meetings . A Memb er s hall be allo wed
two exc used ab s enc es fo r the Member's p ers o nal med ical c are, req uired med ical c are of a
Memb er's immed iate family memb er (as d efined by City Ordinanc e), or Member's military
Servic e that shall not count agains t the 75 perc ent attend anc e req uirement. Written notice
shall b e s ent to a Member and the Memb er's City Co uncil rep res entative when it ap p ears the
Memb er may violate the attend anc e p o licy b y being abs ent fro m mo re than 25 p erc ent of
regularly s c heduled meetings, inc lud ing s ubc o mmittee meetings. Exc es s ive absenteeism
may result in the Member b eing replac ed by the Counc il. If a Memb er is remo ved fro m a
c o mmittee, c o mmis s io n o r board , that p o s ition shall b e c o nsidered vac ant and a new
Memb er s hall be ap p o inted to the Board in acc o rd anc e with Section 2.36.040”
The City Sec retary and the Mayo r review attend anc e and determine if warning or removal letters need to be
s ent to a Member that is in danger of or has violated the 75% Council mandated attendance policy.
Absences are exc us ed fo r medic al reasons or military reas o ns. City Co uncil and S taff Liaisons are notified
if any letters are s ent to a Member.
Absences for any S p ecial Meetings that are s c hed uled d o no t count to ward the 75% Attend anc e Po licy.
The City o f Georgetown values the vo lunteers that s erve o n its Commissio ns , Committees or Boards and
is fortunate to have a multitude of c itizens who ap p ly to be a part o f the pub lic p ro cess b y s erving o n
them. Acc o rd ingly, it is very imp o rtant that the members who are ap p o inted to b e o n a City of
Geo rgeto wn Commission, Co mmittee o r Bo ard understand the importanc e o f their attend anc e and their
p artic ip ation at the regularly sc heduled meetings o f these Commission, Committee or Bo ard meetings .
FINANCIAL IMPACT:
None
Page 42 of 60
SUBMITTED BY:
Tina Dunb ar o n b ehalf o f David S. Morgan, City Manager
Page 43 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Disc ussion and p o s s ib le ac tion regard ing the S taff Report —David Morgan, City Manager
-P erformance Agreement Report
-Activity Report
-Other Staff Items
ITEM SUMMARY:
The GEDCO Board has req uested that staff p ro vide a projec t p ro gress and s tatus report at eac h meeting
o n all of the ac tive p ro jects disc ussed b y the Bo ard .
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
David S. Morgan, C ity Manager
ATTACHMENTS:
Description Type
activity Cover Memo
pr Cover Memo
Page 44 of 60
Economic Development
Activity Report &
Economic Indicators
March 2018
Page 45 of 60
0
2
4
6
8
10
12
14
16
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Leads
FY17 FY18 Linear (FY17)
Page 46 of 60
0
2
4
6
8
10
12
14
16
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Proposals Submitted
FY17 FY18
Page 47 of 60
0
1
2
3
4
5
6
7
8
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Site Visits
FY17 FY18
Page 48 of 60
0
5
10
15
20
25
Ma
r
1
7
Ap
r
1
7
Ma
y
1
7
Ju
n
1
7
Ju
l
1
7
Au
g
1
7
Se
p
1
7
Oc
t
1
7
No
v
1
7
De
c
1
7
Ja
n
1
8
Fe
b
1
8
Business Retention Activity
Visits Assistance Requests Touches
Page 49 of 60
Development,
11
Hot, 11
Warm, 6
Cold, 4
Active Projects
Page 50 of 60
-
200
400
600
800
1,000
1,200
$-
$500.0
$1,000.0
$1,500.0
$2,000.0
$2,500.0
$3,000.0
Ma
r
1
7
Ap
r
1
7
Ma
y
1
7
Ju
n
1
7
Ju
l
1
7
Au
g
1
7
Se
p
1
7
Oc
t
1
7
No
v
1
7
De
c
1
7
Ja
n
1
8
Fe
b
1
8
Construction Permit Applications
Contract Value
(in millions)
Valuation
(in millions)
# of Permits
Page 51 of 60
0
2
4
6
8
10
12
14
16
Fe
b
1
7
Ma
r
1
7
Ap
r
1
7
Ma
y
1
7
Ju
n
1
7
Ju
l
1
7
Au
g
1
7
Se
p
1
7
Oc
t
1
7
No
v
1
7
De
c
1
7
Ja
n
1
8
Fe
b
1
8
Certificates of Occupancy Issued
Page 52 of 60
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
Ja
n
1
7
Fe
b
1
7
Ma
r
1
7
Ap
r
1
7
Ma
y
1
7
Ju
n
1
7
Ju
l
1
7
Au
g
1
7
Se
p
1
7
Oc
t
1
7
No
v
1
7
De
c
1
7
Sales Tax Collections
Page 53 of 60
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
4.0%
4.5%
5.0%
Ja
n
1
7
Fe
b
1
7
Ma
r
1
7
Ap
r
1
7
Ma
y
1
7
Ju
n
1
7
Ju
l
1
7
Au
g
1
7
Se
p
1
7
Oc
t
1
7
No
v
1
7
De
c
1
7
Ja
n
1
8
Unemployment Rate
Page 54 of 60
$30,000
$35,000
$40,000
$45,000
$50,000
$55,000
20
1
3
Q
1
20
1
3
Q
2
20
1
3
Q
3
20
1
3
Q
4
20
1
4
Q
1
20
1
4
Q
2
20
1
4
Q
3
20
1
4
Q
4
20
1
5
Q
1
20
1
5
Q
2
20
1
5
Q
3
20
1
5
Q
4
20
1
6
Q
1
20
1
6
Q
2
20
1
6
Q
3
20
1
6
Q
4
20
1
7
Q
1
20
1
7
Q
2
20
1
7
Q
3
20
1
7
Q
4
Average Annual Wage
Page 55 of 60
Name Description
Start Date (Council
Approved)End Date $ Encumbered $ Expended
Citigroup
Grant for wastewater infrastructure for
construction of datacenter. 12/12/2006 12/31/2018 $ 1,300,000 $ 1,300,000
DisperSol
Grant for job creation related to expansion
of manufacturing facilities.10/16/2014 2/15/2019 250,000$ $ 80,000
Grape Creek
Grant for reimbursement of 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. 8/23/2011 3/1/2018 280,000$ 280,000$
Grape Creek
GEDCO purchase of building. GCV
currently under lease/purchase agreement
with right to exercise purchase at end of PA
for $447K.8/23/2011 3/1/2018 447,000$ 447,000$
Radiation Detection Corporation
Grant for Qualified Expenditures and job
creation related to the relocation of the
corporate offices to Georgetown. 7/23/2013 12/31/2021 320,000$ 320,000$
Radix BioSolutions, Ltd.
Provided grant to assist with the work and
future plans of Radix BioSolutions at the
TLCC. Radix paid back $47K on 3/15/15.
Radix paid back $50K 3/10/16. Radix paid
back $50K on 3/10/2017 .3/9/2010 3/31/2018 250,000$ $ 103,000
KJ Scientific (KJS)
Provide a grant of the equipment obtained
in the TLCC brand acquisition to KJ
Scientific (KJS) to retain the business in
Georgetown.The retention equipment grant
is for five years with KJS obligated to pay a
pro-rated amount of $10,000 per year
should they relocate outside of the City.2/27/2018 12/31/2022 50,000.00$ 50,000.00$
GEDCO - ACTIVE PERFORMANCE AGREEMENTS STATUS REPORT
March 19, 2018
Page 56 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Ac tion out of Exec utive S es s io n.
ITEM SUMMARY:
FINANCIAL IMPACT:
TBD
SUBMITTED BY:
Charlie Mc Nab b , City Atto rney
Page 57 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Sec. 551.071: CONSULTATION WITH ATTORNEY
Cons ultation with atto rney regard ing legal iss ues related to agend a items and o ther matters in which (1)
when the go vernmental b o d y s eeks the advic e of its atto rney about: (A) p end ing or contemplated litigation;
o r (B) a settlement offer; or (2) o n a matter in whic h the duty of the attorney to the governmental b o d y
und er the Texas Dis c ip linary Rules o f Pro fes s ional C o nduct of the State Bar of Texas c learly conflicts with
this c hapter - C harlie McNab b , City Atto rney
ITEM SUMMARY:
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
Charlie Mc Nab b , City Atto rney
Page 58 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Section 551.072. DELIBERATIONREGARDING REAL PROPERTY
Disc ussion and p o s s ib le ac tion to deliberate the purchas e,exchange, leas e o r value o f real p ro p erty for
p urposes autho rized by the Develo p ment Corporatio n Act whic h d is cus s ion in open session wo uld have a
d etrimental effec t o n nego tiatio ns with third p ers o ns .
ITEM SUMMARY:
FINANCIAL IMPACT:
n/a
SUBMITTED BY:
Charlie Mc Nab b , City Atto rney
Page 59 of 60
City of Georgetown, Texas
Georgetown Economic Development Corporation
March 19, 2018
SUBJECT:
Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT
NEGOTIATIONS.
Deliberatio n regard ing c o mmercial o r financ ial informatio n that the c o rp o ratio n has received from a
b usines s pros p ec t that the Geo rgeto wn Economic Development Corporation s eeks to have lo cate, s tay, o r
expand in or near the territo ry o f the City o f Geo rgeto wn and with whic h the Corporatio n is c o nducting
econo mic d evelo p ment negotiations ; and/o r d elib eration regard ing the o ffer o f a financial o r other inc entive
to a bus iness pros pec t that the Co rp o ration s eeks to have loc ate, stay, o r expand in or near the territory of
the City of Georgetown.
ITEM SUMMARY:
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
Charlie Mc Nab b , City Atto rney
Page 60 of 60